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  4. Document 381

711.90a2/6

The Secretary of State to the British Ambassador ( Lindsay )

Washington , May 23, 1930.

Excellency: I have the honor to acknowledge the receipt of Your Excellency’s note of May 3, 1930, in which, under instructions from His Majesty’s Principal Secretary of State for Foreign Affairs, you refer to the increasing financial stringency suffered by the State of Muscat and Oman, and inquire whether, in order that it will be possible to remedy the situation by means of a general increase in the tariff on goods imported into Muscat, the Government of the United States of America will consent to waive its rights under Article III of the treaty of September 21, 1833, between the United States and Muscat whereby vessels of the United States entering the ports within the dominions of the Sultan of Muscat shall pay no more than five per cent, duties on the cargo landed.

In reply, I have the honor to say that in view of the situation described in Your Excellency’s note, this Government has no objection in principle to a general increase in the tariff rates in Muscat. With a view to abandoning its rights which interfere with such increase, it will be glad to conclude a treaty modifying the provisions of Article III of the treaty of 1833. I have the honor to propose, therefore, that there be concluded between the United States of America and the Sultan of Muscat a treaty substituting for Article III of the treaty of 1833 a new article providing for unconditional most-favored-nation treatment in respect to import and export duties.

This Government would also desire to incorporate in the new article a general provision whereby American citizens shall enjoy in the dominions of the Sultan unconditional most-favored-nation treatment in respect of any advantage extended to citizens of any other country in matters of commerce, navigation, residence and establishment, taxation and the administration of justice.

If the foregoing proposals meet with approval, I shall be glad to submit for the consideration of the Sultan a draft of a treaty designed to give them effect.

Accept [etc.]

H. L. Stimson