W. Averell Harriman

William Averell Harriman
Born	William Averell Harriman (1891-11-15) November 15, 1891 New York City, U.S.
Died	July 26, 1986(1986-07-26) (aged 94)
Occupation(s)	Politician, diplomat, businessman
Years active	1922–1969
Known for	Co-founder of Brown Brothers Harriman & Co., Governor of New York, U.S. Secretary of Commerce, diplomat during WWII and Cold War

William Averell Harriman (November 15, 1891 – July 26, 1986) was a prominent American figure known for his roles in politics, business, and diplomacy. He co-established Harriman & Co., which later merged with Brown Brothers to create the investment banking firm Brown Brothers Harriman & Co.. Harriman also held the position of Secretary of Commerce during President Harry S. Truman’s administration and served as the 48th governor of New York. He pursued the Democratic Party’s presidential nomination in both 1952 and 1956 but did not secure it. Throughout his career, he was a vital foreign policy consultant to Democratic presidents.

Born into affluence as the son of railroad tycoon E. H. Harriman, he attended Groton School followed by Yale University, where he built networks that facilitated the founding of his banking enterprise. His business portfolio included investments in the Union Pacific Railroad, Merchant Shipping Corporation, and Polaroid Corporation. During President Franklin D. Roosevelt’s tenure, Harriman held positions within the National Recovery Administration and the Business Advisory Council before transitioning to international affairs. He played a pivotal role in managing the Lend-Lease program, acted as Roosevelt's representative to the United Kingdom, and subsequently served as ambassador to the Soviet Union, participating in significant World War II conferences. After the war, he supported George F. Kennan's doctrine of containment and oversaw the execution of the Marshall Plan while serving as Secretary of Commerce.

In 1954, Harriman won against Republican Senator Irving Ives to become Governor of New York, completing one term before being defeated by Nelson Rockefeller in 1958. Despite backing from Truman at the 1956 Democratic National Convention, Harriman lost the presidential nomination to Adlai Stevenson II on both occasions in 1952 and 1956.

After his loss in the gubernatorial race, Harriman continued to wield considerable influence over foreign policy within the Democratic Party. He contributed to negotiating the Partial Nuclear Test Ban Treaty during President John F. Kennedy’s administration and was actively involved in diplomatic efforts related to the Vietnam War under President Lyndon B. Johnson. Post-1969, he engaged with institutions such as the Club of Rome and the Council on Foreign Relations.

Early life and education

William Averell Harriman was born in New York City, the son of railroad magnate Edward Henry Harriman and Mary Williamson Averell. His siblings included E. Roland Harriman and Mary Harriman Rumsey, and he maintained a close friendship with Hall Roosevelt, brother of Eleanor Roosevelt.

In 1899, his father led the scientific expedition known as the Harriman Alaska Expedition, which surveyed coastal areas of Alaska and Russia—an experience that introduced young Harriman to Russia, a nation central to his future diplomatic endeavors.

He received his education at Groton School before matriculating at Yale, where he became a member of both the Skull and Bones society and Psi Upsilon, graduating in 1913. Following his father's death in 1909, he inherited a substantial fortune and took on the role of Yale's youngest rowing coach.

Business ventures

Leveraging his inheritance, Harriman established the banking firm W.A. Harriman & Co in 1922. When his brother Roland became a partner in 1927, the company was renamed Harriman Brothers & Company. In 1931, it merged with Brown Bros. & Co., creating the influential Wall Street institution Brown Brothers Harriman & Co., which counted prominent individuals such as George Herbert Walker and Prescott Bush among its associates.

Harriman's principal business engagements encompassed Brown Brothers Harriman & Co, the Union Pacific Railroad, the Merchant Shipbuilding Corporation, and venture capital stakes including the Polaroid Corporation. His portfolio also included significant railroad holdings like the Southern Pacific Railroad (which incorporated the Central Pacific Railroad) and the Illinois Central Railroad, alongside maritime companies such as the Pacific Mail Steamship Co., Hamburg-Amerikanische Packetfahrt-Aktiengesellschaft (HAPAG), the American Hawaiian Steamship Co., and United American Lines. Financial institutions connected to him featured the Guaranty Trust Company and the Union Banking Corporation.

In 1937 and again in 1939, he held the position of Chairman at The Business Council, known at that time as the Business Advisory Council for the United States Department of Commerce.

Political involvement

Encouraged by his sister, Mary Rumsey, Harriman transitioned from finance to politics, aligning with the Roosevelt administration to back New Deal initiatives. His political engagement commenced with participation in the National Recovery Administration (NRA), a federal program aimed at economic revival through regulation of prices.

