CAB148-30-Defence and Oversea Policy Committee Meetings Relating to 1967 Disturbances-1967 — Page 169

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Forces in Vietnam enjoyed in Hong Kong. We had recently restricted visits

of United States warships to the same number as last year and had suggested

that larger ships should not come. We should not however take any

further action at present since it would be claimed by the Chinese as a propaganda victory but we should keep the matter under review. On our latest information the situation appeared to be quieter. Fim

though restrained action by the Governor and the police had prevented the disturbances spreading. The strike called by the communist Trade Unions had been only partially successful and public transport would

shortly be back to normal. There was no truth in the story being put

out by Peking of heavy Chinese casualties.

Discussion showed that the Committee were in general agreement with

the views of the Commonwealth Secretary. The actions of the Governor and

the police, who had kept control of the situation without having to call upon troops, deserved the highest praise, and in particular it would be appropriate to send a message of congratulation to the police, designed

particularly for publication in Hong Kong. The opportunity should be

taken of the disturbances to press through urgently improvements in

labour legislation, if necessary by use of the official majority in the Executive Council and Legislative Council. The suggestion was made that

Mr. Ernest Thornton, MP, a former Parliamentary Secretary, Ministry of

Labour, accompanied by a leading British trade unionist, might visit

the colony to advise on labour relations, but it was pointed out that a report produced in December 1965 by the Labour Adviser to the Commonwealth Office had covered fully and admirably what should be done and it remained

only to implement its recommendations. The unofficial members of the

Hong Kong Government had up to now resisted these, but their attitude might

well be different in the light of the recent troubles. In any event,

effect must soon be given to the recommendations. In considering the

wider problems posed by Hong Kong, the point was made that while Hong

Kong was of greater economic value to China than to the United Kingdom,

there appeared to be a difference of view within the Chinese Government

about whether the present status of Hong Kong should be maintained. An

element in Peking appeared willing to sacrifice the economic benefits

China derived from Hong Kong to the purity of doctrine of the "cultural

revolution". We could not rely on remaining in Hong Kong on present terms

until our lease of the New Territories lapsed. We should therefore consider what adaptations of the status of Hong Kong might be possible and desirable

after the conclusion of the present conflict in Vietnam. We should also

consider what steps would be necessary if we were forced to evacuate the

Colony.

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