HC Deb 02 March 1987 vol 111 cc513-4W
Mr. Meadowcroft

asked the Secretary of State for Trade and Industry (1) whether, pursuant to his reply of 19 February, United States audit inspectors will have access to the United Kingdom or overseas customer records of those United Kingdom companies which hold approved foreign consignee status or a United States distribution licence; and if he will make a statement; (2) whether, pursuant to his answer of 19 February, Official Report, column 751, approved foreign consignee status involves United Kingdom companies in supplying (a) their United States supplier or (b) the United States Department of Commerce, with details of their domestic or overseas customers; and if he will make a statement.

Mr. Alan Clark

The purpose of any visit, if allowed, would be to check the procedures which United Kingdom firms choosing to use the United States distribution licence system agree to operate. Such a visit would be subject to conditions which safeguarded commercial confidentiality.

Mr. Meadowcroft

asked the Secretary of State for Trade and Industry, pursuant to his reply of 19 February, what status he now accords the COCOM agreements; what adjustments he intends to make to the COCOM lists; and if he will make a statement.

Mr. Alan Clark

Agreements reached in COCOM are unaffected. The United Kingdom will continue to participate fully in the review of control lists and to give effect under United Kingdom law to agreed changes.

Mr. Meadowcroft

asked the Secretary of State for Trade and Industry if he will place in the Library copies of any United States distribution licence system regulations and foreign consignee status regulations which apply to United Kingdom high technology companies; and if he will make a statement.

Mr. Alan Clark

As my right hon. Friend the Secretary of State made clear on 19 February at columns751–52, we reject extraterritorial re-export controls and regulations connected with them. Nonetheless, and for the information of Members, I am taking steps to place the relevant United States regulations in the Library of the House.

Mr. Meadowcroft

asked the Secretary of State for Trade and Industry, pursuant to his answer of 19 February, Official Report, column 751, what steps he proposes to take to prevent the loss of approved foreign consignee status (a) resulting in the loss of all United States supplies to the affected company or (b) resulting in the company going on the United States denials list; and if he will make a statement.

Mr. Alan Clark

Any United Kingdom firm which decides to give up its approved foreign consignee status because it does not want to receive an audit visit should still be able to use the United States system of individual export licences. There is no prima facie reason why this should lead to loss of United States supply or the company being placed on the United States denials list.

Mr. Meadowcroft

asked the Secretary of State for Trade and Industry, pursuant to his answer of 19 February, Official Report, column 751, what special terms and conditions are imposed on United Kingdom companies who (a) hold approved foreign consignee status or (b) hold a United States distribution licence, and who are suppliers to the United Kingdom nuclear weapons industry; and if he will make a statement.

Mr. Alan Clark

Under United States regulations, the distribution licence system cannot be used for the export of controlled goods destined for the nuclear weapons industry and other related sensitive nuclear end uses.

Mr. Meadowcroft

asked the Secretary of State for Trade and Industry what specific measures he has taken to ensure that the provisions of (a) United Kingdom law, (b) EEC law and (c) the European convention on human rights are not affected by recently imposed United States re-export controls; and if he will make a statement.

Mr. Alan Clark

I do not know of any recently imposed United States re-export controls which affect the position under the laws referred to or under the European convention on human rights.