246. Memorandum From the Chairman of the National Security Council Under Secretaries Committee (Irwin) to President Nixon1
- Generalized Tariff Preferences: Special Preference Condition—Chairman’s Report
The Under Secretaries Committee recommends that you approve the criteria outlined in the enclosure which would provide for the elimination from our generalized preferences of countries whose special preference trade is significant and growing in items subject to generalized preference schemes.2
NSDM-863 directed the Under Secretaries Committee to determine criteria which would provide for the elimination from our generalized preferences of countries whose special preference trade is significant and growing in items subject to generalized preference schemes. The Under Secretaries Committee believes that the enclosed proposed criteria will accomplish our objective of reemphasizing our opposition to special preferences without jeopardizing the prospects for a meaningful system of generalized preferences. The criteria were developed after analyzing as completely as possible the trade data available for the countries concerned. While we would not announce the details of these criteria at international meetings, we would discuss, as appropriate, the criteria in general terms with the countries concerned.
For the purposes of dealing with this economic issue, the Under Secretaries Committee did not include representatives from the Department of Defense, Joint Chiefs of Staff and Central Intelligence Agency.
- Source: National Archives, RG 59, S/S Files: Lot 83 D 305, NSDM 86. Confidential. Drafted by E. M. Cronk (E/ITP) and J. R. Matz (E/OT/GCP) on October 27.↩
- Neither the Approve nor Disapprove option is checked, but an attached November 27 memorandum from Kissinger to Irwin informed Irwin that the President approved the recommendation. Following Bergsten’s assurances to Kissinger in a November 16 memorandum that no country would be eliminated from the preference scheme unless it met all three criteria set out by the Under Secretaries Committee, Kissinger approved the recommendation for the President. (Ibid., Nixon Presidential Materials, NSC Files, Subject Files, Box 401, Trade General Volume II 4/70-2/70)↩
- Document 245.↩