811.24 Raw Materials/1001: Telegram
The Ambassador in the United Kingdom ( Kennedy ) to the Secretary of State
[Received May 24—1:50 p.m.]
1359. Department’s 886, May 17, and 917, May 21. At a meeting this afternoon besides officials of the Colonial Office Campbell, Lyttleton, and Lowinger56 were present and there was an evident desire on the part of all concerned to cooperate in the matter of making tin available to the United States to the extent practicable and for the purposes and under the commitments defined. The following proposals evolved from the ensuing discussion.
- 1.
- That Lowinger and Van den Broek57 be authorized by the Tin Committee and designated by the British and Dutch Governments respectively to proceed shortly to the United States to negotiate a detailed arrangement with the American Government or the corporation to be set up by it in conjunction with the American steel industry. Incidentally Lowinger is an intimate friend of Hay’s58 and there is an evident desire on the part of the British Government to keep the two negotiations in step. Campbell hopes to be able to obtain similar wide plenipotentiary powers for Lowinger and Van den Broek as were accorded by the Rubber Committee to Hay.
- 2.
- That at the meeting of the Tin Committee (and subject to the concurrence of the Dutch) a 100 percent quota be announced for the third quarter and licenses therefor be issued immediately. The British were unwilling to deal with the fourth quarter at this time but agreed to reconvene the Committee immediately provided an unanticipated demand developed which was reflected in a decided price movement.
- 3.
- That the Committee authorize a 120 percent quota for the third and fourth quarters as soon as an arrangement is concluded for the reserve stock. It was pointed out that the industry already is aware of the United States Government’s intentions and therefore will be taking individual action to put itself in a position to produce fully and it was particularly emphasized that a 120 percent quota really constituted unlimited production. Incidentally Lyttleton pointed out that 25,000 tons represents the maximum possible addition to stocks in the third and fourth quarters with unlimited production.
It was evident that the British have in mind as part of the agreement for a reserve stock an undertaking on our part to buy in such a manner as to maintain a given minimum price.
- Victor A. Lowinger, member of the Malayan delegation on the Tin Regulation Committee; Chairman of the International Tin Research Council.↩
- John Van den Broek, member of the Netherlands East Indies delegation on the International Tin Regulation Committee.↩
- Sir John Hay, member of the Malayan delegation on the International Rubber Regulation Committee.↩