394.31/2–1751: Telegram

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

confidential

444. Department pass ECA/W.

1. On 16 February seventh private meeting held on multilateral negotiations with GATT OEEC countries, US and Canada present.

2. UK delegation maintained tariffs not main obstacle to integration and that tariffs are really the last step, not first in integration program. UK extolled progress of GATT thus far and stated that continuation in bilateral methods would bring better results, than considering “an uncharted course”. This general position was supported by the Italians and French.

3. US representatives emphasized importance of meeting Dutch problem with constructive solution. Pointed to need maintaining strength of GATT as link to insuring consistent commercial policy in Europe and North America, and insuring that European integration proposals are developed in manner consistent with maintaining link. Proposed that intersessional GATT working party be set up to carry on where this present group stops. Group would attempt to [Page 1351] reach agreement on principles and procedure and report results to the sixth session. At that time the working party would continue or disband, depending on success obtained. This proposal reported more fully separate telegram.1

4. Blankenstein stated that the US proposal lacked means providing political impetus needed for further progress. Proposed that the OEEC continue a study of this general problem. He further stated that switch to OEEC would not harm GATT, since whatever would be accomplished by OEEC would be brought into GATT schedules. He continued, however, that he would go along with US working party proposal if majority agreed. He further proposed that letter be sent to Marjolin along lines reported separate telegram.

5. Next meeting Tuesday, February 20 for consideration of US delegation and Benelux proposals.

Sent Department 444, repeated information Paris 41 for OSR, London 201.

Corse
  1. Infra.