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DIFFICULT PEOPLE WE HAVE TO DEAL WITH. EVERYONE ELSE IS PREPARED TO
NEGOTIATE ON BASIS OF TRADE FIGURES. IF YOU WANT OUR PRODUCTION
STATISTICS, I WANT YOURS. UNQUOTE. I SAID THESE WERE IRRELEVANT TO THEIR CASE FOR RESTRICTIONS SO HE SUGGESTED THAT COMPARISON OF
OUR PRODUCTION WITH THAT OF OUR COMPETITORS WOULD SHOW WHAT WAS OUR
FAIR SHARE OF THE EEC MARKET. HE INSTRUCTED RAVENNA TO SEND US
PRODUCTION STATISTICS, BUT I WOULD NOT COUNT ON GETTING MUCH. (C) ERNST ASSURED ME THERE WOULD BE ONLY ONE NEGOTIATION WITH COMMISSION SUPPORTED BY REPRESENTATIVES OF MEMBER STATES (25 PEOPLE),
WHEN I PRESSED HIM ON THIS, HE ADMITTED THAT QUOTE ADMINISTRATIVE ARRANGEMENTS UNQUOTE WOULD HAVE TO BE DISCUSSED WITH MEMBER STATES.
(F) ERNST'S LINE WAS THAT THIS WOULD BE LESS COMPLEX THAN PREVIOUS ARRANGEMENTS (E.G. WITH JAPAN) SIMCE ONE NEGOTIATION WOULD SUFFICE.
IF WE COULD NEGOTIATE THE BASIS OF AN AGREEMENT BEFORE 30 SEPTEMBER,
THEN PERHAPS GERMAN AGREEMENT COULD BE EXTENDED TO 31 DECEMBER AND
IMPLEMENTATION OF NEW COMMUNITY AGREEMENT START FROM 1 JANUARY.
4. AT THIS POINT HE TURNED NASTY AND SAID THAT IF WE CANNOT AGREE,
QUOTE WE SHALL EXTEND ARTICLE 2 TO THE WHOLE COMMUNITY UNQUOTE.
HE EVEN SUGGESTED THAT IF WE WOULD NOT AGREE EEC WOULD TAKE US TO
THE GATT EXCLAMATION MARK.
5. HE SUGGESTED THAT IF WE FOUND E E C OFFER REASONABLE THEN WE
COULD AVOID LENGTHY DISCUSSIONS. ONLY IF NOT WOULD WE HAVE TO
GO INTO QUOTE COMPLICATED ARGUMENTS UNQUOTE.
6. HE SAID QUOTE PERSONALLY UNQUOTE HE COULD SEE GROUNDS FOR EXCLUDIO
GREYS BUT HIS INSTRUCTIONS WERE STILL TO SEEK COMPREHENSIVE
COVERAGE.
7. ERNST'S TONE WAS, FROM THE BEGINNING OF OUR TALK, MORE AGGRESSIVE THAN IN MY PREVIOUS EXPERIENCE OF HIM. SUCH TENSION
AS THERE WAS WAS ALL MANUFACTURED ON HIS SIDE. THIS IS PRESUMABLY
BECAUSE HE REALLY IS ANXICUS TO GET US TO THE NEGOTIATING TABLE
SOON, FOR THE COMMISSION'S OWN REASONS.
/8. YOU
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