TNAG-2254-FCO40-3238-Hong-Kong-Port-and-Airport-Development-Strategy-(PADS)-gene-1991 — Page 8

CONFIDENTIAL

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informally next week to

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David Havell

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FROM: A R Paul

Hong Kong Dept

DATE: 5 February 1991

CC

: PS

PS/PUS

Mr Lennox-Boyd

Mr McLaren

Miss Spencer

Mr Burns

Mr Davies

PRU

Mr Crystal, News

-mysti

PS/Lord Caithness

PS/Lord

FOREIGN AFFAIRS COMMITTEE: HONG KONG : AIRPORT PROJECT

Dept

1. The Foreign Affairs Committee have asked us to provide a Memorandum on the Port and Airport Development Strategy

(PADS). PRU require this to be ready in final form, approved by Ministers, by noon on 7 February.

2.

Accordingly, I submit a draft Memorandum. It has been cleared with the Hong Kong Government, and incorporates a number of their suggestions. It also takes account of the views of Mr MacLaren.

3.

The final section of the Memorandum (paragraphs 13-14) deal with British Commercial Interests in the Airport Project. The Hong Kong Government have advised us to omit this section, since its inclusion could serve to confirm existing Chinese suspicions that our main objective in the whole exercise is in some way to benefit British firms. There certainly is a case for omitting this section. The Foreign Affairs Committee are not, as far as we are aware, seeking to focus on this aspect of the project; and to mention it may have the effect of opening up a new and potentially unhelpful avenue of enquiry. It might in any case be argued that British commercial interests are not primarily a matter for the Foreign Affairs Committee, nor for the FCO.

FRMAAF