HC Deb 08 April 1957 vol 568 cc803-6
10. Mr. Rankin

asked the Secretary of State for Foreign Affairs whether he will advise the Chinese Government that, in future, the restrictions on exports from the United Kingdom to China will not be more severe than those on exports to other countries of the Eastern bloc.

21. Sir L. Plummer

asked the Secretary of State for Foreign Affairs to what extent Her Majesty's Government are now considering bringing the China embargo into line with that applicable to the Soviet bloc.

Mr. Ormsby-Gore

I have nothing to add to the statements made by the Prime Minister and my right honourable and learned Friend on this subject on 1st April.

Mr. Rankin

Is the Minister not aware that since then his Government have issued a paper called the Economic Survey, and that dealing with prospects for the United Kingdom, on page 37. it says that: exports must be increased more rapidly than in recent years? Is it the case that, as stated by the Sunday Express and other newspapers yesterday, the Government propose to meet this need by expanding trade with China and ceasing to treat her as if we were at war with her?

Mr. Ormsby-Gore

I am not prepared to comment upon what has been put in some of the national newspapers. I think that my right hon. and learned Friend made the position very clear. We have stated our view, and I think that it is one which is held in all parts of the House. We have stated it very frankly to the United States Government. As my right hon. and learned Friend said, we have only to wait a little longer to get a reply.

Sir L. Plummer

At the time when we are supplying the Soviet Union with the largest tyre factory in Europe for the purpose of its industrialisation, is it not ridiculous to refuse to supply China with the goods that she needs for her industrialisation?

Mr. Ormsby-Gore

I think there must be some discrimination as between one type of goods and another. I think it has been accepted by both sides of the House that certain goods should be banned for export to the Soviet Union. I do not imagine that even hon. Members opposite would be in favour of sending our latest type of jet aircraft to the Soviet Union.

Mr. Shinwell

Am I to understand from a previous Answer given by the right hon. Gentleman about the United States that our policy in respect to trade with China is now dictated by the United States? Is that the position?

Mr. Ormsby-Gore

That is not the position. In trying to maintain a common front on the controls which everybody regards as necessary for trading with the Soviet bloc and with China, we have consultations with our allies. My right hon. and learned Friend had discussions on this very matter at Bermuda and was assured that we should get a reply in the very near future. I think that we must now wait until we gel that reply.

Mr. Dugdale

Will the right hon. Gentleman state quite plainly why it is more dangerous to export arms, or any goods, to China than it is to export them to Russia?

Mr. Ormsby-Gore

That is one of the considerations which is in our minds.

Viscount Hinchingbrooke

Am I to understand from my right hon. Friend's earlier reply that, if the reply of the United States is unsatisfactory, Her Majesty's Government will give the matter further consideration with a view to unilateral action?

Mr. Ormsby-Gore

I cannot go further now than to say that, when we revive the reply, we shall give it further consideration.

20. Sir Leslie Plummer

asked the Secretary of State for Foreign Affairs what steps Her Majesty's Government are taking to reduce the restrictive effects of the embargo on Great Britain's trade with China, the Union of Soviet Socialist Republics and the countries of Eastern Europe.

Mr. Ormsby-Gore

The controls on trade with the Soviet Union and certain East European countries are kept under continuous review. Her Majesty's Government do not contemplate any special action as regards the Soviet bloc controls. As to the China trade controls, I would refer the hon. Member to the answer which I have just given in reply to the hon. Member for Govan (Mr. Rankin).

Sir L. Plummer

We are not getting anywhere very fast on this question of reducing the embargoes. Is it not time that the Government decided to "go it" alone if the successful attempts which are now being made to hamstring our trade with those countries continue?

Mr. Ormsby-Gore

I have already repeated several times that my right hon. and learned Friend hopes to be able to make a statement on this subject in the very near future.

22. Sir L. Plummer

asked the Secretary of State for Foreign Affairs what additional items have been brought within the scope of the exceptions procedure as a result of the constant review of the controls on trade with China.

Mr. Ormsby-Gore

As the then Minister of State informed the hon. Member for Newcastle-under-Lyme (Mr. Swingler) on 14th May, 1956, decisions as to what cases and what items can be licensed under the extended use of the exceptions procedure must be taken on the merits of the individual exports concerned. The scope of the procedures depends largely on the merits of the individual case.

Sir L. Plummer

Is the right hon. Gentleman satisfied that no advantages are being given to our competitors through the exceptions procedure? For example, he said a moment ago that all countries would be treated alike. Is he aware that one runs greater risk of being knocked down by an American motor car in Peking than one does in London?

Mr. Ormsby-Gore

That is very unlikely. I can tell the House that we make considerable use of the exceptions procedure. I have already indicated that we did more trade with China last year than did France and only a little less than did Western Germany.