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VOLUME XXX: Numbers 758-783 



January 4- June 28, 1954 



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Boston Si-.'(5l^;^.l^-.iry 
Cupcrintendcnt of Documents 

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INDEX 

Volume XXX : Numbers 758-783, January 4-June 28, 1954 



Able seamen, convention on certification of, U. S. ratifica- 
tion registered, 693 
Advisory Commission on Information, U. S., members, 482 
Afghanistan : 
Export-Import Bank loans, 368, 370, 553, 836 
U. S. technical aid, 433 
U. S. vfheat shipments, 566, 613 
Africa (see also individual countries) : 
Administrative divisions, 1954, map, facing 716 
British West Africa, international telecommunication 

convention, accession deposited, 773 
Educational exchange program in, 504 
^ Foreign Relations volumes on, released, 328, 966 ■ 
French West Africa, International Bank loan, 992 
Mutual security program in, 147, 369, 552 
North Africa, nationalism, U. S. role, 632 
Territory of South West Africa, international telecom- 
munication convention, ratification deposited, 773 
Trust territories, administration and progress toward 
self-government: Article (Gerig), 716; statements 
(Sears), 298, 336, 453 
■v. Union of South Africa. See South Africa 

U. S. policy during 1953, articles (Howard), 274, 328, 
365 
Agreements, international. See Treaties, agreements, etc., 

and country or subject 
Agricultural policy, U. S., coordination with foreign eco- 
nomic policy : 
Recommendations of Commission on Foreign Economic 
Policy, 191 
' Recommendations of President to Congress, 605 

Agricultural surpluses, U. S., use in overseas programs : 
Afghanistan, agreement for purchase, 566, 613 
Agreements regarding, U. S. policy, 239 
Bolivia, allotments, 408, 488, 489 
Budget message of President to Congress, 147 
FOA report (June 30-Dec. 31, 1953), 488 
France, allotments, 641 
>i Italy, allotments, 82, 714 

Japan, agreement with U. S. for purchase: 
Agreement and agreed official minutes, 518, 523 

(text), 613, 773 
Interim measures agreement, 613 
Question of Senate action, 570 
Jordan, agreement with U. S., 55, 489, 552 
Netherlands, allotments, 674 
Norway, allotments, 714 

Principles and objectives, statement (Waugh), 238 
Soviet bloc, regulations denying license for export to, 321 

Index, January to June 1954 



Agricultural surpluses, U. S., use in overseas programs — 
Continued 
Use by voluntary agencies, article (Ringland), 390, 

391 
Yugoslavia, allotments, 714 
Agriculture, migrant labor agreement with Mexico. See 

under Mexico 
Aid to foreign countries. See Foreign aid 
Air bases abroad. See Bases 

Air defense arrangement with Canada, statement (Wil- 
son), 639 
Air Force mission agreement with Chile, extension, 613 
Air transport. See Aviation 
Aircraft (see also Aviation) : 
Convention on international rights in aircraft, 197, 613 
Soviet aircraft, alleged destruction by U. S. over Man- 
churia, U. S. and Soviet notes, 408, 410, 412- 
U. N. Command in Korea, charged with violations of 

Armistice agreement regarding aircraft, 945 
U. S. aircraft, attacks on : 
Czech attack (1954), U. S. and Czech notes, 563 
Hungarian seizure, U. S. claim before International 

Court of Justice, 449, 450 (text) 
Soviet destruction over Sea of Japan, U. S. note, 408, 
409 
Albania : 

Forced labor in, statements (Hotchkis), 806, 807, 808 
Greek frontier problem, 276n 
Monetary gold case, 199 

U. S. air and naval bases in Greece, protest, 277 
Aldrich, Wintlirop W., address on strengthening Anglo- 
American ties, 591 
Alexander, Robert C, duties as Assistant Administrator, 

Refugee Relief Act, 714, 799 
Allen, George V. : 

India, continuance of economic aid to, statement favor- 
ing, 759 
India, growth of freedom in, address, 864 
Allied Council for Austria, Soviet allegations against Aus- 
trian Government to be considered by, 824 
Allied High Commission for Germany, Patent Appeal 

Board established, 913 
Allison, John M., statements : 
Atomic injury to Japanese seamen, 598 
Mutual defense agreement with Japan, 518 
American Attitudes, Foundations of, address (Matthews), 

434 
American republics. See Latin America and individual 
countries 

1011 



Americans abroad, article (Colligan), 663 

Americas, organizing security in, address (Dreier), 830 

Anderson, Samuel W., statement on economic progress In 

Turkey, 284 
Anglo-Egyptian Sudan : 
Controversy, article (Howard), 280 
Elections, address (Sanger), 213 
Anglo-Iranian oil dispute. See under Iran 
Antilles, Netlierlands. See Netherlands 
Applegate, Richard, kidnapping by Chinese Communists, 

685 
Arab refugees : 

Addresses : Byroade, 712 ; Sanger, 210 
Jordan Valley project, benefits to. See Jordan River 
Position of Israeli and Arab states, 95, 96, 100, 630, 631 
Special Refugee Survey Commission, U. S., interim 

report, 95, 210 
U. N. measures to aid. See Jordan River and United 

Nations Relief and Works Agency 
U. S. financial aid, 96, 99, 147, 366, 368, 552, 712 
Arab States (see also individual countries) : 

Arab refugee problem (see also Arab refugees), position 

on, 95, 96, 100, 631 
Dispute with Israel. See Palestine question 
Jordan Valley project. See Jordan River 
U. S. economic and technical aid, 147, 551, 552 
U. S. policy, interpretation of, address (Byroade), 711, 

712 
IT. S. policy during 1953, addresses : Howard, 328 ; 

Sanger, 209 
U. S. relations with, statement (Eisenhower), 275 
Archeology, Latin American exhibition of, 677 
Argentina : 
Ecuador-Peru boundary incident, conciliation effort, 468 
Inter-American Conference, 10th, position on declaration 

against international communism, 420n, 424, 634 
U. S. private investment, 731 
Armaments control (see also Atomic energy a7id Dis- 
armament Commission) : 
Conventional Armaments Commission, U. N., 986 
Geneva Conference agenda, 317, 318, 345 
Soviet position, 80, 757, 786, 985, 986, 987, 988 
U. N. Charter review of problems, 172 
U. S. policy, 756, 786, 828, 985 
Armbruster, Raymond T., member. War Claims Commis- 
sion, 24 
Armed forces. See Korea : U. N. Command ; and North 

Atlantic Treaty Organization 
Armed forces, U. S. (see also Aircraft; Armaments con- 
trol; and Military assistance agreements) 
In Austria, withdrawal. See Foreign Ministers' Meet- 
ing: Austrian settlement 
Benefits to, message of President to Congress, 77 
In Europe, U. S. policy, 619 
In Germany : 
Tax treatment convention, 653 
Withdrawal, Soviet proposal for, 268, 270 
Indochina, clarification of Vice President's statement, 

623 
In Japan, treaties regarding. See Japan : Treaties 
In Korea. See Korea : U. S. troops 
Prisoners of war. See Prisoners of war, Korea 

1012 



Armed forces, U. S. — Continued 

Rights on foreign soil, address (Phleger), 198 
Armistice agreement, Korea. See Korea 
Armistice agreement, Palestine. See Palestine question 
Armour, Norman, opinion on effect of security program on 

Foreign Service, 169 
Arms, ammunition, and implements of war : 
Arms shipment to Guatemala from Soviet-controlled 

area, 835, 874, 938, 950 
Export-licensing regulations, 157 
Illegal export, convictions, 567 
Asia, Economic Commission for, statement (Lodge), 849 
Asia, South Asia, and Southeast Asia (see also individual 
countries) : 
Collective security (see also Collective security) : 

Addresses and statements : Dulles, 540, 742, 743, 744, 
782, 862, 864, 937 ; Eisenhower, 740 ; Jernegan, 444, 
594 
London and Paris conversations : Joint statements, 
U. S.-U. K. and U. S.-Prench, 622; statements 
(Dulles), 590, 668, 743, 972 
Communist aggression and objectives, addresses and 
statements : Dulles, 539, 540, 582, 583, 590, 914, 924 ; 
Jenkins, 859; McConaughy, 39; Murphy, 430, 431, 
432, 515, 516; Nixon, 12; Robertson, 349; Smith, 
589, 943 
Japanese trade with Southeast Asia, 431, 517 
Map of Southeast Asia, 741 

Meeting the People of Asia, address (Nixon), 10 
Neutralist sentiment in Asia, 351, 446, 594, 595 
Stassen visit, 333 

U. S. aid, 147, 349, 350, 351, 368, 369, 370, 432, 580 
U. S. policy in South Asia : 

During 1953, articles (Howard), 274, 328, 365 
Statements (Dulles), 209, 210, 214, 274, 275, 327, 580, 
781, 923 
Associated States, Indochina. See Cambodia, Laos, and 

Viet-Nam 
Asylum, diplomatic and territorial, conventions on, 635 
Atlantic Fisheries, Northwest, International Commission 

for, appointment of U. S. commissioner, 640 
Atomic disease, visit to U. S. of Japanese expert on, 791 
Atomic energy : 
Development, effect on U. S. foreign policy, address 

(Wainhouse),983 
Development, domestic. President's proposed legislative 

amendments, 306 
Hydrogen-bomb tests in the Pacific : 
Japanese fishermen, U. S. investigation of injuries 

to, 466, 598 
Marshallese complaint to U. N. : Petition, 887 ; state- 
ment (Lodge), 886 
Statement (Strauss), 548, 926 
International control of : 
"Atoms for Peace" proposals. See "Atoms for 

Peace" 
Baruch plan, 985 
Soviet position, 757 
Statements (Lodge), 687 
U. N. Disarmament Subcommittee: establishment, 

687, 987 ; meeting, 622, 786 
U. S. efforts for control, 756, 786 

Department of State Bulletin 



Atomic energy — Continued 
Peacetime uses (see also "Atoms for Peace") : 
Exliibition in Rome, 982 

Sliaring of nuclear material and tactical information 
with Allies, U. S. policy : 
• NAC endorsement, 8 

President's views and messages to Congress pro- 
posing legislative amendments, 8n, 77, 144, 145, 
303 
Statement (Dulles), 926 
Atomic Energy Act, proposed amendments : 

Messages of President to Congress, 77, 144, 145, 303 
Statement (Dulles), 926 
Atomic Energy Agency, International, President Eisen- 
hower's proposal for {see also "Atoms for Peace"), 
660, 661, 662, 926, 987 
Atomic Energy Commission, U. N., efforts for internation- 
al control of atomic energy, 985, 986 
Atomic Energy Commission, U. S. : 

Budget, President's recommendations to Congress, 144 
Powers and personnel. President's proposed legislative 
amendments, 303 
"Atoms for Peace" proposals of President Eisenhower : 
Addresses, statements, etc. : Dulles, 110, 172, 345, 622, 
926, 927; Eisenhower, 77, 144, 145, 304; Key, 977; 
Lodge, 687, 724 ; Matthews, 437 ; Strauss, 659 ; Wain- 
house, 987 
Soviet response to proposals : 
Statement (Dulles), 9 
Text of Soviet statement, 80 
Talks with and transmission of concrete proposals to 
Soviet Union, 80, 82, 110, 465, 622, 661, 977, 987 
Auerbach, Frank L., address on refugee relief program, 797 
Austin, Warren, statement on question of Japanese admis- 
sion to U. N., 514 
Australia : 

Economy of, improvement, 480 

Fisheries dispute with Japan, address (Phleger), 200 

Geneva Conference, invitation to, 347 

International Bank loan, 480 

International Court of Justice, party to Statute, 613 

Military talks with U. S., 948 

Treaties, agreements, etc. : 

Double taxation, with U. S., estate, gift, and income, 

entry into force, 22, 123, 525 
GATT, declaration on continued application of sched- 
ules, signed, 525 
GATT, third protocol of rectifications and modifica- 
tions to texts of schedules, signed, 773 
Mutual defense treaty with U. S., comparison with 

Korean treaty, 132, 133 
Postal convention, universal, ratification deposited, 

965 
Sugar agreement, International, ratification deposited, 

525 
Telecommunication convention, international, ratifi- 
cation deposited, 773 
Austria : 
Ambassador to U. S., credentials, 443 
Economic improvement, 250, 488 

Neutralization, Soviet proposals at Foreign Ministers' 
Meeting. See Foreign Ministers' Meeting: Austrian 
settlement 

Index, January to June 1954 



Austria — Continued 

Soviet charges and threats against Government, instruc- 
tion of Secretary Dulles to U. S. representative on 
Allied Council for Austria, 824 

State treaty and liberation (see also Foreign Ministers' 
Meeting), address (Eisenhower), 901 

Treaties, agreements, etc. : 
GATT, action on protocols and declaration, 803 
Postal convention, universal, ratification deposited, 
693 

U. S. aid, 250, 488 
Auto travel, international. See Travel 
Aviation (see also Aircraft) : 

Air travel between U. S. and Latin America, address 
(Woodward), 234 

Civil aviation talks, U. S. and Canada, 20 

India, air transport services agreement with U. S., 525 

International Civil Aviation Organization, work of, 828 

Japan Air Lines, flights to U. S., 514 

Military aviation agreement with El Salvador, exten- 
sion, 693 

North Atlantic ocean stations program. See North 
Atlantic ocean stations 

Bacteriological warfare charges by Communists against 

U. S., 724, 976, 986 
Baker, George P., confirmation of appointment to U. N. 

commission, 686 
Baldwin, Charles P., appointment in State Department, 

374 
Balkan Pact, tripartite (Greece, Turkey, Yugoslavia), 248, 

276, 365, 441 
Balkans, U. S. voluntary relief, article (Ringland), 383 
Balloons, release of by Crusade for Freedom, U. S. reply to 

Czech protest, 881 
Bank for Reconstruction and Development. See Interna- 
tional Bank for Reconstruction and Development 
Bao Dai, message from President Eisenhower upon fall 

of Dien-Bien-Phu, 745, 835 
Barbour, Walworth, designation in State Department, 966 
Baruch plan for control of atomic energy, 985 
Bases, military, on foreign soil : 
NATO bases, 557, 558, 561, 579, 592 
Soviet verbal attacks on, 461 
U. S. bases in — 

Ethiopia, agreement for, 871 
Great Britain, 592 
Greece, Soviet protests, 277 

Spain: Address (Dunn), 477; statements (Dulles), 
580, 922 
Battle Act. See Mutual Defense Assistance Control Act 
Bayar, Celal, visit to U. S., 24, 162, 213, 284 : 
Joint session of Congress, address before, 247 
Legion of Merit award, toast by President Eisenhower 
and response, 249 
Beaulac, Willard L., confirmation as U. S. Ambassador to 

Chile, 298 
Belgian Congo : 

Road traffic convention, application to, 884 
Securities, registration requirements, 673 

1013 



Belgium : 

Geneva Conference, invitation to, 347 
Securities, registration requirements, 673 
Treaties, agreements, etc. : 
Double taxation, with U. S., estate taxes, signed, 928, 

929 
EDC treaty, ratification, 433 

German external debts, ratification deposited, 693 
Lend-lease, reciprocal aid, surplus property, and 
claims, settlement for, agreement with U. S. amend- 
ing memorandum of understanding, 773 
Road traffic convention and protocol, ratification de- 
posited, 884 
Trust territories in Africa, administration, 719 
Bell, James D., statement on sale of vessels to Philippines, 

571 
Berlin, West, economic reconstruction of, article (Wood- 
ward), 584 
Berlin blockade, 584 
Berlin four-power meeting. See Foreign Ministers' 

Meeting 
Bidault, Georges : 

Foreign Ministers' Meeting, Berlin, proposals {see also 

Foreign Ministers' Meeting), 179, 180, 227 
Indochina and Southeast Asia, joint statement with 

U. S. on Communist aggression, 622, 743 
London Foreign Ministers' Meeting (1953), joint com- 
munique on Qibiya incident, 329 
Bipartisan foreign policy, statement (Dulles), 801 
Black, Richard T., address on telecommunications, 83 
Bliss, Robert Woods, opinion on effect of security program 

on Foreign Service, 169 
Boggs, S. Whittemore, address on global relations of U. S., 

903 
Bogota, Pact of, 833, 983, 985 
Bohan, Merwin L., address on inter-American economic 

problems, 875 
Bolivia, U. S. aid : 

Economic and technical aid, 485, 488 
Technical cooperation agreement, 567 
Wheat allotments, 468, 488, 489 
Borneo, U. S. technical aid, 433 
Boundary dispute, Peru and Ecuador, conciliation, 468, 

678 
Bowdler, William G., article on accomplishments of 10th 

Inter-American Conference, 634 
Bowie, Robert R., address on European unity, 139 
Boykin, Samuel D., designation in State Department, 694 
Brazil : 

Coastal shipping : 

Four-point improvement program, 9.52 
Proposed sale of U. S. vessels, statements: Nolan, 
951 ; Woodward, 533 
Coffee production, price increase in U. S., 257 
Economic Development Commission, Joint U. S.-Brazil, 

533, 952 
Ecuador-Peru boundary dispute, conciliation effort, 468 
Film Festival, International, 298 

Inter-American Conference, 10th, proposed amendment 
to declaration against international communism, 425 
International Bank loans, 24 
U. S. private investment in, 731 

1014 



Brazil— Continued 
Weights and measures convention, adherence deposited, 
1001 

Bribery allegation regarding friendly foreign power, in- 
vestigation results, 251 

Bricker Amendment to Constitution on treaty-making 
powers of Federal Government, 195 

British Commonwealth. See United Kingdom 

British Guiana, U. S. technical cooperation survey, 89 

Broadcasting : 

Programs to Iron Curtain countries ; Addresses concern- 
ing, 205, 822, 823 ; Czech countermeasures, 320 ; popu- 
larity ratings, 320 
U. S. -Mexican problems, 678 

Brotherhood in the World of Today, address (Murphy), 
287 

Brown, Winthrop G., review of ECE economic survey of 
Europe, 608 

Bruce, David, continuance as Under Secretary of State, 801 

Brussels Pact, 312 

Buchanan, Wiley T., Jr., confirmation as U. S. Minister to 
Luxembourg, 298 

Buildings, U. S., overseas, establishment of Architectural 
Advisory Board, 169 

Bulgaria : 

Greek frontier problem, 276 

U. S. air and naval bases in Greece, protest, 277 

Burma, evacuation of foreign forces, statements (Carey), 
32 

Business, influence on American freedom, remarks (Dulles, 
Eisenhower), 837 

Buy American legislation. Federal procurement recom- 
mendations, 192, 605, 841 

Byroade, Henry A. : 
Addresses : 

Arab-Israeli dispute, 708, 761 
Greece and free world defense, 4.39 
Middle East, U. S. objectives, 628, 710 
U. S. colonial policy, 212, 213, 214 
Visit to Near East and South Asia, 209, 275 

Cabot, John M. : 
Economic progress in the Americas, address, 48 
Foreign Service, address on understanding, 353 
U. S. Ambassador to Sweden, confirmation, 414 
Calendar of international meetings, 25, 166, 334, 527, 680, 

885 
Cambodia : 

Atrocity by Viet Minh : 

Cambodian note and U. S. reply, 746 
Statement (Smith), 783 
Communist aggression. Sec Indochina 
Independence, progress toward, 359, 432, 539, 582, 742, 
784, 863, 924, 948, 972 
Cameroons, British, progress toward self-rule, 298, 336, 718 
Cameroons, French, French administration, 336, 718 
Canada : 

Air-defense cooperation with U. S., statement (Wilson), 

639 
Civil aviation talks with U. S., 20 

Fisheries Commission, International North Pacific, 165, 
297, 327, 515 

Department of State Bulletin 



Canada — Continued 
Geneva Conference, invitation to, 347 
Governor General (Massey), address before joint ses- 
sion of U. S. Congress, 762 
Investments, foreign and domestic : 
Addresses : Cabot, 51 ; Dulles, 381 
U. S. equity, 121 
Libby Dam, U. S. application for construction, 878 
Niagara Falls remedial project, inauguration, 954 
Oats, limitation on shipments to U. S., 21, 56 
St. Lawrence Seaway. See St. Lawrence Seaway 
Trade and Economic Affairs, Joint U. S.-Canada Com- 
mittee, meeting and communique, 364, 511 
Treaties and agreements : 

German external debts, ratification deposited, 693 
Halibut fishery convention, 525 
Opium protocol, ratification deposited, 884 
U. N. Disarmament Subcommittee, member, 687, 688 
U. S. Canadian relations, address (Stuart), 18 
Canal Zone, agreement with Panama regarding use of sew- 
erage facilities, entry into force, 803 
Capital, private, investment abroad. See Investment of 

private capital abroad 
Captive peoples, U. S. policy, statement (Dulles), 824 
Caracas, Declaration of, 42.5, 634, 639 (text) 
Carey, Archibald J., Jr., statements on evacuation of 

foreign forces from Burma, 32 
Caribbean area, agreement with U. K. for U. S. technical 

aid, 6.53 
Caribbean Commission, U. S. delegation to 18th meet- 
ing, 850 
Carillon, Netherlands gift to U. S., 755 
Censorship of the press, addresses and statements : Eisen- 
hower, 701 ; Hotchkis, 682 ; Lodge, 849 
Ceylon, Ambassador to U. S., credentials, 443 
Chamber of Commerce, U. S., support to U. N., 826 
Channel Islands : 
Agreement on German external debts, extension to, 733 
Postal convention, universal, application to, 693 
Chapiu, Selden, confirmation as U. S. Ambassador to Pan- 
ama, 298 
Charter of the United Nations. See United Nations 

Charter 
Cherbourg, France, Memorial Day ceremonies, 959 
Chihuahua, Mexico, U. S. consulate to be closed, 852 
Children's Fund, U. N. : 
Accomplishments (1953), 828 
U. S. contribution to, 366, 371 
Chile : 
Ecuador-Peru boundary incident, conciliation effort, 468 
Peso, change in par value, 296 
Treaties and agreements : 

Air Force mission agreement with U. S., extension, 613 
Japan, agreement for settlement of disputes arising 
under art. 15 (a) of peace treaty, entry into force 
for Chile, 852 
Japan, peace treaty, ratification deposited, 852 
U. S. Ambassador, confirmation, 298 
U. S. private investment, 731 
China : 
Addresses and articles : 

China in the Shadow of Communism (McConaughy), 
39 

Index, January to June 1954 



China — Continued 

Addresses and articles — Continued 

Faith in the Future of China (Robertson), 398 
U. S. and a Divided China (Jenkins), 859 
U. S. policy : Jenkins, 624 ; Martin, 543 

Students in U. S., statement issued at Geneva Con- 
ference concerning, 949 
China, Communist : 

Alliance with Moscow, addresses and articles: Jenkins, 
624, 625, 859 ; Martin, 544, 545 

Anti-U. S. propaganda, 540, 545 

Control of mainland, addresses : Martin, 544, 545 ; Mur- 
phy, 430 

Forced labor, statements : Hotchkis, 807, 808 ; Lodge, 849 

Geneva Conference, invitation to, 347 

Germ warfare charges against U. S., 724, 976, 986 

Indochina, aggression in. See Indochina. 

Korea, aggression in. See Korea 

Recognition issue, U. S. position, addresses, statements, 
etc.: Dulles, 343, 345, 346, 347, 405, 540, 541, 669, 
739 ; Jenkins 625, 626, 627, 860, 861, 862 ; Martin, 544 ; 
McConaughy, 40; U. S. delegation at Geneva, 950 

Soviet attempts for 5-power conference to include Com- 
munist China, 81, 181, 182, 183, 222, 223, 292, 346, 404, 
405, 739 

Soviet proposal for membership on U. N. Disarmament 
Subcommittee, 688 

Trade : 

Free world trade, FOA report : Requirements, 848 ; 

statistics, 847 
U. N. economic sanctions, 41 

U. S. export policy, 41, 42, 111, 112, 194, 563, 626, 845, 
848, 861 

U. N. membership, unfitness for, addresses : Dulles, 540 ; 
Jenkins, 625, 626. 861, 862 ; Lodge, 724 

U. S. citizens : Detention, U. S. efforts for release, 949, 
950 ; kidnapping of journalists, 685 

Violence by Communists against people of China, ad- 
dress (Nixon), 12, 13 
China, Republic of : 

Formosa, strategic and political importance, address 
(Martin), 546 

Treaties and agreements with U. S. for loans of vessels : 
Destroyers: Address (Robertson), 398; entry into 

force, 568 
Small naval craft, entry into force, 965 

U. S. support to, addresses, etc. : Dulles, 541 ; Eisen- 
hower, 76, 144, 147 ; Jenkins, 627, 862 ; McConaughy, 
39 
Chou En-lai, 222, 223, 807; proposals at Geneva Confer- 
ence, 940, 941, 942, 943 
Churchill, Sir Winston : 

Anglo-Iranian relations, address, 280 

Suez Base negotiations, statement, 281 

Visit to U. S.. proposed, 989, 991 
Civil aviation. See Aviation 

Civil defense. President's message to Congress, 78 
Civilians, protection in time of war. See Geneva conven- 
tions 
Claims : 

Belgium, agreement with U. S., 733 

Cuba, U. S. claims in, time extension for submission, 564 

Egypt, legislation on claims against former dynasty, 112 

1015 



Claims — Continued 

Foreign Claims Settlement Commission, transmittal to 
Congress of Reorganization Plan No. 1 for establish- 
ment, 811 

Guatemala, U. S. claims for expropriated land, 678, 938, 
950 

International Claims Commission, U. S., 401, 811 

Japan, claims arising from presence of U. S. and U. N. 
forces in, protocol signed, 613 

Norway, agreement with U. S. on conflicting claims to 
enemy property, 772, 1001 

U. K., meetings with U. S. to discuss conflicting claims 
to enemy property, 590 

War Claims Commission, U. S., 24, 811 
Clark, Gen. Mark W., statement upon signing of military 

armistice in Korea, 61 
Clay, Henry J., appointment to International Claims Com- 
mission, 401 
Coal and Steel Community, European. See European Coal 

and Steel Community 
Coffee, price increase : 

Addresses : Dulles, 381 ; Smith, 360 

Correspondence (Sullivan, Morton), 257 
Collective security {see also Mutual defense) : 

Addresses and statements : Dreier, 830 ; Dulles, 459, 464, 
921, 937, 971 ; Murphy, 989 ; Wainhouse, 984 

Asia. See under Asia 

Ethiopian contributions, 869, 871 

Europe. See Esropean Defense Community ; European 
treaty for collective security ; Foreign Ministers' 
Meeting ; and North Atlantic Treaty Organization 

Latin America (see also Inter- American Conference and 
Organization of American States), address (Dreier), 
830 

Near and Middle East. See Near and Middle East 

North America, 4, 639 

Pacific area (.see also Mutual defense treaties), 515, 516, 
782, 971, 985 

Regional arrangements. See Regional arrangements 

Soviet Union, rejection, 916 
Colligan, Francis J., article on Americans abroad, 663 
Colombia : 

Coffee production, price increase in U. S., 257, 360 

Geneva Conference, invitation to, 347 

Haya de la Torre asylum case, 634 

Inter-American Conference, 10th, proposed amendment 
to declaration against international communism, 
420w, 425 

U. S. Ambassador, confirmation, 298 
Colonialism («ee also Pacific trust territory and Under- 
developed areas) : 

In the Americas, resolutions of 10th Inter-American 
Conference, 634 

Self-determination of colonial peoples: 
Address (Lord), 372 
Africa, progress toward, 298, 336, 453, 716 

U. S. policy, addresses, statements, etc. : Byroade, 212, 
213, 214, 632; Dulles, 212, 275, 717, 936; Gerig, 717, 
720; Sears, 336 
Comintern, activities and dissolution, 420, 421 
Commercial relations, U. S. and other countries. See Eco- 
nomic policy and relations ; Tariff policy, U. S. ; 
Tariffs and trade, general agreement on; and Trade 

1016 



Commercial samples and advertising material, interna- 
tional convention to facilitate importation, accession 
deposited, Indonesia, 965 
Commercial treaties and agreements {see also Trade) : 

Bilateral, U. S. and other countries, listed, 443 

U. S. and Israel, 442, 803 

U. S. and Japan, 154, 514 
Commodity Credit Corp., President's budget recommenda- 
tions, 147, 238, 239 
Communism («ee also China, Communist, and Soviet So- 
cialist Republics, Union of: 

Asia. See under Asia 

China, article (McConaughy), 39 

Doctrines and methods of operation, addresses, etc.: 
Dulles, 459, 460, 539, 705, 935, 937 ; Eisenhower, 900 ; 
Jenkins, 8.59 ; Murphy, 988 

Far East, address (Robertson), 348 

Front organizations, 421 

Global aggression, addresses, etc. : Dulles, 579, 779, 921 ; 
Elbrick, 556, 560 

Greece, guerilla campaign, 439 

Guatemala. See under Guatemala 

Indochina. See Indochina 

International communism («ee also Inter-American 
Conference), definition and objectives, 379, 419, 581 

Japan, threat to, 431, 515 

Korea. See Korea 

Latin America. See under Latin America 

Propaganda, 350, 351, 431, 506, 540, 701, 706, 936, 974, 
976 

Thailand, 974 

Threat to free world, addresses, etc.: Byroade, 440; 
Dulles, 459, 464; Dunn, 478; Eisenhower, 899; Mer- 
chant, 819 ; Morton, 290, 291 ; Smith, 264, 943 
Conant, James B. : 

Efforts to restore interzonal freedom of movement in 
Germany, 508, 879 

Foundations of a democratic future for Germany, ad- 
dress, 750 
Conferences and organizations, international {see also sub- 
ject), calendar of meetings, 25, 166, 334, 527, 680, 885 
Congress : 

Arab refugees : 

Appropriations for relief, 99 
Subcommittee report, 210 

Bricker Amendment to Constitution on treaty-making 
powers of Federal Government, 195 

Foreign policy conference at White House, 79 

Joint sessions, addresses before : 
Emperor of Ethiopia, 867 
Governor General of Canada, 762 
President of Turkey, 247 

Legislation : 

Foreign policy, listed. See Legislation 

Mexican migrant labor, statement (Eisenhower), 468 

Voluntary foreign aid, 386, 387 

Legislation, proposed (see also Eisenhower: Messages, 
reports, and letters to Congress) : 
Atomic Energy Act, amendments, 77, 144, 145, 303, 926 
Copyright laws, amendments, 530, 532 
U. S. ships, sale to Brazil for coastal shipping, 533 

Mutual defense assistance agreement with Japan, ques- 
tion of need for Senate action, 570 

Department of State Bulletin 



* 



Congress — Continued 
Mutual defense treaty with Korea, transmittal to Sen- 
ate and approval, 131, 208 
Mutual Security Act ( 1953 ), extension, 210 
Presidential messages, etc. See Eisenhower : Messages, 

reports, and letters to Congress 
Senate Investigation Subcommittee, bribery allegation 
regarding friendly foreign power, results of State De- 
partment investigation, 251 
U. N. Charter review, study of. See United Nations 

Charter 
USIA, five-month report to, 414 
Constitution, U. S., Brlcker Amendment on treaty-making 

powers of Federal Government, 195 
Consular convention and supplementary protocol with Ire- 
land, 802, 852 
Consular offices, U. S. See under Foreign Service 
Consulates general, Polish, In U. S., closing, 352 
Continental shelf : 
Doctrine, address (Phleger), 200 

Economic resources of, action by 10th Inter-American 
Conference, 636 
Contributions for relief, voluntary, article (Rlngland), 384 
Conventional Armaments Commission, U. N., 980 
Copyright arrangement, U. S. and Japan, 514 
Copyright convention, universal : 
Pakistan, accession deposited, 1001 
Proposed amendments, statement (Kalijarvi), 530 
Copyright protection, international, statement (Kali- 
jarvi), 530 
Costa Rica : 

Ambassador to U. S., credentials, 273 
U. S. Ambassador, confirmation, 298 
Cotton, U. S., credit to Japan for purchase and export, 57 
Cotton Advisory Committee, International, U. S. delega- 
tion to 13th plenary meeting, 930 
Coty, Rene : 
Correspondence with President Eisenhower upon fall of 

Dlen-Bien-Phu, 745, 835 
Election as President of France, 47 
Council of Europe, 558 

Crowe, Philip, K., confirmation as U. S. representative, 
10th session. Economic Commission for Asia and Far 
East, 337 
Cruickshank, Earl, tribute to, 826 

Crusade for Freedom, U. S. reply to Czech protest regard- 
ing release of balloons, 881 
Cuba: 
Claims, TJ. S., time extension for submission, 564 
Export-Import Bank loan, 479 
Industrial cooperation with U. S., address (Gardner), 

158 
Nickel production, expansion, 122 
Treaties, agreements, etc. : 

GATT, third protocol of rectifications and modifica- 
tions to texts of schedules, signed, 965 
Geneva prisoners of war conventions (1949), ratifi- 
cation deposited, 884 
Postal convention, universal, ratification deposited, 

803 
Sugar agreement, international, ratification deposited, 
525 

Index, January to June 1954 



Cuba — Continued 

Treaties, agreements, etc.— Continued 
War vessels, agreement with U. S. to facilitate in- 
formal visits, renewal, 884 
U. S. private investment, 731, 732 
Cultural Action, Committee for, membership, 638 
Cultural programs, inter-American, resolutions of 10th 

Inter-American Conference, 637 
Cultural Property in the Event of Armed Confiict, 
Intergovernmental Conference on Protection of, U. S. 
delegation, 691 
Cultural relations, inter-American convention for promo- 
tion of : 
Revision, 637, 677 
Signatories, 803 
Gumming, Hugh S., Jr., confirmation as U. S. Ambassador 

to Indonesia, 298 
Currency : 
Convertibility : 
President's message to Congress, 607, 841, 999 
Recommendations of Commission on Foreign Eco- 
nomic Policy, 194, 324 
Price Instability In primary commodities, statement 

(Hotchkis), 726 
Stability, basis of strong economy, address (Holland), 
767 
Currency, foreign, availability for educational exchange, 

889, 890 
Customs, international, automobiles and tourism, stand- 
ardization and simplification of regulations, 119, 998 
Customs, U. S., administration and procedures for simpli- 
fication, 192, 220, 604, 842, 998 
Cyprus, statement In U. N. by Greek representative, 276 
Czechoslovakia : 

Copper shipments from Turkey, 493 

Crusade for Freedom, U. S. reply to protest regarding 

release of balloons, 881 
Flier, request for asylum in Germany, 319 
Hvasta, John, release, 251, 273 

International Bank, suspension of membership in, 296 
Korea, false allegations by Czech member of NNSC 

against U. N. Command, 941, 944, 977 
Radio-control measures, 320 
Soviet domination, 421 

U. S. aircraft, attack on ( 1954) , U. S. and Czech notes, 563 
U. S. Ambassador, confirmation, 298 

Davies, John P., security hearing, statement (Dulles), 528 
Davis, Monnett, address (Russell) in tribute to, 207 
Dean, Arthur H. : 

Geneva political conference : 

Conference with President of Korea, 708 

Unavailability for service, 397 
Panmuujom negotiations for political conference on 

Korea, addresses : Dean, 15 ; McConaughy, 404 ; 

Nixon, 12 
Debts, German, external, agreement on, 160 ; current ac- 
tions, 693, 733 
Debts, German Tripartite Commission for, completion of 

work and resignation of U. S. delegate, 69 
Defense, Department of, legislative proposals concerning 

declassification of atomic information, 305, 306 

1017 



Defense program, U. S. See Military program 
Dengin, Sergei, 510 
Denmark : 

Cultural exhibition in U. S., address (Robertson), 202 
Treaties, agreements, etc. : 

GATT, third protocol of rectifications and modifica- 
tions to texts of schedules, signed, 525 
German external debts, ratification deposited, 693 
Slavery convention of 1926, protocol amending, signed, 
773 
U. S. aid, continuance under Battle Act, 491 
Dependent areas (see also Colonialism and Trust terri- 
tories), Soviet policy, 7-12 
Dien-Bien-Phu. See under Indochina 
Diplomacy (see also Foreign Service) : 

Contributions of, address (Lodge), 722, 723 
Tasks of, address (Russell), 207 
Diplomatic asylum, convention on, 634 
Diplomatic relations veith Paraguay, resumption, 801 
Diplomatic representatives in U. S., presentation of cre- 
dentials : Austria, 443 ; Ceylon, 443 ; Costa Rica, 273 ; 
Japan, 465 ; Jordan, 24 ; Latvia, 882 ; Paraguay, 511 ; 
Yugoslavia, 624 
Disarmament. See Armaments control and Atomic 

energy 
Disarmament Commission, U. N. : 
Documents, listed, 888 
Efforts for armaments control, address (Wainhouse), 

986 
Subcommittee : 
Address (Murphy), 786 
Establishment, resolution, 687, 987 
Meeting : Proposal for, 622 
Statements (Lodge), 687 
U. S. deputy representative appointed, 850 
Displaced persons. See Refugees and displaced persons 
Disputes, pacific settlement : 

A basis of U. S. foreign policy, address (Wainhouse), 

983 
Proposed Charter amendments on veto regarding, 171, 
451 
Disputes arising under art. 15 (a) of peace treaty with 
Japan, agreement for settlement of : 
Chile, entry into force, 852 
Status of actions, by country, 568 
Dixon, Donald, kidnapping by Chinese Communists, 685 
Dollar position in v^orld economy : 

President's economic reports to Congress, 219, 602 
Report of Commission on Foreign Economic Policy, 188 
Review of ECE economic survey of Europe, 609, 610 
Dominican Republic, agreement with U. S. amending voca- 
tional education program agreement, entry into force, 
929 
Dondero, Representative George A., remarks upon signing 

of St. Lawrence Seaway bill, 796 
Dorsey, Stephen P., article on U. S. economic cooperation 

with Near East, 550 
Double taxation, conventions for avoidance of, U. S. policy, 

429, 730 
Double taxation, conventions for avoidance of, with — 
Australia, estate, gift, and income, entry into force, 22, 
23, 525 

1018 



Double taxation, conventions for avoidance of, with — 
Continued 
Belgium, estate, signed, 928, 929 

Greece, estate and income, entry into force and pro- 
claimed, 124, 525 
Japan, estate and income, signed, 692, 733 
Netherlands, request for extension to Antilles, 851 
U. K., income tax, amendment and supplementary pro- 
tocol, 884, 928 
Dowling, Walter C, transmission of U. S. protest to 

Soviet Union in Khokhlov case, 671, 715 
Dreier, John C, address on organizing security in the 

Americas, 830 
Dulles, John Foster : 
Addresses, statements, etc. : 
Anglo-Egyptian Sudan, 281 
Atomic Energy Act, amendment of, 926 
"Atoms for Peace" proposals, statement on Soviet 

response to, 9 
Bipartisan foreign policy, 801 
British Prime Minister and Foreign Secretary, visit 

to U. S., 990 
Captive peoples, U. S. policy, 824 

Collective security, 459, 464, 540, 742, 744, 782, 862, 
864, 921, 937, 971, 984, 990; London-Paris conver- 
sations on, 590, 622, 668, 743, 972 
Colonial policy, U. S., 212, 275, 717 
Communist threat, 379, 419, 459, 460, 464, .539, 579, 

582, 583, 590, 705, 779, 914, 921, 924, 935, 937 
Davies (John P.) security case, 528 
Disarmament, 986, 987 
Estonian Independence Day, 364 
Ethiopia, visit of Emperor to U. S., 871 
EDC, importance of, 580, 922, 937 
European migration, 995 
Forced Labor report, U. N., 422 

Foreign Ministers' Meeting (see also Foreign Min- 
isters' Meeting), 7, 110, 148, 179, 222, 266, 307, 343, 
347, 379 
Foreign policy, evolution of, 107 
Foreign Service, effect of security program on, 169 
Free world, U. S. policy of noncoercion, 848 
Freedom, American, influence of business on, 837, 838 
Freedom, challenge to, 779, 988 

Geneva Conference, objectives and results, 317, 346, 
513, 542, 590, 622, 623, 668, 669, 704, 739, 781, 924, 
947, 990 
Guatemala, Communist influence in, 873, 950, 981 
Honduras, strike in, 801 
Human rights and freedoms, 422, 423, 425 
India, U. S. economic aid to, 580, 923 
Indochina : 

Appropriations (1955) for mutual security pro- 
gram, 582, 924 
Communist aggression and U. S. policy in, 43, 512, 

582, 589, 622, 623, 668, 024 
Geneva Conference consideration of. See Geneva 
Conference 
Inter-American Conference, 10th. See Inter-Ameri- 
can Conference 
International unity, 935 

Iran, upon presentation of credentials by Ambassa- 
dor, 280 

Depmfmenf of Stale Bulletin 



Dulles, John Foster — Continued 
Addresses, statements, etc. — Continued 
Iranian oil negotiations, 583 
Japan, U. S. aid, 581, 924 
Korea : 

Geneva Conference consideration of. See Geneva 
Conference 

Mutual defense treaty, 133 

Prisoners of war, unrepatriated, release, 153 

Rehabilitation, 1955 appropriations, 581, 924 

U. S. troops, withdrawal, 42 
Latin America, technical cooperation program, 1955 

appropriations, 581, 923 
Latvia, Republic of, upon presentation of letters of 

appointment of Charge, 882 
Malaya, progress against Communism, 914 
Middle East, Near East, and South Asia, U. S. policy, 

209, 210, 212, 214, 274, 275, 327, 329, 330, 445, 550, 

580, 590, 622, 668, 743, 781, 923, 972 
Mutual security program, 1955 appropriations, 579, 

921 
New Year message, 82 
NATO: 

Appropriations (1955), 579, 921 

Fifth anniversary, 561 

Ministerial meeting, NAC, 668 

Report on, 3 

U. S. policy toward, 937 
Pakistan-Turkey treaty of cooperation, 581, 923 
Rumania, national holiday, 755 

Ryukyu Islands (Amami-Oshima group), U. S. relin- 
quishment of rights under Japanese peace treaty, 

17 
Security, national and collective, 464 
Security in the Pacific, 971 
Spain, base arrangement, .580, 922 
Thai request for peace observation mission, 974 
Turkey, visit of President to U. S., 162 
Turkey, visit of Prime Minister to U. S., 879 
United Nations, support of, 935 
U. N. Charter, review of, 170, 397, 642, 644, 645 
U. S. attitude toward free nations, 434 
Voluntary foreign aid, 383 
Administrative actions : 

Immigration and nationality laws, administration 

of, 23 
Inspection service. Department and Foreign Service, 

reorganization, 774 
Philippine-U. S. mutual defense matters, establish- 
ment of Council, 973 
Soviet allegations against Austrian Government, in- 
struction to U. S. representative on Allied Council, 

824 
Article on policy for security and peace, 459 
Correspondence, messages, reports, etc. : 

Anglo-Egyptian Sudan agreement, congratulations to 

signatories, 281 
Belgium, upon ratification of EDC treaty, 433 
Educational exchange, transmittal to Congress of 

semiannual report, 499 
Germany, upon ratification of EDC treaty, 554 
Haiti, on sesquicentennial of independence, 53 
Hvasta release from Czechoslovakia, 273, 479 



Index, January /o June 7954 



Dulles, John Foster — Continued 

Correspondence, messages, reports, etc. — Con. 
Libby Dam, application for construction, 878 
Mindszenty imprisonment, 5th anniversary, 47 
Mutual defense treaty with Korea : 
Message to Senate Foreign Relations Committee 

upon Senate approval, 208 
Report to President, 132 
Rumanian Legation publications in U. S., ban on, 48 
Tripartite Commission on German Debts, acceptance 

of resignation of U. S. delegate, 69 
Turkish President, visit to U. S., 162 
Wriston report, 1002 
Discussions and meetings (see also subject) : 
Atomic energy talks with Soviet Union, 110, 465 
Foreign policy conference at White House, 79 
Tribute from President Eisenhower, 702 
Dunn, James Clement, addresses on economic and military 
agreements with Spain, 476, 960 

East-West trade. See under Trade 

Eban, Abba, statements in Security Council, 330, 331, 332 
ECE. See Economic Commission for Europe, U. N. 
Economic aid to foreign countries. See Agricultural sur- 
pluses ; Export-Import Bank : Mutual security and 
assistance programs; and United Nations: Technical 
assistance program 
Economic and Social Council, Inter-American, recommen- 
dations of 10th Inter-American Conference, 636, 676 
Economic and Social Council, U. N. : 

Consultative status for U. S. and International Junior 

Chambers of Commerce, 826 
Documents, listed, 68, 174, 526, 573, 607, 679, 715, 888, 

993 
Human Rights Commission, message of President Eisen- 
hower to, 374, 397 
Transport and Communications Commission, appoint- 
ment of U. S. representative on, 686 
U. S. representative (Hotchkis) : 
Confirmation, 337 

Statements : Economic policy, U. S., toward under- 
developed countries, 725 ; forced labor, 804 ; free- 
dom of information, 682 
Work of: 

Motor traffic, international, efforts to facilitate, 117, 

118, 120 
Private foreign investment, resolution recommend- 
ing measures to attract, 7.30n, 827 
Work of 17th session, statement (Lodge), 849 
Economic Commission for Asia and the Far East, U. N., 

statement (Lodge), 849 
Economic Commission for Europe, U. N. : 
Annual economic survey of Europe, statement (Brown), 

608 
Statement (Lodge), 849 
Economic Cooperation, European Organization for, 189, 

557, 558 
Economic Development, Committee for, remarks before 

(Dulles, Eisenhower), 837 
Economic Development Commission, Joint Brazil-U. S., 
recommendations on Brazilian coastal fleet, 533, 952 
Economic Policy, Foreign, Commission on. See Foreign 
Economic Policy Commission 

1019 



EJconomic policy and relations, U. S. (see also individual 
countries) : 
Aid to foreign countries. See Agricultural surpluses; 
Export-Import Bank ; and Mutual security and assist- 
ance programs 
Benefits from U. N. participation, address (Key), 826 
Cooperation with — 

Latin America. See Latin America 
Near East. See Near and Middle East 
Underdeveloped areas (see also Mutual security and 
assistance programs), addresses and statements: 
Hotchkis, 725; Key, 826 
Domestic economy, addresses and statements: 
Conditions in U. S. (Waugh), 428, 485 
Effect on European economy (Brown), 609 
Foreign misconceptions (Woodward), 235, 236 
President's messages to Congress, 78, 219 
Private enterprise system (Holland), 766 
Economic arrangements agreement with Japan. See 

under Japan : Treaties 
Economic defense policy, U. S., 491, 843 
Foreign economic policy (see also Foreign Economic 
Policy Commission) : 
Address and statement (Waugh), 321, 427 
President's economic report to Congress (Jan. 1954) 

219, 321, 428 
President's message to Congress embodying recom- 
mendation of Foreign Economic Policy Commission 
(Mar. 1954), 602 (text), 703, 767, 841, 962 
Trade policies. See Tariff policy and Trade 
BCOSOC. See Economic and Social Council, U. N. 
Ecuador : 

Export-Import Bank credit, 123, 731 
International Bank loan, 326 
Peruvian boundary di.spute, conciliation, 468, 678 
Quito, site of 11th Inter-American Conference, 638 
Trade agreement with U. S., possible amendment, 173 
EDC. See European Defense Community 
Eden, Anthony : 
Anglo-Egyptian Accord, statement, 281 
German unification plan, proposed at Berlin meeting, 

179, 184, 185, 186, 227, 313 
Indochina and Southeast Asia, joint statement with 

U. S. on Communist aggression in, 622, 743 
London Foreign Ministers' Meeting (1953), joint com- 
munique on Qibiya incident, 329 
Visit to U. S., proposed, 969, 991 
Education : 
Agreement with Dominican Republic amending voca- 
tional education program agreement of 1951, entry 
into force, 929 
Opportunities for women, UNESCO report, 649, 650 
Education and Freedom — Core of the American Dream, 

address (Eisenhower), 899 
Educational exchange, U. S. and U. K., address (Aldrich), 

591 
Educational exchange program, international : 

Addresses: Eisenhower, 902, Riley, 162; Streibert, 205 
Convention for promotion of cultural relations^ revision, 

637 
With Germany, West, 5th anniversary, 272 
With India, 596 

1020 



Educational exchange program, international — Con. 
President's budget message to Congress, 145, 146, 147, 

148 
Report on activities under Fulbright Act (Jan. 1-Dec. 

31, 1953), 889 
Semiannual report of State Department (July 1-Dec. 

31, 1953), 499 
Semiannual report of U. S. Advisory Commission, 572 
Educational Exchange Service, Department of State, 

studies, 663, 666 
Edwards, Isaac, retirement from State Department, 774 
Egypt: 

Anglo-Egyptian controversy, article on developments in 

1953 (Howard), 280 
Anglo-Egyptian Sudan, elections in, 213 
Arab refugee problem, 96, 97, 99, 553 
Claims against former dynasty, legislation on, 112 
Export-Import Bank loan, 370, 553 
Jordan Valley project (see also under Jordan River), 

discussions, 913 
Liberation Day, 281 

Maritime Consultative Organization, Intergovern- 
mental, convention on, acceptance, 773 
Shipping restrictions, Israeli complaint, 569 
Suez Base negotiations, 213 
U. S. economic and technical aid, 367, 551, 553 
Eisenbud, Merrill, investigation of atomic injury to Japa- 
nese seamen, 598 
Eisenhower, Dwight D. : 
Addresses, statements, etc. : 

Americans traveling abroad, 663 

Arab states, U. S. relations with, 209, 274 

Atomic energy proposals. See "Atoms for Peace" 

Austrian state treaty, 308 

Cooperative Peace through International Understand- 
ing, 699 

Disarmament proposals, 986 

Education and freedom, 899 

Ethiopia, toast to Emperor at state dinner, 870 

EDC treaty : German ratification, 554 ; Luxemburg 
ratification, 621 ; Netherlands action, 142 

Foreign policy, remarks before U. S. Chamber of 
Commerce, 702 

Free world, U. S. policy of noncoerclon, 849 

Freedom, American, influence of business on, 837 

Geneva Conference, Korean unification and U. S. 
policy in Southeast Asia, 740 

Inaugural address, excerpt, 274 

Korea, reduction of U. S. ground forces, 14, 42, 264, 
462 

Mexican migrant labor, legislation on, 468 

Normandy landing, anniversary, 959 

NATO, 5th anniversary, 561 

Pakistan, military aid to, 401, 447 

St. Lawrence Seaway bill, 796 

Technical cooperation program, 873 

United Nations, need for, 171, 451, 452 

Unity among free nations, 4.34 

Wool import policy, 381, 393 
Appointment of Eric Johnston on Near East mission, 

211, 368 
Award of Legion of Merit to Turkish President, 249 

Department of State Bulletin 



H 



' 



Eisenhower, Dwight D. — Continued 
Correspondence, messages, etc. : 
Atomic energy exhibition in Rome, 982 
Dlen-Bien-Phu, messages to President of France and 

Chief of State of Viet-Nam, 542, 745, 835 
Egypt, Liberation Day, 281 
EDC, U. S. position : 

Letter to President of Prance, 991 

Message to six signatories, 619 
Foreign economic policy : 

Exchange of correspondence with Charles H. Percy, 
841 

Foreign Economic Policy Commission report, trans- 
mittal to executive departments, 195 
France, on EDC and Indochina, 990 
Haiti, on sesquicentennial of independence, 53 
Human Rights Commission, 374, 397 
Iranian Prime Ministers, regarding oil dispute with 

U. K., 279, 280 
Korea : 

Custodian Forces, India, tribute to, 334 

Governors' visit to, 273, 836 
Mindszenty imprisonment, 5th anniversary, 273 
Nehru, explaining U. S. military aid to Pakistan, 400, 

447, 594 
Rye imports, investigation, 22 
Saudi Arabia, upon death of King, 213 
Scissors and shears, decision not to increase duty on, 

840 
Tung imports, directive to investigate effect on price- 
support program, 839 
United Nations Day, 771 
Executive orders. See Executive orders 
Meetings with Government leaders on Export-Import 

Bank organization changes, 991 
Messages, reports, and letters to Congress : 
Atomic energy, development and control, 8, 8n, 77, 

144, 145 
Atomic Energy Act, proposed amendments, 303 
Battle Act, continuance of aid to certain countries, 

491 
Budget message ( 1953 ) , on mutual security program, 

366 
Budget message (1954), 143, 237, 238, 239, 366ro 
Economic report, 219, 321, 428 
Foreign aid (1953), extension, 210 
Foreign Claims Settlement Commission, establish- 
ment (Reorganization Plan No. 1) , 811 
Foreign economic policy recommendations, 602, 703, 

767, 841, 962 
Mutual defense treaty with Korea, transmittal to 

Senate, 131 
Mutual security program, report to Congress (June 

30-Dec.31, 1953),484 
Reconstruction Finance Corp., liquidation of certain 

affairs of (Reorganization Plan No. 2), 813 
State of the Union message, 75, 274, 371 
Trade agreements, report on escape clauses, 173 
Treaty-making functions of Federal Government 

(Bricker Amendment), letter to Senator Knowland, 

195 



Eisenhower, Dwight D. — Continued 
Proclamations. See Proclamations. 
Tribute to John Foster DuUes, 702 
Views on NATO report by Secretary DuUes, 7 
Eisenhower, Milton, views on private enterprise in Latin 

America, 159, 235, 360, 381, 764, 991 
Eisenhower exchange fellowships, 591 
El Salvador : 

International Bank loan, 396, 828 

Military aviation mission agreement with U. S., exten- 
sion, 693 
Telecommunication convention, international, accession 

deposited, 773 
Visa fees and tourist and immigration charges, agree- 
ment with U. S. for abolishment, 773 
Elbrick, C. Burke : 
Address on objectives of U. S. policy in Europe, 555 
Designation in State Department, 966 
Eliot, W. G., 3d, article on international motor traflSc agree- 
ments, 117 
Elizabeth, Queen Mother of England, visit to U. S., 327 
Embargo on East-West trade : 
China and North Korea, 41, 42, 111, 112, 194, 563, 626, 

845, 848, 861 
FOA report on Battle Act operations, 843 
Enclso-Velloso, Guillermo, credentials as Ambassador of 

Paraguay to U. S., 511 
Enemy property, conflicting claims to : 
Agreement with Norway, 772, 1001 
Discussions with U. K., 590 
Entezam, Nazrollah, designation as Ambassador of Iran 

in U. S., 280 
Equal pay convention, status, 647 

Equipment, return of, arrangements with Japan, 613 : 
Joint communique, 518 
Question of Senate action, 570 
Text, 522 
Escape clauses in trade agreements, report on : 
Messages of President to Congress, 173, 603 
Recommendation of Commission on Foreign Economic 
PoUcy, 193 
Escapees. See Refugees and displaced persons 
Estate-tax conventions. See Double taxation 
Estonia : 
Independence Day, 364 

Soviet absorption, addresses and statements; Dalles, 
267, 269 ; Merchant, 819, 820 ; Smith, 942 
Ethiopia : 
Defense installations, agreement with U. S., 871 
Emperor Haile Selassie I, visit to U. S., 112, 787 : 
Address before joint session of Congress, 867 
State dinner at White House, toast, 870 
Statement (Dulles), 871 1 

Export-Import Bank loans, 370, 553, 731 
Geneva Conference, invitation to, 347 
International Bank loan, 371, 553 
U. S. economic and technical aid, 369, 370, 653, 869 
Europe (see also individual countries) : 
Captive peoples, statement (Dulles), 824 
Collective security. See European Defense Community ; 
European treaty for collective security ; Foreign Min- 
isters' Meeting ; and North Atlantic Treaty Organiza- 
tion 



Index, January to June 1954 



1021 



Europe — Continued 
Division of, statements (Dulles), 268, 312, 313 
Economic conditions in Eastern Europe, 611, 823 
Economic improvement in Western Europe, 189, 220, 

250, 485, 557, 580, 608, 844, 922 
Economic survey by ECE, statement (Brown), 608 
Educational exchange program, 503 
Foreign Relations volumes on, released, 852, 966 
Migration. See Intergovernmental Committee for Euro- 
pean Migration 
Private investment, U.S. equity in Western Europe, 121 
Refugees. See Refugees and displaced persons 
U. S. aid. See Mutual security and assistance programs 
U. S. policy objectives, address (Elbrick), 555 
U. S. voluntary relief, article (Ringland), 383 
Unity (see also European Coal and Steel Community; 
European Defense Community ; European Economic 
Cooperation, Organization for; European Political 
Community; and North Atlantic Treaty Organiza- 
tion), address on process of federating Europe 
(Bowie), 139 
Europe, Council of, 558 
Europe, Economic Commission for : 

Annual economic survey, statement (Brown), 608 
Statement (Lodge), 849 
European Coal and Steel Community: 
Creation and operation, 7, 140, 141, 558 
Statements (Dulles), 180, 185 
U. S. loan: 

Negotiations and communique, 327, 562, 622, 671 

(text) 
Remarks at signing of agreement (Smith, Monnet, 
PotthofC, Giacchero) , 672 
European Defense Community : 

Addresses, statements, etc. : Bowie, 141 ; Conant, 750 
Dulles, 5, 109, 180, 185, 227, 461, 562, 580, 922. 937 
Eisenhower, 7, 76, 143 ; Elbrick, 558, 559 ; Lodge, 747 
Matthews, 437, 438 ; Morton, 292, 293, 362 ; Murphy, 
475 ; Smith, 265 
NATO ministerial meetings, support of, 8, 670 
Soviet attacks on, 180, 265, 314, 344, 362, 757, 758, 822, 

880 
U. K. position : 

Policy statement, 620, 748 
Statement (Dulles), 185 
U. S. position (see also Addresses, etc., supra) : 

Letter of President Eisenhower to President Coty of 

France, 990 
Message of President Eisenhower to six signatories, 
619, 748 
European Defense Community treaty, ratifications : 
Belgium, message (Dulles), 433 
Germany, message and statement (Dulles, Eisenhower), 

554 
Luxembourg, statement (Eisenhower), 621 
Netherlands, statement and remarks (Eisenhower, 
Smith), 142, 433 
European Economic Cooperation, Organization for, 189, 

557, 558 
European Migration, Intergovernmental Committee for. 
See Intergovernmental Committee for European Mi- 
gration 
European Political Community, projected, 141, 558 



European treaty for collective security, Soviet proposals 
for: 
Proposals of Feb. 10 : 
Draft, 269, 401 

Statements (Dulles), 267, 379 
Proposals of Mar. 31 : 
Department views, 562 
Text, 757 
U. S. reply, 756 
Exchange program. See Educational exchange program 
Executive agreements. See Treaties, agreements, etc., and 

country or subject 
Executive orders : 

Foreign Service personnel assigned to USIA, 573 
Mutual Security Act, exemption of functions authorized 

by, 481 
OAS, extension of benefits to, 951 

St. Lawrence Seaway Development Corp., designating 
Secretary of Defense to direct, 959 
Export-Import Bank : 

Functions, 382, 606, 728 ; transfer from Eeconstruction 

Finance Corp., 813 
Loans to : Afghanistan, 836 ; Cuba, 479 ; Ecuador, 123 ; 
Japan, 57 ; Latin America, 237, 731, 769, 770, 877 ; Near 
East, South Asia, and Africa, 368, 369, 370, 553, 731 ; 
New Zealand, 326 
Organization changes, proposed, 991 
Report for 6 months ended Dec. 31, 1933, 89, 479 
Exports, U. S. (see also Trade) : 
Communist China, embargo on exports to, 41, 42, 111, 

112, 194, 563, 626, 845, 848, 861 
Export-licensing regulations, 157, 321 
Hong Kong, liberalization of regulations, U. S., 112, 157 
North Korea, embargo on exports to, 111, 112, 194, 563, 

845 
Soviet bloc, U. S. policy. 111, 157, 194, 321, 845 
Strategic materials. See Strategic materials 
War materials, convictions for illegal export, 567 
Exports of tin, controls under international tin agreement, 

245 
Expropriation of lands of U. S. company by Guatemala, 

U. S. claim and proposed arbitration, 678, 938, 950 
Expropriation policies, impediment to foreign investment, 

728, 729, 766 
External debts, German, agreement on, 1(50; current ac- 
tions, 693, 733 

Facio, Antonio A., credentials as Costa Rican Ambassador 

to U. S., 273 
Fairless, Benjamin F., statement on labor-management 

relations, 159 
Far East (see also individual countries) : 
Educational exchange program in, 505 
FOA missions, directors' meeting in Manila, 333 
Foreign Relations, volume on, relea.sed, 734 
Military Tribunal. See Military Tribunal Far East 
U. S. military forces in, statements : Dulles, 42, 43 ; 

Eisenhower, 14, 42, 264, 462 
U. S. responsibilities in, address (Robertson), 348 
U. S. voluntary relief in, article (Ringland), 383 
Farley, John L., U. S. commissioner, Inter-American Tropi- 
cal Tuna Commission, 640 



1022 



Department of State Bulletin 



Farm labor, migrant labor agreement with Mexico. See 

under Mexico 
Farm surpluses. See Agricultural surpluses 
Federal National Mortgage Association, functions, trans- 
fer from Reconstruction Finance Corp., 813 
Federal procurement, recommendations for revision of 

legislation governing, 192, 605, 841 
Ferguson, Senator Homer, remarks upon signing of St. 

Lawrence Seaway bill, 796 
Fernos-Iseru, Antonio, action in U. N., 373 
Film Festival, International, in Brazil, U. S. delegation, 

298 
Finance or Economy, Meeting of Ministers of, projected, 

address ( Holland ) , 764, 765 
Financial stabilization, Korea, U. S.-Korean agreement, 65 
Fine, John S., visit to Korea, 836 
Finland : 

Cultural exhibition in U. S., address (Robertson), 202 
Slavery convention of 1926, protocol amending, accept- 
ance deposited, 773 
Fisheries Commission, International North Pacific, meet- 
ing and headquarters, 165, 297, 327, 515 
Fisheries commissions, international, appointments to, 640 
Fisheries control, international law developments, address 

(Phleger),200 
Five-power conference, Soviet attempts for, 81, 181, 182, 

183, 222, 223, 292, 346, 404, 405 
Floods, Netherlands, acknowledgement of U. S. aid, 142 
FOA. See Foreign Operations Administration 
Food and Agriculture Organization, U. N., work of, 396, 828 
Food-package program abroad, U. S., 489 
Forced labor behind the Iron Curtain, report of U. N. 
ad hoc committee, addresses and statements: Dulles, 
422 ; Hotchkis, 804 ; Key, 976 ; Lodge, 849 
Ford, Henry II, statement on U. S. support of U. N. tech- 
nical aid program, 370, 373 
Foreign aid («ee also Agricultural surplu.ses; Economic 
policy and relations, U. S. ; Mutual security and as- 
sistance prosrams ; United Nations : Technical assist- 
ance program : and individual countries) : 
Total since 1941, 366 

Voluntary aid. See Voluntary foreign aid 
Foreign Buildings Architectural Advisory Board, estab- 
lishment, 169 
Foreign Claims Settlement Commission, transmittal to 
Congress of Reorganization Plan No. 1 for establish- 
ment, 811 
Foreign Economic Policy Commission (Randall Commis- 
sion), report: 
Addresses, statements, etc. : Brown, 610 ; Dorsey, 553 ; 
Murphy, 517 ; Robertson, 233, 350 ; Smith, 265 ; Waugh, 
321 
Excerpts, 187 

FOA semiannual report, 847 
President's economic report to Congress (Jan. 1954), 

220 222 
President's foreign economic policy recommendations to 
Congress (Mar. 1954), 602 (text), 703, 767, 841, 962 
Transmittal to Department heads, 195 
Foreign investments. See Investment of private capital 
abroad and Investments 

Index, January /o June 1954 



Foreign Ministers' Meeting, Berlin : 
Addresses and statements : Byroade, 440 ; Dulles, 7, 110, 
148, 179, 222, 266, 307, 343, 347, 379 ; Matthews, 437 ; 
McConaughy, 402; McLeod, 469; Morton, 292, 362; 
Murphy, 288, 473, 474, 475 ; Smith, 265, 358 
Austrian settlement : 

Austrian plea for consideration and U. S. reply, 111 
Soviet proposal, 318 

Statements, addresses, etc. : Byroade, 440 ; Dulles, 7, 
110, 148, 179, 181, 182, 307, 309, 310, 313, 315; 
Dulles, post-conference reports, 344, 345, 347 ; Mat- 
thews, 438 ; McConaughy, 402, 403 
Buildings for meeting, 110 
Collective security : 

Soviet draft proposals for general European treaty, 

269, 401 ; statements (Dulles) , 267, 379 
Statements (Dulles), 180, 184, 225, 226, 227, 267, 311 
Date of meeting, Soviet postponement, 9, 43 
European treaty for collective security, Soviet proposal 
for (see also European treaty for collective security) : 
Draft, 269, 401 

Statements (Dulles), 267, 379 
Five-power conference, Soviet proposal for : 
Soviet statement, 81 

Statements (Dulles), 181, 182, 183, 222, 223, 346 
Geneva Conference, provision for. See Geneva Con- 
ference 
Germany, Soviet proposal for withdrawal of occupation 
forces : 
Draft, 270 

Statements and address: Dulles, 268, 315; McCo- 
naughy, 403 
Germany, unification : 

Eden proposal, 179, 184, 185, 186 (text), 227, 313 
Soviet proposals, 224, 224«, 228 ( text ) , 265 
Statements and addresses: Byroade, 440; Dulles, 7, 
110, 148, 179, 182, 183, 184, 223, 226, 227, 266, 309, 
316; Dulles, post-conference reports, 344, 345, 347; 
Matthews, 438 ; McConaughy, 402, 403 ; Morton, 292 ; 
Smith, 265 
Korean political conference, decision to hold at Geneva. 

See Geneva Conference 
NAC endorsement of proposed meeting at Berlin, 8 
Results and significance : 

Addresses: Dulles, 343, 347; Matthews, 437; McCo- 
naughy, 402 ; McLeod, 469 ; Smith, 358 
Quadripartite communique, statement (Dulles) and 

text, 317 
Tripartite communique, 318 
Foreign Operations Administration («ee also Mutual se- 
curity and assistance programs) : 
Creation and operation, 489 

Directors of FOA missions, conferences in Far East, 
333 ; in Latin America, 121 
Foreign policy : 

Addresses and statements («ee also subject) : Dulles, 
107, 464, 801, 838, 921; Morton, 361; Murphy, 287; 
Smith, 263 
Conference at White House, 79 
Legislation, current. See Legislation 
"Long haul" concept, 3, 109, 263, 363, 462, 559, 580, 922 

1023 



Foreign Relations of the United States, volumes published. 

See under Publications 
Foreign Scholarships, Board of, responsibilities in educa- 
tional exchange programs, 893 
Foreign Service (see also State Department) : 
Administration of immigration and nationality laws, 

regulation on, 23 
Appointments and confirmations, 298, 337, 694 
Chancery in Pakistan, construction, 760 
Consular oflSces : 

Mexico, reorganization, 852 
Puerto Cortes, Honduras, closing, 654 
Davies (John P.) case, statement (Dulles), 528 
Inspection system, 774 

Personnel, Public Committee on, formation and 1st meet- 
ing, 413; report, 1002 
Personnel assigned to USIA, 573 
Problems and need for public support, address (Cabot), 

353 
Resignation of Warren Lee Pierson as U. S. delegate to 

Tripartite Commission on German Debts, 69 
Role in diplomacy, address (Russell), 207 
Security program, 169, 469 

Selection Boards, meeting and membership, 529 
Tributes to, 263, 287, 353, 360, 722 

Wriston report, correspondence (Dulles, Wriston), 1002 
Foreign Service Institute, strengthening, 1003 
Foreign students in U. S. See Educational exchange 
Foreign trade. See Trade 
Formosa. See China, Republic of 
Four-power meeting, Berlin. See Foreign Ministers' 

Meeting 
France : 

Cameroons, administration as trust territory, 336, 718 
Cherbourg, Memorial Day ceremonies, 959 
Disarmament : 

Efforts in U. N., 986 

Member, U. N. Disarmament Subcommittee, 687, 688 
East- West trade talks with U. S. and U. K., 563 
European Defense Community, position on. Bee Euro- 
pean Defense Community 
Foreign Ministers' Meeting in Berlin. See Foreign 

Ministers' Meeting 
Freight handling, study of U. S. methods under techni- 
cal aid program, 272 
French West Africa, International Bank loan, 992 
Geneva Conference. See Geneva Conference 
Germany : 

Efforts to restore interzonal freedom of movement, 

508, 879 
Patent Appeal Board, membership, 913 
Germany, East, joint declaration on Soviet claim for 

"sovereignty" of, 588 
Indochina. See Indochina 
Jordan A^alley project, draft resolution in Security 

Council, 58, 59, 297 
Military talks with U. S., 948 
Moroccan situation, addresses : Howard, 332 ; Jenkins, 

632 ; Sanger, 213 
Normandy, anniversary of Allied landing, statement 

(Eisenhower), 959 
President, election, 47 

1024 



France — Continued 
Togoland, administration as trust territory, 716, 718 
Tribute to fighting forces (Lodge) («ee also Indochina: 

Dien-Bien-Phu), 747 
Tunisian situation, address (Howard), 332 
U. S. economic and technical aid, 272, 491, 641 
Free enterprise system, American (see also Private enter- 
prise), remarks (Dulles, Eisenhower), 837 
Free world imity, maintenance of, statements (Dulles), 

583, 921 
Freedom, challenge to, address (Dulles), 779, 988 
Freedom, individual, basic philosophy of U. S., statement 

(Waugh), 427 
Freedom, influence of business on, remarks (Dulles, Eisen- 
hower), 837 
Freedom and education, address (Eisenhower), 899 
Freedom and human rights, message to Human Rights 

Commission (Eisenhower), 374, 397 
Freight handling, French study of U. S. methods, 272 
French, John C, designation in State Department, 774 
French West Africa, International Bank loan, 992 
Fukuryu Mam, Japanese ship, radioactivity from Mar- 
shall Islands detonation, 466, 598 
Fulbright Act. See Educational exchange program 

Gardner, Arthur, address on U. S.-Cuban industrial co- 
operation, 158 
GATT. See Tariffs and trade, general agreement on 
Gaza, Arab refugee problem, 96, 97, 99, 553 
General Assembly, U. N. (see also United Nations) : 
Burma, evacuation of foreign forces, statements 

(Carey), 32 
Documents, listed, 34, 67, 131, 174, 526, 607, 715, 888 
Germ warfare charges against U. S. by Communists, 

disproval, 976 
Increase in powers (see also "Uniting for Peace" reso- 
lution), 252, 253, 395, 644 
Indian attempt to reconvene 8th session, 256 
Moroccan situation, action on, 332 
Palestine question, action on. See Jordan River and 

Palestine question 
Relationship to Administrative Tribimal, request for 
advisory opinion of Court in U. N. awards case, 34, 
199, 482, 963 
Trusteeship problems, resolutions on, 719 
Tunisian situation, action on, 332 
U. S. representatives at 8th session, list of statements, 

34 
Voting procedure, proposed changes, 172 
Geneva Conference (1954) : 

Berlin quadripartite communique providing for confer- 
ence, 317, 347 
Chinese students in U. S., statement by U. S. delegation, 

949 
Dean, Arthur H., unavailability for Geneva Conference, 

397 
Indochina phase, discussions for restoration of peace: 
Addresses, statements, etc. : Dulles, 346, 513, 739, 947 ; 

Eisenhower, 740 
Armistice proposals, French : 

Statements: Dulles, 744, 782; Smith, 784 
Text, 784 

Department of State Bulletin 



Geneva Conference — Continued 

Indochina phase, discussions for restoration of peace — 
Continued 
Armistice proposals, Viet Minh, statement (Dulles), 

781 
Basic issues, statement (Smith), 942 
Consultations and joint statements, U. S.-U. K. and 

U. S.-French, 500, 622, C23, 668 
Participants, statement (Smith), T83 
Viet Minh and Communist charges against U. S., 
statements (Smith), 783, 942 
Korean phase : 

Addresses, statements, etc. : Dulles, 542, 668, 669, 704, 
739, 947 ; Eisenhower, 740 ; Jenkins, 626, 627 ; Key, 
395, 977; Martin, 543; McConaughy, 403, 404; Mur- 
phy, 432, 475; Smith, 915, 940 
Conference between President Rhee and Ambassador 

Dean regarding, 70S 
Foreign Ministers' Meeting, Berlin, proposals for 

political conference, 317, 318, 345, 346, 347, 404 
Free elections : 

North Korean proposals, statement (Smith), 940 
South Korean proposals, 918 
Invitations, 347 
Sixteen-nation declaration, 973 
Objectives : 

Addresses, statements, etc. : Dulles, 317, 343, 346, 513, 
542, 590, 622, 623, 668, 669, 704, 739; Eisenhower, 
703, 740; Jenkins, 860; McConaughy, 404, 405; 
Smith, 744 
Results, statements (Dulles), 781, 924, 947, 990 
Thai appeal to U. N. for peace observation mission, ques- 
tion of effect on Conference, 936 
U. S. citizens detained in Communist China, discussions 

for release of, 949, 950 
U. S. Delegation, 669, 670 
Geneva conventions on treatment of prisoners of war, 
wounded and sicli, and civilians (1949) : 
Address (Phleger), 201 
Current actions on, 773, 884, 1001 
Genocide convention : 

Soviet ratification deposited, 884 
Summary of action on, 882 
GeograiJhical misconceptions, address (Boggs), 903 
Georgescu boys, freed by Rinnania, (540 
Gerig, Benjamin, article on African trust territories, 710 
Germ warfare charges by Communist.s against U. S., dis- 

proval, 724, 976, 986 
German Debts, Tripartite Commission for, completion of 

work and resignation of U. S. delegate, 69 
Germany : 
Berlin : 

Economic reconstruction in West Berlin, article 

(Woodward), 584 
Foreign Ministers' Meeting. See Foreign Ministers' 
Meeting 
Czech flier, request for asylum in U. S. zone, 319 
Democratic future for, address (Conant), 750 
Educational exchange program with West Germany, 5th 

anniversary, 272 
EDC participation : 

Desirability of, 109, 227, 580, 922 



Germany — Continued 

EDC ijarticipation — Continued 
Ratification of EDC treaty, 554 
Soviet views, 758 
Foreign policy documents, 191S-Ji5, 8th volume, released 

by State Department, 1005 
Free elections and unification, proposals for. See For- 
eign Ministers' Meeting 
Interzonal freedom of movement. Allied efforts to re- 
store, 508, 879 
Korea, Red Cross hospital for, 270, 568 
NATO participation, question of, 561, 562 
Occupation forces, Soviet proposals for withdrawal. 
Addresses and statements : Dulles, 268, 315 ; McCon- 
aughy, 403 
Draft proposals, 270 
Patent Appeal Board, establishment by Allied High 

Commission, 913 
Rearmament {see also European Defense Community 
and Foreign Ministers" Meeting), addresses: Bowie, 
141 ; Dulles, 5, 0, 109 : Morton, 292 
Refugees : 

East German, flight to the West, 206, 225, 754, 787, 825 
Migration to U. S. under Refugee Relief Act, 799, 800 
Securities : 

Belgian securities in, Belgian registration require- 
ments, 673 
Restoration of U. S. trading in, 159 
Soviet assassination plots, 671 
Soviet claim of "sovereignty" for East Germany, 511, 

588, 670, 825 
Soviet objectives, address (Conant), 754 
Soviet system for "free" elections, 224, 266, 344 
Treaties, agreements, etc. : 

EDC treaty, and convention on relations with Federal 

Republic, ratification Ity Federal Republic, 554 
German external debts, agreement on, 160 ; current 

actions, 693, 733 
Red Cross hospital for Korea, agreement between 

U. S. and Federal Republic, 270, 568 
Relations between the three powers and the Federal 

Republic, ratification deposited, 653 
Tax treatment of armed forces in Germany, ratifica- 
tion deposited by Federal Republic, 653 
Unification. See Foreign Ministers' Meeting 
U. S. food parcels for East Germany, 489 
Giacehero, Enzo, remarks upon U. S. loan to European 

Coal and Steel Community, 672 
Gibson, Hugh, statement at 7th session of Intergovern- 
mental Committee for European Migration, 994 
Gift-tax convention, U. S. and Australia, entry into force, 

22 
Gillilland, Whitney, member. War Claims Commission, 24 
Global relations of the U. S., article (Boggs), 903 
Gold Coast, self-rule, 336, 717, 718 
Oottivfilfl, Poli.'h ship, U. S. rejection of Polish charge of 

interception, 824 
Governors, U. S., visit to Korea, 273, 836 
Grant-aid. See Mutual security and assistance programs 
Greece : 

Air and naval bases, U. S., Soviet protest, 277 



Index, January fo June 1954 

358953—55 3 



1025 



Greece — Continued 
Border disturbances : Albanian, 276« ; Bulgarian, 276 ; 

U. N. observation, 978 
Children, repatriation, 276 

Cyprus, statement in U. N. by Greek representative, 276 
Export-Import Bank loan, 370 
Geneva Conference, invitation to, 347 
Greece and Free World Defense, address (Byroade), 

439 
King and Queen, visit to U. S., 276 
Migration to U. S. under Refugee Relief Act, address 

(Auerbach), 797 
NATO membership, 277, 440, 441 
Treaties, agreements, etc. : 

Postal convention, universal, ratification deposited, 

803 
Tax conventions with U. S., income and estate, entry 

into force and proclaimed, 124, 525 
Tripartite Balkan Pact (with Turkey and Yugo- 
slavia ) , addresses and articles on, 248, 276, 365, 441 
U. S. aid, 366, 367, 439, 440, 074 
Green, Senator Theodore F., member, U. S. delegation, lOtli 

Inter-American Conference, 383, 430 
Grevensteiu, J. A. U. M. van, conferences on Netherlands 

refugee problem, 714 
Grew, Joseph C, opinion on effect of security program on 

Foreign Service, 169 
Gross, Ernst, memorandum as Swiss member, NNSC, 

Korea, 941, 944 
Gross, John E., member, U. S.-Mexican Migratory Labor 

Commission, 565 
Gruber, Karl, credentials as Austrian Ambassador to U. S., 

443 
Guatemala : 

Communism in : 
Address and statement : Dulles, 873, Smith, 360 
Charges of U. S. intervention, 251 
Foreign ministers, question of meeting to consider, 

950, 981 
Guatemalan position on international communism, 

419, 420)1, 429, 634, 834, 873, 938 
Revolt against Communist intervention, Department 
statements, 981 
Expropriation of land of United Fruit Co., U. S. claim 

and proposed arbitration, 678, 938, 950 
Honduras, Communist activities in, 801 
Soviet arms shipment to, 835: statements (Dulles), 

874, 938, 950 
U. S. Ambassador, confirmation, 298 
Guinea, Spanish, application of World Meteorological Or- 
ganization convention to, 733 
Gunewardene, R. S. S., credentials as Ambassador of 
Ceylon to U. S., 443 

Hagerty, James C, statements : 
Foreign Economic Policy Commission report, 195 
Foreign policy conference at White House, 79 
Hahn, Mrs. Lorena B., statements in U. N. on status of 

women, 646 
Haile Selassie I. See Ethiopia 
Haiti : 

GATT, third protocol of rectifications and modifications 
to texts of schedules, signed, 852 

1026 



Haiti — Continued 

Independence, se.squicentennial, 53 

Visual and auditory materials, agreement for circula- 
tion of, acceptance deposited, 965 
Halibut fishery convention with Canada, 525 
Halpern, Philip, designation on U. N. Minorities Sub- 
commission, 59 
Hammarskjold, Dag, annual report on U. N., 275 
Haya de la Torre asylum case, Colombia and Peru, 634 
Health Organization, World. See World Health Organi- 
zation 
Heltberg, A. G., remarks. Memorial Day ceremonies at 

Cherbourg, 959 
Hemisphere projections, article (Boggs), 903 
Hensel, H. Struve, address on foreign trade and military 

policy, 919 
Hickeulooper, Senator Bourke B., member, U. S. delega- 
tion, 10th Inter-American Conference, 383, 430 
Hill, Robert C, confirmation as U. S. Ambassador to 

Costa Rica, 298 
Hilles, Charles D., Jr., appointment as special legal ad- 
viser to U. S. High Commissioner for Germany, 694 
Ho Chi-Minh, activities in Indochina, 539, 543, 582, 740, 

924, 937 
Hoagland, Warren E., U. S. representative, negotiations 

on surplus projierty payments, 338 
Holland, Henry F. : 

Addresses : Economic relations with Latin America, 

764, 953 ; Pan American Day, 675, 677 
Assistant Secretary for Inter-American Affairs, con- 
firmation, 413 
Delegate, 10th Inter-American Conference, 383, 43C 
Member, Railway Congress commission, 963 
Honduras : 

Communist-inspired strike, 801 
Puerto Cortes, U. S. consular agency closed, 654 
Treaties, agreements, etc. : 
Maritime Consultative Organization, Intergovern- 
mental, signed, 773 
Military assistance agreement with U. S., 8.51, 1001 
Wheat agreement, international, acceptance depos- 
ited, 851 
U. S. Ambassador, confirmation, 337 
Hong Kong : 

U. S. emergency relief for fire victims, 87 
U. S. export policy, 112, 157 
Hoover, Herbert, Jr., study of Anglo-Iranian oil dispute, 

214, 280 
Hospital for Korea, German Red Cross, agreement, 270, 

568 
Ilotchkis, Preston : 
Statements in U. N. : 

Forced labor behind the Iron Curtain, 804 
Freedom of information, 682 

U. S. economic policy toward underdeveloped coun- 
tries, 725 
Tribute to, 849 

U. S. representative, ECOSOC, confirmation, 3.37 
Housing, resolutions of 10th Inter-American Conference, 

636 
Howard, Harry N., articles on U. S. policy during 1953 
in Near East, South Asia, and Africa, 274, 328, 365 
Hubbard Medal replica award in Everest conquest, 472 

Deparfment of State Bulletin 



Hughes, William P., designations in State Department, 

774, 0(")6 
Hull, Cordell, recommendations to control relief contribu- 
tions (1941), .3,S4 
Hull, Gen. John E., efforts for release of nonrepatriated 
prisoners of war, Korea : 
Exchange of correspondence with chairman, NNRC, 90, 

113, 115, 153, 154 
Statements, 90, 152 
Human rights and fundamental freedoms : 
Address (Lord), 372 
Declaration of Caracas, 425, 634, 639 
Message to Human Rights Commission (Eisenhower), 

374, 397 
Resolutions of 10th Inter-American Conference, 636, 637 
Statements at Caracas (Dulles) , 422, 423, 425 
Violation (see also Forced labor), persecution of Jews 
in Rumania, 914 
Hungary : 

Mindszenty imprisonment, 47, 273 

Sugar agreement, international, deposit of accession, 525 
U. S. plane incident (1951), U. S. application to Inter- 
national Court of Justice, 449, 450 
Hvasta, John, release from Czech imprisonment : 
Department statement, 251 
Letter and reply (Hvasta, Dulles), 478 
Message (Dulles), 273 
Hydrogen-bomb tests in the Pacific. Sec vnder Atomic 
energy 

Iceland : 

Defense agreement with U. S., agreement on implemen- 
tation of, 884 
Fisheries dispute with U. K., address (Phleger), 200 
Iguchi, Sadao : 
Credentials as Japanese Ambassador to V. S., 465 
Guest of honor, Japan Society meeting, 513, 514 
ILO. See International Labor Organization 
Immigration into Israel, address (Byroade) and Israeli 

protest, 711, 761 
Immigration into U. S. (see also Refugees and displaced 
persons) : 
Administration of immigration and nationality laws, 

Federal regulations, 23 
Netherlands, 714, 798 

Refugee Relief Act, operation, address ( Auerbacli ) , 797 
U. S. policy, address (Maney), 599 
Imports (see also Trade) : 
Commercial samples and advertising material, inter- 
national convention to facilitate importation, Indo- 
nesian accession deposited, 965 
Europe, annual economic survey by ECE, 608 
Japan. See Japan : Trade relations 
U. K. Token Import Plan, extension, 123 
U. S. (see also Tariff policy, U. S.) : 
Coffee, 257 
Rye : Investigation, 22 : proclamation establishing 

quota, 567 
Scissors and shears, duty not to increase, 840 
Tung oil and nuts, investigation of effect on price- 
support program, 839 
Wool, statement (Eisenhower) , 381, 393 

Index, January to June 7954 



Income tax : 

Conventions for avoidance of double taxation. See Dou- 
ble taxation 
Pakistan, exemptions for visiting businessmen, 1.58 
India : 

Air transport services agreement with U. S., termina- 
tion, 525, 526 
Atomic control, position, 687, 688, 689 
Educational exchange with U. S., 596 
General Assembly, U. N., attempt to reconvene 8th 

session, 256 
Growth of freedom in, address (Allen), 864 
International Bank loans, 368, 371, 396, 828 
Kashmir problem. See Kashmir 

Military Tribunal Far East, protest against exclusion 
from participation in decisions regarding persons 
sentenced by, 802 
Pakistan, U. S. military aid, Indian objection to : 
Addresses: Allen, 866; .Ternegan, 446, 447, 448, 593, 

594, 595 
Letter explaining (Eisenhower to Nehru), 400, 447, 
594 
Prisoners of war, Korea, custody for repatriation. See 

Prisoners of War, Korea 
Riband Dam project, 597 
Tariff concessions, GATT, request for renegotiation, 

406 
U. N. trust territories, position on, 717, 720 
U. S., relations with, address (Jernegan), 593 
U. S. private investment, .596, 731 
U. S. technical and economic aid : 
1941-53, 366, 367 

Addresses : Jernegan, 596 ; Murphy, 433 
Budget recommendations to Congress for 1955 : 
President's recommendations, 147, 401 
Statements : Allen, 7."i9 ; Dulles, 580, 923 
FOA report, 485 

Locust and malaria control, .597, .598 
Railway system, 88 
Riband Dam project, 597 
Steel agreement, 156, 369 
Technical training centers, 597 
Indochina, Associated States, progress toward independ- 
ence, 359, 432, 539, 582, 742, 863, 924, 937, 972 
Indochina, Communist aggression in (see also Geneva 
Conference: Indochina phase) : 
Cambodia, atrocity by Viet Minh : 
Cambodian note and U. S. reply, 746 
Statement (Smith), 783 
Collective defense (see also Asia: Collective security) : 
Address and statements (Dulles), .540. 742, 782, 862, 

948, 972 
London and Paris conversations : Joint statements, 
U. S.-U. K. and U. S.-French, 622; statements 
(Dulles), 590, 623, 668, 743, 972 
Dien-Bien-Phu : 

Defenders of, tributes to: Dulles, 512, 582, 590, 668, 
739, 742, 743 ; Eisenhower, S42 ; Lodge, 748 ; Smith, 
590 
Fall of, exchange of messages (Eisenhower-Coty and 

Eisenhower-Bao Dai), 745, 835 
Wounded, evacuation, 783 

1027 



Indochina, Communist aggression in — Continued 
Restoration of peace, attempts for. See Geneva Con- 
ference : Indochina phase 
United Nations, question of action by, 803, 936 
U. S. financial and material aid : 
FOA report, 487 

Statements : Dulles, 512, 582, 742, 744, 784, 924, 972 ; 
Nixon, 12 ; Smith, 360, 589 
U. S. policy : 
Addresses, statements, etc. : Dulles, 43, 108, 363, 462, 
463, 512, 539, 582, 742, 924, 937, 948, 972; Eisen- 
hower, 702; Elbrick, .560; Jenkin.s, 626, 860; Mur- 
phy, 432 ; Smith, 3.59, 589 
Letter of President Eisenhower to President Coty of 

France, 990 
Messages of President to Congress, 76, 144, 147 
U. S. forces, clarilicatiim of statement of Vice Presi- 
dent Nixon, 623 
Indonesia : 

Convention to facilitate importation of commercial 
samples and advertising material, accession depos- 
ited, 965 
Member of International Monetary Fund and Interna- 
tional Bank, 640, 803 
U. S. Ambassador, confirmation, 298 
U. S. technical aid, 4:32 
Information, freedom of, addresses and statements ; Eisen- 
hower, 699 ; Hotchkis, 082 ; Lodge, 849 
Information, U. S. Advisory Commission on, members, 482 
Information Agency, U. S., overseas program : 

Addresses: Eisenhower, 701; Streibert, 205; Wood- 
ward, 236 
Exchange activities of State Department, coordination 

with, 499, 502, 572 
Foreign Service personnel, functions regarding, 573 
President's budget recommendations to Congress, 145, 

146, 147, 148 
Report to Congress, 414 
Inspection Service, Department of State, 774 
Inter-American Conference, 10th, at Caracas : 
Agenda, 130 

Declaration of Caracas, 425, 634, 639 (text) 
Declaration of solidarity against international Com- 
munist intervention : 
Addresses : Dreier, 834 ; Holland, 676 
Amendments to in-oposed declaration, 423, 424, 425, 634 
Pravda editorial, 380 
Statements (Dulles), 419, 423, 429, 466, 581, 873, 923, 

938 
Text, 420, 638 
Economic problems of the Americas, addresses and 
statements : Dulles, 425, 426 ; Holland, 764, 765 ; Smith, 
360 ; Waugh, 427 
Intei'-American unity, address (Dulles), 379 
International communism (see also Declaration of soli- 
darity, supra) : 
Definition and objectives (Dulles), 379, 419 
Guatemalan position, 419, 420m, 429, 634, 834, 873, 938 
Results, addresses, statements, etc. : Bowdler, 634 ; 

Dulles, 429 ; Holland, 676 
Site of 11th Inter-American Conference named, 038 
U. S. delegation, 383, 430 



Inter-American cultural relations, convention for promo- 
tion of ; 
Revision, 037, 677 
Signatories, 803 
Inter-American Defense Board, work of, 833 
Inter-American Economic and Social Council, recommen- 
dations of 10th Inter-American Conference, 636, 676 
Inter-American Juridical Committee, functioning and com- 
position, 638 
Inter-American treaty of reciprocal assistance (Rio Pact) : 
Addresses, statements, etc. (Dulles), 312, 379, 425, 460, 

466, 874 
Basis for collective security in the Americas, addresses: 

Dreier, 830 ; Wainhouse, 985 
Pattern for NATO, address (Murphy), 785 
Question of invocation in Guatemalan situation, state- 
ment (Dulles), 874 
Inter-American Tropical Tuna Commission, appointment 

of U. S. commissioner, 040 
Intergovernmental Committee for European Misration: 
6th session: Article (Warren), 26; U. S. delegation, 29 
7th session: Article (Warren), 994; U. S. delegation, 691 
International Bank for Reconstruction and Development : 
Functions, 382, 606, 728 
Indonesia, member, 640, 803 

Loans: Australia, 480; Brazil, 24; Ecuador, 326; El 
Salvador, 396, 828; Ethiopia, 371, 553, 731; French 
West Africa, 992; India, 368, 371, 396, 828; Iraq, 371, 
553 ; Latin America, 237, 769 ; Norway, 640 ; Pakistan, 
371, 991 ; Turkey, 286, 371, 407, 551, 553 
Report as of Dec. 31, 1953, 296 
Report for 9 months ended Mar. 31, 195!,, 761 
U. S. contributions to capital of, 370 
International Civil Aviation Organization (see also North 

Atlantic ocean stations ) , work of, 828 
International Claims Commission, U. S., 401, 811 
International Court of Justice : 
Address (Phleger), 199, 200 
Statute, parties to : Australia, 613 ; Japan, 733 ; San 

Marino, 613 
U. N. awards case, advisory opinion requested on rela- 
tionship between General Assembly and Administra- 
tive Tribunal, 34, 199, 482, 963 
U. S. aircraft case against Hungary and Soviet Union 
(19.51), U. S. application to Court, 449, 450 (text) 
International Joint Commission (U. S. and Canada) : 
Libby Dam, U. S. application for construction, 878 
Niagara Falls remedial project, 954 
International Labor Conference, 37th session, U. S. dele- 
gation. 929 
International Labor Conference, Governing Body : 
Soviet membership denied, 980 
U. S. representative to meeting, 850 
International Labor Organization : 

Equal pay for men and women, report on, 647, 648, 649 

Forced labor report, U. N. See Forced labor 

Salaried Employees and Professional Workers, U. S. 

delegation to 3d session, 772 
Soviet reversal of policy toward, 828, 829, 980 
International law : 

Possibility of U. N. Charter revisions, statement 

(Dulles), 172 
Recent developments in, address (Phleger), 196 



1028 



Department of State Bulletin 



International Law Commission, address (Phleger), 199 
Interuatloual Materials Conference, termination, 60 
International military headquarters, protocol on status of, 

status and actions on, 694, 1001 
International Monetary Fund, Indonesian membership, 

640, 803 
International organizations and conferences (see also 
suf)jcct), calendar of meetings, 25, 166, 334, 527, 680, 
885 
International Organizations Immunities Act, extension of 

benefits to OAS, 951 
International Telecommunication Union, address (Black), 

S3 
International unity, address (Dulles), 935 
Investment of private capital abroad : 
Advantages, 486, 727 
KCOSOC resolution recommending measures to attract, 

730h, S27, 849 
European Coal and Steel Community, future needs, 671 
Impediments to, 728, 789 

Latin America, addresses and statements : Bohan, 877 ; 
Bowdler, 635; Cabot, 50, 356, 357; Dulles, 382, 427; 
Gardner, 159; Holland, 767, 768, 769, 770; Hotchkis, 
728, 731; Smith, 360; Waugh, 428, 429; Woodward, 
235, 237 
Middle East, impediments, 789 
Role of government, address (Holland) , 766 
Spain, address (Dunn), 478 
Turkey, new legislation, 285»i, 486, 551 
U. S. encouragement, statement (Hotchkis), 729 
U. S. investment : 
Canada, 51, 121, 381 
Earnings (1952), 120 
India, 596 

Latin America, 121, 159, 285, 360, 382, 728, 731, 769, 877 
Liberia, 728 

Soviet false charges, 730 
Spain, 478 

Tax incentives. See Tax incentives 
Venezuela, 728 
Investments : 
Berlin, need for investment aid, 585 
Japan, guaranty of investments, agreement with U. S., 

518, 519, 524 (text), 570, 613, 773 
Korea, agreement for financing the investment pro- 
gram, 66 
Iran : 
Anglo-Iranian oil dispute: 
Developments in 1953, article (Howard), 279 
U. S. eftorts to settle, 214 
Export-Import Bank loan, 370 

German external debts, agreement on, ratification de- 
posited, 693 
Oil negotiations with private companies, 583 
U. S. economic, technical, and military aid, 147, 280, 
366, 367, 432, 433, 488, 551, 552, 553, 582 
Iraq : 
International Bank loan, 371, 553 
U. S. economic and technical aid, 367, 551, 962 
U. S. military assistance, agreement for, 772 

Index, January fo June 7954 



Ireland : 

Consular convention and supplementary protocol with 

U. S., exchange of ratifications and entry into force, 

802, 852 
German external debts, agreement on, ratification de- 
posited, 693 
Islamic Culture, Colloquium on, 211, 504 
Isle of JIau, application of universal postal convention to, 

693 
Israel : 
Ambush of Israeli bus in Negev, 554 
Arab refugee problem, position on (see also Arab refu- 
gees and Jordan River) , 95, 96, 100, 630 
Arab States, dispute with. See Palestine question 
Export-Import Bank loan, 370, 553 
Immigration, 711, 761 
Jordan Valley project. See Jordan River 
Shipping restriction.s, Egyptian, complaint regarding, 

569 
Treaty of friendship, commerce, and navigation with 

U. S., exchange of ratifications and entry into force, 

442, 803 
U. S. Ambassador, confirmation, 694 
U. S. economic and technical aid, 147, 212, 330, 367, 368, 

551, 552, 713 
U. S. policy during 1953, addresses : Howard, 275, 328 ; 

Sanger, 210, 211, 212, 214 
Italy : 

Atomic energy exhibition, 982 

Migration to U. S. under Refugee Relief Act, address 

(Auerbach), 797 
Monetary gold case, 199 
Trieste, Briti.sh-U. S. Zone, report on administration of, 

124 
U. S. economic aid, 82, 714 ; continuance under Battle 

Act, 491 

Japan : 
Ambassador to U. S. : 
Credentials, 465 

Guest of honor, Japan Society meeting, 513, 514 
Atomic disease, expert on, visit to U. S., 791 
Atomic fall-out from Marshall Islands detonation, 

harmlessness, 549, 598 
Atomic injuries to seamen, U. S. investigation, 466, 598 
Communist objective, addresses (Murphy), 430, 431, 515 
Economic aid during occupation, negotiations for settle- 
ment, 770 
Export-Import Bank credit, 57 
Fisheries Commission, International North Pacific, 

meeting, 165, 297, 327, 515 
Fisheries disputes with Australia and Korea, address 

(Phleger),200 
International Court of Justice, party to Statute, 733 
Prime Minister, visit to U. S., postponed, 918 
Progress and prospects, address (Murphy), 513 
Rearmament, address (Robertson), 231 
Ryukyu Islands (Amami-Oshima group), U. S. relin- 
quishment of treaty rights, 17, 515 

1029 



Japan — Continued 

Trade relations and economy : 

Addresses: Dulles, 971; Eisenhower, 603, 703; 
Jlurphy, 431, 516, 517 ; Robertson, 232 ; Waring, 293 
Commercial relations pending acces'Sion to GATT, 154, 
233, 514 
Treaties, agreements, etc. : 

Agricultural commodities. See Agi-icultural surpluses 
Claims arising from presence of U. S. and U. N. forces 

in Japan, protocol, signed, 613 
Commercial treaty with U. S., .514 
Double taxation convention with U. S., income and 

estate, .signed, 692, 733 
Economic arrangements agreement with U. S. and 
agreed official minutes, 518, 519, 524 (text), 613, 
773 ; question of Senate action, 570 
Investment.s, guaranty of, agreement with U. S., 518, 
519, 524 (text), 613, 773; question of Senate ac- 
tion, 570 
Mutual defense assistance agreement with U. S. See 

under Mutual defense treaties 
Peace treaty : 

Chile, ratification deposited, 852 
Persons sentenced by International Military Tribu- 
nal Far East, ludian protest against exclusion 
from participation in decisions regarding, 802 
Protocol, status of actions by country, 568 
Settlement of disputes arising under art. 15(a), 
agreement for : Chile, entry into force, 852 ; status 
of actions by country, 568 
Status of actions by country, .568 
Reduction of Japanese contributions under art. XXV 

of administrative agreement of Feb. 28, 1952, 693 
Return of equipment, arrangements with U. S., 518, 

522 (text), 613; question of Senate action, 570 
Status of U. N. forces in Japan, agreement regarding, 
and protocol for provisional implementation of 
agreement, signed, 613 
Technical missions to U. S., agreement, 568 
U. S. and U. N. forces in Japan, criminal jurisdiction, 

protocol, 514 
U. S. naval vessels, agreement for loan to, 929, 965 
Tuna industry, unharmed by radioactivity, 598 
United Nations, question of admLssion, 514 
U. S.- Japanese friendship, address (Robertson), 547 
U. S. policy in, addresses : Murphy, 430 ; Robertson, 229 
Jefferson, Thomas, address (Robertson), 149, 1.50, 152 
.Jenkins, Alfred le Sesne, U. S. China policy, addresses, 

624, 859 
Jernegan, John D., addresses : 
India, U. S. relations with, 593 

Middle East and South Asia, problem of security, 444 
Jerusalem ; 

Internationalization, 96, 630, 631 
Israeli Foreign Office, transfer to, 212, 328, 631 
Jews, persecution in Rumania, statement (Murphy), 914 
Johnson, U. Alexis : 

Peiping discussions for release of U. S. citizens in Com- 
munist China, 950 
U. S. Ambassador to Czechoslovakia, 298 

1030 



Johnston, Erie, mission to Near East to discuss Jordan 
Valley project (see also Jordan River) : 
Appointment, 98, 211 
Article (Howard), 368 
Proposals, analysis, 282, 789 
Resumption of negotiations, 913 
Jordan (see also Palestine question) : 
Ambassador to U. S., credentials, 24 
Arab refugee problem (.see also Jordan River), 96, 97, 

98, 552, 553 
Jordan Valley project. See Jordan River 
Legation in U. S. raised to Embassy, 24 
U. S. economic and technical aid : 

Grant economic assistance agreement, 1000, 1001 
Water development, 433, 551 

Wheat shipments, agreement for, .55 (text), 367, 489, 
552 
Jordan River : 
Diversion by Israeli, Syrian complaint in II. N. : 

Security Council draft resolution, 59 (text), 297»i 
Statements by U. S. representatives in U. N., .58, 297 
Project for development of valley : 
Addresses and articles : Dorsey, 552, 553 ; Howard, 

329, .330, 332, 368 ; Sanger, 211, 212 
Analysis (Johnston), 282, 789 

Refugee Survey Commission report (Dec. 19.53), 98 
Resumption of negotiations, 913 
Juliana, Queen of the Netherlands, gratitude for U. S. aid 

during floods, 142 
Juridical Committee, Inter-American, functioning and 

composition, 638 
Jurists, Inter-American Council of, address (Phleger), 197 

Kalijarvi, Thorsten V., statements : 
Copyright protection, 530 
Sugar agreement, international, 493 T 

Kashmir, Indian charge of Pakistan aggression : i 

Address (Jernegan), 446 | 

Direct negotiations, article (Howard), 333 f 

U. N. observation of disturbances, 979 
Kelly, H. H., article on international motor traffic agree- 
ments, 117 
Key, David McK. ; 1 

Addresses : | 

Advancing U. S. economic policies through the U. N. 

