The Assistant Secretary of State (Acheson) to the British Minister (Hall)

My Dear Mr. Hall: I have read with interest your letter of July 7, 1941, stating, in brief, that the British Minister in Bangkok is utilizing oil supplies as inducement to Thailand in connection with rubber and tin, and that he is reserving financial credits for use in connection with obtaining political assurances. You suggest that the American Government may like to keep this further objective in mind.

The Department in the oral communication to the Thai Minister on June 24 indicated its readiness to assist in carrying out the Thai program of internal development, if satisfied in regard to rubber and tin, but no mention has yet been made to the Thai Government of financial assistance.

We shall expect to consult the Embassy at such time as it may appear desirable to broach to the Thai Government the possibility of a loan and commercial credits.

It is now two weeks since the Thai Government accepted in principle the Department’s proposal for reciprocal assistance in the matter of Thai and American products, and no specific information has been received that would make it possible to proceed to a definite arrangement. The Department has, therefore, instructed the American Minister in Bangkok86 to urge the Thai authorities to supply information [Page 207] necessary before the arrangement can be made. It was suggested that he inform his British colleague of his intended interview.

Sincerely yours,

Dean Acheson
  1. Telegram No. 76, July 12, 9 p.m., supra.