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PSF
State Dept. : Welles Oct. 1937-38 April
Published in
Foreign Relations of the U.S.
1937
vol.I, General
PP. 665-667
P5F:
DEPARTMENT OF STATE
THE UNDER SECRETARY
October 6, 1937
MEMORANDUM
The situation in the world today and the imperative
need for the peace loving nations to endeavor to take
common action to secure the establishment of foundations
for the maintenance of peace could not be better des-
cribed than by these sentences from the President's
Chicago speech:
"The peace loving nations must make a concerted
effort in opposition to those violations of treaties
and those ignorings of humane instincts which today
are creating a state of international anarchy and
instability from which there is no escape through
mere isolation or neutrality.
"Those who cherish their freedom and recognize
and respect the equal right of their neighbors to
be free and live in peace, must work together for
the triumph of law and moral principles in order
that peace, justice and confidence may prevail in
the world. There must be a return to a belief in
the pledged word, in the value of a signed treaty.
There must be recognition of the fact that national
morality is as vital as private morality."
No one can today affirm that such a thing as inter-
national law exists or that there is any common agree-
ment on the part of the so-called civilized nations of
the world upon the fundamental standards which should
and must govern the relations between nations if world
order is to be restored.
-2-
Is it not possible that before any definite progress
can be made towards the solution of the innumerable and
grave ills with which the world today is afflicted--and
by this I mean the solution of all of the pending polit-
ical, armament, financial, and economic problems which
must be solved if world peace is to be attained-that an
attempt should be made to secure general international
agreement as to the fundamental norms which should gov-
ern international conduct?
If such bases were to be agreed upon by common
international consent, is it not likely that that agree-
ment upon common standards will both expedite and facili-
tate the practical agreements necessary to reestablish
peace in the world?
I therefore suggest for the President's considera-
tion that he inquire of the other governments of the
world whether they will be willing to take part in a
world conference which he will be prepared to call
because of the reasons above indicated for the purpose
of attempting to achieve a common agreement upon the
following questions.
1. The basic principles which should be observed
in international relations (as, for example, noninter-
ference in the internal affairs of other nations).
-3-
2. The laws and oustoms of land warfare.
3. The laws and customs of naval warfare.
4. The rights and obligations of neutrals both on
land and at sea, except in 80 far as they may be re-
stricted by existing international agreements.
5. The right of freedom of access on the part of
all peoples to raw materials.
The first of these five points covers by implica-
tion the whole field of international law. I do not
suggest that any attempt be made at the conference pro-
posed to undertake the codification of international
law. This might well be delegated by common agreement
to expert committees appointed for that purpose. What
I do suggest is that this first point embrace those
principles which are of primary and present importance.
If this suggestion is given consideration, it
should be made clear beyond any doubt that the proposal
envisages solely the reaching of a common agreement upon
standards of international conduct and does not embrace
either political, economic, or financial adjustments.
On this basis I should assume that the non-dictatorial
governments would be willing to cooperate. I should
likewise assume that Germany and Italy would find it to
their advantage to cooperate. Under present conditions
-4-
it would appear improbable that Japan would take part.
From the standpoint of an improved world psychology
it would appear to me that a very great advance would
be attained if the overwhelming majority of the nations
could reach an agreement upon such principles because
of the inherent need for the reestablishment of those
principles, and that, in addition thereto, the mere
fact that the nations of the world today could by con-
certed action agree upon anything of vital importance
would in itself be a material step forward.
U SW:IJ
DEPARTMENT OF STATE
PF
THE UNDERSECRETARY
Summer wills
October 9, 1937.
MEMORANDUM
With relation to the suggestion contained in my
memorandum of October 6, the President on October 8
expressed his belief that the matter might be handled
in the following manner:
1. The question should be dealt with independently
of any other conference, consultation, or exchange of
views.
2. The first approach should Be for the Government
of the United States to indicate to every other govern-
ment of the world its belief that international agree-
ment should be had upon the five points listed on pages
two and three of the memorandum of October 6, and this
indication should be undertaken through diplomatic chan-
nels.
3. When replies are received to these original
communications and it becomes thereby evident that an
agreement is had as to the measure proposed, the United
States would announce its willingness to the other
governments to cooperate with a smaller group of powers
in order that this smaller group might by common agree-
ment elaborate the principles of international relation-
the ПИОЕВЕЕС
I if
-2-
ships and the standards of international conduct be-
lieved to be desirable and necessary. The United States
to assume the responsibility of determining the member-
ship of this smaller group.
4. When a determination is reached by this smaller
group upon the questions submitted, the findings will be
communicated by the United States through diplomatic
channels to the other governments of the world not repre-
sented in the smaller group.
5. If it is then ascertained that the great majority
of the governments of the world are in accord, it will be
determined whether this agreement shall be ratified by
means of a world conference called specifically for that
purpose or whether formal agreement shall be arrived at
through diplomatic channels.
U:SW:MW
DEPARTMENT OF STATE
WASHINGTON
January 5, 1938.
My dear Mr. President:
With further reference to Mr. Hull's nomination
for the Nobel Peace Prize, I have now taken the matter
up with the governments of all of the American republics
and with certain European governments, namely, Great
Britain, France, Belgium, Switzerland, Czechoslovakia,
and Finland. I shall also discuss it with the Ambas-
sador of Poland when he returns and with the Ministers
of Hungary, Yugoslavia, and the Netherlands.
I have 80 far been advised that the Governments of
Chile, Peru, Bolivia, Venezuela, Costa Rica, Nicaragua,
Honduras, and Guatemala have already taken steps to place
the name of Mr. Hull in nomination for the Award. I am
likewise advised by the Belgian Ambassador that the
King of Belgium is proposing the name of Mr. Hull. I
have not yet had replies from the other governments above
referred to. Both Dr. Nicholas Murray Butler and General
The President,
The White House.
-2-
Dawes have written me that they, as prior recipients of
the Prize, have already placed Mr. Hull's name in nomina-
tion.
In my last letter to you on this subject I suggested
that you might care to send your personal letter nominat-
ing Mr. Hull for the Award to the Department for transmis-
sion to the Nobel Prize Committee in Oslo through our
Minister in that capital. Will you let me know if this
is the procedure you have in mind. As you remember, the
nominations must be in the hands of the Committee before
the first of February next and since the time 1s short, I
venture to ask if you have as yet reached any decision in
this matter.
Believe me
Faithfully A yours,
Halls
PSF
\
Welles
DEPARTMENT OF STATE
PSF
WASHINGTON
January 7, 1938
My dear Mr. President:
I enclose herewith the draft which you desired
of a message to the Congress transmitting your
recommendations for naval construction. This draft
is approved by the Secretary.
Believe me
A Faithfully yours, halls
Enclosure:
Draft.
The President,
The White House.
In my message to the Congress of January 3rd, I
stated that "in a world of high tension and disorder, in
a world where stable civilization is actually threatened,
it becomes the responsibility of each nation which strives
for peace at home and peace with and among others to be
strong enough to assure the observance of those fundamen-
tals of peaceful solution of conflicts which are the only
ultimate bases for orderly existence."
Nations have been accustomed to look upon interna-
tional treaties and conventions as part of the system
by which their security and peace are reinforced. With
such a belief in the sanctity of international obliga-
tions, the need of military defensive force was less
pressing. In the world in which we live today, however,
recent events have deeply shaken public faith in the
binding nature of international obligations. Treaty
violations have occurred; as a result each nation has
been obliged to take stock of its position to ascertain
whether guarantees previously considered effective are
in reality adequate. As faith in the sanctity of
treaties diminishes, 80 must each nation take adequate
precautions to defend itself.
We in America believe in the sanctity of treaties.
-3-
We are convinced that in these abnormal times an ade-
quate defensive force will make it more probable that
our rights and treaties to which we are parties will
be respected.
For a number of years the United States has earnestly
endeavored in cooperation with other nations to bring
about a stabilization of armament through limitation
and reduction. Those efforts have thus far proved un-
availing but the necessity for such measures is daily
becoming more compelling and this Government is deter-
mined to continue to strive to bring them about. World
progress will be impeded in BO long as the nations do
not have the wisdom and foresight to agree among them-
selves to cease their competition in armaments. In the
present circumstances, however, it is essential that
the United States maintain its relative defensive
strength.
James Madison must have had in mind a situation
such as exists today when he wrote in THE FEDERALIST:
"If one nation maintains constantly a disciplined army
ready for the service of ambition or revenge it obliges
the most pacific nations who may be within reach of its
enterprises to take corresponding precautions."
In full cognizance of the present state of the
-3-
world, I submit to the Congress of the United States
the following recommendation for naval construction.
MEMORANDUM
New Naval Building Program
1. Increase the present authorized tonnage of combatant
ships by 20%.
The result of this increase would be as
follows:
3 Additional Battleships
2 Additional Aeroplane carriers
8 Additional Cruisers
25 Additional Destroyers
9 Additional Submarines
TOTAL 47
2. The construction provided by the above increase
to be undertaken during the next five years.
