TNAG-0147-FCO40-183-Exports-of-textiles-to-United-States-of-America-1969 — Page 192

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IN A TACTFUL AND RESTRAINED MANNER AND DID NOT PUT FORWARD ANY

17 SOLUTIONS (SEE PARA 4 OF MY TEL NO 23 TO HONG KONG). THEY MADE IT CLEAR OUTSIDE THE COMMITTEE, HOWEVER, THAT THEY WERE CONCENTRATING AT THIS STAGE ON ACHIEVING WHAT THEY WANT THROUGH COMPREHENSIVE BILATERAL AGREEMENTS WITH THE ASIAN EXPORTERS.

4. ON THIS ISSUE WE COORDINATED OUR TACTICS CLOSELY WITH THE COMMUNITY AND THE JAPANESE. THE FORMER HAD HEARD THAT LONG HAD GOT THE IMPRESSION THAT THEY WOULD ACQUIESCE IN THE AMERICAN PLAN OF BILATERAL RESTRAINTS. THEY WERE ANXIOUS TO SCOTCH THIS AND THEREFORE INTERVENED AHEAD OF US TO MAKE THEIR POSITION CLEAR AND TO THROW OUT THEIR IDEA OF A POSSIBLE GATT STUDY. THIS ENABLED ME TO EXPLAIN THE UK VIEW AS AN ENDORSEMENT OF THEIRS. I SAID THAT WE HAD TAKEN THE VIEW FROM THE FACTS AT PRESENT AVAILABLE TO US THAT THE PROBLEM IF IT EXISTS, WAS NOT ON A SCALE TO WARRANT ACTION ON THE LINES OF WHAT IS BEING DONE IN THE FIELD OF COTTON TEXTILES. NEVERTHELESS, AS MEMBERS OF GATT, WE RECOGNISED THAT IF SOME OF OUR FELLOW CONTRACTING PARTIES THOUGHT THERE WAS A PROBLEM WHICH MERITED DISCUSSION, SOME OPPORTUNITY SHOULD BE FOUND FOR DISCUSING ITS SCOPE AND SIGNIFICANCE. IF A PROPOSAL WAS MADE FOR DISCUSSION WITHIN THE FRAMEWORK OF GATT, WE WOULD NOT DISMISS IT OUT OF HAND. 1 ADDED THAT IT WOULD BE REGRETTABLE IN OUR VIEW IF COMPREHENSIVE BILATERAL ARRANGEMENTS OF ONE KIND OR ANOTHER WERE MOOTED WITH THE INTENTION OF SECURING RESTRAINTS NEGOTIATED OUTS! DE THE GATT RULES. WE FEARED THAT SUCH ARRANGEMENTS WOULD INEVITABLY LEAD TO DEVELOPMENTS WHICH EITHER PREVENTED NEW MEASURES OF TRADE LIBERALISATION OR LED TO A SIGNIFICANT WITHDRAWAL FROM THE DEGREE OF LIBERALISATION ALREADY

ACHIEVED.

5. THERE WERE REFERENCES BY OTHERS TO THE NON COTTON PROBLEM BUT NOBODY ELSE PICKED UP THE IDEA OF A GATT STUDY. THE JAPANESE CAREFULLY AVOIDED TAKING A POSITION ALTHOUGH, AS I REPORTED IN 211) MY TEL NO 536, NAKAYAMA HAD BEEN FLOATING A SIMILAR IDEA EARLIER

WITH THE AMERICANS, AND HAD ENCOURAGED US TO RAISE IT IN COMMITTEE. THE AMERICANS SEEMED TO TAKE THE COMMUNITY INITIATIVE AS HELPFUL TO THEM AND SAID THEY NOTED IT WITH INTEREST.

16. I SHALL

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