823.24/11–1049: Telegram

The Acting Secretary of State to the Embassy in Peru

confidential

409. Until Peru ratifies Rio treaty1 not eligible buy arms from US Govt under Mutual Defense Assistance Act2 (urlet Nov 163). Even after such ratification doubtful whether Peru wld be interested acquiring old US Naval vessels since cost wld be original cost plus rehabilitation and thus far in excess present value in view age and condition.

Prior ratification Rio Pact US can render fol assistance in procurement naval vessels: (1) Navy guidance in planning expenditures so that Peru may realize maximum benefit, in terms hemisphere defense, of her limited funds (cost four destroyer escorts roughly estimated at sixteen million dols which doubtless exceeds Peru’s naval budget); (2) US Naval assistance in selection US shipbuilders; (3) provision by US Navy of specifications for construction ships.

Dept however of opinion this limited assistance shld be withheld until lend-lease obligation settled.4

Webb
  1. Peru did not ratify the Inter-American Treaty of Reciprocal Assistance (TIAS 1838; 62 Stat. (pt. 2) 1681) until October 25, 1950.
  2. Approved October 6, 1949; 63 Stat. 714.
  3. Reference is to a letter, not printed, from Ambassador Tittmann in Lima to Mr. Sheldon Mills, Director of the Office of North and West Coast Affairs. Ambassador Tittmann alluded to the official Peruvian request of October 10 for purchase of military equipment including 8 destroyer escorts (711.23/10–1049) and indicated that the Peruvian Government would probably be willing to settle for a purchase of 4 vessels. (823.24/11–1649)
  4. In telegram 696, November 30, from Lima, not printed, Ambassador Tittmann reported that he had conveyed the content of Department telegram 409 to the Peruvian Minister of Marine Admiral Roque Saldías, who “… was disappointed but showed understanding. …” (611.2331/11–3049)