TNAG-1744-FCO40-2463-Visits-by-FCO-officials-to-Hong-Kong--including-visit-by-Lor-1988 — Page 41

RESTRICTED

165357

MDHIAN 4555

MOMENTUM OF OUR ECONOMIC RELATIONS WAS GOOD AND SHOULD BE SUSTAINED.

OUR POLITICAL RELATIONS WERE NOW EXCELLENT AND THE ECONOMIC SIDE

SHOULD BE COMMENSURATE: NO-ONE WANTED TO SEE BRITAIN LAGGING BEHIND

NEIGHBOURS SUCH AS GERMANY AND ITALY.

B) UK/CHINA CLAIMS AGREEMENT

3. LORD GLENARTHUR HOPED THE MFA COULD SOON CONFIRM AGREEMENT TO THE

GOOD COMPROMISE WORKED OUT BETWEEN THEM AND THE EMBASSY ON THE

PROBLEM OF RELEASE OF BONDS. THERE WAS A 30 JUNE DEADLINE. ZHOU NAN SAID THE BRITISH PROPOSAL WAS STILL BEING STUDIED BUT THERE SHOULD

BE NO GREAT PROBLEM. BOTH SIDES SHOULD FEEL FREE TO RAISE ANY

SIMILAR PROBLEMS ON THE AGREEMENT IN FUTURE AND HELP EACH RESOLVE THEM.

C) WORKING SPOUSES

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OTHER

4. LORD GLENARTHUR SAID NEW CHINESE REGULATIONS RESTRICTING

DIPLOMATIC SPOUSES' EMPLOYMENT WERE CAUSING REAL PROBLEMS FOR

MARRIED BRITISH OFFICERS IN PEKING. THE EMBASSY COULD NOT SATISFY

ALL SPOUSES' NEEDS FOR EMPLOYMENT. THE CHINESE RULES WERE STRICTER

THAN THOSE OF MANY OTHER STATES INCLUDING THE UK WHERE SPOUSES

ONLY HAD TO RENOUNCE CIVIL AND ADMINISTRATIVE IMMUNITY IN RELATION

TO THEIR EMPLOYMENT, IN KEEPING WITH THE VIENNA CONVENTION. WE WOULD

BE GRATEFUL IF THE CHINESE COULD LOOK AT THEIR RULES AGAIN AND SEE

WHAT COULD BE DONE TO EASE THE PROBLEM. ZHOU NAN SAID HE WAS NOT

PERSONALLY FAMILIAR WITH THE ISSUE. HE THOUGHT THE MFA PROTOCOL

DEPARTMENT HAD DRAWN UP THEIR NEW RULES AFTER CONSULTING

INTERNATIONAL PRACTICE. BUT IN VIEW OF LORD GLENARTHUR'S CONCERN HE

WOULD ASK THEM TO REVIEW THE MATTER. LORD GLENARTHUR SAID WE WOULD

WELCOME THIS AND CONFIRMED THAT CHINESE PRACTICE NOW DIVERGED FROM

THAT OF MANY OTHER COUNTRIES.

D) CULTURAL RELATIONS

5. LORD GLENARTHUR SAID WE ATTACHED GREAT IMPORTANCE TO CULTURAL, EDUCATIONAL AND SCIENTIFIC EXCHANGES WHICH STRENGTHENED THE

FOUNDATIONS FOR POLITICAL UNDERSTANDING AND TRADE. HE WELCOMED THE

RECENTLY SIGNED 1988-90 CULTURAL EXCHANGE PROGRAMME: EXCHANGES

OUTSIDE THE PROGRAMME: THE RECENT SADLER'S WELLS TOUR OF CHINA: THE

GROWTH OF TOWN TWINNING: AND THE INCREASE IN NUMBERS OF CHINESE STUDENTS IN BRITΑΙΝ, WHICH HE HOPED WOULD CONTINUE SINCE THEY BROUGHT BENEFITS TO BOTH SIDES.