Foreign Relations of the United States, 1958–1960, Western Europe, Volume VII, Part 2

304. Telegram From the Embassy in Spain to the Department of State⁰

Madrid, February 11, 1958, 7 p.m.

833. At request Foreign Minister I called on him February 10. He said he wanted to inform me on action taken at Cabinet meeting February 7 (Embtel 815¹).

He said I must understand that everyone in Cabinet is friendly to US and he had reported that relations with me were good but there was strong feeling that whole basis of our relations should be re-examined, that economic aid should be substantially increased and that 1953 agreements should be amended. Indeed he had before him a thick folder containing lengthy memos on the various aspects of our relations and recommendations for the future. These memos were he said in support of a note which the Cabinet wished him to deliver to me. He had note before him but said he had convinced Cabinet that he should not deliver this note; that the Franco-Dulles conversation last December² was best basis on which to proceed. He wished me to know not only of the prevailing mood of the government but of his action preventing a formal demand for changes. I thanked him and said I thought his action had been wise. He handed me examples of editorial comments on Martin Artajo speech which he on instruction Franco had caused to be censored (Embtel 819³). These all favor Martin Artajo’s stand. I said I hoped he made it clear I had made no request for censorship and he assured me that he had taken full responsibility.

He then stated that General Franco had remarked that Spain was more interested in credits. I replied that I was glad to hear this and thought facilitation of entry of foreign capital into Spain would not only help Spanish economy but might well help Spain obtain both public and private credits.

He mentioned again that US should treat Spain like a NATO nation re military aid; that Congress had prior to NATO Council Meeting last May passed resolutions favoring admission Spain in NATO.⁴ I replied that there was agreement between Legislative and Executive branches of our Government as to desirability Spain being in NATO and that question of treating Spain like a NATO nation had been discussed in the Franco-Dulles meeting. I pointed out also that an increase in military aid would place an additional load on the Spanish budget (he understood that and said additional economic aid would indeed be required in that case). He reiterated his willingness to commit Spanish divisions outside of Spain in support of NATO forces.

Comment: Department will note that foregoing emphasizes importance of Secretary’s December visit, difficulties of situation we face and urgency expediting consideration on approach suggested Embtel 791.⁵ Clearly Martin Artajo has expressed Cabinet views but Franco and Foreign Minister (Embtel 809)⁶ have agreed on other tactics for the present. In compliance Deptel 982⁷ I have refrained from telling Foreign Minister that problems raised during Dulles-Franco meeting were under active consideration but it will be obvious Foreign Minister and I each believe their December meeting constitutes at this time more useful and concrete basis future activity than series new and probably exaggerated demands apparently advocated by Cabinet. Latter can be forestalled for time being I believe if we can show that we are already beginning respond favorably to Franco approach.

Lodge

0. Source: Department of State, Central Files, 611.52/2–1158. Secret; Priority.
1. In telegram 815 from Madrid, February 6, Lodge reported that Castiella had informed him that Spanish Cabinet would review the whole range of U.S.-Spanish relations on February 7. (Ibid., 611.52/2–658)
2. See footnote 2, Document 303.
3. Telegram 819 from Madrid, February 6, reported that the Spanish Government was censoring all comments and remarks in the Spanish press about the speech on U.S.-Spanish relations given by former Foreign Minister Martin Artajo on February 5. (Department of State, Central Files, 611.52/2–658)
4. For texts of House Concurrent Resolution 115, March 20, 1957, and Senate Concurrent Resolution 16, April 12, 1957, see Congressional Record, vol. 103, part 3, p. 4035, and part 2, p. 91.
5. Document 303.
6. Dated February 5, telegram 809 from Madrid reported that former Spanish Foreign Minister Martin Artajo had addressed the American Chamber of Commerce in Spain on February 5 concluding with the summation that both countries had lived up to their obligations under the 1953 mutual assistance pacts. (Department of State, Central Files, 611.52/2–558)
7. Dated February 7. (Ibid., 711.5852/1–3158)