Thoroughbred horse racing

Following the passing of August Belmont Jr. in 1924, Harriman, along with George Walker and Joseph E. Widener, acquired a significant portion of Belmont’s thoroughbred breeding stock. Competing under the racing name Arden Farm, Harriman’s horse Chance Play secured victory in the 1927 Jockey Club Gold Cup. Initially partnering with Walker under the banner of Log Cabin Stable, Harriman eventually bought out Walker’s share. Their horses were trained by Louis Feustel—who later earned induction into the U.S. Racing Hall of Fame—until 1926. Among their distinguished horses was Ladkin, notable for defeating European champion Epinard in the International Special races.

Controversy over wartime asset seizures

Harriman’s banking enterprise maintained critical ties to German firms and Fritz Thyssen’s U.S.-based financial interests; Thyssen was an early supporter of the Nazi Party until 1938. Under provisions of the 1917 Trading with the Enemy Act, commercial dealings with enemy nations were prohibited, allowing U.S. authorities to confiscate related assets. After Germany declared war, American officials seized German-linked Harriman assets in 1942.

Confiscated properties included:

• The Union Banking Corporation (UBC), jointly owned by Thyssen and Brown Brothers Harriman
• Holland-American Trading Corporation, owned by Harriman
• Seamless Steel Equipment Corporation, also under Harriman’s control
• The Silesian-American Corporation, partially German-owned; German attempts to assume full ownership prompted U.S. seizure of minority shares, enabling American partners to maintain domestic operations.

These assets remained under government control throughout World War II and were subsequently returned; UBC was formally dissolved in 1951.

Regarding compensation, Harriman received significant payments for his extensive Polish coal holdings through an agreement between American and Polish governments, whereas individual Polish citizens obtained minimal restitution for their confiscated property.

World War I diplomacy

Throughout the First World War, Harriman played a significant role in raising American awareness about the "Rape of Belgium". In 1916, President Wilson assigned him the task of coordinating potential U.S. intervention, known as "Operation Harriman", while also endorsing the February Revolution in Russia.

World War II diplomacy

Building on his experience from World War I, Harriman was appointed by Roosevelt as a personal emissary to Winston Churchill and Josef Stalin at the onset of World War II, facilitating direct dialogue with key Allied leaders. He was among the earliest to provide reports concerning the atrocities occurring within German concentration camps.

Beaverbrook-Harriman mission

Beginning in early 1941, Harriman acted as Roosevelt’s special representative in Europe and managed the coordination of the Lend-Lease program, earning recognition as a "defense expediter." Upon his arrival in London in March 1941, he quickly became part of Churchill’s close advisory circle and kept Roosevelt informed regularly, foreseeing America's eventual involvement despite prevailing isolationist attitudes.

During this period, Harriman entered into a notable relationship with Pamela Digby Churchill. In August 1941, he participated in the Atlantic Conference that resulted in the Atlantic Charter, which outlined shared postwar objectives for Britain and the United States. Subsequently, he accompanied Lord Beaverbrook to Moscow to negotiate Lend-Lease agreements with the Soviet government.

Harriman advocated strongly for supporting Soviet efforts against Germany, countering skeptical positions held by the U.S. ambassador and military officials. The mission concluded that Soviet defeat was improbable and that assistance would strategically diminish German strength. Although criticized for not attaching conditions to aid, Harriman maintained that backing the USSR was essential to denying resources to Nazi Germany and preventing its dominance.

He committed $1 billion in support beyond his formal authority and utilized personal resources to foster public endorsement through CBS radio broadcasts. American public skepticism persisted until the attack on Pearl Harbor shifted national sentiment.

In 1972, Harriman reflected on Roosevelt and Churchill’s priority to defeat Hitler swiftly by engaging Soviet forces to reduce American ground troop deployment.

The mission assured significant monthly deliveries to the USSR; however, shipments via Arctic convoys were hazardous and constrained by December 1941.

By late 1941, Harriman observed U.S. naval engagements against Germany even before official entry into the war. His positive outlook on Soviet endurance challenged prevailing military Victory Program assumptions and influenced Roosevelt’s decision to limit American ground forces.

Moscow Conference

In August 1942, Harriman accompanied Churchill to Moscow to justify Allied operations focused on North Africa instead of opening a second front in France. During this fraught meeting, Stalin accused Churchill of dishonesty and cowardice. Harriman counseled maintaining alliance unity despite these tensions.

