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3

said that if this were done he doubted whether it would be possible

for him to conclude the agreement on Hong Kong defence costs

negotiated with the Minister of State at the Ministry of Defence.

I mentioned this point to Mr Statham this morning so that he could,

if necessary, have account taken of it in the briefing for the

Secretary of State before Cabinet tomorrow. But I told Sir M Maclehose

that I thought that no one at this stage could give him any firm

commitment in respect of import controls and I dropped him a gentle

warning against the danger of seeming to opinion in Whitehall to be

overlooking British interests because of his understandable

preoccupation with those of the British Colony entrusted to his

guidance. I think he took the point.

6.

He is anxious to see the Secretary of State while he is in

London and I strongly recommend that, if at all possible, the

Secretary of State should see him briefly,

7.

We also agreed that he would come and have a further talk

with me before he returns to Hong Kong early in January.

3 December 1975

CC

Private Secretary

PS/Lord Goronwy Roberts

Mr Cortazzi

Mr Male

Mr Faber

Mr O'Keefe Mr Bentley

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of

Michael Palliser

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