"CONFIDENTIAL
3.
oluntary Export Restraint Arrangements
12. The Americans have shown interest in this possibility, to the extent of collecting all the evidence they could of such existing
arrangements. Nevertheless, they have said that any such arrangements resting only on a gentleman's understanding are of no value to them, and they need to base anything of this kind on an official agreement which would provide sanctions. We would ourselves regard with concern
any voluntary restraint arrangement which had the effect of diverting
the pressure of exports to our own market; and of course any such arrangement would provide our own industry with a precedent for
demanding similar protection for themselves.
CONFIDENTIAL