TNAG-1252-FCO40-1585-Third-countries-and-the-future-of-Hong-Kong-1983 — Page 134

SECRET AND PERSONAL

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A E Donald Esq CMG

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FUTURE OF HONG KONG

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3 March 1983

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Astmand 1. Thank you for copying to me your letter of 18 February to 1/3

Teddy Youde. It was helpful to have the Australian connexion explained and I am grateful for discretion to deal with my Australian colleague. I intend to continue a policy of reticence with him, but may need to change tack slightly if he reveals a knowledge of what has been said to Yeend.

2.

Quite what we should do about Zhao's visit to Australia in April will depend to some extent on the outcome of the Australian election. But if the next government there is willing to speak helpfully I believe we should make use of them. They have fewer problems in their relations with China than the Americans have, and they have their own interests in continuity and stability in the South East Asia region. Their influence with the Chinese might be minimal, but there is nothing to be lost and perhaps something to gain by encouraging them to say something.

INDEX

LIKK 040/5

14 MAR 1983

Yours

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Sir Edward Youde GCMG MBE HONG KONG

PERCY CRADOCK

SECRET AND PERSONAL