611.62M31/96

The Chargé in the United Kingdom (Atherton) to the Secretary of State

No. 2242

Sir: I have the honor to refer to the Department’s instruction No. 974 of September 26, 1935,2 on the subject of the New Zealand mandated territory of Western Samoa, and in this connection to forward a copy of a note from the Foreign Office, handed me today in reply to the Embassy’s note No. 618 of August 16 [15], 1934,3 reference to which was made in the Embassy’s despatch to the Department No. 895 of that same date.4

In handing me this note, the Assistant Secretary of State pointed out that although His Majesty’s Government in the United Kingdom had cognizance of the legal position on which His Majesty’s Government in New Zealand had based their decision, the issue was one between the American Government and His Majesty’s Government in New Zealand and the Foreign Office undertook no more than to transmit the reply which was handed to me.

Respectfully yours,

Ray Atherton
[Enclosure]

The British Secretary of State for Foreign Affairs (Eden) to the American Chargé (Atherton)

No. A4321/11/45

Sir: I have the honour, at the instance of His Majesty’s Government in New Zealand, to invite reference to a note, No. 618, which [Page 853] you were good enough to address to my predecessor on the 16th [15th] August, 1934, in regard to the tariff régime in Western Samoa.

2.
His Majesty’s Government in New Zealand have noted that, in view of the passage by the United States Congress of a Joint Resolution, No. 340, approved on the 14th June, 1934,5 the provisions of United States law restricting to vessels of the United States the transportation of passengers and merchandise directly or indirectly from any port of the United States to another port of the United States are made inapplicable to commerce between the Islands of American Samoa, or between those Islands and other ports under the jurisdiction of the United States Government. They have noted also that it is the desire of the United States Government that United States vessels and United States commerce shall now be permitted to enjoy national treatment throughout the Mandated Territory of Western Samoa, on the basis of Article III of the Convention of the 2nd December, 1899, between the United States, Great Britain and Germany,6 for the adjustment of questions relating to Samoa.
3.
Before reaching a decision in this matter, His Majesty’s Government in New Zealand have most carefully considered it in the light of its previous history. As the United States Government are aware, the Merchant Marine Act was introduced into Congress in November, 1919, and was passed on the 5th June, 1920,7 applying the coastwise laws of the United States to the islands, territories and possessions of the United States, including American Samoa. On the other side, His Majesty’s Government in New Zealand issued an Order in Council on the 20th April, 1920, instituting a preferential rate of duty on goods of British origin imported into Western Samoa.
4.
The above course of action on both sides amounted, in the view of His Majesty’s Government in New Zealand, to a tacit abrogation of Article III. In spite, however, of this mutual disregard of the Article, His Majesty’s Government in New Zealand expressed in 1924 their willingness to consider the request of the United States Government for national treatment for their commerce in Western Samoa, provided that the United States Government, on their part, were willing to give a specific assurance of their understanding that Article III of the Convention ensured to British Commerce and commercial vessels national treatment in that part of Samoa under United States administration. A communication to this effect was made to the United States Ambassador in a note dated the 30th June, 1924, (A 3920/2287/45).8
5.
No reply to this note was ever received, nor did the United States Government make any further observations on the matter until, after a lapse of ten years, you addressed to my predecessor your note of the 15th August, 1934, under reference, in which you drew attention to the offer made in 1924 by His Majesty’s Government in New Zealand. The New Zealand Government feel sure, however, that the United States Government will understand that that offer cannot be regarded as remaining open indefinitely, and that, in view of the time which has elapsed since it was made, the New Zealand Government must regard it as having lapsed. During the whole of this period, until the passage of the recent Resolution, as the United States Government will realise, Article III has been disregarded on both sides; the existing tariff policy in Western Samoa has become an established feature of the economy of the territory and it would not now be possible to alter it in the sense desired by the United States Government without causing great practical inconvenience.
6.
The resulting situation, as it appears to the New Zealand Government, is that an offer made in 1924 to renew the operation of a provision which was being disregarded by both parties, was not accepted and has lapsed; and they think that neither party can now claim from the other compliance with the provision in question. In these circumstances, His Majesty’s Government in New Zealand can only express their regret that they are unable to afford national treatment to United States vessels or goods in Western Samoa.

I have [etc.]

(For the Secretary of State)
R. L. Craigie
  1. Not printed.
  2. See instruction No. 506, August 3, 1934, to the Ambassador in the United Kingdom, Foreign Relations, 1934, vol. i, p. 1003.
  3. Ibid., p. 1005.
  4. 48 Stat. 963.
  5. Foreign Relations, 1899, p. 667.
  6. 41 Stat. 988.
  7. Foreign Relations, 1924, vol. ii, p. 243.