TNAG-0244-FCO40-280-Exports-of-textiles-from-Hong-Kong-to-USA-1970 — Page 88

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Supplies from these four countries contributed to a

large proportion of total imports.

But less than

4.67% said fr. Jordan. Mr. Nehmer retorted that it was

the same ratio as for cotton when the b.T.A. was

negotiated.

18.

Mr. Stewart pointed to Daily News Record

reports that imports into the U.S. of textiles had

increased by 30% over the period 1966 to 1968:

mately a 10% per annum growth.

approxi-

This rate of growth of

imports did not seem to him to be exceptional if compared

with the general increase in world trade and he noted that

imports of textiles were not rising as fast as imports of

all manufactured goods.

Mr. Nehmer said that in 1968

the growth of textile imports was greater than the growth

of all imports: he saw no reason to limit the comparison

to manufactured goods only. Mr. Jones pointed out that

1968 was an inflationary year and that inflation had sucked

in imports.

The U.S. Administration was now making considerable

efforts to control this inflation.

19.

Mr. Nehmer thought that the "inflationary" growth

contributed less than "real" growth to the high import

totals. He said that the U.S. Government was now

concerned to bring the Vietnam war to an end.

If

it succeeded this would mean reduced Government purchases

from the U.S. textile industry.

This combined with a

successful curb on inflation and a continued growth of

imports on the present scale held out very serious problems

/for

CONFIDENTIAL