Foreign Relations of the United States, 1946, Council of Foreign Ministers, Volume II

C.F.M. Files: Lot M–88: Box 2063: CFM Records of Decisions

Record of Decisions, Council of Foreign Ministers, Second Session, Thirty-Fourth Meeting, Palais du Luxembourg, Paris, July 4, 1946, 5 p.m.

Paris, July 4, 1946, 5 p.m.

secret
C.F.M. (46) 34th Meeting, July 4, 1946.

Present

	France
	M. Bidault (Chairman)
	M. Couve de Murville
	General Catroux
	M. Henri Bonnet
	M. Fouques Duparc
U.S.A.		U.K.
Mr. Byrnes		Mr. Bevin
Mr. Connally		Mr. Jebb
Mr. Vandenberg		Mr. Harvey
Mr. Dunn		Mr. Duff Cooper
Mr. Bohlen
	U.S.S.R.
	M. Molotov
	M. Vyshinsky
	M. Dekanozov
	M. Gousev

I. Deputies’ Report

The Council heard the Deputies’ Report, presented by the Chairman of the day.

II. Date of the Peace Conference

The Council decided that the Peace Conference should open on July 29 and instructed the Deputies to draw up at their meeting on the following day the text of the invitation to be sent to the Governments of the 21 nations not represented on the Council.

It was agreed to consider at the next meeting the position of the Chinese Government as regards the dispatch of invitations to the Conference.

III. Reparation

The Council discussed the question of the reparation due by Italy and reached the following decisions on this subject.

1. Italy to pay reparation to the U.S.S.R. to the extent of 100 million U.S. dollars over a period of 7 years. No payments will be made out of current production during the first two years.

2. Reparation shall be made from the following sources:

a) Part of the Italian factory and tool equipment designed for the manufacture of war implements which is not required by the permitted military establishments and not readily susceptible of conversion to civilian purposes and which is removed from Italy under Article __________ of the Treaty;

b) Italian assets in Roumania, Bulgaria and Hungary subject to exceptions specified in paragraph 5 of Art. 71 (Italian external assets); and

c) Current Italian industrial production.

3. The quantities and types of goods to be delivered shall be the subject of agreement between the Italian Government and the Government of the U.S.S.R. and shall be selected and deliveries scheduled in such a way as to avoid interference with the economic reconstruction of Italy and the imposition of additional liabilities on Allied countries. Agreements concluded in pursuance of these provisions shall be reported to the four ambassadors in Rome.

4. The U.S.S.R. shall furnish to Italy on commercial terms the raw materials needed for the production of these goods which are normally imported into Italy, payment for which materials shall be made by deducting from the value of material furnished to the U.S.S.R.

5. The four ambassadors shall determine the value of Italian assets abroad to be transferred to the U.S.S.R.

The U.K. Delegation stated that it would submit a declaration regarding the interests of the other Allied countries.

It was agreed that the Deputies would consider the final wording to be adopted for these decisions.

IV. Next Meeting of the Council

Friday, July 5, at 4:00 p.m.

Paris , July 5, 1946.