Mr. Buchanan to Mr. Gresham.

No. 28.]

Sir: The minister of foreign affairs called at my residence last night to express the satisfaction felt by the President and by the Argentine Government on the reported passage by the United States Senate of the tariff bill carrying free wool.

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During an extended conversation, the minister assured me that his Government was ready and willing in return to recommend and urge upon Congress the adoption of concessions in the Argentine tariff laws which will furnish the United States a better opportunity for developing their commercial interests here than at present exists.

The minister was very frank, cordial, and outspoken in this, and I assured him that his sentiments would be highly gratifying to the people of the United States.

The time seems opportune to secure such modifications in this direction as can be had, affecting those lines of manufactures in which the United States can command the market or successfully compete with other countries.

To enable me to properly understand the tariff situation here, I am preparing a list of goods manufactured in the United States, which I believe can be successfully sold here; this list I am comparing with the Argentine tariff laws to see in what degree the various articles are affected by the import duties. When thoroughly matured, I shall accept the invitation extended last night by the minister of foreign affairs, and informally discuss with him such modifications in duties as appear to me of advantage wholly or largely to the manufacturers of the United States.

In the absence of any instructions from the Department, no steps will be taken by me in the matter, except upon the invitation of the minister of foreign affairs, and then only to such an extent as seems prudent and advisable.

The commission to revise the tariff is now sitting. This, together with the fact that the Argentine Congress is now in session, leads me to believe that the subject should have prompt attention if any benefits are to be received during this year.

I have, etc.,

William I. Buchanan.