TNAG-1624-FCO40-2238-Relations-between-Hong-Kong-and-China-1987 — Page 33

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6.

C of C & E suggested that, in order to avoid possible misunderstandings in future, it should be explained clearly to

the Chinese authorities that the PRC vehicles would be liable

to standard Customs searches as required. This was agreed.

Action: S for T

7.

RS/NT raised the question of publicity and public

reaction, in particular sensitivities to a perception of

encroachment by China. After some discussion, it was agreed that there should be a line for use in response to questions,

but attention should not be drawn to this development.

proposals in the paper were agreed.

The

Action: S for T

SITUATION IN CHINA (CRC 15/87)

8.

PA said that, since the paper had been drafted, there had been no significant changes. The press continued to play

up reform as the key issue for the Party Congress. There were

certain to be substantial personnel changes, but it was

difficult to be sure of what these would be. There had been a

variety of permutations canvassed. A general clean sweep of

the "old men" seemed likely, with Deng Xiaoping remaining preeminent through the Central Military Commission. Zhao Ziyang was likely to be the clear senior in the new leadership

figure and would be in effective control. There would probably

be a balance between "reformists" and "conservatives" among the younger people in the Politburo Standing Committee.

9.

In answer to S for T, PA said he did not anticipate

any significant impact on Hong Kong if the current predictions

on personnel changes came good. There was not likely to be

much change in the Chinese attitude towards the Green Paper

exercise.

G.F. 326

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