In June 1943, Roosevelt insisted on meeting Stalin alone without Churchill for strategic reasons; Churchill strongly opposed being excluded from this encounter.

Four Power declaration

Named U.S. Ambassador to the Soviet Union in October 1943, Harriman characterized Stalin as highly shrewd yet despotic. Despite personal reservations stemming from close relationships and business interests—including railroads, aviation, banking, and oil—Harriman’s capitalist background earned him respect from Soviet officials.

At the October 1943 Moscow Conference, Harriman represented American interests alongside British and Soviet delegates. Key U.S. objectives included establishing the United Nations as a successor to the League of Nations, securing Soviet agreement to an unconditional Axis surrender, and elevating China as a major power alongside the United States, Britain, and the USSR.

Although British and Soviet parties resisted due to concerns over Japan’s role, Harriman successfully negotiated China’s inclusion in the Four Power declaration signed on October 30, 1943.

Strategic Planning for Operation Overlord and Conclusion of the War

The conference deliberated on acknowledging General Charles de Gaulle’s French Committee of National Liberation; under British insistence, the Americans reluctantly granted partial recognition but withheld full endorsement, contributing to strains in French-American relations.

Among the Allied accords were Germany’s unconditional surrender, comprehensive disarmament, denazification efforts, unresolved specifics concerning postwar territorial adjustments, reinstatement of Austrian sovereignty following the reversal of the Anschluss, and arrangements for prosecuting leading Axis figures in war crimes tribunals.

Western Allies resisted Soviet claims regarding postwar boundaries, while consensus was reached on reparations from Italy with Soviet involvement in the supervisory commissions.

Interactions with Poland and China

During the late 1943 Tehran Conference, Harriman navigated the complex Anglo-American-Soviet dynamics over future spheres of influence. He harbored skepticism about Stalin’s designs on Eastern Europe and opposed Churchill’s imperialist inclinations.

Molotov guaranteed Soviet commitment to entering the war against Japan; Roosevelt acquiesced to covert territorial modifications in Poland for electoral considerations—a move Harriman regarded as precarious.

Harriman became aware of previous Soviet attempts at a separate peace with Germany that Moscow had dismissed but remained wary of potential future coercion tactics.

In early 1944, Harriman advocated for coordinated U.S.-Soviet military efforts against Japan but encountered postponements; he pushed for American air bases within the Soviet Far East, though Molotov did not offer definitive assurances.

To avert a resurgence of civil conflict in China after World War II, Harriman sought Soviet endorsement of Chiang Kai-shek’s government over Mao Zedong’s faction.

During the Warsaw Uprising in August 1944, Soviet refusal to grant American aircraft landing rights following supply drops was a calculated political decision that drew criticism from Harriman.

Preceding Negotiations to Japan Bombing

By mid-1944, Stalin conditioned Soviet access to Far Eastern airfields on receiving American bombers; he voiced dissatisfaction over being excluded from Anglo-American communications concerning Japan but consented to staff-level discussions after Harriman’s persistent requests.

Discussions in October 1944 clarified Soviet demands for leases on Chinese railroads and seaports; Stalin confidently proclaimed Soviet supremacy over northern China after the war despite American opposition.

At a Kremlin dinner in December 1944, Stalin’s severe comments regarding Air Marshal Novikov highlighted his authoritarian demeanor.

Yalta Conference

At Yalta, Harriman pushed for a stronger American position on Soviet objectives concerning Poland. The U.S. delegation contended with overcrowding issues at Livadia Palace, reflecting logistical constraints.

In February 1945 meetings with Stalin and Molotov, the Soviets consented to annexing the Kurile Islands and southern Sakhalin; Roosevelt privately agreed to Soviet control over key Manchurian assets while postponing informing China—this caused diplomatic friction that was eased by Stalin’s assurances.

The conference broadened France’s recognition as a major power with occupation privileges in Germany despite Stalin’s reservations; agreements encompassed four-power occupation arrangements for Germany and reparations plans for Italy involving Soviet participation.

Soviet proposals for postwar borders remained contentious; overall accords emphasized disarmament and war crimes prosecutions aimed at preventing further atrocities.

Decline in Soviet-American Relations Following the War

Disputes after Yalta concerning the return of American prisoners of war created tension between Harriman and Molotov, intensifying skepticism toward the Soviet Union.

Harriman conveyed Stalin's apprehensions about a separate peace agreement with Japan before Soviet forces advanced in the East.

