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1.7

SECRET

Dobeles Diven wests tople

& mould discur

Sir P Cradock

radock

FROM:

D C Wilson

DATE:

23/0

cc:

235

15 March 1984 MKKodell

Mrclift

Mr Thomson MAR 1984

Mr Burrows

INDEX

FUTURE OF HONG KONG: LUNCH AT THE CHINESE EMBASSY

1. I was invited to lunch today by the Political Counsellor

of the Chinese Embassy, Mr Zheng Yaowen.

by Mr Chen Ziying.

• TRY

Taken

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He was accompanied

see

(248)

2. When the subject of the Hong Kong negotiations came up,

I said that the discussions seemed to have been going reason-

ably well. However, I was greatly concerned about recent

developments. We had put forward our ideas on the timetable

for an agreement. This was a major effort by Ministers to

fit in with the Chinese view on timing. We envisaged reaching

agreement by September on a draft which, following publication

and a period for reflection and comment, would then be debated

in Parliament. This would enable us to sign an agreement by the end of the year. It was a matter for great regret and

surprise that Zhou Nan had reacted unfavourably to these ideas.

It was hard to see why. We had a common objective of reaching

agreement as soon as possible. Our proposals met this

objective and fitted in with the essentials of the Chinese

timetable. An agreement by the end of the year would be a

major achievement. The opportunity should not be missed.

3.

Mr Zheng said he was not aware of these latest developments

(he later said that the Embassy had not been informed either of

our proposal for a visit to Peking by the Secretary of State). He asked whether it would not be possible to reach an agreement

earlier. I said it might theoretically be possible to reach

agreement on a draft before September. But it seemed most

unlikely that there would be sufficient time to publish this

and have it considered by Parliament before the summer recess. It was important not to give the impression that people were being rushed. Parliament would wish to know how people in

Hong Kong had reacted. I hoped that the Embassy were making clear to Peking the importance of these parliamentary

considerations.

SECRET

/4.

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