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THAT THESE ARE NOT LIKELY TO DE DISCRIMINATORY:

E) HE NOW WEEDS CUR QUOTE HELP UNQUOTE IN THE STRUGGLE EVEN TO PRESERVE THE BASIC FROZEN LEVELS BUTOIR (UNDERLINED)

CONCEPT WITHIN THE GENERAL SUPER-COMPETITIVE PROPOSALS.

3. TRAN FINALLY ADMITTED WITH RELUCTANCE THAT THE REAL

SUPER-COMPETITIVE PROBLEM WAS BETWEEN YUGOSLAVIA AND

ITALY, BUT THE SITUATION WAS COMPLICATED, FOR EXAMPLE,

BY THE DUTCH BEING OPPOSED IN PRINCIPLE TO ANY BENEFIT

AT ALL BEING GIVEN A SUPER-COMPETITIVE SUPPLIER.

4. HE ASSERTED IN DUE COURSE THAT THE YUGOSLAVS WERE

NOW PREPARED TO HELP AND VOLUNTARILY TO LIMIT THEIR TARIFF-QUOTA PERFORMANCE TO ITALY (AND OTHERS)

INDIVIDUALLY TO 50% OF THE PROPOSED NEW SPECIAL EEC BUTOIRS (UNDERLINED) FOR 1975.

5. IF HONG KONG WAS NOT SIMILARILY PREPARED TO ENGAGE

IN A FORM OF QUOTE SELF-LIMITATION UNQUOTE, TRAN WARNED

THAT THE SPECIAL BUTOIRS THEMSELVES MIGHT WELL HAVE TO BE REDUCED TO, SAY, 19% (MEANING CUTBACK), OR BE DIVIDED ONCE ACAIN INTO COUNTRY QUOTAS, OR EVEN WORSE. HE CONCEDED THAT

THIS MEANT MORE OVERT DISCRIMINATION BUT IN THE PRESENT

POLITICAL ARENA, IN HIS OPINION, IT WAS ALMOST NAIVE FOR

HONG KONG STILL TO BE RELYING ON CLAIMS OF EQUITY, HARDSHIP,

TRADE DIVERSION, OR EVEN POTENTIAL SERIOUS FOLITICAL UNREST

IN THE COLONY, HONG KONG AS SUCH WAS A BRITISH RESPONSIBILITY.

RICHTLY OR WRONGLY, HE WENT ON, IN TERMS OF THE EEC:CSP

A FEW EUROPEAN POLITICIANS IN BONN OR PARIS SEEMED TO

COUNT FOR MORE THAN THE POTENTIAL FATE OF FOUR MILLION

CHINESE.

6. TRAN REFUSED TO BE PINNED DOWN ON THE EXACT FORM OF SELF-

LIMITATION HE HAD IN MIND. HE INSISTED THAT HE WAS NOT

QUOTE NEGOTIATING UNQUOTE.

THE SUGCESTION HOWEVER BASICALLY

AMOUNTS TO OUR VOLUNTARILY MANAGING OUR CERTIFICATION

ARKANGEMENTS FOR THE GSP IN 1975 TO ENSURE THAT NOT MORE THAN 50% OF ANY SPECIAL EEC PUTOIR (UNDERLINED) GOES IN PARTICULAR TO ITALY, THE BENELUX, FRANCE, OR IRELAND.

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/ TRAN'S

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