826 
Peaceful change through the U. N., 394 
Confirmation as Assistant Secretary of State, 483 
Khokhlov, Nikolai, assassination mission, 671, 715 
Kirk. Admiral Alan G., on Special Committee for the 

Balkans, 978 
Kirkpatrick, Evron M., designation in State Department, i 
814 ' 

Kootenai River, U. S. application for construction of dam 

on, 878 I 

Korea : I 

Armistice agreement : 
Communist allegations against U. N. Command, refu- 
tation by Swiss and Swedish members of NNSC : 
Address (Key), 977 

Memorandum of Swedish and Swiss members, 944 
Statement (Smith), 941 

Department of Sfafe Bulletin 



Korea^Contiuued 
Armistice agreement — Continued 

Communist violations, 545, 546, 652, 860, 941 ; letter 

(Laeey toNNSC),689 
Negotiations, signing, and implementation, U. N. Com- 
mand reports, 30, 31, 32, 61, 92, 652 
Prisoners of war, provisions regarding. See Prison- 
ers of war 
Statement (Dulles), 705 
Communist aggression, addresses, etc. : Dulles, 181, 182, 
704 ; Jenkins, 860 ; Lodge, 723, 724 ; Martin, 545 ; Mur- 
phy, 515; Smith, 915 
Fisheries dispute with Japan, address (Phleger), 200 
Free elections, efforts for. See Geneva Conference 
Geneva political conference. See Geneva Conference 
Germ warfare charges by Communists against U. S., 

976, 986 
Political conference (see also Geneva Conference) : 
Chinese Communist obstructions, 181, 182, 404 
Panmunjom negotiations for, addresses : Dean, 15 ; 

Martin, 546 ; McConaughy, 404 ; Nixon, 12 
Prisoners of war, unrepatriated, question of consid- 
eration at, 113 
Prisoners of war. See Prisoners of war, Korea 
Relief and rehabilitation, U. S. aid : 
Agreement on strengthening Korean economy, 65 
Appropriations for 1955 : Message to Congress (Eisen- 
hower), 147; statements (Dulles), 581, 924 
FOA authorization, 093 
FOA report, 488 

Visit of U. S. Governors to observe, 273, 836 
Voluntary aid, 388, 389 
Results of war in, address (Robertson), 149 
Sixteen-nation declaration at Geneva, 973 
Treaties, agreements, etc. ; 

Economic reconstruction and financial stabilization, 

agreement with U. S., 65 
Mutual defense treaty with U. S., transmittal to 
Senate with report and statement (Dulles), 131; 
Senate approval, 208 
U. N. Command, Communist allegations of Armistice 
violation, refutation by Swedish and Swiss members 
of NNSC, 041, 044 
U. N. Command operations, reports : 
70th-73d (May 16-July 15, 1953), 30 
74th (July 16-31, 1953), 61 
75th (Aug. 1-15, 1953), 92 
76th (Aug. 16-31, 1953), 652 
U. N. observation group in, 979 

U. N. operations in, contributions to, 31, 255, 452, 723, 
724, 930; Ethiopian, 869, 870; German hospital, 270, 
568 ; Turkish, 248 ; U. S., 255, 452 
U. S. policy, addresses, etc., on: Dulles, 107, 108, 462; 
Eisenhower, 76; Morton, 291, 363; Robertson, 149; 
Smith, 359, 915 
U. S. troops ; 
Reduction, addresses and statements ; Dulles, 42, 462 ; 

Eisenhower, 14 ; Morton, 291 ; Smith, 264, 359 
Withdrawal prior to 1950, analogy to German situa- 
tion, 315 
Unity and independence, Korean people's right to, ad- 
dress (Smith), 915 

Index, January to June 1954 



Korea, People's Democratic Republic of (North Korea) ; 
Geneva Conference, invitation to, 347 
U. S. export policy. 111, 112, 194, 563, 845 

Kyrou, Alexis, statement in U. N. on repatriation of 
Greek children, 276 

Labor : 

Able seamen, convention on certification of, U. S. ratifi- 
cation, 693 

Forced labor. See Forced labor 

Labor-management relations, address (Gardner), 159 

Migrant labor agreement, U. S. and Mexico. See under 
Mexico 

Resolutions of 10th Inter-American Conference, 636 
Labor Conference, International. See International La- 
bor Conference 
Labor Organization, International. See International La- 
bor Organization 
Lacey, Maj. Gen. Julius K. : 

Letter on Korean Armistice agi-eement violations, 689 

Statement on transfer of custody of prisoners of war 
in Korea, 295 
Laos; 

Communist aggression. See Indochina 

Independence, progress toward, 359, 432, 539, 582, 742, 
784, 863, 924, 948, 972 
Latin America (see also individual countries) : 

Air travel to, 234 

Anti-U. S. propaganda in, 506 

Archeology, exhibition of, 677 

Colonialism, resolutions of 10th Inter-American Con- 
ference, 634 

Communism, threat of (see also Inter-American Confer- 
ence), addres.ses ; Cabot, 51; Dulles, 379; Woodward, 
235, 237 

Economic problems, addresses : Bohan, 875 ; Dulles, 380 

Economic relations with U. S., addresses and state- 
ments ; Cabot, 48, 356 ; Dulles, 425, 426 ; Holland, 764, 
953 ; Waugh, 427 ; Woodward, 237 

Educational exchange program, 506 

FOA directors' meeting, 121 

Foreign Relations volume on American republics, re- 
leased, 965 

Inter-American Conference, 10th. See Inter-American 
Conference 

Investment of private capital in. See under Investment 
of private capital 

Maritime development, 875, 876 

Nonintervention policy of U. S., development, 356, 831 
832 

OAS. See Organization of American States. 

Pan American Day : 

Addresses (Holland), 675, 677 
Proclamation, 5(54 

Pan American Railway Congress, VIII, accomplish- 
ments, 167 

Pan American Railway Congress Association, member, 
U. S. national commission, 963 

Pan American Sanitary Organization : 
Health program, 238 

U. S. delegation to 22d session of Executive Com- 
mittee, 692 

1031 



Latin America — Continued 

Pan American Union, relationship to OAS, 051 
Private enterprise in, address (Woodward) , 234 
Relations witli U. S., addresses: Cabot, 356; Murphy, 

785 
Security in the Americas, organization of, address ( Drei- 

er), 830 
Spirit of inter-American unity, address (Dulles), 381 
Technical aid, U. N., 237, 238 
Technical aid, U. S. See Mutual security and assistance 

programs 
U. S. voluntary relief, article (Ringland) , 383 
Latvia, Republic of : 

Charge in U. S., letters of appointment, 882 
Soviet absorption, addresses and statements: Dulles, 
267, 269 ; Merchant, 819, 820 ; Smith, 942 
Lawson, Edward B., confirmation as U. S. Ambassador to 

Israel, 694 
Lay, S. Houston, member. Patent Appeal Board, Germany, 

913 
Lebanon (see also Palestine question) : 

Arab refugee problem, 96, 97 

Jordan Valley project. See Jordan River 

U. S. economic and technical aid, 553, 1001 
Legislation, foreign policy, listed, 102, 337, 483, 534, 571, 

633, 694, SIO, 825, 842, 925, 953, 999, 1000 
Lend-lease, reciprocal aid, surplus property, and claims, 

agreement with Belgium amending memorandum of un- 
derstanding regarding settlement for, 773 
Lend-lease vessels, U. S. efforts for return by Soviet Union : 

Agreement for return of 38 craft, 563, 613 

Exchange of notes and aides-memoires (1953), 44 
Le Sage, Jean, address, Niagara Palls Remedial Project, 

956 
Leverich, Henry P., designation in State Department, 1004 
Libby Dam, U. S. application for construction, 878 
Liberia : 

Export-Import Bank loan, 370, 731 

Geneva conventions on prisoners of war, etc. (1949), 
adherence deposited, 773 

Maritime Consultative Organization, Intergovern- 
mental, convention, signature, 773 

President, visit to U. S., 795 

U. S. economic aid, 369, 551 

U. S. private investment, 728, 731 
Libya, U. S. wheat shipments, 489 

Liechtenstein, agreement on German external debts, rati- 
fication deposited, 693 
Lithuania : 

Independence, 36th anniversary, 320 

Soviet absorption, addresses and statements : Dulles, 
267, 269 ; Merchant, 819, 820 ; Smith, 942 
Lleras Camargo, Alberto : 

Resignation as Secretary General of OAS, 637, 675 

Statement on Pan American harmony, 785 
Load line convention : 

Application to Federation of Malaya, 929 

Notification of accession of Nicaragua, 929 
Loans, U. N. See International Bank 



Loans, U. S. (see also Export-Import Bank) : 
European Coal and Steel Community : 

Negotiations and communique, 327, 562, 622, 671 

(text) 
Remarks at signing of agreement (Smith, Monnet, 
PotthofC, Giacchero), C72 
Near East (1953), 553 

Recommendations of Commission on Foreign Economic 
Policy, 190 
Lnckhart, Sir Robert Bruce, quoted, 263 
Locust control, India, 597 
Lodge, Henry Cabot, Jr. : 
Addresses, statements, etc. : 
Atomic energy, 687 

Atomic tests in Pacific trust territory, 886 
Charter review, 451, 644 
Economic and Social Council, work of 17th session, 

849 
EDC, importance to free world, 747 
Israel-Jordan dispute, 651 

Israeli complaint against Egyptian shipping restric- 
tions, 569 
Jordan Valley project, 58 
Moroccan and Tunisian situations, 332, 333 
Prisoners of war, Korea, unrepatriated, release, 153 
Technical assistance program, U. N., U. S. support, 

369, 370, 849 
Thai request for peace observation mission, 974 
United Nations, meaning to U. S., 252 
United Nations, record of accomplishment, 721 
Member, U. S. delegation, 10th Inter-American Confer- 
ence, 383, 430 
President's personal representative, anniversary of Nor- 
mandy landing, 959» 
"Long haul" concept of foreign policy, 3, 109, 263, 363, 462, 

559, 580, 922 
Lord, Mrs. Oswald B. : 

Address on right to freedom and self-determination, 372 
U. S. representative. Human Rights Commission, con- 
firmation, 337 
Lourie, Donold B., resignation from State Department, 374 
Luce, Mrs. Clare Booth, remarks at atomic energy ex- 
hibition in Rome, 982 
Luxembourg : 

EDC treaty, ratification, 621 

Geneva Conference, invitation to, 347 

Off-shore procurement program, agreement witli U. S. 

signed, 803 
U. S. Minister, confirmation. 298 

Macao, U. S. export controls, 157 
Malaria control, India, 598 
Malaya, Federation of : 

High Commissioner, inauguration, 914 
Load line convention, application to, 929 
Progi'ess against communism, statement (Dulles), 914 
Malenkov, Georgi M., address on Turkish-Soviet relations, 

278 
Malik, Charles, statements in Security Coimcil on Pales- 
tine question, 331, 332 
Maney, Edward S., address on U. S. immigration policy, 

599 
Manila conference of FOA directors, 333 



1032 



Departmenf of State Bulletin 



Mansure, Edmund F., announcement of expansion of nickel 
plant in Cuba, 122 

Mao Tse-tung, policies on China mainland, 544, 545, 624, 
625, 626, 807, 861 

Map projections, article (Boggs), 903 

Maritime Consultative Organization, Intergovernmental, 
convention on, current actions, 773 

Maritime policies {see also Ships and shipping), address 
(Bohan),875 

Marshall Islands, nuclear tests in. See Atomic energy : 
Hydrogen-bomb tests 

Marshall Plan, 189, 436, 557 

Martin, Edwin W., address on U. S. China policy, 543 

Masaryk, Jan, statement (Dulles), 421 

Mass-destruction weapons. See Atomic energy 

Massey, yincent, address before joint session of U. S. 
Congress, 762 

Materials Conference, International, termination, 60 

Mates, Leo, credentials as Tugoslav Ambassador to U. S., 
624 

Matthews, H. Freeman : 
Address on Foundations of American Attitudes, 434 
U. S. Ambassador to Netherlands, confirmation, 298 

Mayo, Dr. Charles W., disproval of Communist germ war- 
fare charges against U. S., 976 

Mazatl&n, Mexico, U. S. consulate to be closed, 852 

McConaughy, Walter P., addresses : 

Berlin Foreign Ministers' Meeting, significance, 402 
China, communism in, 39 

McConnell, Raymond A., member, U. S.-Mexican Migra- 
tory Labor Commission, 565 

McGilUvray, Sir Donald, inauguration as High Commis- 
sioner, Malaya, 914 

Mcintosh, Dempster, confirmation as U. S. Ambassador to 
Uruguay, 298 

McKisson, Robert M., designation in State Department, 
1004 

McLeod, Scott : 
Administrator, Refugee Relief Act, duties as, 714, 798, 

799, 800 
Inspection operations, administration of, 413, 774 
Security program in the State Department, address, 469 

McNaughton, Gen. A. G. L., address, Niagara FaUs Reme- 
dial Project, 958 

McWhorter, Roger B., address, Niagara Falls Remedial 
Project, 957 

Menderes, Adnan, visit to U. S., 879, 912 

Merchandise, convention on uniformity of nomenclature 
for classification of, U. S. withdrawal, 929 

Merchant, Livingston T., address on Soviet power system, 
819 

Merchant marine : 
President's message to Congress, 605 
Recommendations of Commission on Foreign Economic 
Policy, 194, 324 

Meteorological information. See North Atlantic ocean 
stations 

Meteorological Organization. See World Meteorological 
Organization 

Mexico : 
Broadcasting problems, discussions with U. S., 678 



Mexico — Continued 
Inter-American Conference, 10th, position on declara- 
tion against international communism, 420n, 424, 425, 
634 
Migrant labor agreement with U. S. : 
Extension, 53 
Renewal, 467, 613 

Soviet charges concerning U. S. treatment of "wet- 
backs," 809 
Statement (Eisenhower), 468 
Migratory Labor Commission, Joint U. S.-Mexican, 

membership, U. S. section, 565 
U. S. consular oflSces, reorganization, 852 
U. S. private investment in, 731 
Middle East. See Near and Middle East 
Migrant labor agreement, U. S. and Mexico. See under 

Mexico 
Migrants. See Intergovernmental Committee for Euro- 
pean Migration and Refugees and displaced persons 
Migratory Labor Commission, Joint U. S.-Mexican, mem- 
bership, U. S. section, 565 
Military Assistance Advisory Group, Japan, 518, 523 
Military assistance agreements («ee also Mutual defense 
treaties), with — 
American republics, 833 
Honduras, 851, 1001 
Iraq, 772 

Nicaragua, 639, 692, 773 
Military assistance program. See Mutual defense and 

Mutual security and assistance programs 
Military aviation mission, agreement with El Salvador, 

extension, 693 
Military headquarters, international, protocol on status 

of, status and actions on, 694, 1001 
Military program, U. S. : 

Administration planning, 79, 107, 108 
Current program, article (DuUes), 463 
Effect on foreign trade, address (Hensel), 919 
President's message to Congress, 77 
Military talks on Southeast Asian collective defense, pro- 
posed 5-power, statement (DuUes), 864 
Military Tribunal Far East, U. S. position on Indian 
protest against exclusion from participation in deci- 
sions regarding," persons sentenced by, 802 
Mindszenty, Cardinal Joseph, 5th anniversary of impris- 
onment : 
Letter (Eisenhower) to Catholic organization, 273 
Message (Dulles) to Rev. John Caspar, 47 
Minorities, U. N. subcommis.sion on protection of, desig- 
nation of U. S. alternate member, 59 
Mixed Armistice Commission, Israeli-Syrian, 329, 330, 

331 
Mixed Electoral Commission, Anglo-Egyptian Sudan, 213, 

281, 281w 
Mohn, Paul, memorandum as Swedish member, NNSC, 

Korea, 941, 944 
Molotov, Vyacheslav M. : 

Foreign Ministers' Meeting, Berlin : 
Attacks on EDC, 362, 822 
Obstructionist maneuvers, statements (Dulles), 179, 

222 
Proposals. See Foreign Ministers' Meeting 



Index, January to June 1954 



1033 



Molotov, Vyacheslav M. — Continued 
Geneva Conference, charges against U. S., statement 
(Smith), 942 
Molotov-Ribbentrop Pact (1939), 819, 943 
Monetary Fund, International, Indonesian membership, 

640, 803 
Monnet, Jean, remarlss upon U. S. loan to European Coal 

and Steel Community, 672 
Monroe Doctrine : 

Application in declaration against International Com- 
munist intervention in American States, addresses 
and statements: Dreier, 830, 834; Dulles, 422, 429, 
466, 938 
Roosevelt corollary, abandonment, 831 
Montreux Convention, 278, 278» 
Moroccan situation: Address (Sanger), 213; article 

(Howard), 332 
Morocco, Spanish Zone, application of World Meteorologi- 
cal Organization convention to, 733 
Morrill, J. L., report as chairman of U. S. Advisory Com- 
mission on Educational Exchange, 572 
Morton, Dr. John, investigation of atomic injury to Jap- 
anese seamen, 598 
Morton, Thruston B. : 

Building a Secure Community, address, 289 
CofCee-price increase, reply to Representative Sullivan, 

256 
Designation as Acting Deputy Under Secretary of State, 

413 ; relinquishment of duties, 1002 
Genocide convention, summary of action on, 882 
Mutual defense assistance agreement with Japan, reply 

to inquiry on need for Senate action, 570 
U. S. foreign policy, address, 361 

World Health Organization, letter to Senator Wiley on 

1955 budget and U. S. assessment, 964 

Mossadegh, Mohammed, correspondence with President 

Eisenhower on Anglo-Iranian oil dispute, article 

(Howard), 279, 280 

Motor traffic agreements, international, article (Kelly, 

Eliot), 117 
Mt. Everest, Hubbard Medal replica award to Tenzing 

Norkey, 472 
Murphy, Robert D. : 

Addresses and statements : 
Building strength in today's world power situation, 988 
Japan, progress and prospects, 513 
Japan and the Pacific, U. S. policy in, 430 
Pakistani offer to aid in U. S. Chancery construction, 

760 
Rumania, persecution of Jews in, 914 
Western unity, 473 
World brotherhood, 287, 785 
Correspondence : 

Cambodia, U. S. note condemning Viet Minh atrocity, 
746 
Murray, Johnston, visit to Korea, 836 
Mutual defense (see also Collective security; European 
Defense Community ; and North Atlantic Treaty Or- 
ganization) : 
Mutual Defense Assistance Control Act, 491, 843 
North America, mutual defense measures in, 4, 639 
President's budget message to Congress, 143 
Treaties. See Mutual defense treaties 



Mutual Defense Assistance Control Act : 

Continuance of aid to Denmark, France, Italy, Norway, 

and U. K., 491 
FOA report to Congress on operation (July-Dec. 1953), 
843 
Mutual defense treaties (see also Military assistance 
agreements), with — ■ 
Iceland, implementation of agreement, 884 
Japan, mutual defense assistance agreement : 
Address (Murphy), 515 
Comparison with Korean treaty, 132 
Joint communique and statement by U. S. Ambassa- 
dor, 518 
Question of Senate action, 570 

Statements (Dulles) on 1955 appropriations, 581, 924 
Test, 520 
Korea, mutual defense treaty : 

Senate, transmittal to, with report and statement by 

Secretary Dulles, 131 
Senate approval, 208 
Pakistan, mutual defense assistance agreement, signa- 
ture and entry into force, 850, 929 
Philippines, mutual defense treaty : 

Comparison with Korean treaty, 1.32, 133 
Council to handle matters arising under treaty, estab- 
lishment, 973 
Mutual Security Act (1951), functions authorized by. 

Executive order exempting, 481 
Mutual Security Act (1953), Richards amendment, 5n 
Mutual security and assistance programs (see also Mutual 
defense) : 
Addresses, statements, etc. : Dorsey, 551 ; Dulles, 107, 
210, 275, 381, 579, 581, 921, 923 ; Holland, 769 ; Howard, 
365; Murphy, 4.32, 989; Robertson, 350, 351; Sanger, 
210 ; Smith, 263, 264 ; Stassen, 871 ; Wainhouse, 984 ; 
Woodward, 237 
Agreements for (see also Mutual defense treaties), 551 
Budget recommendations and appropriations : 
Administration plans, 79 
Fiscal years 19J,1 to 1954, 210, 366, 551 
Fiscal year 1955 : Messages to Congress (Eisenhower), 
76, 143, 366», 606; statements before Congress 
(Dulles), 579, 921 
Economic and technical aid to foreign countries (sec 
also Agricultural surpluses and Export-Import Bank) : 
Afghanistan, 433, 566, 613; Africa, 147, 369, 552; 
Arab states, 147, 551, 552; Asia, 147, 350, 351, 368, 
369, 580 ; Austria, 250, 488 ; Bolivia, 468, 485, 488, 489, 
567; Borneo, 433; Caribbean area, 653; Egypt, 367, 
551; Ethiopia, 369, 551, 869; France, 272, 641; Ger- 
many, East, food parcels, 489 ; Greece, 366, 367, 439, 
440, 674; India («ee under India) ; Indonesia, 432; 
Iran, 147, 280, 366, 367, 432, 433, 488, 551, 552, 553, 
582; Iraq, 367, 551, 962; Israel 147, 212, 330, 367, 
368, 551, 552, 713; Italy, 82, 714; Jordan (see under 
Jordan) ; Korea, Republic of (see also Korea: Relief 
and rehabilitation), 488, 933 ; Latin America, 121, 147, 
237, 381, 580, 581, 769, 923; Lebanon, 553, 1001; 
Liberia, 369, 551 ; Libya, 489 ; Near and Middle East, 
210, 275, 365, 432, 550 ; Netherlands, 674 ; Netherlands 
Antilles, 733 ; Pakistan, 147, 366, 369, 433, 489 ; Philip- 
pines, 147; Saudi Arabia, 367, 433; Spain, 476, 488, 



1034 



Department of State Bulletin 



Mutual security and assistance programs — Continued 

Economic and technical aid to foreign countries — Con. 
641, 960 ; Surinam, 733 ; Thailand, 373 ; Turliey, 247, 
279, 366, 367, 553, 714, 912 ; Yugoslavia, 714. 

Foreign Economic Policy Commission recommendations 
(see also Foreign Economic Policy Commission), 190, 
606 

FOA regional meetings, 121, 333 

FOA report (June 30-Dec. 31, 1953) , 484 

Military aid to foreign countries (see also Mutual de- 
fense treaties) : Asia, 349, 432 ; Ethiopia, 369 ; Greece, 
366, 439, 440 ; Honduras, 851, 1001 ; Iran, 366 ; Iraq, 
772; Indochina (see Indochina: U. S. financial and 
material aid) ; Latin America, 833; Nicaragua, 639, 
692, 773; Pakistan (see under Pakistan) ; Spain, 476, 
488, 960 ; Turkey, 247, 366, 550, 580, 912, 992. 

Reduction of economic aid and continuance of technical 
aid, 4, 109, 146, 190, 220, 250, 363, 463, 488, 490, 606, 
844, 923 

Voluntary agencies, cooperation of, 389, 674 

NAC. See North Atlantic Council 
Narcotics : 
Narcotic drugs convention, protocol, extension to Somal- 

iland, 693 
Opium protocol (1953), ratifications deposited, Canada 
and Panama, 851, 884 
National Geographic Society, Hubbard Medal replica 

award to Tenzing Norkey, 472 
National Martime Day, observance, 875 
Nationalism (see also Colonialism), U. S. role, 632 
NATO. See North Atlantic Treaty Organization 
Naval vessels, U. S. See Ships and shipping 
Near and Middle East (see also individual countries) : 
Arab-Israeli dispute. See Palestine question 
Collective security in : 
Address ( Jernegan ) , 444 

Middle East Defense Organization, future possibility 
of, views (Dulles), 214, 275, 327, 365, 441, 445, 594 
Pakistan, U. S. military aid. See Pakistan 
Pakistan-Turkey collaboration for security. See 

Pakistan 
Statements (Dulles), 581, 923 
Educational exchange program in Near East and Africa, 

504 
Export-Import and International Bank loans, 370, 371 
Foreign Relations volumes on Near East and Africa, re- 
leased, 328, 966 
Johnston mission to, 211, 282, 368, 788 
Jordan Valley project. See Jordan River 
U. S. economic, military, and technical aid, 210, 275, 

366, 367, 432, 550 
U. S. policy, addresses, statements, etc. : Byroade, 628, 
708 ; Dorsey, 550 ; Dulles, 209, 210, 212, 214, 274, 275, 
327 ; Howard, 274, 328, 365 ; Johnston, 788 ; Murphy, 
432 ; Sanger, 209 
U. S. voluntary relief, article (Ringland), 383 
Near East Special Refugee Survey Commission, interim 

report, 95, 210 
Nehru, Pandit Jawaharlal, position on U. S. military aid 
to Pakistan, 446, 448, 594 

Index, January fo June 1954 



Netherlands : 

Floods, acknowledgment of U. S. aid, 142 

Geneva Conference, invitation to, 347 

Gift to U. S. of carillon, 755 

Migration to U. S. under Refugee Relief Act, 714, 797, 

798 
Treaties, agreements, etc. : 

EDC treaty, legislative action, 142 
Income tax convention with U. S., request for exten- 
sion to Antilles, 851 
Postal convention, universal, ratification deposited, 

965 
Technical cooperation agreement with U. S. for Suri- 
nam and Antilles, 733 
U. S. Ambassador, confirmation, 298 
U. S. economic aid, 674 
Netherlands Guiana. See Surinam 
Neutral Nations Repatriation Commission, exchange of 

prisoners of war, Korea. See Prisoners of war 
Neutral Nations Supervisory Commission, Korea : 
Armistice agreement violations by Communists, letter 

(Lacey), 689 
Refutation by Swedish and Swiss members of Com- 
munist charges against U. N. Command, 941, 944, 977 
New Zealand : 

Export-Import Bank loan, 326 
Geneva Conference, invitation to, 347 
Military talks with U. S., 948 

Mutual defense treaty with TJ. S., comparison with 
Korean treaty, 132, 133 
Niagara Falls Remedial Project, addresses at inaugura- 
tion ceremony, 954 
Nicaragua : 

Load line convention, accession, 929 

Military assistance agreement with U. S., signed, 692, 

773 
Safety of life at sea convention, accession deposited, 929 
U. S. military aid, 639 
Nichols, Clarence W., article on international tin agree- 
ment, 239 
Nickel production, in Cuba, expansion, 122 
Nigeria, self-rule, 298, 336, 717, 718 
Nixon, Richard M. : 

U. S. Indochina policy, clarification of statement, 623 
Visit to Asia and Middle East, 213, 371 : 
Address, 10 
Soviet propaganda, 351 
NNRC. See Neutral Nations Repatriation Commission 
NNSC. See Neutral Nations Supervisory Commission 
Nolan, Charles P., statement on proposed U. S. sale of 

ships for Brazilian coastal shipping, 951 
Norkey, Tenzing, awards for Everest conquest, 472 
Normandy, France, anniversary of Allied landing, 959 
North America, defense of, 4, 639 
North Atlantic Council : 
Ministerial meetings : 

Dee. 1953: Communique, 8; statements (DuUes), 109, 

462 
April 1954: Communique, 670; statements (Dulles), 
109, 462, 668 
Resolution on political consultation, 670, 670n 

1035 



North Atlantic ocean stations : 
Agreement signed, 406, 795 
Article (Lister), 792 
Conference, 4tli, 23, 406, 792 
Signatories to agreement, listed, 653 
Sweden, acceptance of agreement deposited, 884 
North Atlantic Treaty, agreements and protocols. iSee 

under North Atlantic Treaty Organization 
North Atlantic Treaty Organization : 

Addresses, statements, etc. : Byroade, 440, 441 ; Dulles, 3, 
109, 268, 460, 462, 561, 937 ; Eisenhower, 561 ; Elbrick, 
557, 558 ; Matthews, 437 ; Morton, 291, 292, 293 ; Wain- 
house, 983, 985 
Agreements and protocols : 

EDO. See European Defense Community treaty 
Status of forces agreement: Address (Phleger), 198; 

statu.s and actions on, 603, 1001 
Status of international military headquarters, status 

and actions on, 694, 1001 
Status of NATO, national representatives and inter- 
national staff, status list, 1001 
Atomic weapons, U. S. proposal for sharing information 

on, 8, 77, 144 
Bases, military, 557, 558, 561, 579, 592 
EDC. See European Defense Community 
Fifth anniversary, 561 
FOA report, 487 
Greek membership, 277, 440, 441 
Military program. President's message to Congress, 143, 

144 
North Atlantic Council. See North Atlantic Council 
Report on (Dulles), 3 
Soviet efforts to join, 562, 756 
Soviet verbal attacks on, 226, 268, 312, 313, 344, 358, 362, 

759 
Turkish membership and support, 248, 249, 277, 279, 

285, 440, 912 
U. S. appropriations for 1955, statements (Dulles), 579, 
921 
North Pacific Fisheries Commission, International, 165, 

297, 327, 515 
Northwest Atlantic Fisheries, International Commission 

for, appointment of U. S. commissioner, 640 
Norway : 

Cultural exhibition in U. S. address (Robertson), 202 
International Bank loan, 640 
Treaties, agreements, etc. : 
Aircraft, convention on international rights in, rati- 
fication deposited, 613 
Conflicting claims to enemy property, agreement with 

U. S., entry into force, 772, 1001 
GATT, declaration on the continued application of 

schedules to, ratification deposited, 803 
German external debts, ratification deposited, 693 
Telecommunication convention, international, ratifi- 
cation deposited, 1001 
U. S. aid : 

Continuance under Battle Act provisions, 491 
Surplus farm commodities for, 714 
Nuclear weapons. See Atomic energy 

OAS. See Organization of American States 

1036 



Oats, limitation on shipments to U. S. : 

Canadian, 21, 56 

Sources other than Canada, text of proclamation, 56 
Occupation forces. See Armed forces 
Ocean stations program. See North Atlantic ocean stations 
Off-shore procurement : 

Agreement with Luxembourg, 803 

Program with France, 641 

Program with Spain, 961 
Oil: 

Anglo-Iranian dispute, 214, 279 

Iranian negotiations with private companies, 583 

Turkish resources, 286 
Opium protocol (1953), ratifications deposited, Panama 

and Canada, 851, 884 
Organization of American States : 

Benefits extended to through Executive order, 951 

Collective security system, address (Dreier), 830 

Communist intervention in Guatemala, possible action 
on, 939, 981, 982 

Council functions, resolution of 10th Inter-American 
Conference, 638, 676 

Formation and relationship to Pan American Union, 951 

Pan American Day address before (Holland), 675 

Peaceful settlement procedures, 983 

Secretary General, resignation of Dr. Lleras Camargo, 
637, 675 

Technical assistance program, 237, 238, 636 

Pace, Mrs. Pearl Carter, member. War Claims Commis- 
sion, 24 
Pacific area (see also Asia and individual countries) : 
Collective security («ee also Mutual defense), 515, 516, 

782, 971, 985 
U. S. policy in, address (Murphy), 430 
Pacific Fisheries Commission, North, 165, 297, 327, 515 
Pacific Salmon Fisheries, International, appointment of 

U. S. member, 640 
Pacific trust territory : 

U. S. administration, 930, 978 

U. S. atomic tests in Pacific, Marshallese complaint to 
U. N., 886, 887 
Pakistan : 

Export-Import Bank loan, 370 

Income-tax exemption for visiting businessmen, 158 
India, relations with : 
Address (Jernegan), 446 
Kashmir problem, 333, 979 
International Bank loans, 371, 991 
Treaties, agreements, etc. : 

Copyright convention, universal, accession deposited, 

1001 
GATT, third protocol of rectifications and modifica- 
tions to texts of schedules, signed, 1001 
German external debts, ratification deposited, 693 
Mutual defense assistance agreement with U. S., 
signed and entry into force, 850, 929 
Turkey, joint communique on security, 327, 333n, 400, 
401: 
Addresses and statements : Byroade, 441, 442 ; Dulles, 
581, 923 ; Jernegan, 444, 595 

Department of Sfafe Bulletin 



Pakistan — Continued 

U. S. economic and teclinical aid, 147, 366, 369, 433, 489, 

760 
U. S. military aid, 214, 351 : 
Addresses : Allen, 866 ; Jernegan, 444, 593, 594, 595 
Pakistan request for, 333n, 447 
President Eisenhower's letter to Prime Minister 

Nehru explaining, 400 (text), 447, 448, 594 
Statements : Dulles, 581 ; Eisenhower, 401 (text), 441, 
447 
U. S. wheat shipments, 369, 489; termination, 760 
Palestine Conciliation Commission, 96, 329, 332 
Palestine question : 
Addresses and statements : Byroade, 708, 761 ; Howard, 
328 ; Jenkins, 629 ; Johnston, 788 ; Lodge, 651 ; Sanger, 
210, 211, 212, 214 
Arab case and Israeli case, 629, 630, 631 
Arab refugees. See Arab refugees and Jordan River 
Israeli bus, ambush In Negev, 554 
Jordan Valley project. See Jordan River 
Qibiya incident, 212, 329, 330, 331, 651 
Shipping restrictions, Israeli complaint against Egypt, 

569 
U. N. observation system, 979 
Pan American Day : 
Addresses (Holland), 675,677 
Proclamation, 564 
Pan American Railway Congress, VIII, accomplishments, 

167 
Pan American Railway Congress Association, member, 

U. S. national commission, 963 
Pan American Sanitary Organization, 238, 692 
Pan American Union, relationship to OAS, 951 
Panama : 
Opium protocol (1953), ratification deposited, 852 
Sewerage facilities in Colon Free Zone area, agreement 

regarding, entry into force, 803 
U. S. Ambassador, confirmation, 298 
Pandit, Mme. Vijaya Lakshmi, communication to mem- 
bers regarding reconvening 8th session of U. N. Gen- 
eral Assembly, 256 
Paumunjom, Korea, negotiations for political conference. 

See Korea 
Paraguay : 
Ambassador to U. S., credentials, 511 
U. S. resumption of diplomatic relations with, 800 
Parker, Jameson, press statement on U. S. policy in Indo- 
china, 623 
Passports : 

Increase in number issued, 999 

Recommendations of Commission on Foreign Economic 
Policy to facilitate issuance, 194 
Patent Appeal Board, establishment by Allied High Com- 
mission for Germany, 913 
Patterson, Morehead : 
Chairman, U. S. committee for United Nations Day, 

567, 771 
Deputy U. S. representative on U. N. Disarmament 
Commission, 850 
Peace, addresses : 
Building a cooperative peace through international un- 
derstanding ( Eisenhower ) , 699, 899 
Peace and security in the H-bomb age (Wainhouse) , 983 

Index, January to June 1954 



Peace observation mission. Thai request for. See Thai- 
land 
Peace treaty, Japan. See Japan 
Peaceful settlement of disputes. See Disputes. 
Percy, Charles H., request for President's views on eco- 
nomic policy proposals, 841 
Perkins, Warwick, member. Mixed Electoral Commission, 

Sudan, 213, 281n 
Personnel, Public Committee on, formation and 1st meet- 
ing, 413 ; report on, 1002 
Peru: 
Ecuadoran boundary dispute, conciliation, 468, 678 
Haya de la Torre asylum case, 634 

GATT, declaration on continued application of sched- 
ules, signature, 773 
Petroleum. See Oil 
Peurifoy, John E., confirmation as U. S. Ambassador to 

Guatemala, 298 
Philippines : 

Geneva Conference, invitation to, 347 

Military talks with U. S., statements (Dulles) 864, 948 

Mutual defense treaty with U. S. See under Mutual 

defense treaties 
Position on Communist threat to Southeast Asia, 623 
Trade, inter-island, proposed sale of U. S. merchant 

vessels for, 571 
Trade with Japan, 294, 295 
Trade with U. S. : 

Reciprocal extension of free-trade period, 802 
Trade agreement, proposals for modification, 566 
U. S. technical aid, budget recommendations, 147 
Phillips, William, opinion on effect of security program 

on Foreign Service, 169 
Phleger, Herman : 
International law, address on recent developments 

in, 196 
U. N. awards case, U. S. oral argument, 963 
Pic6, Rafael, technical aid work, 373 
Pierson, Warren Lee, resignation as U. S. delegate to 

Tripartite Commission on German Debts, 69 
Poland : 

Consulates general in U. S., closing, 352 

Division of, Molotov-Ribbentrop Pact (1939), 819, 943 

NNSC, false allegations by Polish member against U. N. 

Command in Korea, 941, 944, 977 
Ship, U. S. rejection of charge of interception of, 824 
Political Community, European, projected, 141, 558 
Political conference, Korea. See Geneva Conference: 

Korean phase and under Korea 
Postal convention, universal, ratifications deposited, 693, 

733, 803, 965 
Potsdam agreement, creation of Council of Foreign Min- 
isters, 223 
Potthoff, Heinz, remarks upon U. S. loan to European Coal 

and Steel Community, 672 
Praca, Polish tanker, U. S. rejection of Polish charge of 

interception, 824 
Press : 

Address (Eisenhower), 699 

Censorship, statements: Eisenhower, 701; Hotchkis, 
682 ; Lodge, 849 

1037 



Press — Continued 

Journalists, U. S., kidnapped by Chinese Communists, 

685 
U. N. as world forum, 723 
Price-support program : 

Tung imports, effect on, investigation, 839 
Wool imports, effect on, recommendations of President, 
393 
Prisoners of war, Korea : 

American prisoners, reported transfer to Soviet custody, 

U. S. and Soviet notes, 785 
Communist prisoners, disturbances by, 61, 92 
Custodian forces, India : 
Arrival in Korea, 92 
Commended, 334, 866 
Transfer of prisoners, 295 
liixchange of : 

Addresses : Dean, 16 ; Martin, 546 
Indian attempt to reconvene 8th session of U. N. Gen- 
eral Assembly, 256 
U. N. Command reports, 30, 31, 64, 92, 652 
Mistreatment by Communists, 200, 201, 860, 976 
Nonrepatriated, release of : 

Addresses and statements : Dulles, 153 ; Eisenhower, 
901 ; Hull, 90, 152 ; Key, 977 ; Lodge, 153 ; Phleger, 
201, 206; Robertson, 151, 400; Swedish and Swiss 
members, NNRC, 115 ; Wadsworth, 153 
Exchange of correspondents between U. N. Com- 
mander and Chairman, NNRC, 90, 113, 115, 153, 
154, 295 
U. N. Command report, 31 
Prisoners of war, treatment. See Geneva conventions 
Private enterprise : 
In Latin America : 

Addresses : Bohan, 876 ; Woodward, 234 
Report of Milton Eisenhower, 159, 235, 360, 381, 764 
In U. S., addresses: Eisenhower and Dulles, 837; Hol- 
land, 766 
Private investment capital. See Investment of private 

capital 
Proclamations by the President : 

Oats shipments to U. S., limitation, 56 
Pan American Day, 564 
Rye imports, quota, 565 
Tariff concessions to Uruguay, 53 
Trade agreement with Uruguay, termination, 733 
World Trade Week, 801 
Procurement, off-shore : 

Agreement with Luxembourg, 803 
Program with France, 641 
Program with Spain, 961 
Propaganda, Communist. See under Communism and 

Soviet Socialist Republics, Union of 
Protection of U. S. citizens abroad. See United States 

citizens 
Public Committee on Personnel, 413. 1002 
Publications : 

Congress, lists of current legislation on foreign policy, 
102, 337, 483, 534, 571, 633, 694, 810, 825, 842, 925, 953, 
999, 1000 
Foreign Relations of the United States, released : 
1936, vol. I (General, British Commonwealth), 654 
1936, vol. II (Europe), 852 

1038 



Publications — Continued 

Foreign Relations o/ the United States, released — Con. 
1936, vol. Ill ( Near East and Africa ) , 328 
1936, vol. IV (Far East), 734 

1936, vol. V (American Republics), 965 

1937, vol. I (General), 1006 

1937, vol. II (British Commonwealth, Europe, Near 
East, and Africa), 966 
German Foreign Policy Documents, 1918-J!i5 (The War 

Tears, Sept. 4, 1939-Mar. 18, 1940), released, 1005 
Rumanian Legation in U. S., ban on publications of, 47 
State Department, lists of recent releases, 142, 338, 402, 

414, 453, 494, 614, 853 
United Nations, lists of current documents, 34, 67, 131, 
174, 526, 573, 607, 645, 679, 715, 854, 888, 993 
Puerto Cortes, Honduras, U. S. consular agency closed, 

654 
Puerto Rico : 

Address (Lord) before Legislative Assembly, 372 
U. S. policy toward possilile independence, 255 
Purchase agreement with Japan. See Agricultural 
suriJluses 

Qibiya, Jordan, raid by Israeli forces, 212, 329, 330, 331, 
631, 651 

Radar installations for joint U.S.-Canadian air defense, 
639 

Radford, Admiral Arthur, quoted, 849 

Radio Free Europe (see also Broadcasting), Czech counter- 
measures, 320 

Railway Congress, VIII Pan American, accomplishments, 
167 

Railway Congress Association, Pan American, member, 
U. S. national commission, 963 

Randall, Clarence B. : 

Foreign Economic Policy Commission report. See 

Foreign Economic Policy Commission 
Special White House consultant, appointment, 195»i, 325 
U. S. measures to facilitate international travel, letter 
on, 997 

Raw materials, international trade in : 

Recommendations of Commission on Foreign Economic 

Policy, 189, 191, 192 
Recommendations of President to Congress, 605 

Reconstruction and Development, International Bank for. 
See International Bank for Reconstruction and De- 
velopment 

Reconstruction Finance Corp., liquidation of certain af- 
fairs of, transmittal to Congress of Reorganization 
Plan No. 2, 813 

Red Cross, International, statement on International Red 
Cross Day (Smith), 787 

Red Cross hospital for Korea, German, agreement for, 270, 
568 

Reed, Representative Daniel A., foreign economic poUcy 
minority report, 321ra 

Reed, Harry, food survey, Pakistan, 369 

Refugee Survey Commission to the Near East, report, 95, 
210 

Refugees and displaced persons : 
Arab refugees. See Arab refugees 
German, from East Zone, 206, 225, 754, 787, 825 

Department of State Bulletin 



Refugees and displaced persons — Continued 

Intergovernmental Committee for European Migration. 
See Intergovernmental Committee for European 
Migration 
Netlierlands, migration to U. S., 714, 797, 798 
Refugee Relief Act (1953), operation, address (Auer- 

bach), 797 
Trieste, British-U. S. Zone, 129 

U. S. voluntary relief, article (Ringland), 385, 388, 389, 
390, 392 
Regional arrangements (see also Collective security ; Euro- 
pean Defense Community ; European treaty for col- 
lective security ; Middle East Defense Organization ; 
Mutual defense ; North Atlantic Treaty Organization ; 
and Organization of American States), address (By- 
roade), 441 
Relief, war, voluntary contributions, article (Ringland), 

384 
Relief and rehabilitation. See Arab refugees ; Intergov- 
ernmental Committee for European Migration ; Ref- 
ugees and displaced persons ; United Nations Relief 
and Works Agency; and individual countries 
Reorganization Plan No. 1 of 1954, text and transmittal to 

Congress, 811, 812 
Reorganization Plan No. 2 of 1954, text and transmittal 

to Congress, 813, 814 
Renter, Ernst, economic needs of Berlin, appeal for, 588 
Reynosa, Mexico, U. S. consulate to be closed, 852 
Rhee, Syngman : 
Conference with Ambassador Dean on Geneva Confer- 
ence, 708 
Mutual defense treaty, U. S. and Korea, negotiation, 
132, 133 
Richards, James P., statements : 
Jordan River project, 211 

Relationship of U. N. General Assembly and Adminis- 
trative Tribunal, 34, 482 
Rifai, Abdul M., credentials as Ambassador of Jordan to 

U. S., 24 
Riband Dam project, India, 597 

Riley, Russell L., address on educational exchange pro- 
gram, 162 
Ringland, Arthur C, article on voluntary foreign aid 

(1939-53), 383 
Rio treaty. See Inter-American treaty of reciprocal 

assistance 
Road traffic convention and protocol : 
Actions on, 884 
Article (Kelly, Eliot), 117 
Robbin-s, Robert R., designation in State Department, 694 
Robertson, Walter S., addresses : 
China, Faith in the Future of, 398 
Far East, U. S. responsibilities in, 348 
Japan : 

U. S.-Japanese friendship, 547 
U. S. policy toward, 229 
Korea, Our Victory in, 149 

North Pacific Fisheries Commission meeting, 297 
Scandinavian cultural exhibition in U. S., opening, 202 
Romulo, Carlos P., establishment of Council for tl. S.- 
Philippine mutual defense matters, 973 



Ruanda-Urundi : 

Road traffic convention, application to, 884 

Trusteeship administration, article (Gerig), 717, 719 
Rumania : 

Anniversary of national holiday, 755 

Georgescu boys, freed, 640 

Jews, persecution, statement (Murphy), 914 

Publications of Legation in U. S., ban on, 47 
Russell, Francis H., address on American diplomacy, 207 
Rye imports : 

Investigation, 22 

Quota, proclamation establishing, 565 
Ryukyu Islands (Amami-Oshima group), U. S. relinquish- 
ment of rights under Japanese peace treaty, 17, 515 

Safety of life at sea convention, acceptance depositee,../ 
Nicaragua, 929 

St. Lawrence Seaway : 
Address (Morton), 363, 364 

Legislation enacted, remarks (Eisenhower, Wiley, Fer- 
guson, Dondero), 796 
President's message to Congress regarding, 78 

St. Lawrence Seaway Development Corp., designation of 
Secretary of Defense to direct, 959 

Salaried Employees and Professional Workers, Advisory 
Committee of ILO, U. S. delegation, 772 

Salmon Fisheries, Pacific, appointment of U. S. member, 
640 

Saltzman, Charles E., nomination as Under Secretary of 
State for Administration, 1002 

San Luis Potosf, Mexico, U. S. consulate to be closed, 852 

San Marino, party to Statute of International Court of 
Justice, 613 

Sanger, Richard H., address on U. S. policy in Middle East 
during 1953, 209 

Sao Paulo, Brazil, International Film Festival, 298 

Saudi Arabia : 

Death of King, message (Eisenhower), 212 
Export-Import Bank loan, 370, 553, 731 
U. S. Ambassador, confirmation, 298 
U. S. economic and technical aid, 367, 433, 553 
U. S. relations, statement (Eisenhower), 274 

Scandinavia, cultural exhibition in U. S., address (Rob- 
ertson), 202 

Schoenfeld, Rudolph E., confirmation as U. S. Ambassador 
to Colombia, 298 

Scissors and shears, retention of present duty on, 840 

Seamen, able, convention on certification of, U. S. ratifica- 
tion registered, 693 

Sears, Mason, statements on African trust territories, 298, 
336, 453 

Secretariat, U. N., documents listed, 715, 888 

Securities, Belgian, in Germany, registration require- 
ments, 673 

Securities, West German, U. S. restoration of trading in, 
159 

Security, collective. See Collective security and Mutual 
defense 

Security, national : 

Foreign policy objective, addresses : Murphy, 288 ; 
Smith, 263 



Index, January fo June 1954 



1039 



Security, national — Continned 
Personnel investigations, State Department. See State 

Department 
President's messages to Congress, 78, 143 
Security Council, U. N. (see also United Nations) : 
Decrease in power, 252 
Documents listed, 34, 131, 526, 607, 715, 993 
Membership provisions, proposed changes, 171, 451 
Palestine question, action on. See Jordan River and 

Palestine question 
Trieste problem, postponement, 70 
Voting procedure : 

Proposed changes, 171, 172, 173, 451 
Soviet Union, use of veto, 460, 643, 645, 916, 937, 974, 
975n, 984, 986, 989 
Selection Boards, Foreign Service, meeting and member- 
ship, 529 
Self-determination. See under Colonialism 
Semenov, Vladimir, refusal to restore interzonal freedom 

of movement in Germany, 509, 879 
Senate, U. S. See Congress 
Shaw, G. Howland, opinion on effect of security program 

on Foreign Service, 169- 
Ships and shipping : 

Brazilian coastal shipping, proposed sale of V. S. vessels 

for, 533, 952 
China, loan of U. S. destroyers to, 398, 568 
China, loan of U. S. small naval craft, agreement for, 

965 
Egyptian shipping restrictions, Israeli complaint, 569 
Japan, loan of U. S. naval vessels to, agreement for, 929, 

965 
Load line convention, international, actions on, 929 
Philippines, inter-island trade, proposed sale of U. S. 

merchant vessels for, 571 
Polish tanker, U. S. rejection of charges of interception 

of, 824 
Safety of life at sea convention, action on, 929 
Soviet return to U. S. of lend-lease vessels. See Lend- 
lease vessels 
U. S. maritime policy, address (Bohan), 875 
Warships : 

Agreement with Cuba to facilitate informal visits, 

renewal, 884 
U. S. and British warships, courtesy visits to Istan- 
bul, Soviet protests, 278 
Shivers, Allan, visit to Korea, 836 
Simpson, Representative Richard M., foreign economic 

policy minority report, 321»i 
Sinai Peninsula, irrigation project, 99, 553 
Slave labor. See Forced labor 
Slavery convention of 1926, protocol amending: 
Acceptance, Finland, 773 
Signature, 567, 773 
Slezak, John, address, Niagara Falls Remedial Project, 

954 
Small Business Administration, transfer of functions 

from Reconstruction Finance Corp., 813 
Smith, David S., designation in State Department, 483 
Smith, Senator H. Alexander, reply (Morton) to inquiry 
regarding need for Senate action on mutual defense 
assistance agreement with Japan, 570 

1040 



Smith, Walter Bedell : 
Addresses, statements, etc. : 
Arab refugee problem, 97 
Current international problems, progress toward 

solving, 358 
European Coal and Steel Community, U. S. loan to, 

672 
EDC treaty, Netherlands deposit of ratification, 433 
Foreign policy for the "long haul," 263 
Geneva Conference : Indochina, 589, 783, 944 ; Korea, 

915, 940 ; U. S. goals, 744 
Lithuanian independence day, 320 
Red Cross Day, International, 787 
Correspondence : 

Canadian oats, limitation on shipments to U. S., 21 

Reply to Arthur H. Dean regarding unavailability for 

Geneva Conference, 398 

Geneva Conference, chairman, U. S. delegation, 739 

Smith-Mundt Act. See Educational exchange program 

Solidarity, declaration of. See under Inter-American 

Conference 
Somaliland, narcotic drugs, 1948 protocol to convention, 

extension to, 693 
South Africa, Union of : 
Geneva Conference, invitation to, 347 
Treaties, agreements, etc., ratifications deposited : 
German external debts, 693 
Postal convention, universal, 733 
Sugar agreement, international, 733 
Telecommunication convention, international, 773 
South Asia and Southeast Asia. See Asia 
South Pacific Commission, agreement relating to fre- 
quency of session!?, signed, 852 
Southworth, Winthrop M., Jr., designation in State De- 
partment, 774 
Soviet bloc countries : 
Arms shipment to Guatemala, 835 

Forced labor, report of U. N. ad hoc committee, state- 
ments : Dulles, 422 ; Hotchkis, 804 ; Key, 976 ; Lodge, 
849 
Popular resistance in, 823 

U. N. specialized agencies, policy toward, 828, 829 
U. S. export policy : 

East-West trade. Battle Act report, 843 
Export-license requirements, 157 

Recommendations of Commission on Foreign Eco- 
nomic Policy, 194 
Statements by Secretary Weeks, 111, 321 
Soviet Socialist Republics, Union of (see also Com- 
munism) : 
Aggression. See Communism 
Aircraft of, alleged destruction by U. S. over Manchuria, 

U. S. and Soviet notes, 408, 410, 412 
Atomic policy : 

Control of weapons, 757, 758 
Progress in development, address (Strauss), 660 
Talks with U. S. 9, 80, 82, 110, 465, 622, 661, 977, 987 
Austrian Government, allegations against, U. S. con- 
cern, 824 
Austrian state treaty, proposals for. See Foreign 

Ministers' Meeting 
Censorship practices, 682, 686 



Department of State Bulletin 



Soviet Socialist Eepublics, Union of — Continued 
China, Communist : 

Alliance with, addresses, etc. : Jenkins, 624, 625, 859 ; 
Martin, 544, 545 

Five-power conference, Soviet attempts to include, 
81, 181, 182, 183, 222, 223, 292, 346, 404, 405, 739 

Membership on U. N. Disarmament Subcommittee, 
Soviet proposal for, 688 
Disarmament : 

Member, U. N. Disarmament Subcommittee, 687, 688 

Obstructionist measures, 786, 985, 986, 987, 988 

Position on, 757, 758 
"Divide and conquer" policy, 148, 362, 460, 562, 900 
Economic conditions, ECE survey, 611 
Economic policies, address (Merchant), 823 
Estonia, Latvia, and Lithuania, absorption, 267, 269, 942 
Europe, Western, policy in, 4, 6, 8, 148, 461 
EDO, verbal attacks on, 180, 265, 314, 344, 362, 757, 758, 

822, 880 
European treaty for collective security, proposals for. 

See European treaty for collective security 
Five-power conference with Communist China, attempts 

for, 81, 181, 182, 183, 222, 223, 292, 346, 404, 405, 739 
Forced labor, report of U. N. ad hoc committee, state- 
ments : Dulles, 422 ; Hotchkis, 804 ; Key, 976 ; Lodge, 

849 
Foreign Ministers' Meeting in Berlin. See Foreign 

Ministers' Meeting 
Freedom of information, charges against U. S. in Eco- 
nomic and Social Council, refutation (Hotchkis), 685, 

730, 809 
Geneva Conference. See Geneva Conference 
Germany : 

Objectives in, address (Conant), 754 

Unification, proposals for. See Foreign Ministers' 
Meeting 
Germany, East, claim of "sovereignty" for, 511, 588, 670 
Germany, West, assassination plots, U. S. protest, 671, 

715 
Greece, "peace offensive" in, 276 
Korea : 

American prisoners of war, denial of transfer to 
Soviet custody, 785 

Soviet obstructions to unification, statement (Dulles), 
704 
Middle East and South Asia, policy in, addresses : 

Jenkins, 629 ; Jernegan, 444 
Military strength, address (Merchant), 821 
Molotov-Ribbentrop Pact (1939), 819, 943 
NATO, verbal attacks on, 226, 268, 312, 313, 344, 358, 

562, 759 
Personal freedom, restriction on, address (Streibert), 

203 
Power system, address (Merchant), 819 
Prisoners of war, attitude toward, 201 
Propaganda (see also under Communism) : 

India, 593 

Middle East, 709 

Propaganda machine, address (Streibert), 206 

Underdeveloped countries, 828, 829 

Use of U. N. for, 828 
Thai request for peace observation mission, veto in 

Security Council, 936, 974, 975« 



Soviet Socialist Republics, Union of — Continued 

Threat to free world, 440, 484, 819 

Treaties, agreements, etc., ratifications deposited : 
Geneva prisoners of war conventions, 1001 
Genocide convention, 884 
Sugar agreement, international, 733 

Turkish Straits problem, proposals and protests, 277 

United Nations, denunciation and rejection of authority 
of, 915, 916, 917 

UNESCO, constitution of, signature and deposit of 
acceptance, 884 

U. N. specialized agencies, policy toward, 828, 829, 884, 
980 

U. N. trusteeship administration, criticism of, 717 

U. S. air and naval bases in Greece, protest, 277 

U. S. aircraft, destruction over Sea of Japan, U. S. 
note, 408, 409 

U. S.-Hungarian plane incident (1951), Soviet conduct 
regarding, U. S. application to International Court 
of Justice, 449, 450 (text) 

U. S. lend-lease vessels. See Lend-lease vessels 

U. S. private investment abroad, false charges con- 
cerning, 730 

Veto, use in Security Council, 460, 643, 645, 916, 937, 
974, 975n, 984, 986, 969 
Spain : 

Economic and military arrangements with U. S. : 
Agreements: FOA report, 488; addresses (Dunn), 

476, 960 
FOA allocations, 641, 960 

U. S. bases in, statements (Dulles), 580, 922 

Visits of officials to U. S., 962 

World Meteorological Organization convention, appli- 
cation to Spanish Guinea and Spanish Zone of Mo- 
rocco, 733 
Special Refugee Survey Commission to the Near East, 

interim report on Arab refugee situation, 95, 210 
Specialized agencies, U. N. (see also name of agency) : 

Coordination system, possible improvement, 451 

Soviet policy toward, 828, 829, 980 

U. S. contributions, 371, 550 

Work of, addresses (Key), 396, 827, 980 
Spekke, Arnolds, letters of appointment as Charg6 in 

U. S. of Republic of Latvia, 882 
Stassen, Harold E. : 

Addresses, statements, etc. : 

Berlin, need for financial aid, 587 
East- West trade talks with U. K. and France, 563 
Hong Kong fire victims, emergency relief for, 87 
Pakistan, completion of wheat shipments to, 760 
Technical aid program : Address, 871 ; announcement 

on cooperation of voluntary agencies, 674 
U. S. aid to Europe, 485 

Reports and recommendations: 
Battle Act operations, report to Congress (July-Dec. 

1953), 843 
Continuance of U. S. aid under Battle Act provisions, 
recommendations, 491 

Visit to Near East and South Asia (1953), 209, 275 

Visit to Southeast Asia and Pacific (1954), 333 
State Department (see also Foreign Service) : 

Appointments, confirmations, etc., 169, 338, 374, 413, 483, 
694, 774, 814, 966, 1004 



Index, January to June 1954 



1041 



state Department (see also Foreign Service) — Continued 
Educational exchange program. See Educational ex- 
change program 
Foreign affairs, conduct of, President's message to Con- 
gress, 147 
Foreign Buildings Architectural Advisory Board, estab- 
lishment, 169 
Inspection service, 413, 774 
Organizational changes, 413 
Passports, 194, 999 
Personnel security program : 

Investigative procedures, address (McLeod), 469 
Effect on Foreign Service, statement (Dulles), 169 
Publications. See Publications 
Resignations and retirements, 374, 774 
Wriston report, correspondence (Dulles, Wriston), 
1002 
State Governors, U. S., visit to Korea, 273, 836 
State of the Union address (Eisenhower), 75, 274 
Status of forces, status of international military head- 
quarters, and status of NATO, national representa- 
tives and international staff, agreements and protocol, 
198, 693, 694, 1001 
Steel agreement, U. S. and India, 156, 369 
Strategic materials : 

Battle Act operations (July-Dec. 1953), report to Con- 
gress, 843 
Continuance of aid to certain countries under Battle 

Act, 491 
Defined, 843 
Recommendations of 10th Inter-American Conference, 

636 
Stockpiling, President's budget message to Congress, 145 
Strauss, Levels L. : 

Hydrogen-bomb tests in the Pacific, statement, 548, 926 
Peaceful use of atomic energy, President Eisenhower's 
proposals, address, 659 
Streibert, Theodore C, address. Soil of Freedom, 203 
Stuart, R. Douglas, address on U. S.-Canadian relations, 

18 
Student-exchange program. See Educational exchange 

program 
Students, Chinese, in U. S., statement issued at Geneva 

Conference concerning, 949 
Submarines, atomic, launching, 144, 303 
Sudan, Anglo-Egyptian : 

Controversy, article (Howard), 280 
Elections, 213 
Suez Base negotiations, addresses : Howard, 281 ; Sanger, 

213 
Sugar agreement, international: 
Advantages and status, 493 
Ratifications and accessions, 525, 733, 773 
Sullivan, Representative Leonor, letter to Secretary Dulles 

regarding coffee-price increase, 257 
Suomela, Arnie J., appointment on fisheries commissions, 

640 
Surinam, U. S. technical aid, survey and agreement, 89, 

733 
Surplus agricultural commodities. See Agricultural sur- 
pluses 
Suydam, Henry, press statement on atomic energy con- 
versations with Soviet Union, 80 

1042 



Sweden : 

Cultural exhibition in U. S., address (Robertson), 202 

NNRC, position on unrepatriated prisoners of war, 115 

NNSC, refutation of Communist charges against U. N. 
Command, 941, 944, 977 

Ocean stations agreement, accession deposited, 884 

V. S. Ambassador, confirmation, 414 
Switzerland : 

German external debts, agreement on, ratification de- 
posited, 693 

International Red Cross Day, 787 

NNRC, position on unrepatriated prisoners of war, 115 

NNSC, refutation of Communist charges against U. N. 
Command, 941, 944, 977 
Syria (see also Palestine question) : 

Arab refugee problem, 96, 97, 98, .5.53 

Jordan Valley project. See Jordan River 



Tanganyika, East Africa, progress toward self-determi- 
nation: article (Gerig), 717, 719; statement (Sears), 
453 
Tariff policy, U. S. : 

Basic principles, address (Hensel), 919 

Concession to Uruguay, proclamation of, 53 

President's economic report to Congress, 221 

President's recommendations to Congress on foreign 
economic policy, 603 

Reciprocal reduction of barriers, address (Holland), 
767 

Recomendations of Commission on Foreign Economic 
Policy, 191, 192, 323, 324, 517, 603, 847 

Scissors and shears, President's decision not to increase 
duty on, 840 

Tung imports, effect on price-support program, investi- 
gation, 839 

Wool imports, recommendations of President concern- 
ing price-support program, 381, 393 
Tariffs and trade, general agreement on : 

Continued application of schedules, declaration on, ac- 
tions on, 525, 773, 803 

India, request for renegotiation of tariff concessions, 
406 

Japan : 

Benefits of accession, 233 

Commercial policy pending accession, text of decision 
and declarations, 154, 514 

Recommendations of Commission of Foreign Economic 
Policy and President's message to Congress, 193, 324, 
604, 841 

Rectifications and modifications to texts of schedules, 
actions on — 
Second protocol, 803 
Third protocol, 525, 773, 803, 852, 965, 1001 

Uruguay, accession, 53 

Work commended, 512 
Tax incentives for U. S. investors abroad : 

President's budget message to Congress, 237, 428, 429, 
729 

President's recommendations to Congress on foreign 
economic policy, 604, 842, 999 

Recommendations of Commission on Foreign Economic 
Policy, 190, 191, 192, 324 



Department of State Bulletin 



Tax treatment of the forces and their members, conven- 
tion between U. S., U. K., France, and Federal Re- 
public of Germany, German deposit of ratification, 
653 
Taxation, double, avoidance of. See Double taxation 
Teacher-exchange program. See Educational exchange 

program 
Technical assistance program, U. N. See under United 

Nations 
Technical cooperation, OAS, action by 10th Inter-Ameri- 
can Conference, 636 
Technical cooperation program, U. S. See Mutual se- 
curity and assistance programs 
Technical missions to U. S., Japanese, agreement for, 568 
Telecommunication convention, international, accessions 

and ratifications deposited 773, 1001 
Telecommunication policy, U. S., address (Black), 83 
Territorial asylum, convention on, 634 
Thailand : 

Communist threat to, statement (Dulles) , 43 

Geneva Conference, invitation to, 347 

Military talks with U. S., statements (Dulles), 864, 948 

Peace observation mission, request for : 

Addresses and statements : Dulles, 936, 974 ; Lodge, 

974 
Thai draft resolution, 975 
Position on Communist threat to Southeast Asia, 590, 

623 
tJ. N. technical aid program, 373 
Thermonuclear tests. See Atomic energy. 
Thimayya, Gen. K. S., correspondence with Gen. Hull on 
release of nonrepatriated prisoners of war, Korea, 90, 
113, 115, 153 
Thornton, Dan, visit to Korea, 273, 836 
Three powers, convention on relations with Germany, 

German ratification, 653 
Thurston, Ray L., designation in State Department, 966 
Thurston, Walter, chairman, U. S.-Mexican Migratory 

Labor Commission, 565 
Timberman, Maj. Gen. Thomas S., efforts to restore free- 
dom of movement in Germany, 509, 510 
Tin agreement, international : 
Article (Nichols), 239 
U. S. position, 393 
Togoland, British, progress toward self-rule, 336, 718 
Togoland, French, administration as trust territory, 716 

718 
Token Import Plan, British, extension, 123 
Tourism. See Travel, international 
Trade (see also Economic policy and relations, U. S.) : 
Agricultural surpluses. See Agricultural surpluses 
American republics, trade with, addresses : Cabot, 48 ; 

Holland, 767 ; Woodward, 2.35 
Battle Act controls, 491, 843 
China, Communist, embargo on exports to, 41, 42, 111, 

112, 194, 5G3, 626, 845, 848, 861 
Commercial samples and advertising material, Interna- 
tional convention to facilitate importation, Indo- 
nesian accession deposited, 965 
Commercial treaties. See Commercial treaties 
East-West trade : 
Battle Act, 491, 843 

Index, January to June 1954 



Trade — Continued 

East-West trade — Continued 
Message of President to Congress, 606 
Recommendations of Foreign Economic Policy Com- 
mission, 194 
Talks, U. S., U. K., and France, 563 

European trade, economic survey by ECE, 608 

Export-Import Bank loans. See Export-Import Bank 

Export-licensing regulations, U. S., 157, 321 

Foreign Economic Policy Commission report. See For- 
eign Economic Policy Commission 

FOA report to Congress (June 30-Dec. 31, 1953), 485 

Imports. See Imports 

Japanese trade. See Japan 

Merchandise, convention on uniformity of nomencla- 
ture for classification of, U. S. withdrawal, 929 

Military policy, U. S., effect on foreign trade, address 
(Hensel),919 

North Korea, embargo on exports to, 111, 112, 194, 563, 
845 

Philippine trade. See Philippines 

President's economic reports to Congress, 219, 321, 602 

Price instability in primary commodities, statement 
(Hotchkis), 726 

Soviet bloc, U. S. export policy. 111, 157, 194, 321, 845 

Strategic materials. See Strategic materials 

Sugar agreement, international, 493 

Tariff policy, U. S. See Tariff policy 

Tariffs and trade, general agreement on. See Tariffs 
and trade 

Tin exports under international tin agreement, 245 

U. K., Token Import Plan, extension, 123 

War materials, convictions for illegal export, 567 

World Trade Week, proclamation, 801 
Trade agreements : 

Ecuador, possible amendment of agreement, 173 

Escape clauses, report on : 
Message of President to Congress, 173, 603 
Recommendation of Commission on Foreign Economic 
Policy, 193 

Scissors and shears, investigation of concessions on and 
decision not to increase duty, 840 

Uruguay, termination of agreement, 732 
Trade Agreements Act (see also Tariffs and trade, general 
agreement on) : 

Extension, 220 

Recommendations of Commission on Foreign Economic 
Policy and President's recommendations to Congress, 
193, 603, 841, 842 
Trade and Economic Affairs, Joint U. S.-Canada Commit- 
tee, meeting and communique, 364, 511 
Transportation (.«ee also Ships and Shipping) : 

Pan American Railway Congress, VIII, 167, 963 

Road traflie convention and protocol, 117, 884 
Travel, international : 

Americans abroad, article (CoUigan), 663 

Facilitation, U. S. measures, letter (Randall to Javits), 
997 

Motor traffic, standardization and simplification of regu- 
lations, 117, 884, 998 

Recommendations of Commission on Foreign Economic 
Policy, 194 

Recommendations of President to Congress, 606, 842 

1043 



Travel, international — Continued 
U. S. customs simplification, 192, 604, 842, 998 
Visa fees and tourist charges, agreement with El Salva- 
dor for abolishment, 773 
Treaties, agreements, etc., international Uor specific 
treaty, see country or subject) : 
Bilateral economic treaties, U. S. and other countries, 

listed, 443 
Brlcker amendment, text and views of President, 195 
Current actions on, listed, 525, 567, 613, 653, 693, 733, 

773, 803, 851, 884, 929, 965, 1001 
Educational exchange, operation under executive agree- 
ments, 889 
Foreign investments, negotiation of treaties for protec- 
tion of, 729 
Technical assistance agreements, provisions, 551 
Tribunal, Administrative, U. N., relationship to General 
Assembly, request for advisory opinion of Court in 
U. N. awards case, 34, 199, 482, 963 
Trieste, Free Territory of, report on administration of 

Brltish-U. S. Zone, 124 
Trieste, Zone B, agreement on German external debts, 

accession deposited, 733 
Trieste problem, postponement of Security Council dls- 

cugsion, 70 
Tripartite Commission on German Debts, completion of 

work and resignation of U. S. delegate, 69 
Tripartite Pact (Greece, Turkey, Yugoslavia), 248, 276, 

365, 441 
Troops, U. S. See Armed forces 
Tropical Tuna Commission, Inter-American, appointment 

of U. S. commissioner, 640 
Trust territories (see aZ«o Colonialism) : 
Africa. Sec under Africa 
Pacific. See Pacific trust territory 
Trusteeship Council, U. N. : 

Documents listed, 69, 174, 645, 679, 854 
14th session, U. S. representative and advisers, 930 
Trusteeship system, operation, 716 
Tsuzuki, Dr. Masao, visit to U. S., 791 
Tubman, William V. S., visit to U. S., 795 
Tuna Commission, Tropical, Inter-American, appointment 

of U. S. commissioner, 640 
Tuna industry, Japan, unharmed by radioactivity, 598 
Tung imports, investigation of effect on price-support pro- 
gram, 839 
Tunisian situation, article (Howard), 332 
Turkey : 

Copper shipments to Czechoslovakia, 493 
Economic progress, statement (Anderson), 284 
Export-Import Bank loans, 370, 553, 731 
Geneva Conference, invitation to, 347 
Geneva conventions on prisoners of war (1949), ratifica- 
tion deposited, 773 
International Bank loans, 286, 371, 407, 551, 553 
Investment legislation, 2S5n, 486, 551 
NATO, membership, 277, 279, 285, 440, 912 
NATO, protocol on status of international military 

headquarters, ratification deposited, 1001 
NATO, status of forces agreement, accession deposited, 
1001 



Turkey — Continued 
Pakistan, joint communique on security, 327, 333>i, 400, 
401: 

Addresses and statements : Byroade, 441, 442 ; Dulles, 
581, 923 ; Jernegan, 444, 595 
President of, visit to U. S., 24, 162, 213, 284 : 

Address before joint session of Congress, 247 

Award of Legion of Merit, 249 
Prime Minister, visit to U. S., 879, 912 
Tripartite Balkan Pact (with Greece and Yugoslavia), 

248, 276, 365, 441 
Turkish Straits problem, Soviet proposals and protests, 

277 
U. S. military and economic aid, 247, 279, 366, 367, 550, 

553, 580, 714, 992 ; joint communique, 912 

Underdeveloped areas («eeo?«o Colonialism) : 
Soviet noncooperation in assistance to, 828, 829 
U. N. aid. See United Nations : Technical assistance 

program 
U. S. economic policy toward {see also Mutual security 

and assistance programs), address and statements: 

Hotchkis, 725 ; Key, 826 
UNESCO. See United Nations Educational, Scientific, 

and Cultural Organization 
Union of South Africa. See South Africa, Union of 
Union of Soviet Socialist Republics. See Soviet Socialist 

Republics, Union of 
United Fruit Co., expropriation of land in Guatemala, 

U. S. claim and proposed arbitration, 678, 938, 950 
United Kingdom : 

British Commonwealth, Foreign Relations volumes on, 

released, 654, 966 
British Guiana, U. S. technical cooperation survey, 89 
British West Africa, international telecommunication 

convention, accession deposited, 773 
Channel Islands, treaty actions, 693, 733 
Cyprus, statement in U. N. by Greek representative, 276 
Disarmament efforts in U. N., 986 
Disarmament Subcommittee, U. N., member, 687, 688 
East-West trade talks with U. S. and France, 563 
Egypt: 

Controversy with, developments in 1953, article 
(Howard), 280 

Elections in Sudan, address (Sanger), 213 
Enemy property, conflicting claims to, meetings with 

U. S. to discuss, 590 
EDC, position on : 

Policy statement on, 620 (text), 748 

Statement (DuUes), 185 
Fisheries dispute with Iceland, address (Phleger), 200 
Foreign Ministers' Meeting in Berlin. See Foreign Min- 
isters' Meeting 
Geneva Conference. See Geneva Conference 
Germany : 

Interzonal freedom of movement, efforts to restore, 
508, 879 

Unification plan. See Foreign Ministers' Meeting 
Germany, East, joint declaration on Soviet claim for 

"sovereignty" of, 588 
Gold Coast, self-rule, 336, 717 



1044 



Department of State Bulletin 



United Kingdom — Continued 
Houg Kong : 

U. S. emergency relief for fire victims, 87 

U. S. export policy, 112 
Indochina and Southeast Asia, conversations with U. S. : 

Joint statement, 622 

Statements (Dulles), 590, 668 
Iranian oil dispute : 

Developments in 1953, article (Hovrard), 279 

U. S. efforts to settle, address (Sanger), 214 
Isle of Man, application of universal postal convention 

to, 693 
Military talks with U. S., 948 
Monetary gold case, 199 
Nigeria, self-rule, 298, 336, 717, 718 
Palestine question, draft resolution in Security Council 

on Jordan Valley project, 58, 59, 297 
Patent Appeal Board, Germany, membership on, 913 
Prime Minister (Churchill) and Foreign Secretary 

(Eden) to visit U. S., statements (White House and 

Dulles), 989, 991 
Queen Mother, visit to U. S., 327 
Suez Base negotiations, 213 
Tolien Import Plan, extension, 123 
Treaties, agreements, etc. : 

Income tax convention with U. S. : 
Amendment, 884 
Supplementary protocol signed, 928 

NATO, status of forces agreement, ratification de- 
posited, 1001 

Postal convention, universal, ratification deposited 
for U. K., and overseas territories, colonies, etc., 
693, 733 

Sugar agreement, international, ratification deposited, 
525 

Technical cooperation agreement with U. S. for 
Caribbean area, 653 

Telecommunication convention, international, acces- 
sion deposited for British West Africa, 773 
Trieste, British-U. S. Zone, report on administration 

of, 124 
Trust territories in Africa, administration, 298, 336, 

718, 719 
U. S. aid : 

Caribbean area, 653 

Continuance under Battle Act provisions, 491 
U. S.-American ties, strengthening, address (Aldrich), 

591 
United Nations : 
Addresses : 

A Fresh Look at the U. N. (Key ) , 976 

Peaceful Change through the U. N. (Key), 394 

U. N. Record of Accomplishment (Lodge), 721 

U. S. support : Dulles, 935 ; Matthews, 436 ; Murphy, 
786 

What the U. N. Means to the U. S. (Lodge), 252 
Annual report of Secretary General, excerpt, 275 
China, Communist, unfitness for membership, addresses ; 

Dulles, 540 ; Jenkins, 625, 626, 861, 862 ; Lodge, 724 
Collective security actions, Soviet obstruction, 984 
Conventional Armaments Commission, 986 
Documents, listed, 34, 67, 131, 174. 526. 573, 607, 645, 

679, 715, 854, 888, 993 

Index, January fo June 1954 



United Nations — Continued 

Employees : 

Address (Lodge), 254 

Dismissal, question of payment of awards, 34, 199, 482, 
963 

Fiscal contributions, 254, 255 

Forced labor report. See Forced labor 

General Assembly. See General Assembly 

Genocide convention : 

Soviet ratification deposited, 884 
Summary of action on, 882 

Greece, border disturbances, U. N. observation, 978 

Indochina situation, question of action by U. N., 863, 
936 

International Bank for Reconstruction and Develop- 
ment. See International Bank for Reconstruction 
and Development 

International Court of Justice. See International 
Court of Justice 

International Law Commission, address (Phleger), 199 

Investment, private international, opportunity for en- 
couraging, 730 

Japan, armed forces in, agreements regarding. See 
Japan 

Japan, question of admission, 514 

Jordan Valley project. See Jordan River 

Kashmir, disturbances, U. N. observation, 979 

Korea : 

Contributions, 255, 452, 723, 724, 936 
NNSC, 689, 941, 944, 977 
Observation group in, 979 

Unification, review of U. N. attempts toward, state- 
ment (Dulles), 704 
U. N. Command operations. See under Korea 

Marshallese complaint regarding atomic tests by U. S., 
886 

Minorities Subcommission, designation of U. S. alter- 
nate member, 59 

Motor traffic, international, recommendations, 118 

Observer system, 978, 979, 984 

Palestine question, efforts toward solution. See Pales- 
tine question 

Peaceful settlement role, 983, 984 

Publications. See under Publications 

Security Council. See Security Council 

Soviet concept of 5-power control, 182, 222, 223 

Soviet denunciation and rejection of authority of, 915, 
916, 917, 977 

Specialized agencies. See Specialized agencies and 
name of agency 

Technical assistance program : 
Address (Key), 396 
Information media, possible application to, statement 

(Hotchkis), 684 
Latin America, 237, 238 
Soviet reversal of policy toward, 828 
Thailand, 373 
U. S. support, 190, 366, 369, 828, 849, 984 

Thai request for peace observation mission. See Thai- 
land 

U. S. economic relations, benefits by participation in 
U. N., address ( Key ) , 826 

U. S. support, addresses : Dulles, 935 ; Eisenhower, 703 

1045 



United Nations — Continued 

"Uniting for Peace" resolution, addresses, statements, 

etc., 171, 396, 461, 643, 985, 989 
World forum, addresses : Lodge, 723, 724 ; Key, 976 
World Health Organization. See World Health Organ- 
ization 
United Nations Administrative Tribunal, relationship to 
General Assembly, submission to International Court 
of Justice for advisory opinion in U. N. awards case, 
34, 199, 482, 963 
United Nations Charter, reviev? of, addresses and state- 
ments: Dulles, 170, 397, 642, 644, 645; Key, 397; 
Lodge, 451 ; Wainhouse, 642 
United Nations Children's Fund : 
Accomplishments (1953), 828 
U. S. contribution to, 366, 371 
United Nations Command operations in Korea. See under 

Korea 
United Nations Conciliation Commission for Palestine, 96, 

329, 332 
United Nations Conference on Tin, 239, 241 
United Nations Day : 
Appointment of chairman of U. S. committee, 567 
Letter of President Eisenhower regarding, 771 
United Nations Disarmament Commission. See Dis- 
armament Commission 
United Nations Economic and Social Council. See Eco- 
nomic and Social Council 
United Nations Economic Commission for Europe : 
Annual economic survey of Europe, statement (Brown), 

608 
Statement (Lodge), 849 
United Nations Educational, Scientific, and Cultural Or- 
ganization : 
Cultural Property in the Event of Armed Conflict, Inter- 
governmental Conference on Protection of, U. S. dele- 
gation, 691 
Educational opportunities for women, report, 649, 650 
Executive Board meeting, 413 
Soviet membership, 828, 829, 884, 980 
U. S. national commission for, appointments to, 60 
Work of, 828 
United Nations Food and Agriculture Organization, work 

of, 396, 828 
United Nations Relief and Works Agency for Palestine 
Refugees : 
Establishment, 97 
Extension, 99, 210, 211, 332 
Jordan Valley project. See Jordan River 
Refugee relief work, 97, 98, 553 
Sinai Peninsula, irrigation project, 99 
U. S. contributions, 99, 147, 552 
United Nations Truce Supervision Organization, 212, 329, 

331, 979 
United Nations Trusteeship Council. See Trusteeship 

Council 
United States : 
Attitudes toward Allies, address (Matthews), 434 
World leadership, 289, 436, 459, 490, 939 
United States citizens : 
Claims. See Claims 

Detention in Communist China, discussions at Geneva, 
949, 950 

1046 



United States citizens — Continued 
Journalists, kidnapping by Chinese Communists, 685 
Personal relationships abroad, importance, address 

(Woodward), 236 
Protection of, in Guatemala, 981, 982 
Traveling abroad, article (Colligan), 663 
United States citizenship. President's recommendations to 

Congress on internal security legislation, 78 
United States Information Agency. See Information 

Agency, U. S. 
"Uniting for Peace" resolution, U. N., addresses, state- 
ments, etc., 171, 896, 461, 643, 985, 989 
Uruguay : 

GATT, accession to, 53 

Trade agreement with U. S., termination, 732 
U. S. Ambassador, confirmation, 298 
U. S. tariff concessions, proclamation of, 53 
USIA. See Information Agency, U. S. 

Venezuela : 

Inter-American Conference, 10th. See Inter-Americao 

Conference 
U. S. private investment, 728 
Vessels. See Ships and shipping 
Veto power in U. N. Security Council. See Security 

Council : Voting procedure 
Viet Minh : 

Aggression in Indochina. See Geneva Conference and 

Indochina 
Atrocity in Cambodia, Cambodian note and U. S. reply, 
746 
Viet-Nam : 

Communist aggression. See Indochina. 
Independence, progress toward, 359, 432, 539, 582, 742, 

784, 863, 924, 948, 972 
International supervisory commission for, proposed, 944 
Virginia Independence Resolution and Bill of Rights, com- 
memoration, address (Dulles), 779, 988 
Visa fees, agreement with El Salvador for abolishment of 

certain fees, 773 
Visual and auditory materials, agreement facilitating in- 
ternational circulation of : 
Entry into force, 1001 
Haiti, acceptance deposited, 965 
Voice of America (see also Broadcasting) : 
Address (Streibert), 205 
Czech countermeasures, 320 
Popularity rating, 320 
Voluntary Agencies for Foreign Service, American Coun- 
cil of, article (Ringland), 385, 387, 389, 392 
Voluntary foreign aid : 
Organization of (1939-53), article (Ringland), 383 
Refugee relief program, role of voluntary agencies, ad- 
dress, (Auerbach),797, 800 
Technical aid program, 389, 674 
Voluntary Foreign Aid, Advisory Committee on, article 
(Ringland), 383 

Wadsworth, George, confirmation as U. S. Ambassador to 

Saudi Arabia and Minister to Yemen, 298 
Wadsworth, James J. : 

Letter to Secretary General of U. N. on U. S. position 
on reconvening 8th session of General Assembly, 256 

Department of State Bulletin 



Wadsworth, James J. — Continued 
Statements in U. N. : 
Jordan Valley project, 297 

Prisoners of war, Korea, unrepatriated, release, 153 
Trieste problem, postponement, 70 
Wailes, Edward T., designation as Assistant Secretary of 

State for Personnel Administration, 413 
Wainhouse, David W. : 
Designation as Deputy Assistant Secretary of State for 

U. N. Affairs, 483 
Peace and security in the H-bomb age, address, 983 
Tunisian problem, statement, 333 
U. N. Cliarter review, address, 642 
War Claims Commission, U. S., 24, 811 
War materials, illegal export, convictions, 567 
War relief, voluntary, article (Ringland), 384 
War Relief Control Board, 384, 385 
Waring, Frank A., address on Japanese economy, 293 
Warren, Earl, statements on Japanese recovery, 431 
Warren, George L., articles on Intergovernmental Com- 
mittee for European Migration, 26, 994 
Warships. See under Ships and shipping 
Washburn, Abbott McC, confirmation as Deputy Director, 

U. S. Information Agency, 337 
Waugh, Samuel C, addresses and statements : 
Agricultural surpluses, use of, 238 
Economic relations, inter-American, 427 
Foreign economic policy, 321 
Weather stations, North Atlantic. See North Atlantic 

ocean stations 
Weeks, Sinclair, U. S. export policy toward Soviet bloc, 

111, 321 
Weights and measures, convention on, adherence depos- 
ited by Brazil, 1001 
West Africa. See Africa 
Western powers, unity, address (Murphy), 473 
"Wetbacks" (see also Mexico: Migrant labor agreement), 

Soviet charges concerning U. S. treatment, 809 
Wheat agreement, international, agreement revising and 
renewing : 
Actions by Honduras and Yugoslavia, 851 
Status by country, 526 
Wheat shipments to foreign countries : 
Afghanistan, agreement for, 566, 613 
Bolivia, 468, 488, 489 
Jordan, 489, 552 ; agreement, 55 
Libya, 489 

Pakistan, 369, 489, 760 
White, Lincoln, press statements : 
Israeli bus ambush, 554 

Soviet claim of "full sovereignty" for East Germany, 511 
Wiley, Senator Alexander, sponsor of St. Lawrence Sea- 
way bill and remarks upon signing of, 363, 364, 796 



Willauer, Whiting, confirmation as U. S. Ambassador to 

Honduras, 337 
Wilson, Charles E., statement on air-defense cooperation, 

U. S. and Canada, 639 
Winterton, Maj. Gen. Sir John, report on administration of 

British-U. S. Zone of Trieste, 124 
Women, Commission on Education of, proposed study, 649 
Women, Inter-American Commission of, revision of 

Statute, 638 
Women, rights of, resolutions of 10th Inter-American Con- 
ference, 638 
Women, status of, statements in TJ. N. regarding (Hahn), 

646 
Wood, C. Tyler, confirmation as Economic Coordinator, 

Korea, 337 
Woodward, Mrs. Margaret Rupli, address on economic 

reconstruction of West Berlin, 584 
Woodward, Robert F. : 
Brazilian coastal shipping, statement on proposed U. S. 

sale of ships for, 533 
Private enterpri.se in Latin America, address on, 234 
Wool, U. S. import policy, statement (Eisenhower), 381, 

393 
World Bank. See International Bank for Reconstruction 

and Development 
World brotherhood, address (Murphy), 785 
World Health Organization : 

Budget for 1955 and U. S. assessment, 964 
Executive Board session, U. S. delegation, 130 
Work of, 396, 828, 981 

World Health Assembly, 7th, U. S. delegation, 771 
World Meteorological Organization convention, application 

to Spanish Guinea and Spanish Zone of Morocco, 733 
World power situation, address (Murphy), 988 
World Trade Week, proclamation, 801 
Wounded and sick, treatment in time of war. See Geneva 

conventions 
Wriston, Henry M., recommendations for strengthening 

U. S. Foreign Service, 413, 1002 

Yalta, 180, 312, 541, 971 
Yemen, U. S. Minister, confirmation, 298 
Yoshida, Shigeru, visit to U. S. postponed, 918 
Yugoslavia : 

Ambassador to U. S. credentials, 624 

FOA allotments for U. S. agricultural surpluses, 714 

Tripartite Balkan Pact (with Greece and Turkey), 248, 
276, 365, 441 

Wheat agreement, international, accession deposited, 851 

Zahedi, Fazlollah, request for U. S. aid for Iran, 280 
Zionism. See Israel 



Department of State Publication 6006 

Released November 1955 

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For sale by the Superintendent of Documents, U. S. Government Printing Office 



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I 



'jAe/ ^eha/i^tTneni/ /(w tnat& 




Vol. XXX, No. 758 
January 4, 1954 



^SNX o^ 




Atbs o* 




A REPORT ON NATO 

Address by Secretary Dulles .... ^^^^^^^^^^K 3 

Statement by the President .... •^^^^^^^^B- 7 

Text of NAC Communique S^I^P^lK 8 

MEETING THE PEOPLE OF ASIA • by Vice President 

Nixon 10 

ATTEMPTED NEGOTIATIONS AT PANMUNJOM • by 

Ambassador Arthur H. Dean ....»•••••. 15 

CANADA-UNITED STATES RELATIONS • by 

Ambassador R. Douglas Stuart .«•••••«•. 18 

INTERNATIONAL EFFORTS TO SOLVE REFUGEE 

• PROBLEM • Article by George L. Warren 26 



For index see inside back cover 



Boston Public Li'jrary 
SuperintenHptit of Documents 

FEB 2 3 1954 




■<T,« O* 



,jAe z/^e/ia^^l^me'nt c^ t/iciie 



bulletin 



Vol.. XXX, No. 758 • Publication 5332 
January 4, 1954 



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Note: Contents of this publication are not 
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OF State Bulletin as the source will be 
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The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
Dublic and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the Dc 
partment of State and the Foreign 
Service. The BULLETIN includes 
selected press releases on foreign pol- 
icy, issued by the White House and 
the Department, and statements and 
addresses made by the President and 
by the Secretary of State and other 
officers of the Department, as well as 
special articles on imrioiis phases of 
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Publications of the Department, as 
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A Report on the North Atlantic Treaty Organization 



Address hy Secretary Dulles ^ 



Last week the Nato Ministerial Council met in 
Paris. The United States was represented by the 
Secretaries of State, Treasury, and Defense, and 
by the Director of the Foreign Operations Admin- 
istration. We reviewed the progress made and 
we made plans for the future. 

This is important business from the standpoint 
of the American people. Nato comes closer than 
anything yet to being an efl'ective international 
community police force. Fourteen nations have 
joined together to create a defensive organization 
committed to protect the security of a large area. 
This area is vital to the defense of freedom. It 
constitutes the pi'incipal home of Western civili- 
zation. Also, the Western European part con- 
tains coal and iron and industrial plants which, if 
they fell into hostile hands, would markedly shift 
the balance of power away from us. 

All of the 14 member nations have made im- 
portant contributions toward building this North 
Atlantic Treaty Organization. Many strategic 
facilities are contributed by smaller nations. Most 
of the forces in Europe are contributed by nations 
other than the United States, although "there are 
approximately six United States divisions, with 
air and naval support, now in the European thea- 
ter. The United States has made the largest single 
contribution to arming and equipping the Nato 
forces. We have put some $11 billion into this 
phase of our effort. 

The project is so vital and the investment in it 
so large that it deserves careful supervision. That 
is, of course, the continuing task of our able per- 
manent representative at Nato's headquarters in 
France.^ But also it is important that Cabinet 
Ministers from the 14 countries should come to- 
gether to talk about Nato and its problems. 

The "Long Haul" Concept 

We found the Oi'ganization in good shape. It 
has adapted itself to a new concept which the 

' Made before the National Press Club, Wasliington, 
D. C, on Deo. 22 (press release 668). 
'Ambassador John C. Hughes. 

January 4, 1954 



United States brought to the Nato meeting of last 
April. Tliis was that Nato should operate on a 
budget which the member nations can sustain for 
what may be a long period. 

When Nato was organized in 1950, many 
thought that general war might come quickly and 
that Nato should build itself up, on an emergency 
basis, to full defensive strength. That involved 
setting a pace which none of the member nations 
could sustain indefinitely. 

At the Ministerial Council Meeting of last April, 
virtually every member nation was saying that it 
could not carry its allotted share of the Nato pro- 
gram without large grants of economic aid from 
the United States. The total was a figure which 
the United States itself could not indefinitely 
support. 

It seemed to us that it was justifiable and even 
prudent now to moderate Nato's emergency — and 
exhausting — pace. 

So, at the last April Council Meeting, the United 
States put forward a new concept, now known as 
that of the "long haul." That means a steady de- 
velopment of Nato, which, however, will preserve, 
and not exhaust, the economic and fiscal strength 
of member nations. 

Some feared that this shift, from the mood of 
emergency to that of a steady pace, could not be 
made without destroying the morale of the Or- 
ganization and leading to its disintegration. Some 
felt that what we proposed wovdd be misinter- 
preted as a loss of United States interest in Nato. 
We knew that the change of pace could not be 
safely accomplished except by skillful handling. 
But that has now been done. It was made possible 
by comprehension on the part of the permanent 
staff and the military leaders of Nato. They wei-e 
statesmen, as well as soldiers, and they understood 
and adapted themselves to the need of taking into 
account all of the risks — not merely the military 
risks, but also the nonmilitary risks. 

Today we can honestly judge that Nato is on 
a sustainable basis. 

This sustaining basis is one which largely re- 
duces the necessity for continuing United States 



economic aid to the countries of Western Europe. 

These countries have made a good economic re- 
covery. Their currencies are showing greater 
strength and stability. Tlie inflationary pressures 
are reduced, as a resuk of sounder fiscal and mone- 
tary policies. There is also some progress toward 
greater economic freedom and liberalization of 
trade, though there continue to be serious restric- 
tions on the movement of goods, and especially 
on the import of dollar goods. 

These Nato meetings, along with the activities 
of other international groups, are spreading an 
understanding of the requirements for economic 
strength, which is basic to the political and mili- 
tary strength of the West. 

The Deterrent of Captives' Discontent 

It is important to bear in mind that while mili- 
tary power is a principal deterrent to armed 
aggression, it can be importantly reinforced by 
other deterrents. For example, the Soviet rulers 
may hesitate to attack if contrasting social condi- 
tions bring them domestic troubles. 

At our Paris meeting it was generally judged 
by the Nato Ministers that the danger of open 
military aggression from Soviet Russia was less 
than it had been a year or two before. That, if 
true, is largely due to Nato's growing power. But 
also it is due to internal pressures and discontents 
resulting from the bad living conditions within the 
Soviet bloc and the contrasting better conditions 
within the neighboring free countries. 

It seems that the Soviet rulers' exploitation of 
their own and the satellite peoples has reached 
a point where it would be reckless for them to 
engage in general war. All recent major speeches 
by high Soviet officials seek to encourage their 
people to hope for more food and more consumers' 
goods of better quality. That clearly shows a 
popular demand so insistent that it cannot be 
ignored. It suggests that perhaps the workers 
within the Soviet Union may be allowed to work 
less for military purposes and more for their own 
good. That, of course, would be a welcome ap- 
proach to the practices observed in the free world. 

The revolt of last June within East Germany 
exposed the vast underlying discontent which 
exists among the workers within the satellite areas. 
It indicates that if there were an armed invasion of 
Western Europe, the Soviet lines of communica- 
tion might not be altogether secure. 

These were among the factors which, the For- 
eign Ministers at Paris felt, operated to deter an 
invasion of Western Europe. It shows how im- 
portant it is for the free world countries to con- 
tinue to provide living standards really superior to 
those within the captive world. 

I am not suggesting that an orgy of self- 
indulgence is the answer to the Soviet menace. 
The danger is immense and persistent. This is no 
time for the free world to relax and to weaken its 



own military capacity to defend and strike back. 
We are, however, at a time when we can usefully 
confront Soviet rulers with a demonstration of our 
capacity to do two things at once — i. e., to develop 
military power and to increase well-being. 
I said to the Nato Council — 

We are convinced that our members can provide the 
resources for an adequate defense, including a wide range 
of new weapons, and at the same lime permit a steady 
improvement in the living standards and general welfare 
of our peoples. . . . That itself is a security measure. 
It nullifies the Communists' subversive efforts against the 
free governments. Also, it creates a striking contrast to 
despotism, and thus confronts the Soviet rulers with a 
dilemma at home. 

