811.24 Raw Materials/308a: Telegram

The Secretary of State to the Ambassador in the United Kingdom ( Kennedy )

803. In view of the highly speculative and almost run-away rubber market in New York, it would be greatly appreciated if you can make an attempt to secure promptly from the British Government a statement which we could release or use otherwise, to the effect that it will continue to be their policy, through the International Rubber Regulation Committee, to support releases of rubber entirely adequate to meet world requirements.

It is recognized that the British Government and the International Committee probably will not be in a position to announce detailed arrangements for some time. It is hoped, however, that the British Government remains committed to adequate releases of rubber and will be willing to make a statement to this effect, since a speculative market and unreasonable rubber prices would appear to be contrary to their best interests as well as ours.

The need of a prompt statement of the general lines of British policy is emphasized by reliable advices to manufacturers here that there is a shortage of nearby rubber in Singapore, apparently caused by speculative holding of rubber or by the withholding of offerings pending instructions from the British Government as to its requirements, or by both.