LETTER
DSR 11 (Revised)
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Lord Belstead
DEPARTMENT:
Minister for Trade
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SUBJECT:
GUANGDONG NUCLEAR POWER PROJECT
1.
Kenneth Baker kindly copied to me his letter to
you of 9 August on the question of Overseas Project
Fund support for GEC's anticipated pre-contractual
costs in pursuit of the contract for the conventional
island of this project.
2.
As Francis Pym said in his letter of 28 July to
the Prime Minister, the successful conclusion by
British companies of major contracts in connection with
this project would have benefits for the long-term
relations between the United Kingdom and the People's
Republic of China, and more particularly between China
and Hong Kong at a time when the territory's future
is coming under close scrutiny. The non-proliferation
concerns Francis Pym mentioned are strongest as regards
BNFL or NNC involvement and are less strong when
considering GEC's supply of the conventional island.
3.
We attach importance to adding substance to our
bilateral relationship with China. We have certain
/important