CONFIDENTIAL
CONFIDENTIAL
PAPER NO 7
REVIEW OF THE LONDON-HONG KONG ROUTE
INTERNATIONAL IMPLICATIONS OF INTRODUCING A SECOND BRITISH CARRIER
1.
for our“
This paper provides an outline of the implications relations with other countries of introducing competing services
It covers Hong Kong. the route between London and
the principal alternatives which now seem to be in prospect, name ly
(i)
તે "normal" scheduled service by CPA
(ii) a
"normal" scheduled service by BCAL
(iii)
(iv)
a Skytrain service by Laker Airways
whole-plane ABC charters by one or more of the
independent British operators
on
For the purposes of this paper, a Skytrain service is taken to be a one class service without reservation facilities and with only a
To the extent technical stop at an intermediate point or points. that the conditions of the Skytrain licence were changed, the inter- national implications of its introduction on the London-Hong Kong route would approximate more closely to those of introducing a service by BCAL.
2.
scheduled
reactions to There would be secondary effects arising from BA's
These could well differ from whatever competition were introduced.
Nor does this paper case to
yet been examined. case and have not touch on the wider implications of the changes in BA/CPA relations
that would
ld arise if the competitor were Cathay Pacific Airways
3.
The assessments
**
in the
in this paper may also need to be revised light of subsequent developments in our dealings with the countries concerned and of further reflection.
4.
ma in
The implications for our international relations fall into four categories, as follows:
A.
}},
Relations with countries on the West side of the
Pacific basin
Relations with countries in Western Europe
C.
Relations with intermediate countries,
either served en route or overflown
which might be
D. Relations with the United States
In what
follows, these are briefly reviewed in turn.
:
ARIDENTIA