560.M5/171: Telegram
The Consul at Geneva (Gilbert) to the Secretary of State
[Received November 29—9:25 a.m.]
Economic Conference ended this morning. In view of uncertainties present in the Conference, it has seemed expedient to defer reporting until the various situations had become clarified.
All states signed or announced their intention of signing Final Act. Final Act being forwarded as a League document.54
Conference considered to have been a failure as far as negotiations with a view to ameliorating present tariff conditions are concerned. The general air has been pessimistic throughout. A summary of the relatively meager results of the Conference are as follows:
- 1.
- Commercial convention. States which have ratified, agreed to extend time limit for deposit of ratifications to January 25, 1931. The question of the putting into force of this convention has been postponed until a later meeting. This may take the form of a very short meeting late in January for this particular purpose.
- 2.
- British proposal for reductions on groups of commodities. As far as collective negotiations are concerned the Final Act of the Conference flatly declared that they “could not be entered upon by all of the signatory states en bloc”. The possibility of bilateral negotiations was “noted with satisfaction” by the Conference and the hope expressed that some improvement might possibly result from this method. This obviously means very little, unless Germany and other Continental countries, fearful of Great Britain turning to protection, make some concessions in the way of tariff reductions in direct negotiations with Great Britain.
- 3.
- Preferential treatment for cereal exports of agricultural countries of Eastern Europe. These negotiations exaggerated completely as far as conceded action was concerned, the Final Act simply “notifying” the proposal of the agricultural countries. Of the five countries from whom preference was requested, France, Italy, and Austria refused to consider a preferential régime, Czechoslovakia doubtful, and only Germany willing to negotiate on basis. It is understood that Germany has already begun preliminary negotiations with Roumania for a general commercial treaty. It is not improbable that in these treaty negotiations the question will be raised of granting possible preferences on cereal products in return for tariff reductions on industrial products in the exportation of which Germany is particularly interested. Similar negotiations on Germany’s part with Hungary and Yugoslavia are foreshadowed.
- 4.
- Convention for abolition of import and export prohibitions and restrictions. Situation unchanged from consulate’s November 26, 10 a.m.55
- 5.
- Treatment of foreigners. No formal action taken. Private conversations however took place with a view to advancing this project.
- 6.
- Technical questions such as indirect protection, unfair competition, customs nomenclature, etc. No action taken beyond expressing the hope that the League would expedite the pertinent studies.
Although the work of this Conference was considered as preliminary, the idea of collective action in tariff matters appears to have been allowed to lapse at least for some time to come.
The third Economic Conference,55a if called, will now probably not take place before March in order to allow time for negotiations which have been envisaged to proceed.
- League of Nations document C.655.M.270.1930.II (Geneva, December 9, 1930) was forwarded to the Department by the Minister in Switzerland in his despatch No. 1820 (L. of N. No. 1902), December 19, 1930; received January 5, 1931.↩
- Not printed.↩
- A second session of the Second International Conference with a view to Concerted Economic Action was held at Geneva March 16–18, 1931. Its proceedings were followed informally by officers of the American Consulate at Geneva and reported in despatch No. 88 Political, March 21, 1931 (560.M5/216). The commercial convention of March 24, 1930, failed to be put into effect.↩