711.9327/2–448: Telegram

The Secretary of State to the Ambassador in China ( Stuart )

178. Re first paragraph Deptel 150, Jan 29. Brief of written statement by Powell to Dept follows. Text airmailed Shanghai for Jarvis. Negotiations began by Powell submitting draft agreement and annex to Chinese negotiators. At first meeting, Chinese stated in English their desire for inclusion in annex a proviso prohibiting US carriers from operating any service originating Hong Kong and terminating in China or vice versa. Chinese advised in English that agreement proposed by US did not permit such service and that traffic between Hong Kong and China could be carried only as fifth freedom traffic on through routes originating and terminating outside of China. Chinese pointed out special political situation re Hong Kong and requested prohibition specifically inserted in agreement. US stated no objection since proviso would not in any way change effect of agreement desired. Negotiators agreed to insert proviso in note exchange and intended meaning of words “shuttle service” thoroughly described in English and complete agreement reached after negotiators referred to definition of term given by Webster’s English Dictionary. At no time was term “regional” or any other geographic term considered in preparing texts of notes. In [Page 789] translating English text agreed upon, Embassy’s official translator consulted with Powell. If Chinese characters do not identically describe words “shuttle service” they do not accurately reflect intention of negotiators.

Sent Nanking as 178; rptd Shanghai as 203.