IMF meeting overshadowed by trade

Firemen PREPARATIONS for a full-scale trade war between the major capitalist countries, and in particular between Europe and America, while never openly discussed, were in the background of the International Monetary Fund's annual meeting at Copenhagen last week.

There are major and unresolved differences now existing between the leading financiers about the entire future of the Bretton Woods arrangements which established the IMF and Full aubecription Two editions £10 a year OR you select (Posted daily) • (For any two days 22 10a for three £1 for throo months months 24 a year Post to: Circulation Organizer, Workers Press, 186a Clapham High Street, London, SW4. (Tel: 01-720-2000)

I would Ilke to subscribe to Workers Press for laid the basis for t he monetary system.

In Copenhagen thi has taken the form o a growing conflict be tween the American and the representative of the Common Marke countries about th degree of 'flexibility that should be built ir to the financial syster Nixon's advisors, faced wit a growing balance of paymen: deficit, have Pressed the demands of the last 18 month for a relaxation of IMF rule governing the • conditions currency devaluation, togethe with a wider margin in whic currencies could float aroun their 'par' values.

On the other hand, th European bankers have sper the week discussing plans f‹ closer European montetary cr post-war international operation aimed at reducing the possible fluctuation in currency movements against the dollar and aiming ultimately at a common BEC currency.

I these plans involve th undermining of the hasis c the Bretton Woods agreement.

This is aimed at reduction in currency movements, to avoid the convulsions of the 193US, together with a hrm commitment that all currencies would be tied directly to the dollar, which in turn was linked to gold.

In demanding a return to more 'flexibility' the Americans are serving notice on the other capitalist countries that they intend them to carry the brunt of the growing crisis.

Looming up behind these differences on financial matters is a trade war.

Already a bill is proceeding through the United States Congress aimed at limiting the import of Japanese textiles and other goods into America. This move has now been followed by similar moves against Japanese export of television sets.

Warning

Last week Mr Pierre Rinfret, a leading American economic consultant, warned his business friends to prepare for this trade battle ahead and urged the American government to assist US competitors in a more determined way.

Citing such devices as tax rebates, credit insurance and assorted export financing arrangements, Mr Rinfret declared :

'Unless the US joins in that game there more trouble in that area, be "There is,' he went on, 'no such thing as free enterprise in foreign trade. It néver existed.' Similar opposition is mounting from Europe to US plans aimed at expanding Special Drawing Rights (SDRs).

European bankers have warned the Americans throughout the last week that unless the American deficit is significantly eedu a further will not agree to a activation of SDRs-hailed six months ago as a source of additional liquidity — due to operate from the beginning of 1973. GERMANY Metalworkers open up strike battle ing industry is growing more tense following widespread THE SITUATION in the W German steel and engineerunofficial strikes last Friday.

The national union involved—|G-Metall, led by Social Democrat Otto Brenner-is claiming a straight 15 per cent increase to compensate for the soaring cost of living. a derisory 9 per steelworkers and 7 per cent for engineering and carTheir refusal to budge led to the abandonment of talks on Friday in the key region of N Rhine-Westphalia (which includes the Ruhr industrial complex.

The committee of union leaders responsible for contracts in the whole of West Germany will meet in Bochun on Thursday to decide whether million regional or national basis.

The workers' determination to force their leaders to fight culminated in a wave of trikes on Friday which lef the employers and the capitalist press breathless.

DOWNED TOOLS Without any lead fron union leaders over 90,00 workers downed tools in many of the most important West European plants.

At the Opel car plant in Russelheim 40,000 struck and marched shouting 15 percent and not a pfennig less!'.

steelworks and the Krupp factories in Essen a total of 12,000;

Daimler-Benz in Colond the Fere 192,000 in Cologne, ment provocations. This sudden eruption has leaders, Brandt's Democratic cabinet, with little room for manoeuvre.

DON'T KNOW

renner's deputy, Lodere ational vice-president of IG Metall, said:

'Those who thought up thi offer-an increase of only i per cent-and have the nerve to state it publicly have ALL TRADES UNIONS ALLIANCE MEETINGS SW LONDON: Tuesday, September in is inion "Build a new leadership 8 p.m. Prince's Head, Falcon LEEDS: Wednesday, September 30. pion strand the fight Trade Council Club. 'The against the proposed anti-union laws'. THE US-BACKED puppet regime in S Korea is taking no BY A FOREIGN CORRESPONDENT learned nothing from the events of last year and know nothing of the feelings on the shop floor?

Such phrases do not, of course, mean that the union bureaucrats are any the less intent on a sell-out.

There is now extreme pressure from the employers and the Christian Democrats on Brandt's coalition to call a halt to inflation.

In the parliamentary debate on the budget last week the Bavarian ultra-rightist Strauss bitterly denounced 'the galloping, rampant inflation, which has reached, under this government, an intolerable level'.

STRONGER

This movement of the German working class is even stronger than the bitter unofficial strikes which crippled the industry a year ago.

Brandt and his Social Democrats came to power after that wave of industrial struggle, but now the wage claims being pushed forward threaten his policies of class collaboration after less than a year of his coalition in office.

Arabs march in London Sound