Foreign Relations of the United States Diplomatic Papers, 1939, The American Republics, Volume V

611.2531/369

Memorandum of Conversation, by Mr. H. Gerald Smith of the Division of Trade Agreements

[Washington,] September 19, 1939.

Participants:	Señor Guillermo Gazitúa, Counselor, Chilean Embassy.
	Señor Carlos Campbell, Commercial Counselor, Chilean Embassy.
	Mr. Smith.

I called at the Chilean Chancery and spent about two hours discussing with Señor Gazitúa and Señor Campbell the list of products which had been approved by the Trade Agreements Committee for publication in connection with the announcement of trade-agreement negotiations with Chile.

It was pointed out to Señor Gazitúa that although no change in substance in the tariff classifications of the items appearing on the list would be made, it was probable that various changes of a technical nature would be made in the listing of certain of the items in order to have them conform to the proper legal terminology. I mentioned that this was particularly true with respect to copper.

During the course of the conversation, Señor Gazitúa raised questions about various of the items which he had introduced into the conversations held between August 10 and 17 and with regard to certain items appearing in the list of Chilean exports to the United States which had been sent to the Department several days previously. It was indicated to Señor Gazitúa that the Chilean products which had been considered by the trade-agreements organization prior to the formulation of the list which was being handed to him today covered more than 95 or 96 percent of imports into the United States from Chile and included practically every item of any importance at all in that trade, and while in view of such extensive consideration it was not believed it would be possible to include in the list for publication any additional items, further study would be given to a few products, particularly certain typical Chilean furs or fur skins.

In order to make every effort to issue the announcement of negotiations on September 25, during the Panama Conference, Señor Gazitúa agreed to cable at once to his Government the list of products handed to him and endeavor to secure his Government’s approval of it as a minimum list, it being understood that while, of course, there could be no assurance that any other items would be added to the list, it might be possible that further consideration within the next two or three days would reveal one or two additional products which might be included. Señor Gazitúa also agreed to ask his Government to expedite consideration of the general basis for the proposed agreement.

In answer to an inquiry, Señor Gazitúa stated that he believed it would be helpful if the American Embassy in Santiago were requested to assist in expediting consideration by the Chilean Government of the general basis and the list of products. I indicated that a telegram would be sent to the Embassy along those lines. (Such a telegram was sent later in the evening of September 19.)^13a

It was made clear to Señor Gazitúa at various points in the conversation that what we were discussing at the moment was merely the list of Chilean products for publication, a procedure which was distinct from a consideration of such products in connection with concessions which might be granted upon them.

1. Infra.