711.562/12
The Secretary of State to the Netherland Minister (De Graeff)
The Secretary of State presents his compliments to the Minister of the Netherlands, and has the honor to acknowledge the receipt of the Minister’s note of May 8, 1924, relating to the proposal made by the United States for the negotiation of a Treaty of Amity, Commerce, and Consular rights between the United States and the Netherlands.
Careful consideration has been given to the counter-proposal made by the Government of the Netherlands that for the time being the United States and the Netherlands enter into an agreement substantially limited to a reciprocal warrant of unconditional most-favored-nation treatment and safeguarding the mutual rights agreed upon by the United States and the Netherlands in the Convention of Commerce and Navigation concluded on August 26, 1852.
Stipulations concerning many of the subjects included in the draft for a treaty which was transmitted to the Minister of the Netherlands on January 9, 1924, are in force on a reciprocal basis under treaties to which the United States is a party. The United States is not inclined to extend the benefits of certain of such provisions or of [Page 482] proposals which it made in the draft submitted to the Minister of the Netherlands to countries which do not accord to the United States treatment completely reciprocal, as might be the consequence if the United States should become a party to treaties containing a most-favored-nation clause applicable to those subjects instead of specific reciprocal stipulations concerning them.
It may be, however, that it is the intention of the Government of the Netherlands that the agreement for unconditional most-favored-nation treatment, which it suggested, shall relate only to commercial privileges. With respect to commercial privileges which are not covered by the Convention of 1852, the Secretary of State understands that the United States and the Netherlands now apply most-favored-nation treatment to the commerce between the two countries. The United States, for its part, does not contemplate making any departure from that principle.
Inasmuch as the Convention of 1852 is in full force the Secretary of State does not perceive the object that would be attained by including in a new instrument a provision purporting to safeguard the rights stipulated in that Convention as was suggested by the Government of the Netherlands.
It is not apparent to the Secretary of State in what particulars the Netherlands would be placed in a less favorable position under Article VII of the draft for a Treaty of Friendship, Commerce, and Consular Eights submitted to the Minister of the Netherlands on January 9, 1924, than has been acquired under the Convention of Commerce and Navigation concluded on August 26, 1852. The Secretary of State would be glad to receive information on this point, as well as information in regard to modifications of other clauses of the draft which it appears from the Minister’s note the Government of the Netherlands may desire to suggest.