Memorandum Prepared in the Department of State 13

United States Economic Policy Toward Thailand

The United States Government favors the restoration of the freedom, independence and sovereignty of Thailand.
It is further the policy of this Government:
To support the appropriate efforts of the Thai Government and the Thai people to make their own decisions with respect to entering into agreements or making other commitments on economic matters of international import.
To be prepared to provide financial and economic advice upon request and by this and other means to facilitate the development of the Thai economy and its foreign trade on a multilateral basis.
To look with favor upon the extension of private credits to the Thai Government and to Thai industry, and to be prepared, in appropriate circumstances, to provide Government or Government-guaranteed loans that promise to be of benefit to the Thai people and that can be supported by the Thai economy without undue strain.
To make operative between the United States and Thailand the existing commercial treaty (without prejudice to later revision) which provides for the economic rights and privileges of American nationals; and to seek from the Thai an understanding that nationals of other members of the United Nations will be treated on a similar non-discriminatory basis and that any concessions or other special privileges which the Thai may grant will be open to all on equal terms.
To assist Thailand in obtaining imported relief and rehabilitation supplies which may be needed by Thailand during and after liberation; to continue to seek authority for UNRRA to operate in Thailand on the same terms and conditions as in other liberated areas.
To stand ready to assist Thailand in carrying out the policies adopted by the United Nations for the liquidation of Japanese investments, leaseholds, and concessions, and to seek to secure participation by Thailand in whatever agreements are entered into by members of the United Nations for the future regulation and control of Japanese economic penetration.
To seek to postpone the settlement of questions of reparations and possibly restitution as between Thailand and the United Nations [Page 1282] and as between Thailand and Japan until the general reparations decisions are made at the conclusion of the war with Japan.
This Government further believes that so far as may be possible Thailand should receive credit for commodities sold for export in currencies which will meet the foreign exchange needs of that country.
  1. In a memorandum of August 21 to the Director of the Office of Far Eastern Affairs, the Chief of the Division of Southeast Asian Affairs stated “Mr. C. C. Devore, chief of the Southeast Asian Division of F[oreign] E[conomic] A[dministration], Liberated Areas, requested a statement of United States policy toward Thailand for guidance of an ad hoc committee on Thai economic problems on which FEA, State, Treasury and War Departments are represented. … If you concur I will transmit to Mr. Devore the attached statement of policy on plain, white paper without initials. Point 3 is taken from the aide-mémoire handed to the British on July 7, 1945. The rest of the information contained therein was approved by the Office of the Assistant Secretary for Economic Affairs August 9, 1945.” (892.50/8–2145) The statement was transmitted to Mr. Devore on August 23. The aide-mémoire of July 7 is not printed.