TNAG-0142-FCO40-178-Long-term-policy-on-International-trade-in-textiles-1969 — Page 36

The

9. In discussions with the Japanese in Geneva in the week ending November 22nd., the Americans proposed a trigger system for sensitive items, and a ceiling for other items. Japanese have insisted that any particular restraints should be subject to scrutiny multilaterally. The Japanese and Americans have agreed to resume discussions in Geneva in mid- December.

10. The Americans are to have talks with the Koreans

beginning on 8 December, in Geneva, and with Taiwan on 10th December.

11. We for our part have had an exchange of views with representatives of the E.E.C. Commission. Their main points

are:

(i) At the resumed Session of the GATT Cotton Textiles Committee we should initially stick to the line already indicated i.e. express readiness to have considered in the GAIT any problem there may be in the field of non-cotton textiles.

(ii) They see dangers in maintaining indefinitely

a state of tension with the United States, and would look

for some way of saving United States face.

(iii) They remain opposed to anything covering textiles in general, or even man-made fibres in general.

(iv) They would therefore hope that action in GATT to meet the American difficulties would not be taken by the GATT Cotton Textiles Committee itself.

(v) The GATT might therefore establish some other

/body