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SECRET - 4 - RECOMMENDATIONS: 1. That you approve Option 2: U.S. opposition to the present Spain-EC preferential agreement, in the context of opposition to all preferential arrangements not legal under the international trading rules; and indication that the U.S. could support any arrangement consistent with those rules which Spain and the EC may work out (such as a free trade area arrangement.) Approve Disapprove, prefer Option 1 (acceptance of the proposed arrangement) Disapprove, prefer Option 3 (acceptance of EC preferences to Spain and inclusion of Spain under our generalized trade preferences scheme, but without Spanish preferences to the EC) 2. That you not approve any fallback position at this time. Approve Disapprove Attachments: A. Review Group Paper B. Memorandum from Secretary of Commerce C. Letter from Secretary Hardin D. Memorandum from STR Gilbert E. Memorandum from Secretary of State CFBergsten:lw 2/17/70 SECRET

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    "ocrText": "SECRET\n- 4 -\nRECOMMENDATIONS:\n1. That you approve Option 2: U.S. opposition to the present\nSpain-EC preferential agreement, in the context of opposition to all\npreferential arrangements not legal under the international trading rules;\nand indication that the U.S. could support any arrangement consistent with\nthose rules which Spain and the EC may work out (such as a free trade\narea arrangement.)\nApprove\nDisapprove, prefer Option 1 (acceptance of the proposed\narrangement)\nDisapprove, prefer Option 3 (acceptance of EC preferences to\nSpain and inclusion of Spain under our generalized trade preferences\nscheme, but without Spanish preferences to the EC)\n2. That you not approve any fallback position at this time.\nApprove\nDisapprove\nAttachments:\nA. Review Group Paper\nB. Memorandum from Secretary of Commerce\nC. Letter from Secretary Hardin\nD. Memorandum from STR Gilbert\nE. Memorandum from Secretary of State\nCFBergsten:lw\n2/17/70\nSECRET"
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