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"The Soviet Union has no objection in principle to a possible agreement with the Ryti government."
"Germany hopes to encompass our downfall by exploiting weakness at home..."
"For 300 years England pursued the aim of preventing a real consolidation of Europe, just as France sought for centuries to prevent a consolidation of Germany. …. since they started the war, ...they will get all the war they want."
U 48 sailed for a minelaying operation in accordance with Operations Order No. 22. News was received overland of supply operation under cover name "Moro". Everything went off according to plan. U 25 has now been ordered to make a surprise attack on French patrol vessels which have recently been reported several times off Vigo, so that the German steamers in Vigo will be able to sail on 6.2 as planned without difficulty. In itself this is not a suitable operation for a U-boat as the patrol consists of trawlers and destroyers, vessels which can act as S/M chasers but present a difficult target for the U-boat. In the ordinary way efforts must be made to operate U-boats in areas where there are no anti-S/M vessels, but in this case the principle has to be relaxed. It is very doubtful whether the operation will have the desired effect at all, i.e. that of drawing away the patrol vessels and it is possible that it will merely attract more such vessels. It will hardly come as a surprise, as it is known for certain that 4 German U-boats are believed to be in that area. Nevertheless, after consulting Naval War Staff, I decided to give the order, so that I shall at least have done everything possible to assist the sailing of the steamers.
The Fuehrer's latest decision not to attack ships still under construction remains in force* Chief, Naval Ordnance Division stated at the time that no decisive results could be obtained by attacking vessels while still on the slips, as they were not at a sufficiently
advanced stage of construction* On the other hand, attacks made on ships in dock, which are almost completed, promise considerable success. But at present an R.A.F,. counterattack on Wilhelmshaven would be even more unfortunate for us than the loss of a few battleships would be for the enemy.
A telephone conversation with Chief of Staff, Group West revealed that Commander, Naval Air, »Vest apparently believes that aerial
mine laying operations are at present impossible, even with Naval Air Force planes, as he is restricted by instructions from the
Commander in Chief, Air Force, temporarily forbidding the use of aerial mines. Naval Staff has not received any such directive either from the Fuehrer or the Armed Forces High Command nor an order to this effect from the Commander in Chief, Air Force.
Instructions to date lay it down that aerial minelaying operations by the Naval Air Force are determined solely by the requirements
of naval warfare and the orders of Naval Staff, unless an express directive is received from the Fuehrer. As Naval Staff is
convinced that after the first aerial minelaying off the east coast of England similar operations must be resumed and intensified as
soon as possible, the permission to employ the aerial mine off the east coast still stands. Group V/est has been informed to this
effect.
.U 26 and U 37 sailed for operations in accordance with Operations Orders No. 23 and 21. U 31 reported that she was returning
A speech by the Japanese Foreign Minister Arita summarized the aims of Japanese policy as follows: Settlement of the conflict with China, improvement of relations with Russia, desire for settlement of the trade conflict with America, maintenance of
good relations with the "Ant i- Comintern Powers". Mr. Chamberlain has announced the formation of a special committee for the increase of exports. Up to now he has been unwilling to create a co-ordinated ministry to deal with economic questions. According to special reports, General Weygand has made a forceful demand for offensive action in the Balkans by the Western Powers. This demand and its corollary requesting preparations for the operation are said to be directly opposed to the view of General Gamelin, who, it is stated, has denounced such an action in the Balkans as a mere adventure, particularly in view of the
resultant supply difficulties.
The following is a reasonably reliable estimate of the troops brought across to date by the Western Powers:
From Britain to France :
First wave: 160,000 men, Second wave: 150,000 men, Third wave: 250,000 men
(No exact details of this third wave are available, but it must be taken for granted that it has reached France. A fourth wave is in
training in Great Britain,)
From Canada to Europe: 15,000 men to Great Britain, 7,000 men to France.
From South Africa : None.
From Australia : 6,000 men on the way at present
From India : 20,000 men to Egypt.
From Mo-roc co : 60,000 men to France.
From Indo-China : 15,000 men to France ?, 50,000 men to Syria.
The number of troops in reserve in Syria is estimated at 120,000. It would take two months to transfer this army to the Balkans and
the transfer operation would be discovered in plenty of time. 150,000 men are said to be still in North Africa.
Special Reports on the Enemy .
Atlantic . Great Britain :
Bearings taken during the last few days show that there are some vessels in the waters between Iceland and North Scotland,, At
0815 the British steamer CHELSEA reported a suspicious vessel in grid square 3374, 230 miles south of Iceland. Possibly this was
the supply ship ALTMARK.
