600.0031 World Program/70

The Ambassador in Belgium (Morris) to the Secretary of State

No. 1207

Sir: I have the honor to report that the Belgian Prime Minister, Mr. van Zeeland, has been requested by the British and French Governments to make an international survey of the possibility of reducing the obstacles to international commerce.

Before undertaking the task, Mr. van Zeeland submitted the question of his acquiescing to the request to the Belgian Cabinet at a meeting held on April 6, 1937. Following the Cabinet Council a statement which in translation reads as follows was issued:

“He (Mr. van Zeeland) has been requested to undertake an inquiry concerning the possibility of obtaining a general reduction of quotas and other obstacles to international commerce, in order to make effective the tripartite declaration of September 26 [25], 1936.5

“Such an inquiry is considered today as being entirely opportune.

“Mr. van Zeeland having declared that he was disposed to accept in principle this delicate mission, the Council signified its agreement with the methods outlined by the Prime Minister for immediately undertaking the preliminary investigations which would permit him to ascertain whether or not the conditions requisite for efficacious action existed.”

A member of the staff of the Embassy has been confidentially informed that the communiqué above-quoted accurately indicates the scope of the request made by the British and French Governments and that there is no intention, as first announced in the press, of summoning a conference. The publicity, according to the Embassy’s informant, was not only inaccurate but also unfortunate as the desire was quietly to sound out the various governments to see whether or not some action “to get rid of quotas and other hindrances to trade was possible.”

The release of the news concerning Mr. van Zeeland’s mission has aroused great interest in the press, and extensive comment on the subject from abroad has been quoted. It was stated in a despatch from Berlin dated April 7, 1937 that it is probable that the President of the [Page 674] Reichsbank and German Minister of Economic Affairs, Mr. Schacht, when he goes to Brussels next week, will discuss the matter with Mr. van Zeeland in order to obtain full information concerning the mission Mr. van Zeeland is undertaking. Preparations for the visit of Mr. Schacht to Brussels about April 13, 1937, had been made before there was any idea that Mr. van Zeeland at that time would be undertaking investigations of an international scope, as the President of the German Reichsbank was planning to come to Brussels to return the recent visit to Berlin of Mr. Franck, the Governor of the National Bank of Belgium.

Respectfully yours,

Dave H. Morris