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14-12
ACTION H-03
INFO OCT-01 ARA-06 ISO-00 SS-07 AID-01 NSC-06 /024 W
--------------------- 129204
R 310055Z MAY 75
FM AMEMBASSY MEXICO
TO SECSTATE WASHDC 8060
LIMITED OFFICIAL USE MEXICO 4765
E.O. 11652: N/A
TAGS: OVIP, PFOR, MX
SUBJ: CODEL JAVITS - MEETING WITH PRESIDENT ECHEVERRIA
1. SUMMARY: SENATOR JAVITS, ACCOMPANIED BY DCM (AMBASSADOR
HAD PREVIOUS COMMITMENT WHICH HE COULD NOT BREAK), CALLED ON
PRESIDENT ECHEVERRIA AT LATTER'S INVITATION ON THE EVENING
OF MAY 28. CORDIAL CONVERSATION CONCENTRATED MAINLY ON CO-
OPERATION BETWEEN MEXICAN AND US BUSINESS COMMUNITIES AND,
IN THAT CONTEXT, TOUCHED ON THE ROLE OF THE TRANS-NATIONAL
CORPORATIONS AND THE CHARTER OF ECONOMIC RIGHTS
AND DUTIES OF STATES (CERDS). EXCHANGE OF REMARKS ON CUBA
AND OPEC REPORTED SEPTELS.
2. AFTER THE AMENITIES, SENATOR JAVITS TOOK THE INITIATIVE
TO EXPRESS HIS VIEWS. HE SAID HIS VISIT WAS PARTICULARLY
TIMELY BECAUSE THE END OF THE VIETNAM WAR WOULD ENABLE THE
US TO DEVOTE MORE ATTENTION TO EUROPE, WHERE IT HAD MAJOR
SECURITY INTERESTS, AND LATIN AMERICA, ESPECIALLY MEXICO,
WHICH OFFERED THE GREATEST POSSIBILITY FOR ECONOMIC DE-
VELOPMENT. SINCE MEXICO HAD CROSSED THE THRESHOLD OF
ECONOMIC DEVLOPMENT, HE FORESAW GREAT POSSIBILITIES
FOR MUTUAL ECONOMIC COOPERATION BETWEEN MEXICO AND THE
UNITED STATESNOT ONLY IN MEXICO BUT ELSEWHERE IN LATIN
AMERICA. MEXICO NEEDED CAPITAL, TECHNOLOGY AND MANAGER-
IAL EXPERTISE, WHILE THE US WANTED A PROPSEROUS TRADING
PARTNER. AMERICANS LIKED MEXICANS AS EVIDENCED BY THE
INCREASING NUMBER OF AMERICAN TOURISTS IN MEXICO. THERE
WAS NO REASON WHY AMERICANS AND MEXICANS SHOULD NOT DEAL
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WITH EACH OTHER AS EQUALS IN MUTUALLY BENEFICIAL ECON-
OMIC ENDEAVORS.
3. TURNING TO TRANS-NATIONAL CORPORATIONS, SENATOR JAVITS
REFERRED TO HIS PARTICIPATION INTHE UN GROUP OF 20 ON
THIS SUBJECT AND SAID THERE WERE GOOD COMPANIES AND BAD
COMPANIES. HE EMPHASIZED THAT THERE WAS A NEW GENERATION
OF ENLIGHTENED AMERICAN BUSINESS LEADERS WHO WERE NOT
AFRAID TO DO BUSINESS WITH FOREIGN GOVERNMENTS WHICH WERE
SOCIALISTIC OR EVEN COMMUNIST. HE CONSIDERED HIMSELF AN
ENLIGHTENED LIBERAL AND RECOGNIZED THAT LESS-DEVELOPED
COUNTRIES MIGHT HAVE TOADOPT SOCIALISTIC MEASURES TO
DEAL WITH THEIR PROBLEMS. THIS DID NOT BOTHER HIM BECAUSE
HE KNEW THAT THE COMMUNISTS WHO USUALLY GOT ALONG QUITE
WELL WITH THE REACTIONARY CAPITALISTS CONSIDERED SOCIALISTS
THEIR REAL ENEMIES.
