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TEU

ET MON

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10 DOWNING STREET

Christopher Hum Esq

Hong Kong Department

Foreign & Commonwealth Office LONDON

SW1

Secas Christopher.

1.

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175/3. 39

F. Whenker Erg.

Poe Div. DTP.

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2

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717

Dotat

3 July 1987

3/2 PA

HONG KONG

WESTERN HARBOUR AND LANTAU STRATEGIC DEVELOPMENT PROJECT

Mr Stewart Elliott, Managing Director of Hopewell Holdings, came to see me this afternoon. Mr Wybrew of the Policy Unit was also present. Gordon Wu is in America.

Mr Elliott made a short presentation of his scheme, which would incorporate a new motorway from the border to Hong Kong island, a new two run-way international airport, new deep water berths and port facilities, more land for industry and housing and environmental improvements to the Inner Harbour and in Kowloon. Basic infrastructure work would cost £2 billion and construction would take about 5

years.

The response of the Hong Kong business community had been very positive. Wu had been inundated with requests for participation.

Mr Elliott presented his plan persuasively, stressing, as might be expected, the opportunities for British companies, the environmental and logistic gains for Hong Kong and the need for early decisions if full benefit for British exports and for the image of confidence in Hong Kong was to be achieved.

He said Wu had spoken to Xu Jiatong, who had expressed strong support and said the project was better than the scheme the Chinese themselves had in mind. But it was a matter for the Hong Kong Government.

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