supplier of defence equipment.
offers the strongest competition.
Within the Community the FRG
It
16. The number of countries willing to provide bilateral
aid to China in various forms has risen significantly.
involves some of our main competitors including Japan,
Belgium, Denmark, Canada, Australia and Italy. prepared to offer China commensurate aid terms from the UK aid programme and has granted, and the Chinese
The UK is
have allocated, development loans to the value of £300
million, equal to £90 million over 20 years.
17.
The Soviet Union has sought to improve Sino-Soviet commercial and economic relations, and has achieved some
success over the past two years; she is now making efforts to extend these links into the political and Party
sphere. Ocher East European countries, which are not affected by the Soviet Union's 'three obstacles' have had
more success in increasing trade and normalising Party
relations with China. Third world countries, particularly
the most backward economically and the more "progressive" politically, as well as liberation movements, continue to seek Chinese economic, military and political support.
China is most generous with the latter, and sells arms to
most prospective buyers.
PRÓAAJ
CONFIDENTIAL