611.8331/46

The Minister in Egypt (Gunther) to the Secretary of State

[Extract]
No. 392

Sir: Confirming my telegram No. 56, May 24, 1 P.M.,21 informing you that I had on that date concluded, in accordance with your instructions, a Provisional Commercial Accord with the Egyptian Government, I have the honor to enclose herewith a copy of the final Note addressed to me by the Minister for Foreign Affairs, dated May 24, and a copy of my reply of that date establishing the Accord.

I have the honor to enclose as well, in order to complete the record, a copy of the Note which I addressed to the Minister for Foreign Affairs on May 22, 1930, pursuant to your telegram No. 38, of May 21, 3 P.M. in reply to my No. 53, of May 15, 4 P.M. I had that morning discussed this clause with the Minister for Foreign Affairs [Page 754] and had satisfied him by the information contained in your telegram that there was no further objection to the clause in question. He requested, however, if I saw no objection and in order to complete the file that I confirm the understanding in writing.

. . . . . . . . . . . . . .

I have [etc.]

Franklin Mott Gunther
[Enclosure 1—Translation]

The Egyptian Minister for Foreign Affairs (Boutros Pasha) to the American Minister (Gunther)

No. 1.7/3(32)

Mr. Minister: Referring to correspondence exchanged between Your Excellency and this Ministry with regard to the conclusion of a provisional commercial agreement between the United States of America and Egypt, I have the honor to inform Your Excellency that the Egyptian Government is willing to apply unconditional most favored nation treatment to all products, of the soil and of industry, originating in the United States of America imported into Egypt and destined either for consumption or re-exportation or in transit. The said treatment will also be applied provisionally to products imported into Egypt through countries which have not completed commercial agreements with Egypt.

This régime is accorded by Egypt on condition of perfect reciprocity and with the exception of the régime accorded to Sudanese products, or the regime which might be applied by Egypt to products of certain border countries by virtue of regional conventions and with the exception of the treatment which the United States accords or may hereafter accord to the commerce of Cuba or of any of the territories or possessions of the United States or the Panama Canal Zone or the treatment which is or may hereafter be accorded to the commerce of the United States with any of its territorial boundaries or possessions or to the commerce of its territories or possessions with one another.

The present arrangement does not apply to prohibitions or restrictions of a sanitary character or designed to protect human, animal, or plant life or regulations for the enforcement of police or revenue laws.

The present agreement will enter into force so soon as Your Excellency is good enough to confirm the consent of your Government thereto and shall continue in force until ninety days after notice of its termination shall have been given by either party unless sooner terminated by mutual agreement. If, however, either party should [Page 755] be prevented by the future action of its Legislature from carrying out the terms of the agreement the obligations thereof shall thereupon lapse.

I avail myself [etc.]

Wacyf Boutros Ghali
[Enclosure 2]

The American Minister (Gunther) to the Egyptian Minister for Foreign Affairs (Boutros Pasha)

No. 230

Mr. Minister: I have the honor to acknowledge the receipt of Your Excellency’s Note No. 1.7/3 (32), of May 24, 1930, the agreed English text of which is as follows:

[Here follows the text of note printed supra.]

In reply I have the honor to inform Your Excellency of my Government’s acquiescence in the terms of the above mentioned Note thus establishing a Provisional Commercial Accord, and avail myself [etc.]

Franklin Mott Gunther
[Enclosure 3]

The American Minister (Gunther) to the Egyptian Minister for Foreign Affairs (Boutros Pasha)

No. 229

Excellency: With further reference to our conversation of this morning and to the inquiry made of me orally May 15, last, by the Acting Minister for Foreign Affairs, in respect of the phrase “or regulations for the enforcement of police or revenue laws” in my proposed Note embodying our Provisional Commercial Agreement, I have the honor to acquaint Your Excellency that the phrase in question does not relate to rates of import duty directly but only to regulations for the enforcement of police or revenue laws which sometimes may include additional duties as penalties for violation of or attempt to violate such laws. For example the phrase would insure that the levying of penalty duty on a particular shipment because traders concerned were guilty of undervaluing the merchandise for ad valorem duty purposes would not be regarded as a violation of the most favored nation clause. The phrase in question is a standard provision of similar agreements and treaties concluded by the Government.

Accordingly, I have no hesitancy in assuring Your Excellency that there is no intention to establish by means of the provision in question for Egyptian imports into the United States a régime less favorable than that accorded to any other country and that the provision [Page 756] is not designed to permit either country to apply any regulations for the enforcement of police or revenue laws to the trade of the other which would not under like circumstances and conditions also be applied to the trade of any third country.

I avail myself [etc.]

Franklin Mott Gunther
  1. Not printed.