Portugal and the Settlement of the MacaH Question, 1984-1999: Pragmatism in International Negotiation! Carmen Isabel de Oliveira Amado Mendes Dissertation submitted to the Department of Political Studies School or Oriental and African Studies University of London For the award of the degree of Ph.D. ProQuest Number: 10673234 All rights reserved INFORMATION TO ALL USERS The quality of this reproduction is dependent upon the quality of the copy submitted. In the unlikely event that the author did not send a com plete manuscript and there are missing pages, these will be noted. Also, if material had to be removed, a note will indicate the deletion. uest ProQuest 10673234 Published by ProQuest LLC(2017). Copyright of the Dissertation is held by the Author. All rights reserved. This work is protected against unauthorized copying under Title 17, United States C ode Microform Edition © ProQuest LLC. ProQuest LLC. 789 East Eisenhower Parkway P.O. Box 1346 Ann Arbor, Ml 48106- 1346 Abstract Portugal and the Settlement of the Macau Question, 1984- 1999: Pragmatism in International Negotiations This thesis examines the manner in which the Portuguese Government formulated and implemented its negotiating strategy for the settlement of the Macau question with the People’s Republic of China. The analysis is supported by theories of international negotiations. In addition to providing a detailed account of Portugal’s negotiating strategy, the study highlights the impact that the Sino-British negotiations on Hong Kong had on the Sino-Portuguese negotiations. It also argues that the Portuguese side was mostly reactive: for domestic reasons, a key objective was to ensure that Macau’s treatment was not worse than Hong Kong’s, and in particular to ensure that Macau’s transfer happened after Hong Kong. The thesis begins by examining the political background to the Macau question and the impact of the Hong Kong question on this. It then addresses the 1984- 1987 Sino-Portuguese negotiations, which resulted in the signature of the “Joint Declaration of the Government of the Portuguese Republic and the Government of the People’s Republic of China on the Question of Macau”. Finally the thesis analyses important issues in the Sino-Portuguese negotiations during the 1988- 1999 transition period, which ended with the transfer of Portuguese administration of Macau to China. Two types of issue are considered which clearly demonstrate the tensions in the Sino-Portuguese relations and show the position of the Portuguese side during the transition period: routine matters which were present in every Joint Liaison Group meeting, namely the policies of localisation, and more delicate issues. This includes (1) the arguments over the applicability of the International Covenant on Civil and Political Rights and the International Covenant on Economic, Social and Cultural Rights to Macau; (2) the dispute over the construction of the Macau International Airport; and, (3) the conflict over the Orient Foundation. Contents Abstract......................................................................................................................... i Contents........................................................................................................................ ii List of Figures .............................................................................................................iv Acknowledgments ........................................................................................................v List of Abbreviations.................................................................................................. vi Chapter 1 - Introduction ...............................................................................................1 1.1. Introduction .......................................................................................................1 1.2. Literature Survey.............................................................................................. 2 1.3. Method and Original Contribution .................................................................. 8 1.4. Theory and Ideas ..................................................................................11 1.4.1. Negotiation ...............................................................................................11 1.4.2. Asymmetrical Bargaining .......................................................................19 1.4.3. Chinese-Style Negotiation ................................................................... .24 1.5. Structure and Organisation of the Thesis......................................................32 Chapter 2 - The Macau Question and the Establishment of the Sino-Portuguese Relations..................................................................................................................... 37 2.1. Introduction .................................................................................................... 37 2.2. The Political Background to the Macau Question ........................................41 2.3. Portuguese Withdrawal from Empire ............................................................56 2.4. The Establishment of the Sino-Portuguese Relations ..................................70 2.5. Conclusion.......................................................................................................85 Chapter 3 - The Sino-Portuguese Negotiations (1984-1987) ................................... 89 3.1. Introduction .................................................................................................... 89 3.2. The Hong Kong M odel ................................................................................. 94 3.3. Getting to the Table................................................................ 101 3.4. The Search for a Formula .............................................................................109 3.5. Details of the Negotiations ...........................................................................114 3.6. The Agreement .................................................................................134 3.7. Conclusion .....................................................................................................141 Chapter 4 - The Permanent Issues of the Transition Period: The Problems of “Localisation” (1988-1999)................................................................................... 143 4.1. Introduction ...................................................................................................143 4.2. Setting the Scene .......................................................................................... 145 4.2.1. Macau’s double tutelage system ..........................................................145 4.2.2. The Portuguese strategy for the transition .......................................... 153 4.2.3. The Joint Liaison Group and the Land Group .................................... 162 4.3. The Permanent Issues of the Transition Period: The Problems of “Localisation” ......................................................................................................170 4.3.1. The Localisation of the Civil Service...................................................170 4.3.2. The Localisation of the Language ........................................................178 4.3.3. The Localisation of the Law ................................................................ 187 ii 4.4. Conclusion ...................................................................................................195 Chapter 5 - Covenants, Construction and Possible Corruption: Other Delicate Issues of The Transition Period (1988-1999)....................................................... 199 5.1. Introduction ...................................................................................................199 5.2. The International Covenants....................................................................... 201 5.3. The Macau International Airport ................................................................205 5.4. The Orient Foundation .................................................................................218 5.5. Conclusion .....................................................................................................226 Chapter 6 - Concluding Remarks .......................................................................... 231 6.1. Introduction................................................................................................. 231 6.2. Findings ............................................................................... 233 6.2.1. The Portuguese strategy ....................................................................... 233 6.2.2. The Portuguese negotiating advantages .............................................. 240 6.2.3. The Portuguese faux-pas ...................................................................... 246 6.3. Implications.................................................................................................. 250 6.3.1. The Chinese negotiating methods and tactics ..................................... 250 6.3.2. Asymmetrical Bargaining .................................................................... 253 Bibliography .............................................................................................................257 A. Primary Sources ..........................................................................................257 6.3.3. Unpublished Material..........................................................................