1158
GR 375
CONFIDENTIAL
CONFIDENTIAL
HKK 184/2 (14)
RECEIVED IN REGIOTAY NO. 51 12 JUN 1979
FM PEKING 110845Z JUNE 79
TO IMMEDIATE. FCO
TELEGRAM NUMBER 545 OF 11 JUNE 79
INFO IMMEDIATE HONG KONG
FOLLOWING FROM DELEGATION
DESK OFFICIAR
DA
TRY
PA
ACBOO
MIDEX
No
MY TELNO 540: UK/PRC AIR SERVICES NEGOTIATIONS
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1. IN THE LIGHT OF UNSATISFACTORY BEHAVIOUR BY CAAC, REPORTED IN TUR, THE AMBASSADOR DECIDED (WITH ROGERS' CONCURRENCE) THAT THE TIME HAD COME TO MAKE A FURTHER APPROACH TO MEA AT MINISTERIAL LEVEL. THE MFA HAD NOT BEEN REPRESENTED AT THE LAST PLENARY SESSION AND IT SEEMED POSSIBLE THAT THEY MIGHT
HAVE RECEIVED DISTORTED NEWS OF PROGRESS OF INFORMAL DISCUSSIONS. THE AMBASSADOR THOUGHT IT THEREFORE ESSENTIAL TO MAKE MFA AWARE AT MINISTERIAL LEVEL OF REAL DANGER THAT NEGOTIATIONS MIGHT BREAK DOWN IF CAAC CONTINUED ON PRESENT TACK.
2. ON AMBASSADOR'S INSTRUCTIONS, HED OF CHANCERY THEREFORE REQUESTED AN INTERVIEW ON SATURDAY 9 JUNE DURING AMBASSADOR'S ABSENCE WITH DUKE OF KENT IN SHANGHAI. HOWEVER MFA WERE
UNABLE TO ACCOMMODATE HIM UNTIL 11 JUNE, WHEN HE WAS RECEIVED BY THE ACTING DIRECTOR OF WESTERN EUROPEAN DEPARTMENT, A REPORT OF THE MEETING IS IN MIFT.
3. MEANTIME THERE HAS BEEN NO FURTHER CONTACT WITH CAAC. ROGERS PROPOSES TO WAIT UNTIL THE EFFECTS OF GEORGE'S APPROACH HAVE WORKED THROUGH THE SYSTEM.
4. REFERENCE HONG KONG TELNO 756. ONCE POSITION HAS BEEN CLARIFIED DELEGATION HAVE IT IN MIND TO SUMMARISE ALTERNATIVE PACKAGES AND ADD THEIR RECOMMENDATIONS. MEANTIME, HONG KONG MAY WISH TO KNOW THAT SO FAR AS REGIONAL ROUTES ARE CONCERNED PRESENT CHINESE PROPOSALS ON POINTS TO BE AVAILABLE ARE AS STATED IN MY TELNO 531, IE THAT PEKING AND SHANGHAI WOULD BE AVAILABLE TO BOTH SIDES UNDER CONDITIONS SPECIFIED, WHILE THE CHINESE WOULD HAVE FOUR EXTRA POINTS. THIS MAKES UP THE 612 RATIO OVERALL.
5. A HIGH-LEVEL TEAM FROM SCANDINAVIAN AIRLINES SYSTEM (SAS) HAS ARRIVED HERE FOR TALKS WITH CAAC NO INFORMATION YET AVAILABLE AS TO WHAT ROUTING THEY ARE SEEKING (ROUTE VIA USSR WHICH THE
SCANDINAVIANS NEGOTIATED SOME YEARS AGO IS CLEARLY IMPRACTICABLE). HOWEVER THIS SERVES AS A FURTHER REMINDER OF THE WAY CAAC ARE SKING WOOED BY OTHER CARRIERS AND IS LIKELY TO STIFFEN THEIR RESOLVE IN NEGOTIATIONS WITH US.
CRADOCK
"COPIES SENT TO CAD / DOT]
FLES
MAID FED HKTD ÞEGAL ADV:
MA GUTLER
BAL COSTAZLI
FIRL MVIZRAY MISS BROWN
CONFIDENTIAL