501.BC Indonesia/7–1648: Telegram
The Consul General at Batavia (Livengood) to the Secretary of State
619. Gocus 337. GOC July 12 discussed with delegations of parties whole field of restrictions on trade between Republic and other areas in [Page 284] preparation for drafting report to SC. Discussion was based preliminary GOC paper outlining subject. Five hour meeting was among most illuminating held so far and suggests progress which could probably be made in defining and reducing areas disagreements on political questions had Dutch been willing accept US-Australian working paper as basis comprehensive discussions. Dutch appeared prepared relax present restrictions on trade in several important respects. Van Hoogstraten indicates willingness meet at least partially main Republic objections to agreement on sea traffic initialled in subcommittee June 15 and rejected by Republic (Gocus 3221 paragraph 4), particularly in extending time agreement to run even if no agreement obtained on air traffic and in providing for joint Netherlands-Republic inspection cargoes bound to and from Republic at both Netherlands and Republic ports. Netherlands delegation also taking somewhat more liberal attitude toward list of transport and reconstruction equipment which Republic requested permission import May 8 (paragraph 4 A) and in new offer to Republic has listed 25 million guilders worth reconstruction equipment, including 200 trucks and 150 motor cars which Republic may be authorized import. Van Hoogstraten offered discuss with Djuanda raising figures on motor vehicles which very low respect Republic’s needs. Transport situation Republic growing so desperate that military observers in east Java report they unable any longer adequately perform their duties. (Dutch so far have not acceded to requests for vehicles for use military observers or even for tires for Republic vehicles used by military observers.) USDel assumes Netherlands willingness make some concessions respect trade restrictions results not only from SC interest in question but from conversations Washington.
While meeting featured initial sharp recriminations, fairly friendly atmosphere soon established. This connection, must be stated that despite extremely discouraging aspects present circumstances, temper of meetings is probably less tense and hostile than in past. In part improved atmosphere is ascribable still continuing effect US-Australian working paper, which apparently relieved acute Republic jitters and gave Republic delegation more confidence, but change for better is also undoubtedly due departure Vredenburch, whose intolerance, antagonistic bearing and unalterable policy never to make concessions convinced Republic it was dealing with implacable foe. Apparent eclipse of Riphagen, who equally unyielding and intolerant of Republic, has also helped. Signed Ogburn.
Sent Department 619; Dept pass Hague from Batavia.2