CONFIDENTIAL
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successor
textiles industry to repeat this exercise in view of the recession.
This would provoke a very hostile reaction from Hong Kong.
18. The Prime Minister has spoken of the need for a 'tough'
to the MFA. However, although no detailed decisions on the United
Kingdom position have been made, Ministers have agreed that it would
not be desirable to cut back Hong Kong's quotas again.
indications that the Territory would accept very limited or even
nil growth rates in quotas, and this will probably be sought by the
United Kingdom.
ROYAL BANK OF SCOTLAND
There are
19. The Hongkong and Shanghai and Standard Chartered Banks have
each made bids for the Royal Bank of Scotland. The Secretary of State
for Trade has referred the bids to the Monopolies and Mergers Commission
which has up to 6 months in which to reach a decision.
20.
It would not be appropriate for the Minister to make any further
comment on the bids.
!
Hong Kong and General Department
13 May 1981
CONFIDENTIAL