TNAG-0299-FCO40-335-Entitlement-of-Hong-Kong-to-generalized-tariffs-preferences--1971 — Page 23

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

and in bilateral talks. Mr. Wilford agreed and said

that we had indeed been considering whether we ought

to seek to hold special talks with the Japanese

on oil.

Mr. Beckett thought that there would be large

increases in the amount of natural gas produced both

in the Far East and elsewhere.

ANGLO-JAPANESE ECONOMIC RELATIONS

Bilateral Trade

Mr Arita was gratified that two-way trade had

increased by 29% in 1970 to reach a total of

8875 million. This amount however was not commensurate

with the close relations between the two countries.

Japanese trade even with the Soviet Union had amounted

to 8820 million. We must therefore aim at further

increases in Anglo-Japanese trade.

During the past

year Japan had liberalised a number of items of

interest to the United Kingdom. including whisky,

wool textiles and electronic items. It was

expected that confectionery would be liberalised.

He recognised the British interest in a reduction of

the tariffs on whisky and wool textiles, and the

matter would be further studied.

The bilateral trade "talks were admittedly at a

stand-still but as he had shown Japan was taking

practical steps and in return she hoped to see the

abolition of the safeguard protocol and the so-called

voluntary export controls affecting textiles and

pottery. He was unsure how this question should be

handled in the coming months. Some Japanese wondered

CONFIDENTIAL

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