611.6731/413
Draft of Turkish Counterproposals Handed to the Secretary of State by the Turkish Ambassador (Ertegün), July 26, 1938
The two governments, without prejudice to the provisions of the Turco-American Treaty of Commerce and Navigation of October 1, 1929,25 have agreed upon the following:
Article 1
The natural or manufactured products originating in the United States which are enumerated and described in Schedule No. 1 annexed to the present instrument shall, upon their importation to the territory of the Turkish Republic, enjoy the tariff reductions provided in the said schedule.
In case the Government of the Republic raises the customs duties provided in the aforesaid schedule, such increases shall not be applied to the natural or manufactured products originating in the United States of America until three months after the date of promulgation of the new duties.
However, the United States Government shall be free, fifteen days after the application of the new duties in question, to denounce the present Protocol in its entirety, upon notice three months in advance, to be counted from the announcement of the denunciation to the Turkish Republic.
Article 2
The natural or manufactured products originating in the territory of the Turkish Republic which are enumerated and described in Schedule No. 2 annexed to the present Agreement shall not be subject, upon their importation to the territory of the United States of America, to customs duties higher than those indicated and provided in the said schedule.
Article 3
The natural or manufactured products originating in one of the two countries, enumerated in Schedules Nos. 1 and 2, shall be admitted to free importation to the territory of the other, without restriction or limit.
[Page 1074]Article 4
In case the United States Government or the Turkish Government establishes or maintains, directly or indirectly, and under any form whatsoever, a system of control of the means of international payments, it must, in practicing such regulation, abstain from prohibiting, restraining or deferring payments intended to cover the total amount of imports of natural or manufactured products originating in the other country.
However, the United States Government agrees that the transfer of the amounts coming from American importations into Turkey during the life of the present Protocol may be effected within a period of two years from the date when this Protocol goes into effect.
Article 5
The present Protocol shall be in force for a period of one year.