Evening star. [volume] (Washington, D.C.) 1854-1972, 1947-03-19
Moscow Accord
Still Possible,
u. 5, Reds Say
MoIotov Denies That
Potsdam Declaration
Superseded YoIto
By the Associated Press

MOSCOW, Mar. 18.-Soviet
Foreign Minister Molotov and
Secretary of State Marshall
agreed today that a meeting of
minds on Germany's economic
program was possible in this
conference of the Council of
Foreign Ministers.
Mr. Molotov said in a statement,
however, that the Soviet Union re-
jected the British American position
that the Potsdam decisions on repair
ations superseded the decisions of
the Big Three Yalta conference.
He further declared that the eco
nomic unity of Germany without
reparations was not acceptable to
the Soviet government, but that with
reparations, it would be acceptable
Gen. Marshall reminded Mr.. Molo-
tov that there were grave" difficult
ties to be faced in the reparations
problem. He said he was prepared
to consider" Mr.. Molotov's de-
mands for higher level of industry
in Germany to raise her steel pro-
duction, but he added that there
was an inherent danger" in devel-
oping a production program de-
signed for reparations purposes.
Russia has asked that the steel
production level be raised to TO-
100000 or 100000 tons annually
Accord Held Possible.
Mr.. Molotov told the Foreign Min
listers that after hearing the differ
ing views of the United States, Brit
airH and France he still believed
agreement possible on the critical
German economic program.
Mr.. Molotov said it did not follow
from the disputes which thus far
have broken out here that the four
powers would be unable to find a
common point of view on such is
sues as the level of German in
dustry, a balanced import-export
program and freedom of movement
in Germany, as well as on similar
key matters.
Mr.. Molotov spoke after British
Foreign Secretary Bevin in studied
commentary on the Soviet program
for Germany, rejected Russian
reparations demands and said it was
Britain's policy not to agree to any
dollar valuations on PREPARATIONS. Mr.
Molotov has put forward a Soviet
claim for $4,000, 100000 in repara-
tons from postwar Germany.
Stains Role Revealed.
Mr.. Bevin revealed-for the first
time-that Prime Minister Stain
himself had urged and requested the
Western Allies to agree that repara-
tons should come from capital goods
and particularly factories in the
western zones.
The British Minister said that
when he and the others agreed to
this he thought that the question
of reparations was finished and
there would be no demands for
reparations from current production
such as have now been put forward
by Mr.. Molotov, who has asked that
part of the payment to Russia be
from current production.
Mr.. Bevin also disclosed that the
British cabinet, at the time of the
Big Three discussion on reparations
at Yalta, sent telegram to Win
ston Churchill, then attending the
conference as Prime Minister. It
said:
1--WE consider it quite inadvisable
to state any figure for German de-
liveries until possibilities have been
properly investigated on the spot.
We consider $4,000, 100000 far too
great.
cit is roughly equivalent to Ger
many's preWar gross exports. And
that is not allowing for any imports
in an average year"
No Figure Set at Potsdam.
Mr.. Molotov has said the $4,000
100000 figure was agreed on at Yalta
as the grand total of reparations
from Germany, but Gen. Marshall
said yesterday that this figure was
cHly a basis for discussion and was
(See MOSCOW. Page A-f;0