JH2ADL
THIS IS A COPY
THE ORIGINAL HAS BEEN CLOSED FOR
40 YEARS UNDER FOI EXEMPTION No.
27........
SIR P CRADOCK'S VISIT TO WASHINGTON DC: HONG KONG
Future of Hong Kong
1.
Kong.
Coming 12 years will be a trying time for Hong
HMG will have to perform delicate political
balancing act. Need the cooperation of the Chinese, but
must also be seen in Hong Kong as prepared to stand up for
Hong Kong's interests.
2.
period.
Will need full support of our allies during this
Particularly the Americans. In quibbles about
commercial and other aspects must not forget larger
political
Aware of importance we believe
picture.
Americans attach to continuing prosperity and stability of
Hong Kong.
Hong Kong Economy and Trade
3.
in
Has proved buoyant and confident in aftermath of
Agreement. Stock Market index recently at a four year high. However, Hong Kong's economic viability remains dependent on trade, and US is Hong Kong's largest market.
Protectionist moves
US
are already affecting
confidence in Hong Kong, which, unlike other trading partners against whom US measures may be aimed, does not
impose any restrictions on US goods. A local slump brought on by cutbacks in Hong Kong's largest market
would represent a real threat to Hong Kong's prosperity
and stability, and thus
and thus to implementation of Agreement.
Joint Liaison Group
4.
First meeting of the Joint Liaison Group London, 22-25 July. Next meeting Peking, 26-29 November. British
delegation led by Dr Wilson. Includes 2 members of Hong
Kong Government
1