832.6511/105: Telegram

The Ambassador in Brazil (Caffery) to the Secretary of State

227. For the Under Secretary. Your note 25, May 3.36 President Vargas says he is highly appreciative of Washington’s efforts. As matters now stand he is no longer interested in the financial cooperation of the United States Steel or other steel corporation. He is highly satisfied with the report which was drawn up by the United States Steel representatives here and, proceeding on the basis of that report, will be able to raise sufficient funds, governmental and otherwise, here to take care of all local costs. He is very much interested however in having the Export-Import Bank finance the purchase of the necessary machinery to be acquired in the United States. He told me that [Page 606] he would give me the figures involved in a few weeks. He added “this financing would come under the credit mentioned in the Secretary of State’s letter to Aranha of March 9, 1939”.37

  1. Not found in Department files.
  2. Foreign Relations, 1939, vol. v, p. 354.