TNAG-1176-FCO40-1478-Air-services-between-the-UK--China-and-Hong-Kong-1982 — Page 68

HO/FO 026/23

00 F C O

PP PEKING

hat

to me with WP & reftels

2315

MR EVANS MR ADAMI

HDİMAED

HA DOT

My Man's

Mc Hoare What goes

ORS 1250

CONFIDENTIAL

FM HONG KONG 2300452 SEPTEMBER 82

TO IMMEDIATE F C O

TELEGRAM NUMBER 1876 OF 23 SEPTEMBER

HOT HKGO.

FRD

ADVANCE COPY

YOUR TELNO 750: HONG KONG/CHINA AIR SERVICES

PLEASE PASS COPIES TO STEVENS (DOT) AND LATHAM (HKG) (AT PRESENT IN LONDON)

WE HAVE DISCUSSED TUR WITH CPA. CAAC HAVE SUBMITTED TWO WINTER SCHEDULES 1982/83 TO DCA:

wip

(A) AS DESCRIBED IN PERING TELNO 405 TO YOU.

(3) AS IN (A) ABOVE, EXCEPT ON HKG/GAN V V WHERE THE CURRENT

4 X DAILY WITH TRIDENT CONTINUE UNTIL THE END OF NOVEMBER,

AND THEREAFTER DROP TO 3 X DAILY WITH TRIDENT.

2. ALTHOUGH STATISTICAL EVIDENCE IS LIMITED, OWING TO THE ONLY RECENT INTRODUCTION OF SCHEDULED SERVICES BETWEEN HONG KONG AND CHINA, WE AND CPA ACCEPT THAT THERE 10 A SEASONAL FACTOR AFFECTING DEMAND: WHEREAS THE LARGE BUSINESS DEMAND HKG/SHA EXISTS THROUGHOUT THE YEAR, THE SUBSTANTIAL TOURIST MARKET ON THIS SECTOR DECLINES INEVITABLY DURING THE WINTER MONTHS.

WE BELIEVE HOWEVER THAT THE REDUCTION IN CAPACITY PROPOSED BY

CAAC AND WHICH WOULD SEEM TO IMPLY AN EQUIVALENT REDUCTION BY

CPA ON THE HKG/SHA SECTOR (INEVITABLY TO 1 X L1311 PER WEEK BECAUSE OF CPA'S DISPOSAL OF ITS 27373) SHOULD BE OPPOSED

ON BOTH COMMERCIAL AND TACTICAL GROUNDS:

(A) COMMERCIAL:

on now? *

J

C