3. An authorization for approximately 1,000 additional
aeroplanes.
4. An authorization for 42 auxiliary ships.
5. The cost to be approximately one Mllion dollars.
6. An authorization for an appropriation of $15,000,000
to be made available for experimental purposes in
the development of small ships not exceeding 3,000
tons.
7. This new navy building program will require an
increase of approximately 1200 officers and
20,000 enlisted men
8. The increased officer strength will require five
appointments to the Naval Academy.
ABILL
To establish the composition of the United States Navy, to
authorize the construction of certain naval vessels,
and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of American in Congress assembled,
That in addition to the tonnages of the United States
Navy as agreed upon and established by the treaties signed
at Washington, February 6, 1922, and at London, April 22,
1930, and as authorized by the Act of March 27, 1934 (48
stat. 503), as amended by the Act of June 25, 1936 (49
stat. 1926), the authorized composition of the United
States Navy in underage vessels X hereby increased by
the following tonnages:
(a) Capital ships, one hundred and five thousand
tons, making a total authorized underage tonnage of six
hundred and thirty thousand tons;
(b) Aircraft carriers, thirty thousand tons, making
a total authorized underage tonnage of one hundred and
sixty-five thousand tons:
(c) Cruisers, sixty-eight thousand seven hundred and
fifty-four tons, making a total authorized underage tonnage
of four hundred and twelve thousand five hundred and twenty-
four tons;
-2-
(d) Destroyers, thirty-eight thousand tons, mak-
ing a total authori, ed underage tonnage of two hundred
and twenty-eight thousand tons;
(e) Submarines thirteen thousand six hundred
and fifty-eight tons, making a total authorized underage
tonnage of eighty-one thousand nine hundred and fifty-
six tons.
Sec. 2. The President of the United States is
hereby authorized to undertake such construction, includ-
ing replacements, as is necessary to build the Navy to
the total authorized underage composition as provided for in
section 1 of this Act.
Sec. 3. The President of the United States is
hereby authorized to acquire OF construct additional Naval
airplanes, including patrol planes, and spare parts
Naval
and equipment, so auto bring the number of useful air-
planes to a total of three thousand.
Sec. 4. The President of the United States is
further
hereby authorized to acquire or to undertake the
construction of the following auxiliary vessels:
(a) Five destroyer tenders, a total of forty-
five thousand tons light displacement Connage;
(b) Three submarine tenders, a total of twenty-
seven thousand tons light displacement tonnage.
(e) Four large seaplane tenders, a total of
thirty-three thousand two hundred tons light displace-
-3-
ment tonnage;
(d) Seven small seaplane tenders, a total of eleven
thousand five hundred and fifty tons light displacement
tonnage;
(e) Three repair ships, a total of twenty-eight
thousand five hundred tons light displacement tonnage;
(f) Two minelayers, a total of twelve thousand
tons light displacement tomage;
(8) Five minesweepers, a total of three thousand
five hundred tons light displacement tonnage;
(b) Five fleet tugs, a total of six thousand two
hundred and fifty tons light displacement tonnage;
(1) one survey ship, three thousand tons light
displacement tonnage;
(J) one hospital ship nine shousand tons light
displacement tonnage;
(k) Four oil tankers, a total of thirty-two
thousand tons light placement tonnage;
(1) Two store ships, a total of oighteen thousand
tons light displacement tonnage.
Sec. 5. There is hereby authorized to be appropriated,
out of any money in the Treasury of the United States not
otherwise appropriated, much suns as may be necessary to
effectuate the purposes of this Act.
Sec. 6. There is hereby authorized to be appropriated,
out of any money in the Treasury not otherwise appropriated,
the sum of fifteen million dollars to be expended at the
direction of the President of the United States for the
construction of experimental vessels none of which shall
exceed three thousand tons standard displacement.
Sec. 7. The allocation and contracts for construc-
tion of the vessels herein authorized and the replace-
ment thereof, as well as for the procurement and construc-
tion of airplanes and spare parts, shall be in accordance
with the terms and conditions provided by the Act of March
27, 1934 (48 Stat. 503) as amended
Sec. 8. The Act of August 20, X 1916, as amended by
Section 1 of the Act of July 22 1935 ( U.S. Code, Supp.,
title 34, sec. 2), 18 hereby further amended to read
as follows:
"That the total authorized number of com-
missioned officers of the active list of the line of
the Navy, exclusive of commissioned warrant officers,
shall be equal to 5 ₗ per centum of the total author-
ised enlisted strength of the active list, exclusive
of the Hospital Corps, prisoners undergoing sentence
of discharge, enlisted men detailed for duty with
the Naval Militia, and the Flying Corps."
Sec. 9. For the purposes of this Act, the term
"underage" shall be construed in accordance with the
terms of the Treaty signed at London, March 25, 1936.
ITIM
HAS
BEEN
From the COMMITTEE FOR CONCERTED PEACE EFFORTS
IN SECTIONS.
For release Monday, January 10, 1938
. West 40th Street, New York, N.Y.
714 Evens Building, Weshington, D.C.
Statement on Behalf of Concerted Peace Efforts
The situation which confronts the world today is without perallel in history. At - time when most peoples and governments wish peace and security the threat of war hangs like . cloud over all. The drift toward catastrophe can only be stopped
if the peace-loving nations will act together to uphold the sanctity of international obligations. They must deny assistance to # treaty violator and withhold means for the consolidation of any subsequent gains, while at the same time acting to -
move economic and political injustions and to strengthen the institutions of peace. At the moment when the world's peace machinery is being held by treaty breakers in increasing contempt, it must be given # renewed testimony of faith by the na-
tions who wish peace. There is no other alternative. If we do not act together now, we may soon find ourselves in . situation in which the forces of lawinsoness have become so strong that it will be too late for cooperative action to maintain peace.
The menace to our peace and prosperity cannot be avoided by # policy of isolation and neutrality. A policy which makes no distinction between right and wrong is repugnent to our conscience because of in denial of the moral order in the world;
it is unterly contrary to the spirit of the Kellogg-Briand Part for the renunciation of war, and it encourages the aggressor.
The restoration and maintenance of peace is not 4 problem for the action of a single government, but for the cooperation of all But there must be leadership in the development of this cooperation. We urge that the Government of the United States
point the way to the practical application of these principles. We appeal to public opinion throughout the United States to support this leadership on the part of our Government.
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THE WHITE HOUSE
filerate
WASHINGTON
January 7, 1938.
MEMORANDUM FOR
THE UNDER SECRETARY OF STATE
Some way, somehow we must stop
the leaks in regard to the Diplomatic
appointments. It is becoming a
positive scandal. I realize, of
course, that there was much general
conversation about Kennedy and Wilson,
even though Arthur Krock swears he
got the Kennedy tip from the State
Department. Yesterday the Star had
the story about Davis going to
Brussels. I have not mentioned the
subject to anyone -- even the White
House staff. And on top of it comes
the telegram from Bogota that Des
Portes is to go to Colombia.
I do not know who handles these
things down the line in the State
Department, but I think the time has
come to announce that if in the future
there 1s any leak, everybody down the
line will be sent to Siam!
F. D. R.
PSF: Welles
DEPARTMENT OF STATE
WASHINGTON
January 10, 1938.
My dear Mr. President:
I have Just received your memorandum of January 7
with regard to leaks in the State Department in the mat-
ter of diplomatic appointments.
If there have been any leaks to the press coming
from the Department of State, I wish to assume entire
personal responsibility therefor. Since your last memo-
randum to me upon this subject, the entire procedure with
regard to the handling of diplomatic appointments in the
Department has been changed. Under present arrangements,
no officer of the Department, with the exception of the
Secretary and myself, knows of the diplomatic appointments
which you intend making until it 1s time for the nomina-
tions to be made out. The telegrams requesting agrements
are dictated by myself and handled by one trusted officer
in the Code Room. When nomination papers have to be made
out, I ask Mr. Howland Shaw, the Chief of the Bureau of
Foreign Personnel, to handle this himself. Consequently,
under present conditions there are approximately only
The President,
The White House.
-2-
six individuals, including the Secretary and myself, in
the Department who are familiar with the diplomatic ap-
pointments to be made. So far 8.8 one can be humanly sure
of anything, I am sure that any leaks to the press with
regard to the last diplomatic appointments you sent to
the Senate have not come from this Department.
With regard to Joe Davies' appointment to Brussels,
you will remember that I asked for the agrement from the
Belgian Government over two weeks ago and informed the
Belgian Ambassador here simultaneously. About a week after
that time I asked the Ambassador to hasten the agrement,
and he asked me what he should say to the constant inquiries
which were being made of him as to whether or not it was
true that Mr. Davies was going as Ambassador to Belgium.
