740.00119 EW/9–2848
Memorandum of Conversation, by the Secretary of State
| Participants: | Secretary Marshall |
| Mr. John Foster Dulles | |
| Rt. Hon. Ernest Bevin1 | |
| Mr. Hector McNeil |
Mr. Bevin brought up the question of reparations, stating his extreme embarrassment in dealing with his own people, his Cabinet, who had been reluctant to submit to the first re-examination, and now would be extremely difficult to handle; but he was particularly concerned over the effect on the French, the Belgians and the others who felt very deeply in this matter, and also who felt that the American reactions were based on very hasty opinions of a problem that had been carefully analyzed.
I explained the situation elaborating on my written note to him on the subject,2 in answer of his to me, and emphasized the great importance [Page 812] of quick action and the relationship of this to the Appropriations Committee hearings on the European recovery program in January and February. I made the point that while these plants were in the British Zone and the American, it was not the location of the plant but its general relationship to European recovery that was the important factor. On this point, Bevin spoke of the consideration of location from the viewpoint of exposure to Russian conquest. He thought it was better to have some plants more distant from such an advance than where now located, and spoke of particular transfer to a certain section in England. I failed to make the point that as to distance there was little difference in hazard between where the plants now stood in many instances and a short distance further west, say in France or Belgium. Possibly, it would not have been advisable to have mentioned it even if I had thought of it. I insisted that the important thing was to act quickly before this matter got stirred up in the public print along the line of those critical of the British and always suspicious of their motives. Bevin said he understood and would like to have a meeting with me and Mr. Schuman in order to convince Schuman. I told him that the committee appointed by Hoffman was entirely nonpolitical and were very able people and I was quite certain that if a careful presentation were made by a representative of the French, the Benelux countries and the British, they would consider that along with the technical considerations which they would normally have most in mind. He said they would be careful to do that.