5. I have referred in the draft telegram to the paper which Mr. Hughes sent to Jordan under his letter of 31 July. We have only just received a copy of this paper in the department. In case you have not yourself now seen the copy which Mr. Hughes sent
You will find to Sir Arthur Snelling I enclose one. that it is principally concerned with speculation about the course which the United States is likely to
We take towards the restraint of textile imports. had rather hoped that the paper would bring to a head the issues between Hong Kong and ourselves bearing on the making of voluntary restraint arrangements between Hong Kong and her trading partners. The course which the United States eventually decides to adopt to restrain textile imports may well be the most decisive factor, but although it is clear from the
Board of Trade paper that their dislike of voluntary restraint arrangements persists, we are left with Hong Kong's problem what to do in circumstances where it seems to be forced upon her to conclude such arrangements in her own trading interest.
In fact,
素
in this Canadian issue we find ourselves approaching yet another bilateral occasion where this same difference of viewpoint is going to make itself felt.
6. I appreciate that until we are given the statistics it may be difficult for the Board of Trade to advise. But it seems none the less urgent (assuming that there has been what Hong Kong calls in their telegram No.603 a significant build up in the trade in polyester/polynosic shirts) to decide whether Hong Kong is to be allowed to retrain her exports in this new category of man-made fibre garments.
1
(H. H. Stewart)
Hong Kong Department
4 August, 1969
Copies to:
Mr. Carey, Industries 1, B. of T.
Mr. Kemmis, CRE, B. of T.
Mr. S. Stewart, Industries 1, B. of T.
Mr. Dunnett, CRE1, B. of T.
Mr. Toms, CRE2, B. of T.