D

Group Lagjugite Amit has bien above the level 1

actual expreɔ

for year.

усли

J

-7-

He acceptel that everything HK had done had been The STR did not want

completely within the law.

to termin te the agreement. assurances for 1979.

He want ed only some Smith had calculated some

figures showing HK's potential for 1979 and some- thing was urgently needed to reduce this potential.

Smith The US was not beholden to any any formula. proferred as one idea.that HK should agree not to ship apparel in 1979 in amounts greater than the restraint limits in the Annex to the Agreement for 1979 or the levels of 1978 trade whichever was the higher. He was not worried about the Aggregate

His concern was or the limits for Groups 1 and 3. the cotton and mmf apparel in Group 2, and wool products in Group 4. He want ed to go to HK in early Januar ́. On the data available now, 1979 looked as if it would be a devastating year, well beyond the 6′ growth factor.

17.

the heal youus prote

DTIC said that every year'must look the same because the quota-limits were so high. However when one spoke of potential one had to tu.....

findi NÚML ༧རི

look at the question on a category by category

bisis. To reach a potential of 1387% in one

category could only be as a result of

in exports in another category.

reductions

Furthermore

the US calculations had not taken into account the inhibiting effect of the group limit

18.

There was then some exchanges on

statistics.

19.

Se

Smith said that global imports of textiles of all kinds in 1978 were up by 19. were apparel imports. IK's apparel imports were up 27.5%, Taiwan's by 9.5, Japan's cotton and tmf by 7.2. Korea's apparel, on the othe hand, was

down 13.5%.

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