circumstances such a proposal on their part. The Americans have told us that they do not want to see any attempt at extensive amendment of the L.T.A. since this might mean "opening Pandora's Box"; we have told them that our attitude would be as indicated to the Germans.
5. As far as our own growth commitment is concerned, we are committed to giving 1 per cent in 1970, and will be prepared to do the same in 1971.
Non-Cotton Textiles
6. This subject was only briefly touched on at the GATA Cotton Textiles Committee meeting in Geneva from 8th - 10th October. The Americans mentioned their difficulties in their own market, but did not seriously suggest it was a real international problem, and did not propose any solution. The E.E.C. took the initiative to say that, if there were problems in non-cotton textiles they should be looked at within the framework of the GATT, and they stressed the need to avoid isolated and bilateral solutions. The U.K. Delegation endorsed the E.E.C. suggestion.
7.
The main events in the intervening weeks have been the bilateral consultations which the United States has under- taken with its main Asiatic suppliers.
8. In talks with Hong Kong representatives at Geneva on October 13th the United States proposed a comprehensive bilateral agreement, with group ceilings for apparel and other goods, and specific levels of restraint for some categories within these ceilings; m.m.f. and wool would be separate. Growth factors would be negotiable. The Hong Kong repre- sentatives rejected the concept of a comprehensive agreement, which presupposed restraint in cases where no injury or even threat of injury existed, since this would be contrary to GATT principles. While the U.S. Delegation were able to claim some loss of jobs in the U.S. textile industry, no clear link between this loss and imports was established, and the U.S. Delegation were unable to make out any case of injury, in the face of the evidence of rising profits, sales and production.
/9. In