694.001/6–651: Telegram

The Ambassador in the United Kingdom (Gifford) to the Secretary of State

secret
priority

6409. From Dulles to the Secretary. No. 4. Fol morning mtg with Younger we met this afternoon with Morrison and tentatively came to fol conclusions subj to Morrison discussion with Cabinet Thursday afternoon and my expressed lack of authority to make firm commitments. [Page 1108]

(1)
As regards China, no Chinese Govt wld be invited to sign multilateral treaty but states at war with Japan, including China, not original signatories wld be entitled to accede to treaty after it otherwise comes in force. Also Japan may negotiate and conclude bilateral peace treaty with any state at war, including China, upon terms similar to multilateral treaty.
(2)
Re Formosa, Brit accept our formula for renunciation by Japan otherwise leaving situation in present status and avoiding any repetition of Cairo.
(3)
Re Jap rearmament, it seems agreed to drop demand for any treaty limitations placing reliance upon the practical restraining effect of presence of US forces. However, at or before signing UK will expect some formal advice from the US outlining joint security arrangement and our intentions thereunder.
(4)
Re gold, I had extended and somewhat spirited debate with Chancellor Exchequer without result except that as I told Morrison afterwards we have the gold and he doesn’t. Believe my mtg with Exchequer was primarily designed to allow him to ascertain firsthand that there was nothing doing on this subj.
(5)
Re restriction Jap shipping, this question raised again but without vigorous effort to overcome our adamant position on this subj. Understood that Allison when in Jap wld endeavor to obtain data on shipping which wld practically be somewhat reassuring.
(6)
Congo Basin matter still open.

Emphasize foregoing subj to Cabinet discussion and also to detailed drafting which might develop differences which wld reopen any of these matters.

Subj to foregoing joint technical examination of text has been completed with substantial agreement. [Dulles.]

Gifford