McEwen Disturbed By Reported U.S. Policy

Press, Volume CI, Issue 29791, 6 April 1962, Page 11

McEwen Disturbed By Reported U.S. Policy

(N.Z. Press Assn.—Copyright)

LONDON, April 4.

The Australian Minister of Trade (Mr McEwen) said today that Australia would take the “strongest view indeed” of any United States action connected with the Common Market negotiations which sought to

benefit United States in

idustries at the expense of Commonwealth countries

He was commenting on a report in today’s “Daily Telegraph” which quoted American sources as saying that preferences on industrial and agricultural products exported from the Commonwealth to Britain should eventually be abolished if Britain joined the Common Market

The report coincided with the arrival in London last night of the United States Under-Secretary of State (Mr George Ball) Mr McEwen, who is in Brussels issued his statement through Australia House. London

He said that if tne declarations of American policy against the preservation of the system of British preferences were, as had been made to appear a reflection of the American official attitude toward the United Kingdom’s negotiations with the Six. he would be surprised and disturbed.

Mr McEwen said tie had recently gone, to Washington fearful that a combination of American official doctrine and sell-interest of American industry might combine to take advantage of Britain’s application to join the Six in order to “kill’’ British preference He said he had pointed out in Washington that no British country would, or could have, joined the General Agreement on Tariffs and Trade if British preferences had not been recognised in that institution “It is within the framework of GA.T.T. that the Common Market and other trade negotiations have emerged, ” Mr McEwen said "We look for arrangements compatible with GATT for solutions to tiie problem of protecting Commonwealth interests should the United Kingdom join the Common Market ” There was no doubt that the United States had, as Mr Bail was reported yesterday as saying, a “vital interest in the possibility of the abolition of British preferential arrangements." Mr McEwen said

“They more than any other country, stand to gain at the expense of Great Britain Itself, as well as Commonwealth countries, from the abolition of preferences.” he saw’

Mr McEwen said that Australia would take “the strongest view indeed against any influence being exercised from America to take advantage of the Brussels negotiations as an opportunity to kill a system wiiich America had accepted m GATT “Indeed, the United States in GATT had accepted that any modification of existing preferences sought would have to be paid for by reciprocal benefits in her tariff." he said

Mr McEwen said: “If American official opinion was correctly reported, she was actually looking forward to an outcome of the Brussels negotiations in which United States industries would profit from the damage to individual Commonwealth countries w-hich the complete abolition of preferential arrangements would undoubtedly produce.” Mr McEwen said he was sure there was a completely inadequate understanding and even an unwillingness to

understand the extent to which tae development of important Australian and Commonwealth industries and the livelihood of large groups of Australians and Commonwealth people were related to 30 years of British preferences.