UNCLASSIFIED
Mitz 012/2 Мив
UNCLASSIFIED
FM HONG KONG
TO PRIORITY FCO
TELNO 2967
OF 29075OZ DECEMBER 92
INFO PRIORITY PEKING, UKREP JLG HONG KONG
pa Constit Dent
014050 MDLIAN 4180234,
MDLZAN
CONTRACTS STRADDLING 1997: CHINESE HIT-LIST: PRESS REPORTS.
1. QUOTING CHINESE SOURCES BOTH HONG KONG STANDARD AND SING TAO DAILY REPORTED TODAY (29 DECEMBER) THAT THE CHINESE SIDE WOULD RELEASE EARLY NEXT MONTH A LIST OF CONTRACTS AND FRANCHISES STRADDLING 1997 WHICH WOULD HAVE TO BE DISCUSSED IN THE JLG. THE INTENTION WAS TO CLARIFY THE TWO EARLIER CHINESE STATEMENTS ON THE ISSUE AND TO BOOST CONFIDENCE AMONG HONG KONG PEOPLE IN THE AFTERMATH OF THE STATEMENTS AND CHINESE ATTACKS ON THE CONSTITUTIONAL PROPOSALS.
2. THE SOURCES SAID THAT THE TWO STATEMENTS WERE ORIGINALLY MEANT TO WARN BIG BUSINESSES NOT TO RELY ON HKG BUT ON CHINA. THE CHINESE SIDE ALSO WANTED THE GOVERNOR TO UNDERSTAND THAT WITHOUT THEIR COOPERATION, THE REMAINING FOUR YEARS COULD BE VERY TOUGH FOR HIM. THE SOURCES ADMITTED THAT THE STATEMENTS HAD HOWEVER CAUSED MANY PEOPLE TO WORRY AND THE CHINESE SIDE SHOULD HAVE MADE CLEAR THAT THEY WERE CONCERNED ONLY ABOUT MAJOR FRANCHISES AND CONTRACTS.
3. ON THE CONSTITUTIONAL PROPOSALS, THE SOURCES SAID THAT CHINA WOULD MAKE NO COMPROMISE AND WOULD MAINTAIN ITS ''NO DIALOGUE POLICY'' WITH THE GOVERNOR: BUT WOULD OPT FOR DIRECT DIALOGUE WITH LONDON.
FORD
YYYY
ΜΑΙΝ
50
.JLG RESTRICTED
HKD
FED
LEGAL ADVISERS//MS BARRETT
LEGAL ADVISERS//MS BROOKS
ADDITIONAL
3
JLG RESTRICTED
CAOFF//MR CHARLTON CHOFF // MS D CORNER
NNNN
DISTRIBUTION
53
PAGE
NEWS D PUSD
RAD
MR HUM
1
UNCLASSIFIED
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