811.20 Defense (M) Chile/653
The Ambassador in Chile (Bowers) to the Secretary of State
[Received May 23.]
Sir: I have the honor to report that negotiations for the termination of the United States-Chilean agreement for the control of copper exports have culminated successfully in accordance with the several instructions from the Department, with particular reference to telegram No. 418 of April 10, 1944. There are enclosed40 copies of the Embassy’s Note No. 2385 of April 26, 1944 and of the Confidential Note from the Ministerio de Relaciones Exteriores No. 26 of May 3, 1944, together with translation thereof. Also enclosed are copies of instructions, in Spanish and English, by the Ministerio de Economia y Comercio to the Consejo Nacional de Comercio Exterior outlining special procedure to be followed in the issuance of export permits for copper and copper base alloys to Argentina, and a letter from the Ministerio informing the Embassy of instructions given to the Chilean diplomatic missions in the other American republics to consult with our missions concerning the desirability of proposed consignees before approving any certificates of importation for Chilean copper.
It should be noted that the exchange of notes provides only for outright termination of the existing agreement, and that safeguards for future shipments of copper from Chile, although collateral to the exchange of notes, have been provided for in a less formal manner. The Embassy believed this segregation advisable as the Chileans showed a disposition to modify the agreement rather than cancel it completely on the theory that its existence could be used as a springboard to a discussion in Washington of future marketing arrangements for Chilean copper and copper manufactures. It was pointed out that any such discussion would probably be better received once the subject agreement was in the category of finished business.
With regard to future shipments of copper, Chile proposes no quantitative limitation of exports of copper manufactures and inasmuch as import recommendations are required by the other American republics, it proposes to have these authenticated by its diplomatic representations as a condition precedent to the issuance of export permits in Santiago in which process our missions will be consulted. Although the same procedure will be followed for shipments of raw copper, there is less desire to approve its export.
As instructed in the Department’s telegram under reference, the Embassy has suggested to the Brazilian and the Uruguayan Ambassadors that diplomatic representations might be in order to seek for [Page 730] Brazil and Uruguay, respectively, quotas of copper refinery shapes representative of their minimum essential requirements, and our missions in those countries have been so informed.
Respectfully yours,
- Enclosures mentioned in this despatch not printed.↩