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Full text of "Department of State bulletin"

THE DEPARTMENT OF STATE 

BULLETIN 



OCTOBER 3, 1942 
Vol. VII, No. 171— Publication 1817 







ontents 



The War Page 
Service in the United States Armed Forces of American 

Citizens Residing in Canada 789 

Arrangement for the Purchase of Fats and OUs. . . 791 

Contributions for ReUef in the Belligerent Countries. . 791 

The Department 

Central Translating Office 791 

The Foreign Service 

Confirmations 792 

Treaty Information 

Armed Forces: Exchange of Notes With Canada Re- 
garding Service in the United States Armed Forces 
of American Citizens Residing in Canada .... 792 

Strategic Materials 792 

Publications 792 

Regulations 793 

Legislation 793 




,j, 8. §yiWMCHT OF DOCUMENTS 

Oct Id ^942 



The War 



SERVICE IN THE UNITED STATES ARMED FORCES OF AMERICAN CITIZENS 

RESIDING IN CANADA 



(Released to the press October 1] 

The following notes were exchanged on Sep- 
tember 30, 1942 between the Canadian Minister 
at Washington and the Department of State in 
regard to a procedure under which American 
citizens residing in Canada who have not de- 
clared their intention of becoming naturalized 
in Canada may elect to serve in the United 
States forces in lieu of service in the Canadian 
forces. 

The Canadian Minister at Washington to the 
Secretary of State 

Xo. G38 Canadian Legation, 

Washington, September 30, 1942. 
Sir: 

I have the honour to refer to your note of 
April 8, ll)i2, in reply to my note No. 222 of 
April 6 concerning tlie application of the 
United States Selective Training and Service 
Act of 1940, as amended, to Canadian nationals 
residing in the United States, and stating that 
the (Jovernment of the United States assures 
the Government of Canada full reciprocity with 
respect to the regime outlined in your note of 
March 30 under which Canadian nationals in 
the United States who have not declared their 
intention of becoming United States citizens 
maj- elect to serve in the naval, military or air 
forces of Canada in lieu of service in the armed 
forces of the United States.^ In your note you 
further state that the Government of the United 



' Bulletin of April 11, 1942, pp. 315-318. 



States agrees to the understandings, limitations 
and assumptions set forth in numbered para- 
graphs 4 to 9 inclusive of my note. 

2. One of these understandings is that the 
Government of the United States is agreeable 
to the Canadian Government imposing a lia- 
bility to compulsory military service on United 
States citizens residing in Canada. A second 
understanding is that while non-declarant 
United States citizens in Canada will, prior to 
their induction into the naval, military or air 
forces of Canada, be granted an opportunity of 
electing to serve in the armed forces of the 
United States, this opportunity will not be 
granted to declarant United States citizens in 
Canada. 

3. In accordance with these understandings 
the Canadian Government has recently imposed 
on United States citizens residing in Canada a 
liability to compulsory military service identi- 
cal with that imjiosed on British subjects ordi- 
narily resident in Canada, and the Canadian 
Government now desires to initiate a procedure 
satisfactory to the Government of the United 
States under which United States citizens in 
Canada who have not declared their intention of 
applying for naturalization in Canada may 
elect to serve in the armed forces of the United 
States, in lieu of service in the armed forces of 
Canada, at any time prior to enrolment in the 
Canadian Armj'. 

4. The following proposals are made by the 
Canadian Government : 

789 



790 

(a) Individuals who elect for service with 
the armed forces of the United States will be 
physically examined by the Canadian Army. 
The results of the examination will be for- 
warded to the proper authorities of the 
United States. On receipt from these au- 
thorities of notification that an individual is 
acceptable the competent Canadian authority 
will send the individual to a designated re- 
ception point for induction into the armed 
forces of the United States. If, on arrival 
at the reception point, the individual is found 
to be not acceptable to the armed forces of 
the United States, he shall be liable to be 
enrolled immediately in the Canadian Army. 
(b) In order that non-declarant United 
States citizens in Canada may be informed 
of the conditions of service in the armed 
forces of the United States, the Canadian 
Government suggests that the United States 
authorities give the Canadian authorities 
copies of a pamphlet setting forth the condi- 
tions of service so that the pamphlets may be 
made available to non-declarant United 
States citizens who are called up for military 
service by Canada. 

(c) United States citizens in Canada who 
elect to serve in the armed forces of the 
United States and are accepted by one of 
those forces and who return to Canada for 
permanent residence within six months after 
the termination of their service with the 
United States armed forces will not lose any 
rights they may have previously acquired un- 
der the Innnigration and Naturalization Acts 
of Canada. 

5. Acceptance by the United States of these 
proposals will not be construed by the Canadian 
Government as imposing any obligation on the 
United States Government to return to Canada 
United States citizens who may be deemed to 
be defaulters under the Natitmal War Services 
(Recruits) Regulations of Canada. 

6. If these proposals are acceptable to the 
Government of the United States, this note and 
your reply thereto accepting the proposals shall 
be regarded as placing on record the under- 



DEPARTMENT OF STATE BULLETIN 

standing arrived at between the two Govern- 
ments concerning this matter. The practical 
details may then be arranged directly between 
the appropriate governmental agencies. 
Accept [etc.] Leighton McCarthy 

The Secretary of State to the Canadian 
Minister at Washington 

Department of State, 
Washington, Septemher 30, 19Ji£. 
Sir: 

I have the honor to acknowledge the receipt 
of your note no. 638 of September 30, 1942 
proposing an arrangement under which Ameri- 
can citizens residing in Canada, who have not 
declared their intention of applying for natu- 
ralization in Canada, and who may become sub- 
ject to enrolment in the armed forces of 
Canada will, prior to such enrolment, be given 
an opportunity of electing to serve in the 
armed forces of the United States. You also 
state that acceptance of the proposals will not 
be construed by your Government as imposing 
any obligation on the Government of the United 
States to return to Canada any citizens of 
the United States who may be deemed to be 
defaulters under the National War Services 
(Recruits) Regulations of Canada. Your pro- 
posals are made on the understanding that the 
United States Government is agreeable to the 
Canadian Government imposing a liability to 
compulsory military service on United States 
citizens residing in Canada, and that the oppor- 
tunity of electing to serve in the armed forces 
of the United States will be granted only to 
American citizens residing in Canada who have 
not declared their intention of applying for 
naturalization in Canada. 

I am pleased to inform you that the Gov- 
ernment of the United States agrees to the 
Canadian Government imposing a liability to 
military service on United States citizens resid- 
ing in Canada, and that the proposed arrange- 
ment as outlined in your note under acknowl- 
edgment is satisfactory to this Government. 

Accept [etc.] 

For the Secretary of State : 

A. A. Berle, Jr. 



OCTOBER 3, 1842 



791 



ARRANGEMENT FOR THE PURCHASE 
OF FATS AND OILS 

The Office of War Information stated on 
September 28 that the Combined Food Boaid, 
United States and Great Britain, has an- 
nounced an aijreement providing for exclusive 
buying: by the I'nited States in certain pre- 
scribed regions of the world and by the United 
Kingdom in other areas, on behalf of all the 
governments adhering to the agreement, of fats, 
oils, and oilseeds available to the United Na- 
tions throughout the world. The plan is a part 
of the general strategy of the Combined Food 
Board, which seeks to procure and allocate 
efficiently various important food supplies avail- 
able to the United Nations for the combined war 
effort. 

Worked out after a comprehensive survey of 
the suijplies of the fats and oils available to 
the United Nations in relation to essential war- 
time needs, the agreement provides: (1) The 
United States will be the exclusive purchaser, 
on behalf of the govermnents adhering to the 
agreement, of all oilseeds, oils, and fats in the 
North and South American continents, Portu- 
guese Africa, Spanish Africa, and Liberia, in- 
cluding the Caribbean islands, with the excep- 
tion of animal fats in Argentina and Uruguay; 
(2) the United States shall be the exclusive pur- 
chaser of copra in Tahiti and all Free French 
Pacific islands; and (3) the United Kingdom 
will be the exclusive purchaser, on behalf of all 
the adhering governments, of all animal fats in 
Argentina and Uruguay and of all oilseeds, oils, 
and fats in British Empire countries, with the 
exception of the territory in the North and 
South American continents, including the 
Caribbean islands; Free French Africa; and 
the Belgian Congo. 

CONTRIBUTIONS FOR RELIEF IN THE 
BELLIGERENT COUNTRIES 

On September 30, 1942 the President's War 
Relief Control Board issued to the press a tabu- 
lation of contributions collected and disbursed 
during the period September 6, 1939 through 
August 1942, as sliown in the reports submitted 



by persons and organizations registered with 
the Boartl for the solicitation and collection of 
contributions to be used for relief in foreign 
countries, in conformity with the regulations 
issued pursuant to section 3 (a) of the act of 
May 1, 1937 as made effective by the Presi- 
dent's proclamations of September 5, 8, and 10, 
1939, section 8 of the act of November 4, 1939 
as made effective by the President's proclama- 
tion of the same date, and Executive Order 
9205 of July 25, 1942. 

The statistics set forth in the tabulation are 
incomplete as regards relief activities which a 
number of registered organizations have been 
carrying on in respect to non-belligerent coun- 
tries, for which registration has not heretofore 
been required. 

The American National Red Cross and cer- 
tain religious organizations are exempted from 
registration with the Board by section 3 of 
Executive Order 9205, and the accounts of these 
organizations are not included in this tabu- 
lation. 

Copies of this tabulation are obtainable from 
tlie President's War Relief Control Board, 
Wiishington Building, Washington, D.C. 



The Department 



CENTRAL TRANSLATING OFFICE 

In Departmental Order 1096, of September 
29, 1942, the Secretary of State prescribed addi- 
tional duties for the Central Translating Office. 
These duties include interpreting and trans- 
lating in connection with inter-American con- 
ferences ; translation of agreements between the 
United States and the other American repub- 
lics and of addresses of the President, the Sec- 
retary of State, and other ranking Government 
officials when of interest to the other American 
republics, such translations to serve as the 
accepted official translated version of those 
public utterances; review of material published 



792 



DEPARTMEKT OF STATE BULLETIN 



in Spanish and Portuguese by other Govern- 
mental departments and agencies; and review 
of Spanish, Portuguese, and French scripts for 
motion pictures and radio programs to be dis- 
tributed through official channels in the other 
American republics, including cooperation with 
the Interdivisional Committee on Motion Pic- 
tures in the evaluation of films for distribution 
abroad. 



The Foreign Service 



CONFIRMATIONS 

On September 28, 1942 the Senate confirmed 
the nomination of Anthony J. Drexel Biddle, 
Jr., of Pennsylvania, as American Ambassador 
near the Governments of Yugoslavia and 
Greece now establislied in London. 

The nominations of Thomas L. Hughes, of 
the District of Columbia, as Consul General, 
and of W. Garland Richardson, of Virginia, as 
Consul, in the Foreign Service were also 
confirmed on that date. 



Treaty Information 



ARMED FORCES 

Exchange of Notes With Canada Regarding Ser- 
vice in the United States Armed Forces of 
American Citizens Residing in Canada 

The texts of notes exchanged between the 
Canadian Minister at Washington and the De- 
partment of State regarding a procedure under 
which American citizens residing in Canada 
wlio have not declared their intention of be- 
coming naturalized in Canada may elect to 
serve in tlie United Slates forces in lieu of 
service in the Canadian forces, appear in this 
Bulletin under the heading "The War". 



STRATEGIC MATERIALS 

Arrangement for the Purchase of Fats and Oils 

An announcement by the Combined Food 
Board of an agreement providing for exclusive 
buying by the United States in certain pre- 
scribed regions of the world and by the United 
Kingdom in other areas, on behalf of all the 
governments adhering to the agreement, of fats, 
oils, and oilseeds available to the United Na- 
tions throughout the world, appears in this 
Bulletin under the heading "The War". 



Publications 



Department of State 

Principles Applying to Mutual Aid in the Prosecution 
of the War Against Aggression : Preliminary Agree- 
ment iJetweeii the United States of America anil 
Poland — Signed at Washington July 1, 1942 ; effec- 
tive July 1, 1942. Executive Agreement Series 257. 
Publication 1796. 3 pp. 

Principles .Ajiplyiug to Mutual Aid in tlie Prosecution 
of the War Against Aggression : Preliminary Agree- 
ment Between the United States of America and 
tlie Netherlands, and Exchange of Notes — .\gi'eement 
signed at Washington July 8, 1942 ; effective July 
8, 1942. Executive Agreement Series 259. Publi- 
cation 1797. 6 pp. 

Principles Applying to Mutual -Aid in the Prosecution 
of the War Against Aggression : Preliminary Agree- 
ment Between the United States of .\merica and 
Greece — Signed at Washington July 10. 1942; effec- 
tive July 10, 1942. Executive Agreement Series 260. 
Puliliration 1798. 3 pp. 

Detail of .Military Ofhcer To Serve As Dh-cctor of the 
Polytechnic ScIkhiI of Guatemala: Agreement Be- 
tween the United States of America and Guatemala 
Extending the Agreement of May 27, 1941— Effected 
by exchanges of notes signed June 9 and 22 and 
July 21, 1942; effective from May 27, 1942. Execu- 
tive Agreement Series 264. Publication 1802. 3 pp. 
50. 

Principles Applying to jVIutual Aid in the Prosecution 
of the War .\gainst .Vggression : Preliminary .\gree- 
ment Between the United States of America and 
Czechoslovakia — Signed at Washington July 11, 1942 ; 
effective July 11, 1942. Executive Agreement Series 
261. Publication 1805. 4 pp. 50. 



OCTOBER 3, 1942 

Other Govkrnment Agencies 

Internationnl Law Situations and Documents: Index 
to volumes 31-40. msi-JO. (Navnl AVar College.) 
79 pp. ri.V. 

UnderstaudliiB the (Hlior American Repuhllrs (for ele- 
nientiiry scliool.s). (U.S. Ollico of Education, Edu- 
cation and National Defense Series, Pamphlet 12.) 
32 pp., illus. 20(J. 



793 



Regulations 



International Radiotelephone Communications [regula- 
tions pertaining to application for sponsorship of the 
State Department, necessity for approval of Office of 
Censorship, written notilication of approval for spon- 
sorship, and notification to applicant of clearance for 
a call, in the case of non-governmeutal business or 
personal radioteleiihone calls to or from any foreign 
point outside the \\ ostern Hemisphere except Eng- 
land, unless such calls are made in the interest of the 
United States or the United Nations]. September 
19, 1942. ( Department of State. ) 7 Federal Regis- 
ter 7-lSl. 



Legislation 



Jciint Resolution Authorizing the President of the 
United States of America to proclaim October 11, 
1942, General Pulaski's Memorial Day for the ob- 
servance and conimemoratlon of the death of Briga- 
dier General (,'asimir Pulaski. Approved September 
26, 1942. [H.J.Res. 271.] Public Law 717, 77th 
Cong. 1 p. 

Authorizing the execution of certain obligations under 
the treaties of 1903 and 1936 with Panama, and other 
commitments. H. Rept. 2498, 77th Cong., on H.J.Res. 
342. 6 pp. 

Repatriating native-born women residents of the United 
States [who have lost citizenship by marriage to an 
alien]. H. Rept. 2499, 77th Cong., on H.R. 7275. 
2 pp. 

Draft of proposed provision pertaining to the appro- 
priation for the Board of Economic Warfare: Com- 
munication from the President of the United States 
transmitting a draft of proposed provision pertain- 
ing to the appropriation for the Board of Economic 
Warfare for the fiscal year 1943 [to provide funds 
for expenses of employees stationed in foreign coun- 
tries]. H. Doc. 855, 77th Cong. 3 pp. 



U. S. COVERNMCNT FRtHTING OFFICE; t94X 



For Bale by the Superintendent of Documents. Washington, D. C— Price 10 cents Subscription price, $2.75 a year 

PUBLISBEO WEEKLY WITH THE APPEOVAL OF THE DIBECTOE OP THE BTJBEAn OF THE BCDGBT 



THE DEPARTMENT OF STATE 



BULL 



H 



"^ rm 



riN 



OCTOBER 10, 1942 
Vol. VII, No. 172— Publication 1824 



C 



ontents 




The War Page 

United Nations Commission To Investigate War 

Crimes 797 

Address by the Former American Ambassador to Japan 

for United China Relief 797 

Address by the Former American Ambassador to Japan 
fr_j5 to the Canadian National Victory Loan Cam- 
paign 800 

Adherence of Ethiopia to the Declaration by United 

Nations 805 

Protocol Regarding the Delivery of Military Equip- 
ment to the Soviet Union by the United States 
and Great Britain 805 

The Far East 

Extraterritoriality in China 805 

National Anniversary of China 808 

Commercial Policy 

Twenty -ninth National Foreign Trade Convention: 

Address by the Acting Secretary of State 808 

Address by Raymond H. Geist 813 

Address by Harry C. Hawkins 818 

General 

Presentation of Letters of Credence of the Newly Ap- 
pointed Ambassadors of China, Greece, and Yugo- 
slavia 824 

Cultural Relations 

Visit to the United States of Salvadoran Engineer . . 828 

Legislation 828 

[oveb] 



U. S. SUPERINieNOENT OF DOCUMENTS 

NOV 4 1942 







ontents-coNTmvED 



Treaty Information Page 

Mutual Assistance: Protocol Regarding the Delivery 
of Military Equipment to the Soviet Union by 

the United States and Great Britain 828 

Extraterritoriality: Relinquislmient of Extraterritorial 

Rights in China 828 

The Foreign Service 

Confirmations 828 



The War 



UNITED NATIONS COMMISSION TO INVESTIGATE WAR CRIMES 



(KelcaseU to the press by the White House Octol)er 7] 

Tlie President has made the following state- 
ment : 

"On August 21 I said that this Government 
was constantly receiving information concern- 
ing the barbaric crimes being committed by the 
enemy against civilian populations in occupied 
countries, particularly on the continent of Eu- 
rope.' I said it was the purpose of this Gov- 
ernment, as I knew it to be the purpose of the 
other United Nations, to see that when victory 
is won the perpetrators of these crimes shall 
answer for them before courts of law. 

"The commission of these crimes continues. 

"I now declare it to be the intention of this 
Government that the successful close of the 
war shall include provision for the surrender 
to the United Nations of war criminals. 



"With a view to establishing responsibility 
of the guilty individuals through the collection 
and assessment of all available evidence, this 
Government is prepared to cooperate with the 
British and other Governments in establishing 
a United Nations Commission for the Investi- 
gation of AVar Crimes. 

"The number of persons eventually found 
guilty will undoubtedly be extremely small 
compared to the total enemy pop>dations. It 
is not the intention of this Government or 
of the Governments associated with us to re- 
sort to mass reprisals. It is our intention that 
just and sure punishment shall be meted out 
to the ringleaders responsible for the organized 
murder of thousands of innocent persons and 
the commission of atrocities which have vio- 
lated every tenet of the Christian faith." 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN 
FOR UNITED CHINA RELIEF' 



[Released to the press October 11] 

Mr. Chairman, Ladies and Gentlemen: 

Today, the thirty-first anniversary of the 
Chinese Republic, marks a milestone on a road 
of determined independence, exalted courage, 
insuperable staying-power, and magnificent 
valor — the same sort of staying-power and 
valor that brought George Washington 
through the dark days of Valley Forge to 

' Bulletin of August 22, 1942, p. 709. 
' Delivered by the Honorable Joseph C. Grew at 
Carnegie Hall, New York, N.Y., October 10, 1942. 



Yorktown and Foch from the Marne to Com- 
piegne — the staying-power and valor that will 
carry our heroic ally, China, under the superb 
leadership of Generalissimo Chiang Kai-shek, 
from the bridge at Luk'ouchiao to final victory. 
On this anniversary we salute the Chinese 
Republic and her leader with the deep affec- 
tion of a sister republic, with great admira- 
tion, and with profound respect. No reverses 
on the field of battle could quench their in- 
domitable spirit, no seas of disaster were too 
deep for them to pass through unbroken, no 
destruction by fire and bomb could subdue or 

797 



798 



DEPARTMENT OF STATE BULLETIN 



weaken their determination to survive and 
their will to win. Such nations, such people, 
and such leaders cannot be defeated. 

United China Relief symbolizes the sym- 
pathy of the American people for the Chinese 
people. It is the efficiently humanitarian uni- 
fier of many generations of American attitude 
and effort. American sympathy for China has 
become an integral part of the American tradi- 
tion. It is based on the intuitive perception 
that our two peoples hold many things in com- 
mon : our respect for the individual as a man, 
our abhorrence of fanaticism, our allergy to 
the idea of the state as a religion in itself. 
Long before the American nation was com- 
pelled to gird itself for war in the Pacific, 
United China Relief showed where American 
sympathies lay and did its part to comfort 
and help the innocent victims of brutal ag- 
gression in a country which we felt to be a 
moral ally. 

The Pacific war is and will be a hard war. 
The enemies we face are formidable. They have 
modern equipment. They have brought every 
evil and dangerous force in industrialism and 
technology to a high peak while spurning the 
democracy, the general welfare, and the humani- 
tarianism which alone can justify the industrial 
way of life. Our Chinese allies, who have held 
tenaciously to their own humane culture, are 
going to have to depend on us for technical and 
industrial assistance in various fields which they 
have not yet developed. Supplying both the 
Chinese forces and our own, we shall have to 
cross oceans and seas, mountains, valleys, and 
plains to come to grips with Japanese militarism 
and destroy it at its roots. Despite enormous 
difficulties we shall do all this — and win. 

In the Pacific theater, as a major theater in 
this second world war, there are at stake im- 
mense issues. In a very real sense, we — we of 
this country — stand to win or lose greatly in 
that theater. 

Should we lose, the United States would be 
faced by a master-minded Japan and an en- 
slaved East Asia possessed within itself of every 
raw material, every climatic zone, all the sources 
of energy needed to maintain the most formid- 



able and autarchic military power. Like Ger- 
many in Europe, Japan in Asia is destructive 
of the free and normal development of civili- 
zation. The miseries which the Germans inflict 
on their fellow Europeans find their counter- 
part in the fearful miseries which are Japan's 
gifts to Japan's fellow Asiatics, miseries of 
which we have had all too abundant evidence. 
The Japanese Empire seeks dominion over body, 
mind, and soul of the world's largest popula- 
tions and over every ounce of the riches of the 
East. We cannot lose once and win again. We 
would find it an almost impossible task to fight 
an enslaved Asia in later years. We must win 
now. 

The Pacific and the Far East, when we have 
cleared them of the scourge of war, will justify 
the effort and the sacrifices involved in that 
achievement. We and the nations in that area 
that are resisting militarism and aggression are 
fighting not only for freedom but for world 
peace, world democracy, and world prosperity. 
Beyond the general aims of our war for survival 
there are positive high objectives in the Pacific 
and Far East to which we can and shall attain. 

First, once Japan is destroyed as an aggres- 
sive force, we know of no other challenging 
power that can appear in the Pacific. The na- 
tions now members of the Pacific Council in 
Washington are quite simply fighting primarily 
for freedom — to live their own national and in- 
dividual lives and to let live. No one of these 
powers has serious strategic claims or designs 
upon the independence or territory' of another. 
There are no frontiers stained with centuries of 
the bloodshed of international war. The Pacific 
nations have clear geographical limits, suffi- 
cient natural resources, and a proven disposition 
to cooperate. Once militant Japan is out of the 
picture, there should remain no threat of further 
war in the Pacific area. I say this advisedl}'. 
Japan is tiie one enemy, and the onlj' enemy, 
of the jipaceful peoples whose shores overlook 
the Pacific Ocean. 

Second, the winning of the war will bring its 
own rewards in uniting the Pacific peoples. 
Friendships and opportunities for mutual edu- 
cation and enrichment, both material and spirit- 



OCTODEn 10, 1942 



799 



iial, possess limitless possibilities for pood. 
Tlie share of the Chinese in the new PaciHc is 
bound to be a great one. Our coUabonition 
witii Cinna will be made the easier by the 
sympathy which United China Relief and its re- 
lated organizations have shown the Chinese 
people. 

Third, we can hold out the hope of a liber- 
ated Japan. A population as great as that 
of the German Reich waits to be freed not only 
from its militarist mastei-s but from itself. 
The Japanese have great cultural assets with 
which they could continue to contribute to the 
happiness and ci\-ilization of mankind. But 
they have — particularly in recent years — been 
led along a road of militarism and overweening 
extremist ambition which have directed Japa- 
nese civilization into a blind alley of potential 
ruin. We and our allies of the United Nations 
can free those people of Japan who yearn in 
secret merely to be allowed to pursue their 
normal beautj'-loving lives, in peace, in their 
own homes, and in their own cultural sur- 
roundings. But we must realize that the cap- 
tivity in which the)' are held is no mere 
temporary phenomenon of an occupying force 
or of a police control suddenly grown tyranni- 
cal : it is the despotism of tradition through the 
centuries, grown corrupt, savage, and untrue 
even to its own followers. Whatever desire 
some of the more enlightened elder statesmen 
of Japan may have had for peace, they have 
in recent times been completely overridden by 
the utterly ruthless extremist elements in the 
country. Even during the period of our in- 
ternment in Tokyo the scorn in which they 
held the Foreign Office was only too evident, 
and whatever effort was made by the latter to 
bring our treatment into accord with inter- 
national usage was in many cases arbitrarily 
overruled by the military and metropolitan 
police who dealt with us in the Embassy not 
merely as prisoners but as though we were 
criminal prisoners. 

In this, again, the role of China is of funda- 
mental import — by reason of China's propin- 
quity to Japan, by reason of China's cultural 
leadership of the Far East. For almost three 
thousand years Cliinese civilization has been 



the stabilizer and illuminator of Far Eastern 
life. 

In the Pacific war we are, therefore, not 
only fighting for progress, for democracy, for 
the four freedoms of the Atlantic Charter. 
We are fighting to free the richest cultural 
heritage of East Asia, and in this fight we are 
proud of our indispensable ally, China, and of 
her leader. Generalissimo Chiang Kai-shek. 

My friends — and what a profound joy it is 
to be with and among friends once more after 
bitter experiences in an enemy land — this war 
will increasingly demand our maximum efforts, 
our unbending determination, and, more, our 
willing sacrifice of many things that we have 
hitherto aecepted and enjoyed as natural con- 
comitants of our daily life. Any unwillingness 
to make sacrifice implies one of two things, 
either a weakness in our moral fibre — and we 
can discard that hypothesis because we are 
morally as well as physically and mentally and 
spiritually a strong people — or else a lack of 
fundamental comprehension of what we are up 
against in fighting this war. 

The spirit of America is awake. The battles 
we are fighting are far from our homes and the 
danger is not so imminent to us as it is to those 
of our allies who have lost their homes. Yet, 
if we are to keep our homes and our liberties, 
and our allies are to regain their homes and 
their liberties, those battlefronts must be 
pushed back farther and farther until the 
enemy is engulfed on his own soil. Wliat our 
people have done and are doing here at home 
in factory, field, and office is inspii'ing. Their 
efforts are being felt on every fighting front. 
We are working, we are sacrificing even when 
the battles are distant. But we must not 
slacken, for, if we do, the war and the fighting 
will move closer to us and the faith and hope 
of our allies might grow dimmer. 

Every sacrifice we make, every contribution 
to the war effort we render, either directly or 
indirectly helps our boys who are grimly bat- 
tling overseas and those who at home are 
faithfully guarding our beloved land. "They 
also serve who only stand and wait." We also 
serve who sacrifice and give. China has been 
sacrificing and giving for the past five years, 



800 



DEPARTMENT OF STATE BULLETIN 



sacrificing the mellowness of her age-long love 
of peace and culture, giving in blood and treas- 
ure, in suffering and sorrow, yet in steadily 
strengthening her indomitable will to win. 
Only when our own will to win is backed by 
the spirit of sacrifice and contribution of every 
man and woman in these our United States 
shall we be assured of victorv. 



Let me finally say to you this : The war will 
be well fouglit and well won if we fight for 
the world to come and not merely against the 
enemies who threaten us. A crusade for 
righteousness and freedom is stronger than the 
strongest defense. With China and the other 
United Nations, as we fight the war, we shall 
build the future. 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN TO THE 
CANADIAN NATIONAL VICTORY LOAN CAMPAIGN ' 



[Released to the press October 9] 

The occasion which brings us together is of 
importance in the unfolding of our common 
war effort. The Dominion of Canada pre- 
ceded the United States into the world con- 
flict and into a war economy, and it now pre- 
cedes the United States in the launching of a 
Third Victory Loan which throws additional 
resources of the Canadian people into the stu- 
pendous military and economic effort demanded 
for victory. As an American, as an official of 
the Government of the United States, I take 
profound pride in the accomplishments of our 
near neighbor, Canada. I realize that our two 
democratic peoples have much in common, 
share much, suffer much, gain much together in 
these modern days, and that now, as comrades 
in ai'ms, we are equally faced with the all-im- 
portant problem of achieving victory in the 
greatest war of all time. 

Mj' presence here is, if I maj' interpret it, 
due to your wish to hear something of our 
enemy, Japan, from one who has lived long in 
the hostile atmosphere of that aggressive land 
and has recently returned to the continent of 
our joint security. I can testify that the 
change is more than pleasant: it is a change 
from a heavy and offensive atmosphere to the 
open air that is breathed only in free countries. 

I have had Japanese friends, many of them. 
I have seen most of them, one by one, swept 
away by devices of falsehood and fanaticism, 
until at the last the Embassies and internment 
camps stood far apart and lonely like besieged 

' Delivered by the Honorable .Joseph C. Grew in 
Toronto, Canada, October 8. 1942. 



islands of free thought in an enslaved country. 
Even after war broke out and we were shut 
off from the normal contacts — official and per- 
sonal — which had constituted our life for so 
many years, we realized that in the outer dark- 
ness of a militarized Japan a few hardy souls 
still thought in terms of humanity. A few were 
still free to question, if only within the privacy 
of their own consciences, the short-range 
triumphs which so clearly implied the long- 
range ruin of Japan. 

Tonight when I say that Japan is ruined I 
offer no glib assurance of your triumph and 
ours in the cause of democracy and human 
progress. I mean only that even if Japan were 
to win the war — which it surely will not — the 
Japanese people would face the ruin of their 
business and their social system. 

If they were to win they would be still as 
they are today, enslaved by their own leaders. 
The faltering steps which they have made 
toward constitutionalism, toward humanitar- 
ianism, would be undone. Pawns imder a 
senseless but mighty militarism, the nation 
would turn toward a new age of darkness 
blacker than any that they have known before. 

On the other hand, when Japan loses they 
will pay the price of false war. Over and 
above the obligations which they have incurred 
to the invaded nations, they will owe them- 
selves a debt — a debt of economic spoliation for 
this vain war. of Japanese already dead and 
tlie millions more wlio must and will die, of 
the demoralization wliicli will beset them when 
they realize tlie falsehood and tragedy of the 
slogan which their leaders have "sold"' them, 



OCTOBER 10, 194 2 



801 



the "Greater East Asia Co-Prosperity Sphere". 
Surely we iuive had ample evideiiee — in Koi'ea. 
in Formosa, in Manehnria, and in otlier i)arts 
of oeeupied China — of Japan's interpretation 
of tlie eiipiieniistic term "Co-Prosperity". I 
need not eluhorate that subject. 

Japan faces ruin. Tlie prolilem which con- 
fronts us is, on tlie one hand : How do we 
escape being drawn down into it? It would 
be small comfort to us to see Japan eaten up 
by a monstrous militarism if the same milita- 
rism devoured us. Canada and the United 
States cannot stand apart from the destiny of 
the peoples on the other side of the Pacific. 
Either Japan destroys us all, including the 
Japanese people themselves, or we destroy the 
militarism of Japan and win for all the Pa- 
cific peoples the just and free society which we 
believe to be the rightful condition of all 
nations. 

There are many questions wliich we have 
been asking ourselves since the grim forenoon 
of December 7. 1941. Some of these questions 
will be answered only by the historians of the 
far future. Why did Japan attack the United 
States and the British Commonwealth of Na- 
tions? Vr\\y did tlie Japanese wish to destroy 
us? Wliy did they risk the venture of war 
with our peoples, who are known for industrial 
power and for potential military capacity? 
Did the Japanese indeed make the most monu- 
mental miscalculation in all history? Are 
they foolish fanatics who have chosen a suicidal 
war as the only way out from their humiliation 
by Chinese resistance? Questions such as 
these have been asked me ever since my return 
from Tokyo. 

I fear, alas, that no man living could answer 
all the.ee questions. If there is anyone who 
knows all the answers, I for one would like to 
learn from him. I know that there are many 
important points about the Japanese mind and 
spirit which have puzzled and troubled me and 
whicli are probalily not clear to the Japanese 
themselves. Nevertheless, I will put bfefore 
you two of the main questions, and try to 
give answers to them which — time and cir- 
cumstance permitting — I believe to come near 
to the heart of the matter. 



First, why did the Japanese make this war 
upon us? 

Second, how do the Japanese leaders — fanat- 
ical but coldly calculating men — dare dream 
of victory over tlic combined power of the 
British Commonwealth of Nations, the United 
States, China, and the other United Nations? 

First question first : Why did they make war 
upon us? 

The Japanese attitude toward the English- 
speaking peoples is based on a concept of Japa- 
nese superiority and strength and of our infe- 
riority and weakness. Part of this is a product 
of their mythology, the only neolithic mythol- 
ogy in tlie world which still plays a part in the 
affairs of a government. A part of it is a 
product of national vanity. A part of it is — 
in the Japanese view — logical, matter-of-fact, 
and well founded. 

The Japanese have long known that the man 
who thinks he is superior is ipso facto handi- 
capped. The Japanese have known what we 
thought of them, that they were little fellows 
physically, that they were imitative, that they 
were not really very important in the world of 
men and nations. Believe me, I have been 
shamed more than once by the braggadocio, 
self-confidence, and condescension manifested 
by our English-speaking peoples; and I have 
grown apprehensive as, through the years, I 
have observed the Japanese observing us. I 
have realized the cold, withering contempt of 
the Japanese for those of our race who gloried 
in power without possessing the fundamentals 
of power or who complacently viewed the possi- 
bility of war with Japan without understand- 
ing how formidable the Japanese really were. 

The Japanese have made comparisons not 
favorable to us. They have pointed to their 
own thrift and compared it with our wasteful- 
ness. They have looked at their own national 
unity and national reverence and have con- 
trasted it with our partisanship and our readi- 
ness to hiugli at ourselves. They have .seen the 
comforts with which we have surrounded our- 
selves, and they envy us these even while they 
despise us for our possession and enjoyment 
of them. 



802 



DEPARTMENT OF STATE BULLETIN 



It is not meaningless that in Japanese 
thought "Oriental culture" stands as the an- 
tithesis to luxury. To many Japanese, culture 
means a Spartan ability to endure hard work, 
hard living, and hard fighting. The inconsist- 
ency of their position — the fact that they 
should pride themselves on their simplicity and 
ruggedness while fighting to gain material 
riches — is not apparent to most of them. They 
look upon us as boastful, vainglorious, rich, and 
flabby. They think that we are physically soft. 
They think that our minds are filled with gross 
considerations of comfort, personal greed, and 
shallow partisanship. 

I have no wish to praise a people who are your 
enemies and mine, but I must — in the interests 
of our safety — remind you of a few of their 
formidable characteristics. 

They are united. Theirs is a unity of soli- 
darity. Foolish or wise though their war gov- 
ernment may be, they support it. They believe 
in the divinity of their Emperor and, through 
him, in the rightness of their war leaders. 
For years they have prepared themselves col- 
lectively and individually for war. Germany 
and Italy possess gi-oups of unknown size and 
power which await only the time and oppor- 
tunity to revolt. In Japan there are no such 
groups. 

They are ti-ained. The Japanese have said 
openly that their weapons were inferior to ours, 
but they counted on the fact that we supposed 
them to be even less well equipped than they 
really were. This would give them an advan- 
tage. This advantage could be further supple- 
mented by their discipline, by their universal 
training, and by the fact that all Japanese 
men — all the able-bodied men in Japan — have 
military service. Trained men and armies with 
fair weapons can often defeat untrained men 
and armies with excellent weapons. 

They are frugal. The Japanese Empire has 
almost thrived on shortages. Bottlenecks, ab- 
sences of materials, and vexing priorities have 
existed in other countries under conditions 
which would have meant abundance to the Jap- 
anese. In the midst of poverty they have built 
an enormous military machine. They have not 
done this with wastefulness. Thev have done 



it with care and thrift and economy and con- 
sei"ving of materials. The food which we, even 
now, throw away in North America would go 
a long way toward supporting the population 
of Japan. 

They are fanatical. They believe in their 
war, in the government which wages it, and in 
the incorruptible certainty of their national 
cause. Who knows how far back the sources 
of this national faith may lie? Some parts of 
it go back to the half-mythical centuries of 
their history before the time of Christ. Others 
rest, perhaps, in the centuries of sporadic strug- 
gles with the Chinese which ended with the 
great naval victories of the seventh-century 
Chinese fleets. The shogims, who began the 
system of ruling through puppets a thousand 
years ago, and then the feudal lords contrib- 
uted their share. Medieval civil wars, then, 
bequeathed traditions wl;iich toughened Japan 
for foreign war today. 

They are, at least in war, totalitarian. Long 
ago, while Germany and Italy were still pic- 
turesque agglomerations of petty states, Japan 
was governed by dictatorship, secret police, 
elite guards, suppressors of "dangerous 
thoughts", summary courts, and hidden execu- 
tioners. The Tokugawa shogimate, which pre- 
ceded the present modernized government, was 
effectively totalitarian and authoritarian. 

We have learned in our time what totali- 
tarianism means. It means the end of political 
freedom, of religious freedom, of any freedom, 
of any true culture. It also means concen- 
trated political, economic, and military power. 
This power can be used swiftly and ruthlessly 
by despots who do not stop to explain — still 
less to justify — their ends or their means. 
Japan did not have to turn Fascist or National 
Socialist; morally, Japan already was both. 
Japan has needed no Hitler. In a certain 
sense, her militarists are an oligarchy of Hit- 
lers. Democracy' was an experiment into which 
the Japanese ventured only slightly and cau- 
tiously. The society itself and its values re- 
main today, in wartime, regimented and author- 
itary. Let me give you a few examples. [Off- 
the-record talk.] 



OCTOBER 10, 1942 

With such capacities ami siidi a <;()vcniiiieiit, 
is it suprisiiig tiiat Japan's leatlcrs did not 
fear war and that they led their nation confi- 
dently into war? At this very moment the 
Japanese feel themselves, man for man, su- 
perior to you and to me and to any of our peo- 
ples. They admire our technoloiry, they may 
have a lurking dread of our ultimate superi- 
ority of resources, but all too many of them 
have contemjit for us as human beings. Add to 
all tliis their overweening ambition for conquest 
and you can begin to follow the warped but 
persuasive lines of intuition and belief which 
led Japan to attack us. 

Yet we now try to give an answer to the 
second question: Do the Japanese think that 
the}- can win this war? 

The Japanese leaders do think that they can 
and will win. They are counting on our un- 
derestimates, on our apparent disunity before — 
and even during — war, on our unwillingness 
to sacrifice, to endure, and to fight. 

The leaders of Japan are not suicidally 
minded incomi^etents. History will show that 
they have made a miscalculation; but they 
have miscalculated less than most of us sup- 
pose. In this tliey find strength. 

Japan has won before by the same strategy 
that she has followed in the launching and the 
waging of this war. In 1894 and 1895 Japan 
defeated the gigantic Manchu Empire of China. 
Her armed forces won because the nation was 
prepared, united, determined. The Manchu 
court of China was corrupt and unprepared, 
the Chinese Government was supine and dis- 
united, and the Chinese people never bad a 
chance to fight. Li 190-1 and 1905 Japan at- 
tacked and defeated the Empire of the Tsars. 
Her armed forces attacked Port Arthur, like 
Pearl Harbor, murderously and in stealth. 
Port Arthur, like Bataan, withstood a siege 
and then surrendered. In St. Petersburg and 
Moscow there was revolt, occasioned largely by 
the corrupt mismanagement of the war and a 
popular distrust of the government. The 
Tsarist government negotiated peace. Japan 
could not have defeated Russia; she did defeat 
the Tsarist army when the people and gov- 
ernment behind the Army were disunited and 

48S442 — 12 2 



803 

the productive system did not stand up. Later 
I saw disunion and defeat lingering on in St. 
Petersburg, and the unhappy remembrance of 
it has remained in my mind to this day. 
Finally, Japan, as an ally of the Allies, fought 
Germany in the first World War. Germany 
did not figlit to the bitter end. The Germans 
did not wait for their country to be invaded. 
They gave in before the Rhine had even been 
reached — they surrendered even after they had 
won the Eastern front and had seemed vic- 
torious. The Japanese noted this and did not 
forget it. 

Japan remembers these victories. The Japa- 
nese may not intend to take New Orleans or 
San Francisco or Vancouver or Toronto — in 
this war. They do intend and expect, in dead 
seriousness, to conquer Asia, to drive us out, 
to force us to make a peace which will weaken 
us and cause us to grow weaker with time. 
And then later, in 5 years, or 10 years, or 50 
years, they would use the billion men of an 
enslaved Asia and all the resources of the 
East to strike again. 

There is no limit to the Japanese desire for 
conquest. Given this desire, given their esti- 
mate of us, the attack on Pearl Harbor was a 
logical development. Your Government and 
mine were aware of this. The closure of com- 
mercial relations and the scale of our rearma- 
ment — late though this was — were influenced 
by that knowledge. 

When the Japanese militarists, committed 
absolutely to the course of conquest, took meas- 
ure of their military resources and perceived 
the extent of democratic rearmament, they had 
to gamble. The gamble was heroic but not that 
of a mere game of chance. Their well-planned 
campaigns southward were brilliant accom- 
plishments. Today Japan is stronger than ever. 
We now face not only Japan but Japan and 
Japan's conquests. These conquests are greater 
than we have permitted ourselves to realize. 
They include more than 10 times the area of 
the Japanese Empire as it stood a j'ear ago, 
Chinese territory, British territory, Dutch ter- 
ritory, American territory. They include pop- 
ulations aggregating three times the popula- 
tion of the Japanese Empire ; many climes and 



804 



DEPARTMENT OF STATE BULLETm 



vast resources; a huge aggregate of human 
beings, the majority of whom are docile and 
are capable of tremendous toil. True, we are 
counter-attacking. Canadian and American 
planes are hammering at the Japanese in the 
Aleutians. British and American planes are 
striking at the Japanese in Burma. Chinese 
and American planes are bombing points in oc- 
cupied China. Australian and American planes 
are counter-attacking in the South Pacific. But 
Japan is on the inner circle, and she is busily 
developing the resources and the manpower 
that she has seized. 

No one — any longer — can prattle now of de- 
feating Japan in three months. We hear no 
longer about the tinder cities of Tokyo and 
Osaka. We do not jest about the Japanese 
fleet nor about their air force. We know that 
we face a destructive, united enemy and that 
we must bring to bear against that enemy force 
as united as and greater than that which he 
has marshaled. 

Given our counter-attack, given a new con- 
ception of ourselves and of what we must do 
in face of the crisis which Japan has thrust 
upon us, we shall find the future promising. 
There is no easy way to victory. We must 
work, we must fight, we must sacrifice, we must 
conserve. We must give up our easy living, 
deny ourselves luxuries, devote our wealth to 
the commonwealth. 

Your third victory bonds offer a new oppor- 
tunity. When you and we and our allies have 
put in our money, produced the weapons of 
which we ai'e capable, fought the battles which 
we are preparing to fight, we will demonstrate 
that the Japanese, too, have underestimated us. 

The Chinese have shown Japan that the Ja- 
panese underestimated the patriotism, the cour- 
age, and capacity for common effort of China. 
We too must show the Japanese that they have 
underestimated Canada and the United States. 
Their war is still a gamble. We must turn 
it into their greatest mistake. We must show 
them that we, nations of free men, have an in- 
ner discipline more to be relied upon than all 
the military training of the regimented would- 



be-conqueror nations. We face an old totali- 
tarianism ; we ourselves are old in the ways of 
freedom. 

Most of all, we must show the Japanese that 
all the military power on earth is less than the 
power of reason, of high ideals, of good faith, 
of freedom. The Japanese have left ethics out 
of their calculations. They forgot humanity. 
They have outraged and horrified the world. 
They have lied brazenly. We can and will show 
them that ethical conduct and humanity and 
freedom and truth are vital and real and tri- 
umphant. We can and will strike them with 
the impact of free men fighting in defense of 
freedom. 

Our United Nations leaders have enunciated 
the aims of this war in terms of the Atlantic 
Charter, the United Nations Declaration, and 
other public statements for democracy and 
against aggression. These are not mere 
rhetoric. Belief in and determination to pre- 
serve spiritual values are our sword and our 
shield, nay, more, our secret as well as — to those 
who can see — our visible weapon. We fight for 
freedom. We fight for the future. We fight 
as free men, by voluntary sacrifice. Our gov- 
ernments offer us the chance to win this war by 
our own willingness to make, each and every 
one of us, the maximum contributions of which 
he is best capable. I believe that every one of 
us will seize that chance. 

I thank you for your generous hospitality 
in Toronto. I rejoice to stand tonight on Ca- 
nadian soil, the soil of a sister country and ally 
witli whom my own country is linked in what is 
perhaps the greatest of all common interests : a 
common fight to the death to preserve our re- 
spective freedoms. In closing permit me to 
quote from the diary of an American soldier, 
Martin Treptow, who fell at Chateau Thierry 
in 1918; the quotation is worth remembering 
and acting upon today : 

"I will work; I will save; I will sacrifice; 
I win endure; I will fight cheerfully and do 
my utmost ; as if the whole struggle depended 
on me alone." 



OCTOBER 10, 1942 



805 



ADHERENCE OF ETHIOPIA TO THE 
DECLARATION BY UNITED NATIONS 

[Released to the press by the White House October 9] 

The President has received the following 
cablegram from Haile Selassie, Emperor of 
Ethiopia : 

"My Government and people are anxious to 
assume the obligations of the United Nations 
pact. We the first nation to regain its freedom 
and independence wish to place the military and 
economic resources of our country at the dis- 
posal of those nations who gladly sacrifice all 
for liberty and justice." 

The President replied as follows : 

"I have received Your Majesty's telegram 
stating that your Government and people are 
anxious to assume the obligations of the Dec- 
laration by United Nations and that Ethiopia 
desires to place its military and economic re- 
sources at the disposal of the nations which 
gladly sacrifice all for liberty and justice. 

"It is gratifj-ing to accept the adherence of 
Ethiopia to the Declaration by United Nations; 
to welcome as one of the United Nations the first 
state to regain its territory after temporary oc- 



cupation by an Axis aggressor. You may be 
sure that there is deep appreciation for your 
offer to place at the disposal of the United Na- 
tions the military and economic resources of 
Ethiopia for use in the struggle against the com- 
mon enemy." 

PROTOCOL REGARDING THE DELIVERY 
OF MILITARY EQUIPMENT TO THE 
SOVIET UNION BY THE UNITED 
STATES AND GREAT BRITAIN 

[Released to the press October 6] 

There was signed on October 6 by the Hon- 
orable Sumner Welles, the Acting Secretary of 
State, His Excellency Maxim Litvinoff, the 
Ambassador of the Soviet Union in Washing- 
ton, and Sir Ronald Campbell, British Minister 
in Washington, a protocol regarding the deliv- 
ery by the United States and Great Britain to 
the Soviet Union of military equipment, muni- 
tions, and raw materials. 

This protocol gives formal expression to 
agreements, already in effect for some months, 
which provide for the continuance without in- 
terruption of the supply program inauguratfed 
at the Moscow Conference a year ago. 



The Far East 



EXTRATERRITORIALITY IN CHINA 



(Released to the press October 9] 

The President of the United States in the 
year 1934 and the Department of State on 
various occasions since, and as announced on 
July 19, 1940 and on May 31, 1941, expressed 
the willingness of this Government, when con- 
ditions should be favorable therefor, to nego- 
tiate with the Chinese Government for the 
relinquishment of the extraterritorial and re- 
lated rights and privileges hitherto possessed 
by the United States in China. 



On October 9, 1942 the Acting Secretary of 
State informed the Chinese Ambassador in 
Washington that the Government of the 
United States is prepared promptly to nego- 
tiate with the Chinese Government a treaty 
providing for the immediate relinquishment 
of this country's extraterritorial rights in 
China and for the settlement of related ques- 
tions and that the Goverimient of the United 
States expects in the near future to present 
to the Chinese Government for its considera- 



806 



DEPARTMENT OF STATE BULLETIN 



tion a draft treaty which would accomplish 
the purpose mentioned. 

The Government of the United States has 
during the past several weeks exchanged views 
with the British Government in regard to this 
general question, and the Government of the 
United States is gratified to know that the 
British Government shares this Government's 
views and is taking similar action. 

The above press release was accompanied by 
the following "Note to the Press": 

"For reference to other steps taken by this 
Government and to develoiDments in the Far 
East, since 1931, having a bearing upon the 
subject-matter of this statement, see the De- 
partment's press release no. 351, July 19, 1940 
[which appeared in the Bulletin of July 20, 

1940, page 86], and no. 268, May 31, 1941 
[which appeared in the Bulletin of May 31, 

1941, page 661]." 

Press Release No. 351 of July 19, 19W 

In response to mquiries from press corre- 
spondents with regard to the British Prime 
Minister's comments upon the question of ex- 
traterritoriality in China included in his state- 
ment of July 18, the Acting Secretary of State, 
Mr. Welles, commented as follows : 

"The most recent statement of this Govern- 
ment on this subject is contained in a note pre- 
sented on December 31, 1938,^ to the Japanese 
Goveriunent, which mentions inter alia the 
progi'ess made toward the relinquishment of 
certain rights of a special character which the 
United States together with other countries 
has long possessed in China. In 1931 discus- 
sions of the subject between China and each 
of several other countries, including the United 
States, were suspended because of tlie occur- 
rence of the Mukden incident and subsequent 
disrupting developments in 1932 and 1935 in 
the relations between China and Japan. In 
1937 this Government was giving renewed 
favorable consideration to the question when 
there broke out the current Sino-Japanese hos- 
tilities as a result of wliich the usual processes 



' PrcHH Releases of December 31, 1938, (vol. XIX, no. 
483), p. 490. 



of govermnent in large areas of Cliina were 
widely disrupted. 

"It has been this Government's traditional 
and declared policy and desire to move rapidly 
by process of orderly negotiation and agree- 
ment with the Chinese Government, whenever 
conditions warrant, toward the relinquishment 
of extraterritorial rights and of all other so- 
called 'special rights' possessed by this country 
as by other countries in China by virtue of 
international agreements. That policy remains 
unchanged." 

Press Release No. 268 of May 31, 19U 

The text of a letter dated May 26, 1941 from 
the Appointed Minister of Foreign Affairs of 
the Republic of China, His Excellency Dr. Quo 
Tai-chi, to the Secretary of State, the Hon- 
orable Cordell Hull, follows: 

"San Francisco, May 36, 19^. 
"My Dear Mr. Secretary: 

"I am shortly to depart from the United 
States for China and wish to send you a word 
of farewell and of thanks for the cordial hos- 
pitality extended to me during my brief stay 
in Washington. 

"It Avas very gratifying to me to receive in 
person during our conversations the extended 
account which you were so good as to give me 
of the attitude and policy of the United States 
in regard to problems, both economic and 
political, which are of concern to the whole 
world, and especially to your Government and 
mine, in this unhappy period of disturbance, 
violence and distress. 

"With the general principles of the foreign 
policy of the United States, which were set 
forth in your public statement of July 16, 1937,^ 
I have long been familiar. I could, therefore, 
readily appreciate the importance which, as 
you indicated in our conversations, your Gov- 
ernment attaches to the principles of world 
order under law and of equality of treatment 
among nations, and to general recognition of 
tlie need for freer international trade and for 
broader cultural exchange. My Government 

'Ibid., July 17, 1937 (vol. XVII, no. 407), p. 41. 



OCTOBER 10, 1942 



807 



shares the desire and the hope of your Gov- 
ernment that there may be broiight about by 
processes of agreement conditions in world 
affairs in wliich those principles will be uni- 
versally accepted and applied. 

"You will recall that on August 12, 1937,' 
there was sent to you a communication from 
my Government endorsing the principles 
enumerated in your statement of July IC, 1937, 
and stating that China's policy was therefore 
in full harmony with the views of the Govern- 
ment of the United States. Such was the po- 
sition of China then, and such is its posi- 
tion now. 

"My country has for nearly four years been 
fighting in self-defense. During this period the 
Government and people of the United States 
have shown great friendship and sympathy for 
the Government and people of China. The 
Chinese Government and people deeply appre- 
ciate the attitude, the policy, and the action 
of the Government of the United States. We 
feel, moreover, that our attitude, objectives and 
policies are constantly evolving along lines 
more and more completely in harmony with 
those of the United States. 

"My people are traditionally believers in 
nondiscrimination in international commercial 
relations and in the broad principles of coop- 
eration and fair-dealing among nations wliich 
are implicit in the faithful observance of inter- 
national agreements and the adjustment of 
problems in international relations by proc- 
esses of peaceful negotiation and agreement 
freely arrived at. We believe in and subscribe 
to the principle of equality of commercial op- 
portunity and nondiscriminatory treatment. 
Our Government gave clear indication of this 
nearly a century ago when there were being 
negotiated the first treaties between China and 
Occidental countries. 

'•Upon restoration of peace, the Chinese Gov- 
ernment desires and expects to seek and to ef- 
fect the fullest application of those principles 
in its own economy and in its political and 
economic relations with other countries. 

'/bid., August 21, 1937 (vol. XVII, no. 412), p. 123. 



"With many pleasant recol/cctions of my 
visit to Wa.shington, and with my kindest per- 
sonal regards, I am, my dear Mr. Secretary, 
"Yours sincerely, 

Quo Tai-chi" 

The text of a letter dated May 31, 1941 from 
the Secretary of State, the Honorable Cordell 
Hull, to the Appointed Minister of Foreign 
Affairs of the Republic of China, His Excel- 
lency Dr. Quo Tai-chi, follows : 

"Department of State, 
^'Washington, May 31, 1941. 
"Mr Dear Mr. Minister : 

"I acknowledge the receipt of and thank you 
for your letter of May 26, 1941 in regard to 
your visit to Washington and to our conversa- 
tions during your short sojourn here. 

"We greatly enjoyed your visit. 

"It is very gratifying to receive in your let- 
ter reaffirmation of (he endor.sement by the 
Chinese Government and people of the general 
and fundamental principles which this Govern- 
ment is convinced constitute the only practical 
foundation for an international order wherein 
independent nations may coopenvte freely with 
each other to their mutual benefit. 

"As you know, the program in which the 
Government and people of the United States 
put their trust is based upon and revolves about 
the principle of equality of treatment among 
nations. This principle comprehends equality 
in international relations in a juridical sense, 
nondiscrimination and equality of opportunity 
in commercial relations, and reciprocal inter- 
change in the field of cultural developments. 
Implicit in this principle is respect by each 
nation for the rights of other nations, per- 
formance by each nation of established obliga- 
tions, alteration of agreements between nations 
by processes not of force but of orderly and 
free negotiation, and fair dealing in interna- 
tional economic relations essential to peaceful 
development of national life and the mutually 
profitable growth of international trade. One 
of the purposes of this program is to effect 
the removal of economic and other maladjust- 
ments which tend to lead to political conflicts. 



808 



DEPARTMENT OF STATE BULLETIN 



"As you are also aware, the Government and 
people of the United States ha\'e long had a pro- 
found interest in the welfare and progress of 
China. It goes without saying that the Gov- 
ernment of the United States, in continuation 
of steps already taken toward meeting China's 
aspirations for readjustment of anomalies in its 
international relations, expects when conditions 
of peace again prevail to move rapidly, by 
processes of orderly negotiation and agreement 
with the Chinese Government, toward relin- 
quishment of the last of certain rights of a spe- 
cial character which this country, together with 
other countries, has long possessed in China by 
virtue of agreements providing for extraterri- 
torial jurisdiction and related practices. 

"This Government welcomes and encourages 
every advance made by lawful and orderly 
processes by any country toward conditions of 
peace, security, stability, justice and general 
welfare. The assurances given in Your Excel- 
lency's letter under acknowledgment of China's 
support of the principle of equality of treatment 
and nondiscrimination in economic relations 
should have wholesome effect both during the 
present period of world conflict and when hos- 
tilities shall have ceased. 

"The Government of the United States is 
dedicated to support of the principles in which 
the people of this country believe. Without 
reservation, we are confident that the cause to 
which we are committed along with China and 



other countries — the cause of national security, 
of fair dealing among nations and of peace with 
justice — will prevail. 

"With kindest regards and best wishes, I am, 
my dear Mr. Minister, 
"Sincerely yours, 

CoRDELL Hull" 

NATIONAL ANNIVERSARY OF CHINA 

[Released to the press October 10] 

The text of a message from the President of 
the United States to His Excellency Lin Sen, 
Chairman of the National Government of the 
Republic of China, on the occasion of China's 
national anniversary, follows : 

"The White House, October 10, 1942. 
"It gives me deep pleasure on this national 
anniversary of your country to convey to Your 
Excellency and to the people of China the warm 
greetings and the whole-hearted congratulations 
of the people of the United States. During the 
past year the bonds of friendship which long 
and happily have existed between our peoples 
have been welded even stronger in a common 
struggle against predatory enemies who are at- 
tempting to stamp out the freedom which your 
country and mine so greatly cherish. This an- 
niversary affords us occasion to reemphasize our 
determination to press forward imtil the cause 
of freedom shall be victorious. 

Franklin D Roosevelt" 



Commercial Policy 



TWENTY-NINTH NATIONAL FOREIGN TRADE CONVENTION 
ADDRESS BY THE ACTING SECRETARY OF STATE ' 



[Released to the press October 9] 

Just a year has passed since I last had the 
privilege of addressing the National Foreign 
Trade Convention. 



' Delivered by the Honorable Sumner Welles at the 
World Trade dinner of the Convention in Boston, Mass., 
October 8, 1942, and broadcast over the Blue Netvsrork. 



During the short space of these 12 months the 
people of the United States have passed through 
some of the most portentous events they have 
known in their entire history. They have ex- 
perienced the most far-reaching changes in their 
national life which they have yet undergone. 
They are confronting the gravest dangers they 



OCTOBER 10, 1042 



809 



have ever yet had to face. They are now en- 
gaged in the greatest war that mankind has 
suffered. 

And yet as we look back over the record of 
these past 12 months I tliink we may well feci 
proud that we are Anunicnn citizens. 

From the moment of the attack upon Pearl 
Harbor the people of the United States have 
rallied magnificently. 

Owing to the nature of the universal war in 
which we were plunged, it became immediately 
necessary to send our troops to far-flung out- 
posts in the seven seas. The gigantic difliculties 
in the carrying out of the strategic plans in- 
volved stagger the imagination. They have 
been met successfully. 

"We are raising the greatest army our people 
have ever needed, and we all of us know the 
superb way in which that task has been carried 
out. 

Every day that passes our Navy justifies more 
completely the historic pride which the Ameri- 
can people have held in it. 

And in the field of production the vast goals 
announced by the President last winter will in 
some particulars not only be met but be sur- 
passed. Our production will be far gi'eater than 
any but a verj' few of our citizens could then 
have expected. 

At this very moment our air force, our Army, 
and our Navy are fighting with our allies in 
regions of the Atlantic, of the North Pacific, in 
many parts of Asia and of the South Pacific, in 
the Mediterranean and the Near East and are 
likewise joined with our neighbors of the Amer- 
icas in guarding the Western Hemisphere. 
Every hour that passes, these forces of ours are 
becoming stronger and more efficient. Nor do 
we ever forget the memory of those who, in the 
defense of our liberties, have already gallantly 
laid down their lives in battle against our 
enemies. 

None of us can deny that some of us have 
fallen down on our jobs, nor that some of us 
have not realized fully enough the stark evil of 
the foes who confront us, the vastness of the 
military resources of our enemies, nor the 
magnitude of the stupendous task which lies 
ahead of us. Many of us do not yet realize fully 



how great are the sacrifices every citizen must 
make to insure the success of the war effort, nor 
the inescapable fact that the individual life of 
every one of us is going to be changed as a result 
of the holocaust in which the world has been 
plunged by the criminals of the Axis powers. 

But I have never thought that the American 
people needed to be browbeaten or bludgeoned 
into defending their independence and their 
homes. What the American people require is 
to be told the truth, as the President of the 
United States, with courage, with foresight, 
and with utter frankness, has been telling it to 
them. They can take it. And when they know 
the facts no people on earth are capable of 
greater accomplishment. 

Democracies may take long to prepare for 
war or to engage in war, but, when the free men 
and women of a democracy such as ours are at 
war to preserve their liberty and their faith, 
they will never fail to excel the regimented 
slaves of the dictators. We are fighting for our 
own independence and for the right to live in a 
decent and a peaceful world. The hosts of 
Hitler, of the Japanese war lords, and of the 
Italian Fascist racketeers are being slaughtered 
because of the insane delusion of their masters 
that they could make the resources of the world 
their own individual loot. 

Of the outcome of this gigantic contest I have 
not the shadow of a doubt. 

For I am not one of those few who believe 
that "we are losing this war". I not only be- 
lieve that we are going to win this war, but I 
know that however long the struggle may be, 
however mountainous the obstacles that must 
yet be overcome, the American people will never 
lay down their arms until the final and com- 
plete victory is won by the United Nations. 

In the grim struggle which lies before us we 
are fighting side by side with the other partners 
of the United Nations. 

Never in the long centuries of modern history 
have men and women fought more gloriously 
than have the armies of the Soviet Union. 
Their epic and successful resistance to the on- 
slaughts of Hitler's forces a year ago not only 
gave the lie to Hitler's boasts that he could 
crush the Kussian Army but constituted in it- 



810 



DEPARTMENT OF STATE BULLETIN 



self the major triumph of the United Nations 
in the war until that time. And once more 
through the long summer of 1942 the Soviet 
heroes have held firm. 

We don't hear Hitler tell the German people 
this year that the Soviet Union will quickly 
crumble before his offensive. He doesn't dare. 
For he knows that the German people have 
learned to their bitter cost that Hitler's prom- 
ises in this case, as they will soon learn they are 
in every case, are but the empty lies of a rapidly 
deflating demagogue. 

The United States and its associates among 
the United Nations must render the utmost 
measure of assistance to the Soviet Union. 
Whether that assistance be through the furnish- 
ing of arms, equipment, or supplies, or whether 
that assistance be by means of the diversion of 
German armies forced upon Hitler through the 
creation of a new theater of operations, the 
fullest measure of every means of help will be 
given. The surest way to insure the defeat of 
Hitler is to give this help and to give it unstint- 
ingly at the earliest possible moment. 

The amazing efforts of the British air force 
in its all-out attacks upon Germany have long 
since shown the German people how much value 
they can attach to the assurances given them 
by the Nazi leaders that Germany would never 
be bombed. The havoc and devastation created 
by these British flyers, now joined by our own 
air forces, are crippling war plants, munitions 
factories, shipyards, and railways and gravely 
impairing the German effort to maintain the 
earlier levels of war production. 

Nor can we here in the United States ever 
fail to remember with profound gratitude and 
renewed encouragement that 11 of the other 
republics of the Americas are joined with us, 
side by side, in the war and that 7 other re- 
publics have severed all relations with the 
Axis and are rendering their neighbors who 
are at war every form of cooperation and as- 
sistance. It is true that the remaining 2 re- 
publics of the 21 have still refrained from 
carrying out the unanimous recommendations 
of the Inter-American Conference of Rio de 
Janeiro, in which they themselves joined, that 



all of the Americas sever all relations with the 
Axis, and are still permitting their territory 
to be utilized by the officials and the subversive 
agents of the Axis as a base for hostile actiid- 
ties against their neighbors. As a result of 
the reports on Allied ship movements sent by 
these agents, Brazilian. Cuban, Mexican, 
Colombian, Dominican, Uruguayan, Argen- 
tine, Chilean, Panamanian, and United States 
ships have been sunk without warning while 
plying between the American republics, and 
as a result many nationals of these countries 
have lost their lives within the waters of the 
Western Hemisphere. But I cannot believe 
that these 2 republics will continue long to 
permit their brothers and neighbors of the 
Americas, engaged as they are in a life-and- 
death struggle to preserve the liberties and the 
integrity of the New World, to be stabbed in 
the back by Axis emissaries operating in the 
territory and under the free institutions of 
these 2 republics of the Western Hemisphere. 

Not until freedom was in mortal danger 
throughout the earth did liberty-loving na- 
tions fully learn the lesson of collaboration. 
Had that lesson been learned earlier, had the 
United Nations found their unity in anticipa- 
tion of attack rather than under the urgent 
pressure of attack, the maximum effectiveness 
of our war effort would have been reached far 
more speedily. It is now evident that in the 
cooperation and unity of the United Nations 
lies our ultimate victory. I believe that it is 
equally true that in the continuance and time- 
liness of that cooperation also lies our hope 
for an honest, a workable, and a lasting peace. 

The unity which the free peoples have 
achieved to win their war must continue on to 
win their peace. For since this is in truth a 
people's war it must be followed by a people's 
peace. The translation into terms of reality 
of the promise of the great freedoms for all 
people everj'where is the final objective. We 
must be beforehand in charting the course to- 
ward that objective. The clearer we can make 
the outlines of the peace, the firmer will be 
our determination to attain it, the stronger 
our will to win the war. 



OCTOBER 10, 194 2 



811 



One hears it said that no thought shoiiUl 
be given to the problems of the peace, nor to 
the problems of the transitional period be- 
tween war and established peace, until after 
the war has been won. 

The shallowness of such thinking, whether 
sincere or sinister, is apparent. 

In many cases it is due, I think, to what 
Plato terms "double ignorance": when a man 
is ignorant that he is ignorant. 

It does not detract from our war effort, nor 
from the single-minded drive of the Nation 
towards the ultimate victory, that our people 
should be thinking of, and planning for, the 
kind of world of the future in which peace 
can be maintained and in which men and 
women can live out their lives in security and 
free from fear. 

Such efforts, in my judgment, contribute 
directly to the drive towards victory. 

The setting up now of efficient machinery 
to deal with such problems as relief and re- 
habilitation, for example, which will accom- 
pany victory, cannot fail to strengthen the re- 
solve of all liberty-loving peoples, inckiding 
those in areas now occupied by the enemy, to 
bring the conflict to the speediest possible 
conclusion ; it cannot fail to make them realize 
that the sort of world for which we are striv- 
ing is worth the sacrifices of war, is worth the 
cost of victory. 

It is clear to all of us, I think, that the 
United Nations must maintain their unity be- 
yond the immediate task of prosecuting the 
people's war in order to prepare for and insure 
to the people their peace. 

Point four of the Atlantic Charter promises 
"to further the enjoyment by all States, great 
or small, victor or vanquished, of access, on 
equal terms, to the trade and to the raw ma- 
terials of the world which are needed for their 
economic prosperity''. 

This promise, and the balance of the Charter, 
the United Nations adopted as their own by 
their common declaration of last January 1. 

How do they propose to make it real? 

Some things at least are clear. 

488442 — 42 8 



Access to raw materials does not mean and 
cannot mean that every nation, or any nation, 
can have the source of ail of them within its 
bordeis. That is not the way the world was 
put together. Coal and iron in combination 
are found in few locations. Much of the nickel 
of the world is in one great Canadian deposit. 
Neither coffee nor cork will grow in the United 
States. No nation can be self-sufficient by 
changes in its boundaries, and tliose who try by 
force to do so, as the Axis leaders have tried, 
bring on themselves inevitably only their own 
destruction. The path to plentiful supplies 
does not lie through physical control of the 
sources of supply. 

The pi-oblem of raw materials is not exclu- 
sively, or even primarily, a problem of colonial 
or undeveloped areas. Tlie great mineral de- 
posits exist chiefly in countries that are already 
self-governing, such as the United States, the 
Soviet Union, Canada, Germany, Sweden, 
South Africa, Mexico, Brazil. Access to raw 
materials does not mean possession of a colony. 
It means effective power to buy in the world's 
markets. 

The legal right to export raw materials has 
seldom been restricted by producing countries. 
True, the United States and other countries 
sometimes have been guilty of forbidding the 
export of certain tilings needed for production 
elsewhere, for fear that others might obtain 
the means to trespass on their markets. But 
those cases were rare. Countries producing 
raw materials desired normally to sell their 
surplus, and the problem usually was to find 
a profitable market. The right to buy was real 
and satisfied peace-loving peoples. Belgium, 
Denmark, Sweden, Switzerland, Czechoslo- 
vakia, Norway, not to speak of the United 
States and England, bought in the years be- 
tween the wars great quantities of foreign raw 
materials, and none of them claimed that they 
needed greater resources to live. The countries 
that complained and shrieked that they must 
have colonies or die have shown now by their 
conduct that what they wanted was not pros- 
perity and peace but the materials for making 
war. 



812 



DEPARTMENT OF STATE BULLETIN 



For war, indeed, one cannot count on over- 
seas supplies, and an aggressor must first cor- 
ner all he can of coal and iron and oil and 
copper, in the ground or out of it. 

But the Atlantic Charter does not propose 
to aid aggression. It proposes, on the contrary, 
to make sure that aggression does not happen, 
and to that end the United Nations will create 
the necessary instruments — and this time they 
will be effective instruments and must be firmly 
used — to make it certain that any power that 
again threatens to enslave its neighbors is de- 
nied the means to do so. The materials of war 
must be denied to any future Hitler. 

The access to raw materials of which the 
Charter speaks is access for the purposes of 
peace. For that purpose it matters little in 
whose territory particular resources are found. 
Access means the right to buy in peaceful trade, 
and it exists whenever that right is effective 
and secure. 

What forces then have interfered with that 
right in the past or may interfere with it in the 
future ? 

Most raw materials are not subject to mo- 
nopolistic practices because producers are too 
numerous; but there have been charges in the 
past, and there are charges now, that in certain 
cases the producers of some commodities, with 
the support of the governments to which they 
owed allegiance, have managed, by what our 
Sherman Law calls combinations in restraint of 
trade, to reduce supplies and enhance prices 
beyond reasonable levels or to discriminate 
among their customers. A world devoted to 
increased production and fair and fruitful ex- 
change of all kinds of useful goods cannot 
tolerate such practices. 

But monopoly in the field of raw materials 
is not the major problem. Most materials are 
plentiful in peace, and their producers want 
to sell them to any customer who has the means 
to buy. The real problem of consumers has al- 
ways been the means of payment. In the world 
that emerges from the war that problem will be 
very serious indeed. 

When this war ends much of the world will 
be impoverished beyond anything known in 
modern times. 



Relief cannot go on forever, and the day 
must come as soon as possible when the devas- 
tated areas again are self-supporting. That 
will require enormous shipments from abroad, 
both of capital goods and of the raw materials 
of industry. For these early reconstruction 
shipments no immediate means of payment will 
be visible. That means large financing, much 
of it long-term. The United Nations must ar- 
range that too. But finally comes payment, 
both of whatever interest burden the loans 
carry and for the current purchases of raw 
materials and other imports. I need not tell 
this audience that international payments, on 
that scale, can be made only in goods and serv- 
ices. There is no other way. Access to raw 
materials comes in the end to access to the great 
buying markets of the world. Those who ex- 
pect to export must take the world's goods and 
services in payment. I hope that the United 
States is ready, now, to act upon that lesson. 

The United Nations have agreed to act upon 
it, and in mutual-aid agreements with a grow- 
ing number of them we and they have promised 
to direct our common efforts to increased pro- 
duction, employment, and the exchange and 
consumption of all kinds of useful goods. We 
and they have promised further to attack the 
problem by removing discriminations in the 
treatment of international trade and bj' reduc- 
ing unwarranted and artificial tariff barriers. 
The future prosperity and peace of the world, 
and of the United States, depend vitally on the 
good faith and the thoroughness with which 
we and they together carrj' out those promises. 

During the war as fully as we can, and more 
fully after we have destroyed the madmen who 
seek to rule the world by force and teri'or, we 
of the United Nations will go forward in a 
loyal partnership to carry out the pledges we 
have made to each other and the world. 

There is no limit, then, to the material pros- 
perity which is within the reach of the United 
States, and of mankind. The great thing that 
has happened in our time is (hat mankind at 
long last has taught itself enough of the means 
and techniques of production, of transport, and 
of scientific agriculture so that it is technically 



OCTOBER 10, 10»2 

possible to produce and to distribute on this 
planet the basic physical necessities of health 
and decent living for all of the world's people. 
What remains — and it is a great and formid- 
able task — is so to remake our relalions with 
each other, in loyal and cooperative effort, (hat 
the great productive forces which are within 
our sigiit may fvmction freely for the benefit 
of all. It is within our power to make a mighty 
start upon that road; we have laid down the 
principles of action; it is for the people of the 
United States to determine whether their Gov- 
ernment is to be authorized to carry on. 

For 12 tragic years after the close of the 
last "World War the United States withdrew 
from almost every form of constructive cooper- 
ation with the other nations of the earth. 

We are reaping the bitter cost of that isola- 
tion. 



813 

For I am persuaded that, after the victory 
is won, so long as the power and influence of 
the United States are felt in the councils of the 
world, so long as our cooperation is eflfectively 
offered, so long can one hope that peace can 
and will be maintained. 

The blessings we have inherited from our 
forefathers do not constitute an inheritance that 
we may only passively enjoy. They can only 
be preserved by sacrifice, by courage, by resolu- 
tion, and by vision. 

If the American people prove themselves 
worthy of their ancestors, if they still possess 
their forefathers' dauntless courage and their 
ability to meet new conditions with wisdom 
and determination, the future of this Nation 
will rest secure and our children and our chil- 
dren's children will be able to live out their 
lives in safety and in peace. 



ADDRESS BY RAYMOND H. GEIST" 
Some Economic Aspects of Odr Foreign Kelations 



[Released to the press October 8] 

With the advent of the war the burden and 
responsibilities of assisting the President in the 
conduct of the foreign relations of the United 
States have weighed upon the State Depart- 
ment to a degree probably unprecedented in 
our history. The task has become an under- 
taking of greater complexity and increased 
seriousness, commensurate alone with the scope 
of the war itself, involving the fate of the 
Nation and the destiny of all our people. No 
Department of the Government with the ex- 
ception of the War and Navy Departments is 
more directly concerned abroad with the busi- 
ness of winning the war than the Department 
of State. This is especially true since the 
actual theater of conflict is outside of the con- 
tinental limits of the United States and extends 
almost exclusively into the territories of foreign 
states that are allied with us in this great 
struggle for victory. 

" Delivered before the Twenty-ninth National Foreign 
Trade Convention at Boston, Mass., October 8, 1942. 
Mr. Geist is Chief of the Division of Commercial 
Affairs, Department of State. 



The supreme duty of the Government in 
prosecuting the war with maximum energy and 
vigor requires an intensification of intercourse 
between this country and our allies and friends. 
The far-flung nature of the conflict involving 
every part of the known world demands ex- 
treme watchfulness in every quarter, on land, 
on sea, and in the air, to the end that we may 
assist our allies and friends whenever and 
wherever this is possible, always availing our- 
selves of their support and help. Throughout 
the world, where the enemy has not been able 
to black out civilized intercourse the channels 
of diplomatic conversation have been kept open. 
To help keep these channels open and to make 
them effective ways through which the struggle 
may be waged with success are primarily the 
business of the State Department. 

In the past the foreign relations of the 
United States have not, in any popular sense, 
been of interest to the general public. The 
overwhelming importance of domestic issues, 
garnering the fruits of prosperity and national 
well-being, and cherishing safe and progres- 
sive existences within the boundaries of 



814 



DEPARTMENT OF STATE BULLETIN 



riches and plenty have habitually rendered the 
citizens of this country unconscious of the im- 
portance of the rest of the world to their 
security and way of life. 

This age is past. Henceforth the people of 
the United States will appreciate with increas- 
ing conviction the vital role which other na- 
tions and peoples of the earth play in our own 
destiny. We are realizing, as never before, 
how the lives of our soldiers, our sailors, and 
our airmen are dependent to an overwhelming 
degree on the valor and steadfastness of our 
allies and on their will to resist the common 
enemy. The world is slowly but irretrievably 
separating itself into two camps: friend and 
foe, of which the former comprise a great per- 
centage of the inhabitants of the earth. Some 
of our friends have not yet taken up the sword 
of battle to plunge into the fray on their own 
account, as the process of war is laborious and 
the issues are weighed with deep and grave 
concern by every nation. It is, however, a 
vital part of the Government's war program 
to strengthen the common effort through win- 
ning the support of friendly nations and secur- 
ing their cooperation in the momentous task of 
winning the war. Establishing a common 
cause throughout the civilized world among 
nations whose people are committed to the sur- 
vival of freedom and the advancement of civil- 
ization is the cardinal objective in the present 
crisis of our Government's foreign policy. 
The Department of State, through its diplo- 
matic missions and consular representatives 
abroad, maintains the first line of contact with 
foreign states; the second is through official 
relations with ambassadors and ministers of 
other countries resident in the Nation's capital. 
Through these channels the multitudinous 
problems and questions which concern the con- 
duct of the war are discussed and solutions are 
sought. The scope of these problems is as com- 
plex and as vast as the war itself, requiring 
expert knowledge and experience not only with 
respect to foreign states but also with regard 
to the matters under negotiation. Since con- 
versations and negotiations going on between 
governments are most frequently of a confi- 



dential nature, particularly during the prosecu- 
tion of a war, the State Department is unable 
to reveal the multitudinous details of its labors, 
the successful accomplishment of which brings 
victory every day nearer. There is no secret, 
however, in the broad lines of policy which 
control the relations of our Government with 
other states. Our objectives in war and in 
peace have been sufficiently proclaimed by the 
President, the Vice Pi-esident. the Secretary 
and the Under Secretary of State, and other 
responsible officials of the Government who 
have made public statements. These policies, 
founded on the traditional high principles to 
which our Nation has been dedicated from the 
earliest days of the Republic, constitute the 
basis of all negotiations and dealings with 
foreign states. On this account the Govern- 
ment of the United States in its intercourse 
with other countries enjoys a marked advan- 
tage over the regimes controlling the Axis 
states and the puppet governments they sup- 
port. The commitments of the latter are 
wortliless; their diplomacy consists of deceitful 
maneuvers; the assurances and pledges of their 
ambassadors and ministers are false and 
delusive. 

As before the war, so during the present 
conflict, the State Department remains the sole 
agency of the Government through which the 
foreign relations of the country are conducted. 
The Department is responsible for the diplo- 
matic phases of the war effort and for the 
maintenance of close relations with countries 
that are engaged with us in the struggle now 
being waged. Besides, there remains the task 
of strengthening hemispheric solidarity and 
aiding those countries united with us to resist 
aggression and to defend themselves against 
attacks of every kind wherever these might 
threaten. The vast jjlans which are being car- 
ried forward on every hand, not only in this 
hemisphere but in many distant parts of the 
world, to advance and strengthen our strategic 
and economic position require the constant co- 
operation of the State Department and of the 
i-epresentatives abroad who are under the 
direction of the Secretary of State. The Gov- 



OCTOBER 10, 1942 



815 



ernmcnt's activity in prosecuting the war 
tliroiiphout the world has likewise placed upon 
the Foreign Service a greater burden and re- 
sponsibility than has ever been known before. 

In 1932 the personnel of the Department of 
State numbered 823 officials and employees, at 
a yearly cost to the Government of $1,900,000. 
In the Foreign Service of the United States 
there were 4.106 persons on the payroll with 
salaries totaling $7,315,254. With the increas- 
ing tension in the international situation dur- 
ing the years immediately preceding our 
entrance mto the war, the personnel in both 
the home and the Foreign Service were being 
increased to meet the greater responsibilities 
involved in the conduct of foreign relations. 
In July of this year the Department of State 
had an authorized strength of 2,83C positions 
with a payroll of $6,262,940, while the Foreign 
Service, including the newly established Aux- 
iliary Service, had 4,143 positions with a pay- 
roll of $8,613,926. 

In recent years, while the international situa- 
tion was steadily approaching the crisis which 
has at last engulfed the world, the activities 
of the Department of State have correspond- 
ingly increased. Since the outbreak of war 
in 1939 heavier responsibilities have devolved 
upon every division and office of the Depart- 
ment, practically without exception, immeas- 
urablj' increasing the volume of the work 
accomplished and vastly extending the scope of 
the official business transacted. Likewise, the 
Foreign Service has necessarily undergone 
great shifts in the assignment of personnel, and 
reorganizations and prompt implementation 
of staffs have quickly met the demands of 
the emergency created by the war. Officers 
throughout the world have had to adapt them- 
selves rapidly to new tasks and undertake a 
wide variety of labors created by the war. The 
ambassadors and ministers at foreign posts have 
had their resi^onsibilities multiplied many 
times over. The record of their achievement 
in carrying on difficult diplomatic negotiations 
and in providing the Secretary of State with 
reliable and accurate information during this 
most critical period in our country's history 
has enabled the Government for some time in 



(lie past to calculate with certainty the in- 
evitable march of events toward war, which 
calculations are responsible at least in part for 
those preparations wliich have been timely 
made. 

In my address delivered in July in 1940 be- 
fore this Convention in San Francisco I spoke 
of the President's Reorganization Plan No. II, 
by which the functions of the Agricultural For- 
eign Service and the Foreign Service of the 
Dei)artment of Commerce were consolidated 
with the Foreign Service of the Department of 
State. This consolidation was effected in 1939 
before the outbreak of war in Europe. The 
purpose then envisaged has been achicA'ed. 
But in addition to the elimination of over- 
lapping and duplication of effort, securing bet- 
ter functional grouping, efficiency, and econ- 
omy, greater service to our coamiei'cial and 
agricultural interests has been attained. It was 
timely foresight for this Government to enter 
the greatest conflict the world has ever known 
with a unified and expanded Foreign Service, 
which is now called upon not only to serve as 
an effective arm of the Government in all its 
contacts abroad but to cooperate and assist 
all departments and agencies operating in con- 
nection with the war effort in foreign fields. 
The Department of State, through its missions 
and consulates throughout the world, coordi- 
nates the activities of all representatives of the 
Government sent abroad for particular pur- 
poses. In every quarter of the globe where the 
attack can be made the Foreign Service is vig- 
orously combating the efforts of the Axis pow- 
ers insidiously deployed in the political, eco- 
nomic, cultural, and administrative fields. 

Owing to the closing of many offices in 
Europe and in Asia on account of enemy ac- 
tion, the permanent staff of the Foreign Serv- 
ice has decreased, though the number of offi- 
cers since the outbreak of war has become 
greater. It has been necessary, in order to 
meet the demands of the war, t« create an 
auxiliary service on a temporary basis, which 
numbered 518 as of July 1st. These officers 
have been utilized effectively to serve other war 
agencies and to meet the increased demands for 
new offices at strategic locations vital to the 



816 

conduct of the war and to the protection of the 
lives and property of American citizens. The 
diplomatic and consular officei's who have re- 
turned from posts now in enemy or in enemy- 
occupied territory have been assigned to other 
missions and consulates where on account of 
the urgency and the extent of our efforts in the 
war the work lias increased in most instances 
beyond the capacities of the staffs which the 
department is able currently to maintain. 
With the increasing activity of other depart- 
ments and agencies and the arrival of their 
representatives in foreign countries, a corre- 
spondingly heavier volume of work devolves 
not only on the Department but as well upon 
the officers in the field who are lending their 
assistance and coojjeration. To expedite this 
phase of the Government's activity the estab- 
lishment of new and appropriate administra- 
tive machinery has been necessary. 

The promotion of hemispheric solidarity 
through a program of practical aid and coopera- 
tion with the other American republics is pri- 
marily under the direction and guidance of the 
Department of State, though other depart- 
ments and agencies are actively participating. 
This includes the various types of development 
work, industrialization missions, health and 
sanitation projects, food and nutrition im- 
provements, the building of highways, and the 
affording of economic and financial relief on 
account of conditions created by the war. Be- 
sides, there is the vast work of providing an 
over-all hemispheric defense, which efforts have 
been implemented by meetings of the Foreign 
Ministers of all the American republics, such 
as the meeting held in Rio de Janeiro in Janu- 
ary of this year, to insure full cooperation ill 
joint problems of defense. 

The necessity for economic mobilization has 
not only set the great industrial processes of the 
United States in accelerated motion but at the 
same time has required the utilization to the 
utmost of all resources which are obtainable 
from all accessible parts of the world. Secur- 
ing and mobilizing these resources in coopera- 
tion with other agencies and governments has 
been one of the outstanding achievements of the 



DEPARTMENT OF STATE BULLETm 

State Department. From the beginning it was 
realized that successful defense measures were 
dependent upon the imports of critical and 
strategic raw materials, and the work of the 
State Department in this great effort has had 
two main objectives: (1) the conduct of nego- 
tiations with foreign governments and neces- 
sary collaboration with the other interested 
departments and agencies of the Government, 
for the purpose of assuring to the defense effort 
maximum importation of strategic materials, 
especially those of which the supply is poten- 
tially short, and those materials the importation 
of which is most likely to be exposed to the 
threat of hostile naval action; and (2) the con- 
duct of negotiations with foreign governments 
for the purpose of blocking the transfer of 
strategic materials of value to the Axis powers. 
Furthermore, the direct intervention of the 
Government in this process of mobilizing ma- 
terials was essential, as it was impossible to rely 
upon the action of private importers in this 
country to insure the necessary importation of 
these strategic materials. Besides, it was nec- 
essary in almost every case to obtain through 
the diplomatic channels of the State Depart- 
ment some form of action by foreign govern- 
ments to assure the maximum production of 
these materials. Finally, this whole program 
has been dependent on the creation of the neces- 
sary transportation facilities to move the ma- 
terials to ports for shipment to the United 
States. The State Department has acted as the 
originator of many of these projects and as in- 
termediary between the procurement agencies 
of this Government with the governments of the 
producing countries. As a result of these 
efforts, which were begun by the State Depart- 
ment at the very start of the defense effort, sub- 
stantial stock piles of many strategic materials 
have been built up as reserves for the war effort ; 
and large quantities of these materials have 
been brought into the country by the procure- 
ment agencies of this Government and distrib- 
uted to industry for use in the war program. 
The main strength of this program has been the 
action of the Federal Loan Agency in its realiza- 
tion of the necessity of making maxuuum im- 



OCTOBER 10, 1942 



817 



portations of these strategic materials and its 
effective action in making the many contracts 
incident to acquisition as well as the effective 
cooperation of the Board of Economic Warfare 
and the War Production Board. 

The activities of the Department in the field 
of economic warfare represent a substantial and 
vital contribution to the total war effort; and 
the relations of the State Department to 
economic defense operations is of the most direct 
and sweeping character — although the adminis- 
tration of nearly all these operations is en- 
trusted in practice not to the Department of 
State but to one of the operating agencies of the 
Government. The Treasury Department ad- 
ministers freezing control; shipping control 
by the Maritime Commission ; export control by 
the Board of Economic Warfare ; priority and 
allocation control by the War Production 
Board ; and the purchase of strategic materials 
and the extension of credits by the Federal Loan 
Agency. 

Quoting a Departmental memorandum : "For 
two principal reasons the Department is in- 
volved in these operations of other agencies. 
First, it is the instrumentality which assists the 
President in the exercise of his constitutional 
prerogative of conducting our relations with 
foreign governments. Second, our Foreign 
Service Officers are the antennae of the Govern- 
ment reaching out into all parts of the world. 
This requires participation by the Department 
at two points in all international economic 
operations: it must advise with and guide the 
operating agencies upon the foreign policy 
aspects of their decisions; and it must in large 
part, furnish the means of carrying out these 
decisions insofar as they require action in 
foreign countries. It is obvious that no oper- 
ating decisions and actions may be taken which 
will not have influence upon foreign policy rela- 
tions of the United States ; and, moreover, many 
situations involve not only the interplay of 
political and military considerations, but also, 
in the economic field decision and action by 
several of the operating agencies of the United 
States. In many cases the operating agencies 
must rely upon the Department of State not 



only for the broad foreign policy considerations 
involved in a particular problem, but also for 
the specific information upon which the oper- 
ating decision must be based." 

In the prosecution of economic warfare the 
Department, in cooperation with other agencies, 
has accomplished a vast work in the prepara- 
tion and publication of the Proclaimed List of 
Certain Blocked Nationals. It is impossible 
wholly to evaluate the effect which this action 
has had in arresting and combating Axis 
economic and commercial penetration in the 
other American republics. It has identified the 
outstanding pro-Axis commercial and financial 
enterprises in these countries; it has seriously 
limited the operations and prestige of these 
enterprises and in many cases has wholly elimin- 
ated them ; and it has dried up the very sources 
of Axis propaganda and influence and the 
means of conducting subversive activity. 

The Department has cooperated with the 
Treasury in the control of foreign funds ; with 
the Department of Agriculture in connection 
with agricultural projects in the other American 
republics ; and with other agencies directly fur- 
thering the war effort, including the Depart- 
ment of Commerce, the War and Navy Depart- 
ments, the Coordinator of Inter-American 
Affairs, the Office of Price Administration, the 
Office of Strategic Services, and the Office of 
Lend-Lease Administration. 

In the gathering of information from 
abroad the Foreign Service of the United States 
has been doing the gi-eatest feat of reporting 
ever accomplished during its long history from 
the days of George Washington. The number 
of reports, despatches, and telegrams trans- 
mitted to the various departments and agencies 
of the Government makes an impressive figure. 
Many of the despatches and telegrams trans- 
mitted represent communications between the 
departments or agencies and their representa- 
tives abroad engaged directly in some phase of 
war work ; but the larger percentage of the ma- 
terial made available by the Department to 
other agencies of the Government contains in- 
formation vital to the success of their own 
operations at home or abroad. During the 



818 



DEPARTMENT OF STATE BULLETIN 



month of September distribution of material to 
other agencies and departments was in part as 
follows : 

Number of telegi'ams, despatches, and reports 
received by the Department from abroad and 
sent to other departments and agencies during 
September 1942 

Board of Economic Warfare 6, 069 

Department of Commerce 4, 201 

Department of Agriculture 1, 502 

Department of the Treasury 1. 369 
Eeconstruction Finance Corporation 899 

Lend-Lease Administration 874 

War Production Board 747 

War Sliipping Administration 535 

All others 4, 977 



Total 



21, 173 



The volume of these communications is 
steadily on the increase, and the number — 
which has already reached unprecedented to- 
tals — indicates how the war effort is steadih' 
getting into its stride. 

Wliile the whole machinei-y of the Govern- 
ment is being geared to the struggle of win- 
ning the war, and the main lines of interna- 
tional trade and commei'ce have been merged 
into the war effort, what we have achieved in 



peace and stoutly reared as the very founda- 
tion of our free and democratic existence is 
being solidly preserved. There has been no 
change in the policy which governs our com- 
mercial intercourse with other nations. The 
trade-agreements program is being continued 
with the same conviction as to its efficacy in 
promoting common advantage and material 
progi-ess among nations in their international 
economic relations. The controls now exer- 
cised by the Government over imports and ex- 
ports have been imposed solely in order to win 
the war and not to direct the channels of for- 
eign trade arbitrarily along specified lines or 
to suggest any new system of exchange of 
goods among nations. 

No matter how long the war lasts — and it 
will last until victory is achieved — and no mat- 
ter how much we may have to diverge from 
our normal free way of transacting business 
with other countries, the departments of the 
Government whose duties are to advance the 
foreign-trade interests of the United States, 
namely the Departments of State, Commerce, 
and Agriculture, hold steadily in view the 
coming era of peace; and these departments, 
when the time comes, will be ready to assist 
American industry to resume its rightful place 
in the world's international trade and 
commerce. 



ADDRESS BY HARRY C. HAWKINS' 

BRiTisH-AinsEiCAN Trade Relations After the War 



[Released to the press October 9] 
I 

Official thinking in both Great Britain and 
(he United States, and in other countries, has 
gone far enough, despite (he preoccupations 
of the war, to indicate and get agreement on 
the general principles which should govern 

' Delivered before the Twenty-ninth National For- 
eign Trade Convention at Boston, Mass.. October 9, 
1942. Mr. Hawkins is Chief of the Division of Com- 
mercial Policy and Agreements, Department of State. 



economic I'elations between nations after the 
war. These objectives and principles upon 
which agreement has been reached afford a 
solid basis for the discussion of post-war 
Anglo-American relations. 

The agreed-upon objectives of the two Gov- 
ernments are set forth in the mutual-aid agree- 
ment concluded by the United States and the 
United Kingdom on February 23, 1942. Agree- 
ments in practically identical terms have been 
entered into by the United States with China, 
the Union of Soviet Socialist Republics, Bel- 



OCTOBER 10, 1942 



819 



gium, Poland, the Netherlands, Greece, Czech- 
oslovakia, Norway, and Yugoslavia; and the 
principles of the agreement with the United 
Kingdom have been agreed to by Australia 
and New Zealand. It is difficult to overstate 
the significance of these agreements. Given 
general public undei-standing and support, 
they will become an outstanding landmark in 
the development of international commercial 
policy. For convenience, I shall confine my 
remarks to the agreement with Britain, but 
most of what is said applies also to other 
countries. 

A primary function of the mutual-aid agree- 
ment with the United Kingdom is, as the title 
indicates, to lay down the principles applying 
to mutual aid in the prosecution of the war. 
But this document also lays down the prin- 
ciples applying to mutual aid in the prosecu- 
tion of the peace. Its peace-time significance 
may prove to be as great as, or possibly even 
greater than, its role in the war. 

In its war-time role, the agreement provides 
that this Government will supply such defense 
ai'ticles, services, and information as the Presi- 
dent may authorize; lays down certain obliga- 
tions with respect to the transfer of title of such 
supplies or information ; provides for the return 
of such unexpended material as the President 
may decide upon ; and provides that the United 
Kingdom will reciprocally supply such articles, 
services, facilities, or information as it may be 
in a position to supply. 

The role of the agreement as an instrument 
of peace developed out of the question of the way 
in which Britain will settle for lend-lease aid 
received. This subject was dealt with in the 
agreement pursuant to the provision in the 
Lend-Lease Act of March 11, 1941, to the effect 
that the terms and conditions upon which any 
foreign government receives lend-lease aid shall 
be those which the President deems satisfactory, 
and that the benefit to the United States may be 
payment or repayment in kind or property or 
any other direct or indirect benefit. Since 
neither the magnitude of this aid nor the 
amount of reciprocal aid can be known until the 
war is over, the agreement does not attempt to 



make a final settlement but confines itself to lay- 
ing down the conditions and principles which 
shall govern the settlement, 

II 

The first of these conditions is that the settle- 
ment shall be such as not to burden commerce 
between the two countries. In view of the im- 
portance of our trade with Britain to large num- 
bers of our primary and other producers, and in 
consequence its importance to our whole econ- 
omy, this provision is based upon considerations 
of purest self-interest. It has in view the fact 
that the payment of large sums by Britain to 
the United States would destroy a market which 
in the past has been of great importance to our 
producers of such things as lard, tobacco, fruits 
of various kinds, cotton, and numerous other 
agricultural and manufactured products. 

This would be true if Britain's purchasing 
power for foreign goods were the same after the 
war as it was before. Actually, it will be radi- 
callj' altered for the worse. Lend-lease aid to 
the United Kingdom will run into billions. 
Even a prosperous Britain, with an export trade 
sui'passing anything heretofore enjoyed and re- 
turns from investments, shipping earnings, and 
other sources equaling what it has had in the 
past, might not be able to discharge such a debt 
in years, even if it devoted all the dollars it could 
acquire to this purpose and dispensed with im- 
ports in excess of those necessary to maintain 
living standards at a bare subsistence level. 

The actual situation is likely to be radically 
different from this. In 1938, the last full year 
before the war, the United Kingdom's imports 
exceeded its exports by 377 million pounds. To 
pay for this excess the United Kingdom had a 
net income from shipping, investments, and 
other sources of 322 million pounds, leaving a 
deficit of 55 million pounds, which could only 
be liquidated by exporting gold, borrowing, or 
liquidating investments. During the war it has 
been necessary to liquidate a large volume of 
overseas investments in order to meet the 
rapidly mounting deficit. The income from 
these liquidated investments will, of course, be 
no longer available for the purchase of foreign 



820 



DEPARTMENT OF STATE BULLETIN 



goods. Before the war is over, Britain may 
have lost half of its income from this source. 

Not only will the purchasing power derived 
by Britain from its foreign investments be dras- 
tically curtailed but its income from other 
sources may also be much less than it was before 
the war. For example, if a smaller British 
merchant fleet should have to face the competi- 
tion of war-expanded shipping in other coun- 
tries, income from this source would be seriously 
reduced. Loss of income from these and other 
sources would make Britain to a much larger 
extent dependent upon its exports as a means of 
providing its purchasing power for foreign 
goods. 

But an expansion of its exports as a means 
of providing the wherewithal for buying what 
it needs will be difficult at best, since British in- 
dustry, like ours, will be faced with the task of 
reconverting to peace-time production. 

In the circumstances which seem likely to ex- 
ist, therefore, we must consider whether we 
would be serving our own interests by attempt- 
ing to collect billions from Britain for lend- 
lease aid. Even if such a debt could be paid, 
the economy of the United Kingdom probably 
would collapse under the strain and our own 
economy would be injured. If every available 
dollar over and above the amount required for 
obtaining imports needed to keep the British 
people from starving and to obtain other essen- 
tial products were devoted to making payments 
on such a vast scale, the standard of living of 
the British people would sink to very low levels 
and our producers would find one of their best 
markets drastically curtailed. All our other 
markets which obtain purchasing power 
through large sales to Britain would be seriously 
impaired. 

This situation would be particularly serious 
for us because after the war, in order to main- 
tain employment at anything like its present 
level and find employment for our demobilized 
soldiers, we will have to produce vast quantities 
of goods and will need, as we have never needed 
before, prosperous foreign markets to absorb 
our surpluses. 



In brief, if we attempted to liquidate in time 
of peace by means of payment in cash or kind, 
the vast sums involved in war-time transfers 
and actually succeeded in doing so, we might 
find, at a time when we were most in need of 
foreign markets, that we had ruined our best 
customer, injured others, and thereby seriously 
crippled ourselves. 

ni 

If we proceed on the idea that, in general, it 
is not in our interest to regard lend-lease trans- 
actions as ordinary commercial transactions to 
be settled for as such, the mutual-aid agree- 
ment becomes one the purpose of which can 
be described in simple terms: it is intended 
to serve the dual purpose of bringing about 
the greatest possible cooperation in the prose- 
cution of the war and in the laying of the 
foundations for an enduring peace. Such 
cooperation would constitute the most impor- 
tant benefit the American people could obtain 
in return for lend-lease aid. 

The economic peace aims are, broadly stated, 
to bring about the reduction of trade barriers 
and the removal of discriminations, and the 
adoption of other suitable measures for bring- 
ing about expanding production, expanding 
trade, expanding consumption, and full em- 
ployment, throughout the world; in brief, to 
create an expanding world economy. 

IV 

The agreement itself does not attempt to set 
forth all the measures which should be taken 
to these ends but leaves these to be worked out 
by future agreements. It does, however, 
specify the removal of discriminations and the 
reduction of trade barriers among the things 
to be undertaken. This recognizes the fact 
that the freeing of the channels of international 
trade, which became blocked during the in- 
terval between the wars by every conceivable 
kind of obstruction, preference, and discrimi- 
nation, is indispensable to successful action in 
any other field. 



OCTOBER 10, 184 2 



821 



The freer international exchange of goods 
is indispensable in any scheme for a recon- 
structed world because it goes to the heart of 
the problem. Trade is the lifeblood of produc- 
tion and employment. Plans for stabilizing 
exchange rates must have as a prinuiry object 
the creation of better conditions for trade, but 
no such plan can work for long or make much 
sense if governments continue to distort and 
obstruct the channels of trade. Plans for in- 
vestment in developing the resources and di- 
versifying the production of undeveloped areas 
must necessarily have as an outstanding object 
the promotion of international trade in the 
interest of the countries providing the help as 
■well as in the interest of countries receiving it. 
It makes little sense if governments maintain 
old or impose new obstacles to the trade which 
it is sought to develop and thereby destroy not 
only the trade but the investment as well. In 
the last analysis, every problem in the field of 
international economic relations resolves itself 
into a problem of trade. Action in the field 
of trade barriers and discriminations is so in- 
dispensable to accomplishing the ends which 
the mutual-aid agreements have in view, and 
of itself would go so far in accomplisliing 
those ends, as to rank almost as an end in itself. 

However, we must not for a moment lose 
sight of the difficulties in freeing the channels 
of trade. These difficulties are inherent in the 
trade-barrier problem, and also grow out of the 
fact that action in this field is related to, and 
to some extent dependent upon, the solution of 
other problems outside of this field. 

The greatest danger of all to any plans for 
an expanding world economy lies in the fact 
that protectionism is inherently an expanding 
force which feeds upon itself and tends always 
toward extremes. The producer who manages 
to get tariff protection against foreign competi- 
tion at once encourages other producers to seek 
it, and if these other producers succeed in 
getting more the first one is emboldened to try 
again. Despite any theoretical "infant indus- 
try"' or other grounds advanced in support of 
high tariff subsidies, this is really the way in 



which tariffs grow. Our own tariff history 
will provide plenty of illustrative material. 

But the vicious si)iral does not stop here ; it 
spreads throughout the world. If one country 
shuts off foreign trade to favor certain of its 
own producers, other countries will be forced 
sooner or later to do the same or more, which 
in turn provides furtiier reason for a higher 
tariff in tlie country which started the show. 
In other words, within each country and be- 
tween countries these influences interact upon 
each other to produce ever-growing barriers to 
trade. 

This inherent tendency of trade barriers to 
rise was not destroyed by the passage of the 
Trade Agreements Act in 1934. Interests 
which seek to profit from this tendency bitterly 
contested the renewal of that act in 1937 and 
again in 1940. They have resisted virtually 
every tariff reduction in the trade agreements 
that have been negotiated. They have used 
every device in the formidable arsenal of the 
pressure groups to block action in the interest 
of our great export branches of agriculture and 
industry, in the interest of workers as pro- 
ducers and as consumers, and in the national 
interest generally. To most of the leaders of 
pressure groups, the war in Europe and the 
Far East, the attack on Pearl Harbor, the 
present desperate struggle for a free world are 
unrelated to the trade-destroying measures 
they have sought and still seek to have imposed. 
To them the economic clauses of the Atlantic 
Charter and the provisions of the mutual-aid 
agreements do not hold forth the promise of a 
better world — a fairer trade deal all around — 
but a threat to their selfish interest, a danger 
that they must take steps to overcome. Such 
leaders of minority groups, wielding a power 
far out of proportion to their numbers, will 
continue, come what may, to exert a constant 
pressure against all efforts to create a saner 
world. 

Given the interacting forces which tend al- 
ways toward higher and higher trade barriers, 
it is probably not too much to say that if all 
restraining influences were withdrawn, if no 



822 



DEPAETMENT OF STATE BULLETIN 



voice were raised to stop the trend, if tariffs 
were never bound in trade agreements, if 
mutual-aid agreements were never concluded 
with a view to charting a sane course, the rise 
of trade barriers throughout the world would 
continue at an ever-accelerating pace imtil the 
j)oint of complete national self-siiificiency was 
reached throughout the world. 

There can be no doubt whatever that once 
that point was reached wars would become in- 
evitable and frequent, since the effect would be 
to make each country, no matter how small and 
poor and crowded, a virtual economic prisoner 
within its own boundaries, compelled to eke out 
whatever meager or unbalanced subsistence 
those resources might afford. The only relief 
for countries ill-favored in per-capita natural 
resources would be to expand their frontiers by 
force. No scheme for an international force 
for restraining violators of the peace would 
work in such a situation or in one even ap- 
proacliing it. A world ua which there is want 
or injustice would be one in which force would 
have to be applied so often as to create a per- 
petual state of war. Certainly that is not the 
sort of world we are now fighting for. 

Under the heading of trade barriers and dis- 
crimination, bilateralism must be given promi- 
nent attention. Bilateralism is inherently dis- 
criminatory. It is the device which Nazi 
Germanj' employed with such ruthlessness and 
vigor. It is probably the most effective weapon 
for cutthroat trading, economic oppression, and 
stifling of conamerce which the ingenuity of man 
has yet devised. Its abolition is an indispen- 
sable condition to the economic reconstruction 
of the world. It has short-sighted attraction 
for countries with import balances and faced 
with balance-of-payment problems. But in the 
end it leads to disaster for everybody. 

Yet, note must be taken of the fact that unless 
vigorous steps are taken, some countries might 
find resort to bilateralistic trade irresistible. 

If, for example, Britain owned blocked bal- 
ances in a foreign country, needed the products 
of that coimtry, and lacked dollars, it would 
have the alternative of going without goods 



which it might desperately need or of buying 
them in the country where its balances were 
blocked, even though the United States or some 
other country might be able to supply better 
products at lower prices. The remedy here is, 
of course, to take such steps, including action 
with respect to trade barriers of other kinds, as 
will insure that the currencies of the world will 
be interchangeable at stable rates and thus to 
prevent currencies from being blocked. Our co- 
operation to this end will be indispensable, and 
if we should fail to provide it we could not 
complain if the provisions of the mutual-aid 
agreement relating to the abolition of dis- 
criminations failed to bear fruit. Given our 
tremendous interest in these matters, I feel sure 
that such cooperation will be provided. 

V 

In addition to the lowering of trade barriers 
and the removal of discrimination, the mutual- 
aid agreement with Britain has in view agreed 
action directed to the expansion by other "ap- 
propriate international and domestic measures'' 
of production, employment, and the exchange 
and distribution of goods. 

Domestic measures for promoting employ- 
ment and stable economic health may be no less 
important internationally than measures of an 
international character, because of the essential 
fact that if the national economy of any im- 
portant country is sick its purchasing power will 
decline, its foreign trade will languish, and 
other countries will suffer. 

But there is the ever-present danger that 
countries will try to improve internal conditions 
in disregard of world trade. If domestic meas- 
ures are adopted wliich interfere with an ex- 
panding international economy, they will be 
self-defeating, since in most countries domestic 
prosperity and full employment could not exist 
without a thriving foreign trade. Even in large 
countries with varied resources, such as the 
United States, such measures would require 
radical and painful readjustments and i-egimen- 
tation of production and other economic func- 
tions. The domestic measures referred to in 



OCTOBER 10, 194 2 



823 



the mutual-aid ag:reement must necessarily, 
therefore, refer to those which would harmonize 
with an expanding international economy and 
contribute to sucli expansion. The test of every 
domestic measure should be that it should con- 
tribute to this end, or at least not interfere 
witii it. 

Measures in the international field other than 
the reduction of trade barriers and the removal 
of discrimination must of course also be taken. 
Measures to assist in developing the resources 
and diversifying production in undeveloped 
countries by means of technical assistance and 
financial help are fully in line with the aims 
of the mutual-aid agreement. This will create 
])urchasing power which lies at the basis of 
trade, which in turn benefits not only the coun- 
try receiving the help but also the country giving 
it and other countries as well. 

Again, however, care must be used lest the 
means employed defeat the ends in view. The 
development of resources through the creation 
of a new industry which can only survive within 
the shelter of a towering tariff wall may only 
create a national and an international liability, 
not alone because the barriers erected for its pro- 
tection shut out the particular kind of goods 
produced by such industry but because con- 
sumers are compelled to use inferior or high- 
cost goods, thus reducing their purchasing 
power for other goods. In general, the aim 
should be to create industries in undeveloped 
areas which are well-suited to those areas and 
can stand on their own feet. 

The manner in which financial aid in the foi-m 
of loans and investments is supplied may also 
tend to defeat the purposes which the mutual-aid 
agreement has in view. The freeing of the 
channels of trade, stabilizing exchange rates, 
and security against the outbreak of war would 
give a tremendous impetus to private investment 
for developing the world's resources. But some 
government financing will doubtless be neces- 
sary in view of the tendency of the private in- 
vestor to think in terms of quicker returns than 
would governments intent on long-range objec- 
tives. To the extent that loans and investments 



are made by governments, the aims of the mu- 
tual-aid agreement will tend to be defeated if 
the creditor country takes advantage of its 
position to create spheres of influence and closed- 
door areas. 

VI 

An increase in efficient production through- 
out the world will increase buying power, 
which is an essential ingredient for causing an 
expansion of trad(; ; the lowering of trade bar- 
riers will make possible an expansion of world 
trade; expansion of trade will stimulate further 
production and employment, which further in- 
creases purchasing power, and so on, in an up- 
ward spiral of prosperity. We should therefore 
look with the utmost favor on any measures, 
domestic or international, government or 
private, which will create efficient production in 
new areas or build it up in old ones. 

It is clear from even a superficial examination 
of the probable British post-war position that 
Britain's ability again to take its place as one 
of our most important foreign markets will 
depend to a larger degree than ever before on 
the ability of British industry to develop export 
markets and thereby provide the means of meet- 
ing the country's import requirements. This in 
turn depends upon the ability of British in- 
dustry to get itself back on a competitive basis. 
It is definitely in the interest of the United 
States that British producers acquire the 
strength that will enable them to compete with- 
out the benefit of fenced-off empire and other 
preserves and to develop the thriving export 
business upon which British living standards in 
the future so largely depend. 

We must think of Britain less as a competi- 
tor and keep an eye on Britain as a customer and 
bear always in mind that a prosperous Britain, 
able to import from the rest of the world, is a 
maker of other customers for us. Britain must 
regard us in the same way, and each of us must 
look at all other countries in this light. We 
must recognize the fact that where purchasing 
power exists trade will thrive, as shown by the 
trade between highly developed industrial coun- 
tries — a trade which is possible because of the 



824 



DEPARTMENT OF STATE BULLETIN 



relatively high buying power of industrial 
areas and the fact that tlie tremendous range of 
types, styles, and qualities of industrial prod- 
ucts permits an interchange of products without 
the direct head-on kind of competition which 
characterizes that between virtually inter- 



changeable staple products of different origin. 
We should always bear in mind the fact that if 
we can get a big enough world market — and 
purchasing power is the key to tliis — neither we 
nor Britain nor anyone else Mill have much to 
worry about. 



General 



PRESENTATION OF LETTERS OF CREDENCE OF THE NEWLY APPOINTED 
AMBASSADORS OF CHINA, GREECE, AND YUGOSLAVIA 



[Released to the press October 6] 

The remarks of the newly appointed Am- 
bassador of the Republic of China, Dr. Wei 
Tao-ming, follow: 

"Mr. President: 

"It is a great honor to me to be received by 
Your Excellency today as Ambasador Extra- 
ordinary and Plenipotentiary of the Republic 
of China to the United States of America. As 
Your Excellency is aware, my formal letters 
of credence and the letters of recall of my 
distinguished predecessor have not yet been 
received. 

"I am particularly charged to convey to you, 
Mr. President, the cordial greetings of Presi- 
dent Lin Sen and his best wishes for your 
personal happiness and for the prosperity and 
good fortune of the nation wlioso destinies you 
have guided with such conspicuous courage and 
vision. 

"It is a source of especial pride to me that 
I should be accredited as the official repre- 
sentative of my Government in a country 
where the maintenance and development of 
democratic institutions, firmly founded on the 
principles of human freedom, have long won 
the profound admiration of the Chinese people. 
My country has been fortunate to gain your 
warm friendship, and we are deeply grateful 
for the tangible interest in our welfare which 
has been shown by the Government and the 



people of the United States throughout these 
long years of adversity and bitter resistance 
against aggression. It shall be my pleasant 
duty to endeavor to promote and strengthen 
the traditional ties of friendship and coopera- 
tion which have always existed between the two 
nations. 

"Today we are united in the single purpose 
of achieving victory over our common enemies. 
More than ever before, the free peoples of the 
world and those who love freedom must stand 
together, fight together, and work together, so 
that the forces of tyranny and aggression can 
be destroj'ed forever. I can assure j^ou, Mr. 
President, that my Government and my people 
will continue to do their full part in this global 
struggle for the preservation of civilization 
and, when victorj' comes, will gladly share in 
the heavy responsibility of fashioning a just 
and lasting peace." 

The President's reply to the remarks of Dr. 
Wei Tao-ming follows: 

"Mr. Ambassador: 

"I am happy to greet you in the spirit of 
warm friendship which has long existed be- 
tween the United States and Cliina. 

"I understand that your formal letters of 
credence will arrive later by mail, as well as 
the letters of recall of your distingnislied pre- 
decessor, Dr. Hu Shih, who has contributed so 



OCTOBER 10, 194 2 



825 



much to iiiaintaiiiiiip arnl enhancing friendship 
and cooperation between our two countries. 

'*It <xive.s nie pleasure to receive from y<'u tlie 
cordial message of President Lin Sen and I 
trust that you will convey to him my sincere 
appreciation of his kind and encouraging 
words. 

"Our two countries, long bound together by 
common ideals and by the principles of human 
freedom anil world order under law, are. as 
you say, now united as conu-ades in arms in the 
greatest struggle of all time to defeat the forces 
of tyranny and aggression. The Chinese 
people through more than five years of heroic 
warfare against a ruthless enemy have shown 
again and again that they have those qualities 
which are re(iuisite for victory. Though a 
newer i>artner in the struggle, the people of 
the United States — in our armed forces, in our 
factories, and in our homes — have shown a 
spirit and determination which guarantee that 
we also shall not be found wanting. Both our 
countries know that there is no easy road to 
victory and that victory can be won oidy by 
the gi-eatest of effort, of valor, and of sacrifice. 
In this knowledge the United States and China, 
together with the other United Nations, can 
look forward in confidence to ultimate and 
complete victorj- over our common enemies and 
to achieving a peace that shall endure. 

"You come to us. Mr. Ambassador, with a 
record of many years of service and achieve- 
ment in your own country. In the perform- 
ance of your important mission here you 
may depend upon my whole-hearted coopera- 
tion and that of all other officials of this 
Government. 

"I cordially welcome you to Washington." 

