740.00112 European War 1939/10799a: Telegram

The Secretary of State to the Minister in Sweden (Johnson)

919. From Stone for Griffis. Your 1683, May 12. Department and FEA are gratified that you have succeeded in getting an agreement from SKF that during period of these negotiations no exports of ball bearings, roller bearings, or ball bearing machinery will be made to any belligerent country, effective at once.

FEA authorizes you to guarantee payment contract against delivery goods to Allies. Numbered paragraph 1, your 1708, May 13th, 9 p.m.

If negotiations result in acceptable compromise, we would be willing to undertake pre-emptive purchases which would replace German orders until the end of the European war. We would not favor committing ourselves beyond that time and feel that it should not be necessary since the German orders would then become inoperative in any event.

Your reference in numbered paragraph 3 to sanctity of contracts is unclear. Does this refer to SKF contracts with Germans or to alleged obligation of Swedish Government to see that these contracts are fulfilled?

We are not inclined to favor the employment of a Swedish publicity journalist but will discuss at once with OWI53 what can be done along [Page 545] the lines suggested by you. In the meantime we suggest that you discuss with Minister Johnson the possibility and advisability of some action by the OWI outpost in Stockholm.

We will be inclined to defer to Griffis’ and Minister’s judgment as to when he should leave Sweden but wish him to telegraph us best offer made by Swedes, his proposed date of departure, and do not wish him to leave Sweden until we have approved his departure. In any case it would seem to us that if he has obtained an agreement from SKF to embargo shipment of bearings etc. to all belligerents during the period of negotiations it would be to our advantage for Griffis to remain until all chances of obtaining our full demands have disappeared.

With further reference to numbered paragraph 1 of your 1708, we believe that if compromise is necessary, it should include not only postponement of substantial shipments but the elimination of all deliveries of military types. Paragraph c under Section 5 of London’s 3771, May 9, 8 p.m., which contained memo taken to Stockholm by Griffis and Poteat as guide in their negotiations. Please refer also to London’s 3805, May 10, 8 p.m.,54 repeated to Stockholm as Embassy’s 170, May 10, 8 p.m.

Sent to Stockholm, repeated to London as Department’s no. 3877. [Stone.]

Hull
  1. Office of War Information.
  2. Not printed.