Midwesterners Seek

New Textile Trade ActOMAHA, Neb. - More than 60 representatives from 36 agriculture, labor and business organizations in seven Midwestern states urged the Senate Wednesday to pass a new textile and apparel trade act.

Since 1980, more than 350,000 workers have lost their jobs in the fiber, clothing, wool and footwear industries, and more than 1,400 textile, apparel and footwear plants have closed, participants at the Midwest Summit Conference on Tradewere told.

Participants also passed a resolution calling for fair rules regulating international trade. The resolution cited foreign government subsidies for their exporting companies, a relatively wide-open U.S. market and foreign markets closed to U.S. goods as causes for America's trade deficit.

Nissan to Pay Penalties

And Rebates in Suit

SAN DIEGO - Nissan Motor Co. has agreed to pay $250,000 in civil penalties and provide up to $4.6 million in consumer rebates to settle a suit alleging misleading advertising in the sale of leather seats for Nissan 300 ZX cars.

Nissan admitted no wrongdoing in the judgment, which was worked out after negotiations between the state and the company.

The rebates will go to some 26,500 Nissan 300 ZX owners in the state who bought leather seats as an option between 1983 and 1987.

The civil penalty will be divided equally between the state and the city of San Diego, said Deputy City Attorney William R. Newsome.

According to court papers, Nissan sold leather packages for up to $1,200 as an option for its 300 ZX models. The seats were described as leather in sales brochures and as having leather seating surfaces on the manufacturer's

window sticker.

Hong Kong Firm Forms

Vietnamese Enterprise

BANGKOK, Thailand - The Hong Kong-based Hochimex Co. has formed a tourism joint enterprise with a Vietnamese state agency in Vietnam's southern coastal resort of Vung Tau, an official radio broadcast said.

The agreement reported by the domestic Radio Hanoi is one of the first since Vietnam in early January promulgated a new foreign investment code that is among the most liberal in the communist world.

Officials have said that tourism is a priority field for foreign investment because it will bring in badly needed hard currency.

The broadcast, a text of which was obtained Wednesday from a western embassy in Bangkok, did not say when the enterprise would begin operations. An earlier Radio Hanoi report said the enterprise was set up April 8.

The enterprise, named Vikarent, is involved in transporting tourists.

Panel Says Korea Sold

M-16 Rifles Illegally

WASHINGTON - U.S.-designed M-16 rifles made in South Korea have been sold illegally by a Korean manufacturer to at least one nation and maybe more, a House investigations subcommittee has charged.

The United States and South Korea signed an agreement in 1971 allowing M-16s to be manufactured in South Korea, but the pact prohibited sales to third countries without U.S. approval and set a production cap.

The plant was set up with the help of Colt Industries firearms division of Hartford, Conn., the maker of the Army rifle, and run by the Korean government. But the Korean Defense Ministry transferred the operation and ownership to a private company, Daewoo Precision Industries, in 1982.

Mr. Nelson said the identity of the country where the guns were sold was classified and could not be released. He said the subcommittee was working to have that information declassified in time for a hearing today on the M-16 investigation.

Belgian Unit

Gets Contracts

SEVERNA PARK, Md. - Allied Research Associates Inc. said Wednesday that its Belgian subsidiary, MECAR SA, had received contracts totaling more than $2 million for its patented bullet trap rifle grenades.

The contracts came from a major NATO member and an Asian country, Allied said.