(Released to the press October 6] 

The remarks of the newly appointed Am- 
bassador of Greece, Mr. Cimon P. Diaman- 
topoulos, upon the occasion of the presentation 
of his letters of credence, follow : 

"Mr. PREsroENT: 

"I have the signal honor to present to you 
the letters of credence by which His Majesty 
the King of the Hellenes, my Sovereign, has 



been graciously jjleased to accredit me as his 
first Ambassador E.xtraordinary and Plenipo- 
tentiary to the President of tlie United States. 

"In the present exceptional circumstances 
the step taken by our two countries on the 
initiative of the United States Government to 
raise their respective diplomatic missions to 
ambassadorial rank is of particular signifi- 
cance. Assuredly it will be fully appreciated 
by both nations as a gesture which draws 
closer the bonds already existing between them 
and will be hailed by the Greek nation as a 
recognition by this great country of the heavy 
sacrifices accepted by Greece and as an earnest 
of your intention to help our nation in its 
increasing struggle for liberation and to secure 
the full restoration of its historic rijihts. 

"The United States and Greece are inspired 
b}' common traditions which spring from a 
love for and devotion to freedom and equality. 
From the dawn of history to the present day 
Greece has been privileged to teach her citi- 
zens, as does America, that liberty may come 
to no one as a gift but is an inestimable treas- 
ure and to preserve it a nation may have to 
fight hard battles and endure heavy sacrifices. 
The gallant Americans who are shedding their 
blood in defense of country, honor, and flag in 
so many parts of the world are, no less than 
their Greek comrades in arms, aninuited by the 
determination which is shared by all our allies 
in their struggle against tyranny. Victory 
will crown the arms of the United Nations; of 
this there can be no doubt. The foresight with 
which you, Mr. President, have led your great 
people during the past years is the surest guar- 
anty of our ultimate triumph. 

"The special circumstances in which I am 
today admitted into your presence in order to 
deliver my letters of credence surely permit me 
to dispense with the observance of the tradi- 
tional custom of requesting the assistance of 
your Government in the fulfilment of my mis- 
sion. For the past three years this assistance 
has been afforded me in the fullest measure. 
The Greek people remember with gratitude 
the exceptional courtesy and the generous hos- 
pitality extended to my Sovereign by you, Mr. 



826 



DEPARTMENT OF STATE BULLETIN 



President, as well as by the American na- 
tionals during his recent visit to the United 
States. The feelings of friendship shown on 
that occasion by the American people and by 
yourself and your sponsoring of the four 
freedoms lead us to hope that when the time 
comes and the enemy is vanquished you will 
devote your incomparable prestige and influ- 
ence to the full reinstatement of the rights of 
the Greek nation. That nation, unjustly 
stricken but hopeful and undaunted, offers to 
you, Mr. President, its cordial wishes for the 
prosperity and greatness of the American na- 
tion and for your personal welfare. May I be 
allowed to add to these my own heart-felt 
wishes." 

The President's reply to the remarks of Mr. 
Cimon P. Diamantopoulos follows: 

"Mr. Ambassadob : 

"It gives me great pleasure to receive the 
letters by which His Majesty the King of the 
Hellenes has accredited you as first Ambassador 
Extraordinary and Plenipotentiary of Greece 
near the Government of the United States of 
America. 

"The common traditions and ideals inspii'ing 
the Greek and American peoples have indeed 
given a unique stamp to the unbroken friend- 
ship which has always marked the relations 
between them. Less than two years ago the 
heroic stand of the entire Greek nation against 
the wanton aggression of ruthless and finally 
overwhelming Axis military forces profoundly 
stirred our imagination and our hearts. We 
admire the unrelenting resistance of the men, 
women, and children of Greece to the vicious 
invaders who are occupying their homeland 
and the undaunted determination of the men 
of the Greek merchant fleet, which is contribut- 
ing in important measure to our common effort. 
"We are proud that today men of our armed 
forces are fighting side by side with the cour- 
ageous soldiers, sailors, and airmen of Greece 
in a struggle which can only result in the crush- 
ing of the evil forces which have been unleashed 
upon the world and the introduction of a new 
era of freedom, justice, and prosperity. 



"It is therefore fitting that the United States 
and Greece should, as a mark of their united 
efforts against their common enemies, hence- 
forth exchange diplomatic representatives with 
the rank of Ambassador. I am particularly 
pleased to greet in this new capacity a tried 
friend who as Minister of Greece in AVashing- 
ton for almost three years has so ably conducted 
tlie relations between our two Governments. I 
am confident that the loyal and understanding 
collaboration which has heretofore existed be- 
tween us and between Your Excellency and the 
ofBcials of this Government will continue in 
ever-increasing measure. 

"I can assure you, on my own behalf and on 
behalf of the people of the United States, 
that the cordial wishes which you express in the 
name of the Greek nation are most sincerely 
reciprocated and that we look forward to the 
day when the victory of the United Nations will 
bring the full liberation of Greece and the resto- 
ration of the freedom and independence of the 
Greek people. 

"I shall be grateful, Mr. Ambassador, if you 
will convey to your Sovereign, whose courage 
has been an example to us all and whose visit 
we so pleasantly remember, my best wishes for 
his personal happiness." 



[Released to the press October 5] 

The remarks of the newly appointed Ambas- 
sador of Yugoslavia, Mr. Constantin Fotitch, 
upon the occasion of the presentation of his 
letters of credence, follow: 

"Mr. President: 

"It has long been the custom of nations when- 
ever their relationship has grown in impor- 
tance to grant ambassadorial status to their 
respective representatives. The fact that you, 
Mr. President, have chosen this tragic period 
in the history of Yugoslavia to grant ambassa- 
dorial rank to your representative to the Yugo- 
slav Government has been accepted by our Gov- 
ernment and people as an acknowledgment of 
the contribution which they have made in the 
common struggle against a cruel and ruth- 
less foe. 



OCTOBER 10, 1942 



827 



"This thoughtful gesture, following as it 
does a long series of acts by the Government 
of the United States intended to bring aid 
and couifurt to tlie people of Yugoslavia and 
the warm reception extended to my Sovereign 
by you and the American people during his 
visit to this great country, will echo deeply 
in the hearts of my countrymen wherever they 
are. It will give new courage to those brave 
men who under the indomitable leadership of 
General Draza Mihajlovic wage a grim and 
relentless fight against the Axis powers; it will 
strengthen the hope of deliverance of those less 
fortunate ones who suffer oppression and hard- 
ships in the ruined towns and villages of what 
was once a prosperous and beautiful country. 
They will realize that the maintenance of their 
unyielding spirit which no force or cunning of 
the Axis invaders has yet been able to break 
has been recognized by you, Mr. President, as 
an important contribution to the common cause 
of the United Nations. In the struggle for 
that cause they will never yield ; they will fight 
for it until the day of victory. 

"The King, my Sovereign, has graciously 
appointed me to be his first Ambassador Ex- 
traordinarj' and Plenipotentiary to the United 
States. For seven years I have had the privi- 
lege of representing my country here as Min- 
ister. During that time, in peace and in war, 
I have always believed that no power or com- 
bination of powers in the world can hope to 
triumph once the United States unsheathes its 
mighty sword in the cause of justice. Today, 
more than ever before, I am convinced of this. 

"During that time I have also endeavored 
to interpret the thoughts and democratic aspira- 
tions of my people to the Government of the 
United States, and I have always found a com- 
plete understanding for my mission and the 
most willing assistance in its performance. To- 
day, in presenting to you, Mr. President, the 
letters which accredit me to Your Excellency 
as Ambassador Extraordinary and Plenipoten- 
tiary of His Majesty King Peter II, I feel sure 
that I can rely on the continuation of that spirit 
of friendliness and understanding which has 
always figured so largely in my relations with 
you, Mr. President, and with all the members 



and officials of the Government of the United 
States." 

The President's reply to the remarks of Mr. 
Constantin Fotitch follows: 

"Mr. Ambassador: 

"I receive with gi-eat pleasure the letters with 
which His Majesty Peter II, King of Yugo- 
slavia, has accredited you as Ambassador 
Extraordinary and Plenipotentiary near the 
Government of the United States. 

"It is only a short generation since the 
American people welcomed, with a very special 
friendship, the grouping of the Serbs, Croats, 
and Slovenes into a new kingdom, to take its 
place in the family of nations. A savage and 
ruthless war has interrupted the remarkable 
progress made by the Yugoslav people in the 
consolidation of their national life and has 
temporarily extinguished their institutions of 
free government. But the valor, persistence, 
and military resourcefulness of the Yugoslav 
people, responding to a courageous leadership, 
have shown that their destiny has not been 
thwarted. 

"Their sacrifice and their continued striving 
to regain their independence are a part of the 
common struggle against the forces which 
would bring ruin to all free peoples. It is but 
a token of that association of our peoples that 
the representatives mutually accredited to the 
Governments of Yugoslavia and the United 
States are now vested with the highest diplo- 
matic rank. 

"In greeting you as the first Ambassador of 
Yugoslavia I look back over the seven years 
of your service here as your country's Minister, 
and am sure that you know the warmth of 
America's interest in the welfare of Yugo- 
slavia, and am confident that you will carry 
on the sincere and whole-hearted collabora- 
tion which has always existed between our 
Governments. 

"I ask you to convey to His Majesty, your 
Sovereign, whose recent visit to this country 
gave us all so much pleasure, my friendliest 
wishes for his welfare and my admiration of 
Yugoslavia's steadfastness toward the acliieve- 
ment of the final victory." 



828 



DEPARTMENT OF STATE BULLETIN 



Cultural Relations 



VISIT TO THE UNITED STATES 
OF SALVADORAN ENGINEER 

Sen or J. Federico Mejia, a leading engineer 
and Director of the National Commission of 
Electricity of El Salvador, arrived in the 
United States October 9 for a two months' 
tour of the country as a guest of the Depart- 
ment of State. His tour will include several 
hydro-electric developments, in which he is 
especially interested as his Government is 
planning to develop the power of the Lempra 
River. He will visit the Grand Coulee Dam, 
Boulder Dam, the California Hydro-electric 
Development, TVA projects, and also possibly 
the General Electric Corporation and the 
Westinghouse Electric and Manufacturing 
Company. 



Legislation 



Treaty Information 



MUTUAL ASSISTANCE 

Protocol Regarding the Delivery of Military 
Equipment to the Soviet Union by the United 
States and Great Britain 

An announcement of the signature of a pro- 
tocol regarding the delivery of miltary equip- 
ment to the Soviet Union by the United States 
and Great Britain appears in this Bulletin under 
the heading "The War". 

EXTRATERRITORIALITY 

Relinquishment of Extraterritorial Rights 
in China 

There appears in this Bulletin under the head- 
ing "The Far East'' an announcement that the 
Chinese Government has been informed that this 
Government is prepared promptly to negotiate 
a treaty providing for the relinquishment of 
this country's extraterritorial rights in China 
and for the settlement of related questions. 



An Act To amend the Act of May 19, 1926, entitled "An 
Act to authorize the President to detail officers and 
enlisted men of the United States Army, Navy, and 
Marine Corps to assist the governments of the Latin- 
American republics in military and naval matters" 
[to include, during wartime, other countries outside 
the Western Hemisphere if the President deems it to 
be in the public interest]. Approved October 1, 1042. 
[S. 2686.] Public Law 722, 77th Cong. 1 p. 

Second Supplemental National Defense Appropriation 
Bill for 1943 : Hearings before the subcommittee of 
the Committee on Appropriations, House of Represen- 
tatives, 77th Cong., 2d sess. [Testimony of Laurence 
C. Frank, Executive Assistant to the Assistant Secre- 
tary of State, regarding appropriation on salaries of 
ambassadors and ministers, p. 173.] ii, 538 pp. 



The Foreign Service 



CONFIRMATIONS 

On October 8, 1942 the Senate confirmed the 
nomination of George Wadsworth, of New 
York, to act as Diplomatic Agent and Consul 
General of the L^nited States of America near 
the Government of the Republic of Lebanon, 
at Beirut, and near the Government of the 
Republic of Syria, at Damascus. 



U. S. GOVERNMENT PRINTING OFFICE: 1942 



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PUBLISHED WEEKLY WITH THE APPBOVAL OF THE DIRECTOB Or THB BUBEAU OF THE BCDGET 



THE DEPARTMENT OF STATE 



BULL 



ETIN 



OCTOBER 17, 1942 
Vol. VII, No. 173— Publication 1825 







ontents 




The War Page 
The Realist Base of American Foreign Policy: Address 

by Assistant Secretary Bcrle 831 

Proclaimed List: Supplement 3 to Revision III .... 835 

General 

Columbus Day Address by Assistant Secretary Berle . . 836 

American Republics 

Exchange of Messages Between President Rios of Chile 

and President Roosevelt 838 

Rubber Agreement With Venezuela 838 

The Far East 

Extraterritoriality in China 839 

International Conferences, Commissions, Etc. 

Eleventh Pan American Sanitary Conference .... 839 

Cultural Relations 

Visit to the United States of Peruvian Artist 84 

Treaty Information 

Strategic Materials: Rubber Agreement With Vene- 
zuela 841 

Agriculture: Protocol Extending the Duration of the 
International Agreement Regarding the Regula- 
tion of Production and Marketing of Sugar of May 

6, 1937 841 

Legislation 841 

Publications 841 



"•S. SUPERINTENDENT OF D0CUWf«T3 
NOV 4 1942 



The War 



THE REALIST BASE OF MIERICAN FOREIGN POLICY 



ADDRESS BY ASSISTANT SECRETiVRY BERLE' 



[Bcleased to the prees October 15] 

In war, as in peace, sound foreign policy 
must be based on the solidest political and eco- 
nomic facts. Unless this is true, it is difficult 
to be victorious in war and impossible to or- 
ganize peace after victory. The salient points 
are well known; but tliey bear repeating. 

The United States is productive, strong, and 
independent and proposes to stay so. She has 
found that the best means of remaining pro- 
ductive, strong, and independent is to maintain 
disinterested friendship with all other nations; 
and that this policy works best when all other 
nations are themselves productive, independ- 
ent, and as strong as their circumstances per- 
mit. We have no wish to acquire the territory 
or dominate the affairs of other nations, and no 
peace-loving nation need fear us. Equally, we 
propose to handle our affairs so that we need 
fear nobody. 

Every once in so often certain other nations 
become possessed of a wild desire to conquer 
as much of the globe as they can. The present 
war comes directly out of such a plan. The 
Nazi-Japanese combination intended to do just 
that. The United States and our neighbor na- 
tions of the Xew World were a direct target in 
this wild scheme. We have had to join with 
other law-abiding nations to defend ourselves. 
We propose to finish the job. The present policy 
of this Government is to make war — war to the 



'Delivered at the fifth annual meeting of the Ala- 
bama State Chamber of Commerce, Birmingham, Ala., 
October 15, 1942. 

489599 — J2 2 



victorious end. New methods are needed, and 
new factors must be considered. 

As the world has grown smaller — and you 
can go around tlie world today without great 
difficulty in 10 days — schemes of conquest are 
no longer certain to be checked by the Atlantic 
and the Pacific Oceans. These oceans, now, can 
be crossed quite easily. Today, an occasional 
air raid probably would not seriously threaten 
our existence. But tomorrow — that is another 
story. No student of aviation fails to point out 
that we are only beginning to learn what air 
power can do. On the drafting boards of the 
aviation designers there are already plans which 
make present air warfare and air transport look 
as obsolete as a sailing ship looks alongside an 
ocean liner. 

Both in this war and after it our foreign 
policy must take accoimt of that fact. It 
changes our whole point of view. In the last 
war, and in the present war, the German ex- 
plosion of conquest was met by barriers: the 
British and French land armies and the sea, 
held by the British and American Navies. 
These barriers borrowed time for us: time to 
produce munitions, to organize armies and air 
force, and to meet our better-prepared enemies 
on even terms. But the future does not offer to 
lend us time. It puts us in a permanent front 
line. If you imagine two or three hundred 
Pearl Harbors occiu'ring all over the United 
States, you will have a rough picture of what 
the next war might look like — if we let a "next 
war" start. This is a new factor, and we have 

831 



832 



DEPARTMENT OF STATE BULLETm 



to take account of it also, and so use victory 
that a new war cannot start. 

In our great international crises, certain na- 
tions habitually wind up on the same side as the 
United States. 

First in our thinking are the unity and co- 
herence of the American family of nations. 
This hemisphere, following a great ideal, has 
steadily drawn together in friendship at a time 
when other continents were breaking apart into 
groups of enemies. How strong and deep this 
habitual friendship can be is notably illustrated 
by the great part which Brazil is playing in the 
present conflict. 

And, during a century and a quarter, though 
Britain has been a great maritime power, a great 
competitor, and our nearest overseas neighbor 
among the great powers, we have lived at peace 
with Britain and have twice been her ally. No 
dispute has arisen which could not be solved by 
reason and common sense. I think our relation- 
ship with Britain rests on something more solid 
than cousinly sentiment. Great Britain, in the 
last analysis, has found that a strong United 
States is a great buttress of a world in which 
Britain can live. We, on our side, have found 
that a strong and serene British Commonwealth 
of Nations is a great guaranty of the kind of 
world in which we want to live. Year after 
3'ear we have come to work together in all essen- 
tial matters. Neither of us fears the other; 
neither of us has sacrificed independence. We 
do not even forego our right to puff, grunt, com- 
plain about, and argue with each other. In all 
crises we necessarily and instinctively hang to- 
gether, and both of us have been safer and better 
off on that account. 

Another great power which has habitually 
joined with us is Russia, though few Americans 
have realized that fact until lately. Wlien the 
country was young, the mere existence of Russia 
prevented Napoleon from becoming a world con- 
queror ; and this fact made us safe. Later, and 
in the difficult days of our Civil War, Russia 
stood by the United States as a great counter- 
weight against interference in this hemisphere 
by any European power. In the first World 
War, at the sacrifice of her own armies, Russia 
twice carried out a general military push which 



enabled the Western nations to draw breath and 
equip themselves for final triumph. Today, a 
defense of unparalleled bravery, symbolized by 
the deathless name of Stalingrad, has probably 
proved the turning-point in the Nazi drive for 
world power. 

Since the appearance of the Far East in West- 
ern affairs, we have had an historic friendship 
for China and she for us. The cornerstone of 
any American policy in the Far East must be 
close working-relations with the Chinese na- 
tion — a very great nation, devoted to a world at 
l^eace. The struggle carried on by Generalis- 
simo Chiang Kai-shek and the Chinese people 
has made it possible for this country to meet a 
Japanese attack, tuned to coincide with the 
Nazi attack ; and China saved us in the East as 
Russia and Britain have saved us in the West. 

You may say that these countries have only 
acted in their own interest and are defending 
themselves. That is true. We have done the 
same. The point is that their own interests and 
their own self-defense have regularly proved 
of vital importance to us in maintaining our 
national interest and our self-defense — not once 
but over and over again in our history. 

Out of these relationships has now been 
forged the greatest union history has ever seen: 
the United Nations. 

The greatest tribute to the strength of the 
United Nations recently has been the violent 
attempt of the Axis to break it up. You have 
heard Axis propaganda attempt to make Russia 
believe that Britain and the United States would 
let her down. At the same time German lies 
were spread that Russia would betray her allies. 
Meanwhile the poison squad was busily endeav- 
oring to sow dissension between Britain and the 
United States. Most of this propaganda has 
missed its mark ; its real importance is to show 
the Nazi fear of these great, friendly nations 
when they unite. 

They have united, in their common interest, 
to an amazing degree. I want to trace some of 
the outlines of their united effort. 

Modern war is a continuous process. It in- 
volves organizing and maintaining a continu- 
ous belt line from the farms and the munitions 
factories to the fighting fronts. All of this huge 



OCTOBER 17, 1942 



833 



belt line has to work all the time and work in 
gear. If any part of it breaks down, all the 
ligliting fronts are endangei«d. 

For that reason the United Nations have al- 
ready forged a huge international economic 
system. That system exists now and is working. 
This war runs through all the continents and 
includes fronts in the Arctic Aleutians and tlie 
African tropics. It ranges from the Solomon 
Islands to the Ru.ssian steppes and is fought in 
the Egyptian desert and in the Channel ports. 
When supply has to flow to all these fronts you 
can see that the economics of war are interna- 
tional by their very nature. 

It has been nece^s:ii-y to organize production 
on an international basis so that supplies, 
civilian and military, may be planned ahead, 
may be created for tomorrow, and may be gath- 
ered for today. No one country could pos- 
sibly achieve this. There are, accordingly, 
combined boards which plan the utilization of 
the raw-materials resources of the United Na- 
tions. Such a board is working in Washington 
now, and a counterpart exists in London. 

Raw materials are useful only as they pro- 
duce supplies and munitions. Last June there 
was created a Combined Production and Re- 
sources Board, which shall "take account of the 
need for maximum utilization of the productive 
resources available to the United States, the 
British Commonwealth of Nations, and the 
United Nations". 

There is a Combined Food Board to work in 
collaboration toward the best utilization of food 
resources and to formulate plans for the de- 
velopment, expansion, and purchase of neces- 
sarj- food. 

Since supplies must reach the place where 
they are needed, there is a Combined Shipping 
Board, which, in essence, pools the shipping 
of the allied maritime powers. 

When it comes to arms, the language of the 
agreement is worth repeating: "The entire 
munitions resources of Great Britain and the 
United States will be deemed to be in a com- 
mon pool." Out of this pool all the United 
Nations must draw their war supplies, save 
Russia, who has supplies of her own but needs 
all reenforcement from the pool that ships can 



carry and ports receive. The Munitions As- 
signment Board has the huge task of allocating 
the weapons of war to the fighting fronts. 

Were it not for this vast machinery, the war 
would probably have been over long ago. 
Were it not that this machinery is truly inter- 
national, the free fighting nations would have 
been weakened one by one to the point of de- 
feat and hammered into submission for lack of 
munitions or starved into impotence for lack 
of supply. 

This is the "commerce" of wartime: a com- 
merce such as the world has never seen. This 
commerce matches armor against danger; main- 
tains distribution and supply behind the lines. 
This commerce says, in a word, that the com- 
bined resources of all the free nations shall be 
devoted to the common defense and shall be laid 
on the line when and where they are needed. 

During the period of war this is the ma- 
chinery that must support the economic life of 
all the United Nations, including ourselves. 
Sometimes we have been criticized because the 
huge machine did not get into action more rap- 
idly. Much of this criticism is sound and use- 
ful. But it must be remembered that all this 
huge design of wartime life has been built 
within a period of nine months. It will in- 
crease in effectiveness until the war is over. 

Wlien victory comes — as come it will — this 
vast machinery will be the way by which the 
civilian population of most of the world gets 
its supplies. The organization will be there and 
standing; it will have under its direct charge 
the resources of most of the world. 

I ask you to remember this, because we shall 
have the problem, when peace is won, of keeping 
and holding that peace through an extremely 
difficult period. You cannot expert order in a 
hungry world — and the world will be very hun- 
gry indeed. The machinery which has been 
built up to supply us during wartime will have 
to be used, in large measure, to keep us supplied 
until the commerce of peace can be reestab- 
lished. There will be no other way. Until new 
arrangements can be made to reopen the flow of 
trade and commerce, to start production out, to 
repair the wrecked plants, and replace the 
broken machines, we shall have to rely for a 



834 



DEPARTMENT OF STATE BXTLLETIN 



time on the war supplies while we are working 
to reestablish the business of peace. 

The technique of that period of transition 
must be planned and thought out soon, for this 
time we cannot risk the breaking of all ranks 
which took place in 1918 when Germany col- 
lapsed. Then the Allied machinery stopped at 
once; Europe and, to some extent, America were 
shaken in the convulsion of a great economic 
crisis. In the ensuing confusion the victory of 
World War I was literally frittered away. 

In that transition period it will be necessary 
by a combined effort to make arrangements — 
and make them quickly — so that nations gen- 
erally can use their resources and their man- 
power to satisfy their people's needs. 

Since no country wants to be on either the 
giving or receiving end of an international 
breadline, this means economic arrangements 
which permit nations to get into production as 
rapidly as possible and put their resources to 
work. They literally must increase their re- 
sources by trade and commerce, for no other 
peaceful way has yet been devised. 

For that reason the trade routes and markets 
of the world have to be reopened. The endless 
barriers, restrictions, and hurdles by which 
trade has been slowly strangled in the last 20 
years will have to be 'removed. This rule goes 
for everyone, including America. No country 
can expect to cut itself off from general com- 
merce without harming its neighbors a great 
deal and itself most of all. 

To do this, however, we must squarely face 
one fact and arrange to meet it. Open trade 
and life-giving commerce cannot exist unless 
you have a financial system so arranged that the 
goods can move — and do — and so handled tliat 
business can be done — and is. 

For the transition period at least, financial 
arrangements must therefore be worked out so 
that our neighbors in this world community can 
set up in business again. It will be essential for 
them ; it will be sound commerce for us. 

Perhaps an illustration close to home may be 
useful. At the close of our Civil War the South 
was exhausted and her economic life was 



broken. The capital and credit of the country 
were concentrated in the North. Endeavors 
were made at that time by some enlightened 
citizens to try to put some of this northern capi- 
tal and credit to work in the Southern States. 
But most of the northern bankers at that time 
did not have the vision or the courage to do the 
job, and there was no central banking system 
able to move in. Instead, the money and credit 
which could and .should have rebuilt the ruined 
areas went into the fantastic speculations of the 
Goulds, the Jim Fiskes, and the Daniel Drews 
and caused the wild scandals of the New York 
Stock Exchange. 

Eeestablishment of the South was unneces- 
sarily delayed for an entire generation. Nor 
did the rest of the country escape; it had to 
suffer the hardships of the long panic which 
began in 1873. It took the country 30 years to 
recover from that mistake. 

I do not see that the task is impossible. We 
have the resources. If it is desired to use gold 
as a financial base, as many people do, we have 
at our command by far the greatest share of 
the world's gold. Wliat is more important, we 
have the production and the goods available to 
back up our finance. We shall be in a position 
to make and deliver almost anj'thing which is 
required to give to our neighbor countries a new 
start in international economic life. At the 
very time this is most needed we shall want to 
keep our plants busj^, our people employed, and 
to provide jobs for the returning soldiers. With 
ordinary intelligence we should be able to assist 
the general situation, to everyone's advantage. 

A good many yeai'S ago we discovered that 
the trade and commerce of this country could be 
paralyzed by a system of banking and finance 
which was not sufficiently elastic. It took throe 
panics to teach us that lesson : the panic of 1893, 
the panic of 1903, and the panic of 1907. In all 
those panics we saw trade within this country 
drop to nothing, though the goods were there; 
we saw men out of work, though the work was 
there to be done; we saw banks fail, though the 
assets were there; we saw hardship in the midst 
of obvious plenty. Then we finallj' learned our 



OCTOBER 17, 1942 

lesson and passed the Federal Reserve Act of 
1914. 

The existence of that act and the creation 
of the parallel agency of the Eeconstruction 
Finance Corporation made it possible to end 
tiie depression of 1929 jnst as soon as a govern- 
ment was chosen which had the will and the 
determination to do it. 

Somewliat tlie same problem exists in the in- 
ternational field. Perhaps it is not amiss to 
suggest that business and financial men begin 
to do some thinking as to how the methods 
which have proved siiccessfid within the United 
States may be applied so that the trade and 
commerce which are necessary for the health 
and for tlie peace of the world may be reestab- 
lished and kept going. 

Because of this a good many observers, both 
practical bankers and students, have been ad- 
vancing the idea that we could profitably ex- 
tend some of the principles of reserve banking 
to the international field. Certainly, experi- 
ence suggests that this is a logical line of de- 
velopment. After World "War I the various 
financial systems of the victorious powers en- 
deavored to go it alone, fighting each other at 
times, cooperating at times, in much the same 
way that governments made shifting alliances 
and had shifting antagonisms. The United 
States particularly endeavored to do this, and 
the fiasco of American foreign finance is an 
unpleasant memory, unhappily kept alive by 
reams of defaulted bonds and unsuccessful in- 
ternational schemes. Had that same capital and 
energy been used with intelligence and care and 
in sound cooperation with other countries, there 
is great reason to believe that the results would 
have been better for us ; and that the economics 
of the world would have been more productive; 
and, most important of all, that there would 
have been more emploj-ment, better wages, and 
a higher standard of living for workers and 
producers. 

This time we shall have to do it better. For 
purposes of common defense we have erected an 
economic machine for war supply capable of 
developing the entire world. In the light of 



835 

this experience it should not be too difficult to 
create institutions capable of handling the fi- 
nance of transition and turning the processes 
of reconstruction into permanent processes of 
international trade. 

I have stressed the possibility of creating a 
system of international finance because that is 
likely to be the first problem which arises. It 
is not the only problem and not at all the most 
dramatic and most appealing. It is one step 
which we can consider seriously because we al- 
ready know the technique. If we solve that 
question we shall have a tool in our hands with 
which we may be able to attack other and still 
greater problems. 

At the beginning of this essay we noted that 
the foreign policy of the United States was 
based on the strength and independence of this 
country — but also on the disinterested and co- 
operative friendship with other nations. We 
found that certain groups of countries in all 
major crises have tended to draw together, 
linked by common interest. We have found 
that this was true in political crises, as it is to- 
day in the great and bitter experience of war. 

Let it never be said that cooperation is the 
child only of war. The first World War taught 
us that military victory depended on united ac- 
tion. The last two decades have shown us that 
united action is no less essential if victory is to 
mean peace. The second World War has given 
us a vision of limitless economic power achieved 
by cooperation. We must not again lightly 
throw away that power in the moment of tri- 
umph, when arms are grounded and we embark 
on the task of healing the world. 



PROCLAIMED LIST: SUPPLEMENT 3 
TO REVISION ni 

[Released to the press October 11] 

The Acting Secretary of State, acting in con- 
junction with the Secretary of the Treasury, 
the Attorney General, the Secretary of Com- 
merce, the Board of Economic Warfare, and 



836 



DEPARTMENT OF STATE BULLETIN 



the Acting Coordinator of Inter- American Af- 
fairs, on October 11 issued Supplement 3 to Re- 
vision III of the Proclaimed List of Certain 
Blocked Nationals, px'omulgated August 10, 
1942.1 



Part I of this supplement contains 198 addi- 
tional listings in the other American republics 
and 13 deletions. Part II contains 91 addi- 
tional listings outside the American republics 
and 11 deletions. 



General 



COLUMBUS DAY ADDRESS BY ASSISTANT SECRETARY BERLE = 



[Released to the press October 12] 

I am glad to greet you as a group of Ameri- 
cans, devoted to the American ideal. You are 
of Italian descent. You carry in your ideals the 
best of Italian tradition. 

You need not be ashamed of your Italian 
traditions in spite of the fact that Italy has 
today been betrayed by her shoddy crew of 
Fascist rulers. Mussolini is not a big enough 
man to put out the light of Dante. The memory 
of brave men like Mateotti will live when the 
Cianos and Grazianis have been dishonorably 
discharged by history. 

For centuries the Italian people steadily 
fought the brutal tyranny which came from be- 
yond the Alps. German and Austrian powers 
sent mercenary armies to lay waste the fairest 
Italian provinces. They sent gauleiters to 
oppress the people. They kept Italy divided. 

By a great effort in the last century the Italian 
people threw out the German invaders and the 
puppet governments, the Quislings of that day. 
They made Italy a free nation. 



"7 Federal Register S165. 

' Delivered at the («lebration of the four hundred and 
fiftieth anniversary of the discovery of America by 
Christopher Columbus, at the Metropolitan Opera 
House, New York, N. Y., October 12, 1942, and broad- 
cast over the Mutual Network. 



It is that tradition which Americans of Italian 
ancestry carrj' in their hearts and minds. 

Twenty years ago a gang of adventurers 
seized power in Italy. They tried steadily to 
extinguish the flame of freedom which burns in 
the hearts of all true Italians. They tried lo 
make Italy forget both the great heritage of 
Leonardo da Vinci and the great achievements 
of Mazzini. Through cowardice this Fascist 
crew struck hands with the Nazi criminals and 
welcomed them as allies. Through treachery 
they invited the Gestapo into every Italian vil- 
lage and made Italy a hunting ground for Nazi 
spies. Through fear they called the Germans 
once more over the Alps; they gave away the 
liberties won for them by Cavour and Gari- 
baldi. Two years ago Mussolini and his con- 
temptible associates handed over the Govern- 
ment of Italy to the Nazi police and the Nazi 
troops and made themselves a puppet govern- 
ment of German Quislings. This was a crime 
against Italy and against history. 

I am convinced that the Italian people, now 
as always, do not support this terrible treason 
which has made them slaves. They await only 
the opportunity to settle accounts with the 
traitors who have sold them back into foreign 
slavery. 



OCTOBER 17, 1942 



837 



Citizens of the Americas of Italian ancestry 
have known how to condemn tlie Fascist be- 
trayers who strut a Quisling part in Rome — 
Nazi marionettes whose strings are pulled by 
Hitler. Citizens of the Americas of Italian 
tradition will know how to greet an Italian 
people which reconquers its freedom. 

American workers of Italian ancestry, both 
men and women, are hard at work in the plants 
which make arms for the United Nations. 
Americans of Italian ancestry by thousands 
upon thousands are in uniform, in the training 
camps, on ships guarding sea lanes, on the fight- 
ing fronts, and in the war planes. These men 
are working and fighting to free the world from 
Axis force and brutality which has already sub- 
merged Italy as it has submerged and enslaved 
so many other countries. In the truest sense 
these men are fighting with their fellows to 
make possible again a free Italy. 

The Nazi plan, in blunt fact, contemplated 
the death of a great part of Italians and, in- 
deed, of virtually every Italian soldier. It is 
an open secret that when Hitler's Russian cam- 
paign failed last year he demanded that Mus- 
solini send a million Italian soldiers to the 
Russian front. He actually obtained only a part 
of these ; but the Italian troops were used where- 
ever possible in the sectors where they would be 
killed, clearing the way for the advance of the 
German divisions. Arrangements were so made 
that the German divisions, organized as Hitler 
Guards, should remain intact to occupy and to 
govern Europe; and to Hitler it was entirely 
satisfactory if Italian and Hungarian troops 
never came back at all. It is no part of the Nazi 
plan to leave intact the youth of any country 
save its own. Even in the fighting in Libya the 
supplies were so handled that German troops 
were at all times taken care of, while the Italian 
troops, in case of shortage, were left to shift 
for themselves. 



Only recently the Nazi authorities announced 
(hat they had organized Europe so that Ger- 
mans w(ju]d be fed while everyone else starved; 
and for once they said what they meant. Italy 
is included in the starvation program; her food 
and resources are being seized and sent to Ger- 
many — and little indeed comes back across the 
Alps. 

Those of you, Americans, who hold dear the 
splendors which come down to us through Ital- 
ian poetry, Italian music, and Italian art do 
well to recognize that victory of the United Na- 
tions alone can save Italian homes, the Italian 
count rj'side, Italian science, Italian art, and the 
Italian soul. This has been the attitude of 
Americans of Italian descent and of Italians 
resident in America and aiming to become 
Americans, from the very beginning. 

You remember the efforts that were made by 
a handful of agents sent out by tlie Axis to stir 
up race feeling in the United States and in 
South America. I am glad to record that Amer- 
icans of Italian ancestry were prompt to reject 
the evil suggestions then made that they should 
become traitors to the lands of their adoption. 
The sound common sense of the Italian-Ameri- 
can community branded these people as spies of 
a foreign regime. A few, perhaps, became the 
dujDes or victims of these Axis propagandists. 
Fortunately, the public opinion of the Ameri- 
cans of Italian extraction has dealt and is deal- 
ing with these few as they deserve. I have ab- 
solute confidence that Americans of Italian an- 
cestry will be the first to deal drastically with 
any Nazi agent, including those who have Ital- 
ian names and betray their countrymen and 
their traditions. 

We are fighting a war of peoples. We are 
building an army of peoples. We are throwing 
into the cause of human liberty the efforts of 
peoples the world over. As fellow workers, I 
salute you. 



American Republics 



EXCHANGE OF MESSAGES BETWEEN PRESIDENT RiOS OF CHILE 
AND PRESIDENT ROOSEVELT 



[Released to the press October 15] 

A translation of the text of a message from 
the President of Chile to the President of the 
United States follows: 

"October 11, 1942. 

"I profoundly appreciate the friendly and 
understanding statements which Your Excel- 
lency has been so good to formulate to Ambas- 
sador Michels concerning the cordial spirits in 
which you will receive the visit of the President 
of Chile whose sincere American feeling, dis- 
position and that of his Government Your Ex- 
cellency so kindly recognized ; but I find myself 
in the regrettable necessity of stating to Your 
Excellency that the last official information re- 
leased in the United States concerning the in- 
ternational position of my country which has 
created an unfavourable atmosphere, coun- 
sels me to postpone, for the present, the honor 
of visiting Your Excellency. 

"Your Excellency can be sure that this in no 
way alters the decided intention of my Govern- 
ment to continue cooperating with the United 
States and the other sister nations of America 
in the defense of the continent. 

"I renew to Your Excellency the expression 
of my sincere gratitude for your honored in- 
vitation and seeing myself forced to defer my 
voyage for cause so foreign to my desire, reiter- 
ate to Your Excellency the homage of my ad- 
miration and respect. 

Juan Antonio Rios" 

The text of the President's reply to the Presi- 
dent of Chile follows : 

"October 14, 1942. 

"I wish to acknowledge Your Excellency's 
message stating that you have decided to post- 
838 



pone, for the present, your visit to the United 
States. 

"I am sorry to learn of Your Excellency's 
decision and I want you to know also of my 
deep personal regret in not having the oppor- 
tunity of meeting and knowing you personally. 

"I was looking forward to exchanging views 
with you regarding the implementation of the 
desire of Chile, mentioned in your message, to 
cooperate with the United States and the other 
Republics of the Americas in the defense of the 
Western Hemisphere. 

"I have always felt that it is extremely diffi- 
cult for heads of nations to discuss pending and 
difficult questions only by letter or telegram, 
and that almost all problems can be solved by 
l^ersonal meetings and by what we in the United 
States call 'sitting around the table as personal 
friends'. 

"That is why I very much hope that you will 
come to Washington a little later and that I can 
consider your visit is merely postponed for a 
short time. 

"As you probably know, I had planned to visit 
Santiago in the autumn of 1939 but after the 
World AVar broke out, and especially since the 
United States became a party to that war, I 
have been unable to leave AVashington. 

"May^ I renew [etc.] 

Franklin D Roosevelt" 



RUBBER AGREEMENT WITH VENEZUELA 

[Released to the press October 16] 

The Department of State, the Rubber Re- 
serve Company, and the Board of Economic 
Warfare announced on October 16 that an agree- 



OCTOBER 17, 1942 

nient has been entered into with the Republic 
of Vcncziielii under the terms of which tlie Rub- 
ber Reserve Company will purchase all rubber 
produced in Venezuela which is not required for 
domestic use. Tiie a<j:roeiiu'iit is renewable from 
year to year until December 31, 1946. 



The Far East 



EXTRATERRITORIALITY IN CHINA 

[Released to the press October 13] 

The foUowinjr telegram has been received by 
the President from Generalissimo Chiang Kai- 
shek : 

"On the occasion of the thirty-first anni- 
versaiy of the Republic of China the entire na- 
tion rejoiced that the United States has made 
a voluntary move to relinquish extraterritorial 
rights in China.^ Furthermore, the ringing of 
the Liberty Bell in Independence Hall to com- 
memorate China's Liberty Day finds resound- 
ing echoes in every Chinese heart of good will 
and friendship for America. These tributes 
will do more to uphold the morale of our people 
in continuing resistance than anything else 
could possibly do. I personally am so deeply 
moved by this beautiful and touching gesture 
that I cannot find words adequate to express 
my feelings. As a boy the very words Liberty 
Bell and Independence Hall fired my imagina- 
tion and made a profound and lasting impres- 
sion in my mind. Throughout my struggle to 
secure national freedom for China I have con- 
tinuously dreamed of the day when she would 
assume the full stature of an independent and 
democratic nation. Today this ideal has been 
realized. From the bottom of my heart, I thank 
j-ou for your superb and inspired leadership 
and moral courage in assisting China to gain 
equality among the United Nations. 1 assure 



839 

you that China shall not fail you in our joint 
task of securing freedom for all mankind." 

The following telegram has been transmitted 
to Generalissimo Chiang Kai-shek by the Pres- 
ident of the United States : 

"October 16, 1942. 

"I deeply appreciate your warm and generous 
message regarding the step which the Govern- 
ment of the United States has taken in refer- 
ence to extraterritoriality. That step is one 
which this Government and I personally have 
long wished to take, and it is especially grati- 
fying that it could be synchronized with so 
auspicious a day as China's national anniversary 
when your country celebrates the founding of 
the Republic and honors the principles of free- 
dom. We greatly admire the telling blows for 
freedom which China has struck against the 
aggressor in Asia, and we are wholly confident 
that our two countries in association with our 
other comrades-in-arms will move forward to- 
gether to complete victory. 

Franklin D Roose\-elt" 



International Conferences, 
Commissions, Etc. 



'BuiXETiN of October 10, 1942, pp. 805, 808. 



ELEVENTH PAN AMERICAN SANITARY 
CONFERENCE 

The Eleventh Pan American Sanitary Con- 
ference, which was held at Rio de Janeiro from 
September 7 to 18, 1942 at the invitation of the 
Brazilian Government, was considered one of 
the most successful in this long series of im- 
portant inter-American meetings. The Con- 
ference emphasized problems connected with the 
war situation and especially those related to 
continental defense. 

Seventy-eight official delegates were present 
and all the 21 American republics were repre- 



840 



DEPARTMENT OF STATE BULLETIN 



sented. A group of officials of the Pan Amer- 
ican Sanitary Bureau, headed by Dr. Hugh S. 
Cuinming, Director of the Bureau and former 
Surgeon General of tlie United States Public 
Health Service, also attended. The Bureau is 
the permanent central organization of these 
Pan American Sanitary Conferences. Certain 
individuals affiliated with the Kockefeller 
Foundation, the Office of the Coordinator of In- 
ter-American Affairs, and the Office of Vital 
Statistics, Bureau of the Census, were also 
present in their private capa-ities. 

The United States delegation was as follows: 

Surgeon General Thomas Parran, Public Health Serv- 
ice; chairman of the deleyation 

Dr. E. L. Bishop,' Director of Health, Tennessee Valley 
Authority 

Surgeon Gilbert L. Dunahoo, Public Health Service, 
Chief of the Quarantine Ollice at the Port of 
Miami, Miami, Fla. 

Dr. George C. Dunham, Director, Health and Sanita- 
tion Division, Office of the Coordinator of Inter- 
American Affairs ; Brig. Gen., Medical Coi-ps, 
United States Army 

Surgeon W. H. Sebrell, .Tr., Public Health Service 

Capt. Charles S. Stephenson, Medical Corps, U.S.N., 
Bureau of Medicine and Surgery, United States 
Navy 

Dr. Abel Wolman, School of Public Health, Johns Hop- 
kins University, Baltimore, Md. 

Philip P. Williams, Third Secretary, American Em- 
bassy, Rio de Janeiro, Brassll ; secretary of thf. 
delegation 

The most important action taken by the Con- 
ference was the approval of resolution I con- 
cerning continental defense and public health. 
This resolution provides for surveys to conserve 
and develop resources of medical supplies, to 
ascertain the geograjihic distribution of com- 
municable diseases, to collect current health and 
eijidemiological data, to inventory available 
stocks of suj^plics essential to the maintenance 
of health in order to assure their equitable do- 
mestic utilization and to make all surpluses 
available for continental defense, and to ascer- 
tain the medical and sanitary requirements in 
order to determine the essential needs which 
must be met from external sources. The Pan 
American Sanitary Bureau is charged with the 



responsibility of appointing a Committee of 
Experts, which will be available to consult with 
each country in order to assist in organizing 
these surveys. The resolution further provides 
that in the event of an actual or threatened epi- 
demic in any country other countries upon re- 
quest will furnish under the auspices of the Pan 
American Sanitary Bureau such assistance as 
may be possible; and, finally, the respective 
governments are urged to adopt extraordinary 
and precise methods to prevent the spreading of 
diseases through insect vectors and common car- 
riers, utilizing the fullest cooperation between 
civil and military health authorities. 

The Conference also took action to further 
the protection of public health on this conti- 
nent in the interest of defense by adopting other 
resolutions dealing with military medical serv- 
ices, sanitary engineering, nutrition, milk, hous- 
ing, standard national sanitary codes, the Pan 
American Highway, vital statistics, malaria, 
yellow fever, plague, exanthematic tj'phus 
fever, precautions against Chagas disease, in- 
fluenza, tuberculosis, leprosy, and diarrhea and 
enteritis. 

The Conference reelected Dr. Hugh S. Cum- 
ming as director of the Pan American Sanitary 
Bureau and decided that its next meeting should 
be held at Caracas, Venezuela, in 1946. 



Cultural Relations 



'Did not attend. 



VISIT TO THE UNITED STATES 
OF PERUVIAN ARTIST 

[Released to the press October 12] 

Jose Sabogal, one of the most notable artists 
of South America and Director of the National 
School of Fine Arts at Lima, Peru, will arrive 
in Washington October 13, and, at the invita- 
tion of the Department of State, will make a 
brief tour of art centers in the United States. 
His visit will include New York, Boston, Chi- 
cago, and San Francisco, and also Hollywood. 



OCTOBER 17, 1942 



841 



Treaty Information 



STRATEGIC MATERIALS 
Rubber Agreement With Venezuela 

An announcement regarding the signing of 
a rubber agreement between the United States 
of America and Venozuehi appears in this Bul- 
letin under the heading "American Republics". 

AGRICULTURE 

Protocol Extending the Duration of the Inter- 
national Agreement Regarding the Regulation 
of Production and Marketing of Sugar of 
May 6, 1937 

Brazil; Portugal 

The American Ambassador at London trans- 
mitted to the Secretary of State with a despatch 
dated September 11, 1942 certified copies of the 
protocol signed at London on July 22, 1942 ex- 
tending the duration of the international agree- 
ment regarding the regulation of production 
and marketing of sugar, signed jNIay 6, 1937. 
The protocol dated July 22, 1942 remained open 
for signature until August 31, 1942, and in addi- 
tion to the original signatories was subsequently 
signed by representatives of the Governments 
of Brazil and Portugal. 



The countries which have signed the proto- 
col continuing the agreement of May 6, 1937 in 
force for two years from August 31, 1942 are the 
United States of America, Australia, Belgium, 
Brazil, Commonwealth of the Philippines, 
Cuba, Czechoslovakia, Dominican Republic, 
Haiti, Netherlands, Peru, Portugal, Union of 



South Africa, Union of Soviet Socialist Re- 
publics, and United Kingdom. 

The text of the protocol is printed in the 
Bulletin of August 1, 1942, page 678. 



Legislation 



An Act To amend the Nationality Act of 1940 to pre- 
serve the nationality of citizens residing abroad. 
[H. R. 7152.] Approved October 9, 1942. Public 
Law 736, 77th Cong. 1 p. 

Dischargins more effectively the obligations of the 
United States under certain treaties by providing 
for domestic control of the production and distribu- 
tion of the opium poppy and its products. (H. Kept. 
2528, 77th Cong., on H. R. 7508. ) 6 pp. 



Publications 



Depaktment of State 

Military Mission: Agreement Between the United 
States of -America and Colombia — Signed May 20, 
10-12 ; effective May 29, 1942. Executive Agreement 
Series 250. Publication 1S07. 12 pp. 50. 

Principles Applying to Mutual Aid in the Prnsecntion 
of the War Against Aggression : Preliminary Agree- 
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Belgium — Signed at Washington June 16, 1042; ef- 
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OCTOBER 24, 1942 
Vol. VII, No. 174— Publication 1827 



C 



ontents 




The War Page 

Address by the Former American Ambassador to Japan 

to the War Finance Conference 845 

Address by the Former American Ambassador to Japan 
at the Richmond War and Community Fund 
Meeting 851 

The Far East 

Rehnquishment of Extraterritorial Rights in Chhia . . 854 

The Department 

The Department of State in Wartime 855 

Commendation of Stephen H. Quigley by the Secretary 

of State 858 

Cultural Relations 

Visit to the United States of Paraguayan Surgeon . . 858 

International Conferences, Commissions, Etc. 
Report of the International Board of Inquiry for the 

Great Lakes Fisheries 858 

Treaty Information 

Navigation: Suspension of the International Load Line 

Convention 859 

Extraterritoriality: Relinquishment of Extraterritorial 

Rights in China 860 

Strategic Materials: Agreements With Brazil 860 

Publications 861 

Legislation 861 



Ml §. gUPEBlNTENOENT OF DOCUMENTS 

NOV 10 1942 



The War 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN 
TO THE WAR FINANCE CONFERENCE ' 



(Kploased to the press October 20] 

In appearing before you this eveninjx, I would 
like to talk to you about our Japanese enemj- — 
particularly about the activities of that enemy 
in the field of finance. 

Japan is fightinjr counter to her own welfare 
and prosperity. We Americans may say, with- 
out vainglory but with profound conviction, 
that no nation in the modern world can take a 
greater risk than the risk involved in fighting 
us. It is up to us to show the Japanese leaders — 
and we shall show them — that war with us is 
the greatest folly, among many follies, that they 
ever co,mmitted. I am speaking, however, not 
only of the hazards Japan faces, now that her 
government has sought this war, but of the suc- 
cession of mistakes which the Japanese leaders 
made in leading their country into war. 

Let us go back a little. Diplomacy is often 
associated in the minds of the public with the 
thought of appeasement. "Appeasement" is a 
mucli used — mostly misused — term which gives 
rise to many misconceptions, especially as it con- 
jures up the picture of Munich and what hap- 
pened there and afterward. For several years 
during the middle and late thirties our Govern- 
ment endeavored to avoid antagonizing Japan, 
notwithstanding the fact that Japan had done a 
great deal to antagonize us. We do not believe 
in war, we did not want war, we thought wars 
should be avoided, and at that time we were 
in no respect prepared for war. Economic 
pressures in the form of embargoes and other 
similar steps are a form of warfare and they 



' Delivered by the Honorable Joseph C. Grew in New 
York, N.Y., October 19, 1942. 



definitely constitute threats. Now, one of the 
most fatal errors that can be made in diplomacy 
is to threaten when one is not in a position to 
back up one's threats, if need be, by force. To 
threaten and then to have to back down is fatal 
to a nation's influence. Action in accordance 
with this, whether it is labeled "appeasement" 
or any other term, is plain common sense. The 
President, in a published statement last July, 
made clear certain important aspects of that 
problem. During my years in Japan I con- 
stantly took the position that the application 
of economic pressure against Japan would in- 
evitably start our relations on a downward 
course, which might end in war, and that under 
no circumstances should we embark on such a 
course unless or until we were prepared to face 
eventual war. The time finally came when I felt 
it no longer desirable to follow a negative policy, 
and at that time I took the position that the 
question then at issue was not whether we must 
call a halt to Japan's plans of expansion but 
when, for the threat to American vital interests 
if that expansion should continue was of the 
gravest nature. Up until then oil and scrap iron 
and other commodities had been flowing freely 
from our country to Japan, but at approxi- 
mately that time our imposition of embargoes 
began ; and that again seemed to me to be plain 
common sense, and in my opinion it was with 
clear manifestation of plain common sense and 
wisdom that our Government handled the then 
developing situation. 

The term "appeasement" is, as I said a mo- 
ment ago, open to misconceptions. I prefer the 



490731- 



845 



846 



DEPARTMENT OF STATE BULLETIN 



term "constructive conciliation", and during all 
the 10 years of my mission to Japan I endeav- 
ored to follow a policy of constructive concilia- 
tion. That term connotes building, and no one 
is going to be foolish enough to try to build any- 
thing, if he wishes it to be of a permanent char- 
acter, unless a solid foundation on which to build 
has jfirst been laid. I constantly tried to lay 
such a foundation. At times and under certain 
JaiDanese governments I was optimistic of suc- 
cess. But these favorable periods proved to be 
but temporary, and in every case such govern- 
ments failed and were succeeded by cabinets in 
tune with the military extremists. All during 
the summer of 1941 we were doing our very best 
to lay a solid foundation which would support 
and insure a structure of friendly relations with 
the Japanese Government. I constantly pointed 
out to the Japanese — and our Secretary of State, 
Mr. Hull, was doing the same — that they had 
everything to gain and nothing to lose by con- 
cluding a reasonable agreement with us and 
that such an agreement would bring in its wake 
a return to a free flow of trade and commerce, 
financial cooperation, and free access to the raw 
materials of east Asia on a basis of equal op- 
portunity, which would inevitably result in mu- 
tual advantage to our two countries, a rising 
standard of living in Japan, and assurance of 
future prosperity. These arguments fell on 
deaf ears. It was found utterly impossible to 
lay any solid foundation, and those who wanted 
and who worked to do that were rapidly over- 
whelmed by the military extremists and pro- 
Axis elements in the country. Thus the effort 
to reach an agreement and to preserve peace 
failed and war ensued. 

Please let me add that I had long known of 
Japan's preparations for war, and I kept our 
Government currently advised of the informa- 
tion which came to the knowledge of my Em- 
bassy on that subject. 

During all this time our Government would 
not and did not connive at or give any assent 
to the aggressions which Japan had committed 
and was committing. But the United States 
was prepared to meet every evidence of a Japa- 
nese return to good-will by the substantial evi- 



dence of good-will on our part. We were 
Japan's most powerful neighbor, and we wanted 
to be a good neighbor to Japan if Japan her- 
self would be a good neighbor to us, to China, 
and to the other countries in the Pacific. 

We were prepared to offer the Japanese 
everything for which her leaders professed to 
be fighting. We offered them sound trade on 
terms advantageous to both countries. We of- 
fered them the jiowerful financial cooperation 
of the United States toward putting their fiscal 
house in order. All that we asked was that 
Japan abandon her militarist aggressions, cease 
being a bad neighbor in east Asia, and enjoy 
with us the prosperity that we and they could 
have found in common. We did not, do not, 
and never shall assent to Japan's assuming the 
hegemony of the Far East as a robber and an 
aggressor. 

The Japanese rejected assurance of the pros- 
perity, the security, and the welfare for which 
they say that they are fighting. They attacked 
us. They added us to the list of those whom 
they seek to conquer and to despoil. They at- 
tacked us because they did not want the pros- 
perity of honest industry, fair trade, and sound 
finance. They did not want cooperation and 
peaceful international relations. The Japanese 
militarists wanted what their German allies 
miscall Lebensraum. Strange, is it not, that 
despite their already far-flung occupied terri- 
tories and their intensive efforts to propagate 
a maximum increase in population, especially 
male population, the Japanese constantly 
harped on the theme that territorial expansion 
is necessary for their allegedly congested home- 
land? They say that they want a so-called 
"Greater East Asia Co-Prosperity Sphere" in- 
cluding the South Seas. We have seen — the 
people of Korea and Formosa, of Manchuria, 
and of other parts of occupied China have seen 
M'ith the bitter realism of experience, just as 
the people of Hong Kong and the Philippines, 
Indochina, Thailand, the Malay States, Singa- 
pore, the Dutch East Indies, and many islands 
of the South Seas, are witnessing today — what 
that euphemism "Co-Prosperity Sphere" really 
stands for. The Japanese love slogans; one 



OCTOBER 24, 1942 



847 



might almost say that they govern by slogans. 
Their "Holy War" in China is one such slogan. 
"Co-Prosperity'' means quite simply, and re- 
duced to its elemental connotation, economic, 
financial, military, political, absolute hege- 
mony, and all that can be comprised and de- 
noted by a single ugly word: slavery. 

This Lebensraum of the aggressor nations 
has nothing to do with room in which to live. 
It means, in fact, room for brutal conquest and 
ruthless exploitation. The militarists who had 
come to power were not interested in the wel- 
fare of the Japanese people. They were in- 
terested only in their dreams of aggression. 
They cared little about exporting goods or 
achieving an international economic balance. 
They wanted to hoard the strategic materials of 
war and to achieve the unwholesome prosperity 
of unending armament. 

As Japan militarized herself more and more, 
Japan had no surpluses to export. Domestic 
civilian production was cut to the bone. The 
materials for a *fair and reciprocally beneficial 
exchange of goods were no longer there. Japan 
could export subversive agents and spies and 
saboteurs; Japan could export her invading 
armies; but Japan could not export these and 
at the same time have the goods with which to 
trade on a fair basis. 

Hence the alleged necessity for Lebensraum, 
or special spheres, and for the whole structure of 
totalitarian economics. The Japanese milita- 
rists turned from one kind of economic system — 
the honest kind, based on a real exchange of 
goods, in which we and they had lived and dealt 
for more than 80 years — to another kind of eco- 
nomic system, devised and developed by their 
Axis partners in Europe. This other kind is 
fundamentally dishonest, since it requires that 
the conquering power import without exporting. 
The economics of totalitarianism is wholesale 
robbery. Since Japan has invaded China the 
Japanese can no longer deal with the Chinese 
on equitable terms. Therefore the Japanese 
must go into China and take and take and take 
from the Chinese without giving them anything 
of value in exchange. 



Even the Japanese militarists could not con- 
tinue indefinitely a program of outright lar- 
cenies and burglaries. The robbery is reduced 
to a system. They have made that system re- 
semble finance. Lilie our finance, it deals with 
money. Like ours, it uses the familiar terms of 
cash, credit, loans, stock companies, government 
subsidies, tariffs, taxes, and so on. Like ours, 
it tries to fit the habits by which all modern men 
think and work. There the resemblance ceases. 

Our financial system supports a means of pro- 
duction designed to benefit both producers and 
consumers. Our public finance is intended to 
pay for government, to pay for the enlargement 
and maintenance of freedom, and to correct in- 
equities in our economic life. Our international 
finance is a method of recording and facilitating 
the actual exchange of real goods and real serv- 
ices. We do not conceive of trade as flowing 
only one way. For many years the reciprocal- 
trade-agreements policy of the United States 
has been a complete antithesis to the economics 
for which Japan and Germany now stand. 

The Japanese people were not twisted from 
the one economic system to the other in a single 
night. The change was accomplished within 
Japan by the rising tide of military fanaticism. 
The Japanese people have strong traces of 
zealotry and fanaticism in their individual and 
their national thinking, but they did not yield 
to their present totalitarianism without reluc- 
tance. They were seduced by their rulers, par- 
ticularly the militai-y chauvinists, over a period 
of many years. It is terrible to consider the 
corruption of a people by its own leaders, its 
own goverrmient. 

The Japanese leaders had to change the mind 
of the nation from the practical, simple terms 
of economics and welfare to the terms of a 
mythology of war. The Japanese fight because 
of ancient dreams and traditional ambitions 
which they are unable to shake off. They are 
not bad financiers engaging incidentally in a 
war; they are military fanatics to whom the 
power and the glory of conquest appeals far 
more than the accumulating economic values 
and the general welfare of peace. 



848 



DEPARTMENT OF STATE BULLETIN 



In 1930 Japan was still a constitutional em- 
pire operating on the basis of accepted economic 
standards and setting a pace for progress which 
was almost unmatched elsewhere in the world. 
A succession of civilian governments had 
promised Japan peace. The naval treaties had 
assured Japan permanent defensive security in 
the Pacific and had made it possible for her 
people to avoid the ruinous expense of a naval 
race with us and with Great Britain. 

The turning-point in 1931, precipitated by 
the attack of the Japanese Army on Manchuria, 
ushered in a campaign which was directed as 
much against the Japanese people as against the 
rest of the world. Belying on a fabricated and 
falsified incident, the Imperial Japanese Army 
conquered Manchuria without consulting the 
electorate or the Parliament or the Cabinet or 
the Foreign Office. This action jeopardized the 
international position of Japan. As Japanese 
traditionalists, even the strongest industrialists 
and financiers were powerless to restrict the 
growth and the operations of the Army. Army 
budgets continued to rise ; Army power grew. 

The Japanese invasion of Manchuria 11 years 
ago, which Tokyo officialdom explained to the 
world as an economic and strategic necessity, at 
once led to an alienation of Japan's best cus- 
tomers, China and America, and to a subversion 
of the domestic business system of Japan. 

That this invasion was not economic in its ob- 
jective is shown by the fact that the Japanese 
military authorities in Manchuria tried to set 
up a curious sort of army socialism. They were 
not interested in the welfare of the Chinese 
whom they conquered. They were not even in- 
terested in profits for Japanese capital or in- 
creased wages of Japanese labor. They con- 
cerned themselves only with the procuring and 
supplying of further materials of war for the 
Imperial Japanese Army. 

In other words, they made war in order to 
acquire more weapons with wliich to make more 
war. The Lehenserainn., the so-called "east Asia 
sphere", which began to be talked about at this 
time, is not an economic concept. It is a con- 
cept of conquest. Japan could have traded 



freely with us, with China, with all the nations 
of the world. Generally speaking, she was do- 
ing so. The Japanese extremists did not want 
to trade, because Japan's military leaders real- 
ized that for war purposes Japan had to become 
autarchic. The history of Japan from 1932 is 
the history of increasing and multiplying con- 
trols. It was during these years and continu- 
ing, as you know, until last December that I 
served as the American Ambassador in Tokyo. 

I saw the Japanese generals follow policies 
not unlike those of Hitler in Europe. Trade 
was cartelized. Foreign enterprises were tied 
in with the domestic war economy. Foreign 
exchange became the subject of repressive regu- 
lation. By the spring of 1938 an emergency 
capital-adjustment law had tied down every 
ordinary act of commerce to the military-re- 
sources plan. 

There was no time in all these years when the 
Japanese Army actually said to their people, 
"We shall figlit America and Britain." Pam- 
phleteers and journalists discussed that possibil- 
ity ; statesmen hinted at it. But the issue was 
never brought to a focus. The Japanese Army 
and leaders called for more expansion in China, 
magnified every instance of Chinese resentment 
or resistance into evidence of conspiracy or re- 
calcitrancy, and kept the Japanese Empire alert 
with the clamor of war. They never let this 
ultimate issue become clear. Japanese them- 
selves, they realized that their people had no 
choice but to follow them, provided the process 
of militarization was not too rapid. 

Let mo give you a few instances of what hap- 
pened to the people in Japan during those years. 

Japanese big business was cajoled, bribed, or 
blackmailed into self-regimentation and into 
acquiescence to government control. TXHien I 
arrived in Japan in 1932, Japanese business was 
still a model of comparative efficiency, drive, and 
inventiveness. By 1941 it had become an ad- 
junct to the mililary regime. Japanese invest- 
ors were driven more and more into government 
investment. Their overseas holdings were jeop- 
ardized by the irresponsible actions of their gov- 
ernment. Inveslmcnt in the much-touted occu- 



OCTOBER 24, 1042 



849 



pied areas in China was on the Anny's terms 
and was subject to the corrupt exactions of the 
puppet governments under tiie Japanese Army. 

Far more important: Japanese farmers con- 
tinued their accumulation of debt. Their pov- 
erty made possible the cheap food of the cities. 
Their misery drove their sons and daughters into 
the factories to serve for the lowest wages in a 
modernized state. The wretchedness of the 
Japanese farmer, his low standard of living, has 
been the keystone of Japanese international 
competition. The China war did nothing — 
either in the Manchuria phase or later phases — 
to help the Japanese fanner. His sons died 
in it. He was taxed for it. Occasional food 
shortages gave him the illusion of prosperity 
when he sold his products on a rising market, 
but the Japanese farmer remains the first and 
the constant victim of Japanese militarism. 

Between the investors and the farmers, the 
middle classes were driven into an insecurity 
which would only be relieved by state control. 
Their freedom of movement, of thought, of ex- 
pression was circumscribed artfully by appeals 
to their patriotism or their superstition or both. 
Their savings were solicited for Japanese Gov- 
ernment loans which were secured by the slender 
chance of Japan's winning some sort of a victory 
and then stopping and consolidating her gains. 

With developments such as these, two seem- 
ingly incompatible tendencies were produced. 
Japan was going bankrupt. Japan was get- 
ting stronger. The two changes were actually 
part of the same pattern. Japan was depart- 
ing from a free economic system, based upon 
the domestic and foreign exchange of goods 
and services, over to an unfree economy, based 
on the domestic destruction of goods in military 
enterprises and supported by the foreign ex- 
propriation of goods. 

Once new territory was acquired, the Japa- 
nese invaders alienated the conquered people by 
uncouth, cruel, or atrocious behavior. They 
installed traitorous, renegade, indigenous local 
leaders as puppet rulers. They built up a cur- 
rency system which rested on the fiat of the 
Japanese Army and issued banknotes payable 



oidy in death to anyone who did not honor 
tlicm. With this currency the Japanese mili- 
tary manipulated exchange so as to conduct 
trade on a ruthlessly unfair basis. They sup- 
plemented this with outright confiscation or 
capital levies or simply with the murder of the 
property owners and the enslavement of the 
workers. Japanese-run mono])olips fixed prices 
on what their own people wanted at ridiculously 
low levels, and Japanese military patrols 
"bought" at these prices. On this basis Japan 
was able to develop a flourishing flow into 
Japan of goods until the occupied area was 
pumped dr}\ Then some concessions would be 
made in an attempt to prime the pump and sink 
it deeper into the well. 

By the standards of past European imperial- 
ism this kind of development is not imperial- 
ism. It is stark international hold-up. Never- 
theless it worked, and it is still working, and it 
will continue to supply Japan with materials 
until we go in and stop the flow with bullets, 
bombs, and torpedoes. 

Japan is finished and ruined in terms of 
honest finance. Her trade is discredited. Her 
foreign investments are held only at the points 
of bayonets. Her customers are completely 
alienated. 

Nevertheless, in terms of dishonest finance, 
Japan flourishes. Japan has — with her tem- 
porary conquests — all the raw materials needed 
by a great power. She has at her command al- 
most limitless labor supplies. She does not have 
any friendly rivals in the regions that her 
armed forces control. Her industrial potential 
is relatively high and efficient. Labor and the 
farmers are quiet. At the moment, all this 
power is pouring into the military economy be- 
hind the Japanese fleets, armies, and air forces. 

We face this formidable enemy. Our Japa- 
nese antagonists live far more cheaply than we 
do. They conserve their goods. They do not 
worry about their victims. They concentrate 
everything on winning the war. 

The United Nations will not do business with 
military Japan again. After the years I have 
spent attempting to safeguard a free Ameri- 



850 



DEPARTMENT OF STATE BULLETIN 



can economy against the potential workings of 
a Japanese military economy, I am relieved to 
think that we shall never try again to preserve 
the peace and our rights by dealing with a 
Japan which pursues the course of a robber 
state. The financial system which Japan has 
created is one which violates all concepts of 
honest dealing — irrespective of the articular 
epoch or system. It is the mere mask for a 
predatory military oligarchy which neither 
comprehends nor approves the principles of 
honest exchange, of stable money, and of inter- 
national good faith. 

I think that you will agree that the basic 
issues of this war are political ; that they tran- 
scend considerations of national financial or 
economic interest ; that the economic systems of 
the United Xations, whatever they may be, can 
be reconciled — each one with each of the 
others — so long as they proceed on the princi- 
ples of the Atlantic Charter and the subsequent 
pronouncements of our United Nations leaders. 

The war finance of the United States, of 
Britain, of China, and of other United Nations 
difi'er one from another, but they differ collec- 
tively from Axis finance by an unbridgeable 
gulf. We have a system of free enterprise 
which has grown and has become modified by 
economic and military necessity over the years. 
Britain has an economy substantially little dif- 
ferent from our own. China is committed by 
both theory and practice to a joint state and 
individualist economy, according to Sun Yat- 
sen's principle of popular prosperity. 

These systems all are in contradiction to the 
philosophies of aggression nurtured by Jap- 
anese and German militarism. The Axis pow- 
ers have attacked. They think — they may not 
be as sure now as they were nine months ago — 
that they will win. We know that we will win, 
and bring freedom — not omitting the basic, 
i:)ractical freedom from want — to all mankind. 

In closing, I should like to call to your minds 
certain memorable statements made recently by 
the Secretary and the Under Secretary of State. 

In his broadcast of July 23 the Secretary be- 
gan : "The conflict now raging throughout the 



earth is not a war of nation against nation. It 
is not a local or regional war or even a series of 
such wars. . . . On our side ... we are 
united in our determination to destroy the 
world-wide forces of ruthless conquest and bru- 
tal enslavement. Their defeat will restore free- 
dom or the opportunity for freedom alike to all 
countries and all peoples." 

In his address at the Arlington National 
Amphitheater on Memorial Day, on May 30, the 
Under Secretary of State declared simply and 
categorically, "The age of imperialism is ended." 
In that same address he adumbrated the creative 
task of United Nations finance, both public and 
private, in the post-war world, in which we shall 
aid our invaded allies — Russia, China, and the 
other European and Asiatic peoples — to rebuild 
their homelands. He said : "The problem which 
will confront us when the years of the post-war 
period are reached is not primarily one of pro- 
duction. For the world can readily produce 
what mankind requires. The problem is rather 
one of distribution and purchasing power; of 
providing the mechanism whereby what the 
world produces may be fairly distributed among 
the nations of the world ; and of providing the 
means whereby the people of the world may 
obtain the world's goods and services." 

This is the task we face : to win now, as we 
shall and must, with every asset, moral and 
physical, which we possess; to win without re- 
gard to cost but with concentration upon mili- 
tary efficiency and speed; to win by backing 
every part of the war effort all the time. There- 
after, we face the longer, not less difficult, and 
fortunatelj' more rewarding task : to assure and 
safeguard our victory for the ages so that no 
nation may be led into madness again, as Japan 
has been led, and no exploiters can again organ- 
ize any nation into a marauding horde bent on 
conquering, plundering, and ruling over other 
nations. Japan had prepared for this war for 
years. Providence has equipped us for the win- 
ning of it for centuries. We have the resources, 
the institutions, and the character that will be 
decisive, and we shall win. 



OCTOBER 24, 1942 



851 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN AT THE 
RICHMOND WAR AND COMMUNITY FUND MEETING '■ 



(Released to the prcM October 20] 

The War and Community Fund is an aspect 
of the war efTort. At this meeting you sym- 
bolize the unity, the good-will, the reciprocal 
charity which must prevail among ^Xjnericans 
if our part of the war effort at home is to be done 
successfully. You also symbolize the freedom 
which prevails in this country. You are free to 
criticize your Government, your Army and 
Na\-y, and yourselves. The blending of good- 
will and free criticism can produce results be- 
yond anything which totalitarianism has 
brought forth. Good-will can cement our 
unity ; I see the seriousness of your interest this 
evening in the importance which you have at- 
tached to this fund. And free speech, like free 
action or free giving, is all the more effective 
because free. 

I want to tell you tonight about Japan. It is 
impossible to compress 10 years' observations 
into a short speech, but there are some things 
about the Japanese threat which are of basic 
importance to an understanding of the struggle 
in wliich we are engaged. Japan is not the 
whole war but is a vital part of it. The heroic 
struggle of the Russian people against Germany, 
the British and American action against Ger- 
many in German air, the desert fighting in 
Africa — these are all parts of the global pic- 
ture. In this global war the Pacific war is of 
deadly importance. To adjust our own under- 
standing of the war, to appreciate our Chinese 
allies the better, we must know what the Japa- 
nese menace means to us and to all freedom- 
cherishing peoples. 

In November 1939, at a time when the Japa- 
nese Army was floundering unsuccessfully in 
China, I wrote in my diary : 

"To await the hoped-for discrediting in 
Japan of the Japanese Army and the Japanese 
military system is to await the millenium. The 



' Delivered by the Honorable Joseph C. Grew in Rich- 
mond, Va., October 20, 1942. 

490731 — 42 2 



Japanese Army is no protuberance like the tail 
of a dog, which might be cut off to prevent the 
tail from wagging the dog. It is inextricably 
bound up with the fabric of the entire nation. 
Certainly there are plenty of Japanese who dis- 
like the Army's methods; there is plenty of 
restiveness at the wholesale impressment of 
young men to fight in China, at the death and 
crippling of many, and at the restrictions and 
handicaps in everyday life entailed by the ex- 
penses of the China campaign. But that the 
Army can be discredited in the eyes of the peo- 
ple to a degree where its power and prestige will 
become so effectively undermined as to deprive 
it of control, or at least of its preponderant in- 
fluence in shaping national policy, is an hypoth- 
esis which I believe no one conversant with 
Japan and the Japanese would for a moment 
entertam. 

"Should a conp d'etat occur in Japan through 
social upheaval, there is little doubt that it 
would lead immediately to a ruthless military 
dictatorship." 

That entry in my diary was almost three years 
ago. A good deal of water has run under the 
mill since then, but those observations are just 
as sound today as they were then — except in one 
fundamental respect. I then wrote that the 
Japanese Army was inextricably bound up with 
the life of the people, and when I wrote of the 
Army I alluded to the whole great military ma- 
chine which includes the Navy too. So it is 
today. From every village and farm and fac- 
tory and home, sons and brothers and fellow 
workers have been taken for military or naval 
service throughout the nation. That whole ma- 
chine is closely integrated with every phase of 
the national life. But I also wrote at that time 
that that military machine could not be dis- 
credited in the eyes of the people. Today I 
amend that statement. The Japanese military 
machine can and will be discredited in the eyes 
of the Japanese people, and we, the United 



852 



DEPARTMENT OF STATE BTJLLETIN 



States of America, cooperating with our United 
Nations allies, will bring that about. 

Two questions. First, why? Answer: be- 
cause until that military machine is so discred- 
ited, jiermanent peace never can be restored in 
the Pacific area. Second, how? Answer: by 
utter and complete defeat by the anned forces 
of the United States of America and of the 
other United Nations. Only when that Jap- 
anese military machine is rendered physically 
impotent, physically incapable of continuing 
its far-flung campaign of crushing and conquer- 
ing and enslaving — j'es, literally enslaving — 
those who fall beneath the wheels of its ruth- 
less and utterly pitiless car of juggernaut, only 
then will the Japanese people as a whole come 
to the realization that crime does not pay, that 
they have been forced to follow false gods, and 
that the ways of peace are in all respects prefer- 
able to the ways of war. And when that time 
comes — as it assuredly will come in due course — 
many a Japanese, many a patriotic and loyal 
Japanese, loyal to his Emperor, loyal to the 
spirits of his ancestors, and loyal to his nation, 
yet who did not want this war, who had noth- 
ing whatever to do with the bringing on of this 
war, will view the discrediting of his country's 
militarists with profoundest relief. And this 
I say with 10 long years of intimate knowledge 
and experience of Japan and all her works. 

Now how is that defeat to be brought about? 
Our strategists and tacticians will take care of 
that. As a layman I should say that two main 
courses will have to be followed simultaneously. 
First, the progressive dislodgment of the Japa- 
nese forces from the bases and areas that they 
have temporarily occupied. You know some- 
thing of the proportions of the battle in which 
our marines, our sailors, our soldiers, our ships, 
and our planes are engaged in tlie South Seas 
today. They have a tough job ahead, but they 
themselves are made of iron. They may face 
many difficulties, have many tragic set-backs, 
but they will not fail. Second, the progressive 



destruction of the Japanese Navy, merchant 
marine, and air force — producing an attrition 
which must finally so reduce and weaken their 
combatant power and their attenuated lines of 
supply that the homeland will be isolated from 
every area which they have occupied. This 
will not be the end, but it will be the beginning 
of the end. Let us leave the strategy and tactics 
to our trained strategists and tacticians. They 
will not fail. 

Let us not allow oiu'selves to be deluded into 
thinking that these hopes are merely dreams, 
impossible of fulfilment. The Japanese may 
seem to us fanatics and, at times, barbarians. 
But in building their Arm3' they have been ex- 
tremely practical and hard-headed, forging a 
military nation which today must be recognized 
as one of the most formidable in the world. 

Let us take a somewhat more intimate and 
extensive look at that Japanese Army which 
today is hoping to bivouac on the Wliite House 
lawn. One of the best and most accurate assess- 
ments of that Army as it exists today was pre- 
pared by our assistant military attache in 
Tokyo, Lieutenant Colonel C. Stanton Babcock, 
and I believe that no better conception of that 
Army can be convej-ed to you than by mj' pre- 
senting, sometimes verbatim, some of the facts 
and comments set forth in that report. 

The Japanese Army has one great advantage 
over her enemies in the Far East : the advantage 
of five years of hard fighting in the China War. 
They have paid dearly for it. Estimates of 
their casualties run as high as a million men. 
But for this grim price in blood they obtained 
a proving ground where they could build a 
tough, veteran army trained in that greatest of 
all military schools, war itself. 

But the Japanese leaders were not content 
with this. They gave their men further train- 
ing in special areas where the terrain and cli- 
matic conditions approximate those in the 
regions where they were to fight. The units 
and commanders for the various sectors were 



OCTOBER 24, 194 2 



853 



selected months in advance and put to work. 
The Malayan army trained in Hainan and Indo- 
china, tlie Philippine force in Formosa, and 
both units practiced landinfj operations during 
the late summer and fall of 1941 along the south 
China coast. Even the divisions chosen to at- 
tack Hong Kong were given rigorous training 
in night fighting and in storming pillboxes in 
the hills near Canton. So realistic were these 
maneuvers that the troops are reported to have 
suffered "a number of casualties". 

The Japanese High Command was able to 
make these careful preparations because of years 
of study of the areas where they expected to 
wage future campaigns. This study was based 
on a first-class espionage system. Japanese 
commentators have not even attempted to hide 
the fact that the High Command was fully in- 
formed for a year before the war of the strength, 
dispositions, and likely plans of their potential 
enemies. A good deal of this information is 
said to have been obtained by "observing" ma- 
neuvers in the Philippines and in Malaya. We 
can seriously question whether much of this in- 
formation was gathered by official observers. 
The eyes of the High Command were probably 
reserve officers, disguised as humble membei's of 
the Japanese communities scattered throughout 
the world. 

In making use of this highly valuable infor- 
mation the various branches of the Japanese 
armed forces — land, sea, and air — worked to- 
gether in complete imity. This was the more 
surprising, in as much as the great political ac- 
tivity of both armed services in Tokyo had led 
to a considerable amount of suspicion and jeal- 
ousy on the home front. Apparently none of it 
carried over to the fighting front, for Japanese 
Army-Navy teamwork left little to be desired. 
"Task forces" organized during the summer of 
1941 trained and worked together continuously. 
Details of command, supply, and other matters 
which might have given rise to controversy were 



carefully worked out in advance and clearly un- 
derstood by all concerned. 

In develojiing these task forces great impor- 
tance was laid upon the attainment of air superi- 
ority. Admitting frankly their enemies' 
greater potential air power, tlie Japanese never- 
theless believed that they could seize, and main- 
tain for a long time, command of the air in east 
Asia. Once again events proved them right. 
Air-force units, both of the Army and of the 
Navy, concentrated their strength against en- 
emy air fields, and not until the opposing air 
strength was thoroughly crushed were any con- 
siderable parts of the available Japanese forces 
diverted to other missions. 

But above all, according to both the Japanese 
themselves and outside observers, the most im- 
portant factor contributing to Japanese vic- 
tories is the spirit which penneates all the 
armed forces of the Empire. This spirit, recog- 
nized by competent military men as the most 
vital intangible factor in achieving Anctory, has 
been nourished and perpetuated since the 
foundation of the modern Japanese Army. The 
High Command have counted heavily on the 
advantages that this would give Japan over her 
less aggressive enemies. They were well aware 
of the psychological effect produced on the 
British, the Dutch, and the Americans by re- 
liance on a strategy and tactics of defense. 
They counted on an appreciable interval before 
an aroused nation could find itself and develop 
a fighting spirit of its own. By that time, they 
still feel, Japan will be in complete control of 
all east Asia. 

The Japanese themselves have developed a 
tremendous fighting spirit in their armed serv- 
ices and people alike. Indeed, the Japanese 
armed services and the Japanese nation have 
become so closely identified that it is difficult 
to tell where one stops and the other begins. 
Every Japanese male, of course, must perform 
military service under a sj'stem of universal 



854 



DEPARTMENT OP STATE BULLETIN 



conscription. Thvis, in every family the father 
or son or brother has served or is serving in the 
Army or Navy. Every house in Japan, down 
to the loTpliest hovel, proudly flies the Japanese 
flag at its front door when one of its men is in 
military service. 

The people of Japan are wholly united in 
their support of their armed forces and of this 
war simply because it is declared to be the will 
of the Emperor. To oppose the will of the 
Throne, the will of the Son of Heaven, is un- 
thinkable in Japan. Disloyalty to the Em- 
peror, too, would shame their own ancestors; 
and ancestor worship, the patriotic faith called 
Shmtoism, is the fundamental faith of the entire 
country. 

This is the mentality to which we are now 
opposed. To meet this we Americans must 
come together with profound determination. 
If we work together in all things we shall in- 
evitably win. But under no circumstances will 
we win without great effort. If we chasten our 
boastful tongues and avoid the temptations of 
idleness or selfishness we shall find that our 
freedom stands us in good stead. Most of all, 
we shall keep our dignity and our moral stature 
as men. Our compassion will aid the unfor- 
tunate among us. Our sympathy will accom- 
plish more than the inhumane discipline of our 
enemies. Our own discipline will spring from 
the self-awareness of free men. 

Your War and Community Fund is not a 
function of govermnent. It accomplishes things 
which government could accomplish only crude- 
ly and impersonally, if at all. In time of war, 
even more than in time of peace, it is up to each 
of us to respond to the moral demands which 
his home and his community rightfully and ad- 
vantageously make. Your contributions — vol- 
untarily made — will be an attestation of your 
civic pride and of your willingness to help your 
needy fellow townsmen, fellow Americans. Our 
meeting today is not a rally for warfare. It is 



not an appeal to buy arms or to fight. But in a 
deeper sense, it is a real challenge to Japan. In 
the making of our pledges to the War and Com- 
munity Fund, we shall be saying to Japan : 

"We are free men. We are Americans. Vol- 
untarily we stand together, working and giving 
for the common good." 



The Far East 



RELINQUISHMENT OF EXTRATERRI- 
TORIAL RIGHTS IN CHINA 

[Released to the press October 24] 

Pursuant to the Department's announcement 
of October 9, 1942, in regard to this Govern- 
ment's preparedness promptly to negotiate with 
the Chinese Government a treaty providing for 
immediate relinquishment of extraterritorial 
rights in China and for settlement of related 
questions,' the Secretary of State on October 24 
handed to the Chinese Ambassador, for the 
consideration of the Chinese Government, a 
draft ti'eaty designed to accomplish that pur- 
pose. 

In handing the draft to Dr. Wei Tao-ming, 
Secretary Hull stated that, as the Ambassador 
knew, this was a step which this Govermnent 
had long desired to take — a step in conformity 
with and in practical application of the funda- 
mental principles of our foreign policy. The 
Secretary went on to say that, because of his 
own deep and long-standing interest in the 
matter, this moment was to him one of especial 
personal gratification. 



' BoiXETiN of October 10, 1942, p. 805. 



The Department 



THE DEPARTMENT OF STATE IN WARTIME 



Participation by (he Department of State in 
the war ellort has had a marked effect on the 
organizati(m and fiiiictions of the Department. 
The most obvious rhanj^e lias been the inevitable 
increase in personnel. In 1932 there were 833 
employees in the Department of State; this 
number has now grown to more than 2,500. 
New divisions and offices have been created and 
older divisions have expanded to handle prob- 
lems arising out of the war and the entry of the 
United States into the conflict in December 1941. 
The BuLLETix has carried announcements of the 
establishment of these new offices. 

More significant, although less obvious,, have 
been the broadened scope of the Department's 
activities and the changes in methods of opera- 
tion and procedure in the Department as a 
whole. 

The Department's normal governmental con- 
tacts have broadened to cover associated activi- 
ties of all other Government agencies and in- 
volve close technical relations with the agencies 
and interdepartmental policy groups partici- 
pating in the war effort. For two principal rea- 
sons the Department of State is associated in 
the operations of these agencies : First, it is the 
department primarily responsible under the 
President for the conduct of our foreign rela- 
tions; and, secondly, the Foreign Service forms 
the official channel between this Government and 
foreign governments. Thus participation by 
the Department at two points in all interna- 
tional operations is required: it must coordi- 
nate, in the foreign-relations field, the many 
complex war activities of other departments and 
agencies, including a number of war emergency 
agencies; and it must, in large part, furnish the 
means of carrying out these activities so far as 
they require action in foreign countries. The 



effective discharge of these responsibilities by 
the Department has a vital bearing upon the 
success of the war effort. 

In many cases other agencies must depend 
upon the Department not only for coordinat- 
ing their activities in the foreign-relations field 
with foreign-policy considerations but also for 
the specific information upon which their op- 
erations must be based. For exami^le, the 
Liaison Office in the Office of the Under Secre- 
tary of State expedites the consideration of 
and action upon urgent politico-military ques- 
tions of common interest (o the State, War, and 
Navy Departments and operates as part of the 
Secretariat of the Liaison Committee, composed 
of the Under Secretary of State, the Chief of 
Staff, and the Chief of Naval Operations. The 
Office receives urgent communications or in- 
quiries from and transmits to the War and Navj' 
Departments, and often to such military bodies 
as the Inter-American Defense Board, des- 
patches and daily technical reports of a con- 
fidential nature from our diplomatic missions 
and consular offices abroad, which are essential 
to the proper functioning of certain military 
and naval operations. 

Similarly, the four Advisers on Political Re- 
lations maintain close relations with other Gov- 
ernment agencies; the work of the adviser on 
Far Eastern affairs, for example, includes par- 
ticipation as a member of the Subcommittee of 
the Joint Intelligence Committee of the Joint 
Chiefs of Staff, which Subcommittee processes 
material, evaluates information, and prepares 
recommendations for the use of the Joint Chiefs 
of Staff; collaboration with the Lend-Lease Ad- 
ministration and with the Administrative As- 
sistant to the President charged with duties re- 
lating to the furnishing of lend-lease and other 

855 



856 



DEPAETMENT OF STATE BtTLLETTN 



assistance to China; consideration of policy in 
collaboration witli the Division of Defense Ma- 
terials in the Department and with the Board 
of Economic Warfare in obtaining strategic 
materials from China; collaboration -with the 
Division of Current Information and with ap- 
propriate officials of the War and Navy Depart- 
ments, the Office of War Information, and the 
Office of Strategic Services in planning psycho- 
logical warfare; and cooperation with the De- 
partment's Division of Cultural Relations and 
with the Office of War Information in the 
formulation of plans and the preparation of 
material for dissemination in China, designed 
to promote understanding and the interchange 
of culture between the American people and 
the Chinese. 

Many situations involve not only the inter- 
play of political and military considerations 
but also decision and action in the economic 
field by several of the interested agencies. Just 
prior to the United States' entry into the war 
the Secretary of State set up the Board of Eco- 
nomic Operations, composed of certain officials 
and six divisions in the Department, for the 
purpose of coordinating the general economic 
foreign policy of this Government, and, in par- 
ticular, the program of economic warfare. 
This program requires collaboration with nu- 
merous officials of the United Nations and with 
such international agencies as the Combined 
Sliipping Adjustment Board, the Combined 
Eaw Materials Board, the Inter-American 
Development Commission, and the Inter- 
American Financial and Economic Advisory 
Committee, as well as the correlation of the 
programs of such United States Government 
agencies as the Board of Economic Warfare, 
the War Production Board, the Office of the 
Coordinator of Inter- American Affairs, the Re- 
construction Finance Corporation, the War 
Shipping Administration, the Export-Import 
Bank, and others. 

In the program of psychological warfare the 
Department, through its Division of Current 
Information in collaboration with the Division 
of Cultural Relations and the geographic divi- 



sions of the Department, works in liaison with 
other agencies in the war-information field, in- 
cluding the Office of War Information, the 
Office of Censorship, the Office of the Coordi- 
nator of Inter-American Affairs, and the Joint 
Psychological Warfare Committee of the Joint 
Chiefs of Staff, in planning and directing 
psychological warfare in various parts of the 
world by means of the radio, the press, and 
motion pictures. The Department supervises 
the use of informational material, conforming 
to our general foreign policy, which will be 
suitable for dissemination by our diplomatic 
missions in countries outside of the AVestern 
Hemisphere ; furnishes recommendations to the 
Office of War Information based on reports 
from the field; and studies reports on enemy 
propaganda and intelligence activities in the 
American republics. 

The embassies, legations, and consular offices 
in the Foreign Service have necessarily become 
the headquarters or centers of wartime activity 
in all countries with which we maintain diplo- 
matic relations. An Auxiliary Service has been 
created on a temporary basis to supplement the 
permanent Foreign Service staff in handling 
new responsibilities created by the war and in 
serving other Government agencies, such as the 
Board of Economic Warfare, the Office of Stra- 
tegic Services, the Lend-Lease Administration, 
the Office of the Coordinator of Inter-American 
Affairs, and the Office of War Information, 
whose operations relating to foreign countries 
are of major interest to the Foreign Service 
establishments in those countries. In 1932 there 
Avere fewer than 4,000 persons in the Foreign 
Service ; now, the personnel of the Foreign Serv- 
ice, including the members of the new Auxili- 
ary Service, totals more than 4,500. 

In addition to its broad role in coordinating 
economic and jDolitical action relating to foreign 
policy and in maintaining the foreign outposts 
of this Government, the Department directly is 
charged with a number of duties closely related 
to the war. An example of this is the designa- 
tion of the Secretary of State to prepare the 
Proclaimed List of Cei-tain Blocked Nationals, 



OCTOBER 24, 1942 



857 



with the cooperation of other agencies. Simi- 
larly, the Department has broad responsibilities 
with respect to the representation of the United 
States in intergovernmental committees, an 
example of which is the Inter-American Finan- 
cial and Economic Advisory Committee, of 
wliich the Under Secretary of State is the dele- 
gate of the United States and the chairman. 
The Department's efforts in the promotion of 
hemispiu'ric solidarity have been intensified, and 
tliese efforts have been implemented by meetings 
of the foreign ministers of all the American 
republics, such as the meeting held at Rio de 
Janeiro in January 1P42, to insure full coopera- 
tion in joint problems of defense. 

A detailed survey of the functions of one of 
the long-established divisions of the Department 
of State, such as the Division of the American 
Republics, reveals a diversification of duties 
which requires experts with first-hand knowl- 
edge of conditions in every field of social, 
political, and economic activities in those coun- 
tries in order to handle the complexity of prob- 
lems related thereto. 

This Division has charge of coordinating re- 
lations with the 20 other American republics 
and with inter- American organizations and 
directs a greatly expanded program of coopera- 
tion and solidarity between the United States 
and these nations. 

In the field of political warfare, the Division 
of the American Republics studies reports of 
non-American and enemy activities in the hemi- 
sphere, including political penetration, radio 
and press propaganda, economic penetration by 
agreements and concessions, fifth-column activ- 
ities, espionage, use of telecommunications, etc. 
Suggestions and recommendations for counter- 
acting and eliminating such activities, requiring 
familiarity with foreign methods of secret 
intelligence, are a frequent result. 

The Division maintains liaison with the Pan 
American Union, the Inter-American Defense 
Board, and the Coordinator of Inter- American 
Affairs, among others, on a variety of social, 
cultural, political, and defense problems, and 
with the Divisions of Cultural Relations and 



Current Information of the Department. Con- 
tacts with high odicials, visitors, and members 
of the diplomatic corps of the other American 
republics are frequent and essential. This Divi- 
sion studies political developments arising from 
inter-LVmerican conferences and cooperates with 
other divisions and offices of the Di'])artment in 
JKuidling matters relating to various treaties 
and agreements, such as water and boundary 
settlements, the Inter- American Highway, the 
Iiitor-Anierican Coffee Agreement and negoti- 
ations for the Inter- American Cocoa Agree- 
ment, and the International Sugar Agreement; 
agrarian cases; immigration and protection; 
aviation developments; commercial relations; 
and export control and priorities. Officers of 
this Division analyze and prejjare digests cover- 
ing reports from the Foreign Sei'vice in the 
other American republics and from Army and 
Navy officers attached to these missions; study 
and observe current trends and developments — 
political, economic, and social — in these coun- 
tries; and prepare instructions to the Foreign 
Service in accordance with the policies of the 
Department. The Division renders technical 
assistance in connection with the detail to the 
other American republics of military, naval, 
and air missions; reviews with special atten- 
tion to the effect upon the Department's policy 
all material for the press and other modes of 
publication, including radio scripts and motion- 
picture newsreels, having reference to the other 
American republics. As may be seen, the re- 
sponsibilities of this Division, as well as others 
in the Department, cover virtually every aspect 
of life within the regions to which its work is 
directed. 

The role of the Department of State, so highly 
important in time of peace, is even more vital in 
time of war, since its vigorous conduct of our 
foreign relations in the political, economic, so- 
cial, cultural, and administrative fields com- 
prises one of the most effective means which the 
United States possesses, not only for combating 
the Axis powers but for insuring and continu- 
ing long-term friendships with the other na- 
tions of the earth. 



858 



DEPARTMENT OF STATE BULLETIN 



COMMENDATION OF STEPHEN H. QUIG- 
LEY BY THE SECRETARY OF STATE 

[Released to the press October 24) 

Mr. Stephen H. Quigley, Administrative As- 
sistant in the Division of Protocol, Department 
of State, on October 23 received a letter of com- 
mendation from the Secretary of State congrat- 
ulating him on his 40 years of service with the 
Department. He was appointed on October 
23, 1902. 

For many years Mr. Quigley has been in 
charge of the important task of examining re- 
quests for the recognition of and the issuance of 
exequaturs to the consular corps of foreign gov- 
ernments in the United States. 

Mr. Hull commended Mr. Quigley for his de- 
votion to duty during the 40 years of service to 
his country in the following terms : 

"My Dear Mr. Quigley : 

"It affords me special pleasure to extend to 
you today my most sincere congratulations upon 
the completion of forty years of loyal service in 
the Department of State. 

"Your devotion to duty over these many years 
has been unflagging, and a constant source of 
inspiration to your colleagues. 

"Your associates and I are grateful to you for 
your labors, we take pride with you in your ac- 
complishments, and we rejoice with you in the 
celebration of this fortieth anniversary of your 
service to your country. 
"Sincerely, 

CoRDELL Hull." 



Cultural Relations 



VISIT TO THE UNITED STATES 
OF PARAGUAYAN SURGEON 

On October 24 Dr. Manuel Riveros Molinari, 
Professor of Clinical Surgery in the Medical 
School of the National University of Paraguay 
and Chief Surgeon of the Clinical Hospital in 
Asuncion, arrived in Washington, as a guest of 



the Department of State, for a two months' tour 
of medical schools and hospitals in this country. 
He will study organizational methods and meth- 
ods of teaching surgery, with a view to adapting 
these to the National University of Paraguay. 



International Conferences, 
Commissions, Etc. 



REPORT OF THE INTERNATIONAL BOARD 
OF INQUIRY FOR THE GREAT LAKES 
FISHERIES 

[Released to the press October 21] 

After two years of intensive investigation the 
International Board of Inquiry, established 
February 29, 1940 by the United States and 
Canada to study conservation of fisheries in the 
Great Lakes,^ has submitted its report. The 
report recommends that, based on the results 
of common studies of these fisheries, regulations 
for their management be formulated and tested 
by a joint agency of the two countries. 

Establishment of the International Board of 
Inquiry grew out of a series of interstate and 
international conferences held during the past 
few years by the Council of State Governments 
for the conservation of the Great Lakes fisher- 
ies. The problem of conserving these fisheries 
had also long engaged the attention of the Gov- 
ernments of Canada and the United States, the 
Province of Ontario, and the States bordering 
on the Great Lakes. The production of certain 
species of Great Lakes fish had reached low 
levels. 

During its two-year investigation the Board 
conducted hearings and meetings in 29 cities 
on the Great Lakes in whicli more than 1,500 
commercial fishermen, public officials, and 
sportsmen participated. Facts brought out at 
the meetings were supplemented by informa- 
tion from 4,000 questionnaires mailed to com- 
mercial fisliprmen in the area. 



' Bulletin of March 2, 1940, p. 273. 



OCTOBER 24, 1942 

The recommendations made by the full Board 
follow : 

(1) That there lie common investigation of 
the fisheries of tiie Great Lakes. 

(2) That, so far as investigation shows fish- 
eries to be dependent upon a common stock or 
to have the same conditions, regulations for 
management of these fisheries be formulated 
and tested by a common or joint agency. 

(3) That where investigations are not con- 
clusive such common regulations be applied 
and the results therefrom carefully determined 
until there is adequate proof of their effective- 
ness for the purpose. 

(4) That the attention of the agencies con- 
cerned be drawn to the need (a) for accurate 
statistics of the take and of the fishing effort, 
(b) for separate statistics for each species of 
fish, and (c) for separate statistics for each of 
such districts as may be defined in common 
agreement. 

(5) That thorough tests be made of the effec- 
tiveness of planting fish in a lake or lakes in 
order to determine whether the present planting 
of fish should or sliould not be continued or 
altered. 



859 

In a separate supplemental report the United 
States members reviewed past efforts of the 
States and of the Federal Government to de- 
velop effective conservation measures for tlie 
Great Lukes fisheries, called attention to cer- 
tain jurisdictional aspects of the problem, and 
presented extensive data on production in the 
fisheries investigated. The supplemental re- 
port of the United States representatives sug- 
gests a form of agreement which would vest 
control in established agencies in Canada and 
the United States, with regulation handled 
througTi the concurrent action of Federal and 
State Governments. 

The report, together with a supplemental re- 
port by the United States i-epresentatives, was 
submitted to the Secretary of State and Prime 
Minister King. Members of the Board were 
Hubert R. Gallagher, Assistant Director, Coun- 
cil of State Governments, Chicago, 111., chair- 
Tnan; A. G. Huntsman, Consulting Director, 
Fisheries Research Board of Canada, Toronto, 
Ont. ; John Van Oosten, United States Fish and 
Wildlife Sei'vice, Ann Arbor, Mich. ; and D. J. 
Taylor, Deputy Minister, Game and Fisheries 
Department, Toronto, Ont. 



Treaty Information 



NAVIGATION 

Suspension of the International Load Line 
Convention 

The British Government in their capacity as 
the Government charged with the administra- 
tion of the International Load Line Conven- 
tion, signed at London July 5, 1930, proposed to 
the signatories of the Convention in July 1941 
certain modifications of the terms of the Con- 
vention to provide for deeper loadings of ves- 
sels. It was pointed out that while the restric- 
tions imposed by the Convention were appro- 



priate under ordinary conditions they were in- 
appropriate in view of the existing emergency 
and the resulting shortage of available tonnage. 
In these circumstances the British Government 
was of the opinion that the Contracting Parties 
would feel justified in agreeing to certain tem- 
porary modifications of the Convention permit- 
ting of a limited degree of deeper loadings as 
being in the general interest of all countries 
desiring a satisfactory termination of the pres- 
ent hostilities. The modifications were con- 
tained in a draft declaration which was com- 
municated to each of the Contracting Parties 



860 



DEPARTMENT OF STATE BULLETIN 



maintaining diplomatic relations with the Brit- 
ish Government with the expressed hope that 
they would join that Government in assenting 
thereto. The modifications were to remain in 
force until August 31, 1942. 

On August 8, 1942 the American Ambassador 
at London informed the Secretary of State that 
he had received a note from the British Foreign 
Office calling attention to the expiration on 
August 31, 1942 of the Modifications of the Con- 
vention, which were announced in August 1941. 
The note stated that as the deeper loadings of 
vessels had provided a substantial increase in 
tonnage without ill effect to either the ships or 
their crews "we therefore propose to continue 
the application of the declaration to United 
Kingdom ships for the period of the national 
emergency i. e., until the end of six months 
after the cessation of hostilities between the 
United Kingdom and Germany". The note 
continued : "For this purpose the conclusion of 
a general armistice not followed within a period 
of six months by the resumption of hostilities 
will be deemed to be a cessation of hostilities. 
We are notifying accordingly all Governments 
which we invited to join us in making the decla- 
ration in question and we are suggesting to 
them that they extend similarly the measure 
which they have taken." 

The following modifications are those sug- 
gested by the British Govermnent, that ships 
may be permitted to load : 

(a) To their tropical marks instead of their 
summer marks when the latter are applicable 
under the provisions of the said Convention ; 

(b) To the fresh water tropical marks instead 
of the existing tropical marks when the latter 
are applicable under the provisions of the 
said Convention. 

The terms of the Convention, so far as the 
United States of America is concerned, were sus- 
pended for the duration of the present emer- 
gency by a proclamation issued by the President 
on August 9, 1941. The proclamation together 



with a statement issued to the press appears in 
the Bulletin of August 9, 1941, pages 114-115. 
The countries which ratified or adhered to 
the Convention prior to the outbreak of hostili- 
ties are United States of America ; Argentina ; 
AustraHa; Belgium; Brazil; Bulgaria; Burma; 
Canada ; Chile ; China ; Cuba ; Free City of Dan- 
zig; Denmark; Egypt; Estonia; Finland; 
France; French Indochina; Germany; Great 
Britain; Greece; Hong Kong; Hungary; Ice- 
land; India; Ireland; Italy; Japan, including 
Chosen, Taiwan, and Leased Territory of 
Kwantung; Latvia; Mexico; Netherlands, in- 
cluding East Indies and Curasao; Newfound- 
land; New Zealand; Norway; Panama; Peru; 
Poland; Portugal; Rumania; Spain; Straits 
Settlements; Sweden; Thailand; Union of 
Soviet Socialist Republics; Uruguay; and 
Yugoslavia. 



EXTRATERRITORIALITY 

Relinquishment of Extraterritorial Rights 
in China 

An announcement stating that the Secretary 
of State has handed to the Chinese Ambassador 
a draft treaty designed to provide for imme- 
diate relinquislunent of extraterritorial rights 
in China and for the settlement of related ques- 
tions, to be considered by the Chinese Govern- 
ment, appears in this Bulletin under the head- 
ing "The Far East". 



STRATEGIC MATERIALS 

Agreements With Brazil 

The American Ambassador to Brazil reported 
by a telegram dated October 6, 1942 that agree- 
ments were signed on that day providing for the 
purchase by tlie L^nited States from Brazil of 
coffee, cocoa, and Brazil nuts. 



OCTOBER 24, 1942 



861 



Publications 



Dei'abtment of State 

Reciprocal Trade: Agreement Between the United 
States of America and Ecuador Modifying the Agree- 
ment of August 6, 11)38— Effected by exchange of notes 
signed March 2, 1!:4J. Executive Agreement Series 
248. Publication 1806. 5 pp. 5<f. 

Principles Applying to Mutual Aid in the Prosecution 
of the War Against Aggression: Preliminary Agree- 
ment Between the United States of America and the 
Union of Soviet Socialist Republics, and Exchange 
of Notes— Agreement signed at Washington June 11, 
1942; effective June 11, 1'.I42. Executive Agreement 
Series 253. Publication 1S08. 6 pp. 5(f. 

Principles Applying to Mutual Aid in the Prosecution 
of the War Against Aggression : Preliminary Agree- 
ment Between the United States of America and 
Norway, and Exchange of Notes — Agreement signed 
at Washington July 11, 1942 ; effective July 11, 1942. 
Executive Agreement Series 262. Publication 1810. 
ti pp. 5(. 

Boundary, Slave Trade, and Extradition (Webster- 
Ashburton Treaty) : Treaty Between the United 
States of America and Great Britain, and Exchanges 



of Notes — Treaty signed at Washington August 9, 
1842; proclaimed by the President of the United 
Slates November 10, 1842. Treaty Series 119 (re- 
print). 11 pp. 5^. 



Legislation 



Amending the Nationality Act of 1940: 

H. Rept. 2.582, 77th Cong., on li.R. 0763 [providing 
naturalization without declaration of intention of 
the uoncitizen parents of sons and daughters who 
are citizens of the United States with honorable 
service in the U.S. armed forces during the present 
war]. 4 pp. 
H. Rept. 2584, 77th Cong., on H.R. 7615 [to expedite 
the naturalization of certain persons who are not 
citizens, who have served or who may hereafter 
serve honorably in the U.S. armed forces during 
the present war]. 4 pp. 
Trends in Nonwar Federal Expenditures : Message from 
the President of the United States transmitting a re- 
port from the Director of the Bureau of the Budget 
with regard to trends in nonwar federal expendi- 
tures. H. Doc. 870, 77th Cong. [Expenditures of 
the State Department, pp. 6, 23, 36, 43.] viii, 58 pp. 



U. S. OOVERNMENT PRINTING OPPICE; tS4Z 



For Bale by the Superintendent of Documents, Washington, D. C. — Price, 10 cents ... - Subscription price, $2.76 a year 

PDBUSHEO VEEKLX WITH THB APFBOTAL Or THE DIBECTOB or THE BDBEAD OF THE BDDOEI 



I OJ ■^' 



I I 



THE DEPARTMENT OF STATE 



BE 



J 



J 



H 



■^ rrn 



J 



riN 



OCTOBER 31, 1942 
Vol. VII, No. 175— Publication 1829 







ontents 




The War page 
Addresses by the Former American Ambassador to 
Japan : 
October 27, at the Books and Authors Luncheon . . 865 
October 27, Before tlie National Rcpu})lican Club . 868 
October 29, Before the Associated Industries Meet- 
ing 871 

Europe 

National Holiday of Czechoslovakia 875 

The Near East 

Greek Resistance to Axis Aggression: 

Message From the President of the United States to 

the Greek Ambassador at Washington .... 876 

Address by the Under Secretary of State 876 

Anniversary of the Turkish Republic 878 

International Conferences, Commissions, Etc. 

Inter-American Conference of the Associated Country 
Women of the World: Address by Vernon E. 
Bundy 879 

General 

Anniversary of the Balfour Declaration 885 

The Department 

Death of Dr. William Ray Maiming 886 

Appointment of Officers 887 

[over] 







NOV 2 

OJltentS-CONT^lNVED 

The Foreign Service pgg. 

Special Instruction for Foreign Service Officers on 

Phases of Economic Warfare 887 

Publications 888 

Legislation 888 

Treaty Information 

Postal: Universal Postal Convention, 1939 ..... 888 



The War 



ADDRESS BY THE FORiMER AMERICAN AMBASSADOR TO JAPAN, 

OCTOBER 27 ' 



[Released to the press October 27] 

You, ladies and gentlemen, representing the 
authors and booknieu of America, are in a truly 
strategic position to perceive the psychological 
course of the world war in which this country 
and most of mankind are engaged and to ap- 
preciate the moral and political forces which lie 
behind our tremendous economic and military 
etfort. I would like to talk to you today about 
the many fronts involved in our operations 
against Japan — not the least important of which. 
is the front of understanding the enemy. 

America has been a sleeping giant. When I 
returned from Japan I was impressed by the 
surprise which so many Americans said they 
felt at the sight of Japan's great victories. 
They had underestimated the enemy. They had 
thought of the Japanese power as a bluff. Some 
had jested regarding the Japanese Navy and 
air force and had talked of destroying Japan 
in three months. 

I am glad to say that we now are awake. 
The American people were shocked by Pearl 
Harbor and by the bold unfolding of Japan's 
imperial plans. But we must not relax again. 
'SVe must watch our own thinking and speech. 
We must guard against being misled by our 
hopes. If we do not we are leaving ourselves 
open to renewed surprise, possibly to renewed 
tragedy. 

You, authors and bookmen, can tell the Amer- 
ican people to be on guard against psychological 

^ Delivered by the Honorable Joseph C. Grew at the 
Books and Authors Luncheon, New York, N.Y., Oct. 27, 
1942. 



minefields and ambushes. A foolish optimism, 
a complacent self-confidence can prepare the 
way for an unnecessary despair. The Ameri- 
can people have awakened. It is your busi- 
ness and mine to help them remain wide-awake. 
We must not look trustfully at our produc- 
tion and tliink that the brand-new weapons 
at our factory gates will somehow do our 
fighting for us. Machinery cannot take the 
place of men. We have to see clearly and com- 
pletely the job which lies ahead of us. We 
must see our enemies as our enemies. We must 
know what they have and what they are. We 
cannot blame our difficulties on circumstances 
and ignore the fact that our enemies, the Ger- 
mans and the Japanese, attacked us. It was 
not mischance or carelessness; it was the hatred 
and the power of Japan which struck at us. 
To win we cannot merely put our own house 
in order or change our policies : we shall have 
to cross the seas and defeat Japan. If we ever 
forget that Japan — not distance, not time, not 
chance — is our enemy in the Pacific, we shall 
expose ourselves to renewed disappointment. 

Let us hold to the alertness which we have 
attained at such a heavy price. Let us watch 
and study our enemy. Let us know more about 
him. You, authors and bookmen, have a real 
service to render the American people. You 
can look into and at the facts and tell the 
American people the kind of enemy we face, 
in Europe and in the Pacific. 

You can tell the American people that our 
Japanese enemy is none the less formidable 
for being unfree. Japanese work well under 

866 



866 



DEPARTMENT OF STATE BULLETIN 



orders. They are a disciplined people. They 
are fighting for a cause which is bad, but it is 
the only cause they know, To them the Im- 
perial homeland is security, patriotism, and 
religion at the same time. The Japanese do 
not bend. They fight until they can fight no 
longer. 

They will not break of themselves. We shall 
have to do what no one has ever done before. 
We shall have to defeat the Japanese in Japan. 
I can hold out no encouragement for the sup- 
position that the Japanese will surrender simply 
because we attain a statistical superiority of 
weapons or men or because we reconquer some 
of the territories Japan has conquered. If the 
Japanese were thus breakable they would not 
have started this war in the first place. They 
are made formidable by regimentation, dis- 
cipline, and trainhig. 

Tell the American people, also, that the Zero 
plane is not the only strong jDoint which Japan 
possesses. The Japanese are admirably 
equipped for this war both by nature, by their 
own hard efforts, by what they have wrought. 

Japan has one of the prime essentials of war, 
a fine communications system. The Japanese 
islands are linked by the sea itself and are close 
enough to one another for each to give support 
to the others. The islands of the Japanese Em- 
pire proper are extended by the Kuriles toward 
the Aleutians and by the Loochoos, Formosa, 
and the Mandated Islands to the equator. Ke- 
cently the Japanese armed forces have occupied 
almost all of Indonesia and a great part of the 
south Pacific. Within all that area the Jap- 
anese have internal sea communications. 

The Japanese have built upon the splendid 
foundation which nature has given them. 
Their port facilities are excellent. They in- 
clude some of the finest harbors in the world, to- 
gether with an ample number of smaller ports 
and bases. The Inland Sea of Japan is a Medi- 
terranean in itself. Bays and estuaries with 
land-based air protection or artillery protection 
accommodate friendly ships while excluding all 
possible enemies. 

Tliroughout these waters an immense fleet of 
sea-going craft is mobilized for war — all the 



way from picturesque but efficient fishing boats 
to modern super-dreadnaughts of great size and 
fire power. The Japanese mercantile marine is 
one of the finest in the world. Japan has a 
large, modern shipbuilding capacity, where both 
coal and Diesel-powered passenger ships and 
freighters were and are produced in large num- 
bers. There is nothing inefficient about these 
ships. 

The sailors who man the Japanese merchant 
marine are good seamen. The modern, smooth, 
efficient service rendered punctually and cheaply 
by such great lines as the N.Y.K. or the O.S.K. 
is world-famous. All the Japanese liners which 
competed with Britain, with Norway, and with 
us for the freightage of the world are now mo- 
bilized behind the Imperial Japanese fleet. 
The British and American merchant fleets must 
serve all the United Nations, including the 
whole British Empire. The Japanese merchant 
fleet serves only the Japanese. 

The Imperial Japanese Navy is an efficient 
instrument. Today Japan is at war with both 
Britain and the United States. Each of us sep- 
arately has a Navy larger than Japan's; but 
we have problems in the Seven Seas. The two 
of us together cannot, at this moment, reoccupy 
the vast areas in the Pacific that are held by the 
Japanese Navy. We cannot even cut them off 
from the Netherlands Indies, and cutting Japan 
from the mainland of Asia is still a far-away 
and much-to-be-desired goal. We shall attain 
that goal only when we have built for it, fought 
for it, and stained the Pacific Ocean with blood. 

Tell the Americans that this vast unity of sea 
power is held by Japanese, all of whom worship 
the same Empire, who are of the same race, who 
speak the same language, who hate their 
enemies, who have endured a discipline so strict 
that it loaves no room for political parties, eco- 
nomic factions, or social rivalries. Tell them 
the monolithic unity of Japan effortlessly sur- 
passes the painfully acquired unity of the Ger- 
mans, and tliat tliis unity is turned against the 
Chinese, the British, and us. Japanese sea 
jiower is no mere matter of economics or poli- 
tics; it has the ruthlessness and the power of a 
cult. 



OCTOBER 31, 19 12 

Over and above the power (if .Ta[)aM at sea, 
this enemy empire is well provided with lund 
I'oiniminiaitioiis. Excellent niilwnys cover the 
great islands of Japan. The two largest islands 
have been linked by an inulersea railway tunnel 
between Shinionoseki and Moji. The railways 
of Korea, of China, of Indochina, of Thailand, 
and of Malaya are at the disposal of the Japa- 
nese. It is only the resistance offered by the 
ill-equipped but heroic armies of Chiang Kai- 
shek which has kept Japan from realizing the 
dream of a Korea-to-Singapore land-transport 
system which would parallel the sea routes she 
already patrols. 

Tell the American people that they must not 
deceive themselves about the cities of Japan. 
The vitals of Japan are modern: the telephone, 
radio, electric, and other centers ai-e up to date. 
The cities of Japan have been built to face 
earthquake. The houses will burn easily, but 
their tiro fighters are intensively trained and 
efficient, and, in any case, their houses will be all 
the more easy to replace. The Japanese have 
lived in anticipation of catastrophe and fire. 
Would they nowadays build so that their whole 
civilization could be wiped out in one earth- 
quake? Can the mightiest destruction which 
man unleashes compare with the convulsions of 
nature? No blitzkrieg can compare with an 
erupting volcano or with the ruptured eartli. 
Japan has built her cities to withstand shock, 
fire, concussion. WHien I think of the exposed 
position of Tokyo and the exposed position of 
New York I do not believe that we have occa- 
sion for premature self-congratulation. 

