CONFIDENTIAL
ONFIDEN!
SINGAPORE. THE NOTICE OF TERMINATION WAS THE CRITICAL AUSTRAL I AN STEP. ALTHOUGH THE SINGAPOREANS HAD BEN KEEN TO HAVE THE
ASEAN MEETING ON 11 DECEMBER IT HAD BEEN POSTPONED BY THE OTHERS UNTIL MID-JANUARY. BUT THE AUSTRALIANS DO NOT ACCEPT THAT ASEAN AS SUCH HAS ANY STANDING IN THE MATTER.
6. I UNDERTOOK TO REPORT ALL THIS TO YOU. I AM AFRAID THAT, DESPITE MY BEST EFFORTS, NIXON STILL SEEMS TO BELIEVE THAT WE WENT FURTHER INITIALLY IN ACCEPTING THE AUSTRALIAN PACKAGE THAN WAS THE CASE AND HE CANNOT UNDERSTAND WHAT PROBLEM WE CAN HAVE NOW, ESPECIALLY IN THE LIGHT OF THE PROGRESS MADE WITH THE S E ASIANS SINCE I SAW HIM LAST WEEK
THERE IS AND THZJAUSTRALIAN TEWSNUQVIUF NOTICE TO SINGAPORE. NO DOUBT THAT THE EARLY ANNOUNCEMENT AND INESVDUCTION OF LOW FARES IS EXTREMELY IMPORTANT BOTH POLITICALLY IN AUSTRALIA AND COMMG
DIALLY TO QANTAS. | FEAR THAT FAILURE TMIMOVE
DECISIVELY AND QUICKLY MAY BECOME A SERIOUS BURDEN ON ANGLO- AUSTRALIAN RELATIONS, HOWEVER CLEARLY WE HAVE STATED OUR POSITION THROUGHOUT. THE PRESS ARE ALREADY SNIFFING AROUND FOR EVIDENCE OF DISAGREEMENT BETWEEN US. I THEREFORE HOPE THAT THE SUBSTANTIVE REPLY WILL BE AS POSITIVE MATMT CAN POSSIBLY BE.
TEBBIT
FILES
MAED
SEAD
SWPD
HK & GD
MISS BROWN MR CORTAZZI MR MURRAY
[COPIES SENT TO NO 10 DOWNING STREET
AND CAD/DOT]
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CONFIDENTIAL