835.6363/701: Telegram

The Chargé in Argentina (Reed) to the Secretary of State

2100. Department’s telegram 1270, August 23, 7 p.m.50 For the Embassy’s guidance in considering certificates of necessity for ethyl aviation fluid and aviation lubricating oil, an instruction is requested, to cover the following points:

1.
Are the quantities of aviation ethyl fluid and aviation lubricating oil consumed by the Argentine Armed Forces in normal operations considered to be maintenance items? If so the Embassy will approve certificates of necessity covering reasonable quantities of these two materials, on the basis of limiting the amounts sufficiently to prevent the accumulation of stocks.
2.
If the Department authorizes the inclusion of aviation lubricating oil as a maintenance item, is the oil to be supplied by the usual suppliers, in this case, Intava,51 or is Shell52 to be permitted to participate, or is the Embassy merely to approve certificates presented by any reputable supplier without regard to the total quantity approved and leave to the proper authorities in Washington the allocation of the quantities to the several suppliers who may have requested export licenses? It is the Embassy’s recommendation that export licenses be granted only to the usual American suppliers.
3.
In considering the question of aviation supplies to the Argentine Armed Forces, the Department will undoubtedly give consideration to the fact that the U. S. Air Mission is handicapped in training pilots because of the Army’s reluctance to use up their reserve of ethyl fluid which on September 1 is reported to have been 42 drums. From the point of view of the Air Mission, it would be most desirable that aviation ethyl fluid and aviation lubricating oil be made available to Argentina. The Air Mission has already recommended the export to Argentina of a considerable quantity of spare parts, and they are no more essential than lubricants and ethyl fluid.

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The Military Attaché53 informs the Embassy that the Argentine Army is planning a series of goodwill flights to neighboring countries, the next on schedule being to Santiago, Chile. It may appear to the Department, as it does to the Military Attaché and to the Embassy, that these flights are not to the interest of the United States, and therefore should be discouraged to the extent which might occur if no supplies of aviation ethyl fluid and aviation lubricants be made available to the Argentine Armed Forces.

It is obvious that a basic policy decision is involved, and as this matter is very urgent, a telegraphic reply will be appreciated.

Reed
  1. Not printed.
  2. International Aviation Associates.
  3. Shell Oil Company.
  4. Col. John W. Lang.