TNAG-1356-FCO40-1797-Constitutional-development-in-Hong-Kong-1985 — Page 170

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TO DESK BY 18100OZ FCO

TELNO 2555

OF 18091OZ NOVEMBER 85

INFO DESKBY 181000Z PEKING

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YOUR TELNO 1794: JOINT LIAISON GROUP: REPRESENTATIVE GOVERNMENT.

1. THANK YOU FOR YOUR TUR. I WAS GLAD TO READ YOUR PARA 3.

THINK WE ARE AT AN IMPORTANT JUNCTURE. IT IS NOT ABSOLUTELY CLEAP WHY THE CHINESE HAVE COME TO THE BOIL NOW. BUT THERE IS NO DOUBT THAT WE NEED TO MOVE FAST TO MEET THESE CONCERNS AND DEFLECT THEM

IN A CONSTRUCTIVE DIRECTION.

2. THIS HAS SHORT AND LONG TERM ASPECTS. WE NEED TO GET THE SEQUENCE AND CONTENT RIGHT. OUR IMMEDIATE OBJECTIVES AS I SEE THEM ARE

(A)

(B)

(C)

(D)

TO GET THROUGH THE JLG. THIS IS A PROCESS OF DAMAGE

LIMITATION. IF WE CANNOT GET THE SUBJECT OF REPRESENTATIVE GOVERNMENT MOVED AWAY FROM THE JLG, THEN WE MUST TRY TO GET IT HANDLED IN AS LOW A KEY AS POSSIBLE

TO DISCOURAGE THE CHINESE FROM TABLING DEMANDS WHICH WE CANNOT POSSIBLY ACCEPT SEMICOLON THESE, ONCE ON THE TABLE, WOULD BE DIFFICULT TO GET OFF. I HAVE IN MIND FOR INSTANCE ANY SUGGESTION THAT WE MIGHT POSTPONE THE 1987 REVIEW

TO ASSUAGE CHINESE CONCERN OUTSIDE THE MEETING, BY ALL MEANS OPEN TO US. WE MUST GET IT HOME TO THEM THAT THE CURRENT PACE OF REFORM IS MODERATE SEMICOLON THAT THE FUTURE IS NOT PRE-EMPTED SEMICOLON AND THAT THEY ARE FRANKLY OVER RE-ACTING TO STEER PEKING'S THINKING TOWARDS A CONSTRUCTIVE TWO-WAY DIALOGUE, SUBSTANTIVELY IN HONG KONG

3. TO ACHIEVE THESE OBJECTIVES WE NEED TO GRASP CHINESE CONCERNS. SO FAR THESE HAVE BEEN EXPRESSED ONLY VAGUELY. NEVERTHELESS, IT SEEMS PRETTY CLEAR THAT THEY CENTRE ON, IN THE FIRST PLACE, THE PACE OF INSTITUTIONAL REFORM IN HONG KONG SEMICOLON AND SECONDLY ON THE NEED TO ENSURE THAT HMG REMAINS IN THE DRIVING SEAT. AS POINTED OUT (252 IN MY TELNO 2490 THE CHINESE SEEM STRONGLY CONCERNED TO BE ABLE TO

HOLD HMG RESPONSIBLE FOR CHANGES TO THE SYSTEM BETWEEN NOW AND

1997. THEIR CONSTITUTIONAL NIGHTMARE IS EMERGING DE FACTO

POLITICAL INDEPENDENCE FOR HONG KONG.

4. I TAKE IT AS READ BETWEEN US THAT THE INFORMAL DIALOGUE SHOULD IN SUBSTANCE TAKE PLACE IN HONG KONG. WE HAVE BEEN GIVING MUCH

THOUGHT TO THE MECHANICS. THERE IS NO SHORTAGE OF CHANNELS HERE. IN PRACTICE THE DIALOGUE IS LIKELY TO BE CONDUCTED BETWEEN XU AND MYSELF SEMICOLON BETWEEN THE CHIEF SECRETARY AND XU, OR BETWEEN THE CHIEF SECRETARY AND QIAO ZONGHUAI SEMICOLON OR BETWEEN THE

POLITICAL ADVISER'S OFFICE AND THEIR COUNTERPARTS. YOU WILL ALSO

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