Though he attended the Potsdam Conference under President Truman, Harriman was marginalized by Secretary Byrnes despite advocating a firm stance against Soviet actions such as extracting industrial reparations from German resources.

In 1952, a wooden Great Seal presented by Soviet officials to Harriman’s Moscow office was uncovered to contain surveillance devices—an emblematic espionage episode of Cold War hostilities that eluded U.S. intelligence for six years.

Influential Figure in Foreign and Domestic Policy

After concluding his ambassadorship in the USSR in January 1946, Harriman championed George Kennan's Long Telegram, which formed the foundation of Truman's containment doctrine.

He briefly held the post of ambassador to the United Kingdom before assuming the role of Secretary of Commerce under Truman from 1946 to 1948, succeeding his critic Henry A. Wallace. In 1948, he administered the Marshall Plan, aiding Europe's economic restoration while cooperating with CIA operative Irving Brown to counter communist influence within French labor unions.

In July 1951, Harriman played a key role as mediator between Iran and Britain following Iran's nationalization of its oil industry.

After Defense Secretary James Forrestal’s suicide in 1949, Harriman provided professional support to Forrestal’s son Michael by financing his legal education at Harvard and facilitating elite networking opportunities, preparing him as a political protégé who later entered Kennedy’s administration.

Although unsuccessful in his presidential campaigns of 1952 and 1956—both times endorsed by Truman but defeated by Adlai Stevenson—Harriman was elected Governor of New York (1955–59), where he prioritized tax hikes and social welfare initiatives but narrowly lost reelection amid a Republican resurgence led by Nelson Rockefeller.

Allegations of Espionage for the Soviet Union

In December 1961, defector Anatoliy Golitsyn accused Harriman of spying; however, these allegations were dismissed by the CIA. Harriman continued his public service until April 1963 when he was appointed Under Secretary of State for Political Affairs, serving until March 1965. He then resumed duties as Ambassador at Large throughout Johnson’s presidency, including directing peace negotiations with North Vietnam from 1968 to 1969.

The Vietnamese Coup d'État

Designated ambassador-at-large by President Kennedy with extensive authority over Vietnam policy during the escalating crisis under Ngo Dinh Diem’s administration, marked by Buddhist protests and internal unrest.

By summer 1963, CIA reports indicated multiple coup conspiracies; Special Forces operations targeting Buddhist pagodas further destabilized the situation. Senior officials such as Roger Hilsman advocated for regime change—a position supported by Harriman.

In August 1963, communications authorized Ambassador Henry Cabot Lodge Jr. to endorse a coup if Diem failed to remove his brother Nhu—considered a source of instability—despite opposition from other cabinet members.

Kennedy remained uncertain amid conflicting counsel; however, Harriman strongly contended that continued rule by the Ngo family risked communist takeover.

During NSC meetings, Harriman openly confronted military leaders opposing coup plans; his directness tested Kennedy’s patience but ultimately influenced presidential approval for regime change.

Subsequent documents exposed manipulation within military assessments favoring Diem. Author Joseph Trento claims Harriman orchestrated coup decisions beyond presidential oversight.

Harriman supported the coup that culminated in Diem’s assassination; special operations personnel reportedly acted under his direction rather than under CIA command.

Ambassador-at-Large

By the autumn of 1964, Harriman was counted among the moderate "doves" who advocated for prudence regarding the escalation in Vietnam. In 1965, during a meeting in Moscow, he confronted Premier Alexei Kosygin, urging the cessation of Soviet aid to North Vietnam; these talks were marked by intense Cold War tensions.

Although Harriman made personal attempts to influence key figures within the Johnson administration through generous gifts, Johnson remained wary of him due to his allegiance to Kennedy but still appreciated his extensive diplomatic background dating back to Roosevelt's era.

Harriman found himself at odds with National Security Advisor Walt Rostow over bombing policies and participated in initial peace initiatives such as Operation Pennsylvania, utilizing intermediaries like Henry Kissinger.

Following Johnson’s announcement in March 1968 that he would not seek re-election, Harriman was appointed as the principal negotiator for the Vietnam peace discussions. These talks encountered practical obstacles, including disputes over the negotiation venue; Cyrus Vance was designated as his deputy while Johnson maintained a cautious supervisory role.

Peace-making, Paris 1968–69

Beginning in May 1968, Paris served as the location for peace negotiations that progressed slowly, hindered by internal divisions within the U.S. government—between cautious officials such as Dean Rusk and more adaptable diplomats like Harriman, who recalled the greater autonomy exercised during Roosevelt’s administration.

