TNAG-0153-FCO40-189-Exports-of-cotton-textiles-to-Canada-1969 — Page 147

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CONFIDENTIAL

HONG KONG TELEGRAM NO.647 TO FCO

-5-

OF PARA. 10 ABOVE, I FEEL THAT THE ABSOLUTE MINIMUM REQUIRED

TO GET BY WITH THE CANADIANS NEXT WEEK, IF THEY SHOW SERIOUS CONCERN AS AM SURE THEY WILL, AT THE FIGURES INVOLVED IN REGISTERED CONTRACTS FOR POLYESTER/POLYNOSIC SHIRTS, IS TO SUSPEND FURTHER EXPORT LICENSING FOR THESE SHIRTS FORTHWITH PENDING FURTHER CONSULTATIONS. OTHERWISE MY JUDGMENT IS THAT THE CANADIANS WILL IMPOSE THE SURCHARGE RATHER THAN FACE THE RISK OF THESE QUANTITIES BEING SHIPPED IN THE NEXT SIX WEEKS. I THEREFORE PROPOSE

TO INSTRUCT THE HONG KONG DELEGATION AT THE CONSULTATIONS TO TAKE THIS ACTION IF IT CONSIDERS IT NECESSARY TO DO SO.

(F C O PLS PASS TO OTTAWA)

GOVERNOR

SIR D. TRENCH

REPEATED AS REQUESTED).

INTERNATIONAL TRADE DISTRIBUTION:

HONG KONG DEPT

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CONFIDENTIAL

ADVANCE COPIES SENT:

ADDITIONAL DISTRIBUTION:

H.K. INTERNATIONAL TRADE