611.4231/1318
Memorandum by the Counselor of Legation in Canada (Boal)19
At the Minister’s request I called today upon Dr. Skelton, and after discussing one or two other matters turned the conversation to the recent talks which had taken place between Mr. Armour and the Prime Minister, in particular to the latter’s projected visit to Washington and to his suggestion that some announcement regarding Canadian-American relations be made on Armistice Day.20 I asked Dr. Skelton in this connection if he understood, as we did, that the trade agreement negotiations had remained exactly in the status quo existing before the elections. Dr. Skelton said that he did so understand and that while a good deal of progress had been made up to that time they were still, in his view, a considerable distance from an agreement, particularly because of the five principal products on which we apparently could not make the concessions the Canadians wanted (cod, lumber other than Douglas fir, cream, seed potatoes and live cattle). Dr. Skelton did not enumerate these as the products, but merely mentioned the “five products”. He said that in his own personal view, whatever might be the view of Mr. King at the moment, he thought that an agreement which did not cover these would be so narrow as not to be worth concluding. However, he emphasized that that was merely his own personal opinion.
I said that the Minister felt that he wanted to obviate any possibility of any misunderstanding, although he thought that he had been quite clear on the subject, that of course the pleasure of the President and of the Secretary, the Under Secretary and other officials of the Department at having Mr. King come to Washington should not be interpreted as in any way affecting the present status of the negotiations which, as we understood it, would have to be taken up on their own merits. In other words, there was really no more assurance of the likelihood of the conclusion of an agreement at the time Mr. King came to Washington than there had been before, and if it should develop that an agreement couldn’t be reached at that time certainly [Page 31] he hoped the Prime Minister would not feel he had been put in an awkward position because an agreement had not been provided for him to bring back with him.
I remarked that the Prime Minister, in talking with the Minister, said that he had wanted to go to Washington if it seemed likely that an agreement could be reached, and that one of his purposes in going there was to further the conclusion of such an agreement. I said that these two thoughts might not fit very well together, as certainly no assurances could be given now that an agreement would be reached, and therefore Mr. King, in making the trip, would be taking something of a chance if he felt that not to reach an agreement while he was there would leave him in a difficult position.
Dr. Skelton said that he had expressed exactly the same view to the Prime Minister and would do so again, but he thought that the Prime Minister fully understood that the suggestion of the visit had not made any change in the status of the negotiations.
I then referred to the enclosed clipping21 on the embargo question and said quite personally that I supposed this subject might be one which it would be useful to discuss informally before any statements were made on one side or the other if Canada were to embargo nickel and other exports to Italy. Dr. Skelton said he felt that that was his view, that this subject might indeed be usefully discussed. I then said that if matters did so develop that it seemed desirable to present some kind of a picture of Canadian-American relations at the time of the Prime Minister’s visit to Washington, there were some pending matters which might conceivably be useful to include in that discussion to broaden the picture. There was, for instance, an extradition treaty in negotiation, and I understand that at the moment consideration was being given it primarily in Ottawa. Dr. Skelton said that this was correct, but that he did not know whether they were close enough to final adjustment to permit of conclusion of this treaty by the time of the visit. However, he made note to look into it with either conclusion or an announcement in mind.
I mentioned also the possibility, which we have discussed before, of a treaty of consular rights. He said at once that he thought it would be advisable to await the appointment of consuls for Canada in the United States before dealing with this subject, and that therefore it would not be possible to conclude a treaty very rapidly. I said I did not have in mind the conclusion of a treaty at this moment, but thought that perhaps it might be useful to be able to announce an intention or a hope in this regard at the time of the visit. He immediately said that that seemed to him a good suggestion and that he would talk it over. I said that no doubt other subjects would suggest themselves to him as he considered the matter.
[Page 32]Dr. Skelton said that they hoped to get the experts down to Washington on Monday or Tuesday, that in the meantime Mr. Euler, Minister of Trade and Commerce, and Mr. Dunning were working on the question with the Prime Minister and with Mr. Wilgress and Mr. McKinnon.
Later I saw Mr. Wilgress who confirmed that they were working intensively on the questions, that the Prime Minister, while not yet fully informed regarding details, was now acquainted with the broad lines of the negotiations. He added that he and Mr. McKinnon expect to leave Saturday for Washington so that they might be on hand to begin work there Monday morning, November 4th. He also said that there was a delegation representing the lumber interests in town who were urging that lumber, especially Douglas fir, have a place in the agreement and were at the same time presenting their objections to any lowering of Canadian duties on doors. He remarked that one of the problems which remained to be solved in connection with the agreement was that of shingles.
[For text of the reciprocal trade agreement between the United States and Canada, signed November 15, 1935, and related notes, signed November 15, 1935, see Department of State Executive Agreement Series No. 91 or 49 Stat. 3960. For other documents issued at the time of the signature of the agreement or immediately thereafter, see Department of State, Press Releases, November 16, 1935, pages 379–381; December 7, 1935, pages 477–486; and December 14, 1935, pages 526–534.]
- Transmitted to the Department by the Minister in Canada in his despatch No. 214, November 8; received November 12.↩
- The Canadian Prime Minister arrived in Washington, November 7, 1935. For text of joint statement dated November 9, 1935, by the President of the United States and the Canadian Prime Minister, see Department of State, Press Releases, November 9, 1935, p. 366.↩
- Not reprinted.↩