CYPHER CAT A
CONFIDENTIAL
IMMEDIATE FOREIGNAND COMMONWEALTH OFFICE
EGRAM NUMBER 678
250
TOP COPY
TO HONG KONG
7 OCTOBER 1969. (HKK6/304/1)
CONFIDENTIAL.
NEUTRAL
ADDRESSED TO HONG KONG TELEGRAM NO 678 OF 7 OCTOBER REPEATED FOR INFORMATION TO WASHINGTON AND UKMIS GENEVA.
YOUR TELEGRAM NO 789.
TEXTILES.
BECAUSE OF THE MAJOR COMMERCIAL POLICY ISSUES TO WHICH WE HAVE REFERRED, WE SEE PROPOSED TALKS WITH AMERICANS AS SOMETHING QUITE DIFFERENT FROM THE RECENT NEGOTIATIONS WITH CANADA AND NORWAY ON VOLUNTARY RESTRAINT WHERE, WITHIN THE FRAMEWORK OF POLICIES AGREED WITH HMG AND AFTER CONSULTATION WITH US, IT WAS ACCEPTED THAT RESTRAINT AGREEMENTS COULD BE CONCLUDED.
2. WE DO NOT BELIEVE THAT UK PARTICIPATION IN TALKS IN GENEVA WITH AMERICANS ON NON COTTON TEXTILES WILL IN ANY WAY PREJUDICE THE MAINTENANCE OF HONG KONG'S NEGOTIATING AUTHORITY VIS-A-VIS THE US AS REGARDS COTTON TEXTILES UNDER THE LTA. THE QUESTION OF YOUR AUTHORITY TO NEGOTIATE WITH THE AMERICANS OVER NON-COTTONS HAS OF COURSE CTILL TO BE DISCUSSED BETWEEN US IF THE QUESTION SHOULD ARISE. NATURALLY WE WOULD EXPECT YOUR REPRESENTATIVES TO SPEAK WITHIN THE LIMITS OF THE POLICY INDICATED IN YOUR NOTE TO THE AMERICAN CONSUL GENERAL.
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