Evening star., 1947-03-20

Russia Seen Moving
From 0bstructionism
By NewboId Noyes, Jr.
star sioff Correspondent
MOSCOW, Mar. 20. - Soviet
Russia, propelled by her hunger
for reparations from Western
Germany, seems today to have
started to move away from the
obstructionist occupation policy
which has been preventing her
from getting them.
How far she will move remains
to be seen. 1t is much too soon to
celebrate. But Soviet Foreign Min
lister Molotov's talk in the Big Four
Council session yesterday is by far
the most encouraging development
of the first 10 days of this confer
ence.
1t was clear from the outset that
Mr.. Molotov was not making a
speech yesterday. He had made his
speeches. He had also felt the
firmness of opposition which faced
him. Now he was ready to start
talking seriously about how the
problem could be solved.
Problem Before Russia.
This was the problem:
Russia desperately wants and
needs to take reparations out of the
rich German west which we occupy
We, on the other hand, want and
need to stop putting money and
substance into the area. To this
end we want it to be self-sustain-
ing.
Everything Russia is permitted to
take out Of Western Germany makes
its economy less able to function
without outside help-our help. So
does the failure to unity occupation
zones economically, which denies
each zone the benefit of the bal
ancing effect of the resources OF
other zones.
Together with the British we
have refused to accept both these
handicaps to our effort to make
German economy self-sustaining
We have told the Russians they
cannot have reparations from our
zones until Germany is treated as
one economic unit.
Faced with this situation, Russia
has enthusiastically indorsed the
idea of economic unity-as an idea,
that is-an idea leading to more
Preparations. We, however, have in
sisted on defining what we mean by
this economic unity of the occupa-
tion zones, in terms most unpalatable
to the Soviet Union.
Points in Molotov Remarks.
Against this background there
were three things which should be
noted particularly about what Mr.
Molotov said yesterday.
First, he seemed to accept the
principle that there is no use talking
about reparations as an isolated
subject; that it is right to relate
reparations to the matter of eco
nomic unity. This is new.
Second, there was great signif-
icance in what Mr.. Molotov said
about our idea of what economic
unity necessarily means. There was
even more significance in what he
did not say about it.
Secretary of State Marshall spelled
out for Russia Monday the American
definition of this economic unity
Among the things he said it entailec
was the pooling of resources of al
occupation zones for the benefit Of
German economy. This, he said
meant freedom of trade and move.
ment throughout the Reich ane
extending of fundamental free.
doms" on nationwide basis.
Mr.. Molotov did not say yesterday
that he accepted these terms. But
he did say the subject of economic
unity embraced points Gen. Marshal
had made, which meant they were
proper subjects for discussion. HI
did say he thought it would be
possible to reach a common under.
standing in relation to these points
He also said no irreconcilable views
on the subject of economic unity hao
yet been expressed at the conference
And that was saying a good deal
Gen. Marshall had said on Mon.
day that Germany, in order to be-
come self f-sustaining, must pay fol
her exports out of her imports. In
the American view this was an
other way of saying that the things
Germany would otherwise export
should not be taken from her as
reparations from current produc-
ton
Mr.. Molotov, however, proposed
yesterday in effect that Germany
be allowed to keep enough industry
to meet her internal needs, balance
her imports with exports, and ir
addition pay reparations out o1
her production.
Potsdam Position Reversed.
This is the third point to be
noted particularly in Mr.. Molotov'.
remarks. For Germany, of course
could only do what he proposes il
she were allowed to maintain 8
great deal more industrial plant
than has been contemplated for her
The proposal brings Russia to a
complete reversal Of her position
III II n