611.3331/271: Telegram
The Secretary of State to the Chargé in Uruguay (Dwyre)
60. Your telegram no. 81, October 9, 11 p.m. You should immediately inform the Uruguayan Foreign Minister that this Government greatly appreciates the consideration given its proposals by the Uruguayan Government, and is deeply gratified that the Uruguayan Government’s reply of October 9 indicates that apparent agreement has been reached between the two Governments as to the general basis for the negotiation of a trade agreement. You should inform the Foreign Minister that his Government’s reply is now under consideration by the trade-agreements organization of this Government with a view to the issuance of a public announcement of intention to negotiate a trade agreement at an early date, possibly on October 16, if agreeable to the Government of Uruguay.
Meanwhile, it is necessary to obtain the Uruguayan Government’s agreement to the list of products on which the United States will consider granting concessions, which list must be published with the announcement. The need for raising the latter question with the Foreign Minister is suggested by the reference in his note to the formulation of Uruguay’s requests for concessions after the announcement has been made here. In this connection you should explain that under our procedure all products on which this Government will consider granting concessions must be published with the announcement: that the purpose is to obtain the views of interested persons in this country on the granting of concessions on such products; and that any product not listed cannot be considered in the negotiations. The list of products enclosed with this Government’s memorandum of June 28, 1939 is based on exhaustive study of our import trade with [Page 797] Uruguay in the light of the rule generally followed by this Government of granting concessions on specific products only in trade agreements with the principal or an important supplier of such products. You should endeavor to obtain the prompt assent of the Uruguayan Government to the publication of this list as including all the products to which consideration will be given. You will, of course, make it clear that the inclusion of any product in the published list means only that it will be considered, since specific concessions cannot be determined in advance of negotiations and prior to public announcement and hearings in the United States.
If the Uruguayan officials indicate any desire that this Government consider adding products to the above-mentioned list, you should point out that the necessary consideration which would have to be given to any additional products and the unlikelihood that any would be found which could be added to the list would only mean unnecessary delay in issuing the public announcement here and consequently in the initiation of definitive negotiations.
You should ascertain whether the Uruguayan Government would have any objection to this Government’s making the following statement in connection with the public announcement:
“Imports into Uruguay from certain countries, with which Uruguay normally has an export balance of trade, have in recent years received more favorable exchange treatment than have imports from the United States. The Government of Uruguay has agreed that the proposed trade agreement will be based upon the principles of multilateral trade which underlie the trade-agreements program of the United States. The proposed trade agreement will assure that imports into Uruguay from the United States will be accorded any advantage given competing imports from any other source and that any governmental regulation of imports into Uruguay will be applied in a non-discriminatory manner.”
A similar statement was made in connection with the public announcement of intention to negotiate a trade agreement with Argentina.
You should express to the Foreign Minister the hope that no publicity will be given to the possibility of the negotiation of a trade agreement prior to the issuance of public announcement.