Memorandum by the Assistant Secretary of State (Berle)

The Japanese Chargé came in to see me, at his request.

He raised the question of export licenses for machine tools, and submitted the attached very lengthy note.29 His principal points were: [Page 230]

They were given to understand that machine tools would be allowed a license for export unless they were needed in the domestic market. Export licenses for certain machine tools were denied. Attempts were thereupon made to sell them to the domestic market, but it developed that nobody wanted them. Therefore the Chargé thinks the denial of license must be a mistake.
Certain other machine tools are manufactured in accordance with specifications which fit Japanese machines, measurements, etc., only. Nobody appears to want to recondition them for American business.
Certain other machines, according to the Japanese construction of the export licensing order, need no licenses at all. The manufacturers nevertheless requested licenses for them, which were denied. The Embassy wishes licenses for the whole lot.

I confined myself to the comment that I would have the matter looked into.

A. A. B[erle], Jr.
  1. Not printed.