TNAG-0868-FCO40-1078-Air-services-between-China--Hong-Kong-and-the-UK-1979 — Page 216

GR 290

CONFIDENTIAL

P.A.

CONFIDENTIAL

FM HONG KONG 170841Z MAY 79

TO PRIORITY FOREIGN AND COMMONWEALTH OFFICE

HACK 184/2

RECEIVED IN &

TELNO.595 OF 17 MAY,

INFO PRIORITY: PEKING,

از

18 MAY 1979

OEGY INDEX

FRY

ken

1.

ROUTINE: HONG KONG GOVT OFFICE LONDON., J18.5

U.K/PRC AIR SERVICES AGREEMENT.

BLUCK, MANAGING DIRECTOR OF CPA, HAS JUST RETURNED FROM A VISIT TO PEKING AT THE INVITATION OF SHEN TU, DIRECTOR GENERAL OF THE CIVIL AVIATION ADMINISTRATION OF CHINA (CAAC).

2. HE REPORTS THAT HE WAS TREATED MOST HOSPITABLY. SHEN TU

DISCUSSED WITH HIM VARIOUS AREAS OF CO-OPERATION WITH THE SWIRES

GROUP. THESE INCLUDED THE CO-OPERATION NECESSARY IF CPA AND CAAC

WERE OPERATING ROUTES BETWEEN CHINA AND HONG KONG. SHEN TU EMPHASISED HIS HOPE THAT REGIONAL ROUTES WOULD BE DISCUSSED WITH THE HONG KONG GOVERNMENT AFTER THE QUESTION OF THE TRUNK ROUTE

HAD BEEN SETTLED.

3. LI, THE DEPUTY DIRECTOR OF CAAC RESPONSIBLE FOR INTERNATIONAL -

AVIATION, ADDED THAT HE WOULD NOT WISH TO SEE JARDINES AGENCY ARRANGEMENTS IN HONG KONG FOR CAAC PREJUDICED BY CPA FLYING INTO CHINA. BLUCK CONFIRMED THAT THIS WOULD NOT BE THE CASE AS FAR AS CPA IS CONCERNED. NEVERTHELESS, LI HAD IMPLIED THAT CAAC FELT SOME SENSE OF OBLIGATION TOWARDS JARDINES, WHO HAD SUGGESTED

THAT THEY SHOULD PARTICIPATE IN SERVICES INTO CHINA, BECAUSE JARDINES HAD HELPED THEM ESTABLISHING THE CANTON-HONG KONG ROUTE.

4. COMMENT. ALTHOUGH THIS DOES NOT ADD MUCH TO PREVIOUS INFORMATION IT SEEMS TO CONFIRM THAT CPA ARE NOW PERSONA GRATA WITH THE CHINESE AND ALSO THAT THE LATTER WILL CONTINUE TO PRESS

FOR 'LOCAL'' DISCUSSION OF ROUTES FROM HONG KONG TO CHINA.

MACLEHOSE

FILES:

MAED

HK & G D FED SEAD

MR BUTLER MR CORTAZZI MISS BROWN MR MURRAY

COPIES TO:

HONG KONG GOVT OFFICE LONDON

CONFIDENTIAL