airline designated for Shanghai to operate Hong Kong-Peking
services with capacity shares to be agreed.
(c) Chinese airline may operate services between four (later
increased to seven) other inland cities and Hong Kong by prior
notification to UK of cities to be served and capacity to be
operated.
4.
When CMU was negotiated CPA did not serve London and were
therefore qualified under these provisions to operate to Shanghai or Peking. They ceased to be so qualified when they subsequently
commenced operations between Hong Kong and London, but Chinese agreement to temporary arrangements for limited CPA service to
Shanghai was secured by UK Department of Trade in return for 5%
royalty and increase in number of cities to be served by CAAC's
services to Hong Kong from four to seven.
5.
Inter-governmental and inter-airline talks have been held
without success over the past year to attempt to rectify imbalance in traffic rights between China and Hong Kong. The two British
airlines have in last few months discussed with CAAC specific
question of operating Hong Kong-Peking service. From our point of
view CPA would be natural choice to operate both this and Hong Kong-Shanghai services. However, after protracted negotiations over
past few years, we have had to accept that CAAC are not prepared to
agree to this.
6. Therefore agreed that BA should discuss with CAAC traffic
rights between Peking and Hong Kong and that CPA should refrain from
raising the subject with CAAC for the time being. Both airlines
were advised of this decision on 28 July. If circumstances change
and it appears more likely that Chinese will allow CPA on to the
route, we have reserved right to require BA to cease routeing its
London-Peking service via Hong Kong and thus to withdraw from
Peking/Hong Kong route.
how BA's talks progress.
Hong Kong Department September 1983
The position will be reviewed in light of
No comments yet.
Private notes are available after approval.