Editorial Note
In a document entitled “Report on Security”, dated May 26 (page 291), subsequently included as Annex L to the Report of the London Conference on Germany, June 1 (page 309), the United States, United Kingdom, French, and Benelux Delegations to the London Conference on Germany agreed to ask the Military Governors of the Western Zones of Occupation to establish a working party to consider what prohibitions and restrictions should be placed upon peacetime industries of Western Germany in addition to those prohibitions on the production of war material which were currently in effect and were to [Page 669] be continued. During August 1948 the Military Governors agreed to Establishment of a working party on prohibited and restricted industries which began meeting in Frankfurt during September. Detailed recommendations for the initial negotiating position of the U.S. representatives were set forth by General Clay in his message CC–5595, August 19, to the Department of the Army, not printed. These recommendations were generally confirmed by the Department of the Army in message War–88817, September 7, to General Clay, not printed. Negotiations of the working party on prohibited and restricted industries were suspended after October 1948 pending further instructions from the Military Governors and the resolution of policy questions affecting the general question of prohibited and restricted industries. Telegraphic reports from General Clay to the Department of the Army during September and October regarding the negotiations of the working party are included in the files of the Department of Defense. Documents regarding the establishment of the working party and the views of Department of State officers regarding its negotiations are included in Department of State file 740.00119 Control (Germany).
During November and December 1948, the question of prohibited and limited industries came under discussion at the inter-governmental level, particularly in connection with the reparations question and the work of the Industrial Advisory Committee of the Economic Cooperation Administration (the Humphrey Committee) as well as during the meetings of the London Conference on the Ruhr. For documentation on the reparations question, see pages 703 ff.; for documentation on the London Conference on the Ruhr, see pages 448 ff.