The Secretary of State to the Ambassador in Ecuador ( Long )
492. Your 542, July 1, 10 p.m. The Export-Import Bank is now going over the del Valle report in detail. A preliminary estimate of it is that it is a most excellent and comprehensive piece of work upon which the program can go forward. The Department feels strongly, however, that President Arroyo should realize very definitely at the outset that in all probability it will be quite hopeless to obtain materials and machinery for these projects in the United States for the duration of the emergency. The Bank is, however, quite willing to extend the credit with the definite understanding that only such work can be taken prior to the conclusion of the war which will not require American materials and machinery. The Bank will have completed within a few days its estimates of how much work can be done on this basis. At an opportune moment please make this point very clear to the President so that there will be no possibility of future misunderstandings on the score of American materials.