TNAG-0160-FCO40-196-Exports-of-textiles-to-Norway-1969 — Page 48

CONFIDENTIAL

2

5. WE UNDERSTAND THAT THE NORWEGIANS HAVE ARGUED THAT INCREASED IMPORTS OF KNITWEAR HAVE CAUSED OR THREATENED UNEMPLOYMENT IN NORTHERN NORWAY, MISS WELCH COULD REASONABLY MAKE THE POINT THAT IF THIS HAS BEEN CAUSED BY IMPORTS FROM OTHER EFTA COUNTRIES THE MATTER COULD POSSIBLY BE DEALT WITH UNDER ARTICLE 20 OF THE EFTA CONVENTION. ON THE FACE OF IT THERE IS NO REASON WHY HONG KONG SHOULD BE SINGLED OUT FOR RESTRAINT. WE ARE PARTICULARLY CONCERNED ABOUT THE CASE IN WOMEN AND GIRLS ACRYLIC KNITWEAR WHERE HONG KONG'S SHARE OF THE TRADE IS RELATIVELY SMALL.

STEWART

INTERNATIONAL TRADE DISTRIBUTION H.K.DEPT.

CONFIDENTIAL

COPIES TO:

HONG KONG GOVE; SFEIGE,

CE