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restrained nor under E.A. but the volume of imports is causing concern, the Norwegians will seek to enter either into an E.A. agreement or into a restraint agreement. As with the Canadians alpolyester/polynosic shirts it is the new items which will cause the most trouble with the Board of Trade.
7. Although this record is the first intimation we have received from Hong Kong that consultations with the Norwegians are imminent the question of further Norwegian restraints was discussed between the Board of Trade and Mr. Jordan at a meeting with Mr. Hughes in the Chair on 23 June. I attach a copy of the record. The record is very brief so far as Norway is concerned and at that time there did not seem to Mr. Jordan to be any great urgency about the matter.
8.
If previous cases are anything to go by, we may well find that Hong Kong is fully committed to these consultations. We do not know any exact dates but they seem to be imminent.
9. It seems to me that having advised Hong Kong of our interest (I suggest we send a telegram off with a copy to the Board of Trade and do not waste time clearing it with them) we shall have to see how the Canadian talks develop. If these go badly, thus vindicates Hong Kong's judgement rather than the Board of Trade's over what is likely to happen if Hong Kong's trading partners are refused restraint agreements, then we shall be in that much stronger a position to dispute with the Board of Trade over the degree of licence which should be given Hong Kong in this new Norwegian case. On the other hand, if it is the Board of Trade which is vindicated by the course of events, the reverse will be true. In any event, we shall be that much nearer a decision on the issues of the principle involved. But we must expect to find Hong Kong more intransigent this time than last.
I prefer Kkeep this
FCO net
He
for the
present. We agreed
All war
(H. H. Stewart)
Hong Kong Department 18 August 1969
alternative draft
tel.
nur
19/8