854.24/170: Telegram

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

6358. For Department and OEW from Riefler. The verbal declaration questioned in the Department’s 5800 of 21st was merely that “the British and American representatives in Switzerland will, for the time being, refrain from new approaches such as those hitherto made to Swiss firms in the metallurgical and watch industries”. As we pointed out, both orally and in writing, in the letter mentioned in the Department’s 5800 we agreed so to refrain only “for the time being”.

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We feel that we have never been committed to refrain from that pressure longer than it seemed to our advantage to do so. See Embassy’s telegram 5402, August 17, 9 p.m., to you.

We realize that the Germans could if they wished use the renewal of pressure as ground to terminate the issue of Geleitscheine to implement the compensation agreement. We felt, however, that if they should do this the disadvantages in supply to us would not now be outweighed by the advantages of restricting Swiss exports to the Axis as a result of resuming our listing at this juncture.

The Swiss Minister’s argument mentioned in Department’s 5800 has been repeated in a memorandum which the Swiss Minister in London has filed with MEW.62 Contrary to his usual practice, the Swiss Minister failed to give me a copy of his memorandum for MEW. This probably indicates that the Swiss are preparing to fight hard against our resumption of listing and feel they will get farther by making direct representation in Washington rather than through this Embassy in London. It is an indication that they are more sensitive now to listing than to our other Economic Warfare measures. Has the Department yet reached a decision on Embassy’s 5845, September 3,63 [Riefler.]

Winant
  1. See infra.
  2. Not printed.