Memorandum of Conversation with Secretary of State Dean Acheson and Jean Monnet

897 - SECURITI 332 Docember 14, 1952 394 Participantar Socretary Acheson 11, Jean Konnet President of the High Authority of the Coal and Steel Community Nonnot ealled at his request, having dome to Paris from He wished to talk with ma about the present status of devolopments looking toward European union, with partioular refezence to the eurrent crisio over the Buropean Arny. the Nonnet asked me firet to tell hin what the impression was in the Unitod States, including my cwn impression, of the presont situation of the Sohuman Plan and of the discassions looking toward a political union. I eaid that, speaking of usually informed Anerican ovinion, I thought that there absolutely no eurrent knowlodge of any activity. So far as I porsonally ena concerned, I was in the nave situation. I bud Jnown about the inconolunivo and somewhas discouraging mectinga of the Ministers, which had anded in the organization of the-Kigh Authority as I had hoard nothing whatever 11 had done sínco ita So far 6.8 the ad hoo committee on Europeaza political union was concerned, I was under the impression, and I shought most other Americans were, that it was practically in "cold etezage.* Nonnet seened to attach grest significance to thin reply and anid that 11 wan moat important that sonothing be done to inform of the currant situation, which he bolieved to be very hopeful. Ho then discuased it as followa: The High Authority wan formed and operating It was already having an impaot upon business and economic affaiza. The broad comprising the six countries vould be inaugurato a in February. Alzeady were adepting their business to it. French wore making contracto to aell An South Germany. äuhr ware making for delivery in North Afrios. At the samo time, the ore wan in operation. It was prepazing to bell Fronch ore in quastities to Belgiun for the first time and arzange- menta vero being made for a considerable increase in Pranch ore production for this purpose, as well as for the purpose of the broader parket. The Eigh Authority, which hand the power to impose a bax tap to 1% on the annual production of all would announce in December the imposition of a tax to take effect in This would ye duce in the neighborhood of $50, 00,000 a year, which would ao into a revolving fund for loan purgossa to incresso focilities. Ho thought the operations of the lan had already completoly changed delle SECURITY INFORZATION