665.116/424: Telegram

The Chargé in Italy (Reed) to the Secretary of State

574. Masi, Director General of Commerce, assured us today that the preparation of the United States import quota list for 1940 was [Page 647] being actively pushed. With regard to unfilled portions of the 1939 quotas he would give no indication of what we might expect but said the matter was being carefully considered.

In the course of the conversation Masi stated that in his opinion now was a most favorable moment for the negotiation of a trade agreement between the United States and Italy and referred in this connection to “the increasing recognition of Italy’s importance as a stabilizing factor in present war conditions.”