CONFIDENTIAL

D

E

to the need for a replacement airport. They have done

this and further encouragement to do so would be appropriate.

8.

British interests in the various projects are

considerable. There have been some notable successes in

winning consultancy contracts (list attached). There are

also consortia with British interests bidding for

elements of the construction. HMG is strongly backing the

Anglo/Japanese consortium (AJC) which is bidding for a major part of fixed link (bridge). Mr Nakayama may wish to be

reassured of HMG's commitment to the consortium and our wish

to see it succeed. A pre-emptive bid by the consortium could succeed but the Japanese side (Mitsui) have been slow to commit themselves and to bring in other key players (ie Nippon Steel) and it is possible that the AJC has lost much of their Japanese support.

Hong Kong/Japan Air Services

9.

Arrangements for scheduled air services between Hong Kong and most countries are presently regulated by UK Air Services Agreements (ASAs). Air services to Hong Kong cannot of course be covered in this way post-1997 and, with Chinese consent, we are separating all those UK ASAS which provide for routes to Hong Kong into two sets of arrangements. On that basis we are negotiating a series of Hong Kong ASAS which will continue in force beyond 1997. То ensure this, we show the initialled texts to the Chinese for approval before signature.

ALDAEY/6

CONFIDENTIAL

THIS IS A COPY THE ORIGINAL HAS BEEN

CLOSED UNDER

FOI EXEMPTION NO. 27(1)...

Share This Page