460.509/7–2451: Telegram
The Minister in Switzerland (Patterson) to the Secretary of State
127. At mtg July 23 Linder1 gave statement of US position in accordance Deptel 498 to Paris rptd Bern 135 July 20.2 Informed Swiss of US appreciation steps taken by them to date. Expressed disappointment however that Swiss had failed go full way toward embargo. Stated US shld be able license all IL I items to Switzerland which they embargoed to East. With respect to those items which Swiss maintain [Page 1160] that they must ship under their normal trade concept, Linder pointed out that they wld have to present strong justification before US wld be willing to issue licenses. He also stated that Swiss wld receive same treatment with respect to licensing of US I A item as accorded other Western European countries.
In reply to Swiss question as to action US might take relative to companies shipping IL I commodities to East under export licenses issued by Swiss Govt, Linder said we wld not place such firms on watch list if we granted exception to Swiss for such shipment.
Swiss reaction was mixed, several members their del expressed disappointment that US not fully satisfied results their efforts or that US had failed recognize their special position. They had expected immediate release all licenses regardless of fact they did not embargo all items. Upon question as to what they must do to claim exception, Linder explained they must base it upon absolute necessity of obtaining critical commodities for their economy or defense effort and if this were established we stated US wld give sympathetic treatment their requests.
In recapitulation fol is agreement reached:
- 1.
- Swiss agree full embargo AEC items.
- 2.
- Swiss agree embargo all but 18 items on IL I.
- 3.
- Swiss agree maintain shipments of IL II items at 1949–50 level or approximately 65 million Swiss francs.
- 4.
- Swiss agree give Western European countries unwritten priority in execution of orders.
- 5.
- Swiss to administer quotas on company and country basis.
Subsequent mtg Linder saw Rubattel3 with Hotz and recapitulated to former entire agreed position stating that he was reporting fully to Dept. Rubattel expressed appreciation and stated he understood fully that we may in due course raise additional items such as those on 1A list.
Mtg concluded with dinner in excellent atmosphere attended by Patterson and entire dels each side.
View of Depts reluctance have negots take form of deal we have refrained from proposing in plenary session written communication from US stating our understanding of their position. Were we to do this they wld inevitably reply what they understand to be our commitment re licensing policy. If, nevertheless, Dept wishes written understanding suggest Leg be instructed to present aide mémoire requesting confirmatory reply.
Sent Dept 127, rptd info Paris 29, London 25.
- Linder arrived in Bern on July 23 for the second phase of meetings with Swiss officials outlined in telegram 1772 to Bern, June 22, p. 1128. The following clay Linder traveled to Brussels, then on to The Hague (July 25–26), Copenhagen (July 26–27), and finally back to Paris on July 27. For documentation concerning his visit to Copenhagen, see telegram 84 from Copenhagen, July 27, infra; reports on his visits to Brussels and The Hague, not printed, were sent to the Department of State in telegram 121 from Brussels, July 24 (460.509/7–2451), and despatch 169 from The Hague, July 30 (460.509/7–3051), respectively.↩
- Ante, p. 1156.↩
- Rodolphe Rubattel, Member of the Federal Council and Minister of Public Economy.↩