Attriched

CONFIDENTIAL

Mflower Si Reg: Anter & done 1F011

Afr

copy W. Wather, RD Foreign and Commonwealth Office

of Thanson, FED

винтам

Noted

wfi

Sir Oliver Wright GCMG GCVO DSC WASHINGTON

Fear Olivit

AMERICAN VIEWS ON HONG KONG

1.

248

London SW1A 2AH

21 January 1983

HKK040 15.

POCK

24 JAN1983

OFFIC

3. Ap2:12

In my letter of 23 December 1982 I promised to comment on the Panama Canal precedent.

HKR040/1

(694 1982

2. As I suspected, the Department did look into this in some detail back in 1981. In spite of the many obvious dissimilarities between the Panama Canal Zone and Hong Kong, there are certainly some aspects of the Canal Treaty (eg the articles dealing with flags and policing, and legal arrangements during the transition period) which are worth studying for their possible relevance to Hong Kong. Precisely how relevant they may be will depend on how our talks with the Chinese progress during the months to come. Flags could well come up at an early stage and could be important (as symbols often are!), but I cannot help thinking that if we can get over the main sovereignty/ administration hurdle then most other issues will sort themselves out without too much difficulty.

3.

At any rate, I am grateful to Linowitz for his interest. We will keep the Panama Canal at the back of our minds. The enclosed note from the Research Department may be of interest.

4. As for your point about a possible role for Linowitz, by all means ask him if he expects to have any contact with senior Chinese in the near future. We may not always make use of such offers and openings it depends very much on the state of things

but, as you know, we are always glad to be tipped off in advance as, of course, are Percy Cradock and the Governor.

at the time

-

-

cc: Sir E Youde GCMG MBE, Hong Kong

Sir P Cradock, KCMG, Peking

ever,

Yours

Alaw

A E Donald

19

CONFIDENTIAL

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