An Alliance Shaken: Brazil and the United States, 1945-1950. Kenneth Callis Lanoue Louisiana State University and Agricultural & Mechanical College
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Louisiana State University LSU Digital Commons LSU Historical Dissertations and Theses Graduate School 1978 An Alliance Shaken: Brazil and the United States, 1945-1950. Kenneth Callis Lanoue Louisiana State University and Agricultural & Mechanical College Follow this and additional works at: https://digitalcommons.lsu.edu/gradschool_disstheses Recommended Citation Lanoue, Kenneth Callis, "An Alliance Shaken: Brazil and the United States, 1945-1950." (1978). LSU Historical Dissertations and Theses. 3247. https://digitalcommons.lsu.edu/gradschool_disstheses/3247 This Dissertation is brought to you for free and open access by the Graduate School at LSU Digital Commons. It has been accepted for inclusion in LSU Historical Dissertations and Theses by an authorized administrator of LSU Digital Commons. For more information, please contact [email protected]. INFORMATION TO USERS This material was produced from a microfilm copy of the original document. 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University Microfilms International 300 North Zesb Road Ann Arbor, Michigan 48106 USA St. John's Road, Tyler's Green High Wycombe, Bucks, England HP10 8HR 7903142 LANOUE, KENNETH CALL IS AN ALLIANCE 5HAKEN: BRAZIL AND THE UNITED STATES, 1945-1950. THE LOUISIANA STATE UNIVERSITY AND AGRICULTURAL AND MECHANICAL CDL• , PH.D., 1978 University M icrofilm s International 300 n , zeebroad,ann a r b o r , mi 4bio 6 © 1978 KENNETH CALL IS LANOUE ALL RIGHTS RESERVED AN ALLIANCE SHAKEN: BRAZIL AND THE UNITED STATES, 1945-1950 A Dissertation Submitted to the Graduate Faculty of the Louisiana State University and Agricultural and Mechanical College In p a rtia l fulfillm ent of the requirements for the degree of Doctor of Philosophy in The Department of Latin American Studies by Kenneth Callis Lanoue B. S., University of Hartford, 1964 M. A. , Louisiana State University, 1972 August, 1978 AC KNOWLEDGMENTS I would like to thank my major profess or, Dr. Jane DeGrummond, for her assistance and guidance in seeing thiB disser tation to its end. I also wish to thank the other members of my committee, Dr. Paul Hoffman, Dr. Burl Noggle, Dr. Leonard Cardenas and Dr. Miles Richardson for their advice and suggestions. My gratitude is also extended to Dr. Stanley Hilton for his interest and counsel during the early part of my work on this subject, and to Mrs. Leahn Logsdon for her editorial work on the final manuscript. I would also like to thank the faculty of the Latin American Studies Institute for its financial aid, friendship and intellectual stimulation during the years of my graduate studies. To Mrs. Miriam DeHart, I can only say thank you for the innumerable favors done in m y behalf. Finally, I wish to thank my wife, Susan, whose sacrifice over the past four years has been far greater than my own. TABLE OF CONTENTS Page ACKNOWLEDGMENTS......................................................................................... ii LIST OF TABLES .................................................................................... iv ABSTRACT................................................................................................................. v ABBREVIATIONS U S E D ....................................................................................... viii INTRODUCTION....................................................................................................... ix C hapter I. RIO DE JANEIRO AND WASHINGTON: 1945 1 II. BRAZIL AND THE UNITED STATES AT RIO AND BOGOTX................................................. 27 III. THE MILITARY DIMENSION ......................................................... 52 IV. ECONOMIC RELATIONS .................................................................. 94 V. BRAZILIAN WHEAT SUPPLY ............................................................. 136 VI. "THE OIL IS OURS"..................................................................................163 CONCLUSION.................................................................................................................189 BIBLIOGRAPHY............................................................................................................ 199 VITA ................................................................................................................................ 208 LIST OF TABLES TABLE Page 1-1. GROWTH OF BRAZILIAN INDUSTRY ........................ 2 1-2. INDICES OF THE VOLUME OF BRAZILIAN PRODUCTION, 1920-1945............................................ 3 1-3. COTTON CLOTH PRODUCTION IN BRAZIL, 1938-1945 .............................................................................. 4 1-4. COTTON CLOTH EXPORTS FROM BRAZIL, 1938-1945 .............................................................................. 4 IV-1. BRAZILIAN FOREIGN TRADE ...................................... 94 IV-2. UNITED STATES INTERESTS IN CONTROLLED ENTERPRISES IN BRAZIL . 95 IV-3. WORLD COFFEE SUPPLIES........................................... 128 V-l. WHEAT AND FLOUR IMPORTS FROM ARGENTINA.......................................................................... 161 VI-1. COMPARISON OF ENERGY SOURCES IN BRAZIL AND THE U. S................................................... 168 iv ABSTRACT The period from 1945 to 1950 marks a transition period in United States relations with Brazil. The period began with the apogee of friendship between these two nations. They had just cooperated as completely as possible in the allied cause against fascist tyranny. Brazil, alone out of the twenty Latin American republics, sent a division into combat in Europe. In return for its wartime sacrifice Rio de Janeiro received large amounts of military and economic aid. The Brazilian Foreign Office also perceived that a "special relation ship" had been achieved with Washington, a perception that gave the Brazilians expectations for a continued high level of cooperation on Washington's part in helping Brazil to solve its postwar problems. The United States came out of the war as the most powerful nation in the world. It expected to play a leading role in preserving peace and in the new world economic order that was then being fash ioned. It did not expect the breakdown in the wartime alliance with the Soviet Union and the economic collapse in Europe that forced Washington to play such a massive role in preventing Europe and Asia from falling into economic depression and under Communist domination. With the severity of other world problems commanding Washington's attention, Brazil found that its perceived special rela tionship with the United States did not bring the degree of aid and cooperation that was anticipated from the Truman administration. Rio's first national interest was security. In its long-standing rivalry with Argentina, Brazil gained a degree of military superiority during the war that it expected to maintain with transfers of American arms in the postwar period. These arms were .tot forthcoming when Washington put its Latin American arms program on a multilateral basis. Congressional fears of arming dictators or assisting in military takeovers of Latin governments caused the planned arms shipments to be severely restricted. The Dutra government's strong interest in economic development also failed to receive the expected degree of aid and cooperation on Washington's part. Compared to the billions of dollars that went to Europe and Asia, the Brazilians sensed that they had just received token loans. When Argentina removed itself as Brazil's traditional supplier of wheat the Rio government had difficulty in under standing why the United States could not make up this deficit from its own vast grain surplus. Only in the area of international conferences such as those at Rio de Janeiro in 1947 and Bogota in 1948 did the