840.50 Recovery/7–247: Telegram
The Ambassador in France (Caffery) to the Secretary of State
urgent
niact
2633. My 2631, July 2. Referring to yesterday’s meeting Couve de Murville tells me that the French decision to submit a final compromise proposition was dictated not in the belief that it would be acceptable to the Russians but for reasons of French internal politics. He explained that although the wording of the original French proposal had been modified the basic Franco-British position had not been changed in the latest draft. Therefore, in the absence of a reversal of Soviet position Molotov would be obliged to refuse it. Couve said that Bidault feels that a Soviet refusal after this last French effort at compromise will greatly strengthen the French Government with French public opinion; will tend to disarm the French Communists who may be expected to attack the plan; and will make it much easier to proceed with the British to draw up a European plan without the Russians.
Bidault opened yesterday’s meeting by tabling the new French proposal. Molotov made little comment other than to say that he would have to study it but that a superficial perusal did not indicate that the French paper differed greatly from the one which they had previously submitted. Molotov then said that before adjourning he wished to ask Bidault two questions:
- (1)
- Is it correct that the French proposal envisages the immediate utilization of German resources to meet the needs of the countries which will participate in a European plan without reference to reparations? In other words, has the French Government changed its views on German reparations and does it favor turning over increased German production for use in European reconstruction before reparations are made?
- (2)
- Does the French proposal mean that the French Government now favors raising the level of German industrial production?
Bidault replied evasively that the question of Germany had been and would continue to be the subject of discussion by the four occupying [Page 306] powers, et cetera, and that at this juncture the questions did not appear to relate to the question at issue.
Molotov then asked that the meeting be adjourned until this afternoon at 4 o’clock, Bevin immediately proposed instead that the meeting recess and meet later in the evening. Couve said “Molotov insisted on adjournment until today, obviously in order to refer the French proposal back to Moscow for final instructions.” Bevin said he would agree if it were clearly understood that final agreement or disagreement between the three would be reached today. The meeting adjourned on this note.
Couve said that while there is always a possibility that Moscow may make an about-face, he does not believe that the Soviets will go along and he expects the meeting to break up today. If this occurs he says the French feel that the extra day’s delay entailed by their final proposal will have been more than worthwhile from the point of view of French public opinion.1
- Foreign Secretary Bevin conveyed substantially the same information to Ambassador Douglas, who reported it to the Department in telegram 3637, July 2, 1947 from London, not printed (840.50 Recovery/7–247).↩