811.20 (D) Regulations/961
Memorandum by the Adviser on Political Relations (Hornbeck) to the Secretary of State
Mr. Secretary: It seems to me that the question of policy and possible changes of policy in relation to exporting of petroleum products is a much bigger and more important question than the same in relation to exports of scrap iron—for the reason that the problem of policy in relation to petroleum involves not only the domestic questions and the Far Eastern questions which arise in connection with the problem of regulating exports of scrap iron but in addition questions of relationships with Great Britain and the Netherlands (and British and Dutch companies) and efforts at cooperation, in the field of regulation, [Page 605] with those countries (and those companies). Also, the petroleum question involves much more extensive interests, much greater sums of money, and much greater potentialities in relation to the broad question of the use of embargoes as instruments of policy than does the scrap iron question. Both problems are, in my opinion, important; but we should, I think, keep in mind the above points as bearing upon their relative importance.