TNAG-0143-FCO40-179-Exports-of-textiles-to-United-States-of-America-1969 — Page 127

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6. I WONDER THEREFORE WHETHER THE AMERICANS ARE IN FACT TRYING TO

PREPARE THE GROUND FOR A LATER APPROACH TO THE DEVELOPED COUNTRIES

TO SUPPORT A MULTILATERAL MULTI-FIBRE AGREEMENT ON THE GROUNDS THAT =

(A) THE LOW-COST SUPPLIERS INTRANSIGENTLY OPPOSE 'VOLUNTARY '

RESTRAINT.

(B) THE ONLY OTHER CHOICE IS IMPORT QUOTA LEGISLATION IN THE U.S.,

WHICH WOULD HURT DEVELOPED AS WELL AS DEVELOPING.

WHILE WE HAVE NO ENTHUSIASM FOR THE 'CTA EXTENSION' IT COULD BE

PREFERABLE TO A WIDE EXTENSION OF 'VOLUNTARY' RESTRAINT AND IS

CERTAINLY PREFERABLE TO IMPORT QUOTAS.

7. PENDING YOUR REPLY WE SHALL CONTINUE HERE TO TAKE THE LINE

INDICATED IN PARA. 4 OF WASHINGTON TELEGRAM 360 AND TO DECLINE

DETAILED COMMENT IN THE ABSENCE OF DETAILED AMERICAN PROPOSALS.

8. FCO PLEASE PASS TO HONG KONG GOVERNMENT LONDON OFFICE.

WASHINGTON

LENEVA.

FCO PLEASE PASS ROUTINE TO WASHINGTON AND UKMIS KENEVA.

{

SIR D. TRENCH

[REPEATED AS REQUESTED/

/COPIES SENT TO LONDON OFFICE OF HONG KONG GOVERNMENT

BY COMMUNICATIONS DEPARTMENT, A.D.R./

INTERNATIONAL TRADE DISTRIBUTION

COMMODITIES DEPT.

HONG KONG DEPT.

F.E. DEPT.

N.A. & C.D.

NNNNN

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