Foreign Relations of the United States: Diplomatic Papers, 1944, The American Republics, Volume VII

835.85/12–744: Telegram

The Secretary of State ²⁴ to the Chargé in Brazil (Donnelly)

Washington, December 14, 1944—7 p.m.

3699. Your 4351, December 7, 4 p.m.²² With reference to the request of the French Government for the return of three vessels taken over by Argentina the Department has taken the position that it would be preferable in the light of all circumstances to have the vessels remain with Argentina and in Inter-American trade. For the Embassy’s information, this position was taken because of the opinion of the Embassy at Buenos Aires that the willingness of the Argentine Government to return these ships was based upon their desire to improve its position with the French Government and probably to provide a channel for direct exports to France. Also, it has been indicated by Peru that the United States would be expected to make up for the loss of service provided by these vessels. The present shipping situation prevents our doing this. The Department takes the view also that the addition of three vessels to the general Allied pool would mean less than the removal of three ships from the Inter-American trade. Also, approval of the return of these ships might lead to increased pressure particularly on the part of the Italians for the return of Italian ships taken over by the American republics. Accordingly, the Department’s representative at a meeting of the Subcommittee of the Inter-American Financial and Economic Advisory Committee²⁶ held on November 22 supported a resolution to the effect that the utilization of the vessels formerly immobilized still is necessary to the economies of the American republics.

It is the view of the Department that in view of the above considerations Brazil will find it desirable to support Subcommittee resolution and the cooperation of the Brazilian delegate in this regard would be appreciated.

Sent to Rio; repeated to Buenos Aires.

Stettinius

24. Edward It. Stettinius, Jr., took the oath of office as Secretary of State on November 30, 1944.
22. Not printed.
26. Organized on November 15, 1939, as a result of the Meeting of the Foreign Ministers of the American Republics at Panama in that year; see Department of State Bulletin, March 2, 1940, p. 267.