The Secretary of State to the Embassy in Argentina

No. 63

The Secretary of State refers to the Embassy’s airgram no. A–583 of September 19, 1947 and despatch no. 3016 of September 22, 1947,88 both relating to the new exchange regulations issued on September 17th by the Argentine Central Bank.

In the despatch under reference the Embassy calls the attention of the Department to the apparent violation by these new controls of Article IV of the United States-Argentine trade agreement,89 but adds that no action will be taken regarding the matter pending receipt of instructions from the Department.

The Department deems it desirable that the Embassy not make separate representations to the Argentine Government in each case where the exchange controls might be in conflict with some provision of the trade agreement. It is considered preferable that such representations as may be later made should cover thoroughly the entire situation arising from the controls.

Moreover, in the particular case in question, which involves advantages accorded to certain countries in the granting of exchange [Page 271] permits, the Department, after careful study, is of the opinion that this alone does not constitute any violation of the trade agreement, and, accordingly, the Embassy is instructed to take no action in the premises. (See notes annexed to Agreement.)

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  1. Neither printed.
  2. Department of State Executive Agreement Series No. 277.