611.5231/796: Telegram
The Ambassador in Spain (Bowers) to the Secretary of State
[Received March 26—11:35 a.m.]
28. The Foreign Minister6 in conversation Saturday asked me to authenticate officially from Washington Associated Press despatch to the effect that the Department had given out its plans to negotiate trade agreements with Spain and Italy before long. The contingent system adopted here is in operation and the Minister of Commerce and Industry recently proposed a plan restricting imports from the United States because the balance against Spain in our trade relations is far greater than with any other country and consequently is a matter of concern here and of much cloakroom discussion in the Cortes. The Foreign Minister wishing to hold off announcement postponed it be-cause of Associated Press report but Foreign Minister who appears friendly to us is greatly embarrassed by inability of Cárdenas7 to get satisfactory information on our intention. The Foreign Minister formally asked me to inform Washington from him that the Government here is very anxious to come to a mutually satisfactory trade arrangement with the United States. I believe that if I can give assurance we do intend reasonably soon at least to discuss trade agreement with Spain, Foreign Minister can and will hold off the adverse proposal of the Minister of Commerce and Industry, otherwise I am positive the restrictions will be made quite soon.
This conversation with Foreign Minister must not be interpreted as a threat. He has been and is very friendly to us and his informal and frank conversation was more in the nature of an application to us to furnish him with a reason for holding off proposals of Ministry of Commerce and Industry. Did the Department tell Associated Press Spain is on list for reasonably early consideration and can I so inform the Foreign Minister? See my despatch 316, March 21, sent by the pouch March 21.