Foreign Relations of the United States Diplomatic Papers, 1938, The British Commonwealth, Europe, Near East, and Africa, Volume II

811.0141 Phoenix Group/95½

The Department of State to the British Embassy⁹¹

undated

Aide-Mémoire

On May 23, 1938, the British Ambassador left at the Department of State two Aides-Mémoire concerning the status of Canton and Enderbury Islands.

If, in replying, the Department of State leaves unanswered certain criticisms directed against the attitude of the American Government it is not because it accepts these criticisms as well founded. It would not appear, however, that a recapitulation of past differences of opinion would serve any constructive purpose or hasten the conclusion of a final agreement as to the administration of these two Islands.

The two Aides-Mémoire under reference deal with three separate subjects: (1) the status of each of the two Islands of Canton and Enderbury; (2) the status of other Islands in the Pacific to which the two Governments may have conflicting claims; and (3) the subject of trans-Pacific aviation. In order to avoid confusion or delay, the present Aide-Mémoire accordingly is confined exclusively to the status of Canton and Enderbury Islands, it being understood that the other two questions may be dealt with in separate communications.

Reviewing the correspondence to date, it is clear that the two Governments have agreed to leave in abeyance the question of title and to set up a régime for the use in common of Canton and Enderbury Islands, with equal facilities for each party, and to record the details of that régime by means of an exchange of notes.

A number of subsidiary questions, however, still require solution.

1. How are Canton and Enderbury Islands to be administered?

This Government has suggested that administrative problems might be left to two of the occupants of the Islands designated for the purpose by their respective Governments and, in case of disagreement, questions at issue would be referred back to the two Governments for solution. As a practical step in carrying this out, two officials, either in London or Washington, might be selected to prepare a joint recommendation for subsequent approval.

The British Government has not so far indicated assent to this general method of procedure.

2. Is it agreed that each party should have equal facilities on the Islands?

The British Government has expressed concern lest steps taken by the representatives of an American company to survey Canton Islands, et cetera, may militate in fact against the enjoyment of equal facilities by each party.

This Government assures the British Government that it has no intention of qualifying its proposal with regard to equal facilities for each party and is anxious to enter upon discussions with the British Government regarding the facilities and the conditions of their employment which will be satisfactory to both parties.

It is not clear, however, whether the British Government contemplates (a) that an American company and a British company should each establish air facilities on Canton Island, or feel free to do so, the necessary division of suitable land and water areas to be decided by mutual agreement, or (b) that only the American company should provide air facilities, using the available land and water areas, on the understanding that upon payment of agreed proportionate costs or by some other reciprocal arrangements, the base should be made available for use by the British air service on a basis of full equality.

Attention is called in the British Aide-Mémoire to Article 10 of the license granted Pan-American Airways on April 1, 1938, as being inconsistent with these assurances. Article 10 should be read in conjunction with Article 11,⁹² and assurances can be given and are hereby given that if alternative (b) is decided upon, Pan-American Airways will apply for permission and the Secretary of the Interior will grant permission, to accord to the competent British airline the equal facilities referred to.

3. Is it desirable to undertake large scale planting of the Island with a view to ultimate colonization by native settlers from the Gilbert and Ellice groups?

The American Government has received through Ambassador Kennedy additional information from the British Government regarding the feasibility of its desire to colonize at least Canton Island with native settlers from the Gilbert and Ellice Islands. It is now engaged in a sympathetic study of such information. While reserving its final opinion, it cannot lose sight of the fact that the project is admittedly experimental, that the Island is small, and that the amount of ground that may eventually be necessary for airplane and communications purposes is indeterminate. Should such planting and settlement take place it is not clear how this might ultimately affect the question of title, which, by common consent, is being left in abeyance. Furthermore, it would seem the part of wisdom to reduce to a minimum the administrative problems on the Island, where responsibility is joint and not single, rather than to increase them.

4. Should a joint communiqué be issued at this time?

The British Government is of the view that a joint communiqué is urgently desirable and proposes the following text:

“The Governments of the United States and of Great Britain have agreed to set up a régime on the Islands of Canton and Enderbury in the Phoenix Group, with a view more particularly to their use in common for purposes connected with international aviation and communication, with equal facilities for each party. The details of the régime will be determined in notes to be exchanged between the two Governments.”

The question arises whether a useful purpose would be served by issuing a communiqué until the drafting of the notes to be exchanged has reached a more advanced stage. If, however, the British Government continues to feel that a communiqué at this stage is desirable toe American Government suggests the following text:

“The Governments of the United States and of Great Britain have agreed to set up a régime for the use in common of the Islands of Canton and Enderbury in the Phoenix Group and for the employment these Islands for purposes connected with international aviation and communication, with equal facilities for each party. The details of the régime will be determined in notes to be exchanged between the two Governments.”

91. This undated Aide-Mémoire was handed to the British Ambassador on June 30, 1938.
92. The text of clause 11 reads: “The licensee agrees not to enter into any agreement or undertaking with any foreign person, company, corporation or holding company covering the use of any of the licensee’s facilities on Canton Island, without the express approval of the Secretary of the Interior.”