740.00112A European War, 1939/9549: Telegram

The Ambassador in Brazil (Caffery) to the Secretary of State

1123. I recommended to Aranha70 today that the two Governments reach an agreement with respect to the operation of the Proclaimed List. He repeated his objections to the policy but pointed out that in view of changing conditions in Brazil and the increasing military and economic cooperation between the two Governments that he now has no objection to our continuing the Proclaimed List but that we should keep in mind that the policy should be directed only against our common enemy.

He referred to other problems in the commerce between the two countries and said that he would appoint a commission composed of myself, Souza Costa, himself and any other persons we might designate together with our advisers to review cases and to make final decisions on all phases of our trade including the Proclaimed List. He said we would meet April 6 to discuss plans.

In view of Aranha’s decision I may shortly recommend action on the accumulation of Proclaimed List cases which have been postponed because of the attitude of the Brazilian Government which I have not been in a position to strongly oppose lately owing to the necessity for the full cooperation of the Brazilian Government in obtaining military concession so vital to our war effort.

Caffery
  1. Oswaldo Aranha, Brazilian Minister for Foreign Affairs.