Foreign Relations of the United States, 1946, Eastern Europe, The Soviet Union, Volume VI

861.51/5–1746

The Secretary of State to the Ambassador of the Soviet Union ( Novikov )

Washington , June 13, 1946.

Excellency: Reference is made to your note of May 17, 1946. The Government of the United States has noted that the Government of the Union of Soviet Socialist Republics is now prepared to extend the scope of the negotiations so as to include a preliminary exchange of opinions on the questions specified under (a), (b) and (c) of this Government’s note of April 18, 1946. At the same time the Government of the United States must reaffirm the view, expressed in its note of February 21, 1946, that the settlement of all the questions enumerated in that note is necessary to provide a sound basis for the mutually beneficial development of economic and financial relations between the United States and the Union of Soviet Socialist Republics. Accordingly, while the Government of the United States welcomes the willingness of the Government of the Union of Soviet Socialist Republics to widen the scope of the negotiations, it is unable to agree to a merely preliminary exchange of opinions on some of the questions to be included in the negotiations.

Taking account of the views of the Government of the Union of Soviet Socialist Republics as set forth in your note of May 17, 1946, the Government of the United States makes the following proposals with regard to the procedure to be followed in arriving at a comprehensive settlement of these questions.

(1) Negotiations on the following questions to begin at an early date, preferably July 10, 1946:

a. The request of the Government of the Union of Soviet Socialist Republics for a credit of one billion dollars.

b. Preliminary discussions of a comprehensive treaty of friendship, commerce, and navigation between the United States and the Union of Soviet Socialist Republics and agreement to enter into negotiations in the near future for the conclusion of such a treaty.

c. Methods for giving effect to the terms of Article VII of the Soviet Master Lend-Lease Agreement of June 11, 1942, such as are suggested in this Government’s “Proposals for Expansion of World Trade and Employment”, which were transmitted to the Government of the Union of Soviet Socialist Republics on December 21, 1945.

d. General settlement of lend-lease obligations in accordance with the provisions of the Soviet Master Lend-Lease Agreement, concluded on June 11, 1942, between the Governments of the United States and the Union of Soviet Socialist Republics, on the basis of an inventory of lend-lease supplies in the possession of the Union of Soviet Socialist Republics or subject to its control at the end of hostilities, as indicated in the note on this subject addressed by this Government to the Government of the Union of Soviet Socialist Republics on February 18, 1946.

e. Claims of American nationals against the Government of the Union of Soviet Socialist Republics including claims arising from actions of the Union of Soviet Socialist Republics in occupied and liberated areas.

f. Determination of concerted policies to be followed by the United States and the Union of Soviet Socialist Republics together with the United Kingdom, under the terms of the agreement reached at the Crimea Conference, in assisting the peoples liberated from the domination of Nazi Germany and the peoples of the former Axis satellite states of Europe to solve by democratic means their pressing economic problems.

g. Arrangements to assure adequate protection of the interests of inventors and of writers and other holders of copyrights.

h. Discussions of other economic questions, pertinent to the scope of negotiations as herein proposed, the settlement of which questions in the opinion of either Government would be conducive to the attainment of the aims of these negotiations.

(2) Negotiations on civil aviation matters of mutual interest to the two countries to begin two weeks after the commencement of the negotiations referred to in item (1) above.

(3) Negotiations on the following question to be held at a time to be fixed in the course of negotiations referred to in item (1) above:

“Arrangements to guarantee that navigation on rivers of international concern should be free and open on terms of entire equality to nationals, vessels of commerce, and goods of all members of the United Nations.”

(4) It is further proposed that the negotiations herein referred to be held in Washington.

The Government of the United States wishes to reiterate its view that neither the present correspondence, nor such negotiations in Washington as may result from this correspondence, nor the outcome of these negotiations should in any way preclude or postpone the separate discussion and settlement of the matters enumerated in this note. In particular, nothing in the present note should be so interpreted as to preclude or postpone negotiation and settlement of these matters at the forthcoming Conference of Foreign Ministers.

The Government of the United States begs to call the attention of the Government of the Union of Soviet Socialist Republics to the last paragraph of this Government’s note of April 18, 1946, referring to the adherence of the Government of the Union of Soviet Socialist Republics to the International Monetary Fund and the International Bank for Reconstruction and Development. The Government of the United States wishes to reaffirm the view expressed therein that successful conclusion of the proposed financial and economic discussions will be facilitated by cooperation of the two Governments in these two of the principal United Nations organizations designed to further international economic progress.

The Government of the United States would appreciate an early reply to the present note.

Accept [etc.]

James F. Byrnes