BALDRIGE WARNS OF WORLD TRADE WAR DANGER
  U.S. Commerce Secretary Malcolm
  Baldrige predicted Congress will pass a reasonable trade bill
  this year and said tough protectionist legislation could prompt
  a trade war.
      "The mood of the Congress right now is as tough on trade as
  I've ever seen it in six years in Washington," Baldrige said in
  a weekend television interview.
      "I think we'll still be able to get a reasonable trade bill
  out in spite of that because the whole Congress is trying to
  work together with the administration, but there is a hardening
  trade attitude," he said.
      President Reagan opposes protectionist legislation but
  agreed to support a trade bill when it became apparent that
  opposition Democrats would pass such legislation.
      However, Baldrige warned measures that would penalize
  trading partners such as Japan, South Korea and Taiwan for
  failing to cut their trade surpluses with the U.S. could lead
  to retaliation and he said he would urge Reagan to veto any
  such bill.
      When asked if there is a rising danger of a worldwide trade
  war, Baldrige said: "Yes, I don't think there's any question
  about that."
  

