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16:30-18:30-Session IV.

Continuation of discussion of East-West relations.
Political Aspects of the World Food Situation.
"U.S.-U.S.S.R. Grain Transactions."

(Paper by Mr. Nolan.)

"Political Aspects of the World Food Situation."

(Paper prepared by Mr. Symms and presented by Mr. Nolan.)

"E.C. Perspectives on Agricultural Exports."

(Paper by Mr. Houdet.)

20:00-Buffet reception given by the Irish Government in Iveagh House (Ministry of Foreign Affairs).

FRIDAY, APRIL 23, 1976

09:30-Session V-(Dublin Castle, George's Hall):

United States and European Views on Mediterranean Problems. "U.S. Interests in the Mediterranean: Military Bases and Political Developments."

(Paper by Mr. Ryan.)

"Future Roles of Greece, Portugal and Spain in an Integrated Europe."

(Paper by Mr. Normanton.)

10:45-Coffee Break.

11:00 Session IV.

Summary discussion.

12:00-Press Conference.

12:30-Farewell Lunch offered by the European Parliament Delega

tion, in Shelbourne Hotel.

15:00-Departure of the U.S. Delegation.

PARTICIPANTS

MEMBERS OF THE EUROPEAN PARLIAMENT

Pierre-Bernard Cousté, Chairman, European Progressive Democrat, France.

Gérard Bordu, Communist, France.

Achille Corona, Socialist, Italy.

Peter Corterier, Socialist, Federal Republic of Germany.

Maurice Faure, Socialist, France.

Aart Geurtsen, Liberal, Netherlands.

Roger Houdet, Liberal, France.
Norbert Hougardy, Liberal, Belgium.

Hans Edgar Jahn, Christian Democrat, Federal Republic of Germany.
Liam Kavanagh, Socialist, Ireland.

Jan de Koning, Christian Democrat, Netherlands.

Erwin Lange, Socialist, Federal Republic of Germany.

Brian Lenihan, European Progressive Democrat, Ireland.

Charles McDonald, Christian Democrat, Ireland.

Tom Normanton, European Conservative, United Kingdom.
Ferruccio Pisoni, Christian Democrat, Italy.

John Prescott, Socialist, United Kingdom.

James Scott-Hopkins, European Conservative, United Kingdom. Mario Vetrone, Christian Democrat, Italy.

SECRETARIAT OF THE DELEGATION

Karlheinz Neunreither, Director, Responsible for the Secretariat of the Delegation, German.

Theo Junker, Principal Administrator, Secretary of the Delegation, French.

Liz Foreman, Principal Secretary, British.

SPECIAL ADVISORS

Michael Palmer, Director, British.

Francis Roy, Director, French.

Axel Stahlschmidt, Head of Division, German.

Gerard Van den Berge, Head of Division, Dutch.

Boudewijn Van der Gaag, Principal Administrator, Dutch.

PRESS AND PUBLIC RELATIONS,

John McGowan-Smyth, Director, Irish.

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Joseph A. Fahy, Head of Dublin Information Office, European Parliament.

PROTOCOL AND ADMINISTRATION

Dermot McKeever, Principal Administrator, Irish.

Ursula Padberg, German.

INTERPRETERS

Giovanna Bittenburg, Italian.
Liselotte Dressel, German.
David Farley, English.

Olga Grinszpun, French.
Susan Guest, English.
Jean-Carlo Macario, Italian.

N. Tonietti, French.

MEMBERS OF CONGRESS

INTERNATIONAL RELATIONS COMMITTEE

Benjamin S. Rosenthal, Democrat, New York, Co-chairman.
Donald M. Fraser, Democrat, Minnesota, Co-chairman.
Leo J. Ryan, Democrat, California.
Stephen J. Solarz, Democrat, New York.
Gus Yatron, Democrat, Pennsylvania.

AGRICULTURE

James Johnson, Republican, Colorado.
Richard M. Nolan, Democrat, Minnesota.

BANKING AND CURRENCY

J. William Stanton, Republican, Ohio.

JUDICIARY

Herman Badillo, Democrat, New York.
William L. Hungate, Democrat, Missouri.

WAYS AND MEANS

Bill Archer, Republican, Texas.

Sam Gibbons, Democrat, Florida.

Joseph E. Karth, Democrat, Minnesota.

James G. Martin, Republican, North Carolina.

Guy Vander Jagt, Republican, Michigan.

