Public Statement Issued December 1, 1917, by the War Trade Board, in Connection with the President’s Proclamation of November 28, 1917, Prohibiting Certain Imports Except under License 1
For some months exports from the United States have been controlled by the War Trade Board, …
. . . . . . . . . . . . . .
Section 11 of the “Trading with the Enemy Act” conferred upon the President a like power to control imports into the United States. Such control of imports was made effective by the Allied Governments many months ago, the necessity therefor having become obvious if the resources of each were to be most effectively utilized for national and international demands. With the organization of the Bureau of Imports of the War Trade Board the requisite machinery has been supplied for increasing the importation of certain indispensable commodities produced abroad. The supply now coming forward to this country is limited by reason of export [Page 993] embargoes imposed by foreign powers controlling the territory in which such materials originate. Such action was made necessary because of interference with normal production, as well as the extraordinary consumption occasioned by the war. Among notable examples of such materials may be mentioned tin, wool, rubber, ferromanganese, leather, flax, and jute.
Prior to the enactment of this statute there was no governmental agency especially designated to deal with the proper officials of other governments in order to procure the release of commodities required by the United States and which had been embargoed by other governments. The governmental supervision of imports makes possible a more effective scheme of reciprocity, and brings about a closer unity of the countries associated together in the war. Heretofore, in the absence of a responsible agency with which to deal, the Allied Governments were not in a position to know that all products exported by them to the United States would be utilized in a manner most conducive to the success of the great common enterprise. With the extension of scope in the operations of the War Trade Board there is at hand a dependable medium through which the Allies will be enabled more effectively to express their willingness to reciprocate, by making liberal shipments of commodities much needed by this country in exchange for the vast quantities of vital supplies which are going forward to them in an unending stream.
The various trades dealing in the embargoed commodities have been or are being so organized that the total requirements of each industry can be accurately surveyed, the nonessential uses of any material eliminated, and a system of control provided which will insure the equitable distribution of the imported commodity and its consumption in the most essential products. At present all of these materials are permitted by foreign governments to come into this country only under guarantees that they will not be reexported except under specified restrictions; that they will not be used in trading directly or indirectly with the enemy; and that no purchase of any such material has been made as a speculation. At present these guarantees are given to the consul or other representative of the Allied Governments in this country, but this method of handling imports has resulted in some dissatisfaction on the part of American business men affected thereby.
Under the authority conferred upon the President by the “Trading with the Enemy Act” the issuance of a proclamation requiring a [Page 994] license for the importation of these various articles puts into effect a plan whereby the giving of guarantees by individual parties to a foreign government is obviated, and American individuals or firms will henceforth deal directly with their own Government in connection with their importations.
- The Official Bulletin, Washington, Dec. 1, 1917 (Vol. 1, No. 173), p. 1. In connection with this statement, see also pars. 6 and 7 of memorandum of the Law Adviser, May 23, ante, p. 873, and telegrams from the Ambassador in Great Britain, Nos. 7586 and 7792, Nov. 2 and 23, 1917, ante, pp. 982 and 987, respectively.↩