CO129-521-13 Chinese Customs- proposed agreement with Hong Kong 27-8-1930 - 16-10-1930 — Page 355

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British flag would be contrary to the policy of His

Majesty's Government.

5. The fourth question relates to the policy to be

pursued in order to ensure that Hongkong and the leased

territories shall be retained permanently as one in-

divisible unit under the British flag.

You are doubtless

aware that the Hongkong view is that if the leased terri-

tories are surrendered the Colony would become untenable.

His Majesty's Government must however honour their bond

and they must also consider what course will be open to

them in face of a Nationalist agitation for the early

return of the leased territories. If China learned the

great value to her of a footing in Hongkong would not that

be a lever to secure her consent to our retaining a

footing in the leased territories? Is there any other

way of obtaining China's consent to our retaining some

degree of British control over the leased territories on

the expiry of the lease, or of parrying danger referred

to in paragraph 27 The c

connexion between this

problem and the policy that should be pursued in regard

to the proposed Customs Agreement is self-evident.

may appear to be a problem concerning primarily the

Colonial Administration but it is in fact one of the major

problems of our foreign policy in China and I should be

glad to receive your considered views on the subject.

It