800.85/11–1344: Telegram

The Secretary of State to the Chargé in Brazil (Donnelly)

3575. Your 4058, November 13, and 4039, November 11.28 The Department for some time has been discussing with the War Shipping Administration Brazilian requirements for vessels of various types.

It appeared for a time that it would be possible to obtain for Brazil the two tankers as well as a few small ships for coastwise service. However, the present shipping position is such that it is; not possible to authorize the release of any ships. For the Embassy’s confidential information, it is stated by officials of the War Shipping Administration that the present shipping position is worse than it ever has been; that a number of ships are being withdrawn from service in the Caribbean to meet urgent war requirements and that every effort must be made to reduce commercial shipments for the same purpose.

Referring to the tankers, the application for transfer has been denied. The vessels are in service and are still required by the United States. Furthermore, there is reasonable doubt that Brazil would be benefitted by the acquisition of these vessels in as much as War Shipping Administration possibly would take the view that the acquisition of these tankers by Brazil would permit the withdrawal of others from Brazilian service.

Also, questions have been raised as to propriety of our transferring vessels to a country not signatory to the recent control agreement. While the Department does not desire to use pressure to have Brazil enter into the shipping pool, it must be recognized that it would not be entirely consistent to transfer vessels almost immediately after agreeing to continue our shipping under present controls.

The Department will keep before the War Shipping Administration the urgent need of Brazil for additional shipping with the view to having ships made available just as soon as the military situation permits.

Stettinius
  1. Neither printed.