Evening star., 1935-07-13
S0V|ET-AMER|CAN
TRADE AGREEMENT
FINALLY EFFECTED
Russia Pledges Purchase
of s30,000,0OO in U. S.
Goods in Year.
ACCORDED BENEFITS OF
OTHER-NATION PACTS
Plan Is Expected to Treble Trade
of Two Countrie-$700, 900, 900
Debt Not Mentioned.
By the Associated Press.

BY the Associated Press.
The United States and Soviet Rus
sia today signed a trade agreement
expected by officials of both govern
ments to treble the value Of trade
between the two countries.
The action ended 18 years Of COM
mercial relations which were consid-
cred unsatisfactory.
The State Department said the
trade agreement, concluded in Moscow
through an exchange of notes between
William C. Bullitt, the American AM
baSSador. and Maxim Litvinoff, Soviet
commissar for foreign affairs. pledges
the Soviet government to make pur-
chases totaling $30,0000O0 in the
United States during the next II
months.
Granted Parity.
In return the United States has
granted Russia all benefits contained
in trade agreements already concluded
with Belgium, Haiti and Sweden and
will extend all benefits accruing from
trade pactS to be concluded with other
countries
Concessions granted in the Cuban
American trade agreement are spe-
cif1cally excepted.
The new agreement contains no
mention of, and in no way relates to,
the long pending Russian debt ques-
tion involving more than 100000, 900
In debts contracted by the Czarist and
kerensky regimes.
Negotiations attempting to reach a
mutually satisfactory solution of that
l5-year-old controversy broke down
six months ago because OF Russian in
sistence on cash and credits. under
stood to total s200,000,0OO. as an in
tegral part of the debt settlements.
No Tariff Concessions.
The Russo-American agreement in
wolves no reciprocal concessions in
tariff rates.
Although not a part of the Roose-
welt administrator foreign trade ex-
panSion program, the new agreement
is intimately related to it and is ex-
pected by American officials to pro-
vide sound basis for mutually benz
fetal expansion of trade
The Soviet government Is virtually
trust" and controls all exports and
imports to and from Russia and Is in
q position to enforce the agreement.
Officials said the anticipated trade
increase was expected to result in a
gain of more than 100 per cent over
American exports to Russia in 1884.
which amounted to s14,s67,Oo0. and
to increase by approximately $50 per
cent the average American exports
from 1882 to 1884, inclusive.
Bullitt Explains.
Ambassador Bullitt, in Moscow, gave
out the following statement concern
ing the agreement, which was made
public here by the State Department:
In connection with the trade agree
ments program of the Government
were entered into with the Soviet
Government with a view to ascertain
ing the attitude of the Soviet gov
ernment with regard to the expansion
OF trade between the United States
and the Soviet Union.
1T is the purpose of the trade agree
ments program to bring about an ex-
tension of foreign markets for prod
ucts of the United States by affording
increased market opportunities for
foreign products in the United States
I'm return for the assurance of the
Soviet government that it will be It's
policy to increase substantially its
purchases of American products, the
United States is prepared to extend to
the Soviet Union tariff concessions
granted in trade agreements with
other countries.
Assure $30.0OO.OO0 Orders.
"The Soviet government has as
sured the United States that during
the II months period of this agree
ment it intends to purchase in the
United States American products for
export to Russia to the value of $780,
100000.
"Inasmuch as the value of the ex-
ports from the United States to the
Soviet Union has averaged only $12,-
600, 900 during the last three calendar
years, the purchases contemplated by
the Soviet government will result in
very considerable increase in the ex-
(See RUSSIA, Page 81