740.00111A Vessels/99
The Secretary of State to the British Chargé (Campbell)
The Secretary of State presents his compliments to the British Chargé d’Affaires ad interim and refers to the Ambassador’s note of August 5, 1941 stating that certain difficulties are being experienced in Newfoundland through the operation of the Neutrality Act of 1939, and particularly Section 2 (c) of that Act and inquiring whether it would be possible to exempt Newfoundland from the provisions of the Act and of according to that territory the same facilities as have been granted in the case of Canada.
Sections 2 (a) and 2 (c) of the Neutrality Act of 1939 would be applicable to shipments to Newfoundland only if Newfoundland had been covered by a proclamation issued under Section 1 (a) of that Act. It has been concluded that the Proclamation of November 4, 1939, issued under Section 1 (a) does not cover Newfoundland and that, accordingly, the restrictions of Sections 2 (a) and 2 (c) are not applicable to Newfoundland. Thus, Newfoundland has at least as favorable a position, with relation to the Neutrality Act, as is now enjoyed by Canada.