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United States Department of State / Foreign relations of the United States diplomatic papers, 1934. Europe, Near East and Africa

Estonia,   pp. 129-133 PDF (1.7 MB)

Page 132

Agreement between the United Kingdom and Estonia, signed at
London on July 11, 1934, which obligates the Estonian Government
to "encourage and promote by all means at their disposal the im-
portation into Estonia of goods produced or manufactured in the
United Kingdom".
  As the Estonian Government is aware, the Government of the
United States has left its markets open on the basis of equality to the
commerce of all countries, including Estonia, and it is the firm policy
of this Government to endeavor to reduce to a minimum the barriers
to the free flow of international trade. While the Government of the
United States appreciates the circumstances in which the Estonian
Government has found it necessary to have recourse to foreign ex-
change and import restrictions, it desires to stress that the principle
of fair treatment in international trade and the most-favored-nation
principle enjoin upon every country making use of such systems for
limiting and controlling imports, to apply those systems in actual
practice so as to derange as little as possible the natural relative
competitive positions of the various countries supplying the imports
of the commodities affected. A policy of effecting by means of
import license or foreign exchange restrictions, or other administra-
tive devices, a balance of the foreign trade accounts between the two
countries is in conflict with the most-favored-nation treatment pro-
vided for in the treaty of friendship, commerce and consular rights
between the United States and Estonia.5 The continued application
of discriminatory measures to imports of American origin would be
particularly deplored by the Government of the United States which
is animated by a desire to facilitate and increase the trade and
commercial relations between the two countries.
  You should leave with the Minister for Foreign Affairs a memo-
randum embodying the remarks contained in the preceding two
paragraphs. The Department further desires that, in concluding
your interview with the Minister, you emphasize orally that this
Government is seriously disturbed by the discriminatory policy now
pursued by the Estonian authorities with respect to American trade
and that you express your confidence to him that the Estonian Gov-
ernment, not being unfriendly disposed towards American trade,
will discontinue these discriminatory practices and restore to Ameri-
can trade the equitable treatment to which it is entitled under the
provisions of Article VII of the treaty of friendship, commerce and
consular rights. You may add that, in the event that these discrim-
inatory practices are continued, the American Government will be
forced to give prompt consideration to the situation created by the
denial to our trade of the treatment stipulated in the treaty.
'Signed December 23, 1925, Foreign Relations, 1925, vol. ii, p. 70.

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