Papers Relating to the Foreign Relations of the United States, 1917, Supplement 2, The World War, Volume I

File No. 694.119/24

The Japanese Ambassador ( Sato) to the Secretary of State

Note Verbale

In the copy of the substance of a telegram received from Viscount Motono on July 12,² which I handed on the following day to Mr. Long³ in the absence of you and Mr. Polk, the Japanese Government expresses its earnest desire that the United States Government would take the most generous course as to the exportation of iron and steel materials to Japan, inasmuch as the embargo on such articles would affect enormously all branches of industry in Japan and particularly the construction of ships including those for Allied nations and, further, the manufacture of munitions of war. It was also requested that such articles as were covered by outstanding contracts were given especial attention to avoid unforeseen losses and damages to the parties concerned. From verbal assurances on the part of your Department and the note which Mr. Polk, acting as the Secretary of State, was good enough to address me under date of July 21,² I am satisfied that the American Government is kindly taking these points into consideration in formulating their course in the execution of the President’s proclamation issued on July 9, last.⁴

However, since it was feared lest the steel and iron embargo of your Government might entail immediate, far-reaching and detrimental effects on the industry and commerce of Japan and since the instruction of the President to the Honorable the Secretary of Commerce on August 2, prescribes that “all shipments to those nations associated with the United States in the war are …¹ to be licensed freely …¹ except iron and steel plates, pig iron, iron and steel scrap and steel billets for which licenses shall be granted only in case said articles are destined for actual war purposes or will directly contribute thereto,” and also that “licenses …¹ will be granted for shipments of all iron and steel plates and structural shapes,” which were to be completely made up and manufactured on or before August 10, 1917, I have the honor, acting under the instruction of Viscount Motono, now to approach you with the earnest request of the Japanese Government for a specific assurance from the American Government that American manufacturers of steel and iron materials will be permitted to fulfill the Japanese demands at least to such an extent as would secure the Japanese industry, especially the construction of ships, against coming to a standstill. In this connection, it being deemed most important that your Government be well informed as to the real situation of affairs in Japan, I beg to record a few facts bearing on the Japanese demand for steel and iron materials.

1. There are about 270 steel vessels with more than 1,000 tons actually in the course of construction or proposed to be constructed. Their total tonnage will aggregate about 1,100,000 tons. Of these, 34 vessels representing about 206,000 tons have already been sold to the Allied nations.

2. Four hundred twenty thousand odd tons remain as yet undelivered of the amount covered by the outstanding contracts between Japanese private concerns and American manufacturers. This comprises materials to be allotted to the construction of the ships under contract with Allied nations. The rest is for vessels urgently needed by Japan for transportation purposes. It is estimated, further, that in the next twelvemonth about 300,000 tons will have to be newly ordered from the United States.

3. Japan needs about 10,000 tons of pig iron for military and industrial purposes.

I feel sure that the permission by your Government of exporting the materials to the Allied nations with certain exceptions that they are to be allowed to go only when they are for actual war purposes or will directly contribute thereto, has relieved the mind of the Japanese Government and people in no small measure. However, it is sincerely desired that the American Government will submit the above itemized circumstances to its full consideration and see its way to supplying the Japanese demands as approximately as possible to the figures quoted, if it be impossible to satisfy them entirely on account of internal necessities of the United States which is fully appreciated by the Japanese Government.

Washington , August 16, 1917.
[Received August 16, 1917.]

2. Not printed.
3. Breckinridge Long, Third Assistant Secretary of State.
2. Not printed.
4. Vol. II, p. 903.
1. Omission indicated in the original.
1. Omission indicated in the original.
1. Omission indicated in the original.