TNAG-1257-FCO40-1590-Third-countries-and-the-future-of-Hong-Kong-1983 — Page 140

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4. AT THE SECOND ROUND OF NEGOTIATIONS BRITAIN HAD PROPOSED THAT AFTER 1997 SOVEREIGNTY OVER HONG KONG WOULD RETURN TO CHINA BUT THE RIGHT OF ADMINISTRATION WOULD REMAIN WITH BRITAIN. THIS AMOUNTED TO A CONTINUATION OF THEIR COLONIAL RULE, WHICH OF COURSE WOULD NOT DO. AT THE LATEST ROUND THE BRITISH HAD NO LONGER TALKED OF THE RIGHT OF ADMINISTRATION OVER THE TERRITORY. THEY HAD SAID THAT AFTER 1997 THE BRITISH SHOULD PARTICIPATE TO A CERTAIN EXTENT IN THE ADMINISTRATION OF HONG KONG. THIS WOULD NOT DO EITHER. IT AMOUNTED TO ADMINISTRATION OF THE TERRITORY IN DISGUISE. THE BRITISH ATTITUDE HAD SHOWN SOME CHANGES BUT THEIR ACTUAL IDEAS HAD NOT.

THE POINT OF DEPARTURE OF THE BRITISH ANALYSIS WAS THAT IF HONG KONG WAS PROSPEROUS IT WAS THANKS TO BRITISH ADMINISTRATION. THIS

WAS MISTAKEN. BRITAIN WAS MAKING HERSELF THE ADVOCATE OF COLONIALSM. THE CHINESE HAD NOT RESPONDED PUBLICLY TO THIS ARGUMENT WHILE NEGOTIATIONS WERE IN PROGRESS. BUT THEY HOPED THAT THE BRITISH GOVERNMENT WOULD MAINTAIN A CLEAR MIND OVER THE MATTER. AS FOR THE QUESTION OF PARTICIPATION IN THE ADMINI STRATION, THE BRITISH WISHED TO MAINTAIN A DROIT DE REGARD OVER THE POLICE AND THE COURTS. THAT POSED A VERY SERIOUS PROBLEM

FOR THE CHINESE.

5. THE HONG KONG DOLLAR HAD RECENTLY BEEN IN DIFFICULTIES. THE CHINESE KNEW THAT THE BRITISH HAD ENGINEERED IT IN ORDER TO EXERT PRESSURE ON CHINA, BUT HAD NOT SAID SO IN PUBLIC. THERE REMAINED 13 YEARS AND THE CHINESE DID NOT KNOW WHAT FURTHER MACHIN- ATHONS THE BRITISH WOULD GET UP TO. BUT THEY WERE NOT AFRAID. THE PREVIOUS YEAR PREMIER ZHAO, MRS THATCHER AND HE HIMSELF HAD ALL EXPRESSED THE HOPE THAT IN THE 13 YEARS REMAINING NETHER SIDE WOULD DO ANYTHING TO DAMAGE THE SITUATHON IN HONG KONG. HE HAD SAND TO MRS THATCHER THAT IF THE SITUATION BECAME #RRETRIEVABLE THE CHINESE GOVERNMENT WOULD DECIDE WHEN AND HOW TO RECOVER SOVEREIGNTY OVER HONG KONG. AFTER 1997 THE HINHABITANTS OF HONG KONG WOULD ADMINISTER THE TERRITORY. IF THE SITUATION DEMANDED IT THE CHINESE SIDE WOULD RECONSIDER THE MANNER OF ADMINISTERING HONG KONG. BUT EVEN IF THERE AS A CHANGE IN THE ADMINISTRATION THERE WOULD STILL BE NO CHANGE IN THE SOCIAL

SYSTEM IN HONG KONG.

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6. THE CHINESE HOPED THAT THE BRITISH GOVERNMENT WOULD APPROACH THE PROBLEM WITH A MORE THOROUGH AND LONG TERM VIEW. THE

TWO SIDES HAD GOOD RELATIONS AND GOOD PROPSECTS FOR COOPERATION. THE CHINESE HOPED THAT THE BRITISH WOULD DO NOTHING TO DAMAGE LONG TERM RELATIONS BECAUSE OF THIS MATTER. FOR THEIR PART THE CHINESE SAW NO NEED FOR THERE TO BE DAMAGE TO THE PROSPECTS FOR COOPERATION. ACCORDING TO CHINESE IDEAS FOR THE ADMINSTRATION OF HONG KONG IT WOULD BE THE HONG KONG CHINESE WHO GOVERNED THE TERRITORY. THIS WOULD NOT DAMAGE BRITISH INTERESTS. IT WAS SIMPLY THAT THE COLONIAL IMAGE

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