812.24/3–1843

The Secretary of State to the Mexican Ambassador ( Castillo Nájera )

Excellency: I have the honor to refer to the conversations between the representatives of the Governments of the United States of America and the United Mexican States in connection with the Agreement on the Principles Applying to Mutual Aid in the Prosecution of the War against Aggression, signed this day.

The conversations referred to have disclosed a mutual understanding on the part of the Governments of the United States of America and the United Mexican States with respect to the application of the provisions of the Agreement, as follows:

1.
The Government of the United States of America will endeavor, subject to unforeseen contingencies and within the limits imposed upon it by law and by other military demands, to transfer to the Government of the United Mexican States during the present emergency armaments and munitions of war to a total scheduled cost of about $40,000,000 (currency of the United States of America).
2.
In respect of defense articles, services or information transferred to the Government of the United Mexican States pursuant to paragraph 1, above, the Government of the United States of America agrees to accord to the Government of the United Mexican States a reduction of 67 percent in the scheduled cost of such articles, services or information; and the Government of the United Mexican States promises to pay in dollars into the Treasury of the United States of America 33 percent of the scheduled cost of the defense articles, services or information delivered. The Government of the United Mexican States shall not be required to pay more than a total of $2,200,000 before January 1, 1944, more than a total of $4,400,000 before January 1, 1945, more than a total of $6,600,000 before January 1, 1946, more than a total of $8,800,000 before January 1, 1947, more than a total of $11,000,000 before January 1, 1948, or more than a total of $13,200,000 before January 1, 1949.
3.
The Government of the United Mexican States may return to the United States of America at the end of the present emergency as determined by the President of the United States of America such defense articles transferred pursuant to paragraph 1, above, as shall be determined by the President of the United States of America in consultation with the President of the United Mexican States to be useful in the defense of the United States of America, and upon the return of such defense articles to the United States of America the Government of the United Mexican States shall be credited for any sums paid or for any sums which it is obligated to pay for such defense articles under the terms of paragraph 2, above.
4.
With reference to Article III of the Agreement signed this day, such defense aid as may be rendered to the United States of America by the United Mexican States shall, upon mutual agreement of the two Governments as to the evaluation of such aid, be credited to the account of the Government of the United Mexican States for any sums [Page 402] paid, or for any sums which it is obligated to pay, under the terms of paragraph 2, above.

I would appreciate receiving Your Excellency’s confirmation of the correctness of this understanding.2a

Accept [etc.]

Cordell Hull
  1. Ambassador Castillo Nájera’s note of confirmation dated March 18, 1943, not printed.