TUESDAY, JANUARY 16, 1990

9

EMILY LAU (FAR EASTERN ECONOMIC REVIEW): FOREIGN SECRETARY, IN YOUR CONTACT WITH THE HONG KONG PEOPLE IN THE LAST FEW DAYS, DO YOU DETECT A LEVEL OF CYNICISM AND DISENCHANTMENT WITH THE BRITISH GOVERNMENT'S POLICY ON HONG KONG, AND THAT SOME PEOPLE FEEL THAT TO QUOTE YOUR OWN WORDS "THIS LAST MAIN CHAPTER OF THE STORY OF THE BRITISH EMPIRE MAY INDEED END IN A SHABBY AND EVEN DISHONOURABLE WAY"?

MR HURD: NO, I DON'T. I MEAN, I READ BEFORE I CAME THAT'S WHAT } WOULD FIND AND I HAVEN'T FOUND IT. I HAVE FOUND ANXIETIES EXPRESSED TO ME, AND STRONGLY EXPRESSED TO ME, BUT NOT IN AT ALL A CYNICAL VEIN. AND I'VE FOUND, AS I'VE TRIED TO EXPRESS IN WHAT I'VE SAID AT THE BEGINNING, HERE, A MUCH MORE EXCITING PROSPECT OF THE FUTURE FOR HONG KONG THAN 1'D REALISED WHEN I CAME HERE.

REASONABLE

STEVEN VINES (THE OBSERVER): MR HURD, GIVEN THE EVENTS OF JUNE, DO YOU THINK BRITAIN 18 NEGOTIATING WITH A LEADERSHIP IN PEKING?

PEOPLE'S

SOMEWHAT

ANALYSED

MR HURD: I THINK THAT OUR CONTACTS WITH THE REPUBLIC ABOUT CHINA HAVE BEEN DIFFICULT BECAUSE THEY FEEL DEFENSIVE AFTER THE EVENTS OF JUNE, FOR REASONS WHICH YOU'VE IN YOUR NEWSPAPER AND WHICH ARE PRETTY CLEAR. THEY ARE, AS A RESULT, MORE SUSPICIOUS THAN THEY WERE BEFORE. BUT EQUALLY, I BELIEVE THAT THERE IS A POWERFUL CHINESE INCENTIVE TO CONTINUE TO MAKE SENSE OF THE PHILOSOPHY, WHICH AFTER ALL THEY INVENTED AND WHICH THE CHINESE PRIME MINISTER REAFFIRMED ONLY YESTERDAY, OF TWO SYSTEMS IN ONE COUNTRY. BECAUSE IT IS ONLY UNDER THAT PHILOSOPHY, WITH HONG KONG AS A FREE AND VIGOROUS SAR WITHIN THE PEOPLE'S REPUBLIC, IT'S ONLY UNDER THAT PHILOSOPHY THAT THEY HAVE A CHANCE OF REALISING FOR CHINA THE KIND OF BENEFITS WHICH I WAS SKETCHING EARLIER.

PETER SEIDLITZ (HANDELSBLATT:: AS THE COUNTRY CLOSEST TO HONG KONG FROM THE EUROPEAN COUNTRIES, WHAT WOULD YOU ADVISE THE AMERICANS AND THE EUROPEANS TO DO NOW IN DEALINGS WITH CHINA? BUSINESS AS NORMAL? CREDIT AS NORMAL? SHOULD ONE DO LIKE BEFORE JUNE 4TH OR..?

MR HURD: NO. WE ARE BOUND BY THE AGREEMENTS REACHED IN EUROPE AMONG THE 12, ABOUT HIGH LEVEL CONTACTS WITH CHINA, AND WE ARE BOUND BY THE DIFFERENT ARRANGEMENTS WHICH WERE AGREED THEN AND THOSE REMAIN.

PETER SEIDLITZ: ARE YOU CRITICAL OF THE VISIT OF MR SCOWCROFT TO CHINA? OBVIOUSLY THIS BROKE THE AGREEMENT.

SIR

PERCY

MR HURD: NO. 1 AM NOT CRITICAL. OR OF THE VISITS OF CRADOCK OR THE GOVERNOR. THEY ARE NOT HIGH LEVEL MINISTERIAL VISITS.

PETER SEIDLITZ:

POLICY.

BUT THAT DOES NOT MAKE SENSE OF A COMMON IF YOU BREAK. INDIVIDUALLY, THIS POLICY?

MR HURD: NO, I WAS TRYING TO EXPLAIN THAT I WAS BROKEN.

DON'T

BELIEVE IT

/CHAN OI-LAI

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