TNAG-0865-FCO40-1075-Involvement-of-Hong-Kong-in-air-services-agreements-1979 — Page 181

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GREEN LIGHT FOR SEEKING SIMILAR GENEROSITY AT OUR HANDS IT IS OF COURSE RELEVANT THAT OTHER ASEAN GOVTS DO NOT HAVE THE SAME

FOTENTIAL CIVIL AVIATION LEVERAGE OVER CONCORDE AS THE MALAYSIANS HAVE. AS MIFT INDICATES, WE HAVE CONCEDED TO MAS FULL FIFTH

FREEDOM RIGHTS BEYOND HONG KONG TO TAIPEH AND TOKYO ON 5 A300S A WEEK (ON WHICH WE APPRECIATED HONG KONG'S UNDERSTANDING IN THEIR TELNO. 997). WE HAVE ALSO CONCEDED A FOURTH DC10 ON THE TRUNK ROUTE FROM 1.4.00 WITHOUT STRINGS, AND ADDITIONAL SERVICES LATER IF BOTH AIRLINES ARE SATISFIED THAT CERTAIN LEVELS OF CAPACITY (AS INDICATED IN THE GUIDELINES ATTACHED TO THE DRAFT LETTER IN MIFT) ARE BEING ACHIEVED ON EXISTING SERVICES. AT THE SAME TIME, APART FROM THE OVERALL POLITICAL BENEFIT OF SETTLING A LONGSTANDING

FROBLEM WHICH MIGHT OTHERWISE HAVE CLOUDED RELATIONS WITH MALAYSIA

IN GENERAL, WE HAVE SECURED FIFTH FREEDOM RIGHTS TO MANILA ON THE TRUNK ROUTE, AND RETAINED FOR CPA (AS REQUESTED IN HONG KONG TELNO. 997) CRA'S PRESENT RIGHTS BEYOND MALAYSIA AND MOREOVER,

USING L 1011S.

4. SUBJECT TO MANICKAVASAGAM'S CONFIRMATION THAT HIS CABINET

COLLEAGUES ENDORSE THE SETTLEMENT, THE NEXT STEP WILL DE FOR

THE SECRETARY OF STATE FOR TRADE TO WRITE IN TERMS OF THE DRAFT LETTER, AND FOR MANICKAVASAGAM TO CONFIRM IN WRITING THAT THIS ALSO REPRESENTS HIS UNDERSTANDING OF THE POSITION. IT WILL THEN BE NECESSARY TO ENSHRINE THE AGREEMENT, FILLING OUT SOME DETAILS, IN A CHU: AND WE INTEND TO TAKE THE OPPORTUNITY TO CONSOLIDATE ALL THE EXISTING LETTERS AND CMU'S IN SO FAR AS THEY STILL APPLY,

INTO A SINGLE DOCUMENT. IT WAS AGREED THAT WE SHOULD SEND THE MALAYSIANS, THROUGH YOU, THE DRAFT OF A NEW CMU BY THE MIDDLE OF

AUGUST. THEY CAN THEN CONSIDER IT IN DETAIL BEFORE ROBERTS COMES

CUT TO SETTLE AND, WE HOPE, SIGN A FINAL TEXT IN THE FIRST HALF

OF SEPTEMBER.

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