1.
DAILY NEWS
23 JUNE 1969;
190
Stans Completes Plan To Curb Import Textiles
By RICHARD C. SIZEMORE
WASHINGTON. Commerce Secretary Maurice Stans has com- pleted work on his "plan of action" program recommendations to President Nixon for limiting synthetic and wool textile imports.
But a check at the weekend disclosed that Stans has not yet formally submitted the proposal.
Whether or not the White House releases Stans' recommenda- tions when it receives them attempts at negotiations are expected to be continued at least until September. At that time, President Nixon meets here with Japanese Prime Minister Sato,
The September date also is in line with the 90 days Stans specified earlier for progress on the textile problem before the Nixon Administration is forced to take a tougher position.
Stans insisted as late as last Thursday to a group of leading retailers that the problem has to be resolved one way or the other. And he also brandished the threat of legislative quotas in a speech · two weeks ago.
Eut some lawmakers, who have been in the forefront of the textile battle long before Stans, say the chances of quota legisla- tion are nil.
The most outspoken on this subject is Sen. Ernest Hollings (D., S. CJ who pointed out re- cently that a quota bill for tex- tiles would evolve into a Christ- mas tree package with everyone attaching his pet project to it.
Without this threat the Ad- ministration is stripped of one weapon to fight the battle. But
none
of the countries Stans visited apparently ever took it seriously.
Hogs suggested the Nixon Administraton go to the General Agreements on Tarts and Traue (GATT) under arucle 28. Lnuer GAFT rules, a member nation can give notice before the pact is renewed next Jan. 1 that it wanes 10 Witnaraw past tarif Concessions on texules.
The United States would list its Teasons Lor SO Going and tarow the texuie question open for debate, Tins would not in- volve an arms, just texilies, a spokesman holungs' olice Saud,
but other nations could come in and withdraw past concessions on omer products. Such a move Could Start an avalanene and the Nixon Aumimistration has throw II cold water on the proposal.
So if quotas and action under GATT Ace 28 are thrown out, that leaves conunued attempts at muntnateral alscussions under Galf auspices, or outside of GATT.
And bilateral negotiations with each country that exports large amounts of textiles.
Stans said earlier he would recommend a dennite plan of ac- tion to Nixon. That is expected to be continued attempts at nego- tiations and then the possibility of getting tough if these fail by September.
The United States has several tools in its trade kit that could be applied, if it wanted to tighten the screws. As an example, it could declare certain subsidies to exports by its trading partners to be illegal under United States law.
Japanese
Foreign
Minister
Kiichi Aichi said recently his stand had not changed since Stans visited Japan and Aichi visited the United States.
Common Market President Jean Rey warned against uni- lateral action by the United States on textiles in a recent visit here.
S. Stans along with other I Cabinet members visits Japan again in late July and will have a further chance to explore the problem.
But whatever he recommends to the President, the battle to limit textile imports is a long way from solved.
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RECEIVED IN REGISTRY No.51
-7 JUL 1969
HKK6/204/1
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