In the South Atlantic a newly formed Task' Force "Y" has appeared, to replace the former Task Force "X" (HERMES, VALIANT, NEPTUNE and the French destroyer) which has already been dissolved. It will probably consist of an old French battleship, two French cruisers, one British cruiser, three French destroyers and four French submarines* (According to the Intelligence Center, Spain the BRETAGNE, TOURVILLE, ALGERIE and about five destroyers passed Gibraltar on westward passage about a week ago.) All the French vessels lying off the Spanish coast are obviously under a single Commander. The intensive patrolling of the coast
continues; some units have been relieved,,
Radiogram to the ALTMARK:
"British steamer reported having sighted a suspicious vessel in AL 3374 at 0815 on 2 Feb."
By order of the Fuehrer the submarine operation "Halifax" planned by Naval Staff is not to take place for the time being because of possible political repercussions in the United States,
New Russian offensive on the Karelian Isthmus, no striking successes so far. From a report on the trade negotiations in Moscow it is clear that the Russians are insisting on very short clearing dates. The German delegation is having great difficulty in conducting
the negotiations. The conclusion of the treaty has therefore been delayed. Up to 22 Jan. Russia deliverecTa total of 21,500 tons of corn and mineral oils, i.e. only a small percentage of the amounts promised.
Nothing to Report
While he was in Kiel, the Chief, Naval Staff inspected the auxiliary cruiser, Ship "16 n (Captain Rogge). He was impressed with the efficient condition of the ship and paid tribute to the work of Deschimag in getting her ready. The equipment of the ship is excellent* Before sailing the ship is to have 14 days 1 training in home waters* The tour of inspection of the Minelaying Experimental Command confirmed their excellent achievements* Their labors towards creating a very effective minelaying arm have been untiring*
Chief, Operations Branch submitted the operational orders for the LUETZOW and the auxiliary cruiser Ship "16". Chief, Naval Staff gave his fundamental approval. Group V/est has ordered the proposed minelaying operations by destroyers in the river Thames (ground mines) and in the Haisbro lightship area (ground mines and EMC mines) to be carried out in the February new moon period*
U 31 entered Heligoland.
Conclusion of the Balkan Conference a For official communique see Foreign Press Report. The firm resolve of the four Balkan Pact countries to continue their peaceful policy in the European conflict and their common interest in maintaining peace and security in the Balkans were especially emphasized. The Balkan Pact was extended to seven years, '..'illingness for friendly co-operation with Hungary and Bulgaria was stressed.
France:
Patrolling of the Spanish coast continues; the destroyer GUEPARD has been ordered to operate to the limit of her fuel reserves.
Two destroyers lying some 60 miles west of Cape Finisterre have been ordered to reconnoiter to a point south of Cape St. Vincent
&nd proceed to Casablanca on 6 Feb. On the evening of 3 Feb.
U 31 left Heligoland for her operations area in accordance with Operations Order No. 23. She had to turn back in the evening as her gyro was out of order. Ice conditions this winter make it clear that a base for U-boats in Heligoland is essential. It is therefore particularly gratifying to B.d.U. that steps were already taken in peacetime so that there are now some facilities, though limited. The use of Heligoland and the adjacent exercise area at present are limited by the following conditions:
1) There are only mediocre berths for U-boats in the harbor. The structure of the harbor makes supply and refueling difficult. There are at present no facilities for extensive repairs, docking etc. It is difficult to get spare parts, as ice conditions make communication with the island difficult and subject to delays. Specialist personnel have to be sent with them from Wilhelmshaven.
2) The sea area around the island is not free of enemy activity. S/M hunts cannot be carried out in the U-boats training areas. Danger from the air has to be accepted without it being possible to call on local defense forces. There are not enough S/M chasers and patrol vessels.
U 31 entered Wilhelmshaven from Heligoland after a passage lasting 10 hours. She carried out her minelaying operation off Loch Ewe well. Conditions during the whole patrol undoubtedly made it easier for her. She did not encounter any patrol by sea or air the whole time.
It Is reported that conferences took place on 4 Feb, between British, French, Belgian and Dutch officers on the subject of joint operations in the event of a German attack on Holland and Belgium,
British press propaganda is trying to exploit German air attacks on merchant shipping by branding them as infringements of inter-
national law on the part of the German war leaders. In particular the sinking of British unarmed lightships is strongly denounced.
The Scandinavian press again denounces German methods of naval warfare very strongly and maintains that neutral merchant traffic is impossible because of the sinking of neutral shipping without warning. The large number of neutral lives lost is heavily
stressed.
