File No. 600.119/272
The Commercial Adviser of the British Embassy
(
Crawford) to
the Counselor for the Department of State (
Polk)
Washington,
June 14, 1917.
My Dear Mr. Counsellor: I enclose, in
response to your suggestion, a summary of our suggestions in regard
to the treatment of neutral countries under your “embargo”
legislation.
We are receiving repeated cables from the Foreign Office enquiring
your attitude in regard to various of these proposals, but above all
in regard to the two questions of coal for Spain and Swedish transit
to Russia. I must really impress on you, under instructions from Mr.
Balfour,
the extreme urgency of these two questions. Over 40,000 tons of
American coal were recently landed in Spain, and the continued
difficulties with regard to Swedish transit can not fail to arouse
discontent in Russia and further complicate the Russian situation
which is already sufficiently serious. Both these questions are ones
on which the merits of the case, the obligations of the neutral
Governments concerned, the practical considerations arising out of
the tonnage situation, and the interests and rights of the United
States are all eminently clear and point in one direction, while the
dangers of delay, as creating a situation which it will be
impossible later to remedy are also obvious. I sincerely trust that
you may be able to give me an answer on these two points which will
enable me to answer Mr. Balfour’s enquiries satisfactorily.
I am [etc.]
The British Embassy
to the Department of State
Memorandum
In the memoranda of May 7 and June 62 various suggestions were put forward as to
negotiations with neutral countries in regard to the export of
goods from the United States. The following is a summary of the
first steps which it is suggested might be taken in the case of
each country.
It is assumed that, as a basis for the proposed negotiations, the
United States Government will suspend all licenses for exports
to the Scandinavian countries and Holland as soon as the
licensing system comes into operation. Then, as a condition
precedent to the issue of licenses for any exports, it is
suggested that the following demands might be made.
[Page 880]
holland
- (a)
- No articles of food, including all animals, poultry and
fish and all foodstuffs or other produce derived therefrom
and also sugar; feeding stuffs of any description; horses,
hides and skins or anything manufactured therefrom, to be
exported from Holland to enemy countries.
- (b)
- Present exports of food, including margarine and condensed
milk, glycerine and other articles to Allied countries to be
maintained.
- (c)
- Dutch shipping to be properly employed.
- (d)
- The Commission for Relief in Belgium to be properly
supplied with Dutch foodstuffs and Dutch ships, together
with Spanish and possibly Swedish ships, to take over whole
overseas transport of Belgian and French relief supplies,
including carriage of wheat from Australia. (See note on
Spain.)
norway
- (a)
- No articles of food as defined above in the case of
Holland, but omitting sugar which is not grown or made in
Norway; feeding stuffs; metals; minerals; pyrites or other
ores; or wood pulp, to be exported to enemy
countries.
- (b)
- Exports to Allied countries to be maintained.
- (c)
- Oil obtained from the United States not to be used
directly or indirectly to manufacture or transport goods
destined for Germany.
denmark
- (a)
- No articles of food as above described or horses to be
exported to enemy countries, except that export of bacon,
cheese, butter and eggs may be allowed in quantities
corresponding to percentage of these articles sent to those
countries before the war and in no case exceeding pre-war
totals so sent.
- (b)
- Exports to Allied countries to be maintained.
- (c)
- Danish shipping to be properly employed.
sweden
- (a)
- No articles of food as above described; metals; minerals;
ores; sulphuric acid; wood pulp; horses; hides or skins;
leather; wool; manufactures of the foregoing; or cotton
goods of any kind, to be exported to enemy countries.
- (b)
- All restrictions on transit to and from Russia to be
removed.
- (c)
- Exports to Allied countries to be maintained.
- (d)
- Swedish shipping to be properly employed, including the
resumption of trade with the United Kingdom, and possibly
also Belgian relief service.
[Page 881]
Exporters in the United States to obtain from Swedish importers
the same guarantees as are obtained in respect of all goods
exported from the United Kingdom to Sweden.
spain
Export of coal from the United States to Spain to be stopped
completely and the Spanish Government to be given to understand
that it will not be resumed. Beyond this, it is not suggested
that the United States should, for the moment, take any action
or make any definite demands on the Spanish Government, who will
be almost immediately forced into an arrangement with Great
Britain, both in regard to supplies of iron ore, pyrites and
other essential materials to the Allies and the United States,
and in regard to the proper employment of Spanish shipping. The
United States will, however, doubtless wish to require Spain to
share with Holland—with perhaps the assistance of Sweden—the
whole burden of transporting overseas supplies for Belgian and
French relief of which the King of Spain and Queen of Holland
are the joint patrons. (See note on Holland.)
It is not anticipated that all these demands will be readily
agreed to but, once they are made, the United States Government
will be in a position to enter into a detailed discussion with
the neutral Governments concerned.
Washington,
June 14,
1917.
