File No. 600.119/1026

The French Deputy High Commissioner ( Billy) to the Secretary of State

Mr. Secretary: I am informed by my Government that German delegates arrived in Copenhagen on the 9th inst., for the purpose of negotiating a new commercial treaty, the present one expiring on the 31st of this month. Their intention is to make stipulations which will continue in effect after the war.

It would appear also that in the last German-Swiss treaty, of which you are no doubt cognizant, there are certain secret clauses which put Switzerland, economically and industrially, completely into the power of Germany, not only for the duration of the war, but also for after its cessation.

Likewise in the negotiations between Germany and Holland, the Germans are endeavouring to make arrangements for after the conclusion of peace. They have asked for an option on the products of Dutch colonies for a period extending over 5 years, also the cession to them of one out of every two vessels built in the Dutch ship-yards.

My Government is of the opinion that the undertakings of neutral Governments towards Germany, which would continue in effect after the war, cannot be accepted, and that we must inform them of this at once, explaining that at all events these undertakings must on no account be opposed to us; also that it is necessary even now, to take a stand on the subject, so as to put neutral countries in a position to oppose pressure from Germany on this point at least.

The French Government lays special stress on being informed, at the earliest convenience, of the attitude of the American Government on this subject. I would be very much obliged to you if you would kindly put me in a position to give them satisfaction.

Please accept [etc.]

Billy