RESTRICTED
condemned in the GATT and other countries would take
similar action.
28.
Mr. Stewart said that the Canadians were in some difficulties and that they would not wish to act hastily
against Japan to which they were anxious to sell its
wheat.
29. Mr. Dunnett referred to the possibility that Hong Kong might restrain their exports on polyester/cotton until the end of the year. Mr. Jordan replied that,as he explained in June, this was not practicable. The trade was seasonal, orders were placed for a year and the mail order houscs nceded to know the position some months ahead. 30. Mr. Wilford said that it appeared that whilst the course of action proposed by Hong Kong might be inconvenient to H.M.G. the alternative course of action proposed by the Board of Trade would be disastrous for Hong Kong both economically and politically.
31.
Mr. Jordan pointed out that U.K. policy was not yet decided and he did not agree that Hong Kong should accept London's judgment on the likelihood of whether or not Canada would take action against Hong Kong's trade. 32. Mr. Stewart said that the U.K. must be fred to decide these matters. If it were decided that Hong Kong should be free to conclude further voluntary restraint arrangements then the situation would be changed with respect to support of Hong Kong in UNCTAD. A decision had been taken to abolish restraints onimports from Japan. British industry hoped that the CTA would be extended to man made fibres. In his view Hong Kong trade could increase as a result of the proposed policy. But if voluntary restraint agreements were conceded the U.K. would have to impose restrictions quickly on Japan.
33. Mr. Jones said that the proposed policy was not
11
RESTRICTED
No comments yet.
Private notes are available after approval.