ZC ZC
HMLNAN 7821 RESTRICTED
TT OTTER
TT FCOLN
(18:
TT PEKIN
FM HKBTC TO OTTER
270925Z JAN
BKK
175/3
RECEIVED IN REGISTRY'
29 JAN 1987
DENK OF FIC!» INCAK
GAS 500
RESTRICTED
FM BTC HONG KONG
TO TELELETTER DTI
TELELETTER REF P 182/3
OF 270925Z JANUARY 87
INFO TELELETTER FCO, PEKING
REQIUTRY
Action Tekan
A Sazalı
است
2
б
потиратьс
Yes
2911-
Russonable pl
Ca.
FROM:
R. E. HOLLOWAY, STC HONG KONG
FOLLOWING FOR:
COPIED TO:
F. B. WHEELER, PEP1 DTI
C. CRUIKSHANK OT2 DTI
C. 0. HUM. HKD FCO
S. CALDER, COMMERCIAL SECTION, PEKING
PROPOSED ROAD/AIRPORT DEVELOPMENT.
THANK YOU FOR YOUR HELP AND ADVICE ON THE TELEPHONE ON 23 JANUARY AND FOR YOUR OTTER 037 OF 26 JANUARY. I READ INTO YOUR TELEGRAM THE FEELING THAT THE DEPARTMENT DID NOT THINK IT REALLY NECESSARY TO TRY TO PLACATE THE HONG KONG GOVERNMENT. HOWEVER I THINK IT IS NECESSARY. GIVEN THE IMPORTANCE OF THEIR ROLE IN THE PROJECT (THEY COULD THROW IT OUT) 1 HAVE SINCEE CORDON WU FIRST GAVE ME ADVANCE NOTICE OF HIS IDEA, TRIED TO KEEP CLOSE TO THEM. ON EVERY POSSIBLE OCCASION I HAVE EMPHASISED OUR COMMERCIAL INTEREST. FOLLOWING YOU OTTER 434 OF 19 DECEMBER I TOLD THEM THAT IN PRINCIPLE THE DTI WOULD BE INCLINED TO LOOK FAVOURABLY ON AN APPLICATION FOR
HELP IN MOUNTING A FEASIBILITY STUDY.
2. IT WOULD HAVE BEEN SENSIBLE FOR US TO HAVE GIVEN THEM ADVANCE NOTICE OF THE ACTUAL DECISION TO PROVIDE HELP: THE NEWS WAS BOUND TO BE OF INTEREST HERE AND WE COULD HAVE WORKED OUT A PRESS LINE HELPFUL TO EVERYBODY. THAT APART, IT WOULD HAVE BEEN COURTEOUS,
3. AS IT WAS, THE HONG KONG GOVERNMENT WERE THROWN INTO A DEFENSIVE POSITION WITH THE PRESS SUGGESTING THAT THE BRITISH GOVERNMENT WERE APPLYING PRESSURE ON THEM FOR BRITISH COMMERCIAL ADVANTAGE. IT WAS NOT SURPRISING THAT THE HONG KONG GOVERNMENT OFFICIALS RESPONDED BY SAYING THE PROJECT WAS STILL UNDER CONSIDERATION AND THAT THEY WERE NOT YET CONVINCED OF THE NEED FOR
SOME ELEMENTS OF IT.
A. I AM VERY GLAD THAT WE ARE HELPING WITH THE FEASIBILITY STUDIES: HOWEVER I THINK WE COULD HAVE DONE BETTER FOR OURSELVES WITH A CONSIDERED AND CONTROLLED ANNOUNCEMENT. WE HAVE MISSED THAT TRICK BUT I HOPE MY LETTER TO THE FINANCIAL SECRETARY WILL HAVE THE EFFECT OF DISPELLING ANY SUSPICION THAT WE WERE TRYING TO UPSTAGE THE HONG KONG GOVERNMENT. WITH THE POSSIBILITY OF POUNDS 450 M WORTH OF ORDERS FOR BRITAIN IN PROSPECT WE DO NOT WANT TO CROSS THEM AT
THIS STAGE.
5. AS WE AGREED ON THE TELEPHONE, THERE IS OF COURSE A LESSON TO BE LEARNED: THAT THE TRADE COMMISSION NEEDS TO BE KEPT FULLY AND QUICKLY INFORMED OF DEALINGS THAT PEP (OR ANY OTHER DEPARTMENT OF THE DTI OR IN WHITEHALL) HAVE WITH COMPANIES PURSUING BUSINESS IN HONG KONG OR IN SOUTHERN CHINA.
SIGNED R E HOLLOWAY.
YYYY
HMLNAN 7821
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