(*2643—150) Wt. 16318-94 (*3070-150) Wt. 26563-2

15,000 7/38 T.S. 695 20,000 10/38 T.S. 695

C. O.

75

Mr.

Mr.

Mr.

Mr. A. J. Dawe.

Sir H. Moore.

Sir G. Tomlinson.

Sir J. Shuckburgh.

Permt. U.S. of S.

Parly. U.S. of S.

Secretary of State.

DRAFT.

FURTHER ACTION.

need to be applied to the export of

completed aircraft to China and Japan.

4.

I am not aware of the response,

if any, made by the interests concerned

to this suggestion, but I assume that,

in view of your cypher telegram No. 369

of the 10th of December, the application

on behalf of Messrs. Pawley and Dodwell

at any rate is still concentrated on a

project in Hong Kong, and I assume also

that the same applies to the proposed

China Aircraft Company, Limited.

5.

While in principle I share

your opinion that the establishment of

a local aircraft industry as an adjunct

to the Hong Kong Airport eventually would

be found to be a natural and sound

development and that, having regard to

the geographical considerations in any

case and to the physical limitations of

the Airport, it will be necessary to

regulate

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