File No. 635.119/309

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


My March 14, 6 p.m.2 Your March 4, 12 [1] p.m. Naón had an interview with the President last night and came to see me early this morning to say that the President had approved the formula or sketch of project for an economic alliance between Argentina and [Page 679] the United States, England, France and Italy to last during the war. Literal translation follows:


In the presence of the circumstances created by the present war and with the desire of contributing to the increase of the ties between the contracting countries with the idea of a reciprocal economic cooperation which shall correspond to their respective necessities during the time the present war may last, the Government of the Argentine Republic on the one part and those of the United States of America, France, Great Britain and Italy on the other, have designated as their respective plenipotentiaries the Messrs. (----------) to agree upon the following stipulations:

The Governments of the United States, France, Great Britain and Italy, bind themselves to permit the exportation to the Argentine Republic during the time which the war may last of the following articles of their production—and of other articles indispensable for the development of the national life of Argentine or its industries and in such quantities as may be necessary for those ends, provided always, that the Argentine Government make official requisition for the same.
The above-mentioned Governments of the United States, France, Great. Britain and Italy will themselves contribute proportionately so far as possible the ships necessary for the conduct of the commercial interchange between those countries and the Argentine Republic during the time which the war may last after satisfying the exigencies of their vital necessities.
The above-mentioned Governments or which ever one of them may be in condition to do so, shall facilitate to the Argentine Government if they be necessary the funds indispensable for the financing of the development of the national industries related to the increase of reciprocal commercial relations or to the exigencies of the life of the nation, the satisfaction of which necessarily needs the aid of the natural or manufactured products of the other four countries.
In its turn the Argentine Government having satisfied its own necessities will facilitate the acquisition by the Governments of the United States, Great Britain, France and Italy of those national products which they may need for their [subsistence] and of those raw materials of Argentine production indispensable for the development of their industries and shall at the same time contribute within the resources of which it may be able to dispose to the financing made needful by the acquisition of such products.
The Argentine Government shall at the same time cooperate in the stabilization of the international exchange between the Argentine, American, French, English and Italian markets by a process similar to the one which actually rules between the United States and the Argentine Government in such manner that this stabilization shall produce results during all the usual time that the present conflict may last.

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Naón says that he has received encouragement from the Ministers of France and Italy and England and that he will stay in Buenos Aires until affair is determined. What he wants from the United States Government is merely a statement that it will entertain conversations upon such a five party treaty. He expects that in paragraph 2 the United States will wish to insert Argentina as also binding herself to secure ships (the German) and that in paragraph 3 at the words “national industries” we may move to insert a phrase excluding enemy’s companies limitations [especially] electricity company from such classification. No exports will be permitted to Argentina from the United States except on request and statement of the Argentine Government that they are necessary for Argentine industries. Under paragraph 4 it is intended that the credit shall be adequate to the necessities of each country; and under paragraph 5 that the exchange credit shall have no limit.

Naón expects the Argentine Government will acquire and operate all the German ships as national transports.

I made no comment whatever other than to promise to request of the Department earnest consideration and an early answer.

  1. Not printed.