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not be taken piecemeal.

Moreover, we intend to

consult the Americans about our future defence policy as a whole before we start consultations with any of our other allies. These discussions with the Americans will be important not only in the defence context but as an example of how we intend to conduct our relations with the Americans under the

new Presidency generally. There is clearly a danger that they will get off on the wrong foot if we cannog give the Americans the whole picture at once. The Americans will almost certainly be reluctant to express opinions on our proposals for one part of the world if they do not know what we intend for other areas, and we could get ourselves into an embarrassing situation if they were to press us to discuss plans for the NATO area and we were not able or willing to respond. It is in any case difficult to envisage consultations, even on non NATO matters, being far enough advanced during September for Ministers to be able to say very much more publicly or to the National Executive Committee than they have already done.

3. However, Ministers will no doubt wish to move ahead as rapidly as possible during the next few weeks. There is one field, Hong Kong, in which action is already under way. We are already in touch with the Governor about future possible force levels, in the light of the OPD discussion on 1 August, and we expect to have his views by the end of this week. Formal consultations with the governor of Hong Kong about the future size of the forces/of the Hong Kong Government

contribution could start as soon as Ministers have

decided what our objectives should be. These could undoubtedly be revealed to other Ministers in

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