Taipei, 7 December 1972
758. Secret Priority
Relations with PRC
Casual meetings with some Cabinet Ministers on 6 December indicated general hope that unofficial contacts would prove possible.
2. Minister without portfolio Chow Shu–kai, a former Foreign Minister who still is involved in such matters, was very interested in the Prime Minister’s replies to the press (your telegram AP. 215).1 He volunteered that, when Foreign Minister, he had advocated maintenance of relations on tips2 basis with countries which broke relations with the ROC. He would support the idea in any cabinet discussions here.
3. The Minister for Economic Affairs (Y.S. Sun) drew me aside at a reception, expressed regret at the break in relations which he accepted as inevitable, and asked how matters stood. I told him in confidence, (though many people know) that I was leaving for consultations on 15 December. I repeated what I had said to Shen about the possibility on an unofficial office to promote trade and facilitate the movement of businessmen in particular. I said we hoped trade would continue on the basis of the provisions of the trade agreement, which would lapse.
4. Sun said he would personally strongly favour arrangements of this sort. (He later obviously chewed over the implications of a ‘gentleman’s agreement’ on the trade agreement provisions without committing himself fully on this point.) As for an unofficial office, Sun said the ROC Government was ‘terribly slow’ in reaching decisions and making arrangements. How long was it likely to be before Australia recognised the PRC?
5. I said I did not know. Negotiations were about to start, with Australia using basically the Canadian approach to the problem. The Prime Minister had expressed hopes that full diplomatic relations would be established early in 1973. It seemed to me personally that it would be helpful to know quite soon the official ROC reaction to the idea of an unofficial office. We too would have many unfamiliar problems to work out, and it could be useful to start exchanging ideas while easy channels of communications existed if they were to get anywhere.
6. Sun asked what form the unofficial office might take. (He, and others, have obviously assumed there would be reciprocity.) I said details could be worked out after we knew whether the ROC was officially interested in the idea. Sun, with whom I have had a close association, pressed me twice to express some personal idea on the subject. I finally said that, since coming to think of the subject, I had toyed with the thought of some sort of ‘travel service’ . But I did not know whether my Government’s thinking was on those lines. Sun thought this idea worth considering.
7. Sun intends to give a ‘non–farewell’ luncheon for me under ASPAC auspices next week. If you so wish, I could take things a little further with him then, or head matters in another direction. However, it seems tactically desirable now to await the official ROC reaction to the ideas put to Shen rather than seem too eager. Chiang Ching–kuo’s reaction will of course be decisive.
8. Sun mentioned something of which I was not previously aware. He said that, when Canada broke relations, it proposed to set up trade representation in Taipei. (He was uncertain, or reluctant to say, whether the proposal was for official or unofficial representation.) The ROC had rejected the proposal. However, ‘things had greatly changed since then’ .
Dunn
[NAA: Al838, 3107/38118/6, i]
1 5 December. It transmitted extracts of Whitlam’s press conference of the same day.
2 The meaning of this word is unclear.