Messersmith, G.S., Vienna. To Cordell Hull, Washington.

Date
1937-01-30
Journal Title
Journal ISSN
Volume Title
Publisher
University of Delaware Library, Museums and Press
Abstract
Description
Has been writing to [Acting Secretary Robert Walton] Moore during Hull's absence from Washington; congratulates Hull on successful completion of conferences in South America; Austria quiet and no cause for concern for immediate future; organization of groups for purpose of political propaganda disquieting, but Chancellor in control of situation; bringing [Odo] Neustädter-Stürmer into Cabinet was mistake; he has openly sponsored the organizations, knowing they are poorly concealed movement of National Socialism; he will probably be eliminated from government; removing [Eduard] Glaise-Horstenau, another "Nationalist" may be more difficult since he entered Cabinet as concession to Germany under July 11 Accord, but he is less dangerous than Neustädter-Stürmer and seems loyal to Chancellor; rumored that Dr. [Guido] Schmidt involved in organizations, but rumors without foundation; Schmidt completely loyal to Chancellor; Austrian standpoint maintained during trade negotiations largely through his cleverness and determined attitude; legitimist movement again gaining ground, but no possibility of restoration in near future; present form of government must in time disappear, and Austria return to democratic, parliamentary regime, but not until conditions in Europe become more normal; trade treaty with Germany completed Jan. 28; treaty provides for net increase in Austro-German trade each way of $8,000,000; doubts it will in practice reach $4,000,000; results show Austria has not responded to pressure either from Germany or her own agricultural interests; nothing in agreement that will tie Austria's hands with respect to trade with other countries; has watched this aspect of negotiations carefully; anxious to keep way open for future Austrian-U.S. trade agreement; much speculation about [Hermann] Goering's recent trip to Rome; unquestionably he wanted to repair German fences and learn more about the Rome-London "gentleman's agreement"; is also reported to have tried to persuade Mussolini to change his attitude with respect to Austria, but without success; Europe passed through crisis in December and early January; Gen. [Hans] von Seeckt died of apoplexy it is thought as consequence of his fear that Hitler was about to provoke conflict; lack of foodstuffs and raw materials in Germany now serious and little exchange to provide either; industry, including production of armaments, slowing down as result and unemployment will rise; breaking point may come in 1937; even Party leaders know situation cannot continue much longer without help in the matter of credits and markets; they continue to talk of colonies; still danger of regime seeking way out by war, but balance of power now growing steadily against Germany; quotes extract from diary of Lord [Edgar Vincent] d'Abernon covering years 1924-1926 concerning [Hjalmar] Schacht's views on Germany's need for colonial territories; recalls Schacht's speech of a month ago in which he threatened internal explosion if markets and colonies are not forthcoming; apropos of recent apprehension concerning Morocco, quotes from 1911 letter of Princess [Marie Dorothea Elizabeth] Radziwill to Gen. [Nicolis] de Robilant in which she speaks of unpleasant spectacle in Morocco and Germany's desire for booty; she comments on futility of making concessions to Germany; [Léon] Blum's recent speech at Lyons had moderate but firm tone, affirming that France remains opposed to assuring peace through bilateral rather than collective arrangements; Hitler's Jan. 30 speech may be influenced by Blum's speech as well as by recent speeches of [Anthony] Eden; best contribution U.S. can make is not to negotiate in any form with Germany and not to pass neutrality legislation which would tie the hands, but to leave adequate discretionary powers to the President; with wife, sailing for U.S. from Hamburg on April 7; looking forward to seeing Hull; P.S. (dated Feb. 1) comments on Hitler's Jan. 30 speech.
Keywords
Messersmith, George S. (George Strausser), 1883-1960.
Citation