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FOREIGN OFFICE
CONFIDENTIAL
DEPT. FAR EASTERN
CHINA - ECONOMIC AFFAIRS
(EXTERNAL)
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FC6/1
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CONFIDENTIAL
PART
1/673
1
RECEIVED IN
CHERN 3
1967
SMITISH TRADE
FC6/!
BY BAC RESTRICTED
IN HONGKONG
1 Junc, 1967
65
63)
(60
Mease refer to your letter of 22 May to Michael Hanıma enclosing the artiole on British Trade in Chirm.
Thank you for sending us the artiale but in view of the recent disturbances in the Colony and the points you ma's in your letter we think it better to oxit from the review of 3rdtain articles from yourself and from Forvosa.
I an sending copies of this letter to John Denson in Far stern Dept. and Dr. Russell at the Board of Trade and I am writing a similar lotter te Brereton.
MAG:Jm
(1. A. GOOD ELLOW)
Assistant Trade Commissioner
00. J. M
Denson, Esq. Far Eastern Dept.
Dr. I. Russell.
T. Peters, Esq., PELING.
Item
Enter
SB Sino - British Trade Council
TC
中英貿易协 会
President: Mr. John Keswick C.M.O.
64
The Association of British Chamber of Commerce
The Confederation of British Industry
The C
Association
The London Chamber
**FW/FEC
E.J. Sharland Esq., Far Eastern Departmenu,
.he Foreign Office, Downing Street, Whitehall.
5.4.1.
21 Tothill Street, London S.W.I Whitehall 6711
LF.
t.
7th June, 1977
FC6/1
Dear Mr. Sharland
59
Thank you for your letter of the Sid June. This item in the minutes referred to the Agricultural Exhibition proposal and the idea was that through the British Agricultural Export Council we should invite Huang Wen-chun and one or two of his staff to the Royal Show and afterwords arrange a programie of visits to various Agricultural projects in the country. This would be a preparatory measure and the next stage would be tơ endeavour to get a team of Agricultural experts from China to visit this country in 173, The final stage would be the Agricultural Exhibition.
Since Huang Yen-clium has gone I doubt if it will be worth while trying to get his successor, Hou Ting-ching, interested in the progra:zio. For one thing it will be necessary to get to know him and then to try to gauge whether an invitation to a show or other agricultural station would be likely to be accepted.
Yours sincerely,
X.F. Webb Secretary-General
17
INU'
Mi pa.
Comp/2
E. Bolland, Esq.,
Norcogod.
ડી
F. O.
BOARD
FRADE
مسا
Covering Confidential
ofr Shorland
With the Compliments of the
CEIVED INsistant Secretary
ARCHIVES No.31
1 JUN 1967B. Mac Tavish
BOARD OF TRADE
$30
Commercial, Relations and Exports
30
ORE.1606/110
BY DIPLOMATIC AIR BAG
CONFIDENT TAL
BOARD OF TRADE,
(63)
1, Victoria Street, London, S. W. 1.
25th May, 1967.
FC6/2/11
Thank you for your letter of 26th April recording your in- pressions of your own visit to the Canton Spring Fair, and a further letter of the same date reporting John Keswick's experiences at the Fair.
2. It seems clear from these letters and from Peter Marshall's own report which has now been circulated to the Executive Council of the 8.3.7.C.. that the opportunities of engaging the Chinese authorities and trading concern brious discussions on trade natters_ara_getting steadily more limited, and that so long as the Cultural Revolution purjush its current course any contacts are likely to be restricted to those necessary for the conduct of day to day business. Against this background it is all the more sur- prising not to say encouraging that our trade with China so far this year has been keeping up so well both in exports to China and in importa from her.
-
3. When we discussed trading prospects for 1967 just before your return to Peking, it is true that we concluded that trade in 1967 would probably be reasonably in line with that for 1966, but that trade for 1968 could well show a marked decline, as present major plant contracts were completed and as the Chinese themselves found increasing difficulties in producing and shipping exportable sur- pluses. The latter may not be ablể tỏ happen, since Peter Marshall reports that the Chinese have been quoting long delivery dates for their exports; but so far as our own exports to China are concerned we appear for the time being to be making up in increased shipments of non-capital goods anything we may be losing in the way of decreasing shipments of some types of capital equipment. Never- theless the pipeline of sador capital projecta in hand is steadily emptying, and unless there are some substantial orders placed fainly soon (which seens unlikely) it seems inevitable that our total exports will begin to turn down before many months elapse.
4 So far at any rate, our om attitude towards trade with China remains "business as much as possible as usual", Recent disturbances in Peking, Shanghai and Hong Kong make this a somewhat difficult line to hold, though the general concensus of opinion of those people we talked to at yesterday's reception given by the China Association was that H..G. should parsist in this despite Chinese provocations.
5. We shall doubtless hear more of this at next Thursday's meeting of the Executive Council of the 8.B.T.C., and I will report to you what is said there. In the meantine 1 an enclosing for your infor- mation a copy of Peter Marshall's report on the Canton Trade Fair,
/ notes
T. Peters, Esq.,
British Embassy,
Pering.
COEPIDI
CONFIDENTI
notes of the two meetings which Keswick had with the ghinese during his own visit to Canton, as well as a copy of Keswick's letter to Macliahon of 22nd May.
6. I am sending a copy of this letter without enclosures to Bolland in the Foreign Office.
(B. MacTavish)
J. Sharland, Esq., Far Eastern Department Boreign Office.
Enter
Comp/29
RECEIVED IN
With the ComplimenARCHIVES No.31
of
- 1 JUN 1967
A.K. Rogora
BOARD OF TRADE
FCG/1
CRE/311/66
COMPIDENTIA
B.P.0. AIR BAG
(62)
Commercial Relations & Exports Department
75th Voy, 1967
I am most grateful to you and Thoe ister: for your series of letters about the various complete plant projects eta, received bere by the last bag.
2. Unfortins taly I have little to report by this bag, so I will make this a mixed letter. Plessays have not yet decided win t they would like you to do. It might, in any event, be extreroly diffle it for you to do anything at the present time. Flessays would not bo sorry if the Chinese broke the contract, Unless, however, things develope vary seriously on the political fron I cannot see this happening. Argwy, I will let you know as soon as practically possible ubat the next move night be.
3.
