DRAFT LETTER FOR THE PRIME MINISTER TO SEND TO :
Sir Lawrence Kadoorie CBE, K St J(A), LLD, JP Chairman
China Light and Power Company Limited
St George's Building
HONG KONG
Thank you for your letter from Peking dated 26 May which took
a little time to reach me.
I am glad that you found the Chinese receptive to your suggestion
of counter-trade. We are seeking to give a new, general impetus to
trade and commerce between Britain and China, and your initiative
is greatly appreciated.
Officials in the Department of Industry have been exploring possible
proposals for counter-trade arrangements based on sales of Chinese
coal and other raw materials. We shall need to be careful to work
out together the form of the package to obtain the best results all
round. I understand that two of Alan Williams' officials in the
Department of Industry are going to Hong Kong on 2 July to discuss
the possibilities with you before putting any ideas to the Chinese.
I was most interested to read your impressions of China today and
its future prospects. I hope that your visit was enjoyable and look
forward to seeing you again when you are next in London.