FO371-41657 — Page 22

Page 22

17A

4.

5.

4.

Time is fast approaching when BRITAIN should of its own

free will, and in realistic appreciation that retention

of HONGKONG can only lead to never-ending trouble with

CHINA, announce its intention to retrocede HONGKONG to

CHINA in generous appreciation of the part played by CHINA

in Allied resistance to JAPAN and as recognition of CHINA

as a first-class and friendly Power.

The

This line is that of Chinese propaganda.

Chinese would not respect us long for it and would regard

it as a sign of weakness. "Warm Gratitude lasts for

five minutes", is a Chinese saying. As soon as they had

assimilated the gift, they would seek for more favours,

possibly in MALAYA, and focus their attention on INDIA. It

would eventually weaken our prestige as we would find out

as soon as circumstances forced us to a crisis in CHINA.

Indicate the possibility that H.M.G. might be disposed

to consider placing HONGKONG under the aegis of an Allied

New Order after the War.

*

Unless the NETHERLANDS and U.S.A. adopt the same

course, and the Dominions favour it, this seems too

nebulous to consider now. Would the sovereignty rest in

the New Order in a condominium or in a Mandatory Power?

If the latter, would it be BRITAIN or CHINA?

might, however, be made by New Order Planners.

BRITAIN and the Empire should not be committed beforehand to

an undertaking to consider HONGKONG as an isolated question.

The suggestion

If so,

Page 22

Page 22

Page 22

Page 22