I asked the Ambassador to keep the matter entirely con-
fidential and to make no comment until you had made an
appropriate announcement from the White House. I mention
this to indicate to you that rumors of Joe Davies' appoint-
ment to Brussels have been current in Washington for many
days past, and I myself have seen frequent references in
the press during that period to the appointment. These
rumors did not emanate from this Department, I an sure.
Finally, with regard to the report from Bogota that
Des Portes is to go to Colombia, you will remember that
last summer you selected Spruille Braden as the next
-3-
Minister to Colombia, and Mr. Braden was advised accordingly.
He has been kept on at the Chaco Conference because of the
acute situation which has developed there, but as soon as
the new government of Argentina is inaugurated on February 20
next, with the probability of a new Argentine Foreign Min-
ister, the Secretary and I believe that he should at once
proceed to his new post. The press report with regard to
Des Portes, of course, 1s therefore entirely incorrect.
Forgive my taking up 80 much of your time with this
statement, but inasmuch as I feel personally responsible
I wanted you to know that I did not believe that any of-
ficial in the State Department 1s in any way responsible
for this leakage.
Believe me
Faithfully PL yours,
Nehr
wills
no:
DEPARTMENT OF STATE
WASHINGTON
January 10, 1938.
My dear Mr. President:
In your confidential memorandum to me of December 22,
commenting upon the letter of December 17 which Norman
Armour had written me from Ottawa and which I sent you
for your information, you told me that you wished the mat-
ter followed up and that you thought the Dominion Govern-
ment could well send an army man and a navy man here con-
fidentially to talk "off the record" to some of our Army
General Staff and Navy Operations people.
When Norman Armour was here in Washington last week
I told him of your wishes and said that I felt the only
safe way for him to carry out your instructions was to
have a personal talk with MacKenzie King.
I have just now received a letter dated January 8
from Norman Armour, telling me of what he has done, and
I am sending you this letter since I think you will wish
The President,
The White House.
-2-
to read it.
Believe me
Faithfully A yours, halls
Ottawa, Canada,
PERSONAL AND CONFIDENTIAL
January B, 1938.
Dear Summer:
I went to see the Prime Minister last evening
in order to tell him about my transfer to Chile, and
during the course of our talk he gave me n. very good
opening to raise the question of west coast defense
by showing me 6. letter dated December 21st last,
written to him by the President, inwhich the Presi-
dent had expressed the hope that Mr. King could come
down to Washington in the near future, as there were
several questions he thought it would be useful to
talk over, including the general world situation, and
particularly the Far Eastern situation.
Mr. King said that in his reply he had informed
the President that for the moment it would be difficult
for him to get away, particularly as he feared his
presence in Washington might cause some conjecture
with
The Honorable
Summer Welles,
Under Secretary of State,
Washington, D. C.
- 2 -
with regard to trade agreement matters, but that
1f he could arrange to get away perhaps later in the
winter or early in the spring, after Parliament, which
opens January 27th, was well under way, hew ould
certainly do so.
With this opening I told Mr. King that so far as
questions regarding the Pacific were concerned, I felt
sure I knew one of the questions which the President
would like to discuss with him, and then went on to
outline the matter as set forth in the President's
memorandum to you in connection with my letter to you
of December 17th last, which you had, I understand,
submitted to him.
I told Mr. King that if he could arrange to have
an army officer and a naval officer go down to Wahh-
ington, in mufti of course, and preferably not
together, arrangements would be made for them to see
General Malin Craig, Chief of Staff of the Army, and
Admiral Leahy, Chief of Naval Operations, and that I
felt sure that such an exchange of information as
might result would prove extremely useful. I felt
sure that such visits could be arranged without any
publicity, and that 1f the Canadian Legation in
Washington
- 3 -
Washington could be notified of the approximate date
of the visits and could get in touch with you, the
necessary arrangements could be made in short order.
Mr. King expressed entire approval of the
proposal, and said that he felt sure that meetings
of this sort would be extremely useful. He made
nottof the names of General Craig and Admiral Leahy,
and told me that he would look into the matter at
once. He mentioned the names of General Ashton,
Chief of Staff of the Canadian Army, and Commodore
Nelles of the Navy, as possibilities to send down,
but he was merely "thinking out loud" and I think
has not yet reached any decision.
He told me that that afternoon he had had a
long talk with Mr. Bennett, and intimated that they were
in entire accord that the gravity of the world
situation required the closest cooperation between
all groups in the Government here, and I think this
is a clear indication that Mr. King will have no
real difficulty in securing the support of all groups
in Parliament, with the possible exception of the
extreme French-Csmadian element, when the appropria-
tions for defense are brought up, The indications
are
- 4 -
are that these appropriations will duplicate those of
last year, 35,000,000. This seems a small amount
when one considers the territory involved, but when
considered in conjunction with last year's appropria-
tion, represents a great advance over anything Canada
has done for some years.
In any case, the important thing is that King
seems to be awake to the seriousness of the situation,
and to be in hearty agreement with the President that
close cooperation between us is not only advisable,
but essential.
I shall not fail to notify you as soon as I hear
anything more from him. Ian Mackenzie, the Minister
of National Defense, has just returned, and they were
having a meeting of the Cabinet today and are scheduled
to have two or three more next week. If I don't
hear anything from Mr. King by the middle of next
week, I shall try to see him. In any case, I am
dining with him next Friday before our departure,
which is now scheduled for Saturday, January 15th.
This will bring me to Washington Monday forenoon,
January 17th, when I shall come in to make my report
to you.
In the meantime, I am enclosing an article from
the Toronto STAR giving London comment on the question
of
Filve
are
- 5 -
of Canada's defense and suggested cooperation between
Great Britain and the United States, together with
Canadian comment on the suggestion with regard to
plans for fortification of the frontier. I was glad
to see that these reports were promptly denied in
Washington. You may be interested in the DAILY
STAR correspondent's interview with Major General
William Rivers, who, you will note, is reported as
saying in reply to the question "Does anybody in
Washington worry about the defense of Canadian
coastal regions?" "I have not heard SO. There is
very little discussion of the question."
With kind regards,
Sincerely yours,
Noman Huncar
Enclosure:
From Toronto DAILY STAR, January 6, 1938.
BSF.Willus Wells
(1)
DEPARTMENT OF STATE
WASHINGTON
January 14, 1938.
My dear Mr. President:
With further reference to your memorandum to me
of December 22, conveying your desire that the Canadian
Government might send an Army man and a Navy man here
confidentially to talk "off the record" to some of our
Army General Staff and Navy Operations people, Norman
Armour telephoned me last night from Ottawa, saying that
he had had a private conversation with MacKenzie King
covering this question. He told me that the Prime Minis-
ter was very heartily in accord with your suggestion and
was arranging to have the Chief of the Army Staff and
the Chief of the Navy Staff come down confidentially to
Washington next week. He said that nothing would be
known of the trip, that the two men would go to the
Canadian Legation, and that the Minister would be in-
structed to advise me upon their arrival.
In order that the necessary preparations may be
made for these conversations - which the Prime Minister
The President,
The White House.
-2-
hoped might take place in the Canadian Legation in
order to avoid any possible publicity - do you not
think it would be well for Admiral Leahy and General
Craig to be advised immediately of the forthcoming
visits? If you desire this to be done, will you wish
to speak to them personally or do you desire me to
convey the message in your name to Admiral Leahy and
General Craig?
Believe me
Faithfully DL yours,
Hills
PSF Welles
THE WHITE HOUSE
WASHINGTON
January 18, 1938.
MEMORANDUM FOR
THE UNDER SECRETARY OF STATE
will you speak to me about
this?
F. D. R.
Memorandum from Fay Allen DesPortes,
American Minister to Guatemala, to the
President, dated December 23, 1937,
Subject - Freight rate discriminations
of the International Railways of Central
America against United States Trade --
Imports and Exports.
PSF: Welles
THE WHITE HOUSE
mells
WASHINGTON
PERSONAL AND
COMPENSITIAL
January 25, 1938.
MEMORANDUM FOR
THE SECRETARY OF STATE
I thought you should see this
as I think it should have come through
you. What do you think?
F. D. R.
Letter from Secretary Welles suggest-
ing sending up the nomination of Adolf
Berle B.B. Assistant Secretary of State.
PSF
trillis
Feb. 9, 1938.
Letter to President
From Summer Welles
Suggests Pres. not reply to Dearing's
letter of Feb. 5, 1938.
SEE--Sweden-Drawer 2--1938
fallional
DEPARTMENT OF STATE
WASHINGTON
February 26, 1938.
My dear Mr. President:
In view of the leaks which have occurred in the past
in connection with diplomatic appointments upon which you
have determined and which have resulted in publicity be-
fore any announcement was made from the White House, you
will be interested to know that early this morning certain
press correspondents called up the Department of State to
find out if it were true that Mr. Nicholson was to be trans-
ferred from Venezuela to Nicaragua. Since Mr. Nicholson's
reply, which I read to you on the telephone last night,
only came in yesterday and since no one in the Department
has known of this transfer except the Secretary and myself,
I am bringing the matter to your attention because of the
fact that Senator Minton was informed of your decision in
this regard by the Secretary yesterday and obviously the
leak in this case can only come from his office.
