CC SGD

SecLIC

CONFIDENTIAL

(e)

Similarly, there had been a row over "ROC" stamps

at an exhibition. He tended to take a robust

line with the Chinese Embassy on such matters. However, broadly US China relations were in

reasonable shape. (We have since seen Ambassador

Lord's speech). Textiles were currently off the

front burner. There was however a considerable

dispute over the exact scale of the trade

imbalance.

(£)

(g)

(h)

He would quite like to get Chen Yun to the US

(the comment seemed 50% serious). Views on Wang Zhen recorded separately.

*

He was interested in the stability of the banking

system in Hong Kong. Also in the future of Shenzhen (whose performance he did not rate very

highly).

He also enquired about overstayers from Chinese

delegations visiting Hong Kong and was surprised

to learn that this problem was minimal (I had

incidentally the same conversation with Mr Perle

of DOD earlier).

HKD,

FCO

FED, FCO

Chancery, PEKING, WASHINGTON

(JD I Boyd)

PA

$27.6.86

CONFIDENTIAL

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