4. SENATOR JAVITS DESCRIBED THE CERDS AS A VERY INTER-
ESTING DOCUMENT WHICH DESERVED BROAD CONSIDERATION IN
THE US IN TERMS OF ITS OBJECTIVES AND UNDERLYING MOTIVES.
HE SAID IT WAS A MISTAKE TO FOCUS ONLY ON THE EXPROPRIA-
TION ISSUE OR TO GET INTO ARGUMENTS ABOUT DETAILS. THE
CHARTER AFTER ALL WAS ACCEPTED BY THE MAJORITY IN THE UN
AND THEREFORE REPRESENTED UN LAW(SIC). THE US WOULD HAVE TO
DECIDE HOW TO LIVE WITH IT. SENATOR JAVITS WAS CAREFUL
NOT TO MAKE ANY COMMITMENTS, BUT PRESIDENT ECHEVERRIA
WAS OBVIOUSLY PLEASED BY THE FRIENDLY ATTITUDE OF THE
SENATOR.
5. SENATOR JAVITS EXPRESSED THE VIEW THAT US BUSINESS-
MEN WERE NOT WORRIED AS MUCH ABOUT THE DANGER OF EXPRO-
PRIATION AS PROFITABILITY OR A CHANGE IN THE "RULES OF THE GAME"
GOVERNING THEIR ACTIVITIES IN FOREIGN COUNTRIES. PRESIDENT
ECHEVERRIA OBSERVED, NEVERTHELESS, THAT THERE HAD BEEN
NO PROBLEMS IN MEXICO FOR MANY YEARS AS REGARDS EXPRO-
PRIATION.
6. PRESIDENT ECHEVERRIA FREQUENTLY MANIFESTED AGREEMENT
DURING THE SENATOR'S PRESENTATION AND, AT ITS CONCLUSION,
SUGGESTED THAT TO GIVE SOME TANGIBLE FORM TO THE IDEA OF
COOPERATION BETWEEN MEXICAN AND AMERICAN BUSINESS, HE
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WOULD SEEK TO ORGANIZE A GROUP OF 20-30 MEXICAN BUSINESS-
MEN TOGETHER WITH 10-15 GOVERNMENT OFFICIALS TO CONSIDER
HOW SUCH A PROGRAM MIGHT BE DEVELOPED. SEANTOR JAVITS
RESPONDED BY OFFERING TO TRY TO ORGANIZE A SIMILAR GROUP
ON THE AMERICAN SIDE. HE SUGGESTED THAT THE TWO GROUPS
MEET ON AN INFORMAL BASIS TO DISCUSS PRACTICAL PROJECTS
FOR JOINT IMPLEMENTATION RATHER THAN THEORETICAL QUEST-
IONS. IN DISCUSSING THIS IDEA, PRESIDENT ECHEVERRIA RE-
FERRED SEVERAL TIMES TO HIS OLD AND GOOD FRIEND BERNARDO
QUINTANA (PROMINENT MEXICAN BUSINESSMAN). LATER THAT
EVENING, SENATOR JAVITS ALSO DISCUSSED THE IDEA AT A
MEETING OF MEXICAN BUSINESMEN AT A DINNER GIVEN BY MEX-
ICAN BANKER AUGUSTIN LEGORRETA.
7. COMMENT: THE ATMOSPHERE OF THE MEETING WAS VERY
CORDIAL, AND SENATOR JAVITS SKILLFULLY DOMINATED THE
CONVERSATION, NO MEAN FEAT WITH PRESIDENT ECHEVER-
RIA. AT THE CONCLUSION OF THE CONVERSATION, PRESIDENT
ECHEVERRIA PRESENTED THE SENATOR WITH TWO BOOKS AND ES-
CORTED HIM TO AN ANTE-ROOM WHERE HE LEFT HIM TO MEET
WITH THE MEXICAN PRESS. THE THEMES DEVELOPED BY THE
SENATOR WERE GENERALLY THE SAME ONES HE EXPOUNDED IN
HIS PRESS INTERVIEWS AND LATER AT THE MEXICAN CHAMBER
OF COMMERCE LUNCH.
JOVA
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