740.00119 FEAC/12–948: Airgram
The Acting Secretary of State to the Acting Political Adviser in Japan (Sebald)
A–168. Subject is Summary FEC Meeting, December 2, 1948. Trial of Japanese War Criminals (FEC–314/4). USSR and UK members indicated they were ready to vote on paper. Philippine member requested that vote be postponed.
Soviet Proposal Regarding Level of Economic Life in Japan (FEC–320). Indian member pointed out that principles set forth by USSR member in first portion of his proposal were generally acceptable to his Government, but he thought no useful purpose would be served by adopting them. As for second portion regarding establishment of control machinery, he pointed out that in light of clarification offered by USSR member, such proposal was subject to consideration at peace conference. Therefore his Government could not accept Soviet proposal.
USSR member made statement, which was released to press same day, that US statement of November 111 does not correspond to actual situation. He contended that in US statement reference is made to the necessity of the revival of the Japanese economy on a peaceful and “self-supporting” basis but nothing is said of the necessity to bring about the unhampered development of Japan’s peaceful industry and [Page 915] the prevention of the development of Japan’s war industry, nor is mention made of the establishment of an appropriate control with the purpose of achieving this objective. He argued that it is necessary that everyone in Japan know that no limitations will be placed on the development of Japan’s peaceful industry and that the assertion that the US statement of January 21 already made the proposals on the question of Japan’s economic development similar to proposals set forth in the Soviet statement of September 232 is absolutely unfounded. As for the establishment of control machinery, it was the view of the Soviet member that the FEC can come to an understanding in respect to the prohibition of the revival and creation of the Japanese war industry and in respect to the establishment of an appropriate control having in mind, naturally, that the details of exercising such a control will be decided by the peace treaty with Japan and will constitute its integral part. With reference to the US statement that the demilitarization of Japan has been carried out, the Soviet member alleged that there are serious reasons to doubt that the decisions adopted by the Commission in respect to demilitarization and disarmament are actually fulfilled. The USSR member expressed the view that if the US Government were displaying real care in respect to “alleviating suffering” of the Japanese people, it would not have opposed the Soviet proposals in respect to an unlimited development of Japan’s peaceful industry. He added that it is worth noting that nowhere the US Government advocated an unlimited development of Japan’s peaceful industry, and that it is clear that certain US circles do not wish this as Japanese goods create rivalry for American goods.
Chairman on point of calling for vote on Soviet proposal when French member requested postponement so that he might have opportunity to study Soviet statement. Action deferred.
Principles for Japanese Farmers’ Organizations (FEC–277/16). All Soviet amendments (set forth in 277/17) defeated except those to paragraph 6, first of which was withdrawn by Soviet member and second of which was reworded and accepted by Commission as follows: “Measures should be taken, however, to prevent cooperatives becoming controlled by any banking, trade, industrial, or other non-farmer companies and interests.” Vote on paper postponed at request of USSR member.
Labor Policy in Japan (FEC–310). In last few minutes of meeting New Zealand member briefly pointed out that his Government was not satisfied with labor legislation in Japan.