These cities are fed. Unlike Great Britain, 
Japan produces enough food for all her inhabit- 
ants. I question whether Japan could be starved 
nut. even assuming that the American Navy 
could hold the narrow and dangerous straits 
of Tsushima, where the Russian fleet perished 
in 1905. Japan has her own rice, her own gar- 
den agriculture, her own fisheries. 

With strong communications, modern de- 
fenses, well-prepared cities, and secure food, 
Japan is further reinforced by all the other 
apparatus of modern industrialism and totali- 
tarianism. Her Government is traditional and 



867 

authoritative. It fits the habits of the people 
and has their unqualified loyalty. At the same 
time, (his Government is as offensively up to 
date as the economic Germany of Hermann 
Goering or the propaganda Germany of Paul 
Joseph Goebbels. Dictatorial but suave, the 
Government pervades all public and private 
life. It does so, simply and directly, on the 
basis of old traditions. The Ja])anese Gov- 
ernment is further 8up])orted by a propaganda 
machine wliicli lias full radio, press, and motion- 
picture coverage of the country. 

We can turn these elements of Japanese 
strength into Japanese weaknesses. The sea 
communications which hold this new Japanese 
dominion of robbery together can be broken 
by American warships and aircraft and supply 
shipping and by the American armed men who 
fight for and hold our increasing circle of 
counterattack. Japan, in all her seas, has no 
natural defensive line. When v.e, by our own 
efforts, are adequately prepared we can and 
will strike for final victory. But our efforts 
cannot and must not be less than heroic. Tell 
the American people that the downfall of 
Japan — the conversion of Japan's wide-spread 
strength into Japan's diffused weakness — de- 
pends on the spirit which we manifest, the work 
which we do, and the armed effort which we 
throw into the conflict. 

In the serious maturity of our national life 
we can and will triumph. The enemies we face 
are no more powerful than we are. But we 
cannot fight partially or tentatively or dubiously 
against men who are fighting body and soul 
under the frenzy of fanaticism exploited by 
dictatorship. Tell the American people tliat 
we must match the seriousness, the courage, the 
determination of our enemies; that we must 
fight a hard, fierce war; that we must win, even 
as Russia and China are winning, the war of 
battles for the sake of freedom ; that this war 
is one of total freedom against total ruin. Tell 
them this, and you will be telling them the 
soberest truth. 

The American giant has awakened. We, in 
our wealth and health and reserve of power, 
can meet any force which can be brought against 



868 



DEPARTMENT OF STATE BULLETIN 



US. With the brave allies we have in the 
United Nations, and with the ideals which we 
all have in common, we can become irresistible. 
But we shall win only by fighting, and we shall 
fight in dead earnest only when we know and 
understand the powerful enemy that we are 
up against. You and I and all Americans have 
it in our power to show how well, how bravely, 
how speedily we can counterattack the enemies 
who in the first rounds have had the better of 
the fight. Their initial victories will in the 
long run be shown to have been a prelude to 
defeat. We have elements of strength which 



they lack. We have a righteous cause and we 
are a free people. 

I should like to pass on to you, as I have 
passed on to others, a sentence from the diary 
of an American soldier, Martin Treptow, writ- 
ten shortly before he fell at Chateau Thierry 
in 1918, because it conveys thoughts which every 
one of us should have constantly in mind today. 
"I will work;" he wrote, "I will save; I will 
sacrifice; I will endure; I will fight cheerfully 
and do my utmost; as if the whole struggle 
depended on me alone." 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN, OCTOBER 27 ^ 



[Released to the press October 28] 

I wish that I might turn over the microphone 
tonight to one of those scores of Americans — 
many of them my valued friends — who were 
forced to remain behind in Japanese piison 
camps. They could tell you, far more simply 
and cogently than I, what we are fighting 
against and what we must fight for. My staff 
and I, who were fortunate enough to be ex- 
changed, have come back to tell the tale. But 
it was a bitter experience to have to leave others 
behind, imprisoned or interned. To emerge 
from that atmosphere into the pure air of a free 
land is to understand — perhaps for the first time 
fully — the preciousness of freedom. Many 
things that seemed complicated suddenly be- 
come simple. Doubts are suddenly swept away. 
Issues that were confused are suddenly clarified. 
Only one issue remains: the issue of victory — 
in the war and then in the peace — at all costs. 
Nothing else matters now but to win this war 
and establish a decent and firm peace. 

Those of us who serve the United States Gov- 
ernment in foreign countries, as I have done for 
the greater part of the past 38 years, necessarily 
remain outside the arena of domestic political 
issues and controversy wliich in time of peace 

'Delivered by tlie Iloiioialile .Tosepli C. Grew before 
the NatioiiJil Republican Club, New York, N. Y., Oct. 27, 
1942, and broadcast over station WHN. 



are vital to the health and progress of demo- 
cratic peoples. Yet this I would say to you, 
speaking as a plain American with all the seri- 
ousness at my command : all domestic issues and 
controversies which do not contribute directly 
to the winning of the war should and must be 
laid aside at this time of grave national danger. 

National solidarity is today absolutely neces- 
sary, not as an end in itself but as a prelude to 
United Nations solidarity, and United Nations 
solidarity is a prelude to victory. For we must 
not harbor the illusion that any one of us might 
be powerful enough to defeat this enemy single- 
handed. Nothing less than the combined wealth 
and strength and will-power and effort of all 
the United Nations will prevail. 

For the past 10 years it has been my grim but 
highly instructive task to study at first hand the 
most implacable — if not the most formidable — 
enemy we have ever faced. That enemy has 
sworn to destroy us. To defeat him we must 
first appraise him accurately ; we must analyze 
the source and extent of his strength, and we 
must more than match it. 

If Japan's strengtli could be measured by her 
material wealth, by her stockpiles of iron, by 
her reserves of oil, by her access to rubber and 
tin, by lier capacity to produce ships and planes, 
it would be a relatively simple matter to assess 
her power. But how can one measure the con- 



OCTOBER 31, 1942 



869 



centrated will-power and determination and 
faith of a whole nation which is fanatically 
devoted to a common and total objective? And 
when the faith of the people is translated into 
their daily thoughts and actions, when their 
determination is directed solely toward con- 
quest and domination and enslavement of half 
the world, it becomes a force to be reckoned with 
indeed. The Japanese people have been welded 
into an instrument of war as no other people, 
perhaps, since Sparta. Like the Spartans, the 
Japanese have made of militarism — with the 
obedience, frugality, and self-obliteration which 
it requires — their highest virtue. They are 
poor, but poverty has been their companion for 
centuries. They are disciplined, for in disci- 
pline they have solved some of the problems of 
life in a small, overcrowded island. They are 
obedient to authoritj', the authority of the Em- 
peror — the authority which for thousands of 
years has been the essence of their religion. It 
is diflScult for us to understand the fanatical 
joy with which the Japanese soldier gives his 
life for his Emperor. 

The warlords of Japan have capitalized on 
these traditional qualities of the people for their 
evil purposes of aggression and conquest. The 
people have been told that they are invincible, 
and they believe it. They have been told that 
we Americans are ludicrously soft and weak, 
and they believe that. Their erroneous ap- 
praisal of us will in the end prove their undoing. 
Meanwhile their solidarity is a source of incal- 
culable strength. But it would be a mistake for 
us to conclude that complete solidarity and unity 
can only be the product of centuries of suppres- 
sion, that it can only exist within a totalitarian 
framework. The exact opposite is true. We, 
a free people, can achieve as great or an even 
greater unity and strength. 

Our own allies have shown us that the spon- 
taneous solidarity of free peoples can be an even 
more flexible and finely tempered weapon. 
Look at the British, a people wholly dedicated 
to a common purpose. They will tell you that 
their democracy is more alive today than ever 
before. When France fell in that tragic June 
of 1940, Britain, with her dominions, stood alone 



against the Nazis and Fascists of Europe. The 
war might have ended at that moment. Noth- 
ing but a miracle, it seemed, could save Britain 
from being overrun by the Nazi hordes massed 
within 20 miles of her shores. But a miracle 
did save her. It was the miracle of the people 
to whom nothing mattered but first to defend 
themselves and then to fight on to victory. 
They forgot their rights; they thought only of 
their duties and their capacities. They worked 
as they had never worked before to replace the 
equipment lost in France. They labored night 
and day on the defenses of their island. Barbed 
wire and pillboxes appeared as if by magic on 
the cliffs and beaches; anti-aircraft guns and 
fighter planes came rolling off the factory assem- 
bly lines ; Home Guard volunteers loaded their 
old shotguns and drilled through the long sum- 
mer evenings on the village greens. There was 
no need to talk of morale, no need to ask for 
volunteers, no need to persuade the people into 
making necessary sacrifices, for the things that 
had to be done no longer seemed like sacrifices. 
We owe much to the British Navy and air force. 
They stood, they held, between the Nazis and 
us and the rest of the Western Hemisphere- 
even the rest of the world. To the British 
people our debt is incalculable. 

We can look with no less appreciation to our 
Russian allies to see the power of spontaneous 
solidarity. The Soviet people have proved that 
the best-trained military machine will falter 
and stop in the face of sheer courage and un- 
wavering determination. Since their land was 
invaded, nothing else matters to the Soviet 
people but to work and fight and avenge their 
dead comrades. That determination fills their 
lives. It leaves no room for internal dissensions 
or personal ambitions, or indeed for any con- 
sideration of personal interests. 

Look for a moment at our Chinese allies. 
For 11 years the Chinese people have lived and 
fought and died for the survival of China as a 
free nation. China has been unified, and for 
this she can thank the sweat and toil and single- 
minded devotion of her own people. She can 
scarcely be expected to thank the Japanese war- 
lords, although they by their brutalities have 



870 



DEPARTMENT OF STATE BULLETIN 



helped to bring about in a few years what the 
Chinese leaders themselves had calculated would 
be a process of generations. China, too, has 
stood and has held ; and to China, too, we and 
the other United Nations ai'e profoundly in- 
debted. 

Here in the United States we still find time 
to discuss the problems of national solidarity — 
an indication that we have not yet achieved it. 

It is sometimes forgotten that until recently 
Great Britain and not the United States was 
the arsenal of democracy. Now, it is true, we 
have caught up with Britain in the field of pro- 
duction. We are beginning to turn out vast 
quantities of war materials. With our wealth 
of material resources, of manpower, and of skills 
we have accomplished great feats of conversion 
and production without any considerable sac- 
rifice of even the luxuries to which we are accus- 
tomed. But we have only begun to produce 
what is needed. President Roosevelt has told 
us that a drastic reduction in our standard of 
living is necessary to the winning of the war. 
On September 11 he said, ai:d I quote : "So far 
the United States has little more than passed 
the half-way mark towards maximum possible 
war production. Nut until v.e have reached 
tlie maximum, — and we can do tliis only by strip- 
ping our civilian economy to tlse bone — can our 
fighting men and tliose of our allies be assured 
of the vastly greater (juantities of weapons re- 
quired to turn the tide. Not until then can the 
United Nations march forward together to cer- 
tain victory." 

Now for the first time we face the loss of some 
of our material comforts. We are content and 
more than content to make these small sacri- 
fices. But I am not thinking only of the new 
cars, the gasoline, the typewriters, and the bi- 
cycles which are no longer ours for the purchase 
price. Victory demands that we sacrifice lux- 
uries to which we are more deeply attached than 
these. Are we prepared to give up the luxury 
of personal ambition? The luxury of personal 
dislikes which satisfy old pr<-judices? The lux- 
ury of casual — and supposedly clever — remarks 
which cause confusion and distrust? The lux- 
ury of irresponsible criticism which leads no- 
where? Are we prepared to give up the luxury 



of disliking some of our fellow Americans be- 
cause they are of other races and religions ? All 
these luxuries we must give up, and more, be- 
fore we can even approach, through national 
solidarity, the power of our allies and that of 
our enemies. 

We must lay aside, too, old prejudices and 
suspicions — inherited from the past — about our 
allies. For within the United Nations we are all 
on the same side; we are all fighting the same 
war against the same enemy and for the same 
survival and victory. It is absurd to discuss 
who is to help whom, to talk about "aid to 
China" or "aid to Russia". For in helping each 
other we are — every one of us — first, last, and 
always helping ourselves. 

We had better dispense also with the luxury 
of thinking that we are somehow superior to 
the rest of the woi-ld; that we love freedom 
more; that we are more devoted to abstract 
principles of right and justice. My duties have 
taken me to the far corners of the earth, and 
my experience has proved — to me at least — that 
freedom and justice are no monopoly of ours 
but are the common aspirations of humanity 
wherever and whenever men and women have 
glimpsed these blessings. 

Let us divest ourselves once and for all of 
the fallacy that recurrent M-ars impose on us the 
disagreeable duty of pulling Europe's or xVsia's 
"chestnuts out of the fire"; that the New World 
is pure and tlie Old World decadent. This 
kind of muddy, egotistic thinking is a luxury 
we can ill aiford, for it beclouds the simple is- 
sues which bind the United Nations together. 

These are luxuries which I believe we must 
give up before we can achieve the solidarity that 
is a prelude to victory. Are we prepared to 
make these sacrifices? Are we prepared to 
dedicate ourselves wholly to the vision of Amer- 
ica which Woodrow Wilson put into words for 
us 26 years ago? 

"America", he said, "is not anything if it con- 
sists of each of us. It is something only if it 
consists of all of us; and it can consist of all 
of us onl}' as our spirits are banded together 
in a common enterprise: the enterprise of lib- 
erty and justice and right." 



OCTOBER 31, 1942 871 

ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN, OCTOBER 29 ' 



[Released to the press October 30) 

We are locked in a life or death struggle with 
an encnij- who is still so strange to us that it is 
difficult to undci-Htand how for many decades 
we have sliared the same planet, traversed the 
same sea lanes, met over the same conference 
tables, signed the same covenants, and yet have 
known each other so superficially. 

It is high time we understood each other bet- 
ter. Mr. Churchill exclaimed of the Japanese, 
"AVhat kind of people do they think we are?" 
We might equally well ask of ourselves, "What 
kind of people do we think they are?" 

We have seen a miniature island empire with 
roughly one twenty-fifth our area and hardly 
more than half our population lay violent hands 
on a continent and leap by leap bring several 
hundred millions of people under her domina- 
tion. We have watched an apparently inex- 
haustible tide of men and munitions, of ships 
and planes pour from that teeming island ar- 
senal. For 11 yeai-s we have watched Japan 
seemingly dissipate her strength — and yet grow 
stronger. For it is a product of wishful think- 
ing to suppose that her successive adventures 
have weakened Japan's actual or potential 
strength. The generator of power for conquest 
is working at capacitj'. It lacks for the present 
neither fuel nor directive genius. 

In the past year you have heard something of 
the effects of Japan's military strength. Yet the 
outside world knows comparatively little of the 
source of that strength — knows little of what, 
for want of a better word, I shall call the "mo- 
bilization'" of the Japanese people. Today I 
want to tell you something about that mobiliza- 
tion as I saw it develop during my years in 
Tokyo. 

The story of that mobilization is the story of 
Japan's conscious effort, under central control, 
to weld and rivet the entire nation into a single 
mighty engine of war. But the purpose of that 

' Delivered by the Honorable Joseph C. Grew before 
the Associated Industries Mooting, Boston, Mass., Oct. 
29, 1942, and broadcast over the Mutual Broadcasting 
System. 

4920G1 — 42 — —2 



mobilization v.-as not merely to wage war of 
conquest; it was designed to place the Japanese 
Empire on the most scientific and efficient basis 
possible, for the complete enslavement and ex- 
ploitation of at least half the world as and after 
the wars of conquest were won. That this am- 
bition might involve Japan in war with one or 
more of the great powers was fully realized by 
her leaders. They therefore resolved to be in a 
position to exploit to the best advantage every 
unit of national energy and resource, both hu- 
man and material, of which they had or of which 
they might gain control. 

To this end, Japan's mobilization has been 
total. I shall try to convey to you the full 
meaning of that word total as it applies to the 
wartime mobilization of Japan. Heaven for- 
bid that we Americans should ever experience 
the physical and mental oppression under which 
the Japanese people are living today. But if 
you could be magically transported for a day 
into that grim land of strength, without joy 
you would understand something of the mean- 
ing of the words total irwiilization. You would 
sense the pervasiveness of the militarist spirit. 
You would observe the completeness with which 
life has been integrated so that all the resources 
of the nation, economic, political and spiritual, 
are poured into tlie engines of war. You would 
be appalled at the passionate faith of the people 
in their destiny: the destiny, as they believe, 
of a master race ordained to hold other peoples 
in slavery; a destiny which we would truly 
interpret as wholly destructive of our hard- 
won heritage, the rights of man. 

You would come back from Japan to this 
bright and beautiful land of ours as I did, 
filled with passionate faith in a far different 
kind of destiny for mankind, a destiny in which 
all men alike may live their lives in liberty, 
democracy, and desire at least for common 
prosperity. 

But you would come back, I believe, im- 
mensely sobered by the realization of the ordeal 
which now lies before us. That ordeal not only 
lies ahead ; it is with us now in our daily lives. 



872 



DEPARTMENT OF STATE BULLETIN 



Our fighting men have stood up to the fury of 
the Japanese onslaught and have seen face to 
face the fanatical exaltation with which the 
Japanese soldier dies rather than surrender. 
We at home can have only a vicarious experience 
of the faith and fury of our enemy. We can, 
however, take very careful stock of his strength 
on the home front as we, the free citizens of 
a great democracy, are mobilizing our own home 
front with a ferver that is born of our faith in 
the brotherhood of man. 

The two mobilizations are superficially alike 
in their machinery. You will hear me use many 
familiar phrases such as rationing and price 
control. But do not be deceived; in ultimate 
purpose the two mobilizations are fundamen- 
tally different. That fundamental difference 
of purpose gives me confidence to predict that, 
in spite of his head start which put us at a 
serious disadvantage, we shall outstrip our 
enemy. For it must be remembered that 
Japan's newest aggressive intentions turned her 
energies toward conquest as far back as 1931. 
And even at that time the idea of national 
mobilization was neither new nor recent. That 
idea had its roots in the first World War in 
the passage, during 1918, of the Munitions In- 
dustry Mobilization Law, which provided for 
government control of the munitions industries 
only. From this small beginning of wartime 
control of war industries sprang the whole vast 
and elaborate system which was designed to 
regiment the life not only of Japan proper but 
also of her newly stolen and synthesized em- 
pire, of Manchuria, of large parts if not the 
whole of China south of the wall, of Indochina, 
Thailand, Burma, the Netherlands East Indies, 
Malaya, the Philippines — and any other terri- 
tories which the warlords might find essential 
or profitable to the "co-prosperity sphere". 

It is not necessary to trace the whole admin- 
istrative and bureaucratic history of the mo- 
bilization process over the past 24 years. But 
I do want to emphasize that the progress was 
slow and laborious but persistent. It was char- 
acterized by trial and error; it was hampered 
by mistakes and setbacks. It was never free 
from sweat and sacrifice. It was punctuated 
and, at times, hastened by brutal assassinations. 



During the years immediately after the first 
World War when Japan made a tentative ges- 
ture toward international cooperation, mobili- 
zation plans necessarily were in the hands of 
the military. In 1922 they were relegated to 
the Census Bureau, where, far from being 
buried, they were expanded. And then, in 1927, 
the Shigen Kyoku, or Resources Bureau, was 
set up which put mobilization planning on a 
firm and permanent basis. 

There is no telling how long national mobili- 
zation might have remained in the blueprint 
phase had not the invasion of China's Man- 
churian provinces in 1931 thrust the Empire 
into hostilities on a war scale. The assassina- 
tion of a liberal prime minister by militarj' ter- 
rorists dealt a serious blow in 1932 to Japan's 
brief experiment in liberal parliamentary gov- 
ernment. The roots were too young and frail, 
the plant — of alien origin — too little acclima- 
tized to withstand the winds of political cor- 
ruption, of economic depression, and of political 
assassination by military fanatics. 

The Japanese people now had leaders at the 
helm who were bent on speeding up the mobili- 
zation of national resources. Continual pres- 
sure from the military, who were determined 
to make it a prime instrument of high policy, 
brought mobilization more and more into the 
forefront. In 1935 the Okada cabinet set up a 
Cabinet Inquiry Council, which took up the 
whole problem. This was replaced in 1937 un- 
der the Hayashi cabinet, by the Plamiing OflSco 
which drafted the National General Mobiliza- 
tion Law of 1938, a law which gave the execu- 
tive such broad, sweeping powers as to menace 
tlie legislative powers of the Diet. 

The pace was fast but never fast enougli to 
satisfy the militarists. They had not waited 
for the passage of this law. Mobilization was 
already well advanced in the form of a series 
of temporary controls which revealed two dis- 
tinct aims: economic self-sufficiency and con- 
version from light to heavy industry. 

On the success of these aims depended not 
only the warlords' ambitious plans of conquest 
but also their vision of post-war Japan as the 
permanently entrenched exploiter of the Far 
East. Japan was to become a vast industrial 



OCTOBER 31, 1942 



873 



garrison, supporting tlie armies and fleets which 
would keep Asia enshived. Food and raw ma- 
terials were to be levied from Japan's new sub- 
jects, whose task it would be to support and 
enrich the" economically strong but infertile war 
machine which had conquered them. Last but 
not least, Jajian was to become tlie master of 
all oriental thought and culture. 

So much for the vision of power and glory. 
The inunediate reality was far different. It 
meant scraping bare the already barren cup- 
board of the domestic civilian economy and fill- 
ing the war cupboard to overflowing with every 
ounce of material wealth and human energy 
that the regimented efforts of Japan's 72 million 
people could amass. 

Among the earliest controls which the Gov- 
ernment imposed were those which regulated 
the flow of materials entering and leaving the 
country. Imports were made to serve two pur- 
poses only : to build up the war industries and 
to provide raw materials that could be proc- 
essed and exported. Superannuated ships were 
bought and reduced to scrap. Oil stocks had to 
be accumulated, and oil companies in Japan 
were made to enlarge their storage facilities. 
To expand the war industries and keep them 
well fed with raw materials and machine tools 
became, as I have said, the primary object of 
the import trade. 

But Japan could not afford to neglect various 
imports, such as raw cotton, which nourished 
her export trade and provided her with much- 
needed foreign exchange. The cotton industry 
continued to thrive — but for export only. The 
Japanese people saw no more of the products 
of their own factories, no more of the cotton 
cloth on which the people depend for clothing, 
sheets, and towels and many other necessities 
of home life. Since 1938 cotton cloth has been 
rationed to hospitals and expectant mothers 
only. An inferior substitute made of staple 
fiber has taken its place. Imports which did 
not satisfy one or the other of these require- 
ments were discontinued step by step. Foreign 
luxuries such as coffee, canned foods, woolen 
cloth, and good leather shoes have now become 
pleasant memories to that small minority of the 
people who had before been able to afford them. 



Exports, as I have said, were carefully con- 
trolled and were directed toward those countries 
where foreign exchange was most needed. 

Control of materials on the home front was 
drastic. 'I'lie (iovernment first turned its atten- 
tion to things which were made of imported 
materials. The disappearance of these was soon 
followed by the disappearance of . home-pro- 
duced commodities which could be exported. 
Milk, eggs, butter, cheese, and canned fish were 
giadunlly withdrawn from the domestic food 
supply and shipped abroad. 

Salvage of waste materials and increasing use 
of substitutes are becoming familiar subjects of 
conversation here in the United States. The 
Japanese people, traditionally among the most 
frugal in the world, needed no education along 
these lines. By a succession of salvaging drives 
which were labeled "voluntary", the face of 
Japan has been swept clean of every kind of 
potential war material. The Government requi- 
sitioned old machinery ; many temples donated 
their bells ; railway trains were stripped of their 
trinmiings ; and I have even seen iron markers 
being dug out of an asphalt road. This work of 
collecting was efficiently organized by the neigh- 
borhood associations — traditional units of com- 
munity life — backed by the police and aided by 
the rag-pickers. 

I have stressed Japan's Spartan frugality, 
and I have indicated that this is a source of 
her strength. It is, of course, also a source 
of weakness, for Japan's domestic cupboard has 
never been well stocked, and there are in Japan 
no reserves of material wealth such as we in 
our richly endowed land are only beginning to 
tap. But it would be gravely misleading to 
judge the staying power of the Japanese people 
by their reserves of material wealth. It is far 
wiser to assess their powers of self-discipline 
and of adajstation to the rigors of the so-called 
"new structure", which, on the economic side, 
at least, can be termed revolutionary. More- 
over, Japan now has — taken over since Decem- 
ber 7, 1941 — at her command the resources of 
the Philippines, of Malaya, of the Dutch East 
Indies, and of Burma, in addition to those of 
the China seaboard and Indochina, which were 
taken before that date. 



874 



DEPAKTMENT OP STATE BULLETIN 



The great industrial empires of the Mitsui 
and Mitsubishi saw the handwriting on the wall 
in 1936 and submitted to a process of regimenta- 
tion which is now complete. The Govern- 
ment tells them, as it tells all other concerns, 
what materials they may buy and how much 
they may pay for them ; what they must make, 
to whom they may sell, and at what prices. 
Wages, profits, and dividends are strictly regu- 
lated, as well as all operations involving capi- 
tal funds. Competition is a thing of the past. 
Control of foreign exchange was imposed in 
1937. Price control was begun as far back as 
April 1938. Japan has gone far beyond the 
necessities, however stringent, of a wartime 
economy and has proceeded into a veritable 
slave economy. We mobilize to win the war; 
we do not commit ourselves to total and per- 
petual militarization, as has Japan. 

Taxes have pyramided to a height and have 
reached a complexity which would stagger the 
imagination of the American taxpayer. Small 
wonder that the standard of life has deteriorated 
steadily, bringing hardship to the millions of 
long-suffering and inarticulate little people. 

Not the least of these hardshijjs was the 
human upheaval caused by the conversion fiom 
light to heavy industry. In the new economy 
of large-scale heavy industry there was no 
place — except where they could be converted 
to war — for the home workshop and the small 
shop employing from 20 to 30 men, where the 
great mass of labor used to be found. And 
so there was unemployment — coupled with a 
shortage of skilled workers and of farm labor. 
The training and transfer of workers was a 
slow and laborious process, but it was gradually 
accomplished. In 1939 the Government re- 
quired the registration of skilled male workers, 
and this census is believed to have provided 
detailed information about the skills of 5 mil- 
lion men in 134 trades. Programs of voca- 
tional training in schools, universities, and fac- 
tories helped to speed up the transfer of workers, 
and in this process Japan reaped the benefit 
of her remarkable system of universal public 



education, which has made her people as literate 
as any in the world. 

Another device was to decentralize the smaller 
units of the new war industries in rural areas 
so as to make them safer from air attack and 
more accessible to rural labor. These measures 
served partially to offset the weaknesses of 
Japan's labor supply, which as a whole still 
lacks technical training, imagination, and inven- 
tive skiU. 

Japanese men and women are working around 
the clock to keep their military machine fed. 
They take for granted long hours of work, often 
exceeding 70 a week. Labor unions and strikes 
ai-e a thing of the past, and such organizations 
as the workers maj^ have are sponsored by the 
Government for its own purposes of regimenta- 
tion. Wages, particularly in the booming arma- 
ment industries, are relatively high, but the 
Government makes every attempt to scale them 
down through high taxes and enforced savings. 
Nevertheless, the Japanese have not been able 
to escape the ravages of inflation. And so, side 
by side with a smflU class of the newly rich 
which disports itself at the resorts and tea 
houses, are the millions of poverty-ridden but 
loyal and uncomplaining subjects of the Em- 
peror, dreaming of the rewai'ds of their sacri- 
fice, not in terms of automobiles and radios but 
in terms of the glory and immortality of the 
Empire. 

It is possible to understand our enemy Japan 
only if we understand her dream of conquest, 
domination, and slavery, for it is this evil dream 
by \\hich the Japanese people themselves are 
dominated and have been enslaved. We have 
seen something of the reality of this dream in 
the cruelties inflicted on the heroic people of 
occupied China. We have read of the suicidal 
fanaticism of the Japanese soldiers on the island 
of Guadalcanal. But these, it may be said, are 
the products of a brutal militarism. Wliat of 
the people at home? What of the men and 
women who for thousands of years have out- 
waidly extolled the virtues of family loyalty, 
obedience, and frugality? 



OCTOBER 31, 1942 

The iinswi'i- liivs buiieil in those thousands of 
years in whiclj the Japanese people, locked in 
tlicir fendiil fortress, learned loyalty and obe- 
dience to authority; years in which they learned 
by experience not to think "dangerous 
thoujihts" — danperous only because they threat- 
ened the security of the ruling clique; years in 
which they learned to worship authority and to 
place obedience to it before all considerations 
of human welfare. 

The Japanese people learned their lesson 
well — for the purposes of their tyrants. They 
rally to the cause of the Emperor with a blind 
but passionate faith which defies analysis. This, 
for want of a better term, we call the "spiritual 
mobilization" of the Japanese people, and it is 
a sourc!' of strength so formidable that we must 
beware of underestimating its potentialities. 

Japan has mobilized, as you see, on all fronts. 
The commercial and financial mobilization of 
the country has been intensified by manpower 
and intellectual mobilization. All the strength 
and resources of Japan have been sluiced into 
the channels of warfare. Japan could win — 
Japan could become rich with the loot of 
Asia — Japan could ultimately recompense her 
people — if Japan did not face the indomitable 
spirit of China and America and the other 
United Nations. The Chinese have stood for 11 
years — more than 5 of them years of full inva- 
sion — against the military assault of Japan. 
We now are in action beside China, and a score 
of other nations beside both of us. If our com- 
mon effort achieves its full promise, if we answer 
Japanese slave mobilization with our own free 
mobilization, we shall win gloriously and well. 
But if we are slow in exerting our full efforts, 
victory will recede further and further and will 
be purchased ultimately at a terribly high cost 
of blood and disappointment. 

The earth which we wish our posterity to 
inherit can and will be free. The industrial 
feudalism proposed by Germany and Japan 
can be voted down by the bayonets of free 
men everywhere. I would like to close by read- 
ing to you words written not long ago by a 
veteran British diplomp.tist, once a colleague of 

492081 12 3 



875 

mine in Tokyo. This man wrote me privately ; 
ho spoke simply and sincerely, as a friend and 
confidant. These are his words — to me they 
answer the question, Wliy nmst we whip a to- 
tally mobilized Japan? He told me what to 
expect when I returned from my months of 
internment in Tokyo: 

"You will find a curious world of difficult 
re-adjustments, of much disappointment, and 
even of anger, at the slowness and seeming in- 
efficiency of our war machinery, but also an 
ever-growing determination to see the job 
through, no matter what the sacrifice, and a 
firm conviction, even in the darkest moments, 
that we shall win in the end and bequeath to our 
siiccessors a world, much of it ruined, maybe, 
and having to be built anew, but a world where 
the spirit of man can grow and develop in 
freedom." 



Europe 



NATIONAL HOLIDAY OF CZECHO- 
SLOVAKIA 

(Released to the press October 28] 

The text of a telegram from the President 
of the United States to His Excellency Dr. 
Eduard Benes, Presideilt of the Republic of 
Czechoslovakia, upon the occasion of the na- 
tional holiday of Czechoslovakia, follows: 

"The White House, October 28, 1942. 

"It gives me great pleasure on this national 
holiday of Czechoslovakia to send you my 
hearty felicitations and to convey on behalf of 
the people of the United States an expression 
of their sincere good wishes as well as their 
deep and lasting friendship for the people of 
Czechoslovakia. 

"Defiant to a barbarous oppression and 
steadfast in their sacrifice, the Czechoslovak 
people are doing their part toward the victory 
of the United Nations. 

Franklin D Roosevelt" 



The Near East 



GREEK RESISTANCE TO AXIS AGGRESSION 

MESSAGE FROM THE PRESIDENT OF THE UNITED STATES TO THE GREEK 
AMBASSADOR AT WASHINGTON 



[Released to the press October 29] 

Before delivery of his address on October 28 
at a meeting in commemoration of Greece's re- 
sistance to the Axis, the Under Secretary of 
State, the Honorable Sumner Welles, read the 
following message from the President to the 
Ambassador of Greece at Washington, His Ex- 
cellency Cimon P. Diamantopoulos : 

"The White House, 

''Washi7igton, October 38, 19 J^. 
"Mt Dear ]\Ir. Ambassador : 

"On the early morning of October 28, 1940, 
the Fascist aggressors handed an ultimatum to 
Greece. The challenge was hurled back with- 
out a moment's hesitation. This was what 
might have been expected from a gallant and 
courageous people devoted to their homeland. 
You commemorate tonight the second anni- 



versary of the beginning of the total resistance 
of the Greek people to totalitarian warfare. 

"ilore significant, even, than the initial reply 
to the challenge, is the fact that Greece has con- 
tinued to fight, with every means at its com- 
mand. When the Greek mainland was overrun, 
resistance was carried on from the islands. 
When the islands fell, resistance continued from 
Africa, from the seas, from anywhere the ag- 
gressor could be met. 

"To those who prefer to compromise, to fol- 
low a course of expediency, to appease, or to 
count the cost, I say that Greece has set the 
example which every one of us must follow 
until the despoilers of freedom everywhere 
have been brought to their just doom. 
"Very sincerely yours, 

Franklin D Roosevem" 



ADDRESS BY THE UNDER SECRETARY OF STATE' 



[Released to the press October 29] 

Out of the welter and carnage of this great 
world upheaval there shine out resplendent 
certain noble feats of heroism, fortitude, and 
gallantry of freedom-loving men and women, 
which constitute immortal pages in the history 
of this war to preserve the liberty of the human 
spirit and the human soul. 

Of such is the story of the superb resistance 
of the Soviet armies last year and the glorious 
defense this summer of Stalingrad. 

Of such is the defiant determination of the 
British people after Dunkerque; the deathless 
story of the courage of our own men at Bataan 

' Delivered by the Honorable Sumner Welles at a 
meeting in commemoration of Greece's resistance to the 
Axis, Washington, D.C., Oct. 28, 1042. 

870 



and at Wake Island ; of the long struggle, under 
the impact of many discouragements and dis- 
illusiomnents, of the Chinese nation to repel the 
invader; of the brave guerrillas of Yugoslavia, 
against all odds, to keep up the fight against the 
Axis armies and their vassals. 

And of such is the magnificent epic of the 
people of Greece, who for five long months not 
only successfully resisted the superior forces of 
the Italian Fascists but actually routed them. 

Two years ago this morning, by an act of 
shameless Axis treachery of a type which the 
world in recent years has often experienced, 
Greece was invaded by the Italian armies. 

By their resolute and brilliant resistance this 
heroic people of Greece shattered forever the 
hypnotic myth of Axis invincibility. In so do- 



OCTOBER 31, 1942 

ing they restored to the hearts and minds of 
men, in a particularly dark hour, new courage, 
new determination, and new hope. 

In tivo months a boastful Axis partner was 
reduced to the status of a German vassal. Hit- 
ler was forced to come to the rescue of his bat- 
tered satellite and to deflect to the Balkans the 
strength of the German war machine. Despite 
the crushing weight of this second assault 
Greece still stood firm. With British assistance 
she held the Nazi hordes at bay for precious 
weeks, making possible the reinforcement of 
the Near East and changing decisively, and dis- 
astrously for Hitler, the timetable of Hitler's 
attack on Russia. 

But, important as were the direct military re- 
sults of the Greek resistance, I believe that its 
more decisive import is to be found in the re- 
generation it brought in the morale of the free- 
dom-loving peoples. It showed us all that honor 
and resolution and courage were neither im- 
potent nor dead. It demonstrated that the 
greatness of the peoples of the earth does not 
depend upon their numbers. It proved again 
that those who value their liberty must be pre- 
pared to fight for its preservation, no matter 
how great the odds. 

Greece had no hesitations; no reservations 
about the right ; no slightest thought of accept- 
ing an Axis-imposed "collaboration". She has 
been aptly called a land of miracles ; perhaps the 
greatest of these miracles is the way she remains 
true to herself and relives her own heroic past 
from age to age. 

One hundred and seventeen years ago, while 
the Grecian patriots were engaged in the long 
and cruel struggle which brought independence 
to modern Greece, Henry Clay, then Secretary 
of State, gave these instructions to the first dip- 
lomatic representative sent by the United States 
to Athens : 

"Upon reaching Greece . . . you will let the 
existing authorities know that the people of the 
United States and their Government through- 
out the whole of the present straggle of Greece, 
have constantly felt an anxious desire that it 
might terminate in the reestablishmpnt of the 



877 

liberty and independence of that country, and 
that they have conscfiueutly observed the events 
of the war with the most lively interest, sympa- 
thizing with Greece when they have been un- 
fortunately adverse, and rejoicing when they 
have been propitious to her cause." 

Once more Greece is struggling to regain her 
liberty and independence, and once more the 
American people throughout this land support 
her efforts. 

Today the swastika desecrates the Acropolis. 
The birthplace of our modern civilization is de- 
filed by bestial invaders who are stripping the 
land bare and who are leaving men, women, and 
children to die of starvation in the fields and in 
the streets. 

It is hard to resist when you are starving. 
And yet resistance within Greece goes on; re- 
sistance by the guerrilla leader in the moun- 
tains ; by the saboteur behind the invaders' lines; 
by the boatmen who put out at night from the 
darkened shores to make possible the escape of 
Greek patriots so that these may rejoin the 
fighting troops in North Africa. 

To those Greeks upon whom fate has tempo- 
rarily imposed a vicious tyranny go our sym- 
pathy in their suffering; our admiration for 
their unrelenting resistance ; and our pledge that 
we will leave nothing undone which will hasten 
the day of victory and liberation. 

To those Greeks who escaped the occupation 
of their homeland to carry on the contest from 
abroad, goes an expression of our feeling that 
we are honored to be engaged in this common 
struggle with such gallant allies and to be re- 
newing again in the brotherhood of arms the 
bonds of friendship which have always imited 
the Greek and American peoples. 

It would be difficult to exaggerate the extent 
of the interest and sympathy aroused in the 
United States by the heroic Greek resistance 
which we here commemorate. As in the days 
of the Greek "War of Lidependence, meetings 
were held in every State, and a nation-wide 
Greek War Relief Association was called into 
being, which hns received and continues to re- 
ceive the active support of the American people. 



878 



DEPAKTMENT OF STATE BtTLLETIN 



The President has found the defense of Greece 
vital to the defense of the United States and 
has declared her eligible for lend-lease assist- 
ance. 

Unhappily the conditions of the war now 
limit and hamper the extension of the full 
assistance which those in Greece so dreadfully 
need and which we would so gladly give in 
recognition of the debt of gratitude which we 
owe for the example of loyalty and courage 
which they have given us. Wliat we can do 
without helping our common enemies we are 
doing and will continue to do. 

Just before Hitler was compelled by the Greek 
defeat of the Italian Fascists himself to invade 
Greece, there was published in the press of 
Athens that famous open letter to the German 
dictator whose words can never be forgotten: 

"Small or great, that part of the Greek Army 
which can be sent there will stand in Thrace 
as they have stood upon Epirus. There they 
will await the return from Berlin of the Runner, 
who came five years ago to light the torch at 
Olympus. We shall see this torch light a fire, 
a fire which will light this little nation, which 
has taught all other nations how to live, and 
which will now teach them how to die." 

No nation from whose soul have been wrung 
those words can ever die. 

Of one thing I am sure : when our common 
victory has been won, the free and independent 
people of Hellas will once more assume their 
proud and rightful place in the family of na- 
tions, and Greece will regain her territorial 
integrity and the achievement of her legitimate 
aspirations for security in the world of the 
future. For our victory must surely likewise 
bring as its consequence a world order in which 
every nation, small or great, weak or powerful, 
can live in safety and in peace and without 
fear. 

Until that new day dawns the people of 
Greece will, we know, never falter in their fight 
for freedom, for they have indeed fought the 
good fight. They have shown all mankind the 
great truth that if you love liberty enough to 



hold all else as trivial in comparison to it, nor 
brute force nor any other power can ever per- 
manently take it from you. 

ANNIVERSARY OF THE TURKISH 
REPUBLIC 

[Released to the press October 29] 

The text of a telegram from the President 
of the United States to His Excellency Ismet 
Inonu, President of the Republic of Turkey, 
upon the occasion of the anniversary of the 
founding of the Turkish Republic, follows : 

"The White House, October 29, 19J,£. 
"It gives me particular pleasure to send to 
Your Excellency my warm personal felicita- 
tions on this anniversary of the founding of the 
Turkish Republic, and to extend on behalf of 
the people of the United States their most cor- 
dial wishes for the continued well-being of the 
Turkish people. The Turkish Republic has 
been outstandmgly fortunate, during the nine- 
teen years since its establishment, in enjoying 
the guidance of great leaders. My congratula- 
tions to the Turkish people on this auspicious 
occasion are linked with my sincere confidence 
in their future, under the wise direction of Your 
Excellency's Government. 

Franklin D Roosevelt" 



[Released to the press October 29] 

The Secretary of State made the following 
remarks on October 29 to a group of distin- 
guished Turkish journalists who called upon 
him at the Department : 

"I have particular pleasure in welcoming to- 
day five distinguished representatives of the 
Turkish press. The occasion is a notable one, 
for today is the nineteenth anniversary of the 
founding of the Turkish Republic on October 
29, 1923. 

"During the past 19 years Turkey has estab- 
lished an outstanding reputation for the cor- 
rect and orderly conduct of its international 
relations. In 1936, for example, at the very 



OCTOBER 31, 1942 



879 



time when certain other nations were disregard- 
ing so flagrantly their treaty obligations, Tur- 
key called a conference of the interested na- 
tions at Mont reus for revision of the treaties 
pertaining to the Dardanelles. I am happy to 



reflect today the most favorable impression 
which Turkey lias created in the United States 
by the consistently correct and able nuunicr ill 
which the Republic's foreign affairs have been 
conducted." 



International Conferences, Commissions, Etc. 



INTER-AMERICAN CONFERENCE OF THE ASSOCIATED COUNTRY WOMEN 

OF THE WORLD 

ADDRESS BY VERNON E. BUNDY' 

CouxTitY Women in a Neighborhood of Nations 



(Released to the press October 31 1 

Madam Chairman and Ladies: 

It adds much to my own satisfaction, in being 
present at this conference, that I am entrusted 
with a message to you from the Honorable Cor- 
dell Hull, United States Secretary of State. 
Secretary Hull's message, addressed to the 
United States Liaison Committee of the Asso- 
ciated Country Women of the World, is this: 

"It gives me pleasure to send my greetings to 
the representatives of the Associated Country 
Women of the World and to congratulate you 
upon having assembled to cooperate in plans 
and actions to meet the gravest emergency and 
the severest test that freedom-loving peoples 
have ever faced. 

"Your conference at this time exemplifies the 
unified effort in which the United States and the 
other United Nations are joined to defend our 
welfare, our liberties, and our very lives. We 
are combating a barbarous onslaught by Axis 
aggressors who would rob, enslave, and de- 
stroy us. 



' Delivered at Kansas City, Mo., Oct. 31, 1942, at a 
conference sponsored by tlie United States Liaison 
Committee of the Associated Country Women of the 
World. Mr. Bundy is witlx the Division of Commer- 
cial Policy and Agreements, Department of State. 



"The blight of the aggressors has fallen in 
terrible form upon the farm and city homes of 
manj^ lands. Its menace hangs over every home 
in the world. Even as the threat is to all our 
homes, so we, men and women of each of the 
United Nations, are one in our resolve to hasten 
victory and to make the most of the opportunity 
which will then be open to us to build a better 
world." 

Here ends Secretary Hull's message. 

The letter inviting the Department of State 
to send a representative to your conference con- 
tained this sentence : "Rural women wish to have 
constructive attitudes and to do anything pos- 
sible to promote the Good Neighbor policy on 
this hemisphere. They also wish to think con- 
structively about other nations, including the 
post-war situation in regard to the United Na- 
tions and also toward the people of the nations 
with which we are now at war." Now this as 
a guide to what I was to try to say here today 
provided wide latitude, in fact a rather breath- 
taking degree of latitude. 

It seemed that, before coming here to suggest 
what direction your attitudes and thinking 
should take, it would be wise to examine a little 
the available evidence on your present attitudes 
and on how those attitudes are being expressed 



880 



DEPARTMENT OF STATE BTJLXiETIN 



and implemented. Since the home-demonstra- 
tion service of the Federal and State Agricul- 
tural Extension Services is an important and 
typical part of the organization of the Associ- 
ated Country Women of the World, and since 
statistical and other reports relating to their 
work were readily available I turned to those 
reports — and not, I may say, for the first time. 
I was impressed, but not surprised, to find that 
in 1941 more than two and a half million Ameri- 
can families had been influenced in their home 
lives through the home-demonstration projects, 
and that well over one million American women 
and girls are members of organized home-dem- 
onstration clubs and groups. But I was im- 
pressed, as I have always been impressed, with 
the nature of the work done in these groups and 
especially with the way in which it is done. 

The outline of extension projects points the 
direction which the attitudes of American coun- 
try women have taken, whether or not the par- 
ticular group in question happens to be a home- 
demonstration group. The statistics on these 
projects give evidence of the extent and vigor 
with which rural women are giving dynamic 
expi-ession to their attitudes. The method — I 
m,ean the fact that you work together, coopera- 
tively, helping one another, depending upon 
local leadership wherever possible — also reveals 
much about your attitudes and about the think- 
ing in the farm homes of America. It offers 
assurance that those attitudes and activities will 
be applied not only to the affairs of rural homes 
but to the national and international problems 
of this country and of the United Nations — 
indeed of all nations — in the wimiing of the war 
and in the post-war period. 

Banking high among those problems, of 
course, is the problem of producing war mate- 
rials and food. Production has always been 
the business of the farm home. It was not sur- 
prising to note increases in the number of groups 
formed for the purpose of increasing produc- 
tion of farm goods. Results of their efforts are 
reflected in the current reports of the Depart- 
ment of Agriculture on higher production of 
eggs and poultry, dairy products, pork, and 
other foods. The 1942 figures are vast, but for 



me they reflect not so much columns of statis- 
tics as mental pictures : pictures of farm women 
setting extra hens and going out in the rain to 
bring in baby chicks for which there isn't enough 
room in the brooder, parking them under the 
kitchen range ; pictures of farm women milking 
cows, separating milk, and feeding pigs so that 
the farmer whose hired man has gone to the 
Army can stay in the fields for extra hours; 
pictures of farm women and farm men doing 
chores by lantern light after it is too dark to see 
the furrows and again before it is light enough. 

And it is not that farm women and men 
are doing that with thought only for them- 
selves, or even for their own countrymen alone. 
The foodstuffs from American farms and 
ranches are going in thousands of tons to the 
nourishment of other men and women in other 
friendly countries, whose need is vastly greater 
than our ovm, even when we have begun to 
pinch a little bit, as we have just begun to 
do. There, it would seem, is a fair example 
of the attitude of rural women translated into 
action on an international problem. 

Similarly, attitudes ai'e expressed in projects 
for saving, for making things do, for canning 
and preserving, for collecting scrap. Thou- 
sands of groups of farm women are doing these 
things cooperatively as a jiart of a national 
and an international program. The national 
nutrition program for making strong the Amer- 
ican family to meet the tests and the tasks of 
wartime is a notable effort. 

Your letter mentioned the good-neighbor 
policy on this hemisphere. That policy is no 
more than the extension of the policy which 
prevails in the average rural neighborhood, a 
policy tested and found to be the only effective 
one. In 1941 community-service pi'ojects were 
carried on by nearly 50,000 community groups 
in 2,400 counties of the United States: co- 
operation with the Red Cross, cooperation 
in making and assembling garments for suf- 
fering children in foreign countries, coopera- 
tion in collecting vi-gclable seeds for the gardens 
of England. These arc all good-neighbor pol- 
icies, and translating them into international 



OCTOBER 31, 1943 

affairs is only a matter of geographical exten- 
sion, not !i matter of change in principles. 

Underlying all these activities is the necessity 
of understanding: understanding your neighbor 
across the fence or across the ocean and knowing 
what his problems are and how he is attempting 
to meet them. Outstanding among the activi- 
ties of rural women, particularly in the past 
few years, has been the rapid development of 
study groups and study projects and of confer- 
ences like this, whereby rural women are learn- 
ing more and more about the world neighbor- 
hood in which they are living. There has been 
a tremendous advance in the interest of farm 
women in such things and in their knowledge 
of the affairs of other countries. To that re- 
markable advance, it would seem, can be credited 
much of the sound thinking and the vigorous 
activity which characterize the program of the 
farm homemaker today. 

Of course, that big neighborhood, the world, 
is steadily growing smaller, just as a rural com- 
munity grows smaller and neighbors come 
closer, through the development of communica- 
tion and transportation. Even with gas and 
tires rationed and with priorities on telephone 
equipment, we live closer together in the country 
today than we did yesterday. The same thing 
holds true as regards the world. Wlien we must 
live close together, it is better to be good neigh- 
bors than bad neighbors. 

So I come to you today without any radical 
recommendations about changing the direction 
of your thinking or suggestions for reorienting 
your attitudes, as they are revealed by your ac- 
tions in your own neighborhoods. But it is only 
truthful to say that there is not on the immediate 
horizon any indication that the time is near 
when the activities expressing those attitudes 
can be relaxed. That implementation must be 
continued and intensified. The war must be 
won along these lines and the tasks of recon- 
struction, little less difficult, will follow. We 
must win the war and establish the peace 
through hard application of the same principles 
of mutual understanding, friendly cooperation, 
and hard work. This will not be for our wel- 
fare alone but for the ultimate welfare of all the 



881 

world. We have learned, or must learn, 
through bitter experience, that whether we like 
it or not we, as individuals, as families, as 
groups, and as nations must live together and 
in part for each other. What is bad for one is 
not good for all. Never in history has this 
plain, unvarnished fact been more apparent. 

I hope you will not consider me a soulless ma- 
terialist if I dwell upon the subject of inter- 
national economic relations — of international 
commercial policies. I shall do so not only be- 
cause I am a little more at home in that field 
but because of several other vastly more im- 
portant reasons. Economic conditions are basic 
to and heavily influence many spiritual and 
ethical attitudes. Furthermore, economic and 
commercial relationships among nations closely 
touch and directly affect every farm and city 
home to a greater degree than do cultural and 
political relations among nations. Believe me, 
I am not depreciating the importance in the 
rural community or in international relations of 
mutual tolerance, respect for the rights of 
others, avoiding racial or religious prejudices, 
education. All these things are essential to good 
neighborliness and good lives. 

What I am trying to say, however, is that 
all these things are easier for us to attain when 
our own economic status and our economic rela- 
tions with others — on the next farm or on an- 
other continent — are satisfactory. As it is true 
of individuals so it is true of peoples that only 
those who are free to labor and produce goods 
and services, free and secure to enjoy the fruits 
of their labor to the fullest possible extent, are 
truly free in spirit. 

We of the United States, in common with 
those of other nations, desire to enjoy the "four 
freedoms". The freedoms of thought, of speech, 
and of worship are more attainable and more 
secure if also we have freedom from want — 
which means the highest possible standard of 
living for every family in every country, up 
to its capacity to produce and contribute to 
human welfare. 

This is true even as regards the nations with 
which we are now at war. The present rulers 
of these nations, it is true, cannot plead for 



882 



DEPARTMENT OF STATE BXILLETIN 



themselves desperation under poverty and want. 
Their course is dictated by insane and brutal 
lust for power and ruthless determination to 
dominate. They wage war to take by force 
what belongs to others, simply because they 
think they are strong enough to do so. Eco- 
nomic security for those leaders themselves 
would be no bar to their mad purpose. We 
know that now, having learned it the hard way. 

But if the common people of Europe — even 
those of the Axis nations — after the first World 
War had enjoyed better economic and living 
conditions Hitlerism would have been retarded 
even if not wholly prevented. Want and in- 
security among the common people of Europe 
furnished the reeking hotbed in which the nox- 
ious weed of totalitarianism flourished. 

Wlien victory has been won, there must be a 
reckoning and a severe one. All the peoples of 
the United Nations who are now suffering un- 
der the horror of this war demand that, when 
the might of the aggressors has been crushed, 
the nations and the leaders who have perpe- 
trated this monstrous evil must be rendered for- 
ever impotent to repeat it. There must be pun- 
ishment of those guilty of war-making and of 
barbarities. That is a matter for judicial ac- 
tion. There must be such measures of disarma- 
ment and powerful international control as will 
force the keeping of the peace by those who 
would otherwise break it. That is the com- 
mon resolve of all the United Nations. We can 
ask no less. 

But in dealing out this justice and in making 
peace secure we must take no measure which 
will rebound against us and our own welfare in 
the future. We must not again create fertile 
soil and sow it with dragon's teeth to rise again 
in another generation to assail freedom and 
good-will and human decency. 

In the after-war world we all want the high- 
est possible standards of living — for ourselves, 
for our neighbors in this hemisphere, and for 
all the United Nations. And we want them as 
well for the common people of nations now our 
enemies, so that when their present leaders have 
been brought to book they can again become part 
of the civilized world and we never again shall 
have to spend our substance and shed our blood 



to crush a menace from them to our own lives 
and liberties. 

Winning the war is not our only present and 
urgent task. We are not allowed to decide 
whether we will win the war now or plan the 
post-war world now. We must do both, and 
they are one task. Wliat we do in prosecuting 
the war determines in part the kind of world 
we shall have after the war. What we do now 
toward building a secure peace on strong eco- 
nomic foundations affects the winning of the 
war. The help we give our allies now and the 
promises we give now of cooperating in estab- 
lishing a new and better world after the war 
are strengthening their courage and their hope 
and their confidence. That is helping them to 
help us fight the war. The plans we make now 
give hope even to the nations that are overrun 
by the Axis and make them more alert and 
anxious to weaken and destroy their enemies 
and ours at every opportunity. It is not im- 
possible that even comnion people in the Axis 
coimtries, helpless and driven by their brutal 
leaders, are now considering whether the world 
we propose would be better than that offered 
them by their masters, whose promises have 
grown thin with repetition and lack of fulfil- 
ment. 

Granted that we do want the highest possible 
living standards for all countries after the vic- 
tory, what shall we do to bring them about? 
Part of the answer must come from every indi- 
vidual home — farm or city — in the United Na- 
tions. The task can be accomplished only as 
the attitudes of cooperation and tolerance, of 
clear-sighted self-interest, revealed so often in 
American farm homes and communities, are 
brought to bear upon the economic problems of 
the United Nations. 

The United States must take a leading part 
in this task: First, because of self-interest in 
a prosperous world ; second, because of our great 
strength and therefore our great responsibility. 
We cannot avoid this responsibility if we would. 
Our influence, if constructive, will go far to in- 
sure a better world after the war; if negative, 
our influence would be fully as strong in the 
opposite direction. 



OCTOBER 31, 194 2 



883 



The statement of war aims in the historic 
Atlantic Cliartor has luvn subscribed to })y all 
the United Nations. Moreover, in nuitnal-aid 
{ipreements with a prowinp number of countries 
we and they have promised to take" . . . agreed 
action . . . open to participation by all other 
countries of like mind, directed to the expan- 
sion, by appropriate international and domestic 
measures, of production, employment, and the 
exchange and consumption of poods, which are 
the material foundations of the liberty and wel- 
fare of all peoples; to the elimination of all 
forms of discriminatory treatment in interna- 
tional commerce, and to the reduction of tariffs 
and other trade barriers ..." 

These mutual pledges of cooperation in the 
economic field recorrnize the interdependence of 
nations, as sources of suppl}' and as markets. 

The highest possible living standard within 
any country and throughout the world requires 
that the greatest possible volume of physical 
goods be produced and that the greatest pos- 
sible number of people have employment and 
buying power. The more goods there are, the 
more wants can be satisfied. If the greatest 
possible total volume of goods is to be prochiced, 
each individual and each country must produce 
the things he or it is best qualified to produce. 
In the case of an individual that qualification 
may be the possession of a certain type of soil 
on his farm or a certain skill or aptitude or 
training in his craft. For a nation it may be 
possession of certain combinations of natural 
resources or an advanced state of development 
of its industries. There is great difference 
among farms and the crops for which they are 
best adapted. There is likewise a great differ- 
ence among nations. The main economic prob- 
lems in the period between the wars grew out of 
a multitude of barriers to the exchange of goods, 
both within countries and between countries. 

If every individual and every nation is going 
to produce those things he or it is best qualified 
to produce, in order that there may be the great- 
est total quantity of goods, then men and na- 
tions must exchange their own goods and serv- 
ices for the goods and services of others. And 
this exchange must be on a fair and equitable 
basis, value given for value received. In the 



modern world no nation and no individual can 

be completely self-sufficient, except at the lowest 
jiossible level of subsistence. We need many 
things from foreign countries, both raw mate- 
rials with which to produce our manufactured 
goods and products with which to maintain our 
own health and comfort. Some things, or sub- 
stitutes for them, we can obtain or produce in 
our own country but only at disproportionate 
and uneconomic cost in raw materials or in 
labor. 

All this is about the import side of the pic- 
ture, about the reasons why we must have cer- 
tain tilings from abroad. What are the reasons 
why the United States must export its own 
products? One perfectly apparent reason is 
that we can pay for the imports we want, in 
the most efficient and profitable way, with ex- 
ports of our specialties. Another, perhaps 
equally important, reason for exports is the de- 
sirability of full employment of our resources 
and our productive capacity. If American 
farms and factories are going to operate at 
maximum capacity so that our farmers and our 
workmen are profitably employed and able to 
earn and to share in the goods of the world, 
if our natural resources are to be transformed 
into the greatest possible volume of material 
goods, we must export. The capacity of this 
country to produce many important agricul- 
tural and manufactured products is greater than 
the capacity of our own consumers to use them 
profitably. That, of course, does not mean that 
everybody in this country now has all that he 
wants of everything, but it is nevertheless true 
that we can more than supply our own needs 
for many things. We can turn out, for ex- 
ample, more wheat, cotton, corn and hogs, type- 
writers, radios, automobiles, and many other 
things than can be sold in this country at re- 
munerative prices. 

That portion of these things that exceeds our 
own practical levels of domestic consumption 
must go abroad. Otherwise it either accumu- 
lates here and depresses domestic markets to 
unremunerative price levels or production will 
be cut down, unemployment will occur, and 
living standards will drop in this country by 
just the degree to which we fail to turn out 



884 



DEPARTMENT OF STATE BULLETEN 



things we are well qualified to produce, to be 
exchanged for other things which we want 
and which other countries produce to better 
advantage. 

We must ask ourselves the same question 
about our exports that we asked about our im- 
ports, in reverse. That is, how are we to be paid 
for them? And we get the same answer that 
we got in the other case. They must be paid for 
in goods or services from foreign countries. 
That, in fact, is the only way at present in which 
we can be paid for them. Other countries have 
very little of the world's gold, even if we were 
able to use additional gold to good advantage. 
We can and probably shall extend them credits 
which will enable them to obtain some goods 
and services from us without immediate pay- 
ment in their goods and services, their main 
source of dollar purchasing power. However, 
in the long run, nations, like individuals, must 
balance goods and services rendered against 
goods and services received. Imports into the 
United States are the only practical means 
whereby foreign countries can acquire enough 
dollars to purchase our goods and enable us to 
keep up our production. Foreign purchases of 
our goods create employment in the United 
States and thereby support our domestic mar- 
ket generally as well as our foreign market. 

When we and other countries, between the 
two wars, adopted restrictive trade policies 
which destroyed trade in each other's commodi- 
ties, we not only lost our foreign markets but we 
saw our domestic buying power impaired and 
oi'.r domestic economy at depression depths. 

Exchange of goods among individuals and 
among nations should be, as I have said, on a 
fair, equitable, and non-discriminatory basis. 
Trade should not be subject to oppression and 
compulsion because one group or one nation 
seeks to take advantage of other groups or other 
nations. Uneconomic, discriminatory, and ex- 
cessive trade barriers imposed for the immediate 
advantage of one group inevitably injure other 
groups and the country as a whole. This does 
not mean that we should abandon all restraints 
on international trade. We and most other 



countries have legitimate sanitary restrictions 
on imports, anti-dumping laws, and other meas- 
ures designed to prevent recognized abuses. 
The vast majority of American producers have 
little to fear from fair competition from any 
other country in the world. 

Wlien tariffs and other trade restrictions are 
used selfishly for the short-term benefit of the 
few at the expense of the vast majority of pro- 
ducers and all consumers, they become obstruc- 
tions to the maximum production, exchange, and 
utilization of "goods which are the material 
foundation of the liberty and welfare of all 
peoples" and they defeat the aim of high living 
standards for all. 

For the past 8 years the United States has 
been making substantial progress, in coopera- 
tion with other nations, toward reduction of the 
uneconomic, discriminatory, and excessive trade 
barriers which had come into being, largely in 
the years between the wars, to burden interna- 
tional commerce and depress living standards 
throughout the world. This has been accom- 
plished through the program of reciprocal trade 
agreements provided for by the Trade Agree- 
ments Act of 1934, which authorized negotiation 
with other countries for removal and reduction, 
on both sides, of such barriers. The act au- 
thorizes modification, by not more than 50 per- 
cent, of United States tariffs and other import 
charges in return for corresponding concessions 
by the other country. Under the authority of 
this act, twice extended for additional 3-year 
periods, such agreements have been concluded 
with 2i foreign countries. Negotiations with 4 
other countries are pending now. 

These agreements have bi-ought results in the 
form of increased foreign trade, to the mutual 
advantage of the participating countries. Sta- 
tistical evidence of this improvement is, of 
course, now obscured by war even as trade in 
general is restricted and controlled by wartime 
measures and needs. But it was evident before 
the outbreak of tlie present hostilities that by 
reducing some of its own tariff barriers in these 
agreements the United States had not only suc- 
ceeded in obtaiiiinc; the reduction and removal 



OCTOBER 31, 1942 

of tariffs and barriers imposed upon our ex- 
ports by foieipn countries but had increased 
foreijjii purdiasinp power for American goods 
and thereby employment and buying power of 
American consumers on the domestic market. 

Embodied in the act of 10;54 is the uncondi- 
tional most -favored-nation principle which has 
been basic in the foreign commercial policy of 
the United States for many years. Under this 
policy the United States applies the reduced 
rates of duty on certain products provided for 
in a trade agreement to the like products of 
all countries not found to be discriminating 
against United States trade, and many other 
countries give us the same fair treatment. In 
the period between wars, when trade discrimina- 
tion among nations had become all too preva- 
lent, this policy protected United States export 
trade from innumerable discriminations. 

The agreements now in effect and in prospect 
give assurance of sounder economic relations 
between the United States and other countries, 
both now and after the war. They help to make 
real and specific the details of the kind of inter- 
national economic relationships which we be- 
lieve are worth fighting for. In due course we 
must also, in cooperation with the other United 
Nations, make real and specific the details of 
other aspects of our international economic rela- 
tionships — in the monetary and exc'iange fields, 
in the field of international investments, and in 
other related fields. 

In 1937 and again in 1940 the Congress re- 
newed, each time for a 3-year period, the au- 
thority contained in the Trade Agreements Act 
of 1934, under which reciprocal trade agree- 
ments are negotiated. On both occasions the 
Congress acted only after careful deliberation 
upon and examination of the fundamental 
soundness of the program, the effectiveness of 
its administration, and the value of its results. 
On both occasions, however, there was opposi- 
tion — both open and subtle — to its extension. 
The renewal voted by the Congress in 1940 will 
expire on June 12, 1943. In a very few months, 
therefore, there will be another test to determine 
whether this country will continue to follow 



885 

the realistic and sensible policy which for 8 
years has benefitted American agriculture, in- 
dustry, and trade. 

This time the decision has even greater world- 
wide significance than on the previous occa- 
sions. It must be the right decision if the eco- 
nomic objectives of the Atlantic Charter, to 
which all the United Nations have subscribed, 
are to be fulfilled. Furthermore, in nmtual- 
aid agreements our government and the govern- 
ments of nearly half the other United Nations 
have pledged themselves specifically to take 
agreed action to reduce tariffs and other trade 
barriers and to eliminate all forms of discrim- 
inatory treatment in international conmierce. 

In view of the momentous significance of the 
choice we are to make, surely the awakening 
awareness of American citizens, including your 
own organizations, toward our international 
economic opportunities and responsibilities will 
lead to the determination not to repeat our 
tragic economic errors of the years between the 
wars. 

The winter of 1942-43 is destined to be a time 
of crisis for all the world. The fate of all na- 
tions will turn upon military decisions and upon 
the establishment of such a peace as alone can 
make victory worth what it will cost. The main 
pillar in the economic base for such a peace is 
removal of uneconomic and unjust obstructions 
to commerce among nations. Because the 
United States is, economically, the most power- 
ful nation in the world its decision this winter 
to go forward with the reciprocal-trade-agree- 
ments program will be an epochal step in world 
history. 



General 



ANNIVERSARY OF THE BALFOUR 
DECLARATION 

[Released to the press October 31] 

In commemoration of the twenty-fifth anni- 
versary of the publication of the Balfour Decla- 
ration by the British Government on November 



886 



DEPARTMENT OF STATE BULLETIK 



2, 1917,^ a memorandum was presented to the 
Secretary of State by a group of Rabbis. Secre- 
tary Hull observed that the Balfour Declaration 
had aroused wide attention in the United States 
and that this country had followed with in- 
terest and sympathy the work which liad been 
done under it. in which American citizens have 
played a useful part. He added: 

"This country was shocked and outraged, 
when tyranny and barbarity again commenced 
their march, at the brutality which was inflicted 
on certain races, and particularly on the Jewish 
populations of Europe. Apparently no form 
of abuse has been too great, and no form of tor- 
ture or oppression too vile, to be meted out to 
these populations by the Nazi despots. And in 
taking this attitude toward the Jewish race they 
have made it plain by concrete acts that a like 
attitude would be taken toward any other race 
against whom they might invent a grievance. 

"The Jews have long sought a refuge. I be- 
lieve that we must have an even wider objec- 
tive ; we must have a world in which Jews, like 
every other race, are free to abide in peace and 
in honor. 

"We m.eet today when the battle for freedom 
is being carried on in the East and in the West 
and our every effort is concentrated on a suc- 
cessful issue. We can with confidence look for- 
ward to the victory when liberty shall lift the 
scourge of persecution and the might of the 
United Nations free mankind from the threat 
of oppression. 

"Of all the inhuman and tyrannical acts of 
Hitler and his Nazi lieutenants, their systematic 
persecution of the Jewish people — men, women, 
and children — is the most debased. The fate of 
these unhappy people must be ever before us 
in the efforts we are making today for the final 
victory; at the moment of triumph under the 
terms of the Atlantic Charter the United Na- 
tions will be prepared not only to redeem their 
hopes of a future world based upon freedom, 
equality, and justice but to create a world in 
which such a tragedy will not again occur." 



The Department 



' 1917 Foreign Relations, Supp. 2, p. 317n. 



DEATH OF DR. WILLIAM RAY MANNING 

[Released to the press October 28] 

Dr. William Ray Manning, who retired re- 
cently after many j-ears of service as an official 
of the Department of State, died on October 28 
at his Washington hom,e. 

The Secretary of State has addressed the fol- 
lowing letter to Mrs. Manning : 

"^It Dear Mrs. Manning : 

"I am greatly distressed to learn of the pass- 
ing of your distinguished husband, who was 
held in such high esteem by myself and by his 
many friends in the Department and in the For- 
eign Service. He was an exceptionally valuable 
employee of the Department of State for many 
years. His work always reflected his scholarly 
attainments, a wide experience and a profound 
knowledge of foreign affairs. 

"My associates and I extend our heartfelt 
sympathy to you and the members of the family 
in your irreparable loss. 
"Sincerely yours, 

CoRDELL Hull" 

Biography : William Ray Manning — Editor, 
diplomatic documents; b. Home, Kans., Dec. 26, 
1871; s. Enoch and Mariva (Stone) M.; A.B., 
Baker U., 1899; fellow and asst., English his- 
tory. U. of Kans.. 1901-02 ; A.M., 1902 ; fellow 
and asst., European history, U. of Chicago, 
1902-04, Ph.D., 1904; studied in hist, archives 
at Seville, Madrid. Paris, and London, 1903; 
m. Mabel Marvel, May 2G, 1903; children— Dor- 
othy Carmen, Winston Marvel, Neva Pauline. 
Instr. economics and histoi-y, Purdue U., 1904- 
07; asst. prof., American history, U. of Mo., 
summer sch., 1907; asst. prof., diplomatic his- 
tory, Coll. Polit. Sciences, George AVashington 
U., 1907-10; adj. prof., Latin-American and 
English historj^ U. of Tex., 1910-17, assoc. prof., 
same, 1917-19; official Dept. of State, Wash- 
ington, since 1918. Lecturer on Latin-Ameri- 
can history and internat. relations, American U., 



OCTOBER 31, 1942 



887 



1919-34. Enjznged in historiial research work 
for Ciinu'fiie Instn.. suninu-rs, 1908, 1909. 1910 
private research work in iircluvcs of State Dept. 
Washinjjton, summer 1911, in archives of Kela 
ciones Exteriores, Mexico City, summer, 1912 
and in Library of Con<!;iess, Washington, sum- 
mer, 1913: Albert Shaw lecturer in diplomatic 
history, Johns Iloiikins. spriner IS'l^^- Techni- 
cal adviser U. S. dclcj;ation, 3d Pan American 
Higiiway Congress, Santiago, Chile, 1939. 
Member. National (nmjiraphic Society, Amer- 
ican Society of International Law, American 
Hist. Assn. (was winner, 1904, of its Justin 
Winsor prize, with U. of Chicafro doctoral dis- 
sertiou. The Noolka Sound Controversy, 190o). 
Author: Early Diplomatic Relations Between 
tlie United States and Mexico (Shaw lectures), 
191(i. Editor : Arbitration Treaties Among the 
American Nations, 1924; Dijilomatic Corre- 
spondence of United States Concerning the In- 
dependence of Latin-American Nations, 3 vols., 
1925 : Diplomatic Correspondence of the United 
States: Inter- American Affairs, 1831-18(50, 12 
vols., 1932-39. In recognition of the value of 
these two publications, decorated. National 
Order of Merits. Govt, of Ecuador, 1935. Edi- 
tor : Diplomatic Correspondence of the United 
States : Canadian Relations, 1784-1860, 4 vols, 
(vol. 1. 1940: vol. 2. 1942). 

APPOINTMENT OF OFFICERS 

Mr. Frank P. Lockhart. a Foreign Service 
officer of class I, was designated Chief of the 
Office of Philippine Affairs, effective October 
22, 1942 (Departmental Order 1103). 



The Foreign Service 



SPECIAL INSTRUCTION FOR FOREIGN 
SERVICE OFFICERS ON PHASES OF 
ECONOMIC WARFARE 

[UHleascd to the press October 28] 

The first group of Foreign Service officers 
brought back from their posts in the other 
American republics by the Department of State 



to undergo an intensive course of instruction in 
economic work arising from the war is in Wash- 
ington this month. At least three similar 
courses are planned for 1943. In addition to 
18 oUicers specially ordered to return from their 
posts, the school is attended by 10 Foreign Serv- 
ice officers recently brought back from the Far 
East and now assigned to Latin American posts 
and by 21 newly appointed Foreign Service 
Auxiliary officers. 

Several other Government agencies, including 
tiie Board of Economic Warfare, the Treasury 
Department, the War Production Board, and 
the Office of the Coordinator of Inter- American 
Affairs, are giving these officers an opportunity 
to study their operations at first hand. The 
greater part of the instruction, however, is be- 
ing given by officers of the Division of World 
Trade Intelligence, the American Hemisphere 
Exports Office, the Foreign Funds Control Di- 
vision, and the Division of Defense Materials, 
of the Department of State. The subject-mat- 
ter includes export control, export licenses, 
problems connected with the supply to the other 
American republics of their essential require- 
ments, allocations to them of certain scarce ma- 
terials, the various financial controls enforced 
by the Treasury, the operation of the Pro- 
claimed List of Certain Blocked Nationals, and 
the program of acquisition by the United States 
of strategic materials. 

In all these fields the Department of State, in 
connection with guiding our foreign relations 
and conducting negotiations with the govern- 
ments of our sister republics, and the other de- 
paitments and agencies of our Government 
charged with the actual operation of these va- 
rious phases of economic warfare have made 
very heavy demands upon our Foreign Service. 
The staffs of our missions and consular offices 
in the other American republics are constantly 
being strengthened to cari'y this additional 
burden. 

Realizing the vital importance of this work 
in the prosecution of the war and in the mainte- 
nance of hemispheric solidarity and the need 
for personal contact with the various Govern- 
ment agencies concerned, the State Department 
decided to bring to Washington at periodic in- 



888 



DEPABTMENT OF STATE BXJILETIN 



tervals field officers in charge of various sec- 
tions of this economic work. It has been found 
that the normal methods of instruction by mail 
and telegraph are inadequate to enable these 
officers to keep abreast of policy, developments, 
and procedure. Two somewhat similar courses 
have been held previously this year for new ap- 
pointees to the Foreign Service Auxiliary, prior 
to their departure for their posts. 

Immediately after the close of the course on 
October 31 the officers will ]3roceed to their 
posts. 



Publications 



Department or State 

Commercial Relations : Agreement Between the United 
States of America and ttie Union of Soviet Socialist 
Republics Continuing in Force tlie Agreement of Aug- 
ust 4, 1937, and Text of Agreement of August 4, 1937— 
Agreement effected by exchange of notes signed at 
Washington July 31, 1942 ; effective August 6, 1942. 
Executive Agreement Series 265. Publication 1813. 
8 pp. 5t 

Detail of Military Officer To Serve As Adviser to the 
Minister of Foreign Affairs of Panama : Agreement 
Between the United States of America and Panama — 
Signed July 7, 1942; effective July 7, 1942. 
Executive Agreement Series 258. Publication 1814. 
10 pp. 50. 

Waiver of Passport Visa Fees : Agreement Between the 
United States of America and Argentina — Effected by 
exchange of notes signed April 15, 1942 ; effective June 
1, 1942. Executive Agreement Series 266. Publica- 
tion 1819. 5 pp. 5<f. 

Publications of the Department of State (a list cumu- 
lative from October 1, 1929). October 1, 1942. Pub- 
lication 1820. iv. 33 pp. Free. 

Military Mission : Agreement Between the United 
States of America and Bolivia — Signed August 11, 
1942; effective August 11, 1942. Executive Agree- 
ment Series 2G7. Publication 1S21. 12 pp. 5<f. 

Repatriation and Hospitalization of Prisoners of War, 
Reciprocal Application of the Model Agreement An- 
nexed to the Convention Signed at Geneva July 27, 
1929: Arrangement Between the United States of 
America and Germany — Effected by exchange of notes 



between the Secretary of State and the Minister of 
Switzerland at Washington, in charge of German in- 
terests, dated March 4 and 30, 1942. Executive 
Agreement Series 255. Publication 1822. 2 pp. 5tf. 



Legislation 



Amending the Nationality Act of 1940 : 

S. Rept. 1664, 77th Cong., on H. R. 4167 [extending 
provisions for naturalization of certain alien vet- 
erans of the World War]. 2 pp. 
S. Rept. 1665, 77th Cong., on H. R. 6250 [to aid ma- 
terially the Government in national defense]. 
6 pp. 
Amending Subsection (C) of Section 19 of the Immi- 
gration Act of February 5, 1917, As Amended. S. 
Rept. 1666, 77th Cong., on H. R. 6450 [to permit the 
Attorney General to submit suspended deportation 
cases to the Congress more frequently than once a 
year]. 2 pp. 



Treaty Information 



POSTAL 
Universal Postal Convention, 1939 

French West Africa 

The American Consul at Dakar reported by 
a despatch dated August 25, 1942 that the Jour- 
nal Officiel de VAfrlque Occldentale Franqaise 
of August 22, 1942 published the Resolution of 
the Government General, No. 2799 A. P., of Au- 
gust 10, 1942. making effective in French West 
Africa the French Government's Decree No. 
1612, of June 1, 1942, promulgating the Uni- 
versal Postal Convention and subsidiary ar- 
rangements signed at Buenos Aires on May 23, 
1939. 

The agreements which became effective for 
French West Africa are the convention, the 
arrangement concerning letters and packages 
of declared value, the arrangement concern- 
ing parcel post, and the arrangement concern- 
ing postal money orders. 



U. S. GOVERNMENT PRINTING OFFICE: 1942 



For sale by the Superintendent of Documents, Washington, D. C. — Price 10 cents Subscription price, $2.75 a year 

PUBLISHBD WEEKLY WITH THB APPBOVAL OF THE DIBECTOE OP THE BtlBEAU OF THE BUDGET 



THE DEPARTMENT OF STATE 

BULLETIN 



NOVEMBER 7, 1942 
Vol. VII, No, 176— Publication 1832 







ontents 




The War ^^so 

American Military Operations in French North Africa: 

Statement by the White House 891 

Radio Message of President Roosevelt to the French 

People 891 

Free Movement of Persons, Property, and Informa- 
tion Into and Out of the United States: Message 
from the President to the Congress ......:.. 892 

Proclaimed List: Supplement 4 to Revision III ... 893 

Europe 

Twenty -fifth Anniversary of the Founding of the Soviet 

Union 893 

American Republics 
National Anniversary of Panama 894 

Cultural Relations 
Visit to the United States of Peruvian Historian . . . 894 

General 

Armistice Day Proclamation 895 

Award of the Decoration of the Legion of Merit . . . 895 

Contributions for Rehef 896 

The Department 

Committee on PoUtical Planning 896 

Treaty Information 

Commerce: Agreement Between Argentina and Spain . 897 
Judicial Decisions: North American Regional Broad- 
casting Agreement 897 

Regulations ^^^ 

Publications ^99 



df'Ef!|NTFNDENT-OF DOCUMENTI 

liUV 24 1942 



The War 



AMERICAN MILITARY OPERATIONS IN FRENCH NORTH AFRICA 

STATEMENT BY THE WHITE HOUSE 



[Released to the press by the White House November 7 J 

In Older to forostall an invasion of Africa by 
Germany anil Italy, which, if successful, would 
constitute a direct threat to America across the 
comparatively narrow sea from western Africa, 
a powerful American force equipped with ade- 
quate weapons of modern warfare and under 
American conmiand is today landing on the 
Mediterranean and Atlantic coasts of the 
French colonies in Africa. 

The landing of this American Army is being 
assisted by the British Navy and air forces 
and it will, in the immediate future, be rein- 
forced by a considerable number of divisions 
of the British Army. 

This combined allied force, under American 
command, in conjunction with the British cam- 
paign in Egypt is designed to prevent an oc- 
cupation by the Axis armies of any part of 
northern or western Africa and to deny to the 
aggressor nations a starting point from which 
to launch an attack against the Atlantic coast 
of the Americas. 



In addition, it provides an effective second- 
front assistance to our heroic allies in Russia. 

The French Government and the French 
people have been informed of the purpose of 
this expedition and have been assured that the 
allies seek no territory and have no intention 
of interfering with friendly French authorities 
in Africa. 

The Government of France and the people of 
France and the French possessions have been 
requested to cooperate with and assist the 
American expedition in its effoi-t to repel the 
German and Italian international criminals, 
and by so doing to liberate France and the 
French Empire from the Axis yoke. 

This expedition will develop into a major 
effort by the allied nations, and there is every 
expectation that it will be successful in re- 
pelling the planned German and Italian in- 
vasion of Africa and prove the first historic 
step to the liberation and restoration of France. 



RADIO MESSAGE OF PRESIDENT ROOSEVELT TO THE FRENCH PEOPLE 



[Released to the press by the White House November 7] 

In connection with current military oper- 
ations in French North Africa, President 
Roosevelt has broadcast by radio to the French 
people the following message in French: 

"My friends, who suffer day and night, under 
the crushing yoke of the Nazis, I speak to you 
as one who was with your Army and Navy in 

493112—12 



France in 1918. I have held all my life the 
deepest friendship for the French people — for 
the entire French people. I retain and cherish 
the friendship of hundreds of French people in 
France and outside of France. I know your 
farms, your villages, and your cities. I know 
your soldiers, professors, and workmen. I 
know what a precious heritage of the French 
people are your homes, your culture, and the 

891 



892 



DEPARTMENT OF STATE BULLETIN 



principles of democracy in France. I salute 
again and reiterate my faith in Liberty, Equal- 
ity, and Fraternity. No two nations exist 
which are more united by historic and mutually 
friendly ties than the people of France and the 
United States. 

"Americans, with the assistance of the 
United Nations, are striving for their own safe 
future as well as the restoration of the ideals, 
the liberties, and the democracy of all those 
who have lived under the Tricolor. 

"We come among you to repulse the cruel 
invaders who would remove forever your rights 
of self-government, your rights to religious 
freedom, and your rights to live your own lives 
in peace and security. 



"We come among you solely to defeat and 
rout your enemies. Have faith in our words. 
We do not want to cause you any harm. 

"We assure you that once the menace of 
Germany and Italy is removed from you, we 
shall quit your territory at once. 

"I am appealing to your realism, to your 
self-interest and national ideals. 

"Do not obstruct, I beg of you, this great 
jjurpose. 

"Help us where you are able, my friends, and 
we shall see again the glorious day when liberty 
and peace shall reign again on earth. 

"Vive la France eternelle !" 



FREE MOVEMENT OF PERSONS, PROPERTY, AND INFORMATION 
INTO AND OUT OF THE UNITED STATES 

MESSAGE FROM THE PRESIDENT TO THE CONGRESS 



[Released to the press by the White House November 2] 

To THE Congress of the United States : 

On December 23, 1941 1 approved a statement 
of war production policy for Canada and the 
United States,' which contained the following 
recommendation. 

"Legislative and administrative barriers, in- 
cluding tariffs, import duties, customs, and 
other regulations or restrictions of any char- 
acter which prohibit, prevent, delay, or other- 
wise impede the free flow of necessary muni- 
tions and war supplies between the two coun- 
tries should be suspended or otherwise elimi- 
nated for the duration of the war." 



^BuixETlN of Dec. 27, 1941, p. 578. 



The needs of the war effort have multiplied 
our demands for a maximum and integrated war 
production not only at home and in Canada but 
in every country of the United Nations. We 
must further take advantage of possibilities of 
procurement from every available source, for- 
eign or domestic. Speed and volume of war 
output have become more than ever before in 
our history the primary conditions of victory. 

To achieve an all-out war production effort, 
we must implement and supplement the steps 
already taken by the Congress and the President 
to eliminate those peacetime restrictions which 
limit our ability to make the fullest and quick- 
est use of the world's resources. At my direc- 



NOVEMBER 7, 104 2 



893 



(ion, tlu> (lovcriiiiicnt afii'iicics luivo alresuly le- 
movcd and are t'nga<;ed in iTniovinjj. wlu'ri-vt-r 
possible, numerous adniinistrative requirements 
anil formalities atTeetinj; (he movement of war 
poods, information, and persons into or out of 
the United States. There remain, however, 
many lejrislative obstacles to (hat movement 
which impede and delay our war production 
effort. 

These obstacles fall into two classes: Those 
directly affecting the movement to and from the 
customs territory of the United States of mate- 
■Hcl, information, and persons needed for the 
war effort, such as customs duties and the laws, 
and the administrative supervision required by 
law affecting movement of persons and prop- 
erty at our borders and ports; and those which 
impose limitations on the procurement, acqui- 
sition, or use of non-American articles or the 
transportation of supplies in non-American bot- 
toms, such as restrictions on the use, under 
construction differential subsidy contracts, of 
non-American materials in the construction of 
vessels under the ilerchant Marine Act of 1936, 
as amended ; on the procurement of any article 
of food or clothing not grown or produced in 
the United States or its possessions; on the ac- 
quisition for the public use, public buildings, 
or public works of non-American articles; or 
the transportation by sea of Navy supplies ex- 
cept in vessels of the United States. 

I have already exercised by E.xecutive order 
the power granted under the First War Powers 
Act to extend to the Government procurement 
agencies the authority granted to the Secretary 
of the Navy to make emergency purchases 
abroad of war materials and to enter them free 
of duty. This has measurably assisted our war 
effort, but it only partially eliminates the ob- 
stacles prescribed by law which I have already 
mentioned. 

I, therefore, recommend early enactment by 
the Congress of legislation to the extent re- 
quired for the effective prosecution of the war, 
the free movement of persons, property, and in- 
formation into and out of the United States. 



I do not now reconniiend that the Congress 
re[)eal or amend any of tiiese peacetime restric- 
tive laws. It is my judgment that the problem 
can best be dealt with by giving to (he President 
for the duration of (he war, but no longer, the 
power on a selective and flexible basis to sus- 
pend the operation of all or any such laws, in 
such a way as to meet new and perhaps unfore- 
seen problems as they may arise, and on such 
terms as will enable the Chief Executive and 
the Government agencies to work out in detail 
parallel action in other countries. 

Fr,\nkijn D Roosevelt 
The White House, 
November S, 194£. 

PROCLAIMED LIST: SUPPLEMENT 4 
TO REVISION m 

[Released to the press November 1] 

The Secretary of State, acting in conjunction 
with the Acting Secretary of the Treasury, the 
Attorney General, the Secretary of Commerce, 
the Board of Economic Warfare, and the Coor- 
dinator of Inter-American Affairs, on Novem- 
ber 1 issued Supplement 4 to Revision III of 
the Proclaimed List of Certain Blocked Na- 
tionals, promulgated August 10, 1942.^ 

Part I of this supplement contains 361 ad- 
ditional listings in the other American repub- 
lics and 29 deletions. Part II contains 127 
additional listings outside the American repub- 
lics and 12 deletions. 




TWENTY-FIFTH ANNIVERSARY OF THE 
FOUNDING OF THE SOVIET UNION 

[Released to the press November 7] 

The texts of messages transmitted by the 
President of the United States to His Excel- 



" 7 Federal Register 8845. 



493112- 



894 



DEPARTMENT OF STATE BXJLXETIN 



lency Mikhail Kalinin, President of the Presi- 
dium of the Supreme Soviet of the Union of 
Soviet Socialist Republics and by the Secretary 
of State to His Excellency V. M. Molototf, Vice 
President of the Council of People's Commis- 
sars and PeoiJle's Commissar for Foreign Af- 
fairs of the Union of Soviet Socialist Republics, 
on the occasion of the twenty-fifth anniversary 
of the founding of the Soviet Union, follow: 

"November 6, 1942. 

"On the occasion of this twenty-fifth anniver- 
sary of the establishment of the Soviet State, 
I convey to Your Excellency the congratula- 
tions of the Government and people of the 
United States. 

"For the second time in a generation, our two 
countries are in the forefront of a gathering of 
nations aligned against a common enemy. 
Collaboration in the mighty military task before 
us must be the prelude to collaboration in the 
mightier task of creating a world at peace. 

"The resistance of free jDeoples has made pos- 
sible the mounting power of the United Nations. 
The Russian Army and the Russian people in 
their continuing struggle against Nazi conquest 
today bear the brunt of tlie massed weight of 
the Nazi might and their incomparable heroism 
stands as a symbol of determination and unre- 
lenting effort. 

"Let Your Excellency rest assured that the 
steadily growing power of the United States 
has been, and will continue to be, dedicated to 
complete victoi-y. 

Franklin D Roosevelt" 



"November 6, 1942. 

"On the occasion of the twenty-fifth anniver- 
sary of the founding of the Soviet Republic, 
permit me to express to Your Excellency the 
sincere admiration of the Government and 
people of the United States for the heroism of 
the army and people of Russia in the face of the 
savage onslaught on your homeland by the 
forces of Nazi aggression. 

"In this stupendous .stnaggle for the preser- 
vation of human freedom, my country is reso- 
lutely gathering its might and is increasingly 



bringing it to bear against our common foe. I 
am confident that the combined efforts of your 
nation, of mine, and of all the United Nations 
will give us all complete victory, not only on 
the fields of battle, but also in the paths of the 
ensuing peace. 

CoRDELL Hull" 



American Republics 



NATIONAL ANNIVERSARY OF PANAMA 

[Released to the press November 3] 

The text of a telegram from the President of 
the United States to His Excellency Ricardo 
Adolfo de la Guardia, President of the Republic 
of Panama, upon the occasion of the anniver- 
sary of the independence of Panama, follows: 

"The White House, Novemher 3, 194^. 
"I offer to Your Excellency and through you 
to the people of Panama the sincere congratu- 
lations of the Government and people of the 
United States on this anniversary of the Inde- 
pendence of Panama. Since the celebration of 
this occasion a year ago our two countries as 
partners in the defense of a common cause, and 
of the nfew world, have taken significant and 
positive steps against enemies bent on the de- 
struction of our right to exist as free men. 
Upon sending these felicitations it is gratifying 
to contemplate the sincere friendship and cor- 
diality that characterize our cooperative efforts. 
Franklin D Roose\telt" 



Cultural Relations 



VISIT TO THE UNITED STATES 
OF PERUVIAN HISTORIAN 

[Released to the press November 3] 

Dr. Jose Uriel Garcia, professor of the history 
of Peru and the history of Peruvian art at the 
National University of Cuzco, arrived in Wash- 



NOVEMBER 7, 194 2 



895 



iiigton on November 3, at the invitation of the 
Department of State, for a two niontlis' tour in 
this country, wliicli will probably inchule lead- 
ing museums, libraries, anil manufacturing cen- 
tei-s in New York, Detroit, Chicago, and Pitts- 
burgh, and Indian reservations in the South- 
west. 



General 



ARMISTICE DAY PROCLAMATION 

The President has issued the following proc- 
lamation (no. 2570) regarding Armistice Day, 
1942: 

"The calm which settled over the Western 
Front at 11 a.m. on November 11, 1918, closed 
one phase of a world-wide struggle against 
lawless aggression and for the basic freedoms 
of mankind; and 

"The United States, in company with the 
United Nations, must once more champion the 
essential freedoms — freedom of speech, free- 
dom of worship, freedom from want and free- 
dom from fear' — on a world-wide battlefield; 
and 

"Faith can be kept with those who died in 
the first World War only by resolutely prose- 
cuting to final victorj"^ the great war in which 
we are now engaged, and by crowning that vic- 
tory with a peace which shall safeguard and 
extend these essential freedoms. 

"Whereas Senate Concurrent Kesolution 18 
of the Sixty-ninth Congress, passed June 4, 
1926 (44 Stat. 1982), requests the President of 
the United States to issue a proclamation for 
the observance of Armistice Day, November 11 : 

"Now. THEREFORE, I, FrAXKLIN D. RoOSE- 



'The "four freedoms" here referred to were first 
enumerated by President Roosevelt in an address de- 
livered before a joint session of the tvvo Houses of 
Congress on January 6, 1941 (H. Doc. 1, 77th Cong., 
1st sess.) 



VELT, President of the United States of Amer- 
ica, do hereby call upon the people of the 
United States to rededicate this Nation, on 
November 11, 1942, to the great task of winning 
this war and building a just peace in order that 
we and our children may live in a world made 
free to work toward human advancement; and 
I direct that the flag of the United States'be 
di.splaycd on all Government buildings on that 
day. 

"In WITNESS WHEREOF, I havc hereunto set 
my hand and caused the seal of the United 
States of America to be affixed. 

"Done at the City of Washington this 
seventh day of November in the year of our 
Lord nineteen hundred and forty-two, and of 
the Independence of the United States of 
America the one hundred and sixty-seventh." 



AWARD OF THE DECORATION OF THE 
LEGION OF MERIT 

On October 29, 1942 the President issued Ex- 
ecutive Order 9260 regarding the "Legion of 
Merit": 

"By virtue of and pursuant to the authority 
vested in me by section 2 of the act of July 20, 
1942 (Public Law 671 -77th Congress), I 
hereby prescribe the following rules and regu- 
lations for the award of the decoration of the 
'Legion of Merit' created by said act: 

"1. The decoration of the Legion of Merit 
shall be awarded by the President of the United 
States or at his direction to members of the 
armed forces of the United States and of the 
Government of the Commonwealth of the Phil- 
ippines, and members of the armed forces of 
friendly foreign nations, who, after the procla- 
mation of an emergency by the President on 
September 8, 1939, shall have distinguished 
themselves by exceptionally meritorious con- 
duct in the performance of outstanding services. 

"2. Awards of the decoration of the Legion 
of Merit may be proposed to the President by 
the Secretary of War and by the Secretary of 



896 



DEPAETMENT OF STATE BULLETEN 



the Navy, each acting upon the recommenda- 
tion of an officei- of the armed forces of the 
United States who has personal Ivnovrledge of 
the services of the person recommended. 

"3. Recommendations for awards to members 
of the armed forces of friendly foreign nations 
shall be submitted to the President of the 
United States for his approval." 

CONTRIBUTIONS FOR RELIEF 

On October 31, 1942 the President's War Re- 
lief Control Board issued to the press a tabula- 
tion of contributions collected and disbursed 
during the period September 6, 1939 through 
September 1942, as shown in the reports sub- 
mitted by persons and organizations registered 
with the Board for the solicitation and collec- 
tion of contributions to be used for relief in for- 
eign countries, in conformity with the regula- 
tions issued pursuant to section 3 (a) of the 
act of May 1, 1937 as made eflPective by the 
President's proclamations of September 5, 8, 
and 10, 1939, section 8 of the act of November 
4, 1939 as made effective by the President's 
proclamation of the same date, and Executive 
Order 9205 of July 25, 1942. 

The statistics set forth in the tabulation are 
incomplete as regards relief activities which a 
number of registered organizations have been 
carrying on in respect to non-belligerent coun- 
tries, for which registration has not heretofore 
been required. 

The American National Red Cross and cer- 
tain religious organizations are exempted from 
registration with the Board by section 3 of Ex- 
ecutive Order 9205, and the accounts of these 
organizations are not included in this tabula- 
tion. 

In addition to the foreign relief organiza- 
tions shown in this tabulation, a list of the or- 
ganizations which have been registered with the 
Board for domestic war relief and welfare ac- 
tivities is included in this release. 



Copies of this tabulation may be obtained 
from tlie President's War Relief Control 
Board, Washington Building, Washington, 
D.C. 



The Department 



COMMITTEE ON POLITICAL PLANNING 

On November 2, 1942 the Secretary of State 
issued the following Departmental order (no. 
1105) : 

"There is hereby created in the Department of 
State a Committee on Political Planning. 

"This Committee shall be composed of the 
four Political Advisers, the Adviser on Inter- 
national Economic Affairs and a representative 
of no less rank than an Assistant Chief of the 
following Divisions: Foreign Activity Corre- 
lation, Current Information and World Trade 
Intelligence. As occasion demands the chiefs 
of other divisions and such other officers of the 
Department as may be of assistance in connec- 
tion with any plans or studies under considera- 
tion by the Committee will be invited to partici- 
pate in the sessions of the Committee. 

"The Committee is charged with the work of 
developing and laying before the Secretary and 
the Under Secretary plans in the field of the 
Department's political activity. 

"Mr. James C. Dunn is hereby designated 
Chairman of the Conmiittee on Political Plan- 
ning. 

"Mr. Selden Cliapin is hereby appointed the 
Executive Secretary of the Committee on Politi- 
cal Planning. He will be provided with such 
assistance as may from time to time be required. 
Initially, he will be assigned one officer as 
Assistant Secretary of the Committee. 



NOVEMBER 7, 194 2 



897 



"The Executive Secretaiy, and in his absence 
the Assiistant Secretary of the Conmiittee, is 
authorized to call on each geographic division 
and upon the various technical divisions for 
such special studies as may be required for the 
use of the Committee. 

"The provisions of this Order shall be ef- 
fective on November 2, 1942, and shall super- 
sede the provisions of any existing Order in 
conflict tlierewith." 



Treaty Information 



COMMERCE 

Agreement Between Argentina and Spain 

The American Embassy at Madrid reported 
by a despatch dated October 1, 1942 that a com- 
mercial agreement between Argentina and 
Spain was signed at Buenos Aires on Septem- 
ber 5, 1942. 

According to information contained in an 
article in El Mundo, a weekly magazine pub- 
lished in Madrid, the agreement provides for 
the sale on ci'edit by the Argentine Government 
to the Spanish Government of stated amounts 
of wheat and tobacco. Argentina, providing 
its resources permit, will authorize the exporta- 
tion of mules, sugar, barley, tobacco, hides, tal- 
low, dried vegetables, casein and other milk 
products, quebracho, casings, asbestos, cotton, 
meat, and animal by-products, etc. Spain 
agrees to permit the exportation of the follow- 
ing goods to Argentina : Machinery in general, 
especially for textile and oil industries; agricul- 
tural products; refractory materials; chloride 
of potash; mercury; pharmaceutical products; 
olives; pimentos; sassafras; essential oils; 
liquors ; fine table wines ; books ; mineral waters ; 
etc. The Spanish Government also under- 



takes to con.struct and to deliver in Spain to the 
Argentine Government 2 merchant ships of 
9,000 tons each and to furnish Argentina 30,000 
tons of iron and steel, as well as to provide the 
means of transport for petroleum so far as avail- 
able tonnage permits. It is provided that 
Spain will be supplied with 10,000 tons of cot- 
ton in exchange for which the Spanish Govern- 
ment will guarantee the exportation to Argen- 
tina of bleached cotton sacking equal to two 
thirds of the cotton shipped plus one third in 
fijie cotton cloth. Spain will obtain in Argen- 
tina fine and coarse wool, and Argentina will 
permit importation into that country of the 
equivalent in fine woolen cloth. 

The agreement provides that a credit will be 
opened in the Central Bank of Buenos Aires in 
the name of the Spanish Institute of Foreign 
Exchange against which there will be debited 
the amounts corresponding to purchases made 
as well as Spain's debit balances from previous 
transactions. The Spanish Institute of For- 
eign Exchange will open a credit in Spain 
called "Argentine account", through which the 
remaining payments will be effected. 

JUDICIAL DECISIONS 

North American Regional Broadcasting 
Agreement 

On February 9, 1942 the United States Dis- 
trict Court, N.D. Texas, Dallas Division, 
rendered a decision in favor of the plaintiff in 
the case of King Features Syndicate, Inc., v. 
Valley Broadcasting Co. et al. The King 
Features Syndicate brought action against the 
Valley Broadcasting Company, Incorporated, 
and others for services furnislied under contract. 
The plaintiff declared that it obtained from the 
defendant a contract made on June 19, 1940, 
wherein certain broadcasting rights were 
granted to furnish news reports over Station 
XEAW, located at Reynosa, Mexico, which is 



898 



DEPARTMENT OF STATE BUI^LETIN 



near Hidalgo, Tex., for seven nights a week for 
a stated weekly payment. The contract was to 
continue for one year from date and was to re- 
new itself continuously for periods of five years 
unless either party notified the other at least six 
months before the beginning of the first renewal 
period, or any subsequent renewal periods, of 
its desire to terminate the agreement, in which 
event the agreement was to terminate at the 
beginning of the next renewal period which 
would have commenced thereafter. On Feb- 
ruary 18, 1941 the defendants, Collins and Col- 
lins, took over and assumed the Valley Broad- 
casting Company and so notified the plaintiff, 
who on February 20, 1941 agreed to such 
assumption. As a repudiation notice was given 
in July 1941 by the defendants, the plaintiff 
claimed that the defendants had thereby 
breached the conti-act as such declination was 
not made more than six months before Septem- 
ber 1, 1941, the date provided in the contract 
for a renewal of a five-year period unless a 
notice of renunciation was given six months be- 
fore that date. The plaintiff claimed an amount 
due for services furnished under the contract 
and also claimed an amount due under the doc- 
trine of anticipatory breach of contract. 

The defendants claimed that in Mai'ch 1941 
at Habana, Cuba, certain governments, includ- 
ing the Republic of Mexico and the United 
States of America, entered into a treaty (the 
North American Eegional Broadcasting Agree- 
ment, signed December 13, 1937, Treaty Series 
962) containing provisions which made it im- 
possible for the defendants to continue to op- 
erate station XEAW. They claimed that the 
treaty became operative in Mexico and the 
United States in June 1941, and that they were 
required to decrease their scope of broadcasting 
territory which required a change in their sta- 
tion's i^ower, and that they remove the station 
to a new location. The defendants claimed that 
the required changes were notified to the plain- 
tiff but it refused to forego any of its rights, as 



claimed by it, under the contract theretofore 
existing between it and the Valley Broadcasting 
Company and that in July the peremptory 
notice was given by the defendants, Collins and 
Collins. It was claimed by the defendants that 
since a ratified and valid treaty is binding upon 
not only the governments entering into it but 
upon the nationals of such governments, if the 
jDrovisions of the treaty are within the consti- 
tutional provisions of the government making 
it, the status of the defendants was thereby 
altered. They produced testimony to show that 
the changes in the dial and the station location 
resulted in a lesser territorial coverage and in 
the offering of state news by the plaintiff to the 
defendants. The defendants pleaded that in 
such a situation it would be improper to en- 
force against them the provisions of the original 
contract between the Valley Broadcasting Com- 
pany and the plaintiff. 

The Court held "(1) . . . that the treaty 
should be considered as a sufficient reason for 
the discontinuance of the service in the way that 
it was discontinued by the defendants, Collins 
and Collins. 

"(2) A treaty effective and binding upon the 
contracting parties binds the courts and af- 
fects contracts theretofore entered. Pollard's 
Heirs' Lessee v. Kihbe, 14 Pet. 353, 10 L.Ed. 490. 

"(3) Courts have no right to annul or dis- 
regard any of its provisions. Doe ex dem Glarh 
V. Braden, 16 How. 635, 14 L.Ed. 1090. They 
cannot dispense with any of its conditions or 
requirements upon any notion of equity, general 
convenience or substantial justice. United 
States V. Choctaw Nation, 179 U.S. 494, 21 S.Ct. 
149, 45 L.Ed. 291. 

"(4) Private rights which have suffered by 
reason of a treaty may be salved by the govern- 
ment which entered into the treat}', and which 
required the condition causing the injury. 
O'RciUy de Catnara v. Brooke, D.C. [N.Y.], 
136 F. 384. 



NOVEMBER 7, 194 2 



899 



"Decree slioulil go for the plaintiff for such 
nrrearages phis interest as are due up to Sep- 
tember 1, 1041, the date of the discontinuance of 
the service." 



Regulations 



Security of Ports mid the Control of Vessels in the Navi- 
gable Waters of the United States: Enemy Aliens 
[amendment defining term "enemy aliens" for pur- 
poses of this regnjlatlon], (Coast Guard, Depart- 
ment of the Navy.) Approved, October 27, 1942. 
7 Federal Uegister 8903. 



Publications 



Dep.uitment of State 

Principles Applying to Mutual Aid in the Pro.secution 
of the War Against Aggression : Preliminary Agree- 
ment Between the United States of America and 
Yugoslavia— Signed at Washington July 24, 1942; 
effective July 24. 1942. Executive Agreement Series 
263. Publication 1811. 4 pp. 50. 

The Proclaimed List of Certain Blocked Nationals, 
Supplement 4, October 30, 1942, to Revision III of 
August 10, 1942. Publication 1826. 21 pp. Free. 



0. S. GOVERNMENT PRINTING OFFICE: 1942 



rUBI.I.SHED WEEKLY WIIU THE APPROVAL OF THE DIUECTOE OF THE BDBEAU OF THE BODOET 

For sale by the Superintendent of Documents, Washington, D. C. — Price 10 cents - - - - Subscription price, |2.75 a year 



THE DEPARTMENT OF STATE 

BULLETIN 



NOVEMBER 14, 1942 
Vol. VII, No. 177— Publication 1834 







ontents 




The War Page 

United States Policy Toward the Vichy Government: 

Statement by the President 903 

Statements by the Secretary of State in Press Con- 
ferences 903 

American Military Operations in French North Africa: 

Messages of President Roosevelt to Officials of 

France, Portugal, Spain, Algeria, and Tunisia; 

and Replies 904 

Congratulatory Messages From Other American Re- 
publics 908 

Report on Shipments of Lend-Lease Equipment to 

Egypt 914 

Addresses by the Former American Ambassador to 
Japan: 
November 10, Before the Academy of Political 

Science 915 

November 14, Before the Chicago Council on For- 
eign Relations 919 

The Position of Italy: Address by Assistant Secretary 

Berle 925 

Proclaimed List: Revision IV 928 

American Republics 

Visits to the United States: 

President of Cuba 929 

President of Ecuador 929 

[over] 







g. 8. SUPERINTENDENT OF DOCUMl^Nt* 

DF.C 3 1942 



ontents-coNTiNimn 



Cultural Relations Page 

Visit to the United States of Mexican Scientist .... 929 

The Foreign Service 

Confirmations 929 

Treaty Information 

Commerce: Trade Agreement With Uruguay .... 929 
Cultural Relations: Agreement Between Spain and Ai'- 

gentina 930 

Industrial Property: 
Convention for the Protection of Industrial Property 

(Revised 1934) 930 

Arrangement Concernmg the Suppression of False 
Indications of Origin on Merchandise (Re- 
vised 1934) 930 

Arrangement Concerning the International Registra- 
tion of Trade Marlvs and Commercial Names 

(Revised 1934) 930 

Arrangement Concerning the International Deposit 
of Industrial Designs and Models (Revised 
1934) 931 

Publications 931 



The War 



UiMTED STATES POLICY TOWARD THE VICHY GOVERNMENT 

STATEMENT BY THE PRESIDENT 



[Reloa.sed to the press by the White House November 9] 

The ropreseiitative of tliis GoveiniiuMit al 
Vichy hn.s reported tlmt hi^t i-veiiino; M. Laval, 
Chief of tlie Uovenmieiit at Vichy, iiotiiied liiiu 
tliat diplomatic relations between Vichy and 
this Government had been severed. I regret 
this action on the part of M. Laval. 

He is evidently still speaking the language 
prescribed by Hitler. 

The Goveriunent of the United States can 
ilo nothing about this severance of relations on 
the part of the Vichy Government. 



Nevertheless, no act of Hitler, or of any of 
hi.s puppets, can sever relations between the 
American people and the people of France. 
We have not broken relations with the French. 
We never will. 

This Government will continue as heretofore 
to devote its thought, its sympathy, and its aid 
to the rescue of the forty -five million people of 
France from enslavement and from a perma- 
nent loss of their liberties and fi'ee institutions. 



STATEMENTS BY THE SECRETARY OF STATE IN PRESS CONFERENCES 



In response to questions by the newspaper 
correspondents at a press conference held on 
November 8, the Secretary of State said that the 
people who have been concerned about the 
Vichy i)olicy of the United States Government 
will now be able to see clearlj' and fully its 
entire content. He added that liberation of 
French Morocco bj' American military forces 
carries forward the various purposes and objec- 
tives of this Government in pursuing its policy 
toward Vichy. This policy, he said, has been 
directed toward the ultimate liberation of 
France from her German captors. The Ameri- 
can, British, and Canadian Governments have 
whole-heartedly favored and supported this 
policy, he added. 

The more important of those purposes, Secre- 
tary Hull pointed out, have been: (1) oppor- 
tunity for the Government of the United States 
to get from week to week highly important in- 



formation virtually from the inside of German- 
controlled territory and from North Africa 
regarding Axis subversive activities and other 
important phases of the international situation ; 

(2) the maintenance of close relations with the 
French people and encouragement of leadership 
in opposition to Hitlerism wherever it exists; 

(3) the keeping alive of the basic concepts of 
freedom of the French people, looking toward 
ultimate restoration of free institutions for 
France as they existed before the German oc- 
cupation; (4) the retention of the closest per- 
sonal touch on the ground with all phases of 
the French and German situation under the 
armistice prevailing between Germany and 
France; resistance to increased Gentian pres- 
sure on France to go beyond the armistice pro- 
visions and to collaborate with Germany ; con- 
stant effort to prevent delivei-y of the French 
fleet or any part of it into German military 

903 



904 



DEPARTMEAT OF STATE BULLETIN 



hands or to give military support to German 
arms; that also includes French bases all along 
the Mediterranean and the Atlantic coast ; and 
(5) last, but most important, paving the way 
and preparing the background, in the most ef- 
fective manner possible, for the planning and 
sending of the military expedition into the 
■western Mediterranean area, and assisting the 
movements supporting present British opera- 
tions farther east. 



The Secretary of State was asked, at his press 
conference on November 9, whether he would 
care to say whether he felt that the traditional 
friendship which had existed between the peo- 
ples of this country and France for so long 
would make it impossible for the Vichy Gov- 
ernment to turn the French people against us 
in view of the developments in North Africa. 



The Secretary permitted the press to quote 
him directly on the following statement : 

"The Vichy Government did all — reached its 
maximum stage by its plan and efforts to mis- 
lead the French people many months ago. The 
French people, I think, to the extent of not less 
than 95 percent understand fully that the Laval 
government at Vichy has been a most willing 
puppet of Hitler and Hitler agencies, with the 
result that instead of being influenced in that 
Hitler direction by the Laval government, they 
— the French people — will, on the contrary, be 
most grateful for our having come to the relief 
of French Africa, which is the first and prelimi- 
nary step in our plans, so far as I understand, 
to come to the relief of all enslaved peoples in 
Europe, including France proper. The French 
people will continue, I am sure, to be grateful 
to us for our policies and be wholly cooperative 
with us to the extent within their power." 



AMERICAN MILITARY OPERATIONS INIFRENCH NORTH AFRICA 

MESSAGES OF PRESIDENT ROOSEVELT TO OFFICIALS OF FRANCE, PORTUGAL, SPAIN 

ALGERIA, AND TUNISIA; AND REPLIES 



[Released to the press by the White House November 8] 

In connection with the current military 
operations in French North Africa, the Pi-esi- 
dent has sent the following message to the 
Chief of the French State, Marshal Henri 
Philippe Petain: 

"Marshal Petain : 

"I am sending this message to you as the Chef 
d'fitat of the United States to the Chef d'fitat 
of the Republic of France. 

"When your Government concluded the 
Armistice Convention in 1940, it was impossible 
for any of us to foresee the program of system- 
atic plunder which the German Reich would 
inflict on the French people. 

"That program, implemented by blackmail 
and robbery, has deprived the P^rench popula- 
tion of its means of subsistence, its savings ; it 
has paralyzed French industry and transport; 
it has looted French factories and French 



farms — all for the benefit of a Nazi Reich and 
a Fascist Italy under whose Governments no 
liberty loving nation could long exist. 

"As an old friend of France and the people 
of France, my anger and sympathy grows with 
every passing day when I consider the misery, 
the want, and the absence from their homes of 
the flower of French manhood. Germany has 
neglected no opportunity to demoralize and 
degrade your great nation. 

"Today, with greedy eyes on that Empire 
which France so laboriously constructed, Ger- 
many and Italy are proposing to invade and 
occupy French North Africa in order that they 
may execute their schemes of domination and 
conquest over the whole of that continent. 

"I know you will realize that such a conquest 
of Africa would not stop there but would be 
the prelude to further attempts bj' Germany and 
Italy to threaten the conquest of large portions 



NO'STIJIBER 14, 1942 

of the American Hemisphere, largo dominations 
over the Near and Mitklle East, and a joining 
of hands in the Far East Avith those military 
leaders of Japan who seek to dominate the whole 
of the Pacitic. 

"It is evident, of course, that an invasion and 
occupation of French North and West Africa 
would constitute for the United States and all 
of the American Republics the gravest kind of 
menace to their securitj- — just as it would sound 
the death knell of the French Empire. 

"In the light of all the evidence of our enemy's 
intentions and plans. I have, therefore, decided 
to dispatch to North Africa powerful American 
armccl forces to cooperate with the governing 
agencies of Algeria, Tunisia and Morocco in 
repelling this latest act in the long litany of 
German and Italian international crime. 

"These indomitable American forces are 
equipped with massive and adequate weapons of 
modern warfare which will be available for your 
compatriots in North Africa in our mutual fight 
against the common enemy. 

"I am making all of this clear to the French 
Authorities in North Africa, and I am calling 
on them for their cooperation in repelling Axis 
threats. My clear purpose is to support and 
aid the French Authorities and their adminis- 
trations. That is the immediate aim of these 
American armies. 

"I need not tell you that the ultimate and 
greater aim is the liberation of France and its 
Empire from the Axis yoke. In so doing we 
provide automatically for the security of the 
Americas. 

"I need not again affirm to you that the United 
States of America seeks no territories and re- 
members always the historic friendship and mu- 
tual aid which we have so greatly given to each 
other. 

''I send to you and, through you, to the people 
of France my deep hope and belief that we are 
all of us soon to enter into happier days. 

Fkankun D Roosevelt" 

[Released to the press by the White House November 8) 

In reply. Marshal Petain sent the following 
message to President Roosevelt : 



905 

"It is with stupor and sadness that I learned 
tonight of the aggression of your troops against 
North Africa. 

"I have read your message. You invoke pre- 
texts which nothing justifies. You attribute to 
j'our enemies intentions which have not ever 
been manifested in acts. I have always declared 
that we would defend our Empire if it were 
attacked; j'ou should know that we would de- 
fend it against any aggressor whoever he might 
be. You should know that I would keep my 
word. 

"In our misfortune I had, when requesting the 
armistice, protected our Empire and it is you 
who acting in the name of a country to which so 
many memories and ties bind us have taken 
such a cruel initiative. 

"France and her honor are at stake. 

"We are attacked; we shall defend ourselves; 
this is the order I am giving. 

Phujppe Petain" 

[Released to the press by the White House November 8] 

In connection with the current military 
operations in French North Africa, the Presi- 
dent has sent the following message to the 
President of the Republic of Portugal, General 
Antonio Oscar de Fragoso Carmona : 

"My Dear Mr. President: 

"The Republic of Portugal and the United 
States of America have long enjoyed the full 
and complete friendship of each other. Be- 
cause of this great friendship, and our mutual 
desire to insure its continuation, I desire to 
relate to you the urgent reasons that have com- 
pelled me to despatch to the assistance of the 
friendly French Possessions in North Africa a 
strong Army of the United States. 

"I have been advised by very reliable sources 
of information that in the near future it is the 
intention of Germany and Italy to occupy the 
French North African Colonies with a large 
military force. 

"I know that it will be quite clear to you that 
prompt and effective action should be taken to 
det€r such an attempt by the Axis Nations, with 
its inherent danger to the defenses of the West- 
ern Hemisphere. 



