2.
Swedes (fairly likely) in that month. We left this open for the time being. Whether we shall have to meet in July will depend on what (if anything) we do about polyester/polynosic shirts (see below). When we have considered this we should try to fix a date fairly soon.
Shirts
9.
Mr. Howarth had previously handed over been able briefly to consider the previous evening
10.
'Statistics of Woven Fabric Shirts',
'Analysis of Canadian Shirt Industry'.
and I had
3
=
The Canadians also produced samples of polyester/ cotton (p/c) and polyester/polynosic (p/p) shirts. I had to admit that I could only guess which was which, while making the points that the wearing qualities could well be different and that we did not accept that scientifically speaking poly- nosic was 'artificial cotton' : if the Canadians wished to pursue this point they should produce their evidence.
11.
Howarth said that while polynosic was a modified rayon, it was for this purpose so great an improvement on rayon that p/p was completely substitutable for p/c : there was no practical difference between the two.
12.
A
I said I had some statistics on knit shirts, which showed that imports were quite considerable, but that I had no recent production statistics. If we were talking about damage to producers, the producers we were talking about were those who made 'cut and sewn' shirts, regardless of what fabric they used.
13.
I should therefore like to see some statistics on this because it might be that some of the decline in Canadian pro- duction shown in the statistics provided was due to a switch in demand, e.g. from woven cotton shirts to knit synthetic (in sports shirts and dress shirts). Howarth was quick to point out that demand for woven shirts was not declining (Table I) only domestic production.
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14.
When I said that nevertheless domestic manufacture might be switching to knit, Howarth claimed that production of knit shirts was quite separate, in different factories (since he had mentioned that Canadian production of knit synthetic dress shirts was small (and mostly for export), I think he was thinking here of knit sports shirts as against woven dress shirts). However, he said that the Canadians would provide what informa- tion they could on knit shirt manufacture.
15.
I pointed out while Canadian total imports of most shirts had increased heavily in 1968 over 1967, imports from Hong Kong had declined and our import market share had there- fore declined very heavily, from 47% to 17%, while imports from every other principal supplier had increased substantially. These comments also applied to total imports (see Tables at (18) in my brief, extracted from D.B.S. Import Statistics). that in these circumstances the Hong Kong Government was un- happy at the suggestion that any additional restraint should
be exercised/
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I said