GRS 220
CONFIDENTIAL
DES BY 271200Z
FM HONG KONG 271100Z NOV 78
TO IMMEDIATE F C O
CONFIDENTIAL
TELEGRAM NUMBER 1362 OF 27 NOVEMBER
INFO IMMEDIATE PEKING
INFO ROUTINE HONG KONG GOVERNMENT OFFICE LONDON
(664
YOUR TELNO 740 TO PEKING: AIR SERVICES.
RA
AKK 184/1
672
RECEIVED IN REGISTRY NO. 51
2 8 NOV 1978
DESK Orf.1
INDEX
RY
Action Taken
WE AGREE THAT IT IS WORTH TRYING THE FORMULAE IN YOUR PARA 2. IT IS NOT POSSIBLE OF COURSE TO PREDICT HOW TAIWAN WOULD REACT. WE WOULD SUPPORT CPA'S RIGHT TO SEEK COMPENSATION IF THEIR ROUTES TO AND OVER TAIWAN WERE DISRUPTED OR LOST AS A RESULT OF AN AGREEMENT TO PROVIDE RIGHTS FOR BA TO PEKING. WE ENVISAGE SUCH
COMPENSATION TAKING THE FORM OF ADDITIONAL ROUTES FOR CPA WITHIN HMG'S IMMEDIATE GIFT, TO ENABLE CPA TO MAINTAIN A VIABLE OPERATION.
2. THE ADDITIONAL POINTS IN YOUR PARA 4 CAN BEST BE COVERED IF AND WHEN WE GET INTO THE FURTHER NEGOTIATIONS YOU ENVISAGE. AT THIS STAGE WE ONLY WISH TO NOTE THREE POINTS :
(A) IF OVERFLYING RIGHTS OF CHINA ARE TO BE ALLOWED, WE HOPE THEY WOULD COVER HONG KONG-REGISTERED AS WELL AS UK-REGISTERED
AIRLINES:
(B) IF FLIGHTS WITH TRAFFIC RIGHTS BETWEEN CHINA AND HONG KONG
ARE TO BE INCLUDED IN AN ASA, WE THINK THAT THE WAY MUST BE LEFT OPEN FOR A LOCAL AIRLINE TO HAVE PRIORITY IN THE BRITISH SHARE OF
SUCH SERVICES:
(C) WE MAY WELL FIND THAT THE BEST WAY FORWARD ON HONG KONG FLIGHTS
IS TO HAVE AN AGREEMENT SEPARATE FROM THE ASA.
MACLEHOSE
FILES
FED
HK & GD
MAED
PS/LORD GORONWY ROBERTS
MR MURRAY
MR CORTAZZI
COPIES TO:
MR DARWIN, LEGAL ADVISER
HONG KONG GOVT OFFICE
DOT/CAIR DIV
CONFIDENTIAL