TNAG-0245-FCO40-281-Exports-of-textiles-from-Hong-Kong-to-Sweden-1970 — Page 117

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

(118281) Dd. 391599 1,500M 2/69 Hw.

NOTHING TO BE WRITTEN IN THIS MARGIN

Registry No.

SECURITY CLASSIFICATION

IIDIDAMAX

fxxx

Confidential.

Restrictedx fireiastifeder

PRIVACY MARKING

In Confidence

DRAFT

TELEGRAM

Type 1 +

From

To:-

IMMEDIATE

Telephone No. & Ext.

GOVERNOR, HONG KONG

Department

1

Essentielly,

wils.

20

Consultations with Sweden

Since receiving your report on the first round in

Hong Kong we have been considering how we might best

handle the Swedes next week, having regard to the

developing situation on the American front.

2.

On the one hand we fully recognise the importance

to Hong Kong in the present difficult situation of

securing the best deal possible from both the Swedes

and the Americans, We also share your concern about

the impact of import controls particularly since we

ourselves may come under pressure from UK industry to

impo se restrictions on imports of non-cottons from

Hong Kong

3. On the other hand-has long been the policy of

KMG to oppose any proposal likely to restrict the flow

of trece. Our fear all along has been that political

or em nomic difficulties in one country might lead to

restrictions on trade of one kind or another which

would create damaging precedents for the erection of

further barriers elsewhere. That is why we attach so

much importance to GATT and why we think that our

approach to the Swedes must be so carefully studied.

4. With some misgivings we have new come to the

conclusion that habanae it would be better to agree

to selective restraints on a few non-cottons from

in hen

choru

ben

We han howen

/ Hong Kong

Imprened by you want views on the

Слин

Night Cra

Ju Hong Kong

On a

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