The text of the White House announcement on policy in Japan.

The following is a statement of the general initial policy
relating to Japan after surrender, prepared jointly by the
Department of State, the War Department and the Navy Department
and approved by the President on September 6th. The document in
substance was sent to General MacArthur by radio on August 29th
and after approval by the President, by messenger on September
6th. The text follows:

UNITED STATES INITIAL POST-SURRENDER POLICY FOR JAPAN

Purpose of this document
This document is a statement of general initial policy relating to
Japan after surrender. It has been approved by the President and
distributed to the Supreme Commander for the allied powers and to
the appropriate United States departments and agencies for their
guidance. It does not deal with all matter relating to the
occupation of Japan requiring policy determinations. Such matters
as are not included or are not fully covered herein have been or
will be dealt with separately.

Part I. ULTIMATE OBJECTIVES
The ultimate objectives of the United States in regard to Japan to
which policies in the initial period must conform are:

(a) To insure that Japan will not again become a menace to the
United States or to the peace and security of the world.

(b) To bring about the eventual establishment of a peaceful and
responsible government which will respect the rights of other
states and will support the objectives of the United States as
reflected in the ideals and principles of the Charter of the
United Nations. The United States desires that this Government
should conform as closely as may be to principles of democratic
self-government but it is not the responsibility of the allied
powers to impose upon Japan any form of government not supported
by the freely expressed will of the people.

These objectives will be achieved by the following principal
means:

(a) Japan's sovereignty will be limited to the islands of Honshu,
Hokkaido, Kyushu, Shikoku and such minor outlying islands as may
be determined in accordance with the Cairo Declaration and other
agreements to which the United States is or may be a party.

(b) Japan will be completely disarmed and demilitarized. The
authority of the militarists and the influence of militarism will
be totally eliminated from her political, economic and social
life. Institutions expressive of the spirit of militarism and
aggression will be vigorously suppressed.

(c) The Japanese people shall be encouraged to develop a desire
for individual liberties and respect for fundamental human rights,
particularly the freedoms of religion, assembly, speech and the
press. They shall also be encouraged to form democratic and
representative organizations.

(d) The Japanese people shall be afforded opportunity to develop
for themselves an economy which will permit the peacetime
requirements of the population to be met.

Part II. ALLIED AUTHORITY

1. Military occupation
There will be a military occupation of the Japanese home islands
to carry into effect the surrender terms and further the
achievement of the ultimate objectives stated above. The
occupation shall have the character of an operation on behalf of
the principal allied powers acting in the interests of the United
Nations at war with Japan. For that reason, participation of the
forces of other nations that have taken a leading part in the war
against Japan will be welcomed and expected. The occupation forces
will be under the command of a Supreme Commander designated by the
United States.

Although every effort will be made by consultation and by
constitution of appropriate advisory bodies to establish policies
for the conduct of the occupation and the control of Japan which
will satisfy the principal allied powers in the event of any
differences of opinion among them, the policies of the United
States will govern.

2. Relationship to the Japanese Government
The authority of the Emperor and the Japanese Government will be
subject to the Supreme Commander who will possess all powers
necessary to effectuate the surrender terms and to carry out the
policies established for the conduct of the occupation and the
control of Japan. In view of the present character of Japanese
society and the desire of the United States to attain its
objectives with a minimum commitment of its forces and resources
the Supreme Commander will exercise his authority through Japanese
governmental machinery and agencies, including the Emperor, to the
extent that this satisfactorily furthers United States objectives.

The Japanese Government will be permitted, under his instructions,
to exercise the normal powers of government in matters of domestic
administration.

This policy however, will be subject to the right and duty of the
Supreme Commander to require changes in governmental machinery or
personnel or to act directly if the Emperor or other Japanese
authority does not satisfactorily meet the requirements of the
Supreme Commander in effectuating the surrender terms. This policy
moreover does not commit the Supreme Commander to support the
Emperor or any other Japanese governmental authority in opposition
to evolutionary changes looking toward the attainment of United
States objectives. The policy is to use the existing form of
government in Japan, not to support it.

Changes in the form of government initiated by the Japanese people
or government in the direction of modifying its feudal and
authoritarian tendencies are to be permitted and favoured. In the
event that the effectuation of such changes involves the use of
force by the Japanese people or government against persons opposed
thereto the Supreme Commander should intervene only where
necessary to ensure the security of his forces and the attainment
of all other objectives of the occupation.

