THE DEPARTMENT OF TRANSPORT

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My Ref:

CA Whomersley Esq

Legal Advisers

K171

Foreign & Commonwealth

Office

LONDON SW1

HKC 181/17

RECEIVE

0 2 JAN 1991

DESK C.

INDEX

HONG KONG/MALAYSIA ASA

pa

Your Ref:

18 December 1990

HK/Malaysie ASA

Сбгора

Now that the Chinese have indicated they have no problem with the text of the Hong Kong/Malaysia ASA, arrangements are being set in hand for its signature. Before this can take place, it will be necessary to have the usual exchange of notes to remove Hong Kong from the territorial scope of the UK/Malaysia ASA. At the separation negotiations in Kuala Lumpur in August 1989, the Malaysians did no more than take note of the draft exchange of notes which we had tabled. This was because final agreement could not then be reached on the terms of the Hong Kong/Malaysia CMU.

Given that such agreement has now been reached, I cannot imagine that there would be a substantive problem over this but obviously we will need to have some kind of prior understanding with the Malaysians about the form the exchange is to take. For

For this reason I think it will be necessary to sign the UK/Malaysia CMU which likewise was only tabled and noted at the August 1989 round.

In view of the passage of time there now seems to be little need to include the provisional application arrangements which appeared in the draft CMU so I have accordingly dropped these out, with a suitable explanation in the enclosed draft letter to the Malaysian authorities which, in the light of any advice you may wish to give, I will ask Michael Fielder to send.

Copies of this letter with enclosure go to Simon Lovett in AMD

and to Chris Sainty in HKD.

Mitch

M M GLASS

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