TNAG-1839-FCO40-2614-House-of-Commons-Select-Committee-on-Foreign-Affairs-enquiry-1989 — Page 89

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CONFIDENTIAL

FM FCO

TO IMMEDIATE PEKING

TELNO 139

OF 20153OZ FEBRUARY 89

INFO ROUTINE HONG KONG, BTC HONG KONG, UKREP JLG HONG KONG

HONG KONG: PERSONAL FOR DEPUTY TO GOVERNOR

BTC HONG KONG: PERSONAL FOR HOLLOWAY

OUR TELNO 427 AND YOUR TELNOS 122 AND 186: FAC ENQUIRY INTO HONG KONG.

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61 1.

AS YOU WILL HAVE SEEN FROM FIRST TUR, THE CHINESE EMBASSY HAVE APPROVED THE COMMITTEE'S LATEST PRESS RELEASE CONTAINING THE REVISED DATES FOR THEIR VISIT TO PEKING. SINCE THE CHINESE HAVE ALSO NOMINATED PIFA AS THE COMMITTEE'S FORMAL HOSTS, WE ASSUME THAT THIS CONSTITUTES FORMAL CHINESE AGREEMENT TO THE VISIT TAKING PLACE.

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WE HAVE MADE CLEAR TO THE COMMITTEE CLERK THAT IT IS IMPORTANT FOR PRESENTATIONAL REASONS THAT ANY IDEAS PUT FORWARD FOR THEIR PROGRAMME IN CHINA SHOULD BE PERCEIVED AS BEING THE COMMITTEE'S OWN AND THAT THE EMBASSY'S ROLE SHOULD BE UNDERSTOOD AS BEING SIMPLY ONE OF LIAISON. WITH AGREEMENT OF THE COMMITTEE CHAIRMAN, THE CLERK HAS NOW PUT THE SPECIFIC SUGGESTIONS IN PARAGRAPH 3 OF SECOND TUR TO MRS ZHANG IN THE CHINESE EMBASSY, POINTING OUT THAT ALTHOUGH THE COMMITTEE'S VISIT TO PEKING WOULD BE RELATIVELY SHORT, THEY WOULD LIKE TO FIT IN AS MANY APPOINTMENTS AS POSSIBLE. WHILE THE COMMITTEE WOULD OBVIOUSLY WANT TO GIVE PRIORITY TO DISCUSSION OF BASIC LAW MATTERS, TIME PERMITTING, THEY WOULD ALSO BE INTERESTED IN THE BROADER PICTURE OF CHINA'S RELATIONSHIP WITH HONG KONG INCLUDING ECONOMIC/TRADE RELATIONS AND CHINESE INVESTMENT IN HONG KONG. THE COMMITTEE MIGHT HAVE OTHER SPECIFIC SUGGESTIONS TO MAKE AS THEY BEGAN TO FOCUS ON THE ENQUIRY IN GREATER DETAIL. MRS ZHANG UNDERTOOK TO PASS ON THESE SUGGESTIONS TO PEKING, ALTHOUGH SHE EXPRESSED SOME DOUBTS ABOUT THE RELEVANCE OF MEETING THOSE INVOLVED IN CHINESE PLANNING FOR SEZS.

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MRS ZHANG HAS TOLD MCLAREN INFORMALLY THAT THE COMMITTEE IS LIKELY TO BE RECEIVED AT SENIOR (PROBABLY VICE-MINISTERIAL LEVEL) BY THE FOREIGN MINISTRY, THE HONG KONG AND MACAO OFFICE OF THE STATE COUNCIL AND THE NATIONAL PEOPLE'S CONGRESS. MRS ZHANG EMPHASIZED THAT THE CHINESE EMBASSY WERE FULLY SEIZED OF THE COMMITTEE'S IMPORTANCE AND OF THE NEED FOR THEIR VISIT IN PEKING TO GO WELL. SHE HAD RECOMMENDED TO HER AMBASSADOR THAT HE SHOULD

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