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the heart of Europe and so our continuing suitability as a location for Japanese inward investment.

(v) To carry our commercial message to the Japanese, ie the

importance of the success of the Priority Japan campaign, the

promotion of the purchase of "big-ticket" items by the Japanese,

continued market opening, focusing on structural reform,

liberalisation of the financial services sector and open

purchasing by the Japanese public sector. To give support to the British business community in Japan. The objectives will be

particularly important now that Mr Heseltine has apparently

decided not to visit Japan during the Whitsun recess as

previously planned.

3.

Korea

(i) To establish early contact with leading figures in the new

administration of President Kim Young-sam, whose inauguration

takes place on 25 February.

(ii) To update himself on developments in South Korea on

North/South relations and prospects for reunification of the

peninsula, and Korean perceptions of the Asia-Pacific.

(iii) To help maintain an enhanced perception of Britain as an

important international player, including in the EC, helping to

maintain momentum brought about by the visit of TRH The Prince

and Princess of Wales to Korea last November.

(iv) To blaze a trail for the group of British businessmen, MPs

and others who will be in Korea for the first meeting of the

UK-Korea Forum for the Future in Seoul 22-24 April. (On the

lines of the UK-Japan 2000 Group.) To give support to British

CONFIDENTIAL

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