TNAG-2710-FCO40-3916-House-of-Commons-Select-Committee-on-Foreign-Affairs-and-Par-1993 — Page 112

CONFIDENTIAL

Chinese tactics in the Fourth Round suggest that they

are in something of a muddle. They have agreed to move

on to substance, but are unwilling to give us detailed

ideas. They have said that they will not discuss the

Governor's proposals, but must realise that these remain

our position. They blustered a bit at the Fourth Round

in the hope of bringing us to put forward alternative

ideas. But they agreed to a further Round (on 16-18

June) and appear keen to show publicly that the talks are continuing normally.

The Foreign Secretary and the Governor believe that it

will be useful to make clear in the House next week that

we are trying hard to reach agreement, but that time is

limited. This would keep the Chinese guessing about, the

extent of our patience. Mr Goodlad has also told the

Chinese Ambassador that we need to know Chinese views on

all the main issues before we can make progress. We

will reinforce this point at the next Round of talks.

I am sending a copy of this letter to Melanie Leech

(Cabinet Office).

J S Smith

(Private Secretary)

Lyne2.6/PSN010

CONFIDENTIAL