American Synthetic Textiles (Imports)

Part of the debate – in the House of Commons at 6:20 pm on 15 December 1980.

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Photo of Mr Cecil Parkinson Mr Cecil Parkinson , Hertfordshire South 6:20, 15 December 1980

The hon. Member for Norwood (Mr. Fraser) asked whether we would take action with the Americans by invoking article 3 of the multi-fibre arrangement. We propose that the Commission should go to the United States to discuss the full range of textile problems with the new Administration. We do not rule out consultations under article 3. This would be the first time, with one minor exception, that article 3 had been used between developed countries. However, we do not rule it out, and we do not wish to tie the hands of the Commission in the wider range of discussions that would be possible under article 3.

On the time limit, we would wish the Commission to report back to the February Council. If the initiative fails, we have open to us a range of options under article XIX of GATT and elsewhere. We would consider those in the light of any failure. We would press a united Council of Ministers to give the Commission a mandate to ensure that it achieved some results. Of course, we shall keep in close touch with the industry and the unions, as we have to date.

The hon. Gentleman spoke about "dismay and alarm" in the industry at the decision. The decision has been taken after very careful consultation with the industry, and on the whole it has the industry's support.