RESTRICTED
FM FCO
TO PRIORITY PEKING
OF 221345Z NOVEMBER 91
AND TO PRIORITY HONG KONG
TELNO
1370
RESTRICTED
HKC 181/6
RECE
6 DEC 1991
UK/PRC AIR SERVICES TALKS, 18-20 NOVEMBER 1991
SUMMARY
017362
MDLOAN 0127
p.a. ни/рас
B
AIR SERVICES
1.
TALKS CONCLUDED 20 NOVEMBER WITH AGREEMENTS ON INCREASES OF TRUNK AND REGIONAL ROUTE CAPACITY. OTHER ISSUES OF IMPROVED ROUTEINGS AND OVERFLIGHTS DISCUSSED AND, LATE ON, CHINESE RAISED THROUGH RUNNING. AGREED NEED FOR FURTHER DISCUSSIONS IN NEAR FUTURE. WE OFFERED LATE JANUARY AND WOULD LIKE YOU TO FOLLOW UP ON THAT.
DETAIL 2. AS EXPECTED GIVEN THE LENGTH OF TIME SINCE THE TWO SIDES LAST MET AND THE EVEN LONGER TIME SINCE TRUNK ROUTE ISSUES AND OVERFLIGHTS WERE DISCUSSED, MUCH TIME WAS SPENT ON SETTING OUT POSITIONS ANEW. AGAIN THE CHINESE WANTED TO SEE THE UK/HK POSITION AND REQUIREMENTS IN FULL WITHOUT SHOWING THEIR OWN HAND. WE FED THEM TRAFFIC FIGURES AND FORECASTS ON HK-PRC ROUTES, FOLLOWED BY DRAGONAIR'S PROPOSAL FOR A CAPACITY INCREASE: A DRAFT PARAGRAPH FOR A CMU ON OVERFLIGHTS (TAKEN STRAIGHT FROM THE JUNE DRAFT SENT UNDER EBDON'S LETTER): AND A DRAFT ROUTE SCHEDULE FOR THE TRUNK ROUTE (THIS WAS ORIGINALLY HANDED OVER IN THE APRIL 1989 TALKS AND APPENDED TO DTP'S NOTE OF THAT MEETING, COPIED TO YOU). THEY RESPONDED CAM 20 NOVEMBER) WITH A DRAFT CMU WHICH COVERED ALL THESE MATTERS PLUS THROUGH-RUNNING. ALTHOUGH THAT DRAFT WAS SERIOUSLY DEFICIENT ON ROUTEING OPTIONS FOR THE UK AND ON OVERFLIGHTS FOR UK AND HK CARRIERS, AND OVERLY AMBITIOUS ON THROUGH RUNNING FOR THE CHINESE, IT DID PROVIDE THE BASIS FOR LIMITED DEALS ON CAPACITY/FREQUENCY WHICH GET THOSE ISSUES OUT OF THE WAY FOR THE NEXT ROUND, ASSUMING THAT TALKS CAN RESUME AT AN EARLY DATE.
3. ON THE TRUNK ROUTE, THE 1979 SEAT LIMITATION IS NOW LIFTED IN WORD AS WELL AS PRACTICE AND AIRLINES MAY OPERATE UP TO 4 SERVICES PER WEEK AT SUCH DATE(S) AS THE AIRLINES MAY
MUTUALLY DETERMINE.
1
PAGE
RESTRICTED