BY BAG

SAVING TELEGRAM

ROL WASHINGTON TO FOREIGN AND COMMONWEALTH OFFICE

TEL NO. 51 SAVING

12 MARCH 1971

13

UNCLASSIFIED

NEUTRAL

Addressed to Foreign and Commonwealth Office telegram

number 51 Saving dated 12 March 1971 repeated for information Saving to:

RECEIVED IN

REGISTRY No. 51

· 18 MAR 1971

HKK 6/548/3

TOKYO, OTTAWA (6), HONG KONG, UKDEL BRUSSELS, UKMIS GENEVA (2)

U.S./JAPAN TEXTILES

1.

The statements issued yesterday evening by the White House and Congressman Mills (my tel.no. 873 of 12 March), and a White House press briefing at which Representative Byrnes and Mr. Peter Flanigan spoke, are all prominently reported in this morning's press.

2.

Most of the reports are factual and either summarise

or set out in full the statements, and there is relatively little commentary. The Washington Post reports that Representative Byrnes said he could not believe press reports that Mills had negotiated with the Japanese industry and would be quote really alarmed unquote if he had done so. The

Journal of Commerce reports Byrnes as saying that even if Mills approves the Japanese offer this does not constitute Congressional approval; and states that he added that he hoped the Ways and Means Committee would take up a trade bill, with textile quotas, this year, quote but, he conceded, that would be up to Representative Mills unquote.

3.

·

The New York Times reports Peter Flanigan as saying that quote the Administration would now explore the opportunity of negotiating a restraint agreement with the other three principal textile exporting nations, all Asian South Korea, Taiwan and Hong Kong unquote. He is reported to have added that if quote a satisfactory agreement unquote with these countries could be reached quote I am sure Japan would want to reconsider unquote.

CROMER

INTERNATIONAL TRADE DISTRIBUTION CCIMODITIES D

HXD

N AM D

EID

TPD

COPIES TO

MR CW BANDERS CRE 2 MR R W GRAY CRE 2

MR W NICOLL CRE 2 MISS C WELCH CT DIVN IR P RIDDLEY CT DIVN

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