659.116 Auto/8
The Minister in Denmark (Owen) to the Secretary of State
[Received February 25.]
Sir: I have the honor to refer to the Department’s instruction No. 108, of January 22, 1935, File 659.116Auto/2[4], and to state that I am making every effort to lessen the import restrictions on American products.
The importation of American goods is becoming increasingly difficult as Denmark’s obligation to purchase from England, the principal purchaser of this country’s exports and the further obligation resulting from the trade agreements which have been concluded, increasingly restrict the available import permits. The situation is further complicated by the fact that England appears to have predicated a recent loan upon the adjustment of Denmark’s trade balance.
It has seemed to me advisable to bring to the attention of the Prime Minister and the Minister for Foreign Affairs the fact that although the United States adheres to the most-favored-nation policy, that there is nevertheless a provision that “the generalization of trade concessions [Page 172] may, at the discretion of the President, be withheld from countries which have discriminated against the United States in the operation of their trade regulations.
In personal conferences with both these officials I pointed out that while recognizing that the pressure of circumstances outlined in the foregoing paragraphs might adequately explain Denmark’s present restriction of imports, which is nevertheless working great hardships to the American importers, it would be most regrettable should it constitute actual discriminatory action, which would result in the loss to Denmark of the generalizations comprehended in future American trade agreements. Both the Prime Minister and the Minister for Foreign Affairs made careful note of this point.
I have furthermore, as instructed, made available to the local press the text of the speech by Under Secretary Phillips, on January 28th, at the Annual Banquet of the American Acceptance Council,3 and I have the honor to enclose herewith a translation of the article4 which appeared in Berlingske Tidende, under date of February 5, which was printed without editorial comment.
Respectfully yours,