CONFIDENTIAL
be severe, not only because of the actual cost of withdrawing the
units required from other commitments, but also because of the
general upheaval that would be caused within the Services.
Letails of the present garrison, of the reinforcements now
requested and of the penalties that would be involved in providing
them are at Annex A.
2. HMG have a clear obligation to provide reinforcements for Hong
Kong when the situation requires: this was explicitly stated in
the 1975 agreement between the Hong Kong and British Governments
under which the garrison in Hong Kong was reduced to its present
strength.
3.
hinisters will need to decide whether the Long Kong requirement
is of sufficient priority to justify providing the necessary
resources. The Lefence Secretary will be discussing the request
for reinforcements with the Governor shortly before the latter's
call on the Prime Minister.
4.
CHINESE/HONG KONG RELATIONS
1. The present Chinese Government do not recognise the 19th century
treaties under which Hong Kong came under british rule. They
regard Hong Kong as Chinese territory temporarily under British
administration. They have however repeatedly stated that the
question of the territory's reversion to China is something to be
settled through negotiations "when the time is ripe". They have
given nó firm indication when they think that time will be.
2. In the meantime they have made it clear that hong kong has a key
role to play in their modernisation programme The territory
provides about a third of China's foreign exchange earnings and is
GONFTHEUPEAM
/an