We gave consideration to the problem of the de- 
fense of the North American Continent. Canada 
and the United States form part of the treaty area 
and the Council recognizes that it is important 
to protect North America's military potential. 
The temptation to aggression would be great if the 
aggressor could, by an initial blow, knock out the 
industrial power of North America. 

It is not feasible to provide an absolute insur- 
ance against serious damage to our cities and 
industries. However, it is possible to secure a 
substantial measure of protection. 

The Foreign Minister of Canada joined with us 
in emphasizing the importance to Nato of defen- 
sive measures within this continent. But we both 
indicated that this would not be sought at a scale 
of expense which would impair the ability of our 
countries to contribute to other aspects of the 
Nato effort. 

We were greatly impressed by the spirit of vig- 
orous fellowship which pervades Nato. The per- 
manent Nato staff, drawn from 14 countries, is 
dedicated to a common purpose. That is an in- 
spiring fact. Indeed, Nato is a unique organiza- 
tion in more respects than one. Never before have 
sovereign nations so freely exchanged military 
information. Never before have nations taken 
recommendations from an international body con- 
cerning length of military service, balance of 
forces between military services, and other equally 
delicate problems and, what is even more surpris- 
ing, accepted them in spite of adverse domestic 
political considerations. 

The American people can take pride in Nato 
and take comfort in it. We should sustain it on 
the basis now planned — a basis which involves a 
fair sharing of burdens and benefits, and which 
combines growing strength for Nato with eco- 
nomic and fiscal integrity for ourselves and other 
member countries. 

Certainly, each member of Nato gets out of it 
much more than the price of admission. It is 
costly, but it is not nearly as costly as though each 
tried to buy separately, for itself alone, the amount 
of security that it now gets on a collective basis. 
Indeed, no nation, at any cost, could get alone what 
Nato provides for all its members. 

Department of State Bulletin 



The Precarious Foundation 

So far, so good. However, if we go farther and 
delve deeper, it is not so good. Nato has become 
a splendid structure. But it rests upon a founda- 
tion which is precarious and which must cause us 
grave concern. 

United States postwar policy has consistently 
recognized the imperative necessity of a closer 
integration of Western Europe. Congress ex- 
pressed that when it adopted the Eurojjean Re- 
covery Program in 1948, when it ratified the North 
Atlantic Treaty in 1949, and when it subsequently 
provided economic and military assistance to Eu- 
rope. In so doing, our Congress was not impos- 
ing an American concept on Europe. It was en- 
dorsing a conviction that every Western European 
statesman of this generation has eloquently and 
forcefully expressed. 

Actually, much progress has been made toward 
economic, military, and political unity. 

A Coal and Steel Community has already been 
created and the possibility of broader unity now 
resides in the treaty to create a European Defense 
Community (Edc). This treaty was signed in 
May 1952 by France, Italy, Belgium, the Nether- 
lands, Luxembourg and the West German Repub- 
lic. In essence, this treaty provided for the 
establishment of a common military force, drawn 
from the six countries, which would be placed 
under common institutions created by them. 
They would operate under a single budget, with 
common procurement of military equipment. 
They would have similar uniforms and training 
and would be put at the disposal of the Nato 
Supreme Commander. 

At the same time that this Edc treaty was 
signed, the United States, the United Kingdom, 
and France signed a convention with the West 
German Republic designed, in effect, to end the 
postwar occupation.^ This convention, however, 
provides that it does not come into force unless the 
Edc treaty comes into force. 

It was contemplated by the Edc treaty that it 
would be ratified witliin 6 months. Now 18 
months have elapsed and there is still no assurance 
of early action, although good progress toward 
ratification has been made in several of the Edc 
countries. No Parliament to which the Edc 
treaty has been submitted has voted against rati- 
fication. But some of the Parliaments have not 
wanted to face the issue. 

None of us must underestimate the difficulty of 
affirmative action. It involves a merging of na- 
tional institutions which the nations identify with 
their respective histories. It involves substitut- 
ing fellowship for hatreds which are both ancient 
and recent. However, the day of decision cannot 
be indefinitely postponed. We are close to a date 
when nonaction is the equivalent of adverse ac- 
tion. This is the more true because the Mutual 



" Bulletin of June 9, 1952, p. 887. 
January 4, 1954 



Security Act of 1953 conditions much of our 
European military support upon the actual ex- 
istence of Edc* 



"The Deadly Danger of Procrastination" 

General Eisenhower, in an address made in 
London on July 3, 1951,'' made an appeal for 
European unity which has rarely, if ever, been 
equaled in its eloquence and in the clarity of its 
reasoning. After speaking of the immense gains 
that could be achieved through unity, General 
Eisenhower pointed out that "the project faces 
the deadly danger of procrastination. . . . 
The negative is always the easy side, since it holds 
that nothing should be done. The negative is 
happy in lethargy, contemplating, almost with 
complacent satisfaction, the difficulties of any 
other course." 

Since he spoke, 21/^ years have gone by and the 
truth of his observation has been manifest. 

Wlien I was in Paris last week, I mentioned the 
importance of action soon, and said that if there 
was not an early and affirmative response, the 
United States would have to undertake an "ago- 
nizing reappraisal" of basic foreign policy in rela- 
tion to Europe. 

That statement, I thought, reflected a self-evi- 
dent truth. Successive international communiques 
issued throughout this year have said that the con- 
summation of Edc was "urgent," of "paramount 
importance," "necessary," "needed" and "essen- 
tial." But these weighty utterances seem not to 
have sunk in. Let me, therefore, mention three of 
the factors which make Edc essential. 

1. There is the immediate problem of the so- 
called "forward strategy" in Western Europe. 
This means a plan, and a will, to defend the entire 
area of the prospective Edc countries rather than 
to contemplate from the beginning the abandon- 
ment of advanced positions in Germany, which 
might make the rest untenable. In pursuance of 
this strategy, a substantial part of the United 
States Army occupies advanced positions in West 
Germany. However, without the Edc, it is not 
legally permissible to draw on German strength 
for the defense of German soil. Equally, of course, 
it is not acceptable that the United States should 
continue in the role of being a principal defender 
of Germany, while the Germans themselves look 
on as mere observers. The "forward strategy" was 
initiated in September 1950 on the assumption 
that there would soon be German participation in 

* The Richards amendment to the Mutual Security Act 
of 1953 stipulates that, of the equipment and materials 
made available for military assistance to Europe with 
funds authorized for fiscal year 1954, .50 percent shall he 
transferred to "the organization which may evolve from 
current international discussions concerning a European 
defense community" or "to the countries which become 
members thereof." 

• Bulletin of July 30, 1951, p. 163. 



the common defense. If that prospect disappears, 
then the basic strategy of Nato will have to be 
reexamined. 

2. There is not merely the problem of providing 
German contingents, but of doing so in a form rea- 
sonably acceptable to Germany's neiglibors. Edc 
meets this problem by limiting German forces and 
providing that the Germans who are armed will 
form part of a six-power army. They will not be 
subject to a German General Staff and they cannot 
be used for national purposes. This gives assur- 
ances to France and other nations, including the 
Soviet Union, which have a legitimate concern that 
Germans shall not be rearmed under conditions 
which would make possible a recurrence of such 
invasions as they have suffered from German 
militarism. 

3. There is the problem of permanently sealing 
the breach between France and Germany. 

Twelve years ago, as the United States formally 
entered into World War II, I wrote : 

Continental Europe has been the world's worst fire 
hazard. Now the whole structure Is consumed in flames. 
We condemn those wlio started and spread the fire. But 
this does not mean when the time comes to rebuild that 
we should reproduce a demonstrated fire trap. 

To my mind this is the dominant consideration. 
It takes precedence over getting German divisions 
under Nato, important as that is. The essen- 
tial is to end, once and for all, the suicidal strife 
which has long plagued the Western World. It 
has so weakened it, both materially and in pres- 
tige, that Western civilization can now be seriously 
challenged by a materialist civilization, which, 
behind a thin veneer of sanctimonious theory, 
actually reproduces the human degradation of 
dark ages. 



"Alternatives" to EDC 

It is said that there must be alternatives to Edc. 
Of course, if Edc fails, there will be things to be 
done. We are not blind to that. But I do not see 
"alternatives" in the sense of other practical ways 
of accomplishing the three Edc goals I mentioned. 

Let us, by way of illustration, take the "alter- 
native" which is most mentioned, that is, to re- 
store sovereignty to the West German Republic 
and then to make it a member of Nato. 

That is simply said, but hardly done ; at best it 
accomplishes merely the first of the three purposes 
of Edc. It would bring German soldiers into 
Nato. 

But how about the second goal, of doing this 
in a way to reassure France and Soviet Russia? 
It would recreate a German national force which 
could be withdrawn for national purposes at the 
will of a German general staff. This is not 
reassuring. 

How about the third goal, of creating organic 
unity in Western Europe which will assure an 



ending of its suicidal strife? This great goal will 
be lost in the rebirth of nationalism. 

But supposing we decided, as we might, to try 
this way. Let us not imagine that the procedure 
would be simple or expeditious. First, it would 
call for renegotiation of the present four-power 
convention designed to restore West German sov- 
ereignty. That is because, as I pointed out, the 
present convention depends upon the coming into 
force of Edc. The renegotiation of that treaty 
under present circumstances might not be easy, nor 
is it clear that the four powers would again readily 
find themselves in agreement. 

If, however, this hurdle can be overcome, there 
would then be the problem of bringing West 
Germany into Nato. This would require first of 
all willingness on the part of West Germany to 
apply for Nato membership. This willingness 
cannot be assured. Many Germans strongly op- 
pose the re-creation of a German national army 
with a German General Staff. 

There would then be the problem of securing 
the necessary amendment of the Nato treaty by 
each of the 14 member nations. There are many 
in France who wonder whether a French Parlia- 
ment which rejected German rearmament under 
the severe limits of Edc would ratify an amend- 
ment to Nato which would entitle West Germany 
to arm without those limitations. France has in 
this matter a legal power of veto. 

There are, of course, many other suggested 
"alternatives." I would not want to be understood 
as rejecting any of them. But all of them, as 
President Eisenhower has said, are "feeble." Also, 
they all would take time, a factor which cannot 
now be ignored. 

Powerful forces are now here to draw together 
the six nations of the proposed European Defense 
Community, and Britain and the United States are 
prepared to pledge to this Community their firm 
support. But unless unity is achieved soon, this 
historic moment may pass and different and 
divisive forces may take command. 

Already there is evidence of this in Europe. 
The Soviet Union is playing the dangerous game 
of seeming to support France and Germany 
against each other. Soviet propaganda is re- 
creating in France the fears of Germany. It is 
creating in Germany resentment against France, 
on the ground that its indecision is prolonging an 
occupation of Germany which already has lasted 
for nearly 9 years since the armistice. Chancellor 
Adenauer already last week found it necessary to 
plead with the German people to be patient. The 
fact that that plea was necessary should be a warn- 
ing sign that we do not have time to burn. 

We have reached one of those points where the 
perfect is the gi'eatest enemy of the good. No 
doubt the Edc treaty is less than perfect. How- 
ever, it does decisively pose the fateful choice. It 
has become the sj'mbol of Europe's will to make 
it possible to achieve a unity which will depend- 

Department of State Bulletin 



ably safeguard our Western civilization and all 
that it means in terms of human dignity and 
human welfare. 

Of course, if Edc fails, we shall do something. 
But what we then do may be quite different from 
what we had hoped would be possible. It may 
involve our tactically picking our way through a 
maze of manifold perils, as of old. 

I have confidence that the United States is 
strong enough, resourceful enough, and wise 
enough to preserve its vital interests even in the 
face of a failure of the Edc and the European 
unity it symbolizes. 

We need not, however, end upon any somber 
note. I do not believe that there will be failure 
to achieve European unity. My belief derives 
from the fact that the peoples of Europe do in 
fact possess qualities which make it imperative 
that Europe should be saved. 

Europe is important for many reasons. It is 
strategically located and it has industrial power. 
But above all, Europe is important because of its 
people. They possess to a unique degree the quali- 
ties wliich ennoble a civilization which bears the 
: deep imprint of Christianity. That is a fact 
which it IS. I think, appi'opriate to mention as we 
approach Christmas Day. 

What are those qualities? In individuals they 
are minds trained to reason clearly and serenely, 
vision to see far and truly, hearts which compre- 
hend the Fathership of God and the fellowship of 
man. and, finally, capacity to act rather than to be 
merely contemplative. 

In government, the quality we respect is willing- 
ness to trust, in great matters, to the response of 
individuals possessed of the qualities I mention. 

I have hopes in the response to be made regard- 
ing European unity, because I have faith in our 
civilization and in its human products. Delays 
and difficulties so far encountered are above all due 
to the fact that the issues have been obscured, so 
tliat the people do not see and think and compre- 
liend and act. 

That murky period is coming to an end. As the 
day of decision irrevocably approaches, so does 
comprehension grow. Therefore we can have 
high hopes. 

I have dealt in my talk with Nato because a 
report on that organization is due the American 
|H'ople. But also we can find elsewhere good 
LHound for hope. 

Our society of freedom has gained a clear moral 
initiative over the forces of reaction. 

After years of futile and evasive debate on the 

part of the Soviet Union about atomic weapons, 

,1 it has at least indicated a willingness to talk 

confidentially, and we hope seriously, about this 

problem. 

After months of attempted evasion, the Soviet 
Union finally, it seems, will meet and talk, again 
we hope seriously, about the unification of Ger- 
many and the liberation of Austria. We have 

January 4, 1954 



not yet had any formal reply to our invitation 
to meet at Berlin on January 4, but the Soviet 
statement received yesterday speaks of "the forth- 
coming conference in Berlin." 

The coming year will be a year for great deci- 
sion. There lie ahead European unity, a possible 
recession of the horror of atomic warfare, and a 
beginning of an ending of the unnatural division 
of Europe. 

In Korea we look forward to the first year of 
peace since 1949. 

The problems are many and grievous, but our 
hopes are high. We can, therefore, in all hon- 
esty look forward to the happier New Year, which 
I wish you all. 



President's Views 
on NATO Report 

white House press release dated December 23 

At today's meeting of the National Security 
Council, the President received with satisfaction 
the report on Nato made by Mr. Dulles, Mr. Hum- 
phrey, Mr. Wilson and Mr. Stassen, who attended 
the Ministerial Council Meeting at Paris. They 
reported that Nato is functioning efficiently, and 
is continuing to develop the strength and cohesion 
needed to provide security on a long-term collec- 
tive basis. 

The President was informed concerning the 
prospects of bringing into being the European 
Defense Community, a matter which has long been 
of deep concern to him. He considers this the 
only practical proposal for ending permanently 
the recui'rent strife between France and Germany, 
provoked twice in our own generation by Gei'man 
militarism, and of creating a solid core at the cen- 
ter of the Nato structure. The Pi'esident shares 
the view which had been expressed to the Council 
by Secretary Dulles, that failure soon to consum- 
mate the Edc would confront the United States 
with the necessity of reappraising its basic policies 
as regards Europe. 

The President also was informed of the opera- 
tions of the European Coal and Steel Community 
which has ah'eady brought together, in limited 
unity, the six nations which are prospective mem- 
bers of the European Defense and Political Com- 
munities. He was encouraged that the Coal and 
Steel Community is now in effective operation and 
reaffirms his hope that ways might be found to 
enable the United States to assist, on a loan basis, 
in modernizing and developing the natural re- 
sources within the jurisdiction of this Commu- 
nity, in accordance with his letter of June 15 to 
the Senate Foreign Relations Committee and the 
House Foreign Affairs Committee.^ 

' Bulletin of June 29, 1953, p. 927. 



North Atlantic Council 
Holds Twelfth Session 

TEXT OF FINAL COMMUNIQUE > 

1. The North Atlantic Council, meeting in 
Paris in Ministerial Session under the Chairman- 
ship of the French Foreign Minister, M. Georges 
Bidault, completed its work today. 

2. The Council examined the international situ- 
ation and views were exchanged on matters of 
common concern, including Soviet policy. The 
Council concluded that there had been no evidence 
of any change in ultimate Soviet objectives and 
that it remained a principal Soviet aim to bring 
about the disintegration of the Atlantic Alliance. 
While the Soviet Government had yet to show 
that it genuinely desired to reach agreement on 
any of the outstanding points of difference 
throughout the world, the policy of Nato is to 
seek solutions to problems by peaceful means. 
The Council therefore welcomed the steps taken 
by the Governments of France, the United King- 
dom and the United States in their recent ex- 
changes of notes with the Soviet Government to 
bring about an early meeting of the four Foreign 
Ministers in Berlin. The Council also warmly 
endorsed the initiative taken by the President of 
the United States in placing before the United 
Nations proposals for developing and expediting 
the peaceful use of atomic energy and bringing 
together the Powers principally involved in order 
to seek a solution to the problem of atomic arm- 
aments.^ 

3. The Council reaffirmed its conviction that 
peace and security must be the paramount aim 
of the North Atlantic Treaty Organization. It 
recognised that the increasing strength and unity 
of the North Atlantic Powers, which must be 
steadily reinforced, had proved to be decisive 
factors in maintaining peace and preventing 
aggression. Nevertheless, the threat to the West- 
ern world remains and member countries must be 
ready to face a continuance of this threat over a 
long period. The Atlantic Community must 
therefore be prepared to keep in being over a 
period of years forces and weapons which will be 
a major factor in deterring aggression and in 
contributing to the effective security of the Nato 
area, and which member countries can afford while 
at the same time maintaining and strengthening 
their economic and social structures. Improve- 
ments must continually be sought in the quality of 
Nato forces and to ensure that they have equip- 
ment which is always up-to-date so that, in the 
event of attack, they can act as a sliield behind 



which the full strength of the member countries 
can be rapidly mobilised. 

Within the continuously developing framework 
of the Atlantic Community the institution of the 
European Defence Community, including a Ger- 
man contribution, remains an essential objective 
for the reinforcement of the defensive strength 
of the Alliance. 

4. The Council considered the Report on the 
Annual Review for 1953 which records the prog- 
ress in the Nato defence effort particularly 
during the past year. At its meeting in December 
1952, the Council laid emphasis on the develop- 
ment of the effectiveness of the forces.^ In this 
respect notable progress has been made. Large 
quantities of new equipment have been provided 
to the forces. This has enabled, in particular, 
many new support units to be built up. The goals 
established for the current year have been com- 
pletely met for the land forces and to a substan- 
tial extent for the naval and air forces. 

5. On the basis of recommendations made in the 
Report, the Council adopted firm force goals for 
1954, provisional goals for 1955, and planning 
goals for 1956. The force goals agreed upon for 
1954 envisaged some increase in the numerical 
strength of existing Nato forces and a very sub- 
stantial improvement in their quality and effec- 
tiveness. 

6. It was agreed that special attention should be 
given to the continuing provision of modern weap- 
ons of the latest types to support the Nato de- 
fence system. 

The Council noted with satisfaction the inten- 
tion of the President of the United States of 
America to ask Congress for authority to provide 
information on nuclear weapons to Nato com- 
manders for purposes of Nato military plan- 



' Released to the press at Paris by the NAC Information 
Service on Dec. 16. 

' For text of the President's address, see Bulletin of 
Dec. 21, 1953, p. 847. 

8 



^ For text of the communique, see ibid., Jan. 5, 1953, 
p. 3. 

' Secretary of Defense Charles E. Wilson, addressing 
the Ministers on Dec. 15, had announced the President's 
intention. At his press conference in Washington on 
Dec. 16, the President replied as follows to a question on 
the subject : 

"There are certain changes in the law that are neces- 
sary before America can realize the full value with its 
allies out of the development that has been going on since 
the World War in this field, this weapons field. 

"Now, there are no changes contemplated by me or by 
the Chairman of the Atomic Energy Commission that 
have anything to do with the scientific processes of nu- 
clear fission or building of weapons or building of any- 
thing else. But where we are attempting to assure the 
integrity of a line, where we feel that our interest re- 
quires to hold it, it is simply foolish for us to thinls that 
we cannot or must not share some kind of our information 
with our allies who would be dependent upon the same 
kind of support of this kind as we will. 

"In other words, it is a very limited field, but certain 
revisions of the law are necessary before we can do any- 
thing, because you must remember that the law was passed 
under conditions that are not even remotely resembling 
what they are now." 

Department of State Bulletin 



7. The Council recognized that a long-term de- 
fence system as now envisaged raises important 
military and financial problems. With respect to 
the military problems, the Council invited the 
Military Committee to continue its re-assessment 
of the most effective pattern of military forces, for 
this long term, both active and reserve, due re- 
gard being paid to the results of studies of the 
effect of new weapons. The Council will be kept 
informed of the progress of this work and a report 
■will be submitted to it in due course. The Council 
will also keep under review the very considerable 
financial effort still required to continue the pres- 
ent build-up, to maintain Nato forces at an 
adequate level of readiness and to replace obso- 
lescent weapons. 

8. The Council heard statements by Admiral 
Sir John Edelsten, Commander-in-Chief Channel, 
Admiral L. D. McCormick, Supreme Allied Com- 
mander Atlantic, and General Alfred M. Gruen- 
ther. Supreme Allied Commander Europe, on the 
work achieved in their Commands, and took note 
of a progress report by the Military Committee. 

9. In the course of its review the Council con- 
sidered the Secretary General's Report and wel- 
comed the progress recorded since the last Min- 
isterial Meeting in April.'* It emphasized the im- 
portance of the work being done to co-ordinate 
national planning in such matters as civil defence, 
the wartime control and distribution of commodi- 
ties and of shipping and other means of transport. 
Agreement was expressed with Lord Ismay's view 
that the preparations by member governments in 
these fields should parallel the progress already 
achieved in the military field. The Council took 
note that the problems of manpower had been 
kept under review and that several recommenda- 
tions to governments had been approved. Prog- 
ress which had been achieved this year in prepar- 
ing correlated production programmes was wel- 
comed. These programmes cover pi'oduction, for 
several years ahead, of important ranges of mili- 
tary equipment. The Council expressed satisfac- 
tion with the Secretary General's Report on the 
implementation of the common infrastructure 
programmes. Besides a large number of projects 
now under construction, no less than 120 airfields 
and a large network of signals communications 
facilities are in use by Nato forces. 

10. Ministers took the opportunity to meet to- 
gether in restricted session and discussed infor- 
mally matters of interest to all the member gov- 
ernments. They intend at future meetings to 
continue this procedure, which developed natu- 
rally from the sense of unity in the Alliance. 
They are continually mindful of the political 

lai links which bind them in an Alliance which is not 
solely military in character. 



io: 



till 
an! 

ilii 



' For text of the April communique, see iMd., May 11, 
1953, p. 673. 



Soviet Union Delays 
Four Power Meeting 

Press release 675 dated December 26 

The Soviet Union on December 26, after 18 days 
of deliberation, advised that it will meet in Berlin 
but not on January 4 as the Governments of 
France, the United Kingdom, and the United 
States had proposed.^ It suggests January 25 "or 
any subsequent day" as suitable for the meeting. 
It says that this later date is a "necessity for ap- 
propriate preparation." This seems somewhat 
curious in light of the fact that the three-power 
invitation to the Soviet Union has been outstand- 
ing since last July. In suggesting a postpone- 
ment, the Soviet Union refers to the necessity of 
assuring proper conditions of participation in this 
conference for all four Governments. The Soviet 
Union presumably has solicitude for other par- 
ticipating governments and assumes that it is bet- 
ter qualified than the Governments of France, the 
United Kingdom, and the United States to decide 
what best suits their own interests. 

The U.S. Government will promptly exchange 
views with the Governments of France and the 
United Kingdom in order to prepare an early 
reply to the Soviet Union. The Soviet note would 
appear to delay for 3 weeks but not to prevent 
this meeting which the three Western Powers 
have long sought and to which they attach high 
importance. 



Soviet Response to 
U.S. Atomic],Proposai 

Statement hy Secretary Dulles 

Press release 666 dated December 21 

The Soviet Minister for Foreign Affairs has 
now delivered to Ambassador Bohlen, and has 
broadcast, the response of the Soviet Union to 
President Eisenhower's address of December 8 
before the United Nations.^ President Eisen- 
hower's address carried to every corner of the 
globe hope for the recession of the horror of 
atomic warfare. 

The United States was ready, the President said, 
to meet privately with such other countries as may 
be principally involved, including the Soviet 
Union, to seek an acceptable solution to the atomic 
armaments race. Into those talks the United 
States would carry a new conception for a "world 
bank" under the auspices of the United Nations, 
into which nations possessing normal uranium and 
fissionable materials would make contributions for 



' Bulletin of Dee. 21, 1953, p. 852. 
' lUd., p. 847. 



January 4, 1954 



peaceful purposes. The President sought a "way 
by which the miraculous inventiveness of man 
shall not be dedicated to his death, but consecrated 
to his life." 

In its resiJonse the Soviet Union expresses its 
readiness to take part in confidential or diplomatic 
talks concerning the President's proposal. This 
is hopeful. 

At the same time, the Soviet response criticizes 
the President's proposal on the gTound that it will 
not remove tlie threat of atomic weapons. It also 
restates former positions taken by the Soviet 



Union. The Soviet Union seems not to have 
caught the spirit of the President's proposal. Its 
very purpose was to find a new and clearly feasible 
basis which will permit of actually getting started. 
It has long been evident, and the tone of the 
Soviet response makes it even clearer, that little 
can be achieved by the continuance of public de- 
bate. The United States will, through the new 
channels which the Soviet Union now accepts, ex- 
plore every possibility of securing agi-eement and 
bringing President Eisenhower's historic proposal 
into the realm of creative action. 



Meeting the People of Asia 



iy Vice President Nixon'^ 



I appreciate the opportunity which has been 
given me by the television and radio networks to 
talk to you tonight in your homes about a part 
of the world that we Americans know very little 
about and about a part of the world which will 
have a great eifect on our future. 

"Wlien the President suggested that I make this 
report I debated on just what to say. It couldn't 
be a high policy speech because it is of course 
the province of the President and the Secretary 
of State to announce foreign-policy decisions. And 
so what I tried to do is put myself in the place 
of those of you who are listening and watching 
this program. "Wliat are the questions you would 
ask about the places that we have been if I were 
to visit you tonight in your living room ? I jotted 
some of them down, and I'm going to try to an- 
swer them as well as I can. 

First, and this is of course an important ques- 
tion, why take such a trip at all? "Wliy should 
Americans care what happens one-half way around 
the world ? There are two very good reasons for 
taking such a trip. One hundi'ed and fifty thou- 
sand Americans who were killed and wounded in 
Korea are the best evidence that what happens 
there in that part of the world affects us here. 
And then when you consider the places we vis- 
ited, consider the number of people who live there, 
and when you consider the breakdown in peojDle 
in the world, you will see why this trip was im- 
portant. 

Today there are approximately 540 million peo- 
ple who can be counted on the side of the free 
nations. There are 800 million on the Communist 



" Address made over radio and television on Dec. 23. 



10 



side. And there are 600 million others who must 
be counted as noncommitted, and most of those 600 
million live in the countries which we visited. The 
Communists are making an all-out effort to win 
this area. The best proof of that effort is the 
fact that they waged war in Korea and they are 
waging war now in Indochina and in Malaya. 
They have stirred up revolutions in Burma and 
Indonesia and the Philippines, and they have sup- 
ported subversion everywhere in this area. If 
they take this area, all of it or part of it, the bal- 
ance of power in the world in people and resources 
will be on their side, and the free world eventually 
will be forced to its knees. It is vital therefore to 
keep this part of the world from falling into Com- 
munist hands. 

And now another question which you might 
ask would be this : What did we do, what are the 
things that impressed us the most? Well, of 
course, we have a lot of memories about this trip. 
We traveled a great deal by virtually every kind of 
conveyance — by air, by automobile, by boat, by 
carriage, by helicopter, by train, even once for a 
few blocks by oxcart. 

And we saw a number of great sights. The 
spectacular scenic beauty of Australia and New 
Zealand; the magnificence of Boribidur in Indo- 
nesia; Singapore, the crossroads of the Far East 
with shi]:)S in the harbor from every country of 
the world; the temple of the Emerald Buddha 
and the (Jrand Palace in Thailand; Fujiyama and 
the shrines of Kyoto in Japan; Dewey Boulevard, 
the vitality of our sister republic in the Philip- 
pines with its great new leader President Mag- 
saysay ; the Taj Mahal in India ; the courage, the 
raw, robust strength of Karachi ; the snowcapped 

Depaifmeni of Sfafe Bi//fef/n 



mountains in Afghanistan, right near the top of 
the world; and the magnificence and delicacy of 
Persian art in Tehran. 

In addition we were entertained. We were en- 
tertained by emperors, by kings, by prime minis- 
ters, by diplomats, and we received some me- 
mentos of the trip, some very beautiful and some 
very significant. I recall particularly that when 
we were in Hong Kong, the Chinese community 
there gave a dinner for us, and the memento that 
they gave us was an ivory replica of the Statue of 
Liberty. I have it here, and it's interesting to 
note — and this is an indication of the fine work 
that is done there — the detail, detail which would 
never be clone perhaps any place else in the world, 
that around the torch, inscribed in lettering so 
small that it can't be seen by the naked eye, is the 
whole Declaration of Independence in Chinese 
characters. 

100,000 Handshakes 

Well, so much for the things that we saw and 
the things that we did. However, much as the 
impression was that they made upon us, the great- 
est impression that was made upon us was some- 
thing very different, and it was a result of 
something we did that was different. You may 
have read in the papers that in addition to seeing 
the top officials of the governments of the countries 
we visited, we made it a point to talk to workers 
and farmers and schoolchildren. Mrs. Nixon, 
while I had interviews with the prime ministers 
and the kings and the emperors, visited hospitals 
and orphanages and welfare institutions. We fig- 
ured up after we got back and we think that we 
shook hands with over a hundred thousand people 
in 2 months and 2 weeks. As a matter of fact we 
even shook hands with some Communists. When 
we were up in Pegu in Burma, they were picketing 
us, and we walked right among them, met them, 
greeted them, talked to them, and as a result of do- 
ing that the Communist demonstration broke up. 
I have here, incidentally, some of the literature 
that they were passing out. It's addressed to 
"Richard Nixon, Esquire, Deputy Chief Executive 
of the U. S. A." That's their term, I guess, for 
Vice President. 

But you ask this question : Well, why see these 
ordinary people? And I'll tell you why. There 
•were two purposes. We wanted them to know 
America, and we wanted to know them. Because, 
you see, a vicious smear of America and Americans 
is being made by the Communists all over the 
world. They have created in the minds of the 
people that we are arrogant, that we are mean, 
that we are prejudiced, that we are superior, that 
ive are bent on war rather than on a program that 
will lead to peace. And the only answer to such 
propaganda is not words. The only answer is 
lieeds. And so we decided to act just as we would 
it home despite the warnings that were given us 
,hat the people of Asia wouldn't appreciate this 

ilanuary 4, 1954 



kind of approach, that they were different from 
people of the United States. We found that they 
weren't nearly as different as we imagined or as 
some of those who had been there before had told 
us that they were. We found that we were very 
much moi'e alike than we were different every 
place that we went. 

And I want to say in that connection that we 
wanted to know what the people of Asia, the 
people of the countries we visited, were like. What 
were their aspirations? What were their hopes? 
I think it's pretty well summed up by what a very 
wise and a very young king told me — the King of 
Thailand. He was speaking about the needs of 
Thailand, a country which is threatened from 
Communist subversion within and possible Com- 
munist aggression at any time, of course, from 
without. He said they needed military assistance, 
they needed economic assistance, and they needed 
understanding. And significantly enough, he told 
me that understanding was the most important of 
the three. 

Now let me say that all of you will of course 
have the next question on your minds — what did 
we find as a result of this kind of approach? Well, 
we found a great well of friendship for America. 
We found, it is true, terrible poverty and hard- 
ship. Let me give you some examples. We found 
that in India, in portions of India, the per-capita 
income is one-twentieth of what it is in Mississippi. 
In Hong Kong I talked to a police sergeant. His 
job was to register the hawkers, the unlicensed 
salespeople on the street. And he said when they 
came in that they would give addresses for a fam- 
ily of five like this : "A stairway," "a hallway," "a 
street corner." 

We found in the villages in some of the places 
that we visited that they had desires for things 
that we just take for granted — for a school, a 
firehouse, a water supply, a sewer system. We 
found children with yaws, and trachoma, and 
Mrs. Nixon visited hospitals in which she said the 
sanitary facilities, not by choice but by necessity, 
weren't even equal to the kind of facilities we have 
for animal hospitals in the United States. But in 
spite of this poverty, in spite of this hardship, 
we found fundamental courage and dignity and 
decency among the people every place that we 
went. And despite the fact that there were differ- 
ent religions, different music, different art, we 
found the great majority of the people there were 
like the majority of the people here in their beliefs. 
They believe in the dignity of man, they believe 
in the existence of a supreme being. They have a 
patriotism and a love of country and they want 
independence. They love their children, they 
respect their parents just as people love their chil- 
dren and respect their parents in the average 
American family. We found that they can and 
would like to be fi-iends of America and the free 
world. We found that they may be forced to be 
powerful enemies. 

11 



The Danger Spots 

Well now, so much for that. Some of you may 
wonder, what about the danger spots? I can't 
touch upon all of them, of course, but the first one 
that must come to your minds is obviously Korea. 
We've been reading about Korea, and Mr. Dean of 
course made a report on the television and radio 
on Monday. I'm not going to elaborate on what 
he said so well on that occasion. But may I just 
say this : That no one can visit Korea without hav- 
ing his heart touched by the sacrifices that have 
been made by the people and by the courage that 
they display. Just think of it — in that country 
of perhaps 20 million people, 2 million people 
killed during the war, civilians and military to- 
gether, 8 million homeless, 200,000 orphans, 300,- 
000 widows, 30,000 known amputees. And yet I 
have never seen such courage as I saw on the faces 
of the people of Korea when we were there on a 
cold, cold winter's day. 

Now I have noted that some criticism has been 
made of Mr. Dean for his failure to agree to a 
political conference with the Communists, and just 
let me make my position clear on that point. We 
should recognize that the time is past when we 
should try to reach agreement with the Commu- 
nists at the conference table by surrendering to 
them. We are paying the price in Asia for that 
kind of diplomacy right now. The Communists 
know that they can have a political conference in 
Korea on reasonable terms any time they are will- 
ing to agree. And Mr. Dean would have done a 
disservice to the thousands of men who died in 
Korea had he sacrificed tlie principles for which 
they fouglit at the conference table. And I for 
one think that the American people owe him a vote 
of confidence for the manner in which he has stood 
up and finally called the Communists on their tac- 
tics of vilification and delay. So much for Korea. 

Let us turn now to another area of the world — 
Indochina. And many of you ask this question : 
Why is the United States spending hundreds of 
millions of dollars supporting the forces of the 
French Union in the fight against communism in 
Indochina? I think perhaps if we go over to the 
map here, I can indicate to you why it is so vitally 
important. Here is Indochina. If Indochina 
falls, Thailand is put in an almost impossible 
position. The same is true of Malaya with its 
rubber and tin. The same is true of Indonesia. 
If this whole part of Southeast Asia goes under 
Communist domination or Communist influence, 
Japan, who trades and must trade with this area 
in order to exist, must inevitably be oriented to- 
ward the Communist regime. That indicates to 
you and to all of us why it is vitally important that 
Indochina not go behind the Iron Curtain. 

Now may I say that, as far as the war in Indo- 
china is concerned, I was there, right on the bat- 
tlefield or close to it, and it's a bloody war and 
it's a bitter one. And may I make the position 

12 



of the United States clear with regard to that war. 
The United States supports the Associated States 
of Indochina in their understandable aspirations 
for independence. But we know as they do that 
the day the French leave Indochina, the Commu- 
nists will take over. We realize as they do that 
the only way they can assure their independence 
and the only way they can defend it is to con- 
tinue the fight side by side with their partners 
in the French Union against the forces of Com- 
munist colonialism which would enslave them. 
And may I also say this, and this we should never 
forget, the free world owes a debt of gratitude to 
the French and to the forces of the Associated 
States for the great sacrifices they are making in 
the cause of freedom against Communist aggres- 
sion in Indochina. 

Now, let me turn just briefly to another prob- 
lem, and this is also a big problem. It's the prob- 
lem of China. Because, as we look at China on 
the map, we can see that China is the basic cause 
of all of our troubles in Asia. If China had not 
gone Communist, we would not have had a war in 
Korea. If China were not Communist, there 
would be no war in Indochina, there would be no 
war in Malaya. 

Experiences in China 

I have not the time to discuss that problem in 
detail. But there are some significant things that 
I should report to you. One is the strength that 
is developing militarily and economically in Free 
China on Formosa. And the second is to me one 
of the most spectacular developments that has oc- 
curred in all of Asia. And that is the way that 
the Chinese outside of the mainland of China, the 
Chinese who live in Formosa, the Chinese who live 
in Thailand and all the other countries, the over- 
seas Chinese as they are called, are turning away 
from the Communist regime and turning away 
from it for reasons that are vei"y, very important. 
You say, what are the reasons ? Let me give you 
a few examples. 

I rode along the border between what is called 
the New Territories next to Hong Kong and the 
mainland of China. As I rode along the border I 
stojjped on one occasion and talked to a farmer. 
He told me a very interesting story. It was one 
that touched the heart. He told me how he, his 
wife, and two small children had walked for 100 
miles through the mainland of China until they 
arrived at the border of the New Territories in 
Hong Kong and then finally went across the bor- 
der so that they could have freedom. And I asked 
him, why did he do that ? And he said the reason 
was that his only brother was blind. His only 
brother had the farm next to him. And because 
he was blind he couldn't produce as much as the 
Communists required that he produce in order to 
pay taxes. And because he couldn't pay the taxes 
the Communists took him away and shot him. 

Department of State Bulletin 









There was another story. There is a river that 
separates Free China, or I should say the China 
which is part of the New Territories in Hong 
Kong, and the mainland of China, and on either 
side of the river the peasants till the fields. As we 
looked down almost a mile away to that area I 
asked one of my Chinese friends who was an inter- 
preter what was the diflEerence between the peas- 
ants on the Communist side of the river and the 
peasants on the other side of the river. He smiled 
and said to me, "Well, the major difference is that 
the peasants on the Communist side of the river 
pay about five times as much taxes as the ones on 
the other side of the river." 

And then there was another example that was 
given. They told me how across this river a widow 
who was 70 years of age had crossed for many, 
many years because she owned lands on both sides 
of the river. But one day when she crossed, a Com- 
munist guard shot her down. The first shot 
wounded her. He then walked up to her and 
pumped three bullets into her back. Now what 
does this all add up to ? It means that the Commu- 
nists' deeds are catching up with them. And that 
is why they are losing support not only among the 
Chinese outside of the mainland of China but also 
within China itself, and that's why they are losing 
support among peoples everywhere throughout 
Asia. 

I wish I had the time to tell you about India — 
India with all of its problems, India which needs 
peace and wants peace in order that they can con- 
solidate their newly won independence and in 
order that they can deal with their great problems. 
I wish I could tell you about India, and Indonesia, 
about Burma, about Pakistan. The time is going 
on and I must get on to some of the other problems 
that I wish to touch upon, because all of you are 
going to ask an obvious question. And that ques- 
tion is: "What does all this add up to?" It adds 
up to this, that the greatest danger that we face 
today in Asia is no longer in my opinion armed 
aggression. The greatest danger that we face is 
internal subversion and revolution. 

That is why Korea was so important. Wlien 
the Communists failed to extend their empire by 
overt aggression in Korea, they lost their chance 
to extend their control over the other nations in 
Asia, in my opinion. They know that if they move 
overtly any place else in "the world, they will run 
the risk of being stopped by the united forces of 
the free nations. If they had not been stopped 
in Korea, the risk of their moving somewhere else 
in Asia or in Europe would have been increased 
immeasurably. The danger from subversive tac- 
tics in this area of the world is great, but I have 
faith as to the outcome because I have faith in 
the fundamental good sense of the people. 

Did you ever stop to think what the people 
of Asia want? AVell, they want independence. 
They want economic progress. They want peace. 
They want freedom of choice as to their culture, 

January 4, 1954 



religion, and their economic systems. And they 
want fundamental recognition of their equal dig- 
nity as human beings. And communism in prac- 
tice, as the great Indian philosopher and states- 
man, Rajgopalachari, the Chief Minister of 
Madras, told me, communism in practice will even- 
tually fail because it runs counter to human na- 
ture. Communism in practice goes against all 
the fundamental desires of the peoples of Asia. 
Instead of independence it has brought colonial 
imperialism and slavery. Instead of economic 
progress it has brought poverty. Instead of peace 
it has brought war. It denies a choice of culture, 
a choice of religion or of an economic system to 
those who are under Communist domination. And 
so the obvious question now that you will ask is 
this: What's the matter then? Why are we wor- 
ried? And the problem is that we are not get- 
ting our message across, and when I speak of our 
message, I mean the message of the free nations. 
Unfortunately, we must recognize that there are 
millions of people in this area of the world who 
honestly believe in their hearts that the United 
States is just as great a threat to the peace of the 
world as is the Soviet Union and Communist 
China. And they believe that we may use our 
military power aggressively, just as quietly as will 
the Communists. Fortunately, may I say that 
under the President, we are finally getting the 
kind of leadership which is bringing to the world 
the true picture of American policy. In his speech 
of April IG and then in his great speech before 
the United Nations, the President has taken the 
oflFensive in the drive for peace, and for the first 
time the Communists are on the defensive all over 
the world. 



U.S. Foreign Service and Military Personnel 

Now there are other questions that I know you 
would be asking if I were with you. And one of 
them would be one that I would expect, and it is 
this: What about the people that you know who 
are in these areas of the world that we visited? 
And may I tell you something about them. First 
of all, the people who serve in our Foreign Service, 
the peojDle who are with our diplomatic missions, 
with our aid missions and with the various other 
American missions abroad. May I say that I was 
very favorably impressed with the people in our 
Foreign Service and in our various missions 
abroad with whom I came in contact. They are 
capable. They are hard working. They are 
dedicated to the interests of America. And others 
of you I'm sure would ask me what about our 
military people, the men in service. We visited 
Okinawa, we visited Korea, we visited Japan, 
we visited Libya, and we saw thousands of GI's 
in all of these areas. And I should like to 
leave one message with you tonight in regard to 
them. First, they are being well treated. I think 

13 



one of the best meals I had was at an enlisted 
men's mess on Okinawa. But the second point is 
this — that they are representing America well 
abroad. I was proud of what our GI's were doing, 
and many of the local people with whom I talked 
told me instance after instance of how finely and 
how ably the American GI's were representing the 
best of America in their service abroad. 

And now may I ask you a question ? Or should 
I say this is the question that you might ask me: 
What can I do? What can you do in this great 
cause about which I have been talking? 

Well, first of all, let me say that by deed and 
word and thought it is essential that we prove 
that the American ideals of tolerance, our belief 
in liberty, our belief in equal rights, prove that 
they exist and prove that we are dedicated to 
them. May I give you an example? One day I 
attended a dinner at which two legislators of a 
foreign country were present. One of them had 
got an unfavorable impression of America because 
he visited a city in which he got on a bus and the 
bus driver made him move to the back of the bus 
because his skin was not white. And another one, 
on the other hand, had got a very favorable im- 
pression of America because he visited a city and 
was lined up at a restaurant which had a big crowd 
in it, and he said, and I'm quoting him, that a 
white man who was single allowed him and his 
wife to go ahead of him in the line when a table 
for two opened up. Little things, you say, but 
very important things. 

And may I just say in that connection that every 
act of racial discrimination or pi-ejudice in the 
United States is blown up by the Communists 
abroad, and it hurts America as much as an espion- 
age agent who turns over a weapon to a foreign 
enemy. And every American citizen can con- 
tribute toward creating a better understanding of 
American ideals abroad by practicing and think- 
ing tolei-ance and respect for human rights every 
day of the year. 

Well, this is just 2 days before Christmas, and 
in most of the places we have visited Christmas, 
as you know, is not celebrated. But the Christmas 
spirit is there. Let me give you my last example. 
Mrs. Nixon and I stojDped at a school in Hong 
Kong. It was an unexpected stop and the chil- 
dren swarmed around us and we talked to them 
and signed autographs, and as we were leaving, 
one of the teachers who spoke English thanked me 
for stopping. And I asked him to give this 
message. I said : "Tell the children of the school 
that I bring greetings and best wishes from all the 
children of America to all the childi'en of China." 
And he turned to me and said, "I will tell them 
that, and will you express our greetings to the 
children of America." 

And he said: "May I tell you, Mr. Vice Pres- 
ident, we are all brothers in our hearts." 

May I say finally, we are foilunate to live in 

14 



America, to enjoy our liberties, and you can be 
sure that in the future we will join with other 
free peoples to build a world in which all men may 
be free, in which nations may be independent, and 
in which peox^les may live in peace with their 
neighbors. 



Reduction of U.S. Forces in Korea 

Statement hy the President 

White House press release dated December 26 

The fighting in Korea was ended by an armistice 
which has now been in effect for 5 months. We do 
not need as much ground strength there now as 
when there was fighting. That is the more true 
because of the capabilities of ROK forces which 
were substantially built up during the war. Also 
our growing national air power possesses greater 
mobility and greater striking force than ever 
before. 

Accordingly I have directed that the United 
States ground forces in Korea be progressively re- 
duced as circumstances warrant. As an initial 
step, two Army divisions will soon be withdrawn 
and returned to the United States. While the 
United States is acting in good faith to preserve 
the armistice and accomplish its purposes, we re- 
main alert to all possibilities. Therefore, I em- 
phasize that the action being taken does not impair 
our readiness and capacity to react in a way which 
should deter aggi-ession and, if aggression should 
nevertheless occur, to oppose it with even greater 
effect than heretofore. 

Recently the United Nations members which 
had forces in Korea clearly stated that, together, 
we would be united and prompt to resist any re- 
newal of armed attack.^ The same statement 
pointed out that "the consequences of such a 
breach of the armistice would be so grave that, in 
all probability, it would not be possible to confine 
hostilities within the frontiers of Korea." 

The LTnited States military forces in the Far 
East will be maintained at appropriate levels to 
take account of the foregoing and to fulfill the 
commitments which the United States has under- 
taken in that area, and which are vital to the se- 
curity of the United States. These forces will 
feature highly mobile naval, air, and amphibious 
units. 

Thus, we move forward in pursuance of our 
broad policy to make evident to all the world that 
we ourselves have no aggressive intentions and that 
we are resourceful and vigilant to find ways to 
reduce the burdens of armament and to promote a 
climate of peace. 

' Bulletin of Aug. 24, 19.53. p. 247. 



Deparfmenf of State Bulletin V'" 



Attempted Negotiations at Panmunjom 



hy Ambassador Arthur H. Dean * 



As the Special Envoy appointed by President 
Eisenhower and Secretary of State Dulles, I am 
reporting to the American people tonight on my 
7 weeks' attempted negotiations at Panmunjom, 
Korea, with the delegates from Red China and 
Communist North Korea in an effort to bring 
about an early convening of the Korean peace 
conference. 

The Communists usually inti'oduce false prem- 
ises, exaggerations, colorations of fact, distortions 
of the truth, and completely false accusations for 
propaganda purposes to mislead and to divert. 
These talks were no exception. 

At the meeting on December 10, 1953, in an un- 
interrupted 5%-hour session, the Chinese delegate, 
Huang Hua, after several warnings from me ac- 
cused the United States of America of perfidy or 
deliberate treachery in connection with the release 
of prisoners by President Rhee of the Republic of 
Korea on June 17-18 - after Lieutenant General 
Harrison had signed the terms of reference for 
prisoners on June 8, 1953.^ 

My Government has never been guilty of perfidy 
and pray God it never shall. 

I told him that his statement was false — that my 
Government was not guilty of perfidy and unless 
he withdrew the charge I would treat the meetings 
as in indefinite recess. He repeated the charge. 
And I withdrew in protest. To my mind it is 
quite sufficient. If I had not, the Communists 
would have broadcast far and wide that a repre- 
sentative of the United States Government had 
admitted the charge of perfidy. 

President Rhee said to me, "We salute you, Mr. 
Dean, for the stand you took to teach the Soviets 
that they cannot all the time throw insults at the 
United States of America and get away with 
them." 

Tonight I shall explain to you what we were 
talking about at Panmunjom and why, and where 
we go from here. 

" Address made on radio and television on Dee. 21 (press 
release 667 ) . 

^ For texts of statements and correspondence relating 
to the release of war prisoners, see Bulletin of June 29, 
1953, p. 905. 

' Ihid., June 22, 1953, p. 866. 

January 4, 1954 



In our preliminary talks with the Communists 
we were endeavoring to bring about the political 
or peace conference for Korea called for by para- 
gi-aph 60 of the Armistice Agreement. 

The purpose of the political conference origi- 
nally scheduled for October 28 is "to settle through 
negotiation the questions of the withdrawal of all 
foreign forces from Korea, the jieacef ul settlement 
of the Korean question, etc." The Korean ques- 
tion is the unification of a free, independent, and 
democratic Korea. 

The nations I represented at these preliminary 
talks consisted of the 17 nations contributing 
troops to the United Nations Command, including 
the United States of America and the Republic of 
Korea. 

The other side consisted of Red China and Com- 
munist North Korea. Not present, but really 
there, was the U.S.S.R., wdiich, as everyone knows, 
actually instigated the aggression in Korea in June 
1950. 

As you luiow, through the noble and persistent 
efforts of President Eisenhower, the Armistice 
Agreement was signed by both sides on July 27, 
1953, and was designed to bring about "a complete 
cessation of hostilities and of all acts of armed 
force in Korea until a final peaceful settlement is 
achieved." * 

The fighting and the bloodshed and the destruc- 
tion have been stopped. 

If the political conference is not held, does that 
mean hostilities will be resumed? No — it does 
not. The armistice agreement provides that it 
shall remain in effect until expressly superseded. 

Will the Communists resume hostilities? I do 
not think so. The destruction in North Korea is 
indescribable. Whole villages have been wiped 
out, power stations have been destroyed, and fac- 
tories, roads, farmhouses, and public facilities are 
in ruins. The Communists took a terrific beating. 
We stopped the tide and timetable of Red aggres- 
sion. 

Posters all over North Korea depict peace, and 
children releasing white doves. The emphasis is 
on civilian building. The construction of huge 



* Ibid., Aug. 3, 1953, p. 132. 



15 



concrete bunkers and tunnels in the north leads 
us to believe they have no wish to resume hostilities 
but are preparing to hold the north. 

Will President Rhee unilaterally resume hos- 
tilities? In my judgment the answer is "no." 

President Rhee is an indomitable fighter for a 
free, united, and democratic independent Korea. 
Those are our objectives and of the United Na- 
tions. We admire his patriotism and courage and 
his fight against communism tremendously. 

We have signed the armistice and are deter- 
mined to keep it. On August 7, 1953, President 
Rhee and Secretary Dulles signed a joint com- 
munique in which President Rhee agreed to leave 
his troops under the United Nations Command 
and to take no unilateral action until the mutual 
defense pact might be expected to come into opera- 
tion next spring if approved by the Senate.^ In 
view of his talks with Secretary Dulles, Assistant 
Secretary of State Robertson, and Vice President 
Nixon and my many talks with him on this subject, 
I believe President Rhee will take no unilateral 
action. 

What is the argument all about ? Why can't we 
and the Communists agree on the time, place, and 
composition of the conference? 

Time and place are relatively easy. As to time, 
we are agreeable to any date so long as there is 
adequate time to prepare the necessary facilities, 
transport the delegations, etc. As to place, we say 
Geneva, the Communists say New Delhi, and we 
could probably agree on Beirut, or Colombo or 
Kandy or Nuwara Eliya in Ceylon. 

Problem of Conference Composition 

The meat of the coconut is the composition. 
Wlio will attend the conference — who will be 
bound by agreements reached? Can we bring 
about unification of Korea and the withdrawal of 
foreign forces? 

AVith regard to composition, although the armi- 
stice does not so provide, the other side proposed 
we should invite five neutrals, including the 
U.S.S.R. as one of them, with the same rights to 
participate in the discussions and to vote as the 
nations on the two sides. They include the 
U.S.S.R. among these truly neutral nations pre- 
sumably to hide her aggression in Korea. The 
U.S.S.R. cannot be classified with such truly fine 
neutrals as Burma, India, Indonesia, and Paki- 
stan. We have said the U.S.S.R. can attend pro- 
vided the other side wants her. 

It is readily apparent why the U.S.S.R. is not 
a neutral and why it would be desirable to have 
her at the conference and to know her attitude on 
each agenda item at the conference — whether she 
agreed with the other side and whether she will 
be bound by any agreements reached. 

Why do the Communists want neutrals? Tlie 



' Ibid., Aug. 17, 1953, p. 203. 



Communists think they can stir up trouble for us 
with India by nominating her as a neutral at the 
conference. They want well-intentioned people 
to believe that the Government of the United 
States does not like India, its great leader, or its 
freedom-loving people, which is fantastic. 

Let me here pay tribute to a great military man, 
a great humanitarian, and a man conibining 
superb common sense with patience and a warm 
friendly feeling for the helpless prisoners of war — 
General Thimayya of India, Chairman of the 
Neutral Nations Repatriation Commission. I be- 
lieve that General Thimayya is in full sympathy 
with our desire to observe the unalterable clock- 
work timetable of the agreement for the release of 
the prisoners of war. 

Release of War Prisoners 

If the political conference is in session December 
22 to January 22, it can discuss until that date but 
no longer the disposition of prisoners who have 
not elected repatriation to the country of their 
origin. It cannot discuss that question longer 
than January 22. If it is not in session that does 
not affect by one jot the automatic operation of the 
time schedule for the release of prisoners. 

On midnight, January 22, unless both sides ask 
them to remain, the Indian forces will withdraw 
and the prisoners will be assisted to a neutral 
country. We have assured General Thimayya 
our side will not so request. 

I think there is reason to hope that there will 
be no action either by the Communists or the Re- 
public of Korea to cause bloodshed and that the 
prisoners will revert to civilian status on January 
22 without difficulty or trouble. 

To stop the other side's byplay as to neutrals 
and to further the early convening of the confer- 
ence, our side has put forward an overall con- 
structive proposal for the participation at the 
conference of neutrals as nonvoting observers on 
the items on the agenda as agreed between the 
two voting sides and in the order of discussion as 
agreed upon.*^ This would permit India and the 
others to participate as nonvoting observers and 
to discuss items on the agreed agenda and in the 
agreed order. If an item is not on the agenda it 
cannot be discussed. Nor can items be brought up 
out of their agreed order. 

Except for the other side's insistence on the 
U.S.S.R. participating as a neutral, and ironing 
out the particular neutrals to participate which ■ 
really constitutes no fundamental difficulty, we 
have fully met the other side on this question as i 
to the participation of nonvoting observers andj 
their rights at the conference and voting pro-' 
cedures. 

As to voting, each side votes as a unit. ButJ 

° For text of proposal of Dec. 8, see ibid., Dec. 21, 1953, j 
p. 877. 



16 



Department of State Bulletin 



any nation, in accordance with resolution 5 (b) 
adopted by the United Nations General Assembly 
on August 28, 1953, can announce before the voting 
she does not elect to be bound by her vote on that 
particular item. This should facilitate agree- 
ment. 

The other side insists that talk continue and that 
there should be no voting imtil all nations on each 
side are bound. If any one nation's vote, as a 
practical matter, is really needed- — for example, 
unification of Korea or withdrawal of foreign 
forces — this would, as a practical matter, have to 
be worked out before voting took place ; so really 
we are not too far apart. 

Tlius we may have to have some agreement as 
to the territorial integrity of Korea and agree- 
ment to insure that the troops withdrawn across 
the northern border will not return or that other 
troops will not cross the border when we withdraw 
pursuant to some agreement to be worked out for 
phased withdrawal of troops at the peace con- 
ference. 

Do I feel there still is a good chance for a true 
Korean peace, or has Panmunjom demonstrated 
the futility of a Korean political conference? I 
do believe the Chinese Communists are determined 
to keep North Korea politically and economically 
integrated into their own economy. The outlook 
is discouraging but by no means hopeless. There 
is no easy, pat solution. It will take all the brains, 
energy, resolution, and patience at our command. 

Communists are in no hurry. They have no 
timetable. They think time is on their side and 
that Americans, being optimistic, friendly, truth- 
ful, constructive, and inclined to believe and to 
hope for the best, will become discouraged. 

They believe that at a long, drawn-out confer- 
ence the American negotiators will be forced by 
American public opinion to give in, in order to 
have a "successful" conference. Impatience 
mounts as no progress is reported. People ask, 
"Wliat progress did you make today?" 

The Communists know this and burn bonfires 
under the American negotiators and utter rude, 
insulting, arrogant demands that the American 
negotiators stop their unconstructive, stalling 
tactics. 

The Communist press is completely government - 
controlled. Ours is free and pray God it ever 
shall be. The Communists can plan and talk and 
vote as a unit. We must marshal facts, argue, and 
convince the individual nations on our side. I 
wouldn't have it otherwise. But sometimes it's 
tough to see your best play spilled before it gets off 
tlie groimd because someone has unintentionally 
revealed the signals. 

As against that, consider how much better oli' 
we would be today if the secret agreements with 
respect to China, Manchuria, and the U.S.S.R. 
had never been entered into at Yalta without 
notice to Nationalist China or to the American 
public. 

January 4, 1954 

284316 — 54 3 



The issue between us and the U.S.S.R. and the 
Chinese Communists — slavery or freedom — is 
fundamental. There is no easy formula which 
can either hide it or solve it. 

We are fighting to free the minds and souls of 
men from communism and we in the free world 
must stand together in this great fight. 

It is not a fight of left against right. It is a 
fight for the human dignity of man as a creature 
of God against the Communist doctrine that he 
has no value except as the state desires to use him. 



U.S. Returns Islands 
to Japanese Control 

Statement by Secretary Dulles 

Press release 671 dated December 24 

1. By arrangements concluded today in Tokyo, 
the Government of the United States has relin- 
quished in favor of Japan its rights under article 
III of the Japanese peace treaty over the Amami 
Oshima group of the Ryukyu Islands. 

2. Questions have been raised regarding the in- 
tentions of the United States with respect to the 
remaining islands specified in article III of the 
peace treaty. 

3. The United States Government believes that 
it is essential to the success of the cooperative ef- 
fort of the free nations of Asia and of the world 
in the direction of peace and security, that the 
United States continue to exercise its present 
powers and rights in the remaining Ryukyu Is- 
lands and in the other islands specified in article 
III of the peace treaty so long as conditions of 
threat and tension exist in the Far East. 

4. The United States earnestly hopes that prog- 
ress can be made in reducing tensions, and we will 
spare no effort toward that end. But, until condi- 
tions of genuine stability and confidence are cre- 
ated, the need of the free nations to preserve an 
armed vigilance will remain imperative. It would 
be an abdication of responsibility to the common 
effort of these free nations, including Japan, for 
the United States to adopt any other course than 
here set out, since the remaining Ryukyuan and 
other islands specified in article III of the peace 
treaty constitute an essential link in the strategic 
defense of the whole Pacific area. Accordingly, 
the United States intends to remain as custodian of 
these islands for the foreseeable future. However, 
in exercising its treaty rights, the United States 
will not only do all in its power to improve 
the welfare and well-being of the inhabitants of 
the Ryukyus, but it will continue to safeguard 
economic and cultural intercourse throughout the 
Archipelago. 

17 



Canada-United States Relations: 

A Businessman-Ambassador's Point of View 



hy R. Douglas Stuart 
Ambassador to Canada ^ 



I am most cappreciative of the honor that has 
been paid my Government by the Canadian Club 
of Montreal in asking me, as a representative of 
the United States, to speak to you at this time. 

I have enjoyed a lifelong and intimate connec- 
tion with Canada. My father was born in the 
town of Embro near Ingersoll, Ontario. I com- 
menced my business life in Canada. 

I have visited Montreal many times with pleas- 
ure — in fact it was a double pleasure, because I 
didn't have to make any speeches on those occa- 
sions, but here I am again in your charming city. 

To those of you whose native tongue is French, 
I wish to express the regret that, unlike the Presi- 
dent, I am not able to address you in French." 
I know, however, that you understand English 
and I humbly acknowledge that this stands to 
your credit, while my lack stands to my debit. 

There are some here today that I can happily 
call friends. For the rest I am quite simply a 
businessman who has worked in Canada and then 
in the United States ever since I was a young 
man. Wliile I am as interested in business as 
ever, I am here today as a diplomat — a completely 
new experience for me. 

Today I am chiefly concerned with the eco- 
nomic relationships between Canada and the 
United States. Consequently, I would like at this 
time to take a quick look at the conduct of our 
economic relationships. 

The first consideration is that by and large our 
economic relationships are handled by individual 
businessmen. Only to a relatively small extent 
do our two Governments enter into the picture. 
This is so generally so that perhaps we forget 
that it contrasts with the practice in many other 
countries which for various reasons have adopted 
partially or completely the practice of state trad- 
ing. We in Canada and the United States are 
firmly wedded to the private enterprise system. 

My own experience amply illustrates the ex- 

' Address made before the Canadian Club of Montreal on 
Dec. 7 at Montreal. 

'For text of the President's address at Ottawa, see 
Bulletin of Nov. 30, 1953, p. 735. 

18 



tent to which private business relations oi>erate 
on this continent unhampered by government. In 
a lifetime of working both in Canada and the 
United States I have visited nearly all of the 
important business centers of both countries, but 
rarely have I had to go to Washington or Ottawa. 
The same applies to a great majority of men who 
have liad a comparable business experience. Many 
businessmen can work in our two countries as if 
they were one market and rarely have cause to 
appeal to their Governments for help. 

Unimpeded Business Relations 

There has developed in the course of years an 
increasingly easy two-way flow of capital into 
branch plants, subsidiaries, and other investments. 
This has resulted in very close business relations 
which are the bases for grassroots cooperation be- 
tween our business coinmimities. 

A fine example of this cooperation is the Can- 
ada-United States Committee of the Chambers of 
Commerce of the two countries. I liad the pleas- 
ure of attending tlie Committee's recent meeting 
in October at the Seigniory Club and was greatly 
impressed by the attendance at the meeting of so 
many outstanding Canadian and United States 
businessmen. This Committee, as I understand 
it, has been in existence since 1932 — a very im- 
pressive fact. 

In view of this easy, unimpeded, private busi- 
ness activity, 3'ou might well wonder what field is 
left to our two Governments. Here we have an 
elastic and often very informal area. This is 
illustrated by the manner in which the vast major- 
ity of joint problems are settled. 

It is the custom, as you probably know, in most 
countries of the world for problems, including 
economic ones, to be handled primarily through 
the foreign offices and the embassies. However, 
the contacts between the various other depart- 
ments of the Government in Ottawa and Wash- 
ington are so intimate from the top level down 
that the tendency is to settle their problems be- 
tween themselves and settle them quickly. Much 

Depattmenf of State Bulletin 



of this is done over the long-distance telephone. 

Generally speaking your Cabinet members and 
our Cabinet members are on intimate terms, and 
as a consequence discuss many problems that arise 
on an informal basis. 

To an unusual degree, the rights and obligations 
of Americans in Canada and Canadians in the 
United States are not defined by treaty. We 
trust each other to treat our citizens properly. 
Fair play is our conmion heritage. In each coun- 
try we have inherited the English common law, as 
■ well as that Roman law which is your legal foun- 
' dation here in the Province of Quebec and ours in 
the State of Louisiana. 

Nevertheless, with all this common heritage 
which we are fortunate enough to share, there still 
arise and will continue to arise important prob- 
lems to plague us. 

From time to time every government in the 
performance of its obligation to promote the wel- 
fare of its people finds itself obliged to take ac- 
tions which have adverse effects upon some part 
of the population of another country. Such inci- 
dents arouse strong feelings, frequently out of 
proportion to the importance of the issue. 

Fortunately, when we have been faced with such 
situations, we have held that the best approach 
was for honest representatives of our two coun- 
tries to sit down together and to discuss the prob- 
lem in a spirit of fairness and understanding. If 
we continue to chart such a course, and I ti-ust we 
always will, there are few obstacles that cannot 
be overcome. 

You know, I am sure, the machinery that has 
been established to deal witli j^roblems concerning 
our boundary waters. It is the International 
Joint Commission of which both the United States 
and Canada are justly proud. Another less well- 
known example of this approach is the Joint In- 
dustrial Mobilization Committee which was estab- 
lished during World War II and levived in 1951 
as a result of the Korean outbreak. This Com- 
mittee was set up to stimulate joint production for 
defense purposes. 

Last month this same point of view led us to 
establish the Joint Committee on Trade and Eco- 
nomic AflFairs, a consultative and advisory group 
composed of Canadian and United States officials 
at the Cabinet level.^ The businessmen of our two 
countries are facing a highly competitive period. 
In these circumstances, charges and counter- 
charges, justified and unjustified, are to be ex- 
pected. The Committee will consider such prob- 
lems among others and recommend to their 
respective Governments the measures to improve 
economic relations and to encourage the flow of 
trade between our two countries. 

To make it practicable for our Governments to 
implement such recommendations they must, of 
course, be supported by public opinion. For, as 



'Ibid., p. 7:;n. 
January 4, 7954 



President Eisenhower honestly and frankly recog- 
nized in his recent address to the two Houses of 
Parliament in Ottawa, 

. . . every common undertaking, however vi^orOivvhile 
It may be, must be understood in its origins, its applica- 
tion, its effects by the peoples of our two countries. With- 
out this understanding it will have negligible chance of 
success. Canadians and citizens of the United States do 
not accept government by edict or decree. Informed and 
intelligent cooperation is, for us, the only source of en- 
during accomplishment. 

Here I would like to give you a little philosophy 
of my own which I developed from the practical 
experiences of my business and social life. 

If we businessmen are going to foster an orderly 
economic evolution and assist in developing the 
"informed and intelligent" public cooperation to 
which President Eisenhower refers, then some of 
us are going to have to contribute effective leader- 
ship. 

We must produce a philosophy that is under- 
standable and convincing. We must have the 
courage of our convictions and be able to express 
them persuasively. 

This means allotting sufficient time out of our 
workaday lives to decide what are the true values 
in our daily activities and then determine to con- 
centrate our efforts on their preservation. 

None of us would choose exactly the same basis 
of values or arrive at the same methods of achiev- 
ing the desired ends, but that very contrast is the 
real strength of our democracy. Differences in 
opinion produce a balance, and when at last a com- 
mon denominator appears in the thinkino; of all 
good citizens, we move ahead. If a proper balance 
is to be continued, the businessman must play an 
important part in the creation of opinion. 

Often a change in individual responsibility gives 
us a long look back at the road along which we 
have traveled. Every well-managed business in- 
stitution takes physical inventory at regular in- 
tervals, when every screw, nut, and bolt are 
counted. In the business that I was in before join- 
ing the diplomatic service, every bushel of oats, 
grain, wheat, barley and the various items that 
go into making up our finished products, are 
counted. We do this in order that we may know 
our assets. The discrepancies which are uncov- 
ered by this process are at times quite surprising. 

Inventory of Intangibles 

Shouldn't we do exactly the same thing with 
our intangibles? It is essential that we take pe- 
riodic inventories of our ideas and beliefs. This 
is a process that must come from our hearts. 

It is my belief that every man who carries busi- 
ness responsibilities should from time to time sit 
down alone with himself and determine what he 
is trying to accomplish with his life. Unless he 
does that, he will be unable to tell whether his 
daily rushing from one thing to another adds up 

19 



and makes much sense. Only when his own sense 
of values is clear may he, with courage and confi- 
dence, undertake the problems which have been 
entrusted to him. 

I fear there are some men who, when dealing 
with ideas, operate on a "Lifo" principle. "Lifo ' 
is a recent invention of the chartered accountants 
which means "last in— first out." The kind of in- 
dividual I have in mind accepts what the last per- 
son has said as his own opinion. 

This sometimes brings about a sort of Gresham's 
law of ideas and beliefs, by which the least valu- 
able is given the greatest circulation. Good ideas 
would drive out the bad if each man, before re- 
issuing another's opinion, would weigh it and 
make sure it was sound. 

In the inventory of ideas and beliefs, the 
thoughtful businessman must have a strong con- 
viction as to what kind of a country he wants his 
country to be. He first must learn what kind of a 
country it is, and that is not easy when he finds 
himself in the midst of the storms of current con- 
troversy. He must have ideas as to what makes 
his country strong, as well as to what makes for 
weakness, and then strive to support the one and 
overcome the other. 

He must carry those convictions into his daily 
tasks. To leave to others the considerations of 
the general welfare is wrong. He, as an indi- 
vidual, nnist act as though the responsibility for 
the general welfare is solely his. This is not 
always easy to do amid the uproar and cross 
currents. 

As opinions gain currency they are given labels. 
The most familiar labels are liberal and radical, 
as opposed to conservative and reactionary — and 
I am not speaking about any political jiarties. 
These words are used as terms of reproach or self- 
righteousness, depending upon the circumstances. 
There have been times when they have been used 
to rally friends or to denounce foes and have lost 
all meaning. 

If one is a conservative who wishes to hold to 
that which has proven worth while until some- 
thing better has been proved, then certainly I am a 
conservative. 

On the other hand, I would also claim to be a 
liberal if by liberal is meant one who, with an 
open mind, is willing and ready to reexamine and 
reevaluate any old institution or idea and be flexi- 
ble enough to strike out boldly on a new course if 
such action is indicated. 

Discrimination and sound judgments are the 
important things, not change for the sake of 
change, nor foolish loyalty to the old merely be- 
cause it is old. 

It would seem that our generation and the future 
generations are bound to live in a world of crises. 
This demands that we carefully review our way 
of life, our ideas of freedom and of the dignity of 
man and maintain their validity in this changing 
world. 



Current history has produced one disaster after 
another. We are shocked at the freedoms which 
were lost in Nazi Germany and are still lost in 
Communist Russia. These dreadful tragedies and 
niglitmai-es should make us much more aj^precia- 
tive of the values which we still possess. I some- 
times wonder if it does, and if it does, we should 
ask ourselves the question, "Are we doing any- 
thing to help pre.serve these values?" 

We condemn corruption and low moral stand- 
ards in our public and national life. Yet there 
seem to be too few who are willing to acknowledge 
the real spiritual values and who earnestly strive 
to continue the ancient truths from which our code 
of morals spring by supporting the organized 
churches and other spiritual agencies. We must 
never lose our faith in God. Spiritual things are 
of much greater importance than the material. 
Happiness comes from what we have in our hearts 
and minds. We are great defenders of freedom of 
speech, but not all of us can take criticism from 
those who disagree. We must never overlook the 
homely virtues of thrift and hard work, which are 
as necessary for success as they were a hundred 
years ago. 

Gentlemen, Canada and the United States are 
great countries, wonderful countries. But those 
are mere words unless we know why they are 
great, and unless we, as individual citizens, strive 
to continue and improve those aspects of our coun- 
try which have led to their greatness. 



Civil Aviation Tali(s 
Held With Canada 

Press release 664 dated December 16 

Representatives of the Governments of the 
United States and Canada met on December 14 
and 15 in Washington to hold informal discus- 
sions on matters of current concern in the field of 
civil aviation. Oswald Ryan, Chairman of the 
U.S. Civil Aeronautics Board, and J. R. Baldwin, 
Chairman of the Canadian Air Transport Board, 
were the princijDal spokesmen for their respective 
govermnents. 

The main subjects discussed were: 

1. A proposed operation by Trans-Canada Air 

Lines of an air service linking eastern Can- 
ada with Mexico City via Tampa, Florida, 
where a technical, nontrafEc stop would be 
made ; 

2. Pan American World Airways service between 

Seattle, Wliitehorse, and Fairbanks, as well 
as the Colonial Airlines operation, Wash- 
ington-Ottawa-Montreal-New York ; and 

3. The desirability of a consultation, within the 

next few months, for the purpose of con- 



20 



Deparfment of State Bulletin 



sidering amendment of the Route Annex 
of the U.S.-Canada Air Transport Agree- 
ment. 

It was agreed that the Civil Aeronautics Board 
would issue to Trans-Canada Air Lines a six 
months' renewable permit for Montreal-Mexico 
City flights making nontraffic stops at Tampa. In 
the special circumstances, the Cab also agreed 
that TcA might, for reasons of economy, utilize 
the same aircraft and schedules for the Montreal- 
Tampa portion of such flights as are used for the 
Montreal-Tampa services operated by that car- 
rier under the Air Transport Agreement. 

The Canadian representatives had indicated 
their desire that Trans-Canada be permitted to 
combine its Montreal-Tampa operations under the 
Air Transport Agreement and Montreal-Mexico 
City operations, with a technical stop at Tampa, 
under the International Air Services Transit 
Agreement for a temporary period until aircraft 
and facilities for nonstop operations between 
Canada and Mexico become available. The rep- 
resentatives of the United States made known 
their desire to cooperate with Canada in helping 
TcA resolve its operational problem, stating that, 
in the circumstances, such cooperation did not 
imply a depai'ture from the established policy of 
the United States in the field of international 
aviation. 

The spirit of cooperation was carried into the 
discussion regarding the operations of U.S. car- 
riers which have been under review by the Cana- 
dian authorities, and it was agi-eed that Pan 
American World Airways and Colonial Airlines 
should be permitted to continue their respective 
combined services through Canadian points and 
that the Air Transport Board would vacate the 
outstanding show-cause orders. 

With reference to the present network of air 
routes between tlie United States and Canada, it 
was understood that the Canadian Government 
will, within the next few months, bring forward 
proposals looking toward a review of the route 
schedules of the bilateral air agreement. 



Canada To Limit Shipments 
of Oats to U. S. 

White House press release dated December 14 

The President on December 14 released a letter 
from Acting Secretary of State Walter B. Smith 
to the Canadian Secretary of State for External 
Affairs, Lester B. Pearson, with respect to the 
shipment of Canadian oats to the United States, 
and the Canadian reply. ^ 

In the Canadian reply, the Canadian Acting 

" For earlier correspondence on this subject, see Bul- 
letin of Aus. 24, 1953, p. 244. 



Secretary of State for External Affairs, Paul 
Martin, stated that, as a temporary measure, Can- 
ada would limit its shipments of oats to this coun- 
try to 23 million bushels during the period Decem- 
ber 10, 1953, to October 1, 1954. 

The United States Tariff Commission had 
recommended to the President that imports of 
oats should be limited, in accordance with proce- 
dure authorized under section 22 of the Agricul- 
tural Adjustment Act, to 23 million bushels in 
the 12-month period beginning October 1, 1953." 
The President has now found that no action by 
the United States limiting imports of oats need 
be taken to protect our domestic agricultural pro- 
gram, authorized under the Agricultural Act of 
1949, against the threat of imports. 

The President, in expressing his satisfaction 
with the Canadian reply, indicated that he con- 
curs with Canada's understanding that, should 
substantial quantities of oats be imported into the 
United States from other sources during the speci- 
fied period, the situation would be subject to re- 
view by both the United States and Canada. 

The texts of the letters follow. 

Acting Secretary Smith to the Canadian Secre- 
tary of State for External Affairs, Deceniber 7 

Mt dear Mr. Secretary : 

During the past several months, the Govern- 
ment of the United States has been faced with 
problems of increasing seriousness in connection 
with the accumulation of surplus agricultural 
products. These mounting surpluses, and the 
financial burden they entail, may well threaten to 
disturb orderly marketing arrangements which it 
is to the interest of both Canada and the United 
States to maintain. 

The special circumstances affecting the problem 
of oats make it a matter of particular urgency re- 
quiring exceptional treatment. We believe that 
unless steps are taken to assure that imports of 
oats will not be such as to interfei'e with the 
orderly marketing of oats in the United States, a 
critical situation will develop which could be 
damaging to the farming industry of our two 
countries. It is our suggestion that shipments of 
oats from Canadian ports of shipment to the 
United States should not exceed 23 million bushels 
during the period from midnight December 10, 
1953 to midnight September 30, 1954. As you 
know, Canada supplies almost the whole of United 
States imports of oats and only small quantities 
come from other countries. 

You are, of course, aware that the larger prob- 
lems associated with accumulations of surplus 
agricultural products and related questions of 
agricultural policy are currently under review 
with the aim of arriving at longer-term solutions 
of a constructive character. 



^ Copies of the report on oats may be obtained at the 
offices of the United States Tariff Commission. 



January 4, 1954 



21 



Having in mind the desirability of maintaining, 
as in the past, the closest collaboration between 
the Governments of Canada and the United States 
in matters of common concern, President Eisen- 
hower has asked me to seek the cooperation of 
the Canadian Government in this matter. The 
President is most anxious that a solution be found 
which will cause the least possible damage to trade 
relations between our two countries. 

The Gariadian Reply, December 10 

Mr DEAR Mr. Acting Secretary: 

The Government of Canada has given careful 
consideration to your letter of December 7, 1953, 
regarding the urgent situation which is giving 
concern to your Government with respect to the 
marketing of oats. The Canadian Grovernment 
attaches the greatest importance to the extension 
of mutually profitable trade between our two coun- 
tries and to avoidance of i-estrictions which would 
interfere with such trade. However, in a desire 
to meet President Eisenhower's request for co- 
operation towards the solution of this exceptional 
and urgent problem, the Canadian Government 
has decided, as a temporary measure, and without 
obligation, to take all practicable steps to limit 
shipments of Canadian oats to the United States 
to the extent and for the period suggested in your 
letter. In taking this action, the Canadian Gov- 
ernment is aware of the fact that your Govern- 
ment is now reviewing its agricultural policies 
with a view to finding longer-term solutions of a 
constructive nature. 

The Canadian Government takes note of the 
information contained in your letter, that Canada 
supplies almost the whole of the United States 
imports of oats and only small quantities come 
from other countries. The Canadian Government 
wishes to make clear that it will reconsider the 
decision set forth in this letter in the event that 
substantial quantities of oats are imported into 
the United States from other countries during the 
period in question. The Canadian Government 
assumes that in this event the Government of the 
United States will itself also wish to review the 
situation. 



the Secretary of Agriculture, directed the Tariff 
Commission to make its investigation as •provided 
under section 22 of the Agricultural Adjustment 
Act, a-s amended. Following is the text of the 
President's letter to Edgar B. Brossard, Chairman 
of the Tariff Commission: 

Dear Mr. Chairman : 

I have been advised by the Secretary of Agricul- 
ture that there is reason to believe that rye, includ- 
ing rye flour and meal, is practically certain to be 
imported into the United States under such condi- 
tions and in such quantities as to render or tend to 
render ineffective or materially interfere with the 
price support program for rye undertaken by the 
Department of Agriculture pursuant to sections 
301 and 401 of the Agricultural Act of 1949, as 
amended, or to reduce substantially the amount 
of products processed in the United States from 
domestic rye. 

The Department of Agricultui'e is supporting 
prices of rye and at the same time unusually large 
imports of rye are occurring. The Tariff Commis- 
sion is directed to make an immediate investigation 
of this matter in accordance with Executive Order 
Number 7233, dated November 23, 1935, promul- 
gating regulations governing investigations under 
section 22 of the Agricultural Adjustment Act, as 
amended. The investigation and report of find- 
ings and recommendations of the Tariff Commis- 
sion should be completed as promptly as prac- 
ticable, to permit a decision as to whether action is 
necessary under section 22 to be made as early as 
possible. 

The Commission shall determine whether rye, 
including rye flour and meal, is being or is prac- 
tically certain to be imported under such condi- 
tions and in such quantities as to render or tend 
to render inefl'ective or materially interfere with 
the rye price support program, or to reduce sub- 
stantially the amount of products processed in the 
United States from domestic rye. 
Sincerely, 

DwiGHT D. Eisenhower 



Tax Conventions With Australia 
Enter Into Force 



President Requests Study 
of Rye Imports 

White House press release dated December 10 

The President on Beceniber 10 directed the 
United States Tariff C ommission to mahe an im- 
mediate investigation of the effects of rye imports, 
including rye flour and meal, on the domestic price 
support program for rye and on the ainount of 
products processed in the United States from do- 
mestic rye. The President, having been advised by 



Press release 670 dated December 22 

On December 22, 1953, the President proclaimed 
the income-tax and gift-tax conventions between 
the United States and Australia which were 
brought into force by the exchange of instruments 
of ratification on December 14, 1953. 

Those two conventions for the avoidance of dou- 
ble taxation and the prevention of fiscal evasion, 
one relating to taxes on income and the other re- 
lating to taxes on gifts, and also a convention 
relating to taxes on the estates of deceased persons 
were signed on May 14, 1953, approved by the 



22 



Deparfment of State Bulletin 



United States Senate on Jnly 9, 1953, and ratified 
by the President on behalf of the United States 
on July 23. 

The provisions of the conventions follow, in 
general, the pattern of tax conventions entered 
into by the United States with a number of other 
countries. The income-tax conventions are de- 
signed to remove an undesirable impediment to 
international trade and economic development by 
doing away as far as possible with double taxa- 
tion on the same income. 

The gift-tax convention with Australia is the 
first convention of its kind which the United 
States has concluded with any country. It follows 
closely in regard to gifts the pattern of the estate- 
tax conventions. The estate-tax conventions are 
designed to eliminate double taxation in connec- 
tion witli tlie settlement in one coinitry of estates 
in which nationals of the other country have 
interests. 

So far as the United States is concerned, the con- 
ventions apply only with respect to United States 
(that is, Federal) taxes. They do not apply to the 
imposition of taxes by the several States, the Dis- 
trict of Columbia, or the Territories or possessions 
of the United States. 

The income-tax convention with Australia is ef- 
fective as of January 1, 19.53, so far as United 
States tax is concerned, and "for the year of in- 
come" commencing on July 1, 1953, so far as 
Australian tax is concerned. 

The exchange of instruments of ratification with 
respect to the estate-tax convention has been de- 
layed, but it is expected that the exchange will 
take place at an early date, on which date it will 
enter into force, effective "only as to the estates of 
persons dying on or after" that date. 

The gift-tax convention with Australia is effec- 
tive "only as to gifts made on or after" December 
14, 1953, the date of the exchange of instruments 
of ratification. 



U.S. To Reconsider 

Ocean Station Participation 

Press release 669 dated December 22 

The following is the text of a letter which the 
United States representative on the Council of 
the International Civil Aviation Organization 
(IcAo) traiismitted on December 22 to the Secre- 
tary General of the Organization. The Depart- 
ment of State requested transmission of the letter 
following approval by the interdepartmental Air 
Coordinating Committee. 

Following the Third North Atlantic Ocean Stations Con- 
ference, my Government undertook a review of the pro- 
gram in all Its aspects, with particular reference to the 
nature and extent of benefits derived therefrom by the 
United States. It was our conclusion that, although the 
program provided real benefit, its continued operation was 



not required from the point of view of United States civil 
aviation. Our decision not to extend United States par- 
ticipation in the existing agreement was made known to 
the Council and to interested governments in October.' 

Since that time, and in preparing for the forthcoming 
conference, my Government has kept this matter under 
continuous review. In that connection the United States 
has noted with interest the views of other governments 
submitted to Icao on the same subject. We have been 
impressed by certain trends of thought which ajipear in 
these comments. 

1. That an ocean stations network should continue to 
exist ; 

2. That such a network might be somewhat reduced in 
scope and still remain useful ; 

3. That substantial benefits accrue to interests other than 
trans-Atlantic civil aviation, particularly in Western 
Europe. 

In view of the foregoing, it seems probable that any con- 
tinuation of the ocean station program would be most 
effective on a basis of international cooperation. 

Accordingly, my Government has decided to send a dele- 
gation to the Fourth North Atlantic Ocean Stations Con- 
ference in Paris, qualified to discuss all of the technical 
and financial aspects of the program. An exchange o£ 
views at the Conference will permit a determination as to 
whether, as seems likely, a continuation of an interna- 
tional ocean station program on a modified basis is the 
best means of satisfying all of the interests involved. If 
such a determination is reached the United States would 
expect to cooperate in a modified program, subject to the 
availability of necessary appropriations which it would 
seek to meet its appropriate share of the costs. 



Delegation of Autliority for 
Immigration Laws ^ 

Administrator of the Bi'r&vu of Securitt, Consulab 
Affairs and Personnel 

delegation of authority with respect to administra- 
tion and enforcement of immigration and national- 
ity laws relating to powers, duties and functions of 
dipl0m.4tic and consular officers 

November 27, 1953. 

By virtue of the authority vested in me by section 4 of 
the act of May 26, 1949 (63 Stat. Ill; 5 U. S. C. 151c), 
it is hereby provided as follows : 

(1) Under the general direction of the Secretary of 
State and subject to the limitations contained in section 
104 of the Immigration and Nationality Act (66 Stat. 
174; 8 U. S. C. 1104) the Administrator of the Bureau of 
Security, Consular Affairs and Personnel of the Depart- 
ment of State shall be charged with the administration 
and enforcement of the Immigration and Nationality Act 
and all other immigration and nationality laws relating 
to the powers, duties and functions of diplomatic and 
consular officers of the United States, including the au- 
thority to establish such regulations ; prescribe such forms 
of reports, entries and other papers, issue such instru- 
ments ; and to perform such other acts as he deems neces- 
sary for carrying out the provisions of the Immigration 
and Nationality Act and all other immigration and nation- 
ality laws relating to the powers, duties and functions of 
diplomatic and consular ofiicers of the United States. 

(2) There are hereby excluded from the authority dele- 
gated under paragraph (1) of this order: (a) The powers, 

' Bulletin of Nov. 9, 1953, p. 629. 
' 18 Fed. Reg. 7898. 



January 4, 1954 



23 



duties and functions conferred upon consular officers relat- 
ing to the granting or refusal of visas; (b) the powers, 
duties and functions conferred upon the Secretary of State 
by delegation from the President of the United States; 
and (c) the powers, duties and functions conferred jointly 
upon the Secretary of State and the Attorney General. 

(3) The authority delegated under paragraph (1) of 
this order shall not be deemed to include the authority to 
redelegate the powers, duties and functions so delegated. 

(4) This order shall take effect as of the date hereof. 



Dated : November 27, 1953. 
[seal] 



John Fostek Dulles, 

Secretary of State. 



Appointments to 

War Claims Commission 

The President on December 10 made the follow- 
ing recess appointments to the War Claims Com- 
mission, to be effective December 11 : 

Mrs. Pearl Carter Pace 
Whitney Gillilland 
Raymond T. Armbruster 



International Bank Loans 
Made in Brazil 



steps were taken to improve administration and 
operating conditions on the suburban lines. 
These steps have since been taken. 

The project for the development of electric 
power in the State of Sao Paulo consists of the , 
construction of a dam across the Paranapanema 
Eiver at Salto Grande, the installation of four 
15,000 kilowatt generating units, the erection of a 
transmission system, and the expansion of the dis- 
tribution systems of five private utility companies 
which will purchase power generated at the new \ 
plant. The bank's loan will be used to pay for 
the import of turbines, generators, transformers, 
transmission lines, and other equipment and ma- 
terials. 

The Salto Grande project is the first step in the 
development of the power potential of the Para- 
napanema River, which is situated in an area 
devoted primarily to the raising of coffee. New 
wealth from coffee has brought about immigration 
from other parts of the state and the rapid devel- 
opment of urban centers. The privately owned 
utilities serving these communities are at present 
unable to keep up with the demand for power 
but will be able to do so when they can obtain 
power wholesale from Salto Grande and distribute 
it over their extended systems. 



The International Bank for Reconstruction and 
Development on December 18 made two loans in 
Brazil totaling $22.5 million. 

The first is a loan of $12.5 million to the Gov- 
ernment of Brazil. It will be used primarily to 
meet part of the cost of importing passenger train 
units urgently required to maintain the suburban 
service of the Central do Brasil Railroad in Rio 
de Janeiro. 

The second is a loan of $10 million to the Usinas 
Eletricas do Paranapanema S. A. (Usinas), a 
corporation owned almost entirely by the State of 
Sao Paulo. This loan is guaranteed by the Bra- 
zilian Government. It will be used to pay for 
imported equipment for the construction of a hy- 
droelectric plant at Salto Grande on the Parana- 
panema River in the State of Sao Paulo and asso- 
ciated transmission and distribution facilities in 
the States of Sao Paulo and Parana. The power 
will serve rapidly growing agricultural and urban 
centers and will help electrify the Sorocabana 
Railroad, one of the state's important railways. 

The railway loan of $12.5 million is the second 
the bank has made for an emergency program 
to rehabilitate and improve the services of the 
Central do Brasil Railroad. This railroad con- 
nects Brazil's major industrial centers. A loan 
of $12.5 million was made in June 1952 to cover 
the Central's immediate needs for freight cars and 
other equipment to increase the carrying capacity 
of the railroad. At that time the bank indicated 
that it would be prepared to consider an additional 
loan for the suburban service as soon as effective 



24 



Jordan Legation Raised 
to Embassy Rank 

The Legation of the Hashemite Kingdom of 
Jordan was raised to the rank of embassy on De- 
cember 14. On that date the newly appointed 
Ambassador of Jordan, Abdul Munim Rifai, pre- 
sented his credentials to the President. For the 
text of the Ambassador's remarks and the text of 
the President's reply, see Department of State 
press release 661 of December 14. 



President of Turkey To Visit U.S. 

The Department of State announced on Decem- 
ber 16 (press release 663) that arrangements have 
been completed for the arrival of Celal Bayar, 
President of the Republic of Turkey, and Madame 
Bayar, who will visit the United States at the 
invitation of President Eisenhower. 

His Excellency will arrive at the Military Air 
Transport Service Terminal, Washington Na- 
tional Airport, on January 27. He and his party 
will remain in Washington until January 30, 
when they will leave by train for Princeton, N. J. 

His Excellency's tour of the United States will 
be made by train. He will visit, in addition to 
Washington and Princeton, the following cities: 
New York, Cleveland, Toledo, Chicago, San Fran- 
cisco, Los Angeles, Las Vegas, Dallas, and 
Raleigh. 

Department of State Bulletin 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Calendar of Meetings ^ 

Adjourned during December 1953 

Un General Assembly : Eighth Session New York Sept. 15-Dec. 9 

(Recessed) 

IcAO Council: 20th Session Montreal Oct. 27-Dec. 17 

Un Intergovernmental Tin Conference Geneva Nov. 16-Dec. 19 

IcAO Second African-Indian Ocean Regional Air Navigation Meet- Santa Cruz de Tenerife . . . Nov. 17-Dec. 15 

ing. 

Fag 7th Session of the Conference Rome Nov. 23-Dec. 11 

Wmo 1st Session of the Commission for Bibliography and Publica- Paris Nov. 24-Dec. 14 

tions. 

Customs Cooperation Council: Third Session Brussels Nov. 30-Dec. 2 

Ilo Coal Mines Committee: Fifth Session Dusseldorf Nov. 30-Dec. 12 

International Tin Study Group: Management Committee Geneva Nov. 30 (1 day) 

Un Ecosoc Resumed 16th Session of the Council New York Nov. 30-Dec. 7 

Bermuda Talks Bermuda Dec. 4-8 

Fag Council: 19th Session Rome Dec. 12 (1 day) 

Nato Ministerial Meeting of the Council Paris Dec. 14-16 

Rice Consultative Committee: 7th Meeting Singapore Dec. 14-16 

Tripartite Meeting of Foreign Ministers, Working Group Paris Dec. 16-21 

International Sugar Council London Dec. 16-19 

In Session as of December 31, 1953 

International Legal Conference of Asian Countries New Delhi Dec. 28- 

Scheduled January l-March 31, 1954 

Meeting of the Four Foreign Ministers Berlin Jan. 25 

Un Subcommission for Prevention of Discrimination and Protection New York Jan. 4- 

of Minorities. 

Who E.xecutive Board and Committee on Administration and Fi- Geneva Jan. 12- 

nance: 13th Meeting. 

Un Petitions Committee New York Jan. 12- 

World Coffee Congress and International Coffee Culture Exposition . Curitiba Jan. 14- 

Wmg Regional As.sociation for Southwest Pacific: 1st Session . . . Melbourne Jan. 19- 

International Exhibition on Low-Cost Housing New Delhi Jan. 20- 

Fao Indo-Pacific Fisheries Council: Fifth Session Bangkok Jan. 22- 

Un Trusteeship Council: 13th Session New York Jan. 26- 

First Meeting of the International North Pacific Fisheries Commis- Washington Feb. 1- 

sion. 

Un Economic Commission for Latin America: Committee of the Santiago Feb. 1- 

Whole. 

Icao Council: 21st Session Montreal Feb. 2- 

Un Economic Commission for Asia and the Far East: 10th Session . Nuwara Eliya Feb. 8- 

IcAO North Atlantic Ocean Weather Stations Conference .... Paris Feb. 9- 

Ilo Inland Transport Committee: 5th Session Geneva Feb. 15- 

Un Commission on Human Rights: 10th Session New York Feb. 22- 

Un Committee on Non-Governmental Organizations New York Feb. 22- 

Ilo Governing Body: 124th Session Geneva Feb. 27- 

Un EcAFE Inland Transport Committee: 3d Session Nuwara Eliya Feb.- 

Un EcAFE Industry and Trade Committee: 6th Session Nuwara Ehya Feb.- 

Tenth Inter-American Conference Caracas Mar. 1- 

International Exposition in Bogotd Bogota Mar. 1- 

Un Technical Assistance Committee Geneva Mar. 8- 



' Prepared in the Division of International Conferences, tional Labor Organization ; Ecosoc — Economic and Social 

Department of State, Dec. 22, 1953. Asterisks indicate Council; Nato — North Atlantic Treaty Organization; 

tentative dates. Following is a list of abbreviations: Who — World Health Organization; Eoafe — Economic 

UN — United Nations ; Icao — International Civil Aviation Commission for Asia and the Far East ; Unesco — United 

Organization; Fao — Food and Agriculture Organization; Nations Educational, Scientiflc and Cultural Organization ; 

Wmo — World Meteorological Organization ; Ilo — Interna- Unicet — United Nations Children's Fund. 

January 4, 1954 25 



Calendar of Meetings — Continued 

Scheduled January l-March 31, 1954 — Continued 

Un Commission on Status of Women: Eighth Session New York Mar. 8- 

IcAO Communications Division: Fifth Session Montreal Mar. 9- 

Un Economic Commission for Europe: Ninth Session Geneva Mar. 9- 

Unesco Executive Board: 37th Session Paris Mar. 10- 

Western Hemispliere Television Demonstrations International . . New York & Washington . . Mar. 15*- 

Unicef: Executive Board and Program Committee New York Mar. 15 



Trinidad 



Mar. 24- 



Wmo Eastern Caribbean Hurricane Committee of Regional Associa- 
tion IV (North and Central America). 

Ilo Salaried Employees and Professional Committee: 3d Session . Geneva . 

TTn Economic and Social Council: 17th Session New York 

Sixth Pan American Highway Congress: Meeting of Provisional Caracas Mar. 

Committee. 

Un Ecafb Third Regional Conference of Statisticians Southeast Asia Mar. 



Mar. 29- 
Mar. 29- 



International Efforts To Solve Refugee Problem 



SIXTH SESSION OF THE INTERGOVERNMENTAL COMMITTEE 
FOR EUROPEAN MIGRATION 



by George L. Warren 



The sixtli session of the Intergovernmental Com- 
mittee for European Migration was held at Venice, 
Italy, from October 12 through October 21, 1953. 
The Subcommittee on Finance met from October 
8 through October 17, 1953. Twenty-four mem- 
ber governments were represented at the session. 
Colombia and Uruguay had joined the Committee 
since the previous session. Panama, Spain, the 
United Kingdom, the Allied Military Govern- 
ment of Trieste, and the Holy See were represented 
by observers. The United Nations, the Office of 
the United Nations High Commissioner for Ref- 
ugees, the International Labor Organization, the 
United Nations Educational, Scientific and Cul- 
tural Organization, the Food and Agriculture 
Organization, the Council of Europe, the Organi- 
zation for European Economic Cooperation, and 
nongovernmental organizations were also repre- 
sented by observers. 

_ The Migration Committee was established pro- 
visionally for 1 year at Brussels in December 1951 
and continued in operation during 1953 by deci- 
sion of the Committee at its fourth session in Octo- 
ber 1952.' The Committee had previously met at 
Brussels, Washington, and Geneva. The main 

' For articles on the Committee's previous sessions, see 
BuixBTiNs of Feb. 4, l!).-)2, p. 169 ; Apr. 21, 19.52, p. 638 ; July 
21, 1952, p. 107 ; Jan. 12, 1953, p. 64 ; and June 22, 1953, 
p. 879. 



function of the Committee is to facilitate the 
movement out of Europe of over 100,000 migrants 
and refugees annually who would not otherwise 
be moved. The 24 member governments partici- 
pating in the sixth session were : 



Argentina 

Australia 

Austria 

Belgium 

Brazil 

Canada 

Chile 

Colombia 

Costa Rica 

Denmark 

France 

Germany 



Greece 

Israel 

Italy 

Luxembourg 

Netherlands 

Norway 

Paraguay 

Svpeden 

Switzei'land 

United States of America 

Uruguay 

Venezuela 



The following officers were elected to serve at 
the sixth session: Chairman, Fernando Nilo de 
Alvarenga (Brazil) ; First Vice-Chairman, Baron 
Eric O. van Boetzelaer (Netherlands) ; Second 
Vice-Chairman, Oscar Schurch (Switzerland) ; 
and Rapporteur, Akiba Lewinsky (Israel). 

Baron van Boetzelaer was elected chairman of 
the Subcommittee on Finance which met for 3 
days preceding and during the sixth session. The 
Subcommittee on Finance was comjjosed of Aus- 
tralia, Canada, France, Germany, Italy, Nether- 
lands, and the United States. Prior to the session 
the Subcommittee considered the Status Report of 



26 



Department of State Bulletin 



the Director on the Budget and Plan of Expendi- 
ture for 1953 and the proposed budget and plan 
of expenditure for 1954. 

