TNAG-2451-FCO40-3568-Future-of-Hong-Kong-constitutional-development-1992 — Page 56

SoStoPM.SA.bern

Prime Minister

HONG KONG

CONFIDENTIAL

We will be discussing the way ahead with the Governor at

OPD (K) on 18 November.

His constitutional proposals, which we discussed at our

meeting on 15 September, have been generally well received in

Hong Kong, in this country and internationally. But we

recognised on 15 September that the Chinese would be bound to

oppose them.

This was borne out when the Governor visited Peking last

month. The Chinese rejected the entire package out of hand.

They expressed great annoyance that we had been unwilling to enter a process of private consultations with them before the Governor announced his proposals in Hong Kong. They were particularly hostile to the proposals to broaden the franchise

for the functional constituencies, and to form the Election

Committee of people who had themselves been elected. They

have refused to put forward any alternatives, and have mounted a vitriolic propaganda campaign in Hong Kong.

Chinese tactics seem to be to undermine support in Hong Kong for the Governor's proposals, presumably hoping either that we will back down, or that they will frighten enough members of the Legislative Council to ensure that the

necessary legislation to give effect to the proposals cannot be passed. In doing so, they have turned this into the most

serious row with us since Tiananmen. In the months ahead they

will be looking for other ways of exerting overt and

covert pressure on Hong Kong. This is likely to include:

CONFIDENTIAL