763.72119/9857: Telegram

The Secretary of State to the Ambassador in France (Wallace)

1015. Your 1147, May 14, 3 p.m.12 and 1158 [1148], May 14, 9 p.m.

  • First. Department’s 539, March 16, 6 p.m. stated that in the absence of definite information Department was not in a position to determine what action was warranted. Since American representatives did not participate in work of Technical Committee Department is not yet in possession of the facts in the case. Department regrets exceedingly that American representative was not given opportunity to participate in the investigation of facts, since full knowledge is necessary for decision in a matter so vitally affecting our interests. It would seem Allies might have offered opportunity [Page 283] to go over evidence had presence of American representative at third meeting really been desired.
  • Second. Please inform your colleagues that such far-reaching questions affecting our commerce are involved that in the absence of more complete and specific information respecting the German practices complained of we find it necessary to defer decision regarding proposed solutions. At the same time discreetly indicate our feeling set forth in paragraph first.
  • Third. Please endeavor to obtain promptly access to data examined by Technical Committee, also other relevant data, and report by cable to Department with special reference to bearings upon acceptability of proposed solutions. Department suggests obtaining assistance of Consul General.
  • Fourth. Department pleased at extent to which principles set forth Department’s 539 March 16, 6 p.m. and 663, April 1, 6 p.m. have been accepted, as evidenced by desire to allow Germany such liberty in commercial control as is compatible with Treaty. This Government desires to cooperate in preventing improper discriminations by Germany. For your information Department inclined to believe proposed method of import and export control would be an improvement, but questions whether it would prevent discriminations if German Government desires to make them. However, in the long run Germany appears to have little if anything to gain by such practices.
  • Fifth. It is important that your colleagues should realize that you should be fully informed of the facts in all such cases involving important American interests.
  • Sixth. For your information Department inclined to believe that substantial evidence of discrimination must be shown to justify imposing strict import and export regulations on Germany because of the possible psychological effect on the necessary re-construction of her commercial activities.
  1. Not printed.