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WILL BE IN CHINA IN THE 80S BUT SUCH A LINK WOULD ADD
AND ADDITIONAL ELEMENT TO CHINA'S INTEREST IN THE
STABILITY AND PROSPERITY OF THE COLONY. PROVIDING THEREFORE AS CHINA LIGHT AND POWER PROPOSE, THE EQUIPMENT
IS DESIGNED ALSO TO ACCEPT FUEL FROM ALTERNATIVE SOURCES IN CASE OF NEED, THE RISKS INVOLVED IN LOOKING TO CHINA
AS A SOURCE OF COAL SEEMS A FAIR ONE.
3. THE SECOND ELEMENT IS WHETHER IT IS WORTH TRYING TO BUILD INTO THE ARRANGEMENT AN ADDITIONAL DIMENSION
IN THE FORM OF A LINK WITH THE PROVISION TO CHINA OF
MINING EQUIPMENT FROM THE UK. THE UK HAS ALREADY BEEN
VERY SUCCESSFUL IN THE DIRECT EXPORT OF SUCH EQUIPMENT
TO CHINA. WHETHER THIS ADDITIONAL DIMENSION WOULD BE
OF INTEREST TO THE CHINESE WILL THUS DEPEND ON WHETHER THEY
WOULD GET A BETTER DEAL IN THE CONTEXT OF AN
ARRANGEMENT WITH CHINA LIGHT AND POWER THAN THEY COULD
GET BY DIRECT PURCHASE FROM UK COMPANIES. IT WOULD
ALSO DEPEND ON THE PRIORITY WHICH IMPORTS OF MINING
MACHINERY WILL HAVE BY 1982 SEMI COLON CHINA HAS A
GUBSTANTIAL MANUFACTURING CAPACITY HERSELF. IT MAY BE
THAT TRANSPORT AND PORT HANDLING EQUIPMENT, RATHER THAN PRODUCTION EQUIPMENT, WILL BE THEIR MAJOR NEED. THIS COULD ONLY
BE ESTABLISHED IN DISCUSSION,
IN DISCUSSION, IT IS PROPOSED THAT THE
ARRANGEMENT WITH THE JAPANESE REFERRED TO ABOVE SHOULD COVER
BOTH EXPORTS AND IMPORTS BUT IT IS NOT YET KNOWN HOW THE
LINK WILL BE MADE.
•
4. ON TIMING, THE CHINESE MIGHT BE READY TO GIVE BY
OCTOBER AN ASSURANCE OF INTEREST IN THE LONGTERM SUPPLY OF
COAL. BUT THEIR NEGOTIATING PROCESSES ARE NOTORIOUSLY
SLOW AND THEY WOULD BE HARD PUT TO IT TO REACH ANY MORE
COMPLEX AGREEMENT BY THAT TIME. KEI DAREN EXPECT THEIR
DISCUSSIONS WITH THE CHINESE TO LAST A YEAR AND I WOULD
HAVE THOUGHT THIS A REALISTIC ESTIMATE.
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15.
IF
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