756D.94/44: Telegram

The Ambassador in Japan (Grew) to the Secretary of State

664. Our 657, 3d. This morning’s vernacular press reports prominently press interview with General Koiso yesterday, summarized translation Koiso’s remarks follows:

“Netherlands East Indies produce sufficient quantities petroleum, scrap iron, various ores, rubber et cetera satisfy Japan’s needs, have great potential economic strength, and necessary [for] Japan have close economic cooperation. Indies have restricted trade with Japan and refused Japanese immigration. Political aspect of question must be clarified prior to economic cooperation which involves third powers, particularly Germany (now occupying mother country), England and United States (now opposing Japan’s expansion), as prerequisite must decide Japanese attitude toward those countries. Am giving thought possible United States firm step regarding southward advance policy but believe necessary include Netherlands Indies and nearby territories with Japan, Manchukuo, China in great East Asia bloc to assure prosperity Far Eastern peoples. Japan morally justified [to] aid areas which have lost their overlords (France and Netherlands capitulated to Germany), southern areas can replace Europe, America, as sources material. Will confer with Premier, War, Navy, Foreign Ministers in joint meeting. Whether negotiate Netherlands Government in England difficult to decide.”

Two newspapers report General Koiso’s views well known to Cabinet, predict he will accept offer position Japan’s delegate Netherlands East Indies after conference Cabinet officials today.