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  4. Document 721

612.003/746: Telegram

The Chargé in Mexico (Boal) to the Secretary of State

Mexico, May 19, 1938—7 p.m.
[Received 10:45 p.m.]

209. Yesterday Suarez sent two decrees to Congress affecting some 419 fractions of the import tariff schedule. Of the 218 import fractions specified and published in the Diario Oficial of December 31, 166 were reduced to the December rates; 41 increased over the December rates; 7 decreased below the December rates; 2 remained at May 1 schedule and 2 fractions were canceled. The 41 fractions increased over December level include barbed wire, tinplate, iron and steel articles up to 9 kilos; artificial silk cloth, wool velvet, varnishes and paints; steam hydraulic and gas engines, radios with cabinet, automobiles and spare parts for agricultural and industrial machinery. The 7 fractions decreased below December rates include crude rubber and printed books. The above refers only to the tariff changes reported in Diario Oficial of December 31.

In addition the second decree involves changes in 201 fractions including 84 decreases, 38 increases and 79 reclassifications or changes in wording the effect of which we have not yet determined.

Details by air mail tomorrow on first decree involving fractions affected by the December 31 tariff. Other changes will follow by day after tomorrow’s air mail.

Once these decrees are enacted into law by the Congress they will automatically eliminate all the intermediary rates which went into effect on May 1 excepting two or three.

Please inform Commerce.

In view of the fact that the new tariff contrary to expectations contemplates maintaining a considerable number of increases over the December 31 rates, after discussing matter in a preliminary and informal way this morning with General Hay I made appointment to go with Lockett53 to see Licenciado Suarez tomorrow, May 20, 4 p.m., to see if anything can be done to modify some of these rates favorably to American importers. If the Department has any views which it would wish expressed to Licenciado Suarez or instructions with regard to the discussion of this matter with him, I should appreciate receiving telegraphic instructions by noon May 20.

Boal
  1. Thomas H. Lockett, Commercial Attaché.↩