Since the White House has sometimes felt in the past
that the Department of State was responsible for leaks of
The President,
The White House.
-2-
this character, I wanted you to know that in this case
press correspondents already had this information and
that it did not come from this Department.
Believe me
Faithfully D yours, Kalls
BF
Willes
To President
From Sumner Welles
March 4, 1938.
Letter in re-Pres. desire to obtain information as
to the nature and amount of supplies of arms and
ammunition which were at present being received
by the Chinese Gov. The War Dept. is trying to
obtain the information with regard to the amounts
of arms and ammunition coming to China from
Russian sources in the north.
Returns conf. map to Pres.---attached
SEE-China folder-Drawer 2--1938
PSF:Wellen
THE UNDER SECRETARY OF STATE
WASHINGTON
March 8, 1938.
My dear Mr. President:
I am enclosing a memorandum of a conver-
sation I had with the British Ambassador yes-
terday evening. I think that whatever misap-
prehension existed in the mind of Lord Halifax
has now been cleared up as a result of a cable
which Sir Ronald said he would send him last
night. In view of the importance of the rest
of the message, I thought you would probably
want to read this memofandum.
Believe me
Faithfully Dr yours, All
Enclosure:
Memorandum,
March 8, 1938.
The President,
The White House.
DEPARTMENT OF STATE
Memorandum of Conversation
DATE: March 8, 1938.
SUBJECT: SEASOUT CONFIDENTIAL
PARTICIPANTS: The British Ambassador, Sir Ronald Lindsay;
The Under Secretary.
COPIES TO:
... I-1480
The British Ambassador called to see me late yester-
day evening. He had been instructed by telegram from
Lord Halifax to convey a message to this Government which
he then comminicated to me.
The message the Ambassador was instructed to commu-
nicate to me commenced with the statement that Lord Halifax
was very much gratified to know that the President and the
Government of the United States considered the procedure
of the British Government in its efforts to find a. polit-
ical appeasement "to be right" and that the new British
Foreign Secretary was encouraged in the thought that in
its effort the British Government had the sympathy of
the United States.
-2-
At this point I interjected to say to the Ambassador
that I assumed that this message was the result of a
telegram which the Ambassador had probably sent after
his conversation with me of March 3 and that it was not
the result of any statement made to the Ambassador by
the President or by the Secretary of State directly.
The Ambassador said that I was correct in that belief.
I then said that I felt it necessary in the most friendly
way to make it clear that I had never indicated in our
previous conversation that the President or any respon-
sible officials of this Government had undertaken to
determine or much less to say to the British Government
that they considered its procedure "to be right". I had
said that this Government was, of course, adopting an
attitude of contemplation and that it hoped that the
British Government in its endeavor to find a solid
foundation for a political appeasement in Europe would
meet with a complete measure of success. I said that
as the Ambassador knew from his knowledge of the proposal
which the President had had under consideration for some
time that the President frankly recognized that certain
political appeasements in Europe with which this Govern-
ment had no direct concern and in which this Government
could not participate were evidently an indispensable
-3-
factor in the finding of bases for world peace; that in
that sense and in that spirit I had said to the Ambassa-
dor that this Government trusted the negotiations for
these political appeasements would prove completely suc-
cessful, but that I wanted to make it very clear that
this Government had not attempted to pass upon the
methods of approach determined upon by Mr. Chamberlain
nor in any other way to offer advise or counsel as to
the manner in which the negotiations were being con-
ducted.
The Ambassador frankly admitted that he had prob-
ably over emphasized what I had said to him in our pre-
vious conversation and that Lord Halifax in turn had
over emphasized what the Ambassador had communicated to
him. The Ambassador said that he himself had been 80
deeply concerned by the attitude of the American press
with regard to Mr. Chamberlain's policies and by the dis-
tortion of the real issues involved in the conflict which
had arisen between Mr. Chamberlain and Mr. Eden that he
had been particularly gratified to know from his conver-
sation with me that the Government here was viewing the
question dispassionately and objectively, and was regard-
ing the ultimate objectives sought by Mr. Chamberlain as
that which they in fact were--the desire to find through
$20.00
-4-
peaceful negotiation a settlement of political disputes
in Europe so that the world might return to a condition
of normality. He stated that I had no conception of the
number or the nature of the letters which he had been
receiving from private American citizens inveighing
against the present policy of his Government and alleg-
ing that the British Government was now endeavoring to
bolster up the European dictatorships. The Ambassador
remarked, "It is not that we like the dictators nor
that we want to associate ourselves with them, but
since we are confronted with a world in which there are
dictators, we have reached the conclusion that the only
thing to do in order to prevent war is to try and find
a basis for peaceful understanding with them".
The Ambassador then went on to give me the rest of
the message from Lord Halifax. Lord Halifax said that
the British Government was compelled to tackle their
European problem piecemeal and that they had commenced
with Italy because the rapid and continuing deteriora-
tion of relations between Italy and Great Britain was
becoming increasingly serious and the British Govern-
ment hoped that restoration of confidence and friend-
ship between Italy and England might produce a satis-
factory and lasting appeasement in the Mediterranean
-5-
and adjoining regions. He went on to reiterate what
Sir RonaldLindsay had communicated to me in an earlier
conversation, namely, that the British Ambassador in
Berlin had been instructed to see Hitler on March 3
and that as a result of that conference the British
Government hoped to be able to appraise the prospects
of advance in that quarter in order to devise a meas-
ure of appeasement in Central and Eastern Europe. The
British Foreign Secretary emphasized the fact that both
negotiations would be attended by many difficulties
but that if these "regional agreements" could be secured,
he hoped that any danger of conflict could be avoided
at least for a period.
At the conclusion of the communication which Sir
Ronald Lindsay was instructed to make, Lord Halifax
mentioned his belief that in order to secure any real
and lasting betterment of the situation it would un-
doubtedly be necessary to try and obtain some scheme of
general cooperation in Europe not only political, but
likewise economic, and said that if the United States
Government could at any time see its way to assisting
or encouraging such a development, that would undoubtedly
be of the greatest value. For that reason Lord Halifax
again desired to inform this Government fully of the
-6-
progress of the British negotiations 80 that the United
States could, should it so desire, offer advice or
criticism as to the progress of the negotiations and so
that the President could, should he be so disposed,
determine whether at any point it might be opportune for
him to take "independent but correlated action". The
message concluded with the expression of the hope that
should the President at any time determine that it was
desirable for him to take such "independent but corre-
lated action", the British Government might be advised
beforehand of such intention on the part of the Presi-
dent.
I asked the Ambassador if he had any instructions
which would make it possible for him to clarify exactly
what the British Government had in mind in the latter
part of Lord Halifax's message. I reminded the Ambas-
sador that the President had made it emphatically clear
that this Government did not intend to participate in
any way in the questions of European political appease-
ment and that the only initiative which the President
had contemplated was that concerning which the British
Government had been fully informed. I said that for
the time being the President had determined to hold that
initiative in abeyance as the British Government had
-7-
already been advised and that as the Ambassador had been
informed, the British Government would be informed
should the President at some subsequent date determine
that it was desirable to take any action of the kind
which he had previously contemplated.
The Ambassador said that he had no instructions
whatever in clarification of the points concerning which
I inquired. He said that to him the meaning was very
clear and that was that if the political appeasements
which the British Government was now seeking were suc-
cessfully concluded, undoubtedly economic and financial
measures would have to be determined upon as supplements
and complements to the political appeasements. He said
that of course both Germany and Italy, if they decided
to move outside of their present autarchic system as a
result of satisfactory political adjustments, would find
themselves in a very difficult transitional state, both
commercially and financially, and that the British Gov-
ernment hoped that the other great powers of the world
who were seeking to further peace would then consider
how they individually might help in the restoration of
normal commercial and financial relationships. He said
that up to the present time, in the judgment of his
Government, the only constructive program which had been
/
/
in Day / =
sports too post nos the POSTERS BELOW GESTLUPTS any 72 to DATE
-8-
put forward during the past five years had been the Hull
trade agreements program and the existence, or rather
the continuation and enlargement of the scope of that
program, would in the opinion of the British Government
be the most effective way that had yet been devised of
assisting Italy and Germany through the transition
period back to normal relationships with the other powers
of the world. I reminded the Ambassador that it appar-
ently had taken the British Government a good many years
to comprehend the truth of what he was now saying to me
but that, of course, it was clear that if the Britich
Government desired the effective cooperation of the
United States through the trade agreement program, the
British Government's own sincere and wholehearted sup-
port of that program, particularly after the conclusion
of the British-American trade agreement, would neces-
sarily be all important. I further said to the Ambas-
sador that the President's plan had obviously taken the
factors which the Ambassador had mentioned to me specifi-
cally into account in as much as one of the points which
the President would have indicated he was willing to con-
sult other nations upon was the devising of methods for
the freeing of restrictions upon trade between nations
and the most effective manner of promoting an opportunity
-9-
for all nations to participate in the processes of world
trade on a basis of equality of treatment.
