No. 372.
Mr. Foster
to Mr. Evarts.
Legation of
the United States,
Mexico, October 14, 1878.
(Received November 6.)
No. 807.]Sir: Under date of the 13th ultimo, I communicated
to the Mexican minister of foreign affairs the contents of your dispatch No.
494, of August 10, expressing regret that the Mexican Government had refused
to repeal or modify the laws establishing the Zona
Libre.
The acting minister of foreign affairs, in reply, on the 21st ultimo, stated
that it was not within the faculties of the executive to abolish the Zona Libre, even if it had formed a definite opinion
as to the impropriety of its existence, which latter point it was studying
with a view to submitting a recommendation to Congress on the subject; that
it was very far from the intention of Mexico to preserve said zone for the
purpose of causing injury to the financial interests of the United States;
and he closed by saying that the President was desirous of co-operating to
prevent such injuries and would with pleasure consider such suggestions as I
might think proper to make for that purpose.
On the 26th ultimo, I answered the acting minister that I would communicate
his note to, the Department of State for its information; but that I could
not conceive how I could act upon his invitation and submit suggestions
which had in view the continued existence of the Zona
Libre. I referred to the fact that it had received the decided
disapprobation of both the executive and legislative branches of the
Government of the United States, and that for ten years past it has sought
through diplomatic intervention and remonstrance to obtain its abolition. I
then reviewed the dilatory and evasive course of the present Mexican
Government on the question, showing that I had as early as March, 1877,
presented the subject to that government, representing the injury resulting
to the United States from the maintenance of said zone, and I announced that
its repeal was felt by our government to be an essential step toward the
preservation of the best relations between the two nations. The then
minister of foreign affairs recognized the force of the objections of our
government, acknowledged that it was even a greater evil to Mexico, stated
that the executive was clearly of the opinion that important modifications,
if not its absolute repeal, were necessary, and that the matter had been
intrusted to the minister of finance with a
[Page 655]
view to the presentation of an “initiative” to
Congress with as little delay as possible. But the next session of Congress
passed without any communication being sent to it by the executive.
On the 21st of June, 1877, I recalled the matter to the minister’s attention,
and submitted a written proposition, with a view to obtaining definite
action at the next succeeding session of Congress; but that Congress passed
without any action on the part of the executive.
The Mexican Government then assumed the position that it could take no action
until it was officially recognized. The recognition occurred early in April,
1878, but the third session of Congress passed and no “initiative” was sent
to it by the President. But soon after the adjournment of the first session
of Congress following recognition, these new regulations, referred to in
Department dispatch No. 494, were issued and the official announcement was
made that “the concession (or zone) remains in the same terms as
heretofore.”
In view of these antecedents, I said to the acting minister that I was not
able to derive much encouragement from his statement that the executive was
studying the question with a view to making some proposition to Congress,
when more than eighteen months before I had been informed that it recognized
the inexpediency of its existence, and when the minister of finance has for
years past been strongly opposed to the zone.
As up to the present date I have received no response to my note of the 26th
ultimo, it is probably the intention to leave it unanswered.
There is no question connected with our international relations which more
clearly illustrates the incapacity of the present Government of Mexico to
discharge its plain duty toward the United States than that of the Zona Libre. It was established by the
unconstitutional and independent act of a government of a State.
After much discussion it was approved by Congress on the ground of its
hostility to American commerce, notwithstanding the present government was,
early after its inauguration, notified that its repeal was considered by our
government as an essential measure toward the preservation of good relations
between the two countries, and after its own acknowledgment that it is
unconstitutional and greatly injurious to the United States, it repeatedly
violates its promise to submit a recommendation to Congress on the subject.
It fears that such an act would be construed into a concession to the United
States, and would provoke a revolution on that frontier.
I am, &c.,
[Inclosure 1 in No. 807.]
Mr. Foster to Mr.
Mata.
Legation of the United States,
Mexico, September 13,
1878.
Sir: For the information of my government, I
transmitted to the Department of State a copy of the new regulations in
regard to the Zona Libre, which, under date of
June 17, last, the Mexican secretary of finance issued by direction of
the President.
