TNAG-1258-FCO40-1591-Third-countries-and-the-future-of-Hong-Kong-1984 — Page 188

CONFIDENTIAL

IDU Foreign Affairs Committee Meeting, Canberra, 2-3 December 1983

Briefing for the Rt Hon Sir Humphrey Atkins MP

FUTURE OF HONG KONG

POINTS TO MAKE (For use only if the subject is raised)

1. Talks through diplomatic channels between Britain and

China agreed September 1982. Meetings held in Peking with common aim of maintaining Hong Kong's stability and prosperity.

2. Second, more detailed phase of talks began in July. Six rounds

since. Latest round 14/15 November. Described by both sides as

'useful and constructive. Next round 7/8 December, again in

Peking.

3. Content of talks confidential

4. Objective of HMG is to seek a settlement acceptable to Britain, China and people, of Hong Kong. Joint Sino-British aim gives ground for confidence that such an arrangements can be worked out. Views of Hong Kong people being taken fully into account.

5. British Government obtains no revenue from Hong Kong other than

that of normal trading partner, contrary to what Chinese seem to

think. Nor does Britain have colonialist aspirations. Aim is to

seek best possible deal for Hong Kong people.

6. Chinese propaganda has floated idea of Hong Kong as Special Administrative Region (SAR) under Chinese constitution with considerable autonomy and functioning essentially as it does now. Most people in Hong Kong sceptical of this idea, which suggests basis for confidence not grasped by the Chinese. Hong Kong people and investors need effective guarantees.

7. Important nothing said or done which might damage confidence

CONFIDENTIAL