835.24/4–1245: Telegram

The Secretary of State to the Chargé in Argentina (Reed)

379. Department’s telegram no. 377, April 12. Department has discussed with FEA export arrangements with Argentina and concluded that it is desirable to abandon the certificate of necessity procedure except for a positive list of items that remain under the Decentralization Plan for the other American republics. Such list can be obtained from the last edition of the Comprehensive Export Schedule.

We understand certificate of necessity procedure is based on a bilateral agreement evidenced in exchange of notes.49 You are requested urgently to consult with appropriate authorities in Argentina regarding the proposal to discontinue the certificate of necessity procedure subject to Decentralization Plan and let us have your immediate reply. A new export announcement by FEA awaits your answer and many licenses cannot be granted pending the revision.

This, in substance, will admit Argentina to the list of K countries and thus place them on an equal basis with the other American republics. It is further proposed to withdraw the requirement of the shipping space certificate, form 138, with the exception of newsprint, in the case of shipments to the Argentine to conform with present shipping procedures for the other American republics. This again places business with the Argentine on an equal footing with other American republics50 and eliminates screening against Confidential List51 of goods exported under general license.

Your urgent reply needed tomorrow.

  1. No record of an agreement by exchange of notes has been found in Department files.
  2. For further developments on this matter, see telegram 1228, September 7, 6 p.m., to the Ambassador in Argentina, p. 548.
  3. This List consisted of individuals and business firms which were one step above the Proclaimed List as regards application of trade restrictions. For documentation relating to economic warfare measures in general, see pp. 437 ff.