856D.6363/787: Telegram
The Consul General at Batavia (Foote) to the Secretary of State
[Received November 28—9:10 a.m.]
The only developments in the Netherlands-Japanese negotiations since my telegram of November 13, 3 p.m., are as follows:
[Page 225]1. Ishizawa, who is replacing Saito as Consul General at Batavia, is expected to arrive by the end of this month and to bring Japan’s demands for commodities needed by Germany. The chief delegate of the Netherlands told me this morning that requests for any commodity believed to be for Germany will be promptly and definitely refused and that if the negotiations do not proceed promptly and in a normal, satisfactory manner, they will be broken off at once.
2. Referring to the note from the Japanese delegation as reported in my October 24, 2 p.m., the Netherlands delegation has replied in effect as follows:
Careful consideration has been given to the Japanese request for additional oil; the offer of the oil companies constitutes an increase of 260% in exports of petroleum products to Japan and calls for increased production by at least 300,000 tons; the Netherlands Indies Government can neither recommend nor allow a further increase in the annual production; the total production of aviation gasoline above 87 octane had been sold prior to the regulations and cannot be made available to Japan now; quantities and qualities which have been offered represent an exceptional effort on the part of the oil companies; and the Netherlands delegation cannot see its way to recommend to the oil companies to offer additional tonnage or different varieties.