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3. Because they regard the Colony as Chinese territory to be recovered,
the C.P.G. have dropped strong informal hints from time to time that any
advancement of Hong Kong along normal colonial lines towards self-government
and independence could not be tolerated. Moreover, the C.P.G. have let it
be known that they would deprecate discussion of Hong Kong in the U.N.
Committee of 24 and have reacted to Russian taunts that China tolerates
colonies on its doorstep by making it clear that they regard the recovery
of Hong Kong and Macao as a matter for the Chinese Government alone.
4. Until 1959 relations between Hong Kong and the C.P.G. were very
difficult, the latter taking every conceivable opportunity to make
representations, protests etc. Since then relations have greatly eased
This change of and the C.P.G. has in fact been most helpful on occasions.
attitude could be due to a combination of factors including pre-occupation
with their domestic and economic difficulties, the growing breach with
Russia and the increasing value of foreign exchange earnings through
the Colony.
5. Hong Kong's policy towards China is one of "firmness without
provocation; in particular the colony is careful not to cause offence, e.g. by avoiding official contacts with the Nationalist regime in Formosa, and by ensuring, as far as possible, the latter does not use
Hong Kong as a base for its sabotage and intelligence activities against
the mainland.
6. The major current issues in Hong Kong's relations with China are
listed below.
The Use of Hong Kong by American Military Forces
7. On 1st September 1965 and 1st February 1966 the Chinese Government
delivered strong protests to our Charge d'Affaires in Peking alleging that
Hong Kong was being used by American forces as a base for aggression
against North Vietnam. The protest supported this contention by listing a
number of American activities including visits to Hong Kong by American
warships, planes and military personnel (in between combat operations), replenishment of supplies, refuelling and the maintenance and repair of
aircraft. We replied in firm but non-polemical terms, denying that
Hong Kong is being used as a U.S. military base,
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