740.00119 (Potsdam)/5–2446
No. 329
Briefing Book Paper
Permanent Economic and Industrial Restrictions on Germany
This government stands committed to a policy of complete military disarmament of Germany and the prohibition of the manufacture of arms, ammunition and implements of war, including all types of aircraft, as well as the destruction or removal of all plant and equipment established or designed to produce such armament. It also favors a policy of maximum removal of productive equipment on reparation account as a measure of security, and it desires that Allied control of the German economy be exercised in such a way as to promote the more adequate industrialization of other parts of Europe and to reduce their dependence on the German metal and chemical [Page 453] industries. We should avoid, at this time, any commitment to measures involving permanent or indefinitely prolonged restrictions on the German economy. Decisions on the advisability of such restrictions can be taken only after full information is obtained concerning the present state of German industry and after removals have been effected on reparation account. Moreover, this government now has under way a series of technical and economic studies bearing on this problem and does not want to prejudge the recommendations which may be made as a result of such studies.