286. Report Prepared in the Executive Secretariat of the Department of State1
SUMMARY OF DEVELOPMENTS IN SUEZ SITUATION
SCUA Conference Opens Today
Embassy London reports2 that the British Foreign Office has received acceptances from all 17 nations invited to attend today’s meeting in London. Fifteen of the nations are immediately expected to signify their adherence to the Suez Canal Users’ Association (SCUA), but Japan, Pakistan and Ethiopia have withheld any commitment.
We have authorized Aldrich3 to participate as the US representative in the SCUA Council and Executive Group. We agree that Lloyd should announce the establishment of SCUA and its Council in his opening remarks, but beyond that we feel that today’s agenda should be restricted to assigning the formulation of administrative arrangements to a working committee of the Council. The Executive [Page 617] Group should not be selected until a later date but our present thinking is that the Executive Group (and the working committee of the Council) should consist of the five nations which composed the Menzies’ Committee, plus the UK and France. If Australia, Sweden, Ethiopia or Iran are unwilling to participate, we propose the following alternates, in the same order: New Zealand, Norway or Denmark, Portugal, Turkey. We have stressed that any documentation must make it clear that SCUA has the authority to compensate Egypt for its maintenance of the canal transit facilities.
Selection of SCUA Administrator
Embassy London has been informed4 that Svendsen is unwilling to serve as the Administrator of SCUA and can no longer be considered a candidate. The Embassy reports that the Germans and Dutch are supporting a Dutch candidate, Oyevaar,5 who apparently has had experience in international organizations rather than in shipping. We have suggested that SCUA may also wish to consider Leif Hoegh, a Norwegian,6 who has been proposed by US shipping and oil interests.
Change in French Attitude Towards US Policy
Embassy Paris reports7 that the responsible French press and the French government have both now realized the gravity of the situation being produced by continual public attacks on the Suez policy of the US and have moderated their attitude. In confirmation of this change, Embassy Paris has just reported that, in a major foreign policy address yesterday, Mollet stated “I can affirm that international administration of the canal is the only solution acceptable to the US, UK and France.” Mollet went on to associate himself fully with the Secretary’s declaration at the second London conference wherein he emphasized the responsibility of seeking a solution in conformity with the law as well as the responsibility of preventing the use of force. “A Munich peace”, said Mollet, “maintained without regard to justice, would be the negation of all efforts of international organization and of the United Nations themselves. Mollet said that indivisible British-French solidarity, and US agreement regarding the objectives to be obtained, gives confidence of success.
[Page 618]Lodge Disapproves of UK-French Resolution
We have told our UN Mission8 that we can support the UK-French draft resolution on Suez, but we have suggested several modifications designed to make the text of the resolution more acceptable. Lodge, however, thinks that the proposed UK-French draft resolution is non-conciliatory.9 He believes that if a resolution of this type is pushed to a veto in the Security Council (SC), the resultant bad atmosphere could make it impossible to get any other resolution passed which would provide for peaceful negotiations on a basis which has a reasonable chance of success. This will then heighten the risk that the British and French might use force.
Attendance at Security Council Meeting
The following Foreign Ministers will attend the Security Council meeting on Suez this week: Lloyd (UK), Pineau (France), Spaak (Belgium), Shepilov (USSR), and Popovic (Yugoslavia). Egyptian Foreign Minister Fawzi will also be present, accompanied by Ali Sabri and Dr. Badawi, Director of the present canal authority. Embassy Cairo says that the inclusion of Sabri and Badawi indicates that Nasser wishes the delegation to be prepared to set the basis for negotiations if the opportunity arises.
(Summary closed 12:00 p.m., October 1, 1956)
- Source: Eisenhower Library, Whitman File, International File. Top Secret; Eyes Only for Designated Recipient.↩
- In telegram 1757 from London, September 29, not printed. (Department of State, Central Files, 974.7301/9–2956)↩
- In telegram 2334 to London, September 29, not printed. (Ibid., 974.7301/9–2756)↩
- Reported in telegram 1764 from London, September 30, not printed. (Ibid., 974.7301/9–3056)↩
- Jan Johan Oyevaar, former Netherlands Director-General of Shipping.↩
- A Norwegian shipowner, member of the Executive Committee of the Norwegian Shipowners’ Association, and Director of the Scandinavian Shipowners’ Associations.↩
- In telegram 1516 from Paris, September 29, not printed. (Department of State, Central Files, 974.7301/9–2956)↩
- In telegram 123 to USUN, drafted by Wainhouse and De Palma; approved in substance by Dulles, Hoover, Phleger, and Rountree; and approved by Wilcox, September 29, not printed. (Ibid.)↩
- Reported in telegram 273 from USUN, September 30, not printed. (Ibid., 974.7301/9–3056)↩