textile imports into the US leading to the increase of

protectionist pressures on behalf of other products and also

to increased protectionist pressures against textiles in

other countries.

Mr. Daniels was questioned about the US position and

possible developments. He spoke on familiar lines and said

that Mr. Nixon and his Administration, in his view, would

never initiate a restrictive quota policy on textiles.

But the pressures working for such protection of the US

industry were powerful. He felt that Mr. Stans was

basically a friend of liberal policies. But clearly he had

to argue the case given to him as convincingly as possible.

The main speakers from the Chinese side at the Board meeting

were Mr. Y.L. Yang (Vice President Chinese Manufacturers

Association), Sir S.N. Chau (Chairman, Hong Kong Trade

Development Council) and Mr. Francis Tien (Chairman, Hong

Kong Garment Manufacturers Association). The attitude of the

Board as evidenced by the questions and comments was robustly

opposed to making concessions to the Americans at least at this

stage.

hile

(§2S, WHITEHEAD)

May

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