(

CONFIDENTIAL

relationship with the US, but this will need

to be explored at more length in the

separate Planning paper on US/European/Japan

relations. Same remark applies to last

indent of C below].

C. Should we beat them or join them? Obvious

problems about "beating":

- no other alliance of comparable weight

available to us within Europe (though

Italians sometimes hint at offering it);

trying to form a coalition of all other

Europeans against France/FRG neither

realistic nor responsible. We should be

placing ourselves of intent in the "outer

circle";

looking right outside Europe eg to the US

for our major

or Commonwealth

-

relationships and/or leverage is no longer a

true option. If we fail in Europe now we

cannot succeed in the world (although see

also D (iv) below).

Joko ?!

D.

But must also be realistic about "joining":-

i)

must recognise aspects of the

Franco-German relationship which we

cannot (and probably would not want to)

replicate: history, geography, culture;

CONFIDENTIAL

6

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