File No. 657.119/374
The Minister in Norway ( Schmedeman) to the Secretary of State
[Received 5.07 p.m.]
600. Minister of Foreign Affairs informed me yesterday that Norwegian Government was negotiating with Germany in regard to commodity exchange. He said that Germany was asking for a written statement of commodities to be sent to Germany. In reply to a question as to what compensation was expected His Excellency told me it was wrought and pig iron, steel plates, and medicines. I have no information about exact quantities.
With regard to the American agreement, Minister for Foreign Affairs expressed the hope that it would be signed by April 1 and seemed pleased at the prospect. Meanwhile general opinion is somewhat depressed and pessimistic regarding outcome of negotiations with us and it is not improbable that the Government plans to make use of this feeling for political purposes as soon as the agreement is concluded.