In acknowledging receipt of my dispatch, the Secretary of State says that
he cannot but regard with regret the refusal of Mexico to repeal or
modify the laws establishing the Zona Libre,
which, by the opportunities it affords for smuggling, has proved so
fertile a source of trouble to both countries, impairing the revenues of
each and tending to thwart the efforts of both to maintain peace and
good order on the frontier.
In communicating these views to your excellency, I remain, with marked
consideration,
Yours, &c.,
[Page 656]
[Inclosure 2 in No.
807.—Translation.]
Mr. Avila to Mr.
Foster.
Department of Foreign Affairs,
Mexico, September 21,
1878.
Mr. Minister: I have the honor to acknowledge
the receipt of your excellency’s note of the 13th instant, in which you
inform this department that, having transmitted to the Department of
State of the United States a copy of the new regulations relative to the
Zona Libre which were issued by the
department of finance on the 17th of June last, the Secretary of State,
upon acknowledging its receipt to your excellency, expressed regret that
the Mexican Government had refused to abolish or modify the laws which
maintain the said zone, which, owing to the opportunities which it
presents for the contraband trade, has been a source of difficulties for
both countries, causing loss to their respective treasuries, and tending
to nullify the efforts of both countries in preserving peace and order
on the frontier.
The President has instructed me to say to your excellency in reply that
upon issuing the new regulations to which your excellency alludes, the
government has endeavored to prevent the contraband trade which has
recently been carried on in effects introduced across the frontier, but
that the Zona Libre being in existence in virtue
of law, the executive would not have the faculties for abolishing it,
even if it should already have formed a definite opinion concerning the
impropriety of its existence, owing to its prejudicial effects upon the
general interests of Mexico, which point the executive is occupied in
carefully studying with the object of proposing to Congress what may be
most conducive to the said interests.
It has always been, without doubt, very far from the intention of the
Government of Mexico to preserve the free introduction and traffic in
merchandise within the limits of the Zona Libre
for the purpose of causing injury to the financial interests of the
United States or of occasioning troubles which may make difficult the
preservation of peace between the two countries; hence these
considerations, and especially the second one, should receive attention
in their corresponding places upon the adoption of such resolution as
the interests of Mexico may demand with respect to the Zona Libre.
In the mean time the President of the republic would wish to co-operate
within the sphere of his functions to prevent that the Zona Libre should cause injuries to the United States, and
would with pleasure consider such suggestions to that effect as your
excellency might be pleased to make, in so far as they may be compatible
with the interests and the legislation of Mexico.
I improve this opportunity to reiterate to your excellency the
protestations of my attentive considerations.
[Inclosure 3 in No. 807.]
Mr. Foster to Mr.
Avila.
Legation of the United States
Mexico, September 26,
1878.
Sir: Your honor’s note of the 21st instaut was
duly received, in which you acknowledge the receipt of my note of the
13th instant, communicating the views of my government in regard to the
regulations recently issued concerning the Zona
Libre.
I will communicate to the Department of State at Washington the
statements which your honor makes in reference to the motives which
influenced the issuance of said instructions, the legal difficulties to
the abolition of said Zone without the action of Congress, to which body
the executive is considering the propriety of addressing an
“initiative:” and that it has not been the intention of the Mexican
Government in preserving the zone to cause injury to the financial
interests of the United States or disturb the peace between the two
countries.
I highly appreciate the invitation which your honor extends to me to make
suggestions with a view to preventing the existence of the Zona Libre from causing injuries, to the United
States.
I cannot conceive, however, in what way I can act upon the invitation,
consistent with the position which my government and this legation have
always held upon this subject. From the time attention was first
directed to the existence of the Free Zone it has received the decided
disapproval and opposition of both the executive and legislative
branches of my government; and for ten years past it has sought through
diplomatic intervention and remonstrance to obtain its abolition.
In view of these facts, I would not feel authorized to make any
suggestions which would seem to contemplate the continued existence of
said zone without first having received the special instructions of my
government to that end.
