131. Memorandum of a Conversation, Department of State, Washington, November 22, 19551

SUBJECT

  • European integration; Common Market and EURATOM

PARTICIPANTS

  • Sir Roger Makins, Ambassador, British Embassy
  • J.E. Coulson, Minister, British Embassy
  • Livingston T. Merchant, Assistant Secretary
  • Outerbridge Horsey, Director, BNA

The Ambassador said that he had been asked to discuss these questions informally with us.2 The British Government felt that it [Page 351] would conflict with the interests of the Commonwealth association and with their policy on freeing trade and payments for them to be associated with the common market of the six Messina countries. The Government had, therefore, made the decision not to join. They would communicate this decision to the Messina governments in due course at a time chosen by the British Government. Meanwhile, we were asked to hold this information to ourselves. The subject was, however, also being discussed with the Bonn Government.

The enterprise seemed, he said, to have an air of unreality since the real French position seemed very questionable. There was no question of the convictions of people like Spaak and Mayer, but the Ambassador doubted very much whether, when the chips were down, the French would be prepared to make the internal adjustments which would be necessary for progress toward a common market.

More importantly, the British were concerned with the protectionist and exclusive consequences of the six countries trying to move toward a common market. The British recognized the political advantages of integration but the inevitable economic effects would seem to them to go contrary to our broader trade objectives as embodied, for example in GATT. They wondered if we had thought through this aspect of the question.

Mr. Merchant said we felt very strongly that progress toward further integration was more important now than ever and that we hoped the Messina group would form a basis for such progress. We also thought that the peaceful uses of atomic energy might be the most practical immediate means of moving along this line. We would discuss the question further with interested officers in the Department, particularly in the economic area. The Ambassador asked if he could talk to Mr. Merchant again when this had been done.

On EURATOM, again, the British wondered whether the Messina group or OEEC was the preferable channel through which to develop the idea. The Ambassador referred to Coulson’s talk with Gerard Smith on November 17 and said it was important for the British and ourselves to keep in step, particularly as to what would be our response if, as seemed likely, a group of continental countries asked for assistance in the construction of a diffusion plant.

  1. Source: Department of State, Central Files, 840.00/11–2255. Confidential. Drafted by Horsey.
  2. On November 17, John E. Coulson presented Philip Farley and Gerard Smith with an aide-mémoire from the United Kingdom, which set forth British objections to the European plans for atomic energy integration. (Memorandum of conversation by Farley; ibid., RA Files: Lot 58 D 546, Euratom 1956)