781.003/256a
The Chief of the Division of Near Eastern Affairs (Murray) to the Ambassador in France (Bullitt)
My Dear Mr. Ambassador: Within the next few days there will go forward to you under cover of an official instruction35 the Minutes of the various meetings which have taken place during the past four weeks in connection with the Moroccan treaty negotiations. The [Page 663] Minutes will clearly indicate to you the difference in point of view which developed between the American and French negotiators on several important points. Briefly, the French were unwilling to give us adequate safeguards on such important matters as monopolies and exchange control. They were also unwilling to redefine or reaffirm in any manner the provisions of the Act of Algeciras granting the signatory Powers economic liberty without any inequality. The most they were willing to do was to give us some rather unsatisfactory guarantees in our commercial treaty covering certain aspects of our trade, but that treaty was to have lasted only seven years. Thereafter we would have been thrown back on the provisions of the Act of Algeciras, and in that regard the French admitted that they were not even at this time giving us the rights which the Act guaranteed to us. On July 10 we had a lengthy discussion with the French Ambassador and Marchal which ended in a practical impasse. What disturbed me particularly was that if we had accepted the French proposals we would, in the language of the Department’s lawyers, have “bought a law suit”, because it was quite evident that there was a radical difference in interpretation of several articles the texts of which had already been more or less agreed upon.
On July 11 Marchal, the French negotiator, came to the Department and made an entirely new proposal. This proposal is outlined in the attached memoranda.36 Briefly, Marchal proposed that we give up in Morocco not only our capitulatory rights but all of our rights under the Act of Algeciras. In return the French would give us specific guarantees’ and assurances along the lines that we had been seeking in our other treaty instruments, and these new guarantees would cover a period of thirty years. Although this arrangement would give us most-favored-nation treatment it would not give us treatment equal to that accorded the French except in matters of particular interest to the United States. I think you will be interested in reading the attached memoranda, which discuss the proposals in detail.
It seems to me that these binding proposals, if they can be written into a clear and unequivocal treaty, will give us adequate and satisfactory guarantees during the next generation. Thereafter France would have a free hand in Morocco and our trade and commerce would presumably be on more or less the same basis that they are now in Tunis and Algeria. I have not yet had an opportunity to discuss this proposal with any of the executive officers of the Department except the Under Secretary. Mr. Welles’ first reaction was that the period of thirty years was rather short, and I gather the distinct [Page 664] impression that he would favor a longer period. Beyond that he did not commit himself, but I believe that he would not be averse to a proposal along the lines which the French have made provided the guarantees were adequate and if the term were somewhat lengthened.
As you will see from the enclosed memoranda, Marchal has returned to Paris. From there he will go to Rabat and work on the details of the new scheme, after which he will return to Washington about the middle of September at which time we will again take up the negotiations.
Both the Ambassador and Marchal stressed again and again the ultra-confidential character of these proposals, and for that reason we are not informing the Legation at Tangier of the new situation which has been created. It is particularly important, I gather, that no word of the proposed new basis of negotiations reaches the ears of any foreign Power.
I am sending you this information so that you will be aware of developments, and I should appreciate any comments or suggestions which you may have in regard to the principles involved.
Sincerely yours,