394.31/2–651: Telegram

The Temporary Acting Chairman of the United States Delegation to the Torquay Conference (Phelps) to the Secretary of State

confidential
priority

405. Department pass ECA/W. USTAC. Result meeting reported previous telegram, our judgment following status:

1. European countries making effort limited MN’s pursuant US suggestion. No European participants appear expect success. Time is short. Enthusiasm establishment preferential system Paris on part French and Italian delegations apparently now meets considerable sympathy Benelux and Scandinavian countries. UK apparently determined delay and exploit difficulties and complications. Presentation concrete lists may result greater optimism, but chairman (Denmark) informed Schwenger after meeting probable WP would meet 1 or 2 times and decide no list could be agreed. Our judgment limited success possible provided US shows interest high level particularly vis-à-vis UK (going above BOT), France, and Italy, and succeeds extending Torquay time.

2. Success limited MN should involve commitment US make compensatory concessions. Could be (a) concessions authorized Torquay but not given because other countries failed make balanced concessions, (b) concessions authorized but not yet offered Torquay, (c) items not yet authorized but publicly listed for Torquay, or (d) items based new list and hearings. Assume last impossible, delegation making preliminary canvass possibilities (a) and (b).

3. Please keep us fully informed Washington thinking, day to day if useful, view rapid developments and importance subject matter.

Sent Department 405, repeated information Paris 36 for OSR, London 189, Rome 7.

Phelps