The Naval Attache in Rome has reported that Admiral Cavagnari, Under-Secretary of the Italian Navy, takes the following view
of German naval warfare up to the present and its prospects. "While acknowledging German achievements in naval warfare, Admiralty"
Cavagnari and his supporters are of the opinion that the methods we employ can have no decisive effect on the war. It is true
that the British merchant fleet has suffered heavy losses, but not of the type to make Britain sue for peace. To achieve that,
roughly half a million tons of British merchant shipping would have to be sunk per month. At the present rate of sinkings the British
could continue the war for years and to a certain extent even replace the lost ships by new constructions and new acquisitions*
Germany will have to intensify her methods in naval and air operations and probably will even have to force the issue on land
and against France. Moreover the Deputy Chief of the Italian Naval Staff, Admiral Somigli, is taking up a very hesitant attitude towards Immediate practical co-operation with the German Naval Staff. Apparently he is waiting for a large-scale German offensive before throwing Italy's military weight into the balance. In a letter* to the Naval Attache Somigli explained that the situation upon which the decisions of the Friedrichshafen conference were -based was changed by the course of the European conflict, and that in particular the war 'broke out long before the expiry of the period which the Friedrichshafen conference considered necessary for essential military preparations'. If the Italian Navy is to co-operate with the German Navy in the war in Europe both the general and detailed arrangements must first of all be revised and suited to the new geographical and strategic situation and the relative strength of the opposing forces in the various theaters. The main lines of the Friedrichshafen agreements would, however, still hold good."
U 34 entered Heligoland. U 28 and U 33 left Wilhelmshaven for Heligoland to make trial runs etc., and will proceed from there to their operations areas.
By comparison with the contemporary, meticulous German plans, these Allied preparations are vague and irresolute. The pretext of going to help Finland is unconvincing and it is the obvious intention to devote most effort to stopping the Swedish iron ore reaching Germany."For five months we have been struggling to make fit for action in the Spring a force that was dangerously under-equipped and untrained. There were signs that we were getting some reasonable way to our goal. If this business [the invasion of Norway] goes through, we shall be cut by 30%. Of all the harebrained projects I have heard of, this is the most foolish."
1. The Fuehrer has decided that operations by the Air Force against merchant shipping are to be extended to all shipping in the "War Channel" (original text. Tr.N. ) as far as the Thames. The only exception will be those ships marked clearly with a Maltese cross , which are obviously Danish treaty ships. By order of the Fuehrer the friendly neutrals will be given another emphatic warning.
2. Operation Halifax was temporarily postponed by the Fuehrer for political reasons. The German Foreign Minister has no basic objections to the execution of the operation and it is intended to approach the Fuehrer again. Chief, Naval Staff has ordered
that all preparations for the proposed operation be continued.
4. Group West has informed us by teletype that a sufficient number of submarines will not be available until 14- Feb. For this reason the operation by the battleships is to be postponed till then, especially as the next convoy is not expected to put out until that date. The fresh postponement of the battleship operation until the date when the next convoy is due to sail is an unavoidable
necessity. Naval Staff however still considers it a mistake to time the operation according to the date when an adequate number of submarines will be ready, as battleship operations must not be made to depend on simultaneous submarine activity. To wait for an adequate number of submarines is a dangerous policy, which may lead to the- battleships missing outstandingly favorable opportunities for action which may never recur. Moreover Naval Staff's view is that this battleship operation should not be regarded and prepared as a single large-scale action but that every effort should be made to exploit the present extremely accurate radio monitoring reports, so that such sweeps into the northern area become a permanent activity constituting an effective threat to Britain's northern trade routes.
Items of Political Importance ,
It can be taken as fairly certain that the ASAMA MARU Incident will be settled by a compromise. Great Britain is said to have
declared that she is prepared to make partial compensation by handing over nine Germans unfit for military service out of the
21 detained. Tokyo is said to have promised London not to transport any belligerent nationals liable for military service
aboard Japanese ships. This solution would indicate far-reaching Japanese concessions. ,
According to a report from. Washington the Government has decided to refrain from sending further sharply worded notes to Britain on the neutrality question. In future all differences will be settled by personal discussions in Washington and London* The reason given for this decision was that Germany might draw false .conclusions regarding U.S. policy from such official exchanges of notes.
France :
Patrolling off the Spanish coast continues. Some of the destroyers have been relieved. According to a report from the Attache in Madrid, 1 destroyer, 1 submarine and 1 patrol vessel are lying off Vigo. Every night a French tug lies at the narrowest point of the entrance to Vigo Bay. Other destroyers are patrolling the sea area some 60 miles west of the coast.
Submarine U "41" has been ordered to make "hit and run" attacks on the French patrol forces off Vigo from 7 Feb. onwards, as far as possible in the evenings. She was informed at the same time of the proposed sailing of
the German steamers.
U 50 and U 53 sailed in accordance with Operations Order No. 23. U 50 turned back towards evening owing to a trace of oil due to a burst pipe. U 34 entered Wilhelmshaven. She carried out her minelaying operation off Falmouth well and quickly. She also sank a steamer of 12,000 tons. West of North Channel she sighted 2 battleships and a cruiser steering for the North Channel, but she had no torpedoes left and would not in any case have reached firing range. Several U-boats have observed 2 battleships in company in the area west and north of Scotland. It seems probable that there is a permanent patrol here by a battle group of heavy ships, covering the approach to the North Sea from the Atlantic.
A S/M alarm on 5.2 immediately off Heligoland made it necessary to take decisive measures for boats training there.
U 29 sailed for Heligoland.