894.24/1388

The Counselor of the Canadian Legation (Mahoney) to the Assistant Chief of the Division of Controls (Johnson)

My Dear Mr. Johnson: With reference to our telephone conversation this morning concerning shipments of asbestos from Canada to Japan, as promised I enclose herewith a copy of my letter of January 23rd addressed to Mr. Hickerson.44 I may say that we have since been informed by the Metals Controller that asbestos fibres of more than three-quarters of an inch in length would be, according to the Canadian classification, No. 1 Crude—that is to say—the highest grade. At present we are granting no permits in this grade for export to Japan. In fact, the Metals Controller has an understanding with the industry that no applications will be filed either for No. 1 Crude (over three-quarters of an inch) or for No. 2 Crude (not more than three-quarters of an inch.)

With regard to shipments to Japan of other grades we have, as mentioned in my letter to Mr. Hickerson set quotas. The amounts allowable in February were 2,000 tons of Group 5, 23 tons of Group 4, and 92 tons of Group 3.

I might add that the Canadian authorities decided in February that any shipments of asbestos permitted to Shanghai will in future be chargeable to the Japanese quota.

With regard to general control, it appears there is a considerable discrepancy between the Canadian provisions (which cover, of course, all grades of asbestos) and those of the United States. The Canadian Metals Controller considers it important that these should be brought more into line since at present our Japanese quota could be easily circumvented by re-export to Japan from the United States of all grades except the highest.

The Legation would like very much to work closely with your Division in the administration of our two countries’ control over shipments of this commodity to Japan. We would therefore very much appreciate having word from you from time to time as to the policy of your Division with regard to granting of permits.

Yours sincerely,

M. M. Mahoney
  1. Not printed; John D. Hickerson was secretary of the American section of the Permanent Joint Board on Defense, United States and Canada.