§ 57. Mr. Rankinasked the President of the Board of Trade why equipment of British design, manufactured in Great Britain by a firm employing 26,000 British workers, details of which have been sent to him by the hon. Member for Glasgow, Govan, is subject to United States export regulations.
§ Sir K. JosephThe United States Government's Foreign Assets Control Regulations prohibit all exports to China unless specifically authorised. Though the Regulations are drawn in such a way as to apply to all United States controlled companies throughout the world, they are enforceable only within the United States. In these circumstances it is natural that controlling companies in the United States should issue instructions to their overseas companies requiring them to follow a policy designed to avoid any risk of their becoming liable to any penalties under 105W the Regulations. This situation, which has existed for many years, does not impose any serious restrictions on British trade with China. Her Majesty's Government would certainly not wish to take any action that would diminish the attractiveness of this country to American investment.