CONUL GENERAL'S INITIAL CALL ON NEW MFA

C O N F I D E N T I A L SECTION 01 OF 02 HONG KONG 000947

SIPDIS

SIPDIS

DEPARTMENT FOR EAP, EAP/CM
NSC FOR WILDER

E.O. 12958: DECL: 03/08/2031
TAGS: PREL PGOV ECON PINR HK CH
SUBJECT: CONUL GENERAL'S INITIAL CALL ON NEW MFA
COMMISSIONE LU XINHUA

REF: A. HONG KONG 851

B. 05 HNG KONG 4262

Classified By: Consul General Jame b. Cunningham. Reasons: 1.4 (b,d).

Summary
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1. (C) On March 7, Consul General Cunningam called on newly
arrived PRC MFA Commissioner u Xinhua at the Commission.
Agreeng on the importance of Hong Kong's successful
implementation of "one country, two systems" to both
countries, they both hoped to enjoy a cooperative
relationship and to work together to resolve any problems.
Lu noted that "almost all" of the consulates in Hong Kong
focused on their own business, but the U.S. seemed interested
in Hong Kong developments. Cunningham said the U.S. has a
variety of interests in Hong Kong, and that he would always
be available to Lu if he had questions about U.S. views.
While we would not always agree, China and the U.S. both had
an interest in Hong Kong's continuing success. Lu emphasized
the commitment of the Central Government to Hong Kong,s
prosperity and stability. He delivered standard points on
Taiwan and welcomed Cunningham,s intention to visit
Guangdong Province in the near future. End Summary.


2. (C) On March 7, the Consul General paid an initial call on
Lu Xinhua, the newly arrived Commissioner to Hong Kong of the
PRC Ministry of Foreign Affairs. Lu began with pleasantries
in English, but switched to Chinese once all were seated.
However, he listened to Cunningham's English without
interpretation. The meeting's tone was cordial, although Lu
pointedly noted that almost all of the consulates in Hong
Kong focused on their own business. (In press interviews
prior to arrival, he had criticized foreign interference in
Hong Kong's affairs, ref a.)


3. (C) Introducing himself, Lu briefly recapped his
biography, noting that like Cunningham, he had worked at the
United Nations, but not at the same time. Most recently, he
had responsibility for administrative affairs at the PRC
Foreign Ministry. In that capacity he was involved in
negotiations to build new Chinese and U.S. Embassies in the
respective capitals, and was pleased that the last obstacles
to beginning construction of the Chinese Embassy in
Washington had been resolved just as he was preparing to come
to Hong Kong. To reach that success, both sides had dealt
with one tough issue after another. Although Lu had not
worked in Hong Kong before, in his capacity as secretary to
Vice Premier Qian Qichen, he was familiar with Hong Kong
issues and participated in both the 1997 handover ceremony
and the 1998 first anniversary ceremony. However, it has
been seven years since his last visit to Hong Kong.


4. (C) Welcoming Lu to Hong Kong, Cunningham said that he
had enjoyed good relations with Lu's predecessor, and had
also worked closely with his Chinese colleagues during his
five years at the United Nations. He had enjoyed productive
relations with his counterparts, and even when it was not
possible to agree, they had always been able to talk over
issues and find the points on which agreement was still
possible. He hoped to enjoy the same kind of relationship
with Lu; if Lu ever had questions about U.S. policy or issues
to raise, he encouraged Lu to contact him.

Both place great importance on Hong Kong
--------------


5. (C) Lu explained that, prior to taking up his post, he
had met with State Councillor Tang Jiaxuan, the Foreign
Minister, and other senior officials concerned with Hong
Kong. They all encouraged him to pay careful attention to
local issues, in order to ensure the success of "one country,
two systems," and reminded him of the high value that the
central government placed on Hong Kong's stability and
prosperity.


6. (C) Cunningham responded that we shared an interest in
seeing "one country, two systems" succeed. Hong Kong is

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important to us in its own right, and for the role it plays
as a part of China. One of the most interesting aspects of
Hong Kong is the way it shows how China and the West can work
together, something which the United States values. We also
have a close working relationship with the Hong Kong
Government. He recalled his meeting with PRC Vice President
Zeng Qinghong at the opening of Hong Kong Disneyland last
September: Zeng emphasized the central government's interest
in Hong Kong's stability and prosperity, as well as its
international role (ref b).

Taiwan, NPC, Consul General's Guangdong Trip
--------------


7. (C) Lu briefly raised Taiwan, repeating standard points
on the recent statements by Chen Shui-bian regarding the
National Unification Council, emphasizing China's hope that
the U.S. avoid sending the wrong signal to Taiwan, and noting
that arms sales could constitute such a signal. Lu also
described the broad goals of the 11th Five Year Plan now
being considered by the National People's Congress (NPC) in
Beijing.


8. (C) Cunningham told Lu that we were well aware of the
seriousness with which the mainland viewed Taiwan; our own
position is clear. We are also following the NPC meetings,
and in particular the shift in emphasis to economic
development in the rural sector. He told Lu he had visited
Shanghai last month, and hoped to visit Guangzhou, Shenzhen
and other places in the Pearl River Delta in the latter part
of this month. China's economic growth and ambitious goals
were impressive. Commissioner Lu responded that it would be
good for the Consul General to visit the Pearl River Delta.
Cunningham