CONFIDENTIAL

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Chris.

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MDTTAN 0046

CONFIDENTIAL

FM FCO

TO TELELETTER HONG KONG

TELELETTER NFR

OF 070956Z APRIL 93

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14 2 2 1993

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JLG

AND TO TELELETTER BTC HONG KONG, JLG HONG KONG, PEKING

FROM CO HUM, AUSS

TO WILLIAM EHRMAN, POLITICAL ADVISER, HONG KONG

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M. Turke

And Band Jones

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COPIED TO: CHRIS OSBORNE ESQ, ATG SENIOR TRADE COMMISSIONER,

HONG KONG

TONY GALSWORTHY ESQ CMG, HEAD, UKREP JLG HONG KONG NIGEL COX ESQ, POLITICAL COUNSELLOR, BE PEKING

JARDINES AND THE IISS

1.

Please refer to your teleletter of 2 April to Peter Ricketts, about Chinese allegations that Jardines had orchestrated an anti-China meeting at the International Institute of Strategic Studies (IISS). I am replying since I know some of the background. I have also had a word (without revealing any sources) with Gerald Segal, whom I see from time to time.

2. There was no meeting which remotely fits the Chinese description. It is however clear that Peking has received a very garbled account of discussion at the recent Conference at Ditchley Park on Western relations with China. (You will have seen my minute of 22 March, summarising the proceedings.)

On

3. The sequence of events seems to have been as follows. 25 February the International Herald Tribune carried an article' by Segal entitled "The Group of Seven should be paying more attention to China". This article (which I am faxing to all addressees) advocated greater coordination in G7 policy towards China, with particular reference to Chinese policies on human rights, international security and trade practices. It concludes with the controversial proposal that the G7 should take advantage of China's growing regionalism and be prepared to play off one part of China against another.

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