560.AL/10–2047: Telegram

The Acting Secretary of State to the Embassy in Italy

confidential
u.s. urgent

2114. Further developments re Ital participation Habana ITO Conf. Mascia Ital observer UN told Raynor USDel Oct 9 Italgov reluctant attend Habana Conf because vote denied and that if unable participate framing ITO Charter2 acceptance latter probably dependent on many reservations. Hope Italgov clearly understands that Italy will participate Charter framing and will be accorded full rights, including [Page 803] voting, in ITO upon membership (see Deptel 2011 Oct 9).3 Only at Habana Conf, called by UN to set up ITO, will Italy be denied vote, but in this respect Italy no different from other non-UN countries which also denied vote. Raynor urged Italy carefully consider before definitely refusing attendance Conf since presence would give Italy many advantages despite vote lack.

Dept’s reply to Italgov Sept 29 letter on vote gives reasons contained Deptel 2011. Also states Italy would have opportunity participate fully discussions all issues at Conf and that Italy became member other specialized agencies (IMF, World Bank, FAO) despite absence from constitutional conferences these agencies.

Dept concerned about Ital dalliance on attendance Habana Conf, whose attendance we consider most important. For Emb info, Dept fears that if Italy (a country with which we are cooperating so closely) should refuse accept invitation, or continues procrastination, this hesitation might well influence adversely attendance other non-UN members. Recommend vigorous approach Italgov, reiterating points outlined above and contained Deptel 2011. In addition, following argument should be made:

(1)
Considering Ital active participation European Recovery Program and complete interrelationship ERP and ITO, it is difficult to see how Italy could afford not participate Conf.
(2)
On basis experience at preparatory meetings London and Geneva, it is not unreasonable to expect that vast proportion decisions at Habana will be arrived at through general consent, with few if any important issues put to vote. This principle general agreement considered important by US for Charter probably would be unacceptable and inoperative if many provisions included on basis close vote.
(3)
Dept would expect and encourage Italy, as well as other non-UN countries, participate most actively in discussions of all provisions Charter.
(4)
Point out under Geneva draft can become “original member” with full rights.

Please advise Italgov reaction this tel, Deptel 2011, and whether Lombardo4 (urtel 28245) able convince Italgov attendance vital Italy’s interests.6

Lovett
  1. The Draft Charter for the International Trade Organization of the United Nations, had been substantially modified since the publication by the Department of State of Proposals for Expansion of World Trade and Employment (Publication 2411), November, 1945. The Report of the First Session of the Preparatory Committee of the United Nations Conference on Trade and Employment (E/PC/T/33) contains the text of the United States Suggested Charter, an elaboration of its earlier proposals, put before the meeting in September and October 1946 of the Preparatory Committee at London, as a basis for discussion. The Preparatory Committee’s report also contains the text of a draft charter, which was reviewed by a drafting committee, meeting in New York City in January and February 1947. The Drafting Committee’s report is printed by the United Nations as document E/PC/T/34.

    Further consideration was given to the charter by the Second Session of the Preparatory Committee Which met in Geneva on April 10, 1947. The Preparatory Committee’s report of August 22 contains the Draft Charter—the Geneva Draft (E/PC/T/186) reprinted in its entirety by the Department of State as Publication 2927, Commercial Policy Series 106—which was to be used as the basis for discussion at the Habana conference.

    An excellent resumé of the antecedents of the Habana Conference—the United States Trade Proposals of December 1945, the London Preparatory Conference of October 1946, the New York Drafting Session of January and February 1947, and the Geneva Preparatory Conference of April to August 1947—is found in the Official Report of the Chairman of the United States Delegation to the United Nations Conference on Trade and Employment, Habana, Cuba, November 17, 1947–March 24, 1948 to the Secretary of State (pp. 1–6), Department of State International Trade Files, Lot 57D284, Box 105. Material relating to the formulation of the Geneva Draft Charter is in this same lot file, Boxes 94–101.

  2. Not printed. In this telegram, the Department stated that the decision with respect to the non-voting members was consistent with precedents established at previous conferences (560.AL/9–1847).
  3. Ivan Lombardo had led an Italian Delegation to Washington for economic, financial, and commercial negotiations earlier in the year.
  4. Not printed. Lombardo had indicated that he believed the Italian stand an error, and had given “his personal word to work in favor of a reconsideration of this attitude.” (560.AL/9–1847)
  5. On November 19, the Italian Embassy informally told the Department that in response to requests made by the American and British Governments, Italy was going to participate in the Habana Conference. The Embassy also said: “we would have an evident interest to get a seat as a permanent member of the Executive Council (of the ITO). This would seem completely justified by the importance which Italy will again have in international trade.” Telegram 601, November 19, transmitted this information to Habana (560.AL/11–1947).