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related to a specific situation. They made it clear that GEC would have sub-contractor status.

5. The following day the GEC people saw the following Japanese at Mitsubishi Headquarters (where a Hong Kong Consortium Task Force Office has been set up): Michinao Koono (Mitsubishi); Kisabura Shibuya (Mitsubishi); Makoto Sato (General Manager, First Overseas Development Department, Mitsui); T Yamagata, (Assistant General Manager, Overses Utility Department, Marubeni).

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6. As the MITI people had done, the Consortium people maintained the fiction that it was the British who were making the approach. They went through a palaver of saying "Well gentlemen what can we do for you?" if the visit were a great surprise. Weedon and Wright had been warned by me of this likelihood and went through a carefully prepared charade, saying that the GEC thought there might be opportunities for sub-contracting work and that they were here to make serious enquiries as to this possibility and Japanese intentions. Honour having been satisfied, the Japanese then said that they had a moral obligation to the Japanese manufacturers and that it might be difficult to negotiate with foreign sub-contractors etc. Later, however, in answer to questions, they changed their ground and without of course committing themselves gave the GEC indications that they meant business and would like to see concrete proposals from GEC as soon as possible. These proposals would be in the form of a letter identifying specific products and disciplines or sectors of the contract which GEC felt they could perform. (Weedon explained to me afterwards that this would provide them with no difficulty whatsoever since they had done all their homework; it was merely a matter of GEC deciding whether or not to go ahead). Both MITI and the Consortium were most anxious to keep the meeting secret and to ensure that no reference in future should be made to the fact that the meetings had taken place. The GEC proposals must appear to come out of the blue. Weedon told me that GEC would certainly be prepared to go along with this. Relations with the Hong Kong Government, Jardines etc were extremely delicate. He had himself allowed people in Hong Kong to suppose that he was in Taipei and not in Tokyo.

(Weedon

7. The consortium people confirmed that they were interested in introducing a force majeure and price adjustment clause in the contract with Hong Kong. thought it possible that this might be one of the reasons why the Japanese had made the approaches to the British). They confirmed that they were working to international standards. They stated that the prime contractors on a joint and single basis were the following: Mitsui, Mitsuibishi, C Itoh, Sumitomo, Nissho-Iwai and Marubeni. They confirmed that a very large number of other Japanese firms including Toshiba and Hitachi were involved in the Consortium.

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