HC Deb 20 January 1977 vol 924 cc275-6W
Mr. Kenneth Clarke

asked the Secretary of State for Industry what steps he has taken to ensure that the Chrysler Corporation is honouring its assurances to Her Majesty's Government that Chrysler UK would be fully integrated into its worldwide organisation.

Mr. Alan Williams

My Department is in close touch with all aspects of Chrysler UK's forward programme to 1980. I am satisfied that integration, particularly within Europe, is a central feature of Chrysler's policy and is being actively pursued.

Mr. Joseph Dean

asked the Secretary of State for Industry what progress has been made in the implementation of Clause 9(4) of the agreement of 5th January 1976 between the Government, Chrysler UK Limited and the Chrysler Corporation relating to Chrysler United Kingdom's export trade to Iran.

Mr. Varley

Under Clause 9(4) of the agreement of 5th January 1976 between the Government, Chrysler United Kingdom Ltd. and Chrysler Corporation, Chrysler Corporation undertakes touse its best endeavours to procure that the Iran National Industrial Manufacturing Company shall continue to obtain from Chrysler UK as heretofore KD packs and parts for assembly into passenger motor vehicles".

Chrysler has kept me informed of discussions with INIM directed to improving its joint working arrangements and safeguarding future volumes of supply to 1980 and beyond. In return for these improvements and at the request of its Iranian partners, Chrysler has agreed to waive the provision in its contract with INIM, which limits the latter to trading in their cars only.

While in Iran last week for the Fifth Session of the Iran/UK Joint Ministerial Economic Commission, my right hon. Friend the Secretary of State for Trade discussed with the Iranian Government, within the context of the Joint Commission, the relationship between the two companies and their intentions for future development. I am satisfied that the modification proposed in the agreement between the two companies does not diminish the safeguards for the supply of packs and parts from this country.