CONFIDENTIAL
2
The Prime Minister suggested, and President Bush agreed, that we should look again at this issue after Mrs Thatcher had been to the Soviet Union, in the light of whatever was said to her there, and following the Primakov/Yavlinsky visit to Washington. If Gorbachev did come, it would be much better to have him to a meal before or after the Summit than to have him there during it.
Vietnamese Boat People
The President raised this issue (only, I suspect, because I had warned Brent Scowcroft that the Frime Minister would refer to it). The President said he would try to be flexible on our suggestion. He would see what he could do.
MFN Status for China
The President said that he would ask Congress to renew MFN status for China, but this would provoke the human rights lobby. It would be very helpful if the Prime Minister could make a statement, or even talk or write to leading Congressmen. He should not regard this as interference in America's internal affairs. The Prime Minister said he would be happy to do that, or to give interviews on the US media, if this would help. President Bush thought the suggestion of interviews was a very good idea. He commented that he had seen the Prime Minister's fine remarks about Rajiv Gandhi relayed on US television.
Middle East
The President said that Mr Baker's comments about Israeli settlements policy had provoked quite a storm in the United States. The Prime Minister reported to the President what the Chief Rabbi has just said here in the UK. The President thought these remarks would be helpful to him.
Follow-up
Middle East
You have kindly agreed to get the text of the Chief Rabbi's remarks to the White House as soon as possible.
Economic Summit
We shall need to take stock next week. The sense of what President Bush said was that he would be happy with some kind of deal with the Soviet Union whereby Gorbachev drops his maximalist demands and is allowed to come to London before or after the Summit. In talking about not sending Gorbachev away empty handed, it was not absolutely clear whether the President was simply referring to some kind of political package, or whether he did think some more money would need to be forthcoming.
CONFIDENTIAL
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