TNAG-0123-FCO40-159-Future-of-Hong-Kong-1971 — Page 114

HR.

MR. J. THOMS ON

TOP SECRET

22/E

i

Para 1.

Assume: cove not required to Livabilit. We have bounded for

ondrial.com the

The Cole

HONG KONG

You invited my comments on OFDO(DR)(69) 1, the revised version of

the FCO's draft long term study on Hong Kong.

I have the following comments on comparatively minor points

(a) Para, 4, 4th sentence states as a disadvantage of our presence in Hong Kong its effect on our relations with China. This is

surely a case of cart before horse. The problem of Hong Kong

is itself the chief reason why maintenance of relations with

China is at present desirable. Apart from political reporting

on China, negotiation over Hong Kong has become the only major

effective function of our Peking Mission: no effective consular

work can be performed, and countries without representation there (e.g. Japan and West Germany) do better commercially than we do.

The problem of the Peking Mission is likely to increase as 1997

approaches; but only because of the difficulty over closing it

down and getting staff out, not because broaking off relations

would be in itself a disaster outside the Hong Kong context.

37 +

(b) Fansublease and para 40, 1st sentence ignores the distinction

between ceded and leased areas of Hong Kong. This distinction is, admittedly, recognised elsewhere, in paragraphs 79 and in Conclusion (f), where the line taken is that since the Chinese

regard the treaties ceding Hong Kong and Kowloon as "unequal", we

are unlikely to make much of the distinction in negotiating with

them. It is however theoretically possible that if the Chinese Government in power in 1997 were of a different complexion from the present one they might see advantage to themselves in taking back the leased territories and overlooking, for the time being, their interest in the ceded ones. This possibility, however ·

remote, deserves brief mention and also the question of whether

Hong Kong and Kowloon without the New Territories is a viable

proposition.

with Clumen Aigner

afte

but wit mudda

&

qual ains

(pace Chou En-Law, as reported)

(c) Para. 39(b)(vii). I question whether the Chinese are indifferent to

the Hong Kong question, or consider it remote. Small and distant

from Peking though it may be, its existence as a colonial enclave on what they claim as Chinese territory is sufficient to ensure their continuing and considerable interest in it.