White House Diaries

Friday, July 10, 1981

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P.M. Trudeau arrived on his way back from trip to Europe. We discussed his Ottawa Summit meeting coming up in about 9 days. I believe it will be a general meeting to discuss ec. issues, N.-S. relationships & some East-West trade matters. At lunch we finally got around to 3 bilateral issues. On their side they want action on acid-rain which they believe results from air pollution on our side of the border. I assured him we are researching that because we have people in Vermont who think they are getting acid rain from Canada. Second issue is the gas pipe line to be built from Prudhoe Bay down to Calgary to join existing pipe line to U.S. The whole project was conceived during the energy crunch. Carter pledged we’d go through with it even though the Alaska portion was & is supposed to be built by pvt. enterprise. The problem is that now no one (but Canada) thinks or at least is sure it should be built. There have been new gas discoveries down here and it might be more practical for Alaskan gas to be liquefied & sold to Japan. Our issue had to do with a discriminatory tax policy on Am. owned business in Canada while we do nothing of that kind to Canadian owned business on our side of the border. He grew very defensive. I think our problem is that he leans toward outright nationalization of industry. He left & I then met with board of Black State Legislators organization. A good meeting—better than the N.A.A.C.P. in Denver. I think they discovered I might be different than the image they’ve had. Final meeting with Repub. Reps & Senators on defense matters. Much of it had to do with whether we should go for the B-1 or wait for the newer “stealth” bomber (which may not fly for 10 yrs. or so if at all). M.X. was also a problem particularly having to do with how it will be deployed. No decision from Defense (or me) yet but I lean against the proposed “race track” system. Abt. 4:30 we left for Camp David. Almost upon arrival the relaxing began. What a joy that beautiful spot is getting to be.