1970s

Hong Kong emerges as an “Asian Tiger”- an international financial center. Mao Zedong is replaced by the more moderate Deng Xiaoping, who implements a policy of “opening and reform.”

Britain, looking ahead to the end of its 99-year lease on the New Territories, approaches Deng about continuing its administration. Deng keeps the option of resuming sovereignty open, but admits the city has a “special status.” Behind the scenes, the UK starts planning its exit.