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United States Department of State / Foreign relations of the United States, 1947. General; The United Nations

United States interest in international economic collaboration for the expansion of world trade and employment: negotiations at Geneva leading to the General Agreement on Tariffs and Trade (GATT) and to the convening of the Havana conference,   pp. 909-1025 PDF (44.4 MB)

Page 958

world as a first step on that same road to economic isolationism down
which we and other countries traveled after the first World War with
such disastrous consequences." For the complete text of this message,
see Public Papers of thie Presidents: Harry S. Truman: 1947 (Wash-
ington, Government Printing Office, 1963), pages 309-310.'
5O0.AL/6-2747: Telegram
   The Consul at Geneva (Troutman) to the Secretary of State
CONFIDENTIAL                        GENEVA, June 27, 1947-9 p. m.
  578. From Wilcox. Re Finance Committee report urtel 675, June 26.1
  (1) Substantive content in general agreement not yet scheduled dis-
cussion full committee and will depend results charter discussions.
Therefore, US amendments not yet prepared.
  (2) Small working party (US, UK, Canada, France, Belgium,
Netherlands) inclined favor US proposal reduce scope general agree-
ment confining it to matters clearly related tariff concessions. This may
be difficult carry through in view interests Australia and others in
employment and development chapters. US delegation will in no event
commit US to provisions going beyond executive authority.
  (3) Absolutely essential US interests that adequate mechanism exist
police balance of payments exception (Articles 10, 12) economic devel-
opment exception (Article 17) and possibly other provisions. Consist-
ent with this consideration, US delegation will explore methods of
modifying provisions which Millikin thinks imply establishment of
provisional ITO with broad functions in advance congressional action.
One method might be replace reference committee in substantive, arti-
cles by phrase "the contracting parties" and replace Article 22
article providing for periodic meetings of contracting parties to
determine application agreement.
  (4) Suggest you point out Millikin that criticism by Finance Com-
mittee of Interim Trade Committee will embarrass US delegation and
strengthen hand of several countries who would like general provisions
substantially eliminated from general agreement and not made effective
until after charter enters into force. If this were done US would be
placed in impossible bargaining position at World Conference since
tariff concessions would be already agreed to and we would have failed
1In telegram 675, not printed, the Department expressed concern that the
pending Senate Finance Committee report might be extremely critical of the
Interim Trade Committee. (560.AL/6-2647) The first session of the Preparatory
Committee, which met in London in 1946, prepared a draft general agreement
tariffs and trade. This provided for the creation of an Interim trade committee
to implement the agreement, and to deal with disputes regarding its Interpreta-
tion. The committee was to be dissolved when the ITO could assume its functions.

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