611B.9417/63: Telegram

The Chargé in Japan (Neville) to the Secretary of State

183. Department’s 148, September 23, 7 p.m. The Minister for Foreign Affairs told me today that the figure given by Saito was not final. He said that the Foreign Office would consult with the Commerce Department and with the Export Association. This would take a few days, and the Embassy in Washington would be instructed again.

The Japanese seem to be apprehensive that the Philippine Government may raise the tariff, or that if Japanese exports to the Philippines are cut to a definite figure it might well happen that there might be an increased demand which would fall to some third country not affected by the agreement. However, they are prepared apparently to accept a definite figure. My guess is that it would be about 46,000,000 square meters, and certainly not less than 45,000,000. They would like some definite assurance, however, that the Philippine cotton textile tariff will not be raised, so far as it lies in the power of the United States to prevent it.

Neville