Registry

No

SECURITY CLASSIFICATION

Top Secret.

Secret.

Confidential.

Restricted.

Unclassified.

PRIVACY MARKING

CONFIDENTIAL

DRAFT

PLANNING PAPER

Type 1 +

From

To:-

................................................................In Confidence

POLICY TOWARDS CHINA

>

Telephone No. Ext.

Department

[Cover Note:

The Foreign and Commonwealth Secretary and the

Defence Secretary agreed that FCO and MOD

officials should jointly prepare a paper on

British policy towards China which would inter

alia provide a framework for a proper evaluation

of British defence sales to China. Such a paper

would also cover the commercial opportunities,

and discuss how best to exploit them subject to

our other objectives and commitments. Other

interested Departments would be involved at a

later stage. ]

DSR11

INTRODUCTION

1. Under the new leadership which has emerged after

Mao's death, 'China has made it clear that she is seeking

to increase purchases of equipment and technology in

the West to strengthen her economy and her military

capability. This presents opportunities, but also poses

some fundamental issues. Individual British decisions

/should

CONFIDENTIAL

Dd 108087 400M S&K 1/77

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