611.613 Coal/29: Telegram

The Secretary of State to the Ambassador in the Soviet Union (Davies)

50. Your 89, May 8, 1 p.m., and 93, May 13, 11 a.m.58 Soviet Ambassador,59 in calling upon me yesterday,60 inquired what we were doing or could do about the discriminatory tax on coal imports from his country. I told him that the discrimination against coal imports from the Soviet Union was opposed by me and others, much more strongly, if possible, than by the Soviet Government, for the reason that we feel that the success of our broad economic program should not be delayed or impeded by such “sore thumbs” as the discriminatory tax on Soviet coal. I said that I would be glad for his Government distinctly to understand that we were now striving in the most earnest manner, day by day and week by week, to get rid of the discriminatory coal tax complained of, and that we would continue so to strive. I emphasized that we have been fighting vigorously for many years against discriminations such as this in international trade practices and methods, whether carried on by this Government or other Governments; that there was no more paramount purpose of our present broad program of liberal commercial policy, and that this attitude of mind and purpose on our part constituted a vastly different attitude from one of permitting a discrimination to stand with more or less partiality towards it and with indifferent disposition relative to the question of its removal.

When the Soviet authorities again raise the question of the removal of the discriminatory tax on Soviet coal you should make clear to them our attitude with regard to the matter.

For your information, the Executive Committee on Commercial Policy has been working for some months on the problem involved in removing the discrimination against Soviet coal. All interested governmental departments are agreed as to the desirability of eliminating the discriminatory features of the coal tax. The matter is being actively pursued at the present time and I hope that a satisfactory settlement of this question can be worked out within the next 4 weeks.

Hull
  1. Neither printed. Representations were made by the Soviet Government to the American Embassy in Moscow similar to those made by the Soviet Embassy in Washington to the Department of State regarding the import tax on coal (611.613 Coal/27, 28).
  2. Alexander Antonovich Troyanovsky.
  3. The conversation occurred on May 12, 1937.