RESTRICTED
402
MDHIAN 1063
CLEARLY ITS OPPOSITION TO THE MCCONNELL BILL AND TRY TO PREVENT ITS ADOPTION, RATHER THAN REMAINING SILENT. THE CHINESE REGARDED THIS AS A SERIOUS MATTER THAT COULD DISRUPT SINO/UK COOPERATION ON HONG KONG. THEY HOPED HMG WOULD SERIOUSLY CONSIDER THE CHINESE VIEW AND TAKE THE APPROPRIATE ACTION TO SAFEGUARD THE COMMON INTERESTS OF BOTH SIDES.
5.
ZHAO DESCRIBED THE EUROPEAN PARLIAMENT DRAFT RESOLUTION AS SIMILAR IN INTENT TO THE MCCONNELL BILL. IT WAS AN INTERFERENCE IN HONG KONG AFFAIRS AND AN ATTEMPT TO INTERNATIONALIZE THE ISSUE. THE CHINESE HOPED HMG WOULD CLEARLY OPPOSE THIS RESOLUTION TOO.
6. I UNDERTOOK TO REPORT ZHAO'S REMARKS. EMPHASIZING THAT I HAD NO INSTRUCTIONS I MADE THE FOLLOWING POINTS ON A PERSONAL BASIS:
-
THE MCCONNELL BILL WAS A MATTER FOR THE US CONGRESS. AS THE GOVERNOR HAD TOLD ZHOU NAN CHONG KONG TELNO 1035) IT HAD NOT BEEN STIMULTATED OR ENCOURAGED BY HMG.
G
THE FACT THAT THE BILL HAD BEEN PUT FORWARD REFLECTED THE STRONG US INTEREST IN HONG KONG AND IN THE SUCCESS OF THE JD. THE US WAS THE LARGEST FOREIGN INVESTOR IN HONG KONG.
AS THE MFA WOULD BE AWARE, THE RECENT COMMITTEE DISCUSSIONS ON THE BILL HAD DEMONSTRATED LACK OF SUPPORT FOR SOME OF ITS PROVISIONS IN THEIR PRESENT FORM, IN PARTICULAR THE REPORTING REQUIREMENT.
-
WE DID NOT AGREE WITH EVERYTHING IN THE BILL. BUT AN INTERVENTION OF THE KIND THE CHINESE WERE SUGGESTING WOULD NOT NECESSARILY HAVE A HELPFUL EFFECT ON CONGRESSIONAL OPINION. WE NEEDED TO BEAR IN MIND THE STRENGTH OF FEELING IN CONGRESS ABOUT ASPECTS OF THE PRESIDENT'S CHINA POLICY, IN PARTICULAR THE MAINTENANCE OF MEN STATUS. WE DID NOT WANT TO DO ANYTHING WHICH MIGHT COMPLICATE THE RENEWAL OF MFN.
?
7. I NOTED THAT THE EUROPEAN PARLIAMENT DRAFT RESOLUTION HAD ALREADY BEEN RAISED WITH LORD CAITHNESS BY AMBASSADOR MA. LORD CAITHNESS HAD SAID THAT THIS WAS A PRIVATE INITIATIVE BY A LABOUR MEP WHICH DID NOT REFLECT HMG'S OR COMMUNITY POLICY AND WOULD NOT LEAD TO ANY ACTION. IF THE RESOLUTION WERE PASSED, IT WAS POSSIBLE THAT THE PRESIDENT WOULD DRAW IT TO THE ATTENTION OF
2
PAGE RESTRICTED