The Subcommittee found that between Janu- 
ary 1 and September 30, 1953, the Committee had 
moved 61,025 persons out of Europe bringing the 
total moved since P'ebruary 1, 1952, to 138,628. 
The sources and destinations of the 61,025 were 
as follows : 

Countries of emigration: 

Austria 4, 291 

Germany 31, 255 

Greece 2, 630 

Italy 10,502 

Netherlands 2, 094 

Shanshai/Hong Kong 2, 329 

Trieste 399 

Others 7,525 

Countries of immigration: 

Argentina 2, 537 

Australia 9, 178 

Brazil 9,046 

Canada 30, 781 

Chile 545 

Israel 1, 319 

United States 4, 219 

Venezuela 2, 219 

Others 1,181 

Contributions to administrative expenditure 
and miscellaneous income up to October 13, 1953, 
totaled $2,218,505. The total of operational in- 
come up to October 13, 1953, was $22,083,154. 
The United States, Brazil, and Luxembourg had 
made contributions of free funds to the opera- 
tional fund, and other contributions were expected 
before the end of the year from Australia, Bel- 
gium, Norway, Sweden, and Switzerland. 

On tlie basis of the report of the Director, the 
administrative expenditure for 1953 was revised 
from the original estimate of $2,147,000 to $2,136,- 
188. The operational expenditure was adjusted 
from $34,608,475 to $25,408,814 to cover a total an- 
ticipated movement during 1953 of 82,411 persons. 
In the consideration of these adjusted estimates the 
Subcommittee learned that the average operational 
cost for movement of persons out of Europe to all 
destinations is $282 per head and out of Shanghai, 
$521 . The average cost of movement from Shang- 
hai has risen because most of the movements have 
recently been to Latin American countries. The 
administrative cost per person was estimated in 
the original budget for 1953 at $17 and in the 
revised budget at $24. The Director explained 
that administrative costs could not be adjusted up 
and down to the volimie of movement and that 
the staff had gradually been increased within 
budgeted limits in order to secure larger move- 
ments in 1954 and 1955. The anticipated carry- 
over of funds from 1953 to 1954 was estimated to 
be $376,613 under the administrative budget and 
$4,063,847 under the operational budget. 

As at the previous session the Subcommittee 
found that the contributions to the administrative 
expenditure had been reasonably satisfactory. 

January 4, 1954 



However, contributions to the free funds to pro- 
vide for nonreimbursable movements had fallen 
short of anticipation, and these and reimburse- 
ments for movements had been delayed to the point 
where the cash position of the Committee was 
endangered. 

In considering the proposed budget and plan of 
expenditure for 1954, the Subcommittee concluded 
that the proposed quota of movement of 132,200 
was overoptimistic. The United States repre- 
sentative urged strongly that an effort be made to 
estimate movements more realistically, since the 
high estimates of 1952 and 1953 had proven con- 
fusing to governments in making decisions as to 
their respective contributions and also tended to 
lessen public confidence in the Committee. As a 
result the Director reduced the estimate of move- 
ment for 1954 to 117,600 and presented revised 
estimates for administrative and operational 
expenditure. 

The Subcommittee gave close attention to the 
proposed plan of expenditure for 1954, examining 
each chapter of expense in detail. The Director's 
contention that a total of administrative expendi- 
ture originally proposed for the movement of 
132,200 would be required for the smaller move- 
ment of 117,600 proved unconvincing to the Com- 
inittee. A final total of $2,401,862 for admin- 
istrative expenditure for 1954 was accepted. 
Adjustments in the plan of operational expendi- 
ture resulted largely from the revised lower quota 
of movements adopted. A total of $34,014,812 was 
finally accepted by the Subcommittee, bringing the 
total budget for administrative and operational 
expenditure to $36,416,674. 

The scale of contributions to the administrative 
expenditure was revised to give effect to the mem- 
bersltips of Colombia and Uruguay in the Com- 
mittee. This resulted in slightly lower percent- 
ages for all member governments. The United 
States percentage was set down at 31.32. Certain 
governments questioned the reduction in the 
United States percentage on the assumption that 
the United States had accepted 331/^ percent at 
Brussels on a continuing basis. The United States 
representative pointed out that no such commit- 
ment had been made, nor could have been made 
in view of the fact that the United States com- 
mitment at Brussels was for 1 year only. The 
matter was not pressed and the lower percentage 
for the United States was accepted. 

Need for Contributions to Operational Fund 

In considering the potential resources for meet- 
ing the operational expenditure for 1954, the Sub- 
committee found that $4,652,299 in income would 
have to be raised in 1954 above the anticipated 
contributions of member governments. This fact 
challenged the Subcommittee and provided an op- 
portunity for the United States representative to 
stress again the need for more and larger contri- 

27 



butions to the operational fund. The United 
States representative stressed throughout the dis- 
cussions tliat both the volume of movements and 
the contributions to the operational expenditure 
by other governments had been disappointing to 
the United States Government. He also pointed 
out that failure on the part of the Committee 
to raise the additional $4,652,299 in the early part 
of 1954 could easily result in the termination of 
the Committee's activities, because the Committee 
has not yet succeeded in building up a working 
capital fund which is needed to maintain a sound 
cash position at all times. 

There was some evidence in the responses of 
other governments that the need for larger con- 
tributions to the operational fund was understood 
and would be considered by the governments in 
determining their contributions for 1954. Aus- 
tralia pledged $134,400 at the session in addition 
to the payments in reimbursement of transport 
to Australia. The United States representative 
advised the Committee that the United States Con- 
gress had appropriated $7,500,000 to cover the 
United States contribution to the Committee for 
1954. The discussions on the budget and plan of 
expenditure for 1954 which took place in the meet- 
ings of the Subcommittee on Finance were re- 
peated later in the full Committee. 

Tlie procedures and operations of the revolving 
fund administered by the voluntary agencies with 
financial assistance from the Migration Committee 
were reviewed in connection with the adoption of 
the plan of expenditure. Repayments by migrants 
for the cost of transport originally advanced from 
the revolving fund were reported to average 28.5 
percent of the money expended by the agencies in 
1952. One agency recorded repayments as high 
as 55 percent. The United States representative 
expressed concern as to the adequacy of the ac- 
counting procedures with respect to advances made 
to the voluntary agencies by the Migration Com- 
mittee, and the Director was instructed to secure 
appropriate audits from the voluntary agencies, 
not only of the funds involved but of the number 
of migrants moved with the assistance of the Com- 
mittee's funds. 



Australian Immigrant Quota Raised 

The Migration Committee in considering the 
plan of operations for 1954 learned that Australia 
had raised her overall quota of immigrants 
for the fiscal year 1953-1954 and expected that as 
many as 20,000 would move to Australia under the 
auspices of the Committee during 1954. At the 
insistence of the Canadian representative, the esti- 
mate for Canada was set down at 15,000 on the 
assumption that there will be more commercial 
shipping on North Atlantic routes during 1954. 
Canada expects to admit the same total of immi- 
grants in 1954 as in 1953. It was estimated that 
about 30,000 refugees who would receive visas un- 

28 



der the Refugee Relief Act would move to the 
United States under the Committee's auspices.'' 
An estimate of 25,000 migrants to the Argentine 
was based on the number of relatives in Italy who 
have already been called forward by Italian im- 
migrants resident in the Argentine. Estimates of 
movement to Brazil in 1954 were set down at 15,- 
000; Chile, 3,000; Venezuela, 5,200; and all other 
countries, 4,400. 

The Director reported that the services provided 
by the Committee for the purpose of increasing 
the volume of movement would be continued in 
1954. A number of special projects such as train- 
ing in Brazilian methods for Italian building 
laborers granted visas for Brazil, language in- 
struction for Greek migrants booked for Australia, 
and a study to improve preselection procedures in 
Italy were already in progress and had demon- 
strated their value. The Committee will also 
assist the Italian Government in 1954 to improve 
its preembarkation procedures in order to increase 
the number of relatives departing to join immi- 
grants already in Argentina, Brazil, Chile, and 
Venezuela. Assistance to the Brazilian Govern- 
ment in developing placement procedures will also 
be continued. Tlie Ilo, Unesco, and Who are 
collaborating in the planning and conduct of these 
special services. 



Final Draft of Constitution Approved 

After preliminary discussion in the full Com- 
mittee on the proposed Draft Constitution during 
which the observations of the representatives of 
the United Nations and the specialized agencies 
were presented, a Subcommittee on the Constitu- 
tion composed of representatives of the Argentine, 
Denmark, France, Canada, Germany, Italy, and 
the United States was appointed. Judge Chaun- 
cey W. Reed, alternate United States representa- 
tive, served as chairman. The main concern of 
the United Nations and the specialized agencies 
was that there be the maximum collaboration be- 
tween the Committee and the specialized agencies 
and that overlapping of services be avoided. This 
was reflected in requests that provision be made in 
the Constitution that the specialized agencies be 
invited to attend meetings of the Executive Com- 
mittee as observers. 

The Subcommittee and later the full Committee 
felt that this arrangement would not be necessary 
to achieve these objectives in view of the fact that 
the Executive Committee under the Constitution 
will not be a policymaking body ; its chief function 
will be to prepare the work of the Council, which 
alone has the power to make policy decisions. The 
Draft Constitution before the Committee already 
provided for the participation of the specialized 
agencies in the sessions of the Council as observers. 



' For a Department announcement concerning the issu- 
ance of visas under this act, see ibid., Dec. 21, 1953, p. 859. 

Department of State Bulletin 



Upon approval of the final draft of the Con- 
stitution, the Committee adopted a resolution 
recommending tliat member governments accept 
the Constitution at the earliest possible date. The 
Constitution when finally in force will give the 
Committee more formal status and establish it 
as a temporary Committee with an anticipated 
life-span of 3 to 5 years as distingiiislied from a 
provisional Committee whose continuous existence 
is dependent upon an annual decision of the 
member governments. 

Situation in Hong Kong 

The Director brought to the attention of the 
Committee the special situation in Hong Kong, 
which is the exit point for refugees from Shanghai. 
They arrive in Hong Kong on special courtesy 
visas issued to them by various Western European 
countries and remain until the Committee can 
move them overseas for permanent resettlement. 
About 15,000 are now in Hong Kong; they leave 
the city for overseas at tlie rate of about 400 a 
month. 

Tlie Director explained that the International 
Refugee Organization Trust Fund previously 
available for the movement of these refugees would 
be exhausted by December 31, 19.53. He conse- 
quently made a special appeal to the government 
members for the contribution of free funds to the 
operational fund in the amount of approximately 
$2 million in order that the movement out of Hong 
Kong miglit be continued in 1954. Pending the 
receipt of contributions specifically allocatecl for 
this purpose, the Director requested authority to 
apply $900,000 remaining in the Committee's 
hands as the unspent balance of the sijecial Iro 
payments in 1952 for the movement of 12,000 
refugees turned over to the Committee when Iro 
ceased operations. The movement of all of these 
refugees had been accomplished. The Committee 
by specific resolution appealed to the government 
members for funds for this purpose, and author- 
ized the Director to apply the balance of $900,000 
originally received from Iro to the movement of 
refugees from Shanghai and Hong Kong pending 
the receipt of new funds for this purpose. 

The representative of the Allied Military Gov- 
ernment at Trieste, present as an observer, ad- 
dressed the Committee on the continuing necessity 
of securing tlie early resettlement of some 4,500 
Eastern European and Yugoslav refugees remain- 
ing in Trieste. A trust fund of a million dollars 
for this purpose was made available to the Com- 
mittee during 1953. The Committee by resolu- 
tion appealed to tlie member governments to pro- 
vide resettlement opportunities for the refugees 
remaining in Trieste. Reports were received in- 
formally during the session that the Committee's 
appeal had already opened up new possibilities of 
emigration, resulting from tlie undertakings of a 
number of immigration countries to send recruit- 



ing missions to Trieste at the earliest possible 
date. 

The Director's report on the meeting of land 
settlement experts at Florence from September 
28 to October 2, 1953, was followed by statements 
of a general nature on the subject by a number of 
representatives of the Latin American countries. 
The representative of Paraguay gave a detailed 
description of a plan for land settlement which 
his government has in preparation. At the end 
of the discussion a brief resolution was adopted 
requesting the Director to intensify his efforts in 
carrying out the terms of paragraph 3 of Resolu- 
tion No. 36 adopted at the fourth session. During 
the discussion the United States representative 
restated the United States position that the 
United States contribution to the Committee is 
available only for the movement of migrants and 
for services closely related to movements and that 
the United States cannot support participation 
by the Committee in the financing or management 
of land settlement projects. 

On balance the government representatives at 
the session were optimistic that the reduced quota 
of movement, 117,600 for 1954, could be achieved 
during that period. It was expected also that the 
services undertaken by the Committee to facilitate 
the processing and placement of migrants would 
produce greater results in 1954. In the develop- 
ment of these services, which include special voca- 
tional training, language training, and the wider 
distribution of information concerning opportuni- 
ties and conditions of living in tlie receiving coun- 
tries, the Committee is preparing the groundwork 
for larger movements in 1955. The Committee has 
learned from experience that to increase the vol- 
ume of movements to receiving countries, particu- 
larly in Latin America, great attention must be 
given to the development of new and improved 
methods of selection, trade testing, and processing, 
and in the reception, placement, and distribution 
of migrants after arrival at the port. In many 
areas of potential movement, the foregoing serv- 
ices are eitlier inadequate or nonexistent and must 
be painstakingly developed if movement is to take 
place. Some governments which have developed 
these services to a high standard of efficiency may 
be induced to share their experience with other 
governments through the exchange of trained 
personnel. 

Members of U.S. Delegation 

The United States was represented at the ses- 
sion by W. Hallam Tuck, Director, Board of 
Allied Chemical & Dye Corporation, who had as 
alternates: Chauncey W. Reed, Chairman of the 
Committee on the Judiciary, the United States 
House of Representatives; Francis E. Walter, 
United States House of Representatives; Arthur 
V. Watkins, and Mrs. Dorothy D. Houghton, As- 
sistant Director for Refugees and Migration, For- 



January 4, 1954 



29 



(lif/ii OiMTiiddiiii Ailiiiinindiiliiiii. 'l'lM^ lulvimirH 
wi'V(M (Jl•rl||/(^ I;, Winrt'M, Ailvi;icr on HrUii!yi-n 
mill l)iM|iliii'i'(| I'lii'iioim, l)i'|inilniiMir <il' Sliiln; 
VVmII<t M ItiMtliM'lllllM, Slilir M.'liiliiT, Coliiinlllcr 
III! llii' .liiiliciiiry, IIiiiIimI HImImi lldiiiui i<( U('|i 
rt'Mi'liliillvcii; KirliMliI \l. Itl'iiwii, I )ili'r(()l'^ ( Xlim 

(iC l''i(>l(l (I.X.I'.lillllli llllillMl SlllllMl l'/MCn|HMl 

I'lnf/r , l<'lMlllir..ll ;<'ol. I)M.VI"II II; l''l'Ml(, (:'lii(*l'j 

Inli'iT/nvi'iniiii'iidil I'lUf/iiiiii I )ivini<iii, ( )(li('n ol 

|(i<|'iip;iMM I Mif.Mii( mil. h'iiii'l//ii ()|MMii(,liiiiii Afl 

iniiiiitl rill lull ; Willniin ( . AMVM, .Ir., I''ir:il, Sl•l•l■l^ 
(iir.v Mild dliirl' til' ( !t)iiiiiiliii' Diviiiiiiii, Anii'rii'iui 
I'lii'iliiiiiM.v, Viriinii ; (Jiiy .1. Hwl•|ll^, S|ii'ciiil AilviiiiT 
(III Ui'l'iViTii, < )irii'r (')!' (Iin HimIimI Sliili-ii IIikIi 
< 'uiiiiiiiiiMiiiMi'i' I'd!' (li'i'hiiiii.V, lliinn; lliinild U. 
'rimiii, ('liii'l', l'',iii'M|M'o I'l'dgr Hiiil, l^'dirif^n 



n|icriilidiiM A<liiiiiili!|jiilidii, 'I'r'KwIi'; nni! ('liurlcH 
VV. 'I'lidiiiiri, ('liicC, l';;,cii|icc I *id>rniiii, l''<irci/j;ii 
( )|ii'rMl idiiM Ailiiiiiii::! nil ion, l^lllll^. 

Uiilli 'l'lidiii|i;idii, l'/i|^iir A. .IdiiiiH mikI .1. l*'niiiU 
VViliidii, iiii'iiilicrH of Mid Dnil-i'd Sliilcs llollH(^ of 
|{f|in'!icMliilivfH, WfiT iilMd iircHciil. iii llir HcHHion. 
I»cii:ii(^ M. Orciili, Chicl' Cli'ik, mid Cliarlm J. 
Ziiiii, Liiw {{(wiHioii (!diiiiiicl, of I III' lloiiMc, (lorn- 
iiiilliMi (III llii' .liidii'iiii'v ; Kolicrl i'lirloii, iiii'iiiIku' 
of lll(^ III II If of llic Scniilc (!diiiiii'illi'i' (III Mil' ■liidi- 
I'iiii'V ; mid l'"niiicoH ('lii'iHly (if Mki slnlf of llui 
lIoiiMn ( 'iiiiiiniMri' on I lie .liidiriiiry iissi^;li'd llii'. 
(•oiii(i'('H!(ioiiiil iiiciiilicrH of llid di'Ici;;!'! ion. 

'nl(^ H(^V(•lllll MCWHioll Vvill lid ll(d(l ill Aplll \'M>'\ 

111 I liii I'lill of I ill' I )ii'ci'l,or n fl(M' coiisiilliil ion w iMi 

IIK'llllii'l' /'d\ I'I'lillltMlfH. 



Reports of U.N. Comiiiaiicl Operations In Korea 



klVINIII III itirPORTi FOR THL rLltlOO 

MAY l(i-»i, i!i;.:i I 

It.N, iliiiv H '.'llllill 

IIiiIimI Hopli'iiiIxT I'l, lUhll 

I HlMM'iplnl 

I licrinvllli niiliiiill M'ImmI iiiiiiiIh'i ill ol' Ihi' riilli'il Nil 

llllllKI t^Mllllllllll! ( Ipi'l'llllllllM III IVIIK'II I'm' llll' jlCllllll Id III 

Mil.V IIIMI, lH('liirtlvi\ (llilli'il Niilliiiiti I 'oiiiiMiiiiil riiiiiiiin 
lili|lli'n Miiiiilii'rri llllll Id.'ll provlili' ili'liilii'il ih'i'ihimIm iiI' 

I IlI'MI' l>|ll'l'llllllllM 

Al llii> III Mii,v iili'iiiir.v Mi'riiiliiii llll' lUilli'il NiilliHiM I 'mil 
liilliiil I ic'li'uiil Imi iiiiiihi jiri'iini'il liiiMiii'i'rNMriill.v I'm' ('mil 
liiiliil'il iii'i'i'iiliini'o 111' llu' 'I'l'i'iuii 111' lli'l'iiri'iii'i' )iro|iiiMi'il li.v 
llll" IhilliMl Niillmin ( 'iiiiiiimnil m\ i:i Miiy " In llic I'lirc 
III' i'iiiiIIiiiiimI ('miiiiiiiiibil i>|i|iiiMlilmi llii< liiilli'il Niilliiim 
<liilimiiiiiil |i|'ii|iiirii'il II I'l'i'i'Mri llllill '.!(( Mn.\ I'm' iuIiuIiiIhIi'ii> 
llvi' ri'iiNiiilw, (Ml III Miiy iil llic icihii'nI of (lio I'nlli'il Nn- 
lliillM I'lilllliwiliil, MiiInoii lllllri'i'M iiii'l. Ill IIiIm iiii'i'lliiti Iho 
IhllliMl NmIIimin ('miiiiiiiiiil I.IiiImoii OIIIiti' n'i|iii'Mli>(l lliiil 
till" I'lii'iiMil vi'i'i'MN 111' llllll liiiicil llllill '.'r. Miiy lUWl, t'liiii 
imiill'tl l.lillmin (Hllri'i'M I'l'plli'il lliiil iIh'Ii' I »i'li-«iillmi nm 
uhliMi'il llllll Ui'ii'illiinmi'i Mlimilil not Ur ili'lii> I'll, Inil r.liili'il 

''I'l'iitiniiillli'il nil Sii|il, It 111 llll' Mi'iM'i>lili',v (loiiiM'iil, I'm' 
I'll'iMlliilliiii 111 iiiiMiitii'i'M of lliii Sin'lli'lly Ciuiiii'll, liy lln> 
ll,M, I'l'iii'i'Miinliillvi' 111 llii> 1I,N, Ti'Vl of llio nOlli I'.-iinrl 
Mlnii'ili'M 111 llll' Mi'IIIihn nl' Ui'i', in, \\W.\ p. li.-iS ; llu' niwl 
llllll Mil i'ii|iiii'lN. hi'o, •;i», lUM, p, IO;tl; lUo MiI ropui'i. 
llllll, yi>, nihil, \i, ihh; III!' Mill t'opiiri. I'Vlv II, iiih:i. p. 'j'ji: 

(linhhlti ii'piii'l, Ki'li HI, IPMl, p. VVU; Itii' ,^ll|l| vopni'l. Mill', 

u. Iiiwi, 11, :nH; (iM'oi'piM fi'.iiii dm ftfiii, hsiii, mui mmu 

ropmlti, Miiy II, Ulri.'l, p (IIUl ; I'Vi'iM'pIs fi'niii (lu> llln|, il Kh, 
mill ll.-illi ii-pmin, .liily 111, llli\'l, p, M: Mini i'\.'i'ipl,M fioiii 
llii> (li'lli, ilSlli, nil. I (IDtli I'.'pmlN, Hiipl, •J,S, IPiVl, p, I'.!,'!, 
'I'lio iloili, (Wil. (Kill, mill (lilih I'opiii'iN wo(t> imilllini renin 
(lii> Hin I niN, 

'Kill' Ihn li'M iif Hii. |iiiipnMiil nf Mm i:l, „i'o Hviikiin 

iif Mii,v uh. ii>hn, |i. ihft, 
90 



llllll llii'lr rilili' imii'i'il Id riiiillniir In ri'ri'HM linlll lifi Miiy 

iiiriii. 

On l!h IMiiy lln' Miiln I 'i'Ii'kiiI ImiM nn'l In pli'iiiiiy si'sslmi 
mill llii> I'lilli'il NiilliiiiM ( 'miiiiianil I ii'lrK'il Imi iiiiiimiiiri'il 
tlilil II llllll II iii'w prnpiiMiil 111 MiiliiiiH. 'I'lii' lliiiti'il Niillmis 
( 'miiniiiiiil llii'ii rri|iii'Nli'il lli.'il. In nrilrr In pi'inill lli(> 
iiiiiNl riii'i'l'iil mill Hiili'iiin I'miMlili'i'iil Imi nl" lis IiiIi'nI prii- 
piiMiil. II iIi'hIi'i'iI llllll nil ili'liilJM III' llll' ini'i-lliiK In' IriiliM- 
iii'li'il In M\i'riillvi' .Sivsslnn. ATI it n lll'li'i-n inlniili' ii'i'i'ns 
llll' rnniniiinlNls iigl'i'i'il llllll nil iIi'ImIIh nl' llin iiii'i'IIiikm 
wmilil III' Ui'pl Ni'ci'i'l llllill niin mIiIi< nr llin nllii-r nniiniini'i'il 
(lii'lr ili'Hii'i' In ri'Niinn" ri'miliir npi-ii ni'NhIiiiin. 

On .'II Mny llin ( 'ninniiinlMlM ii'iiiu'mIi'iI ii inni'lliiK of I.ImI- 
Mnn Olllri'i'M llllll iiliiiniinri'il lliiil llii'li' I 'I'li'Killinii ri'i|ili'sli'(I 
II I'lii'llii'i' I'l'i'i'NM llllill I .llllll'. 'I'll!' Ihilli'il Niilliiiis rnni- 
iiiiinil LIiiIniiii OIIIi'i'I' Ininii'iliiili'ly iiki'i'I'iI Io IIio t'xtiMiNinn 
nl' ii'ci'NN ii'i|iii'mIi'iI liy I In' ( 'mnnuinlsts. 

In .liiiin.'ii'y, 1 1 in I nil nil Nil I inns i 'milium nl IsMiinil n pilli- 
lli'iillnn I'lilllli'il "'I'lii' ( 'nniiiuiiilsl Will' In I'rlsniinr nl' \\'iir 
CiiiiipH"." 'I'lil.s ilni'iininiil nxpnsi'il. nlnnrly iiml I'lii'lmilly, 
llll' I'lTni'lH linliiK niiiiln liy .siiliviTslvn t'miiininilNl iiKi'iii'li'S 
In iiNi' llinso prismini's nl' wiir In I'lilli'il Niillnns Cmiiinmnl 
i'iisliiil,\ MS pm'l nl' lliclr nvi'r nil iiillllnry I'lTniM, 



I'lilli'il NiillmiM t'mnniMiiil Inn lints, nnlln lirnMilciists. iinil 
IniiilNpniiKnr lii'mnlniisls iliirlii:'. tills pni'lml n.'ivn pmlU'iil.'ir 
mii'iillmi In snininm l.'liiK llin I'lillml N.'illniis rnninimiil 
pnslllmi In llin iirinlsl Inn nnmillnl Inns, I'm II Inns innnlvml 
I'iniii prlsminrs nl' w.'ir. Inrvniilly nx|iinsslii>« llinlr niipnsl- 
ttnii In I'mnlliln I'npMli'liillnn, Mi'i'n iiiMiln iinblln, 'I'lin iiu- 
iinTniis nniislninllvn steps InUnn liy llm I'lillnil Niillnns 
rnniniMiiil. In nminw llm iirnii nl' ill.siiiji'nniimnl nn mi nrnil- 
sltnn wnrn mitlliinil In I'lvUt.'iiis Mini Irnnps In I'lmniy-linlil 
Inivltni'V , OnlMlls nt' llm ■.•,". Mmv I'lillml Niillnns t'nniin.'iinl 
lunpnsMl wnin nnl ilisclnsml linniiiisn nl" lis prnsi'iitntlnn In 
I'M'iiillvn snsslmi, lint rnilln IviniiilnMsIs slrnssnil tlm nr^nnt 
nnnil t'ni' nmisl iiii'IIm' iinllnii nn llm pnvl nl' tlm Cnminnnlsts 
In iniilnli (lull nf llm I'lilti'il Niitlmis ('mnnimiil, 



• |I>>1" II ,siiniiiiMi-y, M'l' r 



I 1 1 1 1 1 \ < 



.1' I'.'li 111. IP.-i 



p. J.... 



Department of State Bullotin 



SEVENTY-FIRST REPORT: FOR THE PERIOD 
JUNE 1-15, 1953 * 

U.N. (l(ic. S/;ill7 
linli'il <>('li>bcr 20, 11103 

I iKTowllli suhTiill roporl nninhor 71 of the United 
NiilloiiH ('(iinmiiiKl (»i(i'rnli()iiH In Kcircii f(ir the pi'ridd 
I in Jiini' \'Xi:i, Inclusive. TInlli'd NallonM Cdniniaiul 
e((innnirilc|iicN niinihers ](1.'{2- KUd provide delulled lic- 
eoMiilH <ir llicse operiil Ions. 

'I'hi' ArnilNllcc Nc^ol liil Ions conlinncd in exoentive ses- 
NJon, nnd I lie (Irsl moclln;; of I lie niiiin 1 icIeKiillons wiis 
licid on I .Innc l!l.''i.'l. No doljiils ol' llio (liseiissions were 
iiiikIc ipiilillc nnlll S .June 1!»ri:{, iil wlilcli time the Dclega- 
tlon.s ri'Icnsed lo llic jircss llie '"rcrins of Kelerence for the 
Ncninil Nallons Kcpal riut ion Coinniisslon" ° vvliidi were 
rallllcd at IKK) lionrs on H .Timi' li.v Ilie Senior Delegates 
ol' liolh sides. For the rennilnder oT tlie jicrlod negolia- 
lloiiM were eonl hilled In jileliar.v sessions and In snb- 
deli'^'nlion iind sliilT (jlllcer niecl in^'s ; but no delails of 
(he ak'reenieiit readied al lliese inectinns were released to 
(he preHS. 

( tn a soinewliai reduced senle during the period, strongly 
(loiniiiiinisl ic prisoners of war In TInlled Na( Ions Command 
(■nslo(l.\ ccjiH iniieil Ihi'ir el'Corls lo harass and embarrass 

(he lliilled Nallons ('oi id. Main dillU'iiltieH were 

eiicoiinlercd in the Ko.lc-do coiiiplcx where on several 
occasions iirlsoncis, In dclihcrale vlolalion of standing 
insi nicdoiis, refused (o jiardcipale In heailconnis, showed 
(heir dcllMiK'c li.v shoiils and mass chanting, and were 
ahiislve (o lliclr ^nards. 

Also, of pari iciilar note were nian.v instances of bentinga 
by fellow prisoners In (he pro-("oniniiinlst camps. These 
acts of violence were wlilcspreiid enoinih throngliout the 
\arl<ins compounds lo liidlcalc there is a I'diilimilng 
Hi nn;i;lc h.v llic hard core leaders lo mainlaln rii;i(l control. 

Meanwhile, as Ihe ncgollalions al I'anmnii.joni devel- 
oped. Iliosc prisoners who have elected nol lo relurn to 
Coiiimiinisl coiilrol showed signs of apprehension as lo 
llieir nlllniale Tale al'lcr an arnilslice. To insure that all 
these aiil l-Commiiiilsl prisoners could he certain Ihat Ihe 
IInlle<l Nallons were adhi'rlng llrnily to Ihe ]n'lnclple of 
no forced repal liallon, Ihe nornial Information iirogram 
at each camp emphasi/.ecl Ihe faclual develoiimenls occur- 
ring al raiiniun.ioin as Ihey became luiliUc. Kin])hasls 
wiis jilaced on Uiiiled Nallons Command insistence Ihat, 
in any arrangemcnl llnally carried out for the disiiosllion 
of prisiMiers of war not directly repalrlaled, force or 
coercion woulil nol be used. 

As Ihe world watched closely those develoiimenls which 
inlghl lead to ii full exchange of prisoners of war who 
d<'slre repatrl.Mlloii, ComninnisI atlempls to capitalize ou 
(he exchange of slcU and In.jiired personnel slaclcened. 
Inslead of Ihe earlier broadcasis from enemy areas alleg- 
ing mall realiiienl, nnderfi'cdiiig nnd iioor medical care for 
those prisoners returned by Ihe I'liiled Nalions Command, 
repiuMs were rcMclved of eerlaln t^onimnnist prisoners 
who were being Ire.'iled as defectors. This conlradlcted 
previous Communisl cl;ilnis thai all wiio Imd been returned 
had lieen mceled as oulslancliiii; palriols and would enjoy 
special privileges luMiceforlh. 

.\rier agreement was reached on Ihe (U-ganizallon and 
fnnclioiis of a neutral nallons repat rial ion commission 
on ,s ,luiie, Ihe full text of the terms of reference was 
communicaled lo all prisoners of war held by the United 
NaliiHis Comnamd. A summary of the iirlncipal points 
was also liroadcasi, holli lo prisimers and to the Korean 
pi-oiile in general, l.eallels and broadcasis described the 



salient provisions of the draft armistice agreement, and 
emphasized the continued su|iport of the United Nations 
for achievement of Korean rehabilitation and unification 
liy peaceful methods. 



SEVENTY-SECOND REPORT: FOR THE PERIOD 
JUNE 16-30, 1953 » 

U.N. doc. S/,3i:!2 

Uiitcd Noveinhor 2, 1053 

[Excerpts] 

I herewith submit report number 72 of the United 
Nalions Command Operations in Korea for the period 
l(!-:'.l) .Tune lil.'i.'i, Inclusive. United Nations Command 
communiqU(''s numliers l(j-17~10Ul provide detailed ac- 
counts of these operations. 

Armistice negoiiaiioiis continued in executive session 
with staff groups meeting dally to effect necessary changes 
in the Draft Armistice Agreement. On 16 .lune, Liaison 

Ollicers of both sides als et for several hours. On 17 

.Inne a |ilenary session, lasting twenty minutes, was con- 
diiclcd, and iinmedialeiy thereafter staff groups resumed 
Iheir daily meetings to continue their worli of tinaliziug 
Ihe Draft Armislice Agreement. 

During the early mcuMiing hours of 18 June 1953, and 
wllhout prior warning, a series of prisoner of war 
"e.seaiK's" were engineered through the Republic of Korea 
security guard personnel at ant 1 Communist pri.soner of 
war c.'imjis on tlie South Korean mainland, which resulted 
in fnrtlier delays in signing an armistice.' The element 
of surprise from the Ilepnblic of Korea standpoint was 
complete. II Is rcgrcllablc, however, that Ibis preciiiitous 
action was talien in violation of United Nations Command 
aulliorlty. 

The United Nations Cummaiid moved rapidly to re- 
trieve the situ.'ilion in so far as possible. The t'ommander- 
iu-Cliief, United Nations Command, immediately an- 
nounced thai this action was purely unilateral on the 
part of the Kepublie of Korea Government and was talcen 
in s|iile of previous assurances from President Uliiv that 
no such action would be taken without prior warning. 
Knrther, United Xations Command troops were desig- 
ujited to reiila<'e Uepublie of Korea Army troops at the 
jirisoner of war camiis wilhonl delay. Uiiiled Nations 
t'onimand patrols were dispatched to recapture as many 
prisoners as possible. The latter action could never be 
productive in view of llie atlilude of the South Korean 
p<ipulace which had been cari'f\dly instructed to provide 
refuge and assistance lo the escaping prisoners. 

United Nations Conunand leallels and radio broadcasts 
made factual reports on Hie continuing discussions and 
negotiations with the Kepublie of Korea, and with the 
Communists, to arrange .•in end to hostilities. Particular 
emphasis was also placed on summarizing the monu- 
mental efforts which have already been made by the 
United Nations Command and oilier a.gencies of the United 
Nations to give economic assistance to the Korean people 
in rebuilding and rehabilitating tlieir nation in the waice 
of Comnunust aggression. The numerous contributions 
by various member nalions to this dillicult program are 
being fully reported to 11u> Korean people. 

The United Nations Civil Assistance Command, Korea 
(Unc.vck) was reorganized and redesignated as the Korea 
Civil Assistance Command (KcAo), so as to operate under 
the direct supervision of Ihe I'ommander-in-Chiet, United 
Nations Command. The chii>f purpose in creating Kcao 



'Transmitted on Oct. 1!>. 
"lUTi.i.KTiN of .Tune -J-J, l!)r.;!, p. StW. 



January 4, 1954 



"Transmitted on Oct. :W. 

' For texts of statements and correspondence relating 
to the release of anti-(\)mmunist prisoners of war from 
U.N. eamiis in South Korea, see Uuu.etin of June 29, 
105.S, p. 905. 

31 



was to assure a more efficient administration of the eco- 
nomic assistance being extended to the Republic of Korea 
by the member nations of the United Nations through the 
Unified Command. In activating the Korea Civil As- 
si:5tance Command under the direct control of Headquar- 
ters, United Nations Command, two intervening command 
echelons were eliminated. The Korea Civil Assistance 
Command will administer all phases of civil assistance 
rendered by the United Nations Command to the Republic 
of Korea including formulation of programs for relief and 
support of the civilian population, distribution of relief 
supplies and carrying out projects of reconstruction and 
rehabilitation which are not undertaken by the United 
Nations Korean Reconstruction Agency. 



SEVENTY-THIRD REPORT: FOR THE PERIOD 
JULY 1-15, 1953 8 

D.N. doc. S/3133 
Dated November 2, 1953 

[Excerpts] 

I herewith submit report number 73 of the United 
Nations Command Operations in Korea for the period 
1-15 July 1953, inclusive. United Nations Command com- 
muniques numbers 1662-1676 provide detailed accounts of 
these operations. 

There were no Armistice meetings during the first seven 
days of July. Meetings of liaison officers resumed on 
8 July and on 9 July a lial.son officers meeting was called 
by the United Nations Command. A meeting of the plenary 
session was scheduled for ] 100 on 10 July. 



The Senior Delegates met in executive session through- 
out the remainder of the period. 

During the period from 10 July to 15 July the Commu- 
nist Delegates asked the United Nations Command Dele- 
gates questions relating to the implementation of the 
Armistice Agreement. Meetings during this period were 
in executive session. Communist (juestioiis mainly per- 
tained to the action the United Nations Command would 
take in the event that the Republic of Korea Armed Forces 
do not abide by the terms of the Armistice Agreement. 

The question of what the term, "post-hostilities period" 
meant was introduced into the discussions. The United 
Nations Command stated that this term includes the entire 
period of the Armistice and that there is no time limit 
to the Armistice. 

The United Nations Command pointed out that the 
Armistice being negotiated was a military Armistice be- 
tween opposing commanders and that the United Nations 
Command had clearly and unequivocally stated to the 
Communists that it is prepared to enter Into and abide 
bv all provisions of that Armistice Agreement including 
Article 62. 



Despite unilateral Communist violations of the agree- 
ment on executive sessions. United Nations Command 
radio broadcasts and leaflets continued to confine their 
armistice reports to officially authorized information. 
Extensive coverage was given, in broadcasts audible 
throughout Korea, to the tireless effoi'ts of the United 
Nations and United Nations Command agencies in relief 
and n^habilitation in Korea. Official statements were 
broadcast, reiterating the determination of the United 
Nations to continue working for unification of Korea 
through peaceful means. 



Progress Toward Evacuation of 
Foreign Forces From Burma 

Statements iy Arcldbald J. Carey, Jr. 

V.S. Representative to the General Assembly * 

U.S. delegation press release dated November 27 

As the members of this committee know, the 
debate on the question before us was adjourned on 
November 5 in order tliat our further considera- 
tion of the matter might be taken in the light of 
wlaat has been and what is being accomplished to 
implement the proposed evacuation of some 2,000 
foreign forces from Burma. 

We have recently received several progress re- 
ports^" from the Joint Committee in Bangkok. 
These reports have been circulated in this com- 
mittee, and they give many statistics which you 
will probably wish to digest for yourselves. I do 
not intend to review them in detail at this moment, 
but I do wish to underscore the salient points for 
comment. 

As of today, November 27, 1,103 were troops, 
including 33 women listed as doctors and nurses. 



• Transmitted on Oct. 30. 

•Made on Nov. 27 and Dec. 4 in Committee I (Political 
and Security). For previous statements, see Bulletin of 
Nov. 30, 19.^.3, p. 761. 

"" U.N. docs. A/C.l/L. 89 dated Nov. 26 and A/C.l/L. 91 
dated Nov. 27. 



The remaining 175 are dependents. Practically 
all of these individuals with the exception of one 
hospital case have been airlifted to Formosa. In 
two more days, on November 29, additional evac- 
uees are expected, and on that day an estimated 
150 individuals are due to arrive at the border. 
Further groups estimated at from 100 to 150 evac- 
uees are anticipated at the border on December 2, 
December 4, December 6, and December 8, accord- 
ing to the tentative evacuation schedule presented 
to the Joint Committee by the foreign forces rep- 
resentative at Mae Chan. To summarize, then, 
nearly 1,300 individuals, of whom more than 1,100 
are troops, have already been evacuated and with- 
in the next 10 days or so, additional numbers es- 
timated at between 550 to 750 are expected to be 
evacuated. 

As you will observe from the Joint Committee's 
basic report, which is before you, the majority of 
the evacuees have been in good physical condition 
and only about 2 percent of them were medical 
cases. Sixty percent were between the ages of 20 
and 40, and 12 percent were between 15 and 19 
years of age. You will also observe from the re- 
port before you the high percentage of officers, in- 
cluding generals, colonels, lieutenant colonels, ma- 
jors, and so on down in rank. 

There have, of course, been delays in the evacua- 
tion. Some of them have been unavoidable. Fly- 
ing weather, for example, caused the loss of 3 
days. Other delays were caused by a dispute over 



32 



Department of State Bulletin 



the national origin of certain individuals and by 
the late arrival of the Burmese observer liaison 
group at the scene of operations. This latter de- 
lay was due to a misunderstanding of formalities 
on the part of the Burmese and was rectified as 
soon as the cause of the difficulty was discovered. 

The nationality question which arose at an early 
stage of the operation when 38 men of the Shan 
race presented themselves as candidates for evac- 
uation still remains unsettled. A procedure how- 
ever has been proposed for the handling of future 
cases where nationality is contested, and it is hoped 
that any further question of this nature can be 
satisfactorily resolved on an ad hoc basis. 

It was almost inevitable that such problems or 
others like them would arise in the course of such 
an extended operation as this. And still unsolved 
is the question of weapons, of which only a very 
few have been surrendered to date. As of No- 
vember 25, 41 rifles, 7 carbines, 1 submachine gun, 
1 pistol, 1 mortar, and 167 rounds have been sur- 
rendered. Today, November 27, an additional 4 
submachine guns, 1 carbine, 1 3-in. mortar were 
surrendered. The committee is doing everything 
it can to settle this matter. At present, our in- 
formation is that arms are being collected at Mong 
Hsat for separate transport to Tachilek. I am 
sure we all hope that these weapons will soon be 
turned over to the committee for disposition. 

Mr. Chairman, my Government believes that 
most of the procedural difficulties have now been 
overcome. We believe there is good possibility 
that in the end the number of evacuees may ex- 
ceed the originally estimated figure of 2,000. But 
whether this is the case or not, and the present 
tempo of the evacuation can be maintained or ac- 
celerated, we have every hope and would express 
the wish that all of the parties concerned will con- 
tinue to cooperate in an effort by peaceful means 
and in the spirit of the charter to implement the 
resolution adopted last April. 



U.S. delegation press release dated December 4 

Since we last met on November 27, 1953, fur- 
ther developments have taken place in connection 
with the evacuation of foreign forces from Burma, 
which I should like briefly to review. 

In a previous session I had dealt with the pat- 
tern of attack on my Government demonstrated 
here again this morning by the representative of 
Poland. I shall not dwell on it, but he has sought 
to impugn the integrity of the United States and 
to minimize what is actually being done thi'ough 
the efforts of the four governments concerned. 
This is typical, but what cannot be denied or over- 
looked is that something concrete is being accom- 
plished toward the lessening of tension in Burma, 
and to this accomplishment the Government of the 
United States is making substantial contributions. 

Let us note the facts. There has been circulated 



to the members of this committee one further re- 
port received from the Joint Military Commit- 
tee in Bangkok ^' from which it will be seen that the 
total number of foreign forces evacuated from 
Burma up to and including November 30 is 1,215. 
In addition, 206 dependents have been evacuated, 
bringing the grand total of troops and dependents 
already evacuated to 1,421. Further groups of 
evacuees are expected to cross the Burmese-Thai 
border during the next few days. From these 
figures it will be seen that steady progress is being 
registered in the evacuation of foreign forces from 
Burma, and the outlook is that the original esti- 
mated figure of 2,000 foreign forces evacuees 
should soon be attained. 

However, the question of the surrender of 
weajjons by the foreign forces still remains a prob- 
lem. Although some 19 rifles and 1 submachine 
gun were surrendered by the group of 46 men and 
4 women who crossed the border on November 30, 
the total number of weapons thus far turned over 
to the Joint Military Committee for destruction 
has been disappointingly small. The Joint Mili- 
tary Committee is continuing to give this impor- 
tant matter its attention and is doing everything 
possible to promote a satisfactory solution. The 
arms collected at Mong Hsat for separate trans- 
port to Tachilek, to which I referred on November 
27, have not yet been delivered. I am sure I reflect 
the views of each and every one of us in expressing 
the earnest hope that these weapons will soon be 
turned over to the Joint Military Committee for 
disposal. 

The members of this committee will recall that 
the date originally set by the Burmese Govern- 
ment for the termination of the cease-fire was 
December 1, 1953. But it became evident that the 
evacuation would not be completed by that date 
and that further contingents of foreign forces 
were scheduled to leave Burma. The Joint Mili- 
tary Committee in Bangkok recommended an ex- 
tension of the termination date of the cease-fire. 
Word has now been received that the Government 
of Burma has agreed to extend that date to Decem- 
ber 15. 

I now desire to address myself to the joint reso- 
lution A/C.1/L.90 Eev. 1, introduced by Australia, 
Canada, India, Indonesia, New Zealand, and the 
United Kingdom which is now before us.'^ 

The revisions of the original text which have 
been made by the cosponsors fulfill the objectives 
which we were seeking when together with Thai- 
land we submitted amendments set forth in docu- 



" U.N. doc. A/C.l/L. 93. Two subsequent reports were 
circulated on Dec. 11 as U.N. doc. A/2627. 

^ The resolution urges that "efforts be continued on the 
part of those concerned for the evacuation or internment" 
of the foreign forces in Burma "and the surrender of all 
arms." Committee I adopted the resolution on Dec. 4 by 
a vote of 51-0-6 ( Soviet bloc, Syria ) ; the vote in plenary 
session on Dec. 8 was 56-0-0. The representative of China 
did not participate in either vote. 



January 4, 1954 



33 



ment A/C.1/L.92. In view of this fact and since 
the revised draft resohition commands, we believe, 
wide support among the members of this commit- 
tee, my delegation will vote in favor of it and will 
not press for a vote on the amendments which we 
submitted. 



ICJ To Advise on Relation 
of Assembly and Tribunal 

Statement hy James P. Richards 

U.S. Representative to the General Assembly 

U.S. delegation press release dated December 8 

The Fifth Committee has voted to refer to the 
International Court of Justice certain legal ques- 
tions pertaining to the relationship of the Assem- 
bly and the Administrative Tribunal. I consider 
this to be in large part a recognition of the position 
taken by the United States delegation on the 
matter of the Tribunal awards ^ and the power of 
the Assembly to reject them. The referral to the 
Court means that the awards will not be paid 
now — and further consideration of them by the 
Assembly will be postponed until after the Court 
gives its advisory opinion on the legal questions 
put to it. If the Court answers these questions as 
I think it will, then I feel certain that the Assem- 
bly will reject the awards at its next session. 

General Assembly Statements 

Because of space limitations the Bulletin is 
unable to print all statements made by U.S. repre- 
sentatives during the closing days of the recently 
recessed Eighth Session of the General Assembly. 
Printed herewith for the convenience of readers 
is a list of U.S. Mission press releases containing 
significant material not published in the Bulletin. 

No. of 
No. Date Speaker Agenda Item Pages 

1835 11/27 Atrocities in Korea— High- 16 

lights of U.S. Docu- 
ments 

1837 11/30 Lodge,. _ Atrocities in Korea 14 

1843 12/1 Bolton.. Race Conflict in So. Africa. 4 

1844 12/1 Bolton.. Report of Trusteeship 3 

Council 

1846 12/2 Lodge.. _ Atrocities in Korea 3 

1847 12/2 Richards U. N. Personnel 16 

1851 12/4 Ford .Assistance to Libya 2 

1852 12/5 Bolton.. Race Conflict in So. Africa. 2 

1853 12/5 Bolton.. Race Conflict in So. Africa. 2 

1854 12/7 Lord Forced Labor 1 

1855 12/7 Mavo... Prisoners of War 1 

1856 12/7 Lodge,.. Korea 1 

1857 12/7 Richards U. N. Personnel 2 

1858 12/7 Lodge... Korea 2 

' For Mr. Richards' statement on the awards in Com- 
mittee V {Administrative and Budgetary), see U.S. dele- 
gation press release 1847 of Dec. 2 ; for an earlier state- 
ment on personnel questions in general, see Bulletin of 
Dec. 21, 1953, p. 873. 



Current U.N. Documents: 
A Selected Bibliography ' 

Security Council 

Letter Dated 19 October 1953, Addressed to the Secretary- 
General bv the Observer of the Italian Government 
to the United Nations. S/3115, Oct. 19, 1953. 1 p. 
mimeo. 

Letter Dated 20 October 1953 from the Permanent Repre- 
sentative of Israel to the President of the Security 
Council. S/3116, Oct. 20, 19.j3. 2 pp. mimeo. 

Report Dated 23 October 1953 by the Chief of Staff of 
the Truce Supervision Organization Submitted to 
the Secretary-General for the Security Council. 
S/3122, Oct. 23, 1953. 24 pp. mimeo. 

Report Dated 23 October 1953 by the Chief of Staff of 
the Truce Supervision Organization Submitted to the 
Secretary-General for the Security Council. S/3122, 
Oct. 23, 1953. 24 pp. mimeo. 

Letter Dated 29 October 19133 from the Repre.sentative of 
Israel Addressed to the President of the Security 
Council. S/3129, Oct. 30, 1953. 4 pp. mimeo. 



General Assembly 

Information from Non-Self-Governing Territories : Sum- 
mary and Analysis of Information Transmitted Under 
Article 73 e of the Charter. Report of the Secretary- 
General. Summary of information transmitted by the 
Government of the United Kingdom of Great Britain 
and Northern Ireland. A/2413/Add. 8, Oct. 30, 1953. 
14 pp. mimeo. 

Question of South West Africa. Second addendum to the 
report of the Ad Hoc Committee on South West 
Africa. A/2475/Add. 2, Nov. 9, 1953. 3 pp. mimeo. 

Budget Estimates for the Financial Year 1954. Part IV — 
European Office of the United Nations : Section 20 — 
European OtHce of the United Nations : Section 20a — 
Office of the High Commissioner for Refugees. Fifth 
report of the Advisory Committee on Administrative 
and Budgetary Questions to the eighth session of the 
General Assembly. A/2501, Oct. 16, 1953. 64 pp. 
mimeo. 

Report of the United Nations Commission on the Racial 
Situation in the Union of South Africa, vol. I. 
A/2505. Oct. 13, 1953. 3.55 pp. mimeo. vol. II. 
A/2505/Add. 1, Oct. 14, 1953. 156 pp. mimeo. 

Measures to Limit the Duration of Regular Sessions of 
the General Assembly. Report of the Si.xth Com- 
mittee. A/2512, Oct. 19, 19.53. 6 pp. mimeo. 

Programme of Concerted Practical Action in the Social 
Field of the United Nations and the Specialized 
Agencies. Report of the Third Committee. A/2514. 
Oct. 19, 1953. 6 pp. mimeo. 

The Korean Question. Note by the Secretary-General. 
A/2515, Oct. 19, 1953. 5 pp. mimeo. 

The Korean Question. Note by the Secretary-General. 
A/2518, Oct. 20, 1953. 4 pp. mimeo. 



' Printed materials may be secured in the United States 
from the International Documents Service, Columbia Uni- 
versity Press, 2960 Broadway, New York 27, N. Y. Other 
materials (mimeographed or processed documents) may 
be consulted at certain designated libraries in the tfnited 
States. 

The United Nations Secretariat has established an Of- 
ficial Records series for the General Assembly, the Se- 
curity Council, the Economic and Social Council, the 
Trusteeship Council, and the Disarmament Commission, 
which includes summaries of proceedings, resolutions, and 
reports of the various commissions and committees. In- 
formation on securing subscriptions to the series may be 
obtained from the International Documents Service. 



34 



Department of State Bulletin 



January 4, 1954 



Index 



Vol. XXX, No. 758 



Agriculture 

Canada To Limit Sliipments of Oats to D.S 21 

President Requests Study of Rye Imports i22 

Asia. Meeting tlie People of Asia (Nixon) 10 

Atomic Energy. Soviet Response to U.S. Atomic Proposal 

(Dulles) 9 

Australia. Tax Conventions With Australia Enter Into 

Porce 22 

Aviation. Civil Aviation Talks Held With Canada . . 20 

Brazil. International Bank Loans Made in Brazil . . 24 

Barma. Progress Toward Evacuation of Foreign Forces 

From Burma (Carey) 32 

Canada 

Canada To Limit Sliipments of Oats to U.S 21 

Canada-U.S. Relations : A Businessman-Ambassador's 

Point of View (Stuart) . , . k 18 

Civil Aviation Talks Held With Canada 20 

Economic Affairs 

Canada To Limit Shipments of Oats to U.S 21 

Canada-U.S. Relations : A Businessman-Ambassador's 

Point of View (Stuart) . , . 18 

International Bank Loans Made in Brazil 24 

President Requests Study of Rye Imports 22 

Tax Conventions With Australia Enter Into Force . . 22 

U.S. To Reconsider Ocean Station Participation ... 23 

Immigration and Naturalization. Delegation of Authority 

for Immigration Laws 23 

International Organizations and Meetings 

Calendar of Meetings 25 

Interaational Bank Loans Made in Brazil 24 

International Efforts To Solve Refugee Problem 

(Warren) 26 

Soviet Union Delays Four-Power Meeting 9 

U.S. To Reconsider Ocean Station Participation ... 23 

Japan. U.S. Returns Islands to Japanese Control 

(Dulles) 17 

Jordan. Jordan Legation Raised to Embassy Rank . . 24 

Korea 

Attempted Negotiations at Panmunjom (Dean) . . r 15 

Reduction of U.S. Forces in Korea (Eisenhower) ... 14 

U.N. Command Operations Reports 70-73 . . . . 30 

Military Affairs 

Progress Toward Evacuation of Foreign Forces From 

Burma (Carey) 32 

Reduction of U.S. Forces in Korea (Eisenhower) ... 14 

U.N. Command Operations Reports 70-73 ,.»... 30 

North Atlantic Treaty Organization 

North Atlantic Council Holds Twelfth Session , . . . S 

President's Views on NATO Report 7 

Report on the North Atlantic Treaty Organization 

(Dulles) 3 

Publications. U.N. Documents 34 

Refugees and Displaced Persons. International Efforts To 

Solve Refugee Problem (Warren) 26 

Treaty Information 

Tax Conventions With Australia Enter Into Force . . 22i 

U.S. Returns Islands to Japanese Control (Dulles) . . 17 



Turkey. President of Turkey To Visit U.S 24 

Union of Soviet Socialist Republics 

Soviet Response to U.S. Atomic Proposal (Dulles) . . 9 

Soviet Union Delays Four-Power Meeting . . , . . 9 

United Nations 

General Assembly 

General Assembly Statements 34 

ICJ To Advise on Relation of Assembly and Tribunal 

(Richards) 34 

Progress Toward Evacuation of Foreign Forces From 

Burma (Carey) 32 

U.N. Command Operations Reports 70-73 SO 

U.N. Documents 34 

War Claims Commission. Appointments to War Claims 

Commission ,. £4 

Name Index 

Armbruster, Raymond T 24 

Bayar, Celal 24 

Carey, Archibald J., Jr 32 

Dean, Arthur H 15 

Dulles, Secretary 3, 9, 17 

Eisenhower, President 7, 14, 22, 24 

Gillilland, Whitney 24 

Nixon, Vice President 10 

Pace, Mrs. Pearl Carter 24 

Richards, James P 34 

Rifai, Abdul Munim 24 

Smith, Walter B 21 

Stuart, R. Douglas 18 

Warren, George L , 26 



Check List of Department of State 


Press Releases: December 14 27 


Releases 


may be obtained from the News 


Division, Department of State, Wasbington 25, 
D C 


No. 


Date 


Subject 


661 


12/14 


Jordan credentials (re-write) 


t662 


12/16 


Cabot : Latin American relations 


663 


12/16 


Visit of Turliish President (re-write) 


664 


12/16 


Aviation tallis with Canada 


t66.5 


12/87 


Appointment to Unesco Commission 


6C6 


12/21 


Dulles: Soviet reply to atomic pool 


667 


12/21 


Dean : Report on Panmunjom talks 


668 


12/22 


Dulles : Report on Nato 


669 


12/22 


U. S. partiL-ipatiou in ocean program 


670 


12/22 


Tax conventions with Australia 


671 


12/24 


Rights over Amami Oshima Islands 


*672 


12/24 


Dulles : Death of Pierre Dupong 


*673 


12/24 


Dulles: Christmas greetings 


*674 


12/26 


Dulles : Death of Monnett Davis 


675 


12/26 


U.S.S.R. delays Berlin meeting 


*Not printed. | 


fHeld for 


a later issue of the Bulletin. 



January 4, 1954 



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Vol. XXX, No. 759 
January 11, 1954 




Ntbs o* 



MUTUAL ECONOMIC PROGRESS IN THE 

AMERICAS • by Assistant Secretary Cabot 48 

EFFORTS TOWARD RETURN OF LEND-LEASE 

VESSELS BY U.S.S.R. • Text of Correspondence ... 44 

CHINA IN THE SHADOW OF COMMUNISM • Article 

by Walter P. McConaiighy 39 



For index sec inside back cover 




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January 11, 1954 



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China in the Shadow of Communism 



hy Walter P. McConaughy 



How have we come so abnip)tly to the present 
sad and menacing state of affairs in China when 
the National Government was victorious and 
clothed with great international prestige in 1945 ? 
A strong contributory factor undoubtedly was 
the tragically devitalizing effect on China of a 
decade and a half of struggle against Japanese 
aggression. 

Many observers were not unaware of the de- 
bilitating effects of Japanese encroachment, but 
few appreciated to the full the extent to which the 
Chinese governmental, economic, and social struc- 
ture had been undermined. The collapse on the 
mainland in 1948 and 1949 was in substantial 
measure the evil fruit of that bitter and heroic 
early struggle. 

We cannot seriously believe that the ultimate 
judgment of history will hold our country pri- 
marily responsible for the debacle which took place 
in China between 1945 and 1949, the consequences 
of which no man can foretell. 

Our help before and during those years was 
very substantial, even though it proved to be in- 
effective. In a sense the defeat represented a 
failure of free men, primarily in China, but sec- 
ondarily in every associated country that was free, 
to recognize to the full the sinister nature of the 
threat, which far transcended the borders of 
China, and a corollary failure to respond with the 
prodigious measure of sacrificial effort that would 
have been required to forestall the catastrophe. 

Support of Government on Formosa 

Today we see the government which was the 
victim of that Communist conspiracy and aggres- 
sion entrenched on Formosa, endowed with a 
great sense of dedication and a clear understand- 
ing of the nature of the enemy, as a result of the 
fires through which it has passed. Much of the 
dross has been consumed in the searing experiences 
of these years. 

Aided by military and economic programs in 
which we are participating heavily, it stands lit- 



erally and figuratively as a rallying point for all 
Chinese who oppose the Communist oligarchy 
which aims to keep the Chinese people in bondage 
and use them for the further attainment of their 
evil objectives. The Chinese Government and its 
people on Formosa are redoubtable members of 
the confraternity of free peoples who are ready 
to take their stand against further Communist 
conquests. 

In view of the limitations imposed by relatively 
small geographic, manpower and economic re- 
sources, care must be taken not to overestimate 
that government's material capabilities. The 
strongest force they can muster and support is 
none too large for the threat they face. In the 
no less important moral and psychological spheres 
their value to the common cause is enormous. 

We have our problems with that government 
as it no doubt has its problems with ours. Gov- 
ernments are fallible, as are the humans who com- 
pose them. The point is that this government is 
essentially with us. It is a government with 
which we can negotiate on a rational plane. We 
are dealing with it on a sane basis of give and 
take. 

We are rendering substantial help to this gov- 
ernment without intervening in its domestic af- 
fairs or otherwise infringing on its sovereignty. 
We are helping a beleaguered people to help them- 
selves and the common cause. It is a program 
from which we can derive some satisfaction. It 
is our purpose to continue to back this government. 

We believe that it is the only Chinese Govern- 
ment which represents in any measure the authen- 
tic aspirations and the bona fide national inter- 
ests of the Chinese people. 

Disillusioned though the mass of the Chinese 
may have been with it in the dark days of 1948^9, 
its record on Formosa makes it look better and 
better to the Chinese people on the mainland by 
contrast with the ruthless exploitation which they 
are suffering at the hands of the regime of Mao 
Tse-tung. There is reason to hope that the gov- 
ernment at Taipei will continue to grow in 



January 7?, 7954 



39 



strength, in devotion to the cardinal principles of 
democracy, and in international prestige, and that 
its base of free Chinese support will steadily be 
broadened so that it will be enabled to raise ever 
higher a standard around which all Chinese may 
ratly who wish to save from extinction Chinese 
freedoms and the ancient and distinctive Chinese 
traditions. 

We find an element of irrationality in much of 
the vituperation heaped upon that government 
and its head. Grant that it committed errors of 
judgment after World War II; concede that it 
had in large measure lost the confidence of the 
Chinese people when it abandoned the mainland 
4 years ago; after all that is taken into account we 
have still the incontrovertible fact that it has stood 
steadfastly by those principles which free people 
recognize as paramount. It has come a long way 
since it established itself on Formosa. 

It seems to us that the intemperate abuse heaped 
on the Chinese Government is often based on petty 
personal grounds or on shortcomings which are no 
longer relevant. 

There is an occasional form of human perverse- 
ness which tends to cause displeasure to rise higher 
against a man of good will who is in difficulty in- 
volving others than against a dangerous public 
enemy with whom there has been no personal con- 
tact. But this reaction should be momentary at 
the most. 

If there was ever any excuse for overlooking 
the faults of the enemy and magnifying the alleged 
faults of the friend, it abruptly ended in Novem- 
ber 1950 when the Chinese Communists without 
warning or warrant hurled their forces against 
the U.N. defenders of Korea. 

There is no doubt that the overwhelming ma- 
jority of the American people do see this issue 
in proper perspective. But an articulate though 
small minority in our own country, and more in 
some other countries, sometimes seem to fail to 
distinguish friend from foe. 

When it is possible to take the long view, we 
may find that one of the sad circumstances of these 
days has been the proclivity of some of our friends 
in various parts of the world to confuse Commu- 
nist imperialism with bona fide nationalism. 



Siren Song of Communism 

The siren song of communism in Asia, that it is 
spearheading a pan-Asiatic revulsion against 
white colonialism and imperialism, has beguiled 
many Asians of good will who would not know- 
ingly play the Communist game. When the Com- 
munists so plausibly take over and exploit to their 
own evil purposes the discontent of Eastern peo- 
ples with their poor lot in life, perhaps it is no 
wonder that many are deceived. 

Equally to be deplored is the occasional tend- 
ency to regard with considerable reserve any 



Asiatic government which is standing four square 
against Communist encroachment and is partic- 
ipating in the U. S. mutual defense assistance 
program as being somehow under foreign domi- 
nation and less representative of its people than 
a government whose position is equivocal. The 
suspicion does not seem to attach equally to Euro- 
pean countries participating in the program — 
only the Asian countries. 

A word of caution now against those who say 
that the battlelines are now drawn and that we 
must immediately make a fateful leap in one direc- 
tion or the other. They would have us either 
enter into a full program of attempted appease- 
ment of communism in Asia, or else embark upon 
a dangerously provocative course which might 
soon embroil us in active hostilities with conse- 
quences beyond measure. 

Although they would not admit it, their counsel 
in effect is that we must jump either into the fry- 
ing pan or the fire. We do not propose to do 
either. 

Our course is what we conceive of as a middle 
one, calculated to limit the capability of the enemy 
for further aggression and to build up the strength 
of our friends. In that direction lies the best hope 
for peaceful attainment of our objectives, and the 
best preparation for any new challenge that may 
be flung at us. 



Nonrecognition of Communist Regime 

One often-asked question deserves an answer: 
"Since recognition doesn't signify approval, 
why don't we 'accept reality' and recognize the 
Chinese Communist regime which is in full con- 
trol of the country?" 

To start with, let us take a look at the four 
generally accepted criteria which a new regime 
ordinarily must meet before its recognition as a 
legitimate government and its acceptance into the 
sisterhood of nations. These four criteria are (1) 
effective control over the territory of the country; 
(2) sovereign independence ; (3) truly representa- 
tive character — something in the nature of a man- 
date from the people governed, or at least their 
consent without coercion; and (4) acceptance of 
its inherited and generally recognized treaty and 
other international obligations and adherence to 
a pretty well established minimum standard of 
decency in its treatment of foreign nationals and 
interests within its borders. 

Of these four criteria it would seem that the 
Peiping regime meets only the first and that is 
perhaps the least essential of the four. 

Repeatedly we have recognized governments in 
exile which could not meet the first criterion. 
But it would be a serious matter to overlook the 
other three tests. 

The Chinese Communists do not measure up 
under any of them. They are subservient to Mos- 



40 



Department of State Bulletin 



cow and international communism; they impose 
an alien minority rule by force and falsification 
on an intimidated, isolated and misinformed pop- 
ulace ; and they openly flout every Chinese treaty 
obligation, every principle of the U.N. charter, 
and every clause in any reasonable formulation of 
human and property rights for aliens. 

Apart from the horrors wantonly inflicted on 
millions of Chinese since 1949, the story of the 
flagrant abuse of scores of American citizens is 
one which rightfully causes us to burn with wrath. 

The shocking crimes against humanity of re- 
cent years have blunted world sensitivity to mass 
sadism so that we no longer seem to express the 
full measure of our moral indignation against 
these great wrongs. But we cannot lightly dis- 
miss the agony of our fellow citizens arrested by 
Chinese Communists on trumped-up charges ; held 
incommunicado for months or years without ac- 
cess to friends or legal counsel and often with- 
out knowledge of what oifense if any is charged 
against them; and in many cases subjected to 
physical or mental tortures aimed at extorting 
false confessions that can be used in the vicious 
hate- America propaganda campaign, a campaign 
which unhappily may in time turn a new genera- 
tion of Chinese against America and Americans 
by a systematic poisoning of their minds against 
this country beginning in childhood. 

On grounds of international law, the case against 
recognition is very strong. On practical grounds, 
the argument is equally strong. 

Recognition has assumed a political and psycho- 
logical significance which is new. It has become 
a symbol. Recognition in this case would mean in 
the eyes of millions, especially in Asia, not neces- 
sarily approval but acceptance, accommodation, 
and reconcilement. 

Nonrecognition means refusal to accept the 
Communist triumph as definitive. It means to 
many that the will to resist Communist ex- 
pansion is alive; that communism is not the 
inevitable "wave of the future" for Asia; that 
communism is not assured of acceptance and 
legitimation in every country where it may gain 
a beachhead ; that our Asian friends who have the 
courage to stand up against communism will not 
have the ground cut out from under their feet if 
communism should attempt to subvert or take 
over their native land. 

Some may be unable to see wliy the recognition 
issue should signify all this; but the fact is that it 
does to many Asians, including numbers who are 
"on the fence." Many an Asian has told me that 
American nonrecognition of the Communist re- 
gime in Peiping has had much to do with checking 
the impetus of the Communist advance in Asia. 

Even Chinese who are not particularly in sym- 
pathy with the Chinese National Government tell 
us that recognition of the Communist dictators in 
Peiping would be the greatest single nonmilitary 
triumph for the Commimist cause and the hardest 



psychological blow against the will to resist the 
further spread of communism that could be 
devised. 

It would be an unthinkable betrayal of the Chi- 
nese Government and its people on Formosa and 
likewise a grave disservice to the mass of Chinese 
peo^jle on the mainland suffering under Commu- 
nist dictatorship. Our friendship for them shall 
not waver, and it demands that we shall not 
strengthen the hand of their oppressor. 

The Communist side is becoming increasingly 
aware of the immense political and psychological 
advantages, as well as the parliamentary advan- 
tages in the United Nations, which could be ob- 
tained from general worldwide recognition of the 
Peiping regime. Hence we are beginning to see a 
series of maneuvers out of Moscow and Peiping 
designed to force the general international accept- 
ance of the Mao Tse-tung regime as the legitimate 
government of China, entitled to occupy China's 
seat in the United Nations. This endeavor must 
be resisted. 

We see in the arrogant, incorrigible, unyielding 
position taken by Chinese Communist mouth- 
pieces wherever they appear at a conference how 
difficult it is to negotiate even the simplest matter 
with them. The current negotiations in Korea are 
an example. The patience, the flexibility, the 
open-mindedness, the reasonableness and resource- 
fulness of even a consummately skilled negotiator 
are largely wasted. 

There is nothing to be gained from diplomatic 
relations with such a regime, which believes in the 
use of diplomacy as a weapon of propaganda and 
subversion rather than as a means of constructive 
diplomatic intercourse. 

The ambitious plans of the Peiping regime to 
build its industrial base for war through a com- 
prehensive 5-year economic development plan are 
deeply disturbing. There is no reason to believe 
that its longstanding plans for expansion in Asia 
have been modified. 

Korean Issue Remains Open 

Even the aggression in Korea cannot be consid- 
ered as terminated merely by an armistice. In 
the absence of a satisfactory settlement in a politi- 
cal conference, the Korean issue remains open. 

The fundamental threat posed by the Peiping 
regime through its Korean aggression calls for a 
continuance of the concerted U.N. economic sanc- 
tions which have been applied against it since 
1951. 

We believe that the regime, if allowed to carry 
on foreign trade freely, would disregard the 
normal consumer requirements of the Chinese peo- 
ple and continue to impose the severest limitations 
on imports of consumer goods, while concentrating 
on strategic and industrial imports essential to 
the build-up of a war economy which might later 
be used against us. 



January II, 1954 



41 



Hence the conclusion that the U.S. ban on trade, 
shipping, and financial relations with Communist 
China must be maintained, in the absence of a 
fundamental change in the posture, the composi- 
tion and the essential orientation of the regime. 

The Peiping regime in 1949 contemptuously re- 
jected opportunities for friendship and normal 
trade relations. Those who have hoped that a 
Western policy of "keeping a foot in the door" 
would have a moderating effect on the regime, and 
perhaps alienate the regime from its Moscow affili- 
ation, have seen their hopes consistently dashed. 

By maintaining a policy of pressure and diplo- 
matic isolation we can at least slow the growth of 
the war-making potential of Communist China 
and retard the consolidation of its diplomatic 
position. A relationship of dependence on the 
senior partner as complete as we can make it will 
not make the embrace any more congenial for 
either the Soviet senior partner or the Chinese 
Communist junior partner. 

It is regrettable that I cannot produce any pan- 
acea which would solve all the vexing problems 
posed by Communist China and remove this added 



threat to our national security with one magic 
stroke. I do not have any such formula and I 
question whether anyone else has. 

It is not pleasant to have to report that nothing 
better than a prolonged period of tension and un- 
certainty may be in store for us. It is cold com- 
fort to say that the prospects of checkmating any 
further encroachments of the opposition in the 
Far East are slowly improving. We all long for 
a quick end to this gray period which is so costly, 
so anxious, and so frustrating. 

But let us take comfort in the assurance that we 
now know the nature of the enemy, which should 
deny him any more easy victories; in the belief 
that a divinely implanted inner voice inclines all 
humanity to our side ; and in the conviction that 
any system so violative of all the things mankind 
holds most dear must veritably carry within itself 
the seeds of its own ultimate dissolution. 

• Mr. McConaughy is Director of the- Office of 
Chinese Affairs. His article is based on an address 
made on December 7 before the Richmond Public 
Forum, Richmond, Va. 



Withdrawal of Two U. S. 
Divisions From Korea 

Press release 677 dated December 29 

At his press co7iference on December 29, Secre- 
tary Dulles was asked whether the j^rojected with- 
drawal of tivo A77ierican divisions fro7n Korea was 
founded upon a general buildup of American mili- 
tary power in the Far East, or whether it was to en- 
courage a climate of peace in the area. He was 
also asked hoiv such a withdrawal would affect the 
strength of the United States in Japan. Mr. 
Dulles made the following reply : 

The withdrawal or prospective withdrawal of 
two divisions from Korea is due to a combination 
of circumstances. One of those circumstances is 
the fact that there was a very considerable buildup 
of United States strength in Korea in the few 
weeks which immediately preceded the armistice. 
That was done as one of the many moves which we 
made to try to bring the armistice about, and the 
two divisions now to be withdrawn are to a large 
extent the equivalent of the buildup which was 
made shortly before the armistice. 

A second point is that one of the many impor- 
tant reasons for the armistice was to get away from 
having a large part of the United States armed 
forces permanently pinned down on the Asian 
mainland, and the armistice would not have ac- 
complished one of its major intended purposes if 
it did not operate to give greater mobility and 
greater choice to United States military strength 
in the Asian theater. 



42 



A third point is that in fact there has been, as 
the President's statement pointed out,' a very sub- 
stantial buildup of sea and air power, and we have 
emphasized on one or two occasions that if there 
is a renewal of hostilities in Korea or if the Chi- 
nese Communists should openly intervene in Indo- 
china the reactions on our part would not neces- 
sarily be confined to the particular area which the 
Communists chose to make the theater of their 
new aggression. The implication of that is that, 
instead of trying to meet any such new aggressions 
merely by land power of our own in Asia, there 
would be more reliance on sea and air power which 
would give us a greater choice. All those things 
combined make logical the action which the Presi- 
dent announced. 



Now when you speak about strength in relation 
to our position in Japan, if you're thinking in 
terms of the ability to inflict damage upon a pos- 
sible enemy, that power is being increased. If 
you're thinking of power merely in terms of actual 
numbers of foot soldiers, that I would say is on a 
declining basis as far as U. S. foi'ces in Korea are 
concerned. There has been no decision yet in that 
respect as regards Japan. 

Our power will, I believe, on net balance be 
gi'eater than it has been heretofore. And the 
President's statement made very clear, and this 
should always be emphasized, this action that has 



" Bulletin of Jan. 4, 1954, p. 14. 

Department of Sfa/e Bullelin 



been taken is not intended in any way to be a 
diminution of our recognition of responsibilities in 
that area, or of our ability to discharge those 
obligations. 

Let me reaffirm what the President said, namely, 
that United States military forces in the Far East 
will be maintained at appropriate levels to take 
account of the commitments which the United 
States has undertaken in that area and which are 
vital to the security of the United States. These 
forces will feature highly mobile naval, air, and 
amphibious units. 



nothing from nothing, you still have nothing. 

It is not impossible that this move bears a rela- 
tionship to the prospective meeting of the Foreign 
Ministers in Berlin. 

The fact that Communist troops are again close 
to the borders of Thailand obviously causes some 
concern. But the Communist forces on the border 
are not now, according to our information, in such 
numbers as to carry any present serious threat to 
Thailand. 



Viet Minh Penetration of Laos 

Press release 67S dated December 29 

At his press conference on Decemier 29, Secre- 
tary Dulles loas questioned regarding the signifi- 
cance of the Viet Minh fenetration of Laos. Mr. 
Dulles made the following reply: 

My impression is that recent accounts have been 
exaggerated. There has been talk about cutting 
Indochina in two. The reality is that there has 
not for a long time been any movement north and 
south through that area. The normal movement 
is by sea and by the river, and the interior has been 
spotted with Communist infiltrations for a long 
time. I imagine that the buildup which has been 
given this is due in considerable part to its political 
implication which exaggerates the matter beyond 
its military significance. I don't know where the 
source of this buildup comes from. My informa- 
tion is that the French press has not attached as 
much importance to it as apparently the American 
press has. I don't know how to account for that 
exactly, but it seems to be the fact. Certainly it 
is a fact that our analysis does not attach the im- 
portance to it which seems to be attached by many 
of the stories. 

We have always taken a serious view of the 
entire situation in the Indochina area. It is a 
difficult struggle. It is an area in which any side 
which wishes to take an offensive can do so. But 
my judgment of the total situation is not appre- 
ciably affected by the Communist offensive in the 
last few days. I do not believe that anything that 
has happened upsets appreciably the timetable of 
General Navarre's plan. There is no reason that 
I am aware of for anybody to get panicky about 
what has happened. 

Now as to your questions of whether this de- 
tracts from the sincerity of the highly publicized 
"peace feelers" of the Viet Minh, whether this 
penetration is coordinated with Communist moves 
elsewhere, and whether it constitutes a threat to 
Thailand, let me say this: With respect to the 
"peace feelers," I have never thought there was 
much sincerity in them. So when you subtract 



Agreement Reached on Date 
for Four-Power Meeting 

Following is the text of an exchange of notes 
between the U. S. and Soviet Governments regard- 
ing the proposed four-power meeting of Foreign 
Ministers at Berlin. The U. S. note was delivered 
to the Soviet Foreign Ministry on January 1 hy 
Ambassador Charles E. Bohlen. Similar notes 
were delivered to the Foreign Ministry on behalf 
of the British and French Governments.^ 

U. S. NOTE OF JANUARY 1 

Press release 1 dated January 1 

The United States Government acknowledges 
receipt of the note of December 26, 1953, in which 
the Soviet Government agrees to be represented 
at a meeting in Berlin of the Foreign Ministers 
of France, the United Kingdom, the United States 
and the Union of Soviet Socialist Kepublics. 
While regretting that the Soviet Government has 
not accepted the proposed date of January 4, the 
United States Government agrees to the date of 
January 25 now suggested in the Soviet note. 

The United States Government also agrees that 
representatives of the High Commissioners should 
discuss the technical arrangements for the meet- 
ing, including the question of the building in 
which it should take place, and it is so instructing 
the United States High Commissioner. As re- 
gards the place of meeting, the United States Gov- 
ernment continues to believe that the building 
formerly used by the Allied Control Authority 
offers all the necessary facilities. 

In its earlier notes, the United States Govern- 
ment has already set out its views as regards the 
meeting itself and the questions to be considered 
at it. It, therefore, does not now think it neces- 
sary to revert to these matters which will shortly 
be the subject of discussion between the Foreign 
Ministers of the four countries. 



' For texts of previous exchanges of notes, see Buixetins 
of July 27, 1953, p. 107 ; Aug. 31, 1953, p. 282 ; Sept. 14, 
1953, p. 351 ; Oct. 26, 1953, p. 547 ; and Nov. 30, 1953, p. 
745. 



January 7 7, 7954 



43 



SOVIET NOTE OF DECEMBER 26 

[Dnofflclal translation] 

The Soviet Government takes into consideration the 
United States Government's agreement to the convocation 
of a conference of Ministers of Foreign Affairs of the 
United States of America, England, USSR and France at 
Berlin. 

The Government of the USSR reaffirms the position 
which it set forth earlier on the question of the convoca- 
tion of a conference of Ministers of Foreign Affairs. It 
views the importance of this conference in connection with 
the possibility of the achievement of a lessening of tension 
in international relations given appropriate desires on the 
part of all participants in the conference and in connec- 
tion with the necessity of assuring European security and 
eliminatius the threat of the rebirth of German militarism. 

The Soviet Government takes note of the United States 
Government's agreement to discuss the question of the 



convocation of a conference of five powers with participa- 
tion of the Chinese People's Republic, inasmuch as the con- 
ference of Ministers of Foreign Affairs of the five powers 
can naturally contribute in the highest measure to the 
settlement of international problems which have come to 
a head. 

Taking into account the necessity for appropriate prep- 
aration for the conference of Ministers of Foreign Affairs 
and also the importance of assuring the proper conditions 
for participation in this conference for all governments, 
the Soviet Government considers the most suitable date 
for such conference January 25, 1954, or any subsequent 
day. 

As to building where above-mentioned conference should 
take place, it would appear expedient to decide this ques- 
tion by agreement among the representatives of the High 
Commissioners of Ihe four powers in Berlin. 

Similar notes have also been sent by the Soviet Govern- 
ment to the Governments of England and France. 



U. S. Continues Efforts Toward Return 
of Lend-Lease Vessels by U. S. S. R. 



Press release 676 dated December 28 



Following are the texts of several comrmmica- 
tions exchanged between the Department of State 
amd the Embassy of the Union of Soviet Socialist 
Republics on lend-lease matters: 



U.S. AIDE-MEMOIRE OF SEPTEMBER 11 1 

On November 5, 1952 the Acting Secretary of 
State addressed a note to His Excellency the 
Ambassador of the Government of the Union of 
Soviet Socialist Republics - concerning the negoti- 
ations for a settlement of the obligations of the 
Soviet Government under the Master Lend-Lease 
Agreement of June 11, 1942.^ In this note it was 
pointed out that although the Soviet Government 
had expressed its readiness to return to the United 
States 186 naval craft, the return of which the 
Government of United States initially requested 
in its note of September 3, 1948 and repeatedly 
requested thereafter, the Soviet Government had 
not been prepared to take any concrete action for 
this purpose. It was suggested that if it was in 
fact the intention of the Soviet Government to 
return those vessels, the Government of the United 
States should be informed without further delay 

^ Handed to Ambassador Zaroubin by Under Secretary 
Smith. 

" Bulletin of Nov. 24, 1952, p. 819. 

'For a summary of these negotiations, see Bulletin 
of June 2, 1952, p. 879. 



of the dates and ports of return, or alternatively 
of the date when Soviet representatives would be 
available to work out with representatives of the 
Government of the United States the details for 
the return of the vessels. 

The Acting Secretary's note also reiterated the 
position of the Government of the United States 
with respect to the other lend-lease vessels remain- 
ing in the custody of the Soviet Government. As 
had been made clear in the United States notes of 
April 6, 1951 * and January 7, 1952 ^ and in meet- 
ings of the lend-lease delegations of the two Gov- 
ernments since January 1951, the offers of the 
Government of the United States early in the set- 
tlement negotiations to sell lend-lease merchant 
vessels and a number of lend-lease naval craft were 
expressly conditioned upon the prompt conclu- 
sion of a satisfactory lend-lease settlement. When 
in January 1951 the Soviet Government had not 
arrived at a settlement of its lend-lease obligations 
the Government of the United States withdrew 
these offers and requested the return of all lend- 
lease vessels. Furthermore, it had become un- 
mistakably clear from the history of the negotia- 
tions that the Soviet Government had consistently 
avoided the conclusion of a prompt settlement. 

With respect to the question of a financial settle- 
ment the note of the Acting Secretary recalled 
that the Government of the United States had 
offered to accept the sum of $800 million which it 



* Bulletin of Apr. 23, 1951, p. 646. 
' Ihid., Jan. 21, 1952, p. 86. 



44 



Department of Sfafe Bulletin 



considered fair and reasonable compensation for 
the vast quantities of civilian-type lend-lease arti- 
cles remaining in Soviet custody at the end of 
hostilities, but that in the interest of achieving a 
settlement, the Government of the United States 
was willing to reduce further this amount pro- 
vided that a truly constructive offer were made 
by the Soviet side. It was again emphasized that 
the United States considered the Soviet offer of 
$300 million to be far from fair and reasonable 
compensation for the residual lend-lease articles 
and it was pointed out furthermore, that the Gov- 
ernment of the United States had to take into 
account the fact that by not returning the 186 
naval craft and other vessels requested, the Soviet 
Government was in clear default of the very agree- 
ment under which negotiations have been carried 
on since April 1947. The note of the Acting Secre- 
tary of State affirmed that it is therefore the 
position of the Government of the United States 
that when the Soviet Government has made ar- 
rangements to fulfill its obligations under Article 
V of the Lend-Lease Agreement of June 11, 1942, 
the Government of the United States in the inter- 
est of a settlement, will be prepared to make fur- 
ther proposals concerning a financial settlement. 

On March 20, 1953 a further note was sent to 
the Embassy of the Union of Soviet Socialist 
Republics inquiring when a reply to the note of 
November 5, 1952 might be expected. No replies 
to either of these notes have been received by the 
Government of the United States. 

As His Excellency is aware, more than six years 
have elapsed since the beginning on April 30, 1947 
of the negotiations for a settlement of the obliga- 
tions of the Soviet Government under the Lend- 
Lease Agreement of June 11, 1942. Accordingly, 
the Government of the United States requests that 
it be advised at an early date of the intentions of 
the Soviet Government with respect to the return 
of United States-owned lend-lease vessels as re- 
quired under Article V of the Agreement of June 
11, 1942. 

Department of State, 
Washington. 



SOVIET NOTE OF OCTOBER 20 

[Translation] 

In connection with the aide-memoire of the De- 
partment of State dated September 11 of this 
year, referring to the note of the Government of 
the USA dated November 5, 1952 on the subject 
of settling lend-lease accounts, I have the honor 
to communicate the following, under instructions 
from the Government of the Union of Soviet 
Socialist Republics. 

The Soviet Government has been steadfastly 
striving for a very prompt settlement of the lend- 
lease accounts. In this connection it suffices to 



point out that the Soviet Government has returned 
to the United States 3 icebreakers, 27 frigates, 7 
tankers, and 1 dry-cargo vessel, and has agreed 
to return 186 naval vessels. Agreements concern- 
ing compensation for the use in the USSR of 
patents for oil-refining processes have been con- 
cluded with all firms which manifested a desire 
to negotiate on mutually acceptable terms. The 
Government of the USSR has repeatedly raised 
the total amount of compensation for the remainder 
of the lend-lease goods and has brought it up to 
$300,000,000, while the Government of the USA, 
on its part, has not designated a new reduced 
total amount of compensation. 

From the foregoing it follows that the Soviet 
side has in the course of the negotiations made 
substantial concessions and has introduced a num- 
ber of constructive proposals directed toward the 
achievement of an agreement for settling the lend- 
lease accounts. The Soviet Government expects 
that the Government of the USA will make the 
necessary efforts for the achievement of an agree- 
ment on questions that are still undecided, es- 
pecially on the question of the total amount of 
compensation for the remainder of the lend-lease 
goods, and that it will adopt measures for the ful- 
fillment of the agreement previously concluded on 
the question of merchant and naval vessels. The 
Government of the USSR, on its part, is also 
prepared henceforth to cooperate for purposes of 
a swift and definitive settlement of all matters 
relating to the lend-lease accounts. The resump- 
tion of direct negotiations by representatives of 
the two parties might serve as a practical step 
which might contribute to a more rapid achieve- 
ment of an agreement. 

Technical questions connected with the transfer 
of the said 186 naval vessels may likewise be con- 
sidered in these negotiations. 

Accept, Excellency, the assurances of my high- 
est consideration. 

Zaroubin 

Embassy of the Union of Soviet Socialist Repub- 
lics 

Washington 

His Excellency 
John Foster Dtjlles 
Secretary of State 

of the United States of America. 



U.S. NOTE OF NOVEMBER 24 

Excellency : I have the honor to refer to your 
note No. 13 of October 20, 1953 concerning the 
negotiations for a settlement of the obligations of 
the Government of the Union of Soviet Socialist 
Republics under the Master Lend-Lease Agree- 
ment of June 11, 1942. 

The Government of the United States notes that 
the Soviet Government has again stated that it is 



January II, 1954 



45 



prepared to return the 186 naval craft initially 
requested by this Government on September 3, 
1948. The Government of the United States also 
notes that the Soviet Government states it is now 
vrilling to discuss the technical arrangements for 
the transfer of these vessels to the United States. 
Accordingly, it is proposed that representatives 
of our two Governments meet on December 15, 
1953 at the Department of State to work out the 
details for the return of these vessels to the United 
States. 

The Government of the United States would 
appreciate being advised at the earliest possible 
date whether the above date is acceptable to the 
Soviet Government. 

Accept, Excellency, the renewed assurances of 
my highest consideration. 

For the Secretary of State: 
Walter Bedell Smith 
His Excellency 

Georgi N. Zaroubin, 
Ambassador of the Union of 
Soviet Socialist Republics. 



SOVIET NOTE OF DECEMBER 3 

[Translation] 

Excellency : 

In connection with your note of November 24, 
1953, on the subject of settlement of lend-lease 
accounts, I have the honor to communicate to you 
that the Government of the Union of Soviet So- 
cialist Republics is in agreement with the proposal 
of the Government of the United States that rep- 
resentatives of the Governments of the Union of 
Soviet Socialist Republics and of the United 
States should meet on December 15, 1953, in the 
Department of State for a discussion of the said 
subject. 

Accept, Excellency, the assurances of my high 
esteem for you. 

Zarotjbin 

His Excellency Walter Bedell Smwh 
Acting Secretary of State 
of the United States. 



U. S. AIDE-MEMOIRE OF DECEMBER 24 « 

In its note of November 5, 1952, the Govern- 
ment of the United States pointed out that the So- 
viet Government, by its failure to return the 186 
naval craft and other lend-lease vessels requested 
by the United States, was in default of the very 
agi-eement under which lend-lease negotiations 



' Initialed by Under Secretary Smith. 



46 



have been carried on since April 1947. The So- 
viet Government was advised that it is therefore 
the position of the Government of the United 
States that wlien the Soviet Government has made 
arrangements to fulfill its obligations under Arti- 
cle V of the Lend-Lease Agreement of June 11, 
1942, the Government of the United States in the 
interest of a settlement, will be prepared to make 
further proposals concerning a financial settle- 
ment. 

The Soviet Government in its note of October 
20, 1953 again stated that it has agreed to return 
the 186 naval craft and also stated that it is will- 
ing to discuss the technical arrangements for the 
transfer of these vessels to the United States. Ac- 
cordingly, the United States proposed in its note 
of November 24, 1953 that representatives of the 
two Governments meet on December 15, 1953 at 
the Department of State to work out the details 
for the return of the 186 naval craft to the United 
States. His Excellency, the Ambassador of the 
Union of Soviet Socialist Republics, replied by 
note on December 3, stating that the Soviet Gov- 
ernment was in agreement with the proposal of 
the Government of the United States that repre- 
sentatives of the two Governments meet on De- 
cember 15. 

From these exchanges of correspondence it was 
the expectation of the Government of the United 
States that working groups of the two Govern- 
ments would meet on December 15 to work out 
the details for the return of the 186 naval craft 
to the United States. However, on December 14, 
His Excellency advised the Acting Secretary of 
State that the Soviet Government desired to deal 
simultaneously with all of the issues in the lend- 
lease negotiations including the return of the 186 
naval craft to the United States. The Acting 
Secretary replied that the Government of the 
United States favored a step-by-step approach but 
nevertheless undertook to consider the Soviet po- 
sition. Subsequently an ofiicer of the Soviet Em- 
bassy informed the Department that it was the 
position of the Soviet Government that the meet- 
ing scheduled for December 15 should be cancelled. 

The Government of the United States has care- 
fully considered the position of the Soviet Gov- 
ernment and has concluded that the various ques- 
tions should be dealt with on a step-by-step basis. 
In reaching this conclusion, this Government has 
been guided by its belief that adherence to the 
terms of the Lend-Lease Agreement of June 11, 
1942 can best contribute to the creation of the mu- 
tual understanding necessary to the negotiation of 
a final lend-lease settlement agreement. 

With respect to the question of the 186 naval 
craft, the Government of the United States has 
taken into account the fact that the return of these 
craft was requested initially on September 3, 1948, 
more than five years ago, and that at no time were 

Department of Sfafe Butletin 



these vessels offered for sale to the Soviet Govern- 
ment. Furthermore, Article V of the Lend-Lease 
Agreement of June 11, 1942 provides uncondition- 
ally that the Soviet Government shall return lend- 
lease articles to the United States when requested 
to do so by the President of the United States. 
Accordingly the return of lend-lease vessels re- 
quested by the President of the United States is not 
an issue for negotiation nor can it be made depend- 
ent upon the resolving of other questions in the 
lend-lease negotiations. 

It is the position of this Government, therefore, 
that the first step should be the working out of de- 
tailed arrangements for the return of the 186 naval 
craft. In this connection, the United States work- 
ing group previously designated for this purpose 
will be prepared to meet at the earliest convenience 
of the Soviet representatives. Following the 
working out of such arrangements the two Govern- 
ments should be prepared to take up the remain- 
ing matters under the Lend-Lease Agreement. 



SOVIET NOTE OF DECEMBER 26 

[Translation] 

Excellency, 

In reply to your aide-memoire of December 24 
of this year, I inform you that representatives of 
the Soviet Union agi-ee to meet with representa- 
tives of the United States on December 28, or on 
another day suitable for them, for discussion of 
technical questions connected with the transfer 
of 186 naval craft. In this connection, I also in- 
form you that the representatives of the Soviet 
Union were ready to discuss this question on 
December 15, and that the initiative for postpon- 
ing the planned meeting did not come from the 
Embassy of the Union of Soviet Socialist 
Republics. 

Accept, Excellency, the assurances of my high 
respect. 

Zaroubin 

His Excellency, 

Mr. Walter Bedell Smtth, 
Under Secretary of State, 
United States. 



Election of President 
of French Republic 

white House press release dated December 23 

Following is the text of a message which the 
President sent on December 23 to Rene Coty, the 
newly elected President of the French Republic: 

Please accept my congratulations upon your 
election to the Presidency of the French Republic. 



I am confident that, during your term in office, 
France, true to her tradition, will provide inspira- 
tion and leadership to our common efforts to ad- 
vance the cause of peace, well-being and human 
dignity for the peoples of the world. 



Mindszenty Case Remains 
Before World's Conscience 

The following message from Secretary Dulles 
to the Reverend John Gaspar, St. StefherCs 
Church., Passaic, N. «/., was read at a meeting of 
religious, anti-Communist, and Hvmgarian organ- 
izations held in New York, N. Y., on December ^ 
to commemorate the fifth anniversary of the im- 
prisonment of Cardinal Mindszenty:'^ 

I am very glad to have the opportunity of 
addressing a brief message to the assembly of 
persons meeting in observance of the fifth anni- 
versary of the imprisonment of Cardinal Joseph 
Mindszenty of Hungary. 

It is fitting and proper that a large body of our 
citizens and their friends from abroad, represent- 
ing all religious denominations and commonly 
cherishing freedom, should gather to commemo- 
rate the living martyrdom of this courageous man. 

The case of Cardinal Mindszenty, a defender of 
the faith and of human freedom against both of 
the great tyrannies of our time, is not closed. It 
is actively before the conscience of his countrymen 
and that of free people throughout the world. 
The prolongation of his unjust incarceration adds 
daily to the moral poverty of his captors. 



U. S. Bans Publications 
of Rumanian Legation 

Press release 680 dated December 31 

In a note delivered to the Rumanian Legation 
on December 31, the Department of State notified 
the Legation to cease forthwith the publication 
and distribution within the United States of The 
Romanian News, a periodical issued by the Lega- 
tion. At the same time, the Department directed 
the Legation to stop the distribution of other 
similar pamphlets published at the expense of the 
Rumanian Government or its organs. 

This step was taken as a result of the action of 
the Rumanian Government in banning the further 
distribution in Rumania of a publication issued by 
our Legation in Bucharest entitled Stir din Amer- 
ica (News From America) . On December 29, our 
Minister to Rumania, Harold Shantz, was notified 



' For earlier statements regarding the trial of Cardinal 
Mindszenty, see Bulletin of Feb. 20, 1949, p. 230. 



January I/, J 954 



47 



by the Foreign Office that our Legation must cease 
tlie distribution of the American publication. 
This publication was a small monthly bulletin 
which sought to give its readers an accurate pic- 
ture of American life and thought. The first 
issue appeared in October of this year; its circula- 
tion was approximately 1,600 copies. 
The text of the U.S. note is as follows : 

The Secretary of State presents his compliments to 
the Honorable the Minister of Rumania and has the 
honor to refer to the dissemination of publications within 
the United States at the instance of the Rumanian Lega- 



tion. Special reference is made to the periodical bulletin 
entitled, The Romanian News. 

As the Legation is doubtless aware, the Rumanian 
Government has requested the American Legation at 
Bucharest to cease further distribution in Rumania of 
a periodical issued by that Legation entitled Jiews From 
America. 

Accordingly, the Department of State requests the 
Rumanian Legation to cease forthwitli the publication 
and distribution in the United States of The Romanian 
Netvs. The distribution in the United States by the 
Rumanian Legation of other similar pamphlets published 
at the expense of the Rumanian Government or its organs 
should also be terminated. 



Mutual Economic Progress in the Americas 



iy John M. Cabot 

Assistant Secretary for Inter-American Affairs ^ 



How much news regarding our sister American 
nations does the public in the United States read? 
And what kind of news ? 

If in recent years we have paid much more 
attention to problems in the Old World than to 
those of Latin America, our relations with our 
sister republics of this hemisphere are none the 
less vital to us. Since the Monroe Doctrine was 
first enunciated, we have considered it the most 
fundamental principle underlying our national 
security tliat no predatory foreign power establish 
its sway in any part of this hemisphere. In this 
shrunken world we live in, and in view of the 
astonishing growth and development of our sister 
republics, what was essential to us in 1823 is cer- 
tainly no less essential today. 

Already the voices of our sister republics speak 
with increasing authority in world councils and 
contribute vitally to the moral forces which West- 
ern civilization is mustering to maintain peace and 
security in the face of the Communist menace. 
With Brazil already surpassing the Latin nations 
of the Old World and the New in population as 
well as area, with Argentina, Mexico, Venezuela, 
and our other sister republics developing so fast 
that one can scarce credit one's eyes, the growing 
stature of our sister republics is bound to be an 
increasingly significant factor in world affairs. 

'Address made before the Export-Import Club of the 
Columbus Chamber of Commerce, Columbus, Ohio on 
Dec. 16 (press release 662). 

48 



If only in obvious self-interest, we must strive to 
keep it as friendly a factor in the future as it has 
been in the past. 

Our economic relations are no less important. 
Our $7 billion of trade with our sister republics 
is greater than our commercial trade with Europe 
or any other part of the world. Our $6 billion 
of investinents in Latin America surpass those in 
any other single area except Canada. From Latin 
America we get most of our coffee and foreign- 
produced sugar and many other products such as 
bananas, cacao, wool, and tobacco; we also get 
many materials which we needed for our victory 
in World War II, such as copper, tin, lead, zinc, 
oil, and vanadium, and which, with the steady 
depletion of our own national resources, we are 
likely to need even more exigently in the future. 
In Latin American markets we sell some $3i^ bil- 
lion of our products annually. 

The interplay of our cultures enriches our lives 
throughout the hemisphere. We on the balance 
have made liberal exports not only of the autos, 
inovies, and bathtubs with which our culture is so 
often disdainfully associated but also of political 
ideas, books, education, science, medicine. In re- 
turn, we have received painting, architecture, 
exotic dishes, dances, and the cultural stimulus 
which comes from so rich, varied, and different 
cultures in lands so close to us. When you travel 
to Mexico or the Caribbean to get away from it all 
(probably carrying a fat briefcase with you) most 
of you aren't thinking alone of warm sunshine, ma- 

Departmenf of Sfafe Bvlletin 



jestic scenery, and nightclubs; consciously or un- 
consciously you are thinking also of the colorful 
civilizations of the lands you are visiting. May I 
add that, as traveling ambassadors, I hope you see 
to it that you are good ones. 

