Office of the Historian

740.00112 European War 1939/9608: Telegram

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

London, November 12, 1943.
[Received November 12—5:28 p.m.]

7892. For Department, FEA from Riefler. The Swiss proposals referred to in my 7815, November 10,76 have now been received in the [Page 887] form of a memorandum dated November 12 from the Swiss Minister in London as follows:

“In regard to the resumption of trade discussions in London, M. Thurnheer has just received from the competent Swiss authorities the following communications:

1.
The new Swiss proposals cover all items under the groups for which a ceiling has been fixed, and apply to all Axis countries. Important reductions are foreseen for the main items and in particular for: Arms and ammunition, fuses, aeroplane parts, ball bearings, machine tools, precision tools and radio equipment. For other items smaller reductions or a stabilization on the basic value of 1942 are proposed. For a small group of peace-time products, special quotas will be required in order to safeguard Swiss economic interests.
2.
The above substantial reductions will result in a decrease of exports to the Axis countries, especially to Germany, during the first half year 1944 of about 90 million Swiss francs as compared with exports during 1942, and of 80 million as compared with exports during the second half year of 1943.
3.
In order to avoid a sudden increase in exports towards the end of 1943, similar to what occurred in July last, the proposals further contain maximum values for exports during the fourth quarter 1943, for the most important items which as yet are not subject to a quota.
4.
As various parts of the above proposals will require further explanations, and Swiss desiderata are to be put forward, the Swiss authorities welcome the opportunity of direct verbal contacts with the Allied representatives. Prof. Keller will therefore leave immediately with the new proposals. As a beginning, Prof. Keller’s instructions will cover items 2, 3, 5 and 8 of the British list of September 30, and his stay in London will thus, in Bern’s opinion, be of a short duration only. Nevertheless, it is anticipated that Prof. Keller’s presence will afford an opportunity for a preparatory examination of other questions, thereby paving the way for further negotiations of a more comprehensive nature.”

[Riefler]
Winant
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