722.2315/2429: Telegram

The Secretary of State to the Ambassador in Argentina (Armour)

791. From Under Secretary. This Government is confronted with an increasingly embarrassing situation resulting from the continuing efforts on the part of both Peru and Ecuador to purchase airplanes, armaments and ammunition in the United States. It has seemed to the Department that at a time when hostilities had regrettably broken out between Peru and Ecuador, although these hostilities have at least been suspended, but with no prospect in sight for any prompt pacific solution of this dispute it would not be in the interest of inter-American relations for the United States to permit the shipment from this country of military matériel which would inevitably be utilized by the Peruvian and Ecuadoran military forces should hostilities again break out. It is primarily for that reason that the War Department is requisitioning 18 modern bombers which the Peruvian Government had purchased in Canada from the Norwegian Government and which were in transit through the United States, although these airplanes are urgently needed in our own defense program, and will be utilized in that way.

I am informed that the Bolivian Government desires to dispose of certain excess military equipment which it has available and that there is a probability that this matériel will be purchased by Peru.

It seems to me that the question involved is a fundamental one of principle affecting the interests of all the American Republics and that it would be highly desirable and beneficial if the American Republics would join in making it known that they would not permit [Page 297] the sale of military or naval matériel to the two parties to the dispute until and unless a pacific solution of the controversy were under way.

At a meeting which I had this afternoon with the Argentine and Brazilian Ambassadors here I requested them to take this matter up informally with their respective governments so that I might have the benefit of the point of view of the Governments of Argentina and Brazil with the thought that should those two governments concur, the three governments could join in making this suggestion to the governments of the other American Republics.

The Argentine Ambassador is reporting to his Foreign Minister by telegraph and asked particularly that I inform you of this question and ask you likewise to talk the matter over with the Minister for Foreign Affairs. Please do so and report by cable any action you may take. I am, of course, particularly anxious that the matter be regarded as informal and completely confidential at this stage. [Welles.]

Hull