TNAG-0303-FCO40-339-Effects-of-tariffs-on-imports-of-cotton-textiles-to-UK-from--1971 — Page 96

IMMEDIATE

CYPHER/CAT A

FM HONG KONG 2903532

CONFIDENTIAL

CONFIDENTIAL

RECEIVED IN

REGISTRY No.51

Chov 1971

امدا

• NKK 6/SW/3 аккы

TO IMMEDIATE FCO TELNO 890 OF 29TH NOVEMBER 1971.

YOUR TELEGRAM NO. 887.

PERSONAL FOR MONSON.

LAST

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NEXT

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MANY THANKS FOR YOU HELP. FOR REASONS SET OUT IN M.I.P.T., AND SUBJECT TO THE POINTS IN IT, WE THINK THE TRADE MAY BE ABLE TO LIVE WITH THE SITUATION ENVISAGED, THOUGH WE EXPECT MUCH RESENTMENT AND SARCASM AT H.M.G'S EXPENSE. BUT I MUST ASK TO BE MET ON TWO

POINTS OF PROCEDURE AND PRESENTATION:-

(A) THE PUBLIC AND PRESS: THEY ARE STILL NERVOUS AND DEPRESSED

BY THE RESTRICTIONS ON M.M.F. BLUDGEONED OUT OF HONG KONG

BY THE U.S. WE COULD NOW JUST SELL A CALL BY H.M.G. FOR

CONSULTATIONS ABOUT THE MAINTENANCE OF PRESENT QUOTAS ON COTTON TEXTILES, PREFERABLY OF COURSE WITHOUT THE TARIFF, THOUGH THERE WOULD BE CRITICISM OF H.M.G. AND POSSIBLY OF

MYSELF. BUT WE COULD NEITHER SELL NOR DEFEND A BALD ANNOUNCE-

MENT OF QUOTAS IN ADDITION TO THE NEW TARIFF WITHOUT ANY

CONSULTATIONS AT ALL. H.M.G. WOULD HAVE BROKEN THEIR WORD,

AND IF WE WERE TO RETAIN THE CONFIDENCE OF THE PUBLIC WE

WOULD HAVE TO SAY SO. THIS IS EXACTLY THE SORT OF SITUATION

I WANT TO AVOID. THE BEST HOPE OF DOING SO LIES IN PROCEEDING

BY MEANS OF CONSULTATIONS, AND BY STRESSING THIS IN ANY ANNOUNCEMENT, AND NOT UNILATERALLY. WE COULD SEND A TEAM TO

(B)

LONDON FORTHWITH.

EXECUTIVE COUNCIL: ON TUESDAY I AM DUE TO INVITE THE COUNCIL TO AGREE TO SIGNATURE OF THE U.S. AGREEMENT. EVEN IF BY THEN H.M.G. HAVE MADE NO ANNOUNCEMENT, OR EVEN TAKEN NO DECISION, I WOULD BE IN BREACH OF FAITH IF I DID NOT TELL THEM IN CONFIDENCE WHAT WAS IN THE WIND.

GRATEFUL FOR AUTHORITY.

CONFIDENTIAL

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