611.3231/957: Telegram
The Secretary of State to the Chargé in Brazil (Gordon)
98. Your 142, May 25, 11 a.m.2 The Department believes that the advantages of the trade agreement, both to Brazil and the United States, far outweigh in importance the few criticisms which have been made in both countries by special interests. This Government is accordingly desirous that the agreement come into force at the earliest possible date. It is a matter of some surprise here that ratification has been delayed by Brazil, in view of the fact that the agreement, among other things, safeguards Brazil’s chief export market and at the same time establishes equitable principles with respect to foreign exchange. The maintenance of the principle of unconditional most-favored-nation treatment is to the advantage of Brazil as well as the United States. The agreement represents a real step forward in these days of economic confusion, and continued delay in ratification, if carried to extreme, might further encourage hostile tendencies with unpredictable results.
You may, in your discretion, express these views to the Foreign Office and in such other directions as you may deem appropriate, without, of course, conveying the impression that this Government is attempting to persuade Brazil to ratify as a favor to the United States. It is believed, however, that the Brazilian Government should be aware of the dangers inherent in undue procrastination.
- Not printed.↩