Office of the Historian

740.00119 PW/5–746

Memorandum by Mr. Maurice B. Morgan, of the Division of Japanese and Korean Economic Affairs, to Mr. Robert W. Barnett, of the Same Division

[Washington,] May 7, 1946.

Subject: Statement on Compilation of U.S. Claim

Herewith, a statement in detail of the data, procedures and ideas that were involved in deriving the data necessary to present a U.S. claim for reparation from Japan under the criteria we have set up.22

For purposes of comparability the German-Austria Division’s form of analysis and presentation were followed as far as possible. Modifications to suit the case of Japanese reparations and differences in criteria were made where necessary.

As our claim, its format and procedure for computation under each category, will probably be referred to as a model by interested countries, categories under which the U.S. can present no claim are presented with an explicit statement to that effect. The effect should be to indirectly call attention to those nations that do have such claims (e.g. “Costs of Occupation” while of no interest to us should have sizeable Philippine and Chinese claims) that the category is still carried for their benefit if not for our own.

Major questions are:

a.
What date shall we start from, December 7, 1941 when the war actually began with Japan, or an earlier date on the basis that we had to start re-arming due to Japan’s belligerent actions?
b.
Should we express money values in real prices i.e., after deflation for price rises, in the case of budgetary expenditures and mineral values, or give them in current prices?

[Annex]

Summation of U.S. Claim for Reparations From Japan

(Under criteria tentatively recommended by JK)

I. War Damage: (excluding military installations and equipment)

a. U.S. citizens loss of property $300,000,000
b. Loss of cargo 110,000,000
c. Loss of non-military vessels 121,000,000
d. Loss of household and personal effects 2,000,000
e. Loss of gold, silver, currency, deposits, etc. 15,000,000
f. Loss of buildings not otherwise included 1,800,000
Total $549,800,000

II. Budgetary Expenditures Allocable to War Against Japan:

Current dollars $114,200,000,000
1941 dollars 86,700,000,000

III. Costs of Japanese Occupation: None

IV. Man-years of Armed Forces: 16,753,000

V. Human Casualties:

a. Killed and missing 110,000
b. Wounded 214,000

VI. Depletion of Natural Resources:

a. Major Minerals

Metallic Quantity
(in millions)		 Value
(millions of $)		 Percent of Original Reserves
Aluminum 1.0 short tons 280.0
Copper 1.4 short tons 350.0
Ferro Alloys 2.6 short tons 351.0
Iron Ore 138.0 long tons 940.0
Pig Iron 82.0 short tons 1,775.0
Non-Metallic
Cement 185.0 barrels 288.0
Coal (Bituminous and Anthracite) 2,277.0 short tons 2,500.0
2,600.0
Petroleum 2,168.0 barrels
Other metallic and non-metallic minerals
Total value, January 1942–July 1945 $11,200.0

VII. Other Private and Governmental Claims:

  1. “Preliminary estimate of United States claim”, with details, not printed, but see annex, below.↩