TNAG-2609-FCO40-3800-International-support-from-the-USA-regarding-the-future-of-H-1992 — Page 7

BACKGROUND

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1.

The US/Hong Kong Policy Act 1992, known generally as the

McConnell Bill, was passed by the Senate on 17 September and

now awaits the President's signature.

2. The Chinese have attacked the Bill unremittingly since

Senator McConnell introduced it. They have also sought to

persuade the UK to attack it (without success). They regard it as a prime example of "the internationalisation of the Hong

Kong question".

UK.

The

3. The reporting provisions attracted their particular ire. The original Bill called for regular reports to the Congress on the implementation of the Joint Declaration. The Chinese argued that the JD was a matter entirely between China and the

Senator McConnell has now amended these provisions. Act as passed is likely to require the Administration to report at 18 month intervals to the Congress on a number of aspects of US relations with Hong Kong. However the

Administration will also be required to report on the development of democratic institutions in Hong Kong; and on the nature and extent of Hong Kong's participation in

multilateral fora.

4. We have studiously remained out of this US/China dispute.. In private we have told the Chinese that they should not make too much of a fuss about the Bill, and that we are not prepared to make negative public statements on it, not least because this could damage the chances of retaining MFN status

for China.

backg.pol.act.NTC

JEB

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