We have invited Jay of Vickers-Zimmer to come and see us. He agreed to do so when first saked but he telephoned me in sons agitation yesterday to tell me about the imminent departure from Lendon of Huang Wen-chun and Sun Shi-wei. Vickers have a working model of their plɛnt and had invited Huang and gun to have a look at it. This had been fixed for today (25th). Huang, however, had to try off because he "had to return to Pking to join the Cultural Revolution" He did not know when he would return to
the U.K. or who would replace him. Then paket by Jy who could visit Vickers in his place Hazng is reported saying that if no one was able to do so within the next 3 or ↳ wicks then iokers might as well forget about it. He had alreedy heard from other sources that it looked as if Huang might be on the move. To what extent this is tied up with recent happenings it is not for me to a y and comment would, I think, be a little prenu tire, * am, however, copying this letter to John Sharland at the Poreign Office who might, in due course, be able to expand on the movements of Chinese from London,
-FC 6/5/7
4. We thought that our GREDA 17 about stale and Silcook of Sinen-Carven we necessay in view of the extreme difficulties you were experiencing last week. Huang bed advised Dickson of simon Carves that an attempt by the engineers of physioṛl contect with you in Peking was inadvisable, I understand that they both arrived safely and I hope that they managed to at le st tel:phone you
5.
Te attended the Chim Association annual reception last night, No Chinese were present. A muber of people, including shipping people, reported that tradé wa brisk and in feet Thomas of McGregor
SPIĆ was, it had never been better. There appeared to be little spressžem: abafe teammanaging crisis and that if we continued to "play 36.sani.we would come through,
A.J. Hunter, Esq.,
First Secretary (Commercial),
PEKING.
/6
6. You will doubtless de reporting shen d if you are able to do so about the effects on trade that present cventa are likely to have - a difficult if not impossible task. CUP thoughts are very much with you.
(A.K. Rogora)
:
+
Ed (1625)
Flag
Below
1
CONFIDENTIAL
Reference.
F26/1 (w.61
kr. Sharland
Far Eastern Department
%
-/61.
2.
Mr. Peters' letter of 23 May at
Although Mr. Perry is still with the London Export Corporation, Mr. Buckman quarrelled with his fellow directors in the L.E.C. and appears to have resigned in about February. Mr. Buckman has set up his own company under the name Buckman Import-Export Company Ltd., 33 Beaumont Street, W.1 (he is Managing Director) to trade in non-ferrous metals.
3.
We have not heard anything to confirm that an officer of the 48 Group will be going to Peking shortly although Mrs. Joan Robinson, who is involved with them, is believed to be trying to get there in the autumn.
M
12. Dawsey
ikkeamen
(P. McKearney)
17 July, 1967
Pse drage
Draft ķ Mr
ķ Mr Perri
18
Draft litter attached
Dyr Kisin
My som
25
Msmartani
Atharland
CONFIDENTIAL
가
This might indicate
CONFIDENTIAL
Swing Yow and the 48 trumpe
We should warm with B17
(11240)
எ
Office of the British
Charge d'Affaires,
PEKING.
RECEIVED :.
23 May, 1967
ARCHIVES No.3:
1 JUN 1967
C6/1
зор то бегаданий Shartain
Dear John,
Ema
FCG
In Canton at the opening of the Fair there was much talk among the British contingent about the recent split in the London Export Corporation, about which you may already have heard. It appears that Buckman, one of the Directors whom we suspect of being well to the left, has left the Corporation and intends to continue doing business with China on his own (or possibly in association with his Canadian brother, who trades with North Vietnam among other countries). Buckman was expected to come to the Fair and introduce himself to the Chinese in his new capacity; but he did not turn up while we were there.
2.
One rumour said that Jack Perry had also split off from L.E.C., but there is very little information to confirm this.
•
3. Possibly in order to reinforce L.E.C.'s image in the light of thie split, the Corporation had a stronger delegation at the Fair than usual. It numbered four people, and was led by Silver. Silver was also acting as co-ordinator at the Fair for the 48 Group
He may have arranged an interview for group members with Lu Hst-chang, and certainly organised a dinner attended by all Group members at the Fair at which Lu He-chang and other senior Chinese officials were also present. I have already reported that this dinner is supposed to have been a great success. (y letter 1863 of 20 Lay to Kefavish refers).
4.
FC6/2/13
John Little of J.H. Little & Co. is now in Peking and he tells ne that the Metals and Minerals Corporation have explained that they wish to buy from him because his company is a member of the 48 Group. He was also told that the Chinese had gummoned an officer from this Group to Peking for discussions. When he tried to probe more about this, they became evasive and said that they had only suggested that someone from the Group might like to come here. They also said that the 48 Group might be invited to send a selling mission here later this year. You will remember that we have already had Jack Perry and Roland Berger in Peking this year,
5. Little, who has been keeping in touch with us daily during the demonstrations and who pushed through the mob to call on the Minister on 16 May, has also given me some information about Gert Hauch, Deputy General Manager of olfr & Co. of Hochstrasse 56, Frankfurt-am- Kain. I had met him in Canton and had decided for myself that he was a slippery customer. Little confirms that Hauch has a finger in every pie and that he has excellent connections with the Chinese in Poking. Hauch claims that the Chinese have told him this week that they have still not decided if they will send buying missions to Europe this summer but that if they do the missions would certainly visit the U.K. and West Germany.
I am sending a copy of this let Trade.
Your twe
(T. Peters) Counsellor (Commercial)
J.B. Denson, 284., 0.3.,
Far Eastern Department.
CONFIDENTIAL
McTavish at the Board of
во
7
CONFIDENTIAL (1676)
J.B. Denson, Esq., 0.B.E., Far Eastern Department.
My. Short and
Entel
With the compliments of
THE COUNSELLOR (COMMERCIAL)
RECE
ARCHIVES 190,5:
= 1 JUN 1967
FC6/1
THE OFFICE OF
THE BRITISH CHARGÉ D'AFFAIRES
PEKING
22 May, 1967
Res
(1676)
CONFIDENTIAL
off
Office of the British
Charge d'Affaires,
PEKING.
22 May, 1967
NR FO.
I enclose now a brief article on British trade in China in response to your circular letter 1/475 of 7 March. This was prepared before the current crisis. I think that if you want to use this piece it should be anonymous, 1.e. no attribution to this office. Even then I think that it would be impossible for us to agree to its use if the supplement is going to include a piece about Formosa. The Chinese would assume that the article had come from official sources.
I am sending copies of this letter, and enclosure, to John Tenson in Far Eastern Department and Dr. Russell at the Board of Trade.
(T. Peters)
Counsellor (Commercial)
M.P.V. Hannan, Esq., British Trade Commission, HONG KONG
CONFIDENTIAL
60
DRAFT
British traders were among the first Westerners to resumƏ
business with China after the formation of the People's Republic in
1949. After the break with Russia in 1959 the Chinese diverted more
of their trade to heatern countries, and since then the volume of
Sino-British trade has risen steadily. In 1966 the two-way total
was over £65 million.
