AIRCRAFT DEAL

Press, Volume CXII, Issue 32965, 11 July 1972, Page 13

AIRCRAFT DEAL

Nixon move reported (N.Z. Press Assn.—Copyright) NEW YORK, July 10. The American magazine “Time,” says that President Nixon is pushing the sale of $USl5Orn worth of Boeing 707 jetliners to China over the objections of the United States Defence Department, The news weekly adds that the White House expects the deal to be closed in August, and that nine Boeing representatives have been negotiating in Peking since April for the sale of the 10 Boeings—four passenger models and six cargo versions. Mr Nixon’s purpose, “Time" says, is to promote trade and to improve relations with China.

It adds: “Pentagon officials tried to shoot down the Boeing sale last month, on the ground that the six cargo models would be used to ferry military supplies to North Vietnam. But Nixon and his technology counsellor, William Magruder, silenced the obstructionists.” The Chinese will pay in cash, with Western currencies, for the aircraft, a supply of spare parts, and training for Chinese crews, the magazine says, adding: “Ultimately, the Chinese may need 80 more aircraft, and they have already expressed interest in a Boeing 747 jumbo jet.”