CONFIDENTIAL

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Our reference

Date 17 October 1983

MKK040/5

RECEIVED IN REGISTRY

20 UCT 1983

DESK OFFICER

INDEX

PA

REGISTRY

Action Taken

HONG KONG

1. There has been a good deal in the Japanese press recently about Hong Kong, reflecting a series of visits to China by Japanese Dietmen and journalists. The Chinese do not, to me, appear to have said any- thing new on the subject to their various interlocuteurs; but you and other addressees may nevertheless like to have the enclosed selection of press cuttings together with a summarising minute by Alan Pinnell. We have, incidently, been briefed on the Ishibashi visit by Magosaki, Director of the MFA's Analysis Division; his account confirmed to the letter Hu Yaobang's comments on Hong Kong as recorded in Pinnell's minute.

2. Mr Hideo Den, leader of the Shaminren, also visited Peking recently and met with Hu Yaobang. Magosaki briefed me on the meeting. For some reason, he did not pass on Hu Yaobang's comment on "turbulence" in Taiwan, Hong Kong and Macao, as recorded in McLaren's teleletter of 13 October. According to Magosaki, Hu said that the Hong Kong and Taiwan issues were linked and that the Chinese position consisted of three points: first, that the return of Hong Kong and the unification of Taiwan would be realised. Both were parts of China and the Chinese had no other territorial ambitions. Second, neither Hong Kong nor Taiwan would be required to change their economic and political systems and China would guarantee that foreign economic interests in both would be protected. Third, the foreign relationships of both would not be damaged.

3. Finally, for good measure, I enclose a copy of a minute by Richard Jones recording a conversation on Hong Kong with an LDP Dietman, Mr Noda, another recent visitor to Peking.

cc Chancery, Peking

DPA, Hong Kong

CONFIDENTIAL

Yours

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N K Darroch First Secretary

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