The balance of this trade has been consistently in favour of
the Chinese, though in recent years the gap has been closing steadily. Britain has provided a steady market for the traditional Chinese
exports agricultural produce, furs and skins, ores, objets d'art etc. Since the Spring of 1957, the principal forum for the sale of such itens is the Canton Export Fair, which takes place for a month at a time in the Spring and Autumn of each year, and attracts businessmen from many countries. Some 70 British businessmen usually visit the Fair, including sany regular visitors who specialise in trade with
Chine.
British exports to China are mostly in the fields of technology and engineering, though they also include steel, chemicals, textile fibres and even sheep and pigs for breeding purposes. British instruments have proved particularly popular with the Chinese, and the Scientific Instrument Kamufacturers' Association, besides staging exhibitions in China in 1964 and 1966, has increased its business dramatically to a currant total of over £4 million a year. There have also been a number of British complete plant sales. Those successfully completed include a synthetic ammonia plant which went into operation in mid-1966, and three British companies are currently contributing separate plants to the new petrochemical complex at Lanchow.
}
Si
FC 6/1
FOREIGN OFFICE, S.#.1.
2 June, 1967.
Please refer to your letter reference NPW/FEC of 5 April to Mr. Hoss about the idea of a series of visits by Huang Wen- chun and his staff during this year.
I should be most grateful if you would let me know of the progress of this idea, which, I imagine, may now be running into opposition from the Chinese side.
W. F. Webb Esq.,
The Secretary General,
(E. J. Shapland) Far Eastern Departzent
Sino-British Trade Council,
21 Tothill Street,
London, S.W.1.
59
NOTHING TO BE WRITTEN IN THIS MARGIN
(SKLOPE
Registry No.
SECURITY CLASSIFICATION
Top Secret. Secret.
Confidential,
Restricted. Unclassified.
PRIVACY MARKING
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To:-
N.F Will Egy.
The Secretary fonewal
dino. British mache Briml
21
Tothall H.
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59
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London 5.2.1.
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Issued by the Sino-British Trade Council,
31
SB
-16 JUNI~!
the officially recognised body for the promotion of Sino-British Trade
58
TC Sino-British Trade
Jan./March (in £'008)
Provisional figures for United Kingdom trade with China for March and the year to date are as follows:
Jan/March
Jan/March
March
Imports from China
£2.969 £8,924
£9,801
Exports to China
5,420
9,982
7,042
The excellent figure for March exports presumably contains an item for the first vessel delivered to China by Messrs. Doxfords, but even allowing for this the trend is encouraging.
U.K.-China Trade
Jan./Feb. (in £'000)
Feb.
Jan/Feb. Jan/Feb.
1947
1944
Imports from China
£2,800 £5,780
£7,095
Exports to China
1,914
4,562
4.469
April 1967 No. 31
•
Commentary on Jan./Feb.
Chemicals maintain their good export performance and, to a lesser extent, dye- ing, tanning and colouring materials and plastics. The increase in non- metallic mineral exports is due to re- fined copper.
Plastic working machinery and moulding boxes for metal foundry show useful increases in the non-electric machinery group. There were lesser exports than average during February of textile fibres, iron
The
ino-British Trade Council k
A report of the launching of M.S. Jinsha at Doxford's Yard, Wearside, was carried in our March lase.
nsored by: The Association of British Chamber of Comman
London Chamber of Commerce,
Ins Association, The Confederation of Britich Industry und
C
and stool, electrical machinery and
scientific Instruments.
GROUP TOTALS FOR JANUARY/FEBRUARY
Imports were again down during the U.K. Imports from China (in £,000) month, particularly cotton seed oil, hide and skins, wool, tin and tag. There were increases in the case of asthment, oil seeds, chemicals and basketware.
Our re-exports to Chim, rose from 950,000 in 1965 to 21,506,000 in 1966. A surprisingly large number of small Heme are involved, but the following are the larger ones (in E sterling): Frozen egg
blocker 17,266, Mica £146,866, Chemical elements and com- pounds 114,374 (of which lodine
12.175, 95,064). Sandalwood ferous motala 1,012,960 (of which Copper 668,600, Aluminium 18,130. Land 19,000, Zinc 305,975), Noa- electric machinery 109,917 (of which compressar part 14,100 and contri.
+000
Mext and Preparations
Dairy products Fish producti Cerezka
Jan/Feb Jan/Feb
INT
1966
32
14
including rabbit
195
146
tinned pork
116
105
82
53
123
91
145
133
Fruit and vegetables
168
145
Tea and Cocoa and prepar
132
258
including cocoa butter
31
101
锕
126
Hides and
Oll seeds
fag 91,702), Electric machinery 33,622 Textile llibres (of which X-ray apparatus 24,871, Pro- fessional and scientide instrument 23,481).
HM. Government is stated to have
given consent, through the Ministry of Crude materials
Technology, to an order for a £500,000
British computer system to be supplied
to China by International Computers Vegetable oils
and Tabulator. The equipment in commercial system capable of under. making multi-programming, and expected to be delivered soon
• A Time report says that Steel Supply (Western) of Swansea has con- tracted to ship to China 10,000 tons of ferrous scrap at about £10 per ton China in majd so be in the market for suberantal tonnages of steel scrap and also interested in burying ships for breaking up
Chemical comporada
348
1
including groundnuts
102
castor of seeds
125
929
1.212
including raw silk
174
sheeps and lambs wool
cashmere
826
57
Metallferoes ores and scrap
260
including tungsten
206
including bristles
72
248
1.748
including cotton seed
193
1,693
castor oi
32
tung od
19
46
191
137
including menthol
56
Chemical material, naz
117
including rosin
100
0.4.
163
142
31
57
746
678
including gray unbleached
394
380
carpets
156
166
76
59
120
Including bismuth
110
112
50
TOTAL
570
7,095
For skies Plywood
Paper Textiles
This was followed by an Economist... Potky and gå report that China has bought nearly 2-Now-ferrom meta mill. worth (100,000 too) of Iron and
Heel scrap during the last two monthu
and is magse to boy
more if export
licenow an avalabla. Most of this is thought to be for the Vost plant in Tairana.
Livemack to Chloe
Blue Ponsel and Glen Line who have maintained regular liner services to the People's Republic of China since 1952 are playing their part in the carriage of
the suddenly booming trade in livestock. Blog Punnel have carried (77 pigs this your of which 117 woen shipped in April in "Menesthaus" and "Automedon."
They and the Glen Line will also take part in the movement of a total of 219 sheep from the UK. in Shanghai in May and June,
She British Trade Roder
GROUP TOTALS FOR JANUARY/FEBRUARY
U.K. Exports to China (in £,000)
1966
511
Denmark
Encouraging reports have been received regarding the success of the Danish exhibition held in Peking in March. The number stlending exceeded expectations and were mainly people with a technical background. 72 coming from all over China. About *
three quarters of the exhibits were sold.
