Foreign Policy Between The Wars (1920s, 30s)

Foreign Policy Between The Wars(1920s, 30s)

US Foreign Policy Towards • Europe and Asia? • Latin America? • Role of US in International Affairs • Isolationism? • Involvement, though not in the League of Nations?

US rejected Treaty of Versailles (US signed separate Peace Treaties with Germany and each of the Central Powers, but not the Treaty of Versailles / League of Nations) (but did send observers to its meetings) • Pursued an independent Foreign Policy – the goal was to expand trade and commercial ties, and to maintain international stability, but without committing the US to any lasting relationship with other nations (Article X) • Not strictly an isolationist Foreign Policy - in reality the USA played a more active role in World affairs in the 1920s than it had at almost any previous time in its history

Sec. of State Hughes wanted to find something to replace the League to guarantee world peace and stability • He began to look for ways to build safeguards against future wars, but safeguards that would not hamper American freedom of action in the world (as he felt Article X would do) • US activity involved; • Washington Disarmament Conference • Kellogg-Briand Pact • Dawes Plan • Good Neighbor Policy with Latin America • Recognition of Soviet Union

Washington Disarmament Conference of 1921 • The first effort was the Washington Disarmament Conference of 1921– the goal was to put an end to the destabilizing arms race / militarization going on between US, Br, and Japan. • At the Conference Hughes proposed dramatic reductions in their fleets. To his surprise the other two accepted. A number of pacts were agreed on….

The Five Power Pact - USA, Britain, Japan, France, Italy - all established ratios for naval tonnage and armaments – led to significant overall reductions • Nine Power Pact - pledged a continuation of the Open Door Policy in China • Four Power Pact - USA, Britain, France, Japan - would respect each others Pacific territories and cooperate to prevent aggression • The Washington Conference began the US efforts to protect peace without accepting active international duties

Kellogg-Briand Pact of 1928 • The next step was the Kellogg-Briand Pact of 1928 • French foreign minister Briand asked US Secretary of State Kellogg (replaced Hughes) to join an alliance against Germany, but instead he proposed a multilateral treaty outlawing war as an instrument of national policy. • 14 Nations signed the agreement in Paris on Aug 27, 1928. 48 other nations later joined the pact - total of 62

Dawes Plan • US prosperity depended to a large extent on prosperity in Europe - which was the biggest market for US exports, and also because Europe owed the US billions for pre-war and war time loans • Coolidge refused to write off these debts when asked to do so by the Allies. • For the Allies to meet the repayments, Germany would have to meet the payments of reparations to the Allies ($33b)

But the German economy was not in a position to raise this much money… • With the financial structure of Europe on the brink of collapse, the US stepped in with a solution. • Charles Dawes, a US banker, worked out a solution - known as the Dawes Plan - whereby the US would provide huge loans to Germany…starting at $200m…Germany would pay the Allies; in return the Allies would agree to reduce the reparations. • The Allies would then repay the US. (began a troubling circular pattern of international finance - what would happen if the US was unable to loan money to Germany? – world wide Depression)

Latin America • Under Harding and Coolidge the US continued with the policy of Dollar Diplomacy in Latin America, and of Big Stick – kept marines where deployed by Wilson • US businesses made huge investments in infrastructure and US banks gave very large loans to Latin American govt.’s • But, Hoover reversed much of previous US policy. • He went on a 10 week goodwill tour of Latin American: he offered recognition to all existing governments there without questioning the means used to obtain power

He began the withdrawal of US troops from Nicaragua and Haiti. • He repudiated the Roosevelt Corollary to the Monroe Doctrine, refusing to intervene in their affairs when they defaulted on loans to the US or Europe…

Hoover and Europe • In Europe, Hoover was faced with an entirely different situation compared to the relatively placid international climate of the 20s. • World financial crisis from 1929 resulted in the emergence Mussolini, Hitler, Franco, Hirohito • The Hoover administration was unable, in the new climate, to get co-operation in continuing the disarmament agreements of the 20s • Fr and Br, fearful of an expanding Germany and Japan, rejected disarmament proposals at a Conference in London in 1930 and at a Conference in Geneva in 1932

By the time Hoover left office early in 1933 it was clear that the international system the US had attempted to create in the 20s - a system based on voluntary cooperation among nations and on an American refusal to commit itself to the interests of other countries - had collapsed. • Europe was unstable again: militarization by right wing dictators, and new aggressive alliances being formed (Rome-Berlin-Tokyo axis)…..as Wilson feared, the causes of WWI were re-emerging and would cause another World War - WW II • US efforts failed to prevent WWII

FDR • Believed in Wilsonian internationalism / involvement • But for the first 6 years of his administration he continued to follow the policy of keeping the US as the master of its own fate and avoiding commitments which might reduce the nation's ability to pursue its own ends • Was US non-involvement, esp. in League of Nations, a factor contributing to WWII ?

League of Nations was ignored by the Expansionists • Mussolini: Ethiopia • Japan: Manchuria, China • Germany: Rhineland, Austria, Sudetenland, Czechoslovakia, Poland……….leading to WWII

FDR and Soviet Union. • FDR and US businesses saw the potential for expanding US trade in the USSR. • US had still not recognized the Communist govt. in the USSR • But the relationship began to improve in the 30s and the US hoped to forge trade links with the USSR • They both hoped to find an ally against expansionist Japan, esp. to stop it expanding into China and threatening the Open Door policy there

US and USSR reached an agreement in Nov 1933: Soviets would cease their propaganda efforts in the US, protect American citizens in Russia, pay back its loans to the US: in return the US would recognize the Communist regime….and they would begin trading more • However the agreement came to little and the relationship barely improved. • USSR anti-American propaganda did not stop and trade links were never really established, loans were not paid back • The USSR was disappointed with US inaction against Japanese expansion in Asia

By 1934 they viewed each other with deep mistrust …..and Stalin abandoned hopes of cooperating with the US and began to consider making agreements with either Germany or Japan • Latin America. • FDR hoped to improve diplomatic and economic relations with Latin America through what became known as the Good Neighbor Policy • The US wanted a good relationship with Latin American countries – get their help defending the Western Hemisphere from totalitarian dictators in the event of war

A good relationship with Latin American countries would also keep them from becoming allies of the dictators, would not push them into their arms • His policies worked – he won their friendship and support through • 1. Reciprocal Trade Agreement Act of 1934, - (agreed on reductions of tariffs with 21 countries) exports and imports to and from Latin Am countries increased by over 100%.

2. Rejected the Roosevelt Corollary and the use of military force to compel Latin Am governments to repay debts (like Hoover) • In 1933, at a Conference at Montevideo - the seventh Pan American Conference - pledged that the US would not interfere in the internal affairs of its Latin American neighbors / accepted nonintervention • 3. US withdrew its troops from Cuba - freeing Cuba from the Platt Amendment (except Guantanamo)…also withdrew troops from Haiti, Panama…..allowed Panama to alter Constitution – US would no longer be able to intervene in their internal affairs..

4. Reached an agreement with the Mexican government after it had seized oil wells / refineries owned by American companies – paid compensation (expropriation) • 5. Provision was made for the Philippines to become independent in 10yrs when it was economically and politically stable • Enlightened, progressive policy decisions….reversal of Bad Neighbor…… • Felt this was the right thing to do……..ideological • Pragmatic…. We need them on our side

Foreign Policy Between The Wars (1920s, 30s)