856D.6176/228: Telegram

The Ambassador in Great Britain (Bingham) to the Secretary of State

203. In view of confirmation received here of Department’s telegram 160, April 24, 7 p.m., it seems advisable to make an oral statement today to Sir Robert Vansittart the substance of which he was informed would be cabled to Washington and was along the following lines:

For some time past the Embassy has presented the considerations of its Government in regard to the alleged negotiations between rubber producers in formulating a restriction agreement. Early in the course of these discussions Vansittart had, as reported in the Embassy’s 59, February 15, 5 p.m., stated that the final plan would be a Government measure. Concurrently and subsequently the replies received from the British Government to American representations had been predicated on the allegation that since the contemplated producers’ agreement was in process of deliberating by an unofficial body on which the British Government was not represented no official or final answers could be given until in fact the producers’ agreement had been concluded and presented for the consideration and possible acceptance by the Governments concerned. It was pointed out to Vansittart that according to information available to this Embassy the producers’ agreement was about to be signed and the second and envisaged state of the negotiations was at hand: namely, that the moment in which the British Government, being in full possession of the producers’ agreement, would have it under advisement and would also have under consideration therewith the American views as expressed by this Embassy. Presumably, therefore, subsequent to the presentation of the producers’ agreement to the interested Governments and before it went into effect the British Government would wish to review the scheme not only in the light of its own undertakings but also in the light of comments made by the most important consuming country. According to the Embassy’s opinion as expressed to Vansittart it would seem ill-considered that, upon the signing of the producers’ agreement that it should enter into effect until such time as this important cooperative step had been completed, which might involve further consultations with the Government of the United States.

Vansittart said he would invite to the attention of the appropriate British authorities the oral statement which the Embassy made.

[Page 652]

Answering paragraph No. 2 of your 154, April 20, noon, the promised replies referred to in my 191, April 23, 6 p.m.31 have just been given but the attitude of Foreign Office authorities who have been dealing with the rubber negotiations do not lead me to press for a further consultation until your comment thereon has been received. Since the Prime Minister has conferred with the Foreign Office as to the British position under the resolution of the World Economic Conference I do not feel he is any further in the picture.

I have no opinion as to any press statement made for American consumption but in conversations here it would seem amply evident that the British are prepared to defend their position before the British public if they feel called upon to do so, especially in the light of recent American legislation.

The Ambassador has been asked to call at the Foreign Office on Monday morning to see the Assistant Secretary of State dealing with these negotiations.

Bingham
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