XN000022-1984-04-06 — Page 8

FRIDAY, APRIL 6, 1984

HONG KONG TO REFER TWO U.S. TEXTILES CALLS

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HONG KONG HAS ASKED THE TEXTILES SURVEILLANCE BODY (TSB) IN GENEVA TO CONSIDER THE UNITED STATES' IMPOSITION OF EXPORT RESTRAINT LIMITS ON TWO GARMENT CATEGORIES (CAT.652 AND 637) CALLED EARLIER THIS YEAR.

THE DIRECTOR OF TRADE, HAMISH MACLEOD, SAID TODAY (FRIDAY) THAT HONG KONG WAS EXERCISING ITS RIGHTS UNDER THE MULTI-FIBRE ARRANGEMENT AND THE HK-US BILATERAL TEXTILES AGREEMENT.

DURING INCONCLUSIVE CONSULTATIONS IN WASHINGTON LAST MONTH WITH THE UNITED STATES, THE HONG KONG DELEGATION DID NOT AGREE THAT THE U.S. HAD MADE A CASE OF MARKET DISRUPTION OR THREAT THEREOF IN EITHER CATEGORY AND REQUESTED THAT BOTH CALLS BE LIFTED.

SINCE THE UNITED STATES ADMINISTRATION DISAGREED WITH HONG KONG'S ARGUMENT, IT IMPOSED, IN ACCORDANCE WITH THE CURRENT HK-US TEXTILES AGREEMENT, RESTRAINT LIMITS ON EXPORTS IN 1984 OF

3 513 103 DOZEN ON CAT. 652 (MAN-MADE FIBRE UNDERWEAR) AND 45 502 DOZEN ON CAT. 637 (MAN-MADE FIBRE PLAYSUITS ETC).

MR MACLEOD SAID THAT THE DECISION TO REFER THE MATTER TO THE TSB WAS MADE AFTER CONSULTATION WITH THE TEXTILES ADVISORY BOARD, AND AFTER CAREFUL CONSIDERATION OF INFORMATION PROVIDED BY THE U.S. BEFORE AND DURING THE MARCH CONSULTATIONS.

HE SAID THAT THIS INFORMATION INCLUDED U.S. INDUSTRY PRODUCTION DATA, STATISTICS RELATING TO HONG KONG IMPORTS, AND COMPARATIVE PRICE DATA. IN HONG KONG'S VIEW THERE WAS NO CASE FOR RESTRAINT IN EITHER CATEGORY AND IT HAD THEREFORE BEEN DECIDED TO REFER THE U.S. ACTION TO THE TSB FOR CONSIDERATION AND RECOMMENDATIONS. IT WAS LIKELY TO BE DISCUSSED BY THE TSB IN EARLY MAY.

TEXTILE TALKS WITH FINLAND START MONDAY

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CONSULTATIONS WITH FINLAND WITH A VIEW TO REACHING A BILATERAL TEXTILE AGREEMENT WILL BEGIN ON MONDAY (APRIL 9) IN HELSINKI.

THE CURRENT TWO-YEAR AGREEMENT WHICH EXPIRES ON JULY 31, PROVIDES FOR EXPORT RESTRAINT ON THREE CATEGORIES OF TEXTILE PRODUCTS AND AN EXPORT AUTHORISATION ARRANGEMENT COVERING ANOTHER SIX CATEGORIES.

THE HONG KONG DELEGATION, LED BY THE DIRECTOR OF TRADE MR HAMISH MACLEOD, WILL LEAVE FOR FINLAND THIS EVENING (FRIDAY).

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