611.60F31/62: Telegram
The Secretary of State to the Minister in Czechoslovakia (Wright)
9. Your 12, March 4, noon. Although no decision has yet been reached on the policy to be adopted regarding the generalizing of concessions made under our trade agreements, the Department has been making a study of foreign discriminations against American trade with a view to the possible withholding of trade agreements concessions from discriminating countries. Complaints against Czechoslovakia include discriminatory exchange control, quotas and customs treatment, with particular reference to lard, prunes, raisins, and automobiles, as reported by your mission.
If you deem it expedient you may convey above orally and informally to the Foreign Office together with any other complaints of discrimination which may have come to your attention and intimate that Czechoslovakia can assure itself of the benefits of duty reductions under trade agreements concluded by the United States by entering into a new agreement which would supplant the existing one9 and contain, in addition to renewed assurances against discriminatory tariffs, assurances of equitable treatment in the allotment of exchange and quotas. Such an agreement would provide that exchange allocations would be made on the principle of granting the United States a share of the total exchange available for commercial transactions approximating the share of the exchange employed in a previous representative period of uncontrolled exchange for the settlement of commercial obligations to nationals of this country. With respect to quantitative restrictions and customs or tariff quotas the agreement would provide that allocations for any product would be based on the proportionate share of the total importations of such product during a previous representative period. Such an agreement would, of course, be reciprocal. This government would be glad to submit a draft text if the Czechoslovak government so desires.
- Signed December 5, 1924, Foreign Relations, 1924, vol. i, p. 616.↩