611.9131/116: Telegram

The Secretary of State to the Chargé in Iran ( Engert )

55. Your 93, May 1, 10 a.m. It is assumed that the obstacles referred to in your second paragraph have to do with the standard general provisions which the Department transmitted to you for the information of the Iranian Government. In view of the fact that these provisions are merely an elaboration of the basic principles underlying this country’s trade relations with other countries, it would be desirable to have an explanation by the Iranian Government as to the nature of the difficulties which the provisions appear to them to present.

Such an explanation should also indicate wherein the clearing agreement with Germany and the commercial treaty with Russia are deemed inconsistent with a trade agreement with the United States based on the principle of most-favored-nation treatment.

Hull