TNAG-1235-FCO40-1548-Future-of-Hong-Kong-1983 — Page 10

CODE 18-77

Reference

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HKK 040/1

(134)

Miss Marles

Mr Hoare 0.V.

Mr, Clift

CONFIDENTIAL

HKK 040 | |

٥/١

14 FEB 1983

AF2 12

FUTURE OF HONG KONG CALL BY MISS SUTTER, US EMBASSY

1.

I ought perhaps to record that Miss Sutter called on me on 2 February for a further discussion on Hong Kong's future. We discussed in very general terms developments since December 1982, when she last called, particularly the Chinese propaganda campaign. She told me she had recently been speaking the the First Secretary at the Chinese Embassy here who delivered a by now familiar line on China regaining sovereignty, on nothing else in Hong Kong changing, on clause 31 of the Constitution about Special Administrative Regions etc. He also told Miss Sutter that the 'ball was in our court', echoing what Liao Chengzhi told the New Territories delegation. I assured Miss Sutter that both sides had made their position clear and that talks were continuing. I rehearsed our position about maintaining Hong Kong's future stability and prosperity and about the need to concentrate in the talks on common ground.

2.

We also touched on the visit to China by Mr Shultz and the forthcoming visit by Mr Bush. Miss Sutter said nothing to show that she knew that Me Bush had been briefed by us.

either

3.

Miss Sutter mentioned the vast amount of reporting on the situation being done by their Consulate General in Hong Kong. She thought (and I got the impression that others did too) that their staff in Hong Kong were flooding Washington with a good deal of very exaggerated material. (We know the Canadians have been doing the same.) She said that from London the US Embassy was trying to instil some calmness and sense of proportion into the reporting. I said that I knew the Governor in Hong Kong was in regular touch with Mr Levin and agreed that it was rather easy for people based in Hong Kong to lose a certain objectivity and an ability to stand back and get things into perspective.

4.

On leaving, Miss Sutter gave me the attached extract from the recent US Foreign Affairs Committee, who visited Hong Kong in October. I must say it is a pretty thin report, in which Y is more encouraging than Z!

4 February 1983

CONFIDENTIAL

W Morris