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London debut for China's new chief

Rupert Cornwell
Tuesday 31 March 1998 18:02 EST
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ZHU RONGJI arrived in Britain yesterday for his eagerly awaited debut on the international stage as China's Prime Minister, on a visit which both London and Peking insist will inaugurate a post-Hong Kong "new phase" in their relations.

From Heathrow, Mr Zhu went straight to Buckingham Palace for an audience with the Queen. Today he has a packed schedule in London, including a visit to the Bank of England, and holding talks with the Prime Minister at Downing Street tomorrow morning, before a European Union/China summit. Then follows the Asia-Europe summit, at which he will also be both star attraction and most important single participant, before leaving for an official visit to France.

British officials are delighted that the first foray of Mr Zhu, a fluent English-speaker, should be to London. It recalls the West's first close look at another Communist leader pledged to reform, 14 years ago. Then, Margaret Thatcher proclaimed Mikhail Gorbachev a "man we can do business with." The hope is the same with Mr Zhu, whose stay was a "major event," the Foreign Secretary, Robin Cook, said yesterday.

Human rights and China's disregard on occasion for world trade rules will, as always, be spectres at the feast. But the EU's refusal to join the UN Human Rights Commission in criticising China has largely defused the first controversy, while Mr Zhu has earned the West's praise and gratitude for promising not to devalue the yuan, a step which might have rendered Asia's financial crisis uncontrollable.

Britain hopes the improved atmosphere, the removal of the irritant of Hong Kong, and the promise of a modernised Chinese financial and banking system will produce a windfall for business. Britain is the largest EU investor in China, participating in 1,800 joint ventures worth $12bn (pounds 7.2bn).

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