In concluding this part of our conversation I said
to the Ambassador that it seemed to me exceptionally
important that there be not the shadow of misapprehension
on the part of the British Foreign Office of the attitude
of this Government nor as to the limits of activity be-
yond which this Government could not and would not go.
I said that I appreciated and I was sure the President
and the Secretary of State would appreciate the particu-
larly friendly nature of Lord Halifax's message but that
I wished to assure myself that the precise position of
this Government was clearly understood by Lord Halifax.
The Ambassador repeated that if there was any misappre-
hension it was undoubtedly due to the way in which his
earlier telegram to Lord Halifax had been worded and
that he would see that there was no further misunderstand-
ing even with regard "to the shading or interpretation"
of words.
The Ambassador then spent a short time in discuss-
ing the situation with regard to the incidents which had
arisen in connection with Canton Island and the other
Pacific islands. He said that he had just received a
cable which he would communicate to the Department in
CORDINGTOR
- association 220 the alood anotted 4th the 202
cauge
-10-
writing today indicating that the British proposals would
be made in the immediate future 80 as to provide a solu-
tion of this difficulty. I asked when these proposals
were expected and he said that he did not know and that
any delay that might ensue would be due solely to the
intransigent attitude of the Australian and New Zealand
Governments. He told me that he had acted as quickly
as he possibly could in communicating with the Governor
of Fiji so as to avoid the possibility of any physical
difficulty when the American colonists arrived at the
islands and that he thought he had acted just in time
but that one never knew what New Zealanders might do
when confronted with a situation of this character.
30
U SW:IJ
THE UNDER SECRETARY OF STATE
WASHINGTON
March 9, 1938.
My dear Mr. President:
With reference to my letter to you of
yesterday's date, I enclose a further
secret memorandum given me by the British
Ambassador yesterday afternoon. This
memorandum relates to the conversation had
with Hitler by the British Ambassador in
Berlin on March 3. The conversation would
seem to have been highly unsatisfactory.
Believe me
Enclosure:
Faithfully yours, halls
Secret memo-
randum.
The President,
The White House.
Oral account of a conversation on March 3rd between
Sir N. Henderson and Herr Hitler at which Herr von
Ribbentrop was present. The latter is coming to
London for two or three days thi 8 week when Lord
Halifax will have a conversation with him.
Herr Hitler was in an excitable mood and spoke
at some length on his favourite topics of bolshevism
and incitements of the foreign press particularly
British. On the main point under discussion his
attitude may be summarized as follows.
He doubted whether the Colonial question was
yet ripe for solution in view of the fact that
Paris and London had set themselves too strongly
against a return of Germany's former Colonies and
considered therefore that a settlement might have to
wait some years. He would send a written communication
later in reply to the soundings which Sir N. Henderson
made with the object of finding out on what line a
solution of the Colonial question might eventually
be possible.
As regards Central Europe Herr Hitler adopted
an uncompromising, indeed a vehement attitude.
Germany he said would not allow third parties to
interfere in the settlement of her relationships with
Countries of the same nationality or Countries with
large German populations. He went 80 far 8.8 to accuse
the
-2-
the French and British Governments of deliberate steps
to spread obstruction of his peaceful endeavour
to secure alleviation for oppressed Germans in Austria.
Germany he said would have to intervene if Germans
were oppressed in Central Europe. She could not
remain neutral if there were internal explosions
in Austria or Czecho-Slovakia. It was in order to
avoid such an explosion in Austria that the Berchtes-
gaden agreement had been concluded and if the Austrian
Government carried out their undertakings the former
difficulties might now be regarded as removed. In
Czecho-Slovakia Germans must be guaranteed autonomy
in cultural and other matters to which they were
entitled in order that a satisfactory solution might
be reached.
As regards the limitation of armaments the
Chancellor maintained that His Majesty's Government
would have to begin any discussions with Russia;
Germany was not arming against England and any arms
limitation was in essentials dependent on Soviet
Russia, which was in any case & country which could
not be trusted to keep its treaty engagements.
Herr Hitler referred to & recent speech by Voroshiloff
plainly announcing that Soviet forces would make
ruthless use of poison gas; and the Chancellor
added, when asked for his view regarding prohibition
of air bombing, that he had long made known his
attitude on that question and could only add that
-3-
if the Soviet Union were today to declare their
readiness to refrain from use of poison gas bombs
it would be impossible to place any faith in such
a declaration.
His Majesty's Ambassador of course
corrected the Chancellor's inaccuracies and
protested strongly against his false insinuations.
The promised written communication has not yet
been received.
PSF
wells
1
DEPARTMENT OF STATE
WASHINGTON
March 16, 1938.
My dear Mr. President:
I have just received from the British
Ambassador a message from his Government of
which I am enclosing a copy herewith. You
will note that the time and method of accord-
ing recognition to the absorption of Austria
into the German Reich is now under considera-
tion by the British Government and that the
Ambassador will receive a further telegram
on this point.
Believe me
Enclosure.
Faithfully TA
yours, hulls
The President
The White House.
COPY
In a speech which Lord Halifax 18 making in
the House of Lords this afternoon the following
passage will occur.
"His Majesty's Government are therefore
bound to recognise that the Austrian
State has now been abolished as an inter-
national entity and 18 in process of be-
ing completely absorbed into the German
Reich. They do 80 indeed without waiting
for the plebiscite, the result of which,
in view of the circumstances in which it
1s going to be held, 18 8. foregone con-
clusion."
This statement foreshadows the intention of
His Majesty's Government in the United Kingdom to
recognise the fait accompli of the absorption of
Austria in the German Reich. They are considering
the time and method of according recognition and a
further telegram on this point 18 awaited.
March 16th, 1938.
Pssilles PSF
DEPARTMENT OF STATE
WASHINGTON
March 16, 1938.
My dear Mr. President:
With reference to our telephone conversation this
morning, I am enclosing a copy of the memorandum of a
talk I had with the German Ambassador on March 14.
I also enclose a copy of the memorandum of a con-
versation I had with the Canadian Minister yesterday
which I believe you will find of interest. The Minis-
ter's interpretation of the attitude of public opinion
in Canada and of his own Government with regard to any
policy which may be undertaken by the British Govern-
ment now in connection with Central European problems
is, I think, significant.
Believe me
Enclosures.
Faithfully A yours, highs
The President,
The White House.
COPY
DEPARTMENT OF STATE
Memorandum of Conversation
DATE:March 14, 1938.
SUBJECT: Recent events in Austria.
PARTICIPANTS: The German Ambassador, Herr Hans Heinrich Dieckhoff;
The Under Secretary.
COPIES TO:
are 1-1493
The German Ambassador came in to see me this even-
ing immediately after leaving the Secretary of State.
The Ambassador told me that he had handed to the Secretary
in its German text a formal communication he had been
instructed by his Government to make to the Government
of the United States quoting the texts of 8. German decree
and of an Austrian decree promulgated yesterday declar-
ing the union of Austria with the German Reich. The
Ambassador remarked that these texts had been published
by the press here and that he supposed I had seen them.
I said that I had and that I thought they also had been
telegraphed to the Department by our missions in Berlin
and in Vienna. I asked the Ambassador if there was
-2-
anything further in the communication he had delivered
to this Government other than the text of these two
decrees and he said merely the further statement that
the Austrian Legation and the Austrian Consulates in
the United States had been instructed to turn over their
archives and to subordinate themselves to the German
Embassy in Washington and to the nearest German consular
officers. I made no comment.
The Ambassador seemed to find my failure to make
any further remark somewhat exasperating and he gave
me the impression of laboring under a very considerable
degree of nervous excitement and tension. He then broke
out with the remark "This is a great day, a wonderful
day, for Germany". I again made ne comment.
Mr. Dieckhoff then embarked upon a tirade which
lasted certainly for ten minutes and which, in view of
his usually extremely courteous and pleasant manner and
in view of the fifteen years I have known him and have
maintained extremely friendly personal relations with
him, struck me as all the more extraordinary. He com-
menoed with the assertion that no matter what Germany
did, the rest of the world was always ready to inveigh
against her, to question her good faith, to malign and
maliciously to misinterpret her actions and her purposes,
-3-
and that the present moment was another example of that
phenomenon. He said Austria has always desired an
Anschluss with Germany, and both the Weimar and the
Austrian constitutions provided for such amalgamation.
Only through the inequity of the Versailles and the
Saint-Germain treaties, said the Ambassador, was such a
union made impossible at the end of the World War. He
continued, saying that it was now evident to the whole
world that the Austrian people unanimously desired to
become an integral part of the German Reich.
At that point I interjected and said that so far
as the impression of the world was concerned, it would
seem to me that the impression created had been that
the Austrian people had not been given an opportunity
of determining that question and that the use of physi-
cal force must necessarily be considered as having ob-
scured any considered and expressed determination by
the Austrian people of what they themselves desired.
