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4. IN VIEW OF THE ACTION TAKEN AGAINST TAIWAN CYOUR MEMOR-
ANDUM 214 > IT MAY BE THE AMERICANS HAVE NO LATITUDE TO RECOG-
NISE OUR PRESENT DIFFICULTIES SEMI COLON
COLON BUT THEIR EVENTUAL
ACTION IN REGARD TO TAIWAN IMPORTS IN 1969 MUST HAVE SOME
BEARING ON THIS. ARE THE QUOTE CONSULTATIONS CURRENTLY IN PROGRESS
UNQUOTE THE REASON FOR THEIR DELAY IN ANSWERING YOUR PROPOSALS?
IF SO, PERHAPS ONE WAY TO EASE THE PRESENT SITUATION IS FOR US
TO WAIVE OUR RIGHTS AND AGREE NOT TO PRESS FOR A DECISION
WHETHER OR NOT THEY WISH TO CONSULT UNTIL TAIWAN CONSULTATIONS
ARE COMPLETED, OR FOR 21 DAYS, WHICHEVER TAKES LONGEST.
5. IF THE U.S. REACTION TO OUR INADVERTANT AUTHORISATION
TO THE CONSULTATION LEVEL IS VERY STRONG, YOU MAY AS
GESTURE SAY WE WILL TAKE THE UNPRECEDENTED STEP OF CANCELLING
AT LEAST TEMPORARILY PERDİNG THEİR ANSWER TO OUR PROPOSALS,
EXPORT AUTHORISATIONS FOR THE AMOUNT OF THE 1967/68 QUOTE
OVERSHIPMENT UNQUOTE.
AFINAL
FCO PLEASE PASS ROUTINE WASHINGTON
SIR D. TRENCH
[REPEATED AS REQUESTED].
INTERNATIONAL TRADE DISTRIBUTION:
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HONG KONG DEPT FAR EASTERN DEPT
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