611.5231/796: Telegram
The Secretary of State to the Ambassador in Spain (Bowers)
21. Your 28, March 26, noon. I have given no statement to the press to the effect that early trade treaty discussions would be opened [Page 694] with Spain or any other country. Legislation is now pending in Congress which, if enacted, will confer upon the President the authority to adjust tariff rates through reciprocal negotiations with foreign countries. I have taken the position that pending the enactment of such legislation this Government is not in a position to undertake reciprocal trade negotiations or to indicate its willingness to negotiate with countries other than those with which exploratory conversations were begun last summer (Argentina, Brazil, Colombia, Cuba, Portugal, Sweden). Ambassador Cárdenas called on me on March 1 and March 15 and inquired on both occasions whether a time could be fixed for commencing negotiations with the Spanish Government. I told him that I was well aware of the somewhat acute trade conditions between Spain and the United States, and that I was desirous of getting these matters adjusted as early as possible, but that I did not feel justified in making commitments as to the time of taking up the matter. The Ambassador was very insistent, but I undertook to convince him that we had better be certain as to what could be done and when before making definite promises; that we could not naturally fix any date to commence negotiations until Congress first gives us authority.
I appreciate the friendly disposition of the Foreign Minister towards this country, and I sincerely hope that Spain will not embark upon a program the purpose or result of which will be to reduce American imports into Spain, particularly if this is done through measures of a discriminatory character. Such a development in the face of existing discriminations against American trade could only make more difficult the negotiations which we hope can in the not too distant future be undertaken with Spain. I would of course be glad to be of assistance to the Minister of Foreign Affairs in his efforts to hold off proposals of the Ministry of Commerce and Industry, but I repeat that until we know the outcome of pending legislation it is not possible to make any commitment as to when discussions could be undertaken. You can say that I have made no promises of priority to any country. I hope you can make our position clear to the Minister of Foreign Affairs, and that he will realize my appreciation of his friendly interest in maintaining the best possible relations between the two countries, a sentiment which I fully reciprocate.