173. Telegram From the Embassy in Romania to the Department of State1

881.

SUBJECT

  • Romanians Say No More MFN.
1.
(Secret—Entire text)
2.
Summary: FonMin Totu February 6 gave DepSec Whitehead a message for President Reagan from Ceausescu stating that: Romania favors development of economic and political relations with the U.S.; Romania no longer wants MFN with Jackson-Vanik or any other conditions; and family reunification cases will continue to be resolved. A written message from Ceausescu will follow this “advance notification.” Details of MFN termination, including timing, will be treated then. Both sides agreed there would be no publicity until that time. End summary.
3.
FonMin Totu convened DepSec Whitehead on short notice the morning of February 6. He read the following message from President Ceausescu to President Reagan:

Quote:

(1)
Romania pronounces itself in favor of the development of economic and political relations with the United States without any conditions whatever, including the Jackson-Vanik amendment to the Trade Agreement of 1975. In this respect, Romania favors conclusion of a long-term commercial agreement and of agreements on industrial cooperation on GATT principles and without other conditions.
(2)
Romania is no longer interested in maintaining MFN with the Jackson-Vanik amendment. So, to be clear, Romania no longer accepts [Page 478] Jackson-Vanik. Romania would accept the granting of MFN without the Jackson-Vanik amendment or any other conditions whatsoever.
(3)
The American side should take measures to stop all actions concerning MFN, including Jackson-Vanik or other conditions. MFN with Jackson-Vanik is no longer of interest for Romania, so this matter should not be debated anywhere.
(4)
This conclusion will be communicated in written form in the reply of President Ceausescu to Mr. Reagan.
(5)
Family reunification cases will be resolved separately, without being related to economic relations between our two countries.

End quote.

4.
In the ensuing discussion, Totu stated that this communication should be considered as an “advance notification” to be followed up by a written communication of President Ceausescu to President Reagan. Both sides agreed that MFN terms should be carried out in accordance with the terms of the trade agreements between the two countries; and the Romanian side said they would study this question as they developed their written communication. After the U.S. side asked what date termination would be effective, it was agreed that this would be determined in the context of the written communication from the Romanians. It was also agreed that the two sides would discuss the question of a public announcement at that time, and that there would be no publicity in the meantime.
5.
Deputy Secretary Whitehead noted that this was a major decision for the Romanians. It was a decision he “understood” as it would avoid some problems for Romania. However, he was in a way disappointed as this would make it more difficult to increase our trade, despite the fact that tariffs on many Romanian exports to the U.S. would not be affected. The Deputy Secretary stated that this action would not change our desire to continue our trade and other aspects of our relations, and he said we would work to that end. This sentiment was echoed by the Romanian side.
6.
This message has been cleared only in substance with the Deputy Secretary’s party.
7.
Please repeat to Deputy Secretary’s party in Prague.
Kirk
  1. Source: Reagan Library, Rudolf Perina Files, Romania—MFN 1987 (1). Secret; Immediate; Nodis.