TNAG-2927-FCO40-4202-Visits-by-Douglas-Hurd--Secretary-of-State-for-Foreign-and-C-1993 — Page 48

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CONFIDENTIAL

FM PEKING

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CONFIDENTIAL

HKD 026/14

RF

TOP COPY Q DIST?

150504

MDHIAN 9090

12 FEE 1993

TO DESKBY 10090OZ FCO

TELNO 185

OF 100601Z FEBRUARY 93

INFO DESKBY 10070OZ HONG KONG

IMMEDIATE UKREP JLG HONG KONG, BTC HONG KONG, TOKYO

FOR HKD AND FED

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FCO TEL NO 111: PQ: VISIT OF SECRETARY OF STATE TO THE FAR EAST

1.

WE NEED TO CONSIDER CAREFULLY THE IMPACT HERE OF WHAT IS SAID IN THE HOUSE ON 10 FEBRUARY, PARTICULARLY IN VIEW OF THE LATEST DEVELOPMENT OVER TALKS ON ELECTORAL MATTERS (MY TEL NO .... NOT TO ALL). I SUGGEST THAT A KEY OBJECTIVE SHOULD BE TO KEEP OUR OPTIONS OPEN: WE MAY ULTIMATELY BE ABLE TO GET SOME LEVERAGE OUT OF PROPOSING OR AGREEING TO A MEETING WITH QIAN QICHEN: WE KNOW THE CHINESE ATTACH UNUSUAL IMPORTANCE TO THE SYMBOLIC/POLITICAL ASPECT OF HAVING SUCH EXCHANGES. WE SHOULD NOT CLOSE OFF OPTIONS UNNECESSARILY.

2. NOR OF COURSE DO WE WISH TO DAMAGE THE PROSPECTS OF GETTING LOWER-LEVEL TALKS GOING ON THE ELECTORAL ARRANGEMENTS FOR 1994/95.

3. I THEREFORE RECOMMEND AMENDING THE SECOND TIRET OF THE DRAFT REPLY TO THE FIRST SUPPLEMENTARY TO READ:

WE HAVE NOT YET STARTED TALKING TO THE CHINESE GOVERNMENT ABOUT WHEN AND WHERE TO HOLD OUR NEXT MEETING.

- TOO EARLY TO JUDGE WHAT WILL BE THE BEST TIMING. IN ANY CASE I HOPE THAT BY THE TIME WE MEET REAL PROGRESS WILL HAVE BEEN MADE IN RESOLVING OUR DIFFERENCES ON HONG KONG BUSINESS.

4. THE FINAL SENTENCE OF THE PROPOSED DRAFT REPLY TO THIS SUPPLEMENTARY IN YOUR TUR COULD CAUSE PARTICULAR DIFFICULTY. OUR OFFERS OF DISCUSSIONS ON HONG KONG'S ELECTORAL ARRANGEMENTS WERE MADE IN PRIVATE AND PUBLICLY LAST SEPTEMBER AND OCTOBER. THE CHINESE HAVE RESPONDED FREQUENTLY, IN PRIVATE AND IN PUBLIC, THAT THERE CAN BE NO DISCUSSIONS UNTIL THE GOVERNOR WITHDRAWS HIS PROPOSALS. THE DIPLOMATIC EXCHANGES SINCE 14 JANUARY, IN WHICH WE HAVE SOUGHT TO EXPLORE WHETHER THE CHINESE ARE NOW READY FOR

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