HC Deb 13 May 1957 vol 570 cc17-9
31. Mr. Lewis

asked the Secretary of State for Foreign Affairs for which countries of the Sovietblocthe embargo on exports has been subject to an exceptions procedure: and since what date, and with what limitations, in respect of each country.

Mr. Selwyn Lloyd

There are no exceptions to the export of embargoed goods to the Sovietblocunless the circumstances are very special or only trifling amounts are involved. The countries of the Sovietblocin which the embargo applies are the Soviet Union, Poland, Hungary, Bulgaria, Czechoslovakia, Roumania and Albania and the Soviet Zone of Germany. Details of the COCOM exceptions procedures are confidential.

Mr. Lewis

Since the Government have declared themselves in favour of expanding trade with China and negotiations have been going on, has the attention of the Foreign Secretary been drawn to the statement that the American Government are anxious to tighten up trade with the Soviet Union and bring it in line with the exception clause relating to China trade? Will the right hon. and learned Gentleman give a categorical assurance that Her Majesty's Government will in no way support such a demand from the American Government?

Mr. Lloyd

Her Majesty's Government certainly have no intention of engaging in any tightening up of trade with the Soviet Union. Our consideration of the matter is purely strategic, and we have not in mind any general change.

Mr. Langford-Holt

Would my right hon. and learned Friend look at the list again? Should it not include Lithuania, Estonia and Latvia, or do we recognise the Soviet annexation of those States?

Mr. Lloyd

I shall be glad to look into the matter if my hon. Friend will put down a Question.

Mr. Bevan

The right hon. and learned Gentleman said that Her Majesty's Government do not envisage any general change. We understood from recent replies that Her Majesty's Government were in favour of a general loosening up.

Mr. Lloyd

So far as China trade is concerned, we are certainly in favour of eliminating what is called the "China differential."

Mr. Bevan

What is the use of trying to treat trade with China separately from the rest of the Sovietbloc? If we loosen up with China and the same goods are prohibited to the Soviet Union, there is no way of stopping them going to the Soviet Union. Is it not desirable to have a general loosening up of trade with the Sovietbloc—not, of course, trade in arms, but general trade? Is it not a fact that this is the demand of British industry at the present time?

Mr. Lloyd

I think the right hon. Gentleman is under a general misconception. Trade with China at the moment is more restricted than trade with the other countries in the Soviet bloc,and we have said that we are in favour of terminating the differential between the two.