294. Memorandum From the Assistant Secretary of State for European Affairs (Elbrick) to Secretary of State Dulles0
SUBJECT
- Current Status of the Iceland Situation
On September 1 the Icelandic Government extended its exclusive fishery limits from four to twelve miles but, as they had forewarned, the British refused to accept this unilateral action as conforming to international law, and their trawlers continued to fish in the disputed area, protected by Royal Navy vessels. Incidents between these trawlers, Royal Navy vessels and Icelandic Coast Guard vessels attempting to enforce the new regulations have occurred, but thus far nothing of a really violent nature.
We understand that the Icelandic Coast Guard is under instructions to avoid violence, and the Royal Navy is under instructions to be as careful [Page 655] as possible but to be firm in protecting trawlers. The Icelandic present tactics are, when British Naval vessels are present, to merely obtain records of which British trawlers violate their regulations with a view to prosecuting them for such action if they later enter Icelandic ports, which many of them will probably have to do at some time because of bad weather or mechanical breakdowns. When British Naval vessels have not been present, the Icelandic Coast Guard has attempted to arrest trawlers violating the new fishing limits. The trawlers of other Western European nations generally have been instructed to observe the new limit, although their Governments do not regard it as legal.
This large-scale violation of their new regulations has stirred strong public reaction in Iceland. Should violent incidents occur, or the differences between Great Britain and Iceland be intensified, this could lead to highly damaging developments such as the building up of pressure on the Government to break its relations with the United Kingdom and withdraw from NATO, and eventually might result in the loss of our base in Iceland. The Communist-front Labor Alliance Party, which is in the present coalition Government, will do its best to bring about this result.
Prior to September 1 efforts were made by the NATO governments directly concerned with fishing in Icelandic waters (Iceland, Great Britain, France, Western Germany, Belgium, the Netherlands, Denmark and Norway) to find a compromise solution.1 Domestic political forces prevented the Icelandic Government from accepting any of the suggested compromises.
The governments concerned, other than Iceland, are willing to make further efforts to find an agreed solution, but at the moment no promising proposal has been put forward. The fundamental difficulty is that Iceland demands recognition of its right unilaterally to extend its fishing limits. Denmark and Norway are also much concerned about areas under their jurisdiction (Faroe Islands, Greenland and northern Norway) where the inhabitants are as fully dependent on fishing as the Icelanders and where there is strong political pressure to obtain the same exclusive 12-mile limits.
We have not participated directly in any of the negotiations which preceded this crisis, but did use our influence as far as possible to urge all concerned to be moderate, use restraint, and seek a compromise. We have been kept well informed by the parties involved, but have not yet been able to suggest any compromise which would be generally acceptable.
- Source: Department of State, Central Files, 740B.022/9–358. Confidential. Drafted by Beyer and cleared by Mayer and Willoughby. The source text bears the handwritten notation: “Sec saw 9/4”.↩
- Documentation on U.S. efforts to assist in finding a solution through discussions within NATO at the end of August is ibid., 740B.022.↩