906 



DEPARTMENT OF STATE BULLETEN 



"To forestall occupation by the Axis Nations 
of the French North African Possessions and 
Protectorates, and thus to insure the defense of 
American Nations, is the only reason which 
prompts the despatch of powerful United 
States forces to the Area. It is hoped that 
French North Africa will not suffer in any way 
from the destruction of war on its own soil. 

"I desire to reassure you fully that the pres- 
ence of American Military Forces in French 
North Africa presages in no manner whatso- 
ever, a move against the people or Government 
of Portugal or against any of Portugal's Con- 
tinental or Island Possessions. Since I realize 
that Portugal really desires above all else to 
avoid the horrors and devastation of war, I 
hope that you will accept my solemn assurance 
that your Country should have no fear of the 
motives of the United Nations. 

"I am, my dear Mr. President, 
"Your sincere friend, 

Fbankun D Roosevelt" 

[Released to the press by the White House November 12] 

The President has received the following 
reply from the President of Portugal: 

"November 12, 1942. 
"Mr. President : 

"I received from the hands of His Excellency 
the United States Minister the message with 
which Your Excellency honored me, conveying 
to me the motives for the military operations 
undertaken in French North Africa. 

"In the same message it was Your Excel- 
lency's wish in view of that new fact again to 
assure me categorically that the presence of 
military American forces in the North of Af- 
rica do not forebode any attempt against the 
people and Government of Portugal or against 
Continental or Insular Portugal. 

"I do not wish to lose any time in thanking 
Your Excellency for the friendly tenor and 
spirit of your communication and further for 
the solemn assurances tliat my country has 
nothing to fear from the intentions of the 
United States, which is another proof of the 
unalterable and confident friendship existing 
between our two nations. 



"The Government and the people of Portu- 
gal learned with sincere appreciation of the 
contents of the message and join me in convey- 
ing to Your Excellency the thanks and the 
wishes I hereby express for Your Excellency's 
personal prosperities and those of your people. 
General Carmona 
President of the Republic of PortugdL'''' 

[Released to the press by the White House November 8] 

In connection with the current military 
opei-ations in French North Africa, the Presi- 
dent has sent the following message to the head 
of the Spanish State, General Francisco Franco 
y Bahamonde: 

"Dear Gexeral Franxo : 

"It is because your nation and mine are 
friends in the best sense of the word, and be- 
cause you and I are sincerely desirous of the 
continuation of that friendship for our mutual 
good that I want very simply to tell you of the 
compelling reasons that have forced me to send 
a ijowerful American military force to the 
assistance of the French possessions in North 
Africa. 

"We have accurate information to the effect 
(hat Germany and Italy intend at an early date 
to occupy with military force French North 
Africa. 

"With your wide military experience you will 
understand clearly that in the interest of the 
defense of both North America and South 
America it is essential that action be taken to 
prevent an Axis occupation of French Africa 
without delay. 

"To provide for America's defense I am 
sending a powerful Army to the French posses- 
sions and protectorates in North Africa with 
the sole purpose of preventing occupation by 
Germany and Italy, and with the hope that 
these areas will not be devastated b^^ the horrors 
of war. 

"I hope you will accept my full assurance 
tliat these moves are in no shape, manner, or 
form directed against the Government or peo- 
ple of Spain or Spanish territory, metropolitan 
or overseas. I believe that the Spanish Govern- 



NOVEArBER 14, 194 2 



907 



niiMit and the Spanish people wish to maintain 
neutrality and to remain outside the war. 
Spain has nothing to fear from the United 
Nations. 

■'I am. mj- dear General. 
"Yonr sincere friend, 

Franklin D Roosfvei.t" 



[Released to the press by the White House November 13] 

The following letter, addressed to the Presi- 
dent by General Franco, has been received : 

"Mt De.\r Mr. President: 

"I have received from the hands of your Am- 
bassador the letter in which, actuated by the 
relations of friendship which unite our peoples, 
and wliich in their benefit should be preserved, 
you explain to me the reasons which induced 
Your Excellency to send troops of the American 
Army to occupy the territories of the French 
possessions and protectorates in North Africa. 

"I accept with pleasure and I thank you for 
the assurances which Your Excellency offers the 
Government and the people of Spain to the effect 
that the measures adopted are not in any manner 
directed against their interests, or against their 
territories, metropolitan or overseas, or against 
the protectorate in Morocco, and I confidently 
hope that the relations among the Moroccan 
peoples of both zones likewise will in the future 
be maintained in the same spirit of peace and of 
reciprocal confidence which have characterized 
them up to now. 

"I can assure you that Spain knows the value 
of peace and sincerely desires peace for itself 
and for all other peoples. 

"On this occasion I am pleased to reciprocate 
the same friendly sentiments you expressed to 
me and to express my intention of avoiding 
anything which might disturb our relations in 
any of their aspects, and I reiterate with a salu- 
tation the expression of my personal esteem and 
sincere friendship." 

[Released to the press by the White House November 14] 

In connection with the current military oper- 
ations in French North Africa, the President 



has sent the following message to the Governor 
General of Algeria, Yves Charles Chatel: 

"Your Excellency: 
"The undeniable evidence which has come to 

me of the design of the Axis powers, exponents 
of brutality, force and aggression, to execute 
their program of domination and occupation of 
Algeria requires that you and I cooperate in the 
defense against the common enemy. 

"I have not been oblivious to the able resist- 
ance which you liave extended to the applica- 
tion to Algeria of the cruel terms of the Armis- 
tice of June, 1940, and your determination to 
defend the French Empire on which the cove- 
tous eyes of Germany and Italy are fastened. 

"The intention of the Axis to exploit French 
North Africa and detach it from France for the 
profit of the Central Powers undoubtedly is 
obvious to you. 

"Now that the insatiable Axis desire culmin- 
ates in an effort to seize French North Africa, I 
know that you will stoutly resist by every means 
at your disposal this latest manifestation of 
German and Italian cupidity and baseness. 

"Be assured that the powerful American 
forces, equipped with the deadliest instruments 
of modern warfare, which I am despatching 
will support you to the limit of their great re- 
sources to the end that the Axis may be driven 
from North Africa and the liberation of France 
and its Empire from despicable tyranny may 
begin. These American forces are determined 
like yourself that liberty and the dignity of man 
shall not jjerish from the earth. You know 
that those American forces have only one aim — 
which they will achieve — the destruction of our 
common enemies and that includes the libera- 
tion of France. 

"Lonjr Live France ! Long live the United 
States of America ! 
"Your friend, 

Franklin D. Roose\-elt" 



[Released to the press by the White House November 9] 

In connection with the current military op- 
erations in French North Africa, the President 
has sent the following messages to the Resident 



908 



DEPARTMENT OF STATE BULLETIN 



General at Tunis, Admiral Jean Pierre Esteva, 
and His Higlmess Sidi Moncef Pacha, Bey of 
Tunis, respectively: 

"YouK Excellency: 

"I take the liberty of requesting your good 
offices in the transmission to the addressee of 
the accompanjdng message of The President of 
the United States addressed to His Highness, 
Sidi Moncef Pacha, Bey of Tunis. 

"Your own loyal effoi'ts, my dear Admiral, 
since the tragic days of June, 1940, to stem the 
tide of Axis infiltration in North Africa and 
to retain for France and the Tunisian popula- 
tion some vestige of liberty and well-being are 
often in my thoughts. 

"Now that the insatiable designs of Germany 
and Italy in their mad drive for world domina- 
tion and oppression stretch out to encompass 
Tunisia in their onward march, I have deter- 
mined to support French and Tunisian resist- 
ance by the despatch to North Africa of power- 
ful American forces. These forces are equipped 
"with masses of the most deadly instruments of 
modem warfare and they are instructed to co- 
operate with friendly French officials and the 
Tunisian population looking to the early de- 
struction of our common enemy. 

"I know that I may count on your under- 
standing of American friendship for France 
and American determination to liberate the 
French Empire from the domination of its op- 
pressors. 

"Long live France ! Long live the United 
States of America ! 
"Your friend, 

FiLVNKLiN D Roosevelt" 



"Your Highness : 

"I liave not ignored the terrible predicament 
into which the brave Tunisian population has 
been thrown by the progress of the war. Your 
country, I know, is beset on all sides by dangers 
with wliich You, alas, are only too familiar. 
Your people are victimized by the organized 
rapacity of tlie Germans and Italians which has 
stripped the Tunisian population of the barest 
necessities of life, reducing it to nakedness and 
want. 

"Now I learn that those same Italian and 
German elements, not content with organized 
plunder, seek to occupy and completely domi- 
nate Your country, and to impose on your 
proud people a condition of misery to which, I 
am sure, they will never submit. 

"The indomitable and massive American 
armed forces which I am despatching to North 
Africa, in collaboration with the forces of 
France, will cooperate with you in the defense 
of your country. They have no other aim than 
the early destruction of our common enemies. 
They and their allies hope for the great priv- 
ilege of passage through Tunisia thus enabling 
them to accomplish their mission — the elimina- 
tion of the forces of evil from North Africa. 

"Your recent ascension to power and your 
expressed aspirations for the welfare of Your 
people in whom I have profound confidence 
permit no doubt of the speedy and favorable 
outcome of our joint measures of defense. 

"May God have Your Highness in His safe 
and holy keeping. 

"Your Good Friend, 

FrANKLIK D R00SE^'ELT?' 



CONGRATULATORY MESSAGES FROM OTHER AMERICAN REPUBLICS 



[Released to the press November 8-14) 

In connection with the American military 
operations in French North Africa, President 
Roosevelt has received telegrams of support and 
congratulation from officials and organizations 
in the other American republics. Translations 
of these messages, together with such replies as 
have been made to date, are printed below. 



Bolivia 

"La Paz, November 10, 19JtS. 
"I have the honor to declare to Your Excel- 
lency that the Govcnnnent and people of Bolivia 
interpret the military operation in French 
North Africa by armed contingents from the 
United States as a liberating action in favor of a 
France subjected to the yoke of the totalitarian 



NOVEMBER 14, 104 2 



909 



countries of the Axis, as a result of the present 
military conflict, the liberated territories being 
kept in safe-keeping as an expression of the 
respect which the territorial sovereignty of na- 
tions receive from the democracies. 

"Bolivia, like the other nations of this hemi- 
sphere, has owed to the springs of the French 
revolution its passion for the liberty and inde- 
pendence of the Republic and its democratic 
ci-edo which constitute the moral and juridical 
foundation on which the edifice of tliis nation 
rests. 

"Furthermore, the occupation of French Af- 
rica, from the military point of view, is trans- 
formed into a measure intended to protect our 
continent from attack and invasion. 

"Convinced that the great nation of Wash- 
ington has realized in this anxious historic hour 
an act of strict justice, in obedience to military 
necessity which could not be postponed, to the 
advantage of the continent and the cause of the 
deniQcracies, I have the honor to si'ud Your Ex- 
cellency my warm congratulations and my best 
wishes for the success of this noble undertaking, 
based on most worthy humane and international 
purposes, which will strengthen the faith we all 
have in the liberation of the world. I avail my- 
self of this opportunity to renew to Your Excel- 
lency the assurances of my highest and most 
distinguished consideration. 

General Pexabanda 
President of the Republic of Bolivia'^ 

Chile 

"Santiago, Chile. 
"Ambassador Bowers has just advised me of 
the reasons which Your Excellency's Govern- 
ment had for instituting acts of occupation in 
the French territories and possessions in North 
Africa as also the guarantees of territorial in- 
tegrity given to the peoples of France, Spain 
and Portugal, so closely bound to-our people 
by ties of history, friendship and culture. 
Convinced like Your Excellency that the opera- 
tions undertaken tend, furthermore and in a 
basic manner, to guarantee the security of this 
hemisphere, it gives me pleasure to declare to 

494298 — 42 2 



you that I duly appreciate those very high ends 
and that, for our part, we are continuing to 
increase the production of indispensable ma- 
terials and vigorously combatting all activity 
of subversive propaganda or espionage which 
might be prejudicial to fliis fraternal labor in 
which tlic American peolJle and tlieir illustrious 
President are engaged. I take this opportunity 
to renew to Your Excellency the assurances of 
my highest consideration and respect. 
Juan Antonio Rios 

President of Chile'^ 



"The WnrTE House, November H, 1942. 
"I am deeply appreciative of Your Excel- 
lency's message of wholehearted understanding 
of the military operations now in progress in 
North Africa. I was confident that the sig- 
nificance of this offensive not onl}' in relation 
to the liberation of France from the domination 
of the Nazis but also to (he security of the 
American Republics as a whole would be enthu- 
siastically appreciated by you and by the people 
of Chile. The vast operations in which we 
have now engaged and the even more difficult 
offensives of the future make the assurances of 
Chilean support profoundly welcome. In this 
moment in which the full support of free peo- 
ples everywhere is most urgently needed the 
news of increased and more effective coopera- 
tion by Chile for the security of this hemisphere 
is most heartening. I take advantage of this 
opportunity of renewing to you my sincere 
assurances of profound esteem and friendship. 
Franklin D. Roosevelt" 



"Santiago, Chile, 
"November 8, 1943. 
"In face of the deeply humane message in- 
spired in the most fundamental roots of the 
Latin civilization which you have just directed 
to the French people, we beg you to accept our 
homage of adhesion and gratitude, for what 
you and your people may be able to do for the 
survival of eternal Franco will redound to 
spiritual benefit of Latin America, which was 
stirred by your example so to constitute itself 
that the right, justice, and liberty would per- 



910 



DEPARTMENT OF STATE BTTLLETIN 



mit its progress on the road of the arts and 
sciences and its development within the fvill 
framework of democracy. 

Leonardo Guzman, ex-Minister of 
State, University Professor; 

Eduardo Cruz Coke, Senator, Uni- 
versity Professor; 

Marcial Mora, ex-Minister of State, 
President of the Union for Vic- 
tory; 

Benjamin Suberoaseaux, President of 
Pen Club; 

Kafael Luis Gumucio, ex-Senator; 

AxBERTO Romero, President of Intelli- 
gence Alliance; 

Pedro Leon Loyola, Professor of 
Philosophy ; 

Alfonso Leng, University Professor; 

Domingo Malfi, Director, daily La 
Nacion ; 

Francisco Walker, University Pro- 
fessor; 

Julio Ortiz de Zarate, President, Art- 
ists Federation of Plastics; 

Hector Orrego, University Professor; 

Domingo Santa Cruz, Dean of Fac- 
ulty of Fine Arts; 

Chaela Rates, Authoress; 

IsAURo Torres, Senator; 

Flora Yanez, Authoress; 

GuiLLERMO Feliu, University Pro- 
fessor; 

Miguel Luis Rocuaut ; 

Eduardo Frei, ex-Deputy; 

Bernardo Leighton, ex-Mimster of 
State; 

Ismael Edwards Matte, Writer; 

Carlos Contreras Labarca, Senator; 

Luis Melandez, Writer; 

Btron Gigoux, Director of Las Ulti- 
mas Noticias, 

Gustavo Giron, Senator, University 
Professor''^ 



which presages the liberty of oppressed peo- 
ples and assures the defense of the American 
continent. 

Gregorio Amunategui 

Guillermo Azocar 

Contreras Labarca 

Enrique Bravo 

Cruz Coke 

HuMBERTO Alvarez 

Marmaduke Grove 

Carlos Alberto Martinez 

IsAURO Torres 

Eliodoro Dominguez 

Ulises Correa 

Hernan Videla 

Hugo Grove 

Guillermo Guevara 

Ellas Lafferte 

Martinez Montt 

Enrique Eliodoro Guzman 

Amador Pairoa 

Gustavo Giron 

Anibal Cruzat" 



"Santiago, Noi'emher ]0, 191)2. 
"We, Senators of all political parties, con- 
gratulate you cordially on the African action, 



"November 8, 1942. 
"The French of Chile enthusiastically greet 
American intervention North Africa. They are 
sure this event proclaims approaching victory 
and liberation France. 

President, Fighting French'''' 

Colombia 

"Bogota, November 10, 191(2. 
"At this moment when the American forces 
are advancing along the coast of French North 
Africa I wish to join with the entire Colombian 
Nation and all the free peoples of the world in 
wishing complete success to that undertaking 
and to all subsequent actions which may directly 
or indirectly result therefrom. It would be 
difficult for me to express to Your Excellency 
the admiration which I personally feel for this 
political and military action by the United 
States. In my opinion it is unparalleled both 
in its purposes and in the manner in which your 
country is attaining them. As you have just 
explained to France on this occasion, the United 



NOVEMBER 14, 1942 



911 



States is not in this war to acquire territories; 
nor to conquer a colonial enijiire; nor to enrich 
itself with the spoils of conquered peoples ; nor 
is it motivated by the pnssions of a war of re- 
ligion, nor carried away hy the dark fanaticism 
aroused by racial rivalries, nor by any other of 
the causes for war tluit we have hitherto known, 
such as the ambition of despotic leaders or tlie 
clash of opposing national interests which can- 
not be rejiolved by peaceful means. But al- 
though the United States neither needs nor seeks 
material gain, and follows no policy of national 
expansion, and although all your fellow- 
countrymen know that the purposes for which 
they are participating in this war are the im- 
provement of conditions throughout the world 
rather tlian in the United States alone, your 
people with incomparable generosity are shed- 
ding their blood over the whole earth, and are 
giving to the whole world the entire output of 
that present effort of theirs which is an accimiu- 
lation of the creative energy displayed over a 
century of activity, and their hopes of future 
progress. American troops are now attempting 
the liberation of France, repaying for the second 
time, the debt of France's contribution to the 
independence of the United States and its 
democratic culture. But, further, your fellow- 
citizens, with a uniquely American concept of 
service to humanity, are seeing service in Aus- 
tralia, fighting on Guadalcanal, flying in 
China's air squadrons and over invaded Europe, 
camping in Liberia and in the African deserts. 
"All free countries, whether actual allies of 
the United States or others determined to resist 
Fascist oppression, are being supplied from the 
factories of America in a manner never known 
under tlie opprobrious regime of war-monger- 
ing arms dealers. In these acts the American 
people are sacrificing a prosperous, free, rich, 
happy and worthy life to maintain the prin- 
ciples of humanity, of Christianity, of political 
democracy and of future peace. If from the first 
World War there came after 1918 a revolution 
in social concepts that brought varying de- 
grees — all of them unportant — of benefit to the 
lower economic classes in different states, I be- 
lieve that from the victory of the United Na- 



tions we may hope, and I do confidently hope, 
for a revolution which will benefit, equally all 
social classes, all men everywhere, regardless of 
their race, their religion, their political convic- 
tions, their economic situation, their position in 
society. The United States is not sacrificing it- 
self in vain. When a rich and i)owerful nation, 
which envies no other, gives up all its present 
advantages to procure a better life for all the 
oppressed, conquered, humbled or fearful 
peoi^les, it should be able to obtain for this pur- 
pose the decided and unstinted cooperation of 
those peoples who share its ideals and are stirred 
with grateful emotion for the way in which the 
United States is determined to attain them. 
The offensive of the United Nations will still 
meet with difficulties and delays, but nothing. 
Your Excellency, can prevent the ultimate vic- 
tory. Such are my ardent wishes, and thus do I 
interpret the unanimous will of my fellow- 
countrymen. 

Alfonso Lopez 
President of Colombia!'' 

Cuba 

"Habana, November 9, 194£. 
"In the name of the Government and the 
people of Cuba I have the honor to make known 
to Your Excellency our warmest adherence to 
the movement begun by the army and navy 
of the United States in the French possessions 
in North Africa, both for the defense of those 
territories from the imminent aggression of the 
totalitarian powers and for starting the libera- 
tion of all the oppressed countries of Europe. 
This movement of yours places in relief once 
more the noble purpose which is followed by 
the international policy developed by Your Ex- 
cellency's Government in behalf of the proper 
democratic interests of unanimity in the present 
struggle. In sending to Your Excellency the 
statement of our adherence, we take the lib- 
erty of congratulating you on the gigantic ef- 
fort made, expressing our wishes for its 
complete success. 

Ftjlgencio Batista 
President of the Republic of Cuba'^ 



912 



DEPARTMENT OF STATE BULLETnST 



Dominican Republic 

"CiUDAD TiiUJiLLO, Novemher 9, 1943. 
"I experience deep satisfaction in expressing 
to Your Excellency the feelings of rejoicing and 
solidarity of the Dominican Government and 
people, and my own personally, on account of 
the important operations begun in Africa by 
the American forces, which constitutes a power- 
ful and encouraging effort in the struggle we 
are maintaining to base human liberty and dig- 
nity on immovable foundations. At this tran- 
scendental moment in the liberating crusade in 
which we are engaged I am glad to confirm to 
Your Excellency the fullest adherence of the 
Dominican people and Government and the 
assurance of their most firm cooperation to ob- 
tain the definitive victory for the ideals of lib- 
erty and justice which are supported by the 
United Nations. 

Rafael L. Trujillo 
President of the Dominican Republic'^ 

Ecuador 

"N0\-EMBER 10, 1942. 
"The action carried out by the American 
forces in North Africa gives particular satis- 
faction to the Ecuadoran Government and peo- 
ple. Besides being a notable triumph over the 
arms of the aggressor countries it meets a threat 
against the Western Hemisphere and gives to 
France and the Latin nations the assurance that 
once again the United States will pay the debt 
of gratitude which it contracted when the sword 
of Lafayette was drawn in the service of Amer- 
ican independence and liberty. In congratulat- 
ing Your Excellency for this great day, I stress 
the solidarity of which our firm collaboration 
is proof. 

C. Arroyo del Rio 
President of Ecuador''^ 

Guatemala 

"Guatemala, November 9, 1942. 
"The action of American arms in the terri- 
tories under French dominion is of extreme im- 
portance in these moments of the conflict. I 



consider that such action is that of the libera- 
tion of martyred France and that it is bound 
to merit tlie support of all the peoples and 
governments of America. Receive my warm 
congratulations. 

Jorge Ubico 
President of Guatemala'^ 

Haiti 

"Port-au-Prince, Haiti, 

''November 9, 1942. 
"Permit us on the occasion of the debarka- 
tion of the forces of the United States in North 
Africa to address to Your Excellency and to 
the people of the United States the expression of 
our admiration and our hearty congratulations 
on this titanic exploit. May the Government 
and the people of the United States be ever 
assured of the solidarity of the Government and 
of the people of Haiti. This morning we ad- 
dressed to the Haitian people and to the pop- 
ulations of French language of this continent 
a message explaining to them the real meaning 
of the magnificent and grandiose action which 
the valiant forces of the United States have 
just taken in Africa. 

Elie Lescot 
President of the Republic of Haiti^ 

Honduras 

"Tegucigalpa, Honduras, 

''November 10, 1942. 
"Renewing to Your Excellency the declara- 
tions of solidarity and cooperation of the Gov- 
ernment and people of Honduras in the present 
conflict, it is a great pleasure for me to express 
to you my congratulations on the brilliant action 
of the American forces in Africa, which will be a 
notable contribution to the final victory. 
"Sincerely, 

Tibukcio Caeias a." 

Nicaragua 

"Managua, Nicaragua, 

"November 8, 1942. 
"In the name of the people and Government of 
Nicaragua I cordially congratulate Your Excel- 



NOVEMBER 14, 1942 

lency on tlie opportune occupation of French 
North African territory in obedience to stra- 
tegic necessities for the liberation of France it- 
self and other nations subjected to Nazi bar- 
barism. Greatly cheered, I have on this date 
given statements to the press and broadcasting 
stations urging the noble French people to 
have, as I have, full confidence in the assurances 
which President Roosevelt has given regarding 
the ends and purposes of that military occupa- 
tion which gives new guaranties for our conti- 
nent and for the final triumph of free peoples. 
Sincere friend, 

A. SOMOZA 

President of Nicaragua^'' 

Panama 

''Panama City, Noveviher 9, 19^2. 
"In the name of the Government and people 
of Panama I express to Your Excellency the 
deep satisfaction felt by this allied nation over 
the transcendental and valorous step taken by 
the American forces to the end of accomplishing 
the liberation of a France oppressed by the totixl- 
itarian forces. Panama, which has been joined 
to the noble French nation by unforgettable 
historic ties; which recalls with gratitude 
French efforts in the construction of the inter- 
oceanic passage, and which has felt for that 
great nation the spiritual warmth which has 
always been inspired in all free peoples by 
France, defender of the rights of man and the 
noble postulates of liberty and justice, must 
feel in these moments intense gratification on 
seeing that the hour of her final liberation is ap- 
proaching. The Panamanian nation, which has 
faith in the high aims of the United Nations; 
which has seen how Your Excellency has always 
been faithful in the fulfillment of your promises 
to the peoples of America, and which, by the 
close contact which it has maintained with your 
powerful nation, is well actpiainted with the 
respect which your Government holds for the 
sovereignty and dignity of other nations, large 
or small, can reiterate to the French people the 
assurance that this action has no other aim than 
a noble desire to aid in the liberation of France 



913 

and lead to the definitive destruction of the 
forces of oppression which threaten the entire 
world with humiliation and vassalage. 

RlCARDO AUOLFO DE LA GUARDIA 

President of the Republic of Panama" 

Uruguay 

"Montevideo, Uruguay, 

''November 9, 194£. 
"Before the grave and decisive measures 
which the Government of Your Excellency has 
seen itself obliged to adopt toward certain ter- 
ritories of the African continent in safeguarding 
menaced right and justice, I wish to send to you 
the testimony of the intimate agreement with 
which the people and the Government of Uru- 
guay observe the development of these extraor- 
dinary events, both impressed with the high 
motives and noble aims which have guided Your 
Excellency from the day on which you decided 
that your country should join those which are 
fighting for the defense of civilization. The 
countries of America have always stood morally 
and politically with that of Your Excellency, 
esteeming that the union of the democracies 
represents in these trying times the salvation 
of the principles that constitute the raison 
d^etre of our peoples. France will rise again 
without doubt, powerful and strengthened by 
her imjust martyrdom, expanding in the future 
the ranks of the League of Nations that will 
found a new international world based upon 
justice and honor. I reiterate to Your Excel- 
lency the testimony of my highest consideration. 
Alfredo Baldomir 
President of the Oriental 
Republic of Uruguay''^ 

[Released to the press November 11-14] 

Translations of telegrams of support and con- 
gratulation which have been received by the 
Secretary of State, together with his reply to 
the Argentine Foreign Minister, follow: 

"NOVEMBFR 10, 1942. 
"The Ambassador of the United States has 
informed this chancelry of the military opera- 
tions initiated by your country in North Africa 



914 



DEPAETMENT OF STATE BULLETIN 



and the disinterested purposes which inspire its 
plan. The Argentinian Government and peo- 
ple follow with a common interest the eflforts 
of your great friendly nation to protect the 
security of America and they repeat on this 
occasion their faith in the high ideals of neigh- 
borly continental relations. Accept, Excel- 
lency, the assurances of my friendly and high 
consideration. 

Enrique Ruiz Guinazu 
Mhiister of Foreign Affairs'''' 

"November 14, 1942. 
"I wish to express my thanks for Your Excel- 
lency's message with reference to the action of 
American armed forces in North Africa. This 
Government is happy to receive from you an 
expression of interest on behalf of the people 
and Government of Argentina in the efforts 
of the United States to safeguard the secu- 
rity of the Western Hemisphere. With 
assurances of my high personal regard. 

CoRDELL Hull 
Secretary of Slate of the 
United States of America'" 



"ClUDAD TrUJIIXO, DOMINICAN REPUBLIC, 

''N ovemler 9, 19!^. 

"My Government, backed by the entire Do- 
minican people, expresses to Your Excellency its 
complete solidarity MJth the military action 
undertaken by the American forces in the 
French possessions in Africa. 

"On this most important occasion, we assure 
our noble and heroic allies of the complete con- 
fidence and absolute faith which we have in the 
unqualified triumph of the cause supported by 
the United Nations, which means : liberty, civili- 
zation and the destruction of the forces which 
throughout history have produced the greatest 
ills of humanity. 

Rafael L. Trujillo 
President of the Dominican Repvhlic''' 

[Released to the press November 14] 

The Secretary issued the following statement 
on November 14; 



"I have been greatly moved by the great num- 
ber of messages of support received by the 
United States Government this week from our 
good neighbors in the other Americas in regard 
to the United Nations offensive in Africa 
Telegrams of appreciation and pledges of co- 
operation have come from high officials and per- 
sons in all walks of life. It has been possible to 
acknowledge only a small portion of these mes- 
sages individually. Therefore I want to take 
this opportunity to express my own deep grati- 
tude and that of the United States Government 
for this impressive demonstration of support 
and encouragement from the friends who are 
united with us in the determination to preserve 
our American liberties." 

REPORT ON SHIPMENTS OF LEND-LEASE 
EQUIPMENT To EGYPT 

[Released to the press by the White House November 9] 

The magnificent British victory in Egypt was 
aided to an important extent by the operation of 
the Lend-Lease Act and is an outstanding ex- 
ample of combined use of American and Allied 
resources, the President said on November 9 in 
releasing a report on shipment of American 
equipment to Egypt made to him by the Lend- 
Lease Administrator, E. R. Stettinius, Jr. 

The report showed that total exports of Amer- 
ican munitions and other products to Egypt 
since the beginning of lend-lease (March 1941 
tiirough September 1942) amounted to $636,- 
952,000. This includes both lend-lease and di- 
rect purchase. By types of product the break- 
down is as follows : 

Ordnance $130, 058, 000 

Aircraft (not including flyaways). 164,149,000 

Tanks 88, 239, 000 

Motor vehicles 73, 113, 000 

Miscellaneous manufactures 74, 606, 000 

Agricultural products 33, 687, 000 

Industrial materials 73,100,000 

Total $636, 952, 000 

The great bulk of these shipments took place 
in the last nine months. During this period we 
shipped to Egypt over 1,000 planes, many hun- 
dreds of tanks, of which more than 500 were 



NOVEMBER 14, 1942 



915 



mediums, 20,000 (nicks, and hundreds of pieces 
of artillery. 

The President said : "While we must not over- 
look the fact that the larger part of the equip- 
ment used in Egypt is of British origin, we have 
a right to be proud that so much and such excel- 
lent equipment from American factories and 
shipyards contributed to the victory. In par- 
ticular we should be gratified by the perform- 
ance of American-made tanks. 

'"From the enuctment of the Lend-Lease Act 
this country has proceeded on the policy that in 



giving the tools of war to the nations fighting 
the Axis, we are aiding ourselves just as surely 
as if those tools were in the hands of American 
soldiers. Since we ourselves became involved 
in the war we have known that our own armed 
forces must also take part in the fight, but we 
have not swerved from our policy of the maxi- 
mum possible aid to our allies. 

"In the Egyptian campaign we can see the vin- 
dication of the lend-lease idea. We propose to 
continue to expand our lend-lease aid to all our 
allies until complete victory is achieved." 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN, NOVEMBER 10 ^ 



(Beleased to tbe press November 11] 

For more than ten years it was my responsi- 
bility to act as the representative of the United 
States in Tokyo. Throughout that time I was 
aware of the portentousness of American- 
Japanese relations. It is scarcely a confession 
for me to admit to you that this responsibility 
was the weightiest — and at the end the most 
sorrowful — which I have ever borne. Yet in 
coming before you tonight I feel that I am 
carrying out a mission even more urgent, even 
more weighty, than the one I undertook in 
Tokyo. In Japan I served as the representative 
of the American people and Government ; witli 
my colleagues in the world-wide system of the 
Foreign Service I sought to hold America's 
diplomatic front against the threat of crisis and 
war. But in coming before you tonight I carry 
no formal diploma. My mission is not to any 
one of you alone but to all of you. I am 
charged by my own knowledge of dangerous 
truth to put that truth before you. I can suc- 
ceed only if I make this truth plain to each of 
you. 

The truth I bring to you is simple. It is the 
story of the power of our enemies, the Japanese. 
I bring this story to you almost directly from 
Tokyo ; it is not so many months ago that I lived 

' Delivered by the Honorable Joseph C. Grew before 
the Academy of Political Science, New York, N.Y., 
Nov. 10, 1942. 



in the midst of our enemies, that I beheld their 
power, and saw the "glory" which they thought 
their weapons had achieved. Even in coming 
back to America I saw further evidences of the 
terrible power and successful criminality of 
Japan. I saw one of the world's greatest naval 
bases — Shonanko on Shonanto. A huge city 
fed the commercial and war fleets. of victorious 
Japan. Rubber and oil were plentiful — for 
Japan. Out of sight, but known to be there, 
huge shipyards and drydocks worked for 
Japan. A cosmopolitan population, vast in 
number and including thousands and thousands 
of English-speaking prisoners, worked in 
bondage for Japan. That was Shonan, which is 
the Japanese phrase for southern glory. Not 
so long ago we knew it as Singapore. 

We cannot and must not deceive ourselves 
about the war in the Pacific. Japan launched 
the northwestern and far-western Pacific cam- 
paigns. These were a war in themselves, and 
Japan has temporarily won that particular war. 
Japan has beaten us in the Philippines — and 
our allies in neighboring areas — as she has never 
beat the Chinese in China. Wliat we now face 
is a long, slow recovery of our own losses — only 
ultimately the attack on the enemy's own cities 
and bases — if we do not realize the magnitude 
of the task and equip ourselves for it. We re- 
joice at each victory of our armed forces in the 
Solomons, forgetting that a few months ago the 
Solomons were uncontested British territory. 



916 

We must remember that each victory won today 
is only a stepping-stone in the rolling back of 
Japan's advances. 

Let me tell you why Japan succeeded. Let 
me present the case to you forthrightly and 
simply. To you, I am no representative of a 
foreign power, pleading for the recognition of 
a cause. I am your own former ambassador 
from Tokyo, and I plead for nothing but the 
truth. This truth can be put in three sen- 
tences : 

Japan temporarily won the struggle for the 
western Pacific because Japan was immensely 
strong — physically strong, technically strong, 
militarily strong, and, most of all, psycholog- 
ically strong. 

Japan — the Empire of Nippon — was strong 
when the war started ; but the new Japan — the 
gi-eat slave empire of the "Greater East Asia" — 
is today potentially the strongest power in the 
world. 

Japan can be beaten ; but Japan can be beaten 
only by physical and moral strength equal to 
or greater than her own, and that strength can 
be supplied only by the all-out effort of all 
Americans. 

There you have it. These three sentences are 
all I have to tell. Some of you may see the 
picture, the whole picture, now. Others may 
prefer that I follow out, in general terms at 
least, the implications of these statements. 

First, Japan is strong. Japan is not a little 
country. The Japanese are not a little peo- 
ple, except in stature, and they more than com- 
pensate for stature by vigor and skill. There 
are more Japanese than there are Englishmen 
or Frenchmen or Italians. Japan is about as 
populous as the German Reich, and each single 
Japanese is a part of an effective war machine. 
Man for man, nation for nation, Japan measures 
up to the highest standards of organized power 
in the modern world. 

Japan is civilized, in her own way. This 
civilization is deep and beautiful, but its cul- 
ture has a streak of brutality and subservience 
in it which makes Japanese ideals alien to ours 
or to the ideals of the Chinese or any other of 
her neighbors. Japan was well-ordered and 



DEPARTMENT OP STATE BtTLLETm 

metropolitan when New York, in our infant 
Republic, was a small commercial port and 
Washington a scattered village in the thickets 
along the Potomac. At that time the Emperor 
Napoleon never saw — perhaps never knew 
about — the largest city in the world he sought 
to conquer. That city was not his Paris, nor 
the London he sought to conquer, nor the Mos- 
cow where he met nemesis; that largest city 
was Yedo, which we know as Tokyo, where a 
vast dictatorship held a great urban culture 
under absolute and unrelenting control. Out 
of this old, big, rich, strange civilization, there 
emerged the power and brutality of modern 
Japan. It was no miracle that Japan adopted 
our machinery and our weapons so rapidly: 
Japanese civilization did it — despotic, sophis- 
ticated, military civilization. 

Japan is unified and pervasively governed. 
The Japanese live by their own rules. They 
swept ahead of Asia by the dictates of their 
rulers. They were accustomed to authoritarian, 
totalitarian government from the ages of their 
past growth. When Hitler was a maladjusted, 
unhappy student, and Mussolini an ardent 
young radical, the Japanese military leaders 
were men of foresight and ruthlessly cold 
vision. They already had an obedient, faithful 
people at their command — a people who believed 
in the rule of the warrior, in the w/ifreedom of 
the common man, in the superiority of the 
Japanese race to all others, and in the absolute 
incontrovertible rightness of what their gov- 
ernment did. Japanese democracy never went 
behind these assumptions; Japanese freedom 
never included the freedom to challenge the Ko- 
kutai — literally, the national bodj' — of the Em- 
pire of Japan. Hitler fought the German 
people first, with the stormtroopers and the SS., 
before he captured the German state and the 
German Wehrmacht as instruments of renewed 
attacks on free men; but the Japanese leaders 
never faced an effective opposition. They in- 
herited their power from the dictatorial, mili- 
tary past of Japan ; when the hour came for 
them to bid for wider power, perhaps for world 
dominion, they stepped smoothly into tlieir 
inheritance. Today we probably have spiritual 
allies among the German people; we have few 



NOVEMBER 14, 194 2 

among the Japanese. Whatever they may have 
believed, the Japanese totlay support their gov- 
ernment. That is the difference between the 
raw, new authoritarianism of Hitler and the old, 
suave authoritarianism of Japan. Germany 
will stand just so much and will then collapse 
from within; the Japanese will stop fighting 
only when the last platoon of infantry and the 
last torpedo-boat crew on the water have no 
further hope. It is my considered opinion — 
and in the course of two wars I have seen each 
at first hand— that as soldiers the Japanese are 
definitely superior to the Germans. 

Civilized, unified, military, Japan is also up 
to date. In the big cities of Japan skyscrapers 
floated on pools of sand, ingeniously built to 
withstand the concussion of earthquake. The 
streets are asphalted and clean. Busses and 
sti-eetcars run regularly and well. Private 
homes are cheaply built but simple and tasteful ; 
the Japanese find them comfortable, and if one 
burns down it costs a fraction of the cost of an 
equivalent American home to replace. The 
Japanese have extracted the best of their old 
thrift and the best of modern industrialism. 
They combine them. In the shadow of long- 
range electric power lines, the common peasants 
follow an intensive agriculture which keeps the 
home empire blockade-proof and self-suflBcient. 
In the modem factories, which produce at 
speeds and standards equaling our own, the 
labor force lives by the old Japanese scale and 
makes possible the price competition which we 
all knew before the war. This up-to-dateness 
of Japan, economically as well as psychologi- 
cally, depends on the traditional Japan. The 
Japanese soldier or sailor who lives and fights 
like a Spartan is not undergoing privation; he 
has been a Spartan from birth. Just because a 
Japanese operates a battleship, a machine lathe, 
a modern locomotive, or a combat plane, he does 
not become un-Japanese; he is still a tough, 
simply satisfied man who believes in obedience 
and who is used to hard living because he has 
known no other. To call a Japanese worker or 
soldier a "coolie" is to forget the most dangerous 
thing about him : the fact that he, no less than 
you or I, is a man of the twentieth century and 



917 

can fight, perhaps beat us at some of our own 
games and with some of our own weapons. 

Such is the home empire of Nippon. I do not 
have time to tell you of the internal sea com- 
munications which make of the Japanese Em- 
pire an immense, immobile, and unmovable 
fleet — a fleet larger than the mind of man has 
ever dreamed of building — anchored forever 
close to the coast of Asia. Islands are unsink- 
able aircraft carriers, and Japan is all islands. 
Beyond this, I wish there were time to tell you 
of the newly built, up-to-date Japanese mer- 
chant marine, of the efficient navy, the huge 
army, the indispensable factories working at 
full time, the diversity and richness of the re- 
sources of Japan. You have known that these 
things were there; remember it now, keep it in 
mind, and consider with me what Japan has 
added. 

To the home empire which I have described, 
Japan has added immense possessions in three 
wars of conquest : the war with China in 1895, 
the war with Russia in 1905, and the present 
war, which began in Manchuria in 1931. Japan 
has taken Korea, China's Manchurian provinces, 
the grain lands and coal and iron of north 
China, the dairy land of imier Mongolia, the 
coast and main rivers of most of China, with 
the biggest cities of China; Japan has taken 
Formosa and Hainan, Indochina and Thailand, 
Burma and British Malaya, the vast empire of 
the Netherlands Indies, our daughter democ- 
racy of the Philippines, some of the British, 
Portuguese, and Australian islands of the south- 
west Pacific, and the strategic Andamans in the 
Bay of Bengal. Militarily and navally, this 
new and greater empire depends on internal 
communications, which — in simple language — 
means that we have to go the long way around 
while they work the short way through. To 
contain and roll back such an empire, the en- 
circling forces cannot be merely equal; they 
must be superior, and be superior in geometric, 
not arithmetical, ratio. Economically — mark 
this, for here is the very essence of danger — 
economically, the so-called "Greater East Asia" 
contains everything, absolutely everything, 
which a great power needs. Grain, meat, fish, 



918 



DEPAHTMENT OF STATE BULLETIN 



fruits, tobacco, palms for oil, sugar, rubber, oil, 
coal, iron, electric power, labor skilled and un- 
skilled — all of this is there. The strong Japan 
which has defeated us and our allies momentar- 
ily in the Far East has become "Japanese East 
Asia". If Japan could defeat indomitable 
China, organize her present holdings, consoli- 
date her position, Japan — not Germany, not 
Britain, not Russia, not ourselves — Japan could 
become the strongest power in the world. 

The Japanese need only one thing: time. 
They must try to correct their own political 
mistakes and military offenses. They must try 
to browbeat or cajole the peoples whose lands 
they have occupied. They must get the ma- 
chinery, technical and financial, of exploitation 
going at full blast. Japan is entrenching her- 
self in this empire of her conquests so rapidly 
that days are our most precious possessions in 
the war. To lose a day is as bad as losing a 
ship. We cannot wait. We cannot be lei- 
surely. We cannot afford debate, or disunity, 
or indecision. Japan is getting stronger every 
hour, and this new Japan is not merely our 
equal ; the new Japan is potentially our military 
superior. If we fight there, soon, and hard, we 
shall not liave to fight here, later on, and with 
heavy handicap. 

Do yon not see the second of the truths I have 
stated : the fact that this new Japan, conceived 
in the invasion of China and born in the con- 
quests of 1942, is a new, terrible power not known 
before in the world? We cannot let this slave 
empire become entrenched ! I am sure that you 
cannot fail to see this. 

As Americans, we can see the third truth in 
our own hearts. We know that there cannot 
be the slightest doubt of our own victory; but 
we must all see and imderstand that the task 
is a heavy one. China, the largest and most 
patient nation in the world, has stopped the 
thrust of Japanese invasion with the living 
bodies of her young men — indeed of men, 
women, and children; she has built a new and 
unforgettable Great Wall with the heroic Chi- 
nese dead, who have died to protect free men 
in China and everywhere. But China has done 
her share, and more ; China alone cannot defeat 
Japan. We must weight and tip the scales to 



victory. We cannot accept an armistice or 
stalemate, for the hours are with Japan, not 
with us. If we do not fight at our very hard- 
est, and fight now, the period of our blood, 
sweat, and tears may be indefinitely and un- 
necessarily prolonged. We caimot pause, or 
hesitate, or kill time — "as if you could kill time 
without injuring eternity !" 

The Japanese are counting on our not being 
prepared to make great sacrifices. They have 
put great store in what they think to be our 
softness. They look upon us as constitutional 
weaklings, demanding our daily comforts and 
unwilling to make the sacrifices demanded for 
victory. The Japanese attach great importance 
to what they thought was our disunity over the 
war issue, and they count on us to delay before 
we develop a fighting spirit. That delay, they 
feel, will give them time to obtain complete con- 
trol of all east Asia. When they struck, they 
made no provision for failure ; they left no road 
open for retreat. Japan is counting on you — 
on each of us, one by one — to hold back and de- 
lay the American war effort long enough for 
Japan to consolidate her potential invincibility. 
Japan needs and relies upon your hesitation, or 
partial effort, or doubt. It is up to you and me 
to see that Japan does not get this. 

If we act soon, we can strengthen our Chinese 
ally. We can. as Mr. Forrestal recently 
pointed out, continue to protect Russia's Asiatic 
flank by holding Japan's forces in the Pacific. 
We can restore hope and can carry the four 
freedoms to all the peoples now enslaved by 
Japan. If we fight and give aid now, we shall 
still have allies in Asia, bases in Asia, and an 
enemy not yet wholly prepared. Any ad- 
vantages of delay today can be purchased only 
at one price: larger numbers of deaths of our 
own soldiers and our allies' today and tomorrow. 
We can buy additional hours for leisurely 
pi'eparation with additional lives of our young 
men. We could buy peace onlj^ with our na- 
tional honor and our own security. None of us 
wants to do this. 

We must, therefore, be prepared to go for- 
ward against Japan with a full realization of 
the nature of our task and the gravity of our 



NOVEMBER 14, 1042 

responsibility. Every adult in the United 
States, even every child that can walk and speak, 
can help in some way to promote the war effort. 
The troops are only the fiphting front of the 
army which is .America. We are all enlisted — 
of necessity — in this war for freedom. In this 
battle we can do no better than to recall and to 



919 

make our own resolve in the words of an Ameri- 
can soldier, Martin Treptow, who fell at Cha- 
teau Thierry. He wrote in his diary: 

''I will work; I will save; I will sacrifice; I 
will endure; I will fight cheerfully and do my 
utmost; as if the whole struggle depended on 
me alone." 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN, NOVEMBER 14 ' 



(Released to tbe press November 14] 

It is necessary that we now assess, coolly and 
impassively, the events of the past 90 years in 
the Pacific — the 90 yeai-s that have elapsed 
since Commmlore Perry concluded with Japan 
the treaty which opened the way for the subse- 
quent admi>sion of Japan into the family of 
nations. 

We are today being given di-eadful evidence 
that the process of Japan's emergence from 
three centuries of isolation and of her assimila- 
tion into the family of nations is far from com- 
plete. Except for brief contacts at widely- 
spaced intervals — ^the introduction into Japan 
of Chinese learning and arts in the seventh and 
twelfth centuries and the propagation of 
Roman Catholicism by Portuguese and Spanish 
priests in tlu' sixteenth and seventeenth cen- 
turies — Japan had, for geographic and other 
reasons, been in virtual isolation since the very 
beginning of her history. Her civilization and 
culture had evolved, therefore, in a wholly self- 
contained environment. She had contributed 
nothing to the world at large and, notwith- 
standing superficial evidence to the contrary, 
she had remained, politically, socially, and in- 
tellectually, impervious to spasmodic foreign in- 
fluences. Her polity, then as now, was tribal 
in character. As a nation the Japanese pos- 
sessed the virtues of a tribal community : homo- 
geneity and subordination of the individual to 
the community ; but they also possessed the de- 
fects and weaknesses of a primitive community : 

' Delivered by the Honorable Joseph C. Grew before 
the Chicago Council on Foreign Relations, Chicago, 
111., Nov. 14, 1942, and broadcast over the red network 
of the National Broadcasting Company. 



they revered the tribal sanctions and feared 
change. They had relentlessly suppressed any 
attempt to apply reason to the persistent prob- 
lems of man, the understanding of them and 
the effort to resolve them constituting his chief 
warrant for claim to superiority over other 
animals. 

The position in the western Pacific during 
the early 1850's was one which the Japanese 
were studying with great uneasiness. The ac- 
tivities in the north by Russia gave progres- 
sively persistent notice of the restlessness of a 
vigorous continental people and of their gradual 
but inexorable movement southward along the 
eastern littoral of Asia. British influence, on 
the other hand, was steadily being extended 
northward from Malaya and along the China 
coast, with indications that the British were 
giving profound attention to the economic po- 
tentialities of Japan as well as of China. Euro- 
pean influences, which were fated shortly to 
conflict with each other, appeared to be moving 
toward each other along the coast of Asia; con- 
ceivably they might meet in Japan, which might 
well become an arena for the quarrels of Euro- 
pean powers. 

Although the American Government was cog- 
nizant of the trend of these movements in the 
Pacific, its purpose in sending Commodore 
Perry to Japan in 1853 was primarily to ameli- 
orate conditions which grew out of the growing 
commerce of the United States with China and 
the presence of a large number of American 
whaling ships off the coiist of Japan. The ad- 
vent in the China trade of steamships, with their 
limited capacity to carry coal, created insistent 
need for at least one coaling station intermediate 



920 



DEPARTMENT OF STATE BULLETIN 



between the Pacific coast of America and China. 
Further, American vessels had been shipwrecked 
in Japanese waters and American seamen, it will 
be recalled, had been treated with inconceivable 
brutality. A third consideration was the need 
for establishing depots in Japan from which 
American whaling ships could restock them- 
selves and thus obviate the need to make the 
long haul to Honolulu and back whenever they 
ran short of supplies. 

After incredible obstacles and diflSculties, 
Commodore Perry succeeded, on March 31, 1854, 
in concluding with the Japanese a treaty which, 
although limited in scope, met the immediate 
needs of the moment. However, it contained 
one feature the importance of which the Japa- 
nese had not foreseen, and that was the assent 
of the Japanese to the stationing in Japan of an 
American consular officer. It was in the exer- 
cise of that treaty provision that the United 
States dispatched to Japan in 1856 its first dip- 
lomatic representative, Townsend Harris. 

The selection of Harris for the post was an 
extraordinarily happy one. He had spent many 
years in the Orient as a merchant; he had ac- 
quired a familiar knowledge of Japan and of the 
Japanese, of their form of government, of their 
customs, and of their characteristics; and he 
had dedicated himself to the task of helping the 
Japanese to prevent the extension to Japan of 
exploitative practices pursued by the white man 
in his dealings with the backward peoples of the 
East. Harris also was keenly aware of the pos- 
sibility of Japan's becoming a battleground for 
comjjetitive European influences. So long as Ja- 
pan remained in seclusion, with her doors shut 
to foreign intercourse of any kind, she was not 
entitled to the privileges which membership in 
the family of nations would confer; and it was 
Harris' aim to induct Japan into the family of 
nations under the most favorable auspices. He 
prepared and, after intolerable delays and in- 
dignities imposed upon him by the Japanese, 
presented to the Japanese Goverinnent a Treaty 
of Commerce and Navigation of the most liberal 
character possible. He told the Japanese that, 
this being their first treaty of commerce and 
navigation, they would be well advised to ac- 



cept it as he had prepared it, so that when other 
nations sought special privileges in Japan it 
would be in order for the Japanese to say to 
such nations that what was good enough for the 
United States was good enough for them. It 
took Harris two years of patient and tactful 
negotiation before his treaty was signed. But 
this American did far more than negotiate a 
treaty. He educated the Japanese officials in 
the ways of diplomacj', international law, eco- 
nomics, and commerce. He provided Japan 
with the information which she needed to merge 
into the world. He answered innumerable ques- 
tions on every conceivable subject: on social 
customs of the Occident, mechanics, contem- 
porary science. He taught the principles of cur- 
rency and exchange. A Japanese, Dr. Inazo 
Nitobe, wrote of him : "A man of stern rectitude 
and gentlest powers of persuasion, he, indeed, 
more than any other, deserves the epithet of 
benefactor: because in all lais dealing with us, 
the weaker party, he never took advantage of 
our ignorance, but formulated a treaty with the 
strictest sense of justice." 

I have spoken at some length of America's 
first representatives to Japan because, in what I 
shall have to say about Japan's conduct as an 
international power responsible to the laws of 
nations, it might otherwise appear that the 
United States, as the government responsible 
for the opening of Japan to the world, had 
somehow failed to exemplify the conduct we 
expect in the field of international relations. 
We can look with pride upon a record of recti- 
tude and honest dealing and the absence of im- 
perialistic design.^ 

Now what about Japan's own record in the 
field of international relations? How has she 
reciprocated the treatment she has received at 
our hands ever since the time of Townsend 
Harris ? 

Let us look at the record. 

First take the case of Korea. Thirteen hun- 
dred and more years ago the Japanese lost a 



' The foregoing is based upon material In the manu- 
script of a book in preparation by a member of my 
staff at the former American Embassy in Tokyo. 
[Author's note.] 



NOVEMBER 14, 194 2 



921 



long-held dominion which they possessed at the 
tip of Korea. The ft)rmidable fleets and ainiies 
of a resurgent China drove Japan, with Korean 
help, out of tlie peninsula ; and from the seventh 
century after Christ to the sixteenth, the Japa- 
nese minded the lesson they had been taught 
by force. At the end of the sixteenth century 
the Japanese military dictator, Hideyoshi, 
launched a grandiose attack on Korea. He 
himself declared this to be the first step in the 
conquest of Asia, and he sent insulting letters 
to the Ming court of China and to the Spanish 
authorities in the Philippines. He announced 
that with his forces he would roll China up like 
a mat and would ultimately proceed against 
India. But the Chinese Throne sent armies to 
Korea to help the Koreans; the Japanese, after 
committing fearful depredations, werei stopped ; 
and the imperial ambitions of Japan proved 
unavailing before the popular resistance of the 
Koreans and the limitless patience of the Chi- 
nese Army. 

After the reopening of Japan by Perry, ambi- 
tions of Japan on the continent, which had been 
dormant since the time of Hideyoshi, began 
again to assert themselves. China maintained 
over Korea a shadowy suzerainty, which had 
little significance beyond the tribute paid pe- 
riodically by the King of Korea to the Em- 
peror of China. That suzerainty was more a 
manifestation of the cultural sentimentalities 
between the two countries than it was a defini- 
tive political relationship. The Japanese strove, 
wholly against the wishes of the Koreans, to 
break that bond. They provoked incidents. 
They went to war against China in 1894 and 
1895 and wrung from a defeated China the sol- 
emn recognition of Korean independence. 

Xevertheless, the Japanese turned — in the 
midst of the war with Russia — and thrust upon 
Korea the status of a dependency. Japan took 
over Korea as a protectorate, while renewing 
her pledges of limited independence for Korea. 

Japan demanded independence for Korea; 
when independence came, Japan violated it. Ja- 
pan imposed a protectorate and promised Ko- 
rea autonomy. In 1908 the honored and famous 
Marquis Ito reiterated his government's pledge 



by announcing that Japan would not annex Ko- 
rea. Ill 1910 Korea was annexed. There are 
the pledges, and there the performance. 

Another case, the Washington Conference and 
the years (hat followed. In 1921 the representa- 
tives of nine governments met in Washington to 
consider tlie problems of the Pacific area and 
to forge instruments wliich would guarantee 
peace and stability in the Far East. One of the 
results of this conference was the Four Power 
Treaty, by which four governments — Japan, 
the British Empire, France, and the United 
States — pledged themselves to respect each 
other's island possessions in the Pacific. 

But in 1939 Japan declared without confer- 
ence with the other contracting parties that she 
had annexed the Spratly Islands in the China 
Sea — islands that had long been claimed by 
France. By 1940 it became apparent from the 
statements of the Japanese Foreign Minister, 
Mr. Matsuoka, that Japan considered any and 
all islands in the "Greater East Asia" sphere 
to be fair game. History has demonstrated 
only too clearly the scope of Japan's intentions 
and the thoroughness of its disregard for its 
own pledges. 

Japan gave another pledge at the Washing- 
ton Conference : a pledge regarding naval limi- 
tations. Associating itself with other leadinjr 
naval powers who were anxious to bring stabil- 
ity to the Pacific, the Japanese Government 
promised to cooperate in reducing the heavy 
burden of naval expenditures. 

This treaty Japan denounced in 1934, with 
the result that it expired two years later. While 
Japan was acting strictly within its legal rights, 
any hope for stability in the Pacific collapsed 
with the end of this treaty. Reports of Japan's 
heavy naval construction program forced the 
other naval powers to resume competitive arm- 
ing, thus fortifying the groundwork for a war 
in the Pacific. 

Look next at Japan's record with regard to 
the mandated islands in the Pacific. "\^lien in 
1^20 Japan received the mandate for those 
islands formerly under the German flag, it was 
with the promise — and I quote — that "no mili- 
tary or naval bases shall be established or forti- 



922 



DEPARTMENT OP STATE BULLETIN 



fications erected in the territory". A further 
agreement with the United States in 1922 stipu- 
lated that American missionaries would bt- 
allowed to settle in the islands and that the 
usual facilities would be extended to American 
veasels calling at their ports. 

And how were those promises honored ''. 
From the very beginning Japan discouraged 
the visits of foreign nationals. Police regula- 
tions, delay, every form of obstructionism was 
brought to bear on any persons other than 
Japanese who attempted to enter these islands. 
When war broke over the Pacific, Japan's lack 
of faith in holding to her obligations became 
dangerouslj' apparent. 

Pledges were also given to respect the rights 
of France and the Netherlands to their Pacific 
possessions. 

On February 4, 1922 Japan, along with other 
countries with interests in the Pacific, informed 
the Netherlands Government that "it (Japan) 
is firmly resolved to respect the rights of the 
Netherlands in relation to their insular pos- 
sessions in the region of the Pacific Ocean." 
This pledge was in effect reaffirmed on April 
15, 1940, when the Japanese Minister for For- 
eign Affairs, Mr. Ar-ita, said, "The Japanese 
Government cannot but be deeply concerned 
over any development accompanying the aggra- 
vation of the war in Europe that may affect the 
status quo of the Dutch East Indies." 

As soon, however, as Germany had occupied 
the Netherlands, Japan used every pressure 
within her mejins to extoi't economic concessions 
and privileges from the Netherlands East In- 
dies. Nothing but the brave and stubborn 
resistance of the Netherlands officials to these 
proposals prevented Japan from forcing the 
other powers out of this economic market. 

On June 19, 1940 the Japanese Foreign Office, 
through its spokesman, Mr. Suma, announced 
that the maintenance of the status quo in 
Fi-ench Indochina was of equal concern and im- 
portance to the Japanese Government. 

Yet, as soon as French resistance had be^n 
broken in Eurojje, the Japanese Government 
demanded and obtained special military rights 
in northern Indochina. Japanese troops moved 
into French territory. Airports were taken 



over. And Japanese officials, true to a form 
which by now had become pretty well estab- 
lished, went on announcing that their gov- 
ei'nment had absolutely no designs on territory 
that was in the very process of being occupied. 

Thus, on September 24, 1940 Mr. Suma de- 
clared that, far from having any territorial 
ambitions in French Indochina, his government 
was moving in its armed forces only in order 
to settle the China Affair. This disingenuous 
remark, which excused one aggTession on the 
claim that it was necessary in order to carry out 
another, apparently struck Mr. Suma as verj' 
good logic. 

Again, on December 9, 1940 the Foreign Min- 
ister, Mr. Matsuoka, said: "Our objectives in 
the south are purely economic. We are against 
conquest, oppression, and exploitation by Japan 
as much as by any other nation." This, after 
nearly 10 years of armed aggression in China ! 

On February 25, 1941 another exliibit was 
added to this collection of statements when a 
spokesman for the Japanese military mission in 
Indochina insisted that Japan wanted no naval 
or military bases in southern Indochina, but 
only, as he explained, "rubber and rice to help 
Indochina prosper in the new order of east 
Asia". If to take by robbery the commodities 
of a country means to help that country to 
"prosper", the lands of the Pacific war under 
Japanese control are blessed indeed. 

But of all the aggressions which have writ- 
ten the name of Japan in infamy upon the 
pages of history, those against the country and 
the people of China make the blackest mark. 
The story goes back a long way, and I can point 
to but a few of its chapters. 

In 1908 Japan and the United States entered 
into an agreement regarding their respective 
policies in the Pacific. One of the provisions 
stated that the two governments "are also de- 
termined to preserve the common interest of all 
powers in China by supporting by all pacific 
means at their disposal the independence and 
integrity of China and the principle of equal 
opportunity for commerce and industry of all 
nations in that Empire." 

Yet in 1915, while most of the great powers 
were locked in struggle on tlie European conti- 



NOVEMBER 14^ 1942 



923 



iient, Japan secretly presented to China its no- 
torious ''twenty -one denninds". You will recall 
that these demands, if they had been met, would 
have made of China a vassal state. The terms 
incluiled recognition of special rights in Shan- 
tung, Manchuria, and Mongolia, equal owner- 
ship in the largest mining and smelting company 
in mid-China, leased harbors in Fukien Prov- 
ince, and the employment of none but Japanese 
advisers. China's Army and Navy were to be 
trained by Japanese officers, and schools teach- 
ing the Japanese language were to be opened 
throughout the land. No agreements between 
China and a foreign power with respect to loans, 
the building of railroads, or the construction of 
harbors in Fukien were to be made until Japan 
had been consulted. 

By permitting knowledge to be published te- 
garding these demands which Japan had hoped 
to keep secret. Yuan Shih-kai, President of the 
young Chinese Eepublic, was able to obtain a 
modification of the more flagrant items and a 
postponement of some of the requests for Japa- 
nese control. 

In signing the Nine Power Treaty at Wash- 
ington, Japan again pledged her respect for 
China's sovereignty. Specifically, Japan prom- 
ised to respect "the sovereignty, the independ- 
ence, and the territorial and administrative 
integrity of China". 

And what was the result of this solemn 
promise ? 

In 1931 the military occupation of Manchuria 
was begun on the flimsiest of pretexts. At the 
very moment when Japanese armies were over- 
running Manchuria, the Japanese Government 
issued a statement which included the following 
words: "It may be supei'fluous to repeat that 
the Japanese Government harbors no territorial 
designs in Manchuria." Superfluous indeed ! 
For the world was learning that any such state- 
ment was a practical notification of aggressive 
intent. 

In March 1932 a Japanese puppet regime was 
installed in Manchuria. This regime shortly 
afterward signed an agreement which author- 
ized the stationing of large numbers of Japanese 
troops within its borders. The troops have not 
been removed to this day. 



Eight months after this step had been taken, 
Mr. Matsuuka, as a delegate, stated before the 
Council of the League of Nations: "The policy, 
the hope, the determination of my country is 
the maintenance of peace. We want war with 
no nation. We want no more territoiy. We 
are not aggressors, ^\'e desire deeply and ear- 
nestly the welfare of our great neighbor." 

Within a month of Mr. Matsuoka's reassur- 
ing statement, Japanese forces had overrun the 
whole of Manchuria. In 1933 they moved into 
the adjacent province of Jehol. 

Two years later a movement for what was 
called autonomy in north China was begun by 
the Japanese. In 1937 war broke out again 
near Peking. Twenty days after the first ex- 
change of shots near the Marco Polo Bridge, 
Prince Konoye, then Premier, said : "In sending 
troops to north China, of course, the Govern- 
ment has no other purpose, as was explained 
in its recent statement, than to preserve the 
peace of east Asia." 

The peace of east Asia? China has experi- 
enced this kind of peace for 11 years. It has 
suffered the embrace of a self-styled friend 
who has bombed its civilian population and its 
undefended cities, wantonly destroyed or ap- 
propriated the cherished personal possessions 
of millions of its people, pursued and machine- 
gunned the homeless, and committed the atroci- 
ties of Nanking paralleled on smaller scale in 
a thousand and one other places. China knows 
that what Japan means by peace is utter sub- 
mission or extinction. China knows what all 
of us must learn, and learn quickly : that, faced 
with such a foe, there is no effective argxunent 
but crushing, total military defeat of the enemy 
and the thorough elimination of the militarist 
attitude, the militarist training, the militarist 
institutions, and the militarist leaders who have 
let loose this plague of destruction. 

In 1939 Japan continued her well-made 
schedule of conquest by occupying the large 
Chinese island of Hainan and establishing a 
naval base there. This island, as we now know, 
was later used as a training base for the troops 
that were being schooled in the jungle tactics 
that Japan's militarists were already developing 



924 



DEPARTMENT OP STATE BULLETIN 



for their attacks in the Philippines, in Malaya 
and JaA-a, and throughout the Far East. 

In 1940 the now familiar pattern of the Jap- 
anese puppet state was imposed upon the prov- 
inces of north China, Nanking was dubbed the 
capital of the renegade "central government" 
of Wang Ch'ing-wei, and the world was 
scarcely surprised or startled when Japan rec- 
ognized this regime as the "National Govern- 
ment of China". 

If the world still hoped that after setting 
up a puppet regime in Manchuria Japan would 
at least respect the promises of free commer- 
cial opportunity which she had made in the 
Nine Power Treaty, it did not have to wait 
long for disillusionment. 

Yet the same sweet words preceded in the 
usual fashion Japan's shutting of the door. 
The puppet regime in announcing its inde- 
pendence was made to say: "The foreign pol- 
icy of the new state shall be to seek and fur- 
ther promote cordial relations with foreign 
powers by winning their faith and respect, 
and strictly to observe international conven- 
tions. Foreign investments by any nation shall 
be welcomed for the furtherance of trade and 
the exploitation of natural resources, thus 
bringing the principles of the Open Door and 
equal opportunity and the like to a fuller real- 
ization." The so-called "protocol" by which 
Japan recognized its puppet state made a point 
of referring to this pledge. 

Yet, as quickly as these promises were made, 
monopolies in favor of Japanese nationals and 
corporations were set up which effectively shut 
out not only American and other western pow- 
ers from trading rights but the Chinese them- 
selves. And as Japan's military control ex- 
tended southward in China, American and 
other non-Japanese business activities were 
systematically pinched, crowded, or shouldered 
out. The door to China was to open only at the 
magic touch of a Japanese. One is reminded 
of the words with which Perry was greeted: 
"The place is not designed to treat of anything 
from foreigners. You will leave here." 

There are many other chapters in the story 
of Japan's pledges and performances — the 
pledge, for instance, which followed the sinking 



by the Japanese of the U.S.S. Panay and three 
other American vessels in the Yangtze River. 
Part of the settlement asked by the United 
States Government and given by Japan was the 
assurance that American nationals and prop- 
erty in China would not again be attacked or 
interfered with. In a note to the United States 
Government of December 24, 1937 the Japanese 
Government said, "Rigid orders have been is- 
sued to the Military, Naval and Foreign Office 
authorities to pay, in the light of the present 
untoward incident, greater attention than 
hitherto to observance of the instructions that 
have been repeatedly given against infringe- 
ment of, or unwarranted interference with, the 
rights and interests of the United States and 
other third powers." 

Nevertheless, Japanese forces continued to 
bomb American property in China, even when 
no conceivable military objective would be 
served and even though such properties were 
clearly marked with American flags. Several 
hundred of these inexcusable violations are on 
record in the Department of State. They in- 
clude the damaging of other American naval 
vessels, the bombing of mission properties, the 
mistreatment of Americans by Japanese sol- 
diers, and the imposing of baneful restrictions 
upon American commercial and business ac- 
tivities. 

It is needless to prolong the story through all 
its chapters. An editor of the Atlantic 
Monthly is credited with the comment, when 
charged by an aspiring author with having 
failed to read his whole manuscript, that it is 
unnecessary to eat a whole egg in order to know 
that it is bad. - It is unnecessary to produce the 
whole history of Japan's depredations and 
broken promises. Japan's opening of hostili- 
ties without warning, its bombing of open 
towns — both acts in violation of a convention 
signed by her government — would lead us to no 
different conclusion than that to wliich the ex- 
amples already given inevitably and conclu- 
sively lead. 

The men now controlling Japan are ruthless, 
unscrupulous, and dangerous. They are not 
impeded by the moral scruples which are the 
basis of good govermnent and of sound interna- 



N0\1:MBER 14, 1942 



925 



tional relations. They give no quarter and 
tliey seek none. Thoy know what they want, 
and what they want is nothing less than world 
domination. No means are unjustified in their 
ej'es whicli will take them toward that goal. 
Tliey are possessed of a dangerous and fanatic 
belief, which we can scarcely hope to under- 
stand, that Japan's domination over all the 
world is not only possible but desirable and 
attainable. 

We cannot treat with such men. "We can 
only defeat them. There is no solution other 
than complete military victory — a victory to 
which we must devote every ounce of our en- 
ergy, our strength, and our skill. 

WHiat likelihood is there, then, that when the 
war is won as we must win it we shall have 
any ground on which to meet Japan for a set- 
tlement? How may we insure ourselves 
against a repetition of the present tragedy? 

There are many evidences in Japanese his- 
tory during the past 80 years of a deep dissatis- 
faction with authoritarian government. Ja- 
pan too has had its liberals, its radicals, its 
demands for popular government, its labor 
movements, its aspirations toward that true 
representative government which we believe to 
be essential to the progress and development 
of mankind. 

Through the complete discrediting of its 
militarists, by overwhelming defeat, Japan 



must be purged of those elements which have 
made it a dangerous and untrustwortliy 
neighbor. 

Some day another American will land on 
Japan's shores. He too will come to a country 
whose government is tottering — perhaps fallen 
completely. He will come to a land which has 
tried the way of conquest and found, as other 
conquerors have found, that the goal was an 
illusion. He will find a people broken with 
the burdens of a desperate war — a people 
hungry, decimated, disillusioned. He will have 
a great opportunity — he and the other men of 
tlie United Nations whose task it will be to 
bring order out of the chaos of defeat — to take 
advantage of that disillusionment and to work 
in cooperation with those within the country 
who have waited and even now wait for such 
an opportunity. For it is a task which the 
United Nations cannot, dare not shirk, to see 
that the feudal militaristic spirit which has 
brought death to millions shall never again rise 
to do battle in an unrighteous cause. Strong 
in the faith that man desires the good if he can 
but truly know it, we — the United Nations — 
must carry to Japan our historical faith in the 
orderly process of self-government under law, 
in the right of the individual to live without 
the shadows of fear and want and ignorance, 
and into the clean sunlight of freedom and of 
truth. 



THE POSITION OF ITALY 



ADDRESS BY ASSISTANT SECRETARY BERLE ' 



[Released to the press November 15] 

My Friexds : 

It is altogether fitting that you, Americans 
of Italian ancestry, have gathered here tonight 
to take counsel concerning Italy. You have 
sprung from the loins of that country, you 
honor her language, and seek now to preserve 
Italian nationhood and the Italian soul. 



' Delivered at the joint meeting of the Mazzlni So- 
ciety and the Italian-American Labor Council, New 
York, N.Y., Nov. 1-1, 1942, and broadcast over Station 
WOB. 



You have asked what Americans of Italian 
ancestry, speaking with the voice of America, 
can say to the plain people of Italy. 

"We are divided today from the masses of 
Italy by a battle line. But if for a moment we 
could cross that battle line, and could speak 
to them face to face, we should say this: 

You are Italians, enslaved today by Fascist 
masters who secured and held power by the 
methods and with the ethics of gangsters. 

These Fascist masters, in their turn, have be- 
trayed the country to Nazi tyrants beyond the 



926 



DEPARTMENT OF STATE BTJLLETrN 



Alps, and have sold you as mercenary soldiers 
to fight the battles for Hitler. 

You seek to be free, and you ask how freedom 
can be secured. 

Freedom is not a gift: it is an achievement. 
You must attain it yourselves. But, when that 
freedom is won, certain pledges have been made 
to you and to the world. 

The first right which grows from the achieve- 
ment of freedom is the right to maintain and 
preserve it, in friendly and law-abiding rela- 
tions with the other nations of the world. 

We know, and you know, that you have much 
to undo, in the hard but splendid road toward 
liberty. No nation can lose its freedom for 20 
years without suffering the consequence of that 
loss. Italy has been led into grievous and ter- 
rible ways. Fascist dictatorship appeared first 
in Italy. It subjugated Italians by terrorism, 
torture, imprisonment, the lies of a controlled 
press, by murder. This Fascist leadership led 
an Italian army to conquer Abyssinia ; stabbed 
a defeated France in the back ; seized the quiet 
country of Albania; invaded Greece, a friendly 
neighbor; and maintains uneasy armies in 
Yugoslavia. 

Like all evil conceptions, the Fascist domina- 
tion of Italy at length is destroying itself. 
They were forced to call to their help the Nazi 
tyrants from beyond the Alps. For this help 
they paid a price : the liberty of Italy. Their 
Nazi ally now treats them as a conquered coun- 
try of serfs. Its secret police is in every village, 
and Nazi officers sit in every Fascist Ministry 
of State. Cynically, Hitler used Italian youth 
as his mercenary soldiers in Russia and in 
Egypt. Wlien his commanders were defeated 
in Egypt two weeks ago, they took all available 
supplies and, deserting, left Italian soldiers to 
perish misei'ablj' in the Egyptian deserts while 
the German contingents saved themselves. 

Today Italy is short of food and Italian chil- 
dren want milk. Yet her food is taken against 
her will for Germans, who already have more 
than she. Marshal Goering cynically stated 
that all EurojDe, which includes Italy, would 
starve to death before Germans went hungry. 



It will be remembered that in the last World 
War Americans fed Italy, and the young men 
in your armies, as children, drank American 
milk. 

As the march of dictatorship in Europe be- 
gan in the Mediteri-anean, so the march of 
freedom has at length also begun in the Medi- 
terranean. 

In 10 daj^s of unparalleled drama, British 
forces, supported by Americans, overthrew 
Marshal Eommel in Egypt, cut his army to 
pieces, and are now driving the shattered frag- 
ments across the Libyan waste. Hard upon 
this victory came an American expedition 
which in 4 short days accomplished the libera- 
tion of all North Africa, from the Atlantic 
shoulder of Morocco to the coasts of Tunis. 
The armies of the United Nations stand within 
gunshot of the Italian shore. 

In the truest sense, the armies under the 
United Nations flags are armies for the libera- 
tion of Italy ; they are the allies and friends of 
the mute, plain people from the Alps to Sicily, 
just as they are the allies and friends of the 
plain people of France and of your neighbors, 
the Yugoslavs and the Greeks. 

In this new military situation Italy once 
more enters the valley of decision. She must 
decide whether she will exhaust her remaining 
men, and let her nationhood ebb out as servant 
of a decaying Nazi state; or whether she will 
cleanse herself from the evil into which her 
Fascists have led her, rescue herself from that 
slavery into which she has been delivered by 
the bullies and cowards who have dominated 
her for two decades. 

Plainly, there can be no compromise with 
the cult of Fascist slavery, nor with any of the 
men who have carried it on. A treaty with 
Fascists could be nothing more than a trap for 
fools. There can be no peace with those who 
deny the right of peace. There can be no faith 
in those who insist that good faith must go out 
of the world. Tliere can be no compromise 
between free men and slave-masters. Until the 
Fascist domination of Italy is ended, and while 
Italians, however blindly, follow Fascist lead- 



NOVEMBER 14, 1942 

ertiliip, tlu'if can he no valid dealing save by 
force alone. 

Nevertheless, we in -America insist on hoj)- 
liifX that the day will come when we can once 
more welcome into the brotherhood of civili- 
zation a free and friendly Italian nation, giv- 
ing again to the world the fruit of her shining 
culture and her splendid traditions. 

The Italy of hisitory, of the arts, of science, 
of unparalleled music and pot^try. the Italy 
which peacefully conquered in the glorious com- 
petition of thought and ideas — that Italy must 
be saved, for who can imagine a world witliout 
her ? 

The United Nations have made a pledge to 
Italy, as to the entire world. It was drawn on 
a warship in the Atlantic by President Roose- 
velt in considtation with Prime Minister 
Churchill, and proclaimed on August 14. 1941. 
On New Year's Day of this year, all the United 
Nations accepted this pledge as their basis of 
hope for a better future of the world : 

"Their countries seek no aggrandizement, 
territorial or other; 

"They desire to see no territorial changes 
that do not accord with the freely expressed 
wishes of the peoples concerned ; 

"They respect the right of all peoples to 
choose the form of government under w'hich 
they will live; and they wish to see sovereign 
rights restored to those who have been forcibly 
deprived of them ; 

"They will endeavor, with due respect for 
their existing obligations, to further the en- 
joyment by all States, great or small, victor or 
vanquished, of access, on equal terms, to the 
trade and to the raw materials of the world 
which are needed for their economic i)rosperity ; 

"They desire to bring about the fullest col- 
laboration between all nations in the economic 
field with the object of securing, for all, im- 
pi'oved labor standards, economic advancement, 
and social security ; 

"After the final destruction of the Nazi 
tyranny, they hope to see established a peace 
which will afford to all nations the means of 



927 

dwelling in safety within their own boundaries, 
and which will alford assurance that all the 
men in all the lands may live out their lives 
in freedom from fear and want." 

Pledge was thus given not only to the vic- 
tors but also to the vanquished. 

No American seeks to destroy or impair the 
nationhood of Italy. When Italy, freed from 
her Fascist gangsters, is able once more to speak 
to the world, and as the armies of the United 
Nations achieve that victory which cannot fail, 
the pledge of the United Nations will be re- 
deemed. This pledge does not contemplate a 
punitive peace: the aim is justice, not I'evenge. 

A just peace must mean an end of danger 
from aggression. Secretary Hull, speaking for 
the Government of the United States, has in- 
sisted on surveillance of aggressor nations 
until there is convincing proof that their peo- 
ples "have repudiated and abandoned the mon- 
strous philosophy of superior race and con- 
quest by force and have embraced loyally the 
basic principles of peaceful processes". In the 
United States, Americans of all origins live in 
peace and friendship with many millions of 
Italian ancestry. We know that under right 
leadership this people can give that convincing 
proof. The Italian people now, while the 
struggle is still in progress, can give unques- 
tioned evidence that the philosophy of conquest 
and force has been conclusively put aside, by 
joining the struggle against Nazi and Fascist 
tyranny. 

This is little to ask. It asks of the people of 
Italy that they shall not condemn themselves 
and their children to further slaughter; that 
they shall accept the peaceful arrangements of 
peaceful peoples; that they shall submit only 
to those restraints which must bind on free 
peoples if freedom is to I'emain in the world. 
In the truest sense, the Italian nation is of- 
fered a freedom beyond the wildest Fascist 
dreams: fi'eedom of religion, freedom of 
thought, freedom from want, and freedom 
from fear; the freedom of farm and vineyard; 
peace in the olive groves; quiet workmanship 



928 



DEPARTMENT OF STATE BULLETIN' 



in factory and shop; freedom again to work, 
to hope, and to live. She is asked to accept 
those obligations which make these freedoms 
equally possible for her neighbors. 

For Italy, the meaning of victory by the 
United Nations is this: 

Final destruction of the Fascist and Nazi 
tyranny which has oppressed her; 

Opportunity to her people to give convincing 
proof that she has abandoned the philosophy 
of superior race and of conquest by force and 
has loyally embraced the basic principles of 
peaceful processes; 

Enjoyment, with all other states, of access on 
equal terms to the trade and raw materials of 
the world which are needed for economic pros- 
perity ; 

Opportunity to collaborate in securing for all 
improved labor standards, economic advance- 
ment, and social security; 

Opportunity to work for the objectives to 
which the free nations of the world are pledged. 

The destiny of the Italian people rests in their 
own hands. 

In this hour of decision, who is the true 
Italian patriot ? Not he who clings desperately 
and afraid to the chains of the Nazis, who have 
already declared him to be an inferior breed. 
Not he who in silence forgets the traditions of 
his heroes, and allows himself to be driven like 
a sheep to the slaughter to serve the warlords of 
Berlin. The Italian patriots of today will be 
fhosp who now repeat achievements of their 
great forerunners, who drive out tyranny, who 
reestablish firm and loyal government, who 
make their people free, who lead Italy once 
more into the family of civilized nations. 

To those true patriots who undertake tlie 
liberation of Italy, we say, You do not act alone. 
The armies of America and of the United Na- 
tions are close at hand, and behind them the 
full strength of the most powerful nations in 
the world. 

The voice of free Italy has been stilled for 
two decades. Convincing proof that Italy has 
repudiated the monstrous philosophies which 



have spread death and terror and pestilence 
throughout the world must be given by Ital- 
ians who drive out the traitors and foreigners 
who have led her to the rim of destruction. 

"VVlien the voice of the true Italy is heard 
again, we shall hear Garibaldi, Cavour, Maz- 
zini, Matteotti, De Bosis, and Kosselli speak 
from beyond the grave, saying : "Here again is 
our nation ; these are our people." . 



PROCLAIMED LIST: REVISION IV 

[Released to the press November 15] 

The Secretary of State, acting in conjunction 
with the Secretary of the Treasury, the Attor- 
ney General, the Secretary of Commerce, the 
Board of Economic Warfare, and the Coordi- 
nator of Inter-American Affairs, pursuant to 
the proclamation by the President of July 17, 
1941 providing for The Proclaimed List of Cer- 
tain Blocked Nationals has issued Revision IV 
of the Proclaimed List, dated November 12, 
1942. Revision IV supersedes and consolidates 
Revision III, dated August 10, 1942, and the 
four supplements thereto. 

No new additions to or deletions from the 
Proclauned List are made in this revision. 
Certain minor changes in spelling of names 
listed, alternative listings for names previously 
included, etc., are made. 

Revision IV follows the listing arrangement 
used in Revision III. The list is divided into 
two parts: Part I relates to listings in the 
American republics and part II to listings in 
countries other than the American republics. 
Revision IV contains a total of 11.213 listings, 
of which 7,949 are in part I and 3,264 in part II. 

Following this revision, supplements will be 
cumulative. Each supplement will contain all 
additions, deletions, and amendments which 
have been made since the previous revision. 
Thus, to determine the status of a given name, 
it will be necessary to consult only two issues 
of the List, namely, the previous revision and 
the current supplement. 



NOVEMBER 14, 194 2 



929 



American Republics 



VISIT TO THE UMTED STATES OF THE 
PRESIDENT OF CUBA 

[Released to the preas November 11] 

His Excellency General Fulgencio Batista, 
President of Cuba, will visit the United States 
as a guest of this Government on the invitation 
of Piesident Roosevelt, arriving in Washington 
on December 8. The President of Cuba •will 
spend one night at the White House, after 
which he will leave for the Blair House to 
remain for several days. He will subsequently 
visit other cities in the United States. 



leading scientific and research centers in this 
country. 

Dr. Bustamante, well known as a scientist 
both in Mexico and in the United States, plans 
to visit the National Institute of Health at 
Washington to study methods of typhus im- 
munization; Vanderbilt Universitj', at Nash- 
ville, Tenn., to observe that institution's work 
and teaching in the fields of public health and 
nursing; the Department of Biology of the 
University of Chicago ; health organizations in 
rural Minnesota; and the Eocky Mountain 
Spotted Fever Laboratory at Hiunilton, Mont. 
He will also confer with Dr. E. Carroll Faust 
of the Department of Tropical Diseases of Tu- 
lane University in New Orleans. 



VISIT TO THE UNITED STATES OF THE 
PRESIDENT OF ECUADOR 

[Released to the press November 9] 

His Excellency Carlos A. Arroyo del Eio, 
President of the Republic of Ecuador, will visit 
the United States as a guest of this Government 
on the invitation of President Roosevelt, arriv- 
ing in Washington on November 23. Tlie 
President of Ecuador will spend one night at 
the White House, after which he will leave for 
the Blair House to remain for several days. 
He will subsequently visit other cities in the 
United States. 



Cultural Relations 



VISIT TO THE UNITED STATES 
OF MEXICAN SCIENTIST 

[Released to the press November 12] 

Dr. Miguel E. Bustamante, Director of the 
Institute of Public Health and Tropical Dis- 
eases, of Mexico City, arrived in Washington 
on November 11, at the invitation of the De- 
partment of State, for a two months' visit to 



The Foreign Service 



CONFIRMATIONS 

On November 13, 1942 the Senate confirmed 
the nomination of Walter Thurston, of Ari- 
zona, to be Envoy Extraordinary and Minister 
Plenipotentiary of the United States of Amer- 
ica to El Salvador. 



Treaty Information 



COMMERCE 
Trade Agreement With Uruguay 

[Released to the press November 10] 

On November 10, 1942 the President pro- 
claimed the trade agreement between the United 
States and Uruguay, signed at Montevideo on 
July 21, 1942. Article XVII of the agreement 
provides that it shall enter into force 30 days 
following the exchange of the Presidents proc- 
lamation and the instrument of ratification of 
the Government of Uriiguiiy, which shall take 
place at Washington. The Government of Uru- 
guay has ratified the trade agreement, and it is 



930 



DEPARTMENT OF STATE BtrLLETIN 



expected that the exchange will take place 
within a few days. Following this exchange, 
the President will issue a supplementary procla- 
mation setting forth the date of entry into 
force. 

The text of this agreement and the texts of 
the related notes will be printed shortly in the 
Executive Agreement Series. An analysis of 
the general provisions and reciprocal benefits 
of the agreement appeared in the Bttlletin, 
Supplement of July 25, 1942, vol. VII, no. 161a. 

CULTURAL RELATIONS 

Agreement Between Spain and Argentina 

The American Ambassador at Madrid re- 
ported by a despatch dated September 14, 1942 
that a general cultural agreement between Spain 
and Argentina was signed at Madrid on Sep- 
tember 7, 1942. By the terms of the agreement 
each High Contracting Party agrees to pro- 
mote cultural interchange among their peoples 
in the fields of science and art ; to organize the 
exchange of educational, geographical, or his- 
torical motion pictures which may contribute 
to a better mutual understanding by both coun- 
tries ; to exchange books, magazines, and news- 
papers which may serve toward a greater under- 
standing of the fundamental problems of each 
country ; to establish on a permanent basis di- 
rect radio broadcasts designed to make known 
the respective scientific literary and artistic ac- 
tivities of each country to the other country; 
to arrange for the exchange of professors, lec- 
turers, writers, artists, and students and to 
create scholarships, grant subsidies, and lend 
whatever facilities each different cultural ac- 
tivity may require; to establish tourist travel 
so far as possible. The agreement also pro- 
vides that joint studies be made by bureaus 
charged with Hispanic-Argentine cultural re- 
lations in the respective Ministries for Foreign 
Affairs for the preparation of supplementary 
agreements which may be lequired for the effi- 
cient execution of the general agreement. 



The agreement entered into force on the date 
of signature. 

INDUSTRIAL PROPERTY 

Convention for the Protection of Industrial 
Property (Revised 1934) 

Tunisia 

By a note dated September 4, 1942 the Swiss 
Minister at Washington informed the Secretary 
of State that the French Embassy at Bern, by 
notes dated May 6 and August 18, 1942, notified 
the Swiss Federal Council of the adherence of 
Tunisia to the Convention for the Protection 
of Industrial Property, revised at London June 
2, 1934. The adherence became effective on 
October 4, 1942. 



Arrangement Concerning the Suppression of 
False Indications of Origin on Merchandise 
(Revised 1934) 

Tunisia 

The above-mentioned note of September 4, 
1942 from the Swiss Minister states also that 
the French Embassy at Bern notified the Swiss 
Fe<leral Council of the adherence of Tunisia 
to the Arrangenient Concerning the Suppres- 
sion of False Indications of Origins on Mer- 
chandise as revised at London on June 2, 1934. 
The adherence became effective on October 4, 
1942. 



Arrangement Concerning the International Regis- 
tration of Trade Marks and Commercial Names 
(Revised 1934) 

Timisia 

By a note dated September 4, 1942 the Swiss 
Minister at Washington informed the Secretary 
of State that the French Embassy at Bern in- 
formed the Swiss Federal Council of the ad- 
herence of Tunisia to the Arrangement Con- 
cerning the International Registration of Trade 



NOVEMBER 14, 1942 

Marks and Coiumeroial Names as revised at 
London on June 2, 1934. The adherence be- 
came effective on October 4, 1942. 



931 

Deposit of Industrial Desifnis and Models as 
revised at London .June 2, 1934. The adherence 
became effective on October 4, 1942. 



Arrangement Concerning the International De- 
posit of Industrial Designs and Models (Re- 
vised 1934) 

Tunisia 

The above-mentioned note of September 4, 
1942 from the Swiss Minister adds that the 
Fivni-h Embassy at Bern notified to the Swiss 
Federal Council the adherence of Tunisia to the 
Arrangement Concerning the International 



Publications 



Department of State 

Tlie Procluinu'd List of Certain Ulockcil Nationals: 
Revision IV, November 12, 1942, rronuilfiated Pur- 
suant to Froclnmation 2497 of the President of July 
17, 19-11. Publication 1828. 269 pp. Free. 



U. S. COVERNHENT PRiNTlNG OFPICEi tl4t 



PCBLISRED WEEKLY WITH THE APPROVAL OF THE DIRBCTOB Or THE BOHBAD OF THE BUDOBT 

For sale by tbe SuperlnteudeDt of Documeote, WashlDgton, D. C. — Price, 10 centa .... SubscripUon price, $2.76 a year 



1' ^ ^ 



I n 



THE DEPARTMENT OF STATE 



BULL 



H 



"^ rm 



riN 



NOVEMBER 21, 1942 
Vol. VII, No. 178— Publication 1838 



C 



ontents 



The WaU Page 

Temporary Political Arrangement in North and West 

Africa: Statement bj' the President 935 

American Military Operations in French North Africa: 
Congratulatory Messages From Other American 

Republics 936 

Congi-atidatory^ Message From the Prime Minister 

of Iraq 938 

United States Relations With the Vichy Govermnent: 

Exchange of Diplomatic and Considar Personnel . . 939 
Correspondence Between the Secretary of State and 

the Honduran Foreign Minister 939 

New York Herald Tribune Forum: 

Address by the Under Secretary of State 939 

Address by the American Ambassador to the Soviet 

Union 943 

Address by the Former American Ambassador to Japan, 

November 19 945 

Supreme Court Opinion in the Saboteur Cases .... 947 
Director of Foreign Rehef and Rehabihtation Opera- 
tions 948 

Proclaimed List: Cumulative Supplement 1 to Revision 

IV 948 

[ oveb] 







c- 



O^teMJS-CONTINUED 

American Republics Page 

Visits to the United States: 

The President of Ecuador 949 

The Guatemalan Foreign Minister 949 

Agreement With the Dominican Repubhc Regarding 

Customs Matters 949 

Agreement With Mexico for Rehabilitation of Mexican 

National Railways 949 

Cultural Relations 

Cooperative Training Program for Peruvian Students 

in the United States 950 

Distinguished Visitors to the United States From El 

Salvador, Honduras, and Mexico 950 

The Foreign Service 

Position of Counselor of Embassy for Economic Affairs . 95 1 
Death of Charles B. Hosmer 951 

Treaty Information 

Customs: Agreement With the Dominican Repubhc . 952 
Transit: Agreement With Mexico for Rehab iUtation of 

Mexican National Railways 954 

Education: Arrangement With Peru 957 

Publications 

Hackworth's Digest of International Law, volume IV . 957 

Legislation 958 



The War 



TEMPORARY POLITICAL ARRANGEMENT IN NORTH AND WEST AFRICA 

STATEMENT BY THE PRESIDENT 



(Relenat'it to the press by the White House November 17) 

I have accepted General Eisenhower's politi- 
cal arrangements made for the time being in 
Northern and Western Africa. 

I thoroughly imderstand and approve the 
feeling in the United States and Great Britain 
and among all the other United Nations that 
in view of the history of the past two years no 
permanent arrangement should be made with 
Admiral Darlan. People in the United Na- 
tions likewise would never understand the rec- 
ognition of a reconstituting of the Vichy Gov- 
ernment in France or in any French territory. 

We are opposed to Frenchmen wlio support 
Hitler and the Axis. No one in our Army 
has any authority to discuss the future Gov- 
ernment of France and the French Empire. 

The future French Government will be estab- 
lished, not by any individual in metropolitan 
France or overseas but by the French people 
themselves after they have been set free by the 
victory of the United Nations. 

The present temporary arrangement in North 
and West Africa is only a temporary expedient, 
justified solely by the stress of battle. 

The present temporary arrangement has ac- 
complished two military objectives. Tlie first 
was to save American and British lives on the 
one hand, and French lives on the other hand. 

The second was the vital factor of time. The 
temporary arrangement has made it possible to 
avoid a "mopping up" period in Algiers and 
Morocco which might have taken a month or 



two to consummate. Such a period would have 
delayed the concentration for the attack from 
the west on Tunis, and we hope on Tripoli. 

Every day of delay in the current operation 
would have enabled the Germans and Italians 
to build up a strong resistance, to dig in and 
make a huge operation on our part essential be- 
fore we could win. Here again, many more 
lives will be saved under the present speedy of- 
fensive than if we had had to delay it for a 
month or more. 

It will also be noted that French troops, 
under the command of General Giraud, have 
already been in action against the enemy in Tu- 
nisia, fighting by the side of American and 
British soldiers for the liberation of their 
country. 

Admiral Darlan's proclamation assisted in 
making a "mopping up" period unnecessary. 
Temporary arrangements made with Admiral 
Darlan apply, without exception, to the current 
local situation only. 

I have requested the liberation of all persons 
in Northern Africa who had been imprisoned 
because they opposed the efforts of the Nazis 
to dominate the world, and I have asked for the 
abrogation of all laws and decrees inspired by 
Nazi governments or Nazi ideologists. Reports 
indicate that the French of North Africa are 
subordinating all political questions to the for- 
mation of a common front against the common 
enemy. 

935 



936 



DEPARTMENT OF STATE BULLETIN 



AMERICAN MILITARY OPERATIONS IN FRENCH NORTH AFRICA 
CONGRATULATORY MESSAGES FROM OTHER AMERICAN REPUBLICS 



[Released to the press November 16 and 18] 

In connection with the American military 
operations in French North Africa, the Presi- 
dent has received messages of congratulation 
and support from other American republics, 
in addition to those messages previously re- 
leased (which appeared in the Bulletin of 
November 14, 1942, page 908). The texts of 
additional messages and of replies of President 
Roosevelt are printed below. 

President Morlnigo of Paraguay 
to President Roosevelt 

[Translation] 

Asuncion, Paraguay, 

November 11, 19Jt2. 
I have learned with the greatest pleasure of 
the development of the latest events. In re- 
newing to Your Excellency my assurances of 
sympathy and sincere friendship, I express ar- 
dent wishes for the victory of the cause defended 
by your country in harmonious juncture of 
efforts and desires of all jjeoples of our conti- 
nent, 

Geijeilvl Higinio Morinigo M. 

To President Morinigo of Paraguay 

The White House, November 16, 19Jt2. 
I greatly appreciate Your Excellency's mes- 
sage upon the landing of American troops in 
French North Africa. Your wishes for the 
victory of our armed forces to insure the safety 
and freedom of all liberty-loving peoples is 
most gratifying. 

Franklin D Roosevelt 

The Acting Vice President of the Emergency 
Committee for Political Defense to President 
Roosevelt 

Montevideo, November 11, 19^. 
In these moments when American arms are 
covering themselves with glory in North Africa 



in the defense of human dignity and liberty, this 
Emergency Consultative Committee for Con- 
tinental Political Defense has resolved to for- 
ward to Your Excellency its tribute of admira- 
tion for and cordial reaffirmation of solidarity 
with the notable military feat which fills the 
entire world with joy and hope, evaluating its 
high import full of liberative significance and 
contemplating gratefully the fact that precious 
lives of Americans and their allies are being 
sacrificed on African soil principally to pre- 
serve the freedom of the man of America and 
the tranquillity of his home. Accepting with 
profound faith the words which Your Excel- 
lency has expressed in justification of this ac- 
tion, I sincerely extend to you my best wishes 
for your personal happiness and for that of your 
great nation. 

Carlos Dario Ojeda 

To the Acting Vice President of the Emergency 
Committee for Political Defense 

Tece White House, Noveniber 11, 19Ji2. 
I am deeply appreciative of the message of 
the Emergency Advisory Committee for Polit- 
ical Defense commending the landing of Ameri- 
can troops in North Africa. The Committee 
has rendered an invaluable service in revealing 
Axis activities directed at the security of the 
American republics and in devising ways and 
means of combating those activities. It is there- 
fore particularly encouraging to receive from 
a distinguished group having so detailed a 
knowledge of the dangers inherent in Axis 
aggression so cordial and enthusiastic a state- 
ment regarding the significance of our military 
operations in North Africa. 

Franklin D Roosevelt 

To President Lopez of Colombia 

The Whtie House, November 16, 19J^. 
I wish to express to Your Excellency my 
deepest appreciation of the stirring and elo- 



NOVEMBER 21, 1942 



937 



quent mossape addressed to me following the 
entry of American armed forces into North 
Africa, and to thank you most warmly for 
the fervent wishes of success in this campaign 
for tlie liberation of oppressed people. 

Your Excellency's and the Colombian peo- 
ple's full appreciation of the principles for 
which we are fighting serve to reinforce the 
courage and determination of all those engaged 
in this ti-emendous undertaking. 

Please convey to the Colombian people the 
assurance that the spirit expressed in Your Ex- 
cellency's message gives added strength to our 
profound confidence in victory for the ideals 
that we share in common. I send Your Excel- 
lency my warmest regards and personal good 
wishes. 

Franklin D Eogsevei/t 

To President Batista of Cuba 

The White House, November 16, 1942. 

I am profoundly gratified by your message of 
Xovember 9 sent in the name of the Government 
and the people of Cuba approving the landing 
of our armed forces in North Africa. The un- 
swerving support and collaboration of Cuba 
in this as in every other move against our 
enemies gives added courage to our forces in 
the present campaign of liberation and strength- 
ens the faith of all the United Nations in the 
ultimate triumph of our common cause. 

Please accept [etc.] Franklin D Roosevelt 

To President Arroyo of Ecuador 

The White Hottse, November 16, 1942. 
I am deeply grateful for Your Excellency's 
telegram of November 9 concerning the offen- 
sive of American forces in the French terri- 
tories of North Africa. It is indeed our hope 
that this move may contribute materially to 
the eventual complete liberation of the French 
people from their cruel oppressors, as well as 
thwarting an Axis thrust against the security of 
the American hemisphere. It is most gratify- 
ing to have your reassurance of my conviction 



that this step would meet with the wholehearted 
sujjport of the jieople of Ecuador, who have 
always demonstrated their devotion to the cause 
of liberty and freedom. 

I take [etc.] Frankun D Roosevelt 

To President Ubico of Guatemala 

The White House, November 16, 1942. 
I wish to thank Your Excellency for the cor- 
dial message apphiudiiig the landing of Ameri- 
can military forces in French North Africa. 
Your conviction that this action to achieve the 
liberation of France will have the support of 
the people of all the American republics is a 
source of great encouragement and satisfaction. 
Franklin D Roose\txt 

To President Lescot of Haiti 

The White House, November 16, 1942. 

Your Excellency's heartening communication 
on the occasion of the launching of the American 
offensive is most deeply appreciated. I am also 
most grateful for the message which you have 
addressed to the French speaking people of 
this Hemisphere which will, I am sure, contrib- 
ute greatly toward a broader understanding of 
our purpose in landing troops in North Africa. 
Your support in this step to seek liberation for 
the French people and their culture from servi- 
tude to Axis barbarism is indeed encouracinjr. 

With cordial good wishes for Your Excel- 
lency's personal welfare, 

Franklin D Roosevelt 

To President Cartas of Honduras 

The White House, November 16, 1942. 
Your Excellency's gracious message on the 
occasion of my Armistice Day address before the 
tomb of the Unknown Soldier was most grati- 
fying. I was greatly pleased to receive the con- 
gratulations and good wishes of your Govern- 
ment and of the people of Honduras for success 
in our common battle for the principles of de- 
mocracy and freedom. 

Franklin D Roose\-elt 



938 

To President Somoza of Nicaragua 
The White House, Novemher 16, 19^2. 

I deeply appreciate Your Excellency's cordial 
message concerning the action of American 
Forces in French North Africa. The whole- 
hearted support which you and your Govern- 
ment have given to this action is both an expres- 
sion of the solidarity which exists among the 
United Nations and a contribution to the cause 
of continued freedom for the Americas. 

I take [etc.] Frankun D Koosemslt 

CONGRATULATORY MESSAGE FROM THE 
PRIME MINISTER OF IRAQ 

[Released to the press by the White House November 21] 

The Prime Minister of Iraq, Nuri es Sadi, 
has addressed to the President, under date of 
November 18, an open letter congratulating him 
on the successful operations in North Africa. 

Nuri Pasha is a devout Moslem and a distin- 
guished Arab soldier-statesman, as well as an 
outstanding personage in the Islamic world. 
He has been Prime Minister of Iraq six times 
and was intimately associated with Feisal, the 
late King of Iraq, as well as with Lawrence of 
Arabia, in the battles for Arab freedom in the 
first World War. 

The full text of the Prime Minister's letter 
follows : 

"Dear President RoosEVEi;r: 

"The news of the Anglo American landings 
in Morocco and Algiers certainly came as a tre- 
mendous surprise to all of us in Iraq and in the 
great exultation which overwhelmed us we did 
not realize the magnitude of the operation in- 
volved. It is only now when the full details 
have been revealed that we can appreciate it to 
the full. 

"In 1917 when great American forces were 
landed in France they entered a friendly coun- 
try; all port facilities were available to them 
and there was no land or air opposition. Far 
different was the case when you sent your ex- 



DEPAETMENT OF STATE BULLETIN 

pedition to North Africa. Great risk not only 
had to be faced in the long sea journey but from 
all the resources of the Axis powers in the air 
and on the sea. Nor was it certain what would 
be the attitude of the French forces in North 
Africa. Although it was known that French 
feeling was always in favor of the allies yet the 
possibility of active opposition by the profes- 
sional elements in the French forces had to be 
taken into consideration. 

"Mr. Churchill has told us that the plan orig- 
inated in your brain, Mr. President. We are 
accustomed to expect gi'eat things from you, the 
originator of the new deal and the man who 
converted the United States of America into 
one gigantic arsenal for democracj'. But the 
planning that was necessary for the equipment 
and embarkation of this great force involving 
500 transports and 350 escorting warships, and 
all this in absolute secrecy, was a magnificent 
achievement in itself, for which General Eisen- 
hower and Admiral Cunningham and their staff 
deserve the highest praise. 

"This lightning blow to Axis pretenses in the 
Mediterranean now constitutes a threat to the 
weakest link in the Axis chain and, when 
Tunisia is occupied Italy will have to be heavily 
reinforced by Germany if the death throes of 
the Axis are to be postponed. 

"As a soldier I have been impressed with this 
stupendous undertaking and I am still amazed 
at the daring of the conception, the perfection 
of the organization and the magnitude of the 
achievement. 

"Your generals working in close cooperation 
with their British colleagues have proved their 
abilitj' to make great and elaborate plans and 
to carry tliem into execution with the mechan- 
ical rfficienc}', associated in our mind with your 
great country. The whole Mediterranean 
scene has been changed in a few days and all 
the friends of the United Nations and partic- 
ularly the Arab races of North Africa and the 
Near East are full of rejoicing and grateful to 
you personally as the originator of this great 
action." 



NOVEMBER 21, 1942 



939 



UNITED STATES RELATIONS WITH THE 
VICHY GOVERNMENT 

EXCHANGE OF DIPLOMATIC AND 
CONSULAR PERSONNEL 

I Rcloaspd to the press November 16] 

(Vrtain members of the French Embassy, 
inrludiiijr the Ambassador, the Naval, Military, 
and Air Attaches in the Embassy, and certain 
civilian members of the Embassy staff, are pro- 
ceeding November 17 to Hershey, Pa., to await 
exchanfre for the American Embassy members 
in France. 

Assembly of the French Consuls at Hershey 
has been purposely delayed as certain members 
of the various consular staffs will not be re- 
quired to be assembled at Hershey. Separate 
announcements will be made later in connection 
with them. 



t ORRESPONDENCE BETWEEN THE SECRETARY 
(If ST.ATE AND THE HONDURAN FOREIGN 
MINISTER 

(Released to the press November 16] 

The following telegrams have been exchanged 
betw een the Minister of Foreign Affairs of Hon- 



duras and the Secretary of State of the United 
States of America: 

[Translation] 

"November 11, 1942. 

"In behalf of the Government and people of 
Honduras I express to Your Excellency most 
cordial congratulations at the attitude taken by 
your Government in breaking relations with the 
Vichy Government and at the same time I as- 
sure you of the solidarity of the Government 
of Honduras in all such measures as the Gov- 
^■rnment of the United States may adopt in the 
future against countries enemies of the democ- 
racies. 

"I renew [etc.] Salvador Aguirkb''' 



"November 14, 1942. 

"I deeply appreciate your cordial message 
of congratulations concerning the action of 
this Government in breaking off relations with 
the Vichy Government. The vigorous attitude 
assumed by the Republic of Honduras against 
the enemies of democracy is indeed a most val- 
uable contribution to the cause of the United 
Nations. 

"I take [etc.] Cordell Hulx," 



NEW YORK HERALD TRIBUNE FORUM 
ADDRESS BY THE UNDER SECRETARY OF STATE' 



IRcIrased to the press November 18] 

Tonight we of the United Nations have the 
riglit to look ahead, not only with hope and 
with passionate conviction but with the assur- 
ance which high military achievement affords 
to the ultimate victory which will presage a 
free world. 

None of us are so optimistic as to delude 
oui-elves into the belief that the end is in 
sight ; or that we have not still before us grave 
obstacles, dark days, reverses, and great sac- 
rififps yet to be undergone. But the tremen- 



' 1 Klivered by the Honorable Sumner Welles in New 
Y.irk, X.Y., Nov. 17. 1942. 



dous initial effort, in the case of our own coun- 
try, of transforming the inertia of a democracy 
of 130 millions of people at peace into the 
driving, irresistible energy of 130 millions of 
American citizens aroused and united in war. 
has been successfully made. 

The first months of confusion and of cross- 
currents are past. The men and women of 
the United States are now enabled to see for 
tlicmselves the development of the strategic 
moves in which their Commander in Chief and 
their military and naval leaders are engaged. 
They are able to appreciate the amazing nature 
of the feat realized in the occupation of North 



940 



DEPARTMENT OF STATE BULLETESf 



Africa and to recognize the time and the extent 
of the preparation required for this gigantic 
task. 

They now realize that the prodding of our 
self-appointed pundits who were constantly de- 
manding the creation of a second front was 
not required and that the carefully thought- 
out plans for the second front now in being 
liad long since been conceived and were already 
in process of realization while the clamor of 
these critics went on. 

They can now fully evaluate the lack of vision 
and of knowledge of those who demanded the 
abandonment of our whole policy toward the 
French people, at the very moment that that 
policy was afforded the striking opportunity of 
proving its full worth — its full worth to the 
cause for wliich we fight and its full worth in 
preserving the soul of France during the dark- 
est days she has ever known : France, the birth- 
place of so many of those principles of human 
liberty for which we and the people of France 
once more battle today. 

They realize that we have in North Africa 
but one objective — the defeat of the Axis 
forces — which will bring with it the liberation 
of the people of France. During these first 
daj's all arrangements which we may make with 
Frenchmen in North Africa are solely military 
in character and are undertaken — properly — 
by the American and British military com- 
manders. It is the hope of all of us that all 
Frenchmen who represent or who are part of 
the forces of resistance to Hitler will unite as 
one in the support of our military endeavor. 

And so the clouds are lifting — the clouds of 
doubt and of disparagement and of lack of self- 
confidence. We can all see more clearly how 
inevitable has now become the final conquest 
of the armies of that criminal paranoiac whom 
the German people were so benighted as to ac- 
claim as their leader; how crushing will at long 
last be tlie defeat whicli the Japanese hordes 
and their military leaders will suffer in just 
retribution for the treacherous barbarity which 
they have been inflicting upon the world dur- 
ing the past 11 years. 



How can we achieve that free world, the at- 
tainment of which alone can compensate man- 
kind for the stupendous sacrifices which human 
beings everywhere are now being called upon to 
suffer? 

Our military victory will only be won, in 
Churchill's immortal words, by blood and tears, 
and toil and sweat. 

It is just as clear that the free world which 
we must achieve can only be attained, not 
through tlie expenditure of toil and sweat alone 
but also through the exercise of all the wisdom 
which men of today have gained from the ex- 
perience of the past, and by the utilization not 
only of idealism but also of the practical knowl- 
edge of the working of human nature and of 
the laws of economics and of finance. 

What the United Nations' blueprint impera- 
tively requires is to be drafted in the light of 
experience and of common sense, and in a spirit 
of justice, of democracy, and of tolerance, by 
men who have their eyes on the stars but their 
feet on the groimd. 

In the fundamentals of international rela- 
tionships there is nothing more fatally dan- 
gerous than the common American fallacy that 
the formulation of an as23iration is equivalent 
to the hard-won realization of an objective. 
Of this basic truth we have no more tragic proof 
than the Kellogg-Briand pact. 

It seems to me that the first essential is the 
continuous and raj)id perfecting of a relation- 
ship between the United Nations so that this 
military relationship may be further strength- 
ened by the removal of all semblance of disunity 
or of susi^icious rivalry, and by the clarification 
of the free-world goals for which we are fight- 
ing, and so that the form of international or- 
ganization determined to be best suited to 
acliieve international security will have de- 
veloped to such an extent that it can fully 
operate as soon as the present military partner- 
ship lias achieved its purpose of complete 
victory. 

Another esscutiiil is the reaching of agree- 
ments between the United Nations before. the 
armistice is signed upon those international 



NOVEMBER 21, 1942 



941 



adjustniiMits, bused upon the iiuivei-sal prin- 
ciples of the Atlantic Charter and pursuant to 
the pledfjes contained in our nuitual-aid agree- 
ments with many of our allies, which we be- 
lieve to be desirable and necessary for the main- 
tenance of a peaceful and prosperous world of 
the future. 

We all envisage the tragic chaos and anarchy 
which will liave engulfed Europe and a gi'eat 
I)art of the rest of the world by the time Hitler's 
brief day is done and when he and his accom- 
plices confront their judges. The United 
Nations' machinery for relief and rehabilita- 
tion must be prepared to operate without a 
moment's delay to alleviate the suffering and 
misery of millions of homeless and starving 
human beings if civilization is to be saved from 
years of social and moral collapse. 

'•No one will go hungry or without the other 
means of livelihood in any territory occupied 
by the United Nations, if it is humanly within 
our powers to make the necessary supplies avail- 
able to them. Weapons will also be supplied to 
tlie peoples of these territories to hasten the 
defeat of the Axis." This is the direction of 
the President to the Lend-Lease Administra- 
tor, to General Eisenhower, and to the Depart- 
ment of State, and it is being carried out by 
them to the full extent of their power and re- 
sources. The other United Nations, each to the 
full extent of its ability, will, I am sure, co- 
operate whole-heartedly in this great task. 

Through prearrangement certain measures 
such as the disarmament of aggressor nations 
laid down in the Atlantic Charter must like- 
wise be undertaken rapidly and with the utmost 
precision. 

Surelj' we should not again resort to the pro- 
cedures adopted in 1919 for the settlement of the 
future of the world. We cannot afford to per- 
mit the basic issues by which the destiny of hu- 
manity will be determined, to be resolved with- 
out prior agreement, in hurried confusion, by 
a group of harassed statesmen, working against 
time, pressed from one side by the j)opulnr 
demand for immediate demobilization aii<l 



ci-owdetl on the other by the exigencies of do- 
mestic politics. 

If we are to attain our free world — the 
world of the four freedoms — to the extent prac- 
ticable, the essential principles of international 
political and economic relations in that new 
world must be agreed upon in advance and with 
the full support of each one of the United Na- 
tions, so that agi'eements to be reached will im- 
plement those principles. 

If the people of the United States now believe 
as a result of the experience of the past 25 years 
that the security of our Republic is vitally af- 
fected by the fate of the other peoples of the 
earth, they will recognize that the nature of 
the international political and economic rela- 
tions which will obtain in the world, after vic- 
tory has been achieved, is to us a matter of 
profound self-interest. 

As the months pass, two extreme schools of 
thought will become more and more vocal : the 
first, stemming from the leaders of the group 
which preached extreme isolation, will once 
more proclaim that war in the rest of the world 
every 20 years or so is inevitable, that we can 
stay out if we so desire, and that any assump- 
tion by this counti"y of any form of responsi- 
bility for what goes on in the world means our 
unnecessary involvement in war; the other, of 
which very often men of the highest idealism 
and sincerity are the spokesmen, will maintain 
that the United States must assume the burdens 
of the entire globe, must see to it that the stand- 
ards in which we ourselves believe must im- 
mediately be adopted by all the peoples of the 
earth and must undertake to inculcate in all 
parts of the world our own policies of social 
and political reform whether the other peoples 
involved so desire or not. While under a dif- 
ferent guise, this school of thought is in no way 
dissimilar in theory from the strange doctrine 
of incipient ''bear the white man's burden" im- 
perialism which flared in this country in the 
first years of this century. 

The people of the United States today realize 
(liat the adoption of either one of these two 



496601—42- 



942 



DEPARTMENT OF STATE BTILLETm 



philosophies would prove equally dangerous to 
the future well-being of our Nation. 

Our free world must be founded on the four 
freedoms : freedom of speech and of religion — 
and freedom from, want and from fear. 

I do not believe that the two first freedoms — 
of speech and of religion — can ever be assured 
to mankind, so long as want and war are per- 
mitted to ravage the earth. Freedom of speech 
and of religion need only protection; they re- 
quire only relief from obstiniction. 

Freedom from fear— the assurance of peace — 
and freedom from want — the assurance of indi- 
vidual personal security — require all the imple- 
mentation which the genius of man can devise 
through effective forms of international coop- 
eration. 

Peace — freedom from fear — cannot be as- 
sured until the nations of the world, particu- 
larly the great powers, and that includes the 
United States, recognize that the threat of war 
anywhere throughout the globe threatens their 
own security — and until they are jointly willing 
to exercise the police powers necessary to pre- 
vent such threats from materializing into armed 
hostilities. 

And since policemen might be tj^-ants if they 
had no political superiors, freedom from fear 
also demands some form of organized interna- 
tional political cooperation, to make the rules 
of international living and to change them as 
the years go by, and some sort of international 
court to adjudicate disputes. With effective 
institutions of that character to insure equity 
and justice, and the continued will to make them 
work, the peoples of the world should at length 
be able to live out their lives in peace. 

Freedom from want requires these things : 

People who want to work must be able to find 
useful jobs, not sometimes, not in good years 
only, but continuously. 

These jobs must be at things which they do 
well and which can be done well in the places 
where they work. 



They must be able to exchange the things 
which they produce, on fair terms, for other 
things which other people, often in other places, 
can make better than they. 

Efficient and continuous production and fair 
exchange are both necessary to the abundance 
which we seek, and they depend upon each other. 
In the past we have succeeded better with pro- 
duction than exchange. Production is called 
into existence by the prospects for exchange, 
prospects which have constantly been thwarted 
by all kinds of inequalities, imperfections, and 
restrictions. The problem of removing obsta- 
cles to fair exchange — the problem of distribu- 
tion of goods and purchasing power — is far 
more difficult than the problem of production. 

