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CALL BY LORD RHODES AND LADY LLEWELLYN-DAVIES ON LADY YOUNG, 4.30 PM
ON THURSDAY 22 SEPTEMBER 1983
POINTS TO MAKE.
1.
Reconvene
Encouraging that second phase of talks underway with common aim
of maintaining Hong Kong's stability and prosperity.
today in Peking. Content confidential.
2. Chinese delegation led by Vice Minister Yao Guang, British
delegation by HMA Peking. Governor of Hong Kong participating as appropriate on British side. Although talks bilateral between
Britain and China, we are in close consultation through the Governor with Hong Kong's Executive Council.
3. Good atmosphere at second phase of talks, though Chinese line
remains tough. Difficult path ahead for us. Therefore grateful you do not intend to raise subject with China. Chinese apt to
interpret statements by prominent personalities as official British Government position.
4.
21
We have concentrated on trying to educate Chinese about
complexity of Hong Kong and vital issue of confidence there. Confidence linked to existing form of administration and systems. We do not think Chinese fully understand Hong Kong's complexities, and the basis for confidence, eg in the HK dollar.
5. Chinese propaganda has floated idea of Hong Kong as Special Administrative Region (SAR) under Chinese constitution. Propaganda campaign recently stepped up. eg Party General Secretary Hu Yaobang told Japanese reporters on 15 August that China would recover sovereignty over Hong Kong on 1 July 1997. Hu gave impression that we had already conceded on sovereignty. Not so, we remain flexible in our approach but we have conceded nothing.
6.
Most Hong Kong people highly sceptical of what they have heard of China's Hong Kong plan. Evidence suggests Chinese have not thought through most of detailed issues involved. They seem to
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