611.6131/377
Memorandum by the Assistant Secretary of State ( Sayre )
Ambassador Bullitt, in the course of a conversation concerning the situation in Russia, spoke, among other subjects, of the trade situation. He adverted to the agreement entered into last June [July] under which the United States agreed to extend to Russia most-favored-nation treatment in return for an agreement by Russia to increase its purchase of American goods so as not to fall below a certain amount. Mr. Bullitt said that he felt confident that Russia is in a position to buy large quantities of American goods. Russia lacks and needs American goods. Mr. Bullitt gave it as his opinion that if the present agreement should be renewed for another year Russia should be asked [Page 323] to increase substantially the amount of American goods to be bought by her. He suggested that in his opinion we should ask Russia to buy a minimum of $50,000,000 worth of American goods for the year.