711.1227/9–2448
The Personal Representative of President Truman (Brownell) to the Mexican President (Alemán)2
My Dear Mr. President: Subsequent to the meeting which Ambassador Thurston and I had with you in your office on August 2, and [Page 638] in accordance with your request, we met with your Minister of Communications3 and discussed with him the matter of the proposed civil air transport agreement between Mexico and the United States. The Minister of Communications thereafter appointed conferees to represent Mexico in the negotiations, and Mr. Sydney B. Smith of the United States Civil Aeronautics Board and myself have had, during the past three weeks, a series of discussions with these conferees, in several of which the Ambassador participated. All of our conversations have taken place in a most cordial atmosphere, and we were accorded every courtesy and consideration by your representatives.
Agreement was reached on a number of important subjects. For the first time, I believe, the position of each country has been made clear on the many questions, some of a very technical nature, that are necessarily involved in a bilateral agreement of the type that we are considering. I am sorry to say, however, that we were unable to agree on three points which appear to be of major importance. This was a great disappointment to me, as I had much hoped that we would be able to report to you at this time that we had found a solution for all of the difficulties.
The differences spring from one basic principle to which the Mexican conferees have adhered throughout the course of our discussions. They acknowledge the fact that the United States is prepared to give Mexico full reciprocity in the matter of international routes between the two countries. They contend, however, that something more than this full reciprocity is needed by Mexico, and insist that if Mexican airlines are to survive in competition with airlines of the United States, the Mexican airlines must have some competitive advantage over the United States with respect to each route which is flown by Mexico between the two countries.
If this principle were followed in all of the many bilateral agreements that the United States has made with other countries it is obvious that the result would be grossly unfair to our nationals, and that our airlines would be placed at an impossible disadvantage. However, because of the special and close relationship existing between the United States and Mexico, the United States has been able to make a number of important compromises along the lines suggested by the Mexican conferees. As you will see from the enclosed memorandum,4 the United States is quite prepared to grant to the Mexican airlines a number of important international routes between the two countries where the Mexican airline in question will have no direct competition from any United States airline. We have not been able to extend these concessions to include the three points to which I have referred above.
[Page 639]You will find these points of difference summarized in the enclosed memorandum. For the purposes of this letter, it is sufficient to state them as follows:
- A).
- Mexico asks for the monopoly right for a Mexican airline to carry all of the direct non-stop traffic between Mexico, D.F. and New York City.
- B).
- Mexico asks for the monopoly right for a Mexican airline to carry all of the direct non-stop traffic between Mexico, D.F. and Los Angeles.
- C).
- Mexico asks that only Mexican airlines be allowed to fly from Mexican points to San Antonio, Texas, and from San Antonio to Mexican points.
All three of these requests have been carefully explored with our State Department and our Civil Aeronautics authorities in Washington. We have been able to make a compromise suggestion with respect to (B) and (C), which you will find explained in the enclosed memorandum. With respect to the Mexico, D.F.–New York City operation, we can only say (as we have said in the other two cases) that there is no objection to giving Mexico the direct non-stop rights so long as similar rights are given to a United States airline. I am sorry to be obliged to advise you that our Government has instructed the Ambassador and myself that these concessions are the limit to which the United States can go.
During the course of our pleasant talk on August 2, I took the occasion to say to you that I did not believe it would be possible for us to formulate a bilateral agreement which would be satisfactory to all of the interests involved in both countries, and that any agreement would be objected to by certain interests in each country. I believe that you agreed. The present United States proposal would not be received with enthusiasm by certain of the airlines of the United States, and I am advised that it would be opposed by one Mexican airline. I believe that you will find, however, that it would be acceptable to the other interested Mexican airlines. In brief, those airlines of each country which are now operating between the two countries under special permits will oppose any new arrangement which will introduce competition which they feel might possibly reduce their business. The airlines which do not now enjoy the right to fly between the two countries are those which would favor the prompt execution of the proposed bilateral.
It is my feeling and belief that the statements made in opposition to the proposed bilateral are greatly exaggerated, and that if it were executed, all of the airlines involved would be able to operate. This, however, is only a part, and the less important part, of the picture. The argument of controlling importance is that the execution of the [Page 640] agreement would make it possible for the air traffic between our two countries to be expanded and improved in a manner that could not fail to be of substantial advantage to each nation. In addition, I believe that the completion of such an agreement at this time, after the several unsuccessful attempts made during the past two or three years, would effectively demonstrate the close relationship and understanding that exist between our two Governments.
I am mindful of the fact that at the present moment you have before you for attention various matters of immediate and pressing importance. I am glad that in our conferences on the bilateral agreement we have been able to simplify issues so as to reduce to a minimum the decisions which you are called upon to make. I much hope that you will find it possible to make these decisions so that I can carry your conclusion back with me to President Truman and our State Department. If you find that this is not possible, we are prepared and instructed to advise you that our Government will greatly appreciate a reply at as early a date as circumstances permit.
I remain, with great respect,
Very truly yours,