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PMVA (83) 11(b)

12 September 1983

- COPY NO 9

PRIME MINISTER'S VISIT TO CANADA AND THE UNITED STATES

25-30 SEPTEMBER 1983

FUTURE OF HONG KONG

Brief by Foreign and Commonwealth Office

UK Objective

To take the Canadians, at a high level, into our confidence on the general position in our talks with the Chinese on the future of

Hong Kong.

Points to Make

(a) With Mr Trudeau

1.

(i)

Appreciate your interest in this sensitive subject. Helpful to give you, on confidential basis, resumé of

talks to date.

(ii)

Talks through diplomatic channels agreed last September, with common aim of maintaining Hong Kong's stability and prosperity.

(iii)

(iv)

Progress initially slow because Chinese insisted we firs recognise their sovereignty over whole of Hong Kong. Matters greatly improved by exchange of letters between me and Premier Zhao in March/April.

I explained sovereignty not in my gift. Parliament alon could decide. I stressed need for finding workable

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