TNAG-2243-FCO40-3224-Most-favoured-nation-status-for-China-impact-on-Hong-Kong-1991 — Page 41

CONFIDENTIAL

ZCZC

CONFIDENTIAL

FM FCO

TO IMMEDIATE WASHINGTON

TELNO

OF 11170OZ JUNE 91

IMMEDIATE HONG KONG

INFO IMMEDIATE PEKING, UKREP JLG HONG KONG

IMMEDIATE

MIPT: CHINA/US RELATIONS: MFN STATUS: MESSAGE TO BAKER

1.

Please deliver the following message from me

Secretary Baker as soon as possible.

BEGINS

glad

I am very pleased that President Bush has decided unconditionally to renew MFN Status for China. As you know John Major has been keeping in close touch with the President and I also discussed the matter with Brent Scowcroft and

Larry Eagleberger when I met them in Washington at the end of May. I know that there is opposition to renewal in Congress, so I thought I should write to you to underline the impact on Hong Kong if China's MFN Status was not renewed, or if conditions were attached to renewal.

We are Currently having crucial talks with the Chinese over Hong Kong's plans for a new airport. These have broadened to

BYDAAK/TG

HKD

M V STONE

2651

13% 1600