740.00119 PW/8–245

The British Chargé (Balfour) to the Acting Secretary of State 89

Notes by Sir George Sansom on a document regarding the future of Japan shown to him on May 29th, 1945, at the instance of Mr. Grew.90

[I.]
The American objectives are:
1)
The unconditional surrender or total defeat of Japan.
2)
The execution of the territorial provisions of the Cairo Declaration.
3)
The prevention of future aggression.
4)
The development of a Japanese Government which can be trusted in international relations.
5)
The eventual participation of Japan in the world economic system on terms consistent with 3) and 4).
II.
The methods contemplated for the realisation of those objectives include:
1)
The exercise by the Supreme Allied Commander of complete authority over all domestic and foreign affairs, the suspension of the constitutional powers of the Emperor and of all organs for the consideration and formulation of policy (e.g. Diet), their functions to be assumed by the Military Government.
2)
Military Government to be stern but just. It will [Page 582]
a)
repeal obnoxious laws
b)
dissolve all political parties, societies, etc.
c)
proclaim freedom of worship,
d)
institute a new system of public information and expunge existing systems,
e)
control education.
3)
Civil courts of justice will continue to function under control of Military Government.
4)
There will be three periods:
a)
severe military government,
b)
close surveillance, during which some restrictions may be relaxed and some civil functions allowed to be performed by Japanese.
c)
Looking forward to re-entry of Japan into family of nations.
Duration of each period will depend upon behaviour of Japan.
III.
The general political aims of the United States are the abolition of militarism, the emergency and encouragement of liberal political elements and the development of a political system consistent with the principles of the United Nations.
IV.
Reparations are envisaged though not until productive machinery has to some extent been restored. The destruction of all industries directly relating to war is provided for, and emphasis is laid upon light industries in the process of restoration of normal economy. It is laid down that the programme of industrial rehabilitation shall not aim at a standard of living “out of line” with standards in other parts of Asia. It is the general intention to encourage local self-government and provide for a more extended ownership of the means of production, financial organs, etc., the intention of this clause probably being to cover the breakdown of the monopolies of the great corporations (Zaibatsu) and perhaps also agrarian reforms.
  1. Left with Mr. Grew on August 2 by Mr. Balfour on an entirely informal basis.
  2. See SWNCC 150 as circulated on June 11, p. 549.