632.6231/241: Telegram
The Secretary of State to the Ambassador in Brazil ( Caffery )
55. Your 118, September 10, noon. The Department does not desire to ask the Brazilian Government in this instance to go further than what was agreed upon in the discussions in Washington in July. It believes, however, that it is neither in the interest nor is it the intention of the Brazilian Government to permit a commitment by the German Government to refrain from direct subsidies of exports to be nullified by circumventing arrangements which might not fall strictly within the definition of “direct subsidies”. The Department believes that the Minister of Finance is in accord with this position which formed the basis of the whole discussions in Washington dealing with this matter.
Therefore the Department believes that you will not encounter any misunderstanding when you present this matter to the Brazilian Government.