File No. 654.119/555
The Acting Secretary of State to the Chargé in Great Britain (Laughlin)
1957. For Sheldon [from War Trade Board]:1
1397. Embassy’s 2602, October 8, 6 p.m., your 1614.2 Stewart has cabled us that the Italian Foreign Office was greatly embarrassed by our request that the execution of the new Italian-Swiss agreement be postponed, [pointing out]:
- (1)
- That the new agreement will have the effect of materially reducing the exportation of Italian foodstuffs to Switzerland, a result much desired by Italy on account of her own needs;
- (2)
- That the new agreement has been under negotiation for over four months and would only run to June 1, 1919;
- (3)
- That the new agreement will secure utilization of Swiss cotton stocks in Italy;
- (4)
- That Swiss have consented to all reductions demanded by Italy and that Foreign Office is greatly embarrassed by our request to insert new conditions.
In view of these considerations and the facts hereinbelow set forth, we have cabled Stewart that we had withdrawn our request. We requested him in that connection to point out that our desire to be consulted in this matter was based upon the view that such consultation would secure objects of common interest to Italy and her cobelligerents. We are heartily in accord with the desire of Italy to reduce her foodstuff exports to Switzerland and to secure the utilization of Swiss cotton stocks in Italy. It was our hope, if these matters could be taken up as part of the new agreement to be negotiated with Switzerland, to secure for Italy an amount of bread and raw materials to support her people and maintain her economic life, and shipping facilities to transport same. We could have secured for Italy the entire amount of Swiss cotton held in Italy and also Italian lumber requirements, and this could have been acquired without Italy exporting to Swiss foodstuff which must be replaced by United States. We also had in mind that cotton exports from Italy to Switzerland must be replaced by shipping subject to submarine dangers, whereas we could have offered Swiss replacing cotton from this country which could have been transported under German safe conduct. We have urged Stewart, after having informally advised his French and British colleagues of the considerations herein set forth, to advise the Italian Foreign Office of the withdrawal of our request, explaining that our interest in the Italian-Swiss agreement was entirely sympathetic and was predicated upon the desire of assisting Italy to the greatest possible extent.
Repeat this cablegram to Dresel as a reply to his 207, Legation’s 5074, October 7, 9 a.m., to us,1 and also to McFadden.