611.5231/804

The Ambassador in Spain (Bowers) to the Secretary of State

No. 406

Sir: I have the honor to make the following observations on Spanish-American commercial relations. Now that the President has been granted the power to act in the negotiation of trade agreements,9 the Department will be approached without delay, I have no doubt, by the Spanish Ambassador with a request for the beginning of negotiations. There is no doubt that Calderón10 left Madrid with very definite instructions.

From time to time during the year I have informed the Department of the attitude here toward the trade relations of the two countries and months ago, on the personal request of the President, I sent a full list of the Spanish articles of commerce in which the Government here is interested.11 This was prepared very carefully by the Government here.

Because of the strong balance against Spain in the case of the United States there has been agitation in some quarters here for action aimed at the reduction of our present importations into this country. At one time this was being very strongly urged and there was an influential element in the Cortes very insistent upon it in the discussions of the lobby. Santiago Alba, one of the strong men of the Government, now President of the Cortes, said at that time to an American press correspondent, though not for publication, that while he regretted the necessity something would have to be done toward correcting the trade relations with America.

At all times, however, the Foreign Minister has been against precipitate action; and after the concession on grapes and our generous treatment on wine,12 Pita Romero, the Foreign Minister, said to me in a general conversation:

“There was a time, two months ago, when there was a feeling in governmental circles that for some reason the United States was either [Page 697] unfriendly to Spain or at least indifferent, and in consequence there was a feeling of resentment and a disposition to take some action. But the grape concession and your generous treatment in the case of wine has completely changed this attitude. We now feel that when the President gets the power something can and will be done that will be mutually helpful.”

The Foreign Ministers’ reference to the conditions of two months before is not unknown to the Department, since at that time I informed it of a conversation with Pita Romero13 in which he said that the Department of Industry and Commerce had submitted a plan to the Foreign Office which would considerably reduce the importations from the United States. He said that he was holding this back, and would continue to do so as long as possible, and you will recall that at that time he asked me to get some assurance from Washington that it is the intention there to discuss trade relations with Spain. I replied that the Government was making no positive commitments pending the attempt to secure special tariff powers for the President, and that appeared to satisfy the Foreign Minister who has kept control of the situation.

Now that the powers are granted we shall be approached at Washington for early action, and in view of the situation here I am convinced that we should give a most sympathetic ear to the suggestion of a trade agreement, even if it cannot be undertaken at once.

I am thoroughly convinced that the Spanish are not bluffing and that an attitude of indifference in Washington long continued will inevitably result in action here that will not be to our advantage.

Respectfully yours,

Claude G. Bowers
  1. Trade Agreements Act, approved June 12, 1934; 48 Stat. 943.
  2. Luis Calderón, newly appointed Spanish Ambassador in the United States.
  3. Letter dated August 2, 1933, to President Roosevelt; not printed.
  4. See despatch No. 82, March 13, to the Ambassador in Spain, p. 690.
  5. See telegram No. 28, March 26, noon, from the Ambassador in Spain, p. 693.