550.S1/740: Telegram
The Chargé in Great Britain (Atherton) to the Secretary of State
[Received May 9—1:35 p.m.]
112. From Norman Davis. I have just discussed with Simon and Runciman the tariff truce formula. They expressed general concurrence with the draft quoted my 109, May 8, 8 p.m., subject to certain amendments which they said the Prime Minister also approved. There is no change in the first paragraph and the second and third paragraphs read as follows:
“The said governments, being further convinced that immediate action is of great importance, themselves agree, and strongly urge all other governments participating in the Conference to agree, that they will not, before the 12th of June nor during the proceedings of the Conference, adopt any new initiatives which might increase the many varieties of difficulties now arresting international commerce, subject to the proviso that they retain the right to withdraw from this agreement at any time after July 31st, 1933, on giving one month’s previous notice to the Conference. It is understood that action taken in accordance with the considerations set out in part 1B sub-section 11 of the draft annotated agenda submitted by the Preparatory Commission of Experts (C.48.M.18.1933)5 would not be in conflict with this resolution.
One of the main motives which brings the governments together in common is to surmount the obstacles to international trade above referred to; the said governments therefore urge all other governments represented at the Conference to act in conformity with the spirit of this objective.”
For purposes of identification the section in the draft annotated agenda mentioned above being “the unprecedented fall of commodity price” and closes “financial confidence.” The points which the British are apparently anxious to safeguard by this reference are contained in the phrase with regard to obtaining a better level of prices for certain primary commodities “by the regulation of exports or production”.
I told Simon and Runciman that I believed the amended draft would be satisfactory to you and said I saw no objection to his circulating it for the consideration of the other members on Organizing Committee. I told them that I would consult you for final confirmation.
I believe that we now have a real chance to put over the tariff truce and urgently request that you advise me immediately if this wording is acceptable so that I can help to line up the other powers and then arrange an early meeting of the Organizing Committee. [Davis.]
- League of Nations, Monetary and Economic Conference, Draft Annotated Agenda submitted by the Preparatory Commission of Experts (Official No.: C.48.-M.18.1933.II [Conf. M.E.I.]).↩