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28 January 1993

The Rt. Hon. Lord Shawcross G.B.E, Q.C. 60 VICTORIA EMBANKMENT

LONDON EC4Y OJP

071-325 5133

The Baroness Chalker of Wallasey

Minister of State!

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Foreign & CommonwealthCEFfide REGISTRY

London SW1A 2AH

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Ian Lady Chalke:

Thank you very much for your letter of 25 January. It was kind of you to write.

Looking back on it all with wisdom after the event the basic error in the whole matter seems to me to be that the Governor's proposals were not first canvassed in Beijing through the usual diplomatic channels but were put out with a tremendous flourish of trumpets as the concluded proposals of the British Government. We ought to have realised and it is quite clear that our officials did how very sensitive the Chinese are on matters of this kind. I realise, of course, that the Secretary ot State did hand a print of the Governor's speech to the Chinese Foreign Secretary during the meeting of the UN Assembly a few days before it was made, but without comment or asking for any response before the speech was made for which indeed there would hardly have been time.

My anxiety now is that we should make some conciliatory approach at a high level to Beijing even at the expense of some face. If we do not do so, all the Secretary of State's brave words in 1990 about re-establishing mutual trust will count for little.

As a postscript I should perhaps tell you that although I had previously been a regular visitor to China and to their embassy here, I gave up all contact after Tiananmen Square. I have, however, agreed to dine privately with the Chinese Ambassador together with Eric Roll on February 22 and no doubt discussion will centre on Hong Kong.

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