TNAG-0862-FCO40-1072-Involvement-of-Hong-Kong-in-air-services-agreements-1979 — Page 3

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Page

GR 130

UNCLASSIFIED

DESKBY @20800Z FEB 79

FM BANGKOK 029255 Z FEB 79

TO IMMEDIATE FCO

TEL NO 100

HRR184/1 -89.51

No 12 Chr

зыг

AND TO PRIORITY CANBDRA, SINGAPORE, JAKARTA, KUALA LUMPUR,

MANILA AND HONG KONG

100

FOR STEELE

MY TEL NO 93.

1

UK/AUSTRALIA AIR SERVICES.

1. A REPORTGSN TODAYS

'BANGKOK POST' ON LAST WEEKS THAT

INTERNATIONAL MARKETING CONFERENCE STATES: ''IN THE LIGHT OF THE CAMBODIAN TROUBLES, THE WORD HAS COME DONW FROM THE TOP THAT THE AIRLINES SHOULD NOT ROCK THE BOAT..

THAI HAS BEEN ASKED TO BACK SIA'S BID TO GET IN ON THE CHEAP FARES SIMPLY BECAUSE ASEAN WANTS TO DEVELOP A UNITED FRONT. BUT, TAKING THE SUBJECT ON A COMMERCIAL BASIS, IGNOORNG POLOTICAL CONSIDERATIONS, THAI HAS NO REASON TO FIGHT ALONGSIDE SIA IN THIS BATTLE''.

2. THE REPORT GOES ON TO POINT OUT THAT SIA CARRIES 96% OF ALL THROUGH TRAFFIC ON ASEAN CARRIERS OUT OF AUSTRALIA, AND

THAT THE DISPUTE HAS LED TO THE POSTPONEMENT OF AGREEMENT ON A NEW LOWER FARE BETWEEN AUSTRALIA AND BANGKOK, WHICH WOULD BE OF BENEFIT TO THAI,

TRIPP

FILES

MAED

SPD

SEAD

HK & GD

LEGAL ADVISERS

MR BUTLER MR CORTAZZI MISS BROWN . MR MURRAY

COPIES TO MR BRYANT MR RUMBELOW

•

CAIR/DOT