761.62/757: Telegram
The Ambassador in the Soviet Union (Steinhardt) to the Secretary of State
[Received 2:42 p.m.]
1403. Personal for the President, the Secretary and the Under Secretary. My 1379, October 21, 4 p.m. The source indicated in my telegram under reference states that Molotov at a subsequent meeting with the German Ambassador informed the latter that the Soviet Government was prepared to discuss its desires as well as outstanding problems with the German Government and that the Soviet Government would within a few days submit a list of such desires and problems which might form the basis of discussion between the two countries. My informant said that the Soviet reception of the German approach had been more favorable than had been expected and that the Soviet Government had appeared satisfied with the German explanation of the reasons for the entry of German troops into Rumania. He added that the German Embassy here had no intimation of the specific matters the Soviet Government desired to discuss but offered as his personal opinion that they would in all probability relate to the Black Sea, Turkey and Iran. My informant stated that Schnurre would arrive in Moscow on October 30th for further economic conversation with the Foreign Office.
In respect of Soviet-Japanese relations my informant denied that Germany had recently exerted pressure on the Soviet Government for the conclusion of a Soviet-Japanese pact, observing however, that ever since the conclusion of the Soviet-German nonaggression pact in August 1939 the German Government had [not] concealed from the Soviet Government its desire for an improvement in relations between the Soviet Union and Japan. He added that although the negotiations between Japan and the Soviet Union had progressed far prior to the departure of Ambassador Togo, nevertheless there were now certain indications that the Soviet Government had not yet definitely decided exactly what type of agreement it desired with Japan. He said that information recently received here by the German Embassy indicated that the Soviet Union was at the moment less disposed to conclude a simple nonaggression pact with Japan as a preliminary step toward [Page 572] the settlement of other and more important questions but was now more inclined to enlarge the scope of the negotiations and to settle all questions relating to Manchukuo, Outer Mongolia, Tsinkiang, etc. prior to the conclusion of a nonaggression pact. He expressed the opinion that the Soviet Government recognized that any agreement with Japan, however limited, would have an adverse effect on its relations with the United States and Great Britain and was therefore not disposed to incur this consequence except for the sake of an agreement from which the Soviet Union would obtain substantial practical benefits. He emphasized that a Soviet-Japanese pact could not be considered as certain until definitely concluded.