File No. 763.72112/3315

The Ambassador in Great Britain ( Page ) to the Secretary of State

[Telegram]

5500. Your 4224, December 29 [28], 7 p.m., and my 5412, January 3, 5 p.m.1 Foreign Office replies to my written representations based on your above in note to be forwarded next pouch; substance follows.

One of the conditions of British bunker agreements with neutral shipowners is that such shipowners undertake not to surrender the [Page 508] control of any of their vessels to a third party without the previous consent of British Government, given only if such third party subscribes to the same conditions. Since the large majority of neutral shipowners in all European countries have accepted these conditions, it is concluded that they are found in practice advantageous to such shipowners. Regarding American shipping firms British Government has done nothing more than to advise them of the actual conditions in bunker agreements with neutral European shipowners to be followed in cases where latter desire to charter their vessels to third parties. Since a very considerable number of American firms have voluntarily expressed their willingness to subscribe to these conditions it would appear that they are satisfied some positive advantage will accrue to them from their acceptance. British Government is, of course, desirous that American shipping firms should consult it as to the trade in which vessels in their service may be engaged in the light of the possibility that such ships may be employed to supply enemy commerce raiders as happened in 1914 on various occasions. The use of the word “control” however puts the entire question into a legal and controversial channel out of which British Government would prefer to keep it. It is hoped that British policy may be now more clearly understood in view of present discussion of the matter between State Department and British Embassy.

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  1. Latter not printed.