In any further communication on this subject, please quote

No. F 2218/118/10.

and address-

not to any person by name

but to

"The Under-Secretary of State,"

Foreign Office,

London, S.W.1.

Dupl

CEIVED

9 MAR 1939

SOY

FOREIGN OFFICE. W.1.

8th March, 1939.

Sir,

With reference to Colonial Office letter No.

s

54

8

88 on

53846/38

53846/39 of the 28th January last and to subsequent

correspondence regarding the proposal for the establishment

of an aircraft factory at Hong Kong, I am directed by

Viscount Halifax to state that he saw objections to this

proposal only because he understood that it was intended to export the aircraft manufactured in this factory to

China.

2. In view of the considerations set out in the letter from this Department No. F 4832/3284/10 of the 24th June 1938, Lord Halifax would therefore suggest that, subject to the concurrence of the Secretary of State for Air, Mr. Dodwell should be informed that His Majesty's Government have no objection to the establishment of such a factory in Hong Kong provided that it is clearly understood that the export of aircraft to Japan and China will not be allowed

while hostilities continue.

I am,

Sir,

Your obedient Servant,

R.C. Howe

The Under-Secretary of State,

Colonial Office.

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