Foreign Relations of the United States, 1952–1954, The American Republics, Volume IV

611.191 3/3–454: Telegram

The Ambassador in Panama (Chapin) to the Department of State ¹

confidential
priority

Panama City, March 4, 1954—4 p.m.

227. Because of carnival, this morning was first opportunity to see Remon re position set forth his telegram February 26 to President Eisenhower (my telegram 223 February 27).² I had asked for appointment stating that I would be glad if President could give me any further information or if I could be of any assistance in clarifying Panamanian position to my government. Fortunately I was able to deliver President Eisenhower’s message to Remon (Deptel 177 March 3)³ who expressed appreciation President’s prompt reply and said he had every confidence President and Secretary Dulles would carry out encouraging declaration regarding Panama’s aspirations which they had made to him at time his visit to states. Remon said course of negotiations in Washington so disappointing that he had availed himself of President Eisenhower’s invitation to appeal directly to him.

Although I endeavored elicit specific points of complaint it apparent that it was alleged general US approach which perturbed Remon. He said it was not merely that US attitude was negative but that this negation seemed based in almost every case on unwillingness to accept Panamanian proposals even as basis for discussion. He called for documents just brought by courier from Washington and opened them in my presence. These referred to US comments on paragraph 1 to 4 of Panamanian document A “Panamanian Participation in Canal Zone Market”. He said these and, as another random example, our attitude toward Panamanian shipping illustrated US unreceptiveness.

I then inquired whether he had received any word of US attitude on return of certain properties outside Canal Zone citing this as instance of what I considered generous US attempt meet Panamanian wishes. Remon said he had received nothing on this and inquired whether this was connected with request for use Rio Hato area and whether we wanted that land for military base or for maneuvering area. I assured him Rio Hato desired only for maneuvering area but that he should shortly receive proposed draft agreement. I remarked that it was probably encouraging for Panama that our army felt it needed Rio Hato area since this indicated there was no immediate intention make substantial reduction in zone garrison and should be source of continued economic advantage to Panama.

During course our interview Mrs. Remon telephoned from Caracas saying inter alia that Secretary Dulles had promised receive Guizado and others of Panamanian delegation before his return to US in order discuss Panamanian treaty revision. It is perhaps not without significance that Remon became obviously excited when at one moment he thought Guizado was going to see Secretary alone and insisted to his wife that Foreign Minister be accompanied by other members delegation. In conclusion President Remon stressed that Panama’s dissatisfaction not engendered solely by US refusal to increase annuity and disappointing US counter offer of economic assistance nor did it spring from any other specific point. Panama’s disappointment he declared was basically due “generally unsatisfactory tenor of discussions”. I replied that while I could appreciate that from his point view all Panama’s demands important it might be useful if he were to indicate to me some few issues to which he attributed especial significance so that I could better explain Panama’s position to my government. I remarked casually, that we had referred to a log jam but that it was always important to break out the first three or four logs. Remon seemed to accept my suggestion and said he would have conference “with some of his people” after Caracas meeting with Secretary Dulles and hoped therefore next week he might be able to pass on to me informally his views on some of most outstanding issues.

Chapin

1. Repeated to the U.S. Delegation at Caracas.
2. Ante, p. 1430.
3. In his message, President Eisenhower indicated that he was pleased to have Secretary Dulles discuss matters pertaining to the Panama Canal with Remón’s representatives in Caracas. He stated that he believed substantial progress in the negotiations was being made in an atmosphere of cordiality, and that he was confident that the talks would result in adjustments of mutual benefit to both countries. (Department telegram 177, dated Mar. 3, 1954, 611.1913/3–354)