560.AL/5–1646: Telegram

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

secret

5202. For Wilcox and Brown from Hawkins. The following memorandum handed us by Liesching this afternoon is official British reply, approved by Ministers, to our proposed plan for trade meetings:

  • “(a) We fully appreciate the circumstances in which the US Government have proposed this new programme and accept the necessity to postpone the detailed discussions on tariffs until March 1947. We share their desire to keep interest alive and make some progress in the meantime. But, having undertaken to use our best endeavours to bring the discussions to a successful conclusion, we feel bound to say that, in our view the new programme in its entirety would not serve to further this object.
  • “(b) We see considerable advantage in a meeting of the Preparatory Committee (lasting preferably not more than 4, and certainly not more than 6 weeks) for the purpose of (I) exchanging views and removing any doubts about the intentions of the American proposals, (II) of expounding the considerations which led up to the joint statement by the US and the UK which was issued on their publication on the 6th December, and (III) of enlisting support of the principle of a worldwide reduction of trade barriers.
  • “(c) On the other hand, we see no merit in the proposed drafting sub-committee. We do not see how such a sub-committee could do any [Page 1324] useful work. Either there would be constant reservations which would thwart hopes of positive progress or some degree of commitment would be involved for which governments would not be ready until commitments on actual tariff reductions were also under negotiation, that is to say until the ‘drafting’ countries meet in March. Indeed, if for such reasons governments were led to take firm positions on points of difficulty, we feel that the establishment of a drafting sub-committee might positively impede the successful outcome of the later conference.
  • “(d) Moreover, we consider that July is too soon for the meeting of the Preparatory Committee. Owing to the close connection between the published proposals on commercial policy and the financial position we, for our part, could not attend a meeting of the Preparatory Committee appointed by the Economic and Social Council of the United Nations until Congress has acted on the financial agreement, and we consider that 6 weeks’ notice should be given, in order that members of the Preparatory Committee may have time to make the necessary arrangements to attend.
  • “(e) Our view is, therefore, that a decision on the date of the meeting of the Preparatory Committee should be deferred. Provided Congress has acted on the financial agreement in time, the aim should be to hold a meeting early in the autumn. We should have been inclined to suggest September, but as meetings in the United States of the General Assembly of the United Nations and of the Economic and Social Council have already been arranged for the 1st September, the 1st October appears to us to be the earliest practicable date.
  • “(f) We consider it extremely desirable, for reasons which we feel sure are appreciated by the US Government, that the proposed meeting should be held in Europe (preferably in London or Geneva).
  • “(g) Meanwhile, we welcome their proposal that we and they should continue to have informal exchanges of views with other countries such as have already served to remove misunderstandings and to promote the ideas which both countries share.”

  • [Hawkins]
  • Harriman