611B.9417/190
Memorandum by Mr. Roy Veatch of the Office of the Economic Adviser
Mr. Yoshizawa called by on his way to an appointment in the Department and said informally that the Embassy had received a cable from Tokyo regarding the memorandum which Mr. Sayre had handed to the Ambassador on March 3. This cable from Tokyo had merely requested clarification of certain points, however, and the Japanese Embassy was able to answer the questions raised.
No final word has been received from Tokyo as yet, but Mr. Yoshizawa said that he might tell me confidentially that the Japanese exporters were willing to agree that the quota for the second year should not be increased by 4,000,000 square meters (the amount by which they agreed to reduce the quota, based on arrivals, for the first year) provided that the American Government or the Philippine Government should do something about transshipments.