CONFIDENTIAL
Taiwan also remains a major Chinese preoccupation.
Under the
"one country two systems" formula, the Chinese have offered even greater autonomy than for Hong Kong. In a new departure, and a sign of Hu Yaobang's close personal interest, he recently told a US academic that the Taiwanese government was a legitimate government. The Taiwanese have consistently maintained that China's offers are
However, insincere and until recently refused all official contact. following the defection to the mainland of a Taiwanese pilot, the Taiwanese airline agreed to negotiate in Hong Kong the return of the aircraft and crew. This has now taken place, also in Hong Kong.