TNAG-0053-FCO40-89-Communist-activities-in-schools-1968 — Page 27

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CONFIDENTIAL

Present Confrontation Policy:

8. It is relevant to consider our policy at

this present stage of communist confrontation.

Our objective is a return to normal working

relations with China over Hong Kong if that

can be achieved. On the Chinese side this

postulates acceptance of our position and

authority in the Colony. On our side it means

that we continue (as we have done since 1949)

to accommodate ourselves to Chinese

susceptibilities wherever possible provided

always that we stop short of concessions the

effect of which would be to undermine our

authority in the Colony, and to avoid

unnecessarily provocative action while reacting

firmly to any Chinese pressures intended to

create a situation in Hong Kong similar to that

which now obtains in Macao. That we have

already gone a very considerable way to meeting

Chinese susceptibilities is shown by the Annex

to this submission which lists the concessions

made by H.M. Government, by the Hong Kong

Government and by the Chinese Peoples

Government respectively, since the start of

confrontation in May 1967. There is no clear

evidence that China is interested in placing

relations with Britain over Hong Kong or other

issues, on a basis which we would regard as

normal. Their present aim in Hong Kong appears

to remain one of achieving a position of

domination by exploiting the activities of

their local supporters. On present indications

their price for a return to "normality" in

CONFIDENTIAL

/Sino-British