660c.6231/3–3149: Telegram

The Ambassador in Poland (Gallman) to the Secretary of State

secret

502. We view new trade pact between Poland and Soviet zone Germany (Embtel 4981) and attendant publicity that it doubles 48 trade volume between areas as reenforcing our previously expressed belief (Embtels 156, 251 and 3822) that however unworkable such may ultimately prove to be we are witnessing determined effort on part Soviet Union to effect rapprochement between Poland and East Germany and to ease Oder–Neisse border tension and economic vacuum in Soviet zone by close integration of Polish, Soviet zone, Czecho economy.

Pact places East Germany among Pols principal trading partners topped only by USSR, UK and perhaps Czecho. Official 48 figures (though by no means definite) would indicate announced Polish Soviet zone volume for 49 exceeds Polish Czech trade volume for last year. It exceeds Polish Soviet volume in 46 and nearly equals Polish Soviet turnover in 47 (167,000,000). Sharp step up appears point way [Page 514]to closer integration of two economies and to prepare ground for adherence future East German government to MEAC [ CMEA? ].

Press appears on verge justifying this new development to sway public. Thus Zycie Warszawy commenting on negotiations day for [before?] results announced devoted 164 line build up to Soviet zone economy observed such “creates new and advantageous prospect” for development Polish foreign trade and concluded “natural geographic conditions (long common border and convenient lines communications) and nature economic structures both countries which complement each other permits further and mutually advantageous development of economic relations.”

Sent Department 502 repeated Berlin 77 Paris 80 London 53 Moscow 84 pouched Praha Vienna Budapest Bucharest Sofia Belgrade.

Gallman
  1. Not printed; it reported that, according to the Polish press, a trade agreement was signed on March 29 between Poland and the Soviet zone in Germany. (660c.6231/3–3149)
  2. Telegram 382, printed on p. 508; telegram 251, not printed; regarding telegram 156, see footnote 10 to telegram 170, February 3, p. 505.