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CONFIDENTIAL #3
機
(c) In the event, the CPG had been nonplussed by
his
insistence
on
constitutional package and
principles, rather than
explaining
his
his basic
indicating the items
which he was prepared to trade.
THE UK MISCALCULATION
7.
This
source stated that the CPG believed that HMG
and HKG had gravely miscalculated:
(a)
The British side appeared to believe that Hong
Kong's contribution to the PRC economy was too
important for the CPG to jeopardise
political goals.
for
(b)
As
a result, the British side believed that
the CPG would drop its resistance
to
the
(c)
constitutional package.
However, "unlike the UK Conservative Party",
the CPG was not under the control of business
interests. Whether they liked it or not, 'PRC
state enterprises would have to accept losses
on their Hong Kong operations if the PRC
leadership decided to retaliate against HKG.
CONFIDENTIAL
機密
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