501.BB Palestine/6–1848: Telegram

The Secretary of State to the Embassy in the United Kingdom

secret
us urgent

2463. For Douglas from Lovett. British Embassy yesterday handed us text of telegram from UK FonOff to Count Bernadotte at Rhodes, regarding reopening of Haifa oil refinery. Cf. urtel 2702, June 18 and Deptel 2332, June 22.

Bevin’s approach to Bernadotte seems to go somewhat further than originally contemplated in 4th para, your 2702. We had impression from that telegram that his suggestion for an international administration ait Haifa to cover oil port under Mediator’s auspices would be for a limited period and noted in particular that FonOff had in mind a very small international control element consisting possibly of one administrator with a small staff and police force. However, Mr. Bevin in his telegram to Bernadotte discusses establishment of an international administration over port area, including oil docks and refinery, or possibly an international regime covering entire city. He says that an additional argument in favor of establishing a free port in Haifa under international control is that this would guarantee freedom of transit to Arab ports of Palestine and to Transjordan, for which Haifa is normal port of entry.

This govt in assenting to Mr. Bevin’s earlier views on Haifa had in mind that Mediator could assist both Jews and Arabs to maintain their normal civil economy by lending his good offices to reopening of Haifa refinery and to ensuring that use of refinery would not increase military potential of either side. Although a permanent international [Page 1158] regime for city of Haifa, which is an integral part of State of Israel which this Govt has formally recognized, might offer several advantages to both sides, we could not support such a regime unless it were freely consented to by PGI, without any pressure from US. We are, however, prepared to concur in a temporary international regime for petroleum facilities of Haifa and the oil port under Bernadotte’s auspices so long as he is operating under terms of SC resolution of May 29 and GA resolution of May 14.

Kindly make our views known to Mr. Bevin and explain that we regret if there has been any misunderstanding on this score. You should add that this telegram is being repeated to Count Bernadotte for his info.

Repeated USUN as 437 with request that SYG transmit this telegram to Bernadotte for his info.

Repeated Haifa as 185, Jerusalem as 670, Cairo as 892, Paris as 2375, Brussels as 999. [Lovett.]

Marshall