CONFIDENTIAL
BASIC LAW
17. We still await a paper from Hong Kong on this subject, first promised last autumn. As Research Department have only just sent them their
contribution, we cannot be too fierce in our commands to Hong Kong.
AIR SERVICES
18. We have a number of difficulties in Air Services. The Australians have cut up nasty and want to approach the Chinese about the terms of a Hong Kong/Australia ASA. We are discussing with Hong Kong and Peking how we can react to this. Dr Wilson may need to go to Canberra on his way back from the Pacific. The UK/PRC
talks were not a great success either. We must ensure that before the next meeting, the position is fully agreed with Hong Kong and that the negotiators have sufficient flexibility. It has not been decided whether the next round should take place in London or Peking. Hong Kong are also concerned about the progress of UK/Phillipine air talks. The Governor
has asked us to intervene to ensure that Hong Kong's interests, which would be seriously affected in case of breakdown, are taken into account. We have emphasised this to DTP but we must keep after them when the talks begin next months. The mystery of Dragonair continues to deepen but their appears to be no action necessary for us at the moment.
RIGHTS AND FREEDOMS
19. We have received a think piece on this from Fred Burrows. I have put a draft reply to Mr Fifoot. Mr Hill has the papers.
LOCAL ISATION OF LAW
20.
Hong Kong have put proposals to us on both shipping and civil aviation.
with Mr Fifoot.
Papers on both these are
26 September 1985
jonath foll
JN Powell
Hong Kong Department
cc: Mr Galsworthy,
Mr Hill, HKD
HKD
CONFIDENTIAL
call, Madis BA PALA S
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