671.116/49: Telegram

The Secretary of State to the Minister in Rumania (Owsley)

1. Your 3, March 2, 4 p.m. Please incorporate in a note to the Minister of Foreign Affairs in reply to his note of March 1, 1935, the following statement: [Page 673]

“The decision of the Rumanian Department of Industry and Commerce to suspend authorizations for the importation of American merchandise pending the conclusion of an arrangement safeguarding the interests of the two states is in the opinion of my Government in direct violation of the rights guaranteed to American trade by the exchange of notes of August 20, 1930 between the Governments of Rumania and of the United States, particularly Article 3 thereof. The Government of the United States is unwilling to believe that the Government of Rumania intends to disregard its obligations under that agreement, and therefore confidently expects that Government to review the decision of its Department of Industry and Commerce with a view to complying with the provisions of the agreement until such time as it has been terminated by one of the parties thereto in accordance with its express provisions. Only by such action can the way be cleared to the discussion of any proposals that the Government of Rumania may wish to make as a basis for the negotiation of a new commercial agreement between the two states.”

When presenting your reply8 to the note of March 1, 1935, you may in your discretion explain orally to the Minister of Foreign Affairs that it is not the desire of your Government to hold the Rumanian Government to burdensome conditions with respect to the trade between the two states, but that it deplores the spread of the principle that trade between countries should be balanced on a bilateral basis being convinced that this policy is inimical to the restoration of trade. Furthermore, the exclusion of American goods in the manner proposed by the Rumanian Department of Commerce and Industry is of such an arbitrarily discriminatory nature that the United States would under any circumstances feel obliged to seek means of remedy. Therefore it is thought that the interests of the two states would best be served by discussion of Rumanian-American trade problems before any unilateral action is taken.

Hull
  1. A. copy of the Minister’s note No. 141, dated March 14, to the Rumanian Minister of Foreign Affairs, was transmitted to the Department in despatch No. 246, March 23; received April 15 (not printed).