Registry

No. HKK 6/304/1

SECURITY CLASSIFICATION

DRAFT

LETTER

To:-

Type 1 +

28

From

Top Secret.

Secret.

Confidential.

Restricted.

Unclassified.

PRIVACY MARKING

..In Confidence

TALKING POINTA Unles

below вавого

This

J. 0. Moreton, Esq.,

C.M.G., M.C.

Yo Government House Hap kamp.

W. S. Carter

Telephone No. & Ext.

Department

I am sorry to add to your papers at

this late stage, but although we had the

enclosed copy of a brief by the Board of Trade

on US/UK trade policies to cover discussions

during President Nixon's visit later dis

month before you left, we had not had the time

to study it ourselves.

2.

This is a subject on which you are very

likely to be questioned if and when you meet

anyone from the Department of Commerce and

Industry. They are well aware in Hong Kong of

the strong pressure in the USA for extending

the Long Term Agreement on Cotton Textiles to

cover wool and man-made fibres and in view of

the importance of their trade with America

are very anxious to know if it will be

resisted or not.

3.

Before the Presidential election, Nixon

and for the matter of that Humphrey horses

J

mada

gave

at

to indicate undertakingeto the textile industry that they

would protect them by controlling imports.

Since the election President Nixon, we are glad

to say, has somewhat changed his tune and in a

recent statement actually said that he "took a

dim view of moves towards quotas". However, he

went on to speak of "volunteer quotas" and the

e

US proposals to initiate exploratory discussions

to induce the major countries involved to

accept voluntary restraints.

WIB'L 51-74 33

NOTHING TO BE Written IN THIS MARGIN

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