SATURDAY, JULY 14, 1984

SO, OF COURSE, THAT SENSE OF FRUSTRATION IS FULLY UNDERSTOOD, NOT JUST BY ME BUT BY THE PRIME MINISTER AND BY SIR GEOFFREY HOWE.

NOW WE HAVE TO JUDGE TWO THINGS. ONE IS THE NEED TO MAINTAIN CONFIDENTIALITY IN THE TALKS BECAUSE IF YOU DON'T DO THAT IT WILL MAKE IT THAT MUCH MORE DIFFICULT TO ACHIEVE AN AGREEMENT WHICH EVERYBODY ACTUALLY WANTS. BUT, ON THE OTHER HAND, WE ARE ANXIOUS TO TRY AND REVEAL SOMETHING ABOUT OUR APPROACH TO THESE TALKS IN ORDER TO HELP THE PEOPLE OF HONG KONG. THAT IS WHY, FOR EXAMPLE, LAST APRIL, THE SECRETARY OF STATE MADE A FAIRLY LENGTHY STATEMENT OF OUR APPROACH TO THE TALKS. THAT IS WHY IN MAY WHEN WE HAD A DEBATE IN PARLIAMENT THE SECRETARY OF STATE REVEALED A LITTLE BIT MORE ABOUT OUR APPROACH TO THE TALKS. AND WHAT WE HAVE TO DO IS TO BALANCE THESE TWO FACTORS - THE REAL ANXIETY TO KNOW MORE WITH THE NEED TO MAINTAIN CONFIDENCE IN THESE TALKS. AND THIS IS A FACTOR WE MAINTAIN ALL THE TIME. WE HAVE TO CONSIDER WHETHER BY GIVING MORE INFORMATION, WHICH IS AN UNDERSTANDABLE ASPIRATION BY THE PEOPLE OF HONG KONG, THAT ACTUALLY HELPS THE PROCESS OF THE TALKS. THIS IS A MATTER WHICH I CAN ASSURE YOU THAT NOT JUST 1, BUT THE FOREIGN SECRETARY, CONSIDER AT EVERY STAGE AND CERTAINLY WHEN WE MAKE OUR VISITS TO HONG KONG.

TALKS ON CALLS WITH U.S. END

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CONSULTATIONS HAVE ENDED IN WASHINGTON BETWEEN HONG KONG AND AMERICAN OFFICIALS ON EXPORT AUTHORISATION (EA) CALLS BY THE UNITED STATES FOR CONTROLS ON SIX TEXTILES CATEGORIES.

A SPOKESMAN FOR THE TRADE DEPARTMENT SAID TODAY (SATURDAY) THAT DURING THE DISCUSSIONS IT WAS AGREED THAT 1984 EXPORTS FROM HONG KONG IN PART OF CATEGORY 359 (COTTON OUTER VESTS) WOULD BE LIMITED TO 1 980 000 LBS, AND IN PART OF CATEGORY 605 (MAN-MADE FIBRE SEWING THREAD) WOULD BE LIMITED TO 471 956 LBS. THESE LIMITS ARE ABOVE THE LIMITS OF 1 961 213 LBS AND 468 696 LB3 RESPECTIVELY PROVIDED FOR UNDER THE UNITED STATES BILATERAL TEXTILES AGREEMENT.

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HONG KONG

NO AGREEMENT WAS REACHED ON CATEGORY 637 (MAN-MADE FIBRE PLAYSUITS ETC) AND THE UNITED STATES REQUESTED THAT HONG KONG LIMIT ITS EXPORTS IN 1984 IN ACCORDANCE WITH THE TERMS OF THE UNITED STATES HONG KONG BILATERAL TEXTILES AGREEMENT. THE LIMITS SO IMPOSED IS 107 954 DOZEN.

THIS WAS THE SECOND CALL THIS YEAR ON CATEGORY 637. THE FIRST CALL WAS WITHDRAWN BY THE UNITED STATES ON MAY 15 FOLLOWING CONSIDERATION OF THE CASE AT HONG KONG'S REQUEST BY THE TEXTILES SURVEILLANCE BODY IN GENEVA. THE LIMIT IMPOSED UNDER THE FIRST CALL WAS 45 502 DOZEN.

/ON PART

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