Foreign Relations of the United States: Diplomatic Papers, 1944, Europe, Volume IV

740.00112 European War 1939/9978: Telegram

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

London, January 18, 1944—9 p.m.
[Received 11:15 p.m.]

484. [To Stockholm:] 1. In order to allow Department to make any comment in view of slightly changed circumstances, Embassy suggests that steps outlined below not be taken by Legation until 48 hours after receipt of this message.

2. Department instructed Embassy in telegram 66 of January 4 to discuss with MEW a renewal of attempt to get undertaking from Swedish Government that during first quarter 1944 not more than 488 thousand tons of iron ore shipped to enemy Europe and that during any 1 month of that quarter not more than 200 thousand tons be shipped, as requested in joint memorandum of December 1.¹⁶ This suggestion was based on apparent inevitability of iron ore exports exceeding ceiling, and fact that such an excess would undermine our hard won limitation on these exports for 1944.

Department suggested that should Swedish Government counter with argument that such a reduction during first quarter would seriously affect coal and coke imports, its attention should be drawn to large stocks reported in Legation’s telegram 4122, December 21, 7 p.m. to Department.¹⁷

3. In addition Department suggested, should you perceive no objection, that attention of Swedish Government be drawn to its undertaking under section 7, paragraph 2, Swedish Declaration, and it be asked to agree to apply this section in such a way that the export during first and second quarters of 1944 of no commodity or group of commodities limited under agreement should be disproportionately large relative to exports during 1943 or relative to ceilings for 1944. Reasonable allowances would of course be made for seasonable factors and ordinary flow of trade. Department suggested that Swedes should be reminded that American and British representatives during last summer’s negotiations emphasized repeatedly, desirability that exports for first and second quarter of 1944 be limited to amounts which would be reasonable in proportion to annual ceilings.

Embassy believes that all foregoing considerations are greatly strengthened in view of excess of 342 thousand tons in 1943 over normal trade ceiling established in 1939 agreement reported in your 26 of January 15, 3 p.m. (to Department 139).¹⁸

4. MEW is instructing British Legation, Stockholm to press for a favorable answer on iron ore export limitation for first quarter 1944. It is likewise instructing that approach be simultaneous with American. British reasoning is slightly different from foregoing, inasmuch as greater stress is laid on assurances given by Swedish Government that ceiling on iron ore exports would not be broken during 1943.

5. Embassy understands from MEW that Swedish Government has proposed that excess be charged against 1944 ceiling for iron ore exports. MEW believes it would be safer for the moment to ignore this suggestion of Swedish Government as it would in all probability lead us into a long and complicated wrangle as to exact definition of enemy Europe under 1939 War Trade Agreement. Its instructions to British Minister will suggest pressing at this time solely for first quarter specific limitation. Embassy agrees fully in this point of view.

6. In addition Ministry is instructing British Mission to join you in pressing for Swedish assurances in the sense outlined above as to specific manner in which section 7 (2) of Swedish Declaration will be applied.

This message sent to Stockholm as 22 from Embassy is repeated to Washington for Department, Stone,¹⁹ FEA and Riefler.²⁰

Winant

16. Not printed, but see telegram 7367, November 20, 1943, midnight, to London, and telegram 3900, December 1, 1943, 4 p.m., from Stockholm, Foreign Relations, 1943, vol ii, pp. 819 and 822, respectively.
17. Not printed.
18. Not printed.
19. William T. Stone, Director, Special Areas Branch of Foreign Economic Administration.
20. Winfield W. Riefler, Special Assistant for Economic Warfare to the American Ambassador in the United Kingdom. Mr. Riefler was in Washington temporarily on official business.