Mr. Paul, HKD

N Bevan Esq

AUS (C)

Ministry of Defence

Main Building

Whitehall

LONDON SW1

CONFIDENTIAL

Foreign & Commonwealth

Office

File: Hki)

нив 063/1

4KB

25 JUN 1991

London SW1 2AH

21 June 1991

Mr Gox m Ms

Voglinge 24/6

PA

Dear Nicholas,

HONG KONG GARRISON: WITHDRAWAL OF FIRST BATTALION

1.

As you will know, in implementation of the Hong Kong Garrison withdrawal plan, the current intention is that a battalion will be withdrawn with effect from autumn 1992. I understand that the MOD intend to make a public announcement of this in mid to late July this year and that this will be timed to coincide with announcements on the future of the Gurkhas.

2.

Although I am not aware that any firm date has yet been picked, I believe that you think we should inform the Chinese of the withdrawal of the battalion not more than one week ahead of a domestic announcement. In the present state of relations with China, however, I feel that it is essential that we give the Chinese Government as much notice as possible.

3. We face, as you may know, great difficulties with the Chinese over Hong Kong's new airport. The Chinese are seeking unrealistic commitments on Hong Kong's finances and a much greater say in Hong Kong matters straddling 1997. We have told the Chinese that we are willing to intensify co-operation to bring about a smooth transition in 1997. Ministers have said publicly and privately that we will consult them and, wherever possible, take account of their views. A failure to give the Chinese sufficient warning over the withdrawal of the first battalion could damagingly undermine the credibility of this commitment. It could thus provide another irritant to a difficult relationship.

CONFIDENTIAL

/4.

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