I shall not dilate further on the basic impor- 
tance of Latin America to us. Everyone in the 
United States is aware of it; everyone wants 
friendly relations with our sister republics. The 
difficulty is that, like the sky, sea, and air of a 
beautiful day, we are at times not as inclined as 
we should be to think about it and appreciate it. 
Just because we don't have to argue about it, let us 
nonetheless never forget it. 

For from the moment you drink your morning 
coffee — blended Brazilian and Colombian or other 
milds — till your wife opens for supper a can coated 
with tin from Bolivia, Latin America is always 
with you. If you don't sleep in a brass bed made 
from copper from Chile, the oil to produce the 
electricity for your home may come from Vene- 
zuela, the lead for your automobile battery from 
Mexico, the sugar for your cereal from Cuba, your 
bananas from Costa Rica, and that nice rum in the 
cocktails before dinner from Haiti. The soft 
scarf you're wearing may well have some alpaca 
wool from Peru, and quite possibly your suit some 
Uruguayan wool. On these cold, dark winter 
mornings you may step out of bed onto a carpet 
made of Argentine wool. And your child may 
take with liis school lunch a chocolate bar made 
of Ecuadoran cacao. 



Dependence on Latin American Products 

And do not forget that your job may depend 
on these and other imports from Latin America. 
Antimony isn't a very large import in value — only 
some $3.2 million in 1952 — but we imported nearly 
80 percent of it in that year from Latin America 
and it is a vital defense item. The manganese 
ore we get from our sister republics — -some 2.2 mil- 
lion pounds in 1952 — may not be large in value, 
but remember that we can't make steel without 
manganese. 

In short, your well-being here in Ohio depends 
very significantly on our relations with Latin 
America. Without it, many of your great fac- 
tories would be crippled. If you could get many 
materials at all, it would be only at sharply higher 
prices. Your breakfast table without coffee and 
sugar would be dreary indeed, but how would you 
like your boy to have to fight without the arms 
made with Latin American materials? 

Let us glance at our relations with Latin Amer- 
ica on an individual basis, for, after all, our rela- 
tions with our sister republics are determined by 
the IGO million individuals in the United States 
and the roughly equal number in Latin America. 
The western wool grower, to take a specific ex- 
ample, is in competition with the Uruguayan wool 
grower. Though existing duties add to the cost of 



the suits you and I are wearing, the domestic wool 
grower naturally enough from his viewpoint wants 
more protection. Perhaps he is just facing cut 
profits, but perhaps he is facing real loss — the 
need for getting out of an unprofitable business. 

Now, no one likes to see that domestic wool 
grower hurt. We must nonetheless remember that 
we did not grow into the greatest economic power 
on earth by preserving high-cost production. 
Within the United States no protection is possible 
against more efficient production in other sections 
of the country. In New England our economy has 
had to go through four stages since colonial times. 
It is our proud boast that we have no natural 
resources except rocks and ice — and that we 
exported them both ! Modern technology has 
stricken even these items from our export list. 
Today the textile era in New England is following 
the farming and shipping eras into history — but 
New England is still jDrosperous. 

Surely this example — which has brought loss 
and misery to quite a few individuals yet healthy 
growth to New England as a whole — nevertheless 
has a lesson for the country. The New England 
farmer, textile worker, and investor may have suf- 
fered temporarily, but the country at large has 
cheaper and more abundant food and clothing. 
Moreover, within our great economy it is possible 
to adapt oneself to changing conditions. 

But let us look at the position of the Uruguayan 
wool grower. His is a democratic country — a 
staunch friend in two world wars and in many 
ideological battles ; but it is a small country whose 
obvious natural resources are largely agricultural 
as in New England, and it does not have the ad- 
vantage of great domestic markets. The national 
economy is built on wool — which constitutes about 
50 percent of Uruguayan exports. If we do not 
raise the tariff' on wool, it may be tough for the 
domestic wool grower. If we do, it may be tough 
not only on the Uruguayan wool grower as an 
individual ; it may be disastrous for Uruguay as a 
nation. It may also decrease sales in Uruguay of 
auto tires and jeeps and steel and cash registers 
and electrical goods and a lot of other things made 
in Ohio. A protective tariff may shield individ- 
ual domestic producers from hurt; but it will do 
this only at the hurt of other domestic producers. 
If we cut off imports of Uruguayan wool or 
Chilean copper or Venezuelan oil or Bolivian tin 
or Mexican lead or Cuban sugar or Peruvian tuna, 
we shall simply reduce their purchases from us by 
the same amount. They can buy from us only 
what they sell to us. 

Let us turn to the Bolivian tin miner. His job 
notably contributes to your wife's convenience 
when she prepares your supper ; it also contributes 
an element essential to war production, for ex- 
ample of engine bearings. Twice in the past 15 
years he has been asked to produce a vital ingredi- 
ent to keep the free world free. As virtually the 



January 11, 1954 



49 



only secure source of tin for half tlie world, the 
price of tin from Bolivia then soared to fantastic 
heights despite our eilorts to control it; and since 
goods of all sorts were simultaneously scarce, this 
stimulated inflation in Bolivia. Having bought 
tin furiously during the crises, we stopped buying 
once they were over, and tin dropped as precipi- 
tously in price as it had risen. 

With the national economy dependent on tin, 
even the wisdom of Solomon would not suffice to 
direct Bolivian economic affairs under such cir- 
cumstances. If the Bolivians forget that we also 
controlled the prices of products we sold them, 
that the dollar saved by our citizens— and the one 
borrowed by Bolivia— sank as much in purchasing 
power as the dollar Bolivia saved from tin sales 
during the crises, we should emphatically not for- 
get the impression it makes, in terms of hard eco- 
nomics as well as psychology, when we beg the 
Bolivians to produce all the tin they can at one 
moment and at the next won't buy it at any price. 
I shall leave the intricacies of price stabilization 
and the controversy regarding expropriation to 
the competent international forums, but I do want 
to say that, regardless of rights or wrongs, I do 
not think we should permit people in Bolivia to go 
hungry, and I think we would be very unwise to 
drive the unpent social forces in Bolivia into the 
gently smiling jaws of communism. 

We should remember that the story of the Boliv- 
ian tin miner could be told almost equally well of 
the lead and zinc miners in Peru and Mexico, 
countries moreover with which we have particu- 
larly friendly relations. If the impact of gi'eat 
fluctuations in the prices of those metals has been 
less severe on those countries, it has been because 
their economies are more diversified and their gov- 
ernments have shown much statesmanship in 
handling national economic affairs. The story 
might also be told of the Chilean copper miners — 
which brings us to another story. 

In Santiago de Chile an American utility com- 
pany has until recently been unable to obtain from 
the Chilean authorities rates which would permit 
it to earn a fair return on their investment. San- 
tiago is a rapidly developing city, and its demands 
for electricity are growing by leaps and bounds. 
If that demand is to be met, new capital must be 
obtained. It cannot be obtained from earnings if 
earnings are insufficient; and it cannot be obtained 
from investors if they do not think the company 
is a good investment. The Chilean may feel in- 
adequate electric rates not only in dim lights and 
a quavering radio ; it may rob him of his job when 
there isn't enough power to run the factory. 

But, the Chilean will naturally think, this is a 
rich and greedy foreign monopoly which is trying 
to rob me. Remember that his income is only 
about one-eighth of that of an American and that 
his family budget has been just as hard hit by the 
chronic inflation in Chile as has that of the utility 
company. He tliinks of the company as big, 



wealthy, and foreign ; he forgets that it is owned 
by thousands of American stockholders who like 
him are trying to raise families on painfully tight 
budgets. If the Chilean is not altogether fair, let 
us remember that John Q. Public in the United 
States too has not always been fair in his views 
regarding business. If American companies have 
not always been fairly treated in Latin America 
let us remember that, as in the United States, they 
have not always acted fairly. 

The record of American business in Latin 
America has been increasingly good. Upon the 
respective Latin American governments, rather 
than ours, devolves the responsibility of seeing 
that any remaining abuses are checked and that 
business in their countries is conducted in the 
national interest. Today I believe that it is a fact 
that foreign business in Latin America is more 
sinned against than sinning; that in some sectors 
several Latin American governments have gone 
so far in harassment and restrictive measures as 
to discourage the further foreign investment which 
is so essential to their national development. I 
am not referring to crass confiscation under Com- 
munist inspiration ; I refer to the multiple, onerous 
economic controls which, in Dr. Milton Eisen- 
hower's words, spell creeping expropriation. 

Latin American voices to which we listen with 
the highest respect in the United States have sug- 
gested recently that they do not favor further 
American investments in their respective coun- 
tries. Let me make it unmistakably clear that the 
Government of the United States is not trying to 
force American investments on any country which 
does not wish to receive them. We consider that 
a country's policies in regard to new foreign in- 
vestment are for its sole determination in accord- 
ance with its conception of the national interests. 



Fair Treatment of Investments 

We do expect fair treatment of our investments 
already made in good faith. We feel it proper to 
make representations on their behalf if they have 
been denied a remedy or suffered discrimination 
under national law or if valid contracts with gov- 
ernments have been unilaterally breached and jus- 
tice denied. Obviously our policy in inter- 
American relations does not place the protection 
of our private investments at the top of our objec- 
tives — our national security, for example, takes 
precedence — but it is an important objective and 
duty. We believe it should be an even more im- 
portant objective of our sister republics, given 
their present stage of development, to cultivate a 
reputation of treating foreign capital fairly. A 
reputation is acquired over the years — and can be 
destroyed in a day. 

No one, for example, raises an eyebrow when a 
government buys out a foreign company by mutual 
agreement, but a country may do itself great dis- 



50 



DeparfmenI of State Bulletin 



service by a unilateral expropriation. The sover- 
eign right of a nation to expropriate foreign 
property in its jurisdiction cannot be questioned — 
but we do insist on prompt, adequate, and just 
compensation. By the same token, any nation has 
the undeniable sovereign right to declare war on 
any other nation if it so chooses, but it would 
scarcely be argued that the exercise of such a sov- 
ereign right would entail no international respon- 
sibilities. In other words, the question of the 
treatment of foreign capital is not essentially one 
of right, and it should not be considered in terms 
of absolutes ; it is a question of what is fair, what 
is wise, what is practical, what is in the national 
interest, what will preserve the international 
comity. 

It has been suggested that there is no capital in 
the United States which would seek investment 
abroad. How then explain the outflow of direct 
capital investments to Latin America of some $1.7 
billion between 1946 and 1952 ? How explain that 
our citizens made a net direct investment of over 
$1 billion in Canada in the same span of years, not 
to mention portfolio investments^ 

It has been suggested that foreign capital milks 
a country economically, leaving nothing for the 
people. How then explain that some 70 percent of 
Chilean, some 97 percent of Venezuelan and at 
least 55 percent of Costa Rican exports are pro- 
duced by foreign companies? Without those ex- 
ports what would become of those countries? 
And can there be any really clear cases cited where 
American companies have paid lower than pre- 
vailing wages, or provided poorer than standard 
working conditions? Obviously they couldn't get 
workmen if they did ; obviously the fact that they 
do improves wages and working conditions. 

It has been suggested that foreign capital tends 
to dominate a country's political life. At the 
present time there are American investments in 
Canada of some $8 billion — considerably larger 
than our investments in all Latin America, though 
the population of Canada is less than one-tenth 
that of Latin America. Our good neighbors to 
the north would deeply resent and know to be 
untrue any suggestion that our investments in- 
fluence their political life. 

Is it altogether an accident that, while some $25 
billion of foreign and domestic capital were being 
invested in Canada in the years 1946 to 1952, per 
capita income in the period 1939-52 tripled in 
terms of dollars and rose 60 percent in terms of 
goods, even though the average work week was 
dropping from 48 to 43 hours? Is it without 
significance that Canada's oil production, largely 
developed by foreign capital, rose from 21,000 
barrels daily in 1947 to 169,000 barrels in 1952 and 
that in four years Canada thereby saved $300 
million in foreign exchange? 

Canada has wisely used native capital to the 
greatest feasible extent but has not hesitated to use 
foreign capital when this was convenient. The 



new capital, native and foreign, invested in 
Canada has helped the Canadian workman to rival 
the American's standard of living. May I add, 
for people in the United States who think that the 
development of foreign countries will hurt our 
foreign trade, that Canada's foreign trade in this 
extraordinary period of internal development has 
risen by five times ! 

Finally, it is to be noted that Canada has had to 
grant no special privileges to foreign capital. 
Capital has flowed in because over the years and 
decades it has learned to count on fair treatment. 
That this has not been without its advantages for 
Canada is suggested by the fact that the interest 
rate on government bonds averages about 3 percent 
as against 8-10 percent in most of Latin America. 
That extra return is primarily the cost Latin 
America pays because of the added risks wliich 
foreign capital must face there. 

In short, we can and should do several things 
to help our sister republics in the economic sphere ; 
but for the most part their economic future rests 
in their own hands. 

If some of our Latin American friends say that 
Canada is a special case, I would invite their atten- 
tion to Puerto Rico. Here is a tiny land, increas- 
ingly overpopulated, lacking in natural resources 
and the elements for heavy industry. Despite a 
long-standing law limiting landownership to 500 
acres, sugar companies formerly controlled vastly 
greater acreages. The sugar companies were 
forced to divest themselves of their large land- 
holdings — but they always obtained just com- 
pensation. 

A wise and energetic government has attracted 
some 1,388 industries to the island in the past 12 
years; and the per capita income has trebled to 
$400 per year, higher than that in most Latin 
American republics. Puerto Rico proudly con- 
siders itself a bridge between North and Latin 
America ; and certainly its economic experiences 
might be studied advantageously by nations with 
such similar problems. Its example has shown 
what even a naturally handicapped economy can 
do by prudent policies to raise living standards 
and is being increasingly studied in other countries. 

Communist Attack on Capital 

We must never forget that the Communists 
attack capital in Latin America — and particularly 
foreign capital — because, on the one hand, it is a 
subject which lends itself to their false propa- 
ganda and, on the other, they recognize that capi- 
tal, by promoting national development and 
raising living standards, is a potent enemy of their 
agitation. There can be individual conflicts be- 
tween capital and labor, between foreign com- 
panies and national interests, but in general 
cooperation and fair play between government, 
capital, and labor are necessary to the interests of 
each of them. 



January H, 1954 



51 



Let us think of that labor— or rather that Latin 
American laborer employed by a U. S. company. 
He is probably not well educated, and he is 
desperately poor. He may well have imbibed with 
his mother's milk a sense of oppression and ex- 
ploitation—and a consequent suspicion of for- 
eigners. He can see that the foreign company 
employing him has great resources, else how could 
it do what it does ? Why should the foreign man- 
agers live so much better than he? 

Now, you and I of course know the answers. 
The great resources are the pooled savings of 
thousands of investors. Foreign capital will in 
its own interest employ natives of the country 
to the full extent they are available, but it will 
wish to employ its own representatives in key jobs, 
and it will have to bring in trained employees for 
specialized jobs it cannot for the moment fill 
locally — and those people will obviously have to 
be paid at United States, not local, rates. As for 
labor organization. United States companies in- 
creasingly recognize that responsible organized 
labor is a stabilizing force with which it is to their 
self-interest to cooperate, and many American 
managers are likely to remember instinctively in 
Latin America the more advanced labor relations 
practices they learned in the United States. It is 
not, however, the role of American companies to 
reform foreign lands; it is their elementary duty 
to respect the laws and authorities in countries in 
which they operate. 

Let us think equally of the Latin American 
intellectual who is troubled by the economic in- 
fluence of the United States in his country. He 
sees irreplaceable natural resources — oil, copper, 
zinc, lead, iron ore— being extracted by foreign 
companies. The companies doing this often are 
more important proportionately in his country 
than our greatest corporations are in the United 
States. As the internal economy of his country 
may depend in important measure on United 
States companies, so its economic prosperity may 
depend on the market for its exports in the United 
States. He naturally resents the booms and busts 
of his national economy which arise from rela- 
tively small economic fluctuations in the United 
States, and he deeply resents the occasions on 
which we try, by protecting domestic producers, 
to export our misery and thereby add to his. 
Everywhere he turns in seeking to raise living 
standards — and remember, per capita income in 
Latin America is but one-eighth of ours — he en- 
counters some economic interest of ours, and it is 
not surprising if he mistakenly thinks it is block- 
ing his way. 

It does not occur to him that natural resources 
are worth nothing till developed, that, for exam- 
ple, the Guayra Falls, probably the greatest poten- 
tial source of hydraulic power in the world, beside 
which Niagara is only a leaky faucet, will be of 
value only when capital is used to develop it — 



and they are so remote that we may be using atomic 
power plants first. He may equally forget what 
living standards in his country would be if foreign 
capital had not come to it, or how much higher 
they would be if his government's policies had 
been wiser. He forgets that Henry Ford made 
good profits and certainly did the United States 
no harm. 



Need for Reciprocal Understanding 

In short, our problems in our inter-American 
relations are largely economic, and they largely 
boil down to the question of how we are going to 
cooperate in the economic sphere to our mutual 
benefit. The first requisite of such cooperation is 
reciprocal understanding. We must understand 
what our trade policy, our loan policy, our other 
economic policies mean to them, and that what is a 
trifle to us may spell disaster to them. In turn, 
our sister republics should appreciate the immense 
burdens which world leadership has placed on our 
shoulders and should realize that the treatment 
they give to foreign capital is far more important 
to them than it is to the United States. We have 
learned in the United States that capital and labor 
can work together to their mutual profit; we must 
not be deterred either by selfishness or misguided 
agitation from working together with our sister 
republics in the economic field for our mutual 
benefit. Our sister republics will follow our 
leadership in world affairs only if they think it to 
their national advantage. As to the possibilities 
of going it alone, I think of Secretary Dulles' wise 
words in this regard. I trust that through short- 
sightedness we shall never be compelled to defend 
our national existence along our national frontiers. 

That is the meaning of our relations with our 
sister republics. We do not believe that our con- 
cerns end at the Kio Grande. We know that 
through our continental solidarity we were spared 
throughout this hemisphere the devastation of 
World War II, and we firmly believe that holds a 
lesson for the future. We seek so to order our 
hemispheric relations that we shall enrich our- 
selves and our good neighbors, spiritually and 
materially, by living with them in this hemisphere 
in understanding and harmony. If we were to 
heed the voices of selfishness, or to let Communist 
agitation corrode our common sense, we could 
easily destroy our future and ourselves. But I 
am confident that the Americas will not follow any 
such shortsighted path. The Americas are visibly 
on the march toward a better, brighter future, and 
we must go forward together in attaining it. 
Destiny has thrust upon this new world — this 
American Continent — a vital role in the future 
of mankind. The future history of the world 
will be increasingly written in the 21 sister repub- 
lics of the Americas. May it be not only the story 
of understanding and cooperation for the benefit 



52 



Department of State Bulletin 



of our children's children but also an example 
which will help to bring peace on earth, good will 
to men — everywhere ! 



Commemoration of Haiti's 
150 Years of Independence 

Press release 682 dated December 31 

The following messages from the President and 
Secretary Dulles were sent to the President and 
the Secretary of State for Foreign Affairs and 
Education of Haiti, respectively, in commemora- 
tion of the sesquicentennial of Haitian independ- 



ence : 



December 28, 1953 



Dear Mr. President : 

On the historic occasion of the one hundred and 
fiftieth anniversary of your country's independ- 
ence on January first, I take pleasure in extending 
to the Government and people of Haiti the greet- 
ings and best wishes of the Government and people 
of the United States. 

That devotion to freedom which impelled Haiti 
to achieve independence in 1804 had been demon- 
strated a few years earlier in our own Kevolution- 
ary War by generous Haitian support at Savannah 
and Yorktown. The spirit then exemplified, con- 
tinuing through the generations, is symbolic of the 
friendship which is an enduring bond between our 
peoples. 

Sincerely, 

DwiGHT D. Eisenhower 

His Excellency 

General Paul E. Magloire, 
President of the Republic of Haiti, 
Port-au-Prince. 



December 31, 1953 
His Excellency 

Pierre L. Ll\utaud, 

Secretary of State for Foreign 
Affairs and, Education, 
Port-au-Prince. 

My heartiest good wishes for the Government 
and people of Haiti on this sesquicentennial of 
your country's independence. 

John Foster Dulles 



Extension of Migrant Labor 
Agreement With Mexico 

Press release 681 dated December 31 

The migrant labor agreement between the 
United States and Mexico under which Mexican 

January 17, 7954 

284801 — 54 3 



agricultural workers are admitted into the United 
States for employment as farm laborers, which 
was to expire on December 31, has been extended 
to January 15, 1954, by an exchange of notes be- 
tween the Mexican Embassy in Washington and 
the Department of State. 

Durmg the past two months the American 
Ambassador to Mexico, Francis Wliite, has con- 
ducted negotiations with the Mexican Government 
for the purpose of obtaining clarification of sev- 
eral questions which have arisen under the present 
agreement. The holiday season caused suspension 
of these negotiations before it was possible for the 
two Governments to agree on certain major issues. 

In order to avoid any interruption in the co- 
operative arrangements which have existed be- 
tween the two Governments on this subject, the 
agreement has been extended for a period of time 
sufficient to permit conclusion of the negotiations 
now under way. 



Tariff Arrangement 
Witii Uruguay 

WHITE HOUSE ANNOUNCEMENT 

White House press release dated December 24 

The President on December 24 issued a procla- 
mation giving effect as of December 16, 1953, to 
certain U.S. tariff concessions initially negotiated 
with Uruguay in 1949 within the framework of 
the General Agreement on Tariffs and Trade. 
These concessions had been withheld pending 
Uruguay's accession to the agreement. Because of 
the lapse of time since 1949 and the serious prob- 
lems which have arisen in the cattle and beef in- 
dustry in this country, the President is not in this 
proclamation making effective the duty reductions 
provided for in the 1949 agreement with respect 
to canned beef, pickled and cured beef and veal, 
and meat extract, but is binding the present rates 
of duty on these items against increase. The U.S. 
Government has initiated discussions with the 
Uruguayan Govermnent regarding these conces- 
sions. A copy of the proclamation is attached. 

The President's action followed Uruguay's sig- 
nature on November 16, 1953, of the Annecy and 
Torquay Protocols to the General Agreement on 
Tariffs and Trade, making Uruguay a party to 
the agreement on December 16, 1953. These 
protocols provide that, on this date, Uruguay will 
give effect to the concessions which it negotiated 
at Annecy, France, in 1949, as modified and sup- 
plemented by negotiations at Torquay, England, 
in 1950-51, and that the other contracting 
parties to the agreement will also give effect to 
any concessions negotiated with Uruguay that may 

53 



have been witliheld pending Uruguay s signature 
In addition to an undertaking by Uruguay not 
to impose duties higher than those specifaed tor 
a number of products of interest to U.S. exporters, 
the agreement provides for the makmg ot adjust- 
ments by Uruguay in fixed official valuations 
("aforos") which Uruguay uses as a basis for as- 
sessing "ad valorem" rates of duty. Such adjust- 
ments are to be brought about without any increase 
in the resulting incidence of duties as compared 
with the incidence at the time the concessions were 
negotiated. 

Among the U.S. concessions initially negotiated 
with Uruguay which were withheld pending Uru- 
guay's signature are the following to which effect 
is given as of December 16, 19.53. The duty on 
cattle hides, now 5 percent ad valorem, will be re- 
duced to 4 percent ad valorem. Binding of the 
existing duty becomes effective on casein. Exist- 
ing duty-free status of the following becomes 
bound against change: unmanufactured agates, 
dried blood; crude bones; bones, ground, ash, 
dust, meal, and flour; animal carbon for fer- 
tilizer; and tankage, unfit for human consump- 
tion. 



TEXT OF PROCLAMATION 3040 > 

1. Whereas, pursuant to the authority vested in the 
President by the Constitution and the statutes, including 
section 350 of the Tariff Act of 1930 as amended by section 
1 of the act of June 12, 1934, by the joint resolution ap- 
proved June 7, 1943, by sections 2 and 3 of the act of July 
5, 1945 (ch. 474, 48 Stat. 943, ch. 118, 57 Stat. 125, ch. 269, 
59 Stat. 410 and 411), and by sections 4 and 6 of the Trade 
Agreements Extension Act of 1949 (ch. 585, 63 Stat. 698), 
the period for the exercise of the said authority having 
been extended by section 3 of the Trade Agreements Ex- 
tension Act of 1949 until the expiration of three years from 
June 12, 1948, on October 10, 1949 he entered into a trade 
agreement providing for the accession to the General 
Agreement on Tariffs and Trade (61 Stat. (pts. 5 and 6) 
A7, All and A2051) of the Governments of the Kingdom of 
Denmark, the Dominican Republic, the Republic of Fin- 
land, the Kingdom of Greece, the Republic of Haiti, the 
Republic of Italy, the Republic of Liberia, the Republic of 
Nicaragua, the Kingdom of Sweden, and the Oriental Re- 
public of Uruguay, which trade agreement for accession 
consists of the Annecy Protocol of Terms of Accession to 
the General Agreement on Tariffs and Trade, dated Octo- 
ber 10, 1949, including the annexes thereto (64 Stat. (pt. 
3) B139) ; 

2. Whereas, by Proclamation 2867 of December 22, 1949 
(64 Stat. (pt. 2) A380), the President proclaimed such 
modifications of existing duties and the other import re- 
strictions of the United States of America and such con- 
tinuance of existing customs or excise treatment of articles 
imported Into the United States of America as were then 
found to be required or appropriate to carry out the said 
trade agreement for accession on and after January 1, 
1950, which proclamation has been supplemented by Proc- 
lamation No. 2874 of March 1, 1950, Proclamation No. 
2884 of April 27, 1950, and Proclamation No. 2888 of May 
13, 1950 (64 Stat. (pt. 2) A390, A399, and A405). 

3. Whereas, pursuant to the authority vested in the 



' 18 Fed. Reg. 8815. 



President by the Constitution and the statutes, including 
section 350 of the Tariff Act of 1930 as amended by the 
acts specified in the first recital of this proclamation ex- 
cept the Trade Agreements Extension Act of 1949, the 
period for the exercise of the authority under the said sec- 
tion 350 having been extended by section 1 of the said Act 
of July 5, 1945 (ch. 269, 59 Stat. 410), until the expira- 
tion ot three years from June 12, 1945, on October 30, 1947 
he entered into an exclusive trade agreement with the 
Government of the Republic of Cuba (61 Stat. (pt. 4) 
3699), which exclusive trade agreement includes certain 
portions of other documents made a part thereof and pro- 
vides for the customs treatment in respect of ordinary cus- 
toms duties of products of the Republic of Cuba imported 
into the United States of America ; 
4. Whereas, by Proclamation No. 2764 of January 1, 

1948 (62 Stat. (pt. 2) 1465), the President proclaimed such 
modifications of existing duties and other import restric- 
tions of the United States of America in respect of prod- 
ucts of the Republic of Cuba and such continuance of 
existing customs and excise treatment of products of the 
Republic of Cuba imported into the United States of 
America as were then found to be required or appro- 
priate to carry out the said exclusive trade agreement 
on and after January 1, 1948, which proclamation has 
been supplemented by the proclamations referred to in the 
fourth recital of the said proclamation of December 22, 

1949 specified in the second recital of this proclamation, 
and by the said proclamations of December 22, 1949, 
March" 1, 1950, April 27, 1950 and May 13, 1950, specified 
in the second recital of this proclamation; 

5. Whereas the trade agreement for accession specified 
in the first recital of this proclamation, the date for the 
signature of which by the Government of the Oriental 
Republic of Uruguay was extended until December 31, 
19.53, has been signed by the said Government under such 
circumstances that it will enter into force for such Gov- 
ernment, and such Government will become a contracting 
party to the said general agreement, on December 16, 19.53 ; 

6. Whereas I determine that the application of each 
of the concessions provided for in Part I of Schedule XX 
in Annex A of the said trade agreement for accession 
which were withheld from application in accordance with 
paragraph 4 of the said trade agreement for accession 
by the said proclamation of December 22, 1949, as are 
identified in the following list is required or appropriate 
to carry out, on and after December 16, 19.53, the said 
trade agreement for accession : 

Item 

(paragraph) Rates of duty 

19 2%^ per lb. 

1530 (a) 4%adval. 

1603 Free 

1625 Free 

1627 Free 

1780 Free ; 

7. Whereas serious problems which have developed in 
the cattle and beef situation in the United States since 
negotiation of the said trade agreement for accession 
render inappropriate the application to the products speci- 
fied in items 705 and 706 in Part I of Schedule XX in 
Annex A of the said trade agreement for accession of rates 
of duty lower than those now applicable thereto ; 

8. Whereas I determine that, in view of the circum- 
stances set forth in the seventh recital of this proclama- 
tion, it is required or appropriate, in order to carry out 
the said trade agreement for accession as fully as pois- 
sible while such circumstances exist, that the provisions 
of Items 705 and 706 in Part I of Schedule XX in Annex 
A of the said trade agreement for accession, which were 
withheld from application in accordance with paragraph 
4 of the said trade agreement for accession by the said 
proclamation of December 22, 1949, be applied as though 
they were stated as follows : 



54 



Department of State Bulletin 



Tariff 
Ad 0) 
19m, 
para- 
graph — 

705 
706 



Description of products 
Extract of meat, including 

fluid. 
Meats, prepared or pre- 
served, not specially 
provided for (except 
meat pastes, other than 
liver pastes, packed in 
air-tight containers 
weighing with their con- 
tents not more than 3 
ounces each) : 

Beef packed in air- 
tight containers. 



Eale of duty 
iVit per lb. 



3ji per lb., but not less 
than 20% ad val. 



Other 30 per lb., but not less 

than 20% ad val.; 

9. Whekeas I determine that, in view of the determina- 
tion set forth in the sixth recital of this proclamation, 
the deletion of Item 1530 (a) from the list set forth in 
the ninth recital of the said proclamation of January 1, 

1948, as amended and rectified, is required or appropriate 
to carry out, on and after December IG, 1953, the said 
exclusive trade agreement specified in the third recital 
of this proclamation : 

Now, THEKEFORE, I, DWIGHT D. EISENHOWER, 
President of the United States of America, acting under 
and by virtue of the authority vested in me by the Con- 
stitution and the statutes, including the said section S50 
of the Tariff Act of 1930, as amended, do proclaim as 
follows : 

Part I 

To the end that the said trade agreement for accession 
specified in the first recital of this proclamation may be 
carried out as fully as possible, the identification of each 
of the concessions provided for in Part I of the said Sched- 
ule XX in Annex A which is specified in the sixth or 
eighth recital of this proclamation shall, on and after 
December 16, 1953, be included in the list set forth in 
the ninth recital of the said proclamation of December 22, 

1949, as supplemented ; Provided, That, unless and until 
the President proclaims that the circumstances set forth 
in the seventh recital of this proclamation no longer exi.st, 
the provisions of Items 705 and 706 in the said Part I 
shall be applied as though they were stated in the manner 
set forth in the eighth recital of this proclamation. 

Part II 

To the end that the said exclusive trade agreement 
specified in the third recital of this proclamation may be 
carried out, the list set forth in the ninth recital of the 
said proclamation of January 1, 1948, as amended and 
rectified, shall, on and after December 16, 1953, be further 
amended l)y deleting therefrom Item 1530 (a) referred to 
in the ninth recital of this proclamation. 

In witness whereof, I have hereunto set my hand and 
caused the Seal of the United States of America to be 
aflixed. 

Done at the City of Washington this twenty-fourth 

day of December in the year of our Lord 

[seal] nineteen hundred and fifty-three, and of the 

Independence of the United States of Amerira 

the one hundred and seventy-eighth. 



/C/ C-tj-^ /6-/>0'C<-)C.t^ X-^o'x 



Agreement Providing for 
Wheat Shipments to Jordan 

Following is the text of an agreement between 
the United States and Jordan, announced by the 
Department on October 30, 1953 (press release 
600) , providing for the furnishing by the United 
States of up to 10,000 tons of wheat to combat 
suffering resulting from famine conditions among 
the people of Jordan. The grant was made in re- 
sponse to a request from the Government of 
Jordan for assistance when the spring rains in 
Jordan were small and late and disastrous crop 
failure resulted. The aid is provided under the 
famine relief act. Public Law 216 of the 83d Con- 
gress, which authorizes the Pi'esident to transfer 
agi'icultural commodities from the stocks of the 
Commodity Credit Corporation to meet famine or 
other urgent relief requirements of friendly 
peoples. President Eisenhower granted the aid on 
September 2; his action constituted the first ap- 
plication of Public Law 216. The Foreign Opera- 
tions Administration was designated to carry out 
the operation. 



United States Note 



No. 59 



Ameeican Embassy, 
Amman, October H, 195S. 



By the President : 

John Foster Dulles 

Secretary of State. 



Excellency : 

I have the honor to refer to the request of the Govern- 
ment of the Hashemite Kingdom of Jordan to the Gov- 
ernment of the United States of .\nierica for assistance 
in combatting starvation and suffering resulting from 
famine conditions among the peot)le of Jordan as a con- 
sequence of the disastrous crop season just past. The 
Government of the United States of America, recognizing 
the burden undertaken by the Government of the Hashe- 
mite Kingdom of Jordan in seeking to relieve the suffering 
of its people, agrees to assist the Government of the 
Hashemite Kingdom of Jordan in this enterprise. 

It is therefore proposed that : 

1. The Government of the United States of America 
will, subject to the terms and conditions of the United 
States legislation applicable to such assistance and to the 
terms and conditions set forth below, furnish to the Gov- 
ernment of the Hashemite Kingdom of Jordan up to 
10,000 tons of wheat in the form of a grant in order to 
alleviate starvation and mass suffering threatened by 
famine conditions in Jordan. The Government of the 
Hashemite Kingdom of Jordan shall accept title to the 
wheat upon delivery of wheat on board vessel and shall 
be responsible for all costs accruing thereafter (other 
than the payment of freight to the initial destination in 
Jordan). 

2. In order to ensure maximum benefits to the people 
of Jordan from the assistance to be furnished hereunder, 
the Government of the Hashemite Kingdom of Jordan 
undertakes to : 

(a) Prepare, in consultation with representatives of 
the Government of the United States of America, a plan 
for the distribution of the wheat made available under 
this Agreement among the people of Jordan and for the 
distribution of such wheat and products thereof (i) 
free of cost to persons who by virtue of circumstances 
beyond their control are unable to pay for them and 
(ii) to others at lowest feasible prices, as agreed upon, 
from time to time, by the two Governments. 



January 7 7, 7954 



55 



(b) Include in such plan, to the maximum extent 
feasible, a system of public works projects which the 
two Governments determine to be desirable and prac- 
ticable in order that both the country of Jordan and 
the persons receiving assistance will receive maximum 
benefits. 

(c) Pursue all appropriate measures to reduce its 
relief needs, to increase production and supply, and to 
improve the distribution of foodstuffs within Jordan in 
order to lessen the danger of similar emergencies in 
the future. 

(d) Carry out the plan agreed upon, with such modi- 
fications as may from time to time be mutually agreed 
to be necessary to achieve the famine relief objective. 

3. In order to further the public works projects re- 
ferred to above and to enhance the value to Jordan of 
the assistance program, the Government of the Hashemite 
Kingdom of Jordan will establish in its own name a Spe- 
cial Account in a bank in Jordan agreed upon by the two 
Governments (hereinafter called the "Special Account"), 
and will deposit in this account promptly amounts of 
local currency accruing, after deducting the transporta- 
tion expenses and handling costs to the Government of 
the Hashemite Kingdom of Jordan, from the sale of wheat 
supplied under this Agi-eement, or revenues otherwise 
accruing to the Government of the Hashemite Kingdom 
of Jordan as a result of the import of such wheat. The 
Government of the Hashemite Kingdom of .Jordan may 
at any time make advance deposits in the Special Account. 

4. The Government of the Hashemite Kini;dom of 
Jordan may draw from the Siiecial Account such amounts 
as may be agreed upon by the Government of the United 
States of America and the Government of the Hashemite 
Kingdom of Jordan to defray the expenses of public works 
projects and other activities for the benefit of the people 
of Jordan agreed upon by the two Governments. 

5. The Governments will, upon the request of either of 
them, consult regarding any matter relating to the appli- 
cation of this Agreement or to operations thereunder. 
The Government of the Hashemite Kingdom of Jordan 
will provide such information as may be necessary to 
carry out the provisions of this Agreement, including 
statements on the use of assistance received hereunder 
and other relevant information which the Government of 
the United States of America may need to determine the 
nature and scope of its operations under this Agreement 
and to evaluate the effectiveness of the assistance fur- 
nished or contemplated. 

6. It is assumed that the Government of the Hashemite 
Kingdom of Jordan will give full and continuous publicity 
in Jordan to the objectives and progress of the program 
under this Agreement, Including information to the people 
of Jordan that this program is evidence of the friend- 
ship of the people of the United States of America for 
them. The Government of the Hashemite Kingdom of 
Jordan will make public, upon termination of this program 
and at least once each quarter during the course of its 
operation, full statements of operations hereunder, in- 
cluding information as to the use of assistance received 
and use of the local currency deposited in the Special 
Account. 

7. The Government of the Hashemite Kingdom of 
Jordan agrees to pennit representatives of the Govern- 
ment of the United States of America to observe, without 
restriction, the distribution in Jordan of wheat made avail- 
able hereunder, including the provision of facilities neces- 
sary for observation and review of the administration 
of this Agreement and the use of assistance furnished, 
and to receive any additional persons who may be neces- 
sary for the purpose. Upon appropriate notification from 
the Government of the United States of America, the Gov- 
ernment of the Hashemite Kingdom of Jordan will consider 
such persons as part of the Diplomatic Mission of the 
United States of America to the Hashemite Kingdom of 
Jordan for the purpose of enjoying the privileges and 
immunities accorded to that Mission and its personnel 
of comparable rank. 

56 



8. All or any part of the assistance provided hereunder 
may be terminated by the Government of the United States 
of America If it is determined that, because of changed 
conditions, continuation of assistance is unnecessary or 
undesirable. Termination of assistance under this pro- 
vision may include the termination of deliveries of all 
wheat scheduled hereunder and not yet delivered. 

Upon receipt of a note from Your Excellency indicating 
that the provisions set forth in this note are acceptable to 
the Government of the Hashemite Kingdom of Jordan, 
the Government of the United States of America will con- 
sider that this note and your Excellency's reply thereto 
constitute an Agreement between the two Governments. 
Such Agreement shall enter into force on the date of Your 
Excellency's note in reply. 

Please accept, Excellency, the renewed assurances of 
my highest consideration. 

Andrew G. Ltnch 

His Excellency 

Dr. Hussein Khalidi, 
Minister of Foreign Affairs, 

The Hashemite Kingdom of Jordan, 
Amman, Jordan. 



Jordan Note 

21st October 1953. 
Excellency, 

I have the honour to refer to your note No. 59, dated 
October 14, 1953 regarding the request of the Government 
of the Hashemite Kingdom of Jordan to the Government 
of the United States of America for Assistance in combat- 
ting starvation and suffering resulting from famine condi- 
tions among the people of Jordan as a consequence of 
the disasterous crop season just past and to inform you 
that the Jordan Government accept the provisions set 
forth in your above mentioned note. 

Minister for Foreign Affairs 
H. F. Khalidi 

H. E. Mr. Andrew G. Lynch, 

The Charge d' Affaires of V. S. A.. 

Amman. 



Limitation Placed 
on Oats Imports 

White House press release dated December 27 

The President on December 26 signed a procla- 
mation limiting imports of oats into the United 
States from sources other than Canada to 2,500,000 
bushels during the period December 23, 1953, to 
September 30, 1954. 

The President acted on the basis of the recent 
report on oats by the United States Tariff Com- 
mission, made under section 22 of the Agricultural 
Adjustment Act, as amended, which provides for 
limitations on imports when those imports are 
interfering with or threaten to interfere with do- 
mestic price support or marketing programs. 

Imports of oats from Canada had already been 
made subject to effective limitation pursuant to 
a decision by the Canadian Government to limit 
shipments of oats to the United States to 23 mil- 



Depattment of Sfafe BuUetin 



lion bushels during the period from December 
10, 1953, to September 30, 1954.^ 

In communicating its decision to this Govern- 
ment the Canadian Government had indicated 
that its action in limiting shipments of oats to the 
United States was taken with the expectation that 
substantial quantities of oats would not enter the 
United States from other sources and thus displace 
the competitive position of Canada which has tra- 
ditionally supplied almost the whole of United 
States imports of oats. Accordingly, the action 
by the President in limiting imports from other 
sources is supplementary to the Canadian decision. 
Taken together, the two actions will have the ef- 
fect of treating imports of oats from all sources 
on an equitable basis. 



TEXT OF PROCLAMATION 3041^ 

Whereas, Pursuant to Section 22 of the Agricultural 
Adjustment Act, as added by Section 31 of the Act of 
August 24, IdZn, 49 Stat. 773, re-enacted by Section 1 of 
the Act of June 3, 1937, 50 Stat. 246, and as amended by 
Section 3 of the Act of July 3, 1948, 62 Stat. 124S, Section 
3 of the Act of June 28, 1950, 64 Stat. 261, and Section 
8 (B) of the Act of June 16, 1951, 65 Stat. 72 (7 U. S. C. 
624), the Secretary of Agriculture has advised me that he 
has reason to believe that oats are being or are prac- 
tically certain to be imported into the United States under 
such condition.? and in such quantities as to render or 
tend to render ineffective, or materially interfere with, 
the price-support program undertaken by the Department 
of Agriculture with respect to oats pursuant to Sections 
301 and 401 of the Agricultural Act of 1949 (63 Stat. 
1053, 1054), or to reduce substantially the amount of 
products processed in the United States from domestic 
oats with respect to which such program of the Depart- 
ment of Agriculture is being undertaken ; and 

Whereas, on June 6, 19.53, I caused the United States 
Tariff Commission to make an investigation under the 
said Section 22 with respect to hulled and unhuUed oats 
and unhuUed ground oats ; and 

Whereas, the said Tariff Commission has made such 
investigation and has reported to me its findings and 
recommendations made in connection therewith ; and 

Whereas, on the liasis of the said investigation and 
report of the Tariff Commission, I find that hulled and 
unhulled oats and unhulled ground oats are practically 
certain to be imported into the United States during the 
period December 23, 1953, to September 30, 19,")4, inclusive, 
under such conditions and in such quantities as to render 
or tend to render ineffective, or materially interfere with, 
the said price-support program with respect to oats ; and 

Whereas, I find and declare that the imposition of 
quantitative limitations not in excess of 23,000,000 bushels 
of the product of Canada and not in excess of 2,.500,000 
bushels of the product of other foreign countries are 
shown by such investigation of the Tariff Commission to 
be necessary in order that the entry, or withdrawal from 
warehouse, for consumption of oats described in the pre- 
ceding paragraph of this Proclamation during the period 
December 23, 1953, to September 30, 1954, will not render 
or tend to render ineffective, or materially interfere with, 
the said price-support program ; and I further find and 
declare such permissible total quantity to be propor- 
tionately not less than 50 percentum of the total average 
aggregate annual quantity of such oats entered, or with- 



drawn from warehouse, for consumption during the repre- 
sentative period July 1, 1948, to June 30, 1951, inclusive; 

Whereas, Canada has undertaken to limit exports of 
oats to the United States to 23,000,000 bushels during the 
period from midnight December 10, 1953, to midnight 
September 30, 1954 : 

Now, therefore, I, Dwight D. Eisenhower, President 
of tlie United States of America, acting under and by 
virtue of the authority vested in me by the said Section 
22 of the Agricultural Adjustment Act, as amended, do 
hereby proclaim that the total aggregate quantity of 
hulled and unhulled oats and unhulled ground oats, other 
than oats the product of Canada, entered, or witlidrawn 
from warehouse, for consumption during the period De- 
cember 23, 1953, to September 30, 1954, inclusive, shall 
not be permitted to exceed 2,500,000 bushels of 32 pounds 
each. 

The provisions of this proclamation shall not apply to 
certified or registered seed oats for use for seeding and 
crop-improvement purposes, in bags tagged and sealed by 
an officially recognized seed-certifying agency of the coun- 
try of production : Provided, (a) that the individual ship- 
ment amounts to 100 bushels (of 32 pounds each) or less, 
or (b) that the individual shipment amounts to more than 
100 bushels (of 32 pounds each) and the written approval 
of the Secretary of Agriculture or his designated represent- 
ative is presented at the time of entry, or bond is furnished 
in a form prescribed by the Commissioner of Customs In 
an amount equal to the value of the merchandise as set 
forth in the entry, plus the estimated duty as determined 
at the time of entry, conditioned upon the production of 
such written approval within 6 months from the date of 
entry. 

In witness whereof, I have hereunto set my hand and 
caused the seal of the United States of America to be 
affixed. 

Done at the City of Washington this 26th day of Decem- 
ber in the year of our Lord nineteen hundred and 
[seal] fifty-three, and of the Independence of the United 
States of America the one hundred and seventy- 



eighth. 



X^ (-A.S-yL.'i~Z^(.J-<.ju^ A<a<»^ 



' For correspondence with Canada on this subject, see 
Bulletin of Jan. 4. 1954, p. 21. 
' 18 Fed. Reg. 8883. 



By the President : 

John Foster Dulles 
Secretary of State 



Credit Extended to Japan 
for Purchase of Cotton 

The Export-Import Bank of Washington an- 
nounced on December 23 that arrangements have 
now been completed for the operation of a credit 
of $60 million authorized by U.S. commercial 
banks to finance the purchase and export of U.S. 
cotton to Japan. This credit bearing interest at 
the rate of 31/^ percent per annum and repayable 
in 15 months is extended to the Bank of Japan 
which will designate Japanese commercial banks 
as its agents. The Japanese commercial bank will 
in turn utilize the services of the following U.S. 
commercial banks which will provide the funds: 

Bank of America 

Bank of the Manhattan Company 

Bankers Trust Company 



January 71, T954 



57 



The Chase National Bank of the City of New York 

Chemical Bank & Trust Company 

First National Bank of Boston 

First National Bank of Chicago 

Guaranty Trust Company 

The Hanover Bank 

Irving Trust Company 

Manufacturers Trust Company 

The National City Bank of New York 

J. Henrv Schroder Banking Corporation 

Wells Fargo Bank & Union Trust Company 

The credit is to be used to finance the sale of 
raw cotton purchased under contract entered into 
subsequent to December 3, 1953. 

Cost of insurance and freight may be financed 
under the line of credit provided contracts are 
made on C. I. F., C&F or C&I terms. Shipment 
is restricted to vessels of United States or Japanese 
registry unless a waiver is obtained from the U.S. 
Maritime Administration permitting shipment on 
a vessel of other registry. Financing will be 
effectecl through letters of credit expiring not later 
than July 31, 1954, under which 15-month drafts 
will be drawn on the Bank of Japan. 

All inquiries relating to other details of opera- 
tions of this credit should be addressed by the 
American cotton shipper to his bank or banks in 
the United States or his agent in Japan. 



Issues Involved in 
Syrian Complaint 

Statements hy Henry Cabot Lodge, Jr. 
U.S. Representative to the United Nations ' 

U.S. /U.N. press release dated December 16 

The Security Council since October 27 has had 
under consideration tlie Syrian complaint on the 
diversion of the Jordan Eiver. We have heard 
the representatives of Syria, Israel, Lebanon, and 
Pakistan in a number of important statements. 
The United States has followed the development 
of the debate with intense interest. As a result 
we have come to the following conclusions: 

First, strict compliance with the armistice 
agreement entered into between Israel and Syria 
is of vital importance to the peace of the area and 
this question is intimately involved in the present 
case. 

Second, the primary responsibility of the Secu- 
rity Council in this matter is to uphold that 
armistice agreement which it endorsed in its reso- 
lution of 11 August 1949 as superseding the truce 
and facilitating the transition to permanent peace. 
The agent of the Security Council for these pur- 
poses is the Chief of Staff of the Truce Super- 
vision Organization. 



' Made in the Security Council on Dec. 16 and Dec. 21. 



Third, development projects which are con- 
sistent with the undertakings of the parties under 
the armistice agreement and which are in the gen- 
eral interest and do not infringe upon establislied 
rights and obligations should be encouraged. The 
decision of the Cltief of Staff for the continuance 
of the diversion of the Jordan River project would 
be subject to these considerations. The Chief of 
Staff, as the authority responsible for the general 
supervision of the demilitarized zone, is the proper 
authority to determine whether the project now in 
question meets these conditions. Any unilateral 
action, from whatever side, which is not consistent 
with tliis authority of the Chief of Staff threatens 
the effective oj^eration and enforcement of the 
armistice agreement. Similarly, no government 
sliould, in our opinion, exercise a veto power over 
legitimate projects in the demilitarized zone. 

On the basis of these conclusions, the United 
States lias joined with France and the United 
Kingdom in submitting for the consideration of 
the Council the draft resolution which has been 
circulated. This resolution makes clear, in our 
opinion : 

(a) That the Chief of Staff of the Truce Super- 
vision Organization, as Chairman of the Syrian- 
Israel Mixed Armistice Commission, is the respon- 
sible authority with respect to questions affecting 
the demilitarized zone under article 5 of the armi- 
stice agreement ; 

(b) That the issues raised by the Jordan River 
diversion project should be judged by the Chief 
of Staff in accordance with Ms authority under 
the armistice agreement, and 

(c) Tliat in these and other questions concerning 
the status of the demilitarized zone an important 
consideration should be the just and orderly de- 
velopment of the natural resources affected, with 
due regard for the general welfare and the inter- 
ests of the parties and individuals concerned. 

To these ends, Mr. President, we hope that the 
Governments of Israel and Syria will coojDerate 
fully with the Chief of Staff and that they will 
mutually benefit from his decisions. In the ojjin- 
ion of the United States, the draft resolution rep- 
resents the i^roper line of action for the Security 
Council to take in this case. 

U.S./U.N. press release dated December 21 

At the last meeting of the Security Council the 
representative of China, who, I believe, was sup- 
ported in this by the representative of Pakistan, 
took the position that the language of the pending 
resolution was not clear as regards the rights of 
the parties under the armistice agreement. 

While I do not share their doubts and while it 
seems to me perfectly clear that the Chief of Staff 
would in the normal course under the terms of this 
resolution naturally seek to reconcile the interests 
of the two parties and would consult with them. 



58 



Department of State Bulletin 



I am always glad to try to defer to the opinions of 
the members and seek to clarify the point. 

In this spirit, the sponsors of the resolution sug- 
gest adding a new paragi-aph — paragraph 14 — to 
read as follows: 

Nothing in this resolution shall be deemed to supersede 
the Armistice Agreement or to change the legal status of 
the Demilitarized Zoue thereunder. 

This seems to us to be a concise way of removing 
any doubts which may exist regarding the Chief 
of Stall's consulting with the parties in accordance 
with their rights and interests. We do not think 
that the doubts previously expressed are well 
founded, but are glad to go as far as we can to re- 
solve them and in this spirit of helpfulness, we 
propose this amendment. 

TEXT OF DRAFT RESOLUTION^ 

U.N. doc. S/3151/Rev. 1 
Dated December 21, 1953 

The Security Council, 

1. Recalling its previous resolutions on the Palestine 
question; 

2. Taking into consideration the statements of the Rep- 
resentatives of Syria and Israel and the reports of the 
Chief of Staff of the Truce Supervision Organization on 
the Syrian complaint (S/3108/Rev. 1) ; 

3. 'Soteg that the Chief of Staff requested the Govern- 
ment of Israel on 23 September 1953 "to ensure that the 
authority which started work in the Demilitarized Zone 
on 2 September 1953 is instructed to cease worliing in the 
Zone so long as an agreement is not arranged" ; 

4. Endorses this action of the Chief of Staff; 

5. Recalls its resolution of 27 October 1953, taking note 
of the statement by the Representative of the Government 
of Israel that the work started by Israel in the Demili- 
tarized Zone would be suspended pending urgent exami- 
nation of the question by the Council ; 

6. Declares that, in order to promote the return of per- 
manent peace in Palestine, it is essential that the General 
Armistice Agreement of 20 July 1949 between Syria and 
Israel be strictly and faithfully observed by the Parties ; 

7. Reminds the Parties that, under Article 7, paragraph 
8 of the Armistice Agreement, where the interpretation 
of the meaning of a particular provision of the Agreement 
other than the preamble and Articles 1 and 2 is at issue, 
the Mixed Armistice Commission's interpretation shall 
prevail ; 

8. Notes that Article 5 of the General Armistice Agree- 
ment between Syria and Israel gives to the Chief of Staff, 
as Chairman of the Syrian-Israeli Mixed Armistice Com- 
mission, responsibility for the general supervision of the 
Demilitarized Zone; 

9. Calls upon the Chief of Staff to maintain the demili- 
tarized character of the Zone as defined in paragraph 5 
of Article 5 of the Armistice Agreement ; 

10. Calls upon the Parties to comply with all his deci- 
sions and requests, in the exercise of his authority under 
the Armistice Agreement ; 

11. Requests and authorizes the Chief of Staff to ex- 
plore possibilities of reconciling the interests involved in 
this dispute including rights in the Demilitarized Zone 
and full satisfaction of existing irrigation rights at all 
seasons, and to take such steps as he may deem appro- 
priate to effect a reconciliation, having in view the 
development of the natural resources affected in a just 
and orderly manner for the general welfare ; 



' Sponsored by Prance, the United Kingdom, and the 
United States. 



12. Calls upon the Governments of Israel and Syria to 
co-operate with the Chief of Staff to these ends and to 
refrain from any unilateral action which would prejudice 
them; 

13. Requests the Secretary-General to place at the dis- 
posal of the Chief of Staff a sufficient number of experts, 
in particular hydraulic engineers, to supply him on the 
technical level with the necessary data for a complete 
appreciation of the project in question and of its effect 
upon the Demilitarized Zone ; 

14. Affirms that nothing in this resolution shall be 
deemed to super.sede the Armistice Agreement or to change 
the legal status of the Demilitarized Zone thereunder. 

15. Directs the Chief of Staff to report to the Security 
Council within 90 days on the measures taken to give 
effect to this resolution. 



Justice Halpern To Serve on 
U.N. Minorities Subcommission 

U.S. /U.N. press release dated December 18 

Philip Halpern, Associate Justice of the Ap- 
pellate Division of the Supreme Court of New 
York, Third Department, on December 18 was 
designated as U.S. alternate for the sixth session 
of the U.N. Subcommission on the Prevention of 
Discrimination and the Protection of Minorities. 
This Subcommission will meet at the Headquar- 
ters of the United Nations in New York City from 
January 4 to 29, 1953. 

Justice Halpern was designated alternate on 
this Subcommission by Mrs. Oswald B. Lord, 
U.S. representative on the Commission on Human 
Rights, who was elected to the Subcommission by 
the Commission on Human Rights in May 1953. 

The Subcommission consists of 12 members. 
While they are nominated by the Nations repre- 
sented upon the Commission on Human Rights, 
the members of the Subcommission serve as indi- 
vidual experts and not as governmental repre- 
sentatives. Any member of the Subcommission 
is authorized to appoint an alternate to serve in 
his stead with the consent of his government and 
in consultation with the Secretary-General of the 
United Nations. In accordance with this pro- 
cedure, Mrs. Lord has designated Justice Halpern 
as her alternate. 

Justice Halpern will serve during the first 3 
weeks of the Subcommission session during the 
recess of the Appellate Division of the Third De- 
partment. He will then return to the Appellate 
Division for its January term which commences 
on January 25. 

The Subcommission at its next session will plan 
for the study of discrimination in various fields 
and particularly in the field of education. In 
addition, the Subcommission Mill consider the pos- 
sible definition of the term "minorities" and is ex- 
pected to study a compilation of provisions 
adopted by various countries for the protection of 
minorities. Justice Halpern will serve on the 



January J 7, 1954 



59 



Subcommission in his individual capacity as an 
expert in these fields. 

Justice Halpern served as principal adviser on 
the U.S. delegation to the United Nations Com- 
mission on Human Rights which met in Geneva 
in April and May 1953. 



Appointments to U.S. National 
Commission for UNESCO 

Press release 665 dated December 21 

The Department of State on December 21 an- 
nounced the appointment of 18 new members to 
the United States National Commission for 
UNESCO, the citizen group which acts as liaison 
between the Government and the people in rela- 
tions with the United Nations Educational, 
Scientific and Cultural Organization. 

The National Commission is composed of 40 
persons selected by the Secretary of State and 60 
persons who are designated by national organiza- 
tions for appointment by the Secretary. George 
Sinister, president of Hunter College, is Chairman 
of the National Commission. 

Those who received direct appointment by the 
Secretary are: 

Mrs. Stewart Alexander, Park Ridge, N. .T. ; Director of 
Women's Activities, American Heritage Foundation. 

Maj. Gen. Milton G. Baker, Wayne, Pa. ; Superintendent, 
Valle.v Forge Military Academy. 

Leonard Carmicbael, Washington, D. C. ; Secretary of the 
Smithsonian Institution. 

Clayton .J. Chamberlin, Honolulu, Hawaii ; Superintendent 
of the Department of Public Instruction of Hawaii. 

Mayor Fred A. Emery of Tucson, Ariz. 

Mrs. Elizabeth Heffelfinger, Wayzata, Minn., prominent 
leader in cultural, philanthropic, political, and human 
relations activities In Minnesota. 

Mrs. J. Balfour Miller, Natchez, Miss. : former Regent, 
Daughters of the American Revolution. 

Mrs. Henry Potter Russell, Burlingame, Calif. ; former 
member of U. S. delegations to Unesco General Con- 
ferences, and long prominent in San Francisco cul- 
tural, civic, and international activities. 

Carl Shelly, Sparks, Nev. ; Publisher, Sparks Trihune. 

Lawrence M. Stavig, Sioux Falls, S. Dak. ; President, 
Augustana College. 

John Walker, Washington, D. C. ; Chief Curator, National 
Gallery of Art. 

Secretary Dulles also appointed the following 

members to the Unesco National Commission upon 

their nomination by national organizations : 

Gordon W. Allport. Cambridge, Mass. ; Department of 

Social Relations, Harvard University, representing 

the Society for the Psychological Study of Social 

Issues. 

F. Ernest Johnson, New York, N. Y. ; former Executive 

Director, Department of Research and Survey, Na- 
tional Council of the Churches of Christ, representing 
the National Council of the Churches of Christ. 

G. Griffith Johnson, Washington, D. C. ; Assistant to the 

President, Motion Picture Association of America, 
representing the Mpa. 

60 



Galen Jones, Washington, D. C. ; U.S. Office of Education, 
representing the National Association of Secondary- 
School Principals. 

Agnes Mongan, Somerville, Mass. ; Curator of drawings, 
Fogg Museum of Art, Harvard University, represent- 
ing the College Art Association. 

Rudger H. Walker, Logan, Utah ; Dean, School of Agricul- 
ture, Utah State Agricultural College, representing 
the Association of Land-Grant Colleges and Uni- 
versities. 

Malcolm M. Willey, Minneapolis, Minn. ; Vice President, 
University of Minnesota, rejiresenting the Social 
Science Research Council. 

The U.S. National Commission for Unesco was 
created by act of Congress in 1946. In addition to 
its responsibilities as an advisory group to the Gov- 
ernment, it serves as liaison between Unesco, 
which has its headquarters in Paris, and the Amer- 
ican i^eople. The 100 members of the National 
Commission serve without compensation. 



Official Termination of 
International Materials Conference 

The Central Group of the International Ma- 
terials Conference met, as previously scheduled, 
on December 15, 1953, to review the raw materials 
situation and determine the future of the 
Conference. 

The Central Group noted that, since the dis- 
solution of the last Commodity Committee on 
September 30, 1953, there has been no new develop- 
ment which would call for action by the Conference 
in accordance with its terms of reference. 

Tlie Central Group, in noting, therefore, that 
the Imc had accomplished its tasks, recognized 
that the methods used in coping with the short- 
ages had been effective and could serve as a guide in 
any future emergency shortage. It consequently 
recommended that the Conference be officially 
terminated as of December 31, 1953. 

In making this recommendation, the Central 
Group noted that representatives of all its mem- 
bers have indicated their readiness to consult 
among themselves, at the initiative of any one of 
them, in the event of concern over threatened 
shortages. 

The International Materials Conference was 
convened in February 1951 at the invitation of the 
three sponsoring Governments (France, the United 
Kingdom, and the United States) to deal with 
the raw materials shortage which developed in the 
free world following the outbreak of hostilities in 
Korea. 

During the period of its activities, the Confer- 
ence was concerned with the following raw ma- 
terials: copper, zinc, lead, manganese, nickel, 
cobalt, sulfur, tungsten, wool, newsprint, wood 
pulp, cotton, and cotton linters. 

Department of State Bulletin 



Report of U.N. Command Operations in Korea 



SEVENTY-FOURTH REPORT: FOR THE PERIOD JULY 16-31, 1953 > 



U.N. doc. S/3143 

Dated November 24, 195.3 

I herewith submit report number 74 of the United Na- 
tions Command Operation-s in Korea for the period 16-31 
July 1953, inclu.sive. United Nations Command com- 
muniques numbers 1677-16S9 provide detailed accounts 
of these operations. 

From the 16th of July until the Armistice was signed 
on the 27th of July, there were executive sessions eacli 
day except for the 17th and 18th days of the month. There 
was an executive plenary session on the 16th, and on the 
19th day there was both an executive plenary session and 
an executive liaison officers session. From the 20th day 
through the 26th there were executive sessions daily of 
both liaison and staff officers except on the 22nd day when 
there was a staff officer session only and on the 25th and 
26th days liaison officers meetings only. 

On 19 July the Communists made public a statement 
relative to the implementation of the Armistice Agreement. 
The United Nations Command noted the statement and re- 
served the right to discuss the Communist statement pub- 
licly. 

Discussions during this period concerned reaching 
agreement as to the effective date of the Armistice ; re- 
vision to the Draft Armistice Agreement, Military De- 
marcation Line and Demilitarized Zone; preparation of 
the documents, including maps ; Temporary Agreement 
Supplementary to the Armistice Agreement ; and arrange- 
ments for the signing of the Armistice.^ 

On 26 July 19.53, General Mark W. Clark, Commander in 
Chief, United Nations Command, announced that at 2 : 05 
P. M. that date. United Nations Command and Communist 
delegates reached agreement on the terms of an armistice. 
In connection with the signing of the armistice, General 
Clark made the following statement : 

"In order to speed the conclusion of the armistice and 
thus prevent additional casualties which would result from 



' Transmitted on Nov. 23 to the Secretary-General, for 
circulation to members of the Security Council, by the 
U.S. representative to the U.N. Text of the .50th report 
appears in the Bulletin of Dec. 15, 1952, p. 958 ; the 51st 
and 52d reports, Dec. 29, 1952, p. 1034; the 53d report, 
Jan. 26, 1953, p. 155; the 54th report, Feb. 9, 1953, p. 224; 
the 55th report, Feb. 16, 1953, p. 276 ; the 56th report. Mar. 
2, 1953, p. 348; excerpts from the 57th, 5Sth, and 59th 
reports. May 11, 1953, p. 690; excerpts from the 01st, 64th, 
and 65th reports, July 13, 1953, p. 50 ; excerpts from the 
67th, 6Sth, and 69th reports, Sept. 28, 1953, p. 423; and 
excerpts from tlie 70th, 71st, 72d, and 73d reports, Jan. 4, 
1954, p. 30. The 60th, 62d, 63d, and 66th reports were 
omitted from the Bulletin. 

' For special report of the Unified Command on the 
armistice, see Bulletin of Aug. 24, 1953, p. 246. 



further delay, and because of unacceptable restrictions 
demanded by the Communists as a condition to the appear- 
ance at Panmunjom of their commanders, it has been 
agreed tliat none of tlie commanders will sign tlie Armis- 
tice Agreement at Panmunjom. Instead, both sides have 
authorized their senior delegates to sign the agreement at 
Panmunjom at 10 o'clock, Monday, 27 July. Twelve hours 
from that time the armistice will become effective. 

"In accordance with the agreed upon procedure, the 
documents signed by the delegates at Panmunjom will be 
dispatched immediately to the headquarters of the respec- 
tive military commanders for their signatures. I shall 
sign the documents at my advance headquarters at Mun- 
san-ni." 

Liaison officers of the United Nations Command and 
Communists reached agreement in executive session at 
Panmunjon on the 26th of July on details pertaining to the 
signing of an armistice and .set 10 A. M., July 27, as 
the time and date for the signing. 

On 27 July 1953, a military armistice between the United 
Nations Command and the armed forces of North Korea 
and Communist China was signed initially at 10 A. M. 
at Panmunjom, Korea, by Lieutenant General William K. 
Harrison, Jr., representing the United Nations Command 
and General Nam II for the Communist forces.' The doc- 
uments to be signed by the Commander in Chief, United 
Nations Command were then returned to Munsan-ni, 
where they were signed by General Mark W. Clark. The 
armistice became effective at 10 P. M., 27 July 1953. 

Even though armistice negotiations were culminated 
in an agreement during this period, strongly Communistic 
prisoners of war in United Nations Command custody 
made last minute efforts to create difficulties for their 
captors. As is often the case, the prisoners in the Koje-do 
complex created all the disturbance. Various compounds, 
obviously on order of their prisoner of war leaders, con- 
ducted drills, shouted, clapped their hands and conducted 
frenzied chants in violation of long standing instructions. 
In one instance, a United Nations Command enclosure 
commander was attacked. 

There were detected during this period unmistakable 
signs that the non-repatriate prisoners remaining in United 
Nations Command custody were becoming increasingly 
apprehensive about their ultimate fate. Particular em- 
phasis, therefore, was placed on presentation of factual 
data to these non-repatriates to point out the safeguards 
guaranteed them by the Armistice Agreement. Initiation 
of this program met with immediate success In allaying 
fears and apprehensions of this category of prisoners and 
contributed in large measure to the maintenance of order 
in their camps. 



' For text, see ibid., Aug. 3, 1953, p. 132. 



January JI, J 954 



61 



Elements of five Chinese Communist Forces armies con- 
tinued to attacls along the KUMSONG Salient during 
mid-July, raising the intensity and strength of enemy ac- 
tion to a new high for the last two years of the war. The 
western front remained relatively quiet during the period 
while the eastern front flared anew with North Korean 
troops attacking United Nations Command positions south 
of KOSONG and astride the SOYANG Valley, South of 
SOHUI. From the armistice on 27 July until the end of 
the period, no activity of significance was reported across 
the front, with the exception of numerous sightings of 
enemy work details in the forward areas. 

Enemy activity across the western front again was 
centered around several United Nations Command outpost 
positions near PUNJI and Outpost BETTY, south of 
SANGNYONG. Additionally, just prior to the end of 
the previous period, the enemy launched a battalion-size 
attack against Outpost BETTY. 

In a United Nations Command division sector near 
PUNJI little activity was noted early in the period. In 
this sector late on 19 July an undetermined-size enemy 
force attacked and occupied Outposts BERLIN and E. 
BERLIN. These positions were still in the enemy's hands 
at the armistice signing. East of PUNJI an enemy regi- 
ment heavily supported with artillery and mortar attacked 
United Nations Command main line of resistance positions 
on 24 July. Friendly elements counterattacked early on 
25 July and restored lost positions. Later in the morning 
an enemy company launched another attack in the sam^j 
area. After a brief firefight the enemy was forced to 
withdraw. Sporadic firing continued until another enemy 
company renewed the assault early on 26 July. The 
enemy was forced to withdraw after approximately one 
hour of intense fighting. Late in the period the United 
Nations Command defenders in this sector experienced a 
number of platoon-size probes, all of which withdrew 
after brief exchanges of fire. The adjacent United Na- 
tions Command division to the east remained exceedingly 
quiet with no enemy initiated action occurring that was 
larger than several squads in size. 

South of SANGNYONG in another United Nations Com- 
mand division sector enemy Initiated action centered 
around Outpost BETTY. The Communists launched six 
attacks of platoon size or larger against the outpost in 
attempts to occupy the position. The last attack, of 
company-size, was the only one in which the enemy had 
any success. In this engagement the Chinese assaulted 
the United Nations Command position on 25 July and 
after nine hours of vicious fighting the enemy force oc- 
cupied the center and western portions of the outpost. 
Sporadic fighting continued throughout the afternoon of 
25 July with the United Nations Command regaining con- 
trol of the central portion of the position. 

In another United Nations Command division sector 
east of SANGNYONG, enemy activity decreased to a 
marked degree from the bitter fighting of the previous 
period. Only two company and two platoon-size enemy 
initiated actions were reported. These actions were con- 
centrated against Outposts WESTVIEW and DALE, none 
of which were significant and the enemy withdrew after 
briefly probing United Nations Command positions. 

As indicated previously, the Chinese launched their 
KUMSONG Bulge attack on 13 July and continued to 
expand initial successes during the period. The weight 
of the action was against the center and eastern portions 
of the central front. Elsewhere across the central front, 
enemy activity was of a lesser intensity. 

North of CHORWON in a United Nations Command 
division sector, enemy activity was insignificant. How- 
ever to the east, the adjacent United Nations Command 
division experienced nine company or larger size attacks 
between 16-20 July. The remainder of the period in this 
sector was relatively quiet. Early on 16 July a Chinese 
company unsuccessfully attacked positions of this United 
Nations Command division west of KUMHWA. Smaller 
enemy probes were initiated concurrently in adjacent 
areas. These actions were followed with three attacks of 



company to battalion-size across the United Nations Com- 
mand division front on the night of 16-17 July. Action 
was further intensified in this area on the subsequent 
night when the enemy mounted two battalion and two 
company-size attacks. Although hand-to-hand fighting 
resulted, the enemy was forced to withdraw after periods 
ranging from a few minutes to four hours. Two nights 
later the enemy again employed a company against the 
positions of this United Nations Command division. 
Hand-to-hand combat raged over positions, the depleted 
enemy force was compelled to withdraw, however, after 
several hours of intense battle. Until the armistice, small 
enemy groups intermittently probed these positions. 

South of KUMSONG United Nations Command elements 
deployed across most of the central front continued to 
fight determinedly to contain and repel enemy attacks. 
These attacks commenced on the night of 13 July when 
the Chinese with five armies massed between KUMHWA 
and the PUKHAN River, launched wave upon wave of 
assault infantry against United Nations Command posi- 
tions along the KUMSONG Salient. Initially the enemy 
employed elements of five divisions in the assault and 
by the close of the battle eight divisions from the five 
Chinese Communist Forces armies had been identified. 
This enemy attack resulted in the loss to the United 
Nations Command of the KUMSONG Salient and required 
a major readjustment of United Nations Command front 
line defenses. 

In one United Nations Command division sector, east of 
KUMHWA, the enemy launched five attacks of battalion 
to regimentnl-size against United Nations Command de- 
fenders. These enemy actions were concentrated on 15 
and 16 July and were a continuation of the large limited 
objective attack launched by the Chinese against the 
KUMSONG Bulge on 13 July. Throughout these heavy 
attacks on 15 and 16 July the United Nations Command 
defenders fought bitterly to retain every position, how- 
ever, under the weight of the Communist onslaught, sev- 
eral outpost iiositions were relinquished and the United 
Nations Command was forced to withdraw slightly to 
compensate for minor penetrations of the United Nations 
Command main line of resistance. By midnight 16 July 
all action had ceased and until the armistice only a 
scattering of small probes and one minor company attack 
were reported. 

South of KUMSONG in another United Nations Com- 
mand division sector the action continued heavy from the 
previous period as a result of the large scale attacks by 
the Chinese on 13 July. The action of an enemy division 
attack reported in the previous period against this United 
Nations Command division continued on through 17 July. 
Subsequently, there was a slackening of activity in this 
sector until early on 22 July. During the next four days 
the Chinese mounted eight company and battalion-size 
attacks against elements of this United Nations Command 
division. Although the United Nations Command de- 
fenders were forced to withdraw from several outposts 
there were no large scale withdrawals from critical terrain 
and the Chinese were eventually compelled to withdraw 
their depleted assault units. Brief enemy probes were 
experienced by these friendly elements until 27 July but 
no breach in the United Nations Command position was 
made. 

At the beginning of the period south of KUMSONG a 
United Nations Command division fought to contain the 
Chinese southward drive of 13 July. On 18 and 19 July 
the enemy initiated seven company and battalion-size 
actions against elements of this United Nations Command 
division, forcing the United Nations Command to give 
ground to the numerically superior Chinese. However, 
by 20 July the tide of the battle began to change and 
friendly elements took the offensive to regain a portion 
of the ground lost. Remnants of the enemy assault force 
began a withdrawal to the north and the United Nations 
Command was able to re-establish a firm defense. No 
further enemy attacks were experienced in this sector 
until the enemy launched a two company-size attack 
shortly after daybreak on 23 July. The enemy was re- 



62 



Department of State Bulletin 



inforced to regimental-size and finally after five hours of 
bitter lighting the United Nations Command forces with- 
drew slightly. The last action of the period, west of the 
regimental attack of 23 July, occurred on 25 .Tuly when 
another Chinese regiment assaulted the main line of re- 
sistance positions for over two hours before heavy United 
Nations Command fires forced the enemy to withdraw. 

Elements of another United Nations Command division 
south of KUMSONG experienced ten attacks of company 
and battalion-size during the period. These attacks were 
all carried out between 21 and 24 July and resulted in 
minor losses of terrain for the United Nations Command. 
In most cases the Chinese were compelled to withdraw 
due to the heavy fire placed on their assault units by the 
United Nations Command. Although several penetrations 
of the United Nations Command main line of resistance 
were made, vigorous United Nations Command counter- 
attacks resulted, in most instances, in a resumption of 
United Nations Command control. 

Slightly to the east in an adjacent United Nations Com- 
mand division heavy fighting commencing on 13 July con- 
tinued on into late July. The Chinese maintained 
pressure with an undetermined large number of enemy con- 
tinuing the action until 21 July. At this time there was 
a marked decrease in enemy activity and for several days 
contact with the enemy was maintained only by aggressive 
United Nations Command patrols. The Chinese came back 
with a two platoon probe against an outpost of the divi- 
sion shortly before daybreak on 26 July. This probe lasted 
for over eight hours before the enemy completely with- 
drew. Subsequently, two enemy companies struck against 
the same friendly outpost the following evening. However, 
this enemy force found stiffening resistance and remained 
in contact for only one hour before withdrawing. 

As the period opened a United Nations Command divi- 
sion was deployed astride the PUKHAN River. Later in 
the period another United Nations Command division re- 
lieved the former as the battle for the KUMSONG Bulge 
continued to bring pressure against elements of the United 
Nations Command across the central front. Early in the 
period the enemy was still pushing south overrunning 
United Nations Command positions due to the overwhelm- 
ing weight of his assault forces. By 18 July the friendly 
forces in this sector were beginning to contain and stabil- 
ize the front. As enemy attacks waned in intensity, the 
United Nations Command elements began a series of coun- 
terattacks to seize the initiative. However, the enemy 
continued to launch attacks to keep pressure on the United 
Nations Command. Typical of the five company to bat- 
talion-size actions reported was the enemy battalion attack 
of 20 July. In this assault the enemy struck friendly main 
line of resistance positions shortly after dark and the 
mass of the enemy force broke into the United Nations 
Command trenches and engaged the United Nations Com- 
mand defenders in a bitter hand-to-hand battle. Three 
hours of intense fighting for control of the position ended 
with the determined United Nations Command troops still 
denying occujiancy of the position to the Chinese. After 
this depleted enemy force withdrew early on 21 July, the 
Chinese remained relatively quiet in this sector imtil the 
armistice. 

There was an intensification of enemy activity across 
the eastern front in comparison to the relative inactivity 
of the previous period. A total of eighteen enemy ini- 
tiated actions of company-size or larger occurred. These 
enemy attacks were concentrated against XMAS Hill 
south of MULGUJI, Hill 812-Hill 854 complex south of 
SOHUI, and outpost positions south of KOSONG. 

During the period one United Nations Command divi- 
sion, deployed between the PUKHAN River and the MUN- 
DUNG-NI Valley, experienced three attacks of company- 
size or larger. These attacks were in consonance with 
those of the previous period against elements of this divi- 
sion. An enemy company probed outpost positions in the 
division's sector early on IS July for one hour before with- 
drawing. Shortly after this action began, an enemy bat- 
talion, slightly to the east of the other action, assaulted 



outposts of the division. The enemy was again repelled 
after approximately a two hour firefight. Further east 
another enemy battalion attacked outposts of the same 
division and engaged the United Nations Command de- 
fenders in hand-to-hand combat. A vicious battle ensued 
with the United Nations Command relinquishing control 
of a platoon-size outpost for several hours. Subsequently 
a determined United Nations Command counterattack re- 
secured the position, with the remnants of the enemy 
force withdrawing shortly after daybreak on 18 July. 
Throughout the remainder of the period this sector was 
inactive, with the exception of several minor probes on 
19 July. 

The United Nations Command division astride the 
SOYANG Valley experienced a marked increase in enemy 
attention. In the Hill 812 complex south of SOHUI the 
enemy briefly probed United Nations Command positions 
with a company on the night of 16-17 July. This action 
was quickly followed by a platoon attack in which the 
enemy reinforced to battalion-size and overran the United 
Nations Command main line of resistance. Concurrently, 
an enemy company attack slightly to the east was success- 
ful, after a bitter battle in the United Nations Command 
trenches, in throwing back the United Nations Command. 
Shortly thereafter the enemy occupied the position with 
two battalions. The attacks for control of Hill S12 re- 
sulted in enemy casualties estimated at 160 killed in 
action and 260 wounded in action. 

Early on the morning of 18 July the enemy attempted to 
expand his success on Hill 812 by attacking Hill 854, east 
of the SOYANG Valley, with a regimental-size assault 
force. Although the enemy supported the effort with 
30,000 rounds of artillery and mortar, the assaulting force 
broke and withdrew after approximately four hours of 
determined attacks. Thence until the armistice on 27 
July, the enemy probed these positions with minor size 
forces; however, no actions of significance occurred. 

In one United Nations Command division sector south 
of KOSONG enemy activity was particularly intense fol- 
lowing a lengthy period of inactivity. The enemy launched 
eleven attacks of company-size or larger against United 
Nations Command outpost or main line of resistance jwsi- 
tions in this area. The attacks were all brief and of 
little consequence, with the exception of an attack the 
enemy mounted with a company about daybreak on 18 
July. The enemy struck against United Nations Command 
main line of resistance positions and after a fierce close-in 
battle the enemy overran one United Nations Command 
position. Elements of the United Nations Command divi- 
sion launched an aggressive counterattack about mid- 
morning but were repulsed by a strong enemy force on the 
objective. This sector of the front remained active until 
27 July with the position remaining under enemy control. 

United Nations Command naval aircraft, operating from 
fast attack carriers in the Sea of Japan continued their 
attacks on preselected targets and targets of opportunity 
from the main line of resistance to the Manchurian Border. 
More than four thousand sorties were flown during the 
period 16 through 27 July. The major effort of naval air 
during this period was directed against Communist front 
line and supporting positions. On 13 July, in order to 
counter an apparent effort by the Communist forces to 
gain ground along the front line prior to an armistice, 
maximum support was directed along the battleline. In 
furtherance of this effort four carriers carried out oper- 
ations on around-the-clock basis until 27 July at 22001. 
The targets on these strikes in direct support of friendly 
troops, for the most part, consisted of enemy supply and 
billeting areas, gun positions, bunkers, main supply routes, 
and trenches. Accurate evaluation of the results of many 
of these attacks was prohibited due to the nature of the 
target or to the nature of this type of mission. 

The main supply routes throughout Northeast Korea 
were also struck daily in an effort to minimize the flow of 
supplies to enemy forces committed to the front line. 
These attacks resulted in the destruction of numerous 
railcars, trucks, and other rolling stock. In addition, 



January 11, 1954 



63 



several rail uncJ highway bridges were destroyed and 
numerous rail and road cuts were Inflicted. 

In an effort to prevent the Communists from augmeutin;; 
their air arm in Korea, another feature of naval air has 
been to maintain nine designated North Korean airfields 
in an unserviceable condition. These airfields were at- 
tacked under close observation to insure their continued 
unserviceability. 

Enemy coastal-defense positions in the Wonsan Harbor 
area continued to receive special attention when weather 
conditions permitted. In continuation of the effort to 
neutralize this particular threat to our surface forces 
and friendly-held islands, air strikes and co-ordinated 
air-gun strikes were scheduled again.st the.se positions. 
However, the effectiveness of these strikes was lessened 
due to low overcast over the target areas. 

United Nations Command surface vessels continued the 
naval blockade of the Korean East Coast from the vicinity 
of Kosong to Chongjin. Marginal weather reduced the 
effectiveness of short bombardment in some instances. 
However, routine day and night patrols were made to 
insure that blockade runners were not using North Korean 
ports or landing areas, and to keep mineswept areas under 
surveillance. In addition these forces supported naval 
aircraft in the interdiction of east coast railroad and 
highway .systems within range of ships' gunfire ; supported 
minesweeping operations ; supported troops ashore with 
naval gunfire and destroyed enemy facilities and installa- 
tions whenever the opportunity presented itself. 

A United Nations Command battleship, three cruisers 
and destroyers a.ssigned rendered direct support for front 
line ground forces at the eastern terminus of the bomhline. 
These gunfire support missions were conducted against 
enemy strongpoints, gun positions, troop movements, 
bunkers, supply areas, trenches and supply routes. 
Harassing and interdiction fire was provided nightly on 
troop movements, rail and road junctions, supply areas 
and other worthwhile military targets. 

Although enemy coastal gun positions in the Wonsan 
area were less active than during previous periods thev 
continued to pose a threat to United Nations Command 
surface forces and to friendy-held islands in that area. 
Various units were fired upon on numerous occasions but 
without being hit. Surface units continued to harass these 
gun positions daily with naval gunfire and air strikes 
which were vectored in on the particularly troublesome 
positions when weather permitted. 

All United Nations Command naval units were ordered 
to cease fire on 27 July at lOOOI except to return enemy 
fire or to answer calls for support of United Nations Com- 
mand ground forces. On 27 July at 22001, in accordance 
with armistice agreements, the surface blockade was 
lifted and the major task of east coast surface forces 
became the evacuation of friendly-held Islands north of the 
demarcation zone. 

Surveillance patrols south of the line of demarcation 
were set up to cover within the three mile limit in order 
to protect friendly shipping, guard against breaches or 
incidents concerning the armistice agreement and pre- 
vent infiltration. 

On 20 July United Nations Command naval forces re- 
ceived a request to assist as practicable in the search and 
rescue of an Air Force RB 50 and crew reported down in 
the Sea of Japan. A cruiser, two helicopters and five de- 
stroyers were ordered to proceed and pick up survivors. 
Carrier based planes assisted in the search and a P2V, 
on routine anti-submarine patrol, was diverted to the 
scene to assist. An exhaustive search was conducted for 
nearly twent.v-four hours. A trawler, fishing vessels, and 
other .small craft were sighted in the area. A lifeboat, 
considerable wreckage and several oil slicks were de- 
tected. One survivor was picked up. 

Marine aircraft based in Korea struck the enemy with 
one thousand eight hundred seventy-five combat sorties. 
The major effort was directed against Communist front 
line and supporting positions in an effort to counter an 
apparent effort by Ihe Communist forces to gain ground 

64 



along the front line prior to a possible armistice. Numer- 
ous bunkers, gun and mortar positions, supply and per- 
sonnel shelters and enemy strongpoints were destroyed on 
these close support missions. An undetermined number 
of casualties were inflicted on enemy troops. Although 
bad weather greatly curtailed the interdiction effort supply 
lines, troop and supply areas and other military targets 
were struck almost dail.v. In addition, reconnaissance, in- 
tercept and escort sorties were flown throughout North 
Korea. 

United Nations carrier based aircraft operating off 
the Korean West Coast continued their strikes on enemy 
targets from the front lines to the Chinnampo area. Mar- 
ginal to non-operational weather reduced the effective 
sorties flown during the period. However, in spite of gen- 
erally poor weather conditions, nearly five hundred sorties 
were flown. Attacks were pressed on the troop billeting 
areas, transportation facilities, supply areas and gun po- 
sitions throughout the Hwanghae Province. Many rail 
cuts were inflicted on the main supply routes and a number 
of railcars, bridges and trenches were destroyed. At- 
tacks were also made on particularly troublesome gun po- 
sitions. Attacks on enemy troop concentrations resulted in 
the destruction of numerous buildings. Many troop cas- 
ualties were also inflicted. After the armistice became 
eflfective planes of this unit engaged in reconnaissance 
and shipping surveillance flights. 

United Nations Command surface units operating off 
the west coast of Korea continued to enforce the blockade 
of that coast south of latitude thirty-nine degrees and 
thirty-five minutes north to prevent ingress or egress, 
mining, or supply and reinforcement by sea. In addition 
these forces successfully defended friendly-held islands ; 
supported friendly guerrilla activities and destroyed mili- 
tary installations and other worthwhile targets of oppor- 
tunity. Coastal communications, troop concentrations, 
gun positions and other coastal targets were harassed 
almost daily by gunfire. 

After the cease fire the major task of west coast surface 
vessels became the expeditious evacuation of personnel 
and equipment from coastal islands in accordance with 
paragraph 1.3b of the Armistice Agreement. 

Coastal areas, anchorages and channels were maintained 
free of mines by daily minesweeping operations and check 
sweeps by United Nations Command minesweepers. 

Patrol planes flew one hundred fifteen scheduled mis- 
sions during the sixteen day period. These planes con- 
tinued to support the United Nations Command effort 
in Korea by conducting daily shipping surveillance, anti- 
submarine and weather reconnaissance missions over the 
waters surrounding Korea. 

In order to implement the exchange of prisoners in 
accordance with the armistice agreements United Nations 
Command surface units were directed to begin the lifts 
of Prisoners of War from the various camps to Inchon. 
Three ships loaded with 2400 prisoners of war arrived at 
Inchon on 30 July. 

United Nations Command naval auxiliary vessels and 
transports provided personnel lifts and logi.stic support 
for the United Nations Command forces in Korea. 

The last month of the Korean War witnessed a con- 
certed effort against enemy airfields on the part of the 
United Nations Command Air Forces as the Communists 
intensified their repair and utilization of these installa- 
tions. By maintaining close surveillance of the major 
fields, it was possible to immediately attack those that 
showed signs of increa.sed activity. Post-strike and sur- 
veillance photography, accomplished on 27 July of thirty 
fields, revealed that none were serviceable for jet aircraft 
and that only Uiju possessed any aircraft which could 
be considered serviceable. At this installation photog- 
raphy showed eight possible serviceable aircraft in addi- 
tion to nine possibly unserviceable (or dummy) aircraft. 
Therefore, the C'oiumunists are now legally denied the 
asset of a major offensive Air Force in North Korea during 
the period of the armistice, just as they were forcefully 
denied this capability throughout the Korean War, by the 

Department of State Bulletin 



air superiority displayed by United Nations Command air 
power. 

Tlie enemy made several last minute limited attacks to 
acquire advantageous vantage points along the front line. 
These thrusts were countered by air bombardments as 
fighter bomber, light bomber and medium bomber air- 
craft dumped tons of ordnance on Communist positions. 

Throughout the period the Sabrejets provided escort 
and swept the northwest sector of Korea free of MIGs 
in order that the fighter bombers could attack their as- 
signed ground targets without fear of Communist air at- 
tack. In this role the Sabrejets destroyed twenty MIGs, 
probably destroyed two, and damaged eleven. During the 
hours of darkness United Nations Command night fighter 
aircraft took over the counter air operations, providing 
escort for the B-29s and intercepting aircraft of unknown 
identity as detected by friendly ground radar screens. 

Fighter bombers of the United Nations Command, while 
engaged in airfield neutralization and close support opera- 
tions, still found time to maintain pressure upon the 
enemy's transportation system and supply centers. Al- 
though the period was marked by several days of non- 
operational weather, every advantage was taken of the 
opportunities presented whenever the skies cleared or the 
overcast lifted to permit visual attacks against the enemy's 
logistical network. Approximately two thousand sorties 
were flown on interdiction and armed reconnaissance op- 
erations as compared with over three thousand sorties 
devoted to close support. These attacks resulted in the 
destruction of buildings, vehicles, bridges, railcars, 
grounded enemy aircraft, suppl.v stacks, personnel shelters, 
a locomotive, an ammunition dump, and several gun posi- 
tions. In addition, rails and roads were cut and troop 
casualties were inflicted. Runways were cratered or 
enemy aircraft attacked at Pyongyang Main, I'yonggang, 
Uiju, Taechon, Sinui.1u Northeast, Sinuiju, Saamcham, 
Pyong-ni, Namsi, Kangdong, Chunggangjin, Ongjin, and 
Kanggye Number One airfields. 

Light bombers devoted the major portion of their effort 
to the close support role. Of almost one thousand sorties 
flown by these aircraft, approximately two thirds were in 
close support of friendly ground forces and the remainder 
were directed on armed reconnaissance and interdiction 
missions. As in the past the majority of the effort took 
Ijlace during the hours of darkness. Weather and bomb- 
ing methods precluded an assessment of the complete 
results of these aircraft. 

United Nations Command Superforts accomplished a 
major airfield neutralization program and were successful 
in reducing all their assigned runway targets to an un- 
tenable state. Over half of the two hundred plus sorties 
completed by the Superforts during the twelve days period 
were devoted to the airfield program. The runways at 
Uiju, Sinuiju, Namsi, Taechon, Pyong-ni, Pyongyang Bast, 
Pyongyang Main and Saamcham airfields took several 
poundings, and as of 27 July were left in a severely 
cratered condition. Photography of 19 July revealed that 
the Communists had slipped forty-three MIG-15s into 
North Korea and parked them in revetments at Uiju 
airfield. Medium bomber strikes were immediately di- 
rected against the runway to trap the MIGs and a sub- 
sequent strike against the revetted aircraft. These two 
missions, accomplished on the nights of 20 and 21 July 
were successful in cratering the runway and possibly 
destroying .several of the revetted aircraft. 

Medium bombers also performed eighty sorties expend- 
ing about 720 tons of high explosive bombs on Communist 
front line positions in close support of United Nations 
Command ground forces. Three large scale missions were 
accomplished in this phase of operation on the nights of 
16, 17 and IS July when twenty-three, twenty-three and 
twenty-four sorties respectively, were effective. 

The distribution of psychological warfare leaflets took 
a back seat during the airfield neutralization program as 
almost the entire effort was required to accomplish this 
priority mission. However, a total of eight medium 
bomber leaflet sorties were flown during the twelve day 



period, four of these on the night of 26 July. These latter 
four sorties distributed "Operation Wind-up" leaflets 
throughout North Korea, designed to create demands by 
the Communist fighting men upon their leaders to be 
released from service now that the war was about over. 

Other targets attacked by the Superforts were the Hong- 
won marshalling yard and the Taewo-ri supply area. 

Combat cargo aircraft flew normal logistical airlift of 
supplies, equipment and personnel in support of United 
Nations Command operations in Korea. 

In late July l'J53, President Eisenhower directed that 
distribution of about 10,000 tons of food he made to the 
people of Korea, as a practical expression of the sincere 
sympathy which the people of the United States feel for 
the Koreans, and as a token of United States appreciation 
for their valiant struggle against Communist aggression. 
Food was obtained from reserve United States military 
food stocks in Korea and Japan. Distribution was begun 
in Pusan on 29 July 1953, in Seoul on 30 July, and in 
Taegu and Taejon on 31 July. Every person in the 
Republic of Korea is eligible to receive a food gift under 
this program. 

The United States Government authorized an initial 
expenditure of $200 million for economic aid to the Repub- 
lic of Korea,* to be undertaken immediately, in addition 
to the existing co-ordinated United Nations Command- 
United Nations Korean Reconstruction Agency program. 
This authorization resulted from the report and recom- 
mendations made to the President in July 1953 by Dr. 
Henry J. Tasca who, as Special Representative of the 
President for Korean Economic Affairs, conducted a sur- 
vey in Korea on ways and means of strengthening the 
Korean economy.' 



Agreement Reached on Program 
for Strengthening Korean Economy 

Following is the text of an agreement signed at 
Seoul, Korea, on December H: 

COMBINED ECONOMIC BOARD AGREEMENT FOR A 
PROGRAM OF ECONOMIC RECONSTRUCTION AND 
FINANCIAL STABILIZATION 

A Program of economic reconstruction and financial 
stabilization shall be designed to make a maximum con- 
tribution towards expanding and strengthening the 
Korean economy. The Unc member of the Combined 
Economic Board is impressed with the needs of the Korean 
economy. Assuming, as both members of the Combined 
Economic Board confidently expect, the full cooperation 
which has characterized the association of the Republic 
of Korea and the United States of America, both in this 
recovery program and in all other relationships, and pro- 
vided also that the need for funds can be justified, the 
Unc member, on his part, pledges his best efforts to obtain 
such aid funds as are required for the achievement of the 
basic objectives of this program. The ROK member of 
the Combined Economic Board, on his part, pledges his 
best efforts to cause the maximum amount of Korean 
funds to be used in support of the common undertaking 
to achieve reconstruction and rehabilitation of the Korean 
economy. 

As in all the relations between the Repiiblic of Korea 
and the United States of America, the program will be 
carried out with full mutual respect for sovereign rights. 



*For the mes.sage of the President to the Congress re- 
questing the authorization, see Bthxetin of Aug. 10, 1953, 
p. 193. 

' For a summary of Dr. Tasca's report, see ihid., Sept. 7, 
1953, p. 313. 



January H, 7 954 



65 



within the limits of funds available, the Combined Eco- 
nomic Board will endeavor to ensure that obligations are 
made as expeditiously as possible and that the procure- 
ment, actual arrival, and distribution of goods are ex- 
pedited as much as possible. 

In order to raise the planned Investment in the pro- 
gram to the highest level consistent with financial stability, 
all endeavors will be made to keep the deficit in the KOK 
war account budget, which Is due to the heavy defense 
expenditures, at a minimum through careful screening of 
expenditures and the adoption of measures designed to 
Increase tax and other revenues, and to reduce the relief 
element in the aid program. Investments will be pro- 
grammed in such a manner that, due regard having been 
given to the Importance of selecting essential Investment, 
all efforts will be made for the maximum feasible share 
of the total cost to be borne by funds derived from such 
current Income, profits, and savings as are available in 
accordance with Annex A. 

The Government of the Republic of Korea has estab- 
lished the ofiielal exchange rate of ISO hwan per US 
dollar. The Government of the Republic of Korea and 
the Government of the United States of America have 
agreed to cooperate fully within the framework of the 
economic reconstruction and financial stabilization pro- 
gram, to prevent further inflation and to create stable 
economic and financial conditions in Korea. 

Counterpart deposits at a rate of ISO hwan per US 
dollar will be made by the Government of the Republic 
of Korea for all aid goods and services which arrive on or 
after August 2S, 19.53. An amount not exceeding 5 per- 
cent of the amount cumulatively deposited, except as tlie 
Combined Economic Board may approve a higher per- 
centage, shall be relea.sed from the counterpart account for 
local expenses of the UN/US organizations administering 
tlie aid program. The remainder of the counterpart fund 
■will be administered by the Combined Economic Board 
with a view of covering eligible expenditure items in the 
ROK war account budget and for such other purposes as 
may be agreed. It is understood that decisions concern- 
ing the use of that part of the counterpart fund which is 
generated by UNKRA-financed imports will be subject 
to the approval of the agent general of Unkra. 

The Government of the Republic of Korea has decided 
to limit tlie expansion of credit granted by the Bank of 
Korea and the commercial banks to an annual amount of 
hwan 5 billion, except for credit granted for the pur- 
pose of making counterpart deposits and credit extended 
from the counterpart fund. It is presently estimated that 
the total credit expansion which can take place through 
the banking system without endangering financial economic 
stability would be at the rate of hwan 11 billion in the 
coming twelve months. This magnitude of credit ex- 
pansion together with the utilization of Korean and aid 
funds is designed to make possible an increased level of 
industrial recovery and reconstruction and at the same 
time to preserve essential financial stability. 

Mutually satisfactory procurement arrangements now 
being developed will be instituted and announced shortly. 
These will include suitable arrangements to enable en- 
terprises to utilize FoA funds for the purpose of acquir- 
ing necessary plant, materials and machines. 

The pricing of aid goods and services offered for sale In 
Korea shall be directed at maximizing collections from 
these sales in accordance with the principles set forth in 
Annex B. 

All funds collected from the sale of aid goods that arrive 
on or after August 28, 1953 will be deposited in a col- 
lection account with the exception of those amounts needed 
for meeting the cost of internal distribution of such goods. 
The collection account will be used to reduce the indebted- 
ness of the Government of the Republic of Korea to the 
Bank of Korea and for such other purposes as may be 
agreed upon. 

This program will be carried out by skillful and vigor- 
ous action as the actual course of developments unfolds. 
Flexibility in administering the program will be com- 



bined with the firm resolution to achieve the goals of the 
program. Prior to the actual initiation of the programmed 
projects, the Combined Economic Board will determine 
whether they retain their original economic usefulness 
and financial feasibility in the light of subsequent de- 
velopments. 

The quantitative implications of the program are now 
being developed. 

The Economic Coordination Agreement of 1952' and 
the Economic Aid Agreement of 1948 shall be amended 
in accordance with Annex C.'' 

Signed in duplicate original this fourteenth day of De- 
cember, 1953, at Seoul, Korea. 

C. Tyler Wood, Unc Economic Coordinator. 
Paik Too Chin, Prime Minister, Republic of Korea. 



Annex A 

FINANCING THE INVESTMENT PROGRAM 

1. The Ceb is agreed that the greatest possible portion of 
the total cost of programmed Investment shall be con- 
tributed by enterprises from their own funds or savings 
rather than from credit. This policy principle is a re- 
quirement of the investment program in order to ensure 
its consistency with the attainment of financial stabiliza- 
tion during the current program period. 

