723.2515/2392: Telegram
The Secretary of State to the Ambassador in Chile (Collier)
103. We are unable to obtain issue of desired statement from Secretary of Commerce, which you suggested in your No. 182, May 30, 5 p.m. Mr. Hoover tells us that although the gross exports of nitrates from Chile have decreased, imports of nitrates from Chile into the United States have increased yearly, and for the first four months this year are larger than for same period in 1925; that it is true that decrease in export of Chilean nitrates is undoubtedly due to German synthetic process; that experiments are being made in the United States with plants at Niagara Falls but that no plant for production of nitrates has yet been built, although if price is not reduced there probably will be.
It seems that all Mr. Hoover could say is that there is prospect, if price of nitrates is kept up, that plants will be built in this country. He is loath to make any statement at this time, for one reason and another, and I do not see how he could issue any statement that would be helpful.
This afternoon I received the Chilean note,15 which corresponds to your summary.16 I understand from Cruchaga that Chilean Government refuses to instruct Edwards to postpone. After consulting with all parties here, I think it improbable that Lassiter can delay final action at Arica. He will probably act Saturday, or at latest Monday or Tuesday. I am to have a meeting of Chilean and Peruvian plenipotentiaries tomorrow morning but I do not see any prospect of their coming to an agreement.