832.5151/1146: Telegram

The Ambassador in Brazil (Caffery) to the Secretary of State

170. Department’s telegram No. 86, July 13, 2 p.m.31 There has been no change in the local situation since my telegram No. 147, June 22, 9 p.m.

As the Department is aware our recently improved trade situation here in relation to Germany’s is the result of the Embassy’s informal representations. However, Germany is obviously in a position to [Page 352] be very disagreeable to Brazil and if she desists altogether from buying Brazilian coffee and cotton can force Brazil to change her policies. On the other hand it is my opinion that Germany does not desire to lose her market here and is playing for position in publishing propaganda of the kind mentioned.

Caffery
  1. Not printed; it asked for comment on a report in the New York Times to the effect that an announcement had been made in Berlin of the suspension of German purchases from Brazil (832.5151/1145a).