TNAG-1624-FCO40-2238-Relations-between-Hong-Kong-and-China-1987 — Page 63

CONFIDENTIAL

Sino-Soviet Relations

5.

Zhang said that the Russians' deeds did not correspond with their ostensibly more friendly attitude towards China. For example, although they now agreed to discuss Cambodia/Vietnam with the Chinese, they had conceded nothing of substance. Also, the Soviet Union was very slow in providing the assistance which it had agreed to give for the refurbishment of Soviet-built factories in China.

China Internal

6. Zhang said that the Party Congress would confirm existing policies. Asked about the postponement of price reform, he said that this was not because of opposition in the leadership, but because of acute concern at all levels of society over its possible effects on living standards and economic activity. He said that price reform was the question uppermost in the mind of every ordinary person at present.

Zhang's Own Career

7. Zhang said that, since leaving the Foreign Ministry's West European Department around the end of the 1970s, he had taught Chinese affairs at a university in Portland, Oregon, worked at an Institute of International Studies in Peking and served in the American and Oceanian Department of the Foreign Ministry. He said that his wife had worked on Soviet affairs in the Foreign Ministry. He expressed the wish to maintain contact with Research Department and, once his wife had joined him in late November, to call with her on Soviet Section, Research Department.

cc.

Марака

K C Walker

Mr Boyd, DUSS

Mr McLaren, AUSS

Mr Hum, HKD

Mr Ling, RD

Mr Hallett, Economic Advisers

(for para 3)

Mr Beel, RD

(for paras 5 and 7)

PUSD

Mr Tagg, Security Department

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