CONFIDENTIAL.
HONG KONG TELEGRAM NO. 781 TO F.C.O.
3.
13.
IN 1968 IMPORTS FROM HONG KONG ALONE REACHED ONLY .24%
OF US PRODUCTION AND .23% OF CONSUMPTION.
11. SO FAR AS WOOL IS CONCERNED, THE HONG KONG GOVERNMENT HAS NOTED
-
THAT, WHILE IMPORTS IN 1968 INCREASED BY 285% TO REACH MUCH HIGHER LEVELS THAN MAN-MADE FIBRE IMPORTS IN RELATION TO US PRODUCTION
(28%) AND CONSUMPTION (22%), TOTAL IMPORTS IN THE FIRST SIX
MONTHS OF 1969 SHOWED A DECLINE OF 5.7% AS COMPARED WITH THE FIRST,
SIX MONTHS OF 1968.
12. IN 1968 IMPORTS FROM HONG KONG ALONE REACHED ONLY 4.6%
OF US PRODUCTION AND 3.7% OF CONSUMPTION.
*
13. IN BOTH MAN-MADE FIBRE AND WOOL, IMPORTS FROM HONG KONG
APPEAR IN THE FIRST SIX MONTHS OF 1969 TO HAVE TAKEN A LARGER
SHARE OF THE TOTAL UNDERLINE NEXT WORD IMPORT MARKET,
AT THE EXPENSE OF OTHER SUPPLIERS, BUT THIS FACT DOES NOT,
IN THE HONG KONG GOVERNMENT'S VIEW, INDICATE THAT THESE IMPORTS
ARE CAUSING INJURY TO US PRODUCERS.
14. AT THE CONCLUSION OF THE DISCUSSIONS WITH THE US SECRETARY
OF COMMERCE IN MAY 1969, THE HONG KONG GOVERNMENT REITERATED
THE HONG ITS WILLINGNESS TO RENEW THE DISCUSSIONS ON REQUEST.
KONG GOVERNMENT STANDS BY THAT STATEMENT AND WHILE IT IS UNABLE
TO AGREE TO ENTER INTO THE NEGOTIATIONS PROPOSED BY THE US GOVERN-
MENT, WOULD BE PREPARED TO SET ASIDE A DAY FOR INFORMAL DISCUSSIONS
BETWEEN US AND HONG KONG OFFICIALS IN GENEVA IN THE WEEK BEGINNING
13 OCTOBER 1969.
/15. MY
CONFIDENTIAL
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