Foreign Relations of the United States, 1951, European Security and the German Question, Volume III, Part 2

398.10–GDC/7–2651: Telegram

The United States High Commissioner for Germany (McCloy) to the Secretary of State ¹

secret   priority

Bonn, July 26, 1951—midnight.

73. Verbatim text. AGSec from Slater. Fol is summary report council mtg held Bonn-Petersberg 26 July with Kirkpatrick (UK) chairman, Bérard (Fr) and McCloy (US).

[Here follow discussions by the High Commissioners on (1) the disposition of claims and suits against the Joint Export–Import. Agency, (2) the dissolution and liquidation of insurance companies; connected with the German Labor Front, (3) Implementation of AHC Law No. 35 (Reorganization of I. G. Farben-Industrie) and (4) Chancellor Adenauer’s request for a transfer of Konstantin von Neurath from Spandau prison to a hospital.]

5. Berlin and East–West trade situation.

(Ref Berlin sent Bonn 46 rptd Dept 115, Frankfort 113 [133], Paris. 44, London 24, Moscow 27 or 25 July; Berlin sent Frankfort 135 rptd Dept 117, Bonn 48, London 26, Paris 46, Moscow 29 of 25 July; Berlin sent Frankfort 132 rptd Dept 114, Bonn 45, Paris 43, London 23, Moscow 26; Dept sent Frankfort 584 rptd Bonn 39, Berlin 37, Paris 484, London 525²).

(a) In view unsatisfactory nature draft of letter to be exchanged between Kaumann and Orlopp (see reftel), council proceeded to agree statement of HICOM’s position for release to press which, after brief review of history of matter concludes “present restrictions imposed by Soviet Control Commission have serious implications for West Berlin economy and this is situation in which HICOMs cannot acquiesce. They must therefore reserve right to take such steps as may be necessary to ensure free movement of West Berlin’s legit trade is restored”. Fed Chancellery saw statement this afternoon and it was released late today.³

(b) On question of movement backlog of commodities in Berlin, Kirkpatrick said UK Govt would like to have HICOM recommendation and he suggested that HICOM propose small airlift of 150 tons per day toward which he thought UK could make contribution of mil aircraft to lift 50 tons per day. A week or two of such lift would, he said, make considerable headway on 10,000 ton backlog and would be real fillip to Berlin morale. I heartily agreed that immediate step along these lines would be helpful to Berlin morale, but urged that, instead of employing military planes which might have an undue significance at this juncture, movement of Berlin backlog be handled by stepping up commercial air freight service. I then invited UK and French reps to join immediately discussions taking place in Frankfort today on organization of increased commercial air service to Berlin. I also emphasized importance of making this as much as possible a German project. Kirkpatrick and Bérard agreed that it would be preferable to proceed along these lines, but said UK and French would have great difficulty in supplying commercial aircraft. Council then agreed to recommend to govts that as soon as possible steps should be taken to increase commercial air freight service for Berlin; that govts should initiate arrangements for chartering required aircraft with each govt to pay for aircraft from its own country, recovering normal freight charges on shipments from Berlin; that entire project would be developed and carried out jointly with Gers.

(c) I raised question of timing of countermeasures. Kirkpatrick said that he was obliged to consult UK Govt at each stage of developments, but that he was prepared to recommend to his govt that if there had been no satisfactory developments of Soviet response to HICOM communiqué by next council meeting (2 August), council should then take steps to put countermeasures into effect. Berard agreed to make same recommendations. Council agreed in this connection that order of importance of Allied steps was (I) refusal to sign interzonal trade agmt (already taken); (II) stepping up commercial air movement of Berlin backlog (now in process); and (III) additional countermeasures. It was felt that before step (III) was taken time should be given to see what effect HICOM press statement might have.

6. Next meeting 2 August at Bonn–Petersberg.

[ Slater ]
McCloy

1. Repeated to Berlin, Frankfurt, London, Paris, and Moscow.

2. None printed; telegram 115 from Berlin transmitted the following draft text of identical letters to be exchanged by East and West German representatives at the signing of the interzonal trade agreement:

   “With reference to the numerous negotiations with you, may I state that agreement exists that the traffic of goods shld be permitted without restriction across the demarcation lines between the different parts of the currency territories within the framework of prevailing provisions.

   However, trade not corresponding to the provisions of the agreement will be prohibited. It is particularly intended to prevent goods being shipped in transit traffic without the necessary permits. In the case of Warenbegleitscheine covering consignments from western sectors of Berlin to West Germany the legality of the delivery may be examined jointly where there is reason to assume that the goods to be supplied or the materials used in their manufacture were obtained from the currency territories of the DM-east without approval.” (462A.62B31/7–2551). Telegram 117 from Berlin transmitted three textual changes in the letters which were suggested by the East Germans (462A.62B31/7–2551); telegram 114 from Berlin transmitted a list of Warenbegleitscheine submitted and approved on July 25 (962.50/7–2551); while telegram 584 to Frankfurt indicated that the Department of State was discussing a possible increase in commercial flights to Berlin and had again made representations to the British and French Embassies concerning the need for countermeasures. (962A.50/7–2051)

3. A copy of the statement is in the Bonn Mission files, lot 311, D(51) 1055.