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02,APR 1991

CONFIDENTIAL

15

HKB 340 / 1

FROM: A R PAUL

PS/Lord Caithness

ан

/22/44

Hong Kong Department

DATE: 28 March 1991

cc: Sir J Coles

Mr Burns ofr

to meet Grahan Bright 1.

happy to

ANGLO/HONG KONG TRUST LUNCH

1.

син

discuss this & othe issues. As arrange /1⁄2 hu slob.

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Lands.

Lord Caithness might appreciate a brief comment on the

four points raised at the lunch, recorded in Mr Bright's wtached minute of 13 March.

2. Point 1: the need for a positive signal of the UK's

permanent interest in Hong Kong. This can best be provided by an early announcement of our intention to construct a

suitably prestigious Consulate-General building. As the Minister is aware, this is in hand, but we have the Chinese

obstacle to surmount.

3.

Point 2: China's MFN status: We lobbied the US

Administration intensively last year, pointing out the damage that China's loss of MFN status would do to Hong

Kong. We are ready to do so again this year, and the Prime

Minister has already had a word with President Bush (see my

separate submission on this subject).

4. Point 3: the importance of Hong Kong as a stepping stone

for South China. We recognise this. As a mark of the importance we attach to South China, we have recently

upgraded the head of the China Trade Unit, based in the

British Trade Commission in Hong Kong. He is Counsellor rank and has extensive experience of Hong Kong. He should be well-placed to develop awareness in the UK of the

potential of South China and Hong Kong's role in this.

5.

Point 4: a politician rather than a diplomat should be

WADAAG/1

CONFIDENTIAL

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