800.6176/474a: Telegram

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

3116. Following chronology of events relating to proposed international rubber agreement for your information:

Meeting March 11, of interested government officials. Substantial agreement reached as to content and desirability of agreement.
March 15, conferences with Senator Connally, Chairman Senate Foreign Relations Committee, and Representative Bloom, Chairman House Committee on Foreign Affairs, to outline nature of proposed agreement. Connally and Bloom agreed no action necessary by Congress.
March 18, first of three meetings with Anti-Trust Division, Justice Department. Informal agreement reached as to relation of anti-trust laws to proposed United States advisory panel. Letters being exchanged with Attorney General covering this point.
Meeting held March 22, with representatives of industry who generally opposed participation in a formal international agreement at this time. Apparent suspicion of relation of new agreement to [Page 961] old one and also undercurrent of fear of government interference in private business.
Linz and Haley to Akron for individual conferences—March 31 and April 1. Some improvement in attitude of industry toward proposed agreement.
April 11—letter from British Embassy18 announcing provisional preparations to extend old agreement for 3 more months to “avoid legal difficulties arising from the custody of records and funds”.
April 17 [15]—Haley and Phillips called on Jopson, Commercial Secretary, British Embassy to discuss extension. Expected reaction of industry outlined. Jopson cabling Foreign Office to effect that extension will “hamper” efforts of Department to obtain industry support for proposed new agreement since industry suspects new agreement is merely continuation of old. While fears are psychological in character still are of importance in internal negotiations. Department feels that it cannot ask British to terminate agreement and can only indicate probable adverse effects of extension.
Industry meeting scheduled for May 2 at which other government agencies will also be represented. Department not unduly pessimistic of outcome of meeting.

Department will keep you informed of further developments.

  1. Not found in Department files.