:
Mr Sindon
MAED
CONFIDENTIAL
HHH184|
UK/CHINA AIR SERVICES
1/
AF9112.
see St
1.
Mr John Browne of John Swires rang me this morning about the current talks. He said that he was worried about the position after talking to the CPA representatives. What particularly concerned them was a statement by the DOT that the latter no longer considered BA's undertaking to withdraw from the Hong Kong-Peking route as valid. They were unhappy about the prospects for the talks and thought that our line did not sufficiently represent CPA's interests.
I said that while I had not attended the pre-talks discussions, I was watching progress. Speaking personally, it seemed to me that the line agreed for the mandate for the talks was helpful to CPA and that a robust line would be preserved in their interests for this round. I would however pass on Mr Browne's concern, Mr Browne expressed appreciation
2.
but was obviously not wholly convinced. He said he would probably come back to us.
3.
Since then I have seen Hong Kong Telno 1431 expressing concern about the line set out in FCO Telno 1028 to Hong Kong. It is clear that there is considerable suspicion in Hong Kong that BA are planning to obtain passenger rights on the Hong Kong-Peking leg and then not to withdraw. Paragraph 6
At the same time it of Hong Kong Telno 1431 is interesting. did not seem to me that paragraph 2 of FCO Telno 1028 meant that we were implanting in CAAC's mind the idea that BA might continue on the route indefinitely.
4.
If you get time between the talks it would be helpful to discuss this. As I said yesterday, I do attach considerable importance to our adopting a stronger CPA line throughout this round of talks and Hong Kong have reiterated this in paragraph 5 Sof their Telno 1431. I hope it would therefore be possible to
agree on the British side that any consideration of the scope for allowing BA to carry some of the traffic should definitely be relegated to a second round. At present sentence 3 of paragraph 2 of FCO Telno 1028 is ambiguous.
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51
7 December 1982
cc Mr Hoare
PA
R D Clift
Hong Kong and General Department
CONFIDENTIAL