Paris Peace Conf. 184.011102/453

Mr. Albert Halstead to the Secretary of State38

Confidential
No. 95

Subject: Transmitting memorandum of a conversation with Dr. Renner.

Sir: I have the honor to forward herewith a memorandum of a conversation I had today with Dr. Renner, the State Chancellor and Minister of Foreign Affairs. It was the second time I had seen Dr. Renner who talked with even greater freedom than before, which conversation I reported in a despatch to the Department.39 Dr. Renner’s frankness about the attitude of the Italians and the French was really surprising and was called forth by an inquiry I made as to what he meant by his phrase “looking toward the west” when he spoke publicly about Austria’s policy. The story of Italy’s effort to make a separate treaty was wholly new.

Dr. Renner’s statement of the French attitude agrees in principle with the view of Lt. Col. Sir Thomas Cunningham, Chief of the British Military Mission, and myself. The Department will remember that I reported that Prince Borghese, the Italian Minister who is chief of the Mission, had said in the presence of Colonel Cunningham, Captain Gregory and myself, that M. Allizé, the French Minister in charge of the French Mission had said to him that France desired to “Strangle German-Austria” and was willing for the Bolsheviks to continue in Hungary that Hungary might be weakened.

I have marked this report “confidential” because of the embarrassment that any publicity would necessarily cause.

I have [etc.]

Albert Halstead
[Enclosure]

Memorandum of a Conversation With Dr. Renner, September 15, 1919

Dr. Renner expressed himself as most thankful for the support given to Austria during the negotiations of the Peace Treaty by the [Page 571] United States and the United Kingdom. He expressed the hope that I would state this specifically to the President and to all the American Members of the Peace Conference. The Italians had desired to make a separate Treaty with Austria regarding works of art and other things and had proposed this treaty fourteen days before the handing over of the Peace Treaty. They had promised that if this Treaty were signed they would support Austria in Paris. Inasmuch as Austria did not sign the treaty and despite the fact that the United States and England opposed the retention by Italy of the works of art she had seized, the Italians are displeased with Austria.

Asked what were the Italian plans with regard to Austria, Dr. Renner stated they wanted close commercial relations, and now that they had secured what they desired—reference was made to the south Tyrol—they were not particularly interested politically. The conversation turned to commercial relations between Italy and Austria and Dr. Renner confirmed the report which I have already made to the Department that Italian textiles had been taken across the frontier by the Italian officers and without payment of tariff duties against which practice Austria could do nothing. There was another, and perhaps more important, practice of the Italians and that was to deal with people who sought to get out of Austria artistic objects and jewelry which might be seized in connection with the work of the Reparation Commission. The persons who desired to send from Austria their precious jewels, and other objects paid ten per cent to the Italian officers to get them across the frontier. This has caused the illegal exportations of works of art and jewelry worth millions of crowns. To stop these things Dr. Renner declared Austria could do nothing.

I asked Dr. Renner exactly what he meant in his interview in an evening paper regarding the present policy being one of looking toward the west. He said that in the days of the old Empire Austria’s policy had always looked toward the east. Austria could not, however, now make overtures to the Czecho-Slovaks, the Magyars, the Poles and the Jugo-Slavs whose attitudes were not friendly. They would suspect her of trying indirectly to restore the old relations that existed prior to the dissolution of the Empire. These people are suspicious of Austria as they had been before breaking up of the old Empire. Austria could, therefore, make no overtures but she could receive them if they were originated by the other peoples.