It will take much wisdom, much cooperative 
effort, and much surrender of private, short- 
sighted, and sectional self-interest to make these 
things all come true. But the goal is freedom 
from want — individual security and national 
prosperity — and is everlastingly worth striving 
for. 

As mankind progresses on the path toward 
the goal of freedom from want and from fear, 
freedom of religion and of speech will moi"e 
and more become a living reality. 

Never before have peace and individual se- 
curity been classed as freedom. Never before 
have they been placed alongside of religious 
liberty and free speech as human freedoms 
which should be inalienable. 

Upon these four freedoms must rest the struc- 
ture of the future free world. 

This time there must be no compromise be- 
tween justice and injustice; no yielding to ex- 
pediency; no swerving from the great human 
rights and liberties established by the Atlantic 
Charter itself. 

In the words of our President: "We shall 
win this war, and in Victory, we shall seek not 
vengeance, but the establishment of an interna- 
tional order in which the spirit of Christ shall 
rule the hearts of men and of nations." 

We won't get a free world any other way. 



NOVEMBER 2 1, 1942 

ADDRESS BY THE AMERICAN AMBASSADOR TO THE SOVIET UNION 



943 



IRolonsi'il to till" pross Novi>iiiber IS] 

I ivci'iitly ri'tuinoil from Kuibyshev, at one 
time !i ilusty, provincial city on the lower Volga 
River, Imt today tnnisfornieil by the war into a 
large industrial metropolis. Off and on during 
the last six months I have had the unique occa- 
sion closely to observe the Russian nation and 
people in their great war effort. In Kuibyshev 
and the surrounding countryside, as well as in 
other Russian cities visited, I believe that I have 
learned one of the real reasons, perhaps the 
principal one, why for a second summer the 
heroic armed forces of the Soviet Union have 
been able to fight the Nazi aggressors to a stand- 
still. There are deeper reasons for Russia's 
great success than tlic stubborn and bi-ave te- 
nacity of the Red Army, its proved elKciency, 
and willingness to die rather than to retreat. 
Thei-e is the alI-imi:)ortant, self-sacrificing devo- 
tion of every man, woman, and youth in the 
Soviet Union to their Army and to the cause for 
wliich it fights. There is that complete unity of 
effort which, in mj' humble opinion, is the driv- 
ing power which motivates the entire Soviet 
nation today — the Government, the military, 
the people behind the lines, the Russian men and 
women of Kuibyshev. 

There is today in the Soviet Union a tenet or 
principle that has almost a religious fervor in 
its application. Tliat principle is characterized 
by the slogan "Vsyo Dlya Fronta", or — to trans- 
late my faulty Russian — "Everything for the 
Front"'. And I may state, that our great Rus- 
sian allies have without complaint or hesitation 
given in fact everything for the front. The 
production of consumers' goods of all descrip- 
tion, household equipment, clothing, luxuries 
that we would consider necessities in the United 
States, has long been stopped and been replaced 
by front-line production; shops are practically 
empty and food is severely rationed. Yet the 

'Delivered by Admiral William H. Standley before 
the New York Herald Tribune Forum, New York, N.Y., 
Nov. 17, 1942. 



spirit ami morale of those Ru.ssian men and 
women behind the lines is magnificent, and their 
.stubborn fortitude in the face of adversity, their 
unified determination to see this war through to 
victoi'y ami freedom, in spite of privations and 
sacrifices that we in this country might well find 
insup|)ortal)le, have made on me the dee[)est im- 
[)ressi()n of admiration and respect. The great- 
est victories of history have been those in defense 
of liberty and freedom. From Valley Forge 
and Waterloo to the Battle of Britain, Midway, 
and Stalingrad, the human spirit has been re- 
vealed in its noblest form when defending a 
cherished way of life against those who seek to 
destroy or change it. In such a cause a whole 
people figlits as one man, and it is just this uni- 
fied effort and self-sacrificing devotion of the 
l^eople of Russia that has deeply touched my 
heart as much as it has won my everlasting 
respect and admiration. 

During my stay in Russia I have also been 
impressed by the striking similarities between 
the xVmerican and Russian people. We have a 
great deal in common : the same sense of humor, 
the same readiness to accept new ideas, the same 
openness of character which some people often 
consider as childishness, the same generosity of 
thought and action, a common disrespect for 
tradition, and a common contempt for pettiness 
and narrowness in thought and action. Such 
similarities are doubtlessly born of those his- 
toric and geographic conditions which the two 
countries have in common : the continental char- 
acter of the countries, uniting in each case the 
Atlantic with the Pacific Ocean, from east to 
west, and the tropics with the northern shores, 
from south to north; the effect of frontier con- 
ditions throughout the course of centuries; the 
great agrarian plains with the leveling and 
broadening effect on those who cultivate them; 
the common sense of affinity to — and yet distinc- 
tion from — western European culture. All these 
have contributed to the development of certain 
common characteristics which enable Russians 



944 



DEPABTMENT OF STATE BULLETIN 



and Americans to overcome very quickly the 
differences in background and customs which 
separate them and to understand one another 
readily as human beings. As a result of simi- 
lar experiences derived from centuries of strug- 
gle to hew a civilization out of a wilderness and 
from their determined effort to improve their 
own lot by their own labor, the American and 
Kussian people, despite the vast spaces which 
separate them geographically, have always had 
a special understanding of each other and of 
each other's problems. It is clear that the ex- 
periences which they are sharing in common in 
their efforts just now to combat the world's 
forces of aggression must inevitably deepen this 
understanding. 

These common characteristics have contrib- 
uted as much, I believe, to the traditional friend- 
ship between the two countries as the funda- 
mental and permanent factors arising out of 
geographic and historic conditions. The effect 
of these factors may frequently be nullified for a 
short time by the momentary changes or eccen- 
tricities of world politics, but they make them- 
selves felt in the end and cannot be ignored in 
any attempt to evaluate the long-range rela- 
tionsliip of any two nations. During the nine- 
teenth century — ever since John Quincy Adams 
went to Russia in 1809 as our first diplomatic 
representative — the cordiality, friendship, and 
cooperation between Russia and the United 
States were consistent and relations were char- 
acterized by such manifestations of liarmonious 
international cooperation and f riendsliip as the 
demonstration of good-will by the Russian Gov- 
ernment in 18G3 when it sent its fleet to Amer- 
ican waters at a time when there appeared a 
danger of Anglo-French intervention in the 
American Civil War; as the final transfer of 
Alaska in 1807 after 20 years of negotiations; 
as the dispatch by the United States of food 
shipments to Russia in 1892 to relieve the famine 
conditions in that country; and as shown by 
other instances too numerous to mention. Dur- 
ing the first part of the twentieth century there 
have been occasions when differences have arisen 
in the political relations between the two coun- 
tries, but these differences should be considered 



as temporary features in these relations and 
not permanent characteristics of them. Not- 
withstanding such differences the two nations 
in this period and on two terrible occasions 
joined hands against a common enemy with a 
conmion interest in heart : the fi-eedom of man- 
kind and the betterment of civilization. 

After the first World War, as Vice President 
Wallace so ably pointed out on November 8, 
Russia and the United States had their "bitter 
experience with isolationism", which in some re- 
spects contributed to the inevitability of the sec- 
ond World War. I sincerely hope that both 
countries have learned their lesson and realize 
that the new democracy so well described by 
the Vice President as some practical balance 
between economic and political democracy, a 
balance foreseen by the charter of the United 
Nations, can only be perpetrated by the whole- 
hearted collaboration between those United 
Nations. We all know that American foreign 
policy, founded on the desire to develop our 
intercourse with other countries in a manner 
which would not only be to the advantage of 
them and ourselves but to that of the whole com- 
munity of nations, has by its geographic posi- 
tion fortunatelj' been aided in its development 
by the privilege of enjoying peaceful conditions 
during the greater part of its historj' ; that the 
foreign policies of the majority of the conti- 
nental states of Europe bj' their geographic po- 
sitions and historical conditions have been 
generally influenced by a fear of the next war 
and that, therefore, their normal peace-time re- 
lations in the past have been guided by the de- 
tenninations and the potentialities of the next 
war. I say, and I pray, "in the past." For the 
belief in permanentl}- profitable, normal peace- 
ful relations between the nations of the world, 
the conviction that such can be the new order 
of the world, must prevail if our civilization 
is to endure ; and I believe that we, the United 
Nations, can enforce such an order if we are 
prepared to enter into that full spirit of coop- 
eration and unity of effort that the common 
people of the world demand of us. The policy 
of national isolation in an international coali- 



NOVEMBER 21, 1043 



945 



tion of nutions must be buried with such other 
antiquated foniiuhie us tiie assertion that dif- 
ferences in political ideologies an,d social sys- 
tems of the United Xiitions preclude the possi- 
bility ami expeditiousness of joint action and 
sincere collaboration in time of war as well as in 
time of peace. We, the United Nations, are 
dedicated to a policy of cooperation in war and 
in peace, founded on a basis of mutual self-sac- 
rifice, and we in the United States as elsewhere 
must realize that real sacrifices must be made if 
we are to avoid the horrors of another war. 
The solid benefits of an enduring peace so 
greatly outweigh the transient advantages of a 
temporary respite between wars that we should 



have no hesitation in entering into that whole- 
hearted post-war family of nations — call it 
union, society, or league, the name is immaterial, 
the spirit is what really counts — that can only 
bring to this world the peace and prosperity 
that my friends in Kuibyshev are so anxiously 
praying for. 

When final victory is ours, each one of the 
United Nations will have contributed at vari- 
ous times and under various circumstances their 
full share, and I am confident that the ties we 
have forged in battle will be translated into 
even closer cooperation and unity in peace and 
in the great task of peaceful reconstruction that 
will be before us in the future. 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN, NOVEMBER 19 



(Released to the press Xovember 20] 

Since my return to the United States, after 
several months of virtual imprisonment in 
Tokyo, I have taken every opportunity to im- 
press upon the American people the nature of 
the enemy which confronts them in the Orient. 
I have visited a good many cities and spoken 
to thousands of Americans. And I have heard 
all too often the expression of a belief which 
holds great danger for the United States and 
the United Nations — great danger for our com- 
mon cause. This belief is that we can easily de- 
feat Japan "when we get around to it". Such a 
belief can arise only from ignorance — ignorance 
of Japan's purposes, Japan's methods, and 
Japan's fighting machine. One of the fallacies 
on which this belief is founded is the notion that 
because he is small of stature the Japanese 
soldier can easily be defeated once we make up 
our minds to it. 

Perhaps no more effective refutation of this 
mistaken notion could be found than the ex- 
perience of an American Army officer who 
served as a company officer with a Japanese in- 
fantry regiment several years ago. 

This officer, reporting on one of the many 
maneuvers which the troops engaged in during 

'Delivered by the Honorable Joseph C. Grew before 
an Office of Civilian Defense audience at Omaha, Nebr., 
Nov. 19, 1942. 

495601—42 3 



his relatively brief stay with them, tells how 
they started out in a driving rain one evening 
for a camp 25 miles away. The march was over 
at seven the next morning — a march imder- 
taken in a steady downpour. On arrival the 
troops were set to work cleaning equipment for 
inspection at noon. 

After two days of hard work at firing practice 
and combat problems, the 25-mile hike back was 
begim at four in the morning and completed in 
a burning heat at two o'clock that afternoon. 
When the battalion was dismissed, the com- 
mander of one company double-timed his weary 
men three times around the area of the bar- 
racks. When the American officer asked the 
reason for this unusual procedure, the com- 
mander replied : "I want to prove to them that 
they still have lots of 'go' in them." 

It is that spirit, that determination to endure 
beyond the point of apparent endurance, which 
we have to deal with in the Japanese enemy. 

The same American officer tells how this 
grueling training grew steadily more rigorous 
until it was climaxed by operations so tiring 
that soldiers slept while they marched and one 
lieutenant woke up only when he walked 
squarely into a lumber pile at the side of the 
road. A 4-day period of military exercises be- 
gan with a march lasting 29 hours without in- 
terruption for sleep. After a brief pause the 



946 



DEPARTMENT OF STATE BtJLLETIN 



troops were ordered to take up defensive posi- 
tions, and at nightfall virtually every man not 
on post as sentry was put at patrolling duty 
of some sort. 

"Why not let some of the men sleep?" the 
American officer inquired. 

"That is not necessary," a Japanese officer told 
him. "They already know how to sleep. They 
need training in how to stay awake." 

Through training, through such toughening 
processes, and through maneuvers so realistic 
that deaths often result, the Japanese soldier 
has been made as formidable a fighter as any in 
the world. In the type of jungle fighting at 
which he excels, his small stature may even b(! 
an advantage to him. Certainly his ability to 
exist on meager rations and food that would be 
considered dangerously inadequate for our 
forces simplifies the problem of supply which is 
a basic consideration in military operations. 

But what gives the Japanese soldier his 
strength, this endurance ? 

Observers are agreed that the emotional at- 
titude which we call morale has been so culti- 
vated by incessant training from childhood that 
the Japanese fighter considers no honor so great 
as that of giving his life for his country. For 
in Japan it is a matter of social — or perhaps we 
should say tribal — prestige for a man to go into 
uniform. His departure for military training 
or for regular duty with the Army is always the 
occasion of a celebration. This much, at least, 
of feudalism remains in Japanese civilization : 
that the fighting man is the person of highest 
prestige in the community. It is a privilege for 
a Japanese to join the Army. 

Japanese officers, when asked for an explana- 
tion of the hardihood of their men, insisted that 
it was due to the flag carried at the head of the 
regiment during marches. The flag, they 
claimed, represented the incarnation of imperial 
divinity; it symbolized the supreme ruler of ths 
race in whose name the fighting was to be done. 
It takes no profound knowledge of psychol- 
ogy to recognize that men who have this per- 
sonal conviction, this devotion to a cause which 
however mistaken or even misunderstood can 
be personified and thus reduced to human 
terms — it takes no profound knowledge to ap- 



preciate the importance in terms of military 
strength of such an attitude. 

In order to strengthen this sense of personal 
devotion, the Japanese soldier is taught to re- 
vere his rifle as the old samurai revered his 
sword. The issuing of rifles to new conscripts is 
made a ritual in the Japanese Army. The com- 
pany is lined up while the commanding officer 
explains the honor of being entrusted with the 
rifle. The samurai regarded his sword as his 
soul; so must the modern soldier regard his 
rifle, he says. Then each man, as his name is 
called, steps forward, bows deeply to the rifle, 
receives it, raises it with a dedicatory move- 
ment to his forehead, and steps back into line. 

The results of this training may be seen in 
the unprecedented military victories Japan has 
enjoyed within the past year. Within a period 
of four months the Japanese invaded the Phil- 
ippines, Malaya, Burma, Borneo, Sumatra, 
Java, and many other islands of the Pacific. 
They occupied Hong Kong and one of the 
world's greatest naval bases, Singapore, which 
had been thought impregnable. Within a pe- 
riod of four months they had gained control of 
an area extending more than 3,000 miles beyond 
their home islands. They had gained control 
over the huge and vital supplies of rubber, tin, 
oil, rice. 

Let us not deceive ourselves into thinking 
that these victories were anything short of 
phenomenal. Let us not suppose that they were 
made jiossible by luck or even by the initial 
treachery with which they were launched. Let 
us face the fact of overwhelming defeat in order 
that we maj' be honest with ourselves — in order 
that we may fully understand the strength of 
the enemy we have to deal with. 

And let us not suppose that having gained 
this immensely wealthy empire — this territory 
with all its resources for which they have been 
longing for years — let us not suppose that the 
Japanese are simply waiting for us to come back 
and take it after we have polished off the war 
against Germany. 

Far from it. Tlie Japanese are feverishly 
developing the resources they have taken in 
order to build up a mighty armament to repel 
any foe. They are rebuilding roads and 



NOVEJrBER 21, 1942 



947 



bridges, extending power plants, drilling oil 
wells, o{^)orating the mines. Tlicy have even 
projected a railroad from Shanghai to Singa- 
pore in order to reduce their dependence upon 
sea traffic. The rubber, the tin, the oil are being 
converted as rapidly as they can convert them — 
and the Japanese are indefatigable workers — 
into instruments of war. 

Every week, every day that passes with the 
Japanese in control of these riches prolongs the 
war in the Orient, increases the difficulty of our 
task, and in effect demands the sacrifice of more 
American lives. For every day of occupation 
gives the Japanese a chance to exploit their re- 
sources and consolidate their gains. 

Every day the horde of administrators who 
have descended upon the lands of the Pacific 
taste the pleasures of appropriating the riches 
which generations of enterprise have built up. 
They see taking shape under their hands an 
empire so richly endowed that to exploit it after 
the ruthless fashion they have determined on, 
without thought of the welfare of the native 
peoples who toil for them, would make Japan 
mistress of half the world and an ever-present 
threat to the rest. 

We know, from the accounts which have 
leaked out of the occupied areas, what such con- 
quest means. It envisions the complete Japa- 
nization of the conquered lands and people. 
Yet not quite complete. For while the natives 
are forced to work for the master race, while 
the economic life is entirely under Japanese 
domination, while the natives are taught the 
Japanese language in order that they may un- 
derstand the commands of tlieir masters and be 
influenced by the spurious history they teach, an 
impassable gulf separates them from the con- 
querors. They can never hope to be admitted 
to the privileges of Japanese. The whole 
burden of Japan's so-called "cultural program" 
in tiie conquered lands is to teach their own 
uniqueness as the divinely ordained master race 
and the obligation of the conquered to accept 
this difference. 

If we allow this conqueror to feed upon the 
riches of Asia in the hope that he will not make 
the most of his opportunities to entrench and 



strengthen himself — if we believe that he will 
not address every ounce of liis energy to consoli- 
dating his gains and exploiting his riches — then 
we shall have made a mistake which can never 
be expunged from the pages of history. To our 
children the words Japan and Asia may become 
synonymous, and for centuries to come the fear 
of this powerful enemy across the Pacific will 
make impossible a return to the ways of peace. 
America will perforce remain an armed camp. 
Tlie fear of invasion will hang over us like 
the sword of Damocles. Peace will be only a 
word — never an experience or a reality. 

Let us make no mistake: for total victory we 
must have total sacrifice, here and now. The 
Japanese is a thorough and ruthless foe, and 
nothing less than all our effort, all our cleter- 
niination will bring peace and security in our 
time. At this very moment thousands — yes, 
millions — of Japanese soldiers, administrators, 
and merchants are swarming over the conquered 
lands, entrenching themselves against the strug- 
gle with us which they know will come. No one 
here tonight can afford to give less than all his 
energy to assist in their utter defeat. 

The future is theirs or ours. There is no 
other choice. 

SUPREME COURT OPIMON IN THE 
SABOTEUR CASES 

The opinion of the United States Supreme 
Court in the "Saboteur Cases", denying peti- 
tioners' applications for leave to file petitions 
for habeas corpus, decided on July 31, 1942 by 
per curiam opinion in advance of preparation 
of a full opinion, was announced on October 29, 
1942. Mr. Chief Justice Stone delivered the 
opinion, which was unanimous. Mr. Justice 
Jfnrphy took no part in tlie consideration or 
decision of the cases. 

The opinion was confined to the question 
whether it was "within the constitutional 
jjower of the national government to place pe- 
titioners upon trial before a military commis- 
sion for the offenses with which they are 
charged". The Court ruled that the acts 
charged by the first specification constituted the 
offense of "unlawful belligerency", which the 



948 

Constitution does not r -squire to be tried by 

jury. 

The Court decided that by definitions by the 
Government of "lawful belligerents" entitled 
to be treated as prisoners of war under rules and 
orders of the War Department, by the provi- 
sions of article 1 of the Annex to Hague Con- 
vention IV of 1907, to which the United States 
is a party, and by a long course of practical 
administrative construction by the military au- 
thorities of the United States, the Government 
has recognized that those "who during time of 
war pass surreptitiously from enemy territory 
into our own, discarding their uniforms upon 
entry, for the commission of hostile acts involv- 
ing destruction of life and property, have the 
status of unlawful combatants punishable as 
such by military commission". 

It was also stated in the opinion that the 
Fifth and Sixth Amendments to the Consti- 
tution of the United States did not enlarge the 
right to jury trial as established by section 2 of 
Article III thereof. {Ex parte Quinn. et al.; 
U. S. ex rel, v. Brig. Gen. Albert L. Cox, 
U.S.A., Provost Marshal of the Military Dis- 
trict of Washington, Nos. 1-7, July Spec. Term, 
1942.) 

DIRECTOR OF FOREIGN RELIEF AND 
REHABILITATION OPERATIONS 

[Released to the press by the White House November 21] 

It was announced at the White House Novem- 
ber 21 that Governor Herbert H. Lehman of 
New York will resign as Governor on or about 
December 3, next, in order to become associated 
with the Department of State as Director of 
Foreign Relief and Rehabilitation Operations. 
Governor Lehman will undertake tlae work of 
organizing American participation in the activi- 
ties of the United Nations in furnishing relief 
and other assistance to the victims of war in 
areas reoccupied by the forces of the United 
Nations. 

This is a step in the President's program of 
mobilizing the available resources of this 



DEPARTMENT OF STATE BULLETIN 

country in food, clothing, medical supplies, and 
other necessities so that it may make an imme- 
diate and effective contribution to joint efforts 
of the United Nations in the field of relief and 
rehabilitation. Governor Lehman's appoint- 
ment assures that this country will play its part 
in such efforts. 

PROCLABIED LIST: CUMULATIVE SUP- 
PLEMENT 1 TO REVISION IV 

[Released to the press November 22] 

The Secretary of State, acting in conjunction 
with the Acting Secretary of the Treasury, the 
Attorney General, the Secretary of Commerce, 
the Board of Economic Warfare, and the Coor- 
dinator of Inter-American Affairs, on Novem- 
ber 22 issued Cumulative Supplement 1 to Ke- 
vision rV of the Proclaimed List of Certain 
Blocked Nationals, promulgated November 12, 
1942.' 

Part I of Cumulative Supplement 1 contains 
207 additional listings in the other American 
republics and 40 deletions; part II contains 84 
additional listings outside the American re- 
publics and 11 deletions. 

Effective with Cumulative Supplement 1 ad- 
ditions, amendments, and deletions are com- 
bined under the appropriate country headings 
instead of constituting separate sections as pre- 
viously. 

[Released to the press November 22] 

The Government of Brazil has informed the 
American Ambassador at Rio de Janeiro that 
the nationalization of the former German Con- 
dor aviation enterprise, begun well over a year 
ago, has been concluded. The Servi^os Aereos 
Condor, Ltda., through agreement between the 
Brazilian and the United States Governments, 
has accordingly been removed from the Pro- 
claimed List. 

Henceforth the company will be known, the 
Department has been informed, as Servigos 
Aereos Ci'uzeiro do Sul, Limitada. 



Federal Register 9671. 



NOVEMBER 21, 1042 



949 



The ranufications of the foniicr Gorman ele- 
ments and the legal complications deriving 
from the former interdependence between Con- 
dor and the German Lufthansa have required 
a great deal of time and careful investigation 
by the (lovernments of hotli countries. 

The United States Government has under- 
taken to render to the new company all possible 
assistance requested, such as technical operat- 
ing help, equipment, financing, and the loan of 
personnel, all contingent upon their being avail- 
able during the present wartime shortage. 



American Republics 



VISIT TO THE UiSTTED STATES OF THE 
PRESmENT OF ECUADOR 

His Excellency Carlos A. Arroyo del Eio, 
President of the Republic of Ecuador, will ar- 
rive in Washington November 23. where he will 
be received by an official reception committee, 
with military honors. The evening of his ar- 
rival he will be the guest of the President anrd 
Mrs. Roo.sevelt at the Wliite House, where a 
state dinner will be given in his honor. On 
November 24 President Arroyo will move to 
tiie Blair House for the remainder of his stay 
in Washington. He will visit the Capitol, 
Mount Vernon, Arlington National Cemetery, 
and the Naval Academy at Annapolis. Also, 
he will be honored at dinners to be given by the 
Secretary of State, the Under Secretary of 
State, and the Ambassador of Ecuador and at 
luncheons by the Governing Board of the Pan 
American Union; the Coordinator of Inter- 
American Affairs, Mr. Rockefeller ; and the As- 
sistant Secretary of State, Mr. Berle. On No- 
vember 27 President Arroyo will leave Wash- 
ington for visits to Detroit and Buffalo, where 
he will inspect war production plants; to the 
Military Academy at West Point; and to New 
York City, where he will be extensively enter- 
tained. 



VISIT TO THE UNITED STATES OF THE 
GUATEMALAN FOREIGN MINISTER 

[Released to the press November 18] 

llic Department of State takes pleasure in 
auriouncing that His Excellency Dr. Carlos 
Salazar, Guatemalan Minister of Foreign Af- 
fairs, is planning to arrive in Washington on 
November ."10, following a short visit in Mexico. 
He will be accompanied by the Honorable Del- 
fiuo Sanchez Latour, Chief of Protocol of the 
Guatemalan Foreign Ollice, and Senor Mendoza, 
his jjrivate secretary. Dr. Salazar is coming 
to Washington to discuss a number of problems 
of mutual interest to the Governments of Guate- 
nuila and the United States. He will be wel- 
comed not only as a distinguished representa- 
tive of his country but also as a steadfast and 
eloquent exponent of Pan American ideals. 

AGREEMENT WITH THE DOMINICAN 
REPUBLIC REGARDING CUSTOMS 
MATTERS 

An agreement, effected by an exchange of 
notes on November 14, 1942, between the Ameri- 
can Minister to the Dominican Republic and 
the Dominican Foreign Minister, by which the 
United States has agreed not to invoke the per- 
tinent provisions of the agreement with the 
Dominican Republic of September 25, 1924 (ac- 
cording mutual unconditional most-favored-na- 
tion treatment in customs matters), appears in 
this Bulletin under the heading "Treaty In- 
formation". 

AGREEMENT WITH MEXICO FOR REHA- 
BILITATION OF MEXICAN NATIONAL 
RAILWAYS 

The texts of notes, dated November 18, 1942, 
exchanged between the American Ambassador 
to Mexico and the Mexican Foreign Minister re- 
garding the joint rehabilitation of certain key 
lines of the Mexican National Railways, appear 
in this Bulletin under the heading "Treaty 
Information". 



950 



PEPARTMENT OF STATE BULLETIN 




COOPERATIVE TRAINING PROGRAM FOR 
PERUVIAN STUDENTS IN THE UNITED 
STATES 

[Rpleasfd to tlie preiss Noveinbci- 18] 

The Department of State announces that an 
exchange of notes has been effected with the 
Government of Peru whereby the two Govern- 
ments confirm an understanding designed to 
initiate a cooperative progi-um for the train- 
ing of Peruvian students in the United States. 

In accordance with this arrangement, the 
Government of Peru has set aside the sum of 
380,000 soles to be used to pay subsistence ex- 
penses of a selected gi'oup of students who will 
be brought to the United States on travel grants 
awarded by the Department of State. The In- 
stitute of International Education, 2 West 
Forty-fifth Street, New York, N.Y., and the 
Bolivarian Society of the United States, New 
York, N.Y., are cooperating in obtaining tui- 
tion scholarships from American universities 
to round out the contributions of the Peruvian 
and United States Governments to this pro- 
gram. 

The Peruvian Government has indicated its 
intention to select students in the following 
fields: Iron and steel metallurgy (2), technical 
processing of petroleum (2), geology (1), me- 
chanical engineering (1), industrial chemistry 
(1), electrical engineering (1), forestry (1). 
fisheries (1), horticulture (1), city planning 
(1) , medicine (2) , veterinary medicine ( 1) , and 
port-works construction (1). Terms of study 
will be one year, to be extended in special cases 
to two years. 

A committee has been appointed in Lima to 
select the most promising candidates for these 
scholarships, and it is hoped that the persons 
chosen will be able to begin their studies with 
the next term of the present academic year. 
The members of the selection committee are: 



Dr. Francisco Tudela, chairman 

Dr. Carles Mouge 

Dr. Enrique Laroza 

Dr. Arthur Dewey 

Mr. C. .T. Billwiller 

Mr. Pies Harper, adininistralire xccretnry 

The Department of State expresses its grati- 
fication that, with the cooperation of American 
institutions, it has been possible to work out this 
first cooperative arrangement with a govern- 
ment of one of the other American republics 
for the planned training in useful fields of a 
larger number of young persons than has been 
possible under previous arrangements. 



DISTINGUISHED VISITORS TO THE 
UNITED STATES FROM EL SALVADOR, 
HONDURAS, AND MEXICO 

[Released to the press November 20] 

Senor Leopoldo Barrientos, Chief of the Bu- 
reau of Agi'iculture of El Salvador, arrived in 
Wasliington on November 20 for a month's 
visit as a guest of the Department of State. 
He is here for the purpose of conferring with 
officers of the Department of Agriculture and 
of the Department of State in connection with 
the work of the agricultural experiment station 
that has recently been established in El Sal- 
vador and in resjDect to the training of agricul- 
tural per.sonnel, especially in the fields of re- 
searcii and extension. 



[Keloased to the press November IS] 

Seiior Jorge Fidel Duron, President of the 
Honduran Institute of Inter- American Culture, 
of Tegucigalpa, Honduras, and editor of the 
daily newspaper Am/rica Unkla and of the 
weekly Gaeeta Rotarui, arrived in Washington 
on November 18 for a two months' visit to this 
counti'y as a guest of the Department of State. 
His itinerary includes visits to universities, pub- 
lishing houses, newsi)apers and factories in New 
Yoi-k, Piiiladelphia, Boston, Chicago, San 
Francisco, and Los Angeles. 



NOVEMBER 21, 1942 



951 



[Released to the press November IG) 

Senor Manuel Toussaint, Director of the In- 
stitute of Art Research of the Nntitinai Uni- 
versity of Mexico and one of that country's 
outstanding historians and critics of art, arrived 
in Wa.-Iiin<rtoii November 15, at the invitation of 
the Department of State, for a visit to leading 
art centers in tliis country. He will make cer- 
tain studies of colonial monuments in Texas, 
Arizona, and New Mexico and will visit leading 
art institutes and museums in Washington, New 
York. Boston, Chicago, San Francisco, Los 
Angeles, and New Orleans. 

[Released to the press November 20] 

Senor Augustin Garcia Lopez, Director of 
tlie Institute of Comparative Law of Mexico, 
and Senor Alfonso Noriega, Secretary of the 
National University of Mexico, arrived in 
Washington on November 19 as guests of the 
Department of State. They were invited by 
the Liter-American Bar Association to repre- 
sent Mexico in the Congress of Comparative 
Law, which opened on November 19 in Wash- 
ington. Their itinerary includes visits to the 
law schools of several of our universities, where 
they will lecture on comparative law. 



The Foreign Service 



POSITION OF COUNSELOR OF EMBASSY 
FOR ECONOMIC AFFAIRS 

The following Foreign Service officers have 
been appointed as Counselors of Embassy for 
Economic Affairs at mi.ssions in seven of the 
other American republics: 

.Merwin L. I'.Dhati, Bnonos Aires, .\rgentina 
Walter J. Donnelly. Rio de Janeiro, Brazil 
Richard P. Butrick, Santiago, Chile 
Charles A. Livenjiood. Bogotil, Colombia 
Albert F. Nnfer. Habana, Cuba 
Thomas H. Lockett, Mexico, D. F., Mexico 
H. Lawrence Groves, Cariicas, Venezuela 



The duties of the Counselor of Embas.sy for 
Economic Affairs are as follows : 

He .shall have over-all responsibility for all 
economic activities in the Mission and shall 
report directly to the Chief of the Mission. It 
shall be his duty to coordinate the activities and 
efforts of the representatives of other agencies 
of the United States Government who are em- 
l)loyed ill work of a commercial or economic 
nature within the particular country. He shall 
act as the point of contact with the Mission for 
these representatives, in their various activities. 

Reports by these representatives to the Chief 
of Mission, or to their respective agencies in 
Washington, will be routed through the Eco- 
nomic Counselor. 

The creation of the position of Counselor of 
Emba.ssy for Economic Affairs is in part due 
to the recognized need, particularly in the Mis- 
sions in the other American republics, for a 
capable jjcrson in the Mission to be the recog- 
nized head of all agencies who have repre- 
sentatives in the field engaged in work of an 
economic nature. The creation of this position 
was found to be desirable to prevent the repre- 
sentatives of various agencies from working 
at cross purposes with each other, and to coor- 
dinate their activities with the implementation 
of over-all policy, as directed by the Chief of 
tht' Mission. 

A previous release regarding instructions for 
Foreign Service officers on economic work aris- 
ing from the war appeared in tlie Bulletin of 
October 31, 1942, page 887. 



DEATH OF CHARLES B. HOSMER 

1 Released to the press November 16] 

The following .statement has been issued by 
the Secretary of State: 

"It is with a feeling of deep personal grief 
that I announce the death at Harriman, Ten- 
nessee, on November 16, of Mr. Charles B. 
Hosmer, a Foreign Service Officer of Class I, 



9521 



DEPARTMENT OF STATE BULLETIN 



who, during the previous year, had been de- 
tailed as an Lispector in the Western Hemi- 
sphere. He was one of the Department's 
ablest officers and his record was one of out- 
standing public service. In addition, he was 
a personal friend whose counsel and aid I 
valued highly. 

"Mr. Hosmer recently returned to the United 
States from Mexico and was spending a few 
days of leave with his family in Tennessee when 
he was stricken with a heart attack. His many 
friends in Washington and abroad will sincerely 
mourn his loss. By reason of his interest and 
assistance in furthering all plans designed to 
improve and strengthen the Foreign Service, he 
earned both the admiration and the affection of 
his associates." 

The Secretary sent the following telegram to 
Mrs. Hosmer: 

"It is with a feeling of deep personal loss that 
I have learned of the passing of your distin- 
guished husband who was my friend and asso- 
ciate for many years. He was one of our ablest 
officers and his record is one of outstanding 
public service. I shall always be especially 
grateful for the thoroughly satisfactory way 
in which he carried out many difficult tasks 
which I personally assigned to him. Mrs. Hull 



and I join his countless friends in extending 
cieepest sympathy to you and to the members 
of the family in your irreparable loss. 

CoRDELL Hull" 

Mr. Hosmer was born in Hudson, Mass., on 
July 15, 1889. Following his graduation from 
the University of Maine in 1911, he practiced 
law until his entrance into the Foreign Service 
in 1919. His career was a distinguished one, 
covering assignments at Habana, Santo Do- 
mingo, Sherbrooke, Naples, and the Depart- 
ment of State. In the Department he held for 
several years the position of Chief of the Office 
of Fiscal and Budget Affairs, and, immediately 
prior to his assignment as Inspector, he was an 
Executive Assistant to Assistant Secretary of 
State Long. Upon the relinquishment of his 
duties in Washington, an exceptionally high 
tribute to his ability was paid to him by mem- 
bers of the Foreign Eelations and Appropria- 
tions Committees of Congress, with whom he 
had been associated in connection with legisla- 
tion of interest to the Department. 

Mr. Hosmer was also active in all Foreign 
Service organizations; he served as treasurer 
of the Foreign Service Jo-ui'nal for a number of 
3'ears and was vice president of the Foreign 
Service Association at the time of his death. 



Treaty Information 



CUSTOMS 
Agreement With the Dominican Republic 

[Rplp.'ised to the press Novoiiiber 17] 

In notes e.xchanged on November 14, 1942 be- 
tween Mr. Avra M. Warren, American Minister 
at Ciudad Trujillo, and Senor Arturo Des- 
pradel, Minister of P'oroign Relations of the 
Dominican Republic, the Government of the 
United States has agreed not to invoke the per- 
tinent provisions of the agreement with the 
Dominican Republic of September 25, 1924, 



according reciprocal unconditional niost- 
favored-nation treatment in customs matters 
(Treaty Series 700) , for the purpose of claiming 
the benefit of reductions in customs duties which 
are accorded by tlie Dominican Republic exclu- 
sively to Haiti and which are specifically pro- 
vided for in the treaty of commerce between 
those countries signed on August 26, 1941, as 
modified by an exchange of notes on March 24, 
1942. Similar notes were exchanged with the 
Government of Haiti (Executive Agreement 
Series 238 and 252) . 



NOVEMBER 2 1, 194 2 

The proihiots coiu-oriu'il sire empt}' sisal sucks; 
comnu'ivializoil natural medicinal waters; rugs, 
bags, and other novelty articles of sisal and 
iieneqiien; peanuts in tiie shell; millet; certain 
types of rum ; certain types of prepared cock- 
tails; aerated waters; manufactures of tor- 
toise shell, lignum-vitae, and mahogany ; ginned 
cotton; and sisal fiber. 

The texts of the notes follow. 

The Dominican Mitmter of Foreigii Relations 
to the American Minister 

(Translation] 

^Ir. ^Iimster: Novembek 14, 1942. 

I have the honor to inform Your Excellency 
that on August 26. 1941 a Commercial Agree- 
ment was signed in the City of Port-au-Prince, 
by means of which the Dominican Republic and 
the Eepublic of Haiti, in their situation as con- 
tiguous countries, established a special treat- 
ment in the commercial relations existing be- 
tween both peoples. The exchange of the rati- 
fications of this Commercial Agreement took 
place in tiiis Capital on March 23 of this year. 

This agreement, among other stipulations, 
establishes the reduction of Dominican import 
customs duties according to a list specifying the 
products which, upon being imported from 
Haiti, are to be introduced into our country 
with the reductions of the Dominican import 
tariffs set forth in the said list. 

The Government of the Dominican Republic 
has always supported the multilateral develop- 
ment of international commerce on the basis 
that the nations should enjoy access to the said 
conmicrce under equal conditions and be able 
to obtain, within those conditions, the raw ma- 
terials which they require for the satisfactory 
and prosperous development of their respective 
economies. 

In that connection, I have the honor to refer 
to the formula for contractual tariff prefer- 
ences between contiguous countries which the 
Inter-American Financial and Economic Ad- 
visory Committee has recommended. In ac- 
cordance with the spirit of that recommendation 
of the said Inter-American body, the Commer- 



953 

cial .Vgroemont referred to was concluded be- 
tween the Dominican Republic and that of 
Haiti. 

On March 24, 1942 notes were exchanged be- 
tween both Governments, by which some prod- 
ucts were added to the lists originally agi'eed 
upon. 

Since the modus vivendi agreed upon between 
the Dominican Rei)u])lic and the United States 
of America, dated September 25, 1924, provides 
that the tariff reductions which our country 
grants to otlier countries should benefit, in the 
manner indicated by the principles relating to 
the most-favored-nation clause, similar prod- 
ucts of United States manufacture and origin, 
I request Your Excellency to inform this Chan- 
cery if the Government of the United States of 
America, in view of all the aforesaid considera- 
tions, will consent not to invoke the clauses of 
the convention of September 25, 1924, already 
mc'iit ioned, for the purpose of claiming the bene- 
fit of the tariff preferences granted the contigu- 
ous state of Haiti, which (preferences) my Gov- 
ernment considers as adjusted to the conditions 
of the formula recommended by the Inter- 
American Financial and Economic Advisory 
Committee. 

I avail myself [etc.] Arturo Despradel 

The American Minister to the Dominican Minis- 
ter of Foreign Relations 

November 14, 1942. 

ExCELLENCr : 

I have the honor to acknowledge the receipt 
of Your Excellency's note of today's date in 
which you reiterate the adherence of j^our Gov- 
ernment to the principle of promoting the mul- 
tilateral development of international trade on 
the unconditional most-favored-nation basis 
and refer to the exclusive tariff reductions to the 
Republic of Haiti specifically provided for in 
the Commercial Agreement between the Do- 
minican Republic and that country signed on 
August 26. 1941. as modified by an exchange of 
notes on March 24, 1942 by which certain prod- 
ucts were added to the list specified in the Com- 
mercial Agreement. In this connection you 



954 

mention the contractual formula for tariff pref- 
erences to contiguous countries recommended on 
September 18, 1941 by the Inter- American 
Financial and Economic Advisory Committee, 
;ind inquire whether, in view of the Committee's 
recommendation and considering the special and 
unusual conditions affecting the trade between 
the Dominican Republic and Haiti, my Govern- 
ment would be willing to refrain from claiming, 
under the provisions of the modus vivendi be- 
tween our two countries of September 25, 1924, 
the benefit of the tariff preferences to the Repub- 
lic of Haiti specifically provided for in the Com- 
mercial Agreement of August 26, 1941 as modi- 
fied by the exchange of notes of March 24, 1942. 

I have the honor to inform Your Excellency 
tluit my Government, in view of the considera- 
tions set forth, agrees not to invoke the pertinent 
provisions of the modus vivendi for the purpose 
of claiming the benefit of such tariff preferences. 

Accept [etc.] A\-ra M. Wabren 

TRANSIT 

Agreement With Mexico for Rehabilitation 
of Mexican National Railways 

[Released to tlu' press November 19] 

Notes looking to the joint Mexican - United 
States rehabilitation of certain key lines of the 
Mexican National Railways were exchanged in 
Mexico City on November 18, 1942 by His Ex- 
cellency Ezequiel Padilla, Foreign Minister of 
Mexico, and the Honorable George S. Messer- 
sraith, American Ambassador to Mexico. A 
technical mission of United States railway 
experts has been sent to Mexico at the request 
of the Mexican Government to assist in the im- 
plementation of this joint program. 

United States Government agencies have pur- 
chased in Mexico extensive quantities of a long 
list of strategic materials urgently required for 
dii'ect war uses. The Mexican National Rail- 
ways are being called upon to carry a traffic bur- 
den which several times exceeds peacetime peak 
loads. Unless certain basic changes and im- 
provements n re made, these lines will not be able 
to stand up under the increasingly greater strain 



DEPARTMENT OF STATE BULLETIN 

now being placed upon them. In order that 
optimum efficiency in the operation of the rail- 
roads may be assured for the transportation of 
these vitally needed materials, not only from 
Mexico but also from Central America now that 
the Suchiate River bridge has been completed, 
through the joint efforts of the Guatemalan and 
Mexican Governments, to link the transporta- 
tion system of those two countries, work has 
already started to place the railways in condi- 
I ion to carry the needed tonnage. 

The Mexican Government and the Mexican 
National Railways will contribute a proportion- 
ate share of the material and equipment, as well 
as direct its operating facilities toward the full- 
est realization of the rehabilitation program. 
On its part, the United States will, through the 
Office of the Coordinator of Inter- American Af- 
fairs, supply certain material, equipment, and 
technical assistance necessary for the success 
of the joint undertaking. The United States 
Railway Mission in Mexico will be headed by 
Mr. Oliver INI. Stevens, former executive officer 
of the Missouri-Pacific Railroad and now Pres- 
ident of the American Refrigerator Transit 
Company. Mr. Stevens will have a staff of 
trained mechanical, track, and transportation 
t echnicians. 

Texts of the notes exchanged by Foreign Min- 
ister Padilla and Ambassador Messersmith are 
printed below. 

The Mi.rican Minister of Foreign Relations 
to the American Ambassador 

Mexico, Novemher 18, 191^. 
Mr. Ambassador: 

In conformity with Resolution II of the 
Third Consultative Meeting of the Ministers 
for Foreign Affairs of the American Republics 
held at Rio de Janeiro from the 15th to the 28th 
of Januai'y of the present year, the Mexican 
Government has used all the resources which 
it has at its disposal to bring about the mobi- 
lization of the economic resources of the Repub- 
lic, particularly in so far as concerns the pro- 
duction of strategic materials necessary for the 



NOVEMBER 21, 1942 

defense of the ln'iiiispluMv. In this ropard I am 
pleased to inform Your Excellency that tliis 
production is beiiigr achieved at a constantly ac- 
celerated pace for it is the firm intention of 
Mexico to unite its action with that of the 
United Nations in order to bring about defin- 
itive victory ajrainst the powers of the Axis. 

With this in view agreements have been 
made through which Mexico furnishes to the 
United States its exportable surplus of a long 
list of essential products. 

I have the satisfaction, at the same time, to 
inform Your Excellency that Mexican economy 
has reacted favorably to the constantly accel- 
erated strain to which it has been subjected as a 
consequence of this increase in production and 
also that there are indications which permit the 
assumption that the materials which will be 
furnished in 1943 will exceed by far the quan- 
tities which ha\e been made available during 
the current year. 

Unfortunately, the capacity which Mexico 
has to produce articles which are needed with 
so much urgency is greater than the possibilities 
of the Mexican system of transport to carry 
them from the mines, fields or forests where 
they are extracted or produced to the places 
where they are exported, manufactured or con- 
sumed. 

The burden which is now being borne by 
the National Railways surpasses by far the 
maximum freight limit which it could reason- 
ably have been supposed that they would carry 
in time of peace. If the United Nations in gen- 
eral, and Mexico and the United States of 
America in pariiiular, are to benefit to the maxi- 
mum by our common effort, it will be necessary 
that they take rapid and effective steps to put 
the National Railways of Mexico in a position to 
transport a war-time burden nmch larger in 
volume than that which they actuallj^ can move. 

In synthesis, the matter of transport is today 
the real key to the Mexican-American program 
of joint production and economic cooperation 
in the prosecution of the war. 

In my opinion, the best proof that the Gov- 
ernment of the United States recognizes the 
fundamental importance of this question of 



955 

transport is the careful attention which Your 
Excellency has personally given to it as well as 
the attitude of your Government in sending to 
Mexico !it the suggestion of my Government, a 
mission of technical railway men who will put 
the fruit of their experience at the service of the 
i)(Ticinls fif the Mexican Railways for the pur- 
[)ose of bettering conditions of their operation 
and maintenance as well as to expedite the cur- 
rent of traffic. 

However, in order tliat our efforts may be 
crowned with the desired success it is urgent 
to carry out basic improvements in the lines 
themselves, in their equipment and in their 
motive power. For this the collaboration of 
(he Government as well as the industry of the 
United States is indispensable. 

I think at the same time that the operation 
of the railways should be improved in order to 
obtain the greatest efficiency in the utilization 
of tlie resources already existing and of tho.sc 
which may be obtained. 

My Government, consequently, would be 
gratified if the Government of the United States 
of America would consider it possible to 
strengthen the present mission of railway tech- 
nicians including in it for a period of six 
months — or for a longer time, which would be 
determined officially by means of an exchange 
of notes at the expiration of the term here 
foreseen — an official of a high category possess- 
ing ample knowledge of this subject; also a 
limited number of specialists who could assist 
him in carrying out a complete examination of 
the National Railways of Mexico who could 
likewi.se make available to them the results of 
their investigations and who could aid them 
with their advice. 

I desire to assure Your Excellency that the 
Government of Mexico on its part will see to 
it that the necessary steps are taken — from the 
point of view of the organization and function- 
ing of the National Railways — to obtain the 
maximum efficiencj'. With regard to this it 
would gratefully receive the suggestions of the 
North American Railway mission. 

I take [etc.] E. Padilla 



956 



DEPAKTMENT OF STATE BTJLLETIN 



The American Amhassador to the Mexica/n 
Minister of Foreign Relations 

November 18, 1942. 
Excellency : 

I acknowledge with appreciation Your Ex- 
cellency's cordial note of November 18, 1942 out- 
lining the constructive work which the Govern- 
ment of Mexico has accomplished in imple- 
menting Resolution II of the Third Meeting 
of Ministers of Foreign Affairs of the Ameri- 
can Eepublics at Rio de Janeiro through the 
mobilization of its economic resources, partic- 
ularly in the production of strategic materials 
essential for the defense of the hemisphere. 
Your Excellency has indicated that the produc- 
tion of Mexico of materials for use in the prose- 
cution of the war in which both of our countries 
are now engaged is being pressed to the limit, 
but you appropriately point out that unless cer- 
tain basic changes and improvements are made 
in the structure and operation of the Mexican 
National Railways, these lines will not be able 
to carry the unusual war time peak load which 
is now and which will be increasingly placed 
upon them. It is made clear that unless this 
situation is promptly corrected, the war inter- 
ests of our two countries and of the otlier 
United Nations will suffer. You refer to the 
joint efforts to improve the situa,tion which 
have already been made through the cooper- 
ation of our two governments and request that 
this collaboration be extended materially. 

The Government of the United States is in 
full accord with the thoughts expressed in Your 
Excellency's note under acknowledgment, and 
desires promptly to extend the added measure of 
collaboration which is essential to solve our mu- 
tual problems. Agencies of the Government of 
the United States have agreed to purchase from 
Mexican producers extensive quantities of a 
long list of strategic commodities. These are 
materials which are urgently needed by the 
United States in providing raw materials for 
the manufacture of war e(}iiipnient for its own 
forces, for those of Mexico, and for those of 
the other United Nations. Were it not for the 
augmented strain being placed on the Mexican 



National Railways because of United States 
purchases of strategic materials for its armed 
forces, the extensive rehabilitation of certain 
parts of the system and the furnishing of addi- 
tional technical assistance and labor would not 
be necessary for the normal needs of the railway 
lines. My Government considers that it would 
not be fair to expect Mexico to bear this dispro- 
portionate burden. Consequently, my Govern- 
ment is prepared to pay for its equitable share 
of the cost of the improvements which must be 
made in order that the materials in question may 
be transported to American war plants. 

I have noted with gratification that, in con- 
sideration of the assistance by my Government, 
the Mexican Government will on its part see to 
it that there are taken, from an organizational 
and operating point of view, all measures neces- 
sary to achieve optimum efficiency of the Mexi- 
can National Railways and that in this connec- 
tion it will welcome the suggestions and advice 
of the United States Railway Mission. 

It is my understanding, from the informal 
conversations thus far held on the subject, that 
it will be acceptable to the Mexican Government 
if my Government undertakes, through the 
Office of the Coordinator of Inter- American Af- 
fairs, the following measures of rehabilitation 
on certain sections of the Mexican Railways : 

(1) The lines to be covered are — 

(a) Main line extending south from United 
States border at Laredo, Texas, via Monteri-ey - 
Saltillo - San Luis Potosi to Mexico ; 

(b) East-west line from Torreon via Pare- 
don to Monterrey ; 

(c) Main line southward from Cordoba 
and Puerto Mexico via Jesus Carranza and Ixte- 
pec through Suchiate on the Guatemalan bor- 
der; 

(d) Line from Chihuahua to Torreon; 

(2) Bear the cost of all materials and equip- 
ment wliich the United States Railway Mission 
shall agree with the Mexican Government to be 
necessary for the rehabilitation of the aforede- 
scribed lines, and wiiich material and equipment 
must be obtained in the United States: 



NOVEMBER 21, 1042 



957 



(3) Pay for such rails and fastenings pro- 
duced in Mexico and agreed between the United 
States Railway Mission and the Mexican Gov- 
ernment to be necessary for this same under- 
taking; 

(4) Furnish without cost to Mexico the 
United States technicians agreed between the 
United States Railway Mission and the Mexican 
Government to be necessary ; 

(5) Bear the cost of repairing in the United 
States such Mexican National Railways motive 
power and other equipment which shall be mu- 
tually agreed upon shall be sent to the United 
States for repair under this particular rehabili- 
tation program; 

(C) Bear the cost of such additional Mexican 
road gangs as the Mexican Government and the 
Railway Mission mutually agree are necessary 
to put into adequate operating condition the 
road-bed of the lines aforementioned. Ex- 
penditures for this purpose will, of course, be 
ones of a character which the Mexican National 
Railways could not be expected to bear for nor- 
mal maintenance purposes. 

I am confident that it will be appreciated that 
for fiscal and accounting reasons it is necessary 
tliat the expenditures which the Govermiients 
of Mexico and the United States agree are de- 
sirable be first approved by the Chief of the 
United States Railway Mission in Mexico City 
so that he can certify to the appropriate agency 
of my Government that in his judgment the ex- 
penditures are necessary at a given time and in 
the amount stipulated. I have every confidence 
that there will be at no time major differences 
of opinion concerning the time or extent of aid 
which cannot be resolved by the frank and 
friendly consultative procedure which has so 
happily characterized the relationships between 
our two Governments. 

In addition to the materials and equipment, 
which in the opinion of the two Governments 
it will be necessary to secure from the United 
States, there will undoubtedly be equipment and 
materials which the facilities of Mexican indus- 
try can supply, which would be furnished for 
the rehabilitation program by the Mexican 
Government. 



My Government fully agrees with the view 
of the Mexican Government that this rehabili- 
tation program must go forward with optimum 
rapidity unless our joint war efforts are to 
suffer. 

I avail myself [etc.] 

GeOKGE S. MESSERSMini 



EDUCATION 

Arrangement With Peru 

A statement regarding an arrangement en- 
tered into by an exchange of notes between this 
Government and the Government of Peru for 
a cooperative training program for Peruvian 
students in the United States appears in this 
Bulletin under the heading "Cultural Rela- 
tions". 



Publications 



HACKWORTH'S "DIGEST OF INTERNA- 
TIONAL LAW", VOLUME IV 

[Released to the press November 19] 

Volume IV of Hackworth's Digest of Inter- 
national Law was released on November 19. It 
consists of 949 pages and comprises 4 chapters 
relating to (1) extradition, (2) international 
pommunications, (3) diplomatic officei-s, and 
(4) consuls. Three additional volumes, the 
manuscript for which was completed some time 
ago, are in the process of being printed. 



During the week of November 16-21 the De- 
partment also released: 

Diplomatic List, November 1&42. Publication 1831. 
ii, 106 pp. Subscription, $1 a year; single copy, 100. 

The Proclaimed List of Certain Blocked Nationals: 
Cumulative Supplement No. 1, November 20, 1942, 
Containing Additions, Amendments, and Deletions 
Made Since Revision IV, Dated November 12, 1942. 
Publication 1833. 18 pp. Free. 



958 



DEPARTMENT OF STATE BULLETrN 



Legislation 



Amending the NatlonaUty Act of 1940. S. Kept. 1675, 
77th Cong., 2d sess., on H.R. 5554 [proposing amend- 
ment of section 406 by adding certain persons to the 
group exempted from loss of nationality under section 
404 of the Act] . 2 pp. 

Decorations of Military Forces of Cobelligerent Na- 
tions. S. Kept. 1701, 77th Cong., 2d sess., on S. 
2852 [authorizing the President to confer decora- 
tions upon units of, or persons serving with, the mili- 
tary forces of cobelligerent nations]. 2 pp. 

Authorizing the Deportation of Aliens to Countries 
AUied With the United States. H. Kept. 2640, 77th 



Cong., 2d sess., on H.K. 7746 [enabling the Govern- 
ment to deport to allied countries certain aliens, 
citizens, or subjects of allied countries, who cannot 
for reasons growing out of the war be deported to the 
countries, from a territorial standpoint, where the 
seat of their governments were formerly located]. 
4 pp. 

Domestic Stability, National Defense, and Prosecution 
of World War II : Legislative and Executive Back- 
ground, 1933-42. [In three sections : Section I, Do- 
mestic Stability; Section II, National Defense — Ad- 
ministrative and Legislative Chronology of National 
Defense, June 1933 - November 1941; Section III, 
World War II — Administrative and Legislative 
Chronology of the War, December 1941 -October 
1942.] S. Doc. 285, 77th Cong., 2d sess. 29 pp. 



U. S. GOVERNMENT PRINTINS OPFICEi l»«X 



For sale by the Superintendent of Documents, Washington, D. C. — Price 10 cents ----- Subscription price. $2.75 a year 
PUBLISHBD WEEKLY WITH THE AFPaOVAL OF THE DIBECTOB OF THS BtJBEAC OF THE BUDOBT 



THE DEPARTMENT OF STATE 

BULLETIN 



NOVEMBER 28, 1942 
Vol. VII, No. 179— Publication 1845 



C 



ontents 



The War Page 

Anioricnn Military Operations in French North Africa: 
Exchange of Messages Between President Roosevelt 

and the Sultan of Morocco 961 

Keply of President Roosevelt to a Congratulatory 

Message From the Prime Minister of Iraq . . . 962 
German Attempts to Extort Ransom Payments for 

Persons in Occupied Countries 962 

False Reports of German Deliverance to the Spanish 

Government of Former Officials 963 

Cultural Relations 

Building Our Relations With the Far East: Address by 

Haldore Hanson 964 

Visit to the United States of Chilean Specialist .... 968 

American Republics 

Payment by Mexico Under Claims Convention of 1941 . 968 
Presentation of Letters of Credence by the Minister of 

Haiti 968 

Europe 

Twenty-fifth Anniversary of the Founding of the Soviet 

Union 969 

International Conferences, Commissions, Etc. 

Inter-American Congress on Social Planning 970 

(OVKRl 




«! ^f ^yPERIflTENOCNT OF OOCUMEIIl^ 

m 19 1942 



C 



OntCn^fS— CONTINUED 



General Page 
Control of American Nationals Entering and Leaving 

the United States 971 

The Department 

The Oflace of Foreign Territories 971 

Treaty Information 

Strategic Materials: Agreement With Uruguay for the 

Purchase of Uruguayan Wool 972 

Mutual Aid: Agreement With Guatemala 972 

Amity: Treaty Between China and Cuba 972 

Claims: Agreement With Mexico 972 

Legislation 973 



The War 



AMERICAN MILITARY OPERATIONS IN FRENCH NORTH AFRICA 

EXCHANGE OF MESSAGES BETWEEN PRESIDENT ROOSEVELT AND THE SULTAN OF MOROCCO 



[Released to the press by the White Bouse Norember 23] 

The President has sent the following message 
to Plis Majesty Sicli Mohammed, Sultan of 
Morocco : 

YocR Majesty : 

I have been highly pleased to learn of the 
admirable spirit of cooperation that is animat- 
ing you and your people in their relationships 
with the French Administration and with the 
forces of my country. This is particularly 
pleasing to me because our traditional friend- 
ship dates from the time of George AVashington, 
the first President of the United States of 
America, to whom your noble predecessor gave, 
as a mark of personal affection, the building 
which houses the American Legation in Tan- 
gier. Today the Axis powers are foes of both 
our countries. This foe seeks to impose on 
North Africa a scheme of military and polit- 
ical domination. His lust for booty has reached 
into every phase of Moroccan life. I consider 
it fortunate that we are bound together in a 
common effort toward his destruction. 

Our victory over the Germans and Italians 
will, I know, inaugurate a period of peace and 
prosperity, during which the Moroccan and 
French people of North Africa will flourish 
and thrive in a manner which befits their 
glorious past and be pleasing to God. 

May God have Your Majesty in His safe and 
holy keeping. 

Franklin D Roosevelt 



[Released to the press by the White House November 23] 

His Majesty Sidi Mohammed, Sultan of 
Morocco, has replied to the President as follows : 

We were happy to receive your message which 
came to us to express your friendship and to 
reinforce the friendly relations which had 
existed for a long time between the United 
States and Morocco. 

After the Armistice of June, 1940, we made an 
agreement with the Representative of France in 
Morocco to defend our empire against any and 
all aggressors in order to prevent its occupation. 
When the American troops arrived in Morocco 
honor forced upon us the duty of defending our- 
selves in order that we might live up to our 
agreements. The limited means at our disposal 
were insufficient to permit us to defend our em- 
pire against forces superior both in numbers 
and in material. However, when the cessation 
of hostilities had been ordered and the Com- 
manders of your troops affirmed that they did 
not come as conquerors but as liberators, when 
they had given us tangible proof of their 
friendly methods, we had faith in their agree- 
ments. All of the inhabitants of this country 
have received them as friends. Furthermore, 
Morocco has no disagreement with the great na- 
tion of the United States, whose chivalrous and 
liberal principles are known to us. It was, 
tlierefore, in the above spirit that we declared 
to Major General Patton that as long as our 
prestige, our soil, our religion and our traditions 

961 



496811 — 12 



962 



DEPARTMENT OF STATE BULLETIN 



were respected by your troops, they could rest 
assured that they found in Morocco only friends 
and collaborators. 

The first contacts between peoples who do not 
know each other well enough are marked by 
hesitation and reticence, but progressively as 
reciprocal understanding is established between 
them, they are followed by esteem and friend- 
ship which creates a cooperative effort profit- 
able for all. 

Such has been the Franco-Moroccan collab- 
oration which has been so rich in happy results 
for the prosperity and grandeur of Morocco. 
We are sure that the same will result from 
contact with The United States of America, 
for whom we have always had the greatest 
sympathy and with whom we have for many 
years had important commercial dealings. 

It is in this hope, Mr. President, that we 
pray you to believe in our sincere friendship. 

With best wishes for your personal happi- 
ness and for the greatness of your glorious 
country. 

Mohammed Ben Youssef 

Done at our capital, Rabat the eighth day 
of the month of Dhou El - Kaada in the year 
one three six one. 

REPLY OF PRESIDENT ROOSEVELT TO A CON- 
GRATULATORY MESSAGE FROM THE PRIME 
MINISTER OF IRAQ 

[Released to the press by the White House November 25] 

The President has sent the following message 
to Nuri es Said, Prime Minister of Iraq, in 
response to an open letter from the Prime 
Minister congratulating the President on the 
successful operations in North Africa : 

"The American Minister at Baghdad has ad- 
vised me by telegraph of the text of your letter 
of November 18 regarding the American-British 
military operations in North Africa, and I 
hasten to express my deep appreciation of your 
message and the praise you have been good 
enough to bestow upon the American and Brit- 
ish commanders and upon me. I have been 
especially happy to receive your assurance that 
the Arab peoples of the Near East, as well as 
those of North Africa, rejoice at the success of 



the United Nations arms. You may be sure that 
America, together with the other United Na- 
tions, will not rest until the Arab world has 
been relieved of every vestige of the threat of 
Axis aggression which has so long hung over it. 
In this great undei-taking, which we shall prose- 
cute with ever-inci-easing power, we are proud 
to feel that we have the sympathy and cooper- 
ation of Iraq and of all the Arab peoples. 
"Please accept my best wishes for your per- 
sonal welfare and that of the people of Iraq." 



GERMAN ATTEMPTS TO EXTORT RANSOM 
PAYMENTS FOR PERSONS IN OCCUPIED 
COUNTRIES 

[Released to the press November 24] 

Information in the possession of the Govern- 
ment of the United States indicates that the 
German authorities are developing an organ- 
ized business of selling exit permits from 
occupied countries. In practice, the Germans 
are attempting to obtain from relatives and 
friends of persons in these countries the pay- 
ment of ransom, payment being made in neutral 
currency useful to the German war effort. Sim- 
ilar information has been received by the 
British and Netherlands Governments. 

The manner in which this system of extortion 
is carried on is described in a report to the 
Department by one of our missions abroad in 
the following terms : 

"The ransom system as practiced at present 
seems to be an extension of the practice insti- 
tuted by the Nazi Government whereunder 
emigrants were permitted to leave Germany if 
the state were compensated on their departure 
by all of their visible wealth, with the excep- 
tion of a small percentage, usually reduced in 
effect to about ten or twelve and one-half per- 
cent, which the emigrant was permitted to 
retain and to export abroad. It is very appar- 
ently designed to provide foreign exchange for 
the furtherance of the German war effort 
(though there may be reason for suspicion that 
individual members of the Nazi Party may per- 
sonally profit by it). The United States is 



NOVEMBER 28, 194 2 



963 



looked upon as the most fruitful source of the 
expected funds; nnd biuikine ajjcnts. or other 
intermediaries, have been canvassing means for 
circimi venting American laws and the Treas- 
iirv Regulations governing money exports, 
in an effort to provide the ransom sums 
demanded. 

''In tlie liostage and ransom system the vic- 
tims are subjected to terrorization wherebj' their 
desire to find refuge in one of the United Na- 
tions or a neutral country is immeasurably 
increased. First, they are made the victims of 
unbearable restrictions designed to make life not 
worth living, usually under confinement in vile 
concentration camps; and, second, they are 
faced with the threat of deportation to domains 
in Eastern Europe, with the prospect of an 
unknown and possibly horrible fate awaiting 
them there." 

The system seems to have been applied par- 
ticularly to persons in the Netherlands and has 
developed to the scale of a regular traffic. The 
sums demanded vary according to the financial 
resources of the victims. Amounts as high as 
$75,000 for a single person have been quoted. 
These sums are required to be paid into an ac- 
count in the name of some intermediary in a 
bank in a neutral country, from which the 
money is eventually transferred to the credit of 
the German Reichsbank. 

^Methods of combating this barbaric and in- 
human practice have been the subject of discus- 
sion between the United States Government, the 
Britij^h Government, and the Government of 
the Netherlands. All three Governments are 
agreed as to tlie need for energetic measures to 
repress this traffic. The most effective means of 
dealing with extortion is to prevent the extor- 
tioner from benefitting from his viciousness. 
If the Germans can be prevented from obtaining 
tlie sums they are demanding for the release 
of hostages, their incentive to find new victims 
will be removed. Yielding to these attempts 
at extortion merely encourages the Nazis to em- 
ploy them against other helpless victims. 

The three Governments have also had in mind 
the substantial benefit which would accrue to the 
German war effort if this traffic were permitted 



to develop. The degraded methods which the 
Germans are using are a measure of their des- 
peration for foreign exchange and serve to 
indicate both the difficulty which the enemy is 
having in producing goods for exportation to 
the neutral countries and the effectiveness of the 
United Nations' financial blockade. 

Warning is hereby given that any person in 
a country to which tlie Proclaimed List of 
Certain Blocked Nationals applies who acts as 
a broker or agent in this traflic will immediately 
be included in that list and thereby be publicly 
designated as an enemy. Furthermore, persons 
in such countries who pay ransom are warned 
that they are assisting the enemy in his war 
effort and are rendering themselves liable to 
treatment as enemies. 

One of the purposes of the freezing-control 
regulations administered by the Treasui-y De- 
partment is to prevent practices of this sort. 
The Department understands that no licenses 
under the freezing regulations have been 
granted to persons in the United States to make 
such payments and that the Treasury Depart- 
ment has investigated a number of cases of at- 
tempts to extort ransom payments from per- 
sons in this country. It would be a violation 
of the freezing regulations and of the Trading 
With the Enemy Act to make such a payment 
witliout a license, and the Department is in- 
formed by the Treasury Department that in 
case of such a violation all appropriate sanc- 
tions would be invoked against the persons 
participating. 



FALSE REPORTS OF GERMAN DELIVER- 
ANCE TO THE SPANISH GOVERNMENT 
OF FORMER OFFICIALS 

[Released to the press November 23] 

With reference to current reports in this 
counti'y that Seiiores Largo Caballero and 
Caceres Quiroga ' had been turned over to the 



' Sefior Francisco Largo Caballero was formerly 
Prime Minister and Minister of War In Spain. Senor 
Don Santiago Caceres Quiroga was formerly Minister 
of the Interior. 



964 



DEPARTMENT OF STATE BULLETIN 



Spanish Government by German forces, the 
Spanish Ambassador, under instructions from 
liis Government, informed the Department of 
State on November 23 that not only have these 



individuals not been turned over to the Spanish 
Government but the Spanish Government has 
not received any offer that these individuals 
be delivered to the Spanish Government. 



Cultural Relations 



BUILDING OUR RELATIONS WITH THE FAR EAST 
ADDRESS BY HALDORE HANSON ' 



[Eeleased to the press November 28] 

It seems especially appropriate to discuss 
with you the subject of building our relations 
with the Far East. You appreciate that as 
teachers of the social sciences you are an im- 
portant instrument in the building of future 
American foreign policy. Your courses in his- 
tory and geography give to each school child 
his first ideas about foreign nations and foreign 
peoples. These ideas may build respect for 
certain foreign nations, or they may create 
prejudices. It would be interesting to deter- 
mine to what extent our school books contrib- 
uted to the general impression before the war 
that Japan was small and unimportant. 

The attention given to the Far East in the 
average social-studies class, I understand, has 
been very meager compared to that directed 
toward the major European nations. In 1939 
a student in the Graduate School of Education 
at Harvard University completed a thesis on 
the study of China and Japan in American 
secondary schools. His findings were not sur- 
prising, but his statistics are worth noting. An 
examination of 85 textbooks led to the conclu- 
sion that a pupil taking the most commonly 
offered social-studies course each j'ear and using 
a textbook which gives the average amount of 
attention to the Pacific area, would during his 
high-school career read only 58 pages of printed 
matter on the Far East, or 1.6 percent of the 

' Delivered at the national convention of tbe National 
Council for Social Studies, Now York. N. Y., Nov. 28, 
1942. Mr. Hanson is witli the Division of Cultural 
Relations, Department of State. 



total textbook materials. You know that more 
than a quarter of all the people m the world 
live in China and Japan, yet the textbooks 
devote less than 2 percent of their space to 
those countries. 

This student of education found also that the 
average textbook in the world-history course 
offered in the tenth gi'ade of our high schools 
devotes about 20 pages to China and Japan, 
or 2.7 percent of the whole. The world-history 
course, I understand, is intended to give the 
high-school student the broadest approach to an 
understanding of the world that can be offered 
in any of his high-school classes. Yet less than 
3 percent of the course is devoted to eastern 
Asia, where a quarter of the world's population 
now lives. 

It is with the thought, then, that you, as 
social-science teachers, have a very personal 
interest in the building of American foreign 
relations that I proceed to the opportunities 
for building our relations with the Far East. 

In this discussion we may rule out any 
cr^'stal-gazing on the question of post-war set- 
tlements in Asia, but I should like to make two 
comparisons between the last war and this one. 
One comparison concerns Japan ; the other, 
China. 

In 1917 Japan was one of the Allied powers. 
Therefore victory, when it was attained in 1918, 
inevitably reinforced the position of Japan as 
the leading military and political power in 
eastern Asia. Today the situation is reversed. 
The victory which the United Nations are seek- 
ing must include the destruction of Japanese 



NOVEMBELR 28, 1942 



965 



military power. In the words of President 
Roosevelt, speaking on October 12, 1942, "The 
objective of today is clear and realistic. It is 
to destroy completely the military power of 
Germany, Italy, and Japan to such good pur- 
pose that their threats against us and all the 
other United Nations cannot be revived a 
generation hence." 

China likewise provides an important con- 
trast between the war years of 1917 and 1942. 
Twenty-five years ago China was our ally but 
was far removed from the major theaters of 
warfare. Today Cliina has given the lives of 
more of its citizens in resisting Japan than has 
any other of the United Nations. President 
Roosevelt gave full recognition to the honored 
position of China in a speech delivered on April 
28, 1942. The President said: "We remember 
that the Giinese people were the first to stand 
up and fight against the aggressors in this 
war; and in the future an unconquerable China 
will play its proper role in maintaining peace 
:ind prosperity not only in eastern Asia but 
in the whole world." 

Our Government gave evidence of the spirit 
of its relations with China when, on October 9, 
1942, the Chinese Ambassador in Washington 
was informed that this Government was pre- 
pared promptly to negotiate with the Chinese 
Government a treaty providing for the imme- 
diate relinquishment of this country's extra- 
territorial rights in China. Some of the pro- 
visions of the treaties between China and west- 
em powers had been regarded by Chinese lead- 
ers for nearly a century as derogatory of China's 
sovereignty. Today the Chinese are indicating 
through the speeches of their leaders that they 
have entered a new political era and expect to 
be consulted on the post-war settlement in Asia. 
The Chinese have been quick to point out 
that their new role should not be compared to 
the pre-war position of Japan. Generalissimo 
Chiang Kai-shek, in a message to a New York 
public forum earlier this month, said in part: 

"Among our friends there has been recently 
some talk of China emerging as the leader of 
Asia, as if China wished the mantle of an un- 



worthy Japan to fall upon her shoulders. Hav- 
ing herself been a victim of exploitation, China 
has infinite sympathy for the submerged nations 
of Asia, and toward them Cliina feels she has 
only responsibilities— not rights. We repudiate 
the idea of leadership of Asia . . ." 

There you have in broad terms an indica- 
tion of the new relations in the Far East for 
which the United Nations are fighting. The 
imperialistic program of Japan must be de- 
stroyed. China will assume her rightful posi- 
tion in the community of nations. 

In order to make the remainder of this dis- 
cussion as concrete as possible, I propose to con- 
sider here the building of our relations with 
China. This limitation is made partly for per- 
sonal reasons, since my five years in the Far 
East were spent largely in China, and since I 
am now employed by the Department of State 
to assist with a program of cultural relations 
with China. 

On January 14, 1942 President Roosevelt at 
the request of the Secretary of State set aside 
a modest amount of money with which to in- 
augurate the China cultural-relations progi-am. 
The adoption of cultural relations as an instru- 
ment of American foreign policy is a compara- 
tively new development. A program of cultural 
relations with the other American republics 
was set up in 1937. The China program began 
one month after Pearl Harbor although the De- 
partment had been preparing plans for more 
than one year before the Japanese attack. Pro- 
grams for other parts of the world are still in 
the discussion stage. 

A definition of cultural relations as conducted 
by our Government is not easily given. Let me 
first point out what cultural relations are not. 
There are certain instruments of foreign policy 
with which cultural relations should not be 
confused. 

For example, cultural relations are not a war- 
time publicity program. The Office of War In- 
formation, under Mr. Elmer Davis, has been 
charged by the President with the dissemina- 
tion of war information. In China the staff of 
the OWI is carrying on its work through local 



966 



DEPARTMENT OF STATE BULLETIN 



newspapers, radio stations, motion-picture the- 
aters, and libraries. Their job is to deliver war 
information. 

Secondly, cultural relations are not a form 
of military assistance. The Lend-Lease Admin- 
istration handles that function for our Govern- 
ment. 

Thirdly, cultural relations are not a relief 
program. The President has appointed a War 
Belief Administrator, who will distribute 
American food, clothing, and medicines in for- 
eign countries. In China, it should be noted, 
too. United China Eelief and the American Red 
Cross have made available millions of dollars 
worth of relief supplies fi-om the private citi- 
zens of the United States. 

Finally, cultural relations are not designed 
for the promotion of American goods. Before 
the war our Government maintained in China 
conamercial and agricultural officers. Their 
duties included the study of possible markets for 
American products. 

All these activities may be excluded from the 
field of cultural relations. "We may expect that 
in the building of relations with the Far East 
our Government will contimu' to use publicity. 
It will continue to give military supplies. It 
will continue to give civilian relief, and ulti- 
mately it will assist in the revival of interna- 
tional commerce. 

Now where do cultural relations fit in? In 
broad terms cultural relations are the exchange 
of ideas and techniques which will enable na- 
tions mutually to enrich the lives of their 
citizens. The kind of knowledge which we seek 
to exchange is not limited to the arts and other 
cultivated intelle<?tual interests, as the word 
cultural is often interpreted. Cultural rela- 
tions may be concerned with music, with paint- 
ing, and with literature, but the full scope of 
tlie program is much blonder. Under cultural 
relations our Government wishes to exchange 
knowledge of public health, of better agricul- 
ture, better education, better engineering, better 
scientific research. In short, cultural relations 
aim to give othoi- nations the same kind of 



knowledge and trained personnel which have 
enabled this nation to imj^rove the lives of its 
people ; and we wish to bring from foreign lands 
those skills and ideas which will enrich the lives 
of Americans. 

The techniques of cultural relations are vari- 
ous. Knowledge can be spread through the 
exchange of professors and students, through 
the distribution of books and educational mo- 
tion pictures, through the meetings of profes- 
sional societies, through the exchange of visits 
by distinguished citizens. For example, to 
assist with public-health problems in the other 
American republics our Goverimient has sent 
some of our best health specialists southward, 
has brought South American medical students 
northward, and has distributed medical books 
to imiversities in the other republics. 

The program for China was set up within the 
framework of the definition which I have 
given. 

The Government recognized at the outset that 
private American citizens had been engaged in 
some phases of cultural relations with China for 
nearly a centurj'. Missionaries by the thou- 
sands have spent their lives in China. Along 
with their religious work they have conducted 
many secular activities. Several hundred of 
the best high schools in China were established 
by missionaries. At least 14 Cliinese colleges 
were founded by Americans. More than a 
hundred hospitals and a dozen agricultural 
experiment stations can be traced back to mis- 
sionaries. Most of these institutions are now 
administered by Chinese, and many of them no 
longer receive financial aid from American 
churches. But the institutions remain as monu- 
ments to the friendship between the American 
and the Chinese people. 

Two results of American missionary educa- 
tion should be noted especially. First, Eng- 
lish has become the second language in China. 
The study of English is now a requirement in 
most high schools under the supervision of the 
Ministry of Education. The im[X>rtance to cul- 
tural relations of this language study can well 



NOVEMBER 28, 1942 



967 



be appreciated by those who have worked for 
better relations with Latin America, where 
French, not English, is the secondary language. 
We can tliank the missionaries for promoting 
the language tool whereby the Chinese today are 
able to read about the United States in our own 
language. 

Secondly, missionai^y schools have led many 
Chinese students to come to the United States 
for advanced study. From 1900 to 1941 our uni- 
versities were privileged to receive each year a 
fresh migration of Chinese. None have come 
this year, but aj^iiroximately 1,000 Chinese who 
arrived in recent years are still in this coun- 
try. The original stimulus for this migration 
of students came largely from the missionaries. 

Religious workers were not the only American 
citizens who became interested in cultural rela- 
tions. Great philanthropic organizations have 
invested millions of dollars in China. In 1924, 
for example, the Rockefeller Foundation 
financed the merger of several missionary medi- 
cal schools to form the Peking Union Medical 
College, which is generally regarded as the 
finest medical training center in eastern Asia. 

If I were to do full justice to the enterprises 
of our private citizens, I should be compelled 
to mention nearly 100 American groups which 
have carried on educational, health, and research 
work in China. 

The Government in drafting its plans for 
cultural relations undertook certain projects 
which could not easily be performed at this 
time by private citizens. Let me tell you, for 
example, about our microfilm project. Many 
Chinese university professors have relied in the 
past upon American scientific and technical 
journals for a part of their classroom materials. 
This was a natural tendency because so many 
Chinese professors were educated in the United 
States. When Japanese submarines and mili- 
tary planes fannefl out along the coast of south- 
em Asia, regular mail to China was interrupted 
and airmail was unceitain. American technical 
journals failed to ai-rive at Chinese universities. 

One of our first tasks under the Chuia cul- 
tural-relations program was to arrange for the 



microfilming of approximately 60 American 
periodicals. A microfilm, as you may know, is 
the same as a 35-mm. motion-picture film. Each 
frame of the film, although less than an inch 
wide, contains the reproduction of 2 printed 
pages. A pound of film can reproduce 1,600 
pages from a magazine or book. The Depart- 
ment of State is now sending more than 3.00() 
pages a month of microfilmed materials to 
China. Five copies of each film are made for 
distribution to universities, and the negative 
is also sent to enable the Chinese to make addi- 
tional copies. The film can be read by the use 
of a small wall projector which enables about 
15 persons to read the film at one time. That 
is one of our Government projects. 

Another is the assistance given to some of tlie 
Chinese students in this country. About 600 of 
the 1,000 students have encounteied financial 
difficulty during the past 12 months because the 
war has cut off their financial aid from China. 
Our Government has provided small living al- 
lowances for about 200 of these students. The 
Chinese Government has aided about an equal 
number, and the others have been befriended 
by American universities or have been given 
salaried employment. 

The Department of State has recently ap- 
pointed an employment counselor for Chinese 
students. He will seek to place the students, as 
they graduate from universities, in paid posi- 
tions where they will be able to continue their 
training. This placement work is compara- 
tively easy for students of engineering and 
science. It is more difficult for those who have 
specialized in education, history, or economics. 
During the next year we hope to find a solution 
whereby those students may receive useful train- 
ing until they are able to return to China. 

A third Government project for cultural re- 
lations is the sending of American technical 
experts to assist the Chinese Government. Last 
spring the Chinese Foreign Office was asked 
what kinds of specialists that Government 
needed most urgently. The Chinese sent a list 
of their requirements in such fields as public 
health, education, engineering, and agriculture. 



968 



DEPARTMENT OF STATE BULLETIN 



Seven Americans have already been appointed 
by the Department of State to go to China under 
this project. Others will follow. Nearly all 
these Americans are expected to remain abroad 
for a minimum of one year. 

I have given you three examples of projects 
under our cultural-relations program, all of 
which are calculated to be of assistance to the 
Chinese war effort. The program is still in its 
infancy. Its activities will undoubtedly be al- 
tered after the war, but its purpose will continue 
to be the exchange of knowledge and of skill 
which will be of mutual benefit to the peoples 
of the United States and China. 



VISIT TO THE UNITED STATES 
OF CHILEAN SPECIALIST 

[Released to tbe press November 25] 

Dr. Leonardo Guzman, Director of the Chil- 
ean National Radium Institute of Santiago, 
Chile, and formerly the Minister of Public Edu- 
cation, the Minister of the Interior, and the 
Director General of Health in Chile, arrived in 
Washington November 25 for a two months' 
visit to leading cancer-research and X-ray cen- 
ters in this country. He is a guest of the De- 
partment of State. 



American Republics 



PAYMENT BY MEXICO UNDER CLAIMS 
CONVENTION OF 1941 

[Released to the press November 27] 

The Ambassador of Mexico has formally pre- 
sented to the Secretary of State the Mexican 
Government's check for $2,500,000 represent- 
ing the first annual instalment due to the United 



States under the Claims Convention concluded 
November 19, 1941.^ 

Under the terms of the Convention, Mexico 
agreed to pay the United States $40,000,000 in 
settlement of certain property claims of citizens 
of the United States against the Government of 
Mexico, as described in the Convention. Pay- 
ments heretofore made amount to $6,000,000. 
With the present payment of $2,500,000 the bal- 
ance remaining amoimts to $31,500,000, to be 
liquidated over a period of years by the annual 
payment by Mexico of not less than $2,500,000. 



PRESENTATION OF LETTERS OF CRE- 
DENCE BY THE MINISTER OF HAITI 

[Released to the press November 25] 

A translation of the remarks of the newly 
appointed Minister of the Republic of Haiti, 
Mr. Andre Liautaud, upon the occasion of the 
presentation of his letters of credence, follows : 

Mr. PKEsroENT: 

I have the honor to place in your hands, with 
the letters of recall of my distinguished pred- 
ecessor. Minister Femand Dennis, those which 
accredit me near Your Excellency's Govern- 
ment as Envoy Exti'aordinary and Minister 
Plenipotentiary of the Republic of Haiti. 

The present grave events make my mission to 
the United States a particularly delicate task, 
and I should fear my inability to perform it 
properly if I did not have to guide and sustain 
me the formal and precise directions which His 
Excellency the President of Haiti, Mr. Elie 
Lescot, formulated with rare felicity in the 
message which he addressed to the Haitian 
nation on the day after he entered upon his 
duties : "The international policy of the Haitian 
Government", he said, "is and will continue to 
be a faithful and sincere reflection of the inter- 
national policy of the Government of the United 
States, to which Haiti, in this war, is united 



' Bulletin of Nov. 22, 1941, p. 400. 



NOVEMBER 28, 1942 



969 



b}' the strongest bonds, in order to obtain the 
victory which shall liberate humanity." 

It is therefore this international policy of the 
Haitian Government which it is my task to up- 
hold during the period of my mission to the 
United States. It is these bonds of the most 
sincere friendship which it is my duty to 
strengthen. I make bold to hope that with 
Your Excellency's benevolent a.ssistance I shall 
be enabled to accomplish my appointed work in 
a satisfactorj' manner. 

And I make bold to hope also, Mr. President, 
that, after passing victoriously through the 
sanguinary test of a war which has been thrust 
upon them by totalitarian barbarity, our two 
countries will find themselves even more united 
in a peace definitively organized for the 
happiness of the world. 

Permit me, Excellency, to oflFer to you, to- 
gether with the best wishes of the Haitian Gov- 
ernment and people, those which I myself feel 
for your personal happiness and the welfare of 
the noble American nation. 



The President's reply to the remarks of Mr. 
Liautaud follows: 

Mr. Minister : 

I accept with pleasure the letters by which 
His Excellency the President of the Republic 
of Haiti has accredited you as Envoy Extraordi- 
nary and Minister Plenipotentiary near the 
Government of the United States of America. I 
accept also the letters of recall of your esteemed 
predecessor, Mr. Fernand Dennis, whose rela- 
tions with the officials of this Government dur- 
ing his successful mission in Washington have 
been upon an exceptionally friendly basis. 

The leadership of His Excellency President 
Lescot in inter-American affairs is a source of 
great satisfaction to my Government. The 
sentiment of the Haitian people which the Pres- 
ident reflected in the message to which you refer 
is in the best tradition of the happy relations 
which bind our two countries. I hope, Mr. 



Minister, that you will be so kind as to take an 
early occasion to convey my feeling of gratitude 
to President Lescot for his continued deep in- 
terest and important cooperation in the tasks 
which confront us and in those which will fol- 
low our joint victory. 

You may be assured, Mr. Minister, that it will 
be a pleasure for me personally and for the 
officials of this Government to continue with 
you the close and effective collaboration in mat- 
ters of mutual interest to our Governments 
which has happily characterized our relations 
with your distinguished predecessor. 

I entrust to you my cordial good wishes for 
the personal welfare and happiness of the Presi- 
dent of the Republic of Haiti, and for the pros- 
perity of your country. 



Europe 



TWENTY-FIFTH ANNIVERSARY OF THE 
FOUNDING OF THE SOVIET UNION 

[Released to the press November 24] 

The Secretary of State has received the 
following message: 

Moscow, November SI, 194^. 

Sincerely thank you, Mr. Secretary of State, 
for your friendly greetings on the occasion 
of the 25th anniversary of the founding of the 
Soviet Republic.^ The success of the allied arms 
in Africa presaging a new destructive blow to 
tlie Italian and German usurjjers strengthens 
still more the assurance that military alliance 
of our countries and all liberty-loving peoples 
will bring about full triumph over common 
enemy, Hitlerian tyranny. 

V. MOLOTOV 



' Bulletin of Nov. 7, 1942, p. 894. 



International Conferences, Commissions, Etc. 



INTER-AMERICAN CONGRESS ON SOCIAL PLANNING 



The Inter- American Congress on Social Plan- 
ning was held at Santiago, Chile, from Septem- 
ber 10 to September 16, 1912 at the invitation 
of the Chilean Government. The meeting was 
called in accordance with resolutions of the 
Inter-American Committee on Social Security 
established at Lima, Peru, in December 1910 
by a group of persons who were guests of the 
Peruvian Government at the dedication of the 
Bank of Social Security Funds and the opening 
of the Workers' Hospital. The Committee was 
organized to make possible a systematic and 
continuous exchange of information among the 
social-security institutions of the American re- 
publics, and it was planned that it would 
cooperate with the International Labor Office 
in attaining its objectives. 

The organization of the Congi-ess was en- 
trusted to an Organizing Connnittee appointed 
by the Cliilean Govermnent and headed by the 
Chief of the Division of Social Welfare. The 
International Labor Office cooperated in the 
preparations for the meeting, and Mr. Oswaldo 
Stein of that Office was designated as a member 
of the Organizing Committee. 

The following persons comprised this Gov- 
ernment's delegation to the Congress: 

Delegates: 

Artliur .T. Altineyer, Ph.D., Chairman, Social Security 
Board, Federal Security Agency: ehairmnn of 
the delei/iitiun 

A. Ford Hinrichs, Ph.D., Acting Commissioner, Bu- 
reau of Lahor Statistics, Department of Labor 

George St. .1. Perrott, Chief, Division of Public 
Health Methods, National Institute of Health, 
Public Health Service 

Eraile Rievo, President of the Textile Workers of 
America, and Vice President of the Congress of 
Industrial Organizations, Washington, D.C. 

Trcluncal Adviser: 
Wilbur Cohen, Technical Adviser to the Social Se- 
curity Board, Federal Security Agency 

970 



Secretai'ies : 

John M. Clark, Director, Emergency Rehabilitation 
Division, Office of the Coordinator of Inter- 
American Affairs 

Sheldon T. Mills, Second Secretary, American Em- 
bassy, Santiago, Chile 

At the invitation of the Chilean Government 
the Governing Body of the International Labor 
Office was represented by a tripartite delega- 
tion composed of Mr. Paul van Zeeland, former 
Premier of Belgium (Government Group), Mr, 
Clarence G. MacDavitt, of the United States 
(Employei-s' Group), and Mr. Robert J. Watt, 
of the United States (Workers' Group). Mr. 
van Zeeland spoke before the meeting on Sep- 
tember 12 and made an eloquent plea for all 
men of good-will to pursue the war to a vic- 
torious conclusion. 

Mr. Nelson A. Rockefeller, Coordinator of 
Inter- American Affairs, was present as a guest 
of the Congress and addressed the meeting on 
September 14. 

The principal results of the Congre.ss were 
(1) the adoption of a declaration consisting of 
16 resolutions concerning the extension and de- 
velopment of social security; and (2) the adop- 
tion of a resolution providing permanent 
statutes for the "Inter- American Conference on 
Social Security". This resolution also set up 
machinery designed to perfect and make perma- 
nent the organization of the Inter-American 
Committee on Social Security. 

The Congress in its declaration took cogni- 
zance of the inalienable right of human beings 
to be afforded ])1iysical and economic protection 
against social and economic risks and adopted 
among other measures resolutions on the follow- 
ing subjects: Extension of social insurance to 
agricultural workers, domestic servants, and 
the self-employed ; extension of social insurance 
to intellectual workers; social insurance against 



NOV'EMBBiR 2 8, 1042 



971 



industrial accidents and occupational diseases; 
efficacy and economy of medical and pharma- 
ceutical benefits in liealtli-insurance plans; dis- 
ability insurance; participation of employers 
:ind workers in the administration of social se- 
curity; maintenance of insurance rights of 
mobilized persons; unification of biostatisticul 
information; and protection of maternity, 
childhood, and adolescence. 

The resolution establishing the Inter-Ameri- 
can Conference on Social Security as a perma- 
nent agency of cooperation provided that the 
permanent Inter-American Committee on So- 
cial Security should give effect to the resolutions 
and recommendations adopted by the First 
Congress, should formulate the agenda for fu- 
ture meetings, and should contribute by every 
means to the attainment of the purposes of the 
Inter- American Conference on Social Security. 
The resolution further provided that the Perma- 
nent Committee shall consist of one regular 
member and at least one substitute member from 
each country represented at the Congress who 
are to be appointed by their respective govern- 
ments. 



General 



CONTROL OF AMERICAN NATIONALS EN- 
TERING AND LEAVING THE UNITED 
STATES 

[Released to the press November 23) 

On November 18, 1942 the Secretary of State 
signed an order canceling, effective after 6 
o'clock in the forenoon of December 1, 1942, 
subdivision (d) of section 58.3 of the regulations 
issued on November 25, 1941. as amended, re- 
lating to the control of American nationals en- 
tering and leaving the United States.^ The 
principal result of such cancellation will be to 
require each American national who seeks to 
travel between any territory of the United 
States and any of the islands of the West Indies, 

' BuiiETiN of Nov. 29, 1941, p. 432. 



including the Bahamas, to bear a valid passport 
which in the case of a person seeking to enter 
jVmerican territory has been verified by an 
American diplomatic or consular officer. 



The Department 



THE OFFICE OF FOREIGN TERRITORIES 

On November 25, 1942 the Secretary of State 
issued the following departmental order (no. 
1110). 

"Responsibility for dealing with all non- 
military matters arising as a result of the mili- 
tary occupation of territories in Europe and 
North Africa by the armed forces of the United 
Nations and affecting the interests of the United 
States is hereby assigned to the Division of 
European Affairs. 

"In order that the interests of other divisions 
and offices of the Department in this field of 
operations may be effectively coordinated and 
their facilities fully utilized and that the neces- 
sary liaison with other departments and agencies 
may be maintained so far as practicable through 
established channels, there is hereby established 
as a component part of the Division of European 
Affairs an Office of Foreign Territories. The 
Adviser on International Economic Affaii-s and 
the Chiefs of the Divisions of Near Eastern 
Affairs, Special Research, Defense Materials, 
Foreign Funds Control, Commercial Policy and 
Agreements and the Financial Division are di- 
rected to cooperate fully with the Office of For- 
eign Territories and are authorized to detail 
personnel to that Office. Mr. Paul Appleby, 
who is hereby designated Special Assistant to 
the Secretary of State, will be in charge of the 
Office of Foreign Territories, the office symbol 
of which shall be FT. 

"The provisions of this Order shall be effec- 
tive immediately and shall supersede the provi- 
sions of any existing Order in conflict there- 
with." 



Treaty Information 



STRATEGIC MATERIALS 

Agreement With Uruguay for the Purchase 
Of Uruguayan Wool 

[Released to the press November 23] 

The Department of State, the Board of Eco- 
nomic Warfare, and Defense Supplies Corpora- 
tion announced on November 23 that in order 
to aid in the stabilization of the economy of 
Uruguay and to assure the availability of wool 
for war purposes, the United States Govern- 
ment has agreed to purchase the unsold portion 
of the 1941-42 Uruguayan wool clip of grades 
and types suitable for use in this country and 
to underwrite a stibstantial portion of the 1942- 
43 clip of similar types and grades. The nego- 
tiations were carried on in Washington with 
representatives of the Uruguayan Wool Com- 
mission headed by its president, Mr. F. Podesta 
Milans; Mr. Crisologo Brotos, delegate of the 
Uruguayan Government for that purpose ; and 
representatives of the Uruguayan Embassy in 
Washington. 

The agreement was put into eifect by an ex- 
change of notes, dated November 23, 1942, 
between the Secretary of State and the Ambas- 
sador of Uruguay. 

MUTUAL AID 

Agreement With Guatemala 

There was signed at Guatemala on November 
16, 1942 an agreement between the United 
States of America and the Republic of Guate- 
mala relating to the principles applying to 
mutual aid in the prosecution of the war against 
aggression ( lend-lease agreeinent) . At the time 
of the signing of this agreement there was an 
exchange of notes between the American Min- 
ister at Guatemala and the Guatemalan Min- 
ister of Foreign Affairs setting forth the 
972 



understanding of the two Governments with 
respect to the application of certain provisions 
of the mutual-aid agreement and with respect to 
the application of a memorandum of agreement 
I'elating to air bases accompanying the exchange 
of notes. The mutual-aid agreement will be 
printed in the Executive Agreement Series. 

Lend-lease agreements signed with other 
American republics include : Bolivia, December 
6, 1941; Brazil, JIarch 3, 1942 (this superseded 
an earlier agreement dated October 1, 1941) ; 
Colombia, March 17, 1942 ; Costa Rica, January 
16, 1942; Cuba, November 7, 1941; Dominican 
Republic, August 2, 1941, supplementary agree- 
ment, August 6, 1941; Ecuador, April 6, 1942; 
El Salvador, February 2, 1942; Haiti, Sep- 
tember 16, 1941 ; Honduras, February 28, 1942 ; 
Mexico, March 27, 1942; Nicaragua, October 
16, 1941; Paraguay, Sejitember 20, 1941; Peru, 
March 11, 1942; Uruguay, January 13, 1942; 
and Venezuela, March 18, 1942. 



AMITY 

Treaty Between China and Cuba 

The American Ambassador at Chungking 
reported by a telegram dated November 14, 1942 
that a Treaty of Amity between China and Cuba 
was signed at Habana on November 11, 1942. 



CLAIMS 

Agreement With Mexico 

A statement regarding a payment by the 
Mexican Government under the Claims Conven- 
tion signed November 19, 1941 appears in this 
Bulletin under the heading "American 
Republics". 



NOVEMBER 2 8^ 1942 



Legislation 



PiestMviiiK tlic RcsiiltMice for Nnturalizntlon Purposes 
of Certain Aliens Who Serve in the Military or Naval 
Forees of One of the Allied Countries During Uie 
SiH-ond World War. or Otherwise Assist in the Allied 
War EfTort. H. Kept. 2657, 77tli Cong., on H. R. 
7050. 6 pp. 



973 

Amending First War Powers Act Extending Censorship 
To Include Communications Between Continental 
United States and Any Territory or Possession or 
Between Any Territory or Pos.sesslon and Any Other 
Territory or Possession. S. Kept. 1705, 77th Cong., on 
H.R. 7151. 3 pp. 

Authorizing the Execution of Cerliiin Obligations Under 
the Treaties of 1903 and 1930 Witli Panama. S. Kept. 
1720, 77th Cong., on S.J. Res. 162. 8 pp. 



U. t. 60VCRNMENT PRINTING OFFICE, lf4Z 



For sale by the Superintendent of Documents, Washington, D. C. — Price 10 cents Subscription price, $2.75 a year 

PCBLISHED WEEKLY WITB THB APPBOVAL OF THE DIBECTOB Or THE BtlKEAU OF THE BUDGET 



^^s^, I n ^ 



u 



THE DEPARTMENT OF STATE 



BULI 



H 



1 nn 



J 



riN 



DECEMBER 5, 1942 
Vol. VII, No. 180— Publication 1849 



C 



ontents 




The War 

Agi-comcnt With Canada Regarding Post- War Economic 

Settlements 

Defense Agreement With Liberia 

Message Service for United States Expeditionary 

Forces in New Zealand 

General 

Summary of Report of the Board of Appeals on Visa 

Cases 

Export Price of Australian and New Zealand Wool . . 

National Holiday of Iceland 

The Near East 
American Financial Mission to Iran 

American Republics 

Visit to the United States of the Guatemalan Foreign 

Minister 

Cultural Relations 

Visits to the United States of Mexican Educator and 

Venezuelan Journalist 

The Department 

The Office of Foreign Territories 

Retirement of Percy F. Allen 

Publications 

Volume X of The Territorial Papers of the United States. 

Legislation 

Treaty Information 

Commerce: Trade Agreement With Uruguay .... 
Telecommunications: Arrangement With New Zealand . 

Defense .Aid: Agreement With Liberia 

Economics: Agi-eement With Canada 



Page 

977 
979 

981 



982 
983 
983 

984 



984 



984 

985 
985 

986 

987 

988 
988 
988 
988 



I). S, S!JPERINT''NnENT OF Df^CUWHrf^ 



The War 



AGREEMENT WITH CANADA REGARDING POST-WAR ECONOMIC 

SETTLEMENTS 



(Released to the press December 2] 

An agreement setting forth the principles 
whidi will guide the Governments of the United 
States and Canada in approaching the problem 
of post-war economic settlements was concluded 
on November 30 by an exchange of notes be- 
tween the Secretary of State and the Canadian 
Minister, Mr. Leighton McCarthy. In this ex- 
change of notes the two Governments formallj' 
record their concurrence that post-war settle- 
ments must be of a sort which will promote mu- 
tually advantageous economic relations between 
them and the betterment of world-wide eco- 
nomic relations. 

In indicating the objectives of such post-war 
settlements the agreement follows the under- 
h'ing principles set forth in article VII of 
the mutual-aid agreements which have been 
negotiated with the United Kingdom and a 
number of other countries. Tlie two Govern- 
ments indicate their readiness to cooperate in 
formulating a program of agreed action, open 
to participation by all other nations of like 
mind. Its aims will be to provide appropriate 
national and international measures to expand 
production, employment, and the exchange and 
consumption of goods, which are the material 
foundations of the liberty and welfare of all 
peoples ; to eliminate all forms of discriminatory 
treatment in international commerce ; to reduce 
tariffs and other trade barriers; and, generally, 
to attain the economic objectives of the Atlantic 
Charter. 

To that end the agreement provides for the 
early commencement of conversations, within 
the framework which it outlines, between the 
Governments of the United States and Canada 

498756 — 42 



and with representatives of other United Na- 
tions, with a view to establishing now the foun- 
dations upon which we may create after the 
war a system of enlarged production, exchange, 
and consumption of goods for the satisfaction 
of human needs in our country, in Canada, and 
in all other countries which are willing to join 
in this great effort. 

The agreement particularly emphasizes the 
similarity of interests on the part of the United 
States and Canadian Governments in post-war 
international economic policj' and the collabora- 
tion for mutual aid in defense and in economic 
matters which has been provided through the 
Ogdensburg and Hyde Park Agreements ^ and 
subsequent arrangements. It states that in the 
conversations to be undertaken between the two 
Governments an effort will be made to furnish 
the world with a concrete example of how two 
friendly, economically interdependent coun- 
tries, convinced that reciprocally beneficial rela- 
tions of the sort prevailing between them must 
form part of a general system, may promote by 
agi-eed action their mutual interests to the 
benefit of themselves and other countries. 

The texts of the notes exchanged follow. 

The Secretary of State to the Canadian 
Minister 

Department of State, 
Washington, November 30, 191i2. 
Sir: 

I have the honor to set forth below my under- 
standing of the conclusions reached in conver- 
sations which have taken place from time to 



' Bulletin of Aug. 24, 1940, p. 154, and Apr. 26, 1941, 
p. 494. 

977 



978 

time during the past year between representa- 
tives of the Government of the United States 
and the Government of Canada with regard to 
post-war economic settlements. 

Our two Governments are engaged in a co- 
operative undertaking, together with every 
other nation or people of like mind, to the end 
of laying the bases of a just and enduring world 
peace securing order under law to themselves 
and all nations. They have agreed to provide 
mutual aid both in defense and in economic mat- 
ters through the Ogdensburg and Hyde Park 
Agreements and subsequent arrangements. 
They are in agreement that post-war settlements 
must be such as to promote mutually advanta- 
geous economic relations between them and the 
betterment of world-wide economic relations. 

To that end the Governments of the United 
States of America and of Canada are prepared 
to cooperate in formulating a program of agreed 
action, open to participation by all other coun- 
tries of like mind, directed to the expansion, by 
appropriate international and domestic meas- 
ures, of production, employment, and the ex- 
change and consumption of goods, which are the 
material foundations of the liberty and welfare 
of all peoples; to the elimination of all forms 
of discriminatory treatment in international 
commerce, and to the reduction of tariffs and 
other trade barriers; and, in general, to the 
attainment of all the economic objectives set 
forth in the Joint Declaration made on August 
14, 1941, by the President of the United States 
of America and the Prime Minister of the 
United Kingdom. 

Our Goveinments have in large measure sim- 
ilar interests in post-war international economic 
policy. They undertake to enter at an early 
convenient date into conversations between 
themseh'es and with representatives of other 
United Nations with a view to determining, in 
the light of governing economic conditions, the 
best means of attaining the above-stated objec- 
tives by agreed action on ihe part of our two 
Governments and otiier like-minded Govern- 
ments. In the conversations to be undertaken 
between the Governnienls of the United States 
of America and of Canada they will seek to fur- 
nish to the world concrete evidence of the ways 



DEPAETMENT OF STATE BULLETIN 

in which two neighboring countries that have a 
long experience of friendly relations and a high 
degree of economic interdependence, and that 
share the conviction that such reciprocally 
beneficial relations must form part of a general 
system, may promote by agreed action their 
mutual interests to the benefit of themselves and 
other countries. 

If the Government of Canada concurs in the 
foregoing statement of conclusions, I would 
suggest that the present note and your reply to 
that effect should be regarded as placing on 
record the understanding of our two Govern- 
ments in this matter. 

Accept [etc.] Cordell Hull 

The Canadian Minister to the Secretary of State 
CANADiiN Legation, 
Washington, November 30th, 194^. 
Sir: 

I have the honour to refer to your note of 
November 30tla, 1942, setting forth your under- 
standing of the conclusions reached in conver- 
sations between representatives of the Govern- 
ment of Canada and the Government of the 
United States with regard to post-war economic 
settlements. That understanding is as follows. 

Our two Governments are prepared to co- 
operate in formulating a program of agreed 
action, open to participation by all other coun- 
tries of like mind, directed to the expansion, 
by appropriate international and domestic 
measures, of production, employment, and the 
exchange and consumption of goods, which are 
the material foundations of the liberty and wel- 
fare of all peoples; to the elimination of all 
forms of discriminatory treatment in inter- 
national commerce, and to the reduction of 
tariffs and other trade barriers; and, in general, 
to the attainment of all the economic objectives 
set forth in the Joint Declaration made on 
August 14th, 1941, by the President of the 
United States of America and the Prime Min- 
ister of the United Kingdom. 

Our Governments have in large measure sim- 
ilar interests in post-war international economic 
policy. They undertake to enter at an early 
convenient date into conversations between 



DECEMBER 5, 194 2 

tlicmselves and with representatives of other 
Uiiiled Nations with a vii'w to dptermininfj;. in 
the li>j;ht of governing economic conditions, the 
best means of attaining the above-stated ob- 
jectives by agreed action on the part of onr two 
(iovernnients and other like-minded Govern- 
ments. In the conversations to be undertaken 
between the Governments of Canada and of the 
United States of America they will seek to fur- 
nish to the world concrete evidence of the ways 
iti which two neighbouring countries that have a 
long experience of friendly relations and a higli 
degree of economic interdependence, and that 



979 

share the conviction that such reciprocally 
beneficial relations nuist form part of a gen- 
eral system, may i)romote by agreed action their 
mutual interests to the benefit of themselves and 
other countries. 

I am instructed to inform you that the Gov- 
ernment of Canada concur in the foregoing 
statement of conclusions and agree to your sug- 
gestion that your note of November 30'h, 1942, 
and this reply should be regarded as placing on 
record tlie understanding of our two Govern- 
ments in this matter. 



Accept [etc.] 



Leighton McCartht 



DEFENSE AGREEMENT WITH LIBERIA 



[Released to the press December 3] 

The Government of Liberia has granted to the 
Government of the LTnited States for the dura- 
tion of the war the right to construct, control, 
operate, and defend airports in Liberia and to 
assist also in the protection and defense of any 
part of the Republic which might be liable to 
attack during the present emergency. An 
agreement was signed at Monrovia on ilarch 31, 
1942 by the Liberian Secretary of State and 
Lt. Col. Harry A. McBride. Special Represen- 
tative of the President of the United States, 
under the terms of which the United States was 
granted exclusive jurisdiction over airports, 
fortifications, and such other defense areas as 
may mutually be considered necessary. The 
Republic of Liberia retains sovereignty over all 
such airports and defense areas, while the 
United States maintains jurisdiction over Amer- 
ican military and civilian personnel stationed in 
Liberia. 

At the same time, by an exchange of letters 
between President Barclay and Colonel Mc- 
Bride, tlie United States agreed to extend cer- 
tain defense aids to the Government of Liberia 
and to assist in the improvement and extension 
of its road system. 

The strategic situation of Liberia, on the west 
coast of Africa, and the consequent danger of 
attack or aggression by mifriendly powers led 
the Government of Liberia to request the Gov- 
ernment of the United States to give such aid 



as might be possible in order to safeguard the 
independence and security of the Republic. 
The traditional friendly interest of the United 
States in the welfare of Liberia resulted in the 
measures de.scribed above. 

American forces, chiefly composed of Negro 
troops, are now stationed in Liberia in execution 
of the agreement. The German Consul and his 
staff recently departed from Monrovia at the 
request of the Liberian Government, thus elimi- 
nating Axis interests from the country. 

The American Minister to Liberia, Mr. Lester 
A. Walton, came to the United States in Febru- 
ary 194g for consultation with this Government 
on matters concerning Liberia and is expected 
to return shortly to his post at Liberia. 

The text of the agreement follows.^ 

AgreeTTient Between the Goveniments of the 

United States of America and Liberia 
WHEREAS : 

The situation of Liberia is made critical by 
the existing war and there is danger of attack 
or aggression by unfriendly powers; and 

2. additional protection is necessary in order 
that the independence and security of the Re- 
public may be safeguarded; and 

3. the Government of Liberia has requested 
that the Government of the United States be- 
cause of its traditional friendly interest in the 
welfare of Liberia, give such aid as may be 



' The text here printed conforms to the original. 



980 



DEPARTMENT OF STATE BTTLLETIN 



possible in the circumstances in the defense of 
the Kepublic ; and 

4. the Government of Liberia has granted 
the Government of the United States in this 
emergency the right to construct, control, oper- 
ate and defend at the sole cost and expense of 
the latter and without charge to the Republic of 
Liberia, such military and commercial airports 
in the Republic as in consultation with the Gov- 
ernment of the Republic of Liberia may mu- 
tually be considered necessary; and the right 
also to assist in the protection and defense of 
any part of the Republic which might be liable 
to attack during the present war, said grant to 
include the right to construct access roads from 
Monrovia to the airport at Roberts Field on the 
Farmington River and the seaplane facilities at 
Fisherman Lake in the County of Grand Cape 
Mount ; and 

5. the above mentioned rights have been 
granted as of February 14, 1942 to become effec- 
tive from that date and to remain in effect for 
the duration of the existing war and for a period 
not to exceed six months thereafter; 

THEREFORE : 

the undersigned to wit : 

Harrt a. McBride. Special Representative 
of the President of the United States of Amer- 
ica, acting on behalf of the Government of the 
United States; and 

Clarence L. Simpson, Secretary of State of 
the Republic of Liberia, acting on behalf of the 
Government of Liberia, have agreed as follows: 

Article 1 

The grants of rights specified above shall also 
include the right to improve and deepen chan- 
nels, to construct connecting roads, communica- 
tion services, fortifications, repair and storage 
facilities and housing for personnel, and gen- 
erally the right to do any and all things neces- 
sary to insure the efficient operation, mainte- 
nance and protection of such defense facilities 
as may be established ; 

Article 2 

The Republic of Liberia retains sovereij!jity 
over all such airports, fortifications and other 
defense areas as may be established under the 



rights above granted. The Government of the 
United States during the life of this Agree- 
ment shall have exclusive jurisdiction over any 
such airports and defense areas in Liberia and 
over the military and civilian personnel of flie 
Government of the United States and their 
families within the airports, fortifications and 
other defense areas, as well as over all other 
persons within such areas except Liberian 
citizens. 

It is understood, however, that the Govern- 
ment of the United States may turn over to the 
Liberian authorities for trial and punisliment 
any person committing an offense in such de- 
fense areas. And the Liberian authorities will 
turn over to the United States authorities for 
trial and punishment any of the United States 
military or civilian personnel and their families 
who may commit offenses outside such defense 
areas. The Liberian authorities and the United 
States authorities will take adequate measures 
to insure the prosecution and punishment in 
cases of conviction of all such offenders, it being 
understood that the relevant evidence shall be 
furnished reciprocally to the two authorities. 

Article 3 

It is agreed that the Government of the 
United States shall have the right to establish 
and maintain postal facilities and commissary 
stores to be used solely by the military and 
civilian personnel of the United States Govern- 
ment and their families stationed in Liberia in 
connection with this Agreement and with such 
aid in the defense of Liberia as the Government 
of the United States may furnish. 

' Article 4 

All materials, supplies and equipment for the 
construction, use and operation of said airports 
of the United States Government and for the 
persona] needs of the military and civilian per- 
sonnel and their families, shall be permitted 
entry into Liberia free of customs duties, excise 
taxes, or any other charges, and the said per- 
sonnel and their families shall also be exempt 
from all forms of taxes, assessments and otlier 
levies by the Liberian Government and authori- 
ties, including exemption from Liberian regula- 



DECEMBER 5^ 1042 



981 



tions pertaining to passports, visas and resi- 
dence permits. 

The Government of the United States under- 
takes to respect all legitimate interests of 
Liberia and of Liberian citizens, as well as all 
the laws, regulations and customs relating to 
tlie native population and the internal adminis- 
tration of Liberia. In exercising the rights 
derived from this Agi-eement, the Government 
of the United States undertakes to give sym- 
pathetic consideration to all representations 
made by the Liberian authorities with respect 
to the welfare of the inhabitants of Liberia. 

In respect of the commercial use of such air- 
ports, passengers, mail and cargo entering or 
leaving Liberia by air shall have transit over 
such airjDorts to and from a Liberian customs 
station established adjacent to said airports 
and under the exclusive jurisdiction of the Gov- 
ernment of Liberia. 

Article 5 
The Government of the United States under- 
takes to extend to the Government of Liberia 
such aid as may be possible in the circumstances 
in the protection of the Republic, including nec- 
essary equipment for road construction, certain 
monetary aids for defense purposes, certain as- 
sistance in the organization and training of the 
Liberian military forces and certain other 
assistance of a similar nature. 

Article 6 
The Government of the United States under- 
takes, at the end of the war and the additional 
period provided in Paragraph 5 of the Preamble 
to this Agreement, to withdraw all military 
forces of the United States. It is mutually un- 
derstood and agreed that the jurisdiction 
hereby conferred on the Government of the 
U^nited States over any airports and defense 
areas, and over military and civilian personnel 
under the provisions of Article 2 of this Agree- 
ment, .shall continue until all matters calling for 
judicial determination, but undisposed of after 
the termination of this Agreement, shall have 
been disposed of by the United States authori- 
ties, or, alternately, until the withdrawal of the 
United States forces shall be complete. 



Article 7 

The Government of Liberia and the Govern- 
ment of the United States agree that at this 
time the above Agreement shall apply to the air 
facilities at Roberts Field on the Farmington 
River, and at Fisherman Lake in the County of 
Grand Cape Mount. If other defense areas of 
this kind are deemed necessary in the future, 
their location will be fixed by mutual agree- 
ment. 

Article 8 

For the purposes of this Agreement, a De- 
fense Area shall be construed as the actual areas 
of said airports and such additional areas in 
the immediate neighborhood upon which instal- 
lations necessary for defense may be established 
by agreement between the United States Com- 
manding Officer and the Liberian Government. 

Signed, at Monrovia, Liberia, in duplicate, 
the texts having equal force, this 31st day of 
March, 1942 

Harry A. McBhide 

Special Representative of the President 
of the United States of America 
C. L. Simpson 
Secret arrj of State of the Repuhlic 
of Liberia 

MESSAGE SERVICE FOR UNITED STATES 
EXPEDITIONARY FORCES IN NEW ZEA- 
LAND 

[Released to the press December 5] 

The Governments of the United States and 
New Zealand are pleased to announce that, in 
collaboration with the various cable, radio, and 
telegraph authorities concerned, arrangements 
have been made for the introduction on Decem- 
ber 7 of the Standard-Text Expeditionary Force 
Message Concession Rate Service between the 
United States and New Zealand. The Expedi- 
tionary Force Message Service, which is availa- 
ble for telegrams to or from members of the 
United States forces in New Zealand, will until 
December 27 be confined to 1 only of 6 texts 
of a seasonal-greetings nature, but thereafter the 



982 



DEPARTMENT OF STATE BULLETIN 



sender will have the choice of 1, 2, or 3 standard 
texts selected from a list of 189 prearranged 
texts. The charge per message will be 60 cents 
from the United States and 2s. 6d. local cur- 



rency from New Zealand. These messages may 
be routed for transmission either by cable or 
radio. Further particulars are obtainable at 
any telegraph, radio, or cable office. 



