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American Electronic Firms

Volume 20: debated on Wednesday 24 March 1982

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14.

asked the Secretary of State for Scotland how many United States of America-based electronic firms have indicated to him their intention of establishing a base for their European operations in Scotland.

"Locate in Scotland" is in discussion with a number of United States-based electronics firms and I fully expect that in some of these cases a decision will be made to set up in Scotland. During 1981 decisions were made by 11 United States companies in the electronics industry to invest in Scotland. Six of these were new to Scotland and five were companies already established here. All these firms see Scotland as a suitable base from which to serve the European market and none looks to the United Kingdom market only.

I thank the Minister for that reply. Is he aware that of the factories that he has visited in my constituency since coming to office, all, with one exception, have declared redundancies and some of them are on short-time working? Is he further aware that at the weekend I was informed of another factory closure in my constituecy, with a further loss of 200 jobs? With that in mind, will he now show a clear determination to go to America and do something useful for a change, instead of going there and wasting time?

I am encouraged by the fact that, after nearly three years, the hon. Gentleman has come to the conclusions that ministerial visits to the United States can be helpful to Scotland's econony. I refute the suggestion that all of the companies that I have visited in his constituency have suffered redundancies or closures. Nevertheless, the hon. Gentleman will be delighted to hear that I am planning a further visit to the United States within the next few weeks, and I shall do my best to bring back some jobs for Lanarkshire.

Is it not the case that the "Locate in Scotland" scheme set up by the Secretary of State has played a major part in attracting foreign investment to Scotland and that this has led to the creation of several thousand jobs?

As I have just said, several new companies came to Scotland last year, particularly electronics companies, under the aegis of the "Locate in Scotland" unit. That this is at a time when the American economy has also been suffering some recession is very encouraging.

It is David Lambie not James Lamond. That is twice that you have done that, Mr. Speaker. The last time that you did it I got in twice.

When he visits America, will the Minister give a guarantee that he will visit Portland and Oregon to meet the chairman and board of the Hyster company, who is considering an expansion in Europe? That expansion seems to be going to Northern Ireland. Will the Minister give us a guarantee that he will inform Hyster that Irvine has the land, the capability and the work force and that that expansion should take place in Irvine?

We are in touch with the company and I know about the matter to which the hon. Gentleman referred. We have made representations—and shall continue to do so—about the merits of Irvine.