2. In order to attain this objective, it is agreed that 
in the assignment of individual investment projects pref- 
erence will be given to enterprises which are able to con- 
tribute the largest share of the total iiroject costs from 
their own funds or savings. As a general rule no enter- 
prise will be eligible for assignment of a new investment 
project within the program unless it can provide an agreed 
minimum proportion of the total cost of the project from 
savings. 

3. The Ceb shall, on the basis of recommendations of 
the appropriate Ceb committees, devise detailed pro- 
cedures for implementing these principles and review 
the progress of financing the investment program. It is 
agreed that significant shortfalls in the proportion of 
savings obtained for financing the investment program 
will require adjustment in the volume of Investment goods 
imported under the program in order to maintain balance 
with other elements of the financial stabilization program. 



Annex B 

FORMULATION OF PRICING POLICY 

1. The Combined Economic Board shall accept as a 
basic principle in formulation of pricing policy the desir- 
ability of moving as rapidly as feasible in the direction of 
price determination through the operation of free market 
forces. 

2. Aid goods from all sources which are offered for sale 
in Korea shall be sold at prices approximating those of 
similar items in the free market, but not less than prices 
reflecting the hwan value of the dollar landed cost con- 
verted at the established exchange rate plus all costs of 
internal distribution. As exceptions the Combined Econo- 
mic Board may in its dLscretion temporarily permit prices 
of certain aid goods to reflect less than the commensurate 
hwan value of the dollar landed cost converted at the 
established exchange rate, where such action will con- 
tribute to the achievement of important program objec- 
tives. It is understood that, whenever deemed necessary, 
aid goods may be sold by auction sale. 

3. In all cases, the internal distribution costs of im- 
ported aid goods, except of those distributed free as relief 



' For text, see Bulletin of Sept. 29, 1952, p. 499. 
' Annex C is not printed. 



66 



Department of State Bulletin 



goods, ■will be borne by the ultimate consumer as an ele- 
ment of the price he pays, additional to the element of 
the price representing the converted dollar landed cost. 
The proceeds of the sale of aid goods less costs of internal 
distribution shall be deposited in the collection account, 
which shall be used for reducing the indebtedness of the 
Government of the Republic of Korea to the Bank of 
Korea and for such other purposes as may be agreed upon. 
The hwan costs of distributing aid goods as relief may be 
financed within the ROK budget by authorized releases 
from the counterpart fund. 

4. The Combined Economic Board, on the basis of recom- 
mendations submitted by the appropriate committees, shall 
establish accounting and other procedures to assure at- 
tainment of these objectives. It is agreed that significant 
shortfalls in collections will require review of the invest- 
ment program in light of the attainment of financial 
stabilization. 

5. The Combined Economic Board shall accept as a 
primary objective the reduction and ultimate elimination 
at the earliest feasible date of exceptions agreed to under 
the provisions of paragraph 2 above, and shall instruct the 
appropriate Combined Economic Board committees to 
study and make recommendations designed to attain this 
objective. 



Current U. N. Documents: 
A Selected Bibliography^ 



CSeneral Assembly 

Narcotic Drugs. Assumption by Organs of the United 
Nations of Functions and Responsibilities Assigned to 
Them under the Terms of the Protocol for Limiting 
and Regulating the Cultivation of the Poppy Plant, 
the Production of. International and Wholesale Trade 
in, and Use of Opium, 1953, and of the Financial Bur- 
dens Resulting Therefrom. Report of the Secretary- 
General. A/2516, Oct. 19, 1953. 4 pp. mimeo. 

Transfer to the United Nations of Functions and Powers 
Exercised by the League of Nations Under tlie Slavery 
Convention of 25 September 1926: Draft Protocol 
Prepared by the Secretary-General. Report of the 
Sixth Committee. A/2517, Oct. 19, 1953. 8 pp. 
mimeo. 

Expanded Programme of Technical Assistance for the 
Economic Development of Under-Developed Coun- 
tries. Technical Assistance in Public Administration. 
Report of the Second Committee. A/2519, Oct. 20, 
1953. 12 pp. mimeo. 

Admission of New Members. Report of the Ad Hoc 
Political Committee. A/2520, Oct. 20, 1953. 5 pp. 
mimeo. 

Budget Estimates for the Financial Year 1954. Revised 
estimates for sections 3, 10, 11, 20 and 23. Eighth 
report of the Advisory Committee on Administrative 



' Printed materials may be secured in the United States 
from the International Documents Service, Columbia Uni- 
versity Press, 2960 Broadway, New York 27, N. Y. Other 
materials (mimeographed or processed documents) may 
te consulted at certain designated libraries in the United 
States. 

The United Nations Secretariat has established an Of- 
ficial Records series for the General Assembly, the Se- 
curity Council, the Economic and Social Council, the 
Trusteeship Council, and the Disarmament Commission, 
which includes summaries of proceedings, resolutions, and 
reports of the various commissions and committees. In- 
formation on securing subscriptions to the series may be 
obtained from the International Documents Service. 



and Budgetary Questions to the eighth session of the 
General Assembly. A/2522, Oct. 20, 1953. 9 pp. 
mimeo. 

Work of the Office of the United Nations High Commis- 
sioner for Refugees. Report of the Third Committee. 
A/2523, Oct. 21, 1953. 6 pp. mimeo. 

The Question of Morocco. Report of the First Committee. 
Ai2526, Oct. 22, 1953. 5 pp. mimeo. 

Narcotic Drugs. Assumption by Organs of the United 
Nations of Functions and Responsibilities Assigned 
to Them Under the Terms of the Protocol for Limit- 
ing and Regulating the Cultivation of the Poppy 
Plant, the Production of. International and Whole- 
sale Trade In, and Use of Opium, 1953, and of 
the Financial Burdens Resulting Therefrom. Elev- 
enth report of the Advisory Committee on Adminis- 
trative and Budgetary Questions to the eighth session 
of the General Assembly. A/2529, Oct. 26, 1953. 
3 pp. mimeo. 

The Tunisian Question. Report of the First Committee. 
A/2530, Oct. 28, 1953. 6 pp. mimeo. 

Treatment of People of Indian Origin in the Union of 
South Africa: Report of the United Nations Good 
Offices Commission. Report of the Ad Hoc Political 
Committee. A/2532, Oct. 30, 1953. 7 pp. mimeo. 

Supplementai-y Estimates for the Financial Year 1953. 
Report of the Secretary-General. A/2534, Nov. 2, 
1953. 10 pp. mimeo. 

Headquarters of the United Nations. Report of the Sec- 
retary-General. A/2544, Nov. 5, 1953. 5 pp. mimeo. 

Election of a Member of the International Court of Jus- 
tice To Fill the Vacancy Caused by the Resignation 
of Judge Sergei Aleksandrovich Golunsky. List of 
candidates nominated by national groups. Note by 
the Secretary-General. A/2521, S/3127. Oct. 27, 1953. 
17 pp. mimeo. 

Question of a Change in the Opening Date of Regular 
Sessions of the General Assembly. Twentieth report 
of the Advisory Committee on Administrative and 
Budgetary Questions to the eighth session of the Gen- 
eral Assembly. A/2553, Nov. 9, 1953. 4 pp. mimeo. 

Organization of the Secretariat. Report of the Secretary- 
General. A/2.'i54, Nov. 12, 1953. 11 pp. mimeo. 

Personnel Policy of the United Nations. Twenty-first re- 
port of the Advisory Committee on Administrative 
and Budgetary Questions to the eighth se.ssion of the 
General Assembly. A/2555. Nov. 14, 1953. 11 pp. 
mimeo. 

Information from Non-Self-Governing Territories. Re- 
port of the Fourth Committee. A/2556, Nov. 17, 1953. 
56 pp. mimeo. 

Publication of Documents Concerning the Drafting and 
Application of the Charter. Preparatory Work With 
Regard to the Possible Holding of a General Con- 
ference of the Members of the United Nations in 
Accordance with Article 109 of the Charter. Amend- 
ment of the Charter: Election of a Technical Com- 
mittee To Study and Report on the Amendment of the 
Charter on the Basis of Proposals To Be Submitted 
by Member States. Report of the Sixth Committee. 
A/2559, Nov. 19, 1953. 14 pp. mimeo. 

Regulation, Limitation and Balanced Reduction of All 
Armed Forces and All Armaments: Report of the 
Disarmament Commission. Report of the First Com- 
mittee. A/2562, Nov. 20, 1953. 10 pp. mimeo. 

Expanded Programme of Technical Assistance for the 
Economic Development of Under-Developed Coun- 
tries : Report of the Economic and Social Council 
(Agenda item 27). Technical Assistance in Public 
Administration (Agenda item 61). Draft Report of 
the Second Committee. A/C.2/L.203. Oct. 13, 1953. 
12 pp. mimeo. 

Publication of Documents Concerning the Drafting and 
Application of the Charter ; Preparatory Work With 
Regard to the Possible Holding of a General Con- 
ference of the Members of the United Nations in 



January 11, 1954 



67 



Accordance with Article 109 of the Charter. Memo- 
randum by the Secretary-General. A/C.6/343, Oct. 
16, 1953. 24 pp. mimeo. 

Appointment of a Negotiating Committee for Extra-Budg- 
etary Funds. Resolution adopted by the General 
Assembly at its 451st plenary meeting on 5 October 
1953. A'/Kesolution/lOS, Oct. 6, 1953. 1 p. mimeo. 

Measures To Limit the Duration of Regular Sessions of 
the General Assembly: Report of the Special Com- 
mittee. Text of the draft resolution adopted by the 
Committee at its 366th meeting on 6 October, 1953. 
A/C./L. 298, Oct. 7, 1953. 2 pp. mimeo. 

Appointments To Fill Vacancies in the Membership of 
Subsidiary Bodies of the General Assembly. Advisory 
Committee on Administrative and Budgetary Ques- 
tions. Report of the Fifth Committee. A/C.5/L. 
249. Oct. 2S, 1953. 2 pp. mimeo. 

Resolution of the Plenipotentiary Conference of the Inter- 
national Telecommunication Union. Buenos Aires 
19.53. Note by the Secretary-General. A/INF/57, 
Oct. 28, 1953. 2 pp. mimeo. 

Draft Final Act of tlie Fourth United Nations Technical 
Assistance Conference. A/CONF.5/3, Oct. 30, 1953. 
4 pp. mimeo. 

Complaint by the Union of Burma Regarding Aggression 
Against it by the Government of the Republic of 
ciiina : Report of the Government of the Union of 
Burma. Letter dated 28 October 1953 from the 
Chairman of the Delegation of Burma addressed to 
the Secretary-General. A/C.1/L.70. Oct. 29, 1953. 
16 pp. mimeo. 

Scale of Assessment for the Apportionment of the Ex- 
penses of the United Nations : Report of the Com- 
mittee on Contributions. Report of the Fifth Com- 
mittee. A/C.5/L.254, Nov. 18, 1953. 12 pp. mimeo. 

Personnel Policy: Reports of the Secretary-General and 
of the Advi.sory Committee on Administrative and 
Budgetary Questions. Statement by the Secretary- 
General before the Fifth Committee IS Novemlier 
1953. A/C.5/563, Nov. IS, 1953. 5 pp. mimeo. 

Report of the International Law Commission Covering the 
Work of its Fifth Session. Statement made by Mr. 
J. A. P. Francois, Chairman of the International Law 
Commission, at the 3S7th meeting of the Sixth Com- 
mittee, held on 17 November 19.53. A/C.6/L/320, Nov. 
20, 1953. 10 pp. mimeo. 

Economic Development of Under-Developed Countries. 
Status of the proposal for the establishment of an 
international finance corporation : report of the Eco- 
nomic and Social Council. Report of the Working 
Group. A/C.2/L/213, Nov. 20, 19.53. 4 pp. mimeo. 

Information from Non-Self-Governing Territories. Draft 
report of the Fourth Committee. A/C.4/L.278, Oct. 
30, 1953. 31 pp. mimeo. 

Complaint by the Union of Burma Regarding Aggression 
Against it by the Government of the Republic of 
China : Report of the Government of the Union of 
Burma. Letter dated 20 October 1953 from the Chair- 
man of the Delegation of China addressed to the 
Secretary-General. A/C.1/L.69, Oct. 28, 19.53. 4 pp. 
mimeo. 



Economic and Social Council 

Fifteenth Report of the Administrative Committee on 
Coordination to the Economic and Social Council. 
E/2512, Oct. 26, 1953. 26 pp. mimeo. 

Basic Programme of the Economic and Social Council 
for 1954. Note by the Secretary-General. E/2513. 
Oct. 29, 1953. 10 pp. mimeo. 

World Calendar Reform. Communication dated 28 Oc- 
tober from the Permanent Representative of India to 
the United Nations to the Secretary-General. E/2514, 
Oct. 30, 1953. 4 pp. mimeo. 

Activities of the United Nations In the Fields of Preven- 



tion of Discrimination and Protection of Minorities. 
Memorandum by the Secretary-General. E/CN.4/ 
Sub.2/151, Nov. 11, 1953. 21 pp. mimeo. 

Questionnaire on the Tax Ti'eatment of Foreign Nationals, 
Assets and Transactions. Reply of the Government 
of Pakistan. E/CN.8/46/Add.3, Nov. 13, 1953. 22 
pp. mimeo. 

Economic Commission for Europe. Report of the Elev- 
enth Session of the Timlier Committee held in Rome 
from 5 to 12 October 1953. E/ECE/TIM/46, Oct. 28, 
1953. 29 pp. mimeo. 

Economic Commission for Asia and the Far East. Com- 
mittee on Industry and Trade Mining Development In 
Asia and the Far East, 1052-19.53. Report by the 
Executive Secretary. E/CN.11/I&T/87, Oct. 27, 1953. 
82 pp. mimeo. 

Economic Commission for Asia and the Far East. Com- 
mittee on Industry and Trade. Activities Relating to 
Trade Promotion. Report by the Executive Secretary. 
E/CN.11/I&T/93, Oct. 19, 1953. 18 pp. mimeo. 

Procedures Available for the Review of Initial Tax As- 
sessments. Additional Reply of the Government of 
the Republic of China. E/CN.8/59/Add.6/Part II, 
Oct. 20, 1953. 14 pp. mimeo. 

Commission on Human Rights. Development of the 
Work of the United Nations for Wider Observance 
of, and Respect for, Human Rights and Fundamental 
Freedoms Throughout the World ; and Annual Re- 
ports on Human Rights. Comments of Member 
States received by the Secretary-General under Eco- 
nomic and Social Council resolution 501 C (XVI) : 
Burma. E/CN.4/690/Add.5, Oct. 23, 1953. 2 pp. 
mimeo. 

Economic Commission for Latin America. Secretariat 
Paper. A Summary of Preliminary Study of the 
Possibilities for the Development of the Pulp and 
Paper Industry in Latin America. E/CN.12/294, 
Apr. 6, 1953. 24 pp. mimeo. 

Economic Commission for Latin America. Secretariat 
Paper. A Summary of Taxation in Capital-Export- 
ing and Capital-Importing Countries of Foreign Pri- 
vate Investment in Latin America. Vol. 1 : United 
States Income Taxation of Private United States In- 
vestment in Latin America. ST/ECA/18 (E/CN.12/ 
298), Mar. 20, 1953. 13 pp. mimeo. 

Economic Commission for Latin America. A Summary 
of tlie Study on the Economic Development of Ecua- 
dor. E/CN.12/295. Apr. 9, 19.53. 30 pp. mimeo. 

Economic Commission for Asia and the Far. East. Com- 
mittee on Industry and Trade. Report of the Work- 
ing Party on Small-Seale Industries and Handicraft 
Marketing (Third Meeting) to the Committee on 
Industry and Trade (Sixth Session). E/CN.ll/I&T/ 
90, Oct. 7, 1953. 32 pp. mimeo. 

Technical Assistance Committee. Technical Assistance 
for Economic Development. Expanded Programme 
of Technical Assistance for the Economic Develop- 
ment of Under-Developed Countries. Agreements — 
September 1953. E/TAC/R.72, Oct. 15, 1953. 7 pp. 
mimeo. 

Technical Assistance Committee. Technical Assistance 
for Economic Development. Expanded Programme 
of Technical Assistance for the Economic Developn 
ment of Under-Developed Countries. Requests — 
September 1953. E/TAC/R.71, Oct. 15, 1953. 7 pp. 
mimeo. 
Questionnaire on the Tax Treatment of Foreign Na- 
tionals, Assets and Transactions. Additional Reply 
of the Government of India. E/CN.8/46/Add. 
26/Part II. Oct. 14, 1953. 5 pp. mimeo. 

Local Costs To Be Borne by Governments. Communica- 
tion from the Executive Chairman of the Technical 
Assistance Board. Note by the Secretary-GeneraL 
E/TAC/17, Oct. 6, 1953. 5 pp- mimeo. 

Technical Assistance for Economic Development. Bx- 



68 



Departmenf of Sfafe Bulletin 



panded Programme of Technical Assistance for the 
Economic Development of Under-Developed Countries. 
Requests August 1953. E/TAC/R.70, Oct. 9, 1953. 
6 pp. mimeo. 



Commission on German Debts with the personal 
rank of Ambassador. 

Sincerely yours, 

John Foster Dulles 



Trusteeship Council 

Report of the Government of the United Kingdom of 
Great Britain and Northern Ireland on the Adminis- 
tration of Tamianyika for the Year 1952. Note by the 
Secretary-General. T/1083, Sept. 28, 1953. 1 p. 
mimeo. 



Mr. Pierson to Secretary Dulles 



THE FOREIGN SERVICE 



Resignation of Ambassador 
Warren Lee Pierson 

Press release 679 dated December 29 

Following is an exchange of correspondence be- 
tween Secretary Dulles and Warren Lee Pierson 
upon the completion of Mr. Pierson's work as 
United States delegate to the Tripartite Commis- 
sion on German Debts: 

Secretary Dulles to Mr. Pierson 

December 23, 1953 

My Dear Mr. Pierson : 

I have your letter of November 20, 1953 wherein 
you submit your resignation as the United States 
Delegate to the Tripartite Commission on German 
Debts, the work of which was concluded success- 
fully upon the entry into force on September 16, 
1953 of a series of intergovernmental agreements 
designed to settle Germany's external debts. 

When you were called upon to serve on the Tri- 
partite Commission on German Debts it was not 
expected that you would be required to devote so 
much time and effort to the work of the Commis- 
sion. As the negotiations progressed, however, 
conflicting interests arose and numerous problems 
of a very complex nature developed. The fact that 
settlement arrangements were finally worked out 
which are satisfactory to all parties at interest and 
which have reasonalile prospects of fulfillment, 
may be regarded as a truly remarkable achieve- 
ment and a tribute to your able leadership of the 
United States Delegation. The successful settle- 
ment of this problem is a major step forward in the 
attainment of our political objectives in Europe. 

In view of the fact that tlie work of the Com- 
mission has been completed, I accept your resigna- 
tion as United States Delegate to the Tripartite 



November 20, 1953 

The Honorable 

The Secretary of State 

Sir: 

I have the honor to submit herewith my resig- 
nation as United States Delegate to the Tripartite 
Commission on German Debts with the personal 
rank of Ambassador, to which I was appointed 
on June 16, 1951.^ 

The Tripartite Commission on German Debts 
was established by the Governments of the Ee- 

eublic of France, the United Kingdom of Great 
■ritain and Northern Ireland and the United 
States of America in order to work out a general 
agreement for the settlement of German external 
debts. 

The Commission held preliminary discussions 
in June and July 1951 with representatives of 
the Government of the Federal Republic of Ger- 
many and with representatives from some of the 
principal creditor countries. 

In December 1951 the Commission reached a 
decision with the German Government on terms 
for the settlement of claims of the three Govern- 
ments for post-war economic aid furnished to 
Germany.^ 

The Commission then summoned a general con- 
ference which assembled in February 1952 at Lon- 
don to consider a settlement of Germany's pre-war 
debts. Over 25 creditor countries were repre- 
sented at the Conference and representatives of 
private creditor groups also participated. In spite 
of the great complexity of the problems which 
faced the Conference and the number of interests 
which had to be reconciled, a report was adopted 
in August 1952 which received the unanimous 
agreement of all the creditor interests involved.* 

Thereafter a series of agreements were drawn 
up based upon the recommendations of the Lon- 
don Conference, which I signed on behalf of the 
United States Government at London on February 
27, 1953.'' The Agreements were submitted to the 
United States Senate for its advice and consent 
for ratification. 

I participated in the hearings before the Senate 
Foreign Relations Committee in June 1953. The 



' Bulletin of July 2, 1951, p. 35. 
' lUd., Dec. 24, 1951, p. 1021. 
' Ibid., Aug. 18, 1952, p. 2.52. 

'' For an announcement of the signing, see ihid.. Mar. 9, 
1953, p. 373. 



January 17, 7954 



69 



Agreements received Senate approval shortly 
thereafter. The necessary formalities having been 
completed, the Agreements entered into effect on 
September 16, 1953.= Within a brief time, as an 
auspicious beginning, the Federal Kepublic ot 
Germany deposited about $17 million as the initial 
payment on obligations owed to this Government 
and to the holders of German dollar obligations m 
accordance with the terms of the agreements.^ 

The assignment was a challenging one, and it 
is a source of gi'eat personal satisfaction to me 
that it proved possible to find a solution to the 
problem of the German external debt which ap- 
pears to have reasonable prospects of fulfillment. 
I consider that the task which was assigned to me 
has been completed. I wish to express my appre- 
ciation for the support which was given me by the 
Department and the members of my staff. 
Sincerely yours, 

Warren Lee PrERSON 

Security Council Again 
Postpones Trieste Discussion 

Statement hy James J. Wadsioorth 
Deputy U.S. Representative to the U.N:' 

n.S./U.N. press release dated December 14 

The Council has met on three occasions during 
the past 21/2 months under this item, with the 

' lUd., Sept. 28, 1953, p. 419 ; Oct. 12, 1953, p. 479. 
• lUd., Nov. 2, 1953, p. 598. 



result each time that considerations outside the 
direct purview of this Council have indicated the 
advisability of postponement. During this period, 
we are pleased to note, there has been a considerable 
decrease in the tension which has at times charac- 
terized the relations in this area. 

A very notable example of the relaxation of 
tension is the withdrawal of troops by both sides. 
Other significant measures have likewise con- 
tributed to the relaxation of tension. 

The members of the Security Council are aware, 
of course, that diplomatic discussions have been 
underway for some time to find a peaceful solution 
for the present difficulties with regard to the prob- 
lem of Trieste. It is the firm belief of the United 
States Government that no useful purpose would 
be served by a further consideration of the Trieste 
item in the Security Council at this time. Discus- 
sions looking toward the means for achieving a 
peaceful solution are of course continuing. We 
are hopeful that fruitful results will be achieved. 

For these reasons, Mr. President, I move that 
the Council decide at this time to postpone further 
consideration of the Trieste item pending the out- 
come of the current efforts to find a solution for 
this important matter.* 



' Made In the Security Council on Dec. 14. 
" Tlie Council voted on Dec. 14 to postpone further con- 
sideration indefinitely. 



70 



Deparfmenf of Sfafe Bu//efi*n 



January 11, 1954 



Index 



Vol. XXX, No. 759 



American Principles. Mindszenty Case Remains Before 

(World's Conscience 47 

American Republics. Mutual Economic Progress In the 

Americas (Cabot) 48 

Asia. China in the Shadow of Communism (McConaughy). 39 

Canada. Limitation Placed on Oats Imports 06 

China. China in the Shadow of Communism (Mc- 
Conaughy) 39 

Economic Affairs 

Agreement Reached on Program for Strengthening Korean 

Economy (text of agreement) 65 

Credit Extended to Japan for Purchase of Cotton .... 57 

Extension of Migrant Labor Agreement With Mexico ... 53 

Limitation Placed on Oats Imports (proclamation) .... 56 

Mutual Economic I'rogress in the Americas (Cabot) .... 48 

Official Termination of International Materials Conl^erence . 60 

Tariff Arrangement With Uruguay (proclamation) .... 53 
U.S. Continues Efforts Toward Return of Lend-Lease 

Vessels by U.S.S.R 44 

Foreign Service. Resignation of Ambassador Warren Lee 

I'ierson 69 

France. Election of President of French Republic 47 

Haiti. Commemoration of Haiti's 150 Years of Independ- 
ence (Dulles) 53 

Bnngary. Mindszenty Case Remains Before World's Con- 
science 47 

International Information. U.S. Bans Publications of Ru- 

uianiau Legation 47 

International Orgranizations and Meetings 

Agreement Reached on Date for Four-Power Meeting 

(texts of notes) 43 

Appointments to U.S. National Commission for UNESCO . 00 

Official Termination of International Materials Conference . 60 

Israel. Issues Involved in Syrian Complaint (Lodge) 

(text of re.solution) 5S 

Japan. Credit Extended to Japan for Purchase of Cotton . 57 

Jordan. Agreement Providing for Wheat Shipments to 

Jordan (texts of notes) 55 

Korea 

Agreement Reached on Program for Strengthening Korean 

Economy (text of agreement) 65 

Withdrawal of Two U.S. Divisions From Korea 42 

Laos. Viet Minh Penetration of Laos (Dulles) 43 

Mexico. Extension of Migrant Labor Agreement With 

Mexico 53 

Military Affairs 

Command Report (74th) ©1 

Withdrawal of Two U.S. Divisions From Korea 42 

Mutual Security 

Agreement Providing for Wheat Shipments to Jordan 

(texts of notes) 55 

Agreement Reached on Program for Strengthening Korean 

Economy (te.xt of agreement) 65 

Presidential Documents 

Limitation Placed on Oats Imports (proclamation) 56 

Tariff Arrangement With Uruguay (proclamation) .... 53 



Rumania. U.S. Bans Publications of Rumanian Legation . 47 

Syria. Issues Involved in Syrian Complaint (Lodge) 

(text of resolution) 58 

Treaty Information 

Agreement Providing for Wheat Shipments to Jordan 

(texts of notes) 55 

Agreement Reached on Program for Strengthening Korean 

Economy (text of agreement) 65 

Extension of Migrant Labor Agreement With Mexico ... 53 

Tariff Arrangement With Uruguay (proclamation) .... 53 

Trieste. Security Council Again Postpones Trieste Dis- 
cussion (Wadsworth) TO 

Union of Soviet Socialist Republics 

Agreement Reached on Date for Four-Power Meeting 

(texts of notes) 43 

U.S. Continues Efforts Toward Return of Lend-Lease 

Vessels by U.S.S.R 44 

United Nations 

Appointments to U.S. National Commission for UNESCO . 60 
Issues Involved in Syrian Complaint (Lodge) (text of 

resolution) 58 

Justice Halpern To Serve on U.N. Minorities Sub- 
commission 59 

Security Council .\gain Postpones Trieste Discussion ... 70 

U.N. Command Report (74th) 61 

U.N. Documents 67 

Uruguay. Tariff Arrangement With Uruguay (procla- 
mation) 53 

Name Index 

Cabot, John M 48 

Coty, RenS 47 

Dulles, Secretary 42, 43, 45, 47, 53, 69 

Eisenhower, President 47, 53, 56 

Halpern, Philip 59 

Lodge, Henry Cabot, Jr 58 

McConaughy, Walter P 39 

Mindszenty, Cardinal 47 

Pierson, Warren Lee 69 

Shuster, George ' ' 60 

Smith, Walter Bedell '. '. 46 

Wadsworth, James J . . 70 

Zaroubin, (Jeorgl N 45 



Check List of Department of State 
Press Releases: December 28-January 3 

Releases may be obtained from the News Division, 
Department of State, Washington 25, D. C. 

Press releases issued prior to December 28 which 
appear in this issue of the Bulletin are Nos. 600 
of October 30, 662 of December 16, and 665 of Decem- 
ber 21. 

No. Date Subject 

676 12/28 Correspondence on lend-lease. 

677 12/29 Dulles : Reduction of troops in Korea. 

678 12/29 Dulles : Viet Minh penetration. 

679 12/29 Resignation of Warren L. Pierson. 

680 12/31 Ban on Rumanian publications. 

681 12/31 Migrant labor agreement extended. 

682 12/31 Anniversary of Haiti's independence. 
1 1/1 Tripartite note to U. S. S. R. 



KNOW YOUR FOREIGN POLICY 




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Vol. XXX, No. 760 
January 18, 1954 




VieNT o«> 




*"ATE3 O* 



THE STATE OF THE UNION • Excerpts from President 

Eisenhoicer's Message to the Congress . 75 



U.N. COMMAND DEFINES POSITION ON NONRE- 

PATRIATED WAR PRISONERS 90 



A SURVEY OF THE ARAB REFUGEE SITUATION . 95 



TELECOMMUNICATIONS POLICY AND THE DE- 
PARTMENT OF STATE • Article by Richard T. Black . 83 



For index see inside back cover 



Boston Public Li'-rary 
Superintendent of Documents 

FEB 2 3 1954 



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January 18, 1954 



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The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of the 
Government with information on 
developments in the field of foreign 
relations and on the tvork of the 
Department of State and the Foreign 
Service. The BULLETIN includes 
selected press releases on foreign 
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The State of the Union 



Message of the President to the Congress {ExcerptsY 



Mr. President, Mr. Speaker., Members of the 
Eighty-third Congress: 

It is a high honor again to present to the Con- 
gress my views on the state of the Union and to 
recommend measures to advance the security, pros- 
perity, and well-being of the American people. 

All branches of this Government — and I ven- 
ture to say both of our great parties — can support 
the general objective of the recommendations I 
make today, for that objective is the building of 
a stronger America. A Nation whose every citi- 
zen has good reason for bold hope; where effort 
is rewarded and prosperity is shared ; where free- 
dom expands and peace is secure — that is what I 
mean by a stronger America. 

Toward this objective a real momentum has been 
developed. We mean to continue that momentum 
and to increase it. We mean to build a better 
future for this Nation. 

Much for which we may be thankful has hap- 
pened during the past year. 

First of all we are deeply grateful that our sons 
no longer die on the distant mountains of Korea. 
Although they are still called from our homes 
to military service, they are no longer called to 
the field of battle. 

The Nation has just completed the most pros- 
perous year in its history. The damaging effect 
of inflation on the wages, pensions, salaries, and 
savings of us all has been brought under control. 
Taxes have begun to go down. The cost of our 
Government has been reduced and its work pro- 
ceeds with some 183,000 fewer emjiloyees ; thus the 
discouraging trend of modern governments to- 
ward their own limitless expansion has in our case 

^Delivered on Jan. 7 (H. doc. 251, 83d Cong., 2d sess.). 
Also available as Department of State publication 5344. 



been reversed. The cost of armaments becomes 
less oppressive as we near our defense goals; yet 
we are militarily stronger every day. During the 
year, creation of the new Cabinet Department of 
Health, Education, and Welfare symbolized the 
Government's permanent concern with the human 
problems of our citizens. 

Segregation in the armed forces and other Fed- 
eral activities is on the way out. We have also 
made progress toward its abolition in the District 
of Columbia. These are steps in the continuing 
effort to eliminate interracial difficulty. 

Some developments beyond our shores have been 
equally encouraging. Communist aggression, 
halted in Korea, continues to meet in Indochina 
the vigorous resistance of France and of the As- 
sociated States, assisted by timely aid from our 
country. In West Germany, in Iran, and in other 
areas of the world, heartening political victories 
have been won by the forces of stability and free- 
dom. Slowly but surely, the free world gathers 
strength. Meanwhile, from behind the Iron Cur- 
tain, there are signs that tyranny is in trouble 
and reminders that its structure is as brittle as 
its surface is hard. 

There has been in fact a great strategic change 
in the world during the past year. That precious 
intangible, the initiative, is becoming ours. Our 
policy, not limited to mere reaction against crises 
provoked by others, is free to develop along lines 
of our choice not only abroad but at home. As a 
major theme for American policy during the com- 
ing year, let our joint determination be to hold 
this initiative and to use it. 

We shall use this initiative to promote three 
broad purposes: First, to protect the freedom of 
our people ; second, to maintain a strong, growing 



ianuary 18, 1954 



75 



economy ; third, to concern ourselves with the hu- 
man problems of the individual citizen. 

Only by real progi-ess toward attainment of 
these purposes can we be sure that we are on the 
road to a better and a stronger America. All my 
recommendations today are in furtherance of these 
three purposes. 

Foreign Affairs 

Because our position as a sovereign nation in re- 
lationship to other sovereign nations overshadows 
and influences every other problem to which this 
Government falls heir, it is appropriate that I 
should start my specific discussions with the sub- 
ject of foreign affairs. 

American freedom is threatened so long as the 
world Communist conspiracy exists in its present 
scope, power, and hostility. More closely than 
ever before, American freedom is interlocked with 
the freedom of other people. 

In the unity of the free world lies our best 
cliance to reduce the Communist threat without 
war. In the task of maintaining this unity and 
strengthening all its parts, the greatest responsi- 
bility falls to those who, like ourselves, retain the 
most freedom and the most strength. 

We shall, therefore, continue to advance the 
cause of freedom on foreign fronts. 

In the Far East, we retain our vital interest in 
Korea. We have negotiated with the Republic of 
Korea a mutual security pact which develops our 
security system for the Pacific. I shall promptly 
submit it to the Senate for its consent to ratifica- 
tion. We are prepared to meet any renewal of 
armed aggression in Korea. 

We shall maintain indefinitely our bases in 
Okinawa. I shall ask the Congress to authorize 
continued material assistance to hasten the success- 
ful conclusion of the struggle in Indochina. This 
assistance will also bring closer the day when the 
Associated States may enjoy the independence 
already assured by France. We shall continue 
military and economic aid to the Nationalist Gov- 
ernment of China. 

In South Asia, profound changes are taking 
place in free nations which are demonstrating their 
ability to progress through democratic methods. 
They provide an inspiring contrast to the dictato- 
rial methods and backward course of events in 
Communist China. In these continuing efforts, 



the free peoples of South Asia can be assured of 
the support of the United States. 

In the Middle East, where tensions and serious 
problems exist, we will show sympathetic and 
impartial friendship. 

In Western Europe our policy rests firmly on 
the North Atlantic Treaty. It will remain so based 
as far ahead as we can see. Within its organiza- 
tion, the building of a united European commu- 
nity, including France and Germany, is vital to a 
free and self-reliant Europe. 

This will be promoted by the European Defense 
Community, which offers assurance of European 
security. With the coming of unity to Western 
Europe, the assistance this Nation can render for 
the security of Europe and for the entire free 
world will be multiplied in effectiveness. 

In the Western Hemisphere, we shall continue 
to develop harmonious and mutually beneficial co- 
operation with our neighbors. Indeed, solid 
friendship with all our American neighbors is a 
cornerstone of our entire policy. 

In the world as a whole, the United Nations, 
admittedly still in a state of evolution, means much 
to the United States. It has given uniquely valu- 
able services in many places where violence threat- 
ened. It is the only real world forum where yt& 
have the opportunity for international presenta- 
tion and rebuttal. 

It is a place where the nations of the world can, 
if they have the will, take collective action for 
peace and justice. It is a place where the guilt 
can be squarely assigned to those who fail to take 
all necessary steps to keep the peace. The United 
Nations deserves our continued and firm support. 

Foreign Assistance and Trade 

Now, in the practical application of our foreign 
policy, we enter the field of foreign assistance and 
trade. 

Military assistance must be continued. Tech- 
nical assistance must be maintained. Economic 
assistance can be reduced. However, our economic 
programs in Korea and in a few other critical 
places of the world are especially important, and 
I shall ask Congress to continue support in these 
particular spots in the next fiscal year. 

The forthcoming budget message will propose 
maintenance of the presidential power of transfer- 
ability of all assistance funds and will ask author- 
ity to merge these funds with the regular defense 



76 



Department of State Bulletin 



funds. It will also propose that the Secretary of 
Defense have primary responsibility for the ad- 
ministration of foreign military assistance in 
accordance with the policy guidance provided by 
the Secretary of State. 

The fact that we can now reduce our foreign 
economic assistance in many areas is gratifying 
evidence that its objectives are being achieved. 
By continuing to surpass her prewar levels of eco- 
nomic activity, Western Europe gains self-reli- 
ance. Thus our relationship enters a new phase 
which can bring results beneficial to our taxpayers 
and our allies alike, if still another st«p is taken. 

This step is the creation of a healthier and freer 
system of trade and payments within the free 
world — a system in which our allies can earn their 
own way and our economy can continue to flourish. 
The free world can no longer afford the kinds of 
arbitrary restraints on trade that have continued 
ever since the war. 

On this problem I shall submit to the Congi-ess 
detailed recommendations, after our joint Com- 
mission on Foreign Economic Policy has made its 
report. 

Atomic Energy Proposal 

As we maintain our military strength during the 
coming year and draw closer the bonds with our 
allies, we shall be in an improved position to dis- 
cuss outstanding issues with the Soviet Union. 
Indeed we shall be glad to do so whenever there is 
a reasonable prospect of constructive results. 

In this spirit the atomic energy proposals of the 
United States were recently presented to the 
United Nations General Assembly.- A truly con- 
structive Soviet reaction will make possible a new 
start toward an era of peace and away from the 
fatal road toward atomic war. 

Defense 

Since our hope for all the world is peace, we owe 
ourselves and the world a candid explanation of 
the military measures we are taking to make that 
peace secure. 

As we enter this new year, our military power 
continues to grow. This power is for our own 
defense and to deter aggression. We shall not be 
aggressors, but we and our allies have and will 
maintain a massive capability to strike back. 

' Bulletin of Dee. 21, 1953, p. 847. 



Here are some of the considerations in our de- 
fense planning: 

First, while determined to use atomic power to 
serve the usages of peace, we take into full account 
our gi'eat and gi-owing niunber of nuclear weapons 
and the most effective means of using them against 
an aggressor if they are needed to preserve our 
freedom. 

Our defense, therefore, will be stronger if, 
under appropriate security safeguards, we share 
with our allies certain knowledge of the tactical 
use of our nuclear weapons. I urge the Congress 
to provide the needed authority. 

Second, the usefulness of these new weapons 
creates new relationships between men and mate- 
rials. These new. relationships permit economies 
in the use of men as we build forces suited to our 
situation in the world today. As will be seen 
from the budget message on January 21, the air 
power of our Navy and Air Force is receiving 
heavy emphasis. 

Third, our armed forces must regain mobility 
of action. Our strategic reserves must be cen- 
trally placed and readily deployable to meet sud- 
den aggression against ourselves and our allies. 

Fourth, our defense must rest on trained man- 
power and its most economical and mobile use. 
A professional corps is the heart of any security 
organization. It is necessarily the teacher and 
leader of those who serve temporarily in the dis- 
charge of the obligation to help defend the Re- 
public. Pay alone will not retain in the career 
service of our armed forces the necessary numbers 
of long-term and able personnel. I strongly urge, 
therefore, a more generous use of traditional bene- 
fits important to service morale. Among these are 
adequate living quai'ters and family housing units, 
and medical care for dependents. 

Studies of military manpower have just been 
completed by the National Security Training 
Commission and a committee appointed by the 
Director of the Office of Defense Mobilization. 
Evident weaknesses exist in the state of readiness 
and organization of our reserve forces. Measures 
to correct these weaknesses will be later submitted 
to the Congress. 

Fifth, the ability to convert swiftly from par- 
tial to all-out mobilization is imperative to our 
security. For the first time, mobilization officials 
know what are the requirements for 1,000 major 
items needed for military uses. 

These data, now being related to civilian re- 



January 18, 1954 



77 



quirements and our supply potential, will show us 
the gaps in our mobilization base. Thus we shall 
have more realistic plant expansion and stock- 
piling goals. We shall speed their attainment. 
This Nation is at last to have an up-to-date mobili- 
zation base — the foundation of a sound defense 
program. 

Another jDart of this foundation is, of coui'se, 
our continental transport system. Some of our 
vital heavy materials come increasingly from 
Canada. Indeed our relations with Canada, hap- 
pily always close, involve more and more the un- 
breakable ties of strategic interdependence. Both 
nations now need the St. Lawrence Seaway for 
security as well as for economic reasons. I urge 
the Congress promptly to approve our participa- 
tion in its construction. 

Sixth, military and nonmilitary measures for 
continental defense are being strengthened. In 
the current fiscal year we are allocating to these 
purposes an increasing portion of our effort, and 
in the next fiscal year we shall spend nearly a 
billion dollars more for them than in 1953. 

An indispensable part of our continental secu- 
rity is our civil defense effort. This will succeed 
only as we have the complete cooperation of State 
governors, city mayors, and voluntary citizen 
groups. With their help we can advance a co- 
operative program wliich, if an attack should 
come, would save many lives and lessen 
destruction. 

The defense program recommended in the 1955 
budget is consistent with all the considerations 
that I have just discussed. It is based on a new 
military program unanimously recommended by 
the Joint Chiefs of Staff and approved by me 
following consideration by the National Security 
Coimcil. This new program will make and keep 
Ajnerica strong in an age of peril. Nothing should 
bar its attainment. 

The international and defense policies which I 
have outlined will enable us to negotiate from a 
position of strength as we hold our resolute course 
toward a peaceful world. We turn now to mat- 
ters which are more definitely domestic m 
character, though well realizing that our situation 
abroad affects every phase of our daily lives — 
from the amount of taxes to our very state of mind. 

Internal Security 

Under the standards established by the new 
employee security prograni, more than 2,200 em- 



ployees have been separated from the Federal Gov- 
ernment. Our national security demands that the 
investigation of new employees and the evaluation 
of derogatory information respecting present em- 
ployees be expedited and concluded at the earliest 
possible date. I shall recommend that the Con- 
gress provide additional funds where necessary to 
speed these important procedures. 

From the special employment standards of the 
Federal Government I turn now to a matter re- 
lating to American citizenship. The subversive 
character of the Communist Party in the United 
States has been clearly demonstrated in many 
ways, including court proceedings. We should 
recognize by law a fact that is plain to all tliought- 
ful citizens — that we are dealing here with actions 
akin to treason, that when a citizen Imowingly par- 
ticipates in the Communist conspiracy he no longer 
holds allegiance to the United States. 

I recommend that Congress enact legislation 
to provide that a citizen of the United States who 
is convicted in the courts of hereafter conspiring 
to advocate the overthrow of this Government by 
force or violence be treated as having, by such act, 
renounced his allegiance to the United States and 
forfeited his United States citizenship. 

In addition, the Attorney General will soon ap- 
pear before your committees to present his recom- 
mendations for needed additional legal weapons 
with which to combat subversion in our country 
and to deal with the question of claimed immunity. 

Strong Economy 

I turn now to the second great purpose of our 
Government: Along with the protection of free- 
dom, the maintenance of a strong and growing 
economy. 

The American economy is one of the wonders 
of the world. It undergirds our international po- 
sition, our military security, and the standard of 
living of every citizen. This administration is 
determined to keep our economy strong and to 
keep it growing. 

At this moment, we are in transition from a 
wartime to a peacetime economy. I am confident 
that we can complete this transition without seri- 
ous interruption in our economic growth. But 
we shall not leave this vital matter to chance. 
Economic pre^jaredness is fully as important to the 
Nation as military preparedness. 

Subsequent special messages and the economic 
report on January 28 will set forth economic plans 



78 



Department of Sfafe Bulletin 



of the administration and its recommendations 
for congressional action. These will include flex- 
ible credit and debt management policies; tax 
measures to stimulate consumer and business 
spending; suitable lending, guaranteeing, insur- 
ing, and grant-in-aid activities ; strengthened old 
age and unemployment insurance measures; im- 
proved agricultural programs ; public works plans 
laid well in advance; enlarged opportunities for 
international trade and investment. This enu- 
meration of these subjects only faintly hints the 
vast amount of study, coordination, and planning, 
to say nothing of authorizing legislation, that 
all together will make our economic preparedness 
complete. 

If new conditions arise that require additional 
administrative or legislative action, the adminis- 
tration will still be ready. A government always 
ready to take well-timed and vigorous action, and 
a business community willing, as ours is, to plan 
boldly and with confidence, can between them de- 
velop a climate assuring steady economic growth. 



self to remain strong in all those ways — spiritual, 
economic, military — that will give us maximiun 
safety against the possibility of aggressive action 
by others. 

No government can inoculate its people against 
the fatal materialism that plagues our age. Hap- 
pily, our people, though blessed with more mate- 
rial goods than any people in history, have always 
reserved their first allegiance to the kingdom of 
the spirit, which is the true source of that free- 
dom we value above all material things. 

But, ladies and gentlemen of the Congress, a 
government can try, as ours tries, to sense the 
deepest aspirations of the people and to express 
them in political action at home and abroad. So 
long as action and aspiration humbly and earn- 
estly seek favor in the sight of the Almighty, 
there is no end to America's forward road ; there 
is no obstacle on it she will not surmount in her 
march toward a lasting peace in a free and pros- 
perous world. 



Conclusion 

I want to add a final word about the general 
purport of these many recommendations, which 
are not in any sense exclusive. Others will from 
time to time be submitted to the Congress. 

Our Government's powers are wisely limited by 
the Constitution ; but quite apart from those limi- 
tations there are things which no government can 
do or should try to do. 

A government can strive, as ours is striving, to 
maintain an economic system whose doors are open 
to enterprise and ambition — those personal qual- 
ities on which economic growth largely depends. 
But enterprise and ambition are qualities which 
no government can supply. Fortunately no Amer- 
ican government need concern itself on this score ; 
our people have these qualities in good measure. 

A government can sincerely strive for peace, as 
ours is striving, and ask its people to make sacri- 
fices for the sake of peace. But no government 
can place peace in the hearts of foreign rulers. 
So it is our duty to ourselves and to freedom it- 



Foreign Policy Conference 
Held at White House 

Statement hy James G. Hagerty 
Press Secretary to the President 

White House press release dated January 5 

At the invitation of the President a conference 
of the legislative leaders of both parties was held 
at the Wliite House on January 5. 

At the conference the Secretary of State pre- 
sented a summary by areas of world conditions and 
the effect those conditions will have on the foreign 
policy of the United States. 

The Director of the Foreign Operations Admin- 
istration then summarized the work of his agency, 
particularly as it will deal with the request for 
foreign military, economic, and technical assist- 
ance which the administration will make at this 
session of the Congress. 

Finally, the Secretary of Defense outlined the 
defense plans of the administration including a 
recitation of the general steps by which the pro- 
gram is to be carried out. 

A general discussion and exchange of views was 
held thereafter on these three presentations. 



January 18, T954 



79 



Reply From U.S.S.R. on 
Atomic Energy Proposal 

Following are the texts of a statement made to 
correspondents on January 6 hy Henry Suydam, 
Chief of the News Division, and a statement 
handed to Ambassador Charles E. Bohlen ly 
Soviet Foreign Minister V. M. Molotov o-n De- 
cember 21: 



STATEMENT BY MR. SUYDAM 

The State Department confirms that tlie Soviet 
Foreign Ministei-, Mr. [Vyacheslav M.] Molotov, 
has advised the U.S. Secretary of State through 
the U.S. Embassy at Moscow that the Soviet Gov- 
ernment is prepared to exchange views on pro- 
cedural questions concerning the forthcoming con- 
versations on the question of atomic energy at 
Washington through Ambassador [Georgi N.] 
Zaroubin. 

Secretary Dulles expects to proceed at an early 
date to have the procedural conversations which 
the Soviet Government has indicated would be 
acceptable to it. 

The foregoing involves the acceptance by the 
Soviet Union of a suggestion which Secretary 
Dulles had communicated to Foreign Minister 
Molotov. 



SOVIET GOVERNMENT'S 
STATEMENT OF DECEMBER 21 

[Unofficial traTislation] 

In his speech before the United Nations Genei'al Assem- 
bly on December 8/ President Eisenhower of the United 
States of America dwelt on the problem of the atomic 
arms race. 

With good reason, the United States President empha- 
sized the danger for the peoples of the world of the situa- 
tion created if governments do not take measures against 
the atomic arms race. This is all tlie more correct now 
when, in addition to atomic weapons, there have already 
been created hydrogen weapons which greatly surpass the 
atomic in their power. One must also not forget such new 
types of armament as rocket weapons which current tech- 
nology permits to be used over thousands of kilometers 
without resort to airplanes, and also torpedoes with atomic 
warheads, et cetera. 

The discovery of the practical possibility of using atomic 
energy is the greatest achievement of contemporary sci- 
ence and technology. Both the possibility of using atomic 
energy for military purposes and the possibility of its use 
for peaceful purposes have been opened up. Up to recent 
times, attempts have been made for the most part to use 
atomic energy for the production of armaments. Mean- 
while, humanity is interested in having atomic energy 
used only for peaceful needs and in preventing the use of 
atomic energy for those jiurposes which are contrary to 
popular honor and conscience, like mass destruction of 
people and barbaric ruin of cities. 

Almost 30 years ago the governments of 49 states 

" BmxETiN of Dec. 21, 195.3, p. 847. 



reached an agreement and signed the Geneva Protocol of 
1925 regarding the prohibition of the use of chemical and 
bacteriological weapons, having recognized as a crime the 
use of such weapons of mass destruction of people. This 
agreement between governments, signed also by the Soviet 
Union in its turn, produced po.sitive results. 

Everyone knows that during the First World War there 
were widely used such weapons of mass destruction of 
people as suffocating and poLsonous gases and also other 
types of chemical weapons whose use has met with deci- 
sive popular condemnation. Even at that time there was 
also imminent the threat of the use of injurious bacterio- 
logical weapons serving the purpose of infecting peaceful 
inhabitants of cities with gravest illnesses, a situation 
with which the conscience of the great majority of people 
could not reconcile itself. This gave rise to the necessity 
for international agreement in the form of the above- 
mentioned Geneva Protocol which condemned and prohib- 
ited the use of chemical and bacteriological weapons 
in war. 

If it had not been for this Protocol, signed by 49 states 
although still not ratified by all states, it is completely 
obvious that there would liave existed no restraining 
factor whatsoever against the u.se of chemical and bacteri- 
ological weapons in the Second World War as well. The 
fact that in the Second World War not a single govern- 
ment decided to use chemical and bacteriological weapons 
shows that the above-mentioned agreement among states 
directed against chemical and bacteriological weapons had 
a favorable effect. At the same time it goes without say- 
ing that one must not belittle the fact that, taking their 
stand upon this international agreement, the states of the 
anti-Hitler coalition firmly announced that attempts by 
the enemy to use chemical weapons in war would be given 
a crushing repulse. 

The observations which have been made are also fully 
applicable to atomic and hydrogen weapons. It is known 
that the United Nations do not classify these weapons 
with conventional types of armament hut consider them 
as a special type of weapons, weapons of mass destruction. 

One can understand the fact that President Eisenhower, 
who is known as one of the outstanding military leaders 
in the last World War, has emphasized the destructive 
power of atomic weapons. It is also necessary to bear In 
mind that the significance of this problem is acquiring still 
greater force with the passage of time. 

It would be completely incomprehensible if states which 
have atomic or hydrogen weapons did not attach the requi- 
site significance to the question of prohibition of atomic 
and hydrogen weapons, like other types of weapons of 
mass destruction, or if they were to put off until some 
undetermined future time the achievement of international 
agreement on this question. Such an approach to this 
important and urgent problem could find no justification. 

The Soviet Union is consistently struggling for the pro- 
hibition of atomic weapons and. in addition, for the sig- 
nificant reduction of all other types of armaments. This 
corresponds with the policy of the Soviet Government 
which is directed toward the prevention of a new war 
and the strengthening of peace and cooperation among 
peoples. 

In his speech regarding atomic weapons on December 8, 
the President of the United States of America noted the 
great significance of the problem of easing international 
tension ami the creation of an atmosphere of mutual peace- 
ful trust. This is also in accordance with the views of the 
Soviet Government which unswervingly is striving to con- 
tribute to the lessening of tension in international rela- 
tions and to assure the strengthening of peace in the whole 
world. 

In order to achieve successes in this course, mutual 
efforts to remove factors interfering with the lessening of 
tension in international relations are necessary. As re- 
gards the Soviet Union, we are doing everything to con- 
centrate the labor of the Soviet people and our material 
resources on the solution of the new gigantic tasks of fur- 
ther raising the peaceful economy and the culture of the 
eountr.v and further to widen international economic co- 



80 



Deparfmenf of State Bulletin 



operation on the bases of equal rights and mutual advan- 
tage. The Soviet Union is one of those States which are 
striving toward the development of healthy trade and 
which decisively condemn the policy which lias discred- 
ited itself in this field of discrimination and pressure on 
economically dependent countries. The interests of the 
foreign policy of the Soviet Union do not demand the cre- 
ation of military blocs and alliances directed against any 
other states, nor does it demand the establishment of 
military bases on the territory of other states. The 
Soviet Union considers incompatible with normal rela- 
tions between states the policy which would mean support 
of diversionary subversive acts in other countries or 
financing of agents-saboteurs. Efforts to improve rela- 
tions between states should have led to mutual recognition 
of the.se principles which cannot contradict the national 
Interests of any state and which at the same time fully 
accord with the interests of strengthening peace and inter- 
national security. 

Specifically for this reason the Soviet Government con- 
siders so important not only the forthcoming conference 
in Berlin but also the conference of five powers with the 
participation of the Chinese People's Republic, since in 
present circumstances only the joint efforts of all great 
powers together with the efforts of other states can 
assure the lessening of tension in the whole international 
.situation and appropriate solution of individual interna- 
tional problems which have come to a head. This also 
accords vyith the Charter of the United Nations under 
which special responsibility for preserving the peace and 
international security is laid on five states: the United 
States of America, England, France, the U. S. S. R. and 
China. In addition, it is completely evident that at the 
present time specifically the Chinese People's Republic 
should represent the gi-eat Chinese people in the United 
Nations. 

Wishing to assist in raising the role and authority of 
the United Nations in strengthening universal peace, it 
follows that one must display special pertinacity in bring- 
ing together the positions of the five great powers on the 
question of cutting short the race in atomic and all other 
armaments. Any step toward agreement between these 
powers both regarding the removal of the danger of the 
use of atomic or hydrogen weapons and regarding the 
cutting short of the armaments race in general would 
undoubtedly be unanimously supported by all tlie United 
Nations. Above all, there are present in this course im- 
portant possibilities for lessening tension in the interna- 
tional situation and for the strengthening of peace. 

Having stated his opinion concerning the significance of 
atomic weapons. President Eisenhower spoke of the de- 
sirability of holding appropriate confidential or diplomatic 
conversations among interested states. 

In addition, President Eisenhower advanced the pro- 
posal that appropriate states should immediately begin to 
transfer and in the future continue to transfer for the use 
for peaceful purposes "from their stockpiles of normal 
uranium and fissionable materials to an international 
atomic energy agency" which would be under the auspices 
of the United Nations. In this proposal, in addition, it is 
indicated that this international atomic energy agency 
"could be made responsible for the impounding, storage 
and protection of the contributed fissionable and other 
material." 

It is necessary to examine the significance of this 
proposal. 

First, this proposal means that from existing and newly 
created reserves of atomic materials it is proposed to allot 
for peaceful purposes only a "certain" small part. From 
this it follows that the principal mass of atomic materials 
will as before be directed toward the production of new 
atomic and hydrogen bombs and that there will remain 
the full possibility of further stockpiling atomic weapons 
and for the creation of new types of these weapons with 
still greater destructive force. Consequently, this pro- 
posal in its present form in no way ties the hands of the 
states which can produce atomic and hydrogen weapons. 

Secondly, the proposal of President Eisenhower in no 



way limits the very possibility of using atomic weapons. 
Acceptance of this proposal in no way limits an aggressor 
in using atomic weapons for any purposes and at any time. 
Consequently this proposal in no measure lessens the 
danger of atomic attacli. 

Thus, one must conclude that in its present form the 
proposal advanced by the United States neither stops the 
growing production of atomic weapons nor limits the pos- 
sibility of using these weapons. In evaluating the actual 
significance of the proposal in question, one cannot but 
take this into account. 

This proposal would have other significance if it pro- 
ceeded from the recognition of the necessity for the pro- 
hibition of atomic weapons, which are weapons of aggres- 
sion. But in the speech of the President of the United 
States of America, there is no reference to the necessity 
for the prohibition of atomic weapons. The question of 
prohibiting atomic weapons is passed over in this speech 
despite the fact that President Ei.senhower emphasizes the 
special danger of atomic weapons which exists for the 
peoples of the entire world in the present atomic age. 

The question arises as to whether one can speak of the 
necessity of lessening international tension and at the 
same time pass over the problem of outlawing atomic 
weapons. To this question, there cannot be two different 
an.swers. All who are striving for the lessening of ten- 
sion in international relations and for the strengthening 
of i)eace cannot but demand that governments achieve the 
most rapid and positive solution of this problem. 

It is well known that the anxiety felt by peoples is 
principally connected with the possibility of the outbreak 
of atomic war, the danger of which it is impossible to 
remove without the prohibition of atomic weapons. From 
the very beginning of its existence this has been recog- 
nized by the United Nations which has spoken of the neces- 
sity of the prohibition of atomic weapons. 

No one can deny the difl3culties involved in solving this 
task. However, it cannot be said that the United Nations 
and primarily those states particularly concerned have 
made sufficient effort to reach international agreement on 
the question of j)rohibiting atomic weapons and establish- 
ing effective international control for enforcing this pro- 
hibition. Therefore, it would not be possible to explain 
to peace-loving peoples a situation in which the solution of 
this question was further delayed, or if this question were 
passed by despite its extreme acuteness at this time. 

That is why the Soviet Government, as before, considers 
that the unconditional prohibition of atomic and hydrogen 
weapons and other weapons of mass destruction as well 
as simultaneous establishment of strict international 
supervision over this prohibition is a most important and 
urgent problem. All peace-loving peoples are interested 
in the speediest solution of this problem. 

If all this means that only a small part of atomic 
material will be used for peaceful purposes but that the 
principal mass of these materials, the quantity of which 
is growing ceaselessl.v, will be used for the production of 
increasingly destructive atomic weapons, then the danger 
of atomic warfare is in no way lessened. This can .serve 
to weaken the people's vigilance with regard to the problem 
of atomic weapons but cannot contribute to reduction of 
the real danger of atomic warfare. 

If an agreement between states means that only a cer- 
tain small part of atomic materials is to be allocated for 
peaceful purposes, while the production of atomic weap- 
ons will continue to be limited by nothing, then such an 
international agreement would, in fact, give direct ap- 
proval to the production of atomic weapons. Interna- 
tional approval of the production of atomic weapons 
would well suit aggressive forces. Such a situation not 
only would not make easier achievement of agreement on 
prohibition of atomic weapons but, on the contrary, would 
also be a new barrier to the achievement of the afore- 
mentioned agreement. 

Since we are striving to strengthen the peace, neither 
the weakening of vigilance with regard to the danger of 
atomic warfare nor international approval of production 
of atomic weapons can have a place among our objectives. 



January 18, 1954 



81 



For this very reason, it is necessary to recognize that the 
aim of all peace-loving states is not restricted to alloca- 
tion of some small part of atomic materials for peaceful 
purposes. It is essential that not a certain part, but the 
entire mass of atomic materials be used wholly for peace- 
ful purposes which might open unprecedented possibilities 
for the development of industry, agriculture, and trans- 
port, for the application of very valuable atomic discov- 
eries in medicine, for the improvement of techniques in all 
areas where applied, and for further and greater scien- 
tific progress. Consequently, one should also take into 
account the fact that the prohibition of atomic and hydro- 
gen weapons and the use of all atomic materials for the 
peaceful needs of the people, taken together with proper 
concern for the needs of economically weaker areas, would 
at the same time facilitate the possibility of obtaining 
agreement on the question of decisive reduction in con- 
ventional armaments. This, in turn, would lead to a 
tremendous alleviation of the tax burden which people are 
bearing in connection with the existence in many states 
of swollen armies, air forces, navies, i. e., in connection 
with the armament race which is continuing at present. 

All this requires recognition of the necessity for the 
prohibition of atomic weapons together with the establish- 
ment of international supervision over enforcement of 
this prohibition and unconditional renunciation of the 
use of this weapon. Therefore, the Soviet Government 
will continue to insist upon the urgency of reaching an 
appropriate international agreement on this question. 

As for the declaration of President Eisenhower con- 
cerning (fcnfldential or diplomatic conversations in regard 
to the proposal made by him, the Soviet Government un- 
swervingly following its peace-loving policy expresses its 
readiness to take part in these conversations. The Soviet 
Government has always attached great importance to 
direct conversations between governments with a view to 
reaching mutually acceptable agreements on questions in 
dispute in the interest of the strengthening of universal 
peace. 

In this connection the Soviet Government expects that 
the Government of the United States in conformity with 
its declaration will give the necessary clarification inas- 
much as the proposal of the United States in its substan- 
tive parts contains unclear elements and does not envisage 
the necessity of the prohibition of atomic weapons nor 
envisage either renunciation of u.se of this weapon. The 
Soviet Government is deeply convinced that humanity 
must and can be spared the horrors of atomic war. Spe- 
cial responsibility in the decision of this task rests on 
those governments which already possess the power of 
the atomic weapon. Insofar as the Soviet Union is con- 
cerned its position is completely clear. It consists in 
turning the great discovery of the human mind not against 
civilization but for its all around progress, not to the mass 
destruction of peoples but to peaceful needs, for totally 
assuring the raising of the wellbeing of the population. 

The Soviet Government proceeds from the fact that dur- 
ing the course of these discussions there will be examined 
simultaneously the following proposal of the Soviet 
Government : 

States parties to the agreement, motivated by a desire 
to reduce international tension, take upon themselves 
the solemn and unconditional obligation not to use the 
atomic, hydrogen, or other weapon of mass destruction. 
The achievement of an international agreement on this 
question could be an important step on the road to the 
full withdrawal from the armaments of states of atomic, 
hydrogen and other forms of weapons of mass destruction 
with the establishment of strict international control 
guaranteeing the execution of the agreement for prohibi- 
tion of the use of atomic energy for military purposes. 
The Soviet Union, imbued with deep concern for the pro- 
tection of humanity against the death-dealing atomic and 
hydrogen weapons, will do everything in its power to the 
end that this weapon will never be turned against people. 



Facing the New Year 
With Confidence 

Statement hy Secretary Dulles ^ 

As we look ahead, we can have confidence that 
the next year will make peace and justice more 
secure. During the year that ends, we have already 
made great progress and our society of freedom 
has gained in moral initiative over the forces of 
reaction. 

In Korea the fighting is ended, and we can look 
forward to 1954 being the first year of peace in 
Korea since 1949. 

In the realm of atomic weapons. President 
Eisenhower's great address before the United 
Nations has brought the Soviet Union to agree to 
take part in talks which may mean a recession of 
the horror of atomic warfare. 

The unnatural and dangerous division of Europe 
created by the Soviet occupations will, it seems, 
now be discussed by the Soviet Union despite its 
efforts over past months to evade this topic. 

The unification of Europe becomes at long last 
a possibility. When, as we expect, this great goal 
is achieved, then there will be strength and vigor 
in this home of Western civilization such as it has 
never known before. 

The problems ahead are many and difficult. As 
we approach them we should all pray for divine 
guidance. With that we can have confidence that 
next year will indeed be a Happy New Year. 



U.S. Aid to Italy 

Press release 4 dated January 6 

In response to press inquiries as to assistance to 
Italy, the Deparhnent issued the following state- 
ment on January 6: 

A substantial program of offshore procurement, 
which will involve production and employment 
in Italy, and a limited follow-through program 
of economic aid including agricultural exports 
under section 550,^ is under active study in the 
administration. This has been the subject of con- 
sultations with Ambassador Luce; with Henry 
Tasca, Director of U.S. Operations Mission in 
Italy; and the Chief of the Military Assistance 
Advisory Group in Italy, General Christianson, 
during their sessions here in Washington. 

Preliminary discussions have also been held 
with tlie Government of Italy. It is anticipated 
that a mutually satisfactory conclusion will be 
reached. 



^ Broadcast over ABC radio on Jan. 3. 
- For the text of sec. 5.50 of the Mutual Security Act of 
1953, see Bulletin of Nov. 9, 1953, p. 639. 



82 



Department of State Bulletin 



Telecommunications Policy and the Department of State 



hy Richard T. Black 



A moment's reflection will serve to reveal the 
extent of man's reliance upon the means for a rapid 
exchange of intelligence. In little more than a 
century the crude novelties of Morse, Marconi, and 
Bell have become everyday necessities. In the 
United States life would be imthinkable for mil- 
lions of citizens without the telephone. One or 
more radio receivers are fixtures in almost every 
home and, as a result of its phenomenal popular 
acceptance, television is no longer a phenomenon 
but a commonplace. Less commonly recognized 
is the staggering demand imposed upon our com- 
munications system by the operations of business, 
industry, and government. 

Enormous investments have been made by pri- 
vate industry and by the U. S. Government to 
meet the need for international communications 
alone. Foreign trade would occupy a much less 
significant position in our economy were it not 
for the easy access to adequate communications 
facilities enjoyed by commercial interests. In these 
crucial times the same facilities are indispensable 
to the Government in maintaining almost instan- 
taneous contact with its listening posts abroad. 
It is axiomatic that military communications are 
of the most vital importance, and as an adjunct 
to the cold war the dissemination of information 
through broadcasting and other telecommunica- 
tions ^ services is hardly less significant. The de- 
pendence of the press and newsgathering agencies 
upon overseas communications is so obvious as 
scarcely to deserve mention. The standards of 
safety achieved by ocean vessels and more par- 
ticularly by civil and military aircraft would be 
impossible in the absence of modern electronic 
communications and navigational devices. 

No clear distinction can be made between na- 
tional and international communications. At the 
present stage of technical development, the radio- 
frequency spectrum is a limited resource incapable 



' In annex 2 of the International Telecommunication 
Convention (Atlantic City, 1947) "telecommunication" is 
defined as any transmission, emission, or reception of 
signs, signals, writing, images and sounds, or intelligence 
of any nature by wire, radio, visual, or other electro- 
magnetic systems. 



of satisfying the claims of all potential users. Nor 
can electro-magnetic radio waves be confined with- 
in national borders. They travel freely across the 
earth, interfering with other, similar waves when 
not controlled by international agreement. The 
continued expansion of radio, wire, and cable fa- 
cilities is necessarily accompanied by negotiations 
for their construction, maintenance, and use. 

In no field of scientific advance is the techno- 
logical shrinking of the world more apparent than 
in telecommunications ; in none is the need for co- 
operative leadership more pressing. Within the 
United States the limited resources of communica- 
tions are sought by a number of claimant agencies, 
each of whose needs must be evaluated and some- 
how met. The responsibility for this task is 
shared between the President, acting through vari- 
ous government agencies of the Executive branch, 
and the Congress, principally tlrrough the Federal 
Communications Commission. Wherever domes- 
tic requirements impinge upon the corresponding 
requirements of other countries, there must be a 
focal point for the coordination of interests. Un- 
der its overall responsibility for the conduct of 
foreign affairs, the Department of State, and with- 
in the Department the Telecommunications Policy 
Staff, is charged with this coordinating function. 
Internationally, the common meeting ground for 
the exposition and resolution of telecommimica- 
tions problems is found within the framework of 
the International Telecommunication Union, 
(Itu) a specialized agency of the United Nations. 

The International Telecommunication Union 
derives from the earlier International Telegraph 
Union, which was established in 18G5. The ear- 
liest of the international organizations boasting a 
continuously operating administrative structure, 
the Telegraph Union exerted a substantial influ- 
ence upon the structure of later organizations, 
notably the League of Nations. Although the 
original aims of the Union were modest, being 
primarily concerned with wire telegraphy on the 
European continent, the creation of such an organ- 
ization was indicative of the need for international 
cooperation in the orderly development of corn- 



January J 8, 7954 



83 



munications. With the emergence of radio the 
Union attracted worldwide participation. 

Prince Henry's Plight 

The first International Radio Conference was 
held at Berlin in 1903 as a result of difficulties 
experienced by Prince Henry of Prussia during 
his voyage home after a visit to the United States. 
His attempts to send a courtesy message to Presi- 
dent Theodore Eoosevelt were thwarted by the 
refusal of the British Marconi Company to trans- 
mit traffic from a ship station of its German com- 
petitor. When advised of this incident, the Gei*- 
man Emperor enlisted the support of President 
Roosevelt in efforts to reach an international 
agreement prohibiting the refusal by shore sta- 
tions of messages from ships at sea. 

The resulting protocol embodied this principle 
and others which remain the basic law of inter- 
national radio regulations to this day — notably, 
the recognition of priority for distress calls, the 
regulation of radio services to avoid interference 
between stations, and the exemption of military 
services from the radio regulations except for the 
provisions relating to distress calls and interfer- 
ence. Significant progi-ess was made in 1927 when 
the first international table of radio-frequency 
allocations was adopted. In spite of limitations 
imposed by established ship services in the high- 
frequency range and by the existence of many 
mixed service stations, a guide was thus formu- 
lated for policing the radio spectrum. The ad- 
ministrative consolidation of principles and regu- 
lations governing the operations of radio, tele- 
phone, and telegraph eventually was accomplished 
by the Madrid Telecommunications Convention of 
1932, at which time the Telegraph Union was sup- 
planted by the International Telecommunication 
Union. 

As new techniques were developed, higher fre- 
quency bands were opened up. Improved navi- 
gational aids, aeronautical communications, land 
mobile stations, television, and FM broadcast- 
ing services made their appearance or reached 
promising stages of development. The exigencies 
of World War II were met by great technical ad- 
vances and a consequent further increase in the 
demand for high frequencies. The resulting 
overcrowding of the high-frequency broadcasting 
bands created serious interference problems. 

To cope with the expanding services and the dis- 
order occasioned by the war, a further Interna- 
tional Telecommunication Conference was con- 
vened in 1947 at Atlantic City, N. J.^ Probably 
the most important single accomplishment of the 
conference was the general acceptance of a new 
frequency allocation table. By now, however, the 
structure of the Union itself was seriously inade- 

' For an article on the conference, see Butxetin of Nov. 
30, 1947, p. 103.'5. 



quate and a drastic reorganization was brought 
about by the new International Telecommunica- 
tion Convention. This convention established the 
Plenipotentiary Conference as the supreme organ 
of the International Telecommunication Union. 
The Plenipotentiary Conference normally meets 
once every 5 years; the first meeting was held in 
19,52 at Buenos Aires, where a slightly revised con- 
vention was signed.' 

The Atlantic City Convention made further 
jirovision for an Administrative Council which 
meets at least once a year to insure the continuity 
of functions between plenipotentiary conferences. 
Through the instrument of the Council the Union 
is able to deal promptly with problems of policy. 
The Bureau of the Union was reorganized into a 
General Secretariat with increased responsibili- 
ties, and the three permanent technical commit- 
tees, which conduct studies and issue recommenda- 
tions on technical, operating, and tariff questions, 
were brought into a closer relationship with the 
Union. These three committees are the Interna- 
tional Telegraph Consultative Committee, the 
International Telephone Consultative Committee, 
and the International Radio Consultative Com- 
mittee. Corresponding to their work and subordi- 
nate to the Convention are three sets of interna- 
tional technical regulations which provide a uni- 
form code of operations for the international tele- 
graph, telephone, and radio industries. The regu- 
lations are periodically revised at administrative 
conferences held every 5 years. 

A major innovation of the International Tele- 
communication Convention of 1947 was the crea- 
tion of an International Frequency Registration 
Board (Ifrb) of 11 members to give further 
impetus to the economic use of radio frequencies. 
The fundamental concept of such a board was em- 
bodied in United States proposals at Atlantic City. 
Although the Board as finally constituted differs 
in some aspects from that envisaged by the United 
States, it has shown promise of becoming an ex- 
ceedingly useful instrument in the resolution of 
international frequency problems. 



U.S. Leadership in Telecommunications 

It is not surprising that the United States is 
the greatest user of world telecommunications 
facilities. The vastly increased scope of U.S. 
participation in world affairs, tJie assumption of 
larger international responsibilities, the influence 
exerted by U.S. private and public agencies 
abroad, and the resulting amplified role of com- 
munications have left this Government no choice 



'International Telecommunication Convention, Buenos 
Aires 1952, containing Pinal Protocol to the Convention, 
Additional Protocols to the Convention, Resolutions, Rec- 
ommendations and Opinion, published by General Secre- 
tariat of the International Telecommunication Union, 
Geneva, 1953 ; also available as S. Exec. R., 83d Cong., 1st 
Sess. 



84 



Depar/menf of Sfafe Bulletin 



but to assume active and energetic leadership in 
all phases of international telecommunications 
activities. 

For a number of years the Department of State 
was concerned primarily with the legal aspects of 
telecommunications arising as a consequence of 
this country's participation in a number of con- 
ventions and agreements and, eventually, its mem- 
bership in the International Telecommunication 
Union. Accordingly, the related Departmental 
functions were assigned to the Treaty Division in 
1935. By 1938 the increasing complexity of prob- 
lems having both political and economic implica- 
tions led to the incorporation of telecommunica- 
tions responsibilities in the newly created Division 
of International Communications. In the face of 
war-occasioned burdens and the prospect of their 
continuation in the postwar period, further adjust- 
ments were made with the establishment of the 
Office of Transport and Communications in Janu- 
ary 1944, at which time the Telecommunications 
Division, now the Telecommunications Policy 
Staff, was created. 

It is the objective of the Department to achieve 
a telecommunications policy which parallels the 
political and economic foreign policy of the United 
States with the specific aim of insuring that the 
Government, private organizations, and citizens 
are afforded the opportunity to compete on an 
equitable basis for the use of available communica- 
tions facilities in order that each may receive the 
maximum benefits consistent with a fair return for 
services rendered. This concept involves negotia- 
tions for the establishment and regulation of fa- 
cilities which will most effectively serve and 
protect the communications interest of the United 
States; opposition to discriminatory practices in 
this field wherever they may arise ; and the advo- 
cacy of low, uniform rates which will provide 
adequate revenue to the private operating com- 
panies. The Telecommunications Policy Staff is 
responsible for the initiation and coordination of 
policy activities which will achieve these objec- 
tives in coordination with the Federal Communi- 
cations Commission, the Department of Defense, 
and other departments and agencies concerned. 

The Chief of the Telecommunications Policy 
Staff represents the United States on the Admin- 
istrative Council of the International Telecom- 
munication Union. In the fulfillment of other 
responsibilities the Staff is represented on nu- 
merous interdepartmental committees. The Tele- 
communications Coordinating Committee, for 
example, was established in 1946, principally to 
advise the Department of State on problems of 
international telecommunications policy. It acts 
only in an advisory capacity but can take final 
action when specifically authorized by unanimous 
concurrence of all government agencies repre- 
sented by its membership. Its chairman is the 
Director of the Office of Transport and Com- 
munications, and its members include representa- 



tives fi'om the Departments of the Treasury, 
Army, Navy, Air Force, and Commerce, and the 
Federal Communications Commission, and an 
observer from the Bureau of the Budget. 

One of the oldest of the U.S. telecommunica- 
tions coordinating mechanisms is the Interdepart- 
mental Kadio Advisory Committee (Irac) which 
was created in 1922. Under law the President is 
responsible for assigning radio frequencies for use 
by U.S. Government stations. Such assignments 
are accomplished periodically through the instru- 
ment of Executive orders. In actual practice, the 
Irac, as a Presidential advisory agency, may be 
said to assign frequencies to government radio 
stations, thus paralleling the similar function per- 
formed by the Federal Communications Commis- 
sion in relation to nongovernment stations. In 
addition to its frequency assignment fimctions, 
the Irac furnishes advice and assistance to the 
President and the Federal agencies on various 
technical matters of interagency interest. One of 
its current major activities relates to plans for 
the frequency-band clearance and frequency shifts 
required to implement the frequency-allocation 
table in the Atlantic City Radio Regulations of 
1947. 



International Allocation of Frequencies 

This allocation plan grew out of intensive ef- 
forts by the members of the Itu in recognition of 
the serious need for a greatly expanded allocation 
table. Differing little in its fundamentals from 
previous plans, it nonetheless accomplished the 
tremendous task of scientifically allocating fre- 
quency bands to all existing radio services. Par- 
ticular provision was made for additional exclu- 
sive frequency bands for the international broad- 
casting and aeronautical services. Having spent 
more than 4 months in the development of the 
allocation table, the conferees were unable to pro- 
ceed to the next stage, the implementation of the 
table through assignment of specific frequencies 
to the hundreds of stations to be accommodated 
within the broad allocations by services. Instead, 
the conference created a temporary body known 
as the Provisional Frequency Board (Pfb) for the 
purpose of formulating an international frequency 
list which would attempt to provide for the legiti- 
mate needs of all countries on the basis of sound 
engineering principles.* It was intended that as 
many countries as possible be represented on this 
Board, which commenced work in Geneva in Janu- 
ary 1948. The United States was represented by 
a large delegation of engineers from government 
and private industr3\ 

In view of the size and complexity of the prob- 
lem, it had been fui'ther provided that frequency 
lists for certain bands should be prepared by spe- 
cial conferences convened for that purpose. Thus, 

* For an article on the work of the Board, see Bulletin 
of Apr. 9. 1951, p. 593. 



January 18, J 954 



85 



two conferences were held in 1949 and 1950 to 
prepare a frequency assignment plan for high- 
frequency broadcasting stations. During 1948 and 
1949 conferences convened in Switzerland to de- 
velop an aeronautical radio-frequency plan. In 
addition, efforts were made to reach agreement on 
frequency assignment plans for the several regions 
of the world. Of these various conferences only 
the Aeronautical Administrative Conferences 
were entirely successful in achieving satisfactory 
agreements. 

The original concept had been that the fre- 
quency lists resulting from the special conferences 
would be incorporated with the master list pre- 
pared by the Provisional Frequency Board for 
final approval by an Extraordinary Administra- 
tive Radio Conference which would also establish 
the date when the Atlantic City frequency alloca- 
tions would take effect. Unfortunately this con- 
cept could not be realized. The task assigned to 
the Provisional Frequency Board was much more 
complex than had been envisaged at Atlantic City, 
largely as a consequence of the narrower fre- 
quency bands allotted to the fixed services under 
the Atlantic City Table. In general the countries 
of the world submitted frequency requirements far 
in excess of their actual or foreseeable needs and 
well beyond the capacity of the frequency spec- 
trum to accommodate the desired services. Fur- 
thermore, the work of the Pfb was carried out in 
a period of increasingly disturbed world condi- 
tions accompanied by a diminution of sincere co- 
operative effort. As a result the Extraordinary 
Administrative Radio Conference scheduled to 
convene at The Hague in 1950 was postponed. 
Subsequently, however, a resolution of the Itu 
Administrative Council jiroposing that the con- 
ference meet at Geneva in August 1951 was over- 
whelmingly approved by the Union's member- 
ship. The conference was convened as scheduled 
and the resulting agreement was signed on 
December 3, 1951. 



Results of Geneva Conference 

Although the Pfb had been unable to produce 
an acceptable master frequency list, it made signif- 
icant contributions to further progress. Through 
its efforts the obstacles to implementation of the 
Atlantic City plan were more clearly defined, and 
an enormous amount of data was collected with 
respect to the actual use of frequencies. The im- 
practicability of devising an overall assignment 
plan had been demonstrated, and the Geneva 
Conference faced the task of bringing about the 
desired implementation of allocations by other 
means. 

A possible solution lay in the practical expedient 
of a gradual implementation based on actual fre- 
quency usage and without reference to final dates 
for the completion of this process. Being less 
crowded, that portion of the spectrum above 27.5 



megacycles presented no great problem. The 
previously adopted plan for the shifting of the 
aeronautical mobile services into their allotted 
bands was available for implementation. Similar 
accord was reached at the Geneva Conference on a 
method for transfer of the Maritime Mobile 
Services into their Atlantic City bands. It was 
envisaged that, through the evolutionary process 
of such partial realinements, the fixed, land- 
mobile, and tropical broadcasting services over 
a period of time would have no alternative but to 
conform to their proper allocations, and such has 
been the encouraging tendency in actual practice. 

As the agreed plans have taken effect the gradual 
occupancy of frequencies previously used by other 
services has in turn caused the latter to seek fre- 
quencies within their allotted bands. It was also 
agreed to employ the gradual adjustment pro- 
cedure for high-frequency broadcasting stations, 
and the International Frequency Registration 
Board was instructed to prepare an International 
HF Broadcasting Frequency List on the basis of 
pre-engineered plans taking into account the actual 
requirements of all countries. 

A further decision was reached that the 1955 
session of the Administrative Council should re- 
view reports prepared by the Ifrb on the progress 
made under the gradual adjustment process for the 
fixed, land-mobile, and tropical broadcasting sta- 
tions and the plans made for the high-frequency 
broadcasting stations to determine whether or not 
a definite date could then be established for bring- 
ing the Atlantic City Table into force. If so, the 
Administrative Council would make its recom- 
mendation to the Ittj membership for its ap- 
proval. If not, it would consider similar reports 
from the IrRB at each subsequent session of the 
Council until it became practical to establish such 
a date. 

In the meantime remarkable progress has been 
achieved. The United States, having exercised 
its leadership in the authorship and activation of 
plans for the orderly sharing of radio frequencies 
among the nations of the world, must meet its own 
obligations to conform with those plans. Already 
more than 50 percent of the changes affecting U.S. 
services as a result of the Earc agreement have 
been implemented, and this trend may be expected 
to continue. 

Such advances, though impressive, represent 
but a small segment's interest in the furtherance 
of U.S. telecommunications objectives. In the 
field of radio alone the problems are extremely di- 
verse. There are, for example, more than 2,500 
broadcasting stations in the United States. Al- 
though it is possible to minimize domestic problems 
of interference between those stations through the 
regulatory activities of the Federal Communica- 
tions Commission, international agreements are 
necessary to provide the same degree of protection 
between broadcasting stations in neighboring 
countries. 



86 



Deparfmenf of State Bulletin 



Recognizing the seriousness of this mutual prob- 
lem, the countries of the North American region, 
namely, Canada, Cuba, the Dominican Republic, 
Haiti, Mexico, the United Kingdom (in respect of 
the Bahamas and Jamaica) , and the United States, 
have in the past negotiated agreements designed 
to harmonize the use of frequencies in the medium- 
wave broadcasting bands. Two such agreements 
have already expired by their terms of reference. 
A third, which was negotiated more than 2 years 
ago and was signed by all of the countries con- 
cerned except Haiti and Mexico, has so far been 
ratified only by Cuba. In view of the tremendous 
investments of time and money in U.S. standard- 
band broadcasting and of its far-reaching influ- 
ence as an information and advertising medium, 
the Department believes it highly desirable that 
this agreement be ratified. In the absence of such 
an international instrument, the United States in- 
evitably will be faced with difficulties having no 
legal basis for settlement. 

Prospects for International Television 

The tremendous strides made in the field of tele- 
vision during the period since World War II are 
awesomely apparent, particularly in tlie United 
States. The continuing expansion of this com- 
munications medium again raises questions of an 
international character. The Department has 
long recognized that the full potentialities of tele- 
vision will be realized only with the development 
of unhampered visual communication between 
nations. 

From a technical standpoint, present facilities 
do not make feasible the widespread international 
exchange of televised information. During the 
early stages of research and experimentation, 
engineers in different countries proceeded inde- 
pendently of each other and as a result television 
systems became established on varying technical 
standards. The United Kingdom, for example, 
employs a system producing an image of 405 lines; 
France has two systems producing images of 441 
and 819 lines; a number of other Western Euro- 
pean countries use 625 lines ; the United States and 
a number of Western Hemisphere countries use 
525 lines. 

In spite of concerted attempts to formulate 
recommendations for standards permitting the 
international exchange of television programs, 
economic and political factors have precluded the 
universal adoption of existing experimental and 
publicly operating systems. It is unlikely that 
complete uniformity will ever be achieved, al- 
though recent findings and studies show promise 
of methods by which television signals may be 
converted for rebroadcast between countries with 
differing technical standards. The 525-line and 
the 625-line systems have a compatibility feature 
not present in other systems which makes possible 
the reception of signals from either of the two 



systems. Through minor recei ver ad j ustments, the 
programs of countries employing different systems 
may thus become available to audiences near in- 
ternational boundaries. It is the policy of the 
United States to encourage the development of 
compatible television systems not only in the 
Western Hemisphere, where progress is en- 
couraging, but among all nations in order that 
audiences everywhere may someday have access to 
this extraordinary instrument for undersranding 
between peoples. 

Past prophecies in the communications field have 
been exceeded many times, and it is increasingly 
difficult to keep pace with the march of technical 
advancement. The flowering of radio techniques 
has been accompanied by equally impressive de- 
velopments in other sectors of the electronics in- 
dustry. The telephone and ocean cable systems of 
the world have achieved an enviable record of de- 
pendable service, and it is anticipated that their 
role will continue to increase in importance. The 
tremendous accretion of communications facilities 
brought about by radio has not sufficed to accom- 
modate the still greater increase in the need for 
communications and electronic devices. 

A growing number of experts close to the prob- 
lem of radio frequency management have con- 
cluded that the time will come when communica- 
tions between fixed points of transmission and 
reception will be carried by wire and cable 
wherever possible. Through augmented cable 
facilities it is not unlikely that the telephone sub- 
scriber of the future will be heard by his counter- 
part in London, Paris, or beyond as clearly and 
conveniently as local callers are heard today. The 
telegraph sender, already efficiently accommo- 
dated, will become the beneficiary of further tech- 
nological improvements. The communications in- 
dustry relies upon government for the furtherance 
of its aims. Through the coordination of overall 
U.S. interests at home and the promotion of those 
interests abroad, the Department of State makes 
its own contribution to the progressive expansion 
of world telecommunications facilities. 

• Mr. Black., author of the above article., is a 
foreign affairs officer in the Telecommunications 
Policy Staff, Office of Transport and Communica- 
tions Policy. 



Emergency Relief for 
Hong Kong Fire Victims 

Following is the text of a statement made hy 
Harold E. Stassen, Director of Foreign Opera- 
tions, at a press conference on January 4.: 

To provide emergency help to some 60,000 es- 
capees from Communist China, whose settlements 
were gutted by a Christmas fire in the British 



January 18, 1954 



87 



Crown Colony of Hong Kong, Foa over the week- 
end authorized $160,000 out of its Escapee Pro- 
gram funds toward the procurement of shelter, 
food, and medical care for the homeless. 

The funds are being made available to the relief 
authorities in Hong Kong through the United 
States Consul General there. The Britisli Gov- 
ernment in Hong Kong has already provided £200,- 
000 ($500,000) for disaster relief. Other action 
already taken by the free world to alleviate the dis- 
tress of escapees from Red China includes a $10,000 
gift from the Pope, in addition to efforts by various 
voluntary agencies. 

President Eisenhower and the United States 
Congress have long recognized the need for assist- 
ance to refugees who have fled the Soviet orbit in 
pursuit of a life that can be lived in freedom and 
human dignity. Wlien a catastrophe such as the 
Christmas fire at Hong Kong strikes, it is a true 
expression of the humanity of the people of the 
United States to relieve suffering by helping to 
provide food, shelter, and medical care for free- 
dom-loving people in distress. I am confident that 
these United States funds will bring substantial 
help to the refugees from Eed China and give them 
new hope as the new year begins. 

FoA received $9 million this year for the ad- 
ministration of the escapee and refugee program 
for relief and resettlement throughout the world. 
The major efforts to date have been in Western 
Europe and the Near East. This is the second re- 
cent use of funds to assist refugees from Red 
China. 



India's Railway System 
To Receive FOA Aid 

India's railway system, vital to communications 
within the country, will receive 100 new loco- 
motives and 5,000 new freight cars as part of 
United States economic aid to India in the current 
fiscal year, it was announced on December 28 by 
the Foreign Operations Administration. 

An agreement signed in New Delhi by repre- 
sentatives of the FoA Mission to India and the 
Government of India calls for expenditures of $20 
million of U.S. funds and 32 million rupees 
(about $6.73 million) on the project. The Indian 
Government will deposit the equivalent of $20 
million in rupees in a fund to be used on further 
development projects agreed to by the Indian and 
American Governments. 

United States funds will go for purchase of the 
locomotives and freight cars outside of India. It 
is expected that bids will be received from most 
countries of the free world having facilities to 
manufacture railroad rolling stock. Rupee costs 
will be used for ocean transportation to India, 
handling costs and assembly of freight cars im- 
ported under the agreement. 

The project is part of the rehabilitation of 



Indian railroads under India's Five Year Plan. 

With 34,123 miles of track, the Indian railways 
system is the fourth largest in the world, exceeded 
only by the United States, the Soviet Union, and 
Canada. The system carries 80 percent of internal 
freight traffic and 70 percent of passenger traffic. 
It employs more than 900,000 persons. The aver- 
age daily number of trains is 3,877 and the number 
of passengers carried more than three million. 
Because of the pressure of traffic on available facili- 
ties, the passenger system is probably the most 
crowded in the world. 

Indian railways have been in operation 100 
years. The present situation, calling for replace- 
ment of many over-age locomotives, arises largely 
from the strains placed on the system in World 
War II. Despite a large increase in volume of 
traffic, Indian railways, even with their own 
shortages, released a large number of locomotives 
and cars for various theaters of war, abroad as 
well as in India. 

Under the 5-year development plan, India has 
already placed orders for 769 locomotives and will 
place orders for 500 or more during the last 2 years 
of the plan. Similarly orders have been placed 
for 32,293 new freight cars already, and 29,000 
more will be ordered in the last 2 years of the plan. 

By March 1956, however, some 3,600 locomotives 
will be over 40 years old. It is estimated that once 
the accumulated arrears of repairs and replace- 
ments are overtaken, the j^resent level of traffic 
can be moved with about 7,800 locomotives with 
an average age of 20 years. At this level, replace- 
ment requirements will be about 200 locomotives 
a year, well within the productive capacity of 
India's two locomotive plants. 

Some 73,000 freight cars are over-aged already 
or will be during the period of the Five Year Plan. 
The normal annual requirement, once arrears are 
cleared, would be about 6,000 cars and this also 
can be met from present manufacturing capacity. 

The element of railway transport is closely in- 
volved with other sectors of tlie economic devel- 
opment program now under way in India. Food 
grains, other agricultural products and mineral 
products including coal, manganese, and other 
ores, make up 60 percent of the freight tonnage 
of the railways. Efficient transport is imperative 
not only for the sustenance and development of 
the country but for maintenance of essential ex- 
ports to foreign countries. 

American aid to India in the past 2 years has 
been devoted primarily to measures to increase 
agricultural production, a top priority area of the 
Five Year Plan. This has included import of 
fertilizer, along with technical assistance for ex- 
pansion of India's own new Sindri fertilizer plant, 
the biggest in Asia. It has also included import 
of iron and steel for farm implements, to aug- 
ment India's own steel output, and projects for 
drilling irrigation wells, adding to the thousands 
already in existence. 



88 



Department of State Bulletin 



Heavy equipment has been imported to help 
speed lip construction of flood control and irriga- 
tion dams on India's rivers, for which the country 
itself is making a large financial outlay. The 
Indo-American technical program includes also 
a community development program, to bring better 
cultivation methods, better health practices, and 
literacy training to the nation's rural population. 



Technical Cooperation Survey 
in Surinam and Britisli Guiana 

The departure of a group of American teclini- 
cians for Surinam and British Guiana in January 
to discuss the initiation of jjrograms of technical 
cooperation for those countries was announced 
on December 23 by the Foreign Operations 
Administration. 

The survey gi'oup is being sent to the two coun- 
tries in response to requests from their govern- 
ments which were transmitted to Foa by the 
Netherlands and the United Kingdom Govern- 
ments. 

Eugene Clay, Director of the Northern Latin 
American Division of Foa, and W. Alan Laflin, 
Foa Regional Engineer for Latin America, will 
head the group. Other members will include 
specialists in the fields of agriculture, education, 
health, and community development. 

The economy of Surinam is largely agricul- 
tural. Its most important products are rice, citrus 
fruits, coffee, sugar, cocoa, and coconuts. The 
country has large forests but has not been able 
to develop its wood industry adequately mainly 
because of transportation difficulties. As a result, 
the logging work has been concentrated along the 
banks of the country's rivers. 

The chief mineral being exploited presently is 
bauxite, and the country is the largest exporter 
of this material. In 1952, 3 million tons were 
exported. 

The suggested technical cooperation program 
may involve projects in the fields of agriculture, 
forestry and fisheries, vocational and agricultural 
training, housing, internal transportation and dis- 
tribution, and perhaps public health. 

The economy of British Guiana is largely de- 
pendent on sugar cane and the government is 
interested in technical cooperation programs to 
help improve the standard of living of agricul- 
tural workers. 



Export- Import Bank Reports 
on 1953 Activities 

The Export-Import Bank of Washington an- 
nounced on January 7 that during the 6 months 
ended December 31, 1953, it had made new loan 



commitments in the amount of $172 million for the 
purpose of promoting the foreign trade of the 
United States and, in addition, allocated $12.5 
million under credits previously authorized. For 
the entire calendar year 1953 the bank's new credit 
commitments amounted to $559 million. 

In this same 6 months period the bank disbursed 
$424.3 million under loan authorizations. Dis- 
bursements for the calendar year 1953 totaled $647 
million, during which time collection of principal 
payments on all loans totaled $305 million. 

For the calendar year the total revenue of the 
bank from interest on loans amounted to $80 mil- 
lion and expenses amounted to $26.2 million of 
which $25.2 million was paid as interest on funds 
borrowed from the U. S. Treasury and $1 million 
paid out for operating expenses. Deductions of 
these expenses from gross revenue left net earn- 
ings for the calendar year of $53.8 million and 
for the final 6 months of $27.9 million. 

In June the Directors approved the payment 
of a $22.5 million dividend to the Treasury of the 
United States representing 214 percent on the $1 
billion of capital stock of the bank, all of which 
is held by the Treasury. This dividend was paid 
out of the net earnings during the fiscal year end- 
ing June 30, 1953. The bank's undivided profits 
for the 6 months ended December 31, 1953, to- 
gether with the accumulated reserve for possible 
contingencies, aggregate $323.6 million. 

The credits authorized during the 6 months 
ended December 31, 1953, increased the total of 
credits authorized by the bank from the time of 
its establishment in February 1934 to $6.5 billion. 
As of December 31, 1953, the total amount dis- 
bursed under such authorizations was $4.5 billion. 
Of this amount $1.7 billion has been repaid. 

Loans outstanding on December 31, 1953, 
amounted to $2.8 billion, and the unutilized por- 
tion of established active credits was $519.1 mil- 
lion. The uncommitted lending authority of the 
bank stood at $1.1 billion at the year end. 

In addition to its operations with its own funds, 
the Export-Import Bank as agent for the Foreign 
Operations Administration paid $34.3 million to 
the U. S. Treasury during the current calendar 
year from collections made under provisions of 
the Economic Cooperation Act of 1948, as 
amended, relating to approximately $1.5 billion 
in loans to 17 countries. 

Reorganization Plan No. 5 to Congress,^ trans- 
mitted by the President on April 30, 1953, went 
into effect on August 5, 1953, when Maj. Gen. Glen 
E. Edgerton took office as Managing Director and 
assumed the functions formerly performed by the 
5-man Board of Directors. The Managing Direc- 
tor is assisted by a Deputy Director, Lynn U. 
Stambaugh, and an Assistant Director, Hawthorne 
Arey. 



' For text, see Buixetin of July 13, 1953, p. 49. 



January 18, 1954 



89 



U.N. Command Defines Position on Nonrepatriated War Prisoners 



Following are the texts of (1) a statement made 
by General John E. Hull, United Nations Com- 
rnander, on Decemher 23 and {2) a letter from 
General Hull delivered on Decemher 28 to General 
K. S. Thimayya, Chairman of the Neutral Natio-ns 
Repatriation Commission, setting forth the United 
Nations Command position on the return to civil- 
ian status of nonrepatriated prisoners of war in 
Korea: 



STATEMENT OF DECEMBER 23 

The terms of reference for the Neutral Nations 
Repatriation Commission, signed at Panmunjom 
on June 8 of this year ^ as an annex to the armi- 
stice agreement which later halted armed conflict 
in Korea, resolved an issue which alone had pro- 
tracted the cease-fire discussions for more than a 
year. 

The issue was the right of a Pow who resists re- 
patriation to seek asylum and of a detaining power 
to grant it. This right is based on respect under 
the law for individual freedom and human dignity. 
To upliold it the Unc fought throughout the long 
and at times frustrating negotiations. 

Paragraph 11 of the terms of reference provide 
that at the expiration of 90 days after the transfer 
of custody of Pow to the Neutral Nations Repatri- 
ation Commission, access to captured personnel by 
representatives of their original sides shall termi- 
nate. That 90-day period of explanations comes 
to an end on December 23. 

Paragraph 11 provides that as of the end of the 
day of 22 January these men will become entitled 
to their freedom as civilians. There will no longer 
be authority for their custody by the Indian troops. 
As civilians they are to be enabled to go to any 
available country of their choice. Public state- 
ments made by representatives of the ROK and the 
National Government of the Republic of China 
contain open invitations to the nearly 8,000 Korean 
and more than 14,000 Chinese anti-Communists, 
respectively, in the south Cfi camp to make their 
new homes in the ROK and in the territory under 
the control of the National Government of the 



' BuiXETiN of June 22, 1953, p. 866. 



90 



Republic of China. Representatives of these 2 
nations are being informed that my command will 
use all available facilities to expedite the move- 
ment of the individuals who desire to go to those 
countries. Under paragraph 11 of the terms of 
reference to the Nnrc and the Indian Red Cross are 
to assist any individual who may wish to apply to 
go to neutral countries elsewhere in the world. 

It is regrettable that Communist obstructions 
have caused disagreements and disrupted the ex- 
planations to nonrepatriate Pow. Despite the 
fact that agreement was once reached concerning 
the fundamental rights of these thousands of 
prisoners, the Communists have persisted in em- 
ploying their habitual frustrating tactics to the 
extent that the work of the Nnrc has been inter- 
fered with and the already difficult job of the 
Custodial Force, India, greatly complicated. 