• Danish exports to China in 1966 were 10.89 mil. and imports £4.21 mil.
ingapore
Jan/Feb Jan/Feb
Textile Obres Chemienis
197 328
617
Dyeing, Tanning and cleaning mat's Plastic materials
154
36
Chem. mats and products mes
24
170
Textile yarn, &c.
200
118
Non-metallic mineral vastuufs.
112
26
Iron and Steel
835
1,228
Non-ferrous metal
305
18
Machinery non-electric
1,010
940
Machinery electric
276
341
Transport equip,
134
163
Professional and scientific
371
474
International Trade
We have extracted from Tattersalis Quarterly Textiles Review the insports of plece gonds from China of those countries for which returns are avail- able. There
bot yet sufficient figures for 1966 to produce a close estimate. No figures are available for any Communist country, and the USSR in particular has in the past been a large buyer.
1965 recorded imports of cotton piece goods from Chion were 590 mail, sq, yás. Taking the value of imports of Hong Kong as a basis, the total value of this yardage is about £36 mil. Principal Importers were Indonesia 240 mil. sq. yds, Hong Kong 216 mil., Malaysia 44 mil.. Ceylon 33 mil.. Nigeria 27 mil. (ASE), UK. 34 mb.
Imports of man-made fibre fabrics by the same countries totalled 80 mil, sq. ydk.
For Curr
Hong Kong imports from China rose from £23.2 mil. for Jan/Feb. 1966 to £30.5 ml, during the first two months of 1967. The largest increase in in Textile yam, fabrics, etc.. which contra- dicts reports from Japan of a shortage of Chinese Textiles. Apart from slight decreases in live animals and sugar, ime ports of almost all other food and agricultural products show increases.
TOTAL
Philippines
The Chamber of Commerce of the Philippines is expected to send a trade mission to Canton during the course of the Trade Fair, in a private capacity, to investigate trading possibilities. There has hitherto been no direct inde be- tween the two countries but Manila was recently considering the purchase of rice from China in order to allevi ate its shortage.
Лирил
Japanese stoel exports predict that sales to China will increase rapidly in the next two or three years and that they may well exceed one million tona during the period, provided that Japan increases its imports of coal and ora from China. They say that his dim- cult to pin point the reason for the increase in Chinese demands, although steel tube for oil driting is a special need
Wasal Bussna Co. of Tokyo, is reported to have received in order for 10.000 tons of fertilizer. nature con- stated, costing £130.000.
The International Trade Promotion of Japan states that basic agresonont has been reached for the building of permanent trade exhibition houses in Peking and Tokyo.
The Singapore Chamber of Com merce in its Annual Report said that China increased its purchases of rubber from Malaysia from 13,475 tune in 1965 to 90,350 tons in 1966. The report believes that this increase is in part due to smaller purchases by China from Indonesia
East Germany
A trade and payments agreement for 1967 with the East German Republic was signed in Paking on April 14th. The agreement provides for some in- crease over 1966.
Wes GermaŲ
Reports atributed to Bonn say that talks on the construction of a large steel rolling mill for which West Germany www reported to have guaranteed a credit of DM 300 mil last year, are to start in mid-April. It is mid that the initial capacity is to be 3 mil. tank. rising later to 6 mil. A trade delegation specialising in stoel passed through Hong Kong route to Peking at the end of March.
West
The principal items of Genman exports of £46 mil to China in 1966 were copper £5,7 mil, fron and meel sheet £2.1 mil. steel tubes £2.6
SUBSCRIPTION RATES
Subscription for 12 consecutiva famosa
SINO-BRITISH TRADE COUNCIL
21 Tethill Street, London, SWGI
Tal. Whkabel BI
mě, machine tools £2.7 mil. power machinery 21 mil, other machinery £5.1 mil.
A report on Pakistan's food grain sitation says that China has agreed to supply 500,000 tons of wheat and 50,000 ton of rice to be paid out of the balance of the interest free Jown equivalent to 560 mil 20,000 tons of rice la being shipped to Napul.
France
Paris radio announced on March 23rd That Francs had contracted to soll 15 Alouette (11 bolicopters to China for 20 mil francs, the order to be com. plated by the and of 1967. This was fest reported in our Fabroury jeste.
Industry
Reports from major industrial areas give a picture of deady advance in i dustrial production in the first quarter of this year. The increase for Shanghai a reported to be 3.4% during January and February, and for Tringtao 29% in the first quarte. The output of the Tsingtao wool mill, which produce shaped steel, stoel sheets and tubing. had dropped to the lowest point in history just prior to the seizure of power, but more than achieved in burges for the first quarter.
• A new high precision automatic machine for printing high quality colour pictures has been put into operation in the printing house of the Chinese Academy of Sciences. The machine prepares an one day four colour pictures which took more than two weeks of dan hand engraving process previously
used.
• The Far Eastern Economic Review of March 30th in a special section antilled Camera is Asla describes the
Caba
A Sino Cuban trade protocol for 1967 was signed in Peking on March 20th. China is to supply rice, soya beans, lard. canned pork, cloth, rolled steel, machinery, instruments, chemicals and pharmaceuticals, etc... Cuba will furnish sugar, mineral and other products.
The Rumanian stale company. Auto Tractor has recently sent a number of S.R. 132 Carpati korries to Chọna,
Mongoli
A trade protocol between China, and the People's Republic of Mongola was sgoed in March.
Reference a made to the produc- tion of diesel engines by the Inser Mongolia Engine Plant, the report emanating from Hubchat, and to the Lanchow Railway Bureau's vehicle wheel plant at Landsi
The January issue of China Recon- structs carries a photograph of the platforming unit at the Taching Oil Field and one of the plant for the manufacture of banzine. There is also an article on the natural gas explosion and fire which occurred last June fa the course of preparations for a shut in pressure test.
The Far Eastern Economie Review of April 13th carrier a series of articles under the heading "Automobiles for Ass. The section on China describes the types of vehicle now be ing produced and mentions the known production and assembly plants. deplores the lack of statistical informe tion on this subject.
various types of Chinese car and Agriculture
accesorios being sold in the Hong Kong market. Imports of Chinese elmers to Hong Kong in 1966 were 5.857 units valued at HK$425,000 (£27,000).
A new medium sized open cist coal mine has started production in Honan. Design and equipment is of
domestic
It
On March 20th Premier Chou En Lai addressed a group of pesant fumes on the tacks of Spring farmers. He told them that there would be "no seizure of power among production teams and brigades." This presumably means that the cultural revolution is to be suspended in farming organisations
The following table gives ship- ments of wheat to China for 1965 and 1966 which is believed to be complete except for December shipments from Argentina.
