Stationing of the PLA

Fully accept China's sovereign right to station troops in Hong

Kong after 1997 for purpose of defence.

But we have, we think quite rightly, urged Chinese Government to

take Hong Kong sensitivities into account in their handling of this

issue.

Relations with China over Hong Kong

- No desire to pick quarrels with China. Have made clear we would

prefer to discuss and settle differences through discussion.

Encouraged by progress at recent JLG meeting. Shows what can be

achieved through return to more cooperative relations.

But prime responsibility must be to people of Hong Kong. We have

obligation under Joint Declaration to maintain stability and prosperity in remaining years of British administration.

Chinese have obligation to cooperate with us in this connection.

They must accept responsibility for consequences for Hong Kong

confidence of their words and deeds.

Goddess of Democracy

HKG's decision not to allow ship to enter Hong Kong shows realism

vis-à-vis China. In keeping with long standing policy of not

allowing Hong Kong to be used as a battlefield for other people's

political battles.

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