TNAG-0142-FCO40-178-Long-term-policy-on-International-trade-in-textiles-1969 — Page 192

"CONFIDENTIAL

3.

oluntary Export Restraint Arrangements

12. The Americans have shown interest in this possibility, to the extent of collecting all the evidence they could of such existing

arrangements. Nevertheless, they have said that any such arrangements resting only on a gentleman's understanding are of no value to them, and they need to base anything of this kind on an official agreement which would provide sanctions. We would ourselves regard with concern

any voluntary restraint arrangement which had the effect of diverting

the pressure of exports to our own market; and of course any such arrangement would provide our own industry with a precedent for

demanding similar protection for themselves.

CONFIDENTIAL