General 



SUMMARY OF REPORT OF THE BOARD OF APPEALS ON VISA CASES 



[Released to the press by the White House November 29] 

A summary of the first report of the Board 
of Appeals on Visa Cases received by the Presi- 
dent follows. 

Robert J. Bulkley, former Senator from Ohio, 
and Frederick P. Keppel, former President of 
the Carnegie Corporation, were appointed to 
the Board of Appeals on Visa Cases on Decem- 
ber 3, 1941 by the President on the joint recom- 
mendation of the Secretary of State and the 
Attorney General ; later, Dean F. D. G. Kibble 
of the Univei-sity of Virginia Law School was 
added as an alternate member of the Board. 

The purpose of the appointment was "to sup- 
plement the function of investigation already 
efficiently conducted by the representatives of 
the State Department, tiie Army and Navy In- 
telligence, the Federal Bureau of Investigation, 
and the Immigration Service by an independ- 
ent agency evaluative rather than investigative 
in character"'. 

Since January first, when the present proce- 
dure was establislied, the Primary Committees, 
made up from the representatives mentioned, 
have cleared 2,951 applications. The Review 
Committees, similarly composed, which hold 
liearings on cases not favorably acted upon by 
the Primary Committees, have favorably recom- 
mended 1,782. The Board of Appeals has thus 
far recommended 1,283 applications in cases 
passed on adversely by the Review Committees 
and also has confirmed 73G reconmiendations for 
the issuance of visas to alien enemies, concur- 
ring with the favorable recommendations of the 
Review Conimittee-s. The present disturbed 
conditions throughout the world and the care 
exercised in the elimination of persons ■who 



might be harmful to the national welfare have 
combined to reduce the total number of ad- 
missions to less than one tenth of the admissions 
in a normal pre-war year. 

The Committees and tlie Board are concerned 
first with the fundamental question as to 
whether the applicant may receive his visa with 
safety to the United States, and are agreed that 
only when adequate assurance of safety appears 
can weight be given to the second fundamental 
question — that of benefit. Their sjTnpathies are 
daily aroused by records of suffering and dis- 
tress, but sympathies must be held in control 
until safety and benefit are determined. The 
presidential proclamations prescribe a funding 
of benefit to the United States in the granting 
of visas to enemy aliens. An early finding of 
the Board found such benefit in maintaining the 
traditional American policy of providing a 
haven of refuge for decent people who are in 
distress and peril. xVffirmative benefit has been 
found in tlie admission of doctors, dentists, 
nurses, and other professionally trained people 
and of those with technical and industrial skills 
useful in the war effort. Indirectly, the effect 
upon civilian and military morale within the 
United States is also considered, it being be- 
lieved that a favorable decision, when it may 
safely be made, will enhance morale and an 
unfavorable decision will tend to lower it not 
only among the relatives and friends of the ap- 
plicants but throughout a larger group of the 
same race and background now in the United 
States, many of them in the armed forces. 

The 6,152 applications thus far examined by 
the Board involve more than twice as many 
individuals. Of these more than one fourth 



DECEMBER 5, 194 2 



983 



arc now in tlie United States, 1 in 6 of them 
ilie<;aliy. A tenth are or were in Cuba; about 
as many, elsewiiere in tlie Western Hemisphere. 
Overseas nearly two fifths of the total are in 
detention camps; the remainder are in England, 
Switzerland, or more widely scattered. Birth 
statistics contrast sharply with those of present 
residence. Mure than two fifths of all applicants 
had already moved from one country to an- 
other even before the days of organized perse- 
cution or armed invasion. Thirty-one percent 
are German-born, 27 percent Poles, 12 percent 
Austrian, 6 percent each from Hungary, 
France, and Russia ; a somewhat slighter pro- 
portion from Spain; the remainder are widely 
scattered. Only 1 application has come from a 
person of Japanese birth. 

The most serious difficulty in the procedure 
is the frequent absence of information regard- 
ing the applicant adequate to justify the grant- 
ing of a visa under war conditions. Even close 
relatives in this country have in many instances 
not seen the applicant for years, and other spon- 
sors can furnish information only at second 
hand. It is a painful duty to refuse admission 
to people who appear to be decent and deserv- 
ing, and with devoted sponsors, and to do so 
wholly because of the absence of information 
adequate to furnish the basis of an informed 
judgment. 

The report discusses the delay in the clearing 
of cases, pointing out the presence of unavoid- 
able factors under war conditions, and intimates 
that plans are under waj' for expediting the 
procedure wherever possible. 

The hostage problem is fully discussed and 
also the diffieuUies frequently involved in de- 
termining whether or not an applicant is an 
enemy alien. 

The report closes with the statement to the 
effect that the procedure maj' have a signifi- 
cance far beyond the safety and happiness of the 
individuals concerned. Many persons have 
been granted visas who bj' their knowledge and 
ability in science and the learned professions 
or bj' their skill as artisans and mechanics will 
contribute directly to the well-being of the 
Nation. Others are courageous men who in 



tlioii- own lands have leil in the democratic op- 
position to the Nazis and whose admission to the 
United States is an evidence of confidence in 
and a source of encouragement to forces of 
tlcmocracy still working in occupied territories. 
Many others are per.sons without distinction, 
often very humble people, who have suffered 
gi-ievously under the Nazi tyranny. Ideals of 
fair treatment of all decent people who are 
oppressed and who seek such treatment at our 
hands have been forcefully expressed in the 
declaration of the four freedoms and in the 
Atlantic Charter. Acts of the United States 
in giving relief to deserving people, the vic- 
tims of tyranny, furnish present proof by deed 
of the good faith of these verbal declarations. 
They exhibit the United States before the whole 
world as having the strength and courage to 
stand firm in the common cause of humanity 
even in stress of war. 

EXPORT PRICE OF AUSTRALIAN 
AND NEW ZEALAND WOOL 

(Rolo.ised to the press December 3) 

The Department of State and the Board of 
Economic Warfare have been informed that on 
December 3 the United Kingdom Wool Control 
will announce a reduction in the export issue 
price of Australian and New Zealand wool. 
This will establish prices at 6I/2 percent below 
the current quotations. It is understood that 
the Wool Control does not intend to change these 
prices again during the wool-year ending June 
30, 1943. 

NATIONAL HOLIDAY OF ICELAND 

(Released to the press December 4) 

The following telegrams have been ex- 
changed between the President of the United 
States of America and the Regent of Iceland on 
the occasion of the national holiday of Iceland : 

The White House, December 1, 19Jf2. 
I am happy on this memorable anniversary of 
Iceland to extend to you my personal felicita- 
tions and to express to the people of Iceland 



984 



DEPAHTMENT OF STATE BULLETIN 



the cordial greetings and best wishes of the peo- 
ple of the United States. 

Franklin D Roosevelt 



Reykjavik, December 1, 19Ji2. 

I thank you heartily for your personal felici- 
tations and your cordial gi-eetings and good 
wishes to the people of Iceland on our anni- 
versary today. Your telegram together with 
Mrs. Roosevelt's broadcast and the various other 
expressions of sympathy from the United States 
today have touched me deeply. Our feelings for 
the American people are more cordial and sincere 
now than at any time before in the history. I am 
very pleased to express the same cordial greet- 
ings and wishes to you and the people of the 
United States from the people of Iceland. 

SVEINN BjORNSSON 



The Near East 



AMERICAN FINANCIAL MISSION 
TO IRAN 

[Released to the press November 30] 

The Government of Iran is engaging in the 
United States an American financial mission to 
assist in the i-eorganization and administration 
of the Iranian national finances. Dr. Aithur C. 
Millspaugh has been appointed to head the mis- 
sion, with the title of Administrator General 
of Finances, and is now engaged in selecting a 
group of eight assistants. He expects to depart 
for Iran as soon as the membership of the group 
has been completed. 

The work of the mission will cover virtually 
all fields of Iranian governmental finance. In 
addition to Dr. Millspaugh the mission will 
include experts in the following lines: Taxa- 
tion; accounting, budgetary control, and audit- 
ing; customs, taritl's, and trade; general eco- 
nomic matters ; general financial matters. 



Dr. Millspaugh headed a similar mission to 
Iran during the period 1922-27. In 1911 an 
American financial mission under Mr. W. Mor- 
gan Shuster spent several months in Iran. 



American Republics 



VISIT TO THE UNITED STATES OF THE 
GUATEMALAN FOREIGN MINISTER 

His Excellency Dr. Carlos Salazar, Minister 
of Foreign Affairs of Guatemala, arrived in 
Washington November 30, where he was re- 
ceived by an official reception committee. Wliile 
here Dr. Salazar will discuss problems of mutual 
interest to the Governments of Guatemala and 
the United States. His program will include 
a luncheon to be given in his honor by the Secre- 
tary of State and a dinner to be given by the 
Under Secretary of State; a special session of 
the Governing Board of the Pan American 
Union ; and a reception to be held by the Minister 
of Guatemala at the Pan American Union. 



Cultural Relations 



VISITS TO THE UNITED STATES OF MEX- 
ICAN EDUCATOR AND VENEZUELAN 
JOURNALIST 

[Released to the press November aO] 

Seiior Juan Oropesa, distinguished Venezue- 
lan journalist of the staff of Ahora, one of the 
leading daily newspapers of Caracas, arrived in 
the United States on November 28, as a guest 
of the Department of State. Senor Oropesa 
plans (o spend most of his time in Washington. 
Arrangements are being made for him to attend 
press conferences at the White House, the 
Department of State, and the press gallery at 
the Capitol. Visits to leading universities in 
this country are also on his itinerary, as he has 



DECEMBER 5, 1942 

been comniissioiu'd by his Government to study 
university orgiinization in the United States. 

[Released to the press December 3] 

Senor Julio Jimenez Rueda, Director of the 
Faculty of Philosophy and Letters of the 
National University of Mexico and a distin- 
guished lawyer and writer, arrived in Wasli- 
ington December 2, at the invitation of the 
Department of State. 

Senor Jimenez Rueda will attend the annual 
convention of the Modern Language Associa- 
tion in New York, confer with leading men of 
letters in New England, and visit universities 
in North Carolina, Virginia, and the South- 
west. 



985 

years of experience in all phases of the work of 
the Department of Agriculture and the many 
contacts which he has had with related depart- 
ments and agencies of the Goverimient render 
him particularly qualified to assist in the in- 
auguration of the Office of Foreign Territories. 
It will be recalled that on November 21 it was 
announced by the AVIiite House that Governor 
Herbert Lehman of New York would become 
associated with the Department of State as 
Director of Foreign Relief and Rehabilitation 
Operations. There will of necessity be close 
collaboration between the functions of Governor 
Lehman and the functions of the Office of For- 
eign Territories. 



The Department 



THE OFFICE OF FOREIGN TERRITORIES 

[Released to the press December 2 J 

The problems involved in dealing with all 
non-military matters arising as a result of any 
military occupation of foreign territories by 
American forces have been receiving the close 
attention of the President and the Secretary of 
State. As a result of these deliberations there 
was established in the Department of State the 
Office of Foreign Territories ^ to implement the 
pertinent policies of the United States Gov- 
ernment in harmony with the Atlantic Charter 
and the Declaration by United Nations. The 
Secretary of State has been authorized by the 
President to draw upon the services of officials of 
the L'nited States Government particularly 
qualified to assist him in carrying on these func- 
tions. By agreement between the Secretary of 
State and the Secretary of Agi-iculture Mr. Paul 
Appleby has been temporarily loaned to the 
Department of State to serve as Special Assist- 
ant to Secretary Hull. Mr. Appleby's many 



' BcixETiN of Nov. 28, 1942, p. 971. 



RETIREMENT OF PERCY F. ALLEN 

[Released to the press December 3] 

Mr. Percy F. Allen, an employee of the De- 
partment of State for the past 36 years, retired 
from the Federal service at the close of business 
December 3, 1942. Mr. Allen, who was ap- 
pointed in the Department on July 3, 1906, was 
Assistant Director of Personnel and Chief of 
the Recruiting and Selection Section of the 
Division of Departmental Personnel at the 
time of his retirement. 

In addition to his duties as principal recruit- 
ing and placement officer Mr. Allen acted as 
custodian of the Seal of the United States and 
himself affixed the Seal to some hundreds of 
presidential commissions and other state papers. 
He has also administered the oath of office to a 
great majoritj' of the officers and clerks now in 
the Department of State. 

In many instances Mr. Allen was the first to 
greet an employee coming into the Department 
and the last to say good-by to one who was leav- 
ing. He took a ))ersonal and sympathetic 
interest in each employee and had a unique 
knowledge of the organization and personnel 
of the Department. 

Mr. Hull has sent to Mr. Allen the following 
letter of appreciation : 



986 



DEPARTMENT OF STATE BULLETIN 



Dear Mr. Allen: 

On this .your last day in the Department 
I wish to express to you my regret at your 
departure and at the same time my sincerest 
hope that your period of rest and relaxation 
after your thirty-six years of Departmental 
service may be a long and a pleasant one. 

You have loyally and faithfully dischai-ged 
your important duties and responsibilities and 
I share the satisfaction of your many friends 
at your splendid record of public service. In 



your work as the Department's recruiting officer 
you have always maintained the highest stand- 
ards, making possible the obtaining of unusually 
competent personnel and this has been of the 
greatest benefit in the efficient and orderly op- 
erations of the Department. 

On behalf of your colleagues I extend to you 
and to Mrs. Allen our warmest wishes for your 
happiness. 

Sincei'ely, 

CoKDELL Hull 



Publications 



VOLUME X OF "THE TERRITORIAL PAPERS OF THE UNITED STATES" 



[Released to the press December 4] 

The Department of State announced the pub- 
lication of volume X of the series entitled The 
Temtorial Papers of the United States, pre- 
pared in the Department pursuant to the act 
of Congress of March 3, 1925, as amended. 
Volume X, covering the years 1805-20, is the 
first of a group of three volumes of official letters 
and papers, foinid in the archives in Washing- 
ton, concerning Michigan Territory. Most of 
them have never before been, printed. 

These documents are a revelation of democ- 
racy in action. They show that the pioneers 
who settled the territory were zealous to main- 
tain what one of them eloquently called "that 
infinite extension of liberty" which the territory 
provided. These pioneers naturally put into 
practice the principles of free enterprise, but 
in the midst of the wilderness they followed 
the recognized legal procedures with admirable 
determination and vision. The Indian, with 
tomahawk in hand, was a familiar sight to the 
pioneers, yet the judge upon tlie Michigan bench 
calmly and learnedly charged the juries with 
their duty under law. When the settlers of 
Michigan Territory acquired Indian lands by 
treaty with accredited representatives of the 
Indians, yearly annuities were paid by the Fed- 
eral Government to the Indians for that land. 
The settlers were not un appreciative of their 



democratic environment. A French inhabitant 
of Michigan Territory wrote to President Jef- 
ferson and referred to the honor of breathing 
"the pure air of American liberty". 

That the people in Michigan Territory had a 
strong voice in their government is shown by the 
signed petitions in this volume. Tlie farmers of 
the frontier petitioned Congress respecting their 
needs, and the response was legislation. Thus 
these old petitions from the "wilderness coun- 
try" illuminate the course of national legisla- 
tion. They also serve as censuses of the inhabi- 
tants. 

Surprisingly modern and democratic efforts 
to improve social conditions by agricultural edu- 
cation and by wise relief of a people made poor 
by war are illustrated in the original letters of 
Governor Cass of Michigan Territory and other 
statesmen of the period. The plan of Father 
Kichard, of Detroit, later Territorial Delegate 
to Congress, for the education of Indian chil- 
dren for a time drew Federal subsidy. 

Other documents in the volume relate to the 
quarrel between Michigan and Ohio over the 
boundary; the systematization of the survey of 
public lands (the first copy in existence of a con- 
tract to survey United States lands is printed 
here) ; the trials and deficits of the Post Office 
Department in running a mail service through 
the wilderness; the long labor of assisting illit- 



DECEMBER 5, 1942 



987 



erate owners in establishing the bases of their 
claims to land; and the question of the owner- 
ship of natural resources, such as copper and 
timber. Implicit on every page are the sense of 
a government not of men but of law and the 
recognition of human rights. 

Nine other volumes of Tcmtorial Papers have 
already been published. The most recent of 
these (volume IX) was on Orleans Territory, 
or present-day Louisiana. Volumes VII and 
VIII concerned Indiana Territory. Volumes V 
and VI were on Mississippi Territory. Volume 
IV embodied the official records of the Territory 
southwest of the Ohio, which later became the 
State of Tennessee. Volumes II and III con- 
tained the papers of the Northwest Territory. 
Volume I of the series was issued in preliminary 
form as a pamphlet ; when the series is con- 
cluded, volume I will be enlarged to include 
papers of a general character pertaining to all 
the territories of the United States. 

Volumes XI and XII, completing the group 
on Michigan Territory, will be issued during 
the coming months. A considerable portion of 
volumes XIII, XIV. and XV on Louisiana- 
Missouri Territory and on Illinois Territory are 
already in type. 

Dr. Clarence E. Carter, of the Division of 
Research and Publication in the Department of 
State, is the editor of the series of Territorial 
Papers. Volume X of the series will be avail- 
able shortly from the Superintendent of Docu- 
ments, Government Printing Office, Washing- 
ton, D.C., for $2 a copy. 



During the week of November 30 - December 
5 the Department of State also released the 
following publication : 

Foreign Service List, October 1, 1942. Publication 
1830. iv, 115 pp. Subscription, 500 a year; single 
copy, 150. 

Recent publications of other Government 
agencies that may interest readers of the 
Bulletin are : 

Annual Report of the American Historical Association 
for tlie Year 1937. (In three volumes.) Vol. II — 
Writings on American History, 1937 and 1938: A 
Bibliography of Books and Articles on United States 



History Published During tUe Years 1937 and 1938, 
by Grace Gardner Gridin, Dorothy M. Lourainc, 
Margaret K. Patterson. U. Doc. 381, Pt. 2, 75th 
(\iii^'., :.'d scss. x.xxvl, 8ti!) p. Free. 

Foreign Trade of Uidted Slates in Agricultural Prod- 
uels liy Coniiiiiidily :iml l)y C<niiiliy, l'.i:5."i-:!() to 1940- 
41. (Foreign Agrieultuiiil Relations Olllce, Depart- 
ment of Agriculture.) .")S pp. Processed. Free. 

Industries, Products, and Transportation in Our Neigh- 
bor Republics: Index and Bibliography. (Office of 
Education, Federal Security Agency, prepared in 
cooperation with Ollice of CiK>r<liniit<ir of Inter- 
Ainerlcan AfCairs.) [Education] Bulletin 1941.', no. 6. 
iv, ;«) pp., illus. lU(f (iiMi)er). 

Legal Codes of Latin American Republics. (Law Li- 
brary of the Library of Congress.) Latin American 
Series No. 1. [In English, Spanish, and Portuguese.] 
95 pp. 750 (cloth). 

Martinique: A Selected List of References, compiled by 
Linn R. Blanchard. (Library of Congress, Reference 
Department.) Processed, v, .'J7 pp. Free. 

Reference Information Circulars (>-9 (The National 
Archives) : 

6. Materials in National Archives Relating to Alaska. 

10 pp. Processed. Free. 

7. Materials in National Archives Relating to Carib- 

bean Region. 10 pp. Processed. Free. 

8. Materials in National Archives Relating to Brazil. 

6 pp. Processed. Free. 

9. Materials in National Archives Relating to Coun- 

tries on West Coast of South America. 8 pp. 

Processed. Free. 

Training of British Flying Students in the United 

States: Opinion of the Attorney General of the 

United States. May 23, 1941. [Vol. 40, Op. No. 55.] 

6 pp. 50. 



Legislation 



Christoffer Hanuevlg [favorable report by Committee on 
Claims, on bill to confer jurisdiction upon the United 
States Court of Claims to determine and render judg- 
ment upon the claim of Christoffer Hannevig of Nor- 
way ; this legislation is intended to be an effective 
substitute for the convention between the United 
States and Norway concerning the claims in this 
case, which the Senate returned without advice and 
consent to ratification September 20, 1940 owing to 
the war]. H. Rept. 2693, 77th Cong., on H. R. 6265. 
35 pp. 

Participation by the United States in the Emergency 
Advisory Committee for Political Defense: Message 
from the President of the United States transmitting 
a recommendation from the Secretary of State with 
regard to legislation to provide for the participation 



988 



DEPAETMENT OF STATE BULLETIN 



by the United States in the Emergency Advisory 
Committee for Political Defense, and authorizing an 
appropriation therefor. H. Doc. 893, 77th Cong. 4 pp. 

Annual Expense of Inter-American Financial and Eco- 
nomic Advisory Committee : Message from the Presi- 
dent of the United States transmitting a report from 
the Secretary of State requesting the passage of legis- 
lation authorizing the appropriation of such sums 
as may be necessary to pay the proportionate share 
of the United States in the annual expenses of the 
Inter-American Financial and Economic Advisory 
Committee. H. Doe. 894, 77th Cong. 10 pp. 

Suspension of Tariff and Immigration Laws (Free 
Movement of Persons, Property, and Information) : 
Hearings Before the Committee on Ways and Means, 
House of Representatives, 77th Cong., 2d sess., on 
H.R. 7762, a bill to facilitate, to the extent required 
for the effective prosecution of the war, the free move- 
ment of persons, property, and information into and 
out of the United States. Revised. November 18, 
1942. [Statement of As.sistant Secretary Long, pp. 
51-52.] 65 pp. 



The text of this agreement and the texts of 
the related notes will be printed shortly in the 
Executive Agreement Series. An analysis of 
the general provisions and reciprocal benefits of 
the agreement appeared in the BtiULETiN, Sup- 
plement of July 25, 1942, vol. VII, no. 161a. 
The notice of the President's proclamation of 
the agreement appeared in the Bulletin of No- 
vember 14, 1942, p. 929. 

TELECOMMUNICATIONS 

Arrangement With New Zealand 
A statement regarding the arrangement be- 
tween the United States and New Zealand for 
the establishment of the Expeditionary Force 
Message Service for telegrams to or from mem- 
bers of the United States forces in New Zealand 
appears in this Bulletin under the heading 
"The War". 



Treaty Information 



COMMERCE 
Trade Agreement With Uruguay 

[Released to the press December 3] 

On December 3, 1942 the President issued a 
supplementary proclamation relating to the 
entry into force of the trade agreement between 
the United States and Uruguay, signed at 
Montevideo on July 21, 1942, which was pro- 
claimed by the President on November 10, 1942. 
Article XVII of the agreement provides that it 
shall enter into force 30 days following the 
exchange of the President's proclamation and 
the instrument of ratification of the Govern- 
ment of Uruguay. 

The supplementary proclamation recites that 
this exchange took place at Washington on 
December 2, 1942 and proclaims that the agree- 
ment will enter into force on January 1, 1943. 



DEFENSE AID 

Agreement With Liberia 

A statement regarding the agi-eement between 
the United States and Liberia by which the 
Government of Liberia has granted to the Grov- 
ernment of the United States for the duration of 
tlie war the right to construct, control, operate, 
and defend airports in Liberia and to assist also 
in the protection and defense of any part of the 
Rei:)ublic which might be liable to attack during 
the present emergency, appears in this Bulletin 
under the heading "The War". 

ECONOMICS 

Agreement With Canada 

A statement regarding an agreement setting 
forth the principles which will guide the Gov- 
ernments of the United States and Canada in 
approaching the problem of post-war economic 
settlements, appears in this Bulletin under the 
heading "The War". 



U. S. GOVERNMENT PRINTING OFFICEt IV4Z 



For sale by the Superintendent of Documonts, Washington, D. C. — Price, 10 cents ... - Subscription price, $2.75 a year 

PDBLISHED WEEKLY WITH THE AFPBOVAL Of THE DIRECTOR OF THE BDBEAU OF THE BCDOET 



THE DEPARTMENT OF STATE 

BULLETIN 



DECEMBER 12, 1942 
Vol. VII, No. 181— Publication 1850 







ontents 



The War Page 

Address by the Under Secretary of State at the Dedica- 
tion of the Sara Delano Roosevelt Memorial . . 991 
Address by the Former American Ambassador to 

Japan 993 

Continued Resistance of Albania to Italian Occupation: 

Statement by the Secretary of State 998 

Appointment of the President's Personal Representa- 
tive Near the Government of India 998 

Lend-Lease Aid to Ethiopia 999 

Emergency Advisory Committee for Political Defense . 999 
Gift of the King of Egypt to the American Forces in 

Egypt 1000 

American Republics 

Visit to the United States of the President of Cuba . . 1000 

Treaty Information 

Aviation: Convention for the Unification of Certain 
Rules Relating to International Transportation 

by Air 1001 

Commerce: Trade Agreement With Argentina . . . 1001 
Finance: Supplementary Agreement With Haiti . . . 1002 

Publications 1002 

Legislation 1002 




U, S. SUPERINTENDENT OF DOCUMENTS 
JAN 4 1943 



The War 



ADDRESS BY THE UNDER SECRETARY OF STATE AT THE DEDICATION 
OF THE SARA DELANO ROOSEVELT MEMORIAL' 



[Released to tbe press December 6] 

We are meeting this evening in St. Paul's 
Church at Eastchester, New York, to pay trib- 
ute to the memory of Sara Delano Roosevelt, the 
great mother of a great son. 

By tlie erection of this memorial to Mrs. 
Roosevelt generations still to come will remem- 
ber that it was largely clue to her devoted inter- 
est and assistance that there was made possible 
the restoration of this historic church — the 
shrine to the Bill of Rights — a sanctuary that 
has always since 1733 been identified in the 
minds of the people of the United States with 
that great right later established in our Consti- 
tution : the freedom of the press. 

For nine years Mrs. Roosevelt was the chair- 
man of the restoration committee which at 
length succeeded in the task of renewing this 
grand memorial of our colonial days so that it 
now stands once again in its original beauty. 
To that task Mrs. Roosevelt gave of herself gen- 
erously and untiringly as she did in so many 
countless ways and for so many worthy causes 
throughout the years of her life. 

Mrs. Roosevelt was the life-long friend of 
some of us gathered here. And I think we feel 
her gracious presence very near to us as we meet 
in this old church that was so close to her heart. 
None of us who had the privilege of her friend- 
ship can ever fail to be grateful for it. For no 
more loyal, no more devoted and unselfish friend 
could any man or woman have. Her trans- 



' Delivered by the Honorable Sumner Welles at St. 
Paul's Church, Eastche.ster, Mount Vernon, N.Y., Dec. 
6, 1942, and broadcast over the facilities of the National 
Broadcasting Company. 

4D9328 — 12 



parent integrity of soul and mind, her radiant 
goodness, her charm of personality, and, above 
all else perhaps, her love for her fellow men 
have engraved her image deep in the hearts of 
all of us. That image will not grow dim. 

We are gathered together in these dedication 
ceremonies on the eve of the first anniversary of 
that treacherous attack upon the United States 
which involved our people in this great World 
War which has engulfed all the continents of 
the earth. 

It is a solemn moment as we think back 
over the crowded history of these past 12 
months, during which our united people and 
their Government have made the supreme effort 
to preserve the freedom with which this land 
of ours has been blessed and to turn the tides 
of battle toward the ultimate victory of the great 
cau.se which we uphold : the cause of human 
liberty. 

We think back to those first diflScult months 
when we had to achieve the readjustment of our 
national life in all its phases so as to insure an 
all-out war effort, and of the months thereafter 
when the long and difficult task of translating 
military and naval plans into accomplishment 
had to be realized. Now at the end of this 12- 
month period the strategy which our Govern- 
ment has been devising has become clear. The 
successes of our military and naval forces and 
of those of the peoples who are fighting at our 
side have instilled in us new hope and renewed 
conviction. It may well be, however, that a 
dark and anxious time may yet have to be tra- 
versed before the ultimate victory, which we 
know we will attain, is won. Until that time, 

991 



992 



DEPARTMENT OF STATE BULLETIN 



the efforts, the derotion, and the sacrifices of 
every one of us must be consecrated to the su- 
preme task of winning the war. 

But there are many of us today who are 
thinking back further than the anniversary of 
Pearl Harbor. They are thinking back over 
the past quarter of a century and are asking 
themselves whether this shattering world up- 
heaval in which all mankind is engaged was in 
fact inevitable. 

They are asking themselves: If, at the con- 
clusion of the last World War, the Govern- 
ment of the United States, in association with 
the other governments of free peoples, had 
sought the ideal which Woodrow Wilson once 
held up before the eyes of the people of this 
country — "a universal dominion of right by such 
a concert of free peoples as shall bring peace and 
safety to all nations and make the world itself at 
last free" — would this tragedy have come to 
pass? 

The foreign policy of any nation must in- 
evitably be a policy of self-interest. The for- 
eign policy of the United States should ever be 
a policy based upon that course and upon those 
principles wliich, in the judgment of the Amer- 
ican people themselves, will most clearly further 
the individual interest of their country and the 
general welfare of the people of the United 
States. 

And I think a question that we can well af- 
ford to ask ourselves on the eve of the anniver- 
sary of our entrance into the present >var is 
whether the policy pursued by the people of the 
United States during the years subsequent to 
the end of the last AVorld War has proved in 
any sense to be to the interest or to the indi- 
vidual advantage of I he American people. Dur- 
ing that period we re fused to assume the slight- 
est measure of responsibility for the mainte- 
nance of world order. During the greater por- 
tion of that period we div(jrced ourselves from 
almost every form of cooperation with other 
powers, and as a pcojilc and as a government we 
stood aside while the forces which resulted in 
Hitlerism and all that which Hitlerism implies 
were shaping themselves. We stood aside, pre- 



tending to ourselves that the United States 
could keep itself secure and free from danger 
even if all the rest of the world went up in 
flames. 

From the standpoint of narrow and selfish 
self-interest alone, there are two straight ques- 
tions which we might well ask ourselves. 

The cost of our participation in the war and 
of our military and naval production will bur- 
den the United States with a staggering national 
debt which must be paid by the taxpayers of 
this country. To win this struggle we are nec- 
essarily diverting the greater portion of our 
tremendous productive capacity into channels 
of destruction, not those of construction, and 
the debt burden which will have been created 
will inevitably affect the manner of life of every 
one of us and will inevitably diminish the op- 
portunity for the progressive advancement of 
the generation to come. 

Would we not as a jieople have been better ad- 
vised if we had been willing 20 years ago to join 
with the other free peoples of the earth in pro- 
moting an international order which would 
have maintained the peace of the world and 
which could have prevented the rise of those 
conditions which have resulted in the total war 
of today? Is it conceivable that the material 
sacrifices which ^^•e might have been called upon 
to undertake to maintain world order in those 
earlier years could have involved a thousandth 
part of the material sacrifices which we are 
called upon today to undertake? 

And the second question we may well ask our- 
selves is a question which hits straight at every 
family in the United States which has a father, 
or a son, or a brother serving this country to- 
day in the armed forces of the United States. 
Had the American people been willing a gener- 
ation ago to bear their fair share of responsibil- 
ity for the maintenance of world oi'der, would 
our men today be forced to offer up their lives 
in order that they may insure the preservation 
of the indeptMidence and the security of their 
fellow citizens? 

Already we hear again the voices of those who 
decry all forms of practical international co- 



DECEMBER 12, 194 2 



993 



operation. Already v.e can see the efforts of 
those wlio would make this fundaniental issue, 
the issue of our national future, a question of 
party pulities. Alivady we can once more fol- 
low the machinations of those special-privilege 
interests which would again turn the policy of 
tlie United States into one of narrow isolation 
because of their belief that they themselves 
would profit through such a course. 

Surely this is a question which tran^;cends the 
bounds of any aspect of party and any claim 
of material advantage by a special few. 

Today we are fighting this war in the closest 
collaboration with the governments joined with 
us. Our military operations, so successfully 
carried out recently on different fronts, have re- 
quired effective cooperation and understanding 
with our allies. The very conduct of the war 
makes it indispensable that this form of agree- 
ment as to the strategy of our military and 
naval undertakings be continued by all the gov- 
ernments of the United Nations. Our own se- 
curity depends upon it. 



We realize now that in this war this form of 
as.sociation of free peoples, struggling to pre- 
serve their liberty, is vitally necessary for the 
.safety of our nation. 

Do we realize that an a.ssociation of the free 
peoples of the United Nations when the war is 
won is just as essential to the future security of 
this country? 

Surely we must assure ourselves when we 
achieve tlie victory for which we are fighting 
that this free people of ours, joined with the 
other free peoples who are fighting at our side, 
will .see to it that the necessary measures of in- 
ternational cooperation are undertaken so that 
tins catastrophe will not occur again. 

In this shrine dedicated to the freedoms 
which we, the American people, by an inalien- 
able right enjoy, we may well dedicate our- 
selves to the supreme task of the creation in the 
future of a world in wliich all peoples may in 
truth be free — free from the fear of war and 
assured of the right to live out their lives in 
safety and in peace. 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN 



[Released to the press December 9] 

There are many things which I would like to 
talk over with you today on the occasion of the 
beginning of our second year of war with Japan 
and the Axis powers. You are familiar with 
the serious record of military events that have 
taken place on every front in which our armies 
and navies are engaged. There is nothing I 
could bring you in the way of military informa- 
tion that would add to your recognition that our 
very lives and our civilization are at stake. 
However, I hope that out of my own long expe- 
rience in the Far East I may be able to add to 
your knowledge and understanding of the char- 
acter and full meaning of the war in the Pacific. 



'Delivered by the Honorable Joseph C. Grew at the 
Illinois Manufacturers' Association dinner, Chicago, 
Dec. 8, 1942. 



Our minds and memories tiuid to go back to 
the incident of Japan's attack at Pearl Harbor 
last December. I say "incident", because it was 
only one event in the long-range warfare that 
the political and military miners and sappers 
and blasters are waging against human freedom. 
I do not mean to minimize the attack on Ha- 
waii. It shocked us into the recognition that 
we were one of the victims of the Japanese ad- 
vance. We who had deluded ourselves with 
the comforting belief in our geographical and 
l)olitical isolation, who had cushioned our fears 
with bland confidence in our natural wealth and 
industrial strength — we were forced by bombs 
and torjiedoes to construct a more realistic 
hypothesis about our interrelationship with the 
peoples of the eastern world. 

Americans were slow to change. Yet our own 
past had the most convincing example in all 



994 



DEPARTMENT OF STATE BTJLLETm 



history that withdrawal into the shell of one 
continent was impossible. I refer to the time 
when President Jefferson tried with all sagacity 
and might to close America to European en- 
tanglements and war. Even in that vast world 
which had not learned to minimize distance, 
which operated with the crudest communica- 
tions and undeveloped technology, this attempt 
at isolation failed. Other similar attempts, 
from that time to this, were made ; and they fur- 
nish the repeated proof that the life line of 
our nation and our continent reaches far and 
wide, to the defense of free institutions every- 
where. 

Those who wished so hard to remain aloof 
from the titanic struggle raging in Asia were 
prone to read their wishes into events. For 
many diffei'ent reasons Americans here on the 
mainland, 5,000 miles by shortest route from 
Japan, misjudged the nature of Japan's aggres- 
sion. Some of us were led astray by listening 
to the promptings of supposed self-interest. 
Most Americans lacked vision about Asia sim- 
ply because they could not imagine that there 
was any need, as they phrased it, for "political 
interference in the affairs of Asia". They paid 
respect to democratic ways and values, but they 
still had to learn that political evil anywhere, 
no matter how far from their own shores, can 
and does impinge upon our indispensable rights. 

Freedom has ever exacted a heavy price from 
those who have chosen to defend it. We can 
never repay those men who in the past year have 
spent their lives to protect our common inter- 
ests, nor those who fought to live and fight 
again. Millions more are preparing now to join 
them, to continue the brave history epitomized 
at Wake and Midway, on Bataan and Corregi- 
dor, in the Coral Sea and the Solomons, and in 
other parts of the world. We would fail in our 
greatest obligation to these men should we ig- 
nore the full purport of their struggle. For 
those men and we ourselves are engaged in fight- 
ing something infinitely more dangerous than 
a military machine. We are faced with a rest- 
less, devouring militarism which has grown to 
such proportions that nothing short of complete 
extermination of the system can remove its per- 



petual menace to free peoples. The reason that 
I today mention some of our past misjudgments 
is to prevent in the future so self-centered a 
concept of our own freedom that we underesti- 
mate the enemy and overestimate our moral and 
physical security. And if we are concerned to 
evaluate the enemy and the system that he is 
attempting to force upon the world, we require 
knowledge not only of his strength but of his 
methods and of their consequences. 

Japan has called this system the "New Order 
in Asia". But we are not fooled by phrases 
of peace which are intended to conceal, like 
a coating of camouflage paint, the machinery of 
war and conquest. What Japan proposes for 
Asia, and as she now admits for the whole 
world, is new in only a very curious sense. In 
fact, it is as old as any rule of brute force which 
spreads havoc for its victims inside its borders 
and abroad. It is new only in'the sense that it 
has once more returned, with revived despotic 
trappings, to undermine our modern civiliza- 
tion. 

In what begins to look like the sober year of 
1940, Admiral Sankachi Takahashi made known 
the boundaries of the "Greater East Asia 
Order". He said: "It begins with Manchukuo 
in the north and extends to Australia in the 
south. In the east it ends at 180 degrees of 
longitude — and extends west to the Bay of Ben- 
gal and Burma." Admiral Takahashi was pa- 
tient enough to explain that the new order 
would be constructed in several stages. The 
first modest stage would be Japan's demands 
for (I now quote) "Manchukuo, China; Indo- 
china, Burma, the Straits Settlements, the 
Dutch East Indies, New Caledonia, New Guinea, 
many islands in the West Pacific, Japan's man- 
dated islands and the Philippines". The sec- 
ond stage would graciously extend Japanese 
empire further, to take in Australia and India. 
Apparently the Admiral was not, at the time, 
ready to admit everything. But later Prince 
Konoye said that Japan, with Germany and 
Italy, would jointly coojierate to create a new 
"world order". We are now convinced — and I 
might add, without benefit of these enlightening 
explanations — that the greater the power 



DECEMBER 12, 1942 



995 



amassed, the more rapid and sure will be Japan's 
military penetration into every land whose 
riches whet the chronic, predatory appetite of 
its leaders. That is why we must discern with 
care the pattern of penetration, invasion, and 
occupation established by totalitarian Japan. 

Few of our countrymen realized the full {grav- 
ity of the move when Japan invaded Man- 
churia in 1931 and gave ominous warning by 
her actions of what she meant that new order to 
be. As solid token of her design to stay perma- 
nently in the new territory, Japan created the 
puppet state "Manchukuo". Let us check off, 
for the sake of mutual clarity, a few revealing 
facts about China's Manchurian provinces. I 
call the facts revealing because they are a mild 
but i-eliable foretaste of what Japan had ready 
in her wide kimono sleeves for the subjugation 
of all Asia. And, as we have seen, this was 
partly the preparation of her eventual drive 
upon our own industrial and still free demo- 
cratic world. 

Manchuria, one of the richest areas in re- 
sources in Asia, blessed with a plentitude of coal 
and iron, forest reserves, fur-bearing animals, 
and agricultural products, particularly soy- 
beans, is a land where its 42 million people are 
allowed neither enough cloth nor furs to keep 
themselves clothed nor half enough coal to keep 
themselves warm, after standing in line for 
hours to get it. And Manchuria's winters are 
sub-zero cold. The Japanese Kwantung army, 
which had no scruples about blasting its way 
into control of Manchuria, kept tight reign 
through its police network over the whole gov- 
ernment and life of these unhappy people. The 
victims were forced to watch the political sap- 
pers and miners, at work first in economic and 
political entrencliment, proceed under the pro- 
tection of the bayonets of the Japanese military 
as they seized special economic concessions, fur- 
ther political and social privileges, more stolen 
land, more produce and profit. The farmers, 
suffering under the yoke of Japanese monopoly 
prices for their goods, learned the same dogged 
resistance which we know the agricultural 
workers of occupied Europe have shown to- 
ward their Nazi oppressors. 



There is a story to be told some day, and it 
will be eloquent in every line and imi)lication, 
about the South Manchuria Railway Company. 
That company was from the start the key to the 
systematic exploitation of Manchuria. When 
the Japanese seized Manchuria the company 
confiscated all Chinese railroad lines in the 
country. With well-planned thoroughness all 
public utilities were seized by the company and 
its affiliates. In 1937 after Japan, continuing 
the same methods, had pushed itself into China 
south of the Great Wall, the company had ac- 
quired 10,000 miles of railroad, not quite 1,000 of 
which it had obtained by legal means. Looking 
back today on the record of its spreading power 
we see the steady appropriation of mining, for- 
estry, industrial plants, public transportation, 
and communications, with billions of yen profit 
rolling into Japanese coffers while the Chinese 
were strictly confined to menial jobs. 

Let me point out tliat this campaign of appro- 
I^riation and control not only was aimed at the 
native interests but was directed against Amer- 
ican and all other foreign concerns. Perhaps 
more important than their seizure of American 
economic holdings was their campaign to eradi- 
cate every vestige of influence of the foreign 
schools and missionary centers, particularly 
those of the democratic countries, for in the 
spread of Christian and democratic ideas in 
Asia Japan realized that she faced one of her 
strongest antagonists. 

The burden of taxation mounted, straining 
the populace beyond anything in their experi- 
ence, taxation to pay for the cost of industrial 
development, agricultural expansion, and re- 
armament, all for the sake of Japan's war ma- 
chine. Forced labor with almost starvation 
wages was the whip used by the militarists. Li- 
deed, the people compare themselves to mules, 
worked by their masters from daybreak to 
nightfall with just enough food to keep them 
alive to work the next day. 

This is but the more impersonal side of the 
oppression, this story of stolen "daily bread". 
More brutal techniques were needed to back up 
the Japanese malpractices, to break the will of 
the populace and demoralize them by fear, to 



996 



DEPARTMENT OF STATE BULLETIN 



crush the hope of revolution and resistance. Let 
me give you one example: After five years of 
occupation some Manchurian volunteers were 
still fighting on country roads and moimtain- 
sides. The Kwantung army applied drastic 
measures. Again serving themselves with an 
innocent pretext, the alleged protection of the 
villages, the army marked off some 2,000 vil- 
lages with barbed wire, and the residents, duly 
registered with the police, had no choice but 
to work the fields at the point of bayonet or gun. 
Anyone attempting to reach the villages from 
the outside without the proper certificate was 
shot on sight. 

You have heard that "Manchukuo" is a state 
ruled by a puppet emperor. The truth is that 
the Japanese military with its bureau of special 
police is the actual ruler in "Manchukuo", as 
it is in Japan proper and in every territory 
which Japan has conquered. 

Imagine what it would be like to have the 
most oppressive alien army and its secret police 
quartered upon your land, milking it of its re- 
sources and the fruits of your labor, censoring 
your news, writing your children's textbooks, 
denying your traditions, changing your names, 
spying on and tracking down your most private 
feelings and concerns — in short making a cruel 
mockery of your lights as human beings. And 
imagine that all this misery and oppression is 
only for the purpose of building a bridge to 
the next invasion so that the enemy can move in 
on your neighbors. 

It would seem to us as though these methods 
of darkness and blood, brought down without 
pity upon the heads of innocent millions, were 
all that men could devise to degi'ade and torture 
the physical frame and spirit of fellow men. 
But there is one further practice which is as 
fundamental a part of the system of Japanese 
occupation and exploitation as is the taking 
over of banks and industries, shipping tons of 
wheat and rice away from under the hungry 
gaze of the men who harvested them, censoring 
the books and customs which might oppose the 
current Japanese ideology. I refer to the de- 
liberate campaign to drug the people with nar- 
cotic drugs, a campaign attaining huge propor- 



tions in Manchuria and in north, central, and 
south China. With cold design, the prices for 
these drugs are made so cheap that it might 
truly be said the Japanese are, in this one in- 
stance, giving them away. The poorest coolie 
can afford to supply himself with opium — 
either smoking it, eating it, sniffing it, or having 
it injected into the blood stream directly. The 
value of a pack of heroin cigarettes is weighed 
against the weakened morale, the broken resist- 
ance, the degraded body and will of the subject 
people. Opium-smoking troops lose their nerve 
in battle, and civilian addicts are the most trac- 
table of all. The military handbook which is 
supplied to every Japanese soldier with his kit 
makes clear that this demoralizing tool is only 
for the vanquished, not for the victors. I quote 
it verbatim : "The use of narcotics is unworthy 
of a superior race like the Japanese. Only in- 
ferior decadent races like the Chinese, Euro- 
peans and East Indians are addicted to the use 
of narcotics. This is why they are destined to 
become our servants and eventually to dis- 
appear." 

I am conscious that I cannot expect these 
scattered remarks to give you the • complete 
image of conditions under Japanese rule, but 
they are authentic signposts of what that rule is 
like. Since Manchuria, the same conditions 
have in essence been set up in one territory after 
the other which has fallen before the Japanese. 

Consider the character of a military whose 
ruthless j^lan of conquest drove it on from "Man- 
chukuo" to China, Indochina, Thailand, the 
Dutch East Indies, Malaya, Burma, and the 
Philippines. And with each advance the Japa- 
nese militaristic heel has stamped the same pat- 
tern upon the vanquished which I have tried to 
picture for you. 

Japan's inhuman drive to power is so alien 
to American thinking that it is only with great 
effort we see it as a reality. The material as- 
pects have been made only too evident as Japan 
conquered the rich sources of supply: rubber, 
tin, oil, iron, manganese, and others so vital to 
the industrial world. But the total implica- 
tions of Japan's aggression, an empire of such 
unprecedented size and scope, generating peri- 



DECEMBER 12, 194 2 



997 



odic tornadoes of power to liurl against the yet 
undevourcd world, that the cultivated imagi- 
nation fails to grasp the concept and lunnan 
reason struggles to accommodate its truth. I 
would give you comparisons of size and power 
if I couM ; but I do not know anyone — no light- 
ning calculator, no historian, nor scientific ex- 
pert — who can tell us what the power-potential 
of the present Japanese Empire may in time 
prove to be. The plain facts are that Japan has 
increased her area twenty fold and the people 
under her control fourfold, that she has con- 
quered the keys to a continent rich in indispen- 
sable resources, where half the people of the 
world live, and that she is feveri.'shly busy day 
and night entrenching and consolidating those 
gains even in the midst of war. 

This picture of our Far Eastern enemy and 
its methods that I have tried to give you tonight 
is a gi'im one. I know, and as we pause, not only 
today but every other day, to pay respect to the 
men who have been and are fighting on the seas 
and in the air and in the front-line trenches 
against this enemy, we also acknowledge with 
gratitude those other friendly powers who are 
fighting this same enemy. 

As you know, China is in its sixth year of war 
with Japan. And although the enemy has 
seized and is utilizing China's principal indus- 
trial facilities and has effectively cut off her 
supply lines from the east the Chinese armies 
remain intact and China continues unconquered. 

And in the Philippines the world took in- 
spiration and encouragement from the magnifi- 
cent resistance offered by combined American 
and Filipino fighters. Almost in an instinctive 
way, free men realized that the hopes and 
funded beliefs of democracy were being made 
more precious by the manner in which our boys 
and the Filipinos fought together against over- 
whelming odds. 

Indeed, the Philippine Islands can, I often 
think, open our eyes to the measure of our real 
achievement in the past and of the untraversable 
gulf between that totalitarian system I have 
been describing tonight and democracy. Japan 
has held colonies as long as America the Philip- 
pines. Remember that Manchuria was not the 



first Japanese experiment in that art of neigh- 
borly strangulation which we have observed at 
work where the Jai)anese enter from Harbin to 
Batavia. There was Formosa, taken as far back 
as 1895, and Korea, dragged into the "Empire" 
in 1910. Our own work in educating and en- 
couraging the independence of the Philippines 
has long been the example of enlightened guid- 
ance. Korea under Japanese rule, on the other 
hand, has been a warning of the heart-breaking 
misery imposed systematically even under long- 
time Japanese rule. 

Now that human lives are being spent and 
have been spent for one long year to insure our 
survival and the survival of our culture, we 
must be ready to answer why we were justified 
in asking our soldiers and sailors and airmen to 
protect us. Have we the fighting men in mind, 
with what approaches commensurate nigged- 
ness of will? Are we able, as individuals and 
together, as a conscientious society of like- 
thinking democrats, to set forth the bedrock 
articles of belief and hope which stand in ha- 
bitual opposition to societies based on contempt 
for men ? Are we not really required to stand 
by the truth which Jefferson pronounced, that 
"the land belongs to the living", the living who 
are there upon the scene, entitled to use it and 
to organize their liberties as they through their 
leaders think best? The land and the yield of 
it belong to the people who work it, as the 
rulers and their administration take their di- 
rection and control from the people's needs. 
History wiU not be brushed aside. Democracies 
have made their histories, marked with some 
degree of fault but overwhelming in testimony 
that where the sentiments of freedom and re- 
sponsibility are woi-ked into the guiding princi- 
ples of a state the general spread of opportunity, 
knowledge, and skill, and the fruits of these are 
greater. 

The Japanese have often voiced pretended 
contempt and real fear of what they call Ameri- 
can "liberalism". They fear the power of our 
ideas, of the importance of each himian being to 
his loved ones, himself, and to the world of 
which he is a part. They know well the strength 
of every man's desire, deep-rooted and natural, 



998 



DEPARTMENT OF STATE BXJLLETrN' 



to live on the dignified assumption that his 
choices, within the limitations of social order 
and international peace, are his own to make 
and to experiment with as his own reason ad- 
vises. They also fear the power of the idea 
that there are no masters, temporary or perma- 
nent, entitled to absolute rule over men. Free 
men's leaders are enriched by taking active 
counsel from their free electorates. This idea 
the Japanese enemy, as well as the European, 
fears. Equal law and democratic legislators; 
plentiful schools and varied churches ; the open 
occasions for employing each man's personal 
ability ; a civilian police engaged in protecting 
life and limb and the citizens' earthly goods; 
printing presses open for criticism and discus- 
sion ; minds trained to welcome the challenge of 
intellectual opposition — these are the concrete 
institutions which show up the distortions of 
totalitarian conspiracy against equal rights. 
They are therefore part and parcel of what the 
Japanese Fascist knows to be his enemy. 

We stand on the proven record of a history 
wherein there has been more of good than of 
bad, more of enlightened and enlightening tra- 
dition than appears in any other modern his- 
tory. But we ask strength and courage, the kind 
we all know as "guts", and the kind which was 
once referred to as "the rock" of mental and 
moral spirit. With these we can work tire- 
lessly to devise the mechanisms by which men 
will learn increasingly the art of self-govern- 
ment ; and nations will learn the greater art of 
interchanging goods and services and the in- 
tangibles of civilized progress on the basis of 
mutual need and preference. With these no 
man need go hungry here at home and no land 
must again face hunger anywhere in the world. 
Let us devise the actualities for reaching this 
basic goal, and we may discover that despair 
having been banished from the hearts of men, 
much that seemed insoluble yesterday admits 
of decent adjustment tomorrow. 

We are determined that once victory in the 
war has been achieved, as it assuredly will be 
achieved, this adjustment shall be brought about 
and shall endure. 



CONTINUED RESISTANCE OF ALBANIA 
TO ITALIAN OCCUPATION 

STATEMENT BY THE SECRETARY OF STATE 

[Released to the press December 10] 

The Government of the United States is not 
unmindful of the continued resistance of the 
Albanian people to the Italian forces of occu- 
pation. The effoi-t of the various guerilla 
bands operating against the common enemy in 
Albania is admired and appreciated. The Gov- 
ernment and peojjle of the United States look 
forward to the day when effective military as- 
sistance can be given these brave men to drive 
the invader from their homes. 

Consistent with its well-established policy not 
to recognize tei'ritorial conquest by force, the 
Government of the United States has never rec- 
ognized the annexation of Albania by the Ital- 
ian crown. The joint declaration of the Presi- 
dent and the British Prime Minister, made on 
August 14, 1941, known as the "Atlantic Char- 
ter" provides as follows : 

"Third, they respect the right of all peoples to 
choose the form of govermnent under which 
they will live; and they wish to see sovereign 
rights and self-government restored to those 
who have been forcibly deprived of them." 

The restoration of a free Albania is inherent 
in that statement of principle. 



APPOINTMENT OF THE PRESIDENT'S 
PERSONAL REPRESENTATIVE NEAR 
THE GOVERNMENT OF INDIA 

[Released to the press by the White House December 11] 

The President has appointed Mr. William 
Phillips, of Massachusetts, as his Personal Rep- 
resentative to serve near the Government of 
India. Mr. Phillips, who entered the Diplo- 
matic Service of the United States in 1903, has 
rendered his Government long and distin- 
guished service in the Far East, Europe, and 
Washington. He has served twice as Under 
Secretary of State and was American Ambas- 



DECEMBER 12, 1942 



999 



sador in Rome until the outbicnk of the war 
witli Italy. In recogrnition of tliese services he 
will have the personal rank of Ambassador. 

Mr. Phillips, who is at present in London, is 
expected to proceed to New Delhi in the near 
future where he will assume charge of the Amer- 
ican Mission which was established there in 
November 1941 by Mr. Thomas M. Wilson. 
Subsequently, Col. Louis Johnson served as the 
Personal Representative of the President at 
New Delhi. 



LEND-LEASE AID TO ETHIOPIA 

[Released to the press by the White House December 10] 

The President has addressed to E. R. Stet- 
tinius, Jr., Lend-Lease Administrator, a letter 
the text of which follows : 

"For purposes of implementing the authority 
conferred upon you as Lend-Lease Adminis- 
trator by Executive Order No. 8926, dated Oc- 
tober 28, 1941, and in order to enable you to 
arrange for Lend-Lease aid to the Government 
of Ethiopia, I hereby find that the defense of 
Ethiopia is vital to the defense of the United 
States." 



EMERGENCY ADVISORY COMMITTEE 
FOR POLITICAL DEFENSE 

The Secretary of State, in making a report to 
the President on December 1, 1942 to the end 
that legislation may be enacted by Congress to 
enable the United States to continue to partici- 
pate in the work of the Emergency Advisory 
Committee for Political Defense for the dura- 
tion of the war emergency or so long as the 
American republics may deem its activities es- 
sential to the welfare of the hemisphere, said, in 
part : 

"The Committee inaugurated its work at 
Montevideo on April 15, 1942, and has met reg- 



ularly since that time. It is giving constant 
and detailed attention to a wide range of perti- 
nent studies including the control of dangerous 
aliens, prevention of abuse of citizenship, regu- 
lafion of transit across boundaries, and preven- 
tion of political aggression. The Committee 
has made recommendations to the American re- 
publics with respect to such important problems 
as the registration and control of the movement 
of enemy aliens, the prevention of sabotage with 
respect to hemisphere shipping, and the crea- 
tion of an inter-American office for the ex- 
change of information on individuals or organi- 
zations engaged in subversive activities. 

"The activities of the Committee were recog- 
nized, endorsed, and to some extent expanded, 
by the Inter-American Conference of Police 
and Judicial Authorities held at Buenos Aires 
from May 27, to June 9, 1942,' pursuant to reso- 
lutions of the Second and Third Meetings of the 
Ministers of Foreign Affairs of the American 
Republics. Recognizing the fact that the dy- 
namic nature of the problem of subversive activ- 
ity requires continuing consideration by a cen- 
tral body, the Confei-ence of Police and Judicial 
Authorities referred a number of special ques- 
tions to the Committee for further study and 
for the preparation of appropriate recommen- 
dations to the 21 American governments. . . . 

"The United States member of the Commit- 
tee^ is assisted by technical experts from this 
country and additional technical services are re- 
ceived from the secretariat of the Committee 
and through the close cooperation of the liaison 
official in each of the American republics. 

"The success and effectiveness of the Com- 
mittee's work will depend very largely upon the 
facilities and encouragement offered by the gov- 
ernments of the American republics, particu- 
larly those chosen to designate nationals to serve 
as active members. The position of leadership 
which the United States holds in the military 
defense of the Western Hemisphere democra- 



' Bulletin of May 2.3, 1942, p. 480. 

'Carl B. Spaeth, former Chief of American Hemi- 
sphere Division, Board of Economic Warfare, and for- 
mer A.sslstant Coordinator of Inter-American Affairs. 



1000 



DEPARTMENT OF STATE BULLETIN 



cies is equally apparent in the companion sphere 
of political defense. . . ." 

The establishment of the Emergency Advis- 
ory Conimittee for Political Defense, pursuant 
to resolution XVII adopted at the Third Meet- 
ing of Ministers of Foreign Affairs of the Amer- 
ican Republics at Rio de Janeiro in January 
1942, in order to combat acts of aggression, 
including sabotage, espionage, and subversive 
propaganda by the Axis powers against both 
neutral and belligerent nations of the Western 
Hemisphere, was announced in the Bulletin 
of April 11, 1942, page 322. Argentina, Brazil, 
Chile, Mexico, Uruguay, Venezuela, and the 
United States have representatives on the Com- 
mittee, which functions in behalf of all the 21 
American republics. 



American Republics 



GIFT OF THE KING OF EGYPT TO THE 
AMERICAN FORCES IN EGYPT 

[Released to the press December 12] 

The President has sent the following message 
to His Majesty Farouk I, King of Egypt, who 
has made a gift of 2,000 Egyptian pounds to the 
American forces in Egypt on the occasion of 
the approaching holiday season : 

December 11, 1942. 

The American Minister at Cairo has informed 
me of Your Majesty's generous gift to the Amer- 
ican forces in Egypt on the occasion of the 
approaching holiday season. 

In expressing my personal appreciation of 
Your Majesty's generosity, I express also the 
gratitude of the American people for this gra- 
cious contribution to the happiness of the men 
of the American armed forces in Your Majesty's 
hospitable country. 

I wish to take this opportunity to extend my 
best wishes for the personal happiness of Your 
Majesty and for the well-being of the people of 
Egypt. 

Franklin D Roosevelt 



VISIT TO THE UNITED STATES OF THE 
PRESIDENT OF CUBA 

[Released to the press December 6] 

His Excellency Maj. Gen. Fulgencio Batista, 
President of the Republic of Cuba, will arrive 
in Washington December 8, where he will be re- 
ceived by an official reception committee with 
military honors. The President will be ac- 
companied by His Excellency Dr. Jose A. Mar- 
tinez, Minister of State; His Excellency Seiior 
Dr. Aurelio F. Concheso, Ambassador of Cuba; 
the Honorable Spruille Braden, American Am- 
bassador to Cuba; Mr. Amando Lopez Castro, 
Minister of the Presidency; Brig. Gen. Fran- 
cisco Tabernilla, Cuban Army ; Dr. Oscar Garcia 
Montes, Member of Cuban National Develop- 
ment Commission ; Dr. Pedro Rodriguez Capote, 
Chief of Protocol, Cuban Ministry of State; 
Comdr. Rolando Pelaez, Cuban Navy, Aide; 
Maj. Jorge Hernandez, Aide; Dr. Oscar Figa- 
rola Infante, Physician ; and Mr. Rafael Mulet, 
Private Secretary. 

In Washington Brig. Gen. John B. Coulter, 
U.S.A., and Capt. A. H. Addoms, U.S.N., will 
join the party as Military and Naval Aides, re- 
spectively. 

During his stay in Washington President 
Batista will be the overnight guest of the Presi- 
dent at the White House, where a state dinner 
will be given in his honor. 

On leaving the White House the President 
will go to Blair House. While in Washington 
dinners will be tendered in his honor by the Sec- 
retary of State and the Under Secretary of 
State. The Ambassador of Cuba will also give 
a dinner for President Batista, followed by a 
reception. Luncheons will be given in his honor 
by the Governing Board of the Pan American 
Union and by Mr. Nelson Rockefeller, the Co- 
ordinator of Inter-American Affairs. The 
President will also visit the Capitol, Annapolis, 
Mount Vernon, and Arlington National Ceme- 
tery. 



DECEMBER 12, 194 2 



1001 



From Washington Presiclent Batista will pro- 
ceed to New York, where he will bo entertained 
by the Mayor, the Cuban Chamber of Com- 



merce, and Mr. Tliomas J. Watson. He will 
later go to Bull'alo for a visit to war-industry 
plants. 



Treaty Information 



AVIATION 

Conventiou for the Unification of Certain Rules 
Relating to International Transportation by 
Air 

Liberia 

The American Charge d'Affaires ad interim 
at Monrovia reported hy a despatch dated No- 
vember 4, 1942 that the Secretary of State of 
Liberia had notified him on that day that his 
Government's instrument of adherence to the 
Convention for the "Unification of Certain Rules 
Relating to International Transportation by 
Air, signed at Warsaw on October 12, 1929 
(Treaty Series 876), had "been deposited with 
the Polish Government in Exile by the Liberian 
Minister in London". 

According to the terms of article 38 of the 
convention the adherence by Liberia will be- 
come effective 90 days after the date of the de- 
posit of the instrument of adherence. The date 
of the deposit was not given in the notice re- 
ceived by the American Charge at Monrovia. 



The countries in respect of wliich the conven- 
tion is now in force as a result of ratification 
or adherence are the United States of America; 
Australia, including Papua, Norfolk Island, 
New Guinea, and Nauru; Belgium, including 
Belgian Congo and Ruanda-Urundi; Brazil; 
Burma; Czechoslovakia; Danzig; Denmark 
(and Faroe Islands, but not including Green- 
land) ; Finland; France, including colonies, 
protectorates, and mandated territories; Ger- 
many; Great Britain, including Aden Colony, 
Bahamas, Barbados, Bermuda, British Guiana, 
British Honduras, Ceylon, Chaimel Islands, 



Cyprus, Falkland Islands and dependencies, 
Fiji Islands, Gambia (colony and protectorate), 
Gibraltar, Gold Coast (colony, Ashanti, North- 
ern Territories, Togoland), Hong Kong, Isle of 
Man, Jamaica (Turks and Caicos Islands and 
Cayman Islands), Kenya (colony and protec- 
torate). Leeward Islands (Antigua, Dominica, 
Montserrat, St. Christopher, and Nevis), Virgin 
Islands, Malta, Mauritius, Nigeria (colony, 
protectorate, Cameroons), Northern Rhodesia, 
Nyasaland Protectorate, Palestine (excluding 
Trans- Jordan), St. Helena and Ascension, Sey- 
chelles Islands, Sierra Leone (colony and pro- 
tectorate), British Somaliland, Straits Settle- 
ments, Tanganyika, Trinidad and Tobago, 
Uganda (protectorate). West Pacific Islands 
(Solomon Islands, Gilbert and Ellice Islands 
Colony, Tonga), Trans- Jordan, Windward 
Islands (Grenada. St. Lucia, St. Vincent), Zan- 
zibar, Southern Rhodesia, Federated Malay 
States (Negri Sembilan, Pahang, Perak, Selan- 
gor), Unfederated Malay States (Johore, Ke- 
dah, Kelantan, Perils, Trengganu), Brunei, 
North Borneo, and Sarawak ; Greece ; Hungary ; 
India; Ireland; Italy, including colonies and 
Aegean Islands ; Latvia ; Liechtenstein ; Mexico; 
Netherlands, including Netherlands Indies, 
Surinam and Curasao; Newfoundland; New 
Zealand; Norway (and possessions); Poland; 
Rumania ; Spain ; Sweden ; Switzerland ; Union 
of Soviet Socialist Republics ; and Yugoslavia. 

COMMERCE 

Trade Agreement With Argentina 

[Released to tbe press December 12] 

On December 11, 1942 the President issued 
a supplementary proclamation to the effect that 



1002 



DEPAETMENT OF STATE BtTLLETrN 



the trade agreement between the United States 
and Argentina, signed at Buenos Aires on Oc- 
tober 14, 1941, which he proclaimed on October 
31, 1941, will enter definitively into force on 
January 8, 1943. 

Pursuant to a provision in the agreement it 
entered provisionally into force on November 
15, 1941. Pursuant to a further provision in the 
agreement it will enter definitively into force 30 
days following the exchaaige of the President's 
proclamation of the agreement and the instru- 
ment of ratification of the Government of Ar- 
gentina. The Government of Argentina hav- 
ing ratified the agreement on August 27, 1942, 
tlie exchange of the ratification and the procla- 
mation of October 31, 1941 took place at Wash- 
ington on December 9, 1942. 

The texts of this agreement and the four re- 
lated notes will be printed shortly in the Execu- 
tive Agreement Series. An analysis of the 
agreement appeared in the Buixetin, Supple- 
ment of October 18, 1941. Announcement of 
the President's proclamation of the agreement 
appeared in the Bulletin of November 1, 1941, 
page 351. 



FINANCE 
Supplementary Agreement With Haiti 

An agreement between the Government of 
the United States and the Haitian Government 
was signed at Port-au-Prince on September 30, 
1942, extending the moratorium on the payment 
of amortization charges on the Haitian debt to 
and including September 30, 1943. 

This agreement extends for one year the 
agreement signed on September 30, 1941 (Exec- 
utive Agreement Series 224) and provides : 

"(1) All the receipts of the Haitian Govern- 
ment shall be deposited without deduction at 



the Banque Nationale de la Republique d'Haiti, 
which bank shall make the payments provided 
for by the loan contracts of 1922 and 1923, in 
accordance with the procedure outlined in Arti- 
cle VI of the Executive Agreement of Septem- 
ber 13, 1941 1; 

"(2) The Government of the Republic of 
Haiti agrees to pay $20,000 U.S. currency dur- 
ing the period October 1, 1942, to September 30, 
1943, inclusive, on account of the amounts re- 
quired to be paid under the loan contracts of 
October 6, 1922 and May 26, 1925 for the amor- 
tization of the loans of 1922 and 1923, the pro- 
visions of the jjaragraph designated (2) of 
Article VI of the Executive Agreement of Sep- 
tember 13, 1941, and those of the subsequent 
paragraphs of the said article, notwithstand- 
ing." 



Publications 



Department of State 

Exchange of Official Publications : Agreement Between 
the United States of America and Iceland — Effected 
by exchange of notes signed August 17, 1942 ; effective 
August 17, 1942. Executive Agreement Series 269. 
Publication 1837. 5 pp. 5^. 



Legislation 



Amending the Nationality Act of 1940 [to extend for a 
period of 2 years the time within which petitions for 
naturalization filed prior to the effective date of the 



'Executive Agreement Series 220. 
LKTiN of Sept. 13, 1941, p. 214. 



See also the Bul- 



DECEMBER 12, 1942 1003 

Act may be heard, and to extend for a period of 2 Settlement of Mexican Claims Act of 1942. H. Repts. 

years the time a certain class of citizens may have 2079 and 2711, 77th Cong., on S. 2528. 9 pp. and 10 

within which to return to the United States In order pp., respectively. 

to preserve their citizenship]. H. Kept. 2669, 77th Authorizing the Execution of Certain Obligations Under 

Cong., on H.R. 7700. 4 pp. the Treaties of 1903 and 1936 With Panama. S. 

Decorations of Military Forces of Cobelllgerent Na- Kept. 1720, I'art 2, 77th Cong., on S. J. Ues. Iti2. (Ml- 

Oons. H. Kept. 2677, 77th Cong., on S. 2852. 2 pp. nority Views.) 9 pp. 



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THE DEPARTMENT OF STATE 



BULL 



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"1 




DECEMBER 19, 1942 
Vol. VII, No. 182— Publication 1852 







ontents 



The War p»8« 

Support of the United Nations by the French in North 
Africa: 
Statement by the President Including Declaration by 

Admiral Darlan 1007 

Statement by the Secretary of State 1008 

Economic Mission to French North Africa 1008 

German Policy of Extermination of the Jewish Race . . 1009 
Declaration of War by Ethiopia Against the Axis 

Powers 1009 

The Far East 

Openmg of Radiophoto Service Witli China 1009 

Cultural Relations 

Meteorology Courses for Students From Other Ameri- 
can RepubUcs 1010 

Distinguished Visitors From Other American Repub- 
lics 1010 

The Department 

The United States Section of the Anglo-American 

Caribbean Commission 1011 

Treaty Information 
Commerce: 

Reciprocal Trade Treaty Between Argentina and 

Venezuela 1012 

Statement Concerning Commercial Relations 

Between Peni and Venezuela 1012 

[over] 




U. S. SUPERINTFNDENT OF DOCUMENTS 

JAN 4 1943 







OMte/lfS— CONTINUED 

Treaty Information — Continued Page 

Education: 

Convention for Cultural Interchange Between Brazil 

and Venezuela 1012 

Convention for the Encouragement of Historical 

Studies Between Venezuela and Peru 1013 

Agi'iculture: 

Agreement for the Establishment and Operation of 

an Agricultural Experiment Station in Ecuador . 1013 
Agreement for the Establishment and Operation of 
an Agricultural Experiment Station in El 
Salvador 1013 

Publications 1014 



The War 



SUPPORT OF THE UNITED NATIONS BY THE FRENCH IN NORTH AFRICA 

STATEMENT BY THE PRESIDENT INCLUDING DECLARATION BY ADMIRAL DARLAN 



(Released to the press by tlie White House December 10] 

Since November 8 tlie people of North Africa 
have accomplislied much in support of the war 
effort of the United Nations, and in doing so 
have definitely allietl tiiemselves on the side of 
liberalism against all for which the Axis stands 
in government. I am informed in this connec- 
tion by General Eisenhower that Admiral Dar- 
lan has made the following declaration : 

"French Africa with the Allies must make 
the maximum military effort for the defeat of 
Germany and Italy. This will be accomplished 
by the unity of all citizens, regardless of their 
political or religious opinions, in an orderly and 
cohesive fashion. 

"At last liberated from German and Italian 
restrictions, the French authorities in Africa 
will adjust the situation which has existed in 
accordance with French national traditions. 
Once France and the French Empire is free 
from the Axis yoke, the French people them- 
selves will decide freely the form of govern- 
ment and national policy they desire. 

"In actual accomplishment the high commis- 
sioner has already granted full and complete 
amnesty to all against whom any action had 
been taken because of sjniipathy to the Allies. 
Certain of these have been given important 
posts in the High Commissariat. He has re- 
stored to their proper ranks and emoluments 
all Army officers who had been suspended from 
office because of rendering aid to the Allies. 
He is now organizing a body of representative 
private citizens to work with him in an advisory 

501782 — 12 2 



and consultative capacity in carrying on official 
business. Prisoners and internees of the 
United Nations were promptly released and 
their travel to seaboard expedited. 

"The High Commissioner has begun the resto- 
ration of rights to those persons from whom 
these had previously been taken because of race. 
Measures have been taken to stop immediately 
whatever persecution of the Jews may have 
resulted from the laws passed in France under 
German pressure. His announced purpose is 
to give just treatment to all elements making up 
the complex North African population to the 
end that all. can dwell and work together under 
laws insuring mutual tolerance and respect for 
rights. 

"There is little industrial development in 
North Africa and Vichy laws prejudicial to 
labor unions had little or no application and 
all reports show no serious problem here. Cen- 
sorship of the press and radio in which Allied 
authorities participate is only that which is 
necessary for the security of military operation. 

"On the practical military side, General 
Giraud has conducted the most active partici- 
pation of the Armed Forces of North and West 
Africa in the Allied war effort. Units of sub- 
stantial size under the leadership of General 
(xiraud are fighting side by side with the United 
Nations in Tunisia against the Germans and 
Italians. All posts and airfield facilities in- 
cluding the services of officials and teclmicians 
have been made freely available for use by the 
Allies. North African shipping is already en- 

1007 



1008 



DEPARTMENT OF STATE BULLETIN 



tering the services of the Allied Nations. Rail- 
roads, motor trucks, communications, public and 
private buildings and everything that North 
Africa has to give have been freely offered to 
the Allied Forces, wherever a military need 
exists. 

"I have stated emphatically and repeatedly to 
the Commander in Chief, General Eisenhower, 
that in leading North and West Africa against 
Germany and Italy and into the ranks of the 
United Nations, I seek no assistance or support 
for any personal ambitions. I have announced 
that my sole purpose is to save French Africa, 
help free France and then retire to private life 
with a hope that the future leaders of France 
may be selected by the French people themselves 
and by no one else." 

STATEMENT BY THE SECRETARY OF STATE 

[Released to the press December 17] 

At his press conference December 17, the Sec- 
retary of State was asked the following ques- 
tion by a correspondent: 

"Apart from Admiral Darlan's statement, do 
you think that those French leaders who are 
eager to help us in bringing about the defeat of 
the Axis should now try to cooperate with one 
and another in the common effort T' 

In reply the Secretary made the following 
statement : 

"I have had only one view with respect to the 
two central points in the international situation 
as they address themselves especially to the Al- 
lied nations, and that view applies universally 
and not to any one country or one people any 
more than another. The first central point is 
that every person in sympathy with the cause 
of the United Nations and every group of per- 
sons and every other one concerned sliould strive 
to unify their efforts in the support of the Allied 
military cause until final success. That is the 
supreme and the immediate question that ad- 
dresses itself to each and all of us alike in every 
part of the world. We need all the help we can 
get. 



"With the victory won and freedom restored 
to those who have lost it or who are seeking it, 
there would then arise under point three of the 
Atlantic Charter the fullest opportunity for 
each people to select their leaders and their 
forms of government. These two central points 
of the world situation have been expressed here- 
tofore by myself and others." 



For the possible assistance of correspondents, 
point three of the Atlantic Charter is quoted be- 
low: 

"Third, they respect the right of all peo- 
ples to choose the form of government under 
which they will live; and they wish to see 
sovereign rights and self-government restored 
to those who have been forcibly deprived of 
them." 



ECONOMIC MISSION TO FRENCH NORTH 
AFRICA 

An economic mission has been sent to French 
North Africa to aid Robert Murphy, Chief 
Civil Affairs Officer on the staff of Lt. Gen. 
Dwight D. Eisenhower, the Office of War Infor- 
mation announced December 17. The mission, 
consisting of United States and United King- 
dom representatives already on the scene, will 
survey (1) French North African requirements 
for non-military supplies from the United 
States and other United Nations sources; and 
(2) production and supply of materials that 
may be made available from French North 
Africa for needs of the United States and other 
United Nations. 

Representatives from the United States m- 
clude Paul T. Culbertson, Assistant Chief, Divi- 
sion of European Affairs, Department of State ; 
Donald Hiss, Chief, Division of Foreign Funds 
Control, Department of State; Morris S. 
Rosenthal and Harold W. Starr, Board of Eco- 
nomic Warfare; Lloyd Cutler and Livingstone 
Short, Office of Lend-Lease Administration; 



DECEMBER 19, 1942 

Josiah DuBois, Treasury Department; and 
Arnold A. Garthoff, Department of Agricul- 
ture. 



GERMAN POLICY OF EXTERMINATION 
OF THE JEWISH RACE 

nteleased to the press December 17] 

The attention of the Belgian, Czechoslovak, 
Greek, Luxembourg, Netherlands, Norwegian, 
Polish. Soviet, United Kingdom, United States, 
and Yugoslav Governments and also of the 
French National Committee has been drawn to 
numerous reports from Europe that the German 
authorities, not content with denying to persons 
of Jewish race in all the territories over which 
their barbarous rule has been extended the most 
elementary human rights, are now carrying into 
effect Hitler's oft-repeated intention to extermi- 
nate the Jewish people in Europe. From all 
the occupied countries Jews are being trans- 
ported in conditions of appalling horror and 
brutality to eastern Europe. In Poland, which 
has been made the principal Nazi slaughter- 
house, the ghettos established by the German in- 
vader are being sj'stematically emptied of all 
Jews except a few highly skilled workers re- 
quired for war industries. None of those taken 
away are ever heard of again. The able-bodied 
are slowly worked to death in labor camps. The 
infirm are left to die of exposure and starvation 
or are deliberately massacred in mass execu- 
tions. The number of victims of these bloody 
cruelties is reckoned in many hundreds of thou- 
sands of entirely innocent men, women, and 
children. 

The above-mentioned Governments and the 
French National Committee condemn in the 
strongest possible terms this bestial policy of 
cold-blooded extermination. They declare that 
such events can only strengthen the resolve of 
all freedom-loving peoples to overthrow the bar- 
barous Hitlerite tyranny. They reaffirm their 
solemn resolution to insure that those responsi- 
ble for these crimes shall not escape retribution 
and to press on with the necessary practical 
measures to this end. 



1009 

DECLARATION OF WAR BY ETHIOPIA 
AGAINST THE AXIS POWERS 

[Released to the press December 17] 

The following telegram has been sent by the 
President of the United States to His Imperial 
Majesty Haile Selassie I, Emperor of Ethiopia : 

December 16, 1942. 

I have received Your Majesty's message of 
December 1 ' informing me that on that day 
Your Majesty proclaimed that a state of war 
exists between the Government of Ethiopia and 
the Governments of Italy, Germany and Japan. 
By virtue of this historic declaration the first 
nation to be freed from the yoke of Axis op- 
pression has joined its forces with those of the 
United Nations in this great struggle to pre- 
serve the freedom of mankind. In accordance 
with Your Majesty's wishes I am taking steps 
to make the issuance of this proclamation 
known to the Governments of Italy, Germany 
and Japan. 

As doubtless Your Majesty has learned, a few 
days ago I announced that I had found that the 
defense of Ethiopia is vital to the defense of the 
United States, thus rendering Your Majesty's 
country eligible to receive Lend-Lease aid. 

I take this occasion to extend my best wishes 
for Your Majesty's happiness and for the w-ell- 
being of the people of Ethiopia. 

FraNBXIN D Ro08E\'ELT 



The Far East 



OPENING OF RADIOPHOTO SERVICE 
WITH CHINA 

[Released to the press by the White House December 15] 

The President, in connection with the open- 
ing of radiophoto service between the United 
States and China, on December 15 sent a hand- 
written letter to Generalissimo Chiang Kai- 
shek, the text of which follows 



' Not printed. 



1010 



DEPABTMENT OF STATE BULLETIN 



My Dear Generalissimo : 

The once vast distances between our two 
countries have been successively diminished by 
the steamship, the radio, the cable, the airplane, 
and now by this marvel of science which I am 
utilizing today. 

I take this unique chance to tell you how 
honored the people of this country, including 
Mrs. Eoosevelt and myself, feel to have with us 
your charmuig and distinguished wife. 
Always sincerely yours, 

Franklin D Roosevelt 

[Released to the press by the White House December 18] 

The President received from Generalissimo 
Chiang Kai-shek on December 18 an answer to 
the handwritten message which he transmitted 
to the Generalissimo on December 15. Gen- 
eral Chiang's message was dated Chungking 
and, like the message sent by the President, was 
transmitted by radiophoto service. The text 
follows : 

My Dear President : 

Your handwritten letter transmitted by 
radiophoto is an immense source of joy to me. 
By this newest means of communication the 
march of science has brought us closer and 
closer together. May this be a symbol of the 
rapid progress of the United Nations' war 
efforts and of the early realization of our com- 
mon war aims in advancing the cause of free- 
dom and equality in a world of peace, order and 
happiness. I am deeply appreciative of the 
warm welcome accorded Madame Chiang by 
you and Mrs. Roosevelt and by the American 
people. 

With cordial greetings, 
Very sincerely yours, 

Chiang Kai-shek 



Cultural Relations 



METEOROLOGY COURSES FOR STUDENTS 
FROM OTHER AMERICAN REPUBLICS 

Training in meteorology is being offered by 
the United States Weather Bureau to students 
from all the American republics, and the initial 
courses will commence February 1, 1943 at 
Medellin, Colombia. Upon completion of a 
six months' course at Medellin, it is planned to 
bring a number of the honor students to the 
United States for an additional year of more 
extensive training. 

Under plans developed by the Weather Bu- 
reau, the Department of State, the Office of the 
Coordinator of Inter- American Affairs, and the 
Defense Supplies Corporation, some 200 stu- 
dents will be trained. 

The training in the United States will con- 
sist of nine months' study at one of the five major 
universities in this country specializing in 
meteorology: Massachusetts Institute of Tech- 
nology; New York University; University of 
Chicago; California Technological Institute} 
and the University of California at Los An- 
geles. This study will be followed by assign- 
ment to two months' active duty with the United 
States Weather Bureau. 



DISTINGUISHED VISITORS FROM OTHER 
AMERICAN REPUBLICS 

[Released to the press December 19] 

Dr. M. Ruiz Castaiieda, official of the De- 
partment of Public Health of Mexico and pro- 
fessor of the National School of Medicine, will 
arrive in Washington on December 21 from 
New Orleans, where he has been lecturing at 



DECEMBER 19, 1942 



1011 



Tiilane University at the invitation of the head 
of the Department of Tropical Medicine. Dr. 
Ruiz Castafieda is visiting the United States 
as a guest of the Department of State and while 
in the National Capital plans to confer with 
authorities of the National Institute of Heiilth. 
Later, he will probably visit leading research 
centers in the United States. 



[Released to the press December 19] 

Dr. Francisco Villagi'an, Director of the 
Preparatory School of the National University 
of Mexico, arrived in the United States on De- 
cember 14, as a guest of the Department of 
State, for a tour of university centers, prepara- 
tory schools, and research foundations in this 
country. Dr. Villagnin will observe especially 
the integration of biology into the American uni- 
vei-sit}" system, witli particular attention to pho- 
tographj' in this field, the relation of the 
American college student to faculty and ad- 
ministration, and the part that military train- 
ing plays in the modern university curriculum. 



The Department 



THE UNITED STATES SECTION OF THE 
ANGLO-AMERICAN CARIBBEAN COM- 
MISSION 

(Released to the press December 19] 

The State Department has defined as follows 
the relation between the Anglo-American 
Caribbean Commission and the Caribbean Office 
of the Department of State.^ 

The Anglo-American Caribbean Commission 
has been set up by agreement between the Gov- 

' Departmental Order 1117, of Dec. 14, 1942. 



ernments of the United States and Great 
Britain. = The United States Section, of which 
Mr. Charles W. Taussig is chairman, is directly 
responsible to the President, paralleling a sim- 
ilar organization set up by and responsible to 
the British Government to handle matters 
relating to the Caribbean area. 

For reasons of administrative convenience, 
the United States Section of the Commission 
will be considered an integral unit of the 
Department. 

The Caribbean Office of the Department, 
headed by Mr. Coert duBois since its establish- 
ment by Departmental Order 984, of October 
9, 1941, in addition to such other duties as have 
already been specifically assigned or may here- 
after be directed by the Secretary or the Under 
Secretary of State, to whom this Office is 
directly responsible, shall serve as the Execu- 
tive Agency for the United States Section of 
the Anglo-American Caribbean Commission, 
the duties of which include the initiation and 
successful accomplishment of projects dealing 
with the public health and welfare of the pos- 
sessions and territories of the United States and 
Great Britain in the Caribbean area. The 
Caribbean Office in the discharge of its func- 
tion as Executive Agency will (1) furnish 
technical assistance on plans or projects woi'ked 
up by the Commission, (2) maintain liaison 
jointly in behalf of the Department and the 
Commission with other offices of the Depart- 
ment and other departments and agencies of the 
Government concerned with common or related 
problems, and (3) keep the Commission appro- 
priately apprised of all developments in its 
field of activity, as well as of plans, projects, 
or procedures developed on its own initiative 
and of common interest. 



'Created Mar. 9, 1942. See Buixetin of Mar. 14, 
1942. p. 229. 



Treaty Information 



COMMERCE 

Reciprocal Trade Treaty Between Argentina 
And Venezuela 

The American Embassy at Buenos Aires re- 
ported by a despatch dated November 2, 1942 
that a reciprocal trade treaty between Argen- 
tina and Venezuela was signed on October 29, 
1942 at Buenos Aires. The treaty provides for 
reciprocal most-favored-nation treatment for 
the products of one country entering the other; 
for treatment relating to foreign exchange ; and 
for the treatment accorded to the citizens of one 
country in the other in matters of travel, com- 
merce, and legal status. No special internal 
taxes will be collected on the products of either 
country in the other country, and the goods of 
one country in transit through the other shall 
not be subject to transit taxes. The treaty will 
enter into force 30 days after the exchange of 
ratifications and will remain in force until ter- 
minated by either party on 6 months' notice. 

Statement Concerning Commercial Relations 
Between Peru and Venezuela 

There is printed below a translation of a state- 
ment concerning commercial relations between 
Peru and Venezuela signed at Lima on Novem- 
ber 11, 1942, as transmitted to the Department 
by the American Embassy at Lima under date 
of November 13, 1942: 

"In Lima, on the eleventh day of the month 
of November, one thousand nine hundred forty- 
two, the undersigned, Dr. Alfredo Solf y Muro, 
Minister for Foreign Affairs of Peru, and Dr. 
Caracciolo Parra Perez, Minister for Foi'eign 
Affairs of the United States of Venezuela, hav- 
ing met, after an interchange of ideas with refer- 
ence to the various aspects of the commercial 
relations between the two countries, and moti- 
vated by the desire to increase and affirm such 
relations, have verified the following: 
1012 



"First. — That there exists positive interest, 
from the point of view of the mutual advantage 
to Peru and Venezuela, in the development of 
a p?rmanent conamercial interchange. 

"Second. — That such interchange can be 
effected by reason of the varied nature of natural 
and manufactured products of both countries 
contributing to supplying the respective internal 
markets of the two countries ; 

"And have decided in consequence to recom- 
mend to their respective Governments that they 
undertake as soon as possible the careful study 
of all the possibilities of commercial inter- 
change, as well as the most efficacious for favor- 
ing such commercial interchange, and that the 
two Governments continue to maintain contact 
with each other in order to communicate to each 
otlier all pertinent information, coming to an 
agreement with respect to the execution of 
measures of various kinds which would lead to 
a better mutual understanding of such possi- 
bilitieSv 

"In consequence of which, they sign this state- 
ment in duplicate. 

"C. Pabra Perez 
"Alfredo Solf t Muro" 



EDUCATION 

Convention for Cultural Interchange Between 
Brazil and Venezuela 

Tlie American Ambassador at Rio de Janeiro 
reported by a despatch dated October 23, 1942 
that a Convention for Cultural Interchange be- 
tween tlie Governments of Brazil and Venezuela 
was signed on October 22, 1942. The convention 
was entered into as a result of the Convention 
for the Promotion of Inter-American Cultural 
Relations (Treaty Series 928), signed at Buenos 



DECEMBER 19, 1942 



1013 



Aires on Uocember 2;5, li);5() at tlie Inter-Ameri- 
can Conference for tiie Maintenance of Peace. 
Under the terms of the convention the two 
Governments undertake to stinuihite in every 
way possible reciprocal scholarships for uni- 
vei-sity professoi-s, members of scientific, liter- 
ary, and artistic groups, professional men, and 
post-graduate students. An exchange of official 
publications by the national libraries at Rio de 
Janeiro and Caracas is provided for, and the 
two libraries will inaugurate, respectively, a 
Brazilian section and a Venezuelan section. Ex- 
positions of the literary works of each of the 
two countries will be held periodically in Brazil 
and Venezuela, and each country will favor the 
translation into their respective languages of 
the most noted works of the authors of the other 
country. 

Couvention for the Encouragement of Historical 
Studies Betweea Venezuela and Peru 

The American Embassy at Lima reported by 
a despatch dated November 13, 1942 that a 
Convention for the Encouragement of His- 
torical Studies Between the Governments of 
Venezuela and Peru was signed at Lima on 
November 11, 1942. The convention provides 
for the interchange of professors ; for the pi'O- 
vision of scholarships; for the encouragement 
of travel by university professors ; and for the 
establishment of an interchange of historical 
publications and docmnents and of photo- 
gi-aphic reproductions of the documents, manu- 
scripts, ichonographs, and other historic relics 
of the epoch of independence, under the pro- 
tection of the respective Governments. Both 
Governments agree to conserve and repair his- 
toric monuments and sites and to make possi- 
ble access thereto to coming generations and 
to foreign visitors. 

AGRICULTURE 

Agreement for the Establishment and Operation 
of an Agricultural Experiment Station in 
Ecuador 

By an exchange of notes between the Secre- 
tary of State of the United States of America 



and the Ecuadoran Minister at Washington, 
dated October 20 and October 29, 1942, respec- 
tively, the two Governments indicated their 
approval of the provisions of a Memorandum 
of L'nderstanding signed on August 12, 1942 at 
Quito, Ecuador, by the Honorable Claude R. 
Wickard, Secretary of Agricultuie of the 
United States of America; by His Excellency 
Ricardo Crespo Ordonez, Minister of Agricul- 
ture of the Republic of Ecuador; and by Mr. 
Eric F. Lamb and Senor V. lUingworth, Gen- 
eral Manager and President, respectively, of the 
Corjjoracion Ecuatoriana de Fomento, relating 
to the establislnuent and operation of an agri- 
cultural experiment station in Ecuador, and 
confirmed their understanding that the Iklemo- 
randum constituted an agreement between the 
two countries effective as of August 12, 1942. 
The agreement will remain in force for a pe- 
riod of 10 years, unless the Congress of either 
country shall fail to appropriate the funds nec- 
essary for its execution, in which event it may 
be terminated on GO days' written notice by 
either Government to the other Government. 

Agreement for the Establislmient and Operation 
of an Agricultural Experiment Station in 
El Salvador 

By an exchange of notes between the Secre- 
tary of State of the United States and the 
Salvadoran Minister at Washington, dated No- 
vember 24 and December 2, 1942, respectively, 
the two Governments indicated their approval 
of the provisions of a Memorandum of Under- 
standing signed on October 21, 1942 by the 
Honorable Claude R. Wickard, Secretary of 
Agriculture of the United States of America, 
and by Senor Hector David Castro, Salva- 
doran Minister at Washington, relating to the 
establishment and operation of an agricultural 
experiment station in El Salvador, and con- 
firmed their understanding that the Memoran- 
dum constituted an agreement between the two 
countries eifective October 21, 1942. The 
agreement will remain in force for a period 
of 10 years unless the Congress of either coun- 
try shall fail to appropriate the funds neces- 



1014 



DEPABTMENT OF STATE BULLETIN 



sary for its execution, in which event it may 
be terminated on 60 days' written notice by 
either Government to the other Government. 



Publications 



DEPARTJrENT OF StATE 

Boundaries of the Latin American Republics: An An- 
notated List of Documents, 1493-1825 (Tentative 
Version). Publication 183.j. vi, 76 pp. 15<*. 

Principles Applying to the Provision of Aid to the 
Armed Forces of the United States: Supplementary 
Agreement Between the United States of America 



and the United Kingdom of Great Britain and North- 
ern Ireland — Effected by exchange of notes signed at 
Washington Sepieniber 3, 1942. Executive Agree- 
ment Series 270. Publication 1842. 4 pp. 50. 

Principles Applying to the Provision of Aid in the Prose- 
cution of the War : Agreement Between the United 
Stales of America and Australia — Effected by ex- 
change of notes signed at Washington September 3, 
1942. Executive Agreement Series 271. Publica- 
tion 1843. 4 pp. 50. 

Principles Applying to the Provision of Aid in the 
Prosecution of the War : Agreement Between the 
United States of America and New Zealand- 
Effected by exchange of notes signed at Washington 
September 3, 1942. Executive Agreement Series 272. 
Publication 1844. 3 pp. 50. 

Diplomatic List, December 1942. Publication 1846. ii, 
103 pp. Subscription, $1 a year ; single copy, 100. 



U. 5. SOVERHyENT PRINTINC OFFICE: I94Z 



Forsaleby the SuptTintcnUi'iit iif lidiumt'iifs, Wa.'iliiuKtou. D, ('. — Prii'i'. 10 cents Subscription piice, $1!. 75 u year 

l'UBLl»UigU WSKKLY WITU THE: Al'l'UUVAIi OV XUK DlBECTUlt 0I< THE ICDKEAU UF I'UE BUUQET 



I ^" 



THE DEPARTMENT OF STATE 



B 



^\^ 



J 



ETIN 



DECEMBER 26, 1912 
Vol. VII, No. 183— Publication 1854 



C 



ontents 



The War 

Christmiis Mcssaj^e to the Armed Forces of Our Allies . 1017 

Assiissination of Admiral Darlan 1(117 

Address by the Foruier American Ambassador to 

Japan 1018 

Proclaimed List : Cumulative Supplement 2 to Revi- 
sion IV 1022 

Award of the Decoration of the Medal for Merit .... 1022 

General 

Christmas Message of the Secretary of State 1023 

The Department 

Appointment of Officers 1023 

Publications 

Foreign Relations of the Ignited States: The Paris 

Peace Conference, 1919, Volumes I and II 102-1 

Treaties and Other International Acts, Volume 7 . . . . 1026 
Publications Issued During the Last Quarter 1027 

Treaty Inforsiation 

Commerce : Trade Agreement With Mexico 1029 

Education : Pan American Institute of Geography and 

History 1030 




„.5,sunB,NTaoEnTOfoowwTs 
JAN 151943 



The War 



CHRISTMAS MESSAGE TO THE ARMED FORCES OF OUR ALLIES 



(Released to tlie press December 24) 

A message of the President conveying the 
season's greetings to the armed forces and aux- 
iliary services of our allies has been sent to the 
appropriate American displomatic missions for 
transmission to the heads of the governments of 
the following countries : Australia, Belgium, 
Brazil, Canada, China, Costa Rica, Cuba, 
Czechoslovakia, Dominican Republic, El Salva- 
dor, Great Britain, Greece, Guatemala, Haiti, 
Honduras, India, Luxembourg, Mexico, Nether- 
lands, New Zealand, Nicaragua, Norway, Pan- 
ama, Poland, Union of South Africa, Union of 
Soviet Socialist Republics, Yugoslavia. 

The message has also been sent to the Presi- 
dent of the Commonwealth of the Philippines ; 
to the Emperor of Ethiopia; to the American 
Embassy at London for communication through 
Admiral Stark to the French National Com- 
mittee; and to the Honorable Robert D. Mur- 
phy, Civil Affairs Officer on General Eisen- 
hower's staff at Algiers, for communication to 
General Giraud. 

The text of the message follows : 

"Struggling side by side against powerful 
foes, thousands upon thousands of soldiers of 
those nations large and small which are united 
in defense of freedom and justice and human 
rights face the holiday season far from home, 
across oceans or continents, in fields of desert 



sand or winter snow, in jungles or forests, on 
warships or merchant vessels, on island ram- 
parts from Iceland to the Solomons, in the Old 
and New Worlds. 

"They strive to the limit of their strength, 
without regard for the clock or the calendar, to 
hold the enemy in check and to push him back. 
They strike mighty blows and receive blows in 
return. They fight the good fight in order that 
they may win the victory which will bring to 
the world peace, freedom, and the advancement 
of human welfare. 

"With a deep and abiding sense of gratitude, 
the Congress of the United States has, by a joint 
resolution, asked me to transmit, on behalf of 
the people of the United States, to the armed 
forces and auxiliary services of our allies on 
land, on sea, and in the air, best wishes and 
gi-eetings of tlie season to them and to their 
families and a fervent hope and prayer for a 
speedy and complete victory and a lasting 
peace. 

"Accordingly, I shall be grateful to 3'ou if 
you will convey to your armed forces and aux- 
iliary services, in the name of the Congi-ess of 
the United States, in my own name, and in 
the name of the people of the United States, 
the cordial wishes and greetings and the hope 
and prayer expressed in the joint resolution. 
"Franklin D Roosevelt" 



ASSASSINATION OF ADMIRAL DARLAN 



[Released to the press December 2S] 

In answer to questions at a press conference 
regarding the situation in North Africa and the 
assassination of Admiral Darlan, the Secretary 
of State said: 

503037 — la 



"The all-important consideration is that we 
be not diverted for a moment from the supreme 
objective of the United Nations in the present 
battle against the Axis forces for control of the 

1017 



1018 

African continent and the IMediterranean. 
This battle is still at a crucial and critical stage. 
The fullest measure of unified support is needed 
by General Eisenhower and his associates. 
"Of Admiral Darlan, it may be repeated that 



DEPARTMENT OF STATE BXJLLETrN 

the part he played in North Africa related pri- 
marily to the military situation and was of in- 
calculable aid to the allied armies in the battle 
which is still raging. His assassination was 
an odious and cowardly act." 



ADDRESS BY THE FORMER AMERICAN AMBASSADOR TO JAPAN 



[Keloased to the press December 20] 

He is triimpliug out the vintage where the grapes of 

wrath are stored, 
He has loosed the fateful lightning of his terrible 

swift sword. 
His truth is marching on. 

You, gentlemen of the graduating class of 
Trinity College, have completed the first part of 
your education. You have learned many things 
during your years at Trinity. You can have 
learned "nothing more fundamental than the 
meaning of the word truth, for truth is all- 
embracing. It comprises all knowledge and 
learning, all justice and balance and correct per- 
spective, and all the beauty of living and of life. 
"Beauty is truth, truth beauty", wrote Keats, 
"That is all we know in life and all we need to 
know." 

Today we are at war. It was not a war of our 
choosing; we were treacherously attacked by 
forces whose stimulus was that of ambitious 
greed, and we responded as only a free and 
powerful, truth-loving and God-loving nation 
could respond, by reluctantly unsheathing that 
terrible sword whicli day by day and hour by 
liour we are swiftly whetting for the work in 
hand. We have unsheathed that sword not only 
to defend our homes and our women and our 
children and our children's children — and, yes, 
ourselves — from eventual enslavement but that 
truth might prevail and that the foul miasma 
of untruth and falseness and lies with which our 
enemies seek to blot out the sun in every coun- 
try that falls under their galling yoke shall 
never poison the pure air of our own beloved 
land. That sword of ours will not be sheathed 



' Coinmeucenient address delivered by the Honorable 
.Joseph C. Grew at Trinity College, Hartford, Conn., 
Dec. 20, 1!M2, and broadcast over Station WNBC. 



until the danger is past and, let us hope, is swept 
from the world for all time to come. Is not that 
a cause worth living for, and fighting for, and 
dying for if necessary ? 

In that enlightened work, gentlemen, you are 
to play your part. . I wish I could hold out to 
you the prospect of the gracious living of olden 
days, those brief intervals between wars when, 
for a small minority of mankind, the quest for 
truth was a normal and peaceful concomitant 
of life, when truth could be defended by words 
alone. Alas, for many years that cannot be, nor, 
in the light of the facts you face, would you have 
it otherwise ; for no man, if he is worth his salt, 
would shirk in any degree whatsoever the grave 
responsibilities and labor and danger which 
right-thinking tells him must be his portion. 
"Though love repine and reason chafe, there 
came a voice without reply: 'Tis man's perdi- 
tion to be safe, when for the truth he ought to 
die." God's truth is marching on. You could 
not, if you would, retard that march. You 
would not if you could. For in giving all that 
you have, applying all that you have learned 
and assimilated" in this college, to the further- 
ance of that march of Truth, you are to find the 
profound satisfaction and great inspiration of 
living for an ideal, for your country, for civiliza- 
tion, and for the future freedom of humanity. 
"IMine eyes have seen the glory ..." I cannot 
deplore that outlook and vista that you face 
today. I can only congratulate you that you 
have, each of you, from the very start, a man's 
work to do— work that may try your very souls 
but from which you will profit and grow and 
your country will" profit and grow by possessing 
you as citizens. "And if I drink oblivion of a 
"day", wrote Cieorge Meredith, "so shorten I the 
statm-e of my soul." Only by functioning to 



DECEMBER 26, 194 2 



1019 



the limit of our several capacities in tlu' cir- 
cumstniices in which we find oui-selves can we 
adil to our stature. At this time of national 
jjcril, who would fail in that niaxinunn etTort ^ 

And now I turn to one piiase of the scene that 
confronts you. I turn to it because it is the 
phase of our war pi-oblem that I know most 
about. That is our war with Japan. I do not 
for a nionu'ut presume to touch ui)on questions 
of hijrh policy tend strategy in the fi<rhtin<; of 
this war nor upon the relative emphasis to be 
placed on the various theaters of war. Our 
liipliest leaders are takinc: care of that. I sjieak 
merely of the Japanese war machine as I have 
known it and have seen it grow, in power and 
determination and overweening ambition, dur- 
ing the iKist 10 years of my nussion to Japan. 

Let nje paint for you the picture as I see it, 
for 3'ou who are about to take part in our na- 
tional life liave the right to know as much as can 
be known about the problem that confronts us. 
I ;-hall not overstate the case nor overdraw the 
pictui-e. Let us look at that picture as it faces 
us today. 

Even before Pearl Harbor, Japan was strong 
and posses.scd a military maciiine of gi-eat 
power — and when I speak of that military ma- 
chine I include all branches of the Ja]>anese 
arrard forces: the Army, the Navy, and the air 
force. That military machine had been stead- 
ily strengthened and developed during many 
years, especially since Japan's invasion of Man- 
churia in 1931, an act of iniprovoked aggres- 
sion which, in effect, commenced the expan- 
sionist movement of Japan in total disregard of 
the rights and legitimate interests of any na- 
tion or of any people that might stand in the 
way of that movement. In 1037 came Japan's 
invasion of north China and Shanghai, which 
led to the past six years of Sinn-Japanese war- 
fare. The Japanese did not wish to clollie that 
infamous campaign with the name of war : 
they called it first the "China Incident", and 
later, when gi-eat Japanese armies were trying 
de.sperately but futilely, year after year, to de- 
stroy the manpower and break the magnificent 
courage and fighting spirit of the ill-equipped 
but determined forces of Generalissimo Chiang 



Kai-shi'k, the Japanese i)eople, even with their 
f)wn unbalanced humor, coidd not f:ii! to ])er- 
ceive (he sarilonic humor of the term hiridrnf, 
and they tiien. witii tragi-comical deliberation, 
dubbed the cami)aign the '"China Affair". But 
never "'war''. So it is today. 

But duiing all these years of their unavail- 
ing effort to conquer China and to bring about 
the sin-render of the Chinese National Govern- 
ment those Japane.'-e armed forces were using 
China as a training ground in pi-eparation for 
the greater war. already carefully plumied, for 
their eventual concpiest and intended pernumcnt 
control of all so-called "Greater East Asia in- 
cludii'g the South Seas" and for the imposition 
upon the peoples of those far-flung areas of 
what Japan is pleased to refer to as the "New 
Oriler" and the "Co-Prosperity Sphere". We 
know what that euphemistic slogan "Co-Pros- 
{)erity" means: it denotes absolute hegemony — 
economic, financial, political — for Japan's own 
j)urely selfish interests and the virtual enslave- 
ment of the peoples of those territories to do 
the bidding of their Japanese masters. This 
statement is not a figment of the imagination; 
it is based on i)ractical experience in other 
regions already subjected to Japan's domina- 
tion. Such a regime will be imposed in every 
area that may fall under Japan's domination. 

During all this period of preparation the 
Japanese military machine has been steadily ex- 
jianded and strengthened and trained to a knife- 
edge of war efficiencj' — in landing on beaches, in 
jungle fighting, and in all tlie many different 
forms of warfare which it was later to encounter. 
Let me give you merely one illustration of the 
sort of Spartan training to which those Japa- 
nese soldiers are subjected. Before the war 
American officers from our Army and Navy and 
from the Department of State used to be sent to 
our Embassy in Tokyo to study the Japanese 
language, the Army officers being assigned from • 
time to time to observation duty with Japanese 
regiments. On one occasion, during a ■l-day 
maneuver period, the Japanese commanding 
officer took his unit on a 29-hour march without 
rest; some of the soldiers actually fell asleep 
while marching, so great was their fatigue, and 



1020 



DEPARTMENT OF STATE BULLETTN 



one officer ran into a pile of lumber on the way. 
At the end of this grueling test the commanding 
officer, instead of allowing his men to rest, im- 
mediately sent them out to take up defense posi- 
tions and on patrol. The American officer, 
astonished at this inhumane treatment, inquired 
why the troops could not be allowed a modicum 
of sleep in view of their obvious nearness to 
collapse. "My men know how to sleep already", 
replied the Japanese officer ; "I am training them 
to learn to stay awake." Add to that intensive 
training the native courage of the Japanese sol- 
diers and sailors and airmen, their determined 
obedience to orders even in the face of certain 
death, and their fanatical joy in dying for their 
Emperor on the field of battle, thus acquiring 
merit with their revered ancestors in the life to 
come, and you get a grim conception of the 
formidable character of that Japanese fighting 
machine. Let me add that the jealous personal 
disputes, endless red tape, and face-saving ex- 
pedients which characterize the civil life of 
Japan in times of peace wholly disappear in 
war; the various branches of their armed forces 
cooperate in well-nigh perfect coordination, and 
their staffs work, strategy, and tactics are of a 
high degree of excellence. Tlie precision and 
speed of their campaign in the Malay Peninsula 
and their rapid taking of Singapore are suffi- 
cient proof of that. Furthermore, in war Japan 
is wholly totalitarian ; her economy is planned 
and carried out to the last detail; a Cabinet 
Planning Board, composed of military experts 
from whose orders there is no appeal, directs the 
use that shall be made of all personal and cor- 
porate wealth and determines all questions re- 
lating to production. No word of criticism of 
the Government or its acts is tolerated ; the so- 
called "thought control" police take care of that. 
Labor unions are powerless. In war Japan is a 
unit, thinks and acts as a unit, labors and fights 
as a unit. 

With that background, and having in mind 
the strength and power of Japan even before 
Pearl Harbor, consider for a moment the scene 
as it has developed in the Far East. Consider 
the tremendous holdings of Japan today: 



Korea, Manchuria, great areas in China proper, 
Formosa, the Spratly Islands, Indochina, Thai- 
land, Burma and the Andamans, the entire Ma- 
]iiy Peninsula, Hongkong and Singapore, the 
Philippines, the Netherlands East Indies, and, 
farther to the south and to the east, mjriads of 
islands many of which are unsinkable aircraft 
carriers. Those areas contain all — mind you, 
all — the raw materials essential to the develop- 
ment of national power: rubber, oil, tin, metals, 
and foodstufi^s — everything that the most com- 
prehensive economy can desire; and they con- 
tain, furthermore, millions of native inhabitants 
who, exi^erience has proved beyond peradven- 
ture, will be enslaved as skilled and unskilled 
labor by Japan to process those raw materials 
for immediate and future use. Add to that the 
stores of scrap iron for the making of steel which 
have been accumulating these many years in 
the Japanese homeland and the further stores 
acquired in the many conquered and occupied 
ports. There you have a recipe and the ingredi- 
ents for national strength and power that defeat 
the imagination even approximately to assess. 

Now to this recipe and these ingredients add 
one further element of grimly ominous pur- 
port. During all my 10 years in Japan I have 
read the books, the speeches, the newspaper and 
magazine articles of highly placed Japanese, of 
generals and admirals, of statesmen and diplo- 
mats and politicians. Sometimes thinly veiled, 
sometimes not even veiled, has emerged their 
overweening ambition eventually to invade and 
to conquer these United States. In their think- 
ing, even the megalomania of Hitler is sur- 
passed. Fantastic if you will, but to them it is 
not fantastic. It was not fantastic when the 
foremost Japanese admiral, as recently occurred, 
publicly stated in all seriousness that he intends 
that the peace after this war will be dictated in 
the White House in Washington — by Japan. It 
might be 1 year or 2 years or 5 or 10 years be- 
fore that Japanese military machine would find 
itself ready to undertake an all-out attack on 
this Western Hemisphere of ours; they them- 
selves ifave spoken of a 100-year war; but one 
fact is as certain as the law of gi-avity: if we 



DECEMBER 26, 194 2 



1021 



should allow the Japanese to dij; in pei-manently 
in the far-flung ai-eas now occupied, if we should 
allow thoni to consolidate and to crystallize their 
ill-fjotten pains, if we should allow them time 
to fortify those gains to the nth degree, as they 
assuredly will attempt to do, it would be only a 
question of time before they attempted the con- 
quest of American territory nearer home. In 
no i-espect do I overstate this case. My judg- 
ment is based on no wild surmise nor upon any 
far-fetched and imaginative hypothesis. It is 
based on facts, which are there for all to see, 
and upon 10 long years of intimate experience 
and observation. 

^^^lat worries mo in the attitude of our fel- 
low countrymen is first the utterly fallacious 
pre-war thinking which still widely persists, to 
the effect that the Japanese, a race of little men, 
good copyists but poor inventors, are incapable 
of developing such power as could ever seri- 
ously threaten our home shores, our cities, and 
our homes, a habit of mind which is reinforced 
by the great distances separating our homeland 
from the eastern and southern battle fronts to- 
day. Second. I am worried by the reaction of 
our people to the current successes of our heroic 
fighting men in the Solomons and New Guinea, 
for after each hard-woft victor}' the spirits of 
our people soar. Moral stimulation is good; 
but moral complacency is the most dangerous 
habit of mind we can develop, and that danger 
is serious and ever-present. I have seen with 
my own eyes in some cases and I have had first- 
hand vivid personal accounts in many other 
cases of the horrible tortures inflicted on some 
of our fellow citizens by those utterly brutal, 
ruthless, and sadistic Japanese military police; 
I received in Tokj'o the first-hand stories of the 
rape of Xanking; I have watched during these 
fateful years the purposeful bombing of our 
American religious missions throughout China, 
over 300 incidents of infamous destruction of 
American life and property, the intentional 
sinking of the Panny, the attempts on the 
TutuHa and on our Embassy in Chungking, and 
other efforts on the part of those military ex- 



tremists to bring on war with the United States 
for the very purpose of leading up to the even- 
tual carrying-out of their fell designs; and I 
say to you, without hesitation or reserve, that 
our own country, our cities, our homes are in 
dire peril from tlie overweening ambition and 
(lie potential power of that Japanese military 
machine — a power that renders Japan poten- 
tially the strongest nation in the world — poten- 
tially stronger than Great Britain or Germany 
or Russia or the United States — and that only 
when that military caste and its machine have 
been wholly crushed and destroyed on the field 
of battle, by land and air and sea, and dis- 
credited in the eyes of its own people, and ren- 
dered impotent either to fight further or further 
to reproduce itself in the future, shall we in our 
own land be free from that hideous danger and 
be able once again to turn to paths of peace. 

Gentlemen of the graduating class, I have 
spoken to you bluntly, I have talked of tragi- 
cally serious matters because I believe that this 
is not the time for conventional commencement 
addresses. Today tlie battleground for truth is 
on every college campus; there are no more 
ivory towers ; there is no more shelter from the 
winds of controversy. In your classrooms you 
liavc studied history, you have traced man's 
long and painful struggle toward freedom and 
truth. Today you join the stream of history, 
you take up the battle for truth. I cannot con- 
dole with you; I can only wish you Godspeed 
on the most serious adventure that man has ever 
undertaken. 

A long, hard, bitter road stretches before us, a 
road beset with "blood, toil, sweat, and tears". 
Where does it lead ? It leads eventually to vic- 
tory ; of that I have not one iota of doubt. Vic- 
tory not only in the sense of the triumph of 
our armed power; not only in sense of the utter 
destiuction of the aggressive power of the 
enemy; not only in sense of the liberation of 
millions of enslaved people in Europe and Asia. 
You have your part to play in that victory. 
You have an infinitely more difficult part to 
play in the translation of that victory into last- 



1022 



DEPARTMEXT OF STATE BULLETIN 



ing peace. For the victory of our armed forces 
is only a prelude to the victory of truth and 
justice in the making of a new world. You 
will have a cliance to help build that world, a 
chance to profit by the mistakes of the past, a 
chance to turn the stream of history into new 
channels of human progress and happiness. 
You have that precious opportunity; you will 
not value it lightly I know, for you have built 
up in your years at Trinity College a moral 
and spiritual foundation, a respect for truth 
which will strengthen you and guide you 
through the great adventure on which you em- 
bark today. 

"His truth" — God's truth — "is marching on !" 
JIarch with it into the future; carry it as your 
banner; and may God bless you in the efforts 
which will be yours, efforts consecrated to the 
security and welfare of j'our countrj' — our 
country — and of mankind. 



PROCLAIMED LIST: CUMULATIVE SUP- 
PLEMENT 2 TO REVISION IV 

[Relpased to the press December 22] 

The Secretary of State, acting in conjunction 
with the Acting Secretary of the Ti'easury, the 
Attorney General, the Secretary of Commerce, 
the Board of Economic Vv'arfare, and the Co- 
ordinator of Inter- American Affairs, on Decem- 
ber 22 issued Cumulative Supplement 2 to Re- 
vision IV of the Proclaimed List of Certain 
Blocked Nationals, promulgated November 12, 
1942. 

Cumulative Supplement 2 to Revision IV su- 
persedes Cumulative Supplement 1, dated No- 
vember 20. 1942. Cun\u1ative Supplement 2 in- 
cludes both the new additions, amendments, and 
deletions made with this supplement and all the 
additions, amendments, and deletions which 
have j)reviously been iiuule to the Proclaimed 
List since Revision IV, dated November 12, 
1942. Accordingly, the cui'reut Cumulative 
Supplement 2 and Revision IV together con- 



stitute the effective List, and Cumulative Sup- 
plement 1, dated November 20, 1942, should be 
destroyed. It is expected that in the future 
cumulative supplements, superseding all prior 
sujiplements, will be issued regularly evei"y four 
weeks. It is believed that the new procedure for 
issuing cumulative supplements will be of great 
assistance to users of the List. 

Part I of Cumulative Supplement 2 contains 
239 additional listings in the other American 
republics and 36 deletions. Part II contains 
134 additional listings outside the American re- 
publics and 16 deletions. 

Tlie additional listings contained in this sup- 
plement and in previous supplements cover 
many cases where a person or firm has been in- 
cluded on the List because of dealings with or on 
behalf of firms or pei'sons previously included 
on the List. Attention is again called to the fact 
that on July 17, 1941, when the Proclaimed List 
was originally established, the President gave 
warning that an}'one serving as such a "cloak" 
for a person on the List would have his name 
added forthwith to the List. In order that the 
effectiveness of this Government's Proclaimed 
List policies may be maintained and that our 
limited supplies and shipping facilities may be 
reserved for persons and firms who are friendly 
to the hemisphere-solidarity policies of the 
American republics and the war interests of the 
United Nations, this policy with respect to the 
inclusion of "cloaks" must and will be vigor- 
ously pursued. 

