893.6363 Manchuria/175: Telegram

The Ambassador in Japan (Grew) to the Secretary of State

89. Department’s 65, April 18, 6 p.m.97 Following paraphrased message for Dundas, Standard-Vacuum Oil Company, New York:

“With reference to your telegram of April 18, the lines on which you are working meet with our full concurrence. However, all the principal Japanese refiners participate in the ownership of the Manchuria Oil Company and therefore to have any; practical effect the same quotations must apply to sales of crude oil to Japan. In the opinion of all here the quoting of higher prices to Manchuria will result only in the diversion to Manchuria of additional supplies which will be ordered for Japan. We assume that in any event there is no idea that any of our associated interests or the Texas Company shall quote. This is the policy upon which we recently agreed and we believe that it would be extremely unwise and would undoubtedly prejudice our claim for compensation to deviate at this time. According to analysis of the first cargo just received of Anglo-Ecuadorian crude gravity is 40 plus and gasoline yield about 36 percent.

There will be practically no difference as against Kettleman 37 in cost to Japanese refiners. Parker”.

Grew
  1. Not printed; see footnote 96, p. 903.