SECRET
2000
GOVERNMENT, TALKS COULD NOW PROGRESS IN A BETTER FASHION.
4. I SAID TO SATOH THAT I HOPED HIS GOVERNMENT WOULD NOT ASSUME
THAT WHAT THE CHINESE SAID, EITHER THROUGH THEIR LEADERS IN PRIVATE CONVERSATIONS OR THROUGH THEIR OVERT PROPAGANDA NECESSARILY REPRES- ENTED AN ACCURATE OR COMPLETE PICTURE OF THE TALKS.THE CHINESE WERE OBVIOUSLY INTERESTED IN APPLYING PRESSURE AND GETTING SYMPATHY FOR
THEIR OWN VERSION OF THINGS. THE FACT WAS THAT WE WERE EXAMINING POINTS PUT FORWARD BY THE CHINESE SIDE JUST AS THE CHINESE WERE
STUDYING POINTS PUT FORWARD BY US. WE HAD MADE USE OF DOCUMENTS TO EXPLAIN HOW HONG KONG WORKED AS PART OF THE EDUCATION PROCESS. BUT THESE DISCUSSIONS WERE WITHOUT PREJUDICE TO EITHER SIDE'S
POSITION AND WE HAD GIVEN NOTHING AWAY.
5. SATOH SAID THAT HE DID NOT THINK HIS GOVERNMENT WOULD WANT THEMSELVES TO RAISE THE MATTER WITH HU YAOBANG, BUT HE WAS GRATE- FUL FOR THE WARNING WHICH HE WOULD PASS ON TO THE APPROPRIATE QUARTER. HE READILY ACKNOWLEDGED THAT IT WOULD BE A LIKELY
I CHINESE TACTIC TO DISTORT THE SITUATION IN THEIR OWN FAVOUR. ASKED SATOH TO MAKE SURE THAT CONFIDENTIALITY WAS PRESERVED AND ALSO SAID WE WOULD MUCH APPRECIATE AN ACCOUNT OF ANYTHING HU MIGHT SAY ON THE SUBJECT OF HONG KONG TO HIS JAPANESE HOSTS.
6.
YOU MAY WISH TO FOLLOW THIS UP AT A SUITABLY DISCREET LEVEL WITH THE GAIMUSHO. IN DOING SO YOU MAY WISH TO DRAW ON OUR GUIDANCE TELNO 153. IF THE JAPANESE ASK ABOUT ANY FURTHER POINTS TO MAKE TO THE CHINESE, YOU COULD ENCOURAGE THEM TO STRESS THE IMPORTANCE OF SUSTAINING BUSINESS CONFIDENCE IN HONG KONG, WHERE INTERNATIONAL INVESTMENT HAS BEEN SO OUTSTANDINGLY SUCCESSFUL, IN AN ESTABLISHED CLIMATE OF FREE ENTERPRISE.
HOWE
FUTURE OF HONG KONG
LIMITED
3D/KD
ED/FED
ED/PLANNING STAFF
ED/PUSD
D/HD/PUSD(MR FLOWER)
RESEARCH DEPT(MR WALKER)
LEGAL ADVISER (SIR IAN SINCLAIR)
PS
PS/LADY YOUNG
PS/AR LUCE
PS/PUS
SIR J BULLARD
MR GIFFARD
MR DONALD MR WRIGHT
COPIES TO: (VIA DISTR. ROOM)
SIR PHILIP MOORE BUCKINGHAM PALACE
PS/LORD PRESIDENT OF THE COUNCIL
PS/HOME SECRETARY
PS/CHANCELLOR OF THE EXCHEQUER
PS/LORD PRIVY SEAL
PS/SECRETARY FOR TRADE AND
INDUSTRY
COPIES TO: (VIA ADR)
MR ROBERTS
NEWS DEPT
MR BURROWS LEGAL ADVISERS
MR COLES NO 10 DOWNING ST
SIR A PARSONS
ม
MR MARTIN
ASSESSMENT STAFF
SECRET
CABINET OFFICE MR GOODALL CABINET OFFICE MR BRENNAN
PS/S OF S FOR DEFENCE PS/ATTORNEY GENERAL
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