Evening star., 1937-11-07
us. STRENGTHENS
|. POLICY ON MEXICO
Reacts to Cardenas' Drive
to Regime of State
Socialism.
By SAMUEL w. BELL.

While Mexico under President La
faro Cardenas In the last four years
has taken steady strides toward q re-
gime Of state socialism" without for
NAL protest of this threat to American
interests and investments, there are
signs snow Of possible stiffening In
Washington's attitude, presaging
stronger" policy.
For the United States, Mexico con-
stitutes an important segment, II not
the keystone, to the bridge for the
Roosevelt-Hull good neighbor" policy,
enunciated as the administration
formula for handling relations In the
Western Hemisphere. And Washing
ton Is increasingly being made con-
scious that Mexico's procedure Is not
being guided by reciprocal considera-
ton OF American interests; that per-
haps the CardenaS government, ex-
plotting the obvious friendship Of the
United States, by vague promises is
deliberately dallying with the settle
ment of vital issues Washington de-
sires to clear up.
Apprehension Sharpened.
This apprehension was appreciably
sharpened when Washington was
treated October 13 to the statement
OF Ramon Beteta, Mexican Undersec-
retary for Foreign Affairs, that Mexi-
cos present policy was "the reconquest
OF Mexico for Mexicans." Speaking
to American diplomatic :, representa-
tives in Mexico City, called together
there on the occasion of the visit of
Lawrence Duggan, chief Of the State
Departments Division of Latin Amer
lean Affairs, Senor Beteta made it
plain that the objective of the Carde-
| mas regime was nothing short of the
| elimination OF foreign capital, includ-
ing American. from the Mexican scene.
His frankness over the proposed ma
tionalization of the mining and oil
| properties directed new attention to
| the controversy between the Mexican
| government and the American Oil COM
panies, which previously had forced
Washington to give evidence that
stronger Mexican policy might be in
the making. Hint of this change
came September when Ambassador
Josephus Daniels. fresh from confer
ences with President Roosevelt and
Cordell Hull, Secretary OF State, re-
turned to his post in Mexico City.
In an interview there, Ambassador
Daniels declared that the United
States expected the oil controversy to
be adjusted to the satisfaction Of both
the United States and Mexico on the
basis Of the Morrow Gales agreement
of 1928, approved by the Mexican
Supreme Court in the Texas case. He
indicated that the United States would
be bound to take every step" neces-
sary to see that American citizens OBJ
tanned justice in the development Of
Mexico's appropriation program.
These assertions, first of their kind
from an American diplomatic repre-
sentative in Mexico for four years,
| led to the belief that Washington must
view the march Of the Cardenas gov
eminent on the $400, ,000, 900 American
oil investments as the occasion for q
long delayed showdown on the nature
of the good neighbor" policy as 1t
relates to Mexico.
Il Trade Pact Spiked.
In addition to raising the problems
presented by his broad program OF
Specialization" President Cardenas
has spiked any effort Secretary Hull
might have planned to negotiate 4 re-