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19A
8.
in EAST ASIA. Our recent surrender of extra-territorial
rights in CHINA, however well-advised on general principles,
will make it far easier than hitherto for hostile elements
in CHINA to attack our nationals by local pressure as there
will be no local physical defence. If the Chinese should
decide on a policy of anti-British incidents and pressure
whilst avoiding open hostilities, our people and our interests
in CHINA will be far more vulnerable than before. Should we
raise false hopes that we might be prepared to return
HONGKONG to CHINA such intensified pressure must be expected.
Excuses for its development will be easily found and the
Chinese are skilful enough to tie up their efforts with anti-
British foreign propaganda and pressure. HONGKONG could then
be made to appear to be a source of weakness and of endless
trouble for the Empire, a liability and not an Imperial asset.
If we decide to hold HONGKONG our decision must be founded on
a firm faith in our future and in the strength of our position.
It must not be founded on a snap decision, but on a firm
consensus of British responsible opinion throughout the Empire,
and which must be prepared beforehand. Otherwise strong
pressure may cause vacillation and infirmity of faith and
purpose. Who in the end would willingly defend, and if
necessary, fight and die for a Faith not firmly held? The
crisis might moreover come when the inevitable post-war
reaction has brought weariness and disillusion.
1
What then is the case for holding on to HONGKONG?
If a short term policy is adopted there is much to be said in
-favour of giving up HONG KONG in exchange for whatever advantages
we could obtain from CHINA in return, trusting for the Future in
Chinese goodwill, good faith and gratitude and also in the
stability of the Kuomintang Government with which we treat.
But the British Empire, certain of its Destiny, muust take long
views. We have more hope of stability as an Empire than the
present Kuomintang Government of Free China. Will that
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