ANNEX B
CONFIDENTIAL
DSR 11C
Recent cases of trade discrimination against developed
countries other than the UK include the following:
Mexico-France
1.
In July 1981 the French oil company CFP declined to
exercise its contractual right to lift Mexican oil following
a Mexican decision to raise prices against the market trend.
In response, Mexico cancelled her oil suply agreement with
France and announced that French firms would be excluded
from public sector contracts.
2. Given that the Mitterrand government had earmarked
Mexico as one of three Third World countries with which it
intended to seek a special relationship, the Mexican
choice of target country was judicious. The French capitulated
almost immediately after Mexico made its threat. Any damage to
relations appears to have been transitory; Mitterrand's
subsequent visit to Mexico was a success.
China-Netherlands
3. While the then Dutch Prime Minister Dries Van Agt was
visiting China in November 1980, the Dutch Parliament
approved the grant of export licences for the sale of two
submarines to Taiwan. Trade promotion ves one of the chief
objects of the PM's visit and the Dutch were threatened by
the Chinese with trade sanctions if the decision to sell to
Taiwan was not revoked. After a period of some uncertainty
in which the parliament wavered, the Dutch decided not to
go back on the original decision.
CONFIDENTIAL
14.