3. Publicity as to policies
The Japanese people and the world at large shall be kept fully
informed of the objectives and policies of the occupation and of
progress made in their fulfilment.

Part III. POLITICAL

1. Disarmament and demilitarization
Disarmament and demilitarization are the primary tasks of the
military occupation and shall be carried out promptly and with
determination. Every effort shall be made to bring home to the
Japanese people the part played by the military and naval leaders
and those who collaborated with them in bringing about the
existing and future distress of the people.

Japan is not to have an Army, Navy, Air Force, Secret Police
organization or any civil aviation. Japan's ground, air and naval
forces shall be disarmed and disbanded and the Japanese Imperial
General Headquarters, the general staff and all secret police
organizations shall be dissolved. Military and naval material,
military, naval and civilian aircraft shall be surrendered and
shall be disposed of as required by the Supreme Commander.

High officials of the Japanese Imperial General Headquarters and
General Staff, other high military and naval officials of the
Japanese Government, leaders of ultra-nationalist and militarist
organizations and other important exponents of militarism and
aggression will be taken into custody and held for future
disposition. Persons who have been active exponents of militarism
and militant nationalism will be removed and excluded from public
office and from any other position of public or substantial
private responsibility. Ultra-nationalistic or militaristic
social, political, professional and commercial societies and
institutions will be dissolved and prohibited.

Militarism and ultra-nationalism in doctrine and practice,
including para military training shall be eliminated from the
educational system. Former career military and naval officers,
both commissioned and noncommissioned, and all other exponents of
militarism and ultra-nationalism, shall be excluded from
supervisory and teaching positions.

Laws, decrees and regulations which establish discriminations on
grounds of race, nationality, creed or political opinion shall be
abrogated. Those which conflict with the objectives and policies
outlined in this document shall be repealed, suspended or amended
as required and agencies charged specifically with their
enforcement shall be abolished or appropriately modified. Persons
unjustly confined by Japanese authority on political grounds shall
be released. The judicial, legal and police systems shall be
reformed as soon as practicable to conform to the policies set
forth in Articles 1 and 3 of this Part III and thereafter shall be
progressively influenced to protect individual liberties and civil
rights.

2. War Criminals
Persons charged by the Supreme Commander or appropriate United
Nations agencies with being war criminals including those charged
with having visited cruelties upon United Nations prisoners or
other nationals shall be arrested, tried and if convicted
punished. Those wanted by another of the United Nations for
offences against its nationals shall, if not wanted for trial or
as witnesses or otherwise by the Supreme Commander, be turned over
to the custody of such other nation.

3. Encouragement of desire for individual liberties and democratic
processes
Freedom of religious worship shall be proclaimed promptly on
occupation. At the same time it should be made plain to the
Japanese that ultra-nationalistic and militaristic organizations
and movements will not be permitted to hide behind the cloak of
religion.

The Japanese people shall be afforded opportunity and encouraged
to become familiar with the history, institutions, culture and the
accomplishments of the United States and the other democracies.

Association of personnel of the occupation forces with the
Japanese population should be controlled only to the extent
necessary to further the policies and objectives of the
occupation.

Democratic political parties with rights of assembly and public
discussion shall be encouraged subject to the necessity for
maintaining the security of the occupying forces.

Part IV. ECONOMIC

1. Economic Demilitarization
The existing economic basis of Japanese military strength must be
destroyed and not be permitted to revive.

Therefore a programme will be enforced containing the following
elements: among others the immediate cessation and future
prohibition of production of all goods designed for the equipment,
maintenance or use of any military force or establishment, the
imposition of a ban upon any specialized facilities for the
production or repair of implements of war including naval vessels
and all forms of aircraft, the institution of a system of
inspection and control over selected elements in Japanese economic
activity to prevent concealed or disguised military preparation,
the elimination in Japan of those selected industries or branches
of production whose chief value to Japan is in preparing for war,
the prohibition of specialized research and instruction directed
to the development of war making power and the limitation of the
size and character of Japan's heavy industries to its future
peaceful requirements and restriction of Japanese merchant
shipping to the extent required to accomplish the objectives of
demilitarization.

The eventual disposition of those existing production facilities
within Japan which are to be eliminated in accord with this
programme as between conversion to other uses, transfer abroad and
scrapping, will be determined after inventory. Pending decision
facilities readily convertible for civilian production should not
be destroyed except in emergency situations.