The Ambassador then went on to exclaim, "If you
were in Vienna today you would not feel that way. You
would see for yourself that every Austrian wishes to
become a citizen of the German Reich". To this I made
no comment.
The Ambassador then continued by stating, "And if
-4-
the Austrians are not permitted to have a plebiscite,
that would be nothing new. You will remember that when
the French occupied Alsace and Lorraine after the World
War, Poincare announced that the mere manner in which
French troops had been received by the populace in those
two provinces was sufficient proof that the citizens of
Alsace and of Lorraine desired to become Frenchmen once
more". At this point I mentioned that it seemed to me
that the precedent selected by the Ambassador was not a
singularly happy one.
The Ambassador then went on to revile the press in
the United States. He said that the news columns and
the editorials in all of the American newspapers were
filled with calumny and lies and that no effort was
ever made to treat Germany or German policy objectively
or even to deal with the issues in an impartial manner.
I reminded the Ambassador that we had had many
conversations in the past months on the subject of the
relations between our two countries and on the subject
of the press, both in the United States and in Germany.
I reminded him that it was absolutely impossible for the
press or the people of the United States to take a dis-
passionate point of view with regard to certain occur-
rences which had taken place during recent years in
-5-
Germany. I stated to him that there was instinct in
the spirit of every American citizen two great princi-
ples upon which the United States had been founded and
had grown to its present stature. I said these two
principles were the freedom of religious worship and
the right of free speech and of a free press. I told
the Ambassador that, as I had said to him frequently, so
long as there were very great elements in our population
who saw the members of their own race or of their own
religion in Germany deprived of these rights which were
considered fundamental by every American citizen, that
prejudice would persist and I was sure that with his
knowledge of human nature and with his long acquaintance
with this country, he must realize that that was the fact.
The Ambassador then remarked, "But the Jews here
are only a small proportion of your population. Why
should you permit them to dominate the press and to
dominate public opinion?"
I replied that while the Jewish element in the
population of the United States was, as he said, only a
small percentage of our total population, nevertheless,
the people of the United States felt that that element
among them was as much a part of the United States as
any other element of the population; that we felt they
-6-
had contributed greatly to the progress and to the well-
being of the nation; and that while I could under no
conditions accept the Ambassador's statement that our
press or our public opinion was dominated by the Jewish
element in our population, nevertheless, in view of the
fact that most Americans had Jewish friends whom they
regarded highly and whom they admired as fellow citizens,
the feelings and the sufferings of this part of our
people very naturally necessarily had its effect upon
the views and sentiments of the non-Jewish part of our
population. I reminded the Ambassador in as much as he
was undertaking to dissect the component parts of public
opinion in the United States, that the members of other
churches, both Catholic and Protestant, felt quite as
strongly with regard to the two principles I had men-
tioned as the Jewish element in the United States.
I reminded the Ambassador that in previous conver-
sations I had told him of my own early friendships in
Germany and of the great benefits I as an individual
had received from those friendships, and of the cultural
benefits I had been privileged to obtain from Germany,
and that therefore he knew that as an individual I was
far from prejudiced and had always endeavored to see
both sides to the German contention since the War and
POIDR cougt at ITOUS woosbs the objurious
way 200 repense
/ E The OF E
-7-
had fully appreciated the fact that in their dealings
with Germany during the past twenty years injustices
had been committed by other powers which I had always
hoped would some day be righted through peaceful and
reasonable negotiations such as those which Stresemann
had endeavored to undertake. I stated, however, that
in view of his knowledge of the American people and of
the way in which public opinion in the United States re-
acted, the Ambassador would realize that the feeling
now existing on the part of so large a proportion of
our population would be very greatly intensified if new
acts of repression and persecution were undertaken by
the German authorities against Austrian citizens be-
cause of the latter's religious beliefs.
The Ambassador concluded our conversation by stat-
ing in the most vehement manner that the German Govern-
ment as a result of its experience with the American
press during the past years from which it had never re-
ceived anything except malignant and malicious treat-
ment would not be greatly concerned by any intensifica-
tion of that feeling on the part of the press in this
country.
S.W.
PSF
milles
March 17, 1938.
From the President
Memo for Under Sec. of State
And Chief of Naval Operations
In re-having American destroyer in Samana Bay on Mar. 18th
to 23rd, when German battleship will visit it.
SEE--Navy folder-Drawer 1--1938
PSF: Welles
DEPARTMENT OF STATE
WASHINGTON
March 18, 1938.
My dear Mr. President:
I received yesterday a letter from Oswaldo Aranha,
who, as you know, assumed office as Brazilian Foreign
Minister on March 15. I am sending you a translation
of the letter in the belief that Aranha's estimate of
the present situation in Brazil and his forecast of the
future may be of interest to you.
Believe me
A yours, halls
The President,
The White House.
[TRANSLATION]
R1o de Janeiro, March 9, 1938.
Friend Sumner Welles:
I promised to write you a letter when we departed,
already three long months ago. I did not wish, however,
to take up your time, which I know to be constantly occu-
pied, with vague and uncertain impressions. I have spent
this time in studying and observing the life of my country
and today I can speak to you as to myself, and with a full
acquaintance with the matter.
I. I shall not return to Washington, for obvious
reasons. I am certain that my great friend will approve of
this decision. I confess to you, however, that all my
wishes and also those of my family were to return to
Washington, where we had an instructive, pleasant and
happy stay.
My presence, however, became necessary in Brazil.
I long for nothing more than to return to live again
with the American people and in its country, which gave
me only pleasures, honors, friends and very enjoyable
memories.
II. My place there will be taken by Ambassador
Pimentel Brandão, at present Minister of Foreign Affairs.
He needs no introduction. His work at the Itamaraty 1s
a recommendation. His fidelity to Brazil's traditional
policy, his devotion to the ideals which our two countries
are
-2-
are spreading over the Continent in brotherly fashion
by the practice of neighborliness and over the world by
the love of peace, the confidence which he places in the
head of the government, his intelligence and his culture
accredit him as the one among us most indicated to repre-
sent us in Washington. I feel certain that his mission
will be fruitful and happy.
III. The political situation of my country can
easily be summarized between two friends in 8. few words.
The Brazilian people continues to be absolutely the
same, maintaining its democratic and liberal life and
traditions unchanged.
Democracy 18 not a government, a law or a constitution:
it 18 a practice. This 1s the reason for which there exist
in the world monarchies that are considered democratic and
liberal and republics that are true autocracies. The forms
of government are sometimes, and most of the time, mere
outward show or even temporary necessities, which in no
wise change the feeling, the spirit, the tendency and the
life of peoples.
Brazil was always democratic, whether under the Empire
or under the Republic, because her people, since Independence,
have not understood and will not be able to understand any
other way of living.
The present government was necessitated by the cir-
cumstances and constituted, under the shock produced by the
military-
-3-
military-Communist coup of 1935 and the subsequent politi-
cal anarchy, threatening a civil war of classes and factions,
not only the most peaceful solution, but the most popular
one. It was the only one capable of maintaining the public
order, administrative and political, material and moral,
of the country.
President Vargas did everything to favor settlement by
elections, encountering, unfortunately, immovable obstacles
in the aggressive and distrubing stubbornness of the re-
gional political factions, their leaders and candidates.
The people, as I have been able to verify, chose, in
the form of a quasi-plebiscite, the present solution,
not only because of the assurance of order which the figure
of the President gave them, but also because, beyond doubt,
this was the only way to avoid bloody combats and get rid
of the extremist tendencies, both toward the left and
toward the right, that had become numerous in the country
under the shadow of the presidential campaign.
The attitude of the people, preferring the middle of
the road, was wise and prudent, and the basis for safe-
guarding the country against 8 serious social subversion
1s to promote a new stage of constructive and serene
continuity, which 18 the work of the present government.
The truth 1s, my friend, that under the Vargas admin-
istration no other regime except a liberal one 18 possible.
All
All his life he has been a noble example of tolerance in
power. His authority has always been exerted within the
broadest discussion of general and even individual
interests. He does not do, or allow anything to be done,
without open consideration and general debate of the
problems that he must or that he wishes to solve. His
presidency, formerly and now, was and 1s the exercise of
a rule of moderation, prudence and generosity.
These were the reasons for the people's choice,
understood and supported by the organized classes, civil
and military, and which he accepted as one more sacrifice,
since power has no personal attractions for him. His
clearsightedness, his lack of "personalism" in the exer-
cise of government, his impersonality in the treatment
of men and of the public interests are, added to his
private virtues, the firmest foundations for his prestige
among the people. He does not exercise power for himself
or his family, nor for a group, and still less for a
faction, party or section of the country.
The government 18, in his hands, an instrument of the
people and of the common weal.
Its continuation was, then, a necessity for the whole
country. And it should be understood as such by the friends
of Brazil.
