TNAG-1230-FCO40-1543-Visit-by-Richard-Luce--Minister-of-State-for-Foreign-and-Com-1983 — Page 71

CONFIDENTIAL

MR LUCE'S VISIT TO HONG KONG: 24-28 SEPTEMBER 1983

BRIEF NO 9: HONG KONG-CHINA AIR SERVICES

POINTS TO MAKE (DEFENSIVE FOR USE WITH OFFICIALS OR CPA)

—

1. Essential that we end Chinese monopoly on Hong Kong Peking sector as soon as possible by securing rights for a British airline.

2.

Appreciate that Cathay Pacific were natural first choice to operate these rights. But after long negotiations, clear that

Chinese are not prepared to see Cathay on Hong Kong/Peking sector

for foreseeable future.

3. In these circumstances we must now concentrate on securing

reasonable rights for British Airways. If at a later stage Chinese indicate willingness to negotiate with Cathay, we have reserved

right to request BA to come off Hong Kong-Peking route.

CONFIDENTIAL