611.2531/363: Telegram

The Ambassador in Chile (Bowers) to the Secretary of State

161. We are informed that the Government is eager to accept the basis for negotiations but that it cannot reach a decision without definite information regarding the suspension feature in the protocol. It definitely indicated that it cannot accept the standard exchange article under conditions imposed by the war today and that Gazitua is instructed to send definite information on the protocol. With the major German trade definitely lost the standard article would jeopardize the remaining trade with the other compensation countries. We are agreed here that their point of view is reasonable if not inevitable. Please provide Gazitua and this Embassy with details on proposed protocol.