39

GR758 PRIORITY

YPHER CAT A

FM FCO 201425Z

CONFIDENTAL

LKK 184 RA. 8+/PA

23 JAN MA

33

INDCA

PA

No

49:1

CONFIDENTIAL

TO PRIORITY PEKING TELEGRAM NUMBER 28 OF 20 JANUARY

INFO HONG KONG (GOVERNOR AND BCARFE), TOKYO.

YOUR TELNO 26: UK-CHINA AIR SERVICES,

ROGERS, ACCOMPANIED BY SAMUEL SAW LIU WHO WAS ACCOMPANIED BY FIRST SECRETARY SHEMON 19 JANUARY.

2. LIU STARTED OFF BY SAYING THAT HE WAS NOT FAMILIAR WITH THE

SUBJECT AND THAT THE PURPOSE OF HIS VISIT WAS TO OBTAIN CONCRETE

IDEAS FROM US FOLLOWING THE CLINTON DAVIS-TSENG CHENG DISCUSSIONS IN LONDON, WHEN HE SAID THE FORMER HAD MADE THE STATEMENT CONTAINED

IN YOUR TEL 26.

3. ROGERS TOOK LIU THROUGH THE WHOLE HISTORY OF THE NEGOTIATIONS

IN 1973 AND THE SUBSEQUENT EVENTS, MAKING IT VERY CLEAR THAT ALL THE POLITICAL CONSIDERATIONS HAD BEEN TAKEN INTO ACCOUNT BY BOTH SIDES IN ARRIVING AT THE DRAFT ASA. HE GENTLY POINTED TO THE DIFFERENCES SETWEEN THE UK/PRC POSITION AND THE JAPAN/PRC POSITION AND HOW

INAPPROPRIATE IT WAS IN HIS VIEW TO COUPLE THE TWO TOGETHER AND

EXPECT HMG TO MAKE THE SAME RESPONSE TO PRC REQUESTS AS THE JAPANESE HAD, WITH, AS HE POINTED OUT, CATASTROPHIC EFFECTS ON THEIR AIR SERVICES TO AND FROM TAIWAN FROM WHICH SITUATION THEY HAD

ONLY BEEN ABLE TO EXTRICATE THEMSELVES BY A PARTIAL RETRACTION OF

THEIR EARLIER PRONOUNCEMENTS. HE FELT THERE MUST HAVE BEEN SOME

MISUNDERSTANDING BETWEEN MR CLINTON DAVIS AND TSENG CHENG. MR CLINTON

DAVIS COULD NOT RECOLLECT HAVING DISCUSSED THIS TOPIC AND HAD NOT

INTENDED TO SUGGEST IN ANY WAY THAT WE MIGHT FOLLOW THE JAPANESE

PATTERN. IF IT WOULD HELP THE PRC WE WERE, AS WE HAD ALREADY INDICATED, PREPARED TO GIVE FURTHER SPECIFIC ASSURANCES: BUT IN OUR VIEW THOSE WOULD MERELY AMPLIFY THE UNDERSTANDINGS REACHED IN 1972, WHICH, TOGETHER WITH THE ASA INITIALLED IN 1973, ALREADY SUFFICIENTLY COVERED THE POLITICAL. AND OTHER ASPECTS OF OUR

CONFIDENTAL

/AIR SERVICES

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