Cabinet Meeting Minutes, June 25, 1948. Matthew J. Connelly Papers - Notes on Cabinet Meetings II.
CABINET MEETING, FRIDAY, JUNE 25, 1948
Asked Defense to give report on German currency squabble with Russia (2 sets of currency - 1 Russian 1 Western Powers
Not as serious as indicated in press.
Same report - but maintains it is still serious.
Stated his reactions to Dewey nomination. Had witnessed it on television set. Remarked on coldness of reception given Dewey by the Convention.
Asked for discussion on merits of issuing license to export equipment and materials to Russia in exchange for manganese and other critical defense items. If licenses are issued we will have strong criticism from the public.
The difficulty is that we have to consider dangers of an economic warfare - especially in connection with the revitalization of Western Europe and the danger of cutting off Russian exports to Europe if we cut Russia off completely.
The State Department looks at it from the basis of our own national security - the need for manganese is vital but secondary.
Last March told Harriman to close down on shipments to Russia which would contribute to creation of Russian war machine. Advised that before change in policy is contemplated all departments should be asked for opinion.
BRANNAN (Agriculture - 1st meeting?)
Sees problem in surplus of potatoes. Transportation and consumption will not absorb crop in Southern Virginia. It is the intention of Dept. to beat opposition to punch by issuing press release setting forth the condition they cannot be shipped to Europe. Will not stand long shipment without spoiling.
Flood still serious in Columbia River Valley. Total damage cannot be computed until waters subside to normal.
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