740.00112 European War 1939/8–2444: Telegram
The Minister in Sweden (Johnson) to the Secretary of State
[Received 5:01 p.m.]
3269. Department’s 1669, August 21, 7 p.m. repeated to London. Legation is puzzled over Department’s reference to “efforts to obtain piston rings embargo” as Legation’s 3147, August 17, midnight, 908 to London, and previous related correspondence reported, there has been in effect since the end of the first quarter a complete embargo on exports of piston rings to enemy-controlled Europe. This embargo was obtained by the Legation pursuant to the Department’s and FEA’s instructions. To maintain this embargo Legation had to keep open the American offer of $75,000 as compensation for monetary losses suffered by firm in meeting our wishes. Department’s 1590, August 1058 agreed that the compensation offer was still open.
In accordance with the Department’s and FEA’s instructions the Legation will not initiate further discussion with Davy Robertson. However, as evident from the Legation’s 3021, August 9, 9 p.m.,58 Davy Robertson expects a reply to its request for compensation. Legation presumes that it is authorized to reply to Davy Robertson that while we are unable at this time to make available the electric furnace we are prepared to compensate firm for monetary losses which it has suffered to date in complying with our request for embargo but that we will not be able to make similar compensation for losses incurred hereafter and that accordingly our request for the continuance of the embargo is withdrawn.
Legation does not see how Department’s and FEA’s desire to withdraw from this matter now that it has been ascertained that embargo of exports of Swedish piston rings is of no value to us can be met except through the procedure indicated above and at the same time fulfill obligations we have assumed.
Authorization to carry through on this offer is urgently requested.
My 940, August 24, 2 p.m., repeats this to London.