French intelligence meddling led Harriman to issue warnings that affected the tone of the negotiations. Conflicting assessments among American officials regarding North Vietnamese intentions further complicated diplomatic efforts.

Henry Kissinger became involved covertly, advising Nixon’s campaign while consulting with the delegation ahead of September meetings where Harriman engaged directly with prominent North Vietnamese representatives including Lê Đức Thọ.

The negotiations entailed concessions permitting Viet Cong participation contingent upon bombing suspensions but were obstructed by South Vietnamese President Thiệu, whose stance was influenced by Nixon campaign considerations.

Repeated delays postponed four-party talks until January 1969; at that time, Harriman prepared to hand over responsibilities to Henry Cabot Lodge Jr., appointed by Nixon. Lê Đức Thọ expressed disappointment over stalled progress, attributing some blame to ongoing U.S. bombing campaigns.

Later years

During an anti-war demonstration in New York in October 1969, Harriman publicly condemned the ethical failures of the Vietnam War and called on President Nixon for accountability.

He was honored with several prestigious awards including the Presidential Medal of Freedom with Distinction (1969), West Point’s Sylvanus Thayer Award (1975), and the Freedom Medal (1983).

Featured in the 1973 documentary The World at War, he openly criticized Stalin’s brutality during World War II diplomacy.

In 1978, he served as senior delegate at the United Nations Special Session on Disarmament and remained active within influential groups such as the Club of Rome and Council on Foreign Relations.

Personal life

Harriman married three times: initially in 1915 to Kitty Lanier Lawrence—a descendant of notable financiers—with whom he had two daughters before their divorce in 1929; secondly in 1930 to Marie Norton Whitney—an art patron instrumental in founding Sun Valley resort—until her passing in 1970; and thirdly in 1971 to Pamela Beryl Digby Churchill Hayward (widow of Leland Hayward), whom he had known since World War II; they remained married until his death in 1986.

His daughters included Mary Averell, who married Shirley C. Fisk, and Kathleen Lanier, who wed Stanley Grafton Mortimer Jr., formerly married to socialite Babe Paley.

Following his marriage to Marie Whitney, Harriman helped raise bandleader Peter Duchin, whom Marie had adopted after losing his parents.

Harriman passed away on July 26, 1986, at age 94; Pamela subsequently served as U.S. Ambassador to France beginning in 1993.

They are interred together at Arden Farm Graveyard located in Arden, New York.

Legacy and Honors

• The W. Averell Harriman State Office Building Campus located in Albany is named in his honor.
• Harriman Hall at Stony Brook University serves as a tribute to his legacy.
• Harriman State Park in Idaho stands as a testament to family land contributions aimed at conservation efforts.

Summary of Career

• Held Vice President and Chairman positions at prominent railroads such as Union Pacific and Illinois Central.
• Served as Chairman and partner at Brown Brothers Harriman & Company.
• Established the Sun Valley Ski Resort.
• Acted as U.S. Ambassador and special envoy during the Second World War.
• Appointed Secretary of Commerce under President Truman from 1946 to 1948.
• Coordinated the Marshall Plan initiatives.
• Governor of New York from 1955 until 1959.
• Occupied several ambassadorial posts including assignments to the USSR and the United Kingdom.
• Played significant diplomatic roles throughout the Cold War and Vietnam War periods.
• Led foreign policy task forces within the Democratic National Committee as chairman.

Publications

• "Leadership in World Affairs" Foreign Affairs, Volume 32, Number 4, July 1954

See Also

• Florence Jaffray Harriman
• U.S. presidential election, 1952
• U.S. presidential election, 1956

Secondary Sources

• Bland, Larry I., "Averell Harriman and the Origins of the Cold War," Australian Journal... 1977.
• Colman, Jonathan, "Averell Harriman's Role in Vietnam," International History Review 2016.
• Costigliola, Frank, "Archibald Clark Kerr and the Wartime Alliance," Journal of Transatlantic Studies 2011.
• Isaacson & Thomas, The Wise Men, Simon & Schuster, 1986.
• Langguth, A.J., Our Vietnam, Simon & Schuster, 2000.

Primary Sources

• W. Averell Harriman, America and Russia in a Changing World (1971)
• W.A. Harriman, Public Papers of Governor of New York (1960)
• Special Envoy to Churchill and Stalin (1975)

External Links

• Collection of W. Averell Harriman’s papers at the Library of Congress
• Interview with W. Averell Harriman in the Frontline Diplomacy: The Foreign Affairs Oral History Collection, Library of Congress