Austria looked to the United States and England for help, her only desire is for peace. Thanks to the United States and to England, though the Treaty is very hard, it is better than that which was presented to her. The unfriendly attitude of France made a better treaty impossible—Austria desires and proposes to live up to that Treaty. [Page 572] Austria hopes that England and America will propose and work for the formation of a Danube Federation and Austria would gladly support such a federation. Such a federation would be for peace because the United States and the United Kingdom desire peace. They have no warlike ideas. A Danube federation under French auspices, however, could not be considered. The French are so full of spirit so visionary—they think of war—that such a federation would look to French interests as opposed to those of the Germanic peoples. Such a federation could never make for peace and Austria must, and will have, peace for the future. The French are not Austria’s friends and they showed that at St. Germain. Austria can not have confidence in France. She has no reason to trust the French. The French Minister professes to be very friendly but—and Dr. Renner shrugged his shoulders—meaning that M. Allizé did not justify his professions by his actions.

Dr. Renner again returned to the position of the United States and England had taken and he expressed his thanks for friendly attitude of the two countries. He said “Please say that we will gladly do all that America and England wish”.

Reconciliation of the Anglo-Saxons and the Germanic peoples.

Dr. Renner in answer to an inquiry stated that he would remain as Foreign Minister but would devote himself entirely to foreign affairs and have nothing to do with the administration of the office. His policy was that of peace and the establishment of particularly close relations with the United States and the United Kingdom. He desires to endeavor to reconcile the Anglo-Saxon and the Germanic peoples. This did not mean any steps towards the union of the Germanic peoples. That is now impossible. He meant that the relations between the Anglo-Saxons and the Germanic people could be made better. Reference was made to the old Prussian ideas which he said could no longer prevail. Germany had become less important and her development must be continental and not maritime. The nations must work together for peace and the League of Nations must be made a reality. He hoped that in the future the people of England and the United States who desired to study German literature and art would come to Vienna for they would not now go to Berlin. The Vienna people are a friendly people and they would welcome the Americans and the English and gladly give them of their knowledge.

Austria’s inner politics.

Dr. Renner spoke confidently of the Austrian situation. Austria has not as yet a really good Government but that the Government is steadily improving and would grow stronger. At my request he [Page 573] discussed relations between parties. He admitted there were differences in opinion between the two wings of the social democrats—the workingmens party—but these differences were not sufficient to make a break. His wing, the right wing, is the stronger and not so radical. The workingmen generally support him rather than the left. The left wing is too radical. It contains the Jewish intellectuals and they are dreamers and impractical who do not think clearly. As he said this he made a gesture toward his forehead to indicate that they were just a little mad. It was necessary that there should be cooperation with the so-called Christian social party. The latter also has two elements, the town element, and the peasant element, the former opposed to Dr. Renner and his party because after years of control of the city of Vienna, the town Christian socialists had lost the city government where they had not managed well and had done many improper things. The town Christian Socialists resent that and consequently spread tales of disaffection among the social democrats to the embarrassment of the latter. With these town Christian Socialists the clerical people cooperate indirectly. The peasants are Christians but not clerical. They realize the necessity of a good government and of cooperation to secure the same. The two parties will work together despite these difficulties.

Dr. Renner intimated that there would be cabinet changes but not very many. It is necessary at the present moment to secure a capable man for the position of financial Minister which is a most unpopular position. He had in view the President of the Boden Credit Anstalt but that was not settled. The position is thankless and it would mean a sacrifice of at least eighty percent of his salary if this man were to accept the position.

Asked as to what would be Dr. Bauer’s position he said that Dr. Bauer preferred to be the leader of the social democrats in the National Assembly and without cabinet rank and that he has no desire to return as Foreign Minister. In the National Assembly Dr. Bauer will support the cabinet and use his great ability to promote the interests of Austria.

Dr. Renner stated that there were bad elements and good elements in the Volkswehr—the peoples guard—which would not be abolished but would be reformed so as to become a really useful and dependable force. All possible steps would be taken to strengthen Austria’s position and to get the people back to work but the problems are very difficult.

The impression was gained that Dr. Renner was very earnest, and despite the difficult problems, was confident of their solution on practical lines.

Albert Halstead
  1. Copy transmitted to the Commission by Mr. Halstead under covering letter No. 445, September 15; received September 18.
  2. No. 35, p. 559.