825.24/1567
The Secretary of State to the Ambassador in Chile (Bowers)
The Secretary of State refers to the Embassy’s airgram A−1370, dated November 4, 1943,36 which refers to the Copper Agreement between the United States and Chile and shipments to be made from Chile under the Agreement.
The Foreign Economic Administration and the Department telegraphed the Embassy that there were no objections to the shipments of copper refinery shapes from Chile set forth in the Embassy’s airgram A−1370, November 4, under reference. It is understood that these shipments are considered outside of all quotas in as much as the applications were made prior to the Copper Agreement and were presumed to have been made before the Agreement became effective.
It will be called to the attention of the Foreign Economic Administration that applications remain in the Embassy’s hands totaling 195,000 kilos, to be provided for in the first quarter allocation for 1944 for Brazil. The Department will endeavor to have future estimates of requirements established to take care of each country’s requirements and, except for cases brought to the Department’s attention from the Embassies for special consideration, expects that it will be unnecessary to change the allocations after once established. The Department wishes to point out that it will be of assistance in establishing future requirements if prompt shipments are made where approval has been received by the Embassy from Washington. The Department desires to be informed as soon as the shipments for the fourth quarter of 1943 to the other American republics for copper and base alloys have been approved by the Embassy and the Chilean Government.
The Department concurs in the Embassy’s recommendation that all estimates of requirements under the Copper Agreement will be considered [Page 860] over-all requirements, including military requirements, for all countries except Chile which is specifically excepted under subdivision “g” of the Copper Agreement.37 The Department feels that the future estimate of requirements for Chile will be sufficient to take care of Chilean military requirements, but in view of the exception in paragraph “g” of the Agreement, the Chilean Government has reserved the right to consider its military requirements as not included in the quota.
The Embassy at Rio de Janeiro desires to be informed when the shipments from Chile will take place for the fourth quarter of 1943 for Brazil under the Copper Agreement.