841.796/1–3146: Telegram

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

secret
us urgent

1069. The Civil Aviation talks at Bermuda have resulted in the two delegations submitting to their Governments a draft agreement [Page 1465] which we feel is fair and reasonable to both sides. In the draft agreement the United States accepts the British position on regulation of rates and the British accept our position on non-regulation of frequencies and, in general, on the Fifth Freedom. The President and I are prepared to accept the Agreement and are authorizing the Chairman, United States Delegation, to sign the Agreement in Bermuda.

We feel that the signature of this Agreement as soon as possible would not only be desirable as a fair and reasonable settlement of the long standing civil aviation controversy, but would contribute materially toward a favorable reception in Congress to the loan agreement. The President has sent his message to Congress on the loan.27 We earnestly hope that the Aviation Agreement can be signed in Bermuda as soon as possible.

Acheson had a talk yesterday with Halifax along the foregoing lines. I believe it would be useful for you to talk with the Foreign Minister28 and perhaps Attlee29 in your discretion, along the same lines. Lord Keynes30 has, in the past, been helpful in matters of this kind with the Chancellor of the Exchequer, and you may find it advantageous to talk with him.31

Byrnes
  1. For text of President Truman’s message to Congress, released to the press January 30, 1946, transmitting the United States-United Kingdom Financial Agreement, see Department of State Bulletin, February 10, 1946, p. 183. For text of Agreement, see Bulletin of December 9, 1945, p. 907. For pertinent documentation, see Foreign Relations, 1945, vol. vi, pp. 1 ff.
  2. Ernest Bevin.
  3. Clement R. Attlee, British Prime Minister.
  4. John Maynard Keynes, British Economist and financial adviser to the British Government.
  5. In telegram 1303, February 2, 6 p.m., the Ambassador replied: “In answer to your 1069, January 31, I have urged Mr. Bevin to promptly authorize his delegation in Bermuda to sign the draft agreement arrived at in Bermuda. This question has been considered a Cabinet matter and a decision will be made at its meeting Monday afternoon [Feb. 4]. I am carrying out the suggestions contained in your message.” (841.796/2–246)