501.BB Palestine/10–1449: Circular airgram

The Secretary of State to Certain Diplomatic and Consular Offices 1

secret

For your background info, Dept’s analysis Pal situation follows:

PCC .—Despite PCC efforts promote final settlement Pal, positions of parties concerned remain too far apart to offer hope definitive settlement foreseeable future, or even hope of producing area of agreement on which final settlement might be based. Next meeting PCC Oct 19 not expected produce any material improvement in conciliation efforts. Impasse aggravated by apparent conviction each side that time works to its advantage. In our view, reverse is true. Missions must endeavor through constant painstaking discussion with govts concerned to make them aware long range effects upon their own self interests of this impasse. Israel, while endeavoring extract full measure polit and territorial advantage during stalemate, is forced maintain high psychological and financial burden military preparedness at expense economic stabilization, and by prolonging its precarious isolation, is postponing establishment modus operandi with Arabs which is of highest importance to Israel’s future existence. Arab states, while counting unrealistically upon econ boycott to obtain polit objectives, are sacrificing opportunity for econ development and for social reform, further weakening resistance to revolutionary and opportunist exploitation, and bearing burden costly military preparedness to detriment of economy. Continued unreasonable and intransigeant attitude both parties is in opinion USG serving to crystalize world opinion against their positions and will undoubtedly make more difficult of implementation such measures leading toward final settlement which depend upon cooperation and collaboration of international community.

ESM .—We continue support work of ESM as means of providing new base on which polit agreement between Israel and Arab states might eventually be achieved, and of reducing refugee problem to level at which it no longer constitutes major security threat to NE area and to internatl peace. Therefore we believe substantial resettlement repatriation must he carried forward on basis present territorial delimitations and without prejudice to final territorial settlement.

Missions can help to dissipate prevailing charges that ESM is device force Israeli-Arab econ cooperation or plot to benefit Israeli economy, by means critical analysis ESM terms of ref and by means elucidating self-interest states concerned in projects recommended by ESM. Implementation ESM program is dependent in final analysis on full cooperation and initiative of states concerned.

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US Policy.—While USG continues regard permanent solution of Pal question as a major objective its policy towards NE, Dept considers it essential that both sides be made increasingly cognizant their responsibilities for taking initiative in advancing towards settlement. Unilateral US dipl efforts urge more tractable attitude both sides, and to obtain compromises therefrom have thus far had no appreciable effect on position either party. Since states directly concerned must live with and adjust to any settlement which may be achieved, USG has emphasized repeatedly both in PCC and through dipl means hope that both parties wld utilize PCC as medium through which to conduct negots on practical basis rather than an arena for unproductive controversies, or that both sides wld undertake direct negots, particularly when it appears such negots will lead to constructive action towards final settlement. We will continue urge adoption these procedures by parties concerned. You shld endeavor counteract current propaganda that USG or PCC has ever endeavored prevent direct talks along foregoing lines.

Re nature final settlement, USG wld support agreement between parties concerned reached on basis free negot and mutual consent. If parties are unable agree we believe PCC cld with prior consent parties draft for their consideration compromise settlement of basic issues including territory and refugees. We do not consider it advisable at this time for US unilaterally to advance specific proposals for territorial settlement or for refugee distribution.

While USG will not advance settlement proposals on natl basis, it will urge consideration by parties of all reasonable proposals which may be advanced by UN or states directly concerned and will itself give consideration to support for such proposals on basis their individual merits. We will for example extend genl support in UNGA to PCC Jlem statute as basis for discussion, including support of such amendments as are designed to enhance its acceptability to both sides and to achieve best practical plan for internatl regime Jlem area. We will also be prepared consider in UNGA recommendations of ESM, as UN organ, for long range settlement and development program and for continuation relief.

Foregoing involves increasing emphasis upon UN as instrument through which to achieve final settlement and upon necessity for initiative by parties directly concerned in reaching solution Pal problem.

In UNGA consideration Pal problem, we hope debate will emphasize procedural rather than substantive matters and will be focused on establishment future machinery for treating polit econ refugee and relief questions in order facilitate coordinated UN action re Pal in future.

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Although foregoing has been policy USG for some time, its formal communication to NE Govts at this time might be subject misinterpretation. However, in any genl discussions re Pal question, foregoing shld prove useful as basis for your remarks.

Acheson
  1. At London, Pars, Ankara, Arab capitals, Tel Aviv, Jerusalem, and New York.