3.

Let me say at the outset that we entirely agree

that the first step must be the acceptance by United Kingdom

Ministers of political assumptions for planning purposes.

Indeed it is the intention of the U.K. Preparatory Working

Party to submit proposals to U.K. Ministers on the

political objectives to be pursued in discussion with

the Americans. These political objectives will in

effect constitute planning assumptions on which we will

be seeking American concurrence. We agree also that

ideally the acceptance by the U.S. Government of these

assumptions should be obtained before we embark (or

re-embark) on detailed joint planning on the defence of

Hong Kong; and that such planning must take place in

the Far East. But neither the Foreign Office nor

ourselves think that we will succeed in securing that

acceptance without there being a fairly frank and full

discussion in the Anglo/U.S. Working Group of our

position in Hong Kong and an indication of what we

ourselves are doing on both the subversive and the

military fronts to keep our end up. It must be remembered

that our main objective will, if accepted, represent a

considerable step for the United States to take. They

are unlikely to take it without a good deal of encouragement.

They may even be unwilling to take it without knowing

in advance what joint military plans could be made and

what the timing and cost, etc., will be. We hope that

they won't want to go into great detail at this stage and

that they would, at the most, be satisfied with an outline

plan or concept of defence on the basis of which they would

be prepared to consider acceptance of the political

commitments involved in our assumptions.

If that stage

is reached detailed planning can be transferred to the Far

East.

But 189 do feel that at the least the U.S. Government

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