AWARD OF THE DECORATION OF THE 
MEDAL FOR MERIT 

On December 24, 1942 the President issued an 
PLxecutive order (no. 9286) prescribing rules 
and regulations for the award of the decoration 
of the "Medal for Merit", which reads as 
follows: 

"By viitue of and pursuant to the authority 
vested in me ])y section 2 of the act of July 20, 
1942 (Public Law 671, 77th Congress). I hereby 



DECEMBER 26, 1942 



1023 



pivs( ril)i' tho f(>]lo\viii<i- rules and rppulntions for 
the iiward i)f tlie divonition of tlie 'Medid for 
Merit' created by said act : 

"1. The decoration of the Mcthil for Merit 
shall be awarded only by the Pivsident of the 
United States or at liis direction. Awards of 
the Medal for Merit may be made to such civil- 
ians of the nations prosecuting the war under the 
joint declaration of the United Nations and of 
other friendly foreign nations, as have, since 
the proclamation of an emergency by the Presi- 
dent on September 8, 1939. distinpiished them- 
selves by exceptionally meritorious conduct 
in the performance of outstanding services. 
Awards of the Medal for Merit made to civilians 
of foreign nations shall be for the performance 
of an exceptionally meritorious or courageous 
act or acts in furtherance of the war eiforts of 
the United Nations and shall have the prior 
aj)proval of the Secretary of State. 

'"2. Tliere is hereby created a Board to be 
known as the 'Medal for Merit Board', which 
shall consist of — 

The Secretary of State 

The Secretary of War 

The Secretary of the Navy 

The Chairman of the War Production 
Boanl, and 

The Director of the Office of Civilian De- 
fense 

The Secretary of State shall act as Chairman of 
the Board. Each member of the Board may 
designate an alternate to represent him on the 
Board and empower the person so designated to 
act in his stead. 

"3. The Medal for Merit Board will receive 
and consider ]ir<)posals for the award of the 
decoration of the Medal for Merit and submit to 
tlie President the reconunendations of the 
Board with respect thereto. 

"4. The Medal for Merit Board is authorized 
to prescribe, with the approval of the President, 
such rules and regxdations not. inconsistent with 
the provisions of this order as may be necessary 
to accomplish its purposes." 



General 



CHRISTMAS MESSAGE OF THE 
SECRETARY OF STATE 

IRcleaHiMl to the press Dcceinlier 241 

At the press conference this morning, a cor- 
respondent asked the Secretary of State if he 
cared to say anything to the Nation on tlie sub- 
ject of Christmas. 

The following is the text of the Secretary's 
reply : 

'•This second Christmas since an armed attack 
was launched against our country is an occa- 
sion for all of us to re-dedicate ourselves fer- 
vently to a unity of purpose and to unremitting 
effort in the accomplishment of the two gi'cat 
tasks which are still before us: to overthrow, 
as speedily as possible, the forces of evil, now 
on the defensive but still formidably arrayed 
against us; and to make this world of ours 
truly worthy of the inspiriting light which 
came to mankind when the Prince of Peace was 
born. 

"May I wish all a Christmas of supreme con- 
fidence that we shall defeat and destroy the 
forces seeking to conquer and enslave us and 
that the burdens and sacrifices of today will 
bring mankind a brighter and noliler tomor- 
row." 



The Department 



APPOINTMENT OF OFFICERS 

The Secretary of State, on December 26, 
issued the following Departmental order (no. 
1120) : 

"Effective this date Mr. John S. Dickey is 
temporarily designated Special Consultant to 



1024 



DEPARTMENT OF STATE BULLETIN 



the Division of Commercial Policy and Agree- 
ments for such period and service as the Secre- 
tary of State may direct. Mr. Dickey will 
continue to serve as a member of the Board of 
Economic Operations and the Committee for 
Political Planning. 



"Mr. Francis H. Eussell is hereby designated 
Acting Chief of the Division of World Trade 
Intelligence, effective immediately, for the pe- 
riod of Mr. Dickey's temporary assigimient to 
the Division of Commercial Policy and Agree- 
ments." 



Publications 



FOREIGN RELATIONS OF THE UNITED STATES: THE PARIS PEACE 
CONFERENCE, 1919: VOLUMES I AND II 



t Released to the press December 20] 

The Department of State released on Decem- 
ber 20 the first two volumes of its extensive 
publication of documents relating to the Paris 
Peace Conference of 1919 in the series Foreign 
Relations of the United States. 

Although there is a large unofficial literature 
on the Conference already in existence, none of 
the Governments represented at Paris in 1919 
has yet given any large part of the record of the 
Conference to the public. The participation of 
the United States in the present war and the 
realization that any intelligent approach to an- 
other world settlement must take into considera- 
tion the errors and successes of the last render 
this an especially appropriate tune for the De- 
partment of State to fill an obvious gap in its 
Foreign Relations series by publishing in these 
volumes and in the volumes to follow the official 
American records of the Paris Peace Confer- 
ence of 1919. 

The two volumes just released are but the first 
in a series intended to include all the most im- 
portant of the American records. They contain 
documents on the preliminary period dealing 
with preparations for the Conference and the 
period between tlie signing of the Armistice on 
November 11, 1918 and the first meeting of the 
Council of Ten en January 12, 1919. It is in- 
tended that succeeding volumes will contain the 
records of the plenary sessions of the Confer- 
ence ; those of the Supreme Council in its vari- 
ous aspects — the Council of Ten, the Council of 
Four, the Council of Foreign Ministers, the 



Council of Heads of Delegations, etc. ; the min- 
tites and reports of the commissions of the Con- 
ference ; documents on the negotiations with the 
enemy powers and the signature and ratification 
of the treaties of peace and other treaties pro- 
duced at the Paris Conference ; documents bear- 
ing on the economic aspects of the work of the 
Conference, including regulation of trade, the 
blockade, food relief, and the work of the Su- 
preme Economic Council, as well as the records 
of the meetings of the American commissioners 
plenipotentiary; and documents relating to the 
composition, organization, and activities of the 
American Commission To Negotiate Peace. 
"\Antile it is planned to print all the more im- 
portant minutes, proceedings, and other papers 
in substantially complete form, it will be neces- 
sary to omit some material of secondary im- 
portance in order to keep the edition within 
reasonable limits. The publication of docu- 
ments will cover the period of active American 
participation in the Conference, which ended 
with the departure from Paris of the American 
Commission To Negotiate Peace on December 
9, 1919. 

Volume I opens with a number of statements 
and messages of American and Allied leaders 
regarding the termination of hostilities and the 
tasks to be faced at the Peace Conference (I, 
1-6). 

American jilans and preparations for the 
Conference receive extended treatment (I, 9- 
220). A section is devoted to the organization 
and work of "The Inquiry", the organization of 



DECEMBER 26, 1942 



1025 



specialists authorized by President Wilson and 
set up under the direction of Colonel House in 
September 1917, to study questions likely to 
arise at the Conference. This is a subject on 
which little documentary material has pre- 
viously been available. 

Additional light is thrown by the documents 
here published on the considerations which led 
to President Wilson's decision to participate in 
the Conference in person and on the views of 
some of his principal advisers on the point (I, 
128-154). 

The negotiations which led to the holding of 
tiie Conference in Paris rather than in Switzer- 
land or elsewhere are here illustrated, and the 
arrangements made for the accommodation in 
Paris of the American Commission To Nego- 
tiate Peace are described (I, 119-127). 

The selection of the American plenipoten- 
tiaries and the other personnel of the American 
delegation is a subject of much interest here 
dealt with at length (I, 155-193). 

Other aspects of American preparations for 
the work of the Conference related to arrange- 
ments for securing information (I, 194-211) 
and relations with the press and censorship (I, 
212-220). 

The approaching meeting of the Conference 
brought negotiations on the subject of the rep- 
resentation of new governments, some of them 
unrecognized, or of governments which had been 
forced out of the war, or of those who had only 
broken relations with Germanj'. and of certain 
states whose right to representation might be 
questioned (1.223-281). 

The plans and proposals of the United States 
and the various Allied governments concerning 
the subjects to be brought up at the Conference 
are of interest both for what they included and 
what they omitted and the extent to which the 
ideas of the United States and the principal 
Allies differed. These proposals receive ex- 
tended notice in the documents (I, 285-494). 

Several proposals for a league of nations or 
other form of international organization had 
been formulated before the meeting of the Con- 
ference. The documents here assembled illus- 
trate the attention given such proposals by the 



principal American participants prior to the 
opening of the Conference (I, 497-532). 

Of exceptional interest are the papers here 
printed relating to conditions in (iermany and 
communications received from the German 
Government in the period following the Armis- 
tice (II, 1-172). Particularly enliglitening will 
be found the report of the Dresel Mission to 
Germany during the period December 27, 1918 - 
January 5, 1919, in the course of which inter- 
views were held with important German figures 
in the fields of politics and public opinion, 
whose views were recorded in the ilission's re- 
port here printed (II, 130-172). Among the 
(tei-nian leaders whose points of view were ob- 
tained were such men as Kurt Eisner, Arch- 
bishop von Faulhaber, Erhard Auer, Count 
Montgelas, Theodor Wolff, Dr. Solf, Dr. Rath- 
enau, Ministers Ebert, Noske, Preuss and 
Scheidemann, Count Brockdorff-Eantzau, and 
others. 

A similar mission was sent to Central Europe 
under the leadership of Professor A. C. Cool- 
idge, for which headquarters were established 
at Vienna. Papers relating to the establish- 
ment of this mission and certain of its earlier 
reports are here printed (II, 218-237). 

The numerous territorial questions affecting 
the future of the new states of Central Europe 
were the subject of extended negotiations here 
amply illustrated by documents (II, 287-434). 

The problems of the Far East — China's posi- 
tion at the Conference, the question of Shan- 
tung, and the disposition of the Pacific is- 
lands — were the subject of serious considera- 
tion in the period between the Armistice and the 
opening of the Conference, as the documents 
here printed will show (II, 489-530). 

Financial questions included the building up 
of a staff of American financial experts for serv- 
ice at the Conference, the determination by the 
United States that the question of war debts 
should not be discussed at the Conference, and 
the matter of financing relief. These subjects 
aie dealt with in a number of the papers in- 
cluded in the publication (II, 533-572). 

Closely related was the question of repara- 
tion for war damages, which was to cause so 



1026 



DEPARTMENT OF STATE BTJLLETTN 



much difficuliy at the Conference and in the 
following years. Very early appeared Colonel 
House's proposal for making an estimate of the 
damage done in France and Belgium, which re- 
sulted in the creation of the War Damages 
Board. Other vie\YS of American experts and 
suggestions for dealing with the question of 
war indemnities are here revealed by documents 
(11,575-624). 

The difficulties involved in the desperate food 
situation in much of Europe at the close of the 
war are ilhistrated in other papers (II, 627- 
725). The negotiations between the United 
States and the Allies leading to the establish- 
ment of the Supreme Council of Supply and 
Relief are the subject of many of the documents. 

The question of the continuance of the 
blockade and of restrictions on trade was a 



source of difficultly throughout the period under 
review. The considerations governing the poli- 
cies followed are here illustrated by numerous 
documents (II, 729-795). 

Foreign Relations of the. United States: The 
Pans Peace Conference, 1019, volumes I and II, 
were compiled by Dr. James S. Beddie, Dr. Mor- 
rison B. GifFen, and Mr. John "W. Foley, Jr., 
under the direction of Dr. E. Wilder Spaidding, 
Chief of the Division of Research and Publica- 
tion, and Dr. Ernest R. Perkins, Chief of the 
Research Section of that Division. 

Copies of these volumes will be available 
shortly and may be obtained from the Superin- 
tendent of Documents. The price of volume I, 
Ixvi and 575 pages, is $1.25, and that of 
volume II, Ixxxiv and 812 pages, is $1.50. 



TREATIES AND OTHER INTERNATIONAL ACTS, VOLUME 7 



[Released to the press December 21] 

Advance copies of volume 7 of Treaties and 
Other International Acts of tlie United States 
of Atnerira, edited by Dr. Hunter Miller and 
published by the Department of State, were re- 
ceived by the Department on December 21 from 
the Government Printing Office. The pieccd- 
ing volume of this edition was issued in June 
1942. The present volume, containing 28 
international acts, continues the chronologically 
arranged series from January 1855 to July 1858. 

Probably the most noteworthy document in 
the volume is the Treaty of Amitj' and Com- 
merce of July 29, 1858, witli Japan. For the 
first time in United States treaty compilations 
the full text of this document is printed : the 
treaty projier and annexed I'egulations, together 
with the convention of March 19, 1859 for post- 
ponement of the exchange of i-atifications, all in 
the three languages of agreement, English. 
Japanese, and Netherlandish. The editorial 
notes include a detailed account of tlie negotia- 
tions compiled from the records of tiie Depart- 
ment of State, the published diary of Townsend 
Harris, Plenii)otentiary of the United States, 
and the Harris papers in ])ossession of the Col- 
lege of the City of New Y'ork ; an account of tlie 



first Japanese mission to the United States, in 
I860, for the purpose of exchanging the ratifi- 
cations of the treatj^, based on the archives of 
the Department supplemented by contemporary 
newspapers; a reprint of certain Japanese 
records of the negotiations which were pub- 
lished in the 1879 volume of Foivign Relations 
of the United States; and 68 pages of further 
Japanese records of the negotiations which were 
obtained in recent yeai-s and translated by Mr. 
Eugene H. Dooman, of the American Foreign 
Service. Tliis treaty was one of three signed 
by Townsend Harris in the course of his mission 
to the Far East; tlie others, which also appear 
in the present volume, are the treaty of May 29, 
1856 with Siam (Thailand), made while our 
Euvo}*- was en route to Japan, and the conven- 
tion of June 17. 1857 with Japan, the provisions 
of which, suppienienling those of Commodore 
Perrj-'s famous treatj' of 1854, were in large 
part superseded by the treaty of 1858. 

Another interesting document is tlie conven- 
tion of April 11, 1857, with Denmark, for the 
discontinuance of the tolls, Imown as the "Sound 
dues", levied b\' Denmark during a period of 
more than four centuries on all shipping be- 
tween the North Sea and the Baltic. The story 



DECEMBEIl 20, 1042 



1027 



uf the iR'^utiatioii, includinji tlip piirt played by 
tlie United States in tlie termination of those 
tolls, is related in full in the editorial notes. 

The Treaty of Friendship and Comnieree of 
December 13, 1856, with Iran (Persia), the first 
agreement between tlie United States and that 
nation to ^o into force, continued in eifect until 
19-28. The Persian version is reproduced in 
facsimile. The French version and an En;;:lish 
translation of an earlier treaty, si^ied on Octo- 
ber 9, 1851, which failed of ratification on the 
part (if Iran, ai-e printed in the editorial notes. 
Also in those notes are translations into English 
by Dr. Muhannncd A. Simsar, of Philadelphia, 
of the Iranian instrument of ratification and 
certain other relevant papers. 

A vast amount of material relating to the 
negotiation and subsequent history of the Treaty 
of Peace, Amity, and Conunerce between the 
United States and China, signed at Tientsin on 
June 18. 1858. is available in print. The present 
volume contains the two versions of the treaty 
text, English and Chinese, and editorial notes 
reviewing the negotiations and history, based 
primarily on the Department's records but with 
nmiierous citations of published sources. 

Twelve agreements in volimie 7 have not here- 
tofore been included in United States treaty col- 
lections, and most of them have not been pre- 
viously available in print. Of particular 
interest are the exchange of notes of February 
21 and June 28, 1855, with Sj^ain. for the settle- 
ment of the case of the steamer Black Warrior, 
an intrinsically unimportant affair which de- 
veloped into one of grave international concern ; 
the exchange of notes of August 3 and 7, 1855, 



with P'rance, fur the adjustment of the case of 
Patrice Dillon, Consul of France at San Fran- 
cisco, an e|)isode which iit the time evoked wide- 
spread comment and prolonged dijilomatic 
discu.ssions; the engagement imposed upon 
Thakomhau, styled "King of Fiji", under date 
of October 23, 1855, to pay certain claims which 
had been arbitrarily determined by an American 
naval officer in the sum of $45,000, tlw editorial 
notes to which comprise a survey of relations 
of the United States with Fiji from their com- 
mencement to 1870; the exchange of notes of 
June 10 and December 2G, 1857, M'ith France, for 
the settlement of the case of the brig Esmeralda, 
the earliest known instance of adjustment of a 
particular claim againat the United States by an 
agreement specifically and exclusively for that 
Ijurpose. 

Other features of the volume are a monograph 
on the "peace-and-friendship clauses" of certain 
treaties of the United States with other Ameri- 
can republics, which forms part of the editorial 
notes to the Treaty of Peace, Friendship, Com- 
merce, and Navigation of May 13, 1858, with 
Bolivia; an account of the extradition proceed- 
ings, arising from frauds on the Northei-n Rail- 
way Company of France, which the French Min- 
ister at Washington assigned as reasons for the 
conclusion of the additional article of February 
10, 1858 ; and a 17-page bibliography of the writ- 
ings cited in the volume. 

Volume 7 (xxvii, 1,170 pages) will be avail- 
able shortly. It may be obtained from the 
Su])erintendent of Docimients, Government 
Printing Office, AVashington, D. C, at a price of 
$4 a copy, including postage. 



PUBLICATIONS ISSUED DURING THE LAST QUARTER 



During the quarter beginning October 1, 1942 
the following publications have been released 
by the Department:' 

1756. Digest of Internatioiinl I,aw, by Greeu Haywood 
Hackwortli, L'.'gal Advisor of the Department of State. 
Vol. IV, chs. XII-XV. vi, iMO pp. $2.50. 



' Serial numbers which do not appear in this list have 
api)eared previously or will appear in subsequent lists. 



1708. The Territorial Papers of the United States: 
The Territory of Michigan, 1805-1S20. Vol. X. su, 
948 pp. $2 (cloth). 

1791. Treaties and Other International Acts of the 
United States of America, edited by Hunter Miller. 
Vol. 7, Documents 173-200: 1855-1858. xxviii, 1170 
pp. $4 (cloth). 

17i«;. Principles Applying to Mutual Aid in I lie Prosecu- 
tion of the War Against Aggression: I'reliminary 
Agreement Between the United States of America and 



1028 



DEPARTMENT OF STATE BULLETE* 



Poland — Signed at Washington July 1, 19-12 ; effective 
July 1, 1942. Executive Agreement Series 257. 3 pp. 
50. 

1797. Principles Applying to Mutual Aid in the Prosecu- 
tion of the War Against Aggression : Preliminary 
Agreement Between the United States of America and 
the Netherlands, and Exchange of Notes — Agreement 
signed at Washington July 8, 1042 ; effective July 8, 
1942. Executive Agreement Series 259. 6 pp. 5^. 

1798. Principles Applying to Mutual Aid in the Prosecu- 
tion of the War Against Aggression : Preliminary 
Agreement Between the United States of America and 
Greece — Signed at Wa.shington July 10, 1942 ; effec- 
tive July 10, 1942. Executive Agreement Series 260. 
3 pp. 5ft. 

1802. Detail of Military Officer To Serve As Director of 
the Polytechnic School of Guatemala : Agreement Be- 
tween the United States of America and Guatemala 
Extending the Agreement of May 27, 1941 — Effected 
by exchanges of notes signed June 9 and 22 and July 
21, 1942; effective from May 27, 1942. Executive 
Agreement Series 264. 3 pp. 50. 

1804. The Department of State Bulletin, vol. VII, no. 
169, September 19, 1942. 20 pp. 10«S.' 

1805. Principles Applying to Mutual Aid In the Prose- 
cution of the War Against Aggression : Preliminary 
Agreement Between the United States of America and 
Czechoslovakia — Signed at Washington July 11, 1942 ; 
effective July 11, 1942. Executive Agreement Series 
261. 4 pp. 50. 

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1029 



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Treaty Information 



COMMERCE 
Trade Agreement With Mexico 

On December 23, 1942 a reciprocal trade 
agreement between the United States and Mex- 
ico was signed at Washington by the Secretary 
of State of the United States, the Honorable 
Cordell Hull, and the Mexican Ambassador in 
Washington, His Excellency Sei'ior Dr. Don 
Francisco Castillo Najera. The text of the 
agreement and accompanying schedules will be 
printed in tlie Executive Agreement Series. 

An analysis of the general provisions and 
reciprocal benefits under the trade agreement 
was released to the press December 23 and will 
be issued as a supplement to this issue of the 
Bulletin. 



1030 



EDUCATION 



Pan American Institute of Geography 
And History 

Venezuela 

By a letter dated December 11, 1942 the Di- 
rector General of the Pan American Union in- 
formed the Secretary of State that on Decem- 
ber 9, 1942 His Excellency the Ambassador of 
Venezuela in the United States, Senor Dr. 
Diogenes Escalante, deposited with the Pan 
American Union the instrument of ratification 



DEPARTMENT OF STATE BtTLLETTN 

by the Government of Venezuela of the Reso- 
lution on the Establishment of the Pan Amer- 
ican Institute of Geography and History, ap- 
proved by the Sixth International Conference 
of American States, held at Habana January 
16 - February 20. 1928. 

The Government of Venezuela has consid- 
ered it necessary to ratify the above-mentioned 
resolution in view of the fact that a financial 
obligation is involved for the national treasury 
with respect to the maintenance of the Institute. 



U. S GOVERNMENT PRINTING OFFICE 1942 



For sale by the Superintendent of Documents, Washington, D. C. — Price 10 cents Sub.scriptlon price, $2.75 a year 

PUBLISHBD WEEKLY WITH THE APPROVAL OF THE DIBECTOR OP THE BCREAU OP THE DCDOBT 



I OS 



THE DEPARTMENT OF STATE 

BULLETIN 



DECEMBER 26, 1942, SUPPLEMENT 
Vol. VII, No. 183a— Publication 1861 



Trade Agreement With Mexico 



Contents ^'^' 

Analysis of general provisions and reciprocal benefits: 

I. Signature of agreement 1033 

II. Summary of agieement — 

A. Concessions obtained by the United States . 1034 

B. Concessions on imports into the United 
States 1034 

C. General provisions of the agreement . . . 1035 

III. Analysis of concessions obtamed on exports of 
United States products 1036 

IV. Analysis of individual concessions on imports 

into the United States 1043 

V. Analysis of general provisions 1057 

VI. Tables— 

A. Itemized list of tariff concessions obtained 
from Mexico (Schedule I) 1060 

B. Itemized list of tariff concessions made to 
Mexico (Schedule II) 1066 

C. Itemized hst of tariff concessions made to 
Mexico (Schedule III) 10S4 




«' t. SUPERINTENDENT OF DC 
JAN 27 1943 



NOTE 

This information lias been prepared by representatives of the Depart- 
ment of State, the Department of Agriculture, the Department of 
Coiumerc-e, the Department of the Treasury, and the Tariff Commission. 
These Government agencies, under the reciprocal-trade-agreements pro- 
gram, cooperate in the formulation, negotiation, and conclusion of all 
trade agreements entered into by the United States under the provisions 
of the Trade Agreements Act of 1934, as extended by Joint resolutions 
of Congress of March 1, 1937 and April 12, 1940. 



Trade Agreement With Mexico 

ANALYSIS OF GENERAL PROVISIONS AND RECIPROCAL BENEFITS 



[Released to the prees December 23] 

I. Signature of Agreement 

A reciprocal trade agreement between the 
United States and the Republic of Mexico, ne- 
gotiated under the authority of the Trade Agree- 
ments Act, was signed December 23, 1942 at 
Washington by the Honorable Cordell Hull, 
Secretary of State of the United States, and 
His Excellency Senor Dr. Don Francisco Cas- 
tillo Xajera, Ambassador of Mexico. The text 
of tlie agreement will be printed shortly in the 
Executive Agreement Series. 

The agreement will enter into force 30 days 
after its proclamation by the President of the 
United States and the President of Mexico, 
or, if the proclamations are not made on the 
same day, 30 days after the one later in time. 
It will remain in force for a period of 3 years 
from its effective date unless terminated 
earlier, under special circumstances, in accord- 
ance with its own provisions. If by the end 
of the 3-year period neither Govermnent has 
given 6 months' notice to the other of intention 
to terminate the agreement, it will continue in 
force thereafter subject to termination on 6 
months' notice or under special circumstances 
in accordance with its own provisions. 

The agreement is designed to facilitate trade 
between the United States and Mexico during 
the existing emergency and to provide an im- 
proved basis for expansion of that trade after 
the war. The reciprocal benefits for which it 
provides include tariff reductions and bind- 
ings of existing customs treatment on spec- 
ified products imported from the other coun- 
try, while the general provisions of the agree- 
ment include mutual assurances of non-dis- 
criminatory trade treatment. 



Total trade between the United States and 
Mexico was vahied at $251,601,000 in 1929, de- 
clined to $68,237,000 in the depression year 
1933, and rose again to $169,570,000 in 1937. 
After a recession to $111,046,000 in 1938 the 
figure increased to $139,443,000 in 1939 and, in 
part as a result of the war, to $172,721,000 in 
1940. 

From 1931 through 1940 United States ex- 
ports to Mexico were greater in value than 
merchandise imports from that country, by 
an average amount of $18,520,000 a year, al- 
though in 1932 the United States balance was 
on the import side. In 1940 United States 
exports to Mexico exceeded imports from that 
country by a value of $21,161,000. In the 
decade 1931-40 United States exports to Mex- 
ico had an annual average value of $67,005,000 
and imports from Mexico an annual average 
value of $48,485,000. In 1940 United States 
exports to Mexico were valued at $96,941,000 
and imports from that country at $75,780,000. 

United States exports to Mexico usually 
consist primarily of manufactured and proc- 
essed articles, while imports from Mexico are 
principally raw materials and crude and man- 
ufactured foodstuffs. In 1939 trade conditions 
were more nearly normal than since that year, 
when they have been affected by the war. Of 
total United States domestic exports to Mex- 
ico in that year, valued at $80,800,000, automo- 
biles, parts, and accessories accounted for $12,- 
829,000; industrial machinery, $7,330,000; 
chemicals and related products, $7,102,000; 
vegetable food products and beverages, $4,- 
332,000; wood and paper products, $3,403,000; 
textile fibers and manufactures, $3,395,000; 
aircraft and parts, $3,240,000; and inedible 
vegetable products, $2,505,000. 

1033 



1034 



DEPARTMENT OF STATE BULLETIN: DECEMBER 26, 1942, SUPPLEMENT 



Total United States merchandise imports 
from Mexico for conbumption were valued in 
1939 at $54,432,000, of which copper for smelt- 
ing, refining, and export accounted for $7,382,- 
000; bananas, for $6,310,000; cattle, $5,937,000; 
coflPee, $4,670,000; lead for smelting, refining, 
and export, $4,702,000; chicle, $3,820,000; sisal 
and henequen, $3,498,000; and crude petro- 
leum for manufacture in bond and export, 
$2,343,000. 

II. Summary of Agreement 

The United States and Mexico, in the agree- 
ment, grant reciprocal tariff concessions on 
their imports from each other. These conces- 
sions cover a substantial portion of the trade 
between the two countries and reduce barriers 
which heretofore have hampered the exchange 
of their products. The concessions take the 
various forms of reductions in specified cus- 
toms duties, bindings of certain duties against 
increase, and general assurances of nondiscrim- 
inatory trade treatment. 

A. CONCESSIONS OBTAINED BY THE UNITED STATES 

Tariff concessions obtained from Mexico 
and specified in Schedule I of the agreement 
apply to many United States agricultural and 
industrial products which are important 
among Mexican imports from this country. 
Such concessions affect 203 items in the Mexi- 
can tariff. Duties under 76 items are reduced, 
and existing customs treatment of 127 addi- 
tional items, including six which cover duty- 
free imports into Mexico, is bound in the 
agreement against changes to the disadvantage 
of United States exporters to Mexico. 

Mexican imports from the United States of 
products on which concessions have been made 
were valued in 1939 at $23,413,000,^ or 29.2 
percent of total Mexican imports from the 



' Import values employed by Mexico and used in this 
analysis are invoice values c.i.f. Mexican ports as 
stated in "Anuario Estadistico del Comercio Exterior 
de los Estados Unidos Mdxicnnoi . . ." Annual aver- 
age conversion rates for the Mexican peso were: 19.3 
cents for 1939 and 18.52 cents for 1940. 



United States in that year, which was the last 
before the war disrupted the operation of nor- 
mal trade factors. In 1939 Mexican imports 
of United States products on which duty re- 
ductions are made in the agreement, were 
valued at $11,113,000, or 13.9 percent of total 
imports into that country from the United 
States in that year. 

Mexico imported from the United States in 
1939 products on which existing customs treat- 
ment is bound, to the value of $12,300,000 or 
15.3 percent of that country's total imports 
from the United States in that year. Bindings 
of Mexican tariff rates against increase are of 
significant advantage to United States export- 
ers because in recent years many such rates 
have been considerably increased. 

Not only have Mexican customs duties been 
reduced through the agreement, or assurance 
given against their increase, but certain cus- 
toms regulations and formalities have been re- 
moved or simplified. Furthermore, the general 
provisions of the agreement bind against in- 
crease all charges in connection with importa- 
tion of scheduled articles into Mexico, including 
existing duty surtaxes of 3 percent on imports 
by freight and 10 percent on imports by parcel 
post. 

B. CONCESSIONS ON IMPORTS INTO THE 
UNITED STATES 

In the agreement the United States grants 
concessions of various kinds on specified Mexi- 
can products imported into this country. 
These concessions, set forth in Schedules II and 
III of the agreement, are given in return for 
advantages obtained for United States exports 
to Mexico. They include reductions in certain 
United States tariff rates, binding of other 
existing rates against increase and other modi- 
fications of existing customs treatment to facili- 
tate imports from Mexico. 

Tariff reductions by the United States are in 
some cases reductions from rates specified in 
the Tariff Act of 1930 and in other cases 
further reductions from rates already modified 
in previous trade agreements. The agreement 
also binds certain concessions provided for in 



TRADE AGREEMENT WVTH. MEXICO: ANALYSIS 



1035 



previous agreements. In some cases there have 
been changes in existing trade-agreement pro- 
visions for reduced-duty import quota. 

Concessions granted by the I'nited States af- 
fect certain important mineral, chemical, and 
other products now in particularly heavy do- 
maud because of the war; foodstuffs not pro- 
duced in the United States or needed to supple- 
mint domestic supplies either the year round 
or in off-seasons; and special and distinctive 
Mexican products many of which are imported 
because of their artistic quality. 

Rates of duty specified in Schedule II are to 
remain in effect throughout the life of the 
agreement unless modified or terminated earlier 
in accordance with its provisions. Those in- 
cluded in Schedule III may be modified or 
terminated by the United States, on 6 months' 
written notice to the Government of Mexico, 
at any lime after termination of the unlimited 
national emergency proclaimed by the Presi- 
dent of the United States on May 27, 1941. 
However, after the termination of the emer- 
gency, no such duty rate may be increased 
above the level in effect on the date of the sig- 
nature of the agreement. 

Concessions made by the United States in 
the agreement apply to products involving 
95 paragraphs of the Tariti" Act of 1930. Of 
these, tariff reductions affect 53 paragraphs 
and bindings of existing treatment affect 42 
paragraphs, of which 29 relate to products 
which are duty-free. 

Merchandise imports from Mexico into the 
United States for consumption totaled $54,- 
432,000 in 1939. Of these imports, dutiable 
products were valued at $14,082,000, while 
those duty-free were valued at $40,350,000 ^ or 
74.1 percent of the total. Concessions made 
by the United States in the agreement, in- 
cluding both duty reductions and bindings, 
apply to products which accounted for a value 
of $35,231,000 or 64.7 percent of the total 1939 
imports from Mexico. 



'Of the duty-free imports from Mexico, $14,427,000 
worth were accounted for by lead and copper imported 
for smelting, refining, and exiwrt and by crude petro- 
leum imported for manufacture in bond and export. 



Products on which United States tariffs are 
reduced were imported from Mexico in 1939 
to a value of $8,945,000 or 16.4 percent of the 
total imports from that country in that year. 
The reductions provided for in Scliediile II of 
the agreement apply to products which in 1939 
accounted for a value of $8,753,000 or 16.1 per- 
cent of the total imports. Rediutions pro- 
vided for in Schedule III of the agreement 
apply to commodities which in 1939 were 
valued at $192,000, or 0.3 percent of total im- 
ports from Mexico. The reductions result in 
rates of duty lower than those specified in 
the Tariff Act of 1930 or in previous trade 
agi'eements. 

Bindings of existing tariff and customs 
treatment apply to products of which 1939 im- 
ports from Mexico were valued at $26,280,000 
or 48.3 percent of the total. Of this amount, 
products now bound on the United States free 
list accounted for $22,581,000 or 41.5 percent 
of the total value of merchandise imports from 
Mexico in 1939. 

C. GENERAL PB0V7SI0N8 OF THE AGREEMENT 

The general provisions of the agreement pro- 
vide for putting into effect the tariff conces- 
sions listed in the schedules annexed to the 
agreement. They also include most-favored- 
nation provisions assuring that tariff conces- 
sions accorded by either country to any third 
coimtry will be extended immediately, to the 
other party to the agreement. The customary 
exception regarding special trade relations be- 
tween the United States and Cuba is included. 

The provisions of the agreement extend the 
principle of non-discriminatory trade treat- 
ment in general to measures of various kinds 
relating to exchange control and import re- 
strictions. The exchange-control provisions 
provide in genei-al that imports of any article 
into either country from the other shall be 
accorded, in regard to restrictions or delays 
on payments, and rates of exchange, treatment 
no less favorable than that accorded to imports 
of the like article from any third country. 
Likewise the agreement contains reciprocal 



1036 



DEPARTMENT OF STATE BULLETIN : DECEMBER 2 6, 1942, SUPPLEMENT 



assurances of non-discriminatory treatment in 
the application by either country to imports 
from the other of import quotas, prohibitions, 
and other forms of restrictions on imports. It 
provides that in general the share of either 
counti-y in any allocated quota shall be based 
upon the proportion of the total imports of 
the product subject to quota that had been 
supplied by the other country in a representa- 
tive period. 

in. Analysis of Concessions Obtained on 
Exports of United States Products 

The following paragraphs indicate the scope 
and nature of concessions obtained on exports 
of United States products to Mexico included 
in Schedule I of the agreement. 

agricultural products 

Animals and Animal Products 

Cattle — Imports of cattle for breeding, other 
than milch cows, are admitted to Mexico duty- 
free and their duty-free status is bound in the 
agreement. Such imports from the United 
States were valued at $146,000 in 1939 when 
the United States supplied 100 percent of the 
total, and at $140,000 in 1940. 

Lard — Under the agreement the customs 
tariff rates on imports of hog lard into Mexico 
from the United States are reduced by 22 per- 
cent. Such imports have recently increased 
and in 1940 were valued at $1,042,000, as com- 
pared with imports from all other sources 
valued at less than $4,000. Mexico is one of 
the principal Latin-American markets for 
United States lard. In 1939 Mexican imports 
of lard from the United States, valued at 
$563,000, made up practically all of the 
imports. 

Steanc Acids — The duty on imports of 
stearic acids in cakes is bound in the agree- 
ment. In both 1939 and 1940 the United 
States was the principal supplier, the United 
States' share amounting to $60,000 and $96,000 
in the respective years. 

Tanned Hides — The Mexican duty on tanned 
hides, which covers most imports of rough and 



finished leather, is bound against increase. 
These leathers are an important Mexican import 
from the United States, valued at about $478,000 
in 1939 and $477,000 in 1940. The United 
States is an important supplier. 

Meat Products — The Mexican duties on im- 
ports of meat sausages, cooked and uncooked 
ham, bacon, canned meats not specifically pro- 
vided for, and canned meat foods (including 
those containing vegetables), are bound at the 
existing rates. In this category, ham is the item 
of principal importance to United States export- 
ers. Imports of the above items from the 
United States were valued at $89,000 in 1939 
and $113,000 in 1940. In 1939, 53 percent of 
total imports came from the United States. 

Dairy and Poultry Products — The duties on 
fresh eggs, butter, and evaporated milk are 
bound. The rates on milk in powder or pas- 
tilles are reduced by 25 percent. Imports by 
Mexico of butter and evaporated and pow- 
dered milk from the United States were valued 
at $94,000 in 1939 and $99,000 in 1940. 

The agreement provides for a separate cus- 
toms classification for cheddar cheese and the 
duty is bound. In 1940 the United States suc- 
ceeded the Netherlands as the principal sup- 
plier of cheese of all kinds imported into 
Mexico, but furnished only 15 percent in 1939. 
Most of the cheese exported to Mexico by the 
United States is cheddar. Imports of cheeses 
of all types into that country from the United 
States "were valued at $24,000 in 1939 and 
$51,000 in 1940. 

Grains and Grain Products 

Wheat and Wheat Flowr — The Mexican duty 
on wheat is reduced by 40 percent and that on 
wheat flour is bound. The United States sup- 
plies practically all such imports into Mexico. 
Imports, which fluctuate widely depending 
upon Mexican production, were valued at 
$1,324,000 in 1939 and dropped to about $57,000 
in 1940. When required by reason of domestic 
shortages, the Mexican Government subsidizes 
imports of wheat. 

Barley Grain and Malt — The duty on barley 
in the grain is reduced by 20 percent. Im- 



TRADE AGREEMENT WTTH MEXICO: ANALYSIS 



1037 



ports from the United States were valued at 
$130,000 in 1939 and at $10(),000 in 1940. 
Moxico ordinarily imports, on the average, 
ahout 6 percent of its total requirements of 
barley, although the figure fluctuates with 
domestic production. Formerly nearly all im- 
ports came from the United States but in re- 
cent years Cuniula also has become an im- 
portant supplier. 

On imports of barley malt the duty is bound, 
liiiports from the United States were valued 
at $208,000 in 1939 and $334,000 in 1940. Mex- 
ici> normally produces 60 percent of its require- 
ments. 

Vi aetables and Vegetable Products 

Tlie Mexican rate of duty on canned vege- 
table foods not specificallj' provided for (ex- 
cluding canned vegetable juices and soups) is 
reduced by 20 percent. In 1939 the United 
States supplied 86 percent of total Mexican 
imports. On canned tomatoes and tomato 
sauce the duties are bound. On canned as- 
paragus, the principal United States canned 
vegetable export to Mexico, the duty is reduced 
bj' 20 percent, and the duty on onions is re- 
duced by 33 percent. Mexican imports from 
the United States of these food items were 
valued at $105,000 in 1939 and $91,000 in 1940. 

Cocoa butter constituted the largest single item 
among Mexican imports of vegetables and 
vegetable products from the United States in 
1939 and 1940. Imports from the United 
States were valued at $78,000 and $118,000 in 
the two years, respectively. The duty on this 
item is bound at the existing rate. 

Fruits and Nuts 

Fresh Fruits — The duty on apples is re- 
duced by 14 percent and those on pears, grapes, 
plums, peaches, and fresh fruits not specifically 
provided for are reduced by 29 percent. Im- 
ports of apples and grapes from the United 
States — the two principal items in this cate- 
gory—were valued at $109,000 in 1939 and 
$140,000 in 1940. The United States is the 
only foreign supplier of these fruits. 

Dried and Canned Fruits — The duty on 
prunes is reduced by 50 percent, that on raisins 



by 38 percent, and that on sliced dried fruits 
by 75 percent. Imports of these products from 
the I'nited Slates were valued at $86,000 in 
1939 and $75,000 in 1940. 

The rate of duty on canned fruits in syrups 
or in their juices is bound. 

Walnuts — Heretofore, practically all vari- 
eties of nuts have been dutiable at the same 
rates. Under the agreement, separate tariff 
classifications are established for shelled wal- 
nuts and for unshelled walnuts, on which the 
duties are reduced by 20 percent and 25 per- 
cent respectively. 

Tohacco 

The Mexican duty on Virginia-type raw to- 
bacco is reduced by 13 percent, and the duties 
on other raw tobacco (filler) and on cigarettes 
are bound. The United States supplies all or 
nearly all of the imports under the three class- 
ifications. Mexican imports from the United 
States under these items were valued at $75,- 
000 in 1939 and $86,000 in 1940. Imports or- 
dinarily average less than 1 percent of domes- 
tic production in Mexico. 

Other Agricultural Products 

The duty on cottonseed is reduced by 25 per- 
cent. The United States has been the sole 
supplier of these imports, which were valued 
at $121,000 in 1939 and $93,000 in 1940. Or- 
dinarily only about 1 percent of Mexican re- 
quirements are imported. 

The rate of duty on hops is reduced by 29 
percent. In 1939 Mexican imports from the 
United States were valued at $297,000, or 78 
percent of the total. 

The rate of duty on unhulled oats is bound 
against increase and that on hulled oats, in- 
cluding oatmeal, is reduced by one third. On 
cereal foods ready to be eaten, the duty is re- 
duced by 19 percent. 

The duty on hydrogenated animal fats is 
reduced by 22 percent. 

BEVERAGES 

The existing duty on extracts for making 
soft drinks is bound. Imports of these products 



1038 



DEPARTMENT OF STATE BULLETIX : DECEMBER 2 6, 1 942, SUPPLEMENT 



into Mexico from the United States in 1939 
were valued at $199,000 which represented 99 
percent of total imports. In 1940 imports 
from the United States were $432,000. The 
duty on extracts for making wines and liquors 
is also bound. The existing duties on bourbon 
and rye whiskies are reduced by percentages 
ranging from 45 to 55 percent, depending on 
alcoholic strength and the kind of containers 
in which these beverages are imported. Hei'e- 
tofore the United States has supplied only a 
small percentage of total Mexican imports of 
whisky. The duties on white, red, and full- 
bodied wines are bound at the present rates, 
and the Mexican tariff classifications applying 
to these wines are modified so as to reduce the 
duties on certain types of United States wines. 

On fruit juices, including grape juice, and 
on fruit essences and synthetic products not 
containing alcohol, the rates of duty are bound 
against increase. Mexican imports of fruit 
juices and related products from the United 
States were valued at $59,000 in 1939 and at 
$95,000 in 1940, with the United States supply- 
ing from 55 percent to 100 percent of total im- 
ports of different types in 1940. 

CANNED FISH 

The existing duties on canned salmon and 
canned sardines are bound against increase. 

INDUSTRIAL PRODUCTS 

Motor Vehicles, Parts, and Accessories 

Mexican imports of automotive vehicles 
(assembled), parts, and accessories from the 
United States were valued at $6,632,000 in 1939 
and at $6,988,000 in 1940. In most years Mex- 
ico is one of the important foreign markets 
for United States automobiles. 

Passenger Autoinohiles. — The duty on auto- 
mobiles is 250 pesos each on the smaller types 
and 700 pesos each on types with more than 
four but not over eight cylinders and having 
a capacity of up to nine passengers. The duty 
on automobiles with more than eight cylinders 
and for any number of passengers is 2,000 



pesos each. These rates are bound in the 
agreement. 

Almost all Mexican imports of passenger 
cars, except the smaller types with not more 
than four cylinders, came from the United 
States in 1939, as did 77 percent of the smaller 
cars. 

Mexican imports of assembled passenger 
automobiles from the United States were val- 
ued at $3,066,000 in 1939 and at $3,592,000 in 
1940. 

Trucks, Busses, and Tractors. — The duties 
on trucks are 100 pesos each on those with not 
more than four cylinders and 300 pesos each 
on those exceeding four cylinders, which rates 
are bound in the agreement. 

The duty on busses is reduced by 20 percent 
to 1600 pesos each, and that on tractors of all 
kinds is reduced by 33 percent. By far the 
larger proportion of Mexican imports of 
trucks, busses, and tractors in 1939 were from 
the United States. The value of assembled 
truck imports was $1,134,000 in 1939 and $892,- 
000 in 1940; that of assembled busses was $24,- 
000 in 1939 and $22,000 in 1940; that of trac- 
tors was $498,000 in 1939 and $675,000 in 1940. 

Chassis and Parts. — The Mexican duty on 
automobile chassis of more than four cylinders, 
not specified, is bound at 100 pesos each. Mex- 
ican imports of assembled chassis in 1939 were 
valued at $463,000 and in 1940 at $279,000, 
with the United States supplying 99 percent 
in 1939. Kepair parts for automobile chassis 
and bodies under two general items of the 
Mexican tariff are accorded a 50-percent reduc- 
tion in existing rates. The rate on automobile 
motors and their parts and repair pieces is 
reduced by 33 percent. 

Pneumatic rubber tires weighing up to 10 
kilograms each are accorded a duty-reduction 
of 20 percent. The duty on tires weighing over 
10 kilograms each is bound. The duty on tires 
for tractors and agricultural equipment is re- 
duced by 40 percent. The rate on wheels 
equipped with pneumatic tires is reduced by 
20 percent and that on wheels not so equipped 
by 25 percent. 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1039 



Concessions on chassis, parts, and accessories 
affect items of which Mexican imports from 
the United States were vahied at $1,910,000 in 
1939 and at $1,807,000 in 1940. Except in the 
case of one small item the United States sup- 
jilied 87 percent or more of those articles in 
1939. 

Machinery and AppViances 

Mexican tariff rates (in two peneriil items cov- 
erinj; both lij^ht ami heavy machinery are re- 
lUiced by 50 percent. The two classifications 
cover important types of machinery for use in 
mmes, quarries, oil wells and refineries, and 
sugar refineries. Imports from the. United 
States into Mexico of macliiiierv coveied by the 
two items were valued at $1,510,000 in 1939 and 
at $1,895,000 in 1940. They represented well 
over 70 percent of total Mexican imports of 
such machinery in 1939. 

The present rates of duty on rubber belting 
for machinery and on packing for machinery 
are bound against increase. Imports into 
Mexico of rubber belting from the United 
States were valued at $135,000 in 1939 and at 
$136,000 in 1940. In 1939 they made up 72 
percent of total Mexican imports of such belt- 
ing. Imports into Mexico from the United 
States of packing for machinery were valued 
at $140,000 in 1939 and at $168,000 in 1940. 
In 1939 they constituted 93 percent of total 
Mexican imports of this product. Duties on 
spark plugs and pistons for combustion motors 
are reduced by 50 percent and by 10 percent, 
respectively. Mexican imports of these two 
items from the United States were valued at 
$155,000 in 1939 and $154,000 in 1940. 

Existing Mexican duties on threshing ma- 
chines of all kinds are reduced by 50 percent. 
Mexican imports of such machines from the 
United States were valued at $229,000 in 1939 
and at $153,000 in 1940. In the former year 
they constituted total imports. 

The existing duty on sewing machines oper- 
ated by pedals or cranks is reduced by 50 per- 
cent. Mexican imports of such machines from 
the United States were valued at $416,000 in 

503036 — 43 2 



1939 and at $635,000 in 1940. In the former 
year they maile up 78 percent of total Mexican 
imports. 

Office Apfliances — Tlie duties on calculating 
machines and duplicating machines are reduced 
by 50 ix'rcent and on casli registers, by 33 per- 
cent. The rate on typewriters is bound against 
increase. Mexican imports of tlicse appliances 
were valued at $714,000 in 1939 and at $841,000 
in 1940. In the former year the United States 
supplied, of total imports, 96 percent of the 
cash registers, 75 percent of the calculating 
machines, 79 percent of the duplicating ma- 
chines, and 76 percent of the typewriters. 

Electrical Equipment and Apparattts 

Radio Appa/'afius — Tariff rates on radios and 
on combination radios and phonographs are 
roduccxl bj' 17 percent and the rates on tubes 
and on radio jjarts by 40 percent and 50 per- 
cent, respectively. Since 1929 United States 
exports of radio equipment to Mexico have been 
an important item of trade and have supplied 
the major portion of the demand in that coun- 
try. Imports of radio e^quipment from the 
United States into Mexico were valued at 
$1,482,000 in 1939 and at $1,765,000 in 1940. In 
1939 the United States supplied more than 80 
percent, in each case, of total Mexican imports 
of radios, combination radios and phonographs, 
radio tubes, and radio parts. 

Passenger Elei^ators and Equipment — Exist- 
ing Mexican duties on passenger elevators and 
equipment for operating them are reduced by 
07 percent. Mexican imports of such appa- 
ratus from the United States were valued at 
$49,000 in 1939 and at $135,000 in 1940. In 
1939 the United States supplied 93 percent of 
all such imports. 

Other Electrical Equipment — The existing 
duty on electric fans and ventilators weighing 
up to 20 kilograms each is reduced by 38 per- 
cent, and that on electric lamps, lanterns, and 
beacons and on reflectors, shades, and stands 
therefor is reduced by 17 percent. Duties on 
electric irons, stoves, and diy cells, and on 
fluorescent lamps, are bound against increase. 



1040 



DEPARTMENT OF STATE BULLETIN : DECEMBER 2 6, 1942, SUPPLEMENT 



Mexican imports from tlie United States of ar- 
ticles under these classifications were valued at 
$157,000 in 1939 and at $203,000 in 19-10. In 
the former year the United States supplied 
from 53 percent to 99 percent of the articles 
enumerated in these tariff items. 

Textiles and Textile Manufactures 

Cotton Textiles and Manufactures — ^Mexican 
imports of cotton tire fabric from the United 
States were valued at $593,000 in 1939 and at 
$486,000 in 1940. The duty on this fabric is 
reduced by 25 percent. 

The rates of duty on cotton cloth, oiled, 
waxed, or prepared with pyroxylin, are bomid 
in the agreement. Imitation leather is the 
most important single product in this group. 
Mexican imports fi-om the United States under 
this classification were valued at $121,000 in 
1939 and at $136,000 in 1940. In 1939 they 
represented 86 percent of the total. 

Eates of duty on cotton cloth, not of plain 
•weave, under two tariff classifications differ- 
entiated by the weight of the cloth are bound 
against increase. Mexican imports of cloth, 
under these two classifications come almost en- 
tirely from the United States, from which im- 
ports were valued at $93,000 in 1939 and $221,- 
000 in 1940. 

On imports of cotton velvet and cotton 
corduroy, Mexican tariff rates are bound, as 
are the rates on men's and boys' cotton under- 
wear and shirts and on ready-to-wear apparel 
of cotton cloth of plain or fancy weave. Mexi- 
can imports of the above products are supplied 
largely by the United States and such imports 
from this country were valued in 1939 at $161,- 
000 and in 1940 at $224,000. 

The cotton-textile industry is one of the 
oldest and most highly developed in Mexico. 
In 1939 there were 175 factories manufactur- 
ing cotton textiles, which number increased to 
194 in 1940. The principal items of cotton 
manufactui'e are percales, colored cloth, white 
fabrics, flannels, and quilts and comforts. 

Wool and Other Textiles — Mexico is the 
principal export market for United Stat«s 



wool carpets, taking almost half of the total 
exports from this country. Imports of such 
carpets into Mexico from the United States 
in 1939 were valued at $132,000 and in 1940 
at $182,000. Present duties on two classifica- 
tions are bound. The Mexican rate of duty on 
wool velvet weighing more than 400 grams per 
square meter is reduced by 10 percent. 

Duties on ready-to-wear apparel of wool or 
other animal fibers, except silk, under three 
different tariff classifications are bound against 
increase. The United States supplied the bulk 
of Mexican imports under these classifications 
in 1939 when such imports from this country 
were valued at $60,000. The rates on knit 
hosiery and socks of silk or of a mixture of 
silk and other fibers are also bound. On li- 
noleum the existing duty is reduced by 50 per- 
cent. Imports of linoleum from the United 
States were valued at $34,000 in 1939 and at 
$66,000 in 1940. In 1939 the United Statea 
supplied 70 percent of the total. 

Non-Metallic Minerals and Manufactures 
Th&reof 

Petroleum Products — A binding of the 
Mexican duties on mineral wax and paraffin 
applies to imports from the United States 
valued at $683,000 in 1939 and $960,000 in 1940. 
In both years the United States supplied al- 
most all mineral wax and paraffin imported 
into Mexico. 

Existing rates of duty on three classifications 
of lubricating greases are bound against in- 
crease. Under these duties the United States 
has supplied a very large proportion of total 
Mexican imports of these products. Imports 
from the United States were valued at $125,000 
in 1939 and $170,000 in 1940. 

Refractory Clay, Related Products, and Ce- 
ment — The United States supplied almost all 
refractory clay and refractory brick and tile 
imported into Mexico in 1939. Such imports 
from the United States were valued at $364,- 
000 in 1939 and $401,000 in 1940. Mexican 
duties on these products are bound. Kates on 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1041 



bathroom fixtures of clay, china, and porcelain, 
are also bound against increase. Mexican 
imports of these products from the United 
States were valued at $1^24.000 in 1939 and 
$288,000 in 1940. Mexican imports from the 
United States of cement were vahied at $17,000 
in 1939 and $40,000 in 1940, and the Mexican 
duties on cement and on faience ware are 
bound. 

Glassware — Imports from the United States 
of flat glass, mostly plate glass, were valued 
at $139,000 in 1939 and at $190,000 in 1940. 
The duty on such glass is bound, as are those 
on two other classifications covering higher- 
priced glass articles. Mexico has an extensive 
glass industry which supplies the less expen- 
sive types. 

MLsceJlanemis — The Mexican duty on sul- 
phur is bound. Mexican inipoils from tlie 
United States of sulphur were vahied at $131,- 
000 in 1939 and at $119,000 in 1940. In 1939 
they comprised 99 peixent of the total. Nat- 
ural or artificial gas, other than acetylene, for 
fuel or lighting, when imported in cylinders, 
drums, or tank cars, is bound on the free list. 

Metals and Metal Manufactures 

Refrigerators — The duty on automatic 
household refrigerators weighing up to 200 
kilograms each is reduced by 20 percent and 
that on refrigerators weighing more than 200 
kilograms each, by 22 percent. Imports of 
this t)"pe of refrigerator into Mexico from the 
United States were valued at $426,000 in 1939 
and at $666,000 in 1940. Sales of refrigera- 
tors in Mexico have been increasing, and it is 
estimated that more than 25,000 units are now 
in use in that country. 

Phonographs — Mexican tariff rates on 
phonographic apparatus of all kinds are re- 
duced by 17 percent. Coin-operated phono- 
graphs make up the largest item in Mexican 
imports of this kind from the United States. 
In 1939 this country supplied 94 percent of 
the phonographs imported into Mexico. The 
duty on phonograph parts is reduced by 50 
percent, and phonograph records are bound 



duty-free. Mexican imports of phonographs, 
parts, and records from the United States 
were valued at $370,000 in 1939 and at $389,000 
in 1940. In 1939 the United States supplied 
the largest share of such imports. 

M Iscellaucous Manufactures — The Mexican 
duty on iron and steel barbed wire was re- 
duced on April 4, 1942, from 5 centavos per 
legal kilogram to y, centavo per gross kilo- 
gram, which rate is bound in the agreement. 
Mexican imports from the United States of 
barbed wire were valued at $318,000 in 1939 
and at $353,(100 in 1940. In 1939 the United 
States supplied 72 percent of the total. Rates 
on iron bathroom fixtures in two tariff classi- 
fications are reduced by 17 percent, and that 
covering non-electric stoves and heaters, 
weighing more than 40 but not more than 150 
kilograms each, is reduced by 33 percent. The 
duty on razor blades is reduced by 8 percent. 

Copper tubing and iron or steel cylinders 
for containing gas for fuel or lighting are 
bound duty-free, and the rates on iron and 
steel furniture and on certain sizes of iron and 
steel screws and rivets are bound against in- 
crease. 

Mexican imports of the articles enumerated 
above (excluding barbed wire) were valued at 
$325,000 in 1939 and $475,000 in 1940. 

Chemicals, Paints, and Related Products 

Pharmaceuticcd Specialties and Chemicals — 
Existing duties on medicinal pills and tablets 
and on pharmaceutical specialties are bomid 
against increase. The duty on cosmetics is re- 
duced by 7 percent. Existing duties on bicar- 
bonate of sodium and of potassium are reduced 
by 43 percent. Mexican imports of the fore- 
going products were valued at $524,000 in 1939 
and at $627,000 in 1940. 

The agreement also includes a provision 
against Mexico's requiring any certification or 
other formality for the importation, registra- 
tion, licensing or sale of pharmaceutical spe- 
cialties and patent medicines which cannot be 
fulfilled in the United States because of the 
lack of a duly authorized Federal Agency. 



1042 



DEPARTMENT OF STATE BULLETIN: DECEMBER 2 6, 1942, SUPPLEMENT 



Paints, Varnishes, and Plasties — Rates of 
duty on prepared varnishes and paints are 
bound against increase. The duty on mixtures 
of alcohols and ethers to be used as ingi'edi- 
ents of paints and varnishes is reduced by 40 
percent. The Mexican imports from the 
United States of products affected by the above 
concessions were valued at $403,000 in 1939 and 
$477,000 in 1940. The duties on prepared floor 
■wax and on polishes and stains for shoes and 
leather are bound at the present rates. 

The rates of duty applicable to four tariff 
classifications covering articles manufactured 
from plastics are bound, as are those on cer- 
tain plastic sheets, rods, and tubes imported 
for further manufacture. 

MISCELLANEOUS MANUFACTURES 

The duty on two types of shoes is bound 
against increase, as is the rate on woven-fabric 
pocketbooks and writing or brief cases oiled, 
rubberized, or waxed. The rate on tire-repair 
kits is reduced by 38 percent and that on fire 
extinguishers with up to six spare charges, by 
50 percent. On printed, engraved, or litho- 
graphed calendars, catalogs, and advertise- 
ments, on loose sheets, the rates are bound 
against increase. 

Motion Pictures and Photographic Apparatus 

The existing rate of duty on motion-picture 
sound films is 20.00 pesos per legal kilogram 
in respect of imports not in excess of 100,000 
meters in any calendar year and 40.00 pesos per 
legal kilogram on imports in excess of that 
quantity. Under the agreement the limita- 
tion on the quantity which may enter at the 
lower rate of duty is removed. Provision is 
also included which will permit the temporary 
entry of films under bond for preliminary 
sliowing and censorship without payment of 
duty if the films are reexported within 30 days 
without public showing. 

The value of Mexican imports from the 
United States of motion-picture films under 



the above tariff classification was $259,000 in 
1939 and $281,000 in 1940. 

The duty on unexposed photographic film, 
excluding unexposed motion-picture film, is 
bound at the present rate. Mexican imports 
from the United States of such film were val- 
ued at $157,000 in 1939 and $226,000 in 1940. 
In 1939 they accounted for 71 percent of total 
Mexican imports. 

Rates on cinematographic apparatus and 
magic lanterns are reduced by percentages 
ranging from 17 percent to 50 percent, depend- 
ing upon the weight of the unit. Mexican im- 
ports from the United States of such apparatus 
were valued at $107,000 in 1939 and $121,000 
in 1940. 

FOREST PRODUCTS 

Lumier 

The duties on construction lumber of pine 
and spruce and of ordinary wood not specified, 
classified under three Mexican tariff items, are 
bound at existing rates. Imports into Mexico 
from the United States of lumber under these 
classifications were valued at $301,000 in 1939 
and at $305,000 in 1940. 

The duties on fiber insulating boards and 
wall boards, plywood, creosoted wooden ties, 
wooden posts, and logs of ordinary wood are 
bound at existing rates. The rate on tongued 
and grooved or overlapped boards of ordinary 
wood is also bovmd against increase. Mexican 
imports of Unite-d States lumber under the 
above categories were valued at $271,000 in 
1939 and $348,000 in 1940. In the former year 
they constituted almost all of such imports ex- 
cept for plywood from Japan. 

Wood Furniture 

On wood furniture covered by four Mexican 
tariff classifications, important to United 
States producers, the existing rates are bound. 
Imports of such furniture into Mexico from the 
United States were valued at $158,000 in 1939 
and $281,000 in 1940. In 1939 they made up 
more than 92 percent of the total. Mexico 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1043 



ranks se<"ond to Canada as an export market 
for United States furniture. 

Paper and Paper Products 

The existing rates of duty on certain types 
of paper of tlie natural color of the pulp, and 
those on sanitary paper, paper towels, and 
cleansing tissues, are bound. Mexican imports 
of these products from the United States were 
valued at $368,000 in 1939 and at $431,000 in 
1940. 

IV. Analysis or Indhtdual Concessions on 
Imports Into the UNrrEo States 

The following section gives information 
with regard to products imported from Mexico 
on which the United States makes concessions 
included in Schedules II and III of the trade 
agreement. 

SCHEDULE n rTEMS OF WHICH TOTAL UNITED STATES 
DUTIABLE IMPORTS IN 1939 WERE VALUED AT 
MORE THAN $50,000 

Details regarding trade in and supplies of 
dutiable products on which the United States 
grants concessions and of which United States 
imports, from all countries, were valued in 
1939 at more than $500,000 are printed below. 
The numbers in parentheses refer to para- 
graphs in the United States Tariff Act of 1930. 

Zinc oxide and leaded zinc oxides containing 
not more than 25 per centum of lead {par. 
77) 

Under the Tariff Act of 1930, imports of 
zinc osdde and leaded zinc oxides are dutiable at 
134 cents a pound if in the form of dry pow- 
der and at 214 cents per pound if ground in 
or mixed with oil or water. Under the agree- 
ment with Mexico the duty is ly^o cents on 
imports in the form of dry powder and I14 
cents on imports ground in or mixed with oil 
or water. In 1939 the ad valorem equivalent of 
the duty was 39 percent on zinc oxide in the 
form of dry powder and 26 percent on that 
ground in or mixed with oil or water. 



Imports amounted to 3,000,000 pounds in 
1039 but declined in 1940 to less than (;50.000 
pounds. Production in the United States has 
ranged from 175.000.000 to 440,000,000 pounds 
II year and annual exports from tiiis country 
are several times greater than imports. 

Turpentine, gum and spirits of, and rosin 
{par. 90) 

In the agreement with Mexico the duty on 
gum and spirits of turpentine and on rosin 
is reduced from 5 percent ad valorem to 2^^ 
percent. Imports in 1940 (nearly all from 
Mexico) were approximately 1,000,000 pounds 
of rosin and 800,000 gallons of turpentine, 
compared with an annual average United 
States production of about 1,000,000,000 
pounds of rosin and 30,000,000 gallons of tur- 
pentine. Roughly 30 percent of domestic 
production is ordinarily exported. 

Vanilla leans {par. 92) 

Under the Tariff Act of 1930 the duty on 
vanilla beans was 30 cents a pound. It was 
reduced to 15 cents a pound in the trade agi-ee- 
ment with France, effective June 15, 1936. 
The reduced rate is now bound in the agi'ee- 
ment with Mexico. In 1939 the ad valorem 
equivalent of the 15-cent duty was 4 percent. 
Imports amount to approximately 1,000,000 
pounds a year, valued at from $3,000,000 to 
$5,000,000. 

Fhwrspar {par. 207) 

In the Tariff Act of 1930, fluorspar contain- 
ing more than 97 percent of calcium fluoride 
was dutiable at $5.60 per long ton and that 
containing 97 percent or less, at $8.40 per long 
ton. In the trade agreement with the United 
Kingdom, effective January 1, 1939, the duty 
on the higher-grade fluorspar was reduced by 
25 percent to $4.20 per ton. In the agreement 
with Mexico the duty on the lower grade is 
proportionately reduced to $6.30 per ton, and 
the rate of $4.20 per ton on the higher grade 
is bound against increase. In 1939 the duties 



1044 



DEPARTMENT OF STATE BULLETIN: DECEMBER 26, 1942, SUPPLEMENT 



of $4.20 and $8.40 per long ton were equivalent 
to 16 percent and 100 percent ad valorem, 
respectively. 

Imports containing not more than 97 percent 
of calcium fluoride now consist entirely of 
metallurgical spar, although small amounts of 
the ceramic grade formerly were included. 
Spar of the metallurgical grade is practically 
all used by the steel industry. Imports con- 
taining more than 97 percent calcium fluoride 
consist predominantly of acid-grade spar used 
in production of aluminum. 

In 1937 imports of fluorspar amounted to 
37,000 short tons, principally metallurgical 
spar, and supplied about 17 percent of United 
States consumption. Although Unitecl States 
requirements had greatly increased, imports 
had declined to 12,000 tons in 1940 and in the 
first 9 months of 1941 - totaled only 7,000 tons, 
of which 4,000 tons were from Mexico. Al- 
though imports from Mexico were at first of 
the acid grade, that country is a larger poten- 
tial source of metallurgical than of acid spar. 

Graphite or fhwmbago, ci-ude or re-fined: 
amorfhous {par. 213) 

The duty on amorphous graphite was re- 
duced from 10 percent ad valorem to 5 percent 
in the trade agreement with the United King- 
dom. The reduced rate is bound in the agree- 
ment with Mexico. Imports during 1940 to- 
taled 48,000,000 pounds. 

Onyx, in block, rough or squared onh, {par. 
232a) 

The duty on onyx was 65 cents per cubic 
foot under the Tariff Act of 1930 and was re- 
duced to 321/2 cents per cubic foot in the trade 
agreement with Argentina. This rate is now 
bound in the agreement with Mexico. The ad 
valorem equivalent of the 65-cent duty was 11 
percent in 1939, in which year imports were 



' For reasons of niilitary st'curity, export and im- 
port statistics for periods after September 1941 are 
held confidential, 



valued at $102,000. There is no recorded pro- 
duction of onyx in the United States. 

Lead {pars. 391 and 392) 

The existing duties on lead are II/2 cents per 
pound on lead content for ores, matte, and flue 
dust, and 2^^ cents per pound for lead in bullion, 
pigs, dross, and other forms. These rates are 
reduced by 50 percent in the agreement with 
Mexico, to 34 cent per pound and IVie cents 
per pound, respectively, for the period ending 
30 days after termination of the national emer- 
gency proclaimed May 27, 1941. Thereafter 
the rates will be IV5 cents per pound on ores, 
matte, and flue dust, and l%o cents per pound 
on lead in other forms. 

In 1939 the li/s-cent duty on ores, matte, and 
flue dust was equivalent to 35 percent ad val- 
orem and the 2y8-cent duty was equivalent to 
115 percent on pigs and bars and 45 percent 
for bullion and base bullion. From 1933 
througli 1938 imports averaged 23,000 short 
tons of lead a year. Nearly half of the total 
entered free in bond for smelting, refining, and 
reexport, and most of the remainder was used 
in manufactures subsequently exported with a 
refund of the duty. Virtually all United 
States requirements, amounting to from 260,000 
to 440,000 short tons a year, were met from 
domestic supplies. 

Since the beginning of 1939 United States 
production and imports of lead have both in- 
creased. The increase in imports has been 
much greater than that in domestic production. 
For the first time, imports now supply a sub- 
stantial proportion of domestic consumption. 
In 1941 domestic production was 473,000 tons 
and imports during the first 9 months of the 
year were 310,000 tons, of which only 18,000 
tons were offset by exports. The uses of lead 
are now restricted by the Government. A base 
maximum price of eVo cents a pound has been 
established by the Office of Price Administra- 
tion with a premium price of 91,4 cents a pound 
for over-quota production paid by the Metals 
Resei-ve Company to domestic producers. 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1045 



Undertakings to increase production have been 
entered into by the Metals Reserve Company 
with foreifin as well as doniestie lead prodncers. 
Much of the available foreign supply is im- 
ported free of duty for Government account. 

Zinc (pars. 393 and 394) 

In the agreement with Mexico the rates on 
all zinc covered by paragraphs 393 and 394 of 
the Tariff Act of 1930 are reduced, for the 
period ending 30 days after termination of 
the national emergency proclaimed May 27, 
1941, to 50 percent of the rates specified in the 
Tariff Act of 1930. The resulting duties for 
the emergency period are: % cent per pound 
on zinc in ore and scrap ; % cent per pound on 
zinc in blocks, pigs, or slabs and on zinc dust ; 
1 cent per pound on zinc sheets (li/g cents per 
pound if plated). Thereafter the rates in ef- 
fect before conclusion of the Mexican agree- 
ment will be restored and bound against 
increase. 

Imports are chiefly of zinc in ore and in 
slabs, on which two forms the duties were 
equivalent in 1939 to 62 percent and 46 per- 
cent ad valorem, respectively. 

Before 1935 United States exports of zinc 
exceeded imports. A great part of the imports 
has alwa,vs been of ores free in bond for smelt- 
ing and reexports, and of ores or slabs used in 
manufacture of exported articles on which a 
tariff drawback was allowed. In 1938 imports 
amounted to 13,400 short tons and domestic 
production to 436,000 tons. Both have since 
increased progressively until in the first 9 
months of 1941 imports totaled 161,800 tons 
and domestic production for the entire year 
was 659,000 tons. Nevertheless, supplies are 
not equal to present requirements. Metallic 
zinc has been under complete allocation control 
by the War Production Board since June 1942. 
After several increases the price of zinc, which 
had averaged 5.11 cents a pound in 1939, was 
officially fixed in January 1942 at a maximum 
of 8.25 cents a pound. A premium price of 



11 cents a pound for over-quota production is 
paid by the Metals Reserve Company to domes- 
tic producers. Undertakings to increase pro- 
duction have been entered into with foreign as 
well as domestic producers. A large propor- 
tion of tlu> imports now enter this country duty- 
free for Goveriunent account. 

Sawed lumber and timber not specifically pro- 
vided for: pine {par. Jfil) 

Under the agreement with Canada, imports 
of pine lumber were dutiable at reduced rates 
of 50 cents a thousand board feet, plus a tax 
of $1.50 a thousand board feet on pine lumber 
other than nortliern white and Norway pine. 
Ihese rates are bound against increase in the 
agreement with Mexico. In 1939 the duty on 
nortliern white and Norway pine lumber was 
equivalent to 2 percent ad valorem and the 
combined duty and tax on other pine lumber 
were equivalent to 8 percent ad valorem. 

Imports in 1940 amounted to 128,000,000 
board feet, mostlj' from Canada. Imports 
from Mexico totaled 5,000,000 board feet, prin- 
cipally Pondorosa pine. United States pro- 
duction of pine lumber averages 12 billion 
board feet a year, and more than 250,000.000 
board feet per year are ordinarily exported. 

Cattle {except dairy cows) {par. 701) 

Under the Tariff Act of 1930 duties on beef 
cattle were 2yo cents a pound on cattle weigh- 
ing less than 700 pounds and 3 cents a pound 
on those weighing 700 pounds or more. As a 
result of successive changes under the two 
trade agreements with Canada, the duty on 
calves weighing less than 200 pounds each and 
that on cattle weighing 700 pounds or more 
were reduced to li/^ cents a pound. Imports 
of calves at the reduced rate were limited to an 
annual quota of 100,000 head and imports of 
heavy cattle at the reduced rate to a quota 
of 225,000 head. Imports in excess of these 
quotas entered at the 1930 rates of duty. Light 
feeder-stock cattle weighing 200 pounds or 



1046 



DEPAETMENT OF STATE BULLETIN : DECElVrBER 2 6, 1 9 4 2 , SUPPLEMENT 



more, but less than 700 pounds each, remained 
dutiable at 2^4 cents a pound. 

The Canadian agreements provide for allo- 
cation of the quota of 225,000 head of heavy 
cattle among Canada and other countries on 
the basis of past trade. To Canada was allo- 
cated 86.2 percent of the reduced-duty quota 
(193,950 head) and to other countries, of which 
Mexico was the only one affected, was allo- 
cated the remaining 13.8 percent (31,050 head). 

In the agreement with Mexico the duty on 
cattle of all weights (except dairy cows) is 
reduced to li/o cents a pound without quota 
restrictions until the unlimited national emer- 
gency proclaimed May 27, 1941, has been ter- 
minated and the President has proclaimed the 
end of the abnormal trade situation with re- 
spect to cattle and meats. Thereafter imports 
of calves and of heavj' cattle at the reduced 
rate will again be restricted to annual quotas 
of 100,000 head and 225.000 head, respectively, 
and imports of light feeder stock at the reduced 
rate will be restricted to an annual quota of 
400,000 head. Imports of calves and of light 
feeder stock in excess of the quota will be 
dutiable as before at 2I2 cents a pound. The 
duty on imports of heavy cattle in excess of the 
quota will be reduced from 3 cents to 2^^ cents 
a pound. 

Imports of cattle under the Canadian agree- 
7n.enfs — The quota of lun.OOO head of calves was 
filled in 1939 and 1940, and almost filled during 
the first 9 months of 1941. Imports in excess 
of the quota totaled 13.000 head in 1939 and 
9,000 in 1940. The reduced-duty quota of 225,- 
000 head of heavy cattle was filled in 1939 and 
imports in excess of tlif quota were received 
from both Canada and Mexico. Imports of 
heavy cattle declined to 170,000 in 1940 and 
amounted to 137,000 head in the first 9 months 
of 1941. Smaller shipnu nts of such cattle were 
received from Canada but those from Mexico 
were fairly well maintained, although nearly 
half of the imports from Mexico in 1940 and 
well over two-thirds of those in the first 9 
months of 1941 were dutiable at the full rate 
of 3 cents a pound. 



Ad valorem equivalents — The ad valorem 
equivalent of the duty on imports from Canada 
at the agreement rate amounted in 1939 to 16 
percent for calves and 22 percent for heavy 
cattle. The ad valorem equivalents of the 
duties on imports from Mexico were very much 
higher because of the lower unit value of Mexi- 
can cattle and because a large proportion of 
these cattle entered at the full duty. On light 
feeder stock (200 to 700 pounds) , which makes 
up the bulk of the imports from Mexico, the 
ad valorem equivalent of the duty was 80 per- 
cent in 1939. The trade-agreement rate on 
heavy cattle from Mexico was equivalent to 69 
percent in 1939 and the full rate on such cattle 
was equivalent to 157 percent ad valorem. 

Concession on light feeder cattle — Under the 
agreement with Mexico, light feeder stock im- 
ported for grazing and fattening in this coun- 
try by United States farmers will enter at the 
reduced rate of 1% cents which formerly ap- 
plied only to calves and heavy cattle, mostly 
imported for immediate slaughter. Upon ex- 
piration of the emergency the reduced-duty 
quota of 400,000 head a year of light feeder 
cattle, which is somewhat smaller than the 
maximum imports in the past, will prevent any 
extraordinary increase in post-war imports as 
a result of the duty-reduction. 

Imports and domestic supply — Total imports 
of cattle in the three weight classes were 745,000 
head in 1939; 621.000 in 1940; and 542,000 in 
the first 9 months of 1941. These imports 
averaged nbout 3 percent of the number of 
cattle nnd calves slaughtered annually in the 
United States. "Wliile imports declined during 
these years, annual slaughter increased from 
24,000,000 in 1939 to 26,000,000 in 1941. 

The number of cattle and calves on farms in 
the United States increased from 66,000,000 at 
the beginning of 1939 to 74,600,000 at the be- 
ginning of 1942. It is expected that by the 
beginning of 1943 the number will have 
increased by a million or more to the largest 
ever recorded. Some ranges are reported to be 
stocked beyond their normal grazing capacity. 
Although cattle numbers are now at record- 



TRADE AGREEMENT WTTU MEXICO: ANALYSIS 



104^ 



high levels, strong consumer denmnd in this 
country, together with requirements for the 
armed forces iind for friendly countries, has 
resulted in an increase in the annual average 
price received by farmers for beef cattle from 
$7.14 per 100 pounds in 1939 to $8.80 in 1941. 
The average price on November 15, 194:2, was 
$11.39 per hundredweight, or 136 percent of 
the "parity" price. The annual average farm 
price for veal calves increased from $8.40 per 
100 pounds in 1939 to $10.34 in 1941. On No- 
vember 15, 1942 the average price was $13.02 
per hundredweight or 124 percent of the 
"parity" price. 

Horses, uiHess imported for immediate slaugh- 
ter, valued at not more than $150 per head 
{par. 7U) 

The 1930 duty of $30 each on horses imported 
under this paragraph was reduced to $20 and 
then to $15 in the two agreements with Canada. 
In the agreement with Mexico it is bound at 
$15. In 1939 this rate was equivalent to 15 
percent ad valorem. In 1940, horses imported 
into the United States under this paragraph 
nmnbered 5,384, of which 1,364 were from 
Mexico. 

Mules, unless impoi'fed for immediate slaughter, 
valued at not jiiore than $150 per head 
{par. 7H) 

The duty on mules imported under this para- 
graph is reduced by 50 percent, in the agree- 
ment with Mexico, from the 1930 rate of $30 
each, to $15 each. In 1939 the $30 rate was 
equivalent to 110 percent ad valorem. In 1940 
imports of mules into the United States num- 
bered 275, most of them from Mexico. 

White sea bass or totoaba {par. 717 (a) ) 

The duty on white sea bass or totoaba (in- 
cluded in the classification "fish, fresh or frozen, 
not specially provided for") is reduced from 1 
cent a pound under the Tariff Act of 1930 to \<2 
cent a pound in the agreement with Mexico. 
Such imports are believed to constitute the bulk 

003036—43 3 



of dutiable imports of fresh or frozen fish from 
Mexico, upon which the ad valorem equivalent 
of the duty was 28 percent in 1939. Imports, 
estimated at an average of 4,000,000 pounds a 
year, are almost entirely from Mexico. The 
domestic catch in California is estimated at 
an average of 1,000,000 pounds a year. Be- 
cause of diiFerences in the manner of preparing 
the fish for marketing and in the season of the 
catcli. imports and the domestic catch are not 
directly competitive. 

Mixed feeds, consisting of an admixture of 
grain.f or grain products with oilcake, oil- 
cake meal, molasses, and ot/ier feed stuffs 
{par. 730) 

The duty on mixed feeds was reduced from 
10 percent ad valorem under (he Tariff Act of 
r.i30 to 5 pi-rcent ad valorem in the agreement 
with Canada, effective January 1, 1939. The 
reduced rate is bound in the agreement with 
Mexico. Imports have averaged about 5,500 
short tons a year recently, as compared with 
estimated amiual d o m e s t i c production of 
5,000,000 to 10,000,000 short tons. 

Limes in their natural state or in brine {par. 
W) 

The general duty on limes in their natural 
state or in brine was 2 cents a pound under the 
Tariff Act of 1930. The preferential rate to 
Cuba under this act was 1.6 cents a pound. In 
the agreement with Cuba, effective September 
3, 1934, the duty on Cuban limes in their natural 
state was reduced to 0.8 cent per pound but 
imports at the reduced rate have amounted in 
most years to less than 200,000 pounds. The 
general duty on limes in their natural state or 
in brine w'as reduced to IV2 cents a pound in 
the trade agreement with the United Kingdom, 
effective January 1, 1939. A further reduction 
to 1 cent a pound is made in the agreement 
with Mexico. The ad valorem equivalent of the 
IVo-cent rate was 68 percent in 1939. 

Imports of limes, chiefly from Mexico, aver- 
aged 3,663,000 pounds a year in 1939 and 1940, 



1048 



DEPARTMENT OF STATE BULLETIN : DECEMBER 2 6, 1 9 4 2 , SUPPLEMENT 



as compared with 4,800,000 pounds in 1938 and 
10,900,000 pounds in 1937. Production of 
limes in the United States increased from 
5,600,000 pounds in 1938 to 6,400,000 pounds in 
1941 and to 9,600,000 pounds in 1942. 

Fresh pineapples {par. 7Ji.7) 

In the trade agreement with Mexico the gen- 
eral duty on pineapples in bulk is reduced 
from %o cent to %o cent each and the duty 
of 35 cents per crate of 2.45 cubic feet on pine- 
apples in crates is bound against increase. 
Under the 40-percent preference extended to 
Cuba on this item, the duty on imports from 
that country is automatically reduced from lA 
cent each to 4%oo cent each on pineapples in 
bulk, while the existing rate of 20 cents per 
crate is left unchanged. 

The ad valorem equivalents of the duties on 
pineapples in bulk and in crates were as fol- 
lows in 1939 : 

In bulk In crates 

Prom Cuba 18 percent 19 percent 

From other countries 28 percent 26 percent 

Imports in bulk are nearly all from Mexico, 
and imports in crates are mostly from Cuba. 
Total imports of fi-esh pineapples in 1940 were 
equal to 1,246,000 crates, with nearly 75 percent 
coming from Cuba and most of the remainder 
from Mexico. 

Lima beans, green or unripe {par. 765) 

In the Tariff Act of 1930 the duty on lima 
beans was ZY2 cents per pound. The prefer- 
ential rate on imports from Cuba was 2% cents 
per pound. In the trade agreement with Cuba, 
effective September 3, 1934, the duty on lima 
beans from that country was reduced to 1% 
cents a pound for imports entering in the 
months from December through May, and the 
guaranteed margin of preference in those 
months was increased from 20 percent to 40 
percent. Under the agreement with Mexico 
the duty on imports of lima beans other than 
from Cuba is reduced during the same months 
to 2V^ cents a pound and the existing duty of 
Zy-y cents on imports in other months is bound 
against increase. 



The ad valorem equivalent of the duty of 
314 cents a pound was approximately 90 per- 
cent during the 3 years ending in 1939. There 
have been no imports at this rate since 1939. 
Total knports ranged from 3,000.000 to 5,- 
000,000 pounds a year during the 1930's, nearly 
all from Cuba. Full-duty imports, to which 
the present reduction is confined, ranged from 
10,000 pounds to 100,000 pounds, valued at 
from $300 to $3,600 per year. 

Chickpeas or garhanzos, dried {par. 769) 

In the Tariff Act of 1930 dried chickpeas or 
garbanzos were dutiable at 1% cents per 
pound. The duty is reduced, in the agreement 
with Mexico, to 1 cent per pound. The rate 
of 134 cents was equivalent, in 1939, to 45 per- 
cent ad valorem. United States production 
averages about 4,000,000 pounds a year. An- 
nual imports during the 1930's ranged from 
7,000,000 to about 12,000,000 pounds a year. A 
very large proportion came from Mexico. 

Peas, green or unripe {par. 769) 

The duty on green peas under the Tariff 
Act of 1930 was 3 cents per pound. It was 
increased to 3.9 cents per pound, by presiden- 
tial proclamation, on January 1, 1932. In the 
trade agreement with Canada, effective Janu- 
ary 1, 1936, the duty on imports entering from 
July through September was reduced to 2 cents 
per pound. Under the agreement with Mexico 
the reduced rate is applied to imports in all 
months. The ad valorem equivalent of the 
3.9-cents rate was approximately 80 percent 
from 1937 through 1940. Imports at the 
2-cent rate have been negligible. 

Imports of green peas are almost entirely 
from Mexico, entering from December through 
March. Imports in the late 1920's amounted 
to almost 30,000,000 pounds a year but declined 
sharply from 1930, and in 1940 amounted to 
only 1,600,000 pounds. Although the average 
farm price has been declining over a consid- 
erable period, production of early peas in the 
Imperial Valley in California has continued 
to increase. In 1940-41 it was 27,000,000 
pounds, the largest recorded up to that time, 



TRADE AGREEMENT WTTH MEXICO: ANALYSIS 



1049 



and in 1941-42 it increased further to 
30,000,000 pounds. 

Garlic {par. 770) 

The duty on garlic under the Tariff Act of 
1930 was iy-2 cents a i)ound. It is reduced to 
34 cent a pound in the agreement with Mexico. 
The ad valorem equivalent of the lVi;-cents 
duty in 1939 was 43 percent. Imports during 
the 1930's ranged from 3.000,000 to 6.000,000 
pounds a j-ear, of which Mexico supplies from 
21 to 37 percent. Most imports enter during 
the period from February through May, when 
domestic supplies come from storage. 

United States production of garlic (mostly 
in California) averaged about 20,000,000 
pounds a year from 1937 through 1939 but 
only 16,000,000 pounds in 1940 and 1941. In 
1942 production increased to 23,000,000 pounds. 
The price of California garlic in Chicago in- 
creased from 7.3 cents a pound in March 1939 
to 8.5 cents in March 1940 and to 17.3 cents in 
March 1941. It had declined to 14.5 cents a 
pound in March 1942. 

Tomatoes in tJieir natural state {par. 772) 

The duty on tomatoes was increased by the 
Tariff Act of 1930 from i/^ cent per pound to 
3 cents per pound. The preferential duty on 
imports from Cuba was 2.4 cents a pound. 
The rate on Cuban tomatoes was reduced in 
the agreement with that country, effective Sep- 
tember 3, 1934, to 1.8 cents a pound during the 
months from December through February. 
In the agreement with Mexico the full-duty 
rate is reduced to li/o cents a pound for the 
duration of the national emergency proclaimed 
May 27, 1941. Thereafter, when the President 
shall have proclaimed the termination of the 
abnormal situation with regard to tomatoes, 
the rate of duty will be 214 cents per pound. 
The emergency reduction in the full-duty rate 
automatically reduced the preferential rate on 
Cuban tomatoes to 1.2 cents a pound through- 
out the year. The reduced full-duty rate to 
come into effect after the emergency will result 
in a preferential rate of 1.8 cents a pound on 
Cuban imports in any month. 



The 3-cent rate was equivalent in 1939 to 97 
percent ad valorem. On imports from Cuba, 
the seasonal rate of 1.8 cents a pound was 
equivalent to 102 jMircent ad valorem, and the 
rate of 2.4 cents a pound was equivalent to 140 
percent. 

Imports are almost entiix'ly from Mexico 
and Cuba. Those from Mexico enter from 
.Tamiary through May, about luilf being re- 
ceived in April and May. The Mexican to- 
matoes are marketed chiefly in Chicago and 
in the western United States, although when 
the domestic crop is short they are much more 
widely distributed. The Florida tomatoes and 
those from Cuba are marketed in the eastern 
seaboard, shipments from Florida occurring 
chiefly fi'om March through May and those 
from Cuba from December thro>igh February. 

In the crop year 1938-39 imports from Mex- 
ico totaled 15,000,000 pounds and those from 
Cuba 39,000,000 pounds, while the Florida 
early south crop, which most nearly coincides 
with the import season, amounted to 153,000,- 
000 pounds. 

Since 1938 there has been a series of short- 
ages in the early south harvests in Florida. 
Imports, especially from Mexico, have in- 
creased, but not enough to offset these deficits 
in Florida production. In 1940-41 imports 
from Mexico were 83,000,000 pounds and those 
from Cuba 49,000,000 pounds, while the Flor- 
ida early south crop amounted to only 43,000,- 
000 pounds. In 1941-42 Florida production 
increased to 66,000,000 pounds but greatly in- 
creased requirements in the United States and 
the difficulties of shipping from Cuba kept the 
supply short during the import season. Aver- 
age farm price of the Florida early south 
tomato crop has progressively increased from 
4.5 cents a pound for the crop year 1938-39, to 
6.0 cents for the crop year 1940-41, with a 
further increase indicated for the crop year 
1941-42. 

Peppers in their natural state {par. 774) 

The duty on peppers in the Tariff Act of 
1930 was 3 cents a pound. It was reduced by 
presidential proclamation, effective January 1, 



1050 



DEPARTMENT OF STATE BtTLLETESr : DECEMBER 2 6, 1942, SUPPLEMENT 



1932, to 21^ cents per pound, and the resulting 
preferential duty on imports from Cuba was 
2 cents per pound. Under the trade agree- 
ment with Cuba, effective September 3, 1934, 
this rate was reduced to ly^ cents per pound 
on imports entering from that country during 
the months from January to April, inclusive. 
Under the agreement with Mexico the full- 
duty rate is now reduced to l^^ cents per 
pound. This automatically reduces the duty 
on Cuban peppers to 11/5 cents per pound 
throughout the year. 

The ad valorem equivalent for the full-duty 
rate of 2% cents per pound was 84 percent in 
1939, and the preferential rate of 2 cents a 
pound and the agreement rate of iy2 cents 
on imports from Cuba were equivalent to 109 
percent and 68 percent, respectively. 

Imports from Mexico and from Cuba are 
about equal in quantity and enter during the 
months from January through April, when 
most of the fresh peppers available in the 
United States are from the Florida winter 
crop. From December 1938 through May 1939, 
imports from Mexico totaled 1,700,000 pounds 
and those from Cuba 1,900,000 pounds. The 
Florida winter crop amounted to 25,000.000 
pounds. In each year since 1938-39 the Flor- 
ida crop has been short. Imports materially 
increased but not sufficiently to offset the de- 
cline in the Florida crop. In 1940-41 imports 
from Mexico totaled 7,200,000 pounds and those 
from Cuba 8,000,000 pounds, while the Flor- 
ida winter crop was 10,900,000 pounds. The 
price received by Florida farmers for their 
peppers advanced from 5.6 cents a pound in 
1938-39 to an average of 10 cents a pound in 
the 2 succeeding years. 

Eggplant in its natural state (par. 774) 

In the agreement with Mexico the full-duty 
rate on imports of eggplant is reduced to 1^4 
cents a pound during the months from Decem- 
ber through March, while the existing rate of 
11/2 cents a pound, effective through other 
months, is bound against increase. This con- 
cession to Mexico does not affect the existing 
preferential duties on imports from Cuba of 



% cent a pound on imports from December 
through March and II/5 cents per pound on 
those in other months. 

The ad valorem equivalent of the duty of II/2 
cents on imports from Mexico in 1939 was 97 
percent. The duty on imports from Cuba, du- 
tiable at 1% cents a pound, was equivalent to 
62 percent ad valorem, and that on imports, 
dutiable at % cent per pound, was equivalent 
to 30 percent ad valorem. 

Total imports during the 1930's ranged from 
2,000,000 to 6,500,000 pounds a year, of which 
90 percent were from Cuba and the remainder 
from Mexico. The import season is from De- 
cember through April, when domestic supplies 
and shipments are light. 

Ale, porter, stout, and beer (par. 805) 

The dutj' on ale, porter, stout, and beer was 
$1 per gallon in the Tariff Act of 1930. It was 
reduced to 50 cents per gallon in February 1935 
under section 336 of the Tariff Act of 1930, and 
is further reduced to 25 cents per gallon in the 
agreement with Mexico. In 1939 the 50-cent 
duty was equivalent to 59 percent ad valorem. 

Imports in 1936 amounted to 1,926,938 gal- 
lons valued at $1,735,831 but declined progres- 
sively until in 1940 they totaled 1,074,142 gal- 
lons valued at $925,777. Imports from Mexico 
have been increasing and in tlie first 9 months 
of 1941 exceeded those from any other country 
in quantity and ranked second in value. 
United States production of beer in the fiscal 
year 1940-41 amounted to 1.7 billion gallons, 
and exports to 4,000,000 gallons. 

Cords and tivines wholly or in chief value of 
manila (ahaca), sisal, hencquen, or other 
hard fiber {par. 1005 ( & ) ) 

The duty on hard-fiber cords and twines was 
reduced from 40 percent ad valorem, under the 
Tariff Act of 1930, to 20 percent ad valorem in 
the trade agreement with the Netherlands, effec- 
tive February 1, 1930. The reduced rate is 
bound against increase in the agreement with 
Mexico. 

Imports of such products in 1940 totaled 
6.000,000 pounds, mostly from Mexico. Pro- 



TRADE AGREEMENT WVVU MEXICO : ANALYSIS 



1051 



duction in the United States, all from imported 
fiber, ordinarily averages from 50,000,000 to 
GO.OOd.OOO pounds a year. Transactions in 
hard-fiber twines and cords are extensively con- 
trolled by the Government, and in September 
1942 nianiifactin-e of such articles in the United 
State's was susjK^nded altogether. 

Bound books of all kinds {other than diaries 
and prayer hooks), except those bound 
wholly or in part in leather, not specially 
provided for, and if a bona-fitle authorship 
{par. HIO) 

Tile duty on books of foreign authorship was 
reduced from 15 percent ad valorem, under the 
Tariff Act of 1930, to l^-z percent ad valorem 
under the trade agreement vrith the United 
Kingdom, effective January 1, 1939. The re- 
duced rate is bound in the agreement with Mex- 
ico. Although imports from Mexico, valued in 
1940 at $12,420, exceeded those from most other 
sources, they were insignificant in comparison 
with imports from the United Kingdom, valued 
at more than $1,000,000. 

Hat braids of natural fiber, not bleached, dyed, 
colored or stained {par. 1504 {a)) 

Natural-fiber hat braids were dutiable at 15 
percent ad valoi-em under the Tariff Act of 
1930. The duty is reduced in the trade agree- 
ment with Mexico to 71/2 percent ad valorem, 
except for braids of straw or manila hemp. 
Imports affected by the concession totaled 11,- 
000,000 yards valued at $175,000 in 1940, with 
5.000.000 yards valued at $28,000 coming from 
Mexico. No natural-fiber hat braids are pro- 
duced in the United States. 

Harvest hats valued at Uss than $S per dozen 
{par. 1504 {b) {5)) 

The duty on harvest hats was reduced from 
25 percent ad valorem, under the Tariff Act of 
1930, to 121/2 percent in the trade agreement 
with the Netherlands, effective February 1, 1936. 
The reduced rate is bound against increase in 
the agreement with Mexico. Imports, mostly 
from Mexico and the Netherlands West Indies, 
totaled 15,000,000 hats or bodies, valued at 
$319,000, in 1940. 



Bovine sole and belting leathers {par. 1630 
{b) (/)) 

The duty on sole and belting leather was re- 
duced from 12^2 percent ad valorem, under 
the Tariff Act of 1930, to 10 percent ad va- 
lorem in the trade agreement with the United 
Kingdom. The reduced rate is bound against 
increase in the agreement with Mexico. Im- 
poi-ts from Mexico in 1940 were 202,000 pounds 
valued at $5G,000, as compared with total im- 
ports of 1,800,000 pounds valued at $811,000. 
United States production of sole and belting 
leathers is valued at approximately $100,000,- 
000 a year. 

Huara<;hes {par. 1530 (e)) 

Huaraches or woven-leather sandals, under 
the Tariff Act of 1930, were dutiable at 20 per- 
cent ad valorem. The duty is reduced to 10 
percent ad valorem in the trade agreement 
with Mexico. Huaraches make up practically 
all imports of women's, misses', and children's 
shoes from Mexico, amounting in 1940 to 386,- 
000 pairs valued at $291,000. All imports are 
from Mexico. 

Melius, youths'', and boys' boots, shoes, or other 
footwear {including athletic and sporting 
boots and shoes), made whoUy or in chief 
vahi^ of leather {except turn or turned, or 
sewed or stitched by the process or method 
known as McKay, or made by the process 
or method known as welt) {par. 1530 (e) ) 

This category includes work shoes with 
nailed soles, molded-sole sandals, and shoes 
with soles cemented or attached by the stitch- 
down process. Together with other leather 
shoes, they were dutiable under the Tariff Act 
of 1930 at 20 percent ad valorem. In the 
agreement with Mexico the duty is reduced to 
10 percent ad valorem. 

Most imports are from Mexico and consist 
of men's shoes with nailed soles, for sale to 
Mexican laborers in this country. Entries 
during 1940 totaled 92,000 pairs valued at 
$84,000. Manufacture of men's work shoes of 
similar construction in the United States 



1052 



DEPARTMENT OF STATE BULLETIN: DECEMBER 2 6, 1942, SUPPLEMENT 



amounted in 1939 to 14,000,000 pairs valued at 
$23,000,000. 

Moving pictures {par. 1551) 

Under the Tariff Act of 1930 the duty on 
exposed negatives to be used for moving pic- 
tures was 2 cents per linear foot if undevel- 
oped and 3 cents per linear foot if developed, 
while positives, prints, and duplicates were 
uniformly dutiable at 1 cent per linear foot. 
These rates of duty are reduced by 50 percent 
in the agreement with Mexico. 

Imports amounted in 1940 to 6,000,000 feet, 
of which 800,000 feet were from Mexico. It is 
estimated that total rentals received from 
abroad by United States motion-picture pro- 
ducers in 1941 approached $50,000,000, while 
payments for foreign films exhibited in this 
country probably did not equal $5,000,000. 

Waste not specially provided for (par. 1555) 

The duty on waste not specially provided for 
was 10 percent ad valorem in the Tariff Act 
of 1930 and was reduced to 7% percent ad 
valorem in the agreements with Canada and 
the United Kingdom, effective January 1, 1939. 
The reduced rate is now bound against in- 
crease in the agreement with Mexico. Imports 
of waste from Mexico are almost entirely of 
cottonseed hulls used chiefly as roughage for 
cattle. Total imports from all countries in 
1940 were valued at $708,000 and those from 
Mexico at $43,000. 

Istle or Tampico fiber., dressed or unmanufac- 
tured {par. 1558) 

Dressed istle or Tampico fiber was dutiable 
under the Tariff Act of 1930 at 20 percent ad 
valorem. The duty is reduced to 10 percent 
ad valorem in the agreement with Mexico. 
There is considerable United States production 
of dressed istle from imported fiber. Duty- 
free imports of crude istle have several times 
the value of imports of dressed istle. Imports 
of dressed istle from Mexico in 1940 were val- 
ued at approximately $118,000. Becau.se istle 
is a substitute for fibers previously obtained 
from the Far East, its purchase, processing. 



and sale in the United States are extensively 
controlled by the Government. 

Liquid petroleum asphaltum, including cut- 
hacks and road oil {par. 1710) 

In the Tariff Act of 1930 liquid petroleum 
asphaltum was free of duty, but since 1932 im- 
ports have been taxable under the Internal 
Revenue Code at i/^ cent per gallon as liquid 
derivatives of petroleum. In the agreement 
with Mexico the existing duty-free treatment 
is bound and the import tax is reduced from 
V2 cent to 14 cent per gallon. Imports in 1940 
totaled 211,000 barrels valued at $178,000, all 
from Mexico. United States production of 
liquid and solid petroleum asphaltum in 1940 
was 37,000,000 barrels, of which 1,250,000 
barrels were exported. 

Petroleu/m, crude, and fuel oil derived from 
petroleum {par. 1733) 

Under the Tariff Act of 1930 petroleum and 
its products are free of duty but the Eevenue 
Act of 1932 imposed an import tax of Y2 cent a 
gallon (21 cents a barrel) on the imports re- 
ceived for consumption in the United States. 
In the trade agreement with Venezuela, effec- 
tive December 16, 1939, the import tax on crude 
petroleum, topped crude, and fuel oil derived 
from petroleum was reduced to 14 cent per gal- 
lon (101/2 cents per barrel) on an aggregate 
quota for any calendar year, not to exceed 5 
percent of all crude petroleum processed in refin- 
eries in continental United States in the preced- 
ing calendar year. Imports in excess of this 
quota are subject to import tax at the full rate. 
In the agreement with Mexico the reduced rate 
of 14 cent per gallon is applied to all imports, 
without quota limitation. 

Import quotas — Under the agreement with 
Venezuela the reduced-duty quota was 61,892,- 
000 barrels in 1940. It increased to 64,714,000 
barrels in 1941 and to 70,433,000 barrels in 
1942. The quota was allocated in 1940, 1941, 
and 1942, among Venezuela, the Netherlands 
West Indies, Colombia, and other countries — 
chiefly Mexico — upon the basis of previous im- 
ports. The portion of the quota allocated to 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1053 



"other countries" was only 3.8 percent of the 
total ill 1940, and 5.1 percent in 1941 and 1942. 

Duriiin: 1940 and the first 9 months of 1941, 
imports from Venezuela, t'lie Netherlands pos- 
sessions, and Colombia were almost entirely 
within the quotas assigned to those countries 
and therefore entered at the reiluced rate of 
import tax. On the other hand, only 15 percent 
of the imports from Mexico in 1940 and 27 per- 
cent of those in the first 9 montlis of 1941 were 
within the quota and the remainder were sub- 
ject to the full import tax. 

Ad valorem equivalent — In 1940 the import 
tax of 1/4 cent per gallon on imports within the 
quota was equivalent to 14 percent ad valoi'em 
on imports of crude petroleimi and 12 percent on 
imports of fuel oil and topped crude. The 
full import tax of Y-^ cent per gallon was equiva- 
lent to 29 percent on crude petroleum and 17 
percent on fuel oil and topped crude. 

Imports from- Mexico — In 1939 United States 
imports for consumption from Mexico were 
1,728,000 barrels or considerably less than half 
the annual average imports from that country 
before expropriation of properties of foreign 
oil companies by Mexico in 1938. In 1940, 
however, such imports from Mexico increased 
to 15,381,000 barrels and they amounted to 
9.171.000 barrels in the first 9 months of 1941. 
Most of Mexico's exports of petroleum in 1940 
and nearly all in 1941 were shipped to the 
United States. 

Imports and the United States supphj — Total 
combined imports of crude petroleum, topped 
crude, and fuel oil for consumption in the 
United States increased from about 36,000,000 
barrels in 1939 to 69,000,000 barrels in 1940 and 
totaled 57,000,000 barrels in the first 9 months 
of 1941. Petroleum processed at refineries in 
the United States increased from 1.2 billion 
barrels in 1939 to 1.4 billion barrels in 1941 — 
the highest figure ever recorded. 

Exports of petroleum and petroleum prod- 
ucts, including fuel oil, are ordinarily about 
15 percent of United States production and 
several times as great as imports. In the first 
2 years of the war, however. United States 
exports declined and imports increased so that 



in the first 9 months of 1941 this country was 
for the first time a net importer of petroleum 
and fuel oil. Imports within the reduced-tax 
quota in the first 9 montlis in 1942 from Vene- 
zuela and the Netherlands possessions were very 
much less than in the corresponding months of 
1941 and amounted to only one fourth of the 
annual quotas allotted to these countries. 

Kerosene {par. 1733) 

Kerosene was free of duty under the Tariff 
Act of 1930, but under the Revenue Act of 1932 
it was subject to an import tax of i/<. cent per 
gallon. In the trade agreement with Mexico 
this import tax is reduced to ^4 cent. The lu- 
cent import tax was equivalent to 13 percent ad 
valorem in 1940, when imports totaled 204,000 
barrels valued at $318,000, all from Mexico. 
Although imports in 1940 were considerably 
larger than those in other years since 1932, they 
equaled only one third of 1 percent of United 
States production and considerably less than 
one tenth of United States exports. 

SCHZDTJLE II ITEMS OF WHICH TOTAL UNITED STATES 
DCTL\BLE IMPORTS IN 193 9 WERE VALUED AT 
LESS THAN $50,000 

Products of which total United States duti- 
able imports in 1939 were valued at less than 
$50,000 each and on which United States tariffs 
have been reduced or bound in Schedule II of the 
trade agreement with Mexico, are listed below. 
In some cases the concessions are further re- 
ductions of rates already lowered under pre- 
vious agreements with other countries. Exist- 
ing and agreement rates of duty on these 
products, and figures on United States imports, 
are given in Table B. Figures in parentheses 
refer to paragrajihs of the United States Tariff 
Act of 1930. 

Naphthenic acids (par. 1) 

Juice of lemons, liuies, oranges, or other citrous 
fruits, unfit for beverage purposes (par. 48) 

Zinc sulphate (par. 93) 

Floor and wall tiles, wholly or In part of cement 
(par. 202 (a)) 

Mantels, friezes, and articles of every description 
or parts thereof, composed wholly or In chief value 
of earthen tiles or tiling, except pill tiles (par. 202 
(b)) 



1054 



DEPARTMENT OF STATE BULLETIN: DECEMBER 26, 1942, STTPPLEMENT 



Common yellow, browB, red or gray earthenware, 
composed of a body wholly of clay which is un- 
washed, unmixed and not artificially colored ; common 
salt-glazed stoneware ; stoneware and earthenware 
crucibles (par. 210) 

Earthenware having a body not artificially colored, 
and composed wholly of clay (par. 211 ) 

Glassware blown or partly blown or ground, cut, 
colored or decorated in any manner, if commercially 
known as bubble glass (par. 218 (f ) ) 

Molybdenum ore or concentrates (par. 302 (b)) 

Table, household, kitchen and hospital utensils, and 
hollow or flatware, not specially provided for, com- 
posed wholly or in chief value of tin or tin plate 
(par. 339) 

Articles or ware (other than containers) not spe- 
cially provided for, if composed wholly or in chief 
value of tin or tin plate (par. 397) 

Mahogany lumber (par. 404) 

Packing boxes (empty) and packing-box shooks of 
wood, not specially provided for (par. 407) 

Boxes, barrels, and other articles containing 
oranges, lemons, limes, graiiefruit, and shaddocks or 
pomelos (par. 408) 

Spring clothespins (par. 412) 

Dried blood albumen, light (par. 701) 

Sheep and lambs (par. 702) 

Bobwhite quail (par. 711) 

Live asses and burros, not specially provided for 
(par. 715) 

Shark fins (par. 717 (c)) 

Edible berries (except blueberries) prepared or 
preserved, but not frozen and not in brine and not 
dried, desiccated or evaporated (par. 736) 

Mangoes (par. 746) 

Watermelons (par. 752) 

Black-eye cowpeas, dried or in brine (par. 765) 

Beans, green or unripe, other than lima (par. 765) 

Cucumbers in their natural state (par. 774) 

Squash in its natural state (par. 774) 

Spirits manufactured or distilled from grain or other 
material and compounds or preparations of which dis- 
tilled spirits are the component material of chief 
value, not specially provided for (other than those 
specified in any previous trade agreement concluded 
under the provisions of section 3.50 of the Tariff Act 
of 1930) (par. 802) 

Cordage, wholly or in chief value of sisal, henequen, 
or other hard fiber, except manila (abaca) (par. 
1005 (a)) 

Blankets and similar articles (including carriage 
and automobile robes and steamer rugs) made as 
units or in the piece, finished or unfinished, wholly or 
in chief value of wool, not exceeding three yards in 
length, any of the foregoing if hand-woven (par. 1111) 



Wax matches (par. 1516) 

Slippers for housewear (par. 1530 (e)) 

On the following products which the United 
States, in 1939, imported to a value of less than 
$50,000 each, existing duties are bound in the 
agreement with Mexico : 

Honey (par. 716) 

Guavas, prepared or preserved and not specially 
provided for (par. 752) 

SCHEDTILE U ITEMS BOUND ON THE FREE LIST 

The agreement with Mexico binds on the 
United States free list unports of certain com- 
modities which this country either does not pro- 
duce at all or not in quantities sufficient to meet 
its own requirements. The following tabula- 
tion lists products the imports of which are now 
bound duty-free for the first time. Numbers in 
parentheses refer to paragraphs of the Tariff 
Act of 1930. 



Product 


Value of total 
United States 
imports in 19S9 
(in thousands 
of dollars) 


Crude jalap, natural and uncompounded 


4 


(par. 1602). 




Antimony ore (par. 1608) 


1, 132 


Arsenious acid or white ar.senic (par. 1614). 


562 


Binding twine (par. 1022) 


2,421 


Fish sounds (par. 1624) 


22 


Crude metallic mineral substances, not 


175 


specially provided for (par. 1664). 




Sharkskins, raw or salted (par. 1678) 


60 


Live game animals and birds for stocking 


70 


purposes (par. 1682). 




Henequen, istle or Tampico fiber, and 


9, 3.=S3 


broom root (par. 1684). 




Crude chicle (par. 1686) 


5, 151 


Horses and mules for slaughter (par. 1695). 


17 


Guayule rubber, crude (par. 1697) 


463 


Lignaloe or Isois de rose (par. 1731) 


299 


Spiny lobsters, fresh or frozen (par. 1761) _ 


'■491 


Abalone, fresh or frozen (par. 1761) 


"375 


Shrimps and prawns, fresh or frozen (par. 


260 


1761). 




Anise (par. 1768 (2)) 


56 


Candelilla wax (par. 1796) --. 


420 


Wood charcoal (par. 1802).. 


44 



» Estimated. 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1055 



Imports of products in the following list are 
bound duty free both in the Mexican agree- 
ment and in one or more previous trade agree- 
ments : 



Prodnct 



Sulphuric acid (par. 1601) _ 

Cattle for breeding (par. ICOG (a)) 

Bananas, green or ripe (par. 1618).. 

Coffee (par. 1654) 

Fish livers (par. 1669) 

Guano (par. 1685) 

Manures (par. 1685) 

Fish scrap and fish meal for fertilizers (par. 

1685). 

Sarsaparilla root (par. 1728) _ 

Distilled or essential oil of limes (par. 1731). 
Plaster rock and crude gj'psum (par. 1743). 

Reptile skins, raw (par. 1765) 

Pimento (aUspice) (par. 1768 (1)) _. 

Rottenstone, tripoli, and sand crude or 

unmanufactured (par. 1775). 

Mahogany, in the log (par. 1803 (2)) 

Spanish cedar, in the log (par. 1803 (a))... 
Primavera, in the log (par. 1803 (2)) 



Value of total 
Unilo'l States 
ImiHirtsin 1939 
(In thousands 
ol dollars) 



27 

941 

29, 083 

139, 546 

1,718 

212 

56 

467 

9 

405 

1, 174 

274 

32) 

82 

1,737 
109 
124 



SCHEDULE rn ITEMS 

In Schedule III of the agreement are listed 
concessions made by the United States to 
Mexico on certain imports of which countries 
other than Mexico normally have been the 
principal or important suppliers. 

Reduced rates of tariffs specified in Schedule 
III will be in effect from the time the agree- 
ment goes into force until at least 6 months 
after termination of the unlimited national 
emergency proclaimed by the President of the 
United States on May 27, 1941. After the 
President has proclaimed the termination of 
that emergency the United States may, on 6 
months' notice, restore in whole or in part the 
tariff rates that applied to articles enumerated 
in this schedule on the date of signature of the 
agreement. In no case, however, may any 
such rate be increased, during the life of the 

503036 — 43 i 



agreement, to a level higher than that of the 
pre-ngreement rate. 

Earthen foor and wall tiles {except ceramic 
mosaic tiles, quarries or quarry tiles, and 
tiles wholly or in part of cernent) {par. 
202 {a)) 

In the agreement with Mexico the duties on 
all clay tiles (except ceramic mosaic tile and 
quarries and quarry tiles) are reduced to 50 
percent of the rates under the Tariff Act of 
1930. The resulting duty on tiles valued at 
not more than 40 cents per square foot is 5 
cents per square foot but not less than 25 per- 
cent nor more than 35 percent ad valorem, and 
that on tiles valued at more than 40 cents per 
square foot is 30 percent ad valorem. 

Imports consist chiefly of glazed tile, and 
formerly were obtained principally from 
Japan, Italy, and the United Kingdom. 
During the 3 years 1938-1940 they averaged in 
value only $16,000 a year, or approximately 
one tenth of 1 percent of the value of United 
States production. Imports from Mexico have 
generally averaged, in value, less than $2,000 
a year, but that country is now one of the few 
remaining sources of imports. 

Glass bottles, jars, vials, and ampotdes {par. 
217) 

Under the agreement with Mexico the duty 
on glass bottles, jars, vials, and ampoules hold- 
ing more than 1 pint each is reduced to y^ cent 
per pound ; the duty en those holding from 14 
pint to 1 pint is reduced to % cent a pound; 
and the duty on those holding less than 1^4 pint 
is reduced to 25 cents per gross. These rates 
are 50 percent of those specified in the Tariff 
Act of 1930. 

Imports, most of which formerly came from 
Europe, declined from a value of $129,000 in 
1937 to only $29,000 in 1940. Mexico was a 
negligible supplier imtil 1941. In the first 9 
months of that year it furnished imports 
valued at $10,788 out of a total of $13,593. 
United States exports are valued at several 
million dollars a year. 



1056 



DEPARTMENT OF STATE BULLETIN: DECEMBER 26, 1942, SUPPLEMENT 



Articles or wares not specially provided for, if 
composed wholly or in chief value of silver 
(par. 397) 

Imports consist of silver tableware (includ- 
ing bowls, trays, pitchers, spoons, and serving 
pieces) and ecclesiastical goods, ornaments, and 
novelties. Silver knives and forks and silver- 
plated ware are otherwise provided for. The 
duty of 65 percent under the Tariff Act of 1930 
was reduced to 50 percent ad valorem under 
the trade agreement with the United Kingdom, 
effective January 1, 1939. In the agreement 
with Mexico it is further reduced to 321/2 per- 
cent ad valorem. 

Imports recorded since the beginning of 
1937 have ranged in value from $200,000 to 
$350,000 a year, chiefly from the United King- 
dom and Denmark. Although entries from 
Mexico are estimated to have exceeded $100,000 
a year in value, most of them have been duty- 
free imports by tourists and recorded dutiable 
imports from Mexico are valued at only $3,000 
to $7,000 a year. United States production of 
sterling-silver tableware was valued at about 
$10,000,000 in 1939 and other silver manufac- 
tures, such as novelties, at $2,000,000. 

Baskets and hags of hamhoo, straw, willow, 
splint, and other wood or compositions of 
wood, papier-mache and palm leaf {par. 
Jtll) 

Baskets and bags were dutiable in the Tariff 
Act of 1930 at 50 percent ad valorem. The 
duty is reduced to 25 percent ad valorem in the 
trade agreement with Mexico. Imports con- 
sist chiefly of ornamental or household baskets, 
and were valued at $405,000 in 1940, when 80 
percent came from China, Japan, and countries 
now occupied by Japan. Mexico is among the 
chief remaining sources, supplying imports val- 
ued at $20,000 in 1940. Ornamental and house- 
hold baskets manufactured in the United States 
in 1939 were valued at $3,000,000. 

Bentwood furniture, wholly or partly finished, 
and parts thereof {par. 412) 

The duty on bentwood furniture was 471/2 
percent under the Tariff Act of 1930 and was 



reduced to 421^4 percent by presidential procla- 
mation effective July 24, 1931. It is further 
reduced to 22 percent in the agreement with 
Mexico. 

Bentwood furniture consists principally of 
chairs for public seating. Imports in 1937, 
coming almost entirely from central Europe, 
were valued at $528,000 and supplied most of 
the requirements of the United States. Kecent 
small imports (valued at $22,000 in the first 9 
months of 1941) were chiefly from Mexico. 

Tuna packed in oil {par. 718 (a) ) 

Tuna packed (or canned) in oil was dutiable 
under the Tariff Act of 1930 at 30 percent ad 
valorem. The rate was increased to 45 percent 
by presidential proclamation, effective January 
13, 1934. It is reduced to 221/2 percent ad 
valorem in the agreement with Mexico. 

Imports in 1937 amounted to 11,000,000 
pounds, or about 15 percent of United States 
consumption, but they fell steadily until, dur- 
ing the first 9 months of 1941, they amounted 
to only about 2,000,000 pounds. Mexico gen- 
erally supplied less than 10 percent of these 
imports but has now become the chief supplier 
as the war has eliminated most other sources 
of imports. 

