611.2331/114: Telegram
The Secretary of State to the Chargé in Peru (Dreyfus)
45. Your 70, October 24, 11 a.m. Despite your penultimate sentence, the Department is naturally disappointed that Concha appears to have considerably exceeded his original position regarding exceptions. Particularly because of the danger of establishing a precedent which would seriously weaken our position in dealing with other countries, notably Argentina, Uruguay and Chile, Concha’s proposal is unacceptable. Also involved are our existing agreements with Brazil, Colombia and Ecuador, all contiguous with Peru, to which countries requests for similar treatment could not consistently be refused were we to except Peruvian trade with all contiguous countries.
Your despatch 712, October 22. The Department approves in general your informal memorandum to Concha. You should inform him in addition that your Government would not be willing to except any advantages other than those to facilitate small frontier traffic with contiguous countries and those presently accorded to Chile in respect of certain articles, and that even in regard to the latter we would probably wish to request modifications or assurances in the case of articles of interest to us.
You should further inform Concha that the position of your Government regarding most-favored-nation treatment as expressed in [Page 864] your note of September 15 and herein is not a bargaining position taken with the idea of possibly receding therefrom during the conversations looking toward the establishment of a basis for negotiations.