163344

MDHIAN 2571

HONG KONG LAW.

8. HU UNDERTOOK TO REPORT COATES' COMMENTS. THE CHINESE SIDE PLACED GREAT STRESS ON STABILITY IN HONG KONG AND HE ASKED THE BRITISH SIDE TO LOOK CAREFULLY AT WHAT HE HAD SAID. THE CHINESE SIDE ALSO ATTACHED GREAT IMPORTANCE TO THE GRADUALLY IMPROVING RELATIONS BETWEEN THE UK AND CHINA, AND HONG KONG AND THE MAINLAND. HU BELIEVED THAT THE BRITISH SIDE WERE IN A POSITION TO PREVENT FUTURE EVENTS THAT MIGHT DAMAGE THESE RELATIONS AND HOPED THAT

THEY WOULD. IT WOULD BE HELPFUL IF THE BRITISH SIDE COULD AT LEAST MINIMIZE THESE ACTIVITIES. AS LONG AS THE ALLIANCE'S ACTIVITIES CONTINUED, THEN SUBVERSION WOULD HAVE TO RECUR AS AN

ITEM ON THE JLG AGENDA. HU HOPED THAT THIS COULD BE AVOIDED SO

THAT THE JLG COULD GET ON WITH MORE CONSTRUCTIVE WORK.

COMMENT.

9. HU READ HIS FIRST STATEMENT FROM A PREPARED SPEAKING NOTE. THROUGHOUT THE MEETING THE ATMOSPHERE WAS FRIENDLY AND HU GAVE THE IMPRESSION OF GOING THROUGH THE MOTIONS. HU'S PERSONAL COMMENTS AT THE END, IN PARTICULAR HIS REQUEST THAT WE AT LEAST MINIMIZE THE ACTIVITIES OF THE ALLIANCE, MAY REFLECT A MORE REALISTIC APPRAISAL AT OFFICIAL LEVEL OF WHAT WE CAN AND CANNOT DO.

10. COATES TOOK THE OPPORTUNITY OF THE CALL TO RAISE THE 3 MAY INCIDENT IN HONG KONG WATERS. HU SAID THAT HOARE'S APPROACH TO CHENG RUCYU ON 26 MAY (HY TELNO 790) WAS BEING STUDIED AND THAT HE HOPED THE PROBLEM COULD BE SOLVED SOON THROUGH BORDER LIAISON CHANNELS, BUT DECLINED TO BE DRAWN FURTHER.

DONALD

riskt

تنهام

YYYY

MAIN

.HK AGREEMENT

LIMITED

HKD

HD/FED

HD/PLANNERS

70

DISTRIBUTION

30

PAGE

PS/MR MAUDE

PS/LORD BRASAZON

PS/PUS

MR P J WESTON MR MCLAREN

3

CONFIDENTIAL

Share This Page