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United States Department of State / Foreign relations of the United States diplomatic papers, 1936. The American Republics
(1936)

Ecuador,   pp. 484-557 PDF (28.0 MB)


Page 484


ECUADOR
PROVISIONAL COMMERCIAL AGREEMENT BETWEEN THE UNITED
         STATES AND ECUADOR, SIGNED JUNE 12, 19361
611.2231/87
    The Minister in Ecuador (Gonzalez) to the Secretary of State
No. 225                                   QUITO, January 10,1936.
                                           [Received January 21.]
  SIR: I have the honor to acknowledge the receipt of the Depart-
ment's confidential instruction No. 84 of December 24, 1935,2 with
which was transmitted a copy of the note addressed to the Ecuadorean
Legation in Washington presenting a draft of a modus vi'uendi which
would establish unconditional most-favored-nation treatment in the
commerce between Ecuador and the United States. The primary pur-
pose of the proposed agreement is to remove the discrimination against
American commerce which has arisen as a result of the Ecuadorean-
French modwq 'vivendi of July 12, 1935.8 However, in considering the
efficacy of the suggested arrangement, the Department must now also
take into consideration the Convention recently concluded between
Germany and Ecuador sa which provides for the same reductions in im-
port duties accorded to France, as well as other advantages (see des-
patch No. 224 of January 10, 1936 4). In view of the latter agreement
I deem it desirable to examine the suggested American-Ecuadorean
modw? vivendi in the light of existing circumstances.
  In the first place, Article 5 of Decree No. 1 of January 8, 1935,
(Registro Offial, No. 108, January 12, 1935), must be taken into
consideration. This provides that in order to apply the preferential
tariff to existing commercial treaties, it will not be sufficient that the
latter contains the most-favored-nation clause. Rather the decree
contemplates that the existing treaties will be amplified by extending
specific customs advantages to Ecuador which will be at least equiva-
lent to those granted by Ecuador. After reciting the advantages
already conceded by the United States to Ecuador, as outlined in the
1For previous correspondence see Foreign Relation8, 1935, vol. IV, pp. 506
ff.
  Ibid., p. 512.
  8 Signed July 12, 1935; for Spanish text, see Ecuador, Registro Ofiial,
June 9,
1936, p. 348.
Il Effected by exchange of notes dated December 12 and 17, 1935; for Spanish
texts, see Ecuador, Registro O/loial, June 9, 1936, p. 324.
'Not printed.
     484


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