TNAG-1625-FCO40-2239-Relations-between-Hong-Kong-and-China-1987 — Page 48

CONFIDENTIAL

SSEAS ISLANDS INS. CHINA SEAS (2/3)

UPDATING TO RD MEMORANDA ON ISLANDS IN SOUTH CHINA SEA

RD Memorandum RR2/3 (DS (L)584) on the Paracel Islands, June 1975

1. Paragraphs 47-49 of this memorandum review the situation in the Paracels following the Chinese occupation of the islands in January 1974. In particular the memorandum speculates on the attitude of the "new rulers of South Vietnam" towards ownership of the islands.

2.

In the event, even in 1974, Vietnam, first in the name of the Democratic Republic of Vietnam and of the Provisional Revolutionary Government of the Republic of South Vietnam, then, after July 1976, in the name of the reunified country, was reluctant to endorse the Chinese claim. Up to December 1978, China and Vietnam challenged each other indirectly over ownership of the Paracels and the Spratlys. From the end of 1978, as relations worsened between the two countries, the dispute over the islands became open. Claims and counterclaims recur from time to time.

RD Memoranda RR/2 (DS No 20) of January 1972 and RD Memorandum RR 7/6 (DS(L)530) of January 1975, on the Spratlys

3. The list of claimants at paragraphs 13-48 of the 1972 memorandum and in the 1975 memorandum requires revision.

4. Although up to 1974 North Vietnam appeared to acquiesce in China's claims to both the Paracels and the Spratlys, its response to the Chinese occupation of the Paracels in January 1974 suggested a shift of attitude. While not openly critical of China's action, North Vietnam implied it had reservations over what had happened. The North Vietnamese (since July 1976, Vietnamese) stance hardened until in December 1978, Vietnam openly stated its claim to the Spratlys and the Paracels and rejected the Chinese claim reiterated two days before. Since that time, Vietnam has repeated its claim and published documentation in support of it.

5. Malaysia (see paragraph 15 of the 1972 memorandum) has laid claim to Amboyna Cay and Swallow Reef. Malaysia argues that these two islands lie outside the Spratly Islands group and within Malaysia's exclusive economic zone, which was officially proclaimed in April 1980. However, both China and Vietnam regard the islands as falling within the area they claim.

The British claim to Spratly Island (one of the Spratlys group) and Amboyna Cay was allowed to lapse in 1974. No public statement of Britain's new position has yet been made.

6.

Far Eastern Section RD

CONFIDENTIAL

13 February 1987