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3

doubt that there is a connection.

In any case we think that

game should be played long, and not via Pao. The most recent

Chinese approach, by the new Minister for Foreign Trade, Madame

Chen Muhua, to Sir P Cradock was quite straightforward and in a

strictly commercial context.

Prime Minister's Visit to China Ship Launching

6.

The Prime Minister recently named a Pao ship in Sunderland.

Pao has invited her to launch another now under construction in

Mrs Thatcher has told him she hopes to do this if it

fits in with the Chinese programme for her visit.

Shanghai.

Hong Kong and General Department

20 May 1982

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