Spain's Covert Contribution to the American Revolution, 1778

This 1778 unpublished letter from Diego de Gardoqui, head of the commercial firm of Joseph Gardoqui and Sons in Bilbao, Spain, to Arthur Lee, a diplomat from Virginia, documents Spanish contributions to the American Revolution.

Prior to this correspondence, the Second Continental Congress had appointed Arthur Lee, Benjamin Franklin, and Silas Deane as commissioners to France. Their aim, beginning in September 1776, was to gather foreign support for the American Revolution. In early 1777, Lee traveled to Spain to secure aid. In March, he secretly met in Spain with Diego de Gardoqui, of Joseph Gardoqui y Hijos, and the Marquis de Grimaldi, former minister of state, in the city of Burgos. They could not meet in Madrid because they wanted to avoid raising the suspicions of the British diplomats at the Spanish court.

As a result of these meetings, the pretense of Spanish neutrality was maintained while Spanish assistance was secured. Lee reported to Congress that Spain would open a secret line of credit worth four million reales de vellón, equivalent to half a million Continental dollars (more than $17 million in 2024 dollars). The trading company Joseph Gardoqui and Sons, in turn, provided the Spanish blankets, tents, boots, and uniforms that kept hundreds of Continental Army soldiers warm at Valley Forge during the harsh winter of 1777. The firm proved an excellent choice for funneling the Spanish-made goods to the Continental Army because it had established commercial routes between Bilbao and New England.

This April 1778 letter attests to Spain’s faithful support of the American Revolution. Gardoqui updated Lee on shipments of blankets, credited and debited funds in the American accounts, and the possibility of buying Spanish uniforms for American troops.

This correspondence suggests that Spain’s declaration of war on England on June 21, 1779, was not a departure in Spanish policy, but rather the extension of an already strong commitment to the United States.

Excerpt

A letter from Diego de Gardoqui at Joseph Gardoqui & Sons, to Arthur Lee, April 4, 1778

Our Brother is still at Court, where you may freely command him at foot you have a Memorandum of what will cost in this place a whole Soldiers white Uniforme & wish it may turn to some Account, butt if the collour of the Uniforme should be blue green or yallow in that case it will stand in 18 Riales more. . . .

Memorandum of a Soldiers full white uniforme with turnings & if the same Cloath, as given in the Spanish Service

the coat with Bottons & Ready made . . . .  . Riales 78.17.

the west coatt  . . . . . . . . . . . . . . . . . . . . . . . . . . . .    43.17.

Breechees. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   24.17

Hatte . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  11.17.

a pair of Stockings strong & good. . . . . . . . . . . . .    6

a pair of shoes ….d^o…d^o. . . . . . . . . . . . . . . . . . . . . .  11.17

                                                   Riales of Vellon  172 17

A full transcript is available here.