Papers Relating to the Foreign Relations of the United States, 1916, Supplement, The World War

File No. 763.72112/3070

The British Ambassador (Spring Rice) to the Secretary of State

Washington, October 16, 1916 .
[Received October 18.]

Dear Mr. Secretary: In reply to your letter of the 2d instant, addressed to Mr. Barclay, I may inform you that the enquiries instituted by this Embassy have shown that so far as can be traced no notice of the character referred to in the enclosure to your communication has been sent to American coal dealers by my Government either directly or through any consular or other agency in the United States.¹

In this connection however you are probably aware that after the outbreak of the present war precautionary measures were taken with the object of conserving the supplies of British coal and the services of British ships for the interests of Great Britain and her allies, with as little disturbance as possible to the facilities hitherto accorded to neutrals, provided that these were not utilised directly or indirectly to serve enemy interests. To prevent the sale of British bunker coal to enemy ships in neutral ports, owners of British vessels were first required to give an undertaking that no coal other than that consigned to named firms approved by the British customs would be sold in foreign ports without the written sanction of a British consular authority. This requirement was subsequently supplemented by the Order in Council of October 4, 1915 which, besides prohibiting the export of coal except under license, subjected the supply of bunker coal to neutral vessels to the conditions specified in the enclosed circular. Vessels which have been employed in enemy interests or which have refused to observe the bunkering conditions are noted on a list of vessels to which British bunkering facilities are not accorded, and neutral steamship agents were informed that the name of any vessel whose coal cargo was delivered either in whole or in part to any enemy ship or enemy coal depot would be placed on that list.

A further precautionary measure had to be taken because British ships had been used to carry coal to enemy firms and depots in South America, and in some cases the coal even found its way via British ships to enemy cruisers. To put a stop to incidents of this character neutral coal companies chartering. British ships are requested to give an assurance that the vessels will not be used for carrying supplies of coal destined directly or indirectly for enemy ships or enemy coal depots or interests wherever situated. Companies failing to give this assurance might be noted as ineligible as charterers of British ships.

I am [etc.]

Cecil Spring Rice

[Enclosure]

Circular issued by the British Government Regarding the Supply of Bunker Coal to Neutral Vessels

Bunker coal can be supplied to neutral vessels if the following conditions are complied with in the case of all the vessels owned, chartered, or controlled by a particular firm wherever they are trading. Failure to comply with any of the conditions in the case of any one vessel may involve refusal of bunkers to all the vessels:

(1) The British authorities to be kept informed of the names of all the vessels owned, chartered or controlled by the firm.

(2) No vessel to be chartered to an enemy subject or company, or to any person whose name may be specially notified to the firm; and no vessel to be let on time-charter without informing the British authorities beforehand.

Particulars of all existing time-charters to be given to the British authorities.

(3) No vessel to trade with any port in any country at war with Great Britain.

(4) No cargo to be carried which proceeds from, or is destined for, a country at war with Great Britain.

For this purpose—

(a) All vessels when inward or outward bound to or from northern Europe must call in the United Kingdom for verification of papers, and special consideration will be shown to vessels which proceed via the English Channel. If vessels are bound to or from the Mediterranean they should not pass Gibraltar without communicating with the British authorities. If early notice is given of the intended call it will facilitate clearance.

(b) All goods carried from Scandinavian ports to be accompanied by certificates of origin.

(c) No goods to be carried which are consigned “to order,” and the firm to stipulate that no cargo is to be loaded which it is known would expose steamers to detention by British authorities.

(d) A clause to be inserted in all bills of lading of all steamers bound to neutral ports in Europe or North Africa enabling the firm to withhold delivery of goods until a satisfactory guarantee is produced to the effect that the goods will not be reexported.

(5) No coal, petroleum or its products, lubricating oil, or castor oil from neutral countries to be carried unless the consignee is approved by the British minister in the country of destination, or unless the vessel is calling for verification in the United Kingdom or at Gibraltar on the voyage in question.

(6) No subject of any country at war with Great Britain, if of military age, to be carried.

(7) Contraband goods destined for the United Kingdom or an Allied country only to be refused on reasonable grounds (e. g., that ship itself becomes liable to condemnation, that State insurance becomes invalid, etc.). Vessels carrying cargoes, contraband or other, to Allied ports will receive special consideration.

Note—If a firm elects to comply with these conditions, it is requested to forward the lists mentioned in paragraphs (1) and (2) to the Undersecretary of State, Foreign Office, London, as soon as possible, in order that arrangements may be made for facilitating the bunkering of the vessels at all stations. To save delay, the envelope should be marked “Bunker coal.”

If a firm is unable to guarantee the observance of the conditions in the case of vessels already chartered to other firms, the names of these vessels should be specially indicated. It will then be for the time-charterer to approach the British authorities if he desires bunkering facilities.

October, 1915 .

1. Letter not printed; the enclosure referred to is the following article from the Coal Trade Journal, September 20, 1916:

   American Coal Exporters Warned

   Great Britain has sent to American coal dealers a warning that any company which supplies coal to any German vessels, or one controlled by German or “enemy interests,” will be placed on its black list. American coal dealers are asked to sign contracts they will not supply “enemy ships” with bunker coal, and also to report every delivery of bunker coal made by the company to the British consul at the port where the coal is sold.

   To make certain that the coal dealers do not violate the agreement, the British Admiralty has caused to have embodied in coal contracts with American firms, a paragraph stipulating that the contract is subject to England’s coal rules.

   The following notice issued by the British vice consulate at Newport News, Va., is self-explanatory:

   His Britannic Majesty’s Government, in view of their interests as belligerents give notice that any firm or person who supplies coal to any German vessel or any agency or branch thereof will henceforth be refused supplies or British facilities of any kind whatever.

   It may even be necessary that the names of such firms or persons be placed upon the government black list.

   The following is the affidavit coal dealers must make to the British Consul’s office:

   I, representing ___, hereby agree that my company will not deal directly or indirectly with enemy ships or concerns, that every delivery of bunker coal made by me at ___ and elsewhere will be reported to the British Consul General at ___

   This agreement must be signed by a notary public.

   Here is the section of the coal contract England insists must be in every contract:

   The contract is subject to the suppliers giving a guarantee to His Majesty’s consul at ___ that they will not deal directly or indirectly with enemy ships or concerns.

   ’Tis not likely this will curtail business at Newport News to any material extent.