Foreign Relations of the United States, 1946, General; the United Nations, Volume I

560.AL/7–2346: Circular telegram

The Secretary of State to Certain Diplomatic Officers ⁷⁷

secret

Washington, July 23, 1946—11 a. m.

Following is summary major developments to date:

1. US invited 15 countries preliminary trade meeting in spring 1946 (see appropriate instruction or Depcirtel cited in Depcirtel Dec 13⁷⁸) for purpose negotiating trade-barrier reductions and preparing for world conference trade employment.

2. US transmitted same 15 countries memo dated Feb 6 entitled “Preparations for Preliminary International Meeting on Trade and Employment” (see Depcirtel Feb 12, 6 p.m.) which set forth US ideas re purpose of meeting, preparations for meeting and relation of meeting to general world conference.

3. At US initiative, UN ECOSOC passed resolution Feb 18 which a) called world conference in latter part of 1946, b) named 19 governments to serve as Preparatory Committee to elaborate for Conference an “annotated draft agenda, including a draft convention” and c) suggested that this agenda include 5 main topics taken from US Proposals (i.e. high employment, trade barriers, cartels, commodity policy and machinery of ITO). Govts named by ECOSOC were US, 15 countries referred to in 1, above, and Chile, Lebanon and Norway.

4. Secretary-General of UN announced May 28 that Prep Committee would hold first meeting London Oct 15 and that world conference would not be held until 1947. It is hoped UN will issue invitations this meeting within next few days. (Substantive discussion this meeting probably largely exploratory, but meeting might also deal with organizational and procedural problems involved in subsequent trade-barrier negotiations and in developing agreed draft of Charter of ITO contemplated by US Proposals.)

5. Status US public notice intention negotiate under Trade Agreements Act is that notice and accompanying list of products to be considered for granting concessions will not be issued prior Oct meeting. This means that, in view time required for public hearings, actual negotiating meeting at which trade barriers would be reduced, referred to in original US invitation and in memo of Feb 6 (see 2, above), cannot take place until spring 1947. It is now hoped Mar or Apr 1947 can be set for this meeting.

Reports from field indicate that postponement negotiating meeting has in case of some countries already resulted in letdown preparations and is likely to do so in case of others. This extremely dangerous since review preparatory work accomplished to date, particularly in complex tariff field, makes clear need for all of time remaining between now and spring 1947 when actual negotiations begin. Dept therefore proposes following plan designed intensify preparations and urges you make every effort stimulate preparations by Govt to which you are accredited. Plans follows:

1. US views re purpose of negotiating (spring 1947) meeting, preparations needed for meeting and procedures to be followed at meeting remain as stated in memo Feb 6.

2. As indicated in memo Feb. 6, US will transmit other nuclear countries US draft text Charter of ITO covering all aspects Proposals. Transmittal will probably take place early Aug and may be followed by publication of Charter.

3. During Aug and Sep, US plans bilateral discussions at expert level of Proposals, draft Charter and Feb 6 memo with each other nuclear country. You will be informed precise arrangements.⁷⁹

4. Foregoing will advance preparations general provisions Charter and general aspects negotiations. Most difficult and complex aspect of spring meeting, however, will be tariff negotiations which require far more detailed preparations than other aspects. Dept convinced tariff negotiations on multilateral basis contemplated in Feb 6 memo likely break down unless each country knows well in advance of meeting a) what tariff concessions it will request from each other country and b) what tariff concessions each other country will request of it. This would be achieved by transmitting preliminary lists of a) request items and b) request rates referred to page four Feb 6 memo. Such transmittal cannot be left to last few weeks or even months before meeting but must we feel be completed before end this year if meeting is to go forward in spring.

5. Dept believes preliminary lists US request rates can be transmitted all nuclear countries by end this year. Please urge similar time schedule on Govt to which you are accredited, pointing out need for transmittal request lists not only to US but also to each other nuclear country from which it desires tariff concessions.

6. Please report earliest possible date what you can learn as to progress thus far made by Govt to which you are accredited in preparing for tariff negotiations, as to its reactions to Feb 6 memo and as to its willingness to proceed as suggested in 5, above.

7. UK Govt has agreed stimulate action on foregoing plan through UK missions in nuclear countries.

Byrnes

77. Sent to the 15 United States missions accredited to the “nuclear” governments that had been invited by the United States in December, 1945 to send representatives to a trade meeting preparatory to the proposed general conference on trade and employment.
78. Not printed.
79. Detailed arrangements were worked out soon thereafter. These bilateral discussions began with a round of visits to several European capitals about mid-August and subsequently extended around the world. For a summary of these visits and results stemming therefrom, see p. 1345.