SECRET
of the present modernisation effort and
China's reversion to a dogmstic and
xenophobic condition such as marked much
of the later years under Mao-which would
be-much-more dangerous. If the UK alone
among Western nations showed a reluctance
to respond, a deterioration in Sino/
British relations would follow, with the
loss of valuable political and commercial
opportunities to other West European
countries, the United States or Japan.
3.
We have a particular interest in
assisting the present Chinese course arising
from our responsibilities for Hong Kong.
We shall very shortly be approaching the
point when if business confidence in the
colony is to be maintained we shall need
at least a tacit understanding with the
Chinese Government on Hong Kong's future
after the expiration of the New Territories
다
Lease in 1977. So far as we can judge,
the present Chinese attitude on this point
is encouraging and a China pursuing a vast
modernisation programme will be particularly
dependent on the colony's foreign exchange
earnings. By assisting China in this
course we ensure the most favourable
when
political and economic climate when the
Chinese Government are likely to be reaching
are
He meaded
decisions on Hong Kong (say in 2 or 3 years*
time), conversely a negative or esitant
British response could be detrimental to
Hong Kong.
NOTHING TO BE WRITTEN IN THIS MARGIN
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