CONFIDENTIAL

Mr Rawlinson's Meeting with the Hong Kong Shipowners

Monday 9 May 1977

Brief and Line to Take

The Hong Kong owners have not given precise indications of their requirements and indeed they may vary from company to company. We do, however, know that one of

the prime aims of the visit is to explore the possibilities for arranging charters with UK public sector bodies, with the Government or a semi-government body guaranteeing

the charter income. In return for this the owner would

place orders for ships in UK yards the financing costs of which would be covered by the guaranteed charter income. Some owners may also be interested in a straight purchase

of ships.

The purpose of the meeting should be to:

2.

a)

b)

ascertain in more detail what the owners me

seeking, and in the case of barebost charters how they see their proposals being implemented;

assure the visitors that any proposals involving

ship orders in UK yards will be carefully

examined and to assure them that in appropriate

cases we would be prepared to assist then through the use of the shipbuilding intervc.

c)

say that although we are naturally in any prospects for orders, the sc

n fund;

rested

for

deals of the nature proposed in the public

sector are fairly limited;

a)

e)

make clear that there might be certain

difficulties in the Government itself

guaranteeing charter income to an owner, especially for a long period;

explain that the commercial details of any proposals which the owners may have will be

a matter to be discussed through British Shipbuilders and/or the chartering body concerned.

1.

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