SECRET
23.
Acknowledgement with some visible signs of Chinese Sovereignty
If the PRC were to insist that there must be some
concrete manifestation of our acceptance that sovereignty
over the whole of Hong Kong will eventually be restored to
China, this might be accommodated by concessions eg the
acceptance of an official Chinese representative, provided
that British administration was maintained without any
serious erosion of the UK's existing powers.
Likely PRC Stand on Sovereignty
24.
It seems probable, however, that the PRC will ask for
more than a token acknowledgement of eventual sovereignty,
even with some visible change, as the price for allowing the
territory a special governmental regime that would preserve
its economic prosperity after 1997. They could well seek
formal abrogation of the 'unequal treaties' to take effect
in or before 1997, thus removing the justification for
British administration in international law. Even if they do
not go as far as this they are likely to want early and
unequivocal recognition by the UK of Chinese sovereignty
over the whole of Hong Kong.
25.
The Chinese appear to envisage that the whole territory
should be incorporated into the PRC as a Special Administrative
Region within the meaning of Article 30 of the new constitution
of the Republic. As such, the territory would be allowed a
13
SECRET
/considerable