Mr Donald

Sir Eude

SECRET

SECRETARY OF STATE'S FAR EAST TOUR : INTERVIEW WITH BBC EXTERNAL SERVICES: FUTURE OF HONG KONG

Problem

1. The Secretary of State is being interviewed by the BBC World Service on 25 March. What should he say, if asked, about the

future of Hong Kong and possible talks with the Chinese Government?

Recommendation

2.

I recommend that Lord Carrington speak on the lines of the

attached draft brief. The Governor of Hong Kong and HM Ambassador,

Peking, concur.

Background and Argument

3. The question of Hong Kong's future has been touched on in discussions with Chinese leaders during the past few years. It

was mentioned during discussions between the Prime Minister and

then Premier Hua Guofeng in November 1979. The Secretary of State had a short discussion on the subject with the Chinese Foreign

Chinese

Minister, Huang Hua, during the latter's visit to London in

October 1980.

4. When we have raised the subject with the Chinese, we have

not suggested tackling the problem of the longer-term future

but asked for their help in maintaining short- and medium-term

confidence, particularly over the problem of individual land

leases in the New Territories. The brief for the Secretary of

State's visit to China in early April is on similar lines although

contingency briefing is provided in the unlikely event that the Chinese wish to broaden the discussion to include matters touching

on the longer-term future.

15.

SECRET

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