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RECEIVED IN GEOISE,
Date:
13 March 1991
resubmitting
18 MAR 199.
Cc:
DESK OFFIC
INDEX
Private Secretary
PS/PUS
Mr McLaren
Miss Marsden, HKD Mr Davies, FED
4'4
minister
PS/Lord Caithness
Private Secretary
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14/3
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HONG KONG : PADS : THE WAY AHEAD
1.
Ministers and Mr McLaren will wish to be aware of the latest developments on this subject before the seminar tomorrow morning with the Prime Minister. I have tried to keep Sir Percy Cradock up to date as we have gone along.
2.
Lord Caithness discussed with the Secretary of State last night the draft text of the Governor's message to Lu Ping. Thereafter, I sent Sir David Wilson some advice which reflected Ministers' views and commented upon
Sir David Ford's report on the Exco discussion in Hong Kong.
3.
Mr Galsworthy, Mr Paul, Mr Ehrman and Mr Coates commented collectively from Peking. So did Sir David Ford from Hong Kong. My response today, reflecting comments from Lord Caithness, prompted a telephone call this evening from the Governor, now in The Hague. Sir David Wilson will send a telegram of comment overnight.
4.
The key concerns of Ministers were:-
(i)
not to reveal too much of our negotiating hand too early;
(ii)
not to imply guarantees of the level of reserves which we could not honour;
(iii)
(iv)
(v)
to ensure that we got the right Chinese assurance in return for this significant departure from the Joint Declaration;
to exploit to the full the leverage given by the Secretary of State's visit to Peking;
to postpone the message to Lu Ping until after the seminar with the Prime Minister.
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