611.6131/521: Telegram
The Secretary of State to the Chargé in the Soviet Union (Kirk)
127. Your 232, August 5, 8 p.m.
1. Your efforts in attempting to obtain an increase in the minimum guarantee of Soviet purchases are appreciated.
2. It is suggested that you follow the procedure used on the last two occasions (as indicated in the Department’s 99, July 10, 1936, 5 p.m.31 and 120, August 1, 1937, 8 p.m.32) by supplying the American journalists in Moscow with the following pertinent data for Sunday morning newspapers. Department will release texts and data here for same newspapers.
3. The Soviet Government has continued its undertaking to increase substantially its purchases of American products. As in the previous agreement, with reference to this undertaking the Soviet Government has informed the American Government that the Soviet economic organizations intend to purchase during the next 12 months American goods to the value of at least $40,000,000. It may be noted in this connection that the Soviet Union has maintained its purchases from the United States above the guaranteed minima of $30,000,000 in the 1935–36 and 1936–37 agreements, importing in the respective periods $39,224,000 and $40,513,000 and has already, in the first 9 months of the 1937–38 agreement year, surpassed the guaranteed minimum of $40,000,000. In accordance with the commitment given by the Soviet Government in each agreement to increase substantially its imports from the United States there has been a steady growth in such imports which by now are over four times the 1933 level.
Under the successive commercial agreements, United States imports from the Soviet Union have increased steadily. As shown by American customs returns, imports into the United States from the Soviet Union in the calendar year 1937 amounted to $27,000,000, which was a record total.
4. The remainder of your statement may be taken from subparagraphs (c), (d), and (e) of the Department’s no. 120, August 1, 1937 8 p.m., with a change from 2 to 3 years in subparagraph (d).