TNAG-0144-FCO40-180-Exports-of-textiles-to-United-States-of-America-1969 — Page 14

-2-

3. STANS STRESSED HIS REFUSAL TO ACCEPT THE JAPANESE POSITON

AS FINAL.

HE STATED THAT THE US WISHED TO CONTINUE DISCUSSION

OF TEXTILE PROBLEM WITH JAPAN, AND THAT MEETINGS AT AN OFFICIAL LEVEL SHOULD BE CONTINUED BETWEEN JAPAN AND THE US AT

WHICH THE FULL US CASE FOR IMPORT RESTRICTIONS WOULD

BE PRESENTED.

4. THE JAPANESE PRIME MINISTER IS REPORTED BY THE PRESS TO HAVE SHOWN WILLINGNESS TO CONTINUE DISCUSSIONS AT THE OFFICIAL LEVEL, BUT TO HAVE STRESSED THE FUNDAMENTAL

UNACCEPTABILITY OF US PROPOSAL BECAUSE (A) THE JAPANESE TEXTILE INDUSTRY HAD HAD ENOUGH OF VOLUNTARY SELF-RESTRAINT (B) OF THE FLOURISHING STATE OF THE US TEXTILE INDUSTRY (C) ONE QUARTER OF JAPANESE EXPORTS TO THE US WERE ALREADY SUBJECT TO VOLUNTARY SELF -RESTRAINT.

(D) OF THE JAPANESE DIET RESOLUTION OPPOSING VOLUNTARY RESTRAINT.

FCO PASS SAVING TO PARIS, BONN, ROME, BERNE, BRUSSEL S

AND THE HAGUE.

SIR J.PILCHER

[REPEATED AS REQUESTED]

INTERNATIONAL TRADE DISTRIBUTION

ADVANCE COPIES SENT

TR. POL. DEPT.

N.A.C.D.

H.K.D.

COMMODITIES DEPT.

: