File No. 652.119/709

The Ambassador in Spain ( Willard) to the Secretary of State

[Telegram]

1205. Department’s 965, March 15, 5 p.m., for Chadbourne, No. 3;1 Embassy’s 1165, March 21, 4 p.m., War Trade Board No. 12, from Chadbourne;1 and Embassy’s 1192, March 30, 8 p.m.1 Minister for Foreign Affairs sent a personal note last night asking Embassy to use good offices by telegraph in facilitating immediate export of 40 locomotives for North Railroad of Spain now under contract in the United States. While the reply was in preparation, this morning Minister for Foreign Affairs telephoned asking to be received at 3 this afternoon. Interview just concluded in which he was informed that Embassy would immediately telegraph to Department his Government’s wishes concerning locomotives desired, but that Embassy must advise Department that notwithstanding [the fact] that from and since ratification of commercial agreement between Spain and United States, March 7, 1918, War Trade Board had granted innumerable permits to Spain cotton and other needed commodities, yet not one permit to export from Spain any article, the exportation of which is provided for in agreement, to which reference is also made, had been granted by the Spanish Government; nor had French credit provided for in financial agreement between Spain and France, March 7, 1918, yet become available. He expressed surprise that permits [Page 1675] had not been granted and renewed assurances there would be no further delay. He also stated French credit was available but this according to present advices does not conform to information received today from French Embassy.

The conversation up to this point is being confirmed this afternoon by personal note to the Minister for Foreign Affairs.

The Minister then stated Transatlantica boats would sail for North American ports (reference is here made to Embassy’s 1199, April 4, 11 a.m.1), beginning with Montevideo tomorrow from Cadiz but that his Government had received no assurance from Germany that these boats would not be attacked, that boats would carry cargoes but not articles which had always been considered contraband, and finally that Spain could not permit Germany in her brutality to cut off former’s communication with North America which would mean ruin to Spain. He then [made] accompanying statement that Spain must sooner or later decide for either Allies or Central Powers, but that such decision did not necessarily mean war. He was then informed that the Government of the United States had no desire to see Spain at war, but that mission of Embassy was to maintain and strengthen good relations now existing.

Embassy is of opinion that political situation here may become critical any moment as direct result of German menace, that while this is strongest Ministry possible to be secured, yet fear, not so much, of Germany itself but of Germans interned in Spain, has great influence and is assisted by reports of results of German offensive on Western front.

Department is requested to consider this telegram in connection with Embassy’s 1206, April 5, 7 p.m., War Trade Board No. 14, from Chadbourne.1

Willard
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