402
CONFIDENTI AL
Cypher/Cat A
ASH PEKING TO FOREIGN OFFICE
Telno 242 26 March, 1968
CONFIDENTI AL
Addressed to Foreign Office telegram No. 242 of 26 March, Repeated for information to Hong Kong.
My immediately preceding telegram:
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Sino-British Relations.
The Chinese insistence in this interview and in that with Ts'ui on 22 March (my telegram No. 232) on the need for an early reply to the Vice-Minister for Foreign Affairs' Statement is interesting. On the whole I would regard this as a hopeful sign indicating a wish to settle outstanding problems with us though of course on terms acceptable to them. They might well have simply restated their demands on Hong Kong and left us to stew. This impression of a wish to push on towards a settlement was borne out by tone of both interviews.
2. It would also seem that the Chinese are not content to let discussion be conducted solely via informal channels referred to TS in Hong Kong telegram No. 331. They seem to want to have some
exchange of views on two levels. I would not see any great danger to us and possibly some advantage in falling in with them on this issue.
3. It is also just possible that the Chinese would consider a reply to Lo's statement as an adequate reply to their demands providing some kind of formal bow was made in this direction. any event it is in our interest to give a reply which if nothing else would probably help to smoke out the Chinese position.
In
40 On reflection it would seem better for us to attempt as first. priority a reply to the Ministry of Foreign Affairs in what could be a confidential communication rather than a statement in Hong Kong or in Parliament as suggested in paragraph 6 of my telegram
(349) No. 179. My immediately following telegram contains a tentative
draft of a possible reply which might be best delivered as an oral statement by me to Ministry in Peking. The object would be to acknowledge Lo's statement, show willingness to bring Hong Kong into the discussions and make some gestures in direction of Chinese demand without conceding anything on the essential Hong Kong issues.
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