Tons thousa
1965
1966
Canada Australia France
1,534
2,845
2.733
1,505
12
Argentina
Total
1,358
1:0 1,522
5.637
5,982
Stupments in 1964 were 4,953,000 tons Imports of rice from China as declared by most buying coUN- tries were 523,000 tons in 1965 of which 432,700 were reported in the first three quarters. Imports for the first three quarters of 1966 were 682,600 tons and incomplete returns for the fourth quarter came to 43,000 tons, giving a minimum of 725,600 tons for the year. None of these figures include import by Cuba, for which the contracted quantities were reported to be 250,000 come 1965 and 130,000 tona 1966.
in order not to prejudice apricultural work A similar stainment was made by the authorities in Shensi
A report from Harbin describes the subjects discussed at a Conference on the cars, protection and transport of food grain. It points out thai Heilung- thing had an excellent harvest fast year and that the amount of food grain going into granaries was the highest on record. Stress was laid on the import- ance of airing and drying grain to bring it to a saČe molature content and on taking care of it in store and transport thereafter, the implication being that there have been inadequacies in these respects. There is apparently a need for grain drying equipment, and for means of protection from infestation there. ofter.
A report from Wuhan mys that in order to encourage the development of pain, potion and other industrial crops, and acting on the instructions from the State Commal, the pro- procurement deposits for 12 major
Bettiah Trade Review
agricultural and side line products have been paid out two months earlier than in previous years.
Canton radio reports that a severe drought is threatening spring crops step areas of Kwanghung. This is bon but by the lack of rain in Hong Kong whore water supply restrictions have been reintroduced.
However, bowry main fell in Kwang- ting at the beginning of Apell in suli- cient quantities to alleviate or alimin. ate the drought conditions which have persisted for some months past.
• Peking reports on March 20th that 100,000 toms of chemical fertilizer had
impression is that a good deal of capital will be spent on mechanisation and fertilizers in the next two years, and that much attention will be paid to research. He thought that there would
be demand for tractors in the 60 to
80 h.p. range and that it would not be long before mechanical harvesters and the like were required.
The Baltic Exchange reports recent charters by China for fertilizer cargoes from Europe at around 90/- May/June. This will make the price of sulphate of ammonia about £14-10-0 per ton CIF China ports
been sent to communes on the outskirts Domestic
of the city since the beginning of this year.
• Mr. Dennis Boyle, of B.M.C. Export Ltd., a specialist in farm mechanimation, has recently spent mont time in Hong Kong discussing China's plans for agriculture with Chinese His outmanding
representatives there.
A report from Wuhan states that the Peking Canton railway Wak cleared for trade from Murch Sch.
A broadcast from Shanghai Da April 16th carried a report from the Weo Hai Pao maying that "in the harbour and on the wharves of Shang-
The Kwangchow (Canton) Fair
from P. 5. Markal
NOTE : in this publication, we normally try lo remain aloof from political jasusa, whila carrying out our main task of promoting trade and understanding betweed out two countries. However, we are secured by Chinese collegue that it is essential st time to urge all burnommen lọ attain madamtanding of the pressat situation. Chins, sinos it most stringly affects work the Casson Fair, business relations, and mspects of trading and production.
El sekta appropriate therefor, la preface pur account of the fair with a powibly loadequate, but sincere attempt to explain the background as well as the exhibits. This should not be taken to mean that we hav bosome political,
In passing, we note that the fair in renamed KWANGCROW FAIR and should be sou
POLITICS IN COMMAND.
In the current phases of the confies between the two Bone," the left-wing proletarian organizations are actively kaking themselves into a close alfiner to finally defist and out from their positions, adherents of the rightist Ban, and to anime power and control in every organisation throughout the country.
During this period of cellclay and tee of the rightist Timm, and individual
olacea connected with it, and seizure of power. by the lot, Cadres in all organisations are ad to stop forward bravely - despite any hardships they may recently have endured and with the revolutionary students, to form a grand alliance with peasant and worker proletarian revolutionary orgaolucions. poned by local andy vals. The revolucion
work
of all work, while askerke do the lala and increase prosvetion, work wimbier revolucizi weken
It is unclpssed, that the revolutions Forvour now abroad will stimulate a long agricultural and industrial production, think it is possible to pousse the twin objectiv of Incrossed production, and saimen of wwww, slemaltinuously. As production incromes, it is anticipated that it will bring about inermined foreign trade.
BUSINESS AND REVOLUTION
In its outward mondatoties, a ten becomes aware of the present zapsa ekopaiga, in several ways. z
Betons dicussions now are with deep polkien) diversions, designed to divory that everyone has understanding of the hun at strike la and the signideance of the seizure of pow by the Proletaria Left, now following line, advocated by Chainman Mo, applying his thought in all maka.
bai there now exists a great congestion of goods which a seriously affecting the distribution of goods in the nation." Efforts to reduce the congestion have been affected by long periods of ruin
• The Shanghai Municipal authorities have issued regulations for the control of motor vehicles, since "a large number of motor vehicles were widely scattered or lost" during recent political disturbances.
The French Prem reports that China has been trying to recruit sero- nautical engineers and technicians in West Germany.
• It is reported that Bong has been holding conversations with the authorl- tios in Peking for the installation of telephonic communications between the two countries.
The Foreign Ministry in Bonn have, densed reports that secret negotiations have been making place between Bonn and Peking concerning the exchange of trade missions.
This political manjar is not always sadly grasped, and the sessions are long and lively.
cand representarines of the renalan manzana, jeho sir in alan, combine bieten wirk
sadnical work thronghout the day.
The loudspeakers in the ball are in mo much of the time to sasiet this political work, and it must be admitted that at times, both sides to say business discussion often find it difficult to hate each others words.
Having said that, let
drical work are
The Proletarian revolutionary are strongly reflected also in the Arrang of the Milk, and the scibile themelue There is in each section, a revolutionary chleau, centred on a bus de Hatua ĐẾ Chaizean Man, and linked to li, are barna, and often very interesting pictures on the twis
nuvolation. of production
The fair bol
now used alo porniment exhibition of China's incata in science and industry. Not mhibits therefor, are samples of For
This can be somewhat confusing fest, particularly in the machinery section, and il would help foreign buyers if schievo- ment exhibebi, not offered for sale, were Taboliad
6
Sino-British Trade Rew
THE EXHIBITS
The Cereals, Oils and Foodstuffs Corpora- tion still has the most attractive section
possibly because the products shown, being concerned with man's most basic need, most readily give the impression of abundance in a mass display, and attract by their natural colours, and connections with eating. Pulse and different grains fill the wall cabinets, beneath sheaves of wheat and rice, peanuts, etc. Another attractive feature is the display of oils extracted from them. Two oils which I have not previously seen here, are small apple oil, and rubberseed oil.
