740.0011 European War 1939/11329: Telegram
The Ambassador in Spain (Weddell) to the Secretary of State
[Received May 26—10:45 a.m.]
445. Department’s 220, May 6, 7 p.m. Despite the despatch of several notes to the Foreign Minister and other informal efforts, nearly a month has elapsed since I sought an interview with the Caudillo as authorized in the Department’s 200, April 22, 7 p.m., and I have not yet been informed when the desired meeting will take place. Apart from any possible disinclination to see me this delay may be ascribed in part to the characteristic sluggishness of the Ministry in question but more to the Cabinet crisis which has prevailed here including uncertainty in many lines as to whether the Foreign Minister himself would remain in office; added to this is a tension in official circles which still persists. I am vigorously pressing the matter, however, and I am informed that the Minister of Industry and Commerce has himself spoken to the Caudillo on the subject. I believe that the desired interview will not be long postponed.
In this general connection and having especially in mind the Department’s desire to inform the Caudillo of our readiness to discuss ways and means of improving our economic relations with Spain, I wish to inform the Department that the British Ambassador yesterday handed me an aide-mémoire which he said contained the substance of a telegram just received from the British Ambassador in Washington and urged that I make recommendations to Washington along the lines of the aide-mémoire.
This document states that discussions have been going on between the Department and Halifax which indicate that the Department is prepared to proceed with assistance to Spain and that accordingly the Department would welcome practical suggestions for such assistance from me. The Washington Embassy suggested that the following proposals might form the basis for my recommendation:
- (1)
- An increase in purchases in this peninsula especially of olive oils, wines, cork and zinc.
- (2)
- The liberal granting of export licenses.
- (3)
- The initiation of negotiations perhaps necessitating credits, the latter defending on amounts available through increased purchases to cover imports of cotton, scrap iron, agricultural machinery and [Page 900] fertilizers here, emphasis to be laid on actual purchases rather than on the fixing of a quota.
- (4)
- Our Government to be prepared to consider requests to finance Portuguese colonial purchases for consumption here.
- (5)
- A continuance of distribution of material by the American Red Cross.
- (6)
- The consideration of some method of reinforcing British activities here through our own propaganda.
The manner of handling this matter—its initiation with me by the British Ambassador here—causes me some surprise since, as will be observed, several of the matters touched on have been already the subject of correspondence with the Department. I am also a little regretful that the British here have been able on the basis of their representatives’ reports to indicate and to their advantage in informal ways to the Spanish authorities our views and ideas rather than have these made known by this Embassy at the appropriate time.
Considering the foregoing seriatim the following comments and recommendations relating to the several points listed are submitted:
- 1.
- This suggestion parallels recommendations I have previously made but I believe a broader range of products should be considered. The Embassy will submit further recommendations in this connection.
- 2.
- This likewise follows the line of recommendations already submitted.
- 3.
- I still believe that the extension of credits to Spain may have a strong influence in strengthening its resistance to German diplomatic pressure and that we should be prepared to enter negotiations for such a credit. However, for reasons of strategy I feel that we should maneuver to have the request for them come from the Spanish authorities at which time we should suggest that they reexamine their requirements especially in the light of increased purchases by the United States.
- 4.
- I do not feel that the triangular arrangement suggested is of primary importance at this time but it may grow out of the discussions. Without further exploration I am not convinced that such an arrangement would serve our immediate aims.
- 5.
- The American Red Cross is doing a valuable and effective work among the masses but its propaganda value with the Government is as yet problematical. However, so long as this humanitarian work can be continued, I believe that it is politically and psychologically inadvisable that it be stopped.
- 6.
- This point will be more fully covered in a subsequent telegram.
In the event the Department is giving consideration along the lines mentioned I should like to be authorized to convey to the Caudillo in general terms that we are prepared to discuss with his Ministers questions related to points 1 and 2 if your instructions can be received prior to that interview.