103.9169/1–945: Telegram

The Ambassador in Bolivia ( Thurston ) to the Secretary of State

40. I direct the Department’s urgent attention to the telegram (No. 38 of January 9)24 being sent today by the local FEA25 representatives to Crowley26 and Gardiner27 through the Department.

It is my understanding that it is recognized in Washington that a question of major policy is involved in the arrangements whereunder we have been obtaining strategic materials from Latin America at prices largely controlled by ourselves. The abrupt, ex parte cancellation of those arrangements or arbitrary reduction of prices cannot but disturb the economies of the countries concerned, provoke resentment, and ratify the suspicion that a large part of our good neighbor policy, at least in its economic aspect, is simply a matter of expediency or at best limited to the duration of the war pressure.

Thurston
  1. Not printed.
  2. Foreign Economic Administration.
  3. Leo T. Crowley, Foreign Economic Administrator.
  4. Arthur Z. Gardiner, Director, Foreign Procurement and Development Branch FEA’s Bureau of Supplies.