TNAG-2611-FCO40-3802-International-support-from-the-USA-regarding-the-future-of-H-1992 — Page 55

CONFIDENTIAL

126506

MDTTAN 3583

THERE IF THE VOLUME OF ROYAL NAVAL VISITS TO HONG KONG JUSTIFIED IT.

5.

WE WOULD CERTAINLY ENDORSE THE POINTS YOU MADE TO STAPLETON ROY AND DAVID COATES MADE TO PASCOE. IN PARTICULAR, IT WILL CLEARLY BE CRUCIAL TO CONFIDENCE IN THE SAR THAT THE U.S. SHOULD

KEEP A LARGE AND ACTIVE PRESENCE THERE, AND THEY CAN BE ASSURED THAT WE INTEND TO DO SO. AS TO THE WIDER QUESTION OF COVERING OTHER AREAS OF CHINA FROM HONG KONG, I THINK WE ARE AGREED THAT THERE CAN BE NO QUESTION OF VISA OR PASSPORT COVERAGE FROM HONG

KONG AFTER 1997, BECAUSE OF OUR WISH TO AVOID APPEARING TO UNDERMINE THE SEPARATENESS AND AUTONOMY OF THE SAR. WE HAVE BEEN GIVING SOME THOUGHT TO THE ROLE OF THE CHINA TRADE UNIT, PARTICULARLY IN THE LIGHT OF THE CASE FOR OPENING A NEW

CONSULATE-GENERAL IN CANTON. HONG KONG MAY WELL REMAIN THE MAJOR TRADE PROMOTION BASE BOTH FOR THE SAR AND SOUTHERN CHINA AS A WHOLE: IF WE GET THE RESOURCES TO OPEN IN CANTON IT WILL AS YOU KNOW, PROBABLY BE A SMALL TRADE ONLY MISSION, COMPLEMENTING RATHER THAN REPLACING THE REGIONAL EFFORT FROM HONG KONG. WE ARE ALSO CONSIDERING WHETHER THE FUTURE CONSULATE

GENERAL IN HONG KONG WOULD BE A GOOD PLACE FROM WHICH TO DO

REGIONAL INFORMATION WORK FOR

SIGNED P F RICKETTS

N N N N

ASIA.

PAGE

2

CONFIDENTIAL