AMERICAN REPUBLICS

New Zealand Herald, Volume LXXV, Issue 23228, 23 December 1938, Page 11

AMERICAN REPUBLICS

LIBERAL TRADE POLICY MACHINERY FOR PEACE DECLARATION APPROVED LIMA, Dee. 21 The chief event in the first week of the Pan-American Conference was the unanimous adoption of a resolution accepting a liberal trade policy including reasonable tariffs. In view of the fact that Brazil and Chile have been arranging barter pacts with Germany, the resolution is regarded as an important recognition that the British-United States trade agreement otters other methods of trade balancing. The Argentine delegation drafted a proposed declaration aiming at the consolidation of peace machinery in America at present, consisting of 10 treaties binding the 21 republics. The United States circulated a draft asserting that the 21 republics reaffirm their solidarity against any foreign threat to American safetj r and peace, the Argentine delegation opposing this as being too binding. Ultimately, a compromise was reached between the United States and the Argentinians, enabling the peace declaration to secure the unanimous approval of tho 21 States. It is understood that the final draft provides for consultation of all States with a view to resistance when any republic is threatened with aggression. It omits specific mention of aggression from without the American continent in deference to Argentina's wish not to offend European customers. Nevertheless, delegates believe that the warning to certain countries in Europe is unmistakable.