891.24/207: Telegram

The Minister in Iran ( Dreyfus ) to the Secretary of State

204. Referring my 192, June 9, Iranian Government has now agreed to institute import licensing system and is naming a committee to meet with CSC to work out details. They agreed with reluctance because they are displeased with Allied treatment in matter of supplies particularly with quotas established (see my despatch 272, May 2821).

Iranian displeasure with Allied treatment arises from following: (1) Allies have not lived up to promises to provide essential supplies to Iran; (2) Allies fail to take into consideration fact that Iranian reserves have been depleted to great extent by Allied armed forces and Polish refugees; (3) transport facilities of Iran are being depleted by Allies. Railway is being used 80% for Allies; United Kingdom Commercial Corporation has taken over all heavy and large part of light trucks and now propose give Iranians no trucks or tires thus placing them at mercy of British; Iranians are unable now to move troops and soon will be unable move wheat, beets, and other goods.

Iranian officials growing more critical of us on grounds that while we promise to assist them in economic sense nothing actually is done. They make a point particularly of their right to receive tires and trucks because British have depleted their transport facilities. There is much merit in Iranian case and I recommend immediate steps be taken to make tires available to them along lines suggested in my no. 175, May 29. I also recommend that heavy and light trucks be made available to Iranians as soon as possible to enable them to move troops (now being handicapped by immobility in action against tribes) and to move the harvests and other essential goods. These tires and trucks to be of value must arrive soon. I suggest therefore that a portion of the Lease-Lend trucks now arriving in Iran be earmarked for immediate delivery to Iranian Government. If we do not take some action soon to fulfill our promises of aid to Iran the incipient wave of criticism of United States is sure to grow.

Dreyfus
  1. Not printed.