Oilcake arid oilcake meal: soyhean, coconut or 
copra, and cottonseed {par. 730) 

Imports were dutiable at ^^0 cent per pound 
under the Tariff Act of 1930. In the agreement 
with Mexico the rate is reduced to 14 cent a 
pound. The ad valorem equivalent of the %o- 
cent duty in 1939 was 26 percent for oilcake 
and oilcake meal and coconut or copra, 22 per- 
cent for that of soybeans, and 30 percent for 
that of cottonseed. United States consumption 
in 1940 was 3,500,000 short tons, and imports in 
that year were 155,000 tons, of which 60 percent 
was duty-free coconut or copra cake and meal 
from the Philippine Islands. Virtually all im- 
ports are used in feed-deficit areas on the Pa- 
cific coast. Much of the oilcake and oilcake 
meal entering this region from sources else- 
where in the United States is customarily 
shipped through the Panama Canal from New 
Orleans. 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1057 



Although the total United States supply of 
oilcako ami meal is now groator tiian over be- 
fore, because of the increased produciion of 
soybean meal, the Pacific coast supply has been 
curtailed by cessation of imports from the Phil- 
ippines and the Far East. 

Pineapples, prepared or preserved, and not 
specially provided for {par. 7Jt7) 

The general duty on prepared or preserved 
pineapples is reduced in the agreement with 
Mexico from lYz cents to 1 cent per pound. 
This reduction does not aflfect the existing pref- 
erential duty of % cent per pound on imports 
from Cuba. The ad valorem eciuivalent of the 
11,^-cent rate on full-duty imports was 43 per- 
cent in 1939 and the duty on imports from 
Cuba was equivalent to 1-i j^ercent ad valorem. 

Entries of prepared and preserved pine- 
apple into the continental United States in 
19-40 totaled 522,000,000 pounds, of which 486,- 
000,000 were duty-free from Hawaii, the Phil- 
ippine Islands, and Puerto Rico. Of the duti- 
able imports 14,000,000 pounds were from 
Cuba and the balance of 22,000,000 pounds, 
from the Far East. Mexico is a large producer 
of pineai)ples, but shipments to the United 
States have heretofore consisted of fresh pine- 
apples. 

Dolls and parts of dolls {inelvding clothing) 
and china or eartlienicare toys {par. 1513) 

This item includes all dolls except those of 
celluloid or other cellulose compounds. Under 
the Tariff Act of 1930 dolls and china or earth- 
enware toys were dutiable at 70 percent ad va- 
lorem except for dolls and doll clothing con- 
taining lace or embroidery, which were duti- 
able at 90 percent ad valorem. These rates are 
reduced by one half, to 35 percent and 45 per- 
cent ad valorem, respectively, in the agi-cement 
with Mexico. 

Imports, formerly valued at $500,000 a year, 
nearly all came from countries now enemies or 
under enemy control. Imports from Mexico 
have averaged less than $2,000 a year in value 
but that country is now one of the cliief re- 
maining sources. 



Jewelry other than of gold or platinum, {par. 
1527 {a) {2)) 

Under the Tariff Act of 1930 jewelry other 
than of gold or platinum was dutiable at com- 
pound rates equivalent to 110 percent ad va- 
lorem. In the trade agreement with France, 
effective Juno 15, 193G, tiie duty was reduced 
to the equivalent of 65 percent ad valorem upon 
jeweh-y valued at over $5 per dozen pieces. 
The duty is reduced in the agreement with 
Mexico to the equivalent of 55 percent ad va- 
loi-em upon ail values. Imports were formerly 
received chiefly from Japan, China, France, 
and Czechoslovakia. Imports of this jewelry 
from Mexico are small but have been increas- 
ing and were valued at $8,000 in the first 9 
months of 1941. 

V. Analysis or General PB0^^SI0Ns 

The general provisions of the agreement 
embody the basic principle of equality of treat- 
ment essential to the development of interna- 
tional trade upon a sound and non-discrimina- 
toiy basis. They define the nature of the 
obligations assumed by each country in making 
tariff concessions to the other, set forth recip- 
rocal assurances of non-discriminatory treat- 
ment with respect to all forms of trade control, 
and include provisions relating to various 
other matters affecting trade between the two 
countries. 

Provisions relating to treatment of trade in 
general 

Article I provides that the United States and 
Mexico shall in general accord to each other 
unconditional most-favored-nation treatment 
with respect to customs duties and internal 
taxes, including customs rules and formalities 
and laws or regulations affecting the sale, dis- 
tribution, or use of imported articles. This 
means, among other things, that each country 
obligates itself to extend to the other, immedi- 
ately and without compensation, the lowest 
rates of customs duties or of internal taxes 
which are granted to any other country, either 
by autonomous action or in connection with a 
conunercial agreement with a third country. 



1058 



DEPARTMENT OF STATE BULLETEST : DECEMBER 2 6, 1942, SUPPLEMENT 



Article II of the agreement provides that 
internal taxes or charges levied in either coun- 
try on products imported from the other shall 
not in general be higher than those imposed 
on like articles of domestic origin. 

Article III applies in general the principle 
of non-discriminatory treatment to import and 
export quotas and prohibitions, and other 
forms of restriction on imports, on exports, or 
on the sale, distribution, or use of imported 
articles. Any such quantitative restriction is 
to be based upon a pre-determined amount of 
the article, i. e., a global quota. If, for ex- 
ample, either country establishes such restric- 
tions on imports and if any third country is 
allotted a share of the total amount of per- 
mitted importations of the article, the other 
country shall also as a general rule be allotted 
a share which shall be based upon the propor- 
tion of the total imports of such article which 
that country supplied in a previous represent- 
ative period. 

Article IV extends in general the principle 
of non-discriminatory treatment to any form 
of exchange control by either country over 
the transfer of payments for imports origi- 
nating in the other country. Accordingly, the 
article provides that the Government of either 
country shall accord to any product originating 
in the other country, in regard to restrictions 
or delays on payments, exchange rates, and 
taxes or charges on exchange transactions, 
treatment no less fa\(>rable than that accord- 
ed the like product originating in any third 
country. 

Article V extends the principle of non-dis- 
criminatory treatment to foreign purchases by 
the Government of either country or by ex- 
clusive agencies established, maintained or 
sponsored by either Government. 

Article VI provides for the prompt publica- 
tion of laws, regulations, and administrative 
and judicial decisions relating to the classifi- 
cation of ai'ticles for customs purposes or to 
rates of duty. With certain customary excep- 
tions relating to anti-dumping duties, health, 
or public-safety measures, etc., paragraph 2 
of the article provides that no administrative 



ruling by either country effecting advances in 
rates of duties or in charges applicable under 
an established and uniform practice to imports 
originating in the other country, or imposing 
any new requirement with respect to such im- 
portations, shall be effective retroactively or as 
a general rule with respect to articles import- 
ed within 30 days after the date of publication 
of notice of such ruling in the usual official 
manner. Paragraph 3 provides that penalties 
imposed by either Government because of cler- 
ical or other 'bona-fde errors in the documen- 
tation of imported merchandise shall not be 
greater than nominal. Paragraph 4 provides 
for sympathetic consideration by each Gov- 
ernment of representations from the other in 
regard to customs regulations and related mat- 
ters and to the application of sanitary regula- 
tions. If there should be disagreement be- 
tween the two Governments with respect to 
sanitary laws or regulations, paragraph 5 pro- 
vides that a committee of experts including 
representatives of both Governments shall be 
established, upon request of either Govern- 
ment, to study the matter and submit a report 
to both Govermnents for their consideration. 

Provisions relating to concessions 

Articles VII and VIII of the agreement re- 
late to the tariff concessions granted by each 
country on products of the other and provide 
that products included in the schedules an- 
nexed to the agreement shall, upon importation 
into the other country, be exempt from ordi- 
nary customs duties higher than those specified 
in the schedules and from all other charges in 
connection with importation in excess of those 
imposed on the day of signature of the agree- 
ment or required to be imposed thereafter by 
laws in force on that day. 

However, in paragraph 2 of Article VIII, 
the United States reserves the right to with- 
draw or modify the concessions gi-anted on any 
article contained in Schedule III at any time 
after the termination of the unlimited national 
emergency proclaimed by the President of the 
United Stales on May 27, 1941, upon G months' 
written notice to the Mexican Government; but 
in no event may the rate of duty on such article 



TRADE AGREEMENT WITH MEXICO: ANALT8I8 



1059 



exceed that in effect on the day of signature of 
the afirccmeiit. 

Artiolo IX permits either country, notwith- 
standing the provisions of Articles VII and 
VIII, to impose on any product imported from 
the other country an import clmrge equivalent 
to an internal tax imposed on a similar do- 
mestic product or on any article from which 
the imported product has been made. 

Article X contains a general undertaking 
that no quantitative restrictions shall be im- 
posed by either country on articles imported 
from the other country which are listed in 
the schedules annexed to the agreement. How- 
ever, this general undertaking does not pre- 
clude the imposition of quantitative restric- 
tions by either country, on the importation or 
sale of such articles, in conjunction with gov- 
ernmental measures which operate to regulate 
or control the production, market supply, or 
prices of like domestic articles, or which tend 
to increase the labor costs of production of 
such articles, or which are necessary to main- 
tain the excliange value of the currency of the 
country. Whenever either Government pro- 
poses to impose or alter any such quantitative 
restriction, it shall afford the other Govern- 
ment an opportunity for consultation; if 
agreement is not reached, the Government pro- 
posing to take the action shall be free to do so, 
and the other Government shall be free, within 
30 days after the action is taken, to terminate 
the agreement in whole or in part on 30 days' 
written notice. Under paragraph 3 of Article 
X, measures imposed by the United States on 
imports of coffee from Mexico pursuant to the 
provisions of the Inter-American Coffee 
Agreement of 1940, are excepted from the gen- 
eral undertaking not to impose quantitative 
restrictions on articles listed in the schedules. 

Article XI provides a measure of flexibility 
in respect of the concessions set forth in the 
agreement, in order to take care of situations 
which might arise in the future. The article 
provides that if the President of the United 
States finds that as a result of unforeseen devel- 
opments, and of the concession granted on any 
article in Schedule II or Schedule III of the 



agreement, such article is being imported into 
the United States in such increased quanti- 
ties and under such conditions as to cause or 
tiireaten serious injury to United States pro- 
ducers of like or similar articles, he shall, if he 
finds such action to be in the public intere.st, 
withdraw or modify the concession on such 
article, either by quota or otherwi.se, to the 
extent and for the time necessary to prevent 
such injury. The Government of Mexico may 
take similar action, under like circumstances 
and conditions, in respect of concessions set 
forth in Schedule I of the agreement. Before 
either Government may withdraw or modify a 
concession pursuant to these provisions of the 
agreement it shall afford the other Government 
an opportunity for consultation ; if agreement 
is not reached, the Government proposing to 
take the action may nevertheless do so and the 
other Government would then be free, within 
30 days after the action is taken, to terminate 
the agreement in whole or in part, on 30 days' 
written notice. 

Article XII safeguards importers against 
adverse changes in the methods of determining 
dutiable value and of converting currencies in 
connection with articles listed in the schedules 
which are or may be subject to ad valorem rates 
of duty. 

Article XIII, relating to articles in transit, 
provides that articles coming from or going to 
either country shall be accorded in the other 
country freedom of transit, reasonable transit 
charges, and unconditional most-favored-nation 
treatment with regard to transit charges, rules 
and formalities. Subject to applicable customs 
laws and regulations, articles in transit shall be 
exempt from any transit duty, customs duty, 
or similar charge. 

Article XIV provides that if the Government 
of either country considers that any object of 
the agreement is nullified or impaired as a 
result of any measure taken by the other Gov- 
ernment, the latter Government shall consider 
sympathetically such written representations or 
proposals as may be made by the former Gov- 
ernment with a view to effecting a mutually 
satisfactory adjustment. 



1060 



DEPARTMENT OF STATE BULLETIN: DECEMBER 2 6, 1942, SUPPLEMENT 



Provisions as to application of the agrecTnent 

Article XV provides that the agreement shall 
apply on the part of both countries to the 
territories anci possessions included in their 
customs territories, the most impoi-tant of 
which in the case of the United States are 
Alaska, Hawaii, and Puerto Rico. The most- 
favored-nation provisions of the agreement 
will, however, apply also to those possessions of 
the United States which have separate tariffs, 
including the Philippines, the Virgin Islands 
of the United States, American Samoa, and 
the island of Guam. 

Article XVI excepts from the application of 
the agreement special advantages granted by 
the Government of either country to adjacent 
countries to facilitate frontier traffic, and ad- 
vantages accorded to any third country as a 
result of a customs union. There is also in- 
cluded the usual exception relating to special 
advantages accorded by the United States to 
the Republic of Cuba. 

Article XVII provides that nothing in the 
agreement shall prevent the adoption or en- 



forcement by either country of measures re- 
lating to imports or exports of gold and silver, 
sanitary regulations and the like, or measures 
relating to public security or imposed for the 
protection of the country's essential interests 
in time of war or other national emergency. 

Article XVTII provides that the agreement 
will come definitively into force 30 days after 
its proclamation by the President of the 
United States and the President of Mexico, or, 
in the event the proclamations do not take 
place on the same day, 30 days after the proc- 
lamation which is later in time. Article 
XVIII also provides that the agreement shall 
remain in force for a period of 3 years from its 
effective date unless terminated earlier pur- 
suant to the provisions of Article X or Article 
XL If, 6 months prior to the expiration 
of the 3-year period, neither Government has 
given the other notice of intention to terminate 
the agreement, it will continue in force there- 
after, subject to termination on 6 months' no- 
tice or pursuant to the provisions of Article X 
or Article XI. 



TABLE A 

Itemized List of Tariff Concessions Obtained From Mexico (Scheddle I) 

Note: The value of Mexican imports from the United States is converted to thousands of United States dollars 
from thousands of pesos at the following rates of exchange: 1 peso equals $0.1930 in 1939 and $0.1852 in 1940. 
N.A. means statistics not available; L.K. means legal kDo; G.K. means gross kilo; N.K. means net kilo. 



Mexican 

tariff 
fraction 


Description of article (abbreviated) 


Unit 


Pre-agree- 
ment 
duty 
(pesos) 


Agreement duties 
and extent of 
concessions 


Mexican im- 
ports from 
United States 
(in thousands 
of dollars) 


Duty 
(pesos) 


Reduc- 
tion 
(percent) 


1939 


1940 


1. 01. 42 


Cattle for breeding, except milch cows . . 


Head 
L.K. 
L.K. 
L.K. 

L.K. 
L.K. 

L.K. 
L.K. 
G.K. 
L.K. 
L.K. 


Free 
0.70 
0.70 
0.70 
0.70 
0.70 

0.70 
0.70 
0.40 
0.40 
0.40 


Free 
0.70 
0.70 
0.70 
0.70 
0.70 

0.70 
0.70 
0.40 
0.40 
0.30 


Bound 
Bound 
Bound 
Bound 
Bound 
Bound 

Bound 
Bound 
Bound 
Bound 
25 


14C 
15 
26 
13 
10 
25 

• n.a. 

>9 

2 

36 

21 


140 


1.20.00 


Sausages of meat 


'17 


1.20.02 


Ham, raw or cooked 


34 


1.20.03 


Bacon _ ... . 


26 


1. 20. 10 


Canned meats, not specified 


7 


1. 20. 19 
1.21.02 


Canned meat foods, even when containing vegetable products in any proportion, 

unspecified. 
Canned salmon, weighing up to 5 kilos 


29 


1.21.04 


Canned sardines, weighing 210 grams or over 


6 2 


1. 22. 00 


Eggs, fresh ._ 




1.22.12 


Milk, evaporated 


32 


1. 22. 13 


Milk in powder or pastilles, weighing up to 6 kilos 


22 









See footnotes at end ol table, p. 1066. 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1061 



TABLE A— Continued 
Itemized List of Tariff Concessions Obtained From Mexico (Schedule I) — Continued 



Description of article (abbreviated) 



Unit 



Pre-sKToe- 

nioDt 
duty 

(iXiSOS) 



Agreement duties 
and extent of 
concessions 



Duty 
(pesos) 



Reduc- 
tion 
(percent) 



Mexican im- 
ports (rom 
Unlled fstatea 
(In thousands 
of dollars) 



1939 



1940 



Milk in iiowder or pastilles, weighing more than S kilos 

Butter 

Cheddar cheese 

Stearic acids (In cakes) 

Animal tats, hydrogenated 

Hog lard in tank cars and tankers 

Hog lard in other containers 

Tanned hides, without hair 

Onions - - 

Wheat 

Oats, hulled (including oatmeal) 

Canned vegetable foods, not specified.. 

Canned asparagus 

Tomato sauce 

Canned tomatoes 

Plums 

Peaches 

Fresh fruit, not specified 

.\pples 

Pears.. 

Orapes 

Sliced dried fruits 

Prunes.- 

Raisins 

Canned fniits in syrup or in their juice 

Walnuts, imshelled 

Walnuts, shelled 

Wheat flour 

Prepared cereals and flour 

Oals, unhuUed 

Barley in the grain 

Cottonseed - 

Barley malt - - 

Hops 

Raw tobacco, Virginia type 

Raw tobacco, not specified, filler 

Cocoa butter _ 

Cigarettes 

Plj-wood -.- - 

Boards, planks or beams, of pine and spruce, up to 55 millimeters in thickness 

and more than 3.25 meters in length. 
Boards, planks or beams, of pine and sprace, more than 90 millimeters in 

thickness. 
Boards, planks or beams, not specified, up to 55 millimeters in thlclmess and 

more than three meters in length. 

Ordinary wood in boards, tongued, overlapped or grooved 

Pulp and fiber boards, weighing over 2 kilos per square meter.- 

Wooden ties, creosotcd 

Wooden posts over 4 meters In length 

Logs of ordinary wood - 

Wooden furniture, veneered with fine wood, not specified, not upholstered. In- 
laid, or ornamented with metal, and not with fabrics containing silk, but 

even with leather. 
Wooden furniture, veneered with fine wood, not specified, upholstered, but not 

inlaid, or ornamented with metal, and not with fabrics containing silk, but 

even with leather. 

See footnotes at end of table, p. 1066. 



L.K. 
L.K. 
L.K. 
O.K. 
O.K. 
N.K. 
O.K. 
L.K. 
O.K. 
O.K. 
O.K. 
L,K. 
L.K. 
L.K. 
L.K. 
O.K. 
O.K. 
O.K. 
O.K. 
O.K. 
O.K. 
O.K. 
O.K. 
O.K. 
L.K. 
O.K. 
O.K. 
L.K. 
L.K. 
O.K. 
O.K. 
O.K. 
O.K. 
L.K. 
L.K. 
L.K. 
L.K. 
L.K. 
O.K. 
100 O.K. 

100 O.K. 

lOO O.K. 

O.K. 

O.K. 
100 O.K. 
100 O.K. 
100 O.K. 

L.K. 



L.K. 



0.40 
0.80 
0.80 
0.25 
0.45 
0.23 
0.32 
6.50 
0.03 
0.10 
0.16 
0.50 
0.50 
0. CO 
0.60 
0.35 
0.35 
0.36 
0.35 
0.35 
0.35 
0.80 
0.80 
0.80 
2.00 
0.80 
1.00 
0.28 
0.80 
0.05 
0.05 
0.08 
0.17 
0.28 
2.30 
2.30 
0.40 
7.00 
0.10 
3.40 

0.40 

0.70 

0.04 

0.04 
50 
40 
40 
O90 



1.20 



0.3C 
0.80 
0.80 
0.25 
0.35 
0.18 
0.25 
8.60 
02 
0.08 
0.10 
0.40 
0.40 
0.60 
0.60 
0.25 
0.26 
0.26 
0.30 
0.26 
0.25 
0.20 
0.40 
0.60 
2.0O 
0.60 
O80 
0.28 
0.65 
0.05 
04 
0.06 
017 
0.20 
2.00 
2.30 
0.40 
7.00 
OlO 
3.40 

0.40 

0.70 

0.04 
0.04 
O50 
0.40 
O40 
O90 



1.20 



25 
Bound 
Bound 
Bound 

22.2 

21.7 

21.9 
Bound 

33.3 

40 

33.3 

20 

20 
Bound 
Bound 

28.6 

28.6 

28.6 

14.3 

28.6 

28.6 

76 

50 

37.6 
Bound 

25 

20 
Bound 

18.8 
Bound 

20 

25 
Bound 

28.6 

)3.0 
Bound 
Bound 
Bound 
Bound 
Bound 

Bound 

Bound 

Bound 
Boimd 
Bound 
Bound 
Bound 
Bound 



Bound 



28 

<24 

60 

30 

337 

226 

4T8 

18 

1,314 

24 

61 

29 

7 

"•n.a. 

3 

2 

7 

48 

n.a. 

61 

20 

21 

45 

n.a. 

' n.a. 

10 

18 

1 

130 

121 

208 

297 

12 

36 

78 

27 

60 

42 



10 
26 

•61 

96 

1 

851 

191 

477 

13 

60 

20 

39 

32 

7 

■* n.a. 

4 

3 

9 

66 

n.a. 

74 

17 

21 

37 

n.a. 

' n.a. 

7 

26 

O 

lOfi 

93 

334 

524 

6 

49 

118 

31 

91 

39 

94 

172 

93 
78 
9 
16 
62 



67 



1062 



DEPAETMENT OF STATE BULLETIN : DECEMBEK 26, 1942, SUPPLEMENT 



TABLE A — Continued 
Itemized List of Tariff Concessions Obtained From Mexico (Schedule I) — Continued 















Mexican im- 










Agreement duties 


ports from 










and extent of 


United States 








Pre-agree- 


concessions 


(in thousands 


Mexican 

tariff 


Description of article (abbreviated) 


Unit 


ment 
duty 
(pesos) 






of dollars) 


fraction 


















Duty 
(pesos) 


E educ- 
tion 
(percent) 


1939 


1940 


2.71.20 


Furniture of ordinary wood, not specified, not upholstered, inlaid, or ornamented 
with metal, and not with fabrics containinK silk, but even with leather. 


L.K. 


0.60 


0.60 


Bound 


30 


98 


2. 71. 21 


Furniture of ordinary wood, not specified, upholstered, but not inlaid, or orna- 
mented with metal, and not with fabrics containing silk, but even with 
leather. 


L.K. 


0.7B 


0.75 


Bound 


68 


60 


3. 01. 04 
3.01.05 
3. 01. 30 
3.01.31 


Cifvi fnr liphtintT nr fiipl in pvlindprs or drums. exceDt acetylene 


_ 


Free 


Free 


Bound 


25 


45 


On-i; fnr liplitinp nr fiipl in tank ears exceDt acetylene - 


_ 


Free 


Free 


Bound 


n.a. 


n.a 


Lia^ lur iigijLUig oi luei, m Ltiun v.tus, cAi.^ct.'v <*v.^i. j iv^^v. — ----• — __--... 

T nhri/iotino' (rroaupQ w/pit^ViiTlP iin tn 1 fcilo __--_-. 


O.K. 


0.25 


0.25 


Bound 


n.a. 


n.a. 


Lubricating greases, weighing more than 1 kilo but not more than 5 kilos. 


O.K. 


0.13 


0.13 


Bound 


n.a. 


n.a. 


3.01.32 
3. 01. 40 
3.21.09 
3. 23. 02 
3. 29. 12 
3.31.85 


T.nhripRfin? PTpfl9p<i wpiehinff more than 5 kilos . ____-- __---. 


O.K. 


0.09 


0.09 


Bound 


125 


170 


A^^inoro] vjqy nnH nnrfifflri _..__ ..- -- 


O.K. 


0.14 


0.14 


Bound 


683 


960 


RpfrHptnrv pIrv or parth not SDCCifled ...___>-__ ._-_---. .-. 


100 O.K. 


0.60 


0.60 


Boxmd 


86 


99 


Stilnlitir ._____- «.-.-. . . 


100 O.K. 


1.60 


1.60 


Bound 


131 


119 


O U. i p Li Ul _-, .------ . 

PpmpTit Roman or Portland . --- --------- 


O.K. 


0.02 


0.02 


Bound 


17 


40 


\_j ^x±±^ixitf ±.^\jm ui-i VI A \/i nt**!'-* — . — , — _..___ — — — - — — — — — — — — — — — — — — — — — 

Rpfrnftnrrj hrioV nnri tilp with fl base of sUicate of aluminum or of silica 


100 O.K. 


1.50 


1.50 


Bound 


196 


232 


XVcll t*U tUi J L/1 1L<I^ (lUl^ vllo, Vril'ii o L/cto\^ \/4 »j***\/i*v^* \jt *"^* •■■•«,**.••-- «*- ^#a h#—«B«K«,«. — — --- — - » 




3.31.86 
3.33.00 
3. 34. 35 
3. 34. 70 


T} nfraf*tnr\T VirifV «nH tilp nnt flTlPPlflpd - -_-- .-- 


100 O.K. 


0.20 


0.20 


Bound 


83 


70 


ivt'iruuiory uiilil uliu Lticr uui. sjjcv-iLicvi.- — ---- — .-- 

TTQlonoQ MTQrt" nnt QriPPlflpd _.-..-.. 


O.K. 


0.80 


0.80 


Bound 


16 


24 


oioGQ onH prv<;tnl flnt iin tn onfi npntimeter in thickness, not SDCcified 


O.K. 


0.20 


0.20 


Bound 


139 


190 


Glass or crystal worked into pieces, not specified, weighing up to 300 grams - 


O.K. 


0.70 


0.70 


Bound 


42 


67 


3. 34. 71 


Glass or crystal worked into pieces, not specified, weighing more than 300 grams. 


O.K. 


0.60 


0.60 


Bound 


S3 


96 


3.61.19 
3. 63. 03 
3. 54. 06 


Pnnnpr tnhinfr with an pvtpriof diameter ud to 15 millimeters . 


_ 


Free 


Free 


Bound 


n.a. 


n.a. 


\^UijLJlri L Li L' 1 i-l c^ , (V iVLl an v-»v^»*vi u^t^^^'v^^vA ^^f ^^^ " **'**'* ••■v.-fc^,.**,*..* - <- - — — — — - — . — . — — — . 

Trnn nr "^tppl wirp twisted barbed for fences -- 


100 O.K. 


0.50 


0.50 


Bound 


318 


363 


Screws and rivets of iron or steel of more than 40 millimeters and up to 40 centi- 


L.K. 


1.20 


1.20 


Bound 


49 


64 




meters in length, not specified. 














3. 64. 12 


Razor blades - 


100 pieces 


2.60 


2.30 


8 


63 


63 


3. 64. 49 


Cylinders of iron or steel, for holding gas for lighting or heating, except acetylene.. 


- 


Free 


Free 


Bound 


• 13 


• 66 


3. 64. 63 
3.64.64 
3. 64. 56 
3. 54. 57 
3.92.00 


Rpfrieerators weiehinc ud to 200 kilos 


L.K. 


0.50 


0.40 


20 


385 


687 


J.V\^ll l^l..l*H.*J10, Tlt.'l^tJlAJf^ ^-"f ^^ t^yf\t *»a«i_*^-_— —————— — — — ——— — — — — — — — — — — — — — — 

Rpfrippffttnr'; wpiphinff ovpi 200 kilos - - - 


L.K. 


0.4S 


0.35 


22.2 


41 


79 


iVtl 1 If^CM clCVJiOt Vrd^UlU^ vv \jL *j\>\j *v*Jv/iJ — — ——— — — * — - — - — - — — - ___ — ^fc- ———— — — — —— — ————— — — 

Fnrnifiirp nf iron or steel wftiffhinc un to 10 kilos, not specified 


L.K. 


0.80 


0.80 


Bound 


13 


24 


Furniture of iron or steel, weighing more than 10 kilos, not specified 


L.K. 


60 


0.60 


Bound 


63 


80 


Washstands, lavatories, bidets and drinking fountains of enamelled iron, weigh- 


O.K. 


0.30 


0.25 


16.7 


63 


86 




ing more than 5 kilos. 














3. 92. 03 
3.92.10 


Rnthtnhs nf pnampllpd iron weichinc more than 70 kilos _ -._-._... 


O.K. 


0.30 


0.25 


16.7 


37 


71 


Washstands. lavatories, bidets, drinking fountains and bathtubs of clay, china 


O.K. 


20 


0.20 


Bound 


37 


74 




or porcelain, weighing more than 5 kilos. 














3.92.11 
4. 16. 00 


Wnfprp1nspf9 anti urinals of rlav china or norcelain. &nd t)&rts 


O.K. 


0.20 


0.20 


Bound 


187 


214 


Vt ci vtrl ^iUSCv-J c*livl \Al iUOtO VI \^i<»Jf vt 1 i 1 IC* V* ^Vl \^\.'*V*Llf U**\A ^t«A 1AJ- — _. — ——— — -— — ———---. 

Cotton tire fabric --- - 


L.K. 


0.20 


0.16 


25 


593 


486 


4.15.90 


Cotton cloth, not of plain weave, weighing up to 60 grams per square meter 


L.K. 


10.10 


10.10 


Bound 


23 


117 


4.16.95 


Cotton cloth, not of plain weave, weighing more than 250 but not more than 
1,200 grams per square meter. 


L.K. 


3.40 


3.40 


Bound 


70 


104 


4. 17. 10 
4.18.09 
4. 18. 10 


Cnttnn plnfh nilpri wnxpd or nrpDared with Dvroxylin -- 


L.K. 


1.70 


1.70 


Bound 


121 


136 


Cotton corduroy, not specified 


L.K. 


4.90 


4.90 


Bound 


18 


37 


Cotton velvet, weighing up to 400 grams per square meter, even if figured 


L.K. 


4.90 


4.90 


Bound 


24 


26 


4.18.11 


Cotton velvet, weighing more than 400 grams per square meter, even if figured.. 


L.K. 


6.00 


6.00 


Bound 


22 


10 


4.60.02 


of any vegetable fiber except cotton, and even if containing threads of that 
material. 


Sq.M. 


6.30 


«.30 


Bound 


86 


113 


4.60.11 


Carpets of wool and other animal fibers, except silk, of looped or plush weave, 
on a base of cotton or wool, weighing more than 1,600 grams per square meter. 


Sq.M. 


11.20 


11.20 


Bound 


46 


69 


4.67.01 


Velvet of wool and other animal fibers, except silk, weighing more than 400 grams 
per square meter, even if figured. 


L.K. 


9.00 


8.10 


10 


■ 


25 


S. 02. 06 


Under and outer shirts and drawers of cotton cloth, not of plain weave, for mi-n 
and boys. 


L.K. 


14.70 


14.70 


Bound 


37 


62 


6.02.90 


Made-up wearing apparel, not specified, and separate parts when sewn, of cot- 
ton cloth, of plain weave, even with adornments or embroidery not of silk nor 
of false metal, of any kind. 


L.K. 


9.80 


9.80 


Bound 


40 


72 



See footnotes nt end of table, p. 1066. 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1063 



TABLE A— Continued 
Itemized List of Tariff Concessions Obtained From Mexico (Schedule I) — Continued 



Description of article (abbrovlatod) 



Unit 



ProaRrco- 
mont 
duty 
(pesos) 



AKrc<Miient duties 
and extent o( 
concessions 



Duty 

(pesos) 



Reduc- 
tion 
(percent) 



Mexican Im- 
ports trom 
United States 
(In thousands 
of dollars) 



1939 



1040 



Made-up wearlnK nppari'l. not spcelOed, and separate parts when sewn, of cot- 
ton cloth, nut uf plain weave, even with adornments or embroMi'ry nut of 
silk uor of lalse mcial. of any kind. 

Maiie-up wearing apparel, not specified, and sepan\te parts when sewn, of cloth 
of wool and other animal AIkts, except silk, wovi-n with yams, even with 
adurnnients or embroidery not of silk nor of false metal, of any kind. 

Made-up wearing apparel, nut six-cilled, and separate parts when sewn, of cloth 
of wool and otiier animal (ibcrs, except silk, when the weave contains threads 
in any pruporlion, e\en with adornments or embroidery not of silk nor of 
false metal, uf any kind. 

Made-up wearing apparel, not specified, and separate parts when sewn, of cloth 
ol wool and other auinial fllK'rs, except silk, when the weave contains threads 
in any proportion, with adornments or embroidery of silk, even with false 
metal, of any kind. 

Knit hosiery and socks of silk 

Knit hosiery and socks of silk, with mixture of other fiber in any proportion 

Fiber pocket books, writing and brief cases, rubberized, oiled, or waxed, with 
fibers not visible on the surface, weighing up to 500 grams. 

Mixtures of ethers and alcohols employed in the manufacture of varnishes or 
paints. 

Fruit essences or synthetic products imitating them, without alcohol 

Extracts not specified, for making soft drinks 

Extracts not specified, for making wines and liquors 

Bicarbonates of potassium and of sodium, weighing 5 kilos, not specified 

Medicinal granules, tablets, pastilles, perles and pills 

Drugs and pharmaceutical specialties, of any kind, not specified (the Mexican 
Government will not impose any certification requirement or any otlier 
formality for the importation, registration, licensing or sale of pharmaceutlcjil 
specialties and patent medicines which Is Impossible of fulfilment in the 
United States because of lack of a duly authorized Federal Agency). 

Cosmetics, perfumed or not 

Polishes and stains tor shoes and leather weighing over 5 Mlos 

Prepared floor wax, weighing up to 5 kilos 

Prepared floor wax, weighing over 5 kilos 

Varnishes and paints prepared with a base of alcohol or ether 

Prepared varnishes and paints, weighing up to .'> kilos, not specified 

Prepared varnishes and paints, weighing over 5 kilos, not specified 

Tire repair kits 

Orapc Juice, with a density up to 1.25 at a temperature of 15 degrees centigrade 

Fruit Juices, not specified, with a density up to 1.25 at a temperature of 15 degrees 
centigrade. 

Fruit juices, not specified, with a density exceeding 1.25 at a temperature of 15 
degrees centigrade. 

Wines, red, white, and full-bodied, with alcoholic strength up to 14 centesimal 
degrees Oay-Lu.ssac, at a temperature ol 15 degrees centigrade, in containers 
of wood or metal. 

Wines, red, white, and full-bodied, with alcoholic strength up to 14 centesimal 
degrees Oay-Lussac. at a temperature of l.'i degrees centigrade, In containers 
of earthenware, porcelain, glass or others not specified. 

Bourbon and rye whiskey, with alcoholic strength greater than 23 but not ex- 
ceeding 65 centesimal degrees Gay-Lussac at a temperature of 15 degrees 
centigrade, in containers of wood or metal. 

Bourbon and rye whiskey, with alcoholic strength greater than 23 but not ex- 
ceeding 55 centesimal degrees Oay-Liissac, at a temperature of 15 degrees 
centigrade, in containers of earthenware, porcelain, glass or others not 
specified. 
See footnotes at end of table, p. 1066. 



L.K. 



L.K. 



I,.K. 



L.K. 



Pair 
Pair 
L.K. 

L.K. 

L.K. 
L.K. 
L.K. 
G.K. 
L.K. 
L.K. 



L.K. 
G.K. 
O.K. 
G.K. 
G.K. 
O.K. 
O.K. 
L.K. 
O.K. 
L.K. 

L.K. 

O.K. 

O.K. 

L.K. 

L.K. 



11.20 



23.00 



2T. 00 



1.00 
1.00 
5.00 

0.25 

15.00 
3.00 
3.00 
0.07 
l.,"* 
1.00 



7.0O 


0.38 


0.75 


0..W 


0.00 


0.60 


0.40 


1.60 


0.25 


i.no 


3.00 


0.30 


o.so 


4.76 O.K. 


5.00 O.K. 



27.00 



3.'! 00 



1.00 
1.00 
5.00 

0.15 

15.00 
3.00 
3.00 
0.04 
l.iiO 
1.00 



6.60 
0.38 
0.75 
0.50 
0.60 
0.00 
0.40 
1.00 
0.25 
1.00 

3 00 

0.30 

0.50 

2.25 



Bound 



Bound 



Bound 



Bound 



Bound 
Bound 
Bound 

40 

Bound 
Bound 
Bound 
42.8 
Bound 
Bound 



7.1 
Bound 
Bound 
Bound 
Bound 
Bound 
Bound 
37. S 
Bound 
Bound 

Bound 

' Bound 

» Boiud 

62.6 



20 



28 



68 
34 
35 



21 

199 

4 

&3 
233 
135 



73 
53 
4 

n.a. 
81 
44 

232 

1 

23 

15 



27 



74 
31 
29 



41 

432 

6 

55 

286 

224 



62 

41 

5 

n.a. 

113 

50 

264 

1 

19 
35 



<« 



1064 



DEPARTMENT OF STATE BULLETIN : DECEMBER 2 6, 1 9 4 2 , SUPPLEMENT 

TABLE A — Continued 
Itemized List of Tariff Concessions Obtained From Mexico (Schedule I) — Continued 















Mexican im- 










Agreement duties 


ports from 










and extent of 


United States 








Pre- agree- 


concessions 


(in thousands 


Mexican 
taiifl 


Description of article (abbreviated) 


Unit 


ment 
duty 






of dolHrs) 


fraction 






(pesos) 


















Duty 
(pesos) 


Reduc- 
tion 
(percent) 


1939 


1940 


7.11.08 


Bourbon and rye wliiskcy, with alcoholic strength greater than 56 centesimal 
degrees Gay-Lussac, at a temperature of 15 degrees centigrade, in containers 
of wood or metal. 


L.K. 


6. 50 O.K. 


3.00 


45.6 


•9 


'1 


7.11.09 


Bourbon and rye whiskey, with alcohohc strength greater than 56 centesimal 
degrees Gay-Lussac, at a temperature of 15 de ,rees centigrade, in containers 
of earthenware, porcelain, glass or others not specified. 


L.K. 


6.60 G.K. 


3.25 


50 


n.a. 


n.a. 


7.32.01 


Shoes with upper or sole of skin or leather, more than 20 centimeters in length 
and with double seam stitching. 


Pair 


5.10 


5.10 


Boimd 


17 


18 


7.32.12 


Shoes with upper or sole of skin or leather, more than 20 centimeters in length, 
not specifled. 


Pair 


4.30 


4.30 


Bound 


26 


36 


7. 41. 21 


Unexposed photographic films in blank, not specified 


L.K. 


I. 00 


1.00 


Bound 


157 


226 


7.41.26 


Positive, exposed, motion-picture films, not specified, when measuring more 
than 20 miUimeters in width, with direct impression of sound or "photocell", 
in any language, even with music (the Mexican Government agrees to permit 
temporary entry of such films under bond for preliminary showing and censor- 
ship and no duties wUl be collected if films are reexported within 30 days 
without public showing). 


L.K. 


20.00 

or 

(40.00 


20.00 


Bound 
or 
50 


259 


281 


7.44.10 


Sheets of ebonite, gutta-percha or similar pastes, not decorated, not specified _ 


L.K. 


0.08 


0.08 


Boimd 


21 


12 


7. 44. 11 


Sheets of ebonite, gutta-percha or similar pastes, decorated 


L.K. 


0.50 


0.50 


Bound 


n.a. 


n.a. 


7.44. 12 


Tubes of ebonite, gutta-percha or similar pastes 


L.K. 


0.26 


0.25 


Bound 


n.a. 


n.a. 


7. 44. 13 


Rods of ebonite, gutta-percha or similar pastes ,. 


L.K. 


0.25 


0.26 


Bound 


2 


1 


7.44 90 


Manufactured articles, not specifled, of pastes similar to casein, celluloid, gelatin, 
gutta-percha and rubber, even containing ordinary metal oi any kind, weigh- 
ing each up to 10 grams. 


L.K. 


10.00 


10 00 


Bound 






7. 44. 91 


Manufactured articles, not specified, of pastes similar to casein, celluloid, gelatin, 
gutta-percha and rubber, even contaming ordmary metal of any kind, weigh- 


L.K. 


8.00 


8 00 


Bound 


107 


146 




ing more than 10 but not more than 50 grams. 












7. 44. 92 


Manufactured articles, not specifled, of pastes similar to casein, celluloid, gelatin, 
gutta-percha and rubber, even containing ordinary metal of any kind, weigh- 
ing more than 60 but not more than 100 grams. 


L.K. 


6.00 


6.00 


Bound 






7.44.93 


Manufactured articles, not specifled, of pastes similar to casein, celluloid, gelatin, 
gutta-percha and rubber, even containing ordinary metal of any kind, weigh- 
ing more than 100 grams. 


L.K. 


2.50 


2 50 


Boimd 






7. 51. 12 


Paper of the natural color of the pulp, weighing more than 50 but not more than 
100 grams per square meter. 


L.K. 


0.14 


0.14 


Bound 


38 


80 


7.51.13 


Paper of the natural color of the pulp, not specified, weighing more than 100 
grams per square meter. 


L.K. 


0.10 


0. 10 


Bound 


34 


80 


7.52.02 


Paper of any kind, not specifled, weighmg up to 100 grams per square meter, cut 
in strips up to 10 centimeters wide. 


L.K. 


0.80 


0.80 


Bound 


229 


149 


7. 52. 03 


Paper of any kind, not specified, weighing more than 100 grams per square 
meter, cut in strips up to 10 centimeters wide. 


L.K. 


0.60 


0.60 


Bound 


37 


61 


7. 52. 05 


Toilet paper and cleansing tissue 


L.K. 


0.26 


0.26 


Bound 


30 


61 


7. 53. 30 


Advertisements, calendars and catalogues, not specified 


L.K. 


3.00 


3.00 


Boimd 


48 


65 


7.90.15 


Beacons, lamps, lanterns, or reflectors of any kind, adapted for lighting by means 
of dry batteries or electric generators, weighing up to 5 kilos. 


L.K. 


2.40 


2.00 


16.7 


48 


46 


7. 99. 30 


Linoleum 


L.K. 
L.K. 
O.K. 
O.K. 


1.00 
0.80 
0.04 
0.06 


0.80 
0.02 
0.02 


50 
Bound 

50 
66.7 


34 
20 

229 
49 


66 


8. 10. 40 


Dry electric cells _ _ ___ _ 


21 


8. 20. 14 


Threshers _ _ 


153 


8.21. 10 


Passenger elevators and operating equipment - 


135 


8.23.90 


Machines, not specified, operated by mechanical means, weighing up to 100 
kilos each. 


G.K. 


0.08 


0.04 


50 


374 


423 


8.23.91 


Machines, not specified, operated by mechanical means, weighing more than 100 

kilos. 
Sewing machines, pedal or crank, weighing up to 100 kilos each 


O.K. 


0.00 


O.O.I 


50 


1,136 


1,467 


8. 31. 00 


O.K. 


0. 10 


0.05 


60 


416 


636 


8. 40. 01 


Radio receiving apparatus, with cabinet 


L.K. 


1.20 


1.00 


16.7 


1,201 


1,378 



See footnotes at end of table, p. 1066. 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1065 



TABLE A— Continued 
Itemized List or Tariff Concessions Obtained From Mexico (Schedule I) — Continued 









Pre-agrco- 


Agreement duties 
and extent of 
concessions 


Mexican Im- 
ports from 
United State* 
(In thousaiuls 


taria 
fraction 


DescrlpUoD of article (abbreviated) 


Unit 


mont 
duty 
(pesos) 






of dollars) 


Duty 
(pesos) 


Reduc- 
tion 
(percent) 


1939 


1940 


a 41. 00 


Electric fans and ventUators, weighing up to 20 kilos each.. 


L.K. 
L.K. 


0.80 
0.30 


0.60 
0.30 


37.6 
Bound 


26 

36 


36 


8.41. 19 


Electric Irons 


46 


a 41. 20 


Electric stoves, neighing up to 40 kilos each 


L.K. 


1.00 


1.00 


Bound 


14 


18 


a 41. 21 


Electric stoves, weighing more than 40 kilos each 


O.K. 
O.K. 


0.15 
0.40 


0.15 
0.40 


Bound 


10 
4 


14 


a41.33 




24 


a 42. 30 


Tubes for radio apparatus 


Each 


05 


0.03 


40 


97 


134 


a 42. 39 


Separate parts and repair pieces, not specified, for radio apparatus 


L K. 


0.40 


0.20 


50 


139 


133 


a so. 00 


Calculating machines 


L.K. 


1.00 


0.50 


60 


305 


346 


a 50. 01 


Maciiioes for registering sales ,. 


L.K. 


0.60 


O40 


33.3 


31 


77 


a 50. 10 




Q K 


60 


0.25 


60 


16 


21 


a 50. 11 




L K 


0.60 


0.60 




362 


' 398 


a 52. 21 


Stoves and heaters, not electric, weighing more than 40 but not more than ISO 
kilos each. 


O.K. 


0.15 


OlO 


33.3 


44 


41 


ass. 00 


Fire extinguishers, with up to six spare charges 


O.K. 


a 10 


05 


50 


22 


29 


a 61. 20 


Belting, not endless, for machinery, made of rubber or of cloth Impregnated with 
this material. 


O.K. 


0.76 


0.76 


Bound 


135 


136 


a 65. 29 




O K 


0.40 


0.40 




140 


168 


a 65. 50 


Spark plugs 


O.K. 


0.60 


25 


60 


84 


82 


a 65. 51 


Pistons for combustion motors, weighing up to 5 kilos each 


O.K. 
L K 


0.60 
1.20 


0.45 
1.00 


10 
16.7 


71 
281 


72 


9. 10. 00 




246 


9. 10.01 




L K 


1.20 


1.00 


16.7 


45 


120 


9. 10. 02 




L K 


1.20 


0.60 


50 


24 


34 


9. 10. 17 






Free 


Free 


Bound 


71 


109 


9.11.00 


Cinematographic apparatus and magic lanterns, weiphing up to 20 kilos each 


L.K. 


1.00 


0.50 


60 


22 


44 


9.11.01 


Cinematographic apparatus and magic lanterns, weighing more than 20 kilos each . 


L.K. 


0.80 


0.50 


16.7 


85 


77 


9. 52. 00 


Passenger automobiles, up to 4 cylinders, not specified 


Each 


250.00 


250.00 


Bound 


»89 


'54 


9.52.01 


Passenger automobiles, over 4 but not over 6 cylinders, with a capacity of up to 
6 passengers, not specified. 


Each 


700.00 


700.00 


Bound 


» 1,047 


'923 


9. 52. 02 


Passenger automobiles, over 4 but not over 6 cylinders, with a capacity of over 6 
and up to 9 passengers, not specified. 


Each 


700.00 


700.00 


Bound 


»92 


'159 


9.52.03 


to 6 passengers, not specified. 


Each 


700.00 


700.00 


Bound 


'1,774 


'2,321 


9.52.04 


Passenger automobiles, over 6 and up to 8 cylinders, with a capacity of over 6 and 
up to 9 passenccrs. not specified. 


Each 


700.00 


700.00 


Bound 


»63 


'67 


9. 52. 05 






2.000.00 


2. 000. 00 




» 1 


'68 


9. 52. 06 


Busses 


Each 


2, 000. no 


1,600.00 


20 


»24 


'22 


9. 52. 10 


Trucks, up to 4 cylinders, with stake body, with or without cab 


Each 


100.00 


100.00 


Bound 


»15 


'7 


9.52.11 


Trucks, over 4 cylinders, with stake body, with or without cab 


Each 


300.00 


300.00 


Bound 


»675 


'463 


9.52.12 


Trucks, with closed body, or not specified.. .. . 


Each 


300.00 


300.00 


Boimd 


»444 


'422 


9. 52. 31 


Chassis of automobiles of all kinds with over 4 cylinders, not specified 


Each 


100.00 


100.00 


Bound 


»463 


' 279 




















tion of the Mexican General Tarill of Imports shall be amended to read as follows: 
















"In the vehicles to which the fractions refer, there shall be admitted as an in- 
















tefrral part thereof, the appropriate equipment of the car includin? one spare wheel 
















and rim. but excluding spare tires. Radio apparatus and bumpers shall pay in 
















addition the duty established in the respective fractions." 














9. 55. 10 




O.K. 
L.K. 


03 
0.80 


0.02 
0.40 


33.3 
50 


498 
108 


676 


9 5a27 


Separate parts and repair pieces, not specified, for automobile bodies ... 


122 


9.56.32 


Pneumatic rubber tires, weighing up to 10 kilos each, not specified 


O.K. 


2.00 


1.60 


20 


21 


18 


9. 56. 33 


Pneumatic rubber tires, weighing more than 10 kilos each, not specified 


O.K. 


2.50 


2.50 


Boond 


127 


91 



See footnotes at end of table, p. 1066. 



1036 DEPARTMENT OF STATE BULLETIN : DECEMBER 2 6, 1 942, SUPPLEMENT 

TABLE A— Continued 
Itemized List of Tariff Concessions Obtained From Mexico (Schedule I) — Continued 



Mexican 

tarlfl 


Description of article (abbreviated) 


Unit 


Pre-agree- 
ment 
duty 
(pesos) 


Agreement duties 
and extent of 
concessions 


Mexican im- 
ports from 
United States 
(in thousands 
of dollars) 


fraction 


Duty 

(pesos) 


Reduc- 
tion 
(percent) 


1939 


1940 


9.56.35 

9. 56. 38 

9. 56. 40 

9. 56. 42 
9. 56. 88 


Wlieels with pneumatic rubber tires, with or without inner tubes, for automo- 
biles. 

Wheels, without tires, for automobiles, and hubs, spotes, and rims for the same. 

Motors and their propelling mechanism, for automobiles, and their separate 
parts and repair pieces, not specified, in conformity with catalogs required of 
importers. 


O.K. 

O.K. 

L.K. 

L.K. 
O.K. 


2.00 

1.00 
0.30 

0.80 
0.50 


1.60 

0.75 
0.20 

0.40 
0.30 


20 

25 
33.3 

60 
40 


65 

73 
971 

56 
26 


118 

81 
1,014 

65 


Pneumatic rubber tires, when the diameter of the inner circumference or that 
which corresponds to the wheel or rim, measures more than 60 centimeters 
across the extremity of the opening, not specified. 


19 



» United States exports to Mexico of all canned salmon were valued at $10,000 in 1939 and $5,000 in 1940. 

t> Imports of all carmed sardines. 

e Imports of all cheese. 

•" United States exports to Mexico of canned tomatoes were valued at .$2,300 in 1939 and $1,600 in 1940. 

• United States exports to Mexico of walnuts were valued at $3,100 in 1939 and $4,500 in 1940. 
/ Less than $500. 

« Imports of all iron and steel cylinders for holding gas. 

» However, the duty is reduced on wines with alcoholic strength of over 12 and up to 14 degrees through a broadening by the agreement of the tariff 
classification to include wines of such strength. 

• Imports of all alcoholic beverages of this strength. 

I The rate of 40 pesos applied to annual imports in excess of 100,000 meters or when certain conditions of importation were not fulfilled. 

• Imports of assembled automobiles only. 

TABLE B 

Itemized List of Tariff Concessions Made to Mexico (Schedule II) 

Note: Except as otherwise noted, import data for dutiable products do not include imports free of duty under 
special provisions of the Tariff Act of 1930, or imports from Cuba subject to preferential reduction in duty. N.A. 
means statistics not available. 



Paragraph 

number in 

Tariff Act 

of 1930 


Item (abbreviated description) 


Rate of duty 


Ad val. 
before 
agree- 
ment 

(percent) 
(basis 
1939 

imports) 


United States imports for consump- 
tion (in thousands of dollars) from— 


Before agreement 


After agreement 


Mexico 


All countries 


1939 


1940 


1939 


1940 








12W% ad valorem ' 
2M*perlb 

IMotpcrlb. 

U^perlb 

2M% ad valorem.. 
15t per lb 


35 

39 

26 

5 
4 


2 

143 
902 


3 

182 
1,653 


16 

134 
11 

151 

3,502 


36 


48 


Citrous fruit juices, unfit for bever- 
age purposes. 
Zinc oxide and leaded zinc oxides 
containing not more than 25 
per centum of lead: 

In any form of dry powder 

Ground in or mixed with oil or 
water. 
Turpentine and rosin 


6^ per lb 


- 


77 


1^4^ per lb 






37 




2W^ Der lb 


8 


90 


6% ad valorem 


185 






16* per lb. (reduced from 30« 
per lb. in agreement with 
France effective 6/16/36). 


4.913 











See footnotes at end of table, pp. 1082-1083. 



TRADE AGREEMENT WTTH MEXICO: ANALYSIS 



1067 



TABLE B— Continued 
iTEMiiED List of Tariff Concebsionb Made to Mexico (Schedule II) — Continued 







Rate of duty 


Ad val. 


United States iniiwrts for con.<!ump- 






before 


tlon (In thousands of dollars) from— 


Pftrftf:raph 

imiiibtT In 

Tiirllt Act 

of IVtiO 


Item (abbreviated dewrlpUoD) 




agree- 
ment 
(percent) 
(basis 






After agreement 


Mexico 


All countries 






Before agreement 


1939 


















Imports) 


1939 


1940 


1939 


1940 


gS 


Zinc sulphate . 


at per lb 


H< per lb 


39 


3 





13 


8 


anw 


Cement floor and wall tiles: 
Valued at not more than 40^ 
per squar>' toot: 


















Full-duty imports 


10* per sq. ft. but not less 


6< per sq. ft., but 
not less than 


GO 


1 


1 


1 


1 






than SO^o nor more than 
















70% ad valorem. 


25% nor more 
than 35% ad 
valorem. 














Imoorts from Cuba 


a per sq. ft., but not less 
than 207o nor more than 


Kt per sq. ft., but 
not less than 


27 






2 


1 




A AAA|J\/4 <n9 4 A V*Jfc* ^rft^m^tM^ .*.--*-•*-- 
















28% ad valorem (net rate) 


20% nor more 
















(Reduced from St per sq. 


than 28% ad 
















ft., but not less than 40% 


valorem (net 
















nor more than 60% ad 


rate). 
















valorem (net rate) in 


















agreement with Cuba, 


















effective 9/3/34). 




/ 












Valued at more than AOt per 


















square foot: 


















Full-duty imports 


60% ad valorem 


30% ad valorem . . . 
24% ad valorem. 


60 


(•) 


_ 


(') 


_ 




Imports from Cuba— 


24% ad valorem (net) (Re- 
duced from 48% ad val- 


24 




(') 






















orem (net) in agreement 


















with Cuba, effective 


















9/3/34). 














202(b) 


Mantles, friezes, and articles of 


50% ad valorem 


25% ad valorem. -. 


50 


(•) 


(•) 


2 


1 


tiling. 














207 


Fluorspar: 


















More than 97% calcium fluoride - 


$4.20 per ton (reduced from 
$5.60 per ton in agreement 
with United Kingdom, ef- 
fective 1/1/39). 


$4.20 per ton 


10 


7 


21 


79 


59 




Not more than 97% calcium 


$8.40 per ton - 


$6.30 per ton 


100 


_ 


_ 


98 


84 




fluoride. 
















210 


Earth nware of unmixed clay and 
sfneware: 






















Not^ornamented 


15*55. ad valorem 


10% ad valorem 


15 


(<) 


(•) 


10 


4 




Orn amented — 


k\f ^Q UVA T baftv^t v*A«.. ----- ------- 

20*^ ad valorem 


10% ad valorem... 


20 


11 


15 


15 


17 


211 


Earthenwarel having a body not 
artiflcial y colored and com- 


4/V /Q *«\* ■ ***UM -^m^^ _ 


















posed wholly of clay: 


















Not painted or ornamented'' 


10< per doz. pieces and 46% 
ad valorem. 


ht per doz. pieces 
and 25% ad va- 
lorem. 


50 


(') 


(') 


(0 


(') 




i'amted,or ornamented-' 


10^ per doE. pieces and 50% 
ad valorem (10< per doz. 
pieces and 30% ad valorem 
applicable to plates, cups, 
and saucers of sizes and 
minimum values per dozen 
as specified in agreement 
with United Kingdom, ef- 
fective 1/1/39). 


a per doz. pieces 
and 25% ad va- 
lorem. 


68 


14 


18 


14 


18 


213 


Graphite: 


















Amorphous.. . 


6% ad valorem (Reduced 
from 10% ad valorem in 


6% ad valorem 


6 


106 


134 


284 


497 




















agreement with United 


















Kingdom, effective 1/1/39). 















See footnotes at end of table, pp. 1082-1083, 



1068 DEPARTMENT OF STATE BULLETEST: DECEMBER 26, 19 42, StlPPLEMENT 

TABLE B — Continued 
Itemized List of Tariff Concessions Made to Mexico (Schedule II) — Continued 







Rate of duty 


Ad val. 


United States imports for consump- 






before 


tion (to thousands of dollars) from— 


Paragraph 


Item (abbreviated description) 




agree- 
ment 
(percent) 




number in 
Tarifl Act 






Mexico 


All countries 


of 1930 




Before agreement 


After agreement 


(basis 
1939 
























imports) 


1939 


1940 


1939 


1940 


218(0 

232(a) 


Bubble glass* 


60% ad valorem 


30% ad valorem... 


60 


17 


19 


17 


19 


Onyx'. 


32Hi per cu. ft. (Reduced 


32Hi per cu. ft.... 


11 


47 


68 


102 


116 






from 6M per cu. ft. in agree- 


















ment with Argentina, ef- 


















fective 11/15/41). 














302(b) 


Molybdenum ore or concentrates. . 


3bt per lb. on the metallic 
molybdenum contained 
thereto. 


17H^ per lb. on 
the metallic mo- 
lybdenum con- 
tained thereto. 




(•) - 




(•)- 




339 


Table, household, kitchen and 


40% ad valorem 


22H% ad valorem. 


40 


n. a. 


n. a. 


0. a. 


n. a. 




hospital utensils, and hollow 


















or flatware, of tin or tinplate. 
















391 


Lead-bearing ores, flue dust, and 


IHi per lb. on the lead con- 


Hi per lb. on the 


35 


MIO 


»381 


* 1,045 


»4,646 




mattes of all tinds. 


tained therein. 


lead contatoed 
thereto. 














Lead in zinc ores, not recoverable.. 


mt per lb. on the lead con- 


m per lb. on the 




(reported to quantity only) 






tamed thereto. 


lead contatoed 
thereto. 














Provided, That effective thirty 


















days after the termination of 


















the unlimited national emer- 


















gency proclaimed by the Presi- 


















dent of the United States of 


















America on May 27, 1941, the 






• 












rate of duty on lead-bearing 


















ores, flue dust, and mattes of 


















all kinds shall be 




IHiperlb. on the 
lead contatoed 


























thereto. 












392 


Lead bullion or base bullion, lead 


2H^ per lb. on the lead con- 


Wei per lb. on 














in pigs and bars, lead dross, re- 


tained therein. 


the lead con- 














claimed lead, scrap lead, anti- 




tained therein. 














monial lead, antimonial scrap 


















lead, type metal. Babbitt- 


















metal, solder, all alloys or com- 


















binations of lead, n. s. p. (. 


















Bullion or base bullion 






45 
115 


» 158 
4 


*913 
1,863 


»168 
176 


»920 




Pigs and bars 






2,269 




Reclaimed, scrap, dross, and 
lead, n. s. p. f. 






46 


1 


(') 


»3 


»3 












Babbitt metal and solder 






6 


(') 


~ 


1 


902 




Alloys and combinations of 










lead, n. s. p. f.t 


















In chief value of lead 






2 
36 


38 


103 


96 
38 


. 




Not in chief value of lead 






124 




Type metal and antimonial lead. 






108 




Provided, That effective thirty days 


















after the termination of the un- 


















limited national emergency 


















proclaimed by the President of 


















the United States of America 


















on May 27, 1941, the rate of 


















duty on the foregoing articles 


















shall be _ 


IMoiperlb. onthe 
lead contained 






















1 


thereto. 













See footnotes at end of table, pp. 1082-1083. 



TRADE AGREEMENT \nTH MEXICO: ANALYSIS 



1069 



TABLE B— Continued 
Itemized List of Tariff Concesbions Made to Mexico (Schedule II) — Continued 



Item (abbreviated description) 



Rate of duty 



Before agreement 



A/ter agreement 



Ad val. 
before 
agree- 
ment 

(percent) 
(basis 
1939 

imports) 



United States imports for consump- 
tion (in thousands of dollars) from— 



Mexico 



193t 1940 



All countries 



1830 1940 



Zlnc-boariuc ores of all kinds, ex- 
cept pyritos coutainiDK not 
more than 3 per centum linc. 



Prmidrd, That effective thirty days 
after the termination of the un- 
limited national emergency 
proclaimed by the President 
of the United States of Amer- 
ica on May 27, 1941, the rate of 
duty on zinc-bearinR ores of all 
kinds, except pyrites contain- 
ing not more than 3 per centum 
line, shall be 



\\it l>or lb. on the rinc con- 
tained therein (Reduced 
from Uif per lb. In ogrec- 
ment with Canado, effec- 
tive 1/1/39). 



M< per lb. on the 
zinc contained 
therein. 



62 



'302 



•410 



• 1,304 



Zinc: 
In blocks, pigs, or slabs, and zinc 
dust. 



In sheets 

In sheets coated or plated with 
nickel or other metal (except 
gold, silver, or platinum), or 
solutions. 
Old and worn-out zinc, fit only 
to be remanufactured. zinc 
dross, and zinc skimmings. 
Prorided, That effective thirty 
days after the termination of 
the unlimited national emer- 
gency proclaimed by the Presi- 
dent of the United States of 
America on May 27, 1941, the 
foregoing articles shall bo duti- 
able as follows: 
Zinc in blocks, pigs, or slabs, and 
zinc dust. 

Zinc in sheets... 

Zinc in sheets coated or plated 
with nickel or other metal 
(except gold, silver, or plati- 
num), or solutions. 
Old and worn-out zinc, fit only to 
be remanufactured, zinc 
dross and zinc skimmings. 



l^H per lb. (Reduced from 
IHt per lb. in agreement 
with Canada, effective 
1/1/39). 

2eperlb.. 

2!4«perlb 



lH*perlb. 



Hit per lb. on the 
zinc contained 
therein. 

H* per lb 

U per lb 

l>«perlb 

Htperlb 



46 



<872 



< U» 



' 1,894 



(«) 



137 



mt per lb. 

2t per'lb. 
2y,t per lb. 



Hit per lb. 



Note: Nothing In items 391, 392, 
393 or 394 shall require the imposi- 
tion of a duty on any nonferrous 
metal scrap which is free or duty 
pursuant to Public Law 497, 77th 
Congress. 

See footnotes at end of table, pp. 1082-1083. 



1070 



DEPARTMENT OF STATE BULLETIN: DECEMBER 26, 1942, SUPPLEMENT 

TABLE B— Continued 
Itemized List op Tariff Concessions Made to Mexico (Schedule II) — Continued 







Rate of duty 


Ad val. 


United States impoits for consump- 






before 


tion (in thousands of dollars) from— 


Paragraph 


Item (abbreviated description) 




agree- 
ment 
(percent) 




number in 
Tari£E Act 






Mexico 


All countries 


of 1930 




Before agreement 


After agreement 


(basis 
1939 
























imports) 


1939 


1940 


1939 


1940 


397 


Articles or wares n.s.p.f. of tin or 
tinplate (other than contain- 


45% ad valorem 


22H% ad valorem. 


46 


(•) 


(.') 


33 


37 










ers). 
















401 -- 


Pine lumber and timber, sawed: 
Northern white and Norway.. 


50^ per M feet, board meas- 


50* per M feet, 


2 


. 


_ 


2,736 






3,393 






ure (Reduced from $1 per 


board measure. 
















M feet, board measure in 


















first Canadian agreement, 


















effective 1/1/36; bound in 


















second Canadian agree- 


















ment, effective 1/1/39). 














401 (and Sec. 


Other 


50i per M feet, board meas- 


50(! per M feet, bd. 


g 


53 


79 


467 


333 


3 4 2 4 (a) 




ure plus $1.50 import tax. 


measure plus 












I.R.C.). 




per M feet, board measure 
(Reduced from $1 per M 
feet, board measure plus 
$3 import tax, per M feet, 
bd. measure in first Ca- 
nadian agreement, effec- 
tive 1/1/36; bound in second 
Canadian agreement, ef- 
fective 1/1/39). 


$1.50 Import tax 
per M feet, bd. 
measure. 












404 (and Sec. 


Mahogany, sawed, and flooring 
















3 4 2 4 (a) 


Full-duty imports 


7H% ad valorem plus $1.50 


7^^% ad valorem 


18 


(«) 


2 


(') 


4 


I.E.C.). 




import tax per M feet, 
board measure (Reduced 
from 15% ad valorem plus 
$3 import tax per M feet, 
board measure, in agree- 
ment with Peru, effective 
7/29/42). 


plus $150 Im- 
port tax, per M 
feet, bd. meas- 
ure. 














Imports from Cuba... 


(i% ad valorem plus $1.20 


6% ad valorem 


7 






6 


11 






import tax per M feet bd. 


plus $1.20 im- 
















measure (net rate.)* (Re- 


port tax, per M 
















duced from 12% ad valorem 


feet, board meas- 
















plus $2.40 import tax, per 


ure (net rate). ( 
















M feet, board measure (net 


















rate) in agreement with 


















Cuba, effective 9/3/34). 














407 


Packing boxes and packing-box 


15% ad valorem 


7H% ad valorem. 


16 


<6 


«9 


» 18 


>20 




shooks. 
















408.. 


Containers of citrus fruits 


25% ad valorem 


12H% ad valorem. 


26 


4 


4 


13 


11 



See footnotes at end of table, pp. 1082-1083. 



TRADE AGREEMENT \\aTH MEXICO : ANALYSIS 

TABLE B— Continued 
Itemized List of Tariff Concessions Madb to Mexico (Schedule II) — Continued 



1071 



ParnRrftph 

number In 

T»rlfl Act 

of 1930 



Item (Abbreviated deccrlptlon) 



Rat« of duty 



Before agreemeot 



After agreement 



Ad val. 
before 
BRree- 
ment 

(percent) 
(basis 
1939 

imports) 



United States imports for consump- 
tion (in thousands of dollars) from— 



Mexico 



1939 1940 



All oountrte 



1839 1940 



Spring clothespins. 



701. 



Cattle; 
Weighing less than 200 pounds 
each: 
Within quota of 100.000 head 
entered in any calendar 
year. 



In excess of quota.. 



Weighing 200 or more but less 

than seven hundred pounds 

each. 

Weighing 700 pounds or more 

each (except cows imported 

specially for dairy purposes) : 

Within quota of 225.000 head 

entered in any calendar 

year. 



In excess of quota. 



IM per gross (Reduced from 
20^ per gross in agreement 
with Sweden, effective 
8/5/38). 



1M< per lb. (Reduced from 
2^it l>er lb. on 81. 933 head 
(weighing less than 175 lbs. 
each) per calendar year In 
first Canadian agreement, 
effective 1/1/36. Quota 
Increased to 100,000 head 
(weighing less than 200 lbs. 
each) in second Canadian 
agreement, ellective 
1/1/39). 

2H< per lb. (Bound In Ca- 
nadian agreement, effec- 
tive 1/1/39). 

2>4<perlb 



See footnotes at end of table, pp. 



lM<perlb. (Reduced from 

3t to 2t per lb. on 155,799 
head per calendar year in 
first Canadian agreement, 
effective 1/1/36; further re- 
duced to IHt per lb. and 
quota increased to 225,000 
head in second Canadian 
agreement, effective 
1/1/39). 
3i per lb. (Bound in second 
Canadian agreement, ef- 
fective 1/1/391. 

1082-1083. 



lOi per gross.. 



(') 



IMiperlb. 



291 



1,3S3 



1.342 



mt per lb. 
mt per lb. 

Hit per lb. 



2« 



'80 



23 



4,697 



4,467 



6,037 



12,584 



158 



4,738 



9,209 



mt per lb. 



491 



1072 



DEPAKTMENT OF STATE BULLETIN : DE'CEMBER 2 6, 1942, StTPPLEMENT 



TABLE B— Continued 
Itemized List of Tariff Concessions Made to Mexico (Schedule II) — Continued 



Paragraph 

number in 

Tariff Act 

of 1930 



701— Cont. 



Item (abbreviated description) 



Provided. That effective thirty days 
after the President of the 
United States of America, after 
the termination of the unlim- 
ited national emergency pro- 
claimed on May 27, 1941, shall 
have proclaimed that the ab- 
normal situation in respect of 
cattle and meats has termi- 
nated, any of the foregoing 
cattle, entered, or withdrawn 
from warehouse, for consump- 
tion in excess of the quantities 
set forth below shall be dutiable 
as follows: 
Cattle weighing less than 200 
pounds each in excess of 100,- 
000 head in any calendar year. 
Cattle weighing 200 or more but 
less than 700 pounds each in 
excess of 110,000 head in any 
calendar quarter year or in 
excess of 400,000 head in any 
calendar year. 
Cattle weighing 700 pounds or 
more each (except cows im- 
ported specially for dairy 
purposes) in excess of 60,000 
head in any calendar quarter 
year or in excess of 225,000 
head in any calendar year. 
Provided further, That if the said 
proclamation becomes effec- 
tive alter the beginning of a 
calendar year, the foregoing 
tariff quotas shall be reduced 
for the remainder of that year 
by H2 fOT sach full month that 
has elapsed in such calendar 
year prior to the effective date 
of the said proclamation, but 
no reduction shall be made in 
any quarterly quota except as 
may be required In order not 
to exceed the armual quota; 
A nd provided further, That during 
the life of this Agreement, the 
provisions of this item shall 
supersede the tariff quota limi- 
tations on cattle established 
pursuant to items 701 of Sched- 
ule II of the trade agreement 
entered Into between the 
United States of America and 
Canada on November 17, 1938. 



Rate of duty 



Before agreement 



After agreement 



Ad val. 
before 
agree- 
ment 

(percent) 
(basis 
1939 

imports) 



2yit per lb. 
2Ht per lb. 

2>50 per lb. 



United States imports for consump- 
tion (in thousands of dollars) from— 



Mexico 



1939 



1940 



All countries 



1939 



1940 



TRADE AGREEMENT WHTH MEXICO: ANALYSIS 



1073 



TABLE B— Coutinued 
Itemized List or Tariff Concessions Made to Mexico (Schedule II) — Continued 



Psragrapb 


Item (abbrevtated description) 


Rate of duty 


Ad val. 
before 
agree- 
ment 

(percent) 
(basts 
1939 


United States Imports for consump- 
tion (in thousands of dollars) from— 


number in 

Tariff Act 

OI1830 


Before agreement 


After agreement 


Mexico 


All countries 




















Imports) 


1939 


1930 


1939 


1940 


701 


Dried blood albumen, light 

fih<wp ilnH 1ffnib« 


12tp«rlb 


6< per lb 


29 
'38 

15 

no 

15 
10 

22 

28 
6 
6 

f» 
30 

'95 


36 
31 

61 
1 

158 
16 
2 

(•) 
40 

(') 


41 

11 
2 

237 
21 
38 

(') 


32 
43 

624 

63 
1 

16 

9 

158 
16 

78 

2 

m 

.1 

(•) 


10 


7M 


$3 per head ...._. 


$1.50 per head 

25* each 


5 


711 :.. 




ax each 




714 


Horses 


tlS per head (Reduced from 
$30 per head to $20 per head 
in first Canadian agree- 
ment, effective 1/1/36; fur- 
ther reduced in second 
agreement, effective 1/1/39). 

$30 per head 


$15 per head 

$18 per head 

7M% ad valorem. - 

IM^perlb 


4.V0 


714 


Mules . . . 


14 


7IS 








718 


Honey: 


1 Hi per lb. (Reduced from 
3t to a iier lb. In Guate- 
mala agreement, effective 
6/15/36; bound In El Salva- 
dor agreement, effective 
5/31/37; further reduced in 
agreement with Canada, 
effective 1/1/39). 

1 ?1 oK (net ) per lb. ( Reduced 
from 2*iot (net) per lb. 
in agreement with Cuba, 
effective 9/3/34). 

It per lb 






12 




Iiiipurts from Cuba 


Wot (net) per lb. . 
'^t per lb 


9 


717(8) 




237 


717(c) 


Shark flns " 


IVii Derlb 


^i Der lb 


21 


730 


Mixed feeds . 


6% ad valorem (Bound at 
10% ad valorem in first 
Canadian agreement, ef- 
fective 1/1/36; reduced to 
5% ad valorem in second 
Canadian agreement, ef- 
fective 1/1/39). 

3.5% ad valorem 


5% ad valorem 

17M% ad valorem. 
U per lb 


125 


736 


Berries (except blueberries), pre- 
served. 
Limes: 
Full-duty imports 


1 


743 (and Sec. 
316). 


Hit per lb (Reduced from 
2t per lb. in agreement 
with United Kinedom, 
effective 1/1/39). 

Hat (net) per lb. (Reduced 
from Wot (net) per lb. in 
agreement with Cuba, ef- 
fective 9/3/34). 

15<perlb 


90 


7«« (and Sec. 
31A). 


Imports from Cuba (applies to 
limes in natural state only). 

Mangoes: 
Full-duty imports 


Mo< (net) per lb. . . 

7H<perlh 

6< (net) per lb 


4 

M- 






6t (net) per lb. (Reduced 
from 12^ (net) per lb. in 
second supplementary 
agreement with Cuba, 
effective 1/5/42). 


<«) 









See footnotes at end of table, pp. 1082-10S3. 



1074 DEPARTMENT OF STATE BULLETIN: DECEMBER 2 6, 1942, SUPPLEMENT 

TABLE B— Continued 
Itemized List of Tariff Concessions Made to Mexico (Schedule II) — Continued 



Paragraph 

number in 

Tsrifl Act 

of 1930 



Item (abbreviated description) 



Bate of duty 



Before agreement 



After agreement 



Ad val. 
before 
agree- 
ment 

(percent) 
(basis 
1939 

imports) 



United States imports for consump- 
tion (in thousands of dollars) from — 



Mexico 



1039 1940 



All countries 



1939 1940 



747 (and See. 
316). 



Pineapples, 
cubic feet: 
Full-duty imports 



cratee of 2.45 



Imports from Cubs.. 



747 (and Sec. 
316). 



Pineapples in bulk: 
Full-duty imports. 



Imports from Cuba.. 



762 (and Sec. 
316). 

752 (and Sec. 
316). 



Watermelons: 

Full-duty imports 

Imports from Cuba -.. 

Ouavas, prepared or preserved 

Full-duty imports 



Imports from Cuba.. 



36^ per crate of 2.45 ea. ft. 
(Reduced from 50i per 
crate of 2.45 cu. ft. in agree- 
ment with Haiti, effective 
6/3/36; and subsequently 
bound against increase in 
agreements with Hondu- 
ras, Guatemala, Costa Rica 
and United Kingdom). 

20i (net) per crate of 2.45 cu. 
ft. (Reduced from 40< 
(net) per crate of 2.45 cu. 
ft. In agreement with Cuba, 
effective 9/3/34). 

%(tt each (Reduced from IW 
each in agreement with 
Haiti, effective 6/3/35 and 
subsequently bound 
against mcrease in agree- 
ments with Honduras, 
Guatemala and Costa 
Rica). 

Mo0 (net) each (Reduced 
from 0.9V^ (net) each in 
agreement with Cuba, 
effective 9/3/34). 



35% ad valorem. 
Free. 



See tootnotee at end of table, pp. 1082-1083. 



17H% ad valorem (Reduced 
from 35% ad valorem in 
agreement with Haiti, ef- 
fective 6/3/35, and subse- 
quently bound against 
increase in trade agree- 
ments with Honduras. 
Guatemala, El Salvador 
and Costs Rica). 

14% ad valorem (net) 
(Bound in supplementary 
agreement with Cuba, ef- 
fective 1/5/42). 



3Si per crate of 
2.4S cu. ft. 



26 



(•) 



20t (net) per crate 
of 2.46 cu. ft. 



^•^each. 



92 



1,132 



119 



927 



Mo< (net) each 



20% ad valorem... 
Free 



17M%ad valorem 



17H 



(') 



(') 



(•) 



(■) 



(") 



10 



(') 



14% ad valorem. 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 



1076 



TABLE B— Continued 
Itemized List or Tariff Concessions Made to Mexico (Schedule II) — Continued 







Rate of duty 


Ad val. 
before 


United States imports for consump- 
tion (in thousands of dollars) from — 


Paragraph 


Item (abbreviated deacrlptloD) 




agree- 
ment 
(percent) 






number In 
Tariff AM 






Mciloo 


All countries 


ol IVW 




Before agreement 


After agreement 


(basis 
1939 
























imports) 


1939 


1940 


1939 


1940 


765 (and Soo. 


Lima beans, gruQD or unripe, when 
















318). 


entered for consumption dur- 
ing the period- 
December 1 tothe followlngMay 
31, inclusive: 


















Full-duty imports » 


3MtVCt\b 


2yU per lb 


93 


(') 


. 


(') 


_ 




Imports (rom Cuba 


lMo«(net)perlb. (Reduced 


lM»*perlb 


M 






97 


89 






from 2M»t (net) per lb. in 


















agreement wjth Cuba, ef- 


















fective 9/3/34). 
















June 1 to November 30, inclusive: 


















Full-duty imports . 


3M<perlb 


3Ht per lb. 














TTTipnrrs frnm Pilhn 


2»<o< (net) per lb 


2^0^ (net) per lb 


104 






6 


16 


766 (and Sec. 


Beans, n. s. p. (., green or tmrlpe. 
















316). 


other than lima. 




















3^< per lb 


2i per lb 


51 


4 


6 


4 


e 






2hot (net) per lb 


Wat (net) per lb . 


90 






(') 


30 


765 (and Sec 


Black-eye cowpeas, dried, or in 
















316). 


brine. 




















3<per lb 


IHt perlb-_ 


_ 


_ 


« 


_ 


_ 






2Mo* (net) per lb 


W» (net) per lb... 








_ 


(') 


769 (and Sec 


Peas, green or unripe (except 
















316). 


cowpeas and chickpeas) 
July 1 toSeptember 30, Inclusive: 


















Full-duty tpiports .. 


2^ per lb. (Increased from 


2^ per lb 


_ 


_ 


_ 


_ 


_ 






3t to mot per lb. by presi- 


















dential proclamation, effec- 


















tive 1/1/32. Reduced to 2* 


















per lb. in first Canadian 


















agreement, effective 1/1/36; 


















bound in second agree- 


















ment, effective 1/1/39). 


















Wot (net) per lb 


Wot (net) per lb . 








_ 


^ 




October 1 to June 30, inclusive: 






















2^ per lb 


'79 


99 


76 


99 


75 






3t per lb. by presidential 


















proclamation, effective 


















1/1/32). 
















Imports from Cuba 


ma (net) per lb 


Wot (net) per lb 


74 






1 


1 


7«9 




\Ht per lb 


It per lb 


45 


277 


251 


323 


294 


770 


OarUc 


IH^perlb 


«*perlb 


43 


36 


79 


143 


198 



See footnotes at end of table, pp. 1082-1083. 



1076 



DEPARTMENT OP STATE BULLETIN: DEiCEMBER 2 6, 1942, SUPPLEMENT 

TABLE B— Continued 
Itemized List of Tariff Concessions Made to Mexico (Schedule II) — Continued 







Rate of duty 


Ad val. 


United States imports for consump- 






before 


tion (in thousands of dollars) from— 


Paragraph 






aeree- 




number in 
Tariff Act 


Item (abbreviated description) 






ment 
(percent) 


Mexico 


All countries 


of 1930 




Before agreement 


After agreement 


(basis 
1939 
























imports) 


1939 


1930 


1939 


1940 


772 (and Sec. 


Tomatoes in their natural state: 
















316). 


Full-duty imports 


3i per lb 


IH^perlb 


97 


445 


720 


458 


724 


Imports from Cuba: 


















December 1 to last day of fol- 


IJ-iod (net) per lb. (Reduced 


lMo)!(net)perlb.. 


102 






483 


602 




lowing February, inclusive: 


from 2Mo^ (net) per lb. in 
agreement with Cuba, ef- 
fective 9/3/34). 
















March 1 to November 30 


2^ioi(net) nerlb 


IMo^ (net) perlb__ 


140 




■ 


113 


578 




Provided, That effective thirty days 


^ J ivvv*-*^'"/ t**^ •»^— ^- — — --—— — »- 
















after the President of the 


















United States of America, 


















after termmation of the un- 


















lunited national emergency 


















proclaimed on May 27, 1941, 


















shall have proclaimed that the 


















abnormal situation in respect 


















of tomatoes has termmated. 


















the rate of duty on tomatoes in 


















their natural state shall be 





2H* per lb. 












774 (and Sec. 


Peppers to their natural state: 
















316). 


Full-duty imports 


1\'i.t per lb. (Reduced from 


Uiliperlb 


84 


49 


158 


49 


1S8 




%i per lb. by presidential 


















proclamation, effective 


















1/1/32). 
















Imports from Cuba: 


















January 1 to April 30.. 


Whi (net) per lb. (Reduced 


lMo)i(net)perlb.- 


68 






38 


76 






from 2^ (net) per lb. in 


















agreement with Cuba, 


















effective 9/3/34). 
















May 1 to December 31 


2i (net) ner lb 


VAat (net) per lb.- 


109 






1 


14 


774 (and Sec. 


Eggplant m its natural state, when 


"V V*^^"/ i^u* *w 














316). 


entered for consumption dur- 
ing the period from— 
December 1 to March 31, in- 
clusive. 


















Full-duty imports' 


IVii per lb. (Reduced from 


1 H* per lb - - 


97 


6 


11 


6 


11 






3^ per lb. by presidential 


















proclamation, effective 


















1/1/32) 
















Imports from Cuba- 


9<o^ (net) per lb. (Reduced 


Mo* (net) per lb.. 


30 






79 


77 






from IMoi (net) per lb. in 


















the agreement with Cuba, 


















effective 9/3/34). 
















April 1 to November 30: 


















Full-duty imports 


li^ioerlb 


Wit per lb. 














Imports from Cuba 


IMof (net) per lb 


lMo*(net)perlb.. 


62 






3 


4S 



See footnotes at end of table, pp. 1082-1083. 



THADE AGREEMENT WITH MEXICO: ANALYSIS 



1077 



TABLE B— Continued 
Itemized List or Tariff Concessions Made to Mexico (Schedule II) — Continued 



Psraiiraph 

nuiubcr in 

Tarirt Acl 

of 1930 



Item (abbreviated description) 



Rate of duty 



Before agreement 



Alter agreement 



Ad ral 
t)eforo 
agree- 
ment 
(percent) 
(basis 
1939 
imports) 



United States Imports for consump- 
tion (in tliousands of dollars) from— 



Mexico 



1939 



All countries 



1939 1940 



774 (and Sec. 
310). 



74 (and Sec. 
316). 



802. 



805. 



1005(a). 



Cucumbers in their natural state, 
when entered for consumption 
during the period from — 
December 1 to last day of fol- 
lowing February. Inclusive; 

Full-duty Imports » 

Imports from Cuba 



March 1 to November 30: 

Full-duty imports 

Imports from Cuba 

Squash in Its natural state: 

Full-duty Imports 

Imports from Cuba: 
December 1 to May 31, Inclu 
sive. 



June 1 to November 30 

Spirits, manufactured or distilled 
from grain or other material, 
and compounds and prepara- 
tions of which distilled spirits 
are the component material of 
chief value, n.s.p.f. (other 
than those specified in any 
previous trade agreement con- 
cluded under the provisions of 
section 350 of the Tariff Act of 
1930). 

Ale, porter, stout, and beer 



Cordage 
Sisal, henequen or other hard 
fil>er, except manila ' 
Three-fourths Inch in diameter 
and larger. 



Any of the foregoing smaller 
than three-fourths of one 
Inch In diameter shall be 
subject to an additional 
duty of 



3< perlb 

Wat (net) per lb. (Re- 
duced from 25io* (net) per 
lb. In trade agreement with 
Cuba, cfloctlve 9/3/34). 

3t per lb 

2Mo< (net) per lb 

2* per lb 

lMo<(net)perlb. (Reduced 
from Wot (net) per lb. In 
trade agreement with Cu- 
ba, effective 9/3/34). 

l«1ot (net) per lb 

$5 per proof gal 



&0t per gal. (Reduced from 
$1 per gal. by presidential 
proclamation, effective 
2/16/35). 



2t or H per lb. (Reduced to 
It per lb. if "In chief value 
of sisal". In agreement 
with Netherlands, effec- 
tive 2/1/36). 



16% or 7M% ad valorem 
(Reduced to 7H% ad va- 
lorem if "In chief value of 
sisal" In agreement with 
Netherlands, effective 
2/1/36). 



2H«perlb 

lMo<(net) pcrlb. 



3t per lb. 

2Mo« (net) per lb 



IH^perlb 

lMo<(net) per lb. 



(') 



(•) 



(') 



(•) 



43 



65 



Ihot (net) per lb. 
$2.50 per proof gal 



166 
39 
43 

'240 



(') 



(<) 
(<) 

139 



(•) 
(•) 

(•) 



• 21 



25^ per gal. 



'59 



1,631 



925 



It per lb. 



(•) 



(■) 



7H%ad valorem.. 



29 



12 



See footnotes at end of table, pp. 1082-1083. 



1078 DEPARTMENT OP STATE BULLETIN : DECEMBER 26, 1942, SUPPLEMENT 

TABLE B— Continued 
Itemized List of Tariff Concessions Made to Mexico (Schedule II) — Continued 







"Roto r\i (\\'\\vt 


Ad val. 


United States imports for consump- 






XkoVc Ul UU 


J 


before 


tion (in 


thousands of dollars) from— 


Paragraph 


Item (abbreviated description) 






agree- 
ment 
(percent) 










number in 
Tariff Act 






Mexico 


All countries 


of 1930 




Before agreement 


After agreement 


(basis 
1939 




























imports) 


1939 


1940 


1939 


1940 


1005(b).. 


Hard-fiber cords and twines 


20% ad valorem (Reduced 
from 40% ad valorem in 
agreement with Nether- 
lands, eflfective 2/1/36). 


20% ad valorem.. - 


20 


180 


312 


426 


348 


nil 


Blankets, and similar articles, if 
hand-woven: • 






















Valued at not more than $1 per 


30* per lb. and 36% ad valo- 


200 per lb. and 


82 


1 


(0 


1 


(') 




pound. 


rem (Bound in United 
Kingdom agreement, ef- 
fective 1/1/39). 


20% ad valorem. 














Valued at more than $1 but not 


■Xit per lb. and 36% ad valo- 


200 per lb. and 


61 


(') 


(■) 


(') 


(•) 




more than $1.50 per pound. 


rem (Reduced from 33< 
per lb. and 37).2% ad valo- 
rem in agreement with 
United Kingdom, effec- 
tive 1/1/39). 


20% ad valorem. 














Valued at more than $1.50 per 


400 per lb. and 36% ad 


200 per lb. and 20% 


59 


(0 


(') 


(0 


(•) 




pound. 


valorem (Reduced from 40< 
per lb. and 40% ad valorem 
in agreement with United 


ad valorem. 












. 




Kingdom, effective 1/1/39). 














MID 


Books of foreign authorship.. 


^\'l% ad valorem (Reduced 
from 15% ad valorem in 


7J-2% ad valorem.. 


7^i 


(•) 


12 


1,365 


1,278 










agreement with the 


















United Kingdom, effective 


















1/1/39). 














1504 (a) 


Hat braids of natural fiber (except 


15% ad valorem 


7^% ad valorem . . 


15 


24 


28 


68 


•176 




straw or manila hemp) not 


















bleached, dyed, colored or 


















stained. 
















1604 Cb) (6)... 


Harvest hats , 


12^4%ad valorem (Reduced 


12^4% ad valorem. 


12^2 


72 


SO 


272 


319 






from 25% ad valorem in 


















agreement with Nether- 


















lands, effective 2/1/36) . 














1516.. _ 


Wax matches • 


40% ad valorem 


20% ad valorem... 
10% ad valorem... 


40 
10 


(') 
45 


(') 
66 


2 
1,492 


1 


1630(b)(1)... 


Sole or belting leather 


10% ad valorem (Reduced 


810 




from 12!-4% ad valorem 


















in agreement with United 


















Kingdom, effective 1/1/39). 














1630 (e) 


Huaraches • 


20% ad valorem 


10% ad valorem... 


20 


282 


291 


282 


291 




Slippers (for housewear) 


20% ad valorem 


10% ad valorem... 


20 


4 


7 


24 


36 


1630(e) 


Men's, youths', and boys' boots, 


20% ad valorem 


10% ad valorem... 


20 


76 


68 


163 


84 




shoes or other footwear of 


















leather (except turn or turned 


















McKay-sewed, or welt). • 
















1651 


Motion-picture film: 


















Negatives: 


















Exposed but not developed 

Exposed and developed 


20 per lin. ft 


10 per lin. ft 


17 


4 


1 


68 


ID 




30 per lin. ft 


l!-i0 per lin. ft 


43 


1 


(') 


•22 


13 




Positives, prints or duplicates... 


10 per lin. ft 


j50perUn. ft 


23 


28 


18 


»368 


• 287 



See footnotes at end of table, pp. 1082-1083. 



TRADE AGREEMENT WHTH MEXICO: ANALYSIS 



1079 



TABLE B— Continiied 
Itemized List or Tariff Concessions Madb to Mexico (Schedule II) — Continued 





Item (abbreviated description) 


Rate of duty 


Ad val. 
before 
agree- 
ment 

(percent) 
(basis 
1939 

Imports) 


United States Imports for consump- 
tion (In thousands of dollars) from — 


number in 

Tarid Act 

0(1030 


Before agreement 


After agreement 


Moilco 


All countries 




1039 


1940 


1039 


1940 


15M 


Waste, n. s. p. ( 

Dressed istle or Tamplco fiber • 

Sulphuric acid or oil o( vitriol 

Jalap 


'H% ad valorem (Reduced 
from 10% ad valorem iu 
apreem^t with Canada, 
eflociive 1/1/39; and bound 
against Increase in ai;rce- 
ment with United Kiug- 
dom, effective 1/1/39). 

20% ad valorem 


7K% ad valorem. 
10% ad valorem . . . 


7» 
20 


40 

134 
11 

4 



676 

378 

6,310 

244 

3 
4,670 

11 

22 
25 

"4,193 

2 

1 

13 


43 

118 
11 

21 

36 

1, 065 

393 

2,954 

477 

2 
3,808 

844 

49 

12 
34 

" 4, 570 

12 

4 

11 


977 

134 

27 

4 

941 

1, 132 

502 

29,083 

2,421 

22 
139, 516 

175 

1,718 

60 
70 

"9,353 

212 

56 

467 


704 


1558 


118 


IGOl 


Free (Bound In Canadian 
nRroemcnts, effective 1/1/36 
and 1/1/39). 


35 








21 


1600 (a) 


Bulls and cows, for breeding 


Free (Boimd In Canadian 
agreement, effective 1/1/39; 
subject to the provisions 
of paragraph 1606). 


Bound free (sub- 
ject to the pro- 
visions of para- 
graph 1606). 




1,388 


1608 




2,028 


1614 


Arsenious acid or white arsenic 

nnnanA<< 


Free 






4.53 


1618 


Free (Bound in Haiti asree- 
ment, effective 6/13/35; 
subsequentlj- boimd in 
agreements with Hon- 
duras, Colombia, Quatc- 
mala, Costa Rica and 
Ecuador). 

Free 






29,085 


1622 


Bindini^ twine -.- 


Rnnprl free 




1,840 


1624 


Fish sounds 


Free 


Bound free 




17 


1654 


Coffee _,, 


Free (Bound in Haiti agree- 
ment, effective 6/3/36; and 
subsequently in agree- 
ments with Brazil, Hon- 
duras, Colombia, Guate- 
mala, El Salvador, Costa 
Rica, Ecuador, Venezuela, 
and Peru). 

Free -- 


Bound free 




126, 771 


1664 


Metallic mineral substances 

n.s.p.f. 
Fish livers _ 


Boimd free 




1,021 


1669 


Free (Bound in Canadian 
agreement.effective 1/1/39) . 
Free 


2,462 


1678 


Sharkskins 


Bound free 




56 


1682 


Live game animals and birds, for 

stocking purposes, 
Hencqucn, istle or Tampico fiber, 

and broom root. 
Quano 


Free 


RniinH frpii 




43 


1684 


Free 






••12,698 


1685 


Free (Bound in United 
Kingdom agreement, effec- 
tive 1/1/39; subsequently 
bound in Peru agreement, 
effective 7/29/42). 

Free (Bound in United King- 
dom agreement, effective 
1/1/39; subsequently 
bound in Venezuela agree- 
ment, effective 12/16/39). 

Free (Bound in United King- 
dom agreement, effective 
1/1/39). 


Rniin<i free 




17 


1685 


Manures.-- 






26 


1685-- 


Fish scrap and fish meal for fer- 
tiliiers. 






311 











See footnotes at end of tabic, pp. 1082-1083. 



1080 



DEPAKTMENT OF STATE BULLETIN : DECEMBER 2 6, 1942, SUPPLEMENT 

TABLE B Continued 
Itemized List op Tariff Concessions Made to Mexico (Schedule II) Continued 







Rate of dut'^ 


Ad val. 


United States imports for consump- 






iX.lfOl'^ \yi VAlAb 




before 


tion (in thousands of dollars) from— 


Paragraph 


Item (abbreviated description) 






agree- 
ment 
(percent) 






number in 
Tariff Act 






Mexico 


All countries 


of 1930 




Before agreement 


After agreement 


(basis 
1939 
























imports) 


1939 


1940 


1939 


1940 


1686,- 


Chicle, crude 


Free-- -— 


Bound free 




3,820 

17 

483 


3,192 
12 

758 


6,151 

17 

463 


4,239 


1695 


Horses or mules for slaughter 

GuflVTile rubber 


Free-- 


Bound free,- 




12 


1697 


Free 


Boimd free 




758 


1710 


Liquid petroleum asphaltum 


Free plus H0 per gal. import 


Free plus Hi per 






178 




178 


(Sec. 3422 


tax. 


gal. import tax. 












I. R. C.) 


















1728 


S arsaparilla root 


Free (Bound in Honduras 
agreement.eflective 3/2/36). 


Bound free 




8 


14 


9 


16 












1731 


Distilled or essential oils: 
LimQ . 


Free (Bound in United King- 
dom agreement, effective 


Bound free. - - 




63 


137 


405 






631 
















1/1/39). 
















Liffnaloe or bois de rose... _._.- 


Free 


Bound free 




3 


57 


299 


417 


1733 


Oils, mineral: 
















(Sec. 3422 and 


Petroleum, crude and fuel oil 
















3451I.R.C.). 


Petroleum, crude ^^ 


















Within quota 


Free plus lit per gal. im- 


Free plus Mi per 


13 


(") 


648 


(") 


23,125 






port tax. (Reduced trom 


gal. import tax. 
















m per gal. in Venezuela 


















agreement, effective 12/16/- 


















39. Reduction applies to 


















imports equal to 5% of the 


















total quantity processed in 


















domestic refineries in the 


















preceding year). 
















Full-duty imports 


Free plus l-zt per gal. (Boimd 


Free plus Mi per 


31 


"987 


7,892 


"19,633 


7,948 






in Venezuela agreement, 


gal. import tax. 
















effective 12/16/39, applies 


















to imports in excess of 5% 


















of the total quantity proc- 


















essed in domestic refiner- 


















ies in the preceding year). 
















For supplies of vessels (sec. 


Free (Bound in Venezuela 


Bound free--- 


- 


- 


- 


- 


- 




309). 


agreement.effective 12/16/- 
39). 
















Gas oil (including Diesel 


















oil) and finished distillate 


















fuel oil: t-ft 


















Within quota 


Free plus Vti per gal. import 
tax (Reduced from I'jc per 


Free plus Hi per 


_ 


_ 


803 


_ 


1,913 






gal. import tax. 
















gal. import tax in Vene- 


















zuela agreement, effective 


















12/16/39, reduction applies 


















to imports equal to 5% of 


















the total quantity proc- 


















essed in domestic rcflnor- 


















ies in the preceding year). 
















Full-duty imports 


Free plus Hi per gal. import 
tax (Bound in Venezuela 


Free plus Ytt per 


Ml 


- 


2, 561 


211 


2,661 






gal. import tax. 
















agreement, effective 12/16/- 


















39; applies to imports if in 


















excess of 5% of the total 


















quantity processed in do- 


















mestic refineries in the pre- 


















ceding year). 
















For supplies of vessels (sec. 


Free (Bound in United 


Bound free 


- 


- 


- 


- 


63 




309). 


Kingdom ajreement, effec- 
tive 1/1/39; subsequently 
bound in Venezuela agree- 
ment) . 















See footnotes at end of table, pp. 1082-1083. 



TRADE AGREEMENT WITH MEXICO : ANALYSIS 

TABLE B— Continued 
Iiemi2:gd List of Tariff Concessions Made to Mexico (Schedule II) — Continued 



1081 







Kate of duty 


Ad val. 
before 


United States Imports for consump- 
tion (In tliousands of dollars) from— 


Paracrapb 
number In 
Tarllt Act 






agree- 




Itom (abbreviated dosorlptlon) 






ment 
(percent) 


Mexico 


All countries 


o( ia3o 




Boloro agreement 


After agreement 


(basis 
19:19 
























Imports) 


1938 


IMO 


1838 


1840 


1733 


Oils, minerals— Cont. 
















(Sec. 3< 22 and 


I'elroloum, criKlc and (uol oil— 
















3451 1. R.C.) 


Cont. 
















— Cont. 


Ri'.^idual fuel oU 


















Wilhln quota 


Free plus at |KT ijal. import 


Free plus m per 


'IS 


- 


408 


(") 


15,0.51 






tax (Reduced from i« per 


gal. import tax 
















gal. Import tax In Vcnc- 


















tuola apreoraent, elTective 


















12/liV39. Reduction a|>- 


















plles to imports eiiual to 


















8% of the total quantity 


















processed in domestic re- 


















fineries In the preceding 


















year). 
















Ftill'duty Imports 


Free plus H< Per Kal. import 


Free plus ^it per 


33 


71 


354 


" 1, 527 


789 






tax (Uound in Venezuela 


gal. import tax. 
















agreemenl, elTective 12/16/- 


















39; applies to Imports it in 


















excess o( 5% of the total 


















quantity processed in do- 


















mestic refineries in the pre- 


















ceding year). 
















For supplies of vessels (sec. 


Free (Bound in United Kinc- 


Bound free 


- 


29 


6 


8,725 


6,442 




309). 


dom agreement, eticctive 
1/1/39; subsequently bound 
in Venezuela agreement). 
















Topped crude 


















Within Quota 


Free plus }it per gal. import 


Free plus Ht per 


16 


- 


- 


"162 


4,111 






tax (Reduced from m per 


gal. import tax. 
















gal. import tax in Vene- 


















zuela agreement, eHectivo 


















12/16/39; reduction applies 


















to imports ecpial to 6% of 


















the total quantity proc- 


















essed indomesticrcflneries 


















in the preceding year). 
















FullKlaty Imports 


Free plus H^ per gal. import 


Free plus H^ per 


- 


n.a. 


- 


n.a. 


248 






tax (Bound in Venezuela 


gal. import tax. 
















agreement, cUcctive 12/16/- 


















39; applies to Imports in 


















excess of 6% of the total 


















quantity processed in do- 


















mestic refineries In the 


















preceding year). 
















For supplies of vessels (sec. 


Free (Bound In United 


Bound free 


- 


- 


- 


- 


- 




308). 


Kingdom agreement, 
effective 12/16/39; and sub- 
sequently bound in Vene- 
zuela agreement). 
















Kerosene 


Free plat at vet gal. import 
tax. 


Free plus m per 
gal. import tax. 


. 


_ 


31S 


. 


318 


















For supplies of vessels (sec. 


Free (Bound In United 


Boimdfroe 


. 


_ 


_ 


. 


. 




309). 


Kingdom agreement, ef. 
fectlve 1/1/39). 














1743 


Plaster rock and gypsmn, crude 


Free (Bound in Canadian 
agreements, effective 1/1/36 


Bound free.... 




£3 


29 


1,174 


1,300 














and 1/1/39). 















See footnotes at end of table, pp. 1082-1083. 



1082 DEPARTMENT OF STATE BULLETIN : DECEMBER 26, 1 942, SUPPLEMENT 

TABLE B— Continued 
Ittmized List of Tariff Concessions Made to Mexico (Schedttle II) — Continued 



Paragraph 

number in 

Tariff Act 

ot 1930 



1761. 
1761. 
1761. 
1765 



1768(1). 

1768 (2) 
1775.... 

1796.... 
1802.... 
1803 (2) 



1803 (2).. 



1803(2) . 



Item (abbreviated description) 



Spiny lobsters " 

Slirimps and prawns. 

Abalone if 

Reptile skins 



Pimento (allspice) 

Anise seed 

Rottenstone, tripoli, and sand " 

Candelilla wax 

Wood charcoal 

Mahogany, in the log 



Spanish cedar, in the log.. 



Primavera, in the log. 



Rate ot duty 



Before agreement 



Free.- 

Free - 

Free 

Free (Bound in Netherlands 
agreement, effective 2/1/36; 
subsequently bound in 
agreements with Colom- 
bia, Costa Rica, El Salva- 
dor, Ecuador, Venezuela, 
and Peru). 

Free (Bound in United 
Kingdom agreement, ef- 
fective 1/1/39). 

Free 

Free (Bound in Canadian 
agreement, effective 1/1/39) . 

Free 

Free.. 

Free (Bound in Brazil agree- 
ment, effective 1/1/36; sub- 
sequently bound in agree- 
ments with Guatemala, 
Costa Rica, United King- 
dom and Peru). 

Free (Bound in Brazil agree- 
ment, effective I/I/36; sub- 
sequently bound in agree- 
ments with Guatemala, 
Costa Rica and Peru). 

Free (Bound in Brazil agree- 
ment, effective 1/1/36; sub- 
sequently bound in agree- 
ments with Guatemala 
and Costa Rica). 



.\fter agreement 



Bound free,. 
Bound free.. 
Bound free.. 
Bound free.. 



Bound free.. 



Bound free.. 
Bound free. 

Bound treo- 
Bound free.. 
Bound free- 



Bound free.. 



Boimd free.. 



Ad val. 
before 
agree- 
ment 

(percent) 
(basis 
1939 

imports) 



United States imports for consump- 
tion (in thousands of dollars) from — 



Mexico 



1939 



124 
226 
375 
134 



20 



(') 



420 

12 

127 



122 
361 
281 
119 



60 



14 
3 

770 
15 
169 



All countries 



19.39 1940 



491 
260 
375 
274 



321 



420 

44 

1,737 



601 
385 
281 
SIO 



326 



52 
84 

770 
45 

1,985 



81 



Footnotes to tahU B 

' Statistics represent imports of "acids and acid hydrides, n.e.s." from Mexico and Netherlands West Indies, presumed to be napbtbenic acids. 
' Taxable at y^i per gallon (Sec. 3122 I.R.C.) if a liquid derivative of petroleum. 
" Less than $500. 

<* Earthenware, crockery ware, etc., wholly of clay Is not reported separately. Statistics represent imports from Mexico, of all earthenware, crockery 
ware, etc., presumed to be wholly of clay. 

• Bubble glass is not classified separately. Statistics are for imports under Paragraph 218 (f) from Mexico only and presumed to be bubble glass. 
/ Statistics shown represent imports under the classification "marble, onyx, and breccia" from Mexico and .Argentina which are known to be onyx. 

• Imports entered (reeimder Sec. 312 of theTariff.\ct of 1930 for manufacture in bond and export amounted to$3,G3S from Mexico and $34,192 from all 
countries in 1939. 

» Does not include bonded imports entered free under Sec. 312 of the Taiiff Act ot 193U for smelting, refining, and export as follows; 



Lead-bearing ores, flue dust, etc. Mexico 

1939 $558,350 

1940 16,087 

Bullion or base bullion 

1939. 4,144,022 

1940 785,658 

Reclaimed scrap, etc. 

1939 

1940 



All couniriei 

$1, 338, 749 

182, 398 

4,227,790 
844,273 

76,809 
36,540 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 1083 

Footnotet to table B — Continued. 

< Docs not include bonded iniiHirts entered free under Sec. 312 of the Tariff .\ct of 1030 for smeltlnK, refining, and export as follows: 

Zlnc-beorlng ores oxoept pyrites, cto. .\ftxko All eounlHu 

1B39 $188,495 »305,888 

IWO 1,048,111 1,748,3U1 

In blocks, plRS or slabs 

1939 1,723 14,719 

IWO 

Zinc dross and skimmings 

1939 3.224 

1940 45,043 

I Not applicable to flooring. 
' Includes imports of sucor bos sbooks. 

' Duties on imports into the Virgin Islands of the ITnited States not included In calculation. 

" Not classified separately. Statistics represent imports from Mexico only under classillcation "Other flsh, fresh or frozen, whole or l)eheaded, 
etc." 

• Not classified separately. Statistics represent imports of "Other dried and unsalted flsh" from Mexico only which are presumed to be shark flns. 

• Exclusive of Imports from the Philippine Islands, free under Sec. 301 of the Tarill Act of 1930, amounting to $1,800. 
' Statistics represent Imports lor calendar years. 

« Exclusive of imports from the Philippine Islands, free under Sec. 301 of the Tariff .\ct of 1930, amounting to $38,r>00 in 1939. and $fil,129 in I'JIO. 

' Statistics for "all countries" represent total imports of sisal cordaRC and imports from Mexico of cordage of hard fiber other than si.sal; excludes 
Imports of sisal cordage smaller than ?< Inch in diameter, from the Philippine Islands free under Sec. 301 of the TarilT Act of 1930, amounting to $41,200 
In 1939, and $67,100 in 1910. 

• Hand-woven blankets, etc., are not classiScd separately. Statistics represent imports from Mexico only of blankets and similar articles, pre- 
sumed to be hand woven. 

' Exclusive of imports amounting to $62,600 from the Philippine Islands, free under Sec. 301 of the Tarill Act of 1930. 

• Statistics representimporls ol "wax and wind matches and matches in books or folders". 

• Huaraches are not reported separately. StatLstics represent imports from Mexico only, of women's, misses', children's and infants' leather boots 
and shoes, presumed to be huaraches. 

• Statistics may include some huaraches for men, youths, and boys. 

• Does not include imports from the Philippine Islands, free under Sec. 301 of the Tariff Act of 1930, amounting to $25,000. 

» Does not include imports from the Philippine Islands, free under Sec. 301 of the Tarill .\ct of 1930, amoonting to $6,'),000 in 1939; and $67,000 in 1940. 

• Dressed istle and Tampico fiber Is not reported separately. Statistics represent imports from Mexico only of "Articles manufactured in whole 
or in part". 

•• Includes imports of sisal, if any, which are bound free of duty in the agreements with Haiti, the Netherlands, and United Kingdom. 
" Statistics do not include imports for manufacture in bond entered free tmder Sec. 311 of the Tariff Act of 1930 as follows: 

Crude petroleum Maico All couiUrUi 

1939 $2,342,641 $3,718,924 

1940 _.. 1,074,384 

Qas oil (including Diesel oil) and distillate fuel oil 

1939 658,196 

mo 1,327,907 

<■ Some imports included in the figure for full-duty imports, entered within the quota at the reduced rate of duty on or after December 16, 1939 when 
the trade agreement with Venezuela became effective. 

■" For the period December 16 through 31. 

•• Statistics represent imports of "Lobsters (including spiny lobsters and crawfish)— not canned", excluding imports from Canada and Newfound- 
land, known to be other than spiny lobsters. 

I' Statistics represent imports of "Shellfish, n.s.p. I." from Mexico only, known to consist largely if not entirely of abalone. ' 

•• Statistics include imports of dlatomaceous earth. 



1084 



DEPARTMENT OF STATE BULLETIN: DECEMBER 2 6, 19 42, SUPPLEMENT 



TABLE C 
Itemized List of Tariff Concessions Made to Mexico (Schedule III) 

Note: Existing rates of duty on imports of products enumerated and described in Schedule III may be restored 
by the United States, in whole or in part, on six months' written notice to the Government of Mexico, at any time 
after termination of the unlimited national emergency proclaimed May 27, 1941, but may not be increased during 
the life of the agreement. Except as otherwise noted import data do not include imports free of duty under 
special provisions of the Tariflf Act of 1930, or imports from Cuba subject to preferential reductions. 











Adval 


United States imports for consump- 








before 


tion (in thousands of dollars) from — 


Paragraph 
Dumber in 
Tariff Act 








agree- 








Item (abbreviated description) 






ment 
(percent) 


Me.xico 


All countries 


of 1930 




Before agreement 


After agreement 


(basis 
1939 


























imports) 


1939 


1940 


1939 


1940 


202(a) 


Earthen floor and wall tiles, (ex- 
cept ceramic mosaic tiles, 
quarries or quarry tiles, and 
tiles of cement): 


















Valued at not more than 40 cents 


10^ per sq. ft., but not less 


Si per sq. ft. but 


57 


1 


1 


8 


8 




per square foot. 


than 50% nor more than 
70% ad valorem. 


not less than 25% 
nor more than 
35% ad valorem. 














Valued at more than 40 cents per 


















square foot: 


















Glazed clay -- 


2M per sq. ft., but not less 


30% ad valorem... 


45 


(•■) 


1 


7 


4 






than 30% nor more than 


















60% ad valorem (reduced 


















from 60% ad valorem in 


















agreement with United 


















Kingdom, effective 1/1/39). 
















Other - . 


60% ad valorem... 


30% ad valorem... 


60 


_ 


. 


C) 


(•) 


217 


Glass bottles, vials, jars, ampoules, 
unfilled: 


















If holding more than 1 pint 

If liolding not more tlian 1 pint 
and not less than one fourth 


li per lb ... 


},H per lb 


13 


_ 


_ 


19 


11 






M* per lb - 


22 


(") 


(•) 


5 


2 




















of 1 pint. 


















If holding less than one fourth 
of 1 pint. 






36 


_ 


(■■) 


37 


16 


















397 


Articles or wares, n.s.p.f. of silver, _ 


50% ad valorem (reduced 
from 65% ad valorem in 


32^% ad valorem. 


60 


7 


6 


268 


201 










agreement with United 


















Kingdom, effective 1/1/39). 














411 






25% ad valorem... 
22% fld valorem- -. 


60 
42V« 


16 


20 
2 


476 
280 


405 


412 




42Vi!% ad valorem (reduced 
from iT/i7o ad valorem by 


76 












President's proclamation 


















effective 7/24/31). 














718(a) 


Tuna, prepared or preserved 


45% ad valorem (increased 
from 30% ad valorem by 
President's proclamation 
effective 1/13/34). 


22H%ad valorem. 


45 


20 


23 


» 1,490 


»_1,098 


730 


Vegetable oilcake and oilcalje 
meal, n.s.p.f. 


























H* per lb 


26 


47 


26 


<47 


'26 








H* per lb.- 


30 


95 


205 


95 


609 




Soybean 


Mo* per lb 


«*perlb 


22 




93 


341 


371 



TRADE AGREEMENT WITH MEXICO: ANALYSIS 

TABLE C— Continued 
Itemized List or Tariff Concessions Made to Mexico (Schedule III) — Continued 



1085 







Rate of duty 


Ad val. 


United States imports for conimrap- 






before 


tlon (in thousands of doilnrs) from— 


Paragraph 


Itpm (obbrcvlHtod description) 




agree- 
ment 
(percent) 








number In 
Turin Act 






Mexico 


All countries 


oflUSO 




Before agreement 


After agreement 


(basis 
1939 


























Imports) 


1939 


1940 


1939 


1940 


747 


Pineapples, prepared or pitjserved* 


















Fult-dutv linDorts 


lyit P^r Ih. (reduced from 2(5 


U per lb 


43 






J 633 


4 g54 






per lb. in the United King- 


















dom agreement, eflectivo 


















1/1/39). 


















Hoi (net) per lb. (reduced 


?fo0 (net) per lb... 


14 


_ 




680 


821 






from Wnt (net) per lb. in 


















Cuba agreement, eflective 


















9/3/34). 














1813 


Dolls and doU clothing: 


















Containing iacc or embroidery... 
Other (except of celluloid) . . 


90% ad valorem . 


45% ad valorem 


go 


(•) 


(<■) 


16 


9 




70% ad valorem _. 


35% ad valorem 


70 


1 


(•) 


135 


107 


1513 


Toys, of china or earthenware 

Jewelry, other than of gold or plati- 


70% ad valorem __. 


35% ad valorem... 


70 


1 


1 


118 


140 


1527 (a) (2)... 








num: 


















Valued above 20 cents but not 


1^ each plus Hi per doz. for 


at each plus ?io< 


110 


(•) 


(") 


98 


68 




above $5 per dozen pieces. 


each H the value exceeds 
20^ per doz. and 60% ad 
valorem. 


per doz. for each 
It the value 
exceeds 200 per 
doz. and 25% ad 
valorem. 














Valued above $6 per doien pieces. 


m each plus Hi per doz. for 
each It the value exceeds 
Wt per doz., and 25% ad 
valorem (reduced from It 
each plus ^ii per doz., for 
each \t the value exceeds 
20< per doz., and 50% ad 
valorem, in agreement 
with France, eflective 
6/15/36). 


m each plus ?<o(! 
per doz. for each 
It the value ex- 
ceeds '20t per doz. 
and 25% ad va- 
lorem. 


65 


4 


4 


220 


165 



• Less than $500. 

» Exclusive of imports from the Philippine Islands, free under Sec. 301 of the Tariff .\ct of 1930, amounting to $178,000 in 1939 and $168,000 in 1940. 
■ Exclusive of imports from the Philippine Islands, tree under Sec. 301 of the Tariff .\ct of 1930, amounting to $971,000 in 1939 and $1,1.S9.000 in 1940. 
' Exclusive o( imports from the Philippine Islands, free under Sec. 301 of the Tariff Act of 1930, amounting to $1,672,000 in 1939 and $2,612,000 in 1940. 



U. S. GOVERNMENT PRINTING OFFICE; 1943 



For sale by the Superintendent of Documents, Washington, D. C. --------- -- Price, 10* 



■z 



II HI illli nil III' III ■ • ^-%*\ r" 

3 9999 06352 728 5