313. Telegram From the Department of State to the Embassy in Indonesia1

1260. Australian Ambassador Sir Percy Spender under instructions from Foreign Minister Casey called on Under Secretary Herter this afternoon to discuss the situation in Indonesia.

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After reviewing situation which he considered increasingly alarming and to no one’s advantage except Communists he put forward two suggestions from Casey: (1) the possibility that a personal appeal from President Eisenhower to President Sukarno might be helpful and (2) the possibility of joint diplomatic representations to Indonesian government. As to first point he said that because of its consistent position of neutrality on West New Guinea issue United States was clearly in most favorable position to make representations which might have a chance of success.

Under Secretary indicated we would take both suggestions under consideration. Although we are not optimistic as to success of the first it might be worth trying. As to second he believed joint representations on part of those who had voted with Indonesians on U.N. resolution might be productive but he doubted wisdom of joint approach from others. He noted that India already had cautioned Indonesians against going too far with present measures.

In assessing situation Sir Percy observed that it seemed obvious that Indonesians were attempting to force Dutch into negotiations. It seemed possible that Indonesian government was privy to original takeover of Dutch concerns by employees and unions and that whole operation had been carefully planned including second step of government control. Uncertainty existed, however, as to whether government or even Sukarno was still in control of situation sufficiently to prevent excesses sponsored by Communists.

Department requests Embassy views as to possible effectiveness of either or both approaches outlined above.

Dulles
  1. Source: Department of State, Central Files, 656.56D13/12–357. Secret; Priority. Drafted and approved by Howard P. Jones; cleared with SPA. Also sent to Canberra, The Hague, and London.