Foreign Relations of the United States: Diplomatic Papers, 1943, The British Commonwealth, Eastern Europe, the Far East, Volume III

800.24/10471

The British Embassy to the Department of State

Aide-Mémoire

His Majesty’s Government in the United Kingdom have realised for some months that their war-time export policy needs some restatement. One of the most important public documents on this subject, the White Paper of September, 1941, has proved difficult of administration in detail. Moreover there have been so many developments since that time that its inappropriateness is already a cause of political difficulty in the United Kingdom and threatens to become an increasing embarrassment to Anglo-American relations. Chief of these developments are:—

(1) The United States and the United Kingdom are now co-belligerents in a common war against the Axis powers and are pooling their resources to that end.

(2) Combined organisations have been set up which have as their defined purposes to plan the best and speediest development, expansion and use of the resources under the jurisdiction or control of the two Governments.

(3) As a result of growing pressure upon the resources of manpower, materials and productive capacity, the volume of goods available for export either from the United States or from the United Kingdom has been greatly diminished. The problem facing both countries is now one of meeting the essential requirements of third countries from their joint resources; competition for export markets is no longer an important factor.

The White Paper was conceived and issued in circumstances quite different from those described above, and His Majesty’s Government desire to discuss with the United States Government the proposal that a fresh statement of United Kingdom export policy be issued which would maintain the essential principle governing the use of Lend-Lease supplies and at the same time take account of the developments above-mentioned. In particular His Majesty’s Government attach importance to the principle that no advantage in world markets shall accrue to either country at the expense of the other by reason of sacrifices made in the interest of the effective prosecution of the war.⁸⁶

Washington , July 9, 1943.

86. Revision of the British White Paper of September 10, 1941, was a continual subject of discussion on the intra-as well as the inter-governmental levels until the end of the war, although no formal alteration was ever agreed upon. Under date of December 8, 1944, Mr. Harry L. Whitney, Director of the White Paper Policy Staff of the Foreign Economic Administration, compiled a “History of the Administration of the British White Paper of September 10, 1941”. On page 5 of his compilation, regarding the draft replies drawn up to answer this aide-mémoire of July 9, Mr. Whitney says: “Some of these drafts were tentatively submitted to the British for their opinion but the British did not approve and nothing happened.” This compilation is located in the records of the Foreign Economic Administrator in the National Archives.