The Czechoslovak Chargé (Němeček) to the Secretary of State


Excellency: With reference to a recent conversation, as well as to your note, No. 860 F 515/5325 of November 2, 1936, in which attention was directed to difficulties which have been encountered by American commerce in Czechoslovakia, I have the honor to inform you as follows.

Immediately upon the enactment of the devaluation of the Czechoslovak currency, my Government had outlined concrete plans for the relaxation of control of Czechoslovak foreign trade.

The Czechoslovak Government is not aware of the fact that any further cause for complaint concerning the treatment of American commerce entering Czechoslovakia has existed since October 15, 1936, inasmuch as all obstacles of which notice had been given by the United States Minister in Praha, and which arose through the system of regulation of Czechoslovak foreign trade and especially of foreign exchange allocations, have been removed.

Attention should be drawn to the general advancement in the mutual trade relations between Czechoslovakia and the United States as evidenced by the increase in volume of exchange of goods during the first nine months of 1936. According to Czechoslovak foreign trade statistics in which the United States is listed as the country of production, United States imports into Czechoslovakia during this period have amounted to 513,000,000 Kč. Furthermore the direct United States trade with Czechoslovakia, according to country of consignment statistics, indicate that United States importation into Czechoslovakia amounted to 308,000,000 Kč., which signifies an increase of 57,000,000 Kč. against 1935, and 71,000,000 Kč. against 1934. This shows an increase of 22½ percentum as compared with the first nine months in 1935, and of 30 percentum as compared with 1934, while the increase of total Czechoslovak importation during this period amounted to only 15 percentum and 13.3 percentum respectively.

In the light of these figures which evince the general betterment of mutual trade relations, it is the belief of the Czechoslovak Government that the continuation of the impediments to American commerce no longer persists. However, in view of the seriousness of His Excellency’s statements, I have the honor to add that my Government would appreciate being apprised concerning specific instances which are considered contrary to the provisions contained in the modus vivendi agreed upon March 29, 1936 [1935], and further interpreted in Your Excellency’s note of November 27, 1935.

Accept [etc.]

Dr. Josef Němeček
  1. File number changed to 611.60F31/161.