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DEPARTMENT OF STATE
OFFICE OF THE SECRETARY
#
WASHINGTON
October 10, 1949
T.P P SECPR
SUMMARY OF TELEGRAMS
FRANCE
The Secretary General of the French Socialist Party has
stated to Embassy Paris that unless concessions are made
soon to Socialist demands for wage increases, the Socialists might
step up their demands and, in spite of their desire to participate in
a coalition government, might be forced into™benevolent opposition".
The French official argued that it would be less damaging to the
economy of France to accede to the Socialist demands than to fail to
grant them, because such a failure might drive the workers to strikes.
The French official admitted, however, that the consequence of a major
strike wave would be unfortunate for the Socialists and would lead to
a swing toward the Communists.
CHINA
We have indicated to Embassy London that we are concerned
over a purported British reply to the Chinese Communist
bid for recognition, since the reply, although it may not constitute
de facto recognition, appears to be a step in that direction. We point
out that both the French and the Italians here are alarmed over reports
of possible recognition action by the UK, the French in particular
expressing concern over the dissolution of the common front.
INDONESIA
Our representative at the round-table conference on
Indonesia now going on at the Hague has reported that
the conference faces "hopeless deadlock* unless the Dutch are willing
to accept a realistic financial settlement with the Republic of Indonesia.
Our representative believes that should the conference break down, the
Indonesians would return to Indonesia, would insist on the transfer of
sovereignty on January 1 whether or not the Dutch agree, and would
declare their independence. He also feels that in event of conference
failure the next "police action" might come from the Indonesians. He
points out that if the Dutch want to effect transfer of sovereignty to
Indonesia within a Dutch-Indonesian union, they should treat the
Indonesians like partners and not tie them up "like bad debtors."
DECLASSIFIED
E.O. 12065, Sec. 3-402
State Dept. Guideline, June 12, 1979
By NLT- He
NARS, Date 11-13-to
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"ocrText": "DEPARTMENT OF STATE\nOFFICE OF THE SECRETARY\n#\nWASHINGTON\nOctober 10, 1949\nT.P P SECPR\nSUMMARY OF TELEGRAMS\nFRANCE\nThe Secretary General of the French Socialist Party has\nstated to Embassy Paris that unless concessions are made\nsoon to Socialist demands for wage increases, the Socialists might\nstep up their demands and, in spite of their desire to participate in\na coalition government, might be forced into™benevolent opposition\".\nThe French official argued that it would be less damaging to the\neconomy of France to accede to the Socialist demands than to fail to\ngrant them, because such a failure might drive the workers to strikes.\nThe French official admitted, however, that the consequence of a major\nstrike wave would be unfortunate for the Socialists and would lead to\na swing toward the Communists.\nCHINA\nWe have indicated to Embassy London that we are concerned\nover a purported British reply to the Chinese Communist\nbid for recognition, since the reply, although it may not constitute\nde facto recognition, appears to be a step in that direction. We point\nout that both the French and the Italians here are alarmed over reports\nof possible recognition action by the UK, the French in particular\nexpressing concern over the dissolution of the common front.\nINDONESIA\nOur representative at the round-table conference on\nIndonesia now going on at the Hague has reported that\nthe conference faces \"hopeless deadlock* unless the Dutch are willing\nto accept a realistic financial settlement with the Republic of Indonesia.\nOur representative believes that should the conference break down, the\nIndonesians would return to Indonesia, would insist on the transfer of\nsovereignty on January 1 whether or not the Dutch agree, and would\ndeclare their independence. He also feels that in event of conference\nfailure the next \"police action\" might come from the Indonesians. He\npoints out that if the Dutch want to effect transfer of sovereignty to\nIndonesia within a Dutch-Indonesian union, they should treat the\nIndonesians like partners and not tie them up \"like bad debtors.\"\nDECLASSIFIED\nE.O. 12065, Sec. 3-402\nState Dept. Guideline, June 12, 1979\nBy NLT- He\nNARS, Date 11-13-to"
}