CONFIDENTIAL
Brief No 4
HONG KONG/CHINA RELATIONS AND THE FUTURE OF HONG KONG
BACKGROUND
CHINESE POLICY TOWARDS HONG KONG
1. The Chinese regard Hong Kong (both the ceded and leased
areas) as Chinese territory, which will eventually return to
China. They must be aware that the Colony cannot be defended
for any significant length of time against a determined
Chinese attack or against large Communist-inspired disturbances
if reinforced by substantial military intervention from China.
In any case the Chinese have at their disposal ample means of
making difficulties for the Hong Kong Government. But for the
time being the Chinese are prepared to accept the existence of
the Colony in its present form, since it brings them considerable
economic and political advantages.
2. Chou En-lai told Mr Malcom MacDonald on 1 November 1971
that "Hong Kong is a place which will be returned to China, but
the Chinese Government had not raised this and it would not be
raised for a long time. The lease of Kowloon (sic) expires in
1997".
This is the first time a Chinese leader has categorically
linked their attitude to Hong Kong to the expiry of the New
Territories' lease. We have treated Chou's remarks as confidential
but the Chinese are obviously anxious to reassure Hong Kong
residents publicly about the future. For example an article
in "Newsweek" of 13 December 1971 said:
3.
"A Chinese official whose rank ensures that he had prior
approval from Peking told a Hong Kong businessman, that
110 moves would be made against Hong Kong for a long time to
come."
While the Chinese Government are content for reasons of self-
CONFIDENTIAL
/interest