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United States Department of State / Foreign relations of the United States diplomatic papers, 1937. The British Commonwealth, Europe, Near East and Africa

Poland,   pp. 525-563 PDF (14.2 MB)

Page 525

Memorandum of Conversation, by the Chief of the Division of Trade
                     Agreements (HawkinA)
                                [WASUINGTON,] February 3, 1937.
[Participants:] Mr. Witold Wankowicz, Counselor, Polish Embassy;
               Mr. Sayre; '
               Mr. Kelley; 2
               Mr. Hawkins.
  Mr. Wankowicz called to discuss the possibility of trade agreement
negotiations. Mr. Sayre outlined to him the essential principles upon
which the negotiation of trade agreements by the United States must
be predicated. He pointed out that it is our policy to negotiate only
on bases which would promote the two objectives of the trade agree-
ments program: 1) the reduction of trade barriers, and 2) the re-
moval and prevention of discrimination. He said that Poland's com-
pensation and quota practices are, from our standpoint, discrimina-
tory, and outlined what the principle of no discrimination means to
the United States as applied to such measures and quotas, compensa-
tion systems and exchange controls. In regard to reciprocal reduc-
tions in trade barriers, Mr. Sayre pointed out that we operate on the
basis of granting concessions only on products of which the other
country concerned is the chief or major source of imports into the
United States; that Poland is the chief source of very few products.
This means that the list of duty concessions that the United States
could offer Poland in a trade agreement would be rather restricted.
However, Poland is a secondary supplier of a considerable number of
products and as the United States, in pursuance of its trade agree-
ments program, makes concessions to other countries on such prod-
ucts, Poland would receive the benefit as long as we continue to gen-
eralize to them in accordance with the most-favored-nation principle.
Mr. Sayre pointed out, however, that we can only continue to gen-
' Assistant Secretary of State.
'Chief of the Division of Eastern European Affairs.

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