852.00/8260: Telegram

The Counselor of Embassy in Spain (Thurston) to the Secretary of State

1004. 1. Military. Since the fall of Castellon a month ago the rebel offensive on the Teruel-Sagunto front has advanced slowly. Its principal progress has been inland from Castellon in the general direction of Segorbe. Alvarez del Vayo informed me yesterday, however, that it is obvious that the rebels are preparing to initiate a drive of major proportions along this line—and this morning’s papers indicate that it may already have begun with the capture of Sarrion. Such a drive in all probability would give the rebels possession of the Teruel-Sagunto railway and highway and possibly carry them on to Valencia.

Operations on other fronts have been desultory. Air raids continue.

2. Political. Although underlying conditions remain unchanged speculation about the political situation appears to have lessened and the Government seemingly is firmly in control.

3. International. While the Non-intervention Committee and all its works are viewed with hostility and suspicion, its plan for the withdrawal of foreign volunteers is in principle accepted with favor. The Anarcho-Syndicalists press states that withdrawal can only be beneficial to the Loyalist cause and approval also is expressed by the communist press—which suggests that aviators, artillerymen and technicians be withdrawn first.

Senor Del Vayo expressed concern during our conversation yesterday over the attitude of the French Government which he attributed to British influence. A more severe control is understood to be in effect on the frontier although no formal announcement on the [Page 230] point has been made here. I saw yesterday, however, several truck loads of what undoubtedly were packed airplanes (the cases were marked Le Havre) going towards Barcelona.

Thurston