The Chargé in Yugoslavia (Shantz) to the Secretary of State
[Received July 27—12:40 a.m.]
316. Following are some selected comments from informal conversation officer of Embassy had last night with Foreign Office official on subject Yugoslav foreign affairs.[Page 1313]
United States—Yugoslavia does not believe that America has independent policy in Balkans, merely following British lead since 1942.
Great Britain—British Government is baiting Yugoslavia for reasons not yet clear. One bitter result is Yugoslavia has lost Trieste,43 probably permanently. Yugoslav reaction against British has naturally resulted, especially in army. Country has been driven further into arms of Russia whose attitude towards smaller ally is very different and much more friendly. British elections44 may make situation less difficult if Labor Party wins.
Rumania—Diplomatic representatives will soon be exchanged and commercial treaty signed and few small strategic territorial adjustments, referred to as “exchange of villages,” will be made in favor of Yugoslavia, a victor nation.
Bulgaria and Albania—with these countries Yugoslavia has every reason for maintaining good neighborly relations, having nothing to fear now from either. Federation is definitely on the program but not in immediate future. Federation with Albania is probably more imminent than with Bulgaria. Asked whether Bulgarian Macedonia should in Yugoslav opinion be united with Yugoslav Macedonia, he countered by asking the same question about Greek Macedonia.
Greece—Relations with Greece are likely to be troublesome.45 Greek Government is reactionary. Recent history of Greece has taught Yugoslavia a lesson.