CONFIDENTIAL

TOP COP Q DIST?

40

046044

MDLIAN 8759

CONFIDENTIAL

FM WASHINGTON

TO PRIORITY FCO

TELNO 1576

OF 13221OZ JULY 92

AND TO PRIORITY HONG KONG, PEKING, ACTOR

39

YOUR TELNO 849

CHINA'S MEN STATUS: LEGCO DEBATE

SUMMARY

ре

per.

14/7

1. NO CONGRESSIONAL REACTION TO DATE. MAIN BATTLE OVER

PRESIDENTIAL VETO LIKELY TO COME IN LATTER PART OF SEPTEMBER.

DETAIL

2 =

THERE HAS NOT YET BEEN ANY CONGRESSIONAL REACTION TO THE LEGCO

DEBATE THAT WE HAVE PICKED UP, BUT THE SENATE IS IN RECESS. WE MAY

PICK SOMETHING UP ON 21 JULY WHEN THE HOUSE IS SCHEDULED TO VOTE ON BOTH XJ502 (THE JOINT RESOLUTION SEEKING TOTAL REVOCATION OF MEN

STATUS IN 1992) AND ON HR5318 (THE HOUSE BILL SEEKING

CONDITIONALITY ON MFN STATUS IN 1993).

3.

ONLY ONCE THE HOUSE HAS DISPOSED OF THESE TWO BILLS WOULD WE EXPECT MFN STATUS FOR CHINA TO BE TAKEN UP BY THE SENATE. A VOTE

ON XJ502 AND ON SENATOR MITCHELL'S NEAR CLONE OF HR5318 WILL COME IN AUGUST AT THE EARLIEST. IF SO, THE REAL BATTLE OVER THE PRESIDENT'S EXPECTED VETO OF BOTH BILLS WOULD LIKELY COME IN THE SECOND HALF OF SEPTEMBER. AS ON PREVIOUS OCCASIONS, THE MAJORITY IN SUPPORT OF BOTH BILLS IS LIKELY TO EXCEED TWO THIRDS IN THE HOUSE, BUT NOT IN THE SENATE.

TO BE SUSTAINED.

MARSDEN

THE PRESIDENT'S VETO IS THUS LIKELY

YYYY

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