394.31/2–2151: Telegram
The Acting Chairman of the United States Delegation to the Torquay Conference (Corse) to the Secretary of State
453. 1. At eighth session of multilateral negotiations group US proposal summarized Paragraph 2 ourtel 445, February 17 repeated Paris 42 and London 202 was discussed. Qualified support was expressed by some delegates including Benelux and UK although possibility was raised of need for special session of CP’s to create proposed WP.
2. Letter proposed by Blankenstein along lines Paragraph 4 reftel met considerable opposition although some agreement existed that communication some sort might appropriately be sent. Some delegates including UK criticized document on formal grounds pointing to its anomalous character.
3. In course discussions Norwegians and Danes later supported by UK, Italians and French proposed terminating exercise by summarizing problems raised and referring back to ministers. Benelux objected to shelving problem this manner. US objected on grounds move would be construed as failure for GATT before organization had opportunity deal comprehensively with problem.
4. Italian position now developing as major obstacle to compromise solution. Italians anxious obtain recognition of concept that most disparities in European tariffs are justified under present social and economic conditions and that unless fundamental progress made on European integration no real progress in reducing existing disparities possible or desirable. Unwilling to compromise on any forms action which avoids this issue.
[Page 1353]5. At close meeting chairman appointed drafting group consisting Benelux, US and Italy to attempt revision US and Benelux proposals incorporating suggestions arising out of meeting.
6. To meet formal problem raised by UK mentioned Paragraph 2 above US proposing in drafting group that any communication which participating countries believe should be sent to OEEC might be in form of interim report of WP earlier proposed by US. Report to be transmitted for information by Wilgress to Marjolin.
7. Prospective settlement still uncertain. Possibility still exists of breakdown at any meeting. Next meeting Friday afternoon February 23.
Sent Department 453, repeated information London 203, Paris 43, Rome 10.