I would replace that whole line coming out of the sending unit.
I followed these instructions when my sending unti hard line broke and it has worked perfectly:
Quoting atc250r:
There was a repair for this on the VFAQ a couple of years ago when mine crapped out but I think its gone now. All you need is a piece of 5/16" fuel line (the parts store type thats got a pair of fittings on it already and is flared), some JB Weld, a drill, 5/16" bit, and the fitting off of your old line. The 5/16" line is the same size as the 8mm line that we have stock so cut one end off of the new line, remove the two american fittings, install the stock fitting that you pulled off of the rusted line, bend a 90* in the new line, drill the remains of the old line out of the sender, trim the new line to the right length, slide the new line through the hole, clamp it to the hose that is connected to the new pump inside the tank, and then blob on some JB Weld on the outside to keep it from leaking. I used a heat gun when I was done to let the JB Weld flow a little. Mine has been like that for a couple of years with no problems. When it broke I thought I was f'ed and would have to buy a new unit but that fix worked great. You can also tweak a 1G AWD TEL one to fit.
John