The Chemicals section, which includes medical apparatus and instruments, once again shows autoclaves, X-ray apparatus, surgical instruments and rubber products, around a centre piece which includes a laboratory model and other items connected with the work of Chinese scientists in pro- ducing crystalline insulin. The range of sulphonamides, vitamins and antibiotics is impressive also. This show of advanced products resulting from the efforts of scientists in both pure and applied chemistry, shows also something of the wide range covered by their work. New products may be seen in all sectors; new chemicals, dyestuffs, and pharmaceuti- cals lead one's eye along to the display of oil industry products. Here are shown the lubricating grease and petroleum jelly seen at previous lairs, plus later products such as calcium-based, aluminium sodium lithium and calcium sodium based greases; white oils, grades A & B; fatty alcohol; synthetic fatty unsaponifiable matter; and black grease for locomotives. Oils now include light diesel, vacuum pump oil, diffusion pump oil; condenser oil; aviation lubricating oil; aviation hydraulic oil; jet lubricating oil; instrument - and precision instrument oil. Jet fuel, aviation gasoline and no. 85 Gasoline in plastic carboys complete this show of impressive progress in these industries,
L
The Textiles section contained the new mixtures seen at recent fairs, and garments much as before. However, under the stimulus of the Cultural Revolution, many brocades etc., in traditional designs, have been re- designed with considerable skill. Colour and general design are similar to the original, but outdated* motifs such as good-luck flying bats, have been replaced by tiny crossed ping-pong bats and balls etc. One sees the reason for the changes, but some buyers are worried about this tendency. Many of them supply customers who make-up articles covered in these materials, and though the merchant may like them, it is not yet certain that the end-user necessarily will. Where this is so, merchants may be driven to purchase in Hong Kong or elsewhere, in order to keep their own customers.
The same trend exists throughout the Arts and Crafts section also, and similar difficulties occasionally affect our buyers. It should be repeated that we all understand the en- thusiasm behind these changes, nevertheless, it remains true that it is the foreign buyer who has the difficult task of persuading overseas customers to buy the new designs rather than the old.
Not every potential purchaser abroad will accept a figure of a militia girl carrying a weapon, in place of the Kuan Yin
or classical figure he really wanted for his home. If the customer insists, the merchant must look for a supplier in Hong Kong. - or Japan, and China will lose Singapore some trade which otherwise would be hers. and which traditionally, is bers.
The Light Industrial Section, as always, was full of interest. The range and variety of electrical equipment is slowly broadening. There are now some 10 different types of 8 transistor radios, a tape recorder was shown, and electricity showrooms' products now include an electric rice-cooker, toasters, new light-sources, bucket immersion heaters, electric clocks, plus the refrigerator and washing machines previously seen.
L
Film studio and projection equipment, and an enlarger join the widening range of cameras, film and photographic papers.
Kitchenware now includes wall-hanging tools, coffee pots, a very full range of alu- minium ware up to large catering sizes, more shapes and new patterns in strong, decorated enamelware, and additional kitchen aids of the mincer type. One such is a noodle-rolling machine, which produces noodles of the correct thickness about 20 at a time, from flat dough.
Newer trends are evident in the design of bathroom fittings and hardware, and in electric fittings. Flush fitting Italian-type
wall switches are included in the range of older design plugs, sockets, adaptors, etc., and all sanitary ware is now ultra modern and slim-line; pedestal washbasins, bidets, baths and low suites are available in all the soft modern colours. The range of window glass and building board is increased also.
In this section were two photocopiers, unfortunately closed but seemingly a wet process.
It would require too much space to list all the new products, but brief mention must be made of the following.
Machinery: exhibits, apparently not for sale, included the new double-column jig- borer, the Red Banner sedan with 8-cylinder v-type engine, and a 6-spindle automatic turret lathe. There is more printing machinery now including book stitcher and guillotine; more sawmill equipment, including a spindle side-moulder, a thicknesser, and a small sawbench; and more crop-processing, oil- pressing and plastics machinery, including a tubular- film unit for polythene. Air- conditioning and refrigeration equipment were also shown.
+
A crawler-, and 4-wheeled tractor stood by the 5 h.p. version of the now popular
· Worker-Peasant' land tractor in the yard outside, but unfortunately it was not possible to see the range of drawn-tools and attach- ments these now employ.
To revert to foodstuffs, fresh eggs are now packed in 360-egg corrugated and cardboard containers, and yolk and eggwhite, in 20 kg. tins within a cardboard pack. Sweets, biscuits, tea etc., all show new packaging, and are very attractive. Chocolate and sweets are packed in slabs, pastille-tubes, tins and boxes of wide variety; including new pocket packs as dispensed by railway station machines.
·
There was a wide range of canned fish products packed at Shanghai, Tsingtao, Dairen, Canton, Amoy, Swatow, etc., and it is obvious that this is a growing industry in China.
Bottled and canned juices, fruits and vegetables look most attractive throughout, and all are in modern packs. Dairy p included milk, condensed from Canto, powdered from Shanghai,
cts
And
The increasing range of meat products many of them new - included frozen chicken pieces, canned pork products from Shanghai, Fukien, Kwangsi, Kunming, etc., as well as a very eye-catching 3203 square can for pork loin from Tientsin. Canned soups are now available. Mutton was being canned in Tientsin and Tsingtao, and beef in several forms came from Tientsin, Dairen and Tsingtao. Spring rolls in a flat 1203 can made an attractive pack, as did many in the Famous Chinese Dishes Series. There is no doubt that the food industry in China is modern in approach, and increasingly well- equipped. Labelling now will stand up to competition on any grocer's shelves.
T
The second article on the fair, with later notes written after the closing ceremony, will appear in our next issue. I shall have something to say on new animal feedstuffs and compounding, cigarette and rope manufacture, instruments, etc.
In the meantime, from all the 40-50 British companies represented here, I ask you please to reply promptly to any telegrams and enquiries they send!
S.B.T.C. Affairs
Mr. JOHN KESWICK, C.M.G., President of S.B.T.C., and Peter Marshall were received by Mr. Lu Shu CHANG, Vice-Minister of Foreign Trade, and Mr. TAN TING-TUNG, Deputy-Chairman of the Fair Organising Committee, and acting Governor of Kwangtung Province, on April 20th.
Mr. Keswick gave a dinner in honour of the Fair Organising Committee and the Corporations, on April 19th.
