61 STAT.] TRADE, PHILIPPINES-May 4, 18, June 10, July 4, 8 , 11 ,1946 Aug. 15, 26, Sept. 10, Oct. 3, 7, 1946 The Acting Secretary of State to the Spanish Ambassador DEPARTMENT OF STATE WASHINGTON May 4 1946 EXCELLENCY: With reference to the forthcoming independence of the Philippines on July 4, 1946, my Government considers that provision for a transi- tional period for dealing with the special tariff position which Philip- pine products have occupied for many years in the United States is an essential accompaniment to Philippine independence. Accord- ingly, under the Philippine Trade Act approved April 30, 1946, goods the growth, produce or manufacture of the Philippines will enter the United States free of duty until 1954, after which they will be subject to gradually and regularly increasing rates of duty or decreasing duty-free quotas until 1974 when general rates will become applicable and all preferences will be completely eliminated. Since the enactment of the Philippine Independence Act approved March 24, 1934, my Government has foreseen the probable necessity of providing for such a transitional period and has since then con- sistently excepted from most-favored-nation obligations which it has undertaken toward foreign governments advantages which it might continue to accord to Philippine products after the proclamation of Philippine independence. Some thirty instruments in force with other governments, for example, permit the continuation of the ex- ceptional tariff treatment now accorded by my Government to Philip- pine products, irrespective of the forthcoming change in the Common- wealth's political status. With a view, therefore, to placing the relations between the United States and Spain upon the same basis, with respect to the matters in- volved, as the relations existing under the treaties and agreemenlts referred to in the preceding paragraph, I have the honor to propose that the provisions of the Commercial Agreement between the United States and Spain effected by an exchange of notes signed October 26 and November 7, 1927, shall not be understood to require the exten- sion to Spain of advantages accorded by the United States to the Philippines. In view of the imminence of the inauguration of an independent Philippine Government, I should be glad to have the reply of Your Excellency's Government to this proposal at an early date. Accept, Excellency, the renewed assurances of my highest consideration. DEAN ACHESON Acting Secretary of State His Excellency Sefior Don JUAN FRANCISCO DE CARDENAS, Ambassador of Spain. 2449 Entry of Philippine goods under Philip- pine Trade Act of 1946. 60 Stat. 141. 22U.S.C.§1251 et seq. 48 Stat. 456. 48U.S.C.§1232 et seq. Nonexteniiion to Spii n of advanlltages a'corded by I. S. to 'hrilipiines. Treaty Sercs 758-A.
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