CONFIDENTIAL
144034
MDTTAN 2573
WAS WILLING PREPARED TO ORGANISE A PROGRAMME OF THEIR OWN FOR THESE
PEOPLE AND ASKED FOR UK ASSISTANCE IN PERSUADING THE VIETNAMESE TO AGREE TO THIS. WE SAID THE UK HAD REGULAR COMMUNICATION WITH VIETNAM OVER THE ODP AND MENTIONED THE RECENT SUCCESSFUL NEGOTIATION OF THE REPATRIATION OF 4 VIETNAMESE FISHERMEN. A JOINT ASEAN APPROACH TO THE VIETNAMESE HAD BEEN MOOTED DURING THE
SECRETARY OF STATE'S VISIT TO SE ASIA. THE HONG KONG GOVERNMENT HAD ALSO RAISED THE MATTER WITH THE ASEAN COUNTRIES.
HONG KONG DOLLAR/US DOLLAR LINK
9. I THANKED SIGUR FOR THE STATE DEPARTMENT'S SUPPORT ON THIS QUESTION WITH OTHER US DEPARTMENTS. I THEN PUT THE CASE FOR MAINTAINING THE HK/US DOLLAR LINK, STRESSING THE IMPORTANCE OF STABILITY FOR FUTURE CONFIDENCE. SIGUR SAID NO MORE THAN THAT HE UNDERSTOOD OUR POSITION.
TIBET
10. WE COMPARED NOTES ON VISITS BY THE DALAI LAMA TO THE UK AND THE US. SIGUR SAID THAT STAPLETON ROY'S CONCLUSION FROM HIS RECENT VISIT WAS THAT THE SITUATION IN TIBET WAS UNDER CONTROL
THOUGH IT WOULD REMAIN TENSE FOR SOME TIME TO COME.
LIKE US, THE AMERICANS WERE KEEPING UP PRESSURE ON THE CHINESE TO ALLOW ACCESS TO FOREIGN REPRESENTATIVES. THE FIRST CONGRESSIONAL DELEGATION HAD JUST BEEN THERE.
CHINESE ARMS SALES
11.
SIGUR SAID THE US WAS DEEPLY CONCERNED ABOUT CHINESE ARMS SALES TO THE MIDDLE EAST. SILKWORM SALES SEEMED TO BE UNDER CONTROL. THEY APPEARED TO HAVE BEEN A FOREIGN EXCHANGE EARNING SCHEME WHICH HAD SUBSEQUENTLY BEEN RATIONALISED AS A POLICY. THE CSS2 SALES TO SAUDI ARABIA ON THE OTHER HAND SEEMED TO HAVE BEEN A CONSCIOUS POLICY DECISION TAKEN AT THE TOP AND THIS MADE THEM THE MORE WORRYING. THE PROBLEM WAS HOW TO MAKE THE CHINESE
UNDERSTAND THE DANGER OF WHAT THEY WERE DOING. TO PRESS THEM AT GOVERNMENT LEVEL PUT THEIR BACKS
HE WONDERED WHETHER THEY
UP.
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