856D.6176/232: Telegram

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

210. I called by appointment at the Foreign Office this morning and was handed a copy of the Rubber Producers’ Agreement, together with a memorandum on the draft of the intergovernmental agreement.41 It was stated confidentially that Simon would make a statement [Page 659] in the House of Commons shortly that the British Government is prepared to take the necessary measures for putting the Producers’ Agreement into effect subject to similar undertakings being given by other Governments concerned. Subsequent to further few remarks from the Assistant Secretary of State, I very strongly presented the views expressed in the Department’s telegraphic instruction 166, April 28, 2 p.m. and in conclusion pointed out that American consumers of rubber had no explicit protection under the scheme either through a maximum price or adequate consumer representation; that although my Government, as had already been stated, was in substantial agreement as to the objective of the rubber plan it could not regard the situation created by the contemplated putting into effect of the Producers’ Agreement other than with apprehension. In reply to his further remarks I again stressed the fact that even though the plan was administered in the spirit in which he was speaking, as long as the possibility remained that American rubber consumers were at the mercy of the decisions of a government committee of producing countries I felt confident the attitude of my Government would remain unchanged.

I am forwarding by the pouch text of the draft of agreement and the memorandum referred to above, together with a copy of an aide-mémoire,42 also handed me, the substance of which I am setting forth in a later telegram.

Cipher text mailed The Hague.

Bingham
  1. Neither printed. The memorandum contains the draft of the intergovernmental agreement and analyzes and compares it with the Rubber Producers’ Agreement, which is substantially the same. (856D.6176/244)
  2. For text of aide-mémoire, see infra.