TNAG-1622-FCO40-2236-Relations-between-Hong-Kong-and-China-1987 — Page 139

disposed to his pragmatic policies but critics (both

conservative and liberal) still remain. Influence of the

former group was strengthened by the forced resignation of

Hu Yaobang, one of the keenest reformers, from the post of

General Secretary of the CCP Central Committee.

SECTION II: BRITISH INTERESTS

7.

In order of priority:

I.

Hong Kong

The continued existence of a stable Chinese government,

capable of and willing to ensure the faithful

implementation of the Joint Declaration on the question

of Hong Kong signed in 1984.

II.

Political

The development of a stable and prosperous China

capable of resisting Soviet influence, ac peace with her

neighbours and well disposed towards the West.

III. Trade

UK Imports to China have increased from £159 million

in 1983 to £536 in 1986 representing approx 2.00% of

China's total imports. The successful implementation of

China's modernisation programme, and continued open-door

policy, ensuring access for UK exports to a growing

~

market, a valuable source of strategically important raw

materials, and the development of a potentally useful

partner in technological collaboration.

PR5AAJ

CONFIDENTIAL