835.5151/116a: Telegram
The Acting Secretary of State to the Chargé in Argentina ( White )
30. Department of Commerce reports that it has received a cable from its representative in Buenos Aires stating that the Argentine Control Commission officially advised all banks on May 31 that effective on that day all permits granted for purchases of dollars must be covered by dollars derived from exports to the United States.
The Department assumes that this order covers purchases of all foreign currencies and does not refer only to the dollar. It appears evident nevertheless that it will occasion grave difficulties to American exporters to Argentina. If the aforementioned information is correct you will please express to the Argentine officials this Government’s profound regret that they have adopted a measure constituting a serious impediment to trade between the United States and Argentina and therefore not in harmony with the objectives of the World Economic Conference or the proposed Tariff Truce. The Governments represented on the Organizing Committee of the Conference, as well as many other Governments, have agreed that they will not prior to June 12, nor during the proceedings of the Conference adopt any new initiatives which might increase the many varieties of difficulties now arresting international commerce. You will please express this Government’s hope that the Argentine Government is in sympathy with the purposes of the Tariff Truce and you should also invite the [Page 738] attention of the Argentine authorities to President Justo’s reply to President Roosevelt’s telegram of May 16,9 in which the former expresses the Argentine Government’s adherence to the views on economic subjects contained in that message. In view of the foregoing you are requested to urge the Argentine Government to withdraw the decree of the Exchange Control Commission.
Your despatch 2063.10 You will please inform the Argentine Government that in the opinion of this Government the allotment to Great Britain of exchange as outlined in Article 2, clause 1 of the Anglo-Argentine trade treaty contains elements of discrimination in favor of British trade which are inconsistent with the aims of world cooperation which alone can give meaning to the World Economic Conference. You should state that if such a plan is put into practice it would discriminate seriously against American business interests in Argentina and compel this Government to protest most earnestly against it. You should point out that this Government does not discriminate through control of exchange against the commerce of any nation and express its hope that in the interest of the friendly relations existing between the two countries American trade will receive in this respect treatment as favorable as that accorded by Argentina to the commerce of any other nation.
- Vol. i, p. 143.↩
- May 12, 1933, p. 730.↩