862.504/342

The Ambassador in Germany (Dodd) to the Acting Secretary of State

No. 20

Subject: Apparent Contravention of our Treaty of Friendship, Commerce and Consular Rights with Germany by German Law of June 1, 1933, for the Decrease of Unemployment.

Sir: With reference to the Embassy’s despatch No. 2512 of July 1, concerning the above subject, I have the honor to transmit herewith a despatch dated July 20,2 together with its enclosures, received from the Consulate General in Berlin. The material contained therein constitutes ample and striking evidence of discrimination against American products affected by the law in question.

As pointed out in the despatch from the Consulate General, the German firms who are in competition with our manufacturers recognize themselves that the operation of this law is discriminatory, and it is clear that they are determined to make the most of this opportunity.

While further instances of discrimination against American products will unfortunately surely continue to be forthcoming, I feel that the information submitted by the Consulate General shows clearly the very serious losses which are being, and will be, caused to the American manufacturers of such products, and bears out most convincingly the contention that the German law in question constitutes a violation of Article 8 of our treaty with Germany.

I may add that in spite of again calling to the attention of the Foreign Office the large losses which are being currently suffered by American firms in the premises, and the consequent desirability of receiving as prompt a reply as possible to the oral representations made at the end of June, there has—as predicted in the Embassy’s despatch under reference—as yet been no sign of an answer being forthcoming.

Respectfully yours,

William E. Dodd
  1. Not printed.