Foreign Relations of the United States, 1947, The Far East, Volume VI

394.635/6–2847: Telegram

The Political Adviser in Japan (Atcheson) to the Secretary of State

confidential
priority

Tokyo, June 28, 1947 [—7 p.m.]

[173.] C 53689. 1. SCAP Headquarters is issuing following to press:

“A spokesman for General MacArthur’s Headquarters said:

There has been brought to the attention of this Headquarters an Associated Press dispatch from London, dated 28 June, quoting a spokesman of the British Foreign Office as saying, ‘General MacArthur presumably did not consult the Far Eastern Commission or the British Government before authorizing the Japanese to operate a phosphate project on Angaur Island in the Palaus. Press reports of the decision represented the first intimation the British Government has received of the question.’

The facts of this matter are as follows:

The operation of a phosphate rock project on Angaur, formerly a Japanese mandated island, has been in progress for over a year in order to supply Japan with required fertilizer to increase indigenous food production and reduce the amount of United States appropriated funds required to meet the food deficit in Japan. Such use of stockpiles of phosphate rock on Angaur Island was initially authorized by the Fertilizer Committee of the Combined Food Board, an international body on which the British Government has been represented. Subsequently, a contract was made with J. H. Pomeroy and Company, an American concern, for the mining of additional phosphate rock. When funds for this purpose expired, Washington authorized General MacArthur as Commander in Chief of the Far East Command to take over the project and operate it for occupation purposes with Japanese labor. The new arrangement for the conduct of the mining ensures the continuance of this essential enterprise. All expenses involved are being met by the Japanese. The mining equipment, which is American, is to be returned to the United States upon completion of the project.

Angaur is a part of the Caroline Islands, formerly mandated to Japan but now under the trusteeship of the United States. As Anguar was captured by force of United States arms and is under United States control, there is no question as to the propriety of the United States utilizing the indigenous resources of the island to meet the vital needs of the Allied occupation of Japan.

The Headquarters spokesman also stated that the reference made by the British Foreign Office to the Far Eastern Commission in connection with the Angaur project is not understood, as the Far Eastern Commission deals only with Japan proper.” End press release.

2. News story in question also stated, “Earlier the spokesman was reported to have said SCAP did not consult the Far Eastern Commission before allocating to the United States 100 of 400 permits for foreign businessmen to enter Japan. This was incorrect, the spokesman having misunderstood a question.”

3. British Foreign Office action appears to reflect an attitude (probably arising from disappointment over whaling decision) of seeking any possible chink in occupation administration to exploit as public criticism. This is corollary to Australian attitude manifest inter alia by Evatt’s June 23 statement which contained dishonesties in implication. It is felt in highest circles this Headquarters that this evident British Government tendency toward sharp open criticism of the occupation is especially deplorable at juncture when important issues depend upon maintenance of United States and British Commonwealth solidarity. It gives propaganda ammunition to those who for their own ulterior ends oppose our vital policies in world affairs and is exceedingly harmful to Allied interests in this part of the world.

4. Request this telegram be repeated to London⁶ and that Department consider instructing Embassy make appropriate representations to British Government.

[Atcheson]

6. This telegram was not repeated to London. In telegram 177, June 30, from Tokyo, Mr. Atcheson reported a conversation that day with the British Ambassador who had received an inquiry from London dated June 28 for information on the matter (862K.6377/6–3047).