Foreign Relations of the United States, 1948, Eastern Europe; The Soviet Union, Volume IV

856.79660H/4–1548: Telegram

The Acting Secretary of State to the Embassy in the Netherlands

secret

Washington, April 15, 1948—1 p. m.

141. From Belgrade’s 409 Apr 10¹ would appear Dutch intent upon opening up Balkans to KLM. Reurtel 213 Apr 7,¹ informal presentation following views suggested, if Emb still believes appropriate:

(1) Dutch hesitancy understandable in view control Maszovlet by Soviet and recent seriously disturbing political developments Europe which accentuate need extreme caution any dealings Soviet dominated satellite.

(2) Since questionable whether Bermuda type agreement contains adequate safeguards, particularly re termination, US believes any air agreement with satellite should be limited to provisional type arrangement of indefinite duration, be immediately cancellable by either party and provide for strict reciprocity factually and operationally.

(3) US currently discussing with Hungs exchange of notes authorizing US commercial and courier flights to, through and over Hung territory as quid pro quo for similar rights Hung carriers in US zones Germany and Austria. Arrangement would contain safeguards outlined in (2) above.

Re Bern’s 458 Apr 12, Dept does not desire discourage Dutch, or any other Western power, exchange air rights Hungs, or other satellite. Such position not only incompatible with current US-Hung negotiations but inconsistent with US view that advantages restoration normal commerce, communications and transport between satellites and Western Europe, from US political and economic point of view, overbalance, for present, advantages blocking satellite air operations to Western Europe. Desirability adequate safeguards in any satellite agreement is, however, another matter and drawing attention Dutch or other countries this side of curtain to dangers this aspect of problem Dept considers both consistent and appropriate.

Emb Lon requested query Brit re clearance Maszovlet flight Amsterdam (last para Budapest 588 Apr 8) If Hung flight cleared,² suggest Brit be informed such action disturbing to Dept in view UK-US understanding re close exchange info all satellite aviation matters.

Sent The Hague 141; rptd Budapest 390; Rome 1078; London 1333; Belgrade 173; Paris 1234; Berlin for Turner 663; Frankfurt for USAFE 120; Vienna for USFA; and Bern for Deak 525.

Lovett

1. Not printed.
1. Not printed.
2. Telegram 622, April 13, from Budapest, not printed, reported that the proposed Maszovlet flight to Amsterdam had been cancelled by Hungarian authorities because of Soviet insistence that the Hungarian aircraft land in Berlin (856.79664/4–1348). Telegram 745, May 4, from Budapest, not printed, reported on the basis of a “good source” that the reason for the cancellation of the Maszovlet flight was that several Hungarian Communist leaders, including Matyas Rakosi, intended to despatch sizable fortunes in gold, hard currency, and precious stones on the aircraft (856.79664/5–448).