STAFF INTERNATIONAL RELATIONS COMMITTEE

Robert B. Boettcher, Consultant.

Clifford P. Hackett, Consultant.

Donald R. Fortier, Minority Consultant.

Jeanne M. Salvia, Staff Assistant.

Wednesday, April 21, 1976, Morning

SUMMARY OF DISCUSSION

SESSION I-QUESTION AND ANSWER PERIOD

Questions from the European Parliament Delegation:

U.S. TRADE ACT AND PROTECTIONISM

1. Within the Community there is a perceptible growing anxiety about the initiatives taken in the United States to restrict the import of a certain number of products from the European Community. The legal basis for these initiatives is to be found in the new Trade Act of 1974.

In toto, the value of $4.5 billion of export products from the Community is at stake. The most important of these products, which the United States Government has been investigating, are cars (representing in itself the value of $2.5 billion), rolled steel, speciality steels and shoes.

Are the Congressmen aware that between one-fifth and a quarter of the Community exports to the United States are covered by different actions of a protectionist origin at various procedural stages under the Trade Act of 1974, and do they not think that this represents a danger which can provoke a snowball effect within the trade relations between the United States and the Community in particular, and on a world level in general?

Mr. Gibbons replied that the United States is not looking for a trade war and, in fact, favours a steady reduction of barriers. After the U.S. International Trade Commission made adverse findings on imports of shoes and speciality steel from the European Community, the President chose to use trade adjustment assistance rather than trade restrictions. He voiced disagreement with the ITC on European speciality steel but stated some concern that in the case of rolled and carbon steel, the European Community's value-added tax rebate amounted to a substantial export subsidiary. This matter was now in the U.S. courts since the President made no findings of an export subsidy.

STABILIZED EXCHANGE RATES

2. What contribution could the United States make to the stabilisation of exchange rates in order to avoid, in particular, the risk of a series of competitive devaluations?

Would the United States be prepared, in this regard, to take steps to put an end to the lack of symmetry which characterises the present situation in regard to intervention on exchange markets and which places the burden of these operations almost exclusively on European countries? Would the Americans be prepared, for example, to intervene by accepting debts in foreign currencies?

Mr. Stanton replied that most of the U.S. Delegation agreed with the U.S. Government's support of the present system of floating exchange rates. He explained that although the Executive Branch consulted with concerned Members of Congress on International Monetary Policy that Congress' role is mainly that of oversight and review.

AMERICAN POLICY ON ANGOLA

3. Secretary of State Kissinger has stated that: "The United States will not accept further Cuban military interventions abroad". He has referred to the Soviet-backed Cuban operations in Angola as an "unacceptable precedent", and he has also stated that: "We cannot permit the Soviet Union or its surrogates to become the world's policeman". What do the Congressmen consider should be done to prevent Soviet and Cuban intervention elsewhere in Africa? How do they consider that the USA and Western Europe should insist that the Cubans evacuate Angola?

Mr. Vander Jagt noted that Secretary Kissinger had made very strong statements on these matters and urged that the European Community should join with the U.S. in protesting armed intervention. Mr. Martin identifying himself as part of the "hard-line minority" insisted that moral persuasion was ineffective and that the U.S. should provide arms to all who were willing to resist Communist aggression. Mr. Ryan declared that the three to one vote in the House of Representatives against U.S. assistance to anti-Communist factions in Angola expresses the desire of the American people to select carefully the places where the United States will intervene. Although the vote rejected intervention in Angola it does not necessarily mean rejection of U.S. intervention in other situations should they develop. In such situations the positions and actions of European allies would be very important to the U.S. position and actions.

DEMOCRACY AND U.S. FOREIGN POLICY

4. Do members of the American Delegation consider that a very large part of the prestige and even of the strength of U.S. foreign policy has been, traditionally, based on democratic principles, and do they believe that this should also continue to be the case today and in the future? What are their reactions concerning U.S. foreign policy, in recent years, concerning the countries surrounding the Mediterranean basin?

Mr. Fraser criticised U.S. failure to speak out and take action in support of democratic governments. If Secretary Kissinger wanted to advise France and Italy against Communist participation in their governments, that was a quite separate matter from speaking out in support of democratic governments and did nothing to remedy the poor U.S. record on that point.

Mr. Bordu (France) insisted that if France and Italy wanted democratic change then that change must not be denied if the democratic process were to be maintained. He said that the Communists, who would soon participate in the French and Italian governments, had not

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