CODE 18-77
CONFIDENTIAL
34
Reference
Er MA Marshall
Mr J E Commish
Mr P Yarnold
Mr J M Willson
Mr Llewellyn Smith
Mr D A Burns
Mr A M Good enough
Mr J Alston
Mr R F Holloway
Mr B Smith.
Mr.
Hie
Mr
E Que trill
ter and PA
Mr P JD Whitehead
15214/4
CHINA: SALE OF
KARINE
(TRED G1A/1)
Planning Staff K111)
Defence E STU
NAD K232)
4KK
020|!
EESD W102A) ACDD E013) (MAED G66/1) (ESSD E024) (SAD W130) SEAD WƐ6) (SWPD K259) (HK & GD K277) Research Dept. 059/4)
1978
No 96 f
PROPULSION UNITS
See /38
I
As foreseen in my Minute of 12 April the MOD have started Work on their paper for DOPO (CE) on marine gas turbines. attach a copy of the MOD's first Craft which Mr Mehew gave me last night. We had previously agreed that the paper might follow the same paitem as the TCO paper on Harrier, and could be,significantly shortened by using the device of cross references to the passages in our paper which applied in both cases.
2.
My initial, off-the-cuff comments to Mr Mehew were ac follows:-
as
F:)
})
c)
a)
Paragraph 5 contained the sort of best case arguments which Rolls Royce have been putting forward; some modification might be desirable.
i
In paragraph 9 it would be worth quoting what we already know about the American attitude on the specific question of marine gas turbincs ie that although easier than some categories, their sale would nonetheless, present sone difficulties.
The reference in paragraph 10 to the possible reaction of the USSR was over done. Belatively minor enhance- mentsof the Chinese naval role in the waters immediately adjacent to China were hardly a legitimate cause for Soviet concern, and even if the Russians attempted a propaganda campaign, it could not be made anything
It like as effective as in the case of Harrier. might, therefore, be best to reverse the order of paragraphs 11 and 10.
out
I might also be worth bringing out the point that the reaction of Taiwn in particular, but also of South Korea and Japan, would be a very important determinent of US reactions.
e) It appeared that the Chinese team which was due to
visit Rolls Royce had now put in their visa applications and this should be mentioned in paragraph 13.
ANTTAD
/E) Conclusion
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