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BUT REITERATED OUR WILLINGNESS, IF THE US HAD A PROBLEM ON THIS OR ANY OTHER SPECIFIC COMMODITY, TO CONSULT WITH THEM ABOUT IT WITHIN THE FRAMEWORK OF THE GATT BUT WITHOUT COMMITMENT. THE SUBJECT WAS THEN DROPPED AND SINCE THEN WE HAVE HEARD NOTHING MORE ABOUT IT, NOT SURPRISINGLY, AS OUR APPROACH TO THIS MATTER IS ANATHEMA TO THE AMERICANS, NEHMER HAVING CLEARLY RAISED
THE SWEATER QUESTION SOLELY AS A DEBATING POINT. OUR PUBLIC STATEMENT ALSO STATED THAT WE WERE PREPARED TO RENEW GENERAL DISCUSSIONS ON REQUEST.
3. NEHMER IS OF COURSE FULLY AWARE THAT AT GERMAN REQUEST OUR EXPORTS OF WOOLLEN SWEATERS TO GERMANY WERE UNDER VOLUNTARY RESTRAINT FROM 1966 TILL QUITE RECENTLY WHEN THE RESTRAINT WAS ABANDONED AT THE SUGGESTION OF THE GERMAN GOVERNMENT.
4.
WASH INGTON TOLD US BY COPY OF THE IR TELEGRAM 2310 TO FCO THAT STATE DEPARTMENT WAS ABOUT TO INSTRUCT CONSUL-GENERAL TO MAKE FORMAL REQUEST FOR DISCUSSIONS BUT IN TELEGRAM 2336 THEY SAID THIS APPROACH (WHICH WAS TO HAVE BEEN MADE TO SEOUL AND TAIWAN ALSO) HAD BEEN POSTPONED FOR QUOTE AT LEAST SIXTY DAYS UNQUOTE.
FCO PLEASE PASS ROUTINE OTTAWA AND WASHINGTON.
SIR D. TRENCH
[REPEATED AS REQUESTED]
INTERNATIONAL TRADE DISTRIBUTION
TR. POL. DEPT.
HONG KONG DEPT.
AMERICAN DEPT.
GGGGG
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