DEPARTMENT OF STATE Memorandum of Conversation
DATE: February 9, 1951
SUBJECT:
PARTICIPANTS: The Secretary of State Chilean Ambassador, Felix NIETO OSA - Mr. Krieg OSA - Mr. Barall
COPIES TO: American Embassy, Santiago S/S ARA ARA Board DRA
After an exchange of greetings, the Chilean Ambassador presented me with a copy of a book of photographs prepared by the International Business Machines Corporation, covering the visit of President Gabriel González Videla to the United States in 1950.
Referring to a recent conversation with Secretary of Commerce Sawyer in which the latter expressed an optimistic outlook on the international situation, the Ambassador asked for my point of view. I replied I was unable to share fully Secretary Sawyer's optimism. I said I felt the situation would improve as the United States increased its military strength. The military situation in Korea appears somewhat better now, but the Chinese are in a position to intervene in Indo-China if they so desire and thus cause an extension of the conflict. I emphasized that the preservation of peace remains our primary objective at all times, but one can not yet say that the clouds have broken. The Ambassador explained that Mr. Sawyer's optimistic remarks referred to the international supply situation and he then expressed the hope that the State Department was taking action to meet Latin America's needs for essential raw materials and
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manufactured products available only from the United States. I explained that I am thoroughly familiar with this problem since both General Marshall and myself had been through it during and after World War II. I assured the Ambassador the Department will do all it can in the circumstances.
The Ambassador then handed me four memoranda dealing with subjects of interest to the President of Chile: the shipping agreement now before the Maritime Authority; the question of the status of copper; the international commodity groups now being constituted; and Chile's need for 1500 tons of synthetic rubber. I promised to give these my personal attention and asked the Ambassador to convey my respects to President Gabriel González Videla whose visit I remembered very well.
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