IV. You know well, my good friend, my ideals, my
sentiments
-5-
sentiments and political points of view. Your friendship
is one of the best and most comforting acquisitions of my
public life. So I am speaking to you with the responsi-
bility which this confidential intimacy imposes in our
personal relations.
I can therefore assure you that the present solution
was, it may be said, providential for my country. The
people is living democratically, discussing and deciding
on its destinies under a government that wishes only the
general welfare.
The Government has only centralized those powers
the dispersion of which was subverting the very bases
of national unity and of the democratic and federative
institutions of Brazil, without, however, abolishing the
popular and local foundations of the traditional liberal
organization of the country.
The new Constitution has preserved representation,
federation, the republican form, the three powers and the
temporary character of mandates. There are some exaggera-
tions in it which time, the people or the government
itself will finally amend or adjust. But, my friend,
what people 1s there that, being obliged to recast its
basic law in this period, will not stray into exaggera-
tions and errors?
The present era is one of economic, political, social
and even universal ruin. Did not the American Constitution,
the
-6-
the work of brilliant men, maintain slavery, paying
tribute to its epoch, and yet being the most advanced and
liberal, semi-prophetic, political structure of its time?
Did not the "fathers of the country" fail to include the
chapter "on individual rights" that is nowadays rightly
considered the "heart of the Constitution"?
The Brazilian plan, in my opinion, shows certain
anachronisms. They will, however, be corrected, as were
the American ones, and more peacefully, because the
Brazilians are not obstinate, but rather willing to learn
and correct.
V. So my dear friend and his Government may trust
in the new order of things created in Brazil. It will
not lag behind in the striving for order, peace and the
happiness of peoples and will continue to be the most
friendly, the most loyal and the most disinterested of
the brothers of the American Union.
VI. I shall go to the Itamaraty within a short time,
thus fulfilling my duty of collaborating with the govern-
ment of my country and doing everything to aid the fruit-
ful and patient work of national reorganization begun by
my President and my friend. I believe, besides, that in
that way I can best serve the union and friendship of our
two countries, the bases of continental prosperity and
peace.
I
-7-
I have reason, as has President Vargas, for trusting
in your most intimate and personal cooperation with me and
my country. I know that the attitude of President Roosevelt
and Secretary Hull, whose noble plans I know and admire,
will be no different, and I hope to be of service in my
new position, as I succeeded in doing in Washington.
Ambassador Caffery has already given innumerable evi-
dences that he will be a guarantor of that work to be
completed.
VII. I ask you to receive my regards and to present
them to your colleagues; I send them in particular to
Secretary Cordell Hull, to whom I am going to write. As
evidence of the liking of my wife and myself, including
Mrs. Welles also, I am,
Your friend from the heart,
Oswaldo Aranha.
PSF: Welles
DEPARTMENT OF STATE
WASHINGTON
March 21, 1938.
My dear Mr. President:
I have read Mr. Blum's letter. I see no reason
why you should write him again since, as you indicate
in your memorandum to me, the letter you have now re-
ceived is in response to the letter you wrote him.
You may have seen the cable which came in Saturday
from our Charge d'Affaires in Paris informing us that
Mr. Blum, who had been planning to undertake his trip
to the United States as a private citizen, is now won-
dering whether this visit should be made if he is still
Prime Minister at the time he had arranged to visit this
country. Personally, I think he should come, whether as
Prime Minister or as a private citizen, for I feel the
general effect of the visit would be desirable. If you
yourself feel this way, perhaps you will let me know be-
fore you leave Washington since I think our Embassy in
Paris ought to be advised of your feeling in this regard.
Believe me
The President,
Faithfully A yours, Hells
The White House.
Blums letter written in french to the Pres
is in Jermous People folder drawer / - 1938
PSF: Weller
file
THE UNDER SECRETARY OF STATE
milles
WASHINGTON
April 18, 1938.
My dear Mr. President:
With reference to our telephone conver-
sation of this morning, I am enclosing here-
with for your consideration a suggestion of
what you might wish to say at your press con-
ference tomorrow with regard to the British-
Italian Agreement.
I have spoken on the telephone to the
Secretary and he is in accord with the gen-
eral lines of this suggestion.
Believe me
Enclosure.
D Faithfully yours, Wills
The President,
The White House.
OF STATE
STATE SECRETARY
THE WHITE HOUSE
APR 181938
WASHINGTON
MR. WELLES
April 18, 1938
MEMORANDUM FOR THE SECRETARY OF STATE
I have just read Halifax's communication
to Kennedy--and I suppose the last paragraph needs
some answer. will you talk to no about this at
your convenience.
F. D. R.
Enclosure
filmer file
PSF
news
THE UNDER SECRETARY OF STATE
WASHINGTON
April 21, 1938.
My dear Mr. President:
Thank you for letting me read this let-
ter from Mr. Bowers. I have found it extremely
interesting. In accordance with your request,
I am returning it herewith.
Believe me
Faithfully R yours, halls
Enclosure.
The President,
The White House.
Letter to Pres from Bowers
april 11. 1938'
See Spain - dramer : 1988
THE WHITE HOUSE
WASHINGTON
April 21, 1938.
MEMORANDUM FOR
THE UNDER SECRETARY OF STATE
TO READ AND RETURN
F. D. R.
Letter from Ambassador Bowers
dated April 11, 1938.
melles
Memo from Sumner Welles
to the President
April 22, 1938
Attaches memo from Hugh Wilson
in re his conversation with Reich
minister of propaganda Dr. Goebbels
SEE--Germany folder-Drawer 2--1938
PSF
file
Memo sent from Welles to President
in re-Radio Conventions, Habana Conf. 1937
was sent by Pres. to McNinch, April 26, 1938
SEE--McNinch-Gen corres-Drawer 2--1938
THE WHITE HOUSE
wills
WASHINGTON
April 27, 1938.
MEMORANDUM FOR
THE UNDER SECRETARY OF STATE
will you speak to me about
this before I leave?
F. D. R.
Letter addressed to Ambassador Bullitt
from Farrio in re Larkin, the Foreign
Buildings Chief.
DECLASSIFIED
By Deputy Archivist of the U.S.
By W. J. Stewart Date MAR 6 1972
THE WHITE HOUSE
WASHINGTON
COMP IDENTIAL
April 29, 1938.
MEMORANDUM FOR
THE UNDER SECRETARY OF STATE
THE CHIEF OF OPERATIONS
What is your recommendation
in regard to the enclosed?
F. D. R.
plt.
wellen
State if
DEPARTMENT OF STATE
WASHINGTON
April 27, 1938
Strictly Confidential
Dear Mr. President:
Informal negotiations are now taking place in
London to determine whether new limits, and if so what
limits, shall be placed on the size and armament of
capital ships, to take the place of the old limits pro-
vided in the London Treaty from which we departed last
month through escalation. These negotiations have now
reached a stage where further instructions are necessary.
I am informed that the Navy Department favors our
standing on the position that there should be no new
limits set for capital ships, and that even though we
do not for the moment desire to build for ourselves
ships greater than approximately 45,000 tons, with
/NO! V Y'000 THIS
St
16 inch guns, we should be free to build for ourselves
ships of any size and armament to suit our needs as
circumstances demand.
Moreover,
IN
The President,
the
The White House.
FILED
MAY 9 1938
"Ild
-2-
Moreover, we are considering the approval of a con-
tract between the Soviet Government and private American
shipbuilders for a capital ship of over 62,000 tons and
guns of 18 inches. This could only be built in the
United States under the terms of the existing Treaty if
we decline henceforth either to set any limits whatsoever
in the capital ship category, or if we set them at a
figure not less than 62,000 tons and 18 inch guns.
I venture to submit certain reasons, chiefly of a
political character, why I feel it would be against our
true interests to adopt either of the alternatives men-
tioned above.
(1) The present Treaty provides that after escala-
tion "the High Contracting Parties shall thereupon con-
sult together and endeavor to reach an agreement with a
view to reducing to a minimum the extent of the departures
which may be made." A strict observance of the Treaty,
certainly in spirit if not in letter, would call for
the setting of new limits as near to the old limits as
would suit our own needs.
(2) It would be a mistake for us to approve the
construction in the United States for a foreign power
of & new type of ship which, if copied by others, might
render all existing capital ships obsolete. This would
be
-3-
be surrendering the advantage of our present numerical
superiority in capital ships, and would not only start
a new race in capital ships from scratch, but would give
a greater incentive to build entirely new types of vessels.
It is against the interests of the stronger naval powers
to encourage the development of new types.
(3) Should we permit the construction for the Soviets
of a ship of the new type contemplated Japan would probably
concentrate against us the resentment she has hitherto
directed mainly against the British.
(4) As the Soviet authorities inform us that the
ship in question would be based on Vladivostok, its
construction might even encourage Japan to attack and
capture Vladivostok before the completion of the ship,
so no to prevent it being based on a port sufficiently
near to threaten Japan.