Late Item
Messrs. Berk Ltd., have received an order worth £500,000 from the People's Republic of China for the supply of Agricultural Chemicals. A spokesman for the group stated it was the largest order so far received by the firm from China.
Printed by Rawlings & Watch Lid., Chertsey
Surrey
I
FC6/1
ら
:315
FOREIGN OFFICE, 8.#.1.
23 May, 1967.
Dear Sir,
Thank you for your letter reference NFW/PEC of 15 May to Mr. Moss about the special meeting of the Executive Council, which has been arranged for 11.30 a.m. on Thursday, 1 June at the offices of Matheson & Company.
I have now taken over Mr. Moss' deek and would be happy to attend the meeting if you would confirm that I will be welcome in fr. Hoss' place.
N. F. Webb Esq.,
(K. J. Sharland) Far Eastern Department
The Secretary-General,
Sino-British Trade Council,
21 Tothill Street,
S.W.1.
57
+
SB Sino - British Trade Council
Enter
56
TC
中英贸易协会
President; Mr. John Keswick C.M.G.
חילי
The Asociation of British Chan.ben of Commerce The Confederation of British Industry
·
The China Asocution
·
The London Chamber of Commerce
NFW/FEC
Executive Council, Copy to President.
21 Tothill Street, London S.W.1 Whitehall 6711
15th May, 1967
ARCHIVES No.31
1 6 MAY 1967
FCG/1
Dear
th. Moss,
A special meeting of the Executive Council has been arranged for 11.30 a.m. on Thursday the 1st June at the offices of Matheson & Co. This is to enable menbers to hoar from the President and Mr. Marshall their impressione and comments on the Canton Fair and the general situation.
Will you please let me know if you will be able to bo present.
Yours sincerely,
N.F. Wobb
Secretary General
CONFIDENTIAL (1121)
J.B. Denson, Esq., 0.B.E.,
on, Esq.; Far Eastern Department.
Frized
With the compliments of
THE COUNSELLOR (COMMERCIAL)
ধ
भू
Mr Marland
THE OFFICE OF
THE BRITISH CHARGÉ D'AFFAIRES
PEKING
5 May, 1967
гр.а.
(1121/67)
CONFIDENTIAL
folis 50 FC6/1/52
Office of the British
Charge d'Affaires,
PEKING..
5 May, 1967
55
RECEIVED IN ARCHIVES No.31
1 5 MAY 1967
FC6/1
Alistair Hunter is answering separately the letters which you wrote him on 27 and 28 April about various complete plant projects. These were all most helpful, and we are particularly grateful to you for your efforts to get the companies concerned to co-operate with us in keeping us fully informed. In several places you express concern at the Chinese attitude towards these projects, and I think it might be helpful if I try in this letter to set out our views on current Chinese policy towards complete plant contracts and how it affects us and British companies.
2.
In your letter about Simon Carves you ask whether the increase in the number of problems which seem to be arising at Lanchow is the result of deteriorating conditions there or of a greater willingness on the part of the firms concerned to take us into their confidence. I do not think that either of these is the answer. We have always heard promptly, even in the past, when something has gone wrong, And from the accounts given to us by British staff from Lanchow conditions there are rather easier than they were a few months ago - I am sure that the people there now are no worse off than lumphreys and Glasgos's men in Szechuan last year, and in many ways indeed their condtions are a great deal better. Life is very restricted in such an area, and there are inevitably frustrations and delays in the progress of the projects. The picture need not always be gloomy. Eric Jones of Dobson and Barlow, for example, who passed through Peking last weak having spent nearly five months in Lanchow on equipment for the Vickers-Zimmer plant, claims not only to have enjoyed his time there but to have finished his task sone months ahead of schedule despite the fact that the Chinese had complained about the state of the equipment when it arrived, and were not satisfied until a senior member of the company had been to Lanchow to reassure them. (You will understand our pleasure at learning that this company had received a queen's Award for Exports last week).
-
3. What I do think may be happening is a tightening of the Chinese attitude towards the problem of resident foreign engineers. Recent events have certainly accentuated their difficulties in "looking after" (or keeping a watch on) foreigners, both because political activity has reduced the number of man/hours available for this work, and also probably because closer supervision has been thought
/necessary
A.K. Rogora, Esq.,
Commercial Relations and Exports Department, Board of Trade.
CONFIDEITIAL
CONFIDEITI AL
I
2
necessary to prevent foreigners aseing the less savoury aspects of the Cultural Revolution. We have heard that Techimport are "revising their complete plant purchasing policy", and that this probably means that in future they will buy separate items for inclusion in a Chinese built plant rather than complete plant package deals. If this is true, one object of the exercise is undoubtedly to cut down still further the number of foreign technicians resident in the country.
4. Most of our existing complete plant projects appear to be Buffering from this development. Simon Carves seem to have had trouble with visas for other engineers as well as for Downs (their telegram of 6 Harch to Techimport, which you copied to us). Vickers have had similar problems, made worse admittedly by their own belated decision that they needed nearly twice the number of men on site than they provided for in the contract. Prinex have been waiting for months to get men on site, and now have the impression that the Chinese want to try and do most of the work themselves. (other technicians from Lanchow have, incidentally, commented to us that the Prinex delay is probably because "the Chinese don't have enough technicians and interpreters to deal with such an influx of foreigners") And now you report that Plessey, too, ure being worked on by Sun Shih- wei with the probable purpose of dissuading them from sending their engineers.
5. The Chinese have always been extremely fastidious about the quality of equipment delivered to them, and there is not yet sufficient evidence to show that the Cultural Revolution has made them still more fussy. They are certainly no less so, as both the British firms now in Lanchow can testify. he can be fairly certain that Chinese complaints about quality will continue to be a routine ingredient in the installation of Pritish plant in China, and the number of complainte mɛy well increase if the Chinese take it upon themselves to do more of the installation.
6. In para. 4 of your letter about Vickers-Zimmer you made a good case for trying to persuade the Chinese that if they want to obtain the technology from the best which they need for rapid industrial advance they must make life easier for the companies and their personnel.
There is, unfortunately, no longer any hope of convincing the Chinese by such reasoned argument. Current Chinese propaganda, as you say emphasises the need to increase production (through revolution). This must, however, be related to the doctrine of self-reliance" which has been preached for a number of years. Production increases, but through the efforts and inspiration of the Chinese vorker - it is rarely admitted in public that there is any purchasing from the West. Before the Cultural Revolution the practically-minded men in charge of industrial and commercial affairs seemed to be perai ted to ignore official policy and to purchase from the West to the extent that the foreign exchange position allowed, "o-one seened greatly to mind that foreign technicians scattered through China were present vroof to the Chinese people that self- reliance was not being practised 100%; and indeed some Western contacte, such as the Austrian one for LD steel plant signed in December, 1965, received Chinese press publicity. Nowadays, when trading officials
COM TEINTIAL
/have
CONFIDENTIAL
- 3-
have revolutionary rebels at their elbows, there is much greater pressure on them to practise what is being preached. Presumably even the politicans are sensible enough to realise the disastrous consequences of cutting off trade with the Weat: but one guesses that their instructions are now to strip the purchasing list to essentials, and wherever possible to avoid the need for foreign technicians to come to China. Hence the "revision of complete plant purchasing policy" mentioned in para. 3.
