its own was a good reason for involving Japan in political

discussions in Europe. The Soviet Union did not yet fully appreciate the importance of Japan (for example they had just promoted their Ambassador from Japan to Peking). (Fujii)

Japan should be fully involved in the CSCE and not just as an observer. Perhaps it should have a place in the CSCE parliamentary structure. Much that UK and Japan can do together in Eastern Europe and also in Asia. UK needs Japanese help in Hong Kong; in India scope for working together.

Perhaps all

these things should be formalised in a forward-looking friendship treaty (Howell).

Need to find ways of helping the Soviet Union that do not amount to pouring money into the sand. In any case soon what would be needed was not martial aid but famine relief. Are the

Japanese right to insist on returning the islands. The key to progress in Eastern Europe has been that borders have remained fixed. If the Japanese insist on border changes developing good

relations with a bewildered Moscow will take much longer

(David Howell).

It was ridiculous to give more money to the Soviet Union when it

already owed half a billion dollars to Japan in trade debt. And why should taxpayers money be wasted on the Northern Territories

(Akimoto).

The European Community and NATO

3. I gave a quick summary of developments in Europe and the main

questions that remained unanswered, finishing up with a strong pitch

for the Community as a stable and predictable partner for Japan in

the long term (would the US maintain these qualities?) and the UK as

a committed and influential member of the Community. I emphasised

that the UK's common sense contribution, its record of action rather

than rhetoric and its contribution to ideas for the Community (the

Single Market and the hard ECU) were all of great importance.

We

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