CONFIDENTIAL
HK B
020/12
100052 MDHOAN 2288
CONFIDENTIAL
FM FCO
TO DESKBY 02150OZ OTTAWA
TELNO 71
OF 020933Z FEBRUARY 90
INFO IMMEDIATE HONG KONG, PEKING
relations.
INFO PRIORITY BONN, EAST BERLIN, UKREP BRUSSELS, UKDEL NATO
PM 2/2.
FROM HEAD OF NAD
HONG KONG (PERSONAL FOR GOVERNOR)
CANADIAN HIGH COMMISSIONER'S CALL ON SECRETARY OF STATE, 1 FEBRUARY
SUMMARY
1.
BOTH SIDES LOOK FORWARD TO SECRETARY OF STATE'S CALL ON PRIME MINISTER MULRONEY ON 12 FEBRUARY: LATTER MAY RAISE FISHERIES AND POSSIBLY FUR AS BILATERAL ISSUES. WARM THANKS FOR QUOTE PIVOTAL UNQUOTE CANADIAN HELP OVER VIETNAMESE BOAT PEOPLE AT SC3 AND OVER HONG KONG GENERALLY. CANADIANS TO PUT SERIES OF PROPOSALS TO HONG KONG AND CHINA NEXT WEEK BUT UNLIKELY TO BE ABLE TO ISSUE CANADIAN PASSPORTS TO DETER PEOPLE FROM LEAVING HONG KONG. DISCUSSION OF GERMAN QUESTION, OF NATO AND OF IMPORTANCE OF US AND CANADIAN TROOPS AS A STABILITY FACTOR IN EUROPE. INCONCLUSIVE DISCUSSION OF ARRIVAL ARRANGEMENTS IN OTTAWA ON 11 FEBRUARY.
BILATERAL
2.
ISSUES
MACDONALD SAID THAT PRIME MINISTER MULRONEY WAS MUCH LOOKING FORWARD TO RECEIVING THE SECRETARY OF STATE DURING THE OPEN SKIES CONFERENCE AND MIGHT RAISE FISHING QUOTAS AND FURS AS BILATERAL ISSUES. THE FIRST PROBLEM WAS CAUSED PRINCIPALLY BY THE PORTUGUESE AND SPANISH, BUT THE PERCEPTION IN CANADA WAS THAT QUOTE THE EUROPEANS WERE TO BLAME UNQUOTE. GIVEN THE EFFECT ON THE ATLANTIC PROVINCES, IT POSED AN ENORMOUSLY DIFFICULT POLITICAL PROBLEM FOR THE PRIME MINISTER. THE SECOND ISSUE AROSE FROM HARRODS' DECISION TO DISCONTINUE SALE OF FURS BECAUSE OF ALLEGED TERRORIST ATTACKS. (THE HIGH COMMISSIONER SUBSEQUENTLY TELEPHONED TO SAY THAT HARRODS HAD TOLD GROSVENOR FURS OF MONTREAL, WHO HAD SOLD FURS IN HARRODS FOR 30 YEARS, THAT THEY WERE PROPOSING TO DISCONTINUE THEIR FUR LINE, REFERRING TO
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