894.6363/223: Telegram
The Chargé in Japan (Neville) to the Secretary of State
[Received November 30—9:40 a.m.]
224. Department’s 184, November 27, 6 p.m. After consultation and taking into consideration the growing interest in Japan in the increased price of gasoline caused by the stock keeping obligation and the interest exhibited in Japan in the New York conference of last October on the control of supplies of oil the American and British Embassies and the representatives of the American and British oil interests unanimously agreed that the present is an appropriate moment for further representations. It was also the unanimous opinion that a mere inquiry or request for reversion to the program of the five-point memorandum would avail little or nothing, however, and that the representations should be strengthened by some indication of the steps which will inevitably be taken by the oil companies if the more onerous provisions of the law and regulations are not modified. It was suggested that this reenforcement of the representations might take the form of definite statements to the effect that the foreign oil companies are seriously considering withdrawal from Japan or that they positively cannot, as a commercial proposition, agree to the carrying of 6 months’ stocks. The nature and substance of such statements naturally will have to be determined by the head offices of the oil companies in New York and London.
The British Embassy is telegraphing its Foreign Office in similar sense.