Memorandum by the Chief of the Division of Eastern European Affairs (Kelley)

Conversation: The Minister of Finland, Mr. Eero Järnefelt;
The Secretary of the Finnish Legation, Dr. Sigurd von Numers;
Mr. L. M. Harrison;
Mr. Robert F. Kelley.

I informed the Finnish Minister that, while the Department had given careful consideration to the proposal of his Government with regard to the omission of Article XIV [XVI], it could not agree to the omission of that Article. I pointed out that this article had been included in the Trade Agreements concluded with Canada, Sweden, and all other European countries, and that I understood that it would be included in all Agreements concluded with European countries in the future. I explained that it did not appear in Trade Agreements concluded with Latin American countries because the commodities upon which tariff reductions were made in the case of those countries were mainly non-competing tropical products and the question of possible supply from a low-cost country did not arise. I emphasized that the provision in question was a standard one and could be considered as an essential condition of our Trade Agreement program. It was a necessary safeguard against contingencies which might well arise in the case of certain countries, but which it was believed would never arise in the case of Finland, in view of the nature of the commodities upon which tariff concessions were made in the Finnish Agreement. I pointed out the importance of having such a safeguard in our Trade Agreements from the point of view of meeting criticisms of our Trade Agreement policy. I also said that I hoped that the Minister would emphasize to his Government that it would not be possible for us to agree to any qualification of the Article in question through an exchange of notes or otherwise.

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The Minister said that he would immediately advise his Government of our position in the matter and endeavor to present arguments which would bring about the acceptance of his Government of the Article under discussion.

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Robert F. Kelley