CONFIDENTIAL
Dr Owen seid he would take account of this. It was a tricky
situation which would have been easier if the Commission had
kept to its remit in other cases.
Shipbuilding
5. Having referred in passing to discussion in NATO on the sale
of Type 21 Frigates, Dr Owen said that British Shipbuilders were
hoping to sign a contract valued at some £35 million for the
re-equipment of the Portuguese merchant fleet; he understood there
was a Portuguese delegation in Britain at the moment. We were
very interested in this deal and hoped there would be an early
decision since it was difficult to hold prices and yard availability.
State Visit
6. Dr Owen went on to say he was glad that President Eanes was
coming on a State Visit and that discussion of a programme was
already in hand.
Macao
7.
Dr Owen asked for assurances that Portugal would consult
Britain before changes in relation to Macao were made, the issue
affected Hong Kong and other British interests. Dr Sa Machado
said he would like to know the British position on Hong Kong,
CONFIDENTIAL
/The