TNAG-0144-FCO40-180-Exports-of-textiles-to-United-States-of-America-1969 — Page 122

CONFIDENTIAL

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IMPORT RESTRICTIONS ALONE ARE LITTLE HELP AGAINST MAJOR U.S. COMPETITORS. WE MUST OF COURSE BRING OUT THE DIFFERENCES BETWEEN LANCASHIRE'S SITUATION AND THAT IN THE U.S.)

(D) THE TEXTILE INDUSTRY PROVIDES EMPLOYMENT FOR NEGROES AND OTHER URBAN MINORITY GROUPS. (WE SYMPATHISE. BUT EMPLOYMENT IN THE INDUSTRY IS RISING AND IS AT A RECORD HIGH. IN ANY CASE THE ART- IFICIAL PROTECTION OF FUNDAMENTALLY UNCOMPETITIVE BUSINESSES IS NO BASIS FOR LASTING EMPLOYMENT.)

(E) ALL COUNTRIES APART FROM THE U.S. RESTRICT NON-COTTON TEXTILE IMPORTS, ESPECIALLY THOSE FROM LOW-COST COUNTRIES. (A NEHMER FAVOURITE. IT IS IMPORTANT TO NAIL THIS AS AN UNTRUE GENERALISAT- ION AND TO ILLUSTRATE AS FAR AS POSSIBLE THAT WHERE RESTRICTIONS EXIST THEY ARE LIMITED IN EXTENT AND RESULT FROM PRIOR DEMONSTRAT- ION OF DISRUPTION).

FCO PASS UKDEL

MR FREEMAN

BRUSSELS BRUSSELS THE HAGUE BONN UKMIS

GENEVA BERNE ROME PARIS HONG KONG AND TOKYO

can

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[REPEATED AS REQUESTED]

INTERNATIONAL TRADE DISTRIBUTION

TR. POL. DEPT.

.COMMODITIES DEPT.

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