825.34/366
The Acting Secretary of State to the Chargé in Chile (Frost)
Sir: The Department has received your despatches Nos. 780 and 781 of July 19, 193967 referring to the desire of the Chilean Government to obtain bids abroad for the construction of certain vessels for the Chilean Navy. The Department also received a note of July 28 from the Chilean Embassy68 requesting that the Navy Department furnish that Embassy with the names and addresses of shipbuilders of whom it would be proper and convenient for the Chilean Government to ask for tenders on these vessels.
While this Government is disposed to be as helpful as possible to the Chilean Government in furnishing this information, and might be prepared in fact, should certain legislation now pending in the Congress be enacted at the present session and should the Chilean Government officially request it to do so, to submit estimates for the construction of some if not all of these vessels in the United States Navy Yards, [Page 466] it would not in any case be prepared to undertake such construction in exchange either directly or indirectly for a lease of Easter Island.
Should the subject again be raised by the Minister for Foreign Affairs or by any other responsible Chilean official, you are requested to inform them that the United States Government is not interested at the present time in leasing land or rights on Easter Island.
The Department feels that it need hardly remind you, however, that although this Government is not itself interested in acquiring rights or land on Easter Island, the acquisition of such rights or lands by a non-American power would, of course, be a cause for immediate concern to this Government.
Very truly yours,