With the expiration of this period of explana- 
tions, I desire to express my profound admiration 
and respect for the Indian troops. In their unique 
and sensitive mission these officers and men have 
demonstrated an almost unprecedented capacity 
for military firmness and humane restraint. Their 
rigid adherence to mandate imposed upon them by 
the terms of reference has earned them the plaudits 
of all f airminded nations of the world and an un- 
shakable confidence in their ability to continue 
their duty in the same splendid manner until their 
mission is completed some 30 days hence. 

LETTER TO GENERAL THIMAYYA 

Dear General Thimayya : 

I have read carefully the interim report concurred 

in by the Indian, Czechoslovakian and Polish dele- 

Department of State Bulletin 



gations and tlie interim report prepared and signed 
by the Swedish and Swiss delegations. I have 
also read the accompanying communications indi- 
cating the manner in which failure to agree to a 
single point developed. Of the two reports, I find 
that prepared by the Swedish and Swiss delega- 
tions much more objective, factual and indicative 
of the ojierations of the Neutral Nations Eepatria- 
tion Commission. 

In view of the fact that the 90-day period for 
explanations has now terminated, and because the 
issues during this phase of Neutral Nations Repa- 
triation Commission operations have been so 
clearly identified by both reports, I see little posi- 
tive value to be gained by expressing detailed 
opinions on such issue. However, in order to 
clarify unmistakably the position of the United 
Nations Command on what I consider to be certain 
key elements, I am constrained to submit once 
more a reiteration of certain salient points: 

A. The United Nations Command categorically 
denies any implication that we have attempted, in 
any way, to exercise control to the slightest degree 
over prisoners in the south camp by the intro- 
duction of agents provocateur, or that we have 
attempted to maintain any type of covert intel- 
ligence network. 

B. The allegation that prisoners alone in the south 
camp were responsible for the failure to complete 
explanations I find totally unacceptable. Al- 
though the United Nations Command had no 
permanent representation in either the Neutral 
Nations Repatriation Commission or custodian 
force, India, it appears clearly obvious from re- 
ports received from our duly authorized liaison, 
observation and explainer personnel, as well as 
from official statements of the Neutral Nations 
Repatriation Commission itself, that the primary 
causes of failure were due to: 

(1) The severe disappointment of the representa- 
tives of the Korean People's Army and the 
Chinese People's Volunteers at their inability to 
secure more than a nominal percentage of re- 
turnees from groups receiving explanations. 

(2) The delaying tactics adopted by Korean 
People's Army and Chinese People's Volunteers 
including : 

(A) Unreasonable and changing demands for 
facilities. 

(B) Refusal to accept reasonable numbers of 
willing prisoners for explanations during each 
day. 

(C) Refusal of Korean People's Army and 
Chinese People's Volunteers to utilize available 
explaining time unless the Neutral Nations Re- 
patriation Commission and Custodian Force, 
India conformed to all their demands which in- 



cluded the use of force and other impracticable ' 
actions. 

C. The United Nations Command, on the other 
hand, supports fully the strong stand taken by the 
Indian, Swedish and Swiss delegations prohib- 
iting the use of force against defenseless prisoners. 

D. The terms of reference plainly specify that ex- 
planations would be terminated as of 23 December 

1953. We therefore cannot accept any alternate 
proposal which may be made by any other agency 
on this point, just as we shall not accept any other 
proposal which amends the date 22 January, the 
last day upon which prisoners in Neutral Nations 
Repatriation Commission custody can be denied 
their freedom. 

E. The termination date of custody, 22 January 

1954, 120 days after the Neutral Repatriation 
Commission originally assumed custody, is fixed 
and does not depend on the holding of any politi- 
cal conference, the holding of which was, by terms 
of the armistice agi'eement, to be recommended 
to their respective governments by the command- 
ers of each side in the Korean conflict. 

With specific reference to that part of your letter 
of 28 December 1953 (forwarding the aforemen- 
tioned reports) which discusses the action to be 
taken by the Neutral Nations Repatriation Com- 
mission now that the explanation period has 
ended and no political conference is in session, I 
believe the foregoing views are sufficiently clear 
to serve as a basis for a sound and logical course 
of action. As of 230001 1 January 1954, prisoners 
now in custody of the Neutral Nations Repatria- 
tion Commission, having then become entitled to 
civilian status are free to move to destinations of 
their choice. For those who wish to be assisted 
by the United Nations Command, I suggest that 
they be moved south in orderly, manageable 
groups and according to a phased schedule, so 
that they may be received at a mutually agreed 
upon location along the southern boundary of the 
demilitarized zone. The United Nations Com- 
mand is fully prepared to receive them and aid 
them to move to destinations of their choice to 
settle into peaceful civilian pursuits. 

For those who may apply to go to neutral nations, 
the United Nations Command (as ]ireviously out- 
lined to you) stands ready to assist the Neutral 
Nations Repatriation Commission in care and dis- 
position during the period 22 January-21 Febru- 
ary. Whether we can continue assistance after 21 
February will depend upon the situation then pre- 
vailing ; I can, however, assure you of our coopera- 
tion insofar as practicable in my capacity as a 
military commander. 

With assurances of my continued esteem, I am, 
sincerely yours, J. E. Hui^l, General, United States 
Army, Cormnander-in-Chief. 



January 18, 1954 



91 



Report of U.N. Command Operations in Korea 



SEVENTY-FIFTH REPORT: FOR THE PERIOD AUGUST 1-15, 1953' 



r.N. doc. S/3.148 
Dated December 4, 1953 

I lierewith submit rejiort number 75 of the United Na- 
tions Command Operations in Korea for the period 1-15 
August 1953, inclusive. 

The period 1-15 August marlied the beginning of the 
implementation of the Armistice Agreement. The result 
of long and careful planning by the United Nations Com- 
mand became evident as the various agencies and support 
groups established by the United Nations Command to 
carry out the implementation were phased into operation 
on schedule. 

After the exchange of credentials by both sides the 
Military Armistice Commission held frequent meetings 
for the purpose of adopting procedures agreeable to both 
sides. 

Agreement was reached on method of operation of 
Joint Observer Teams which were dispatched to their 
assigned areas. Marking of boundaries, clearing of 
hazards and construction of the various installations were 
begun within the Demilitarized Zone. 

Agreement was also reached on Civil Police and the 
type of arms they may carry within the Demilitarized 
Zone. Neutral Nations In.spection Teams were dispatched 
to the Ports of Entry of both sides. 

During the first week in August an advance party rei)- 
resenting the Indian contingent of the Neutral Nations 
Repatriation Commission and the Custodial Forces, India, 
arrived in Tokyo. This group was headed by Mr. N. K. 
Nehru and Major General Thorat. The Indians were 
briefed at United Nations Command Headquarters on the 



' Transmitted on Dec. 3 to the Secretary-General, for 
circulation to members of the Security Council, by the U.S. 
representative to the U.N. Text of the 50th report ap- 
pears in the Bulletin of Dee. 15, 1952, p. 958 ; the 51st 
and 52d reports, Dec. 29, 1952, p. 1034; the 53d report, 
Jan. 26, 1953, p. 155 ; the 54th report, Feb. 9, 1953. p. 224 ; 
the 55th report, Feb. 16, 1953, p. 276; the 56th report. 
Mar. 2, 1953, p. 348 ; excerpts from the 57th, 58th, and 59th 
reports, May 11, 19.53, p. 690; excerpts from the 61st, 
64th, and 65th reports, July 13, 1953, p. 50 ; excerpts from 
the 67th, 68th, and 69th reports, Sept. 28, 1953, p. 423; 
excerpts from the 70th, 71st, 72d, and 73d reports, Jan. 4, 
1954, p. 30 ; and the 74th report, Jan. 11, 1954, p. 61. The 
60th, 62d, 63d, and 66th reports were omitted from the 
Bulij;tin. 



arrangements made by the United Nations Command for 
the reception of Indian troops into the Demilitarized Zone, 
including movement, quarters and logistical support to 
be provided. After this first briefing the Indian party 
was flown to Korea where they were met by the Senior 
Member of the United Nations Command Military Armi- 
stice Commission and further briefed at the site of their 
prospective operations. The group then proceeded to the 
Communist Headquarters where they remained for two 
days. Upon their return to Munsan-ni the Indian party 
met with the Senior Member United Nations Command 
Military Armistice Commission and his staff at which 
time the two groups drafted a tentative "Memorandum 
of Understanding", with regard to facilities and support 
to be furnished by the United Nations Command to the 
Neutral Nations Repatriation Commission instiillation 
within the Demilitarized Zone on the United Nations 
Command side of the Demarcation Line. The Indian 
party then returned to Tokyo where one more short con- 
ference was held at United Nations Command Head- 
quarters. At this conference the tentative "Memorandum 
of Understanding", was discussed with representatives of 
the Commander in Chief's, United Nations Command, 
staff to the mutual satisfaction of both parties. The 
Indian Advance Party tlien departed Toyko for India. 

Adhering scrupulously to the terms of the Armistice 
Agreement for the repatriation of captured personnel, 
the United Nations Command commenced delivery to the 
Communists on 5, August 1953, of those prisoners of war 
who had expressed a desire for direct repatriation. De- 
tailed plans, which had been prepared long in advance, 
were implemented in order to insure orderly and efficient 
delivery in accordance with the daily schedules agreed 
upon by both sides. Particular care was taken to pro- 
vide for the safety, comfort and well being of the sick 
and injured personnel to be repatriated by our side. 

As was the case during the exchange of sick and injured 
captured personnel during April and May 1953, the main 
difliculties encountered in the deliveries were created, 
not by the numerous logistical and other problems nor- 
mally to be expected during a move of this magnitude, but 
by the prisoners themselves. Early in the exchange. 
Communist returnees, obviously under orders, ripped 
newly Issued clothing, cast aside comfort items and, in 



92 



Department of State Bulletin 



general, tried to present as dismal a picture as possible 
for the Communist photojn'aphers who were conveniently 
on hand. Positive evidence that the United Nations Com- 
mand had provided adequate food and medical care for 
all the prisoners of war in its custody was plain for all 
to see, and was duly recorded by press representatives. 

In spite of all the diflBculties and obstacles placed in 
the United Nations Command path by the returning hard 
core Communists, the United Nations Command handled 
its portion of the exchange with patience and firmness. 
By the end of the period of this report, a total of 29,630 
prisoners in United Nations Command custody had been 
returned to Communist control. 

Meanwhile, as those United Nations Command repatri- 
ates from Communist control began telling their indi- 
vidual stories, it became increasingly clear that the 
enemy had taken every measure possible to instill in 
the minds of their captives that the United Nations, and 
especially the United States, had started the war. The 
conditions of the first returnees bore mute evidence of 
the inadequate and often brutal treatment United Nations 
Command prisoners had suffered at the hands of the 
Communists. By 15 August, the following numbers of 
United Nations Command personnel had been released 
from Communist captivity and were well on their way 
to home and loved ones : 

United States 957 

Other United Nations 693 

Republic of Korea 2,726 

Total 4,370 

At 2200 hours on 27 July, the order to cease fire was 
complied vv'ith by United Nations Command divisions 
along the entire battle front and withdrawal to new de- 
fensive positions south of the Demilitarized Zone was 
begun. 

Seventy- two hours after the cessation of hostilities all 
United Nations Command troops had withdrawn south of 
the zone. Subsequently unarmed troops returned to the 
southern half of the Demilitarized Zone to clear mine 
fields and other hazards to the safe movement of personnel 
of the Military Armistice Commission and its Joint Ob- 
server Teams. Other unarmed troops were engaged in 
salvaging equipment, and marking the southern border of 
the Demilitarized Zone. These operations continued 
throughout the period. 

Meanwhile, south of the zone United Nations Command 
troops were expeditiously re-establishing their new lines 
of defense and instituting a training programme designed 
to maintain a high degree of morale and combat readiness. 

In accordance with the Armistice Agreement all hostili- 
ties ceased and the United Nations Naval Blockade of the 
Korean Coast was terminated at 2200 on 27 July. One 
of the immediate tasks of the United Nations Naval Forces 
became the evacuation of the coastal islands of Korea. 
On 2 August, United Nations Command Naval Forces re- 
ported that the withdrawal of personnel, supplies and 
equipment had been completed from all islands north of 
the southern boundary of the Demilitarized Zone off the 
east coast of Korea and from islands lying to the north 
and west of the provincial boundary line between Hwang- 
iae Do and Kyonggi-Do oft the west coast except the 

January 18, 1954 



island groups of Paengyong Do, Taechong Do, Sochong 
Do, Yonpyong Do (including Kunyonpyong Do and Soyong- 
yong Do), and U-Do which are to remain under the mili- 
tary control of the Commander-in-Chief United Nations 
Command. 

The basic concept of all United Nations Naval operations 
in the first post Armistice fifteen-day period has been that 
of maintaining forces in position to counter immediately 
further aggression or attack; conduct training exercises, 
and achieve a high state of material readiness. Immedi- 
ately following the signing of the Armistice, units not 
required in execution of initial tasks or in operating areas 
adjacent to Korea were placed in a maintenance status. 

United Nations Naval aircraft operating from fast at- 
tack carriers in the Sea of Japan conducted intensive 
training exercises, maintained an alert state of readiness, 
and at all times complied with the provisions of the 
Military Armistice Agreement. One thousand and one 
hundred seventy-eight sorties were flown during the period. 
The largest percentage of these were training flights. 

During this period the feasibility of obtaining a marked 
impact area in East Korea to be used for training purposes 
was investigated. At the close of the period an area was 
under preparation and will be available about 1 September. 

A United Nations Command carrier has been selected 
as a helicopter landing platform in order to lift approxi- 
mately ,5000 Indian troops from Inchon to the Demil- 
itarized Zone. The troops are scheduled to arrive at 
Inchon by ship from 1 through 26 September. The troops 
will then be transferred to the carrier by landing craft 
thence to the Demilitarized Zone by Army and Marine 
helicopters. 

Patrols were established and have been conducted off 
the Korean West Coast to seaward of the Han River 
Estuary under supervision and south of thirty-seven 
degrees thirty-five minutes north latitude for protection 
of the friendly coast. Patrols ofC the Korean East Coast 
were established and executed from the eastern terminus 
of the southern boundary of the Demilitarized Zone to 127 
degrees east longitude. No significant events were 
observed at any time. 

Planes from the First Marine Air Wing based in Korea 
conducted intensive training exerei.ses during the period. 
In addition fift.y-four intercept and day and night patrol 
sorties were flown. No significant activity was reported. 

United Nations Naval patrol planes continued their 
aerial reconnaissance of the Japan and Yellow Seas. 
These planes flew one hundred seven sorties during the 
period, conducting daily shipping surveillance, anti-sub- 
marine and weather reeonnaLssance missions over the 
water surrounding Korea. In addition, these planes sup- 
ported and engaged in special training exercises as 
directed. 

In order to meet the sixty-day deadline for the comple- 
tion of "BIG SWITCH" as agreed to by the United Na- 
tions in the Armistice Agreement, embarkation of prison- 
ers of war in ships .sijecially cribbed for this purpo.se began 
on 2S July. The importance of this operation is shown, to 
some extent, by the fact that ten ships otherwise sched- 
uled to return to the United States were retained to 
accomplish this task. 

As of 15 August the United Nations Command had lifted 



93 



33,760 prisoners of war from Koje-Do, Cheju-Do, Yonchi- 
Do, Pongam-Do and Chogu-ri to Inchon and 838 sick and 
wounded repatriates from Koje-Do to Pusan for further 
transportation by rail to the exchange site. This repre- 
sents about thirty-six per cent of the grand total to be 
lifted. Mutually planned and agreed daily quotas have 
been met with only minor problems. Heavy rains halted 
transportation of prisoners of war from Inchon to the 
exchange site on 13 August. Two vessels were used as 
floating stockades during the night. However, trucks 
began making deliveries on the 14th. Normal quotas were 
being accepted the following day. Several ships have 
reported instances of chanting and singing by the prison- 
ers with scattered attempts to demolish partitions. All 
of these demonstrations were controlled without casualty. 

Auxiliary vessels continued to provide mobile logistics, 
salvage, towing and additional services as required by all 
afloat units. 

Salvage operations are continuing on the Cornhusker 
Mariner aground to seaward of the Pusan Harbor baffles. 
On 14 August salvage workers commenced securing ship 
for expected typhoon "Nina". The salvage oflBcer re- 
ported that he planned to cut the ship in vicinity of 
frame 106 and beach stern and bow sections separately 
in safe water. 

The removal of the sunken dredge in Inchon Harbor 
has now been given highest priority among the harbor 
clearance projects in the Far East. The removal of the 
dredge has been scheduled to begin about 15 September. 

United Nations Command Naval auxiliary vessels and 
transports provided personnel lifts and logistic support 
for the United Nations Command forces in Korea. 

In order to combat a natural tendency to relax after 
a prolonged period of combat operations United Nations 
Naval Commands have envisaged plans whereby the 
morale of Naval forces may even be enhanced during 
Armistice operations. These plans include additional op- 
portunities for fleet forces to visit ports in the western 
Pacific, full opportunity for maintaining upkeep and 
maintenance schedules and increased opportunity for in- 
dividual ship, unit, group and force training exercises. 

The Far East Air Forces continued to support the 
United Nations Command in Korea by conducting non- 
combat operations during the period. To minimize the 
possibility of air violations of the Armistice conditions, 
additional controls were placed on the movement of 
United Nations aircraft in areas immediately adjacent 



to the Demilitarized Zone and coastal regions as well 
as upon the entry and exit of aircraft into and out of 
South Korea. Patrols were flown immediately south of 
the Demilitarized Zone as a precautionary measure. 

Combat cargo aircraft of the 315th Air Division con- 
tinued airlift operations between Japan and Korea in 
strict compliance with the terms of the Armistice. In 
this task, 3558 sorties transported 9471.3 tons of cargo, 
including 49,052 passengers and medical evacuees. Also 
included in this total were 260 repatriated United Na- 
tions prisoners of war whose physical conditions were 
such as to make a trip by surface vessel inadvisable. 

Air Sea Rescue Units of Far East Air Forces continued 
their assigned role of search and rescue of missing aircraft 
and crews, as well as aiding in the recovery of other mili- 
tary and civilian personnel in distress. 

Mr. C. Tyler Wood, newly appointed United Nations 
Command Economic Co-ordinator, will replace Dr. Henry 
J. Ta.sca, former Special Representative of the President 
for Korea Economic Affairs, as Commander-in-Chief, 
United Nations Command Economic Adviser and Repre- 
sentative on the Combined Economic Board on a per- 
manent basis. Mr. Wood will establish his ofiice in Korea 
where he will co-ordinate the existing aid programmes of 
the United Nations Command and the United Nations 
Korean Reconstruction Agency with the additional United 
States economic aid to the Republic of Korea resulting 
from Dr. Tasca's report to the President concerning ways 
and means for strengthening the Korean economy.^ 

Since the beginning of the United Nations collective 
action in Korea, the United Nations Command has sub- 
mitted bi-weekly reports on its activities to the United 
Nations. In addition, special supplementary reports were 
submitted on appropriate occasions. In general, the sub- 
stance of the bi-weekly United Nations Command reports 
has been concerned with the conduct of the military opera- 
tions in Korea. In light of the armistice in Korea, which 
has brought about a reduction in the activities of the 
United Nations Command, there does not appear to be the 
same need for regular bi-weekly reports. However, the 
United Nations Command will continue to fulfill its obli- 
gations under the Security Council Resolution of July 7, 
1950 by rendering reports from time to time as appropriate 
on the activities undertaken in implementation of the Ar- 
mistice Agreement. 



^ For a summary of Dr. Tasca's report, see Bxjlletin of 
Sept. 7, 1953, p. 313. 



94 



Department of Sfafe Bulletin 



A Survey of the Arab Refugee Situation 



INTERIM REPORT OF THE SPECIAL NEAR EAST 
REFUGEE SURVEY COMMISSION i 

December 11, 1953 
I. Basis and Scope of Study 

The Special Refugee Survey Commission to the 
Near East was appointed by the Honorable 
Harold E. Stassen, Director of Foreign Opera- 
tions Administration in consultation with the Sec- 
retary of State. Its members are the Honorable 
Edwin L. Mechem, Governor of New Mexico, 
Chairman, Honorable P. Kenneth Peterson, Legis- 
lator and Member of the Council of State Govern- 
ments, from Minnesota, and Dr. James L. Fieser, 
former Vice Chairman and General Manager of 
the American Red Cross, of Bethesda, Maryland, 
each representative of a different section of the 
United States. 

The Commission was set up in October, 1953, 
under provision of the Mutual Security Act of 
1953, as follows: 

Section 706, Title V. Relating to organization and gen- 
eral provision of the Mutual Security Act of 1951, as 
amended, as follows: * * * (g) Near East Refugees — 
add after Sec. 548, the following new section : 

Section 549. (a) In order to contribute to the peace and 
stability of the Near East in particular and of the 
world in general, the Director for Mutual Security 
shall, in consultation with the Secretary of State, make 
a survey of the refugee situation in the Near East and 
report the results of the survey to the Congress within 
one hundred tifty da.vs after the Mutual Security Act 
of IS.'JS is enacted, together with recommendations for 
seeking a solution. In the making of such report and 
recommendations, special consideration shall be given 
to a program which would utilize the services and tal- 
ents of these refugees to develop and expand the re- 
sources of the area, including its water resources. 

It was originally planned that the Commission 
would depart for the Near East on November 7, 
and that about three weeks would be spent in the 
area studying the situation. On their return the 
Commission would complete its report for trans- 
mission to the Congress by December 14, 1953, as 
provided by Section 549 of the Mutual Security 
Act of 1951, as amended, as quoted above. 

^ Transmitted on Dec. 14 to the President, the Vice 
President, the Speaker of the House of Representatives, 
the Senate Foreign Relations Committee, and the House 
Foreign Affairs Committee. 



Circumstances, however, necessitated a defer- 
ment of the field survey to a more feasible date. 
It was therefore detemiined that an interim report 
be filed pending a later visit to the Near East to 
study the situation at first hand, when a final re- 
port would be made. 

Inasmuch as it was not possible for the Com- 
mission to survey the conditions in the area first 
hand, it decided to commence its examination of 
the problem along the following lines : 

1. Consultation with official representatives of 
the Arab and Israeli Governments in the United 
States. 

2. Consultation with delegates to the United 
Nations, ofiicials of the United Nations, and at- 
tendance at sessions of the United Nations on the 
Palestine question. 

3. Consultation with Members of Congi'ess who 
have recently been in the Near East. 

4. Meet with members of the United States dele- 
gation to the General Assembly of the United 
Nations. 

5. Interview officials of voluntary and non-gov- 
ernmental agencies which conduct relief pro- 
gi"ams in the Near Ea.st area. 

6. Conferences with r«presentatives of the 
United Nations Relief and Works Agency for Pal- 
estine Refugees ( UNRWA) , the Chief of the Staff 
of the United Nations Truce Supervisory Organi- 
zation, and with the former United Nations Act- 
ing Mediator for Palestine, Dr. Ralph Bunche. 

7. Consultations on water resources with Mr. 
Eric Johnston, Special Representative of the 
President, and with Mr. Gordon Clapp, Chairman 
of the Board of Tennessee Valley Authority. 

8. Study of reports, and other documentation 
on the subject. 

All of the above were done, and in all contacts the 
Commission was received cordially. 

Because the Commission is not in a position to 
make any firm findings until an inspection of con- 
ditions in the area is possible, this is necessarily 
an interim report. 

II. The Problem 

The Arab refugees from Palestine are the vic- 
tims of political, economic, social, and religious 



ianuary 18, 1954 



95 



forces between Arab States and what is now Israel. 
The movements and inter-relationship of events 
which resulted in this situation are beyond the 
scope of this study, except to the extent that they 
continue to influence the attitudes of the Arab 
States and Israel in dealing with the refugee prob- 
lem as outlined in Section VIII below. Briefly, 
it may be said that following the Balfour Declara- 
tion of 1917, favoring the establishment in Pales- 
tinex)f a national home for the Jewish people, there 
was increasing friction between Arabs and Jews 
as the latter became more numerous and achieved 
a I'ecognized status through the Jewish Agency 
under the British mandate. The persecution of 
the Jews by the Nazis before and during World 
War II led to increased pressures for mass Jewish 
migration to Palestine and for the creation of a 
Jewish state. 

The seriousness of the problem and the question 
of the legal status of the Palestine Mandate under 
the League of Nations led the British Grovernment 
to place the Palestine question before a special 
session of the General Assembly of the United 
Nations in Api'il 1947. In response to the British 
proposal, the General Assembly established a Spe- 
cial Committee on Palestine to submit proposals 
for the solution of the Palestine problem in 
September 1947. Its report furnished the basis 
for the decision of the General Assembly, Novem- 
ber 29, 1947, adopting a Plan of Partition for 
Palestine. 

Under the provisions of this resolution, the Gen- 
eral Assembly recommended the creation of an 
Arab State and a Jewish State from the former 
Palestine Mandate, with a separate international 
status for the City of Jerusalem. The establish- 
ment of the two proposed states was to be under 
the auspices of a United Nations commission. The 
immediate rejection of this proposal by the Arab 
nations, the indicated detennination of "the British 
Government to surrender authority over the man- 
dated area, and the determined planning by Jew- 
ish elements to assume the statehood recommended 
for them by the General Assembly led to violence 
and terrorism in the area. Thus when on May 15, 
1948, Israel declared its statehood and was im- 
mediately recognized by the United States and 
several other nations and when on the same date 
the British Government formally surrendered its 
mandatory powers, open hostilities broke out be- 
tween armed forces of neighboring Arab States 
and Israel. 

By reason of hostilities, hundreds of thousands 
of Palestinian Arabs fled to neighboring Arab 
countries, hopeful of an early return to their for- 
mer homes. In 1949 their numbers were estimated 
at over 1,000,000. Approximately half of them 
found refuge in the new Kingdom of Jordan 
where they constitute over one-third of the popu- 
lation of that countiy. Over 200,000 fled to the 
City of Gaza and its environs, under Egyptian 
control, where they out-numbered the local inhabit- 

96 



ants three to one. Another group of 100,000 
moved northward to Lebanon, increasing the pop- 
ulation of that country by 10%. Nearly 100,000 
took refuge in Syria. 

Their shelter was whatever they could find — 
mosques, barracks, schools, huts, and even caves. 
For many months the Arab governments made 
temporary arrangements for feeding them. Since 
this was a burden which the Arab States could not 
long sustain, they appealed to the United Nations 
for help. 

III. Early United Nations Interest and Concern 

With the outbreak of hostilities, the United Na- 
tions was inunediately faced with a three-fold 
task : bringing about cessation of hostilities ; as- 
sisting in the negotiation of armistice agreements ; 
and taking measures for the relief of the refugees. 
Through a series of decisions by the Security 
Council and as a result of negotiations conducted 
by the late Count Folke Bernadotte and Dr. Ralph 
Bundle in their successive roles as United Nations 
mediators, the first two tasks were substantially 
completed early in 1947. With respect to relief, 
the General Assembly of the United Nations in 
November 1948 established a $32 million relief 
program to be supported by voluntary contribu- 
tions from all governments, with field operations 
to be carried on by the League of Red Cross So- 
cieties, the International Committee of the Red 
Cross, and the American Friends Service Com- 
mittee. This was admittedly a stop-gap relief 
measure which left unresolved the question of the 
future of the refugees. 

The United Nations was equally concerned with 
the longer range task of bringing about a settle- 
ment of the outstanding issues between the Arab 
States and Israel. In its resolution of December 
11, 1948, the General Assembly established a Pal- 
estine Conciliation Commission, whose principal 
function was to assist the Governments concerned 
to achieve a final settlement of all questions out- 
standing between them. In paragraph 11 of this 
same resolution, it dealt with the political aspects 
of the refugee question in the following terms : 

11. Resolves that the refugees wishing to return to their 
homes and live at peace with their neighl)ours should 
be permitted to do so at the earliest practicable date, 
and that compensation should be paid for the property 
of those choosing not to return and for loss of or damage 
to property which under principles of international law 
or in equity, should be made good by the Governments 
or authorities responsible. 

Subsequent action by the United Nations is dealt 
with in Section VI below. 



IV. United States Interest and Concern 

The American people have a natural humani- 
tarian concern in the plight of these imfortunate 
people. During the past three and one-half years 
they have made contributions through numerous 

Department of State Bulletin 



religious, charitable, and philanthropic groups for 
the welfare of these people amounting to about 
$8,000,000. 

The stake of this Government in the Near East, 
as related to the refugee problem, is clearly stated 
in the report of the Sub-Committee on the Near 
East and Africa of the Senate Foreign Relations 
Committee, dated July 24, 1953 : 

The United States has an interest in doing what it 
can to help solve the refugee problem because of its di- 
rect relationship to the economic and political stability 
and the security of the Near East. The United States 
does not wish to see the internal order and the inde- 
pendence of the countries of the Near East threatened 
hy economic chaos. Communist penetration, or military 
hostilities. Disorder with a resultant possibility of the 
renewal of hostilities in this part of the world would 
threaten the security interest of the United States and 
the free world generally. 

The extent to which the United States Govern- 
ment has demonstrated its interest and concern is 
given in Section VII below. 



V. Present Situation of the Refugees 

There are now 870,000 registered refugees re- 
ceiving relief from the United Nations Relief and 
Works Agency for Palestine Refugees. They are 
distributed as follows : 

Jordan 475, 000 

Gaza 208, 000 

Lebanon 102. 000 

Syria 85, 000 

In addition, about 5,000 in Iraq are being assisted 
by that Government. 

The 1600 calorie daily ration furnished by the 
United Nations Relief and Works Agency, con- 
sisting chiefly of flour, dried vegetables, oils, and 
fats, is considered a minimvim sustaining ration. 
The cost per person for all relief is estimated at 
slightly less than $3.00 per month. One-third of 
the refugees now live in Unrwa camps, while the 
remainder live in towns and villages, many of them 
in make-shift shelter. Their numbers are grow- 
ing as a result of a natural increase of between 
twenty and twenty-five thousand annually. 

Substantial numbers of them are close to their 
former homes in what is now Israel. Many cross 
the armistice lines to sow crops in the spring and 
reap them in the fall. Tiiese, and crossings for 
other purposes, often result in shooting incidents 
and constitute a continuing source of tension be- 
tween Israel and the Arab States, particularly 
along the Israel-Jordan border. 

Except in Jordan, the refugees have no citizen- 
ship and no employment rights. In Jordan, where 
the refugee population constitutes one-third of the 
population of the country, the presence of (he ref- 
ugees has tended to depress wage levels and ad- 
versely affect the already low standard of living 
prevailing in that country. Moreover, there are 
in addition about 120,000 who are not refugees, but 
who have lost their means of livelihood as a result 



of armistice lines which separate their homes from 
their lands or places of occupation. 

In Lebanon where there is under-employment 
of the indigenous peoples, the refugees are neither 
accorded legal permission to work nor the rights 
of citizenship, clue to the delicate balance between 
Christians and Moslems on which their political 
system is based. 

In Syria consideration is being given to legis- 
lation which would permit the refugees to work 
and to acquire citizenship. 

In Gaza, a city of 80,000 before hostilities, con- 
ditions are exceptionally deplorable because the 
economic activity of that city has been severely 
curtailed since it was cut off from its normal eco- 
nomic life under the Palestine Mandate. The 
addition of a refugee population of more than 
200,000 in this small strip, 25 miles long and 8 miles 
wide, between the desert and the sea, has created 
an impossible economic situation. 

VI. Efforts To Resolve the Problem 

The refugee problem has been inexorably linked 
with the general problem of resolving outstand- 
ing issues between Israel and the Arab States. In 
the words of the Under Secretary of State Walter 
Bedell Smith,^ 

The refugee problem is the principal unresolved issue 
between Israel and the Arabs. Outstanding issues are 
generally listed as compensation to the refugees, repatria- 
tion of the refugees, adjustment of boundaries, and the 
status of Jerusalem and of the holy places. None of 
these issues can }ye separated from the refugee problem 
because that is the human problem. 

Despite the connection of the refugee problem 
with the overall political problem, plans and pro- 
grams were needed to provide for refugee em- 
ployment and the reduction of ration rolls with- 
out awaiting settlement of other outstanding is- 
sues. This need was first recognized in lO-tO when 
a United Nations Economic Survey Mission for 
the Middle East was established mider the chair- 
manship of Mr. Gordon Clapp, Chairman of the 
Board, Tennessee Valley Authority. This mis- 
sion, after a field survey, pointed to the need to 
provide immediate employment for refugees on 
useful works such as roads, afforestation and ter- 
racing, which did not require extensive planning. 
At the same time it pointed to certain longer range 
developmental possibilities in the countries shel- 
tering the refugees and recommended a number of 
))ilot projects. 

On the basis of the recommendations of the 
Economic Survey Mission, the General Assembly, 
on December 8, 1949, established the United Na- 
tions Relief and Works Agency for Palestine 
Refugees (Unrwa) to take over the relief opera- 
tion initiated in 1948, and to undertake works 
projects for refugee employment. These projects, 
initiated by Unrwa in 1950, demonstrated that 

= BuiXETiN of June 8, 1953, p. 823. 



January 18, 1954 



97 



er 



refugee skills could be constructively used, even 
though they did not provide more than a tem- 
porary reduction in the ration rolls. Moreover, 
they paved the way for the consideration of longer 
range development programs which would oner 
continuing employment for refugees. _ 

It was with such possibilities in mind that the 
Director and Advisory Commission of Unrwa rec- 
ommended to the General Assembly of the United 
Nations a three-year "reintegration" program esti- 
mated to cost $200,000,000, and relief costs esti- 
mated for the same three-year period at $50,000,- 
000. This program was approved by the General 
Assembly on January 26, 1952. 

The biggest problem faced by Unrwa in the 
implementation of this program has been to find 
practicable projects at reasonable cost in countries 
where the refugees are presently located, which 
are politically acceptable to the governments con- 
cerned. A brief description of the major efforts 
and results to date follows : 

Jordan. In a country of scarce resources — agri- 
cultural, industrial, or mineral — and an extremely 
low standard of living, development prospects 
were not bright. Attention was focused, however, 
on the possibility of reclaiming lands in the Jor- 
dan Valley through water storage facilities and 
irrigation works. A proposal was advanced 'w\ 
1952 for a liigh dam on the Yai'muk River for 
storage and power purposes, under which the 
stored water of the Yarmuk would be used to irri- 
gate both sides of the lower Jordan Valley within 
the territory of the Kingdom of Jordan. 

A program agreement was concluded between 
Unrwa and Jordan under which Unrwa agreed 
to reserve to December 31, 1953, $40,000,000 for 
such a development, provided that it was feasible 
and principally benefited refugees. 

Before embarking on a development involving 
the water interests of other countries, Unrwa de- 
cided that a desk study of the Jordan Valley 
waters should be made from the standpoint of 
their effective and economic use under a compre- 
hensive plan without regard to existing bound- 
aries. This study, undertaken by Charles T. Main. 
Inc., under the supervision of the TVA, and com- 
pleted in October 1953, resulted in a basic plan 
for the unified development of the water resources 
of the entire Jordan Valley. This plan was de- 
veloped without regard to political frontiers, and 
shows how the waters of the Jordan mav be effi- 
ciently stored and controlled for irrigation and 
hydroelectric power. It is designed to give max- 
imum benefits to all the peoples on both sides of 
the Jordan River, including the refugees, with the 
least cost. 

A rough cost estimate of the unified plan would 
be $121,000,000, without power phases included, 
and of which about $42,000,000 would be for works 
in Jordan, not including land development. The 
high dam on the Yarmuk is shown in this report 
to be excessively costly in terms of storage for 

98 



irrigation purposes when the natural reservoirs of 
Lake Tiberias could be utilized at a relatively 
small cost. This does not rule out the possibility 
of a lower dam on the Yarmuk designed pri- 
marily for power. Of still greater importance, 
far more water would be available under the uni- 
fied plan for irrigation of lands in the lower Jor- 
dan and consequently benefit a larger number of 
I'efugees. Acceptance of the basic principle of 
the plan by Jordan, Syria, Lebanon, and Israel is 
essential if the far-reaching benefits contemplated 
under it are to be realized. Without acceptance of 
its basic principles, this prospect for a livelihood 
for some 150-200,000 refugees in Jordan may be 
lost. 

In view of the economic and political importance 
of the unified plan, the President sent Mr. Eric 
Johnston as his Special Representative to explain 
its significance and benefits to the countries con- 
cerned. In the meantime, the necessary detailed 
engineering surveys are proceeding on projects in 
Jordan which are consistent with the plan, and on 
which construction could be started within the 
coming yeai'. 

Meanwhile, other projects are in operation in 
Jordan. An $11 million progi-am agreement was 
concluded with Jordan in 1952 under which proj- 
ects are being undertaken to provide a living for 
approximately 6,000 refugee families (30,000 
refugees) . A number of projects under this pro- 
gram have been completed, including the re-estab- 
lishment of villages of refugees whose homes were 
formerly in Israel, but whose lands lie along the 
Jordanian side of the armistice line. This pro- 
gram has also included housing projects in Am- 
man, the capital of Jordan, and several small 
agricultural settlements where ground water has 
been found. A vocational training program esti- 
mated to cost $1 million has been undertaken to 
provide technical training in vocations for which 
there is a demand for trained persons. Other 
projects have included loans to private enterprises 
providing employment of refugees through the 
Jordan Development Bank, part of whose capi- 
tal is subscribed by Unrwa. 

Syria. A $30 million program agreement has 
been concluded between Unrwa and the Syrian 
Government which reserves $30 million for agri- 
cultural, technical training, educational and other 
projects to provide employment for the 85,000 
refugees now resident in Syria. One agricultural 
settlement for 200 families (1,000 refugees) is near 
completion. With regard to larger-scale projects, 
the Director of Unrwa in his report to the Gen- 
eral Assembly in 1953,^ stated that : 

Attempts have also been made to find areas suitable 
for more significant agricultural development, and two 
survey expeditions have been made for this purpose in 
north and northeast Syria. The conclusion reached as a 
result of these surveys was that the area had great po- 
tentialities and that opportunities existed on State do- 



'U.N. doe. A/2470. 



Department of State Bulletin 



main land, not only for major schemes, btit also for many 
projects involving only minor pumping from the 
Euphrates, which could be completed and put to use com- 
paratively quickly. Detailed topographical, engineering 
and soils survey would have to be made before the suit- 
ability of any given site for a major scheme could be 
accurately assessed, but so far government permission 
for these surveys has not been forthcoming. 

Egypt. The Egyptian Government has been 
deeply concerned with the 200,000 refugees at Gaza 
and has extended full cooperation to Unrwa in 
exploring various possibilities for settling these 
refugees in the Sinai Peninsula. Surveys were 
made two years ago for underground water re- 
sources which would be capable of supporting 
i-efugee communities in that area. The results 
of these surveys were negative. During the past 
year consideration has been given to the possi- 
bility of siphoning water from a sweet water canal 
fed by the Nile, under the Suez Canal to the Sinai 
Peninsula, and reclaiming lands in that area 
which might benefit some 60 to 70 thousand 
refugees. Detailed surveys as to the feasibility 
and extent of the irrigable area, expected to be 
completed within eight months, are now being 
made under a program agreement between the 
Egyptian Government and Unrwa, for which $30 
million has been reserved by Unrwa. 

The work of Unrwa described in the foregoing 
paragraphs has thus far been confined largely to 
negotiations of program agreements and the iden- 
tification and survey of projects under those agree- 
ments. Consequently, less than 10 percent of the 
$200,000,000 reintegration fund has been actually 
expended on the reintegration program, with the 
result that relief costs have continued on a larger 
scale than estimated when the three-year program 
was adopted. The United States and other dele- 
gations to the United Nations expressed great con- 
cern with the slow progress on reintegration and 
the resulting costs of continuing relief. This sit- 
uation was reviewed by the General Assembly at 
its current session in view of the expiration of the 
authorized term of Unrwa, previously fixed for 
June 30, 1954. The General xVssembly, after re- 
viewing the report of the Director and Advisory 
Commission of Unrwa, decided to extend the life 
of Unrwa until June 30, 1955, and to review the 
program again at its next session in the autumn 
of 1954. It likewise authorized relief expendi- 
tures for the fiscal year 1954 of $24.8 million. 
This increase over 1953 is attributable to the need 
to provide additional shelter for refugees moving 
into camps, and to provide rations for refugees not 
previously assisted. The General Assembly also 
established a relief budget for the fiscal period 
1955 of $18 million. The following table shows 
Unrwa 's total authorized relief program for fiscal 
years 1952-55. 

1952 $27, 000, 000 

im^ $23, 000, 000 

1954 $24, 800, 000 

19.'55 $18, 000, 000 

Total $92, 800, 000 



VII. U.S. Financial Support 

The great concern of the United States in the 
maintenance of peace and stability in this area of 
the world has prompted generous U.S. support 
for the refugee program and the sharing of a high 
proportion of its costs. This has been manifested 
by the Congress in its appropriations for the U.S. 
contributions which, since the beginning of the 
relief program in 1949, have totalled $153,513,250. 
Of this a^mount, $109,450,000 has actually been 
paid, including $43,450,000 for the relief and 
works program through June 30, 1951. 

In January 1952, a $250 million relief and rein- 
tegration program was adopted by the General 
Assembly. Toward this program Congress ap- 
propriated $50,000,000 for fiscal 1952 and $60,063,- 
250 for 1953 for a total of $110,063,250. Of this 
amount, the United States has actually paid the 
following : 

Fy 1952 Fy 195S Total 

Relief $18,000,000 $16,000,000 $34,000,000 

Reintegration--- 32,000,000 32,000,000 



$50, 000, 000 $16, 000, 000 $66, 000, 000 

Of the $32 million shown in the table above for re- 
integration in 1952, $20 million is still held in a 
special United States Treasury account on which 
Unrwa may draw when the funds are needed for 
disbursement. 

It will be noted from the foregoing that only 
$16 million was paid out in 1953, leaving a balance 
of $44 million which was not paid. Congress re- 
appropriated this sum for fiscal 1954. It is ex- 
pected that $15 million of this amount will be 
paid toward the current year's relief requirements 
with the remaining $29 million being held avail- 
able for the reintegration program. In addition. 
Congress authorized a sum of $30 million for the 
current fiscal year on the understanding that an 
appropriation under that authorization would not 
be sought unless the rehabilitation program moved 
forward with such speed that it would be required 
during the current fiscal year. 

The financing of the program by contributing 
governments has been on a voluntary basis. United 
States contributions have been limited to not more 
than 70 percent of the contributions of other gov- 
ernments. Up to the present time, U. S. pay- 
ments have represented approximately 65 percent. 
Plowever, as larger expenditures are required by 
the Agency for large scale projects, it is expected 
that the U. S. will need to furnish 70 percent of 
the total. The balance of contributions has come 
from 56 countries — the USSR and satellite coun- 
tries contributing nothing. 

Prior to Congressional authorization and appro- 
priation for funds for the fiscal year 1954, the 
Senate Foreign Relations Committee indicated 
concern with the rate of progi-ess being made in 
resolving the problem. In the report of its sub- 



January 18, 1954 



99 



committee which held hearings on the Palestine 
refugee problem the following statement was 
made: 

American aid cannot continue indefinitely. In fact ttie 
subcommittee is of the opinion that unless considerably 
more progress is shown in the near future than has been 
shown up to this time, the Congress would not be justi- 
fied in continuing aid for this program through the United 
Nations. 

The American people are moved by strong humfimtarian 
motives, but they cannot be expected to bear indefinitely 
so large a share of the burden involved in this situation 
when Israel and the Arab States show so little initiative 
in helping to settle the matter among themselves. There 
is a very real danger that the longer the United States 
continues to supply relief money, the less desire there 
will be on the part of the states in this area to make real 
efforts on their own to liquidate the problem. 

These sentiments were reflected in the statement of 
Congressman James P. Richards, of the United 
States Delegation to the United Nations, when the 
question of continuation of Unewa was under 
consideration by the General Assembly, in No- 
vember 1953.* 



VIII. The Political Aspects of the Arab Refugee 
Problem 

The unresolved problems of the Arab refugees 
are the result of the determined disagreement be- 
tween the Arab States and the States of Israel. 
Briefly, it can best be presented by stating the 
relative positions of the parties involved, as stated 
to the Commission: (1) The Arab States; (2) Is- 
rael, and (3) the refugees. 

(1) The Arab States. The Arab attitude is 
basically that Palestine is an area inhabited by 
Palestinian Arabs for centuries and that they are, 
therefore, legally and morally entitled to the lands 
from which the refugees fled as a result of hostili- 
ties in 1947-48. Arab leaders reject the claims of 
the Israeli Government that there is any other 
outstanding legal or moral claim to Palestinian 
lands. They have pointed out that a Jewish state, 
as such, existed for only 150 years in the 4,000 
years of the recorded history of Palestine. Thej' 
regard the circumstances of flight by the refugees 
to be the direct result of premeditated aggression 
and teiTor by organized Israeli groups. They cul- 
minated in fear-invoking incidents designed solely 
for the purpose of creating fear among the Pales- 
tinian Arabs so as to make them abandon their 
homes and lands. 

The Arabs contend that it was only for these 
reasons that the Palestinian Arabs left their homes 
and became unwilling refugees in neighboring 
Arab States. These Arab States gave them refuge 
and aid to the extent of their ability, but under no 
circumstances did they assume moral or legal re- 
sponsibility for them as their kin. Their only 

" For text of a statement by James P. Richards of the 
U. S. delegation to the Eighth General Assembly, see 
Bulletin of Nov. 30, 1953, p. 759. 



relationship is one of common language. Their 
predominant Moslem faith is one which the Arab 
States share with 350 million Moslems in other 
countries from the Philippines to Spain to whom 
they owe no moral or legal responsibility for 
their well-being. The Arabs insist that simple 
justice requires the recognition of the right of 
the refugees to return to their homes and lands, 
or if they do not elect to return to Palestine, that 
they should be compensated for the loss of their 
property. They repeatedly point to the recog- 
nition of this principle by the United Nations 
contained in its Resolution of December 11, 1948. 

The Arab States basically fear, and often repeat, 
that Israel's motives are to further expand its 
territory, by force or other devices. Therefore, 
any peace settlement would be only an interlude 
before hostilities would be resumed to accomplish 
these ends. The Arabs contend that the United 
States, the United Kingdom, and the United 
Nations are principally responsible for the cre- 
ation of the State of Israel and, therefore, are 
bound to find the solution to the refugee problem. 

(2) Israe}. The attitude of Israeli leaders is 
basically that there are historical and moral rights 
to their homelands in Palestine which date back 
to Biblical times. Also it is a fulfillment of their 
religious obligation to re-establish a Jewish State. 
It is contended that this is "righting an historical 
wrong". This principle, they hold, was recog- 
nized in the Balfour Declaration of 1917. They 
point to the migration of their people during the 
period of the British Mandate in which they 
legally and properly obtained claims to land, in 
addition to that owned by the Levantine Jewish 
people who had lived there for centuries. They 
regard the hostilities of 1948 as being acts of 
Arab aggression and point to the Arab refusal to 
accept the Partition Plan. They also maintain 
that whea the Palestinian Arabs fled into neigh- 
boring Arab countries they did so of their own 
accord at the urging of Arab leaders. Moreover, 
these areas have since been settled and built up 
by their people, and as such they have established 
aright to the lands. 

Although the Israeli Government recognizes 
the principle of compensation for lands owned by 
the Arabs, it regards this as a matter to be dealt 
with in a general peace settlement. Repeatedly 
they point to the fact that since 1948, in addition 
to 350,000 refugees from Europe, they have re- 
settled over 300,000 Jewish refugees from Arab 
and Moslem countries, principally from Iraq, 
Yemen and North Africa. Because they are ac- 
tive in the integration of these Jewish refugees 
they consider the Arabs should show a similar 
concern for the integration of Palestinian refu- 
gees into Arab countries. 

The Israeli Government takes determined ex- 
ception to the policy of the Arab States in im- 
posing and maintaining an economic blockade of 
Israel apparently for the purpose of forcing them 



TOO 



DepaT\m&ni of Sfafe Bulletin 



into economic impotence. Further, Israel takes 
the position that their neighboring Arab States 
intentionally permit the continuance of these de- 
plorable refugee conditions on the borders of 
Israel for the purpose of keeping alive the ten- 
sions between them and Israel, and for the pur- 
pose of mobilizing public opinion in behalf of the 
Arab position. 

Finally, they point to the fact that it is Israel 
which has invoked the provision of the Armistice 
Agreement for a settlement of all points of dispute 
leading to a final settlement with the Arab States, 
but it is the Arab States which refuse to negotiate 
a peace settlement. 

(3) The Refugees. The attitude of the refugees 
themselves is more difficult to assess, because there 
is no single authoritative voice to speak for them. 
However, representatives of several non-govern- 
mental agencies assisting the refugees refer to 
their state of mind as wanting to be repatriated to 
their homes in Israel. This matter, however, is 
subject to some division of informed opinion to the 
effect that the refugees would be reluctant to re- 
turn to their homes under Israeli rule. It is con- 
tended that laws of the State of Israel are punitive 
and discriminatory to the Arabs who remain in 
Israel, and would be worse if large numbers of 
them were repatriated. However, it is claimed 
that the refugees demand the recognition of the 
principle of their right to repatriation, or, in the 
alternative, to be comjiensated for their property 
now in Israel. 

United Nations Action 

The general attitude and position of the Arabs 
and Israelis outlined above has seriously impeded 
any effective work on the part of the Palestine 
Conciliation Commission in bringing the parties 
together to resolve the outstanding questions be- 
tween them. As a result of this failure, the Pal- 
estine Conciliation Commission for the past two 
years has been confined primarily to studying the 
compensation problem and making arrangements 
for unfreezing of blocked accounts of Arabs in 
banks located in Israel. Meanwhile, an uneasy 
state of armistice exists under the terms of the 
separate armistice agreements between Israel and 
each of her surrounding Arab neighbors. The ob- 
servation and enforcement of these agreements 
is entrusted to the Chief of Staff of the United 
Nations Truce Supervision Organization, backed 
up by the Security Council. 

IX. Observations 

This report is of necessity not a complete state- 
ment because the Commission has not as yet had 
an opportunity to inspect the area. The Com- 
mission feels, however, that the following observa- 
tions, although general in nature, are fundamental 
and deserve immediate and further exploration. 



It is hoped that more concrete recommendations 
can be made by the Commission following its in- 
vestigation in the area. 

The refugee problem is inextricably woven into 
the entire economic, social, and political situation 
which afflicts the Middle East of today. 

Economic development of the area, without 
doubt, will make the possibilities of peace more 
capable of realization. However, it is not in itself 
a complete answer to the problem. The Commis- 
sion sees no permanent solution to the refugee 
problem until there is a more favorable political 
atmosphere leading to a workable peace estab- 
lished between the Arab States and Israel. 

The depth of the emotions and the character 
of the issues involved on both sides are not such 
as to lend themselves to a permanent solution 
of the refugee problem by economic considerations 
alone. 

This government has both a stake and responsi- 
bility, together with the other members of the 
United Nations, in the final solution of the refugee 
jiroblem. Arabs and Israelis, for different rea- 
sons, recognize our concern in the prosperity and 
stability of the Near East. Therefore, the Com- 
mission makes the following observations : 

( 1 ) Support should be given to the decision of 
the United Nations General Assembly to continue 
the United Nations Relief and Works Agency for 
Palestine Refugees (Unrwa) until June 30, 1955. 
It should be noted that the U. S. Delegation to the 
United Nations voted in favor of this resolution. 

(2) Temporary and stop-gap projects are not 
the solution to the economic distress of the people 
in this area. It follows that only a permanent 
and practical plan of development is the answer 
to the economic side of the refugee problem. The 
l^rinciples of the unified plan for the development 
of the Jordan River appear to be the best forward 
step in this direction, inasmuch as water appears 
to be the most valued resource in this area, and in 
shortest supply. The Commission feels that this 
will overcome the inertia enveloping the refugee 
l)roblem and give that necessary impetus which 
would put the refugees in a position to help them- 
selves and become independent of the largess of 
others. 

(3) Despite the difficult situation as related to 
the i-efugees, there appear to be favorable oppor- 
tunities for permanent economic improvement of 
refugee families. This involves the development 
of irrigation projects and appurtenant works 
which, if developed, could improve the economic 
condition of a substantial part of this area. The 
surveys now in progress should be pursued to com- 
pletion as soon as possible to determine if the 
projects are feasible and economically sound, in 
order that agreements can be reached at an early 
date to clear the way for commencement of 
construction. 

(4) All available resources, both private and 
public, must be used to restore that sense of mutual 



January 18, 1954 



101 



dignity and personal respect between the Arab 
and Jewish peoples which did exist prior to the 
outbreak of hostilities. It is recognized that this 
cannot be done by legi slation or force. The United 
States, as an interested party, should do all within 
its power to accomplish this end. One certain 
way in which this can be accomplished is to state 
our objectives clearly and to show our intention to 
be impartial and consistent. 

(5) To give positive moral assurance to the 
parties that we will accept our share of responsi- 
bility, together with the other members of the 
United Nations, only on the condition that any 
and all agreements made will be kept in good 
faith. 

It is felt that the opportunity exists now for a 
more substantial beginning to solve the refugee 
problem. However, it must not be half-hearted 
and indecisive, and it must be geared to objectivity 
and good will for all of the governments involved, 
and with firm assurance that we are not motivated 
by selfish considerations. 

It is clear that economic assistance alone is not 
capable of winning the respect and affection of 
these peoples and that, therefore, we and the 
United Nations must move with decision and de- 
termination in all our relationships with these 
governments in dealing with this problem. 



Current Legislation on Foreign Policy: 
83d Congress, 1st Session 

state Department Information Program — Information 
Centers. Hearings before the Permanent Subcom- 
mittee on Investigations of the Senate Committee on 
Government Operations Pursuant to S. Res. 40. Part 
6, May 6 and 14, 1953, pp. 357-415 ; Part 7, July 1, 2, 
and 7, 1953, pp. 417-482 ; Part 8, July 14, 1953, pp. 483- 
496: Part 9, Composite Index, August 5, 1953, pp. 
I-XVII. 

State Department — Student-Teacher Exchange Program. 
Hearing before the Permanent Subcommittee on In- 
vestigations of the Senate Committee on Government 
Operations Pursuant to S. Res. 40. June 10 and 19, 
1953, 21 pp. 

St. Lawrence Seaway. Hearings before the House Com- 
mittee on Public Worlis on II. J. Res. 104, providing 
for creation of the St. Lawrence Seaway Development 
Corporation to construct part of the St. Lawrence 
Seaway in United States Territory in the interest of 
national security ; authorizing the Corporation to con- 
summate certain arrangements with the St. Lawrence 
Seaway Authority of Canada relative to construction 
and operation of the Seaway ; empowering the Cor- 
poration to finance the United States share of the 
Seaway cost on a self-liquidating basis ; and for other 
purposes. June 11, 12, 15, 16, 17, and 18, 1953, 539 pp. 

Miscellaneous Hearings. Hearings before the House Com- 
mittee on Banking and Currency on the International 
Wheat Agreement Amendment (S. J. Res. 97) . Vol. I, 
July 20, 1953, pp. 45-72. 

Amendments to the Trading with the Enemy Act. Hear- 
ings before a Subcommittee of the Senate Committee 
on the Judiciary on S. 34, S. 145, S. 151, S. 155, S. 249, 



S. 373, S. 1765, S. 2171, S. 2231, S. 2315, and S. J. Res. 
92. July 20, 21, and 22, 1953, 555 pp. 

Famine Relief. Hearings before the House Committee on 
Agriculture on H. R. G016, a bill to authorize the Com- 
modity Credit Corporation to make agricultural com- 
modities owned by it available to the President for the 
purpose of enabling the President to assist in meeting 
famine or other urgent relief requirements in coun- 
tries friendly to the United States. July 22, 23, and 
24, 1953, 173 pp. 

Security — United Nations. Hearings before the Perma- 
nent Subcommittee on Investigations of the Senate 
Committee on Government Operations Pur.suant to 
S. Res. 40. September 17 and 18, 1953, 67 pp. 

Thirty-fourth Report to Congress on I^nd-Lease Opera- 
tions. Message from the President transmitting the 
thirty-fourth report on operations for the year ending 
December 31, 1952. (Payments and Settlements ; Cur- 
rent Settlement Negotiations; Status of Nations; 
Lend-I>ease Act.) September 24, 19.53, 32 pp. 

Testimony of Dr. Marek Stanislaw Korowicz. Hearing 
before the House Committee on Un-American Activi- 
ties. September 24, 1953, pp. 25S5-2609. 

Importation of Feed Wheat. Hearings before a Subcom- 
mittee of the Senate Committee on Agriculture and 
Forestry on importation into the United States of 
Canadian wheat classified as "wheat, unfit for human 
consumption," under paragraph 729. Tariff Act of 
19.30. Part 2, October 8 and 9, 19.5.3— Minneapolis, 
Minn. ; October 13 and 14, 1953— Galveston, Tex. ; 
pp. 167-545. 

Transfer of Occupation Currency Plates — Espionage 
Phase. Hearing before the Subcommittee on Govern- 
ment Operations Abroad of the Permanent Subcom- 
mittee on Investigations of the Senate Committee on 
Government Operations pursuant to S. Res. 40. 
October 20 and 21, 1953, 64 pp. 

Stockpile and Accessibility of Strategic and Critical Mate- 
rials to the United States in Time of War. Hearings 
before the Special Subcommittee on Minerals, Mate- 
rials and Fuels Economics of the Senate Committee 
on Interior and Insular Affairs pursuant to S. Res. 
143, a resolution to investigate the accessibility and 
availability of supplies of critical raw materials. 
Part 1, Department of the Interior : Bureau of Mines, 
October 20, 21, 23, and 24, 1953, 351 pp. 

Joint Committee on Atomic Energy. Summary of the 
hearing before the Joint Committee on Atomic Energy 
on atomic power development and private enterprise. 
December 1953, 23 pp. 

Mutual Security Legislation and Related Documents, with 
explanatory notes. House Committee on Foreign 
Affairs. December 1953, 201 pp. 



Check List of Department of State 
Press Releases: January 4-10 

Releases may be obtained from the News Divi- 
sion, Department of State, Washington 25, D. C. 

No. Date Subject 

*2 1/5 Leddy leave of absence 

t3 1/6 Lvon appointment (re-write) 

4 1/6 Aid to Italy 

t5 1/7 Estate-tax convention with Australia 

t6 1/8 Hickingbotham appointment (re-write) 

*Not printed. 

tHeld for a later issue of the Bulletin. 



102 



Department of State Bulletin 



January 18, 1954 



Index 



Vol. XXX, No. 760 



American Principles 

Facing the New Year With Confidence (Dulles) .... 82 
Foreign Policy Conference Held at White House 

i(Hagerty) . . w 79 

State of the Union Excerpts (Eisenhower)i 75 

Atomic Enemy. Reply From U.S.S.R. on Atomic Energy 

(Proposal (Suydam; Soviet statement) 79 

Congress 

Current Legislation on Foreign Policy : 

83d Congress, 1st Session 102 

Foreign Policy Conference Held at White House 

(Hagerty) ..,,., 79 

State of the Union (Excerpts) I (Eisenhower) ..... 75 
Survey of the Arab Refugee Situation 95 

Economic Affairs 

Export-Import Bank Reports on 1953 Activities ... 89 

India's Railway System To Receive Foa Aid 88 

Survey of the Arab Refugee Situation 95 

Telecommunications Policy and the Department of State 

(Black) 83 

Hong Kong. Emergency Relief for Hong Kong Fire Vic- 
tims (Stassen) 87 

India. India's Railway System To Receive Foa Aid . . BS 
International Telecommunication Union. Telecommunica- 
tions Policy and the Department of State (Black) . . 83 

Italy. U.S. Aid to Italy 82 

Korea 

Report of U.N. Command Operations in Korea (75th) . 92 

U.N. Command Defines Position on Nonrepatriated War 

Prisoners (Hull) 90 

Military Affairs 

Report of U.N. Command Operations in Korea (75th) . 92 

U.N. Command Defines Position on Nonrepatriated War 

Prisoners (HuU) 90 



Matual Security 

Emergency Relief tor Hong Kong Fire Victims (Stassen) . 87 

India's Railway System To Receive Foa Aid 88 

Technical Cooperation Survey in Surinam and British 

Guiana 89 

U.S. Aid to Italy 82 

Near East. A Survey of the Arab Refugee Situation . . 95 

The Netherlands. Technical Cooperation Survey In Suri- 
nam and British Guiana 89 

Presidential Documents 

Messages to Congress. The State of the Union Excerpts 

(Elsenhower) 75 

Refugees and Displaced Persons. A Survey of the Arab 

Refugee Situation 85 

Treaty Information. U.N. Command Defines Position on 

Nonrepatriated War Prisoners (Hull) 90 

United Kingdom. Technical Cooperation Survey in Suri- 
nam and British Guiana 89 

U.S.S.R. Reply From U.S.S.R. on Atomic Energy Pro- 
posal (Suydam; Soviet statement)' 79 

Name Index 

Black, Richard T 83 

Dulles, Secretary 82, 95 

Elsenhower, President 75 

Hagerty, James C 79 

Hull, Gen. John E 90 

Molotov, Vyacheslav M 79 

Stassen, Harold E 87, 95 

Suydam, Henry 79 



D. 9. GOVERNMENT PRINTING OFFICE; iaS4 




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REGIONAL ORGANIZATIONS. 

EUROPE AND THE NORTH ATLANTIC AREA: 

a description of their development and functions 

Department of State publication 4944 15^ 



To cope with (1) the overwhelming destruction of 
World War II and (2) the aggressive tendencies of 
the Soviet Union, Europe and the North Atlantic 
area have formed organizations designed to increase 
their economic, political, and military strength. This 
34-page publication examines these organizations 
briefly in text and charts. Here are described the 
origin, structure, and functions of — 

• The Benelux Economic Union 

• The Economic Commissioyi for Europe (ECE) 

• The Organization for European Economic Co- 
operation (OEEC) 

• The Council of Europe 

• The North Atlantic Treaty Organization 

• The European Coal and Steel Community {Schvy- 
man Plan) 

• The European Defense Community {EDO) 



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Vol. XXX, No. 761 
January 25, 1954 



^eNT Oj^ 




THE EVOLUTION OF FOREIGN POLICY • Address by 

Secretary Dulles 10' 

U.N. TO RELEASE WAR PRISONERS TO CIVILIAN 

STATUS 113 

ADMINISTRATION OF THE BRITISH-U. S. ZONE OF 

TRIESTE DURING 1952 124 

THE GROWING STRUCTURE OF INTERNATIONAL 
MOTOR TRAFFIC AGREEMENTS • Article by H. H. 
Kelly and W. G. Eliot, 3d 117 



For index see inside back cover 



iww o* 



BoBton Public Library 
Superintendent of Documents 

FEB 2 3 1954 



tJAe zl^e^ta'ylmeTi^ c^ t/tciie 




bulletin 



Vol. XXX, No. 761 • Publication 5349 
January 25, 1954 



For sale by the Superintendent of Documents 

U.S. Qovemment Printing Office 

Washington 26, D.C. 

Price: 

62 Issues, domestic $7.60, foreign $10.25 

Single copy, 20 cents 

The printing of this publication has 
been approved by the Director of the 
Bureau of the Budget (January 22, 1962). 
Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Department 
OF State Bulletin as the source will be 
appreciated. 



Tfie Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government icith information on 
developments in the field of foreign 
relations and on the work of the De- 
partment of State and the Foreign 
Service. The BULLETIN includes 
selected press releases on foreign pol- 
icy, issued by the White House and 
the Department, and statements and 
addresses made by the President and 
by the Secretary of State and other 
officers of the Department, as well as 
special articles on various phases of 
international affairs and the func- 
tions of the Department. Informa- 
tion is included concerning treaties 
and international agreements to 
which the United States is or may 
become a party and treaties of gen- 
eral international interest. 

Publications of the Department, as 
tcell as legislative material in the field 
of international relations, are listed 
currently. 



The Evolution of Foreign Policy 



Address hy Secretary Dulles ^ 



It is now nearly a year since the Eisenhower 
administration took office. During tliat year I 
have often spoken of various parts of our foreifjjn 
policies. Tonight I should like to present an 
overall view of those policies which relate to our 
security. 

First of all, let us recognize that many of the 
preceding foreign policies were f^ood. Aid to 
Greece and Turlcey had checked the Communist 
di"ive to the Mediterranean. The European Re- 
covery Program had helped the peoples of West- 
ern Europe to pull out of the postwar morass. 
The Western powers were steadfast in Berlin and 
overcame the blockade with their airlift. As a 
loyal member of the United Nations, we had re- 
acted with force to repel the Communist attack 
in Korea. When that effort exposed our militar3' 
weakness, we rebuilt rapidly our military estab- 
lishment. We also sought a quick buildup of 
armed strength in Western Europe. 

These were the acts of a nation which saw the 
danger of Soviet communism; which realized that 
its own safety was tied up with that of others; 
which was capable of responding boldly and 
promptly to emergencies. These are precious 
values to be acclaimed. Also, we can pay tribute 
to congressional bipartisanship which puts the na- 
tion above politics. 

But we need to recall that what we did was in 
the main emergency action, imposed on us by our 
enemies. 

Let me illustrate. 

1. We did not send our army into Korea be- 
cause we judged in advance that it was sound 
military strategy to commit our Ai-my to fight 
land battles in Asia. Our decision had been to 
pull out of Korea. It was Soviet-inspired action 
that pulled us back. 

'■2. We did not decide in advance that it was 
wise to grant billions annually as foreign eco- 



' Made before the Council on Foreign Kelations, New 
York, N. Y., on Jan. 12 (press release 8). 

January 25, 1954 



nomic aid. We adopted that policy in response 
to the Communist efforts to sabotage the free 
economies of Western Europe. 

3. We did not build up our military establish- 
ment at a rate which involved huge budget defi- 
cits, a depreciating currency, and a feverish econ- 
omy because this seemed, in advance, a good 
policy. Indeed, we decided otherwise until the 
Soviet military threat was clearly revealed. 

We live in a world where emergencies are al- 
ways possible, and our survival may depend upon 
our capacity to meet emergencies. Let us pray 
that we shall always have that capacity. But, 
having said that, it is necessary also to say that 
emergency measures — however good for the 
emergency — do not necessarily make good per- 
manent policies. Emergency measures are costly ; 
they are superficial; and they imply that the 
enemy has the initiative. They cannot be de- 
pended on to serve our long-time interests. 

The Need for Long-Range Policies 

This "long time" factor is of critical impor- 
tance. 

The Soviet Communists are planning for what 
they call "an entire historical era," and we should 
do the same. They seek, through many types of 
maneuvers, gradually to divide and weaken the 
free nations by overextending them in efforts 
which, as Lenin put it, are "beyond their 
strength, so that they come to practical bank- 
ruptcy." Then, said Lenin, "our victory is as- 
sured." Then, said Stalin, will be "the moment 
for the decisive blow." 

In the face of this strategy, measures cannot be 
judged adequate merely because they ward off an 
immediate danger. It is essential to do this, but 
it is also essential to do so without exhausting 
ourselves. 

When the Eisenhower administration applied 
this test, we felt that some transformations were 
needed. 

It is not sound military strategy permanently 

107 



to commit U.S. land forces to Asia to a degree 
that leaves us no strategic reserves. 

It is not sound economics, or good foreign policy, 
to support permanently other countries ; for in the 
long run, that creates as much ill will as good will. 
Also, it is not sound to become permanently com- 
mitted to military expenditures so vast that they 
lead to "practical bankruptcy." 

Change was imperative to assure the stamina 
needed for pennanent security. But it was 
equally imperative that change should be accom- 
panied by understanding of our true purposes. 
Sudden and spectacular change had to be avoided. 
Otherwise, there might have been a panic among 
our friends and miscalculated aggression by our 
enemies. We can, I believe, make a good report in 
these respects. 

We need allies and collective security. Our 
purpose is to make these relations more effective, 
less costly. This can be done by placing more 
reliance on deterrent power and less dependence 
on local defensive power. 

This is accepted practice so far as local com- 
munities are concerned. We keep locks on our 
doors, but we do not have an armed guard in eveiy 
home. We rely principally on a community se- 
curity system so well equipj^ed to punish any who 
break in and steal that, in fact, would-be aggres- 
sors are generally deterred. That is the modern 
way of getting maximmn protection at a bearable 
cost. 

What the Eisenhower administration seeks is a 
similar international security system. We want, 
for ourselves and the other free nations, a maxi- 
mum deterrent at a bearable cost. 

Local defense will always be important. But 
there is no local defense which alone will contain 
the mighty landpower of the Communist world. 
Local defenses must be reinforced by the further 
deterrent of massive retaliatory power. A poten- 
tial aggressor must know that he cannot always 
prescribe battle conditions that suit him. Other- 
wise, for example, a potential aggressor, who is 
glutted with manpower, might be tempted to at- 
tack in confidence that resistance would be con- 
fined to manpower. He might be tempted to 
attack in places where his superiority was de- 
cisive. 

The way to deter aggression is for the free com- 
munity to be willing and able to respond vigor- 
ously at places and with means of its own 
choosing. 

So long as our basic policy concepts were un- 
clear, our military leaders could not be selective 
in building our military power. If an enemy 
could pick his time and place and method of war- 
fare — and if our policy was to remain the tradi- 
tional one of meeting aggression by direct and 
local op])osition — then we needed to be i-eady to 
fight in the Arctic and in the Tropics ; in Asia", the 
Near East, and in Europe; by sea, by land, and 
by air ; with old weapons and with new weapons. 



The total cost of our security efforts, at home 
and abroad, was over $50 billion per annum, and 
involved, for 1953, a projected budgetary deficit 
of $9 billion; and $11 billion for 1954. This was 
on top of taxes comparable to wartime taxes; and 
the dollar was depreciating in effective value. 
Our allies were similarly weighed down. This 
could not be continued for long without grave 
budgetary, economic, and social consequences. 

But before military planning could be changed, 
the President and his advisers, as represented by 
the Xational Security Council, had to take some 
basic policy decisions. This has been done. The 
basic decision was to depend primarily upon a 
great capacity to retaliate, instantly, by means and 
at places of our choosing. Now the Department 
of Defense and the Joint Chiefs of Staff can shape 
our military establishment to fit what is our 
policy, instead of having to try to be ready to 
meet the enemy's many choices. That permits of 
a selection of military means instead of a multi- 
plication of means. As a result, it is now possible 
to get, and share, more basic security at less cost. 

The Far East 

Let us now see how this concept has been ap- 
plied to foreign policy, taking first the Far East. 

In Korea this administration effected a major 
transfonnation. The fighting has been stopped 
on honorable terms. That was possible because 
the aggressor, already thrown back to and behind 
his place of beginning, was faced with the pos- 
sibility that the fighting might, to his own great 
peril, soon spread beyond the limits and methods 
which he had selected. 

The cruel toll of American youth and the non- 
productive expenditure of many billions have been 
stopped. Also our armed forces are no longer 
largely committed to the Asian mainland. We 
can begin to create a strategic reserve which 
greatly improves our defensive posture. 

This change gives added authority to the warn- 
ing of the members of the United Nations which 
fought in Korea that, if the Communists renewed 
the aggression, the United Nations response would 
not necessarily be confined to Korea. 

I have said in relation to Indochina that, if there 
were open Red Chinese army aggression there, 
that would have "grave consequences which might 
not be confined to Indochina." 

I expressed last month the intention of the 
United States to maintain its position in Okinawa.^ 
This is needed to insure adequate striking power 
to implement the collective security concept which 
I describe. 

All of this is summed up in President Eisen- 
hower's important statement of December 26.^ 
He announced the progressive reduction of the 
U.S. ground forces in Korea. He pointed out 

' Bulletin of Jan. 4, 1954, p. 17. 
'Ibid., p. 14. 



108 



Department of State Bulletin 



that U.S. military forces in the Far East will 
now feature "highly mobile naval, air and am- 
phibious units"; and he said in this way, despite 
some withdrawal of land forces, the United States 
will have a capacity to oppose aggression "with 
even greater effect than heretofore." 

The bringing home of some of our land forces 
also provides a most eloquent rebuttal to the Com- 
munist charge of "imperialism." 



NATO 

If we turn to Europe, we see readjustments in 
the Nato collective security effort. Senator Van- 
denberg called the North Atlantic Treaty pledges 
"the most practical deterrent and discouragement 
to war which the wit of man has j'et devised." 
But he said also that "if the concept and objective 
are to build sufficient forces in being to hold the 
Russian line ... it presents ruinous corollaries 
both at home and abroad." 

In the first years of the North Atlantic Treaty 
Organization, after the aggression in Korea, its 
members made an emergency buildup of military 
strength. I do not question the judgment of that 
time. The strength thus built has served well 
the cause of peace. But the pace originally set 
could not be maintained indefinitely. 

At the April meeting of the Nato Council, the 
United States put forward a new concept, now 
known as that of the "long haul." * That meant 
a steady development of defensive strength at a 
rate which will preserve and not exhaust the eco- 
nomic strength of our allies and ourselves. This 
would be reinforced by the striking power of a 
strategic air force based on internationally agreed 
positions. 

We found, at the Council of last December, that 
there was general acceptance of the "long haul" 
concept and recognition that it better served the 
probable needs than an effort to create full de- 
fensive land strength at a ruinous price.° 



European Defense Community 

One of the emergency aspects of Nato is that 
it was begun befoi-e there was a solid foundation. 

For example, AVestern Europe cannot be suc- 
cessfully defended without a defense of West 
Germany. West Germany cannot be defended 
without help from the Germans. German par- 
ticipation is excluded by the armistice arrange- 
ments still in force. 

The West German Republic needs to be freed 
from the armistice; and new political arrange- 



' For a report on the April meeting of the Nato Council, 
see ibid., May 11, 19.5.3, p. 673. 

' For a report on the December meeting of the Nato 
Council, see ibid., Jan. 4, 1954, p. 3. 



ments should be made to assure that rearmed Ger- 
mans will serve the common cause and never serve 
German militarism. 

The French produced a plan to take care of 
this matter. It was to create a European De- 
fense Community, composed of France, Italy, Bel- 
gium, the Netherlands, Luxembourg, and West 
Germany. They would have a European army, 
including Germans, but there would be no na- 
tional armies in West Europe. 

A treaty to create this defense community was 
signed in May 1952. But when the Eisenhower 
administration took office last January, no gov- 
ernment had sought parliamentary ratification, 
and the project was nigh unto death. 

President Eisenhower is deeply convinced that 
there can be no long-term assurance of security 
and vitality for Europe, and therefore for the 
Western World including the United States, un- 
less there is a unity which will include France 
and Germany and end the disunity which has led 
to recurrent wars, and in our generation to two 
world wars. As Nato's Chief Commander, and 
now as President, he continues to make clear the 
importance which the United States attaches to 
the consummation of the European Defense Com- 
munity and, we would hope thereafter, a political 
community. 

Until the goals of Edc are achieved, Nato, and 
indeed future peace, are in jeopardy. Distrust 
between France and Germany is inflammable, and 
already Communist agents are looking to it as a 
means for international arson. 

There are of course immense difficulties in the 
way of the final consummation of Franco-German 
unity. But we have confidence that peace will 
soon have the indispensable foundation of 
the Edc. 

New collective securitj' concepts reduce non- 
productive military expenses of our allies to a 
point where it is desirable and practicable also to 
reduce economic aid. There was need of a more 
self-respecting relationship, and that, indeed, is 
what our allies wanted. Trade, broader markets, 
and a flow of investments are far more healthy 
than intergovernmental grants-in-aid. 

There are still some strategic spots where the 
local governments cannot maintain adequate 
armed forces without some financial support from 
us. In these cases, we take the judgment of our 
military advisers as to how to proceed in the com- 
mon interest. For example, we have contributed 
largely, ungi'udgingly, and I hope constructively, 
to end aggression and advance freedom in Indo- 
china. 

The technical assistance program is being con- 
tinued, and we stand ready to meet nonrecurrent 
needs due to crop failures or like disasters. 

But, broadly speaking, foreign budgetary aid is 
being limited to situations where it clearly con- 
tributes to military strength. 



January 25, 1954 



109 



The Hope 

In the ways I outlined we gather strength for 
the long-term defense of freedom. 

We do not, of course, claim to have found some 
magic formula that insures against all forms of 
Communist successes. It is normal that at some 
times and at some places there may be setbacks to 
the cause of freedom. What we do expect to in- 
sure is that any setbacks will have only temporarj' 
and local significance, because they will leave un- 
impaired those free world assets which in the long 
run will prevail. 

If we can deter such aggression as would mean 
general war, and that is our confident resolve, then 
we can let time and fundamentals work for us. 
We do not need self-imposed policies which sap 
our strength. 

The fundamental, on our side, is the richness — 
spiritual, intellectual, and material — that freedom 
can produce and the irresistible attraction it then 
sets up. That is why we do not plan ourselves 
to shackle freedom to preserve freedom. We in- 
tend that our conduct and example shall continue, 
as in the past, to show all men how good can be 
the fruits of freedom. 

If we rely on freedom, then it follows that we 
must abstain from diplomatic moves which would 
seem to endorse captivity. That would, in effect, 
be a conspiracy against freedom. I can assvire 
you that we shall never seek illusory security for 
ourselves by such a "deal." 

We do negotiate about specific matters but only 
to advance the cause of human welfare. 

President Eisenhower electrified the world with 
his proposal to lift a gi'eat weight of fear by turn- 
ing atomic energy from a means of death into a 
source of life." Yesterday, I started procedural 
talks with the Soviet Government on that topic. 
We have persisted, with our allies, in seeking 
the unification of Germany and the liberation of 
Austria. Now the Soviet rulers have agreed to 
discuss these questions. We expect to meet tliem 
soon in Berlin. I hope they will come with a sin- 
cerity which will equal our own. 

We have sought a conference to unify Korea 
and relieve it of foreign troops. So far, our per- 
sistence is unrewarded ; but we have not given up. 
_ These efforts at negotiation are normal initia- 
tives that breathe the spirit of freedom. They 
involve no plan for a partnership division of 
world power with those who suppress freedom. 

If we persist in the courses I outline we shall 
confront dictatorship with a task that is, in the 
long run, beyond its strength. For unless it 
changes, it must suppress the human desires that 
freedom satisfies— as we shall be demonstrating. 
If the dictators persist in their present couree, 
then it is they who will be limited to superficial 
successes, while their foundation crumbles under 
the tread of their iron boots. 

' Ibid., Dec. 21, 1953, p. 847. 

110 



Human beings, for the most part, want simple 
things. 

They want to worship God in accordance with 
the dictates of their conscience. But that is not 
easily granted by those who promote an atheistic 
creed. 

They want to think in accordance with the dic- 
tates of their reason. But that is not easily 
granted by those who represent an authoritarian 
system. 

They want to exchange -^aews with others and 
to persuade and to be persuaded by what appeals 
to their reason and their conscience. But that 
is not easily granted by those who believe in a 
society of conformity. 

They want to live in their homes without fear. 
But that is not easily granted by those who believe 
in a police state system. 

They want to be able to work productively and 
creatively and to enjoy the fruits of their labor. 
But that is not easily granted by those who look 
upon human beings as a means to create a power- 
house to dominate the world. 

We can be sure that there is going on, even 
within Russia, a silent test of strength between 
the powerful rulers and the multitudes of human 
beings. Each individual no doubt seems by him- 
self to be helpless in this struggle. But their 
aspirations in the aggregate make up a mighty 
force. 

There are signs that the rulers are bending to 
some of the human desires of their people. There 
are promises of more food, more household goods, 
more economic freedom. 

That does not prove that the Soviet rulers have 
themselves been converted. It is rather that they 
may be dimly perceiving a basic fact, that is that 
there are limits to the power of any rulers indefi- 
nitely to suppress the human spirit. 

In that God-given fact lies our greatest hope. 
It is a hope that can sustain us. For even if 
the path ahead be long and hard, it need not be 
a warlike path ; and we can know that at the end 
may be found the blessedness of peace. 



Meeting Place Agreed on 
for Berlin Conference 

Following is the text of a communique issued 
at Berlin, on January 17 l)y the Oipce of the U.S. 
High Commissioner for Germany. Identical 
statements were released hy representatives of 
France, the United Kingdom, and the U.S.S.R. 

At their fifth meeting held at the British head- 
quarters at Berlin on January 16, the representa- 
tives of the High Commissioners in Gennany of 
France, the United Kingdom, the United States of 
America and the Union of Soviet Socialist Ee- 



Deparlmenf of State Bulletin 



publics further considered the question of select- 
ing a meeting place for the conference of their 
four foreign ministers which is to begin in Berlin 
on January 25, and other teclmical matters con- 
cerning the conference. 

The representatives agreed that two buildings 
should be used for the conference and selected the 
building at 32 Elsholz Strasse which was formerly 
used as the headquarters of the Allied Control 
Council and the building at 63-65 Unter den 
Linden, the residence of the U.S.S.R. High Com- 
missioner in Germany. 

The representatives further agreed that for the 
first week of the conference the meetings will be 
held in the building formerly used by the Allied 
Control Council, that during the second week the 
meetings will be held in the residence of the U.S. 
S.R. High Commissioner in Germany, that during 
the third week the meeting will be held in the 
building formerly used by the Allied Control 
Council and that thereafter the place of the meet- 
ings will depend upon the course of the conference. 

Experts were nominated for the preparation 
of a number of technical arrangements. 



Austria Urges Treaty Action 

Press release 12i dated January 12 

FolJovnng are the tenets of a note dated Jan- 
uary 5 from the Austrian Government and the 
reply of the U.S. Governm,ent dated January 12 
regarding the mutval desire of the two Govern- 
ments for the early conclusion of an Austrian state 
treaty : 

Austrian Note of January 5 

The Federal Government has learned with great 
satisfaction froni the exchange of notes between 
the Governments of the United States of America, 
the Republic of France, the United Kingdom and 
the U.S.S.R. that the conference of the four For- 
eign Ministers of the above-mentioned states will 
start in Berlin on Januai'y 25, 1954. 

Within the spirit of its own repeatedly issued 
statements as well as of the unanimous resolu- 
tions of the Austrian Parliament, the Austrian 
Federal Government again addresses the urgent 
appeal to the Government of the United States 
of America on this occasion to concede to the treat- 
ment of the Austrian question such a place within 
the framework of the forthcoming conference as 
would facilitate a final and satisfactory settlement 
and the earliest possible determination of the state 
of afl'airs which has burdened and oppressed this 
comitiy for so many years. 

The Federal Government expresses the firm ex- 
pectation that the hopes of the Austrian nation 
will not be frustrated again. 



U.S. Note of January 12 

With reference to the Austrian Government's 
note of January 5, the Government of the United 
States has shared for many years the deep desire 
of the Austrian nation for an early conclusion of a 
State Treaty. To this end the Government of the 
United States on July 15, 1953, in proposing a 
meeting of the Foreign Ministers of the United 
Kingdom, France, the U.S.S.R. and the United 
States, declared that an Austrian Treaty clearly 
constitutes an essential element of European settle- 
ment which tlie TTnited States Government regards 
as a major contribution to peace, and that agree- 
ment on such a treaty should be reached finally 
whenever the four Foreign Ministers might meet.^ 
Again in its notes to the Government of the 
U.S.S.R. on September 2, October 18, November 
16, November 25, and December 8,- the Govern- 
ment of the United States expressed the earnest 
belief that an Austrian Treaty should be concluded 
at the earliest meeting of the Foreign Ministers. 

The Government of Austria may be assured that 
there has been no change in the intention of the 
Govenmient of the United States to seek and take 
every opportunity of restoring to Austria its well 
deserved political and economic independence by 
agreement among the occupying powers on the 
terms of an Austrian Treaty. The meeting of the 
Foreign Ministers at Berlin will be such an oppor- 
tunity and the Government of Austria may be con- 
fident that its aspirations will there be given every 
support by the Government of the United States. 



U.S. Export Policy 
Toward Soviet Bloc 

Seci-etary of Commerce Sinclair Weeks reported 
on January 13 that U.S. export policy toward the 
Soviet bloc continues unchanged. Under this 
policy, the U.S. Government is approving the ex- 
port of nonstrategic goods to the U.S.S.R. and its 
European satellites, except for transactions which 
would adversely affect the security interests of 
the free world. But U.S. exports to Communist 
China and North Korea continue under a complete 
embargo. 

Tliis statement on export control policy is con- 
tained in the Connnerce Secretaiy's 25th Quarterly 
Report to the President and the Congress on oper- 
ations under the Export Control Act. 

Secretary Weeks said: 

From the outset, our security export controls have been 
selective — belns concentrated on tliose soods specially 
identified as of strategic value to the Soviet bloc. Despite 
the absence of substantive export restrictions on goods 
of little or no strategic value, however, our exports of 



' Bulletin of July 2T, 1953, p. 107. 

' lUd., Sept. 14, 1053, p. 351 ; Oct. 26, 1958, p. 547 ; Nov. 
30, 1953, p. 745 ; Dee. 7, 1953, p. 785 ; Dec. 21, 1953, p. 852. 



January 25, 1954 



in 



the latter to the Soviet bloc have fallen to extremely low 
levels over the past several years. To a considerable 
degree this has reflected the lack of interest on the part 
of the Soviet bloc in obtaining non-strategic and con- 
sumer-type goods. 

It has been, and still is, U.S. policy generally to ap- 
prove the export of non-strategic goods to the U.S.S.R. 
and its European satellites, except where a particular 
transaction is viewed as having adverse net impact upon 
the security interests of the free world. 

Secretary Weeks explained that $1,732,590 
worth of nonstrategic goods were licensed to 
European Soviet bloc destinations during the 12- 
month period from October 1, 1952, through Sep- 
tember 30, 1953. This represented about 85 per- 
cent of the total dollar value of export license 
ajDplications filed for these destinations. 

However, U.S. exports to these countries 
dropped to a new low of $220,000 in the second 
quarter of 1953, compared with quarterly aver- 
age exports in 1952 of $279,000, and representing 
three-tenths of one percent of the 1947 quarterly 
rate of $85,000,000. 

Tobacco and cigarettes comprised 73 percent of 
these second quarter 1953 exports. The balance 
was made up largely of secondhand clothing and 
other nonstrategic commodities. 

Secretary Weeks further reported that in the 
third quarter of 1953 a general review of the 
adequacy of the current strategic export com- 
modity coAerage was initiated. "This effort," he 
said, "is aimed at (1) restricting the commodity 
coverage to those specific grades and types which 
can be identified as of strategic significance to the 
bloc and which can be effectively controlled; (2) 
assuring that the coverage of strategic com- 
modities is adequate to meet the security needs of 
the United States and other free countries, 
through extensive consultations with industry. 
United States government technicians, and offi- 
cials of other cooperating governments; and (3) 
administering the security export control program 
in such manner as to obtain the maximum 
cooperation of friendly nations and the export 
community." 

Secretary Weeks pointed out that the Commerce 
Department maintains an embargo on all exports 
to the China mainland and North Korea, as well 
as a transportation order which bars U.S. ships 
and planes from calling at or carrying goods in- 
tended for Communist China. 

Owing to more effective controls exercised by 
the Hong Kong Government over the flow of 
strategic commodities to Commimist China, U.S. 
export policy to Hong Kong has been liberalized. 
Relaxation of consumer goods exports to Hong 
Kong, begun in mid- 1953, was further developed 
in the third quarter by establishing the new "Gen- 
eral License Hong Kong" (not requiring prior 
application) for such nonstrategic consumer com- 
modities as dairy products, grains, cotton and 
wool manufactures, paper and soap and toilet 
preparations. 



In addition, the report explained the progress 
of the Commerce Department in decontrolling 
short-supply export controls on a wide range of 
commodities, and the institution of procedures 
designed to simplify the administration of export 
controls. These have resulted in economies for 
the Government and business. 

The Secretary's report on third-quarter 1953 
operations is published under the title, "Export 
Control, Twenty-fifth Quarterly Report." The 
65-page publication may be obtained from the 
U.S. Government Printing Office, Washington 
25, D. C. or from U.S. Department of Commerce 
Field Office. 



Claims Against Former Ruling 
Dynasty of Egypt 

Press release 14 dated January 14 

A recent change in the Egyptian law relating 
to the property of the former royal family will 
be of interest to American persons or firms having 
claims against members of the former riding 
dynasty of Egypt. 

Law no. 598 provides for the creation of a legal 
committee empowered to handle all claims against 
any member of the Mohammed Ali Dynasty. 
Claims against any member of the dynasty must 
be submitted, without court fees, to the "Chair- 
man, Legal Committee, Mohammed Ali Dynasty, 
Ministi-y of Justice, Cairo, Egypt," by Febru- 
ary 7, 1954. The claim must be submitted in an 
original and sufficient number of copies to cor- 
respond to the number of claimants involved, and 
must give details with supporting documents. 

It has been confirmed that persons who previ- 
ously submitted claims to the Confiscated Property 
Liquidation Committee, which has now been abol- 
ished, should submit new claims to the newly 
formed Legal Committee. 



Halle Selassie to Visit U.S. 

White House press release dated January 12 

His Majesty Haile Selassie I, Emperor of Ethi- 
opia, has accepted the invitation of the President 
of the United States to visit Washington as his 
guest. His Imperial Majesty will arrive in Wash- 
ington during the month of May for a visit of 
several days, to be followed by a tour of the United 
States. 

The visit will mark the first time that a sov- 
ereign of Ethiopia has come to the United States, 
although His Majesty The Emperor had traveled 
extensively in Europe before the war. 



112 



Department of Slate Bulletin 



U.N. To Release War Prisoners to Civilian Status 



Following are the textn of (J) a letter dated 
January H from Lt. Gen. K. S. Thimayya, Chair- 
man of the Neutral Nation.'i Repatriation Com- 
mission, to Gen. John E. Hull., United Nations 
Commander; {2) statements of January 14- by 
the Swiss ami /Swedish memhers of the Neutral 
Nations Repatriation Commission regarding Gen- 
eral Thimayya's letter; and {3) a letter dated 
January 16 from, General Hull in reply to General 
Thimayya's letter. 



GENERAL THIMAYYA'S LETTER OF 

JANUARY 14 

I have the honor to refer to the commission's 
letter Nr Nnrc/Kep/1 dated 2nd January 1954^ 
and your reply dated 6th January 1954.^ 

1. As mentioned in the commission's letter 
dated 2nd January 1954, the Nnrc has been able, 
hitherto, to implement, only to a limited extent, 
the procedures set out in the terms of reference. 

2. The unrepatriated prisoners in the custody 
of the commission include a number of POWs 
who have declined to exercise their right of re- 
patriation. There are also a much larger number 
who have not been able to avail themselves of the 
procedures laid down in the terms of reference 
and the rules made thereunder in regard to the 
exercise, by the POWs, of their right of repatria- 
tion. 

3. The question of the disposition of POWs who 
have not exercised their right to repatriation has 
to be referred by the Nnrc to the political con- 
ference. Although such reference is mandatory, 
it has not eventuated as the said political con- 
ference has not materialized. P^urther, the ex- 
planation procedures to M-liich all prisonere are 
entitled under the terms of reference and which 
are enjoined on the commission have been carried 
out only in respect of a small proportion of the 
total of the POWs in custody. 

4. These and other failures in respect of the 
implementation of the terms of reference are due 
to causes and factors which have not originated 
with the Nnrc and the custodial force of India 
and for which they bear no responsibility. 

5. Further or fuller implementation by the com- 

' Not printed. 
January 25, J 954 



mission of the procedures and of the purposes of 
the terms of reference as from the date of the 24th 
December 1953 was possible only by agreement 
between or with the two commands in respect of 
extension of the periods of explanation and 
custody and with regard to such alternate or ex- 
tended procedures as may have become necessary 
by the failure of the political conference to 
materialize. 

6. The Nnrc has repeatedly made suggestions 
and requests to the two conunands in respect of 
these matters. The facts of the situation confront- 
ing the Nnrc were, finally, set out at length in its 
letter and annexed memorandum of 2 January. 

7. In particular, the commission posed four 
questions on mattei-s which are basic to any fuller 
implementation of the repatriation agreement by 
the Nnrc and requested your answers in respect 
of them. 

8. The Nnrc has been favored with your re- 
plies to each of these questions. Your answers 
seek "to remove any possibility of doubt or mis- 
understanding of Unc views" and have reiterated 
"the firm position" of the Unc. 

9. The Nnrc notes that the firm position of the 
Unc in respect of each of the four matters is: 

(a) That continuance of explanations is not 
possible ; 

(6) That in the opinion of the Unc it is "ex- 
tremely improbable that a political conference will 
be in session prior to 22nd January" ; 

(e) That the Unc sees no justification for en- 
tering into any discussion to consider the dispo- 
sition of unrepatriate POWs; and 

(d) That the competence of the CFI [Custodian 
Force, India] for holding POWs in custody ceases 
on the 23rd January 1954 at 0001 hours. 

10. The above answer setting out the firm po- 
sition of the Unc places it beyond doubt that the 
Unc is unable to agree to the establishment of 
conditions or procedures which are basic to and 
without which the Nnrc cannot seek to implement 
further procedures and purposes of the terms of 
reference. 

11. The Nnrc has, therefore, to make its de- 
cision in the light of the existing situation and its 
own appreciation of the terms and purposes of 
the terms of reference and the responsibilities and 
obligations arising therefrom. 



113 



12. It is also noted that in your reply of the 
6th Januaiy 1954 you have further set out the 
views of the Uno 

(a) That the political conference has "no de- 
termining relationship to the questions of POWs 
in Nnkc custody" ; 

(i) That paragraph 11 of the terms of refer- 
ence ^ preclude your entering into any discussion 
to consider further the disposition of the POWs; 

((?) That the position as set out in (&) above 
"was clearly indicated in tlie armistice negotia- 
tions which resulted in the terms of reference for 
the Nnrc" ; and 

(d) That it is "the express responsibility of the 
commission to release prisoners to civilian status" 
on the 23rd January 1954 at 0001 hours. 

13. The Nnrc has received from the Ivpa 
[Korean People's Army] and Cpv [Chinese 
People's Volunteei's] command their answer. 
They insist : 

(a) That the explanation period should be ex- 
tended and explanations resumed; 

(6) That the problem of the uni-epatriated 
prisoners should be referred to the political con- 
ference; and 

(c) That the Nxrc and Cfi should continue 
to exercise "their legitimate functions". 

14. The Nnrc considers it necessary to state 
its own position, based on the terms of reference 
and its purposes, and its appreciation of the same 
in regard to aforesaid affirmations set out in para- 
graph 12 herein : 

(1) The Nnrc is unable to agree tliat the polit- 
ical conference has no determining relationship to 
the question of the POWs as stated in your reply. 
The view of the conunission is that the political 
conference is an integral part of the pattern and 
procedures laid down in paragraph 11. The elim- 
ination or the non-emergence of an integral part 
of the pattern cannot be regarded as inconsequen- 
tial or having little or no effect on the rest of the 
procedures or on the decisions in regard to the 
status and disposition of the POWs that it is 
the duty of the Nnrc to make. 

(2) The Nnrc is unable to agree that the terms 
of paragraph 11 preclude further discussion on 
matters relevant to the purposes of the agreement 
between the two commands. The Nnrc has on 
various occasions sought agreements with either 
or both commands and has not regarded such dis- 
cussion with or between the commands for the 
implementation of tlie terms of reference and its 
purposes as being precluded. It will also be re- 
called that the temporary agreement Annexure 2 
of the armistice agreement is dated the 27th of 
July 1953 after the signature of the terms of 
reference Annexure 1 on the 8th day of June 1953. 

(3) The Nnrc was not party to the armistice 

= Bulletin of June 22, 1953, p. 867. 



negotiations and has no knowledge of the indi- 
cations made by the parties to each other during 
the negotiations to which you refer in your reply. 
(4) The Nnrc is unable to agi-ee that it has the 
express responsibility to release prisoners to civil- 
ian status. The terms of reference do not provide 
for such release. It is, however, provided that 
the commission shall "declare relief from the POW 
status to civilian status" subsequent to the imple- 
mentation of certain procedures prescribed in the 
terms of reference. These procedures however 
have not been implemented, and in consequence, 
the Nnrc is rendered lacking in capacity even to 
"declare" such "relief". 

15. The Nnrc has given deep and anxious con- 
sideration to the problem of the status and dispo- 
sition of the POWs in its custody in the situation 
confronting it and come to the following decisions : 

(1) The Nnrc has no competence to release 
POWs ; such an eventuality is not provided for, or 
contemplated by the terms of reference ; 

(2) The final disposition of POWs which alone 
would include release is not assigned to the Nnrc 
by tlie terms of reference ; 

(3) The Nnrc has no competence at present to 
"declare" "relief" from POW status to civilian 
status of the prisoners in its custody as the proce- 
dures prescribed, preceding such declaration, have 
not been implemented. 

(4) The Nnrc has not been enabled to continue 
custody beyond the 23rd of January 1954 or to 
perform any functions to further the implementa- 
tion of the terms of reference owing to lack of 
agreement between the commands concerned. 

16. In the light of the above decisions, I, as 
Chairman and Executive Agent of the commission 
and having the custody of the POWs have come to 
the conclusion that the only correct and lawful and 
peaceful course open is to restore the prisoners to 
the custody of the former and respective detaining 
sides immediately prior to the 23rd of January 
1954. 

17. I therefore propose to request you to accept 
the restoration of custody as on 20th of January 
1954 at 0900 hours and hope that this will be com- 
pleted as speedily as possible. 

