TNAG-2242-FCO40-3223-Most-favoured-nation-status-for-China-impact-on-Hong-Kong-1991 — Page 34

RESTRICTED

we share a joint interest in MFN extension; for our part we will press the US hard on behalf of Hong Kong;

but much of the solution lies in Chinese hands; we cannot expect to win the battle simply by calling attention to

Hong Kong's needs;

China must recognise that not just the US but the West in general is looking for changes in China's human rights practices; China cannot expect to reap the benefits of an open world economy without accepting some of the rules by which the rest of the world plays;

we judge that only very clear gestures by the Chinese now

(going beyond allowing Australian and French teams to examine their performance) will ensure a passage for MFN.

4. We can present this as a joint endeavour. The points could be made to Chinese in London, Hong Kong, and Peking and by our Embassy to the Chinese Embassy in Washington. We should also let the

Americans know what we are doing.

FAR EASTERN DEPARTMENT

3 May 1991

Separate Copies:

Sir J Cole $6.3

Mr Burns

&

C

Mr Davies, FED

Mr Paul, HKD

Mr Bone, ERD

·

RESTRICTED