811.20 (D) Regulations/5819: Telegram
The Ambassador in Spain (Weddell) to the Secretary of State
[Received February 5—3:05 p.m.]
136. Refer to my number 134 February 4, 5 p.m. We have not discussed with the Spanish Committee the long range program. If I interpret correctly the Department’s number 69 January 31 4 p.m., it proposes that no additional petroleum products will be made available to Spain until there is a complete understanding concerning the commodities and quantities of goods which Spain will make available to us and will transport in its vessels. I believe the Department is fully aware of the delays which may be anticipated in ironing out these details even granting that Spain is most cooperative in making this a genuinely two-sided operation. To mention only a few points, the Spanish Committee has already expressed full willingness to make available Spanish shipping for the movement of commodities [Page 271] not considered to be contraband but Spain is unwilling to risk its vessels to convey strategic contraband materials desired by the United States especially as it is dependent upon these vessels to transport foodstuffs to its people, nor does it believe that contraband shipped in Spanish vessels would reach the United States. At the present time the Embassy has no idea of the quantities of materials which we will desire Spain to make available nor any indication as to whether we will be willing to meet foreign price competition. Furthermore we must allow Spain time for the production, allocation and transportation of the materials we may desire.
Unless Spain is given minimum supplies of petroleum products during the period of negotiations it may be physically impossible for it to produce and transport the materials which we, and particularly Great Britain, wish to obtain.
No difficulty is anticipated in obtaining the consent of the Spanish Government to grant export licenses and to afford reasonable cooperation in making available most of the commodities in which we are interested.
Under these circumstances I request that the Department instruct me to inform the Spanish Government that pending the conclusion of these negotiations and for a period not beyond March 31 and dependent upon Spain’s demonstrating willingness to genuinely cooperate we will make available as a maximum the quantities of petroleum products set forth in my 99, January 22, 12 midnight. While these quantities are less than the minimum required for maintaining the country at a low economic level, time would be allowed for the Department to survey our probable requirements during the next quarter and for the Spanish Government to explore the possibility of making these quantities available.