TNAG-0032-FCO40-68-Relations-with-China-1968 — Page 9

back.

We would, moreover, have reached the end

of the road so far as being able to do anything

for Grey. As you have said, this is a gesture

we might be able to make once but not a second

time.

3.

In these circumstances Ministers consider

that we should seek to initiate secret discussions

with the Chinese, So as to make the maximum use

of Hsueh (while we hold him) and to take advantage

of the slightly improved atmosphere following

Hopson's release, they further consider that the

approach should be made quickly; and that we

should not be backward in offering to include Lo

in the exchange (for reasons advanced in

paragraph 6 of Peking telegram No. 765).

4. We therefore hope that you would see no

objection to putting forward as soon as possible

through the Cater channel a proposition on the

following lines :-

(1) Cater would say that in the improved

atmosphere that has followed the grant

of exit visas to our Mission it ought

to be possible to settle the question of

Grey which remains an irritant in our

relations.

(11) A possible solution, provided it could

be arranged quickly to take advantage

of the improved atmosphere (a point to

be emphasised in view of the slowness

/ of this .**

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