(5) It would almost certainly encourage Germany,
which is reported to be restive under the Naval Treaty
with Great Britain, to invoke the escalator clause in
order to counterbalance Soviet construction with new
types specially suited to her needs.
(6) It would precipitate a new naval race in Europe
Just at a moment when the British have the European navel
situation pretty well in hand with their recent success
in persuading Italy to adhere to the London Naval Treaty
as
anbesto
20
-4-
as part of the general Anglo-Italian agreement. A new
naval race might well be followed with renewed political
friction, for which we should be in part responsible.
All these difficulties could be avoided by our agree-
ing to e. limit of 45,000 tons and 16 inch guns, - figures
which are higher than desired by the British and French,
but which would meet our present construction needs and
military plans. If circumstances alter and n. new situa-
tion arises that gives us concern, we can always protect
ourselves by a second escalation. By permitting American
shipbuilders to construct several ships of this size for
the Soviet Government, instead of one of 62,000 tons, we
would reap many commercial and political advantages,
without creating a new type which would be of no dis-
cernible advantage to us, and which would in all proba-
bility have unfortunate political repercussions both in
Europe and in the Far East.
I enclose, as of possible interest, an Aide Memoire
from the British Embassy which has recently been received.
The only new point is found in the last sentence, where
the suggestion is made that a naval officer be sent to
London for the period of the escalation discussions.
The suggestion would seem to have little merit as the
decision must be made here in Washington.
I
-5-
I respectfully request an expression of your wishes
in regard to the points raised.
TA
Faithfully yours, halls
Enclosure:
Aide Memoire.
AIDE MEMOIRE
with reference to the "escalator"
discussions now proceeding in London under
Article 25 of the London Naval Treaty of 1936,
His Majesty's Government in the United Kingdom
regard it as most important to reach agreement
on new limitations with as little delay as
possible. They understand, however, that the
United States Government are in some doubt as to
whether any new limits should be fixed. Under
Article 25 (3) of the 1936 Treaty the interested
Powers are bound to endeavour to reach agreement
on new limits for sub-category (a) Capital Ships,
and it was clearly the intention of the Treaty
that there should be new limits if possible. In
the opinion of His Majesty's Government it is most
important for political and other reasons that
some limit should be fixed now, and it seems to
them desirable, while avoiding any excessive
increase, to fix a limit at such & level that re-
escalation is unlikely to be required again in the
Capital Ships category during the period of the
Treaty. The basis of the 1936 Treaty is a system
of qualitative limitation to which the interested
Powers were committed by the conclusion of the
Treaty with the full knowledge that Japan would
not be a signatory. This system, as the United
States/
get
States Government will be aware, dates from
the Washington Conference of 1922, and His
Majesty's Government cannot believe that any
Treaty Power would depart from it except in
circumstances of the most undoubted gravity.
His Majesty's Government believe that the
exigencies of the present situation can be fully
met without abandoning the principle of an upper
limit for Capital Ships. The position of His
Majesty's Government is complicated by the fact
that Germany and Soviet Russia, with whom they
have bilateral agreements, will be pressing for
information as to the British attitude in view of
their own building programmes. The period of
uncertainty is bound, His Majesty's Government
feel, to give rise to anxiety amonget other
powers.
with particular regard to the risk
that if new limits are fixed the Japanese
Government might proceed to build over such limits,
His Majesty's Government consider such action
unlikely and one that could in any case be met by
fresh escalation.
On the other hand the absence of limits
in regard to building programmes and a policy of
secrecy are, in the opinion of His Majesty's
Government, even more likely to cause the Japanese
Government, in order to avoid any risk, to build
to a higher limit than they otherwise would. In
actual fact it would no doubt prove difficult
for/
for His Majesty's Government, as also perhaps
for the United States Government, to maintain
complete secrecy regarding the size of their
new ships, and in the view of His Majesty's
Government there would, therefore, be no
permanent advantage in adopting an attitude of
secrecy. The Japanese Government, on the other
hand, are better placed for this purpose, and it
is they who, ao to speak, keep the Treaty Powers
guessing.
In explaining as above the position
of Hie Majesty's Government in the United Kingdom
in regard to this issue, it is desired at the
same time to stress the great importance which
they attach to it. His Majesty's Government are,
moreover, fully prepared to discuss figures as
soon as the United States representatives in London
are ready to do so. They would therefore welcome
at the earliest possible moment a full expression
of the views of the United States Government which
they venture to suggest might best be facilitated
by the despatch to London of a fully accredited
expert from the United States Navy Department for
the period of the "escalator" discussions. If
such an officer were sent it would of course be
made clear to the public that his mission was for
this purpose only.
BRITISH EMBASSY,
WASHINGTON, D.C.
pril 22nd, 1938.
PSF: Welles
THE WHITE HOUSE
WASHINGTON
April 29, 1938.
MEMORANDUM FOR
THE UNDER SECRETARY OF STATE
THE CHIEF OF OPERATIONS
what is your recommendation
in regard to the enclosed?
F. D. R.
THE MAILLE wonse
APR 27 1938
Strictly Confidential
Dear Mr. President:
Informal negotiations are now taking place in
London to determine whether new limits, and If so what
limits, shall be placed on the size and araanent of
capital ships, to take the place of the old limits pro-
vided in the London Treaty from which 170 departed last
month through occalation. These negotiations have now
reached a stage where further instructions are necessary.
I an informed that the Navy Department favors our
standing on the position that there should be no new
limits set for capital ships, and that oven though we
do not for the moment desire to build for curselves
ships greater than approximately 45,000 tons, with
16 Inch gune, we should be free to build for ourselves
ships of any size and amazont to suit our needa as
circumstances denand.
Moreover,
The President,
The White House.
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Moreover, we are considering the approval of a con-
tract between the Soviet Government and private American
shipbuilders for a capital ship of over 62,000 tons and
guns of 18 inches. This could only be built in the
United States under the terms of the existing Treaty if
we decline henceforth either to set any limits whatsoever
in the capital ship category, or if we set them at a
figure not less than 62,000 tons and 18 inch guns.
I venture to submit certain reasons, chiefly of a
political character, why I feel it would be against our
true interests to adopt either of the alternatives nen-
tioned above.
(1) The present Treaty provides that after escala-
tion "the High Contracting Parties shall thereupon con-
sult together and endeavor to reach an agreement with a
view to reducing to a minimum the extent of the departures
which may be made." A strict observance of the Treaty,
certainly in spirit if not in letter, would call for
the setting of new limits as near to the old limits as
would suit our own needs.
(2) It would be a mistake for us to approve the
construction in the United States for a foreign power
of a new type of ship which, if copied by others, might
render all existing capital ships obsolete. This would
be
tolvoc and soart
off 0.18 end agarted
-3-
be surrendering the advantage of our present numerical
superiority in capital ships, and would not only start
a new race in capital ships from scratch, but would give
a greater incentive to build entirely new types of vessels.
It is against the interests of the stronger naval powers
to encourage the development of new types.
(3) Should we permit the construction for the Soviete
of a ship of the new type contemplated Japan would probably
concentrate against use the resentment she has hitherto
directed mainly against the British.
(4) As the Soviet authorities inform us that the
ship in question would be based on Vladivostok, its
construction night even oncourage Japan to attack and
capture Vladivostok before the completion of the ship,
80 as to prevent it being based on a port sufficiently
near to throaten Japan.
(5) It would almost certainly encourage Certany,
which 1s reported to be restive under the Navel Treaty
with Great Britain, to invoke the escalator clause in
order to counterbalance Soviet construction with new
types specially suited to her needs.
(6) It would precipitate a new naval race in Europe
Just at a moment when the British have the European navel
situation pretty well in hand with their recent SMOOOSS
in permading Italy to achere to the London Naval Treaty
as
\ york you = %
8.
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as part of the general Anglo-Italian agreement. A new
naval race might well be followed with renewed political
friction, for which we should be in part responsible.
All these difficulties could be avoided by our agree-
ing to a limit of 45,000 tons and 16 inch guns, - figures
which are higher than desired by the British and French,
but which would meet our present construction needs and
military plans. If circumstances alter and a new situa-
tion arises that gives us concern, we oan always protect
ourselves by a second escalation. By permitting American
shipbuilders to construct several ships of this size for
the Soviet Government, instead of one of 62,000 tons, we
would reap many commercial and political advantages,
without creating 8. new type which would be of no dis-
cernible advantage to us, and which would in all proba-
bility have unfortunate political repercussions both in
Europe and in the Far East.
I enclose, as of possible interest, an Aide Memoire
from the British Embassy which has recently been received.
The only new point is found in the last sentence, where
the suggestion is made that a naval officer be sent to
London for the period of the escalation discussions.
The suggestion would seem to have little merit as the
decision must be made here in Washington.
I
Isvan
1004 :
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I respectfully request an expression of your wishes
in regard to the points raised.
Faithfully yours,
( signed) Summer Welles
Enclosure:
Aide Memoire.
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1
10 Ados and