611.6531/213: Telegram

The Ambassador in Italy (Long) to the Secretary of State

176. Press reports from the United States carry statements that Italy has been warned that unless it accords fair treatment to American imports the benefits of the American-Belgian agreement19 will be withheld and that President has announced he is considering abrogation of Italo-American commercial treaty. Would appreciate information as to these reports with special reference to the question: Can generalization of special benefits contained in trade reciprocity agreement be withheld during the life of treaties containing the most-favored-nation clause and will the Department be in a better position to withhold those benefits during the period between the denunciation of those treaties and their termination?

These questions are the subjects of frequent discussion here and I should like to be in a position to understand the Department’s position.

Long
  1. See pp. 102 ff. For text of the agreement with the Belgo-Luxemburg Economic Union, signed February 27, 1935, see Department of State Executive Agreement Series No. 75, or 40 Stat. 3680.