enable us in luture to argue in lavour of potential DSR 11C sales, on the grounds that they are not against the strategic interest of the West.
NEXT MOVES
18.
Officials have recommended that we should consider
individual defence sales on a case by case basis, and that
in principle once the Government have decided that they wish to sell particular weapons to the Chinese they should raise the
necessary before matter with the Americans, before necessarily knowing Chinese intentions in detail but only after having discovered the broad outline of what they have in mind
as a result of exploratory and non-commital contacts between British industry and the Chinese. Such case by case discussion discussions with the Americans, even on a limited number of items, would set parameters for
future sales.
19. The forthcoming visit of the CDS to China, accompanied by a senior official from the FCO, provides an opportunity
to draw out Chinese intentions on Harrier. The Chinese are
the unlikely to make any response on the spot, but could be asked to indicate further views on the sort of questions in Para ♣ above in private discussions with British industry. In the
light of Chinese reactions we might then be in a better position ourselves to weigh the balance of advantage and
in the light of our deliberations to approach the Americans.
20. In the meanwhile, other more immediate issues, which also
present rather fewer problems both for ourselves and the
Americans, are likely to have reached the stage where we
shall want to talk to the American Administration. Marine
gas turbine engines are the most likely case in point. In the light of American reactions to the possibility of this
sale we should able better to guage likely US reactions to
the sale of Harrier.
CONCLUSIONS
(a)
(b)
From the UK point of view there would be no overriding strategic or security objections to the deal. There are
From the strong commercial and industrial arguments in
its favour.
(c) it could be generally helpful to Western relations, as well
as British relations, with China.
/(a)
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