[Page 657]
In addition to a reference to the previous and repeated action of this
legation for ten years past, I deem this an opportune occasion to refer
to the fact that at an early day after the establishment of the
government of President Diaz, to wit, in the month of March, 1877, I
presented the views of my government to the then secretary of foreign
affairs, in a personal conference, calling his attention to the injury
which was resulting to the Treasury of the United States from the
existence of the Zona Libre, affording smugglers
a secure base of operations for the illicit introduction of goods into
Texas, and, in addition thereto, being the indirect source of much of
the lawlessness and disorder on that frontier; and that its repeal was
felt by my government to be an essential step on the part of Mexico
toward the maintenance of peace on the Rio Grande and the preservation
of the best relations between the two nations.
Mr. Vallarta in the conference promised to make the question the subject
of a cabinet consultation, and on the 23d of March, 1877, he called at
the legation and informed me that the Zona Libre
had been considered by the cabinet in connection with my suggestion as
to its repeal. He said that while the Mexican Government recognized the
force of the objections on the part of the United States to its
continuance, it was convinced that it was a source of even greater evil
to Mexico; that it gave to a small portion of territory special
privileges and exemptions not enjoyed by the rest of the republic; that
it was a far greater injury to the Mexican revenue; that it was the
occasion of constant trouble, lawlessness, and bloodshed; and that the
executive was clearly of the opinion that at least important
modifications, if not its absolute repeal, were necessary. He said,
however, as it was sanctioned by an act of Congress, the subject would
have to be referred to that body. It had been committed to the minister
of finance for thorough examination, with a view to the presentation of
an “initiative” to Congress to remedy the existing evils, and that as
little delay as possible should occur in acting upon it.
Notwithstanding this positive assurance, the next succeeding session of
Congress passed without the presentation of the promised
“initiative.”
I, therefore, on the 21st of June, 1877, recalled the subject to Mr.
Vallarta’s attention, and submitted to him a written proposition, with a
view to securing the submission at the next session of Congress
thereafter of an “initiative” for the abolition of said zone, but I was
not successful in securing a definite answer; and the Congress which
convened in September adjourned its session without any action on the
part of the executive.
In the mean time your honor’s government assumed the position that it
could take no action upon this, as well as other pending questions,
until it was officially recognized by that of the United States. This
latter event occurred early in April, 1878, immediately after the
assembling of Congress for a new constitutional period; and in view of
Mr. Vallarta’s full and frank statement of the views of his government,
in his. conference of the 23d of March, 1877, it was natural to have
expected that the friendly act of recognition would be followed by the
presentation to Congress of the promised “initiative,” the preparation
of which had been intrusted to the minister of finance more than twelve
months before, with the assurance that as little delay as possible
should occur in acting upon it. But my just expectation was destined to
disappointment, as the entire session passed by without any action on
the part of the executive.
What was my surprise to see the conclusion of that session of Congress
followed by the official promulgation anew of the decree which created
the Zona Libre, accompanied by the announcement
in the Diario Oficial of June 25 last that “the concession (the free
zone) remains in the same terms as heretofore.” I recognize the fact
that the circular of June 17, publishing the decree, adopts certain
measures to prevent smuggling through said zone into the interior of
Mexico, but it provides no measures to restrain the illicit trade
carried on from said belt into the United States; but, on the other
hand, peremptorily closes two custom-houses on the Rio Grande to lawful
commerce with the United States.
In view of these antecedents, my government will not be able to derive
much encouragement from your honor’s statement, in your note of the 21st
instant, that the Executive is occupied in carefully studying the
question of the existence of the Zona Libre, with
the object of proposing to Congress what may be conducive to the
interests of the two countries.
When it is remembered that year after year, for ten years past,
assurances have been given by the Mexican Executive that at the earliest
convenient opportunity the subject would be presented to Congress; when
your honor’s department has so unequivocally pronounced against the
expediency of the existence of the zone; and when the present minister
of finance, to whose department the subject belongs, has for years past
been publicly known as a decided opponent of the Zona
Libre—when these facts are called to mind, the continued delay
of the Executive in proposing to Congress its abolition greatly
strengthens the conviction, so prevalent in the United States, that the
Mexican Government does not possess the requisite ability or disposition
to discharge its international obligations on the Rio Grande
frontier.
With the assurance of my distinguished consideration,
I remain, &c.,
