812.113/10327
The Chargé in Mexico (Schoenfeld) to the Secretary of State
[Received November 2.]
Sir: Confirming my telegram No. 394 of today’s date, eleven A.M.,70 I have the honor to quote below the text, as published in the local press, of an Executive decree under yesterday’s date, abrogating the Presidential order of May 30, last,71 prohibiting the dependencies of the Mexican Government from making purchases in the United States. Translation follows:
“The Executive in my charge has deemed it convenient to abrogate from the first day of November, next, order No. 863 of May 30, last, whereby it was directed that the various dependencies of the Executive should abstain absolutely from making purchases in the United States of North America; the said dependencies are, consequently, authorized to import from the trade in the neighboring country to the North or from any others the articles which may be necessary for their services, always provided these articles can not be acquired from the trade in the republic.
“Given in the Palace of the Federal Executive Power at Mexico, D. F. on the 27th day of the month of October of 1927.
“The President of the Republic, (Signed) P. Elias Calles.”
In announcing the issuance of this decree, the Department of Finance issues a statement calling attention to the fact that on May 30, last, the President of the Republic ordered the dependencies of the Mexican Government to cease making purchases of merchandise, manufactures, etc., in the United States, in view of the fact that various orders of the Mexican Government made in the United States had been “unjustly detained”. It is added that at that time the American authorities maintained a systematic embargo on the acquisitions of the offices of the Federation, necessitating the cancelation of various contracts made in the United States and the placing of orders in Europe. The Department of Finance says that the President now considers that his original order is no longer necessary and that he, therefore, has authorized the renewal of purchases in the United States if such purchases are more advantageous than dealings with other countries. Finally, according to the Department of Finance, all the appropriate authorities of the Mexican Government, both within and without the republic, which had previously been ordered to make no payment in contravention of the order of May 30, last, will now be apprised of the provisions of the new decree.
I have [etc.]