394.31/3–3151: Telegram

The Acting Chairman of the United States Delegation to the Torquay Conference (Corse) to the Secretary of State

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630. USTAC.

1. In view refusal other Commonwealth countries release bound preference margins1 on hog casings, raisins, currants, and canned peaches, Can offers substitute:

(a)
Duty reductions on fol items on which no previous offer: insecticides in bulk from 7½ percent to free; demijohns and bottles et cetera from 22½ percent to 20 percent; Diesel-powered self-propelled trucks for off-highway use from previous rates between 10 percent and 30 percent to 7½ percent; electric motors incorporated in agric machinery from 22½ percent to free. Can imports from US 1949 these items amount to $6 million plus unknown quantity electric motors.
(b)
Offer further reductions fol items already included in offers: apples, present rate during dutiable period ¾ cent, previously offered ½ cent, now offer ⅜ cent; ground mustard present rate 20 percent previous offer 17½ now offer 15 percent; paraffin wax for candles, present rate 12½ percent, previously offered 7½ percent, now offer free entry. Can imports these items 1949, which were included previous total, $1.5 million.

2. Except for above Can offers remain as outlined Deltel 552 para 6.2Agreed minutes will state Can was willing to give up prefs enjoyed by Can in Commonwealth countries which were requested by US and was willing reduce pref margins in Can tariff on items requested by US had Commonwealth countries consented.

3. Can will maintain her present offers on canned poultry, live poultry, cheese, condensed milk, dried whey, unless very strong Austral objection to reduction margin. Austral position weak on all but cheese.

4. TAC, Agri dissenting, recommends agmt Can involving above Can offers and US offers outlined Deltel 552 except washing machines (par 353), used automobiles (par 369–B), acrylic resins (par 31–Al) and textile assistants (par 5).

5. Foregoing must be considered package any deviation from which, particularly if involving any of the five crucial items included Deltel 552, tantamount to no agreement.

6. Vital importance speed since bilaterals due close today.

Corse
  1. On March 30 the Union of South African Government informed the United States Embassy in South Africa that the Union Government had given “careful consideration” to representations made by the United States Delegation at Torquay but regretted that it could not accord the extensive changes requested by the United States (Capetown telegram 28, March 30, 5 p. m., 394.31/3–3051).
  2. Dated March 17, p. 1275.