File No. 635.119/202

The Ambassador in Argentina ( Stimson ) to the Secretary of State


Stabler from Robbins:

As the Ambassador has gone away for a few days visit, Naón sent for me this evening to discuss the President’s attitude with regards to the present situation. Naón proposed the following plan, which he begged me to consider as entirely confidential and informal. His [Page 672] idea is that the following tentative plan for a declaration of Argentina’s national policy be presented for his approval: that inasmuch as the international situation which prevailed before the war has so changed the circumstances affecting Argentina and for which Argentina is in no way responsible, that Government, in accordance with her international rights which permit her both to foster and maintain such commercial and economic interests as she may deem appropriate, should decide to enter into negotiations with the Allied Powers for the purpose of consolidating in a permanent way during the present war her economic and commercial ties with these powers, on the basis of a reciprocal cooperation which would permit the Allied Powers on one side to dispose of their products and Argentine on the other side to make use of the products of the Allies which she may need in the development of her industries. Naón thinks that through a negotiation of this kind the position of Argentina would be clearly defined, and that she would then appear before the world as definitely a friend of the Allies, and further that a political atmosphere would be created which would be propitious in future developments.

In discussing this plan with me he requested that I communicate the same to the Department and he has further suggested that he would greatly appreciate an expression of the views of the Government of the United States on this proposed plan.

For the Department’s information, though Naón has given no definite assurances whatever, he has stated to me that he is hopeful of the approbation of this plan by the President, his explanation being that neither the President nor the Argentine people as a whole consider that there is an immediate cause for Argentina breaking relations with Germany and that therefore for the present this is the best solution.