The latest and FINAL talk between Taiwan and Hong Kong over the new aviation agreement is due today.
However, Taiwan has expressed its dissapointment, blaming Hong Kong did not reply Taiwan's message, and Taiwan always have to ask HK for "directions". This shows that Hong Kong is the "rock" the blocked the new agreement.
Taiwan points out that the reason that HK is trying to delay the new agreement, in order to protect Cathay Pacific. Since the China Airlines CI611 crash, Taiwan is pressuring HK to allow the 3rd airline to fly to HKG.
HK is trying not to let Taiwan's EVA Airways to get all the extra 49-62 slots, because this will threaten Cathay Pacific's leading position on Taiwan-HK route.
Another rock that blocked the agreement was CI611 crash. Right after the crash, Taiwan announced CI will not be able to get new slots, despite the cause is unclear. This cause CI/CX/KA to protest.
Taiwan's Transportation authroity now receives pressure from CX, and Far Eastern Air Transport, which asked the lawmakers to pressurize on the authority. With these sophisticated pressure, the authority is unwilling to talk about the 3rd airline, and this also affects Beijing's willingness whether it should let HK go ahead with the agreement.
Taiwan now proposed an alternative that the new slots can be used in 2 stages. CI's slot will be used in 2003. HK doubted, but not accepting. Another alternative proposal will be announced today.
Because of the contridiction in Taipei, plus China pressuring on this new talk, forcing HK is not willing to sign the agreement ASAP. Taiwan has announced it'll not extend the old agreement, and will make Hong Kong very embarassed if HK didn't accept Taiwan's various alternative proposals.