7. I do not think that this development will greatly affect the volume of our exports to China. These have been virtually limited to essentials for a number of years, and if the Chinese no longer want to buy complete plant (this, I hasten to emphasise, is not yet established fact) they will almost certainly still want to buy many of the more sophisticated bits of machinery for their own complete plant projects. They may also still show considerable interest in buying "knowhow" and in sending small groupe of their experts for training at plants in the U.K. But as already mentioned we seem likely to be in for increasing difficulties in the installation and inspection of advanced equipment. All we can and need do, I think, is increase our efforts to get firms to consult us from an early s tage in their negotiations. We must then point out to them with still more emphasis than heretofore the likely pitfalls, and ensure that they safeguard themselves against e.g. the Chinese making major claims against the company without allowing British personnel on site.
8. Since this letter gives some views on likely developments in some aspects of our trade I am sending copies of it to John Denson at the Foreign Office and Furys Davies in Hong Kong.
(T. Feters) Counsellor (Commercial)
CONFIDEITI AL
FC6/1
FOREIGN OFFICE, 8.W.1.
19 May, 1967.
Thank you for your letter of 8 May to David Noss and the copies of reports enclosed therewith.
I have now taken over Ir. Ios8* desk and shall look forward to meeting you in the future.
(E. J. Sharlani) Far Eastern Department
N. F. Webb Esq.,
Secretary-General,
Sino-British Trade Council,
21 Tothill Street,
'ondon, S.W.1.
Pa
Rafiq
ী
54
(83126) BLS.
NOTHING TO BE WRITTEN IN THIS MARGIN
Registry No.
$4
DRAFT
Letter
Type 1 +
To:-
Accrey
Confidential. Restricted.
Unclassified.
N. F. Webb Esq.,
Secretary General,
Sino-British Trade Council,
21 Tothill Street,
London, S.W.1.
From
J. Sharland
Telephone No. & Ext.
Department
Thank you for your letter of 8 May
to David Moss and the copies of reports
enclosed therewith.
I have now taken over Mr. Moss' desk
and shall look forward to meeting you in
the future.
Ledi
Ed (1626)
Mr. Denson
FC 6/1 W. 53
Reference
To see reports and approve draft please.
Jihr there is
(E. J. Sharland)
17 May, 1967.
izient
18h
E
CONFIDENTIAL
RECEIVED IN
Sino - British Trade Council ARCHIVES No.31
SB Sino
TC
中英貿易协会
President: Mr. John Keswick Cad
10 MAY 1967
FC6/1
1
3
The Associacion of Belcah Chambers of Commerc The Confederation of British Industry
The Chisa Association
The London Chamber of Commerce
NFW/FEC
Executive Committee
Doar th Moss,
21 Tothill Street, London S.W.I Whitehall 6711
CONFIDENTIAL
8th May, 1967
I am sending you herewith copies of reports on meetings that Mr. Keswick had with Mr. Lu Shu Chang and Pi Sheng-yu on the 20th April in Canton. You will see that these copies are numbered and the President requests that you keep them for your personal information only.
Attached also is copy of Mr. Keswick's letter to Mr. Hou Ton of C.C.P.I.T. of the 22nd April concerning the Technical Journal proposal.
Yours sincerely,
N.F. Webb Secretary Genoral
I Sharland D..
CONFIDENTIAL
17
CONFIDENTIAL
- 3 1967
+
Sino-British Trade Council, 21, Tothill Street,
London, S.W.1.
22nd April, 1967.
lieu Ton, Esq.,
China Council for the Promotion of International Trade,
si Tan Building,
VERING,
(Dear Hon Ton)
Thank you for arranging for my invitation and reception at the Kwangchow Fair. I very much enjoyed the opportunity of mooting Minister Lu and your colleague Mr Bi Shong-yu. We had sono interesting discussions and I also had an opportunity to neet representatives of the Red Guards and the Revolutionary Rebels at an informal dinner one evening. I found this particularly instructive, as I was able to learn from them the ..sture and momentum of the Cultural Novolution. Both I and my wife were vory pleased to participate.
with this lotter I am sending you a mock-up. that is to say, a preliminary version in English of the technical news magazine which I am suggesting that the Sino-British Trade Council should publish quarterly in the Chinese language. You will notice that English is used in the mock-up, but this is merely to indicate the type of article that will be produced. These will all be on technical subjects describing modern, up-to-date developments, both present and future, on various subjects. It is also intended that some of the quarterly publications shall be devoted exclusively to one industry: for instance, agriculture at one time and the electrical industry another.
I am asking Mr Peters to bring this letter to you and hope that you may discuss with him how we should proceed.
CONFIDENTIAL
1...
N
..d
I
particularly anxious to put two points to you:-
́a) that the idea is generally acceptable
(b)
that the C.C.P.I.?. will undertake the distribution and provide a mailing list. he will, of course, be happy to most any expenses incurred by your Council on our behalf.
This proposition is not dissimilar to tue French publication, put out by the franca Government in the Cainese language. In our cane, however, it will be the work of the Sino-British Trade Council and will be prepared with a clear industrial background. It is hopod that our publication will be the best of its kind, produced abroad for distribution in China wider untual understanding and co-operation.
(Yours sincerely,
·
John Keswick)
CONFIDENTIAL
MEETING
BETHEEM IR. KESWICK, PRESIDENT SBTC, & VICE-MINISTER OF FOREIGN
TRADE. LU SHU CHANG = 11 ik. SERIL 20TH 1967
Shu-chere, Vice Minister
*** Ting-tung, Deputy Secretary-General, Canton Fair Wang Toh-chang, Secretariat, Canton Fair
Miss Chu You-lan,
& one interpreter
11
Mr. John Kenwick, CMG., President S.3.2.c.
P.S. Marshall,
Y.C. Huang
Secretary, 11
The meeting took place at the Secretariat, 10th Floor, Canton Fair.
Me. 7", expressed regret that a previous engagement had prevented his attente at the dinner party given by Mr. Keswick on April 19th. He hoped Ar. Keswick had enlarged his understanding of the present situation, from explanations offered at the party, by Red Guards and revolutionary workers.
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Private notes are available after approval.