2. Promotion of Democratic Forces
Encouragement shall be given and favour shown to the development
of organisations in labour, industry and agriculture, organised on
a democratic basis. Policies shall be favoured which permit a wide
distribution of income and of the ownership of the means of
production and trade.

Those forms of economic activity, organisation and leadership
shall be favoured that are deemed likely to strengthen the
peaceful disposition of the Japanese people and to make it
difficult to command or direct economic activity in support of
military ends.

To this end it shall be the policy of the Supreme Commander:

(a) To prohibit the retention in or selection for places of
importance in the economic field of individuals who do not direct
future Japanese economic effort solely toward peaceful ends; and,
(b) To favour a programme for the dissolution of the large
industrial and banking combinations which have exercised control
of a great part of Japan's trade and industry.

3. Resumption of Peaceful Economic Activity
The policies of Japan have brought down upon the people great
economic destruction and confronted them with the prospect of
economic difficulty and suffering. The plight of Japan is the
direct outcome of her own behaviour and the Allies will not
undertake the burden of repairing the damage. It can be repaired
only if the Japanese people renounce all military aims and apply
themselves diligently and with single purpose to the ways of
peaceful living. It will be necessary for them to undertake
physical reconstruction deeply, to reform the nature and direction
of their economic activities and institutions, and to find useful
employment for their people along lines adapted to and devoted to
peace. The Allies have no intentions of imposing conditions which
would prevent the accomplishment of these tasks in clue time.

Japan will be expected to provide goods and services to meet the
needs of the occupying forces to the extent that this can be
effected without causing starvation, widespread disease and acute
physical distress.

The Japanese authorities will be expected, and, if necessary,
directed to maintain, develop and enforce programmes that serve
the following purposes:

(a) To avoid acute economic distress;

(b) To assure just, impartial distribution of available supplies;

(c) To meet the requirements for reparations deliveries agreed
upon by the Allied Governments; and,
(d) To facilitate the restoration of Japanese economy so that the
reasonable peaceful requirements of the population can be
satisfied.

In this connection the Japanese authorities, on their own
responsibility, shall be permitted to establish and administer
controls over economic activities including essential national
public services, finance, banking and production and distribution
of essential commodities subject to the approval and review of the
Supreme Commander to assure their conformity with the objectives
of the occupation.

4. Reparations and Restitution Preparations
(a) Through the transfer--as may be determined by the appropriate
Allied authorities-of Japanese property located outside of the
territories to be retained by Japan.

(b) Through the transfer of such goods or existing capital
equipment and facilities as are not necessary for a peaceful
Japanese economy or the supplying of the occupying forces.

Exports other than those directed to be shipped on reparation
account or as restitution may be made only to those recipients who
agree to provide necessary imports in exchange or agree to pay for
such exports in foreign exchange. No form of reparation shall be
exacted which will interfere with or prejudice the programme for
Japan's demilitarization.

Restitution.

Full and prompt estimation will be required of all identifiable
looted property.

5. Fiscal, Monetary and Banking Policies
The Japanese authorities will remain responsible for the
management and direction of the domestic fiscal, monetary and
credit policies subject to the approval and review of the Supreme
Commander.

6. International Trade and Financial Relations
Japan shall be permitted eventually to resume normal trade
relations with the rest of the world during occupation and under
suitable controls. Japan will be permitted to purchase from
foreign countries raw materials and other goods that it may need
for peaceful purposes and to export goods to pay for approved
imports.

Control is to be maintained over all imports and exports of goods
and foreign exchange and financial transactions. Both the policies
followed in the exercise of these controls and their actual
administration shall be subject to the approval and supervision of
the Supreme Commander in order to make sure that they are not
contrary to the policies of the occupying authorities and, in
particular, that foreign purchasing power that Japan may acquire
is utilised only for essential needs.

7. Japanese Property Located Abroad
Existing Japanese external assets located in territories detached
from Japan under the terms of surrender, including assets owned in
whole or part by the Imperial household and Government, shall be
revealed to the occupying authorities and held for disposition
according to the decision of the Allied authorities.

8. Equality of opportunity for foreign authorities shall not give
or permit any Japanese business organisation to give exclusive or
preferential opportunity or terms to the enterprise of any foreign
country or cede to such enterprise control of any important branch
of economic activity.

9. Imperial Household Property
Imperial household property shall not be exempted from any action
necessary to carry out the objectives of the occupation.