18. Restoration of custody will take place on the 
border of the southern sector of the DZ and the 
CFI i^erimeter and the POWs be accepted on your 
side of the border according to established pi'oce- 
dures in regard to the transfer of POWs. 

19. I as Chairman and Executive Agent of the 
commission desire to state in the clearest manner 
that in restoring the POWs to the custody of 
former detaining sides, I am doing so because I 
can neither retain custody of POWs nor further 
implement the terms of refeience nor release them. 
I am not doing so to establish any alteration in 
their status or to effect the final disposition of 
POWs. 



114 



Department of State Bulletin 



20. Further, the commission in pursuance of its 
function and authority to interpret the terms of 
reference, is of the view that the alteration of the 
status of POWs either by declaration of civilian 
status or disposition in any other manner requires 
the implementation of the procedures of explana- 
tion and political conference to precede it; such 
procedures being; pursued to their legitimate termi- 
nation as prescribed in the aforesaicl terms, unless 
the two commands agree on alternative procedures 
or courses of action in regard to status and dis- 
position of POWs. Any unilateral action by any 
party concerned will not be in conformity with the 
said terms of reference. 

21. In adopting this course the commission is 
persuaded by its earnest desire to further the pur- 
poses of tlie armistice agreement, to conform to 
lawful and impartial procedures within the con- 
text of the existing situation, to avoid possible 
outbreaks of violence and to act in conformity 
with the purpose and spirit of the Geneva Con- 
vention relating to the treatment of POWs. 

22. I venture to express the confident hope that 
the respective commands will be persuaded by the 
same desires in the further steps each of them will 
take in relation to the status and disposition of 
the POWs who will soon be restored to their 
custody. 

23. i am grateful to the Unc for the renewal of 
its assurance that it is prepared to assist the com- 
mission until the time of its dissolution and desire 
to assure them that it has endeavored to discharge 
its obligations with objectivity and to the best of 
its abilities. I shall be grateful for your reply to 
this by tlie ICth of January 1954. 

K. S. TlIIMATTA 

Lieutenant General 
Chairman Nnrc 



SWISS MEMBER'S STATEMENT 

At today's meeting of the Nkrc, the chairman, 
General Thimayya, has informed the Commission 
of two letters intended to be sent to the two com- 
mands, proposing the restitution of the POWs to 
the former detaining sides prior to 23 January. 

After the rejection of the Swedish proposal of 
11 January,^ which was supported by the Swiss 
member of the Commission, regarding the declara- 
tion of transfer of the POWs to civilian status, 
the Swiss delegation, notwithstanding certain le- 
gal objections, is, on principle, prepared to agree 
with restitution of the POWs to both commands 
for humanitarian reasons. However, in the view 
of the Swiss delegation, the Nnrc has, contrary 
to the opinion expressed in the above-mentioned 
letters, no right to declare the restitution of the 



° Not printed. 
January 25, 1954 



POWs dependent upon the condition that no al- 
teration in their status be made or that the trans- 
fer of the POWs shall have no effect on their final 
disjiosition. As a matter of fact, the Commission 
has never taken such a decision. 

The Swiss delegation disagrees with these two 
letters. The chairman has decided to send them 
in his own name and on his own responsibility. 



SWEDISH MEMBER'S STATEMENT 

The chairman of the Nnrc has today, in his own 
name and on his own responsibility, written to 
the Commands of both sides proposing the res- 
toration of the POWs remaining under the cus- 
tody of the Nnrc to the respective commands from 
which they were received. 

As the Swedish proposal regarding the abso- 
lute duty of the Nnrc to declare the relief from 
the POW status to civilian status of such remain- 
ing prisoners on January 22 was rejected by a 
majority of Nnrc, and as there appears to be no 
possibility of reaching agi'eement within the Nnrc 
on the final disposition of the prisoners of war, 
the Swedish member thought it reasonable that 
the prisoners should be restored to the former de- 
taining sides. 

The Swedish member objected, however, to the 
motivations contained in the said letters on the 
grounds that they gave the impression of being 
the unanimous view of Nnrc, whereas in almost 
all cases they represented, in fact, the opinion of 
the chairman only, or of a majority of the Com- 
mission, composed one way or another. 



GENERAL HULL'S LETTER OF JANUARY 16 

I have read your letter of 14 January in which 
you propose to request the United Nations Com- 
mand to accept the restoration of custody, be- 
ginning at 0900 hours, 20 January, of those 
prisonei-s of war given over to the Neutral Na- 
tions EepatriatioifCommission by this command. 

In my communication to you of 6 January, the 
position of the United Nations Command was 
stated clearly. That position has not and will 
not be changed, since it is founded on both the 
spirit and the letter of the terms of reference 
which embody the factore of humanity and justice 
for the prisoners themselves and the recognition 
of their inalienable right of freedom of choice. 

It is recognized that Communist intransigence 
made it impossible for the Neutral Nations Kepa- 
triation Commission fully to accomplish its mis- 
sion under its agreed terms of reference. The 
United Nations Command in good faith turned 
over the prisoners of war in its custody to the 
Neutral Nations Repatriation Commission, with 
confidence that each prisoner would be given full 

115 



opportunity to hear explanations and to make 
freely and without coercion his own choice as to 
his future. The United Nations Command made 
an earnest effort to explain their rights to repa- 
triation to the prisoners it turned over to custody 
of the Neutral Nations Eepatriation Commission. 
The United Nations Command also sought to assist 
the Neutral Nations Eepatriation Commission in 
conducting explanations to prisoners of war for- 
merly detained by the United Nations Command. 
Failui'e to complete explanations to more than a 
minority of prisoners of war formerly detained 
by the United Nations Command can only be 
attributed to the stubborn refusal of the Korean 
People's Army and Chinese People's Volunteers to 
continue explanations except under conditions of 
their own choosing, which conditions required the 
use of physical force against tlie prisoners of war. 
Such use of force is contrary to the terms of refer- 
ence, the Geneva Convention and the universally 
accepted concepts of human decency and rights. 
The United Nations Command supports and com- 
mends the Neutral Nations Eepatriation Commis- 
sion and the Custodian Force, Indian, in their 
refusal to use force illegally against prisoners 
of war. 

The United Nations side has made every effort 
to convene the political conference recommended 
in Paragraph 60, Armistice Agreement, and ref- 
erenced in Paragraph 11, Terms of Eeference, 
Neutral Nations Eepatriation Commission, which 
was to consider within the specified period of 
thirty days the disposition of prisoners of war. 
These efforts have been thwarted by the other 
side. However, as I made clear in my letter of 
6 January, the plain intent of Paragraph 11 of 
the Terms of Eeference is to prevent either party 
to the agreement from frustrating the basic pur- 
pose of avoiding indefinite captivity for the 
prisoners. 

For the United Nations Command now to agree 
to further and indefinitely prolonged captivity 
of these prisoners of war would negate the very 
principle of human rights for which so many men 
of this command have fought and died. Such 
unjust and unworthy action is intolerable to any 
free people, and is obviously unthinkable. The 
United Nations Command agreed to the Terms 
of Eeference for the Neutral Nations Eepatriation 
Commission only because they included a prohi- 



bition against enforced repatriation, and made 
clear pi-ovisions for the final release of prisoners 
of war to civilian status 120 days after being 
placed in the custody of the Neutral Nations Ee- 
patriation Commission. 

I reiterate the unalterable conviction of the 
United Nations Command that the Neutral Na- 
tions Eepatriation Commission has a solemn obli- 
gation to fulfill its responsibilities and release to 
civilian status at 23 January all prisoners of war 
who have refused repatriation. Failure of the 
Neutral Nations Eepatriation Commission to ful- 
fill this obligation would be a deliberate avoidance 
of an imj^ortant element of the Teims of Eeference 
and the United Nations Command could not con- 
cur in an action constituting default by the Neu- 
tral Nations Eepatriation Commission. 

The United Nations Command cannot accept 
custody of these prisoners of war in accordance 
with the terms of your proposal. However, in 
view of your stated intention to release unilat- 
erally the prisoners of war starting 20 January, 
the United Nations Command must necessarily be 
prepared to arrange for their accommodation and 
disposition. In processing these personnel, after 
they leave the demilitarized zone, it must be clearly 
understood that we do so out of regard for hu- 
manitarian consideration and in order to insure 
the prisoners the fullest possible continued enjoy- 
ment of the benefits the agreement was designed 
to assure to them. The United Nations Com- 
mand, in accordance with the agreement on pris- 
oners of war, will honor its obligation to treat 
them as fully entitled to their freedom as civilians 
on 23 January. You are already aware of the 
detailed plans for processing which have been 
made by the United Nations Command. The re- 
turn to the United Nations Command of personnel 
prior to 230001 January can only be regarded as 
a failure by the Neutral Nations Eepatriation 
Commission fully to discharge its duties, but this 
failure will in no way, it must be emphasized, 
affect the rio;ht of prisoners of war to become 
civilians at that time regardless of their physical 
location. 

Accordingly, I have instructed the Command- 
ing General, Eighth United States Army, to ad- 
just his present plans to permit handling and 
processing of personnel beginning 20 January. 
He will, as a matter of priority, make the neces- 
sary arrangements with you. 



116 



Department of State Bulletin 



The Growing Structure of International Motor Traffic Agreements 



hy H. H. Kelly and IF. G. Eliot, 3d 



In the expanding field of international travel, 
there is rising a structure of formal agreements 
among nations which is rapidly making it easier 
for motorists to travel in foreign countries. And 
motoring, of course, is one of the best ways to 
travel. 

These agreements are designed to open wide the 
highways of the free world to bona fide tourists 
in automobiles, by such essential means as recipro- 
cal recognition of drivers' licenses and registration 
plates, standard rules for safe driving, minimum 
equipment requirements, unifonn road si^s, and 
facilitation of passage through customs. Eventu- 
ally they should make it almost as easy for a U. S. 
motorist to drive a car in Europe or other parts of 
the world as to take a long trip in his own country. 

At the base of the structure of international 
agreements is the Convention on Eoad Traffic.^ 
This treaty was drawn up at a United Nations 
conference at Geneva in 1949, came into force in 
1952, and has been ratified to date by the follow- 
ing: United States, France, Czechoslovakia,^ 
Monaco, Sweden, Greece, Union of South Africa, 
Philippines, Netherlands, Cuba, Luxembourg, 
Italy, the Vatican City, and Syria. Further rati- 
fication by most of tlie countries of the world 
appears to be only a question of time, and the 
treaty is already looked upon as the key instru- 
ment in the field of international motor traffic. 

The Geneva Conference in 1949 recognized that 
there were certain specific problems which would 
require further study and elaboration, among 
them: 1) the definition of proper qualifications of 
drivers, 2) the possible development of a truly 
worldwide code of road signs and signals, and 3) 

^ For an article on "United Nations Conference on Road 
and Motor Transport," see Buixetin of Dee. 12, 1949, 
p. 875a. 

' Czechoslovakia, which ratified the convention in 1950, 
is the only member of the Soviet bloc to have taken such 
action. It is not anticipated that any motorists from that 
country will make application for travel in the United 
States or that any United States motorists will desire to 
travel in Czechoslovakia under existing conditions. Pass- 
port and visa controls are not affected by the Convention 
on Road Traffic. 



the spelling out of provisions for facilitating clear- 
ance of tourist automobiles through customs. 
Much work has been done on all of these under the 
aegis of the United Nations, and the member gov- 
ernments are now considering proposals for formal 
agreements in these fields. The U. S. Government, 
with tlie active assistance of State officials and 
motoring associations among other interested 
groups, has played an active part in the three proj- 
ects mentioned above. 



Qualifications of Drivers 

The 1949 Convention on Eoad Traffic provides 
for the international recognition of driving li- 
censes issued by any Contracting State to persons 
over 18 years of age wlio have given proof of their 
competence to drive. It does not, however, define 
"proof of competence." In view of the known wide 
differences in licensing requirements, the United 
Nations in 1952 named a small international com- 
mittee of e.xperts, representing the six principal 
regions of the world, to study the matter and to 
recommend uniform international standards, with 
particular reference to "proof of competence." 

Tliis committee, which elected as its chairman 
Rudolph F. King, Registrar of Motor Vehicles for 
the Commonwealth of Massachusetts, submitted a 
lengthy report which was accepted by the United 
Nations Economic and Social Council on April 15, 
1953. The Council's resolution on this subject pro- 
posed an amendment to annex 8 of the 1949 con- 
vention to provide that the requirement of "proof 
of competence" shall have been met if the driver's 
permit was issued after a satisfactory examination 
of his ability to drive safely, liis knowledge of traf- 
fic laws and regidations, and his physical and men- 
tal fitness. The details of this examination are left 
to the discretion of the individual nation, but help- 
ful recommendations are contained in the full re- 
port of the committee of experts. Other provisions 
of tlie amendment deal with permits antedating the 
convention of 1949, learners' permits, and permits 
issued to disabled persons. 

Noteworthy advantages and few drawbacks can 



January 25, 7954 



117 



be foreseen in the acceptance of the amendment by 
the United States and other countries. Most im- 
portant to us would be the assurance that foreign 
visitors driving on our highways have met reason- 
able standards of capability and proficiency. We 
are already, by the 1949 convention, committed to 
the recognition of foreign driving permits; the 
amendment would only require that our foreign 
visitors be generally as well qualified as our own 
drivers. 

Most of our own drivers, even under the 
strengthened international requirements, would 
continue to enjoy foreign driving privileges. With 
few exceptions, the licensing procedures m all our 
States substantially meet the requirements for 
"proof of competence" as defined in the amend- 
ment. Most of our States follow standards recom- 
mended by the American Association of Motor 
Vehicle Administrators and grant permits only 
after tests of driving ability, knowledge of traffic 
laws, and eyesight. The applicant also must make 
a formal certification that he is not suffering from 
certain specified physical or mental disabilities. A 
driver licensed in a substandard State, however, if 
he wished to drive in a foreign country, would have 
to obtain another license in a State where adequate 
examinations are given. 

Some difficulty might be experienced, at least 
initially, if local enforcement officials failed to 
accept the validity of foreign licenses that would 
have to be recognized under the amended con- 
vention. This could be minimized by the sys- 
tematic circulation of a list of the countries in 
which "proof of competence" must be demon- 
strated. 

The amendment, of itself, would require no new 
legislation or change of administrative procedure 
in any State. A State that does not have ade- 
quate licensing standards, however, would be 
under pressure for improvement for the benefit of 
its citizens who wish to travel abroad. Any such 
improvement, indeed, would require only the ac- 
ceptance of standards already well established in 
this country. 

On the basis of the foregoing considerations the 
Department of State, in Januaiy 1954, replied 
to the U.N. Secretary-General in the following 
terms : 

1. The United States Government regartls with satis- 
faction the recommendations of the United Nations with 
reference to the qualifications of motor vehicle drivers 
in international traffic. The United States, since 1952, 
has been a party to the Convention on Road Traffic of 
1949, to which the present recommendations constitute 
only an amendment defining "ijroof of competence". 

2. The amendment will provide a more definite safe- 
guard against unqualified drivers in international traf- 
fic, and so will be of mutual benefit to all parties to the 
Convention. 

3. The Executive Branch of the United States Govern- 
ment will accordinsly submit to the Senate of the United 
States, for its advice and consent to ratification, the pro- 
posed amendment to Annex 8 of the Convention on Road 
Traffic of 1949. If the Senate gives such advice and 



consent, the United States Government will accept the 
proposed amendment. 

4. When the amendment comes into force, the United 
Nations should arrange for the preparation and circu- 
lation to the member nations of information as to the 
nations and political subdivisions whose domestic re- 
quirements for driver licensing meet satisfactorily the 
international requirements, to be periodically revised and 
lirought up to date. 

5. When the amendment comes into force the United 
States Government will advise the appropriate authori- 
ties of the various states of the Union concerning the 
provisions of the amendment, and will transmit to them 
periodically current information as to the foreign drivers' 
permits that are to be recognized as valid in this country. 



Road Signs and Signals 

The second proposed agreement relating to inter- 
national motor travel deals with a worldwide uni- 
form system of road signs, signals, and markings. 
The advantages of such uniformity as a conveni- 
ence to the tourist and as an aid to greater safety 
are obvious. 

A Protocol on Road Signs and Signals, prescrib- 
ing a uniform system for such traffic control de- 
vices, was approved by the 1949 Conference on 
Road and Motor Transport as a part of the 1949 
convention. The United States was not able to 
sign or ratify this protocol, since it was based 
wholly on European practices and was quite in- 
consistent with the existing American standards. 
On the recommendation of the Conference, the 
United Nations in 19.50 appointed a special group 
of six experts, including, as its North American 
representative, the late H. E. Hilts, Deputy Com- 
missioner of the United States Bureau of Public 
Roads, to study the problem of possible further 
unification. This group, after full consideration 
of existing systems and extensive research into the 
visibility, legibility, and intelligibility of various 
combinations of sign shapes, colors, and symboliza- 
tion, submitted in 1952 its recommendations for in- 
corporating in a single standard what appeared to 
be the best elements of existing practices. 

The United Nations Economic and Social Coun- 
cil, by resolution of April 15, 1953, decided to sub- 
stitute the new proposals for the 1949 protocol and 
authorized the Secretary-General to consult with 
the various nations as to whether the new protocol 
should be opened for signature and ratification. 
In response to an inquiry from the Secretary- 
General, the Department of State, in November 
1953, replied in terms which sum up briefly the 
potential value of the proposed agreement in many 
parts of the world, while indicating, at the same 
time, the reasons why this country cannot accept it : 

1. The United States Government regards with satis- 
faction the work performed to date by the United Nations 
in preparing the Protocol on a Uniform System of Road 
Signs and Signals for worldwide application. The report 
of the United Nations group of experts, in which an officer 
of this government participated as the regional repre- 
sentative for North America, is an excellent one. The 
Protocol represents a fair compromise among the various 
systems of signs and signals now in use, and incorporates 
many features of current American practice. The report 



118 



Department of Stale Bulletin 



may be said to have accomplished already its primary 
objective iu establishing a desirable basis for worldwide 
uniformity. Whether or not the Protocol is signed and 
ratified by all nations as a binding international agree- 
ment, its value will be recognized as a guide to national 
practices. 

2. The United States approves in principle the proposed 
"Draft Protocol on a Uniform System of Road Signs and 
Signals" but is unable to sign and ratify for the following 
reasons : 

(a) All of the road signs and signals in this country 
are installed by the various political subdivisions — states, 
counties, municipalities, etc. Since a substantial measure 
of uniformity has been achieved through voluntary ad- 
herence to the American Standard "Manual on Uniform 
Traffic Control Devices" and through the administrative 
authority of the United States Bureau of Public Roads 
in the Department of Commerce, it does not appear de- 
sirable at present to endeavor to impose by law or treaty 
a single national system. 

(b) Changes in the American standard manual above 
referred to are under consideration from time to time. 
There Is need in the United States for a certain flexibility 
in specifications, which would be impaired liy adherence 
now to an international code. 

3. The above observations are based on the special 
situation existing in the United Stat&s, where road mile- 
age, vehicle usage, sign and signal installations, and the 
legal authority of the individual .states present a large 
and complicated problem. The observations would not 
appear to ai)ply to many other nations, in which the 
United Nations proposals could doubtless be adopted 
promptly and with relatively little difficulty, for example. 
tho.se in which road-signing is still in an early state of 
development or those which have centralized national 
antliority in such matters. 

4. The following answers are submitted to certain spe- 
cific questions posed by the Secretary General of the 
United Nations : 

(a) The United States has no technical observations 
to make on the specific contents of the "Draft Protocol 
on a Uniform System of Road Signs and Signals," which 
appear highly satisfactory for adojjtion in numerous coun- 
tries. Tlie United States hopes that the Protocol will be 
so adopted, that the matter will be kept under review 
by the Economic and Social Council and its Transport 
and Communications Commission, and that the Secretary 
General will report periodically on the status of adoption 
of the Protocol or of the acceiJtance of its provisions by 
other means. 

(b) The United States defers to the judgment of other 
governments as to an appropriate date for the opening 
of the Protocol for signature. 

(c) The United States is unable to sign or ratify the 
Protocol at present, but the appropriate agencies of the 
Federal Government will maintain contact with state 
and local authorities with a view to the eventual adoption 
by them, to as large an extent as possible, of the uniform 
standards .set forth in the Protocol. 



The Question of States' Rights 

"With regard to the two proposals discussed 
above, there may ajipear to be some inconsistency 
in the positions taken by tlie U.S. Government. 
In tlie one case, the new international agreement 
would recognize foreign drivers' licenses without 
any action being taken by the States individually. 
In the other case, the States will continue in their 
freedom to use road signs and signals of their own 
choosing. 

Actually there is no real conflict in principle. 



Both proposals lie in the field of interstate and 
foreign commerce, control of which has always 
been reserved to the Federal Government, subject 
to the action of Congress. Recognition of foreign- 
driver jDermits by international treaty has im- 
portant practical advantages. Aside from the 
administrative difficulties that would lie involved, 
the Constitution does not permit individual States 
to enter into reciprocal agreements with foreign 
countries. In any event, the United States, by 
ratifying the Convention on Road Traffic of 1949 
and the Convention on tlie Regulation of Inter- 
American Automotive Traffic of 1943, has already 
accepted recognition of foreign-driver permits as 
national policy. The standardization of road 
signs and signals, on the other hand, is not con- 
sidered practical because the benefits of decentral- 
ized administration still seem to outweigh the pos- 
sible advantages of a more complete uniformity, 
even on an international basis.^ 



Customs Formalities on Automobiles and Tourism 

A third project which stems in part from the 
basic work performed on the 1949 Convention on 
Road Traffic relates to customs formalities for the 
temporary importation of private vehicles and for 
tourism. Its purpose is to standardize and sim- 
plify the requirements to which tourists' automo- 
biles and tourists' effects in general are subject 
when crossing international boundaries. 

In June 1949 the United Nations Economic Com- 
mission for Europe (Ece) completed a draft cus- 
toms convention covering both automobiles and 
general touring in a single document. In Sep- 
tember of that year the world Conference on Road 
and Motor Transport at Geneva gave attention to 
the special problem of customs formalities for 
private automobiles and wrote into article 3 of 
the Convention on Road Traffic brief provisions 

^ In the developing of these positions, the following 
agencies and organizations, which were consulted and 
given complete documentation, approved the statements to 
the U.N. Secretary-General essentially as quoted above 
or, in a few instances, with respect to one or the other of 
the proposals, stated that they were not qualified to express 
a judgment : Department of Commerce, Department of 
Defense, Department of Health, Education, and Welfare, 
Department of Justice, Interstate Commerce Commission, 
American Association of Motor Vehicle Administrators, 
American Association of State Highway Officials, Ameri- 
can Autoni-obile Association, American Automobile Tour- 
ing .\lliance, American Municipal Association, American 
Road Builders Association, Association of American Rail- 
roads. Association of Casualty and Surety Companies, 
Automotive Safety Foundation, Institute of Traffic Engi- 
neers, International Association of Chiefs of Police, Inter- 
national Road Federation, Joint Committee on Uniform 
Traffic Control Devices, National Association of Auto- 
motive Mutual InsTirance Companies, National Association 
of Independent Insurers, National Committee on Uniform 
Traffic Laws and Orilinances, National Conference of Com- 
missioners on Uniform State Laws, National Highway 
Users Conference, National Safety Council, United States 
Chamber of Commerce. 



January 25, 1954 



119 



encouraging the simplification of customs require- 
ments and recognizing the validity of the customs 
bond or pass \cariiet de fossages en douane) issued 
by authorized motoring associations. It became 
apparent at the conference that much more com- 
prehensive provisions would be necessary eventu- 
ally and that automobiles and tourists' personal 
effects represented two separate problems. So the 
lines were laid for the task which is now nearing 
comi^letion. 

In 1952, acting upon resolutions adopted by 
the Transport and Communications Connnission 
and the Economic and Social Council, the Secre- 
tary-General of the United Nations circulated to 
all member governments for comment the Ece 
draft convention and other material. Keplies in- 
dicated the desirability of having two separate 
conventions, and the Economic and Social Council 
(on the recommendation of the Transport and 
Communications Commission) adopted on April 
15, 1953, a resolution instructing the Secretary- 
General to convene a conference of governments 
in 1954. In November the United Nations gave 
notice that the conference will be held at New 
York City beginning May 11, 1954. 

The United States position for the conference 
is now being prepared at Washington, on the basis 
of comprehensive documentation assembled by the 
United Nations Seci-etariat. The principal Fed- 
eral agencies concerned are the Departments of 
State, Treasury, and Commerce, but the advice 
of other units of government will be obtained 



through the Interdepartmental Committee on 
Foreign Travel. Close liaison is also being main- 
tained with private groups, notably motoring and 
touring associations. 

A fact that already has emerged from the study 
of the documents is that the United States is one 
of the most liberal countries in the world in its 
treatment of international travelers. For the 
foreign visitor entering the United States there 
are, in the usual case, no fonnalities of any kind, 
other than an oral declaration, for the temporary 
entry of his automobile or personal effects. For 
the U.S. resident returning from abroad the ex- 
emption of up to $500 for free entry of purchases 
is unequaled in other countries. 

If successful solutions are found at the New 
York conference next May, the resulting agree- 
ments among nations of the free world may be 
expected to contribute greatly to the facilitation 
of international travel, which in many of them is 
an increasingly important economic and social 
factor. For the individual motorist or tourist, 
whose name is legion, advantages of the simplifi- 
cation of the dreaded "clearance through customs" 
are manifest. 

• The authors: Mr. Kelly is in charge of inland 
transport matters for the Office of Transport and 
Communications Policy, Department of State. 
Mr. Eliot is head of the traffic safety and motor 
vehicle regulations unit in the Highway Trans- 
port Research Branch, Bureau of Public Roads, 
Department of Commerce. 



Earnings on U.S. Investments 
Overseas During 1952 

Earnings on U.S. investments abroad amounted 
to $2.7 billion in 1952, the Office of Business Eco- 
nomics of the Department of Commerce announced 
on December 23. According to a recently com- 
pleted analysis published in the December Su?-vey 
of Current Business, the 1952 total was slightly 
above 1951 and nearly 50 percent larger than the 
average of the 6 earlier postwar yeai*s. 

Earnings of foreign investments are the sum of 
the U.S. share of earnings of U.S.-controlled di- 
rect investment companies (whether remitted to 
this country or held abroad as inidistributed sub- 
sidiary earnings), receipts from foreign portfolio 
securities owned by United States investors, and 
receipts by the U.S. Government on credits ex- 
tended abroad. 

Expansion in earnings reflects the gi-eatly en- 
larged American investment abroad. This invest- 
ment aided foreign-economic development and 
contributed in substantial measure to meeting the 



high postwar world demands for raw materials 
and enlarged foreign requirements for the broad 
range of products turned out in increasing quan- 
tity by American-owned enterprises abroad. New 
postwar capital investment by these enterprises 
through 1952 aggregated over $8 billion, of which 
about half represented reinvested foreign earn- 
ings, the Survey article states. 

Earnings of about $2.3 billion on direct invest- 
ments abroad comprised 85 percent of the 1952 
total. Wliile this represented a slightly higher 
amount than in 1951, the earnings remitted to the 
United States declined for the first time in the 
postwar period. In 1949, there was a drop in 
earnings associated with the business adjustment 
in the United States and elsewhere, and the ac- 
companying reductions in some important world 
prices, but income remittances were maintained by 
cutting down on undistributed earnings. Last 
year, however, total profits were higher, but there 
was a decline in remittances as earnings retained 
abroad were the largest for any year. In part, 
this reflected some impediments to the transfer of 
earnings by reason of exchange controls, but the 



120 



Department of State Bulletin 



remainder was held to finance expansion progi'ams 
or for other corporate purposes. 

Retained earnings in 1952 amounted to $875 mil- 
lion, and dividends and brancli profits remitted to 
the United States to about $1.4 billion. These earn- 
ings were after payment of foreign income taxes 
wliicli in 1950 amounted to 30 percent of before-tax 
earnings. The tax rate has been higher in subse- 
quent years, thougli a more recent percentage fig- 
ure is not available. Thus, these foreign direct in- 
vestment companies have paid well over $800 
million per year in the past 3 years to foreign gov- 
ernments in the form of direct income taxes. Their 
actual contribution to foreign government tax re- 
ceipts is, of course, larger not only because of in- 
direct taxes but by reason of the general lift which 
their operations give to the national income and 
hence the tax base of countries in which they 
operate. 



U.S. Equity in Earnings of Direct Private For- 
eign Investments, by Area and Industry, 1951 
and 1952 

(million of dollars) 




Total 


Canada 


Latin 
Amer- 
ican Re- 
publics 


Western 
Em-ope 


other 
Coun- 
tries 


Total : 

1951 

1952 

Petroleum: 

1951 

1952 

Manufactur- 
ing: 

1951 

1952 

Mining and 
smelting: 

1951 

1952 

Other indus- 
tries; 

1951 

1952 


2,236 

2,280 

S96 
1,013 

696 
643 

220 
209 

424 
416 


420 
419 

3 

12 

26S 
257 

68 
54 

81 
97 


888 
888 

409 
438 

170 
156 

104 
96 

206 
197 


302 
305 

49 
79 

194 
169 

4 
5 

54 
53 


627 
667 

436 

483 

65 
61 

44 
53 

83 
69 



Sales by these direct-investment enterprises in 
the U.S. market yield more dollars than are cur- 
rently required for the remittance of earnings to 
the United States and account for about one-third 
of their total earnings. Furthermore, the enter- 
prises established abroad since the war have be- 
come major sources of supply for various products 
which formerly had to be purchased for dollars 
in the United States. 

Income received on U.S. portfolio investments 
abroad, i.e., holdings of foreign securities, claims, 
or miscellaneous assets not connected with foreign 
affiliated companies, was nearly $200 million in 
1952. Income from this source was small relative 
to the income from direct investments, which indi- 
cates the major shift in the character of our invest- 
ments abroad over the past quarter century. In 
the 1920's, when portfolio lending predominated, 
portfolio earnings represented over 40 percent of 
total earnings, as against less than 10 percent 
today. 

Interest payments by foreign countries on cred- 
its extended by the U.S. Government were about 
$200 million in 1952, and further payments on 
schedule would bring an increase in 1954. About 
80 percent of the interest is paid by countries in 
Western Europe, mainly the United Kingdom and 
France. 

Partial data available for 1953 indicate little 
overall change in earnings on direct investments, 
although there are some difi'erences among indus- 
tries. Prices of many mineral and agricultural 
commodities produced abroad by the U.S. -con- 
trolled enterprises were lower in 1953, but there 
was no major change in petroleum production or 
prices. The petroleum companies account for 
about two-fifths of direct investment earnings. 
Industrial activity in many foreign countries in- 
creased late in 1952 and continued to rise in 1953, 
so that manufacturing earnings are expected to be 
higher this year than in 1952. 



The Office of Business Economics analysis 
throws interesting light on the extent to which 
these direct investment companies operating 
abroad supply the needs of the U.S. market. They 
provided one-fifth of total U.S. imports in 1952, 
according to a detailed study of 19 commodities of 
major importance in the U.S. economy. Some of 
the commodities — such as petroleum, copper, 
nickel, and aluminimi (including bauxite) — are 
obtained almost entirely from foreign enterprises 
in which Americans are the principal investors. 
For others like crude rubber and iron ore, a smaller 
share comes from U.S. -controlled companies. In 
the case of iron ore, however, the supply from U.S.- 
developed sources abroad through new investments 
currently being made will be greatly expanded, 
and this will also be true of such commodities as 
manganese and titanium. 



FOA Country Directors in 
Latin America Meet 

Directors of U.S. Operations Missions in 19 
Latin American countries began a five-day con- 
ference in Lima on January 14 to report progress 
on current programs and to make plans for the 
coming year. 

The United States has been carrying on tech- 
nical-cooperation programs in the 19 countries 
since 1942 and currently has available $22 million 
to finance projects which are carried out on a joint 
basis with the Latin American Republics. The 
projects in the fields of agriculture, education, 
health, public administration, natural resources, 
and transportation are designed to increase the 



January 25, 1954 



121 



standard of living in the various countries througli 
teacliing local technicians to carry on the work 
in the various fields of activities. Contributions 
of the local governments to the joint programs 
average more than three times that of the United 
States. 

Harold E. Stassen, Director of Foreign Op- 
erations, and other key Foa officials directly con- 
cernecl with Latin American operations attended 
the regional meeting. Similar conferences have 
previously been held with the Foa country di- 
rectors in Western Europe and the Near East. A 
Far East meeting is planned for Manila in Feb- 
ruary. 

The on-the-spot regional meetings have been 
arranged by Foa as part of its program to decen- 
tralize operations and delegate authority to the 
field personnel. Through these meetings, Wash- 
ington officials are able to get firsthand reports on 
the j^rogress of the programs and advise field 
personnel of current operating policies. 

U.S. Operations Missions to the following 
countries were represented at the meeting: Bo- 
livia, Brazil, Chile, Colombia, Costa Rica, Cuba, 
Dominican Repul)lic, Ecuador, El Salvador, Gua- 
temala, Haiti, Honduras, Mexico, Nicaragua, 
Panama, Paraguay, Peru, Uruguay, and Vene- 
zuela. 



Expansion of Cuban 
Nickel Production 

More nickel for American defense was assured 
with an announcement on January 12 by the Gen- 
eral Services Administration that it will go for- 
ward with an expansion of the Government-owned 
nickel plant at Nicaro, Cuba, and contribute 
financial assistance to promising research in new 
nickel metallurgy. 

The new program was announced by Edmund 
F. Mansure, Administrator of General Services, 
ujjon notification that the Office of Defense 
Mobilization had certified that the Nicaro ex- 
pansion and nickel research are "essential to na- 
tional defense." 

Mr. Mansure also announced that the Odm 
certification has made available $43 million to en- 
large Nicaro's capacity by 75 percent and has ear- 
marked $1 million as a research fund. 

"In its conception and design," Mr. Mansure 
stated, "the new program will lay a foundation for 
extending the production of nickel for an indefinite 
period of time. In this important respect, it 
differs from some earlier expansion programs 
which contracted for the delivery of definite 
quantities of nickel over varying teniis of years. 

"The size and scope, moreover, reflect the fact 
that nickel remains a vital commodity in short 



supply. Therefore, we face the challenge of 
building our sources of production to the level at 
which supplies will equal the combined military, 
stockpile, and civilian requirements." 

Mr. Mansure pointed out that the progi'am en- 
visions the commercial utilization of the mineral 
resources of eastern Cuba. 

"This is a goal," he went on, "in which the 
United States and Cuba have been in full accord, 
not only to develop a reliable source of vital de- 
fense metals, but also to broaden and strengthen 
the economic base in both countries. 

"In rehabilitating and operating Nicai'o, Gsa 
has had earnest, abiding cooperation in Cuba — 
by the National Government, by private industry, 
and by labor. For this reason we are confident 
that the Nicaro expansion will be advanced 
smoothly and quickly to its rewarding goal." 

Now in ojieration, the Nicaro plant is currently 
producing nickel at a rate approaching 28 million 
pounds a year. The certified plan calls for an ex- 
pansion of 75 percent in capacity. Preliminary 
engineering studies have already been undertaken 
for the new structures and equipment which will 
be required to carry the development from plan- 
ning to production. 

Built early in World War II, Nicaro was shut 
down in 1047 and later transferred to the National 
Industrial Reserve in Gsa. Its rehabilitation was 
undertaken in 1951, and the production was re- 
newed in January 1952, a year later. Full opera- 
tion was reached in July 1952 and has been sus- 
tained ever since. The plant is operated under 
a management contract by the Nickel Processing 
Corporation jointly owned by a Cuban corpora- 
tion, Fomento de Minerales, and the American 
firm National Lead Company. 

Mr. Mansure pointed out that completion of 
the ex])ansion should make available at Nicaro 
a highly desirable nickel-producing plant for 
American industry. 

"Full conversion of the Nicaro enterprise to 
private management, private operation, and pri- 
vate ownership continues to be a foremost goal 
toward which we are advancing the project," 
Mr. Mansure added. 

The research fund allotment recognizes that 
world conditions, reflecting in part increased de- 
mand for nickel and in part inroads on reserves 
previously in use, have brought nickel metallurgy 
to an experimental crossroads. 

Various new processes, some with their variants, 
are being advanced and tested in many parts of 
the Western Hemisphere in an intensive search 
for economical methods of exploiting ores which 
have refused to respond to traditional nickel 
metallurgy. In view of the likelihood that one or 
more of the processes may unlock the development 
of valuable, latent reserves in Brazil, Canada, 
Cuba, United States, and Venezuela, Gsa will em- 
ploy the research funds to help carry forward 
constructive experimentation. 



122 



Department of State Bulletin 



British Token Import Plan 
To Be Extended 

The British Token Import Plan will be ex- 
tended throngli 1954, but new procedures and reg- 
ulations will be established for operation of the 
Plan, the Bureau of Foreign Commerce, U.S. 
Department of Commerce, announced on Decem- 
ber 30. The new procedures are now' being 
worked out with the British Board of Trade, Bfc 
said. 

The British Token Import Plan, established 
with the United States in 194:6, enables eligible 
U.S. manufacturers or their agents to export to 
the United Kingdom token shipments of specified 
commodities whose importation fi'om dollar 
sources is generally prohibited by the British 
Government. 

Details of the new procedures for 19.54 opera- 
tions are expected to be reported within a few 
weeks, Brc said. At that time Brc will also 
notify i^ast participants in the Plan. Every effort 
will then be made to expedite distribution of the 
revised application forms and x^rocessing of 
applications. 



Export- Import Bank 
Credit to Ecuador 

The Export-Import Bank of Washington on 
January 8 announced a credit of $2,500,000 to the 
Republic of Ecuador to assist in financing the 
cost of improving and ex]")anding the airport facil- 
ities of the cities of Quito and Guayaquil. The 
total cost of improvements desired by Ecuador 
for the two airports is estimated at more than 
$4,800,000. The cost of the airports in excess of 
the credit to be extended by the bank is to be pro- 
vided by Ecuador. 

With the technical assistance and advice of the 
U.S. Civil Aeronautics Administration, Ecuador 
has prepared jn-eJiminary plans and specifica- 
tions, conforming to Caa standai'ds, for those 
parts of the projects which will be undertaken 
under the credit. The utilization of the bank's 
credit will be confined to such phases of the proj- 
ects as runways, taxiways, aircraft parking 
aprons, vehicle parking areas, and a new light- 
ing system for the Guayaquil airport. Ecuador 
has agreed to provide funds necessary for the con- 
struction of terminal buildings and for other 
improvements which may be undertaken in the 
future. 

Terms of financing include the provision that 
engineering and construction are to be performed 
by U.S. engineering and contracting firms accept- 
able to the bank. The loan will bear interest at 
the rate of 4'% percent per annum and will be 
repaid over a period of approximately 15 years 
beginning January 1, 1957. 



The need for the improvement and moderniza- 
tion of the Quito and Guayaquil airports has long 
been recognized. Because of the momitainous and 
irregular topography of Ecuador, air travel is the 
most rapid and economical type of transportation 
available to unite various isolated sections of that 
country and to provide for the needs of both in- 
ternal and international commerce. At the pres- 
ent time, the runways at both Quito and Guaya- 
qiiil are lelow Caa standards. The facilities at 
Quito are now inadequate for the larger type 
4-motor planes being used in international air 
transportation. The proposed improvements 
will result in opening this, the capital city, to in- 
ternational flights of all types. The Guayaquil 
runway will not only be extended but will be re- 
oriented and rebuilt to provide adequate drainage 
to overcome a swampy condition now existing at 
the airport. Kunways at both airports will be 
provided with asphaltic concrete or similar type 
flexible pavement. 



Entry Into Force of Estate-Tax 
Convention With Australia 

Press release 5 dated January 7 

According to information received by the De- 
partment of State from the American Embassy at 
Canberra, the estate-tax convention with Australia, 
signed at Washington on May 14, 1953, was 
brought into force on January 7, 1954, by the ex- 
change at Canberra on that date of instruments of 
ratification. 

The convention for the avoidance of double taxa- 
tion and the prevention of fiscal evasion with re- 
spect to taxes on the estates of deceased persons is 
one of three tax conventions with Australia signed 
on May 14, 1953.^ The other two relate to income 
and gifts. All three were approved by the United 
States Senate on July 9, 1953, and ratified by the 
President on behalf of the United States on July 
23. The income-tax and gift-tax conventions were 
brought into force by the exchange of instnunents 
of ratification on December 14, 1953. A press re- 
lease in regard to those two conventions was issued 
on December 22, 1953. 

The provisions of the estate-tax convention with 
Australia follow, in general, the pattern of such 
conventions with a number of other countries. 
They are designed to eliminate double taxation in 
connection with the settlement in one country of 
estates in which nationals of the other country 
have interests. The conventions apply, so far as 
the United States is concerned, only to taxes im- 
posed by the national government and do not apply 
to the imposition of taxes by the several States, 
the District of Columbia, or the territories or pos- 
sessions of the United States. 



" Bulletin of June S, 195.3, p. 819. 



January 25, 1954 



123 



Under its terms the estate-tax convention with 
Australia is effective only with respect to estates or 
inheritances in the case of persons dying on or after 
January 7, 1954. 



Tax Conventions With Greece 
Enter Into Force 

Press release IS dated January 16 

On January 15, 1954, the Pi'esident proclaimed 
the income-tax and estate-tax conventions between 
the United States and Greece. Those two conven- 
tions for the avoidance of double taxation and the 
prevention of fiscal evasion, one relating to taxes 
on income and the other relating to taxes on the 
estates of deceased pereons, were signed at Wash- 
ington on February 20, 1950. 

They were approved by the U.S. Senate on 
September 17, 1951, subject in the case of the 
income-tax convention to an understanding and 
in the case of the estate-tax convention to a reser- 
vation relating to the application of certain pro- 
visions involving assistance in connection with 
the collection of taxes. 

After communicating the understanding and 
reservation to the Greek Government and receiving 
from that Government assurances concerning their 
acceptability, the President ratified the two con- 
ventions on behalf of the United States on Decem- 
ber 5, 1951, subject in the one case to the under- 
standing and in the other case to the reservation. 



According to the provisions of each of the con- 
ventions, the instruments of ratification were to 
be exchanged at Athens. Final arrangements for 
the exchange were made in December 1953, after 
the completion of necessary parliamentary proce- 
dures in Greece. 

The instruments of ratification with respect to 
both conventions were exchanged on December 30, 
1953, whereupon the conventions entered into force 
in accordance with their respective terms. The 
income-tax convention is effective as of January 1, 
1953. The estate-tax convention is effective be- 
ginning December 30, 1953, applicable solely to 
estates or inheritances in the case of persons dying 
on or after that date. 

The provisions of the conventions follow, in 
general, the pattern of tax conventions entered 
into by the United States with a niunber of other 
countries. The income-tax conventions are de- 
signed to remove an undesirable impediment to 
international trade and economic development by 
doing away as far as possible with double taxation 
on the same income. The estate-tax conventions 
are designed to eliminate double taxation in con- 
nection with the settlement in one country of 
estates in which nationals of the other country 
have interests. 

So far as the United States is concerned, the 
conventions apply only with respect to United 
States (that is, Federal) taxes. They do not apply 
to the imposition of taxes by the several States, 
the District of Columbia, or the territories or 
possessions of the United States. 



Administration of tlie British-U.S. Zone of Trieste During 1952 



Following is the text of a report iy Maj. Gen. 
Sir John Winterton, Commander of the British- 
U.S. Zone of the Free Ten^itory of Trieste, for 
the period January 1-December 31, 1952. The 
report was trans^nitted to the U.N. Security 
Council on Decemher 23, 1953, ty the U.S. and 
British representatives to the United Nations. 

U.N. doe. S/3156 
Dated December 23, 1053 

General Review 

This Report, my second and the twelfth of the 
series, deals with the administration of the 
British/United States Zone of the Free Territory 
of Trieste for the year 1952. 

Pursuant to the Memorandum of Understand- 

124 



ing which was signed in London on 9 May 1952,' 
I appointed, during the latter half of the year, 
a number of senior Italian officials to the Allied 
Military Government who, under a Senior Di- 
rector of Administration, were responsible to me 
for much of the internal administration of the 
Zone. A copy of the London Memorandum of 
Understanding is attached at Appendix "A" to 
this Report.' 

Administrative Elections were held in all Com- 
munes of the Zone in May 1952. In the Com- 
munes of Trieste and Muggia the "linked list" 
system was used, under which the party or group 
of "linked" parties polling the greatest number 

' For text, see Bulletin of May 19, 1952, p. 779. 
' The appendixes are not printed here. 

Department of State Bulletin 



of votes secured two thirds of the seats; in the 
remaining four Communes a form of propor- 
tional representation was retained. The results 
showed that in the Commune of Trieste, where 
approximately 90 per cent of the total population 
of the Zone is concentrated, the Christian Demo- 
crats remained the largest single party : together 
with the other three "centre" parties they com- 
mand a majority on the Council. 

I am again ]jleased to report that in general the 
economic recovery of the Zone continued, and that 
a further increase was registered in industrial 
production. 

Owing to the completion of the ship-building 
programme laid down in 1950, the total tonnage 
of new shipping constructed during the year was 
slightly lower than that of 1951. A new pro- 
gramme has, however, been drawn up which 
should ensure full employment in the Zone's yards 
during 1953/54. 

Owing principally to increased competition 
from the German North Sea Ports, commercial 
traffic through the Port of Trieste showed a slight 
decline. This situation was carefully watched 
and measures were studied in concert with other 
interested railway administrations with a view 
to preventing further deterioration. 

In pursuance of the policy outlined in my pre- 
vious reports, development of the Zaule Industrial 
Area continued to be encouraged by evei-y means. 
In this area a total of twenty-six industrial plants 
were already operating, or in course of completion, 
an increase of ten over 1951. 

The employment situation showed little change. 
The number of registered employed decreased 
during the year by some 1,500, and the monthly 
average of registered unemployed remained 
around 19,000. 

On 30 June 1952, the M. S. A. Mission in Trieste 
was closed and the Zone was included in the sphere 
of the M. S. A. Mission to Italy. Lire counter- 
part funds from former E. E. P. aid continued to 
be used for loans for ship-building and other in- 
dustries. Nearly all imports from the dollar area 
were paid for with "free" dollars made available 
by the Italian Government. 

The overall improvement in the financial situ- 
ation of the Zone continued in 1952, a further 
slight reduction being achieved in the budgetary 
deficit. I wish to acknowledge the fact that this 
was, as in previous years, met by the Italian Gov- 
ernment. 

A special effoi't was made to increase the rate of 
construction of pojmlar housing for which the de- 
mand showed no signs of slackening. A total of 
2,000 million lire was allocated from the Zone's 
budget and 1,133 apartments were completed or 
nearly completed during the course of the year. 
The maximum assistance possible was also given 
to private initiative in this sphere. 

Movement through the Zone's Displaced Per- 
sons' camps was on a much reduced scale, arrivals 



totalling 2,018 and departures 2,416. The Camp 
population at the end of the year stood at 3,924. 
I am most grateful to the Intergovernmental Com- 
mittee for European Migration which, with 
already established Welfare Organizations, ren- 
dered valuable assistance. 



Section i — The Economic Situation 

1. DOLLAR ALLOCATIONS 

At the end of June 1952, the Mutual Security 
Agency (Msa) Mission in Trieste was closed, and 
the Zone was included in the sphere of the Msa 
Mission to Italy. 

During the year a total of 910,052 dollars from 
the balance of allocations under the former Euro- 
pean Kecovery Progi-amme were used, principally 
for the importation of bread grains from the 
United States. 

The Italian Government provided a total of 11.1 
million dollars, compared with approximately 7.5 
million dollars in 1951, for the purchase of a wide 
variety of necessary imports from the dollar area. 
The chief of these were crude mineral oil, bread 
grains, iron and steel, and non-ferrous metals. 

In June an agreement was reached with the 
Italian Government whereby the latter assumed 
the responsibility of supplying the Allied Military 
Government's requirements of bread grains at a 
price that would ensure the continuation of the 
controlled price of bread and pasta in the Zone. 

Erp/Msa imports are shown at Appendix B, and 
purchases with dollars provided by the Italian 
Government at Appendix Bl. 

2. COST OF LIVING 

The cost of living again rose slightly during the 
year. The index (1938 = 100) which stood at 
4,964 in January, rose to 5,148 in April, and after 
receding in the course of the summer to 5,000 had 
returned to the April figure at the end of the year. 
The monthly average was 5,055 as compared with 
4,892 in 1951. The index for clothing declined 
from 6,640 in January to 5,449 in December, thus 
reversing the trend recorded in the early months 
of 1951, when it was increasing in consequence of 
a general rise in world prices of raw materials. 
The cost of housing advanced from 766 to 970, re- 
flecting a further legal increase in rents. The cost 
of foodstuffs, utilities and miscellaneous items fol- 
lowed approximately the trend of the General 
Index. 

A table showing the average monthly expendi- 
ture in lire of the typical family on the various 
items that go to make up the cost of living index, 
and the variations of the index for the years 1938, 
1951 and 1952, is given at Appendix C. 

3. LOANS 

During 1952, the Allied Military Government 
granted loans totalling 3,332 million lire to assist 



January 25, 1954 



125 



local business, industry and public utilities. 
Rather more than half of tliese loans were financed 
from Erp Counterpart Funds, and the remainder 
through the Allied Military Government budget. 
The former included 1128 million lire for ship- 
building, 325 million lire for the 2nd and 3rd stages 
of the construction of a cotton mill, and 100 million 
lire for the construction of a paper worlis. 

The principal loans from budgetary funds were : 
307 million lire to an electricity distributing com- 
pany, 300 million lire for the improvement and 
extension of the local telephone service and 210 
million lire to the General Warehouses Company. 
In addition, 850 million lire was loaned to private 
individuals from the Building Development Fund, 
230 million lire to building contractors, and 842 
million lire was invested in low-rent popular 
housing. 

The Small and Medium Loans Fund and the 
three loan funds established in cooperation with 
local banks, lent a total of 375 million lire to small 
businesses, artisans and cooperatives during tlie 
year. Approximately 250 million lire of this sum 
was advanced by the Allied Military Government. 

Section II — Financial Situation 

The Zone's finances continued to improve. 
The satisfactory position of the "ordinary" budget 
was achieved in spite of pay increases awarded 
to all statal employees in June 1952. These in- 
creases ranged from 5% to 45%, and were retro- 
active to 1 July 1951. "Extraordinary" expend- 
iture in the form of liousing subsidies and loans 
to industry and public utilities continued at a 
high level. 

The final deficit for the first half year of 1952 
which was underwritten by the Italian Govern- 
ment amounted to 4,651 million lire. This was 
some 841 million lire less than originally esti- 
mated. The Italian Government's contribution 
included 1,001 million lire as a special grant to 
the Trieste shipbuilding programme, and 4,292 
million lire representing the net difference be- 
tween revenue collected in the Britisli-United 
States Zone on behalf of the Italian Eepublic and 
revenue collected in Italy on behalf of the Zone. 
Tlie difference between the final deficit and the 
Italian Government's contributions was repre- 
sented by increased revenues and economies in 
jDrior budgetary periods. 

Tlie estimated deficit for the second half year 
of 1952 was 5,760 million lire, an increase of 500 
million lire over the comparable figure for 1951. 
In addition the Italian Treasui-y provided some 
712 million lire as a subsidy to shipbuilding. 

There was a further marked increase in sav- 
ings during the year. A table showing the posi- 
tion of deposits and current accounts with the 
banks and post office compared with 1951 is at 
Appendix D. 

The budget agreement for the second half of 



1952 is shown at Appendix E, and that for the 
first half of 1953 at Appendix F. 

Section III — Industry 

1. GENERAL 

Tliere was a further increase in industrial pro- 
duction in the Zone during 1953, the index ( 1939 = 
100) rising from 113.7 in 1951 to 127.9 in 1952. 

This increase was sliared generally among the 
Zone's major industries, with the notable exception 
of the vegetable oil refineries whicli continued to 
experience difficulty in obtaining raw industries. 
Modernisation of the plants of the Ilva Steel Mill, 
the Aquila Oil Refinery and the Trieste Jute Mill, 
was almost completed and their output rose ac- 
cordingly. 

2. ZAULE INDUSTRIAL AREA 

The ])rocess of broadening the base of the Zone's 
economy, wliich is at present largely dependent on 
shipbuilding and on traffic through the Port, was 
continued. Progress was most conspicuous in the 
Zaule Industrial Area. The first public works 
I^rogramme, designed to pre^Dare this area for the 
recei^tion and development of new industries, was 
completed, and the second programme, comple- 
mentary to the first, was started. During the year, 
394 million lire were made available by the Allied 
Military Government for the general development 
of the area, raising to 1,645 million lire, the total 
funds appropriated for this project since its in- 
ception. 

At the end of the year there were 26 industries 
already operating or in course of completion in 
the area, with a total capital investment of over 
13,000 million lire. Among those whose construc- 
tion was started during the year were the S. Giusto 
Cotton ISIill and the Trieste Glass Works, while 
work continued on the Italcementi Cement Works, 
a match factory and a wool spinning mill. The 
construction of a further six plants is planned for 
the near future with a capital investment of about 
3,000 million lire. 

3. SHIPBUILDING 

The shipbuilding industry experienced a suc- 
cessful year, although the total tonnage con- 
structed was lower than that of 1951. The only 
major vessel to be completed during 1952 was the 
25,000 ton passenger-cargo motor vessel "Augus- 
tus" which was delivered to the Italia Line in 
February. The fitting out of the passenger- 
cargo motor vessels "Victoria" and "Asia" each 
of 11,600 tons, for Lloyd Triestino, continued. 
The tanker "Andromena" of 12,300 tons, for 
A. G. I. P. Rome, was launched in August, and the 
keel of a 21,000 ton tanker for F.lli. d'Amico, 
Rome, was laid in September. The keels of a 
further 18 smaller vessels were laid, ten were 



126 



Department of State Bulletin 



launched and nine delivered. Details of the com- 
plete profiramme for 1952 are shown at Appendix 
G. In addition 239 commissions for repairs and 
refitting were carried out. 

The j'ear under review saw the virtual comple- 
tion of the shipbuilding programme laid down 
in 1950. Negotiations were therefore opened with 
the Italian Government with a view to ensuring 
a continuation of work for the Zone's shipyards. 
The progi'amme decided upon envisages the con- 
struction during 1953-1954 of two ships for Lloyd 
Triestino, the construction of up to 45,000 tons of 
large tankers or cargo vessels of over 10,000 tons, 
and of up to 8,000 tons of smaller vessels of less 
than 2,000 tons. In addition, a tug is to be built 
for the Captain of the Port. 2d() million lire 
has been set aside for ship repairs. 

Section IV — Labour 

During 1952 the number of registered employed 
decreased from 90,575 in January to 89,058 in De- 
cember, a trend that was partly reflected in an 
increase in the number of registered unemployed 
from 18,852 to 19,185 over the same period. This 
movement was due chiefly to a decline in the num- 
ber of persons attending re-qualification courses 
and work-relief schemes. 

The total number of work permits issued to 
Italian citizens coming from outside the Zone was 
1,477 on 31 December 1952 compared with 1,785 
on 31 Decemlier 1951. The number of such per- 
mits issued to aliens showed a similar decrease. 
Most of these were for building operatives. 

A total of 182 strikes were called during the year 
involving 209,000 workers and the loss of 627,269 
working hours. 

It is estimated that wage adjustments obtained 
by about 75 per cent of the registered employed 
more than offset the slight rise in the cost of living. 
Workers in both industry and commerce benefitted 
from an increase in real wages of between 3 per 
cent and 8 jser cent. 

The introduction of a new establishment for the 
Commune of Trieste, and the application to em- 
ployees of local bodies of pay increases already 
granted to statal employees, were discussed with 
the Italian Government in June and agreed in 
principle. 

A sample survey of the labour force covering 
3,530 families in the Commune of Trieste and 284 
families in the smaller communes, was carried out 
during the week 8-15 March. Some results of 
this survey, compared with figures obtained in 
March 1951, are shown at Appendix H. 

Section V— Public Works 

Tlie budget for the Department of Public 
Works and Utilities for 1952 amounted to 5,286 
million lire. Housing was again the principle 
item, accounting for nearly 50 per cent of the 



total. Other major items were: Work relief and 
re-qualification coui'ses, 18 j^er cent; roads and 
sewers, 12 per cent ; public buildings, including 
schools and hospitals, 8 per cent. A loan of 300 
million lire was granted to a power company in 
order to secure continuity of the supply of elec- 
tric power to the Commune of Trieste. 

Other important Public Works carried out 
during the year included the continuation of work 
on a secondary school and a reformatory, the ini- 
tiation of work on a new settlement for refugees, 
and the extensive repair and resurfacing of roads 
by hot bituminization. 

Details of the housing programme, showing the 
number of apartments constructed during 1952 
compared with previous years and the extent to 
which they were financed by the Allied Military 
Government are given at Appendix I. 



Section VI — Foreign Trade 

Traffic through the Port of Trieste during 1952 
again showed an overall increase. A total of 6.9 
million tons was handled compared with 6.6 mil- 
lion tons in 1951, and 5.4 million tons in 1938. 
This increase was wholly accounted for by move- 
ment of goods by sea which rose by 340,000 tons 
compai'ed with 1951, whereas movement by rail 
decreased by nearly 70,000 tons. 

Traffic was again most intense during the early 
part of the year, with a decided falling off in the 
last quarter. The lowest monthly figure recorded 
was 411,000 tons in December. Goods handled 
followed the same pattern as in recent years, the 
bulk being formed by Austrian timber for the 
Levant and crude mineral oils from Syria and 
Lebanon. Competition from the North Sea Ports, 
to which reference was made in my last report con- 
tinued, and was principally responsible for the 
decline in rail traffic. Of particular significance 
was the decision taken on the initiative of the Ger- 
man Kailways at a Conference held in Linz in 
November, to terminate tariff agi'eements regulat- 
ing traffic to and from Austria. 

Trade with Yugoslavia increased, monthly im- 
ports through the frontier clearing account 
amounting to an average of 78 million lire and 
exports to 47 million lire, an increase over 1951 of 
18 per cent and 19 per cent respectively. The 
principal items imported were livestock, timber 
and fish. Exports included machine tools, elec- 
trical equipment, fruits and rice. Imports from 
the Yugoslav Zone of the Free Territory, at a 
monthly average of 63 million lire, showed an 
increase of 31 per cent as compared with 1951, and 
exports at a monthly average of 52 million lire, an 
increase of 66 per cent. These figures exclude 
charges for the hospitalization of Yugoslav Zone 
patients in Trieste hospitals which amounted to 
approximately 15 million lire during the year. 
Except that wine featured as one of the principal 



January 25, 7954 



127 



imports, goods traded were much the same as those 
traded with Yugoslavia. 

Foreign trade statistics are shown at Ap- 
pendix J. 



undergraduates inscribed in the various faculties. 
This compares with 2,638 who attended courses 
during the year 1951/1952. A new school for 
specialists in Labour and Social Security Legis- 
lation was added to the faculty of law. 



Section VII— Agriculture, Forestry, and 
Fisheries 

Owing to bad weather which caused consider- 
able damage to crops and generally hampered 
field work, the year 1952 was a poor one for agri- 
culture. The crop harvest was 30 per cent below 
normal and livestock prices remained at a low 
level. In spite of a shortage of fodder, the inci- 
dence of disease among cattle was not, howevei', 
exceptional. The total value of agricultural pro- 
duction, including livestock, was estimated at 
1,900 million lire against 2,300 million lire in 
1951. 

Progress was made in land reclamation and re- 
afforestation projects, and, in addition, the 
Allied Military Government contributed 66 mil- 
lion lire, representing about one-third of the total 
cost of 414 land improvement projects. Agri- 
cultural training courses and experimental work 
continued normally, and grants were made for 
the purchase of concentrated cattle feed, plants, 
and farm machinery, as well as for the importa- 
tion of pedigree cattle. 

The fish catch at 3.8 million kgs. was some 5 
per cent lower than in 1951, and exports fell by 
about 10 per cent. 



Section VI 11 — Internal Affairs 

1. EDUCATION 

The new school year opened on 7 October 1952 
with 31,785 pupils attending the various statal 
schools in the Zone, an increase of 439 over the 
attendance for the previous year. In spite of a 
slight improvement in the number of class rooms 
available, the shortage which has persisted since 
the war still necessitated the organization of 
morning and afternoon shifts in many of the 
schools. Free school lunches continvied to be 
provided to needy pupils in the elementary and 
training schools. Those assisted in this way dur- 
ing the 1951/1952 school year numbered 3,427 in 
the Italian, and 1,384 in the Slovene language 
schools. During the summer, about 7,000 school 
children spent a month's holiday in the mountains 
or by the sea. The number would have been 
gi-eater but for an outbreak of scarlet fever which 
necessitated the curtailing of the programme at 
a number of the camps. The kindergartens, of 
which there are 48 distributed throughout the 
Zone, continued to function normally. 

The new academic year was inaugurated at 
Trieste University on 16 November with 2,124 



2. PUBLIC HEALTH 

The general standard of health in the Zone dur- 
ing 1952 was satisfactory. Mild epidemics of 
measles and scarlet fever which developed during 
the year gave no cause for alarm. The anti- 
tuberculosis campaign continued to give encour- 
aging results, 574 new cases being reported com- 
pared with 692 in 1951. There is still, however, 
much to be done in this field. Both the birth and 
death rates, at respectively 9.45 and 11.36 per 
thousand inliabitants, were slightly lower than 
in 1951. Work on the new 400 bed sanitorium in 
Trieste continued. Completion of this hospital 
will release badly needed beds in other hospitals 
which in the post-war period have had temporarily 
to be put at the disposal of tubercular patients. 

During the year a new Institute for Anatomy 
and Pathology was established in Trieste General 
Hospital, and 180 million lire was appropriated 
by the Allied Military Government for the cre- 
ation of a Centre for the Diagnosis and Treatment 
of Cancer, designed to provide free treatment for 
those who are unable to pay. 

A valuable contribution to the improvement of 
the Zone's health services was made by the World 
Health Organization, which put at the disposal of 
the Allied Military Government seven scholar- 
ships to enable local doctors to attend university 
clinics in the United Kingdom, United States, 
France and Germany. 

The incidence of infectious diseases is shown 
at Appendix K. 



3. SOCIAL ASSISTANCE 

Expenditure for relief and social services again 
increased in 1952. Public assistance in its various 
forms cost 1,623 million lire, compared with 1,483 
million lire in 1951. The increase was partly due 
to salary increases granted to the personnel of the 
various agencies concerned, but for the most part 
to a revision of invalid and old age pensions, and 
to an increase in the number of families requiring 
direct financial assistance. 

During the winter 1951/1952 42 million lire was 
again distributed by the Winter Relief Fund Com- 
mittee to needy families. 

During the latter part of the year, with the 
collaboration of two experts loaned by the United 
Nations Organization, the Allied Military Gov- 
ernment initiated a comprehensive study of the 
organization of social assistance in the Zone. 
Wlien completed, this study should enable a more 
rational approach to be made to the pi-oblem. 



128 



Departmenf of Sfofe Bulletin 



4. CENSUS OF THE POPULATION 

Checking of the iiiateriiil obtained from the 
census of the popuhition held on 4 November 1951 
was completed in March 1952. The number of 
permanent residents of the Zone was 296,229, of 
whom 138,200 were males and 158,029 females, 
representing an increase of 25,657 since the census 
of 21 April 1936. There was a total of 77,977 
living quarters containing 2-19,039 habitable rooms. 
This was equivalent to an occupation quota of 1.19 
persons per room. A more detailed analysis of 
the poimlation is given at Appendix L. 



5. CENSUS OF INDUSTRY AND COMMERCE 

A census of industry and commerce conducted 
on 5 November 1951 revealed that there were 11,- 
306 industrial and commercial undertakings in the 
Zone, with a total of 91,173 employees, of which 
the Commune of Trieste accounted for 10,437 with 
88,947 employees. A more detailed analysis is 
given at Appendix M. 



6. ADMINISTRATIVE ELECTIONS 

On 25 May 1952 elections for new Communal 
Councils took place throughout the Zone. In the 
Communes of Trieste and Muggia the "linked- 
list" system, under which the party or group of 
"linked" parties polling the greatest number of 
votes secures two-thirds of the seats in the Council, 
was used for the first time. In the remaining 
Communes a system of proportional representa- 
tion was employed. 

The total number of registered electors was 
217,241 representing 73.34 per cent of the popula- 
tion resident in the Zone on 4 November 1951. The 
number of votes cast was 197,228 or 94.03 per cent 
of the electorate. Valid votes totalled 193,886, 
98.03 per cent of all votes cast. 

In the Commune of Trieste a total of 178,984 
valid votes were cast, divided between 14 electoral 
lists. Of these the "linked-list" comprising the 
Christian Democrat, Liberal, Republican, and 
Venezia Giulia Socialist Parties polled 83,753 
votes (46.79 per cent), thus securing 40 of the 60 
.seats on the Council. The Communist Party se- 
cured 6 seats, and the Independence Front, and the 
Italian Social Movement (Neo-fascist) linked 
with the National Monarchist Party secured 5 
each. 

In the Connnune of Muggia the F. T. T. Com- 
munist Party lead with 58.30 per cent of the valid 
votes cast, followed by the Christian Democrat 
Group with 21.12 per cent. 

In the other Communes the successful parties 
were respectively: San Dorligo della Valle, 
F. T. T. Communist Party with 49.31 per cent; 
Duino-Aurisina, Slovene Union with 42.90 per 
cent; Sgonico, Slovene Union with 50.98 per cent; 



and Monrupino, Slovene Union with 53.48 per 
cent. A detailed analysis of the electorate and of 
how they used their votes is contained in Ap- 
pendices N and Nl. 



Section IX— Public Safety 

Apart from a disturbance connected with the 
anniversary of the Tripartite declaration of 20 
March 1948, the year 1952 was a good one from the 
standpoint of law and order. No case of murder 
was reported and there was a considerable decrease 
in the number of crimes. 

Crime statistics are given at Appendix O. 



Section X — Displaced Persons and Refugees 

The number of refugees entering the Zone dur- 
ing the Spring and Summer progressively dimin- 
ished. The camp population fell from 4,218 on 
31 December 1951 to 3,443 at the end of July 1952. 
The flow then took an upward trend and by the 
end of the year the figure stood at 3,924. 

Migration activities continued, but it became 
more difficult to settle refugees overseas mainly 
for reasons connected with limitations on immi- 
gration opportunities in overseas areas. Never- 
theless, departures during the year numbered 2,416 
against 2,018 arrivals. The countries of origin 
of tliese arrivals and other statistics concerning 
refugees and optants are given at Appendix P. 

The International Refugee Organization ceased 
operations early in the year and was succeeded 
by the Provisional Inter-governmental Commit- 
tee for the Movement of Migrants from Europe. 
This organization, later renamed Inter-govern- 
mental Committee for European Migration, estab- 
lished a branch office in Trieste, and together with 
the already established welfare organization ren- 
dered most valuable assistance. 

The position of aged and infinn refugees still 
presents many difficulties, but Switzerland, Nor- 
way, and Sweden generously provided permanent 
homes for many of these unfortunates. Efforts 
on their behalf continue, and construction of a 
new camp was started where they can be accom- 
modated in more suitable surroundings. The 
tubercular sanitorium, I'eferred to in my last re- 
port, was completed and is in full use. It has 
greatly facilitated the work of the medical staff 
in examining all refugees, and has also shown 
encouraging results in checking the course and 
diffusion of this disease. The health of the 
refugees in general also improved. 

In marked contrast to the movement of refugees, 
the influx of optants for Italian nationality from 
that part of Venezia Giulia ceded to Yugoslavia 
under the provisions of the Italian Peace Treaty 
has practically ceased. Whereas in 1951 there 
were 5,587 such optants, in 1952 their number fell 
to 78. 



January 25, 1954 



129 



Section XI— Posts and Telecommunications 

In spite of the considerable expenditure con- 
nected with the programme of modernization and 
expansion of services which was referred to in 
my last report, a reasonable profit was shown for 
the year by the Post and Telecommunications 
administration. A picture telegraph service was 
inaugurated which enables pictures to be sent or 
received by telephone land-line connected to most 
of the principal European cities. A radio tele- 
phone link between Trieste and "Venice was in- 
stalled, which has the possibility of future expan- 
sion and simultaneous use for television. 



Tenth I titer- American 
Conference Agenda 

Folloioing is the text of the agenda for the Tenth 
Inter-American Conference, to be held at Caracas, 
Venezuela, 'beginning March 1. This agenda was 
afproved after fuU consideration by the Council 
of the Organization of American States at its meet- 
ing of Novemher 10, 1953. 

I. Juridical-PoUtical Halters 

1. Peaceful Relations : 

a. Possibility of Revising tlie American Treaty on 
Pacific Settlement (Pact of Bogota) ; 

b. Inter-American Peace Committee (Report of the 
Inter-American Peace Committee; Organization, 
Operation, and Purpose of the Committee) ; 

c. Inter-American Court of .Justice ; 

d. Other Pertinent Instruments Relating to Pacific 
Settlement. 

2. Colonies and Occupied Territories in America and Re- 
port of the American Committee on Dependent Terri- 
tories. 

3. Regimen of Political Asylees, Exiles, and Refugees : 

a. Draft Convention on "Regimen of Political Asylees, 
Exiles, and Refugees (Territorial Asylum ) " ; 

b. Draft Convention on "Diplomatic Asylum". 

4. Protocol to the Convention on Duties and Rights of 
States in the Event of Civil Strife. 

5. Intervention of International Communism in the Amer- 
ican Republics. 

II. Economic Matters 

6. Reports on the Present Situation and on the General 
Economic Outlook. 

7. Economic Development : Status of Development Plans ; 
Coordination of National Economies ; and Measui-es — 
National and International — including Financial, to 
Facilitate Balanced Economic Expansion in All Fields. 

8. Conservation of Natural Resources : the Continental 
Shelf. 

9. Commercial Cooperation : Expansion of Regional, Inter- 
American, and International Trade : Problems of Sup- 
ply and Demand; Prices, Terms of Trade; Reduction 
of Barriers to International Trade; Customs Nomen- 
clature. 

10. Technical Cooperation : Program of Technical Co- 
operation of the Organization of American States. 



11. Inter-American Economic and Social Council : 

a. Composition, Operation, and Means of Action ; 

b. Coordination of Its Worlj with That of Other Inter- 
national Organizations. 

III. Social Matters 

12. Social Aspects of Economic Development. 

13. Human Rights : Measures for Promoting Human 
Rights without Impairing National Sovereignty and 
the Principle of Non-intervention. 

14. Development of the Cooperative Movement in 
America. 

15. Problems of Housing of Social Interest : Considera- 
tion of the Report of the Ad Hoc Committee for the 
Study of the Problem of Low-Cost Housing; and Pos- 
sibility of Establishing an Inter-American Bank for 
the Financing of Housing of Social Interest. 

16. Causes and Effects of the Rural Exodus. 

17. Social Welfare Work. 



18. 
19. 

20. 



21. 



IV. Cultural Matters 

Cultural Cooperation. 

Revision of the Convention for the Promotion of 

Inter-American Cultural Relations. 

Reports and Proposals from the Pertinent Organs of 

the Organization of American States on : 

a. Cultural Charter of America ; 

b. Inter-American Congress of Ministers and Direc- 
tors of Education, Rectors, Deans, Educators, and 
Students. 

Affirmation of the Historical Interest of the American 
Republics in the Island of San Salvador. 

v. Organizational and Functional Matters 

22. Inter-American Juridical Committee : 

a. Functioning; 

b. Selection of the Countries to be Members Thereof. 

23. Committee for Cultural Action : 

a. Functioning ; 

b. Selection of the Countries to be Members Thereof. 

24. Report Submitted by the Pan American Union on the 
Work Accomplished by the Organs of the Organiza- 
tion since the Previous Conference. 

25. Inter-Auierican Commission of Women. 

26. Inter-American Specialized Conferences and Other 
Intergovernmental Meetings of Interest to the Organi- 
zation of American States : Standards That Should be 
Observed with Reference Thereto. 

27. Administrative and Fiscal Policy of the Organization 
of American States. 

28. Designation of the Place of Meeting of the Eleventh 
Inter-Amerleau Conference. 



U.S. Delegation 

to International Conference 

Executive Board (WHO) 

The Department of State announced on January 13 
(press release 13) the following delegation to the thir- 
teenth session of the Executive Board of the World 
Health Organization, which opened at Geneva on Jan- 
uary 14 : 

H. van Zile Hyde, JI.D., Chief, Division of International 
Health, Public Health Sei-vice, Department of Health, 
Education and Welfare, U.S. Representative on the 
Executive Board of Who 

Frederick J. Brady, M.D., International Health Rep- 
resentative, Division of International Health, Public 



130 



Department of State Bulletin 



Health Service, Department of Health, Education and 
Welfare, Alternate U.S. Kepresentative on the Exec- 
Titive Board 
Howard B. Calderwood, Office of United Nations Economic 
and Social Affairs, Department of State, Adviser 

The Executive Board, which meets at least twice a 
year, is the executive organ of the World Health Assem- 
bly, the supreme authority of Who. The Board is com- 
posed of representatives designated by the following 18 
member nations : Austria, Belgium, Brazil, Canada, 
Ceylon, Costa Rica, Cuba, Denmark, Greece. Indonesia, 
Iran, Iraq, Lebanon, Liberia. New Zealand, Switzerland, 
United Kingdom, and the United States. Its last meeting 
was held at Geneva, May 28-30, 1953. 

The agenda for the thirteenth session provides in its 
more than 75 items for an extensive review by tlie Exec- 
utive Board of the operations and programs of Who. 
It will examine rejiorts on (1) the work performed by 
expert and special committees concerned with such sub- 
jects as quarantine measures, malaria, poliomyelitis, 
rabies, yellow fever, and rheumatic diseases; (2) the 
progress being made on a number of projects, such as a 
campaign against smallpox, the standardization of labora- 
tory tests of foods, and the selection of nonproprietary 
names for drugs; and (3) a wide variety of administra- 
tive and financial matters, including budget estimates 
for 1955, the scale of assessments for member countries, 
and revision of staff rules for the Who secretariat. 



Personnel Policy : Reports of the Secretary-General and 
of the Advisory Committee on Administrative and 
Budgetary Questions. Statement made by the 
Secretary-General before the Fifth Committee at its 
412th meeting on 25 November 1953. A/C.5/.566, Nov. 
25, 1953. 13 pp. mimeo. 

Personnel Policy : Reports of the Secretary-General and 
of the Advisory Committee on Administrative and 
Budgetary Questions. Note by Secretariat. A/C.5/ 
L.255, Nov. 30, 1953. 6 pp. mimeo. 

Personnel Policy : Reports of the Secretary-General and 
the Advi.sory Committee. Report by the Fifth Com- 
mittee Chairman. A/C.5/L.259, Nov. 30, 1953. 
2 pp. mimeo. 

Personnel Policy: Reports of the Secretary-General and 
of the Advisory Committee on Administrative and 
Budgetary Question. Statement by the Secretary- 
General. A/C.5/574, Dec. 3, 19.53. 6 pp. mimeo. 

Report of the Secretary-General on Personnel Policy. 
A/2.533, Nov. 2, 19.53. CI pp. mimeo. 

Report of the Economic and Social Council (Chapters IV 
and V) Report of the Third Committee. A/2573, 
Nov. 25, 1953. 38 pp. mimeo. 

Scale of Assessment for the Apportionment of the Ex- 
penses of the United Nations : Report of the Com- 
mittee on Contributions. Report of the Fifth Com- 
mittee. A/2577, Nov. 24, 19.53. 12 pp. mimeo. 



Current U.N. Documents: 
A Selected Bibliography ^ 

Security Council 

Letter Dated 18 December 1953 from the Permanent 
Representative of Israel Addressed to the President 
of the Security Council. S/3153, Dec. 18, 1953. 3 pp. 
mimeo. 

Letter I>ated 28 December 1953 from the Representatives 
of Egypt, Iraq, Lebanon, Saudi Arabia and Syria to 
the President of the Security Council. S/3157, Dec. 
29, 1953. 1 p. mimeo. 



General Assembly 

Staff Regulations of the United Nations: Question of a 
Probationary Period. Report of the Secretary-Gen- 
eral. A/2591, Dec. 2, 1953. 3 pp. mimeo. 

Budget Estimates for the Financial Year 19.54. Draft 
Report of the Fifth Committee. A/C.5/L.264, Dec. 6, 
1953. 66 pp. mimeo. 

Scale of Assessment for the Apportionment of the Ex- 
penses of the United Nations : Report of the Com- 
mittee on Contributions. Resolution adopted by the 
General Assembly at its 458th plenary meeting on 27 
November 1953. A/Resolution/134, Nov. 28, 1953. 
4 pp. mimeo. 



' Printed materials may be secured in the United States 
from the International Documents Service, Columbia Uni- 
versity Press, 2960 Broadway, New York 27, N. Y. Other 
materials (mimeographed or processed documents) may 
be consulted at certain designated libraries in the United 
States. 

The United Nations Secretariat has established an Of- 
ficial Records series for the General Assembly, the Se- 
curity Council, the Economic and Social Council, the 
Trusteeship Council, and the Disarmament Connnission, 
which includes summaries of proceedings, resolutions, and 
reports of the various commissions and committees. In- 
formation on securing sub.scriptions to the series may be 
obtained from the International Documents Service. 



THE CONGRESS 



Senate Begins Consideration of 
Mutual Defense Treaty With Korea 

PRESIDENT'S MESSAGE OF TRANSMITTAL' 

The White House, January 11^ 195^. 
To the Senate of the United States: 

With a view to receiving the advice and consent 
of the Senate to ratification, I transmit herewith 
the Mutual Defense Treaty between the United 
States of America and the Republic of Korea, 
signed at Washington on October 1, 1953.- 

I transmit also for the information of the 
Senate a docmnent containing the Joint statement 
by President Syngman Rhee of the Republic of 
Korea and by the Secretary of State on August 8, 
1953,^ on the occasion of the initialing of the Mu- 
tual Defense Treaty in Seoul, and the text of an 
address by the Secretary of State on the occasion 
of the signing of the Mutual Defense Treaty on 
October 1, 1953.* 



' S. Exec. A, 83d Cong., 2d sess., p. 1. 

" For text of the draft treaty, see Bulletin of Aug. 17, 
1953, p. 204. The final text differs from the draft only 
in that article V of the former concludes with the words 
"at Washington," and the last paragraph reads "Done 
in duplicate at Washington, in the English and Korean 
languages, this first day of October, 1953." 

' Ibid., p. 203. 

*/6('(7., Oct. 12, 19.53, p. 484. 



January 25, J 954 



131 



Tliere is further transmitted for the informa- 
tion of the Senate the report made to me by the 
Secretary of State regarding the aforesaid treaty. 

The Mutual Defense Treaty signed by the 
United States and the Republic of Korea is de- 
signed to deter aggression by giving evidence of 
our common determination to meet the common 
danger. It thus reaffirms our belief that the se- 
curity of an individual nation in the free world 
depends upon the security of its partners, and 
constitutes another link in the collective security 
of the free nations of the Pacific. 

I recommend that the Senate give early favor- 
able consideration to the treaty submitted here- 
with, and advise and consent to its ratification. 
DwiGiiT D. Eisenhower. 



REPORT BY SECRETARY DULLES ° 

Department of State, 
Washington, December 30, 1953. 
The President, 

I'he White House : 

I have the honor to submit to you, with a view 
to the transmission thereof to the Senate for its 
advice and consent to ratification, the Mutual De- 
fense Treaty between the United States of 
America and the Republic of Korea, signed at 
Washington on October 1, 1953. 

The provisions of the treaty were negotiated 
with the Republic of Korea by me during the 
course of a visit to Korea last August to discuss 
problems of mutual concern with President Syng- 
man Rhee. Senate leaders were consulted and 
kept fully informed of the exchange of views 
which led to the development and formulation of 
this treaty. 

As I stated at the signing of the treaty, it is a 
defense treaty firmly dedicated to peace. It is 
designed to deter aggression by making clear that 
each party recognizes that an armed attack in the 
Pacific area upon the territory administratively 
controlled by either would be dangerous to its own 
peace and safety, and declares that it would act 
to meet the common danger in accordance with 
its constitutional processes. The undertaking of 
each party to aid the other operates only in case 
that party is the victim of external armed attack. 
Armed attack by a party, either against a foreign 
state, or against ten-itory not at the time recog- 
nized by the other as lawfully brought under the 
administrative control of the first, does not bring 
the treaty into operation. An armed attack by 
either party does not obligate the other to come to 
its assistance. 

As another step in the development of a Pacific 
security system, the treaty will complement the 
earlier treaties which have entered into force with 



' S. Exec. A, 83d Cong., 2d sess., p. 2. 
132 



Australia and New Zealand, the Philippines, and 
Japan. Lilie those treaties, the treaty with Korea 
is in full conformity with the objectives and prin- 
ciples of the Charter of the United Nations. It 
affirms the belief of this Government that the se- 
curity of an individual nation in the free world 
depends upon the security of its partners and con- 
stitutes another link in the collective security of 
the free nations of the Pacific. 

The treaty consists of a preamble and six sub- 
stantive articles. The preamble sets forth the cir- 
cumstances for making the ti'eaty, providing in 
jDarticular that the treaty is designed to coordinate 
the efforts of the parties "pending the develop- 
ment of a more comprehensive and effective sys- 
tem of regional security in the Pacific area." 
Thus evolutionary developments are contemplated 
as in the treaties with Australia and New Zealand, 
the Philippines, and Japan. 

Article I is identical with the comparable ar- 
ticles in the tripartite and Philippine treaties, 
except for the inclusion of an additional phrase 
whereby the parties agree to refrain in their inter- 
national relations from the threat or use of force 
in any manner inconsistent not only with respect 
to the purposes of the United Nations, but also 
with respect to the obligations assumed by any 
party toward the United Nations. 

Article II calls for consultation between the 
parties whenever the temtorial integrity, polit- 
ical independence, or the security of either party 
is threatened by external armed attack. The 
article also embodies the principle established by 
Senate Resolution 239, 80th Congress, the Vanden- 
berg resolution," which calls for "self-help and 
mutual aid" by all the parties to security arrange- 
ments joined in by the United States and which 
involve commitments by the United States. The 
provisions of the article are similar to compa- 
rable provisions in the treaties with Australia and 
New Zealand and with the Philippines. 

Article III is the heart of the treaty. Under 
that article each party — 

recognizes that an armed attack in the Pacific area on 
either of the Parties in territories now under their re- 
spective administrative control, or hereafter recognized 
by one of the Parties as lawfully brought under the 
administrative control of the other, would be dangerous 
to its own peace and safety and declares that it would 
act to meet the common danger in accordance with its 
constitutional processes. 

This language is the same as the comparable pro- 
visions in the treaties with Australia and New 
Zealand and with the Philippines except that it 
defines the area within which the treaty is to 
operate, namely in territories now under the 
respective administrative control of either party, 
or hereafter recognized by one of the parties as 
lawfully brought under the administrative con- 
trol of the other. This provision is designed to 
take cognizance of the fact that the Republic of 

" Bulletin of July 18, 1948, p. 79. 

Department of State Bulletin 



Korea presently has effective control over only 
part of Korea. If either contracting state should 
initiate an armed attack against any territory 
not under its administrative control when the 
treaty was signed or thereafter recognized by the 
other as lawfully brought under the administra- 
tive control of the first, the treaty would not apply. 
Under its terms the treaty could continue to be 
applicable in event that a political settlement 
unifying Korea is reached. In the Australian 
and New Zealand and Philippine treaties the 
area within which they ai'e to operate is defined 
in a separate article. 

Article IV grants to the United States the 
i"ight to dispose land, air, and sea forces in and 
about the territory of Korea as determined by 
mutual agreement. It does not make such disposi- 
tion automatic or mandatoiy. 

According to article VI, the treaty has indefi- 
nite duration, but either party may terminate 
it 1 year after notice is given. 

In view of the importance of this treaty as a 
deterrent to aggression and thus to the mainte- 
nance of peace and security in the Pacific area, it 
is hoped that it will be given early and favorable 
consideration by the Senate. 

EespectfuUy submitted. 

John Fostek Dulles. 



STATEMENT BY SECRETARY DULLES ' 

Press release 11 dated January 13 

Tlie Mutual Defense Treaty between the Re- 
public of Korea and the United States has been 
submitted by the President to the Senate for its 
advice and consent to ratification. The treaty is 
an outgrowth of our experience with aggressive 
communism and represents a carefully considered 
attempt to prevent, insofar as possible, a recur- 
rence of that aggression in Korea. 

Before turning to the specific provisions of the 
treaty, I want to tell you why I think it is im- 
portant and necessaiy. 

It is doubtful that the Korean war would have 
broken out if the Communist aggressors had 
known in advance what the United States and the 
United Nations would do. They miscalculated. 
They thought that they would meet no opposition 
except from the Republic of Koi-ea itself, and the 
ROK's at that time had only a small military force 
designed primarily to preserve the internal 
security. 

The Communists did not expect that only a few 
hours after they struck, June 25, 1950, the United 
Nations Security Council would move rapidly to 
set in motion an international military action to 
repel the aggression. Nor did they expect that 



the United States would take a vigorous role as 
leader and chief contributor to the United Nations 
effort to help the Republic of Korea to drive back 
the invaders. Nor could the aggressors know that 
the United Nations effort woukl be maintained 
through more than 3 years of bloody strife which 
ended in an armistice on July 27, 1953. 

It is against this background of Communist mis- 
calculation that the first major purpose of the 
treaty becomes clear. It is to prevent any renewal 
of the Communist aggression in Korea by joining 
with the Republic of Korea in a clear and un- 
equivocal statement of our common determination 
to defend ourselves against external armed attack, 
so that no potential aggressor can be under the 
illusion that either of us stands alone in the 
Pacific area. 

The second major purpose of the treaty is to 
give to the Government and the people of the Re- 
public of Korea formal assurance of our continued 
concern for their security as a part of the fabric 
of peace in the Pacific area. It is an assurance 
to which they are fully entitled by their valiant 
and unwavering struggle against the Communist 
invaders. It was an assurance which they sought 
as the armistice negotiations were drawing to a 
close. They knew that the Communist threat re- 
mained poised in the north, ready to strike again. 
They wanted, from us, a deterrent to that threat. 

Last May and June, while the armistice was 
being negotiated, there was an exchange of letters 
between President Rhee and President Eisen- 
hower,* in the course of which President 
Eisenhower stated that he was "prepared promptly 
after the conclusion and acceptance of an armi- 
stice to negotiate" with President Rhee a mutual 
defense treaty along the lines of the treaties here- 
tofore concluded between this country and other 
Pacific nations. The President's proposal was, at 
the time, discussed with congressional leaders. 

In subsequent efforts to work out an understand- 
ing between the United States and the Republic of 
Korea on an armistice with the Communists, I gave 
Walter S. Robertson, Assistant Secretary of State 
for Far Eastern Affairs, the mission of going to 
Korea in late June to consult with President 
Syngman Rhee. A considerable area of agree- 
ment was reached by Mr. Robertson and President 
Rhee.® The armistice with the Communists was 
signed on July 27, 1953; and shortly thereafter I 
flew to Korea to exchange further views with 
President Rhee on what should be done to secure 
Korea against the Communist threat and to ad- 
vance the cause of independence and unity for the 
Korean people. In the course of those discussions, 
I negotiated with President Rhee the text of the 



' Made before the Senate Foreign Relations Committee 
on Jan. 13. 



' For text.? of President Eisenhower's letter of June 6 
and President Rhee's replv of June 19, see Bulletin of 
June 1.5. 1953, p. 8.35 and July 6, 1953, p. 13. 

° For test of a joint statement hy President Rhoe and 
Assistant Secretary Robertson following the conclusion 
of their talks, see ibid., July 20, 1953, p. 72. 



January 25, 7954 



133 



Mutual Defense Treaty which is now before you, 
and the Korean Foreign Minister and I initialed 
the draft text in Seoul on August 7. 

At the same time we issued a joint statement 
which reflected the mutual understanding we had 
reached as a result of our discussions. The state- 
ment noted that the Armistice Agreement con- 
templated that a political conference would be 
held with the Communists and that Korean and 
United States delegations would cooperate to seek 
the peaceful unification of Korea as a free^ and 
independent nation; that the Kepublic of Korea 
would take no unilateral action to unite Korea by 
military means for the agreed duration of the 
political conference; and that between the date 
of the statement and the date when the Mutual 
Defense Treaty could be expected to come into 
force and eft'ec"t through ratifications, the Armed 
Forces of the Republic of Korea and of the United 
States would be subject to the United Nations 
Command which would comply with the armistice 
terms. These understandings between the United 
States and the Eepublic of Korea have been car- 
ried out by both countries in good faith. 

I should now like to describe the Mutual De- 
fense Treaty itself and to point out some of the 
benefits and some of the responsibilities which it 
gives to the two signatories. 

The preamble to the treaty recognizes the rela- 
tion between the security interests of the Republic 
of Korea and the United States and states the de- 
sire of the two countries to strengthen their efforts 
for collective defense, pending the development 
of a more comprehensive and effective collective 
security system in the Pacific area. 

The first of the six articles of the treaty affirms 
the intention of the Republic of Korea and the 
United States to refrain in their international re- 
lations from the threat or use of force in any 
manner inconsistent with the purposes of the 
United Nations or the obligations assumed by 
either country toward the United Nations. This 
article makes it clear that the treaty is a defense 
treaty dedicated to peace. 

Article two provides for joint consultation be- 
tween the Republic of Korea and the United 
States whenever the security of either country is 
threatened by armed attack. This article also 
calls on both countries to employ "self-help and 
mutual aid" to develop means "to deter armed 
attack. 

Article three, which is the heart of the treaty, 
states that the United States and the Republic 
of Korea, in the event of an armed attack in 
the Pacific area on either country, will act to 
meet the danger in accordance with their consti- 
tutional processes. This article constitutes a clear 
warning to the Communists that they cannot ex- 
pect the United States to ignore a renewed ag- 
gression against the Republic of Korea. It con- 
tains provisions designed to take account of the 
fact that the Republic of Korea has effective con- 



trol over only part of Korea; it clearly does not 
apply to territories which are not now under 
tlie administrative control of either country or 
which are not at some future time recognized by 
one party as having been lawfully brought under 
the administrative control of the other. If 
either country should initiate an armed attack 
against any territory not under its administrative 
control when the treaty was signed or thereafter 
recognized by the other as lawfully brought under 
the administrative control of the first, the treaty 
would not apply. An armed attack by either 
country does not obligate the other to come to 
its assistance. 

In article four the Republic of Korea grants 
the United States the right to dispose land, air, 
and sea forces in and about the territory of the 
Republic of Korea as determined by mutual agree- 
ment. It does not require tlie United States to 
do so. Therefore, if agi'eed peace arrangements 
called for a withdrawal of all foreign forces, this 
could be done consistently with the treaty. 

Article five requires that the treaty be ratified 
by constitutional process before it shall come into 
force. 

The last article, the sixth, provides that the 
treaty shall remain in force indefinitely but that 
eitlier country may terminate it one year after 
giving notice. 

In summary, then, the treaty is a logical out- 
growth of the successful joint effort of the United 
States and the Republic of Korea, with the ap- 
proval and support of the United Nations, to repel 
the Communist invasion of the Republic of Korea. 
Its primary value consists in giving the Commu- 
nists notice, bej'ond any possibility of misinterpre- 
tation, that the United States would not be in- 
different to any new Communist aggression in 
Koi-ea. It is our hope that this reaffirmation will, 
in combination with the other measures which 
we are taking in the Far East, disabuse the Com- 
munists of any ideas of launching another aggres- 
sion in Korea. 

Beyond this primary consideration, the treaty 
also has significance as another step in tlie develop- 
ment of a Pacific security system, adding to the 
treaties which have already been concluded by the 
United States with Australia and New Zealand, 
the Philippines, and Japan. Like these other se- 
curity treaties, the Mutual Defense Treaty between 
the United States and the Republic of Korea affirms 
the belief of the United States that the greatest 
measure of security is found in collective commu- 
nity measures. As such, the treaty is evidence of 
our desire for peace and our conviction that to 
maintain peace it is essential to demonstrate, in 
concert with other free nations, our firm and clear 
resolve to react to aggression. 

Therefore, I recommend that the Senate give 
its advice and consent to the ratification by the 
President of the Mutual Defense Treaty with the 
Republic of Korea. 



134 



Department of Slate Bulletin 



January 25, 1954 



Ind 



ex 



Vol. XXX, No. 761 



American Principles. The Evolution of Forei;;?n Policy 

(Dulles) 107 

American Republics. Tenth Inter-American Conference 

Ageuda 130 

Australia. Entry Into Force of Estate-Tax Conveution 

With Australia 123 

Austria. Austria Urges Treaty Action Ill 

Claims and Property. Claims Against Former Ruling 

Dynasty of Egypt 112 

Cuba. Expansion of Cuban Nickel Production . . . 122 
Economic Affairs 

British Token Import Plan To Be Extended .... 123 
Earnings on U. S. Investments Overseas During 1952 . 120 
Entry Into Force of Estate-Tax Convention With 

Australia 123 

Expansion of Cuban Nickel Production 122 

Export-Import Bank Credit to Ecuador 123 

The Growing Structure of International Motor Tratiic 

Agreements (Kelly and Eliot) .... ... 117 

U. S. Export Policy Toward Soviet Bloc Ill 

Ecuador. Export-Import Bank Credit to Ecu.idor . . 123 
Egypt. Claims Against Former Ruling Dynasty of 

Egypt 112 

Ethiopia. Haile Selassie To Visit U. S 112 

Greece. Tax Conventions With Greece Enter Into 

Force 124 

International Organizations and Meetings 

Austria Urges Treaty Action Ill 

Meeting Place Agreed on for Berlin Conference (text 

of communique) 110 

Tenth Inter-.American Conference Agenda 130 

U. S. Delegation to International Conference .... 130 
Korea. Senate Begins Consideration of Mutual Defense 
Treaty With Korea (President's message of trans- 
mittal) (Dulles) 131 

Military Affairs. U. N. To Release War Prisoners to 

Civilian Status (General Thimayya)i (General Hull) . 113 
Mutual Security. FOA Country Directors in Latin Amer- 
ica Meet 1-21 

Peru. FOA Country Directors in Latin America Meet . 121 

Presidential Documents: Message of transmittal. Sen- 
ate Begins Consideration of Mutual Defense Treaty 
iWith Korea (Dulles) 131 

Treaty Information 

Austria Urges Treaty Action Ill 

Entry Into Force of Estate-Tax Convention With 

Australia 123 

Senate Begins Consideration o-f Mutual Defense Treaty 
With Korea (President's message of transmittal) 
(Dulles) 131 

Tax Conventions With Greece Enter Into Force . . . 124 



Trieste. Administration of the British-U. S. Zone of 

Trieste During 1952 124 

United Kingdom 

(Administration of the Britlsh-U. S. Zone of Trieste 

During 1952 124 

British Token Import Plan To Be Extended .... 123 

United Nations 

Current U. N. Documents : A Selected Bibliography . . . 131 

Security Council : Administration of tiie British-U. S. Zone 

of Trieste During 1952 124 

U. N. To Release War Prisoners to Civilian Status 

(General Thimayya) (General Hull) 113 

U. S. S. R. U. S. Export Policy Toward Soviet Bloc . Ill 

Name Index 

Dulles, Secretary 107, 131 

Eisenhower, President 131 

Eliot. W. G., 3d 117 

Hull, John E 113 

Kelly, H. H. . . . . 117 

Selassie, Haile 112 

Thimayya, Lt. Gen. K. S 113 

Winterton, Sir John 124 



Check List of Department of State 
Press Releases: January 11-17 

Releases may be obtained from the News Divi- 
sion, Department of State, Washington 25, D. C. 

Press relea.se issued prior to January 11 which 
appears in this issue of the Bulletin is No. 5 of 
January 7. 

No. Date Subject 

*7 1/11 Exchange of persons 

S 1/12 Dulles : Evolution of foreign policy 

*9 1/12 Exchange of persons 

*10 1/12 Exchange of persons 

11 1/13 Dulles: Treaty with Korea 

12 1/12 Correspondence with Austria 

13 1/13 Who Executive Board 

14 1/14 Claims against Egyptian royalty 
tl5 1/14 Architectural Advisory Board 
*16 1/15 Turkish President's visit 

*17 1/15 Hotchkis nominated to Ecosoc 
18 1/16 Tax conventions with Greece 



*Not printed. 



tHeld for a later issue of the Bulletin. 



U. S. GOVERNMENT PRINTING OFFICE; 1954 




the 

Department 

of 

State 



REGIONAL ORGANIZATIONS. 

EUROPE AND THE NORTH ATLANTIC AREA: 

a description of their development and functions 

Department of State publication 4944 15^ 



To cope with (1) the overwhelming destruction of 
World War II and (2) the aggressive tendencies of 
the Soviet Union, Europe and the North Atlantic 
area have formed organizations designed to increase 
their economic, political, and military strength. This 
34-page publication examines these organizations 
briefly in text and charts. Here are described the 
origin, structure, and functions of — 

• The Benelux Economic Union 

• The Economic Commission for Europe (ECE) 

• The Organization for European Economic Co- 
operation (OEEC) 

• The Council of Europe 

• The North Atlantic Treaty Organization 

• The European Coal and Steel Community {Schu- 
man Plan) 

• The European Defense Community (EDC) 



To order copies, fill in and return coupon below. 
Order Form 

To: Supt. of Documents Please send me copies of pub. 4944, Regional Organizations, Europe and the 

Govt. Printing OflBce 

Washington 25 D C North Atlantic Area: a description of their development and functions. 

Name 

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money order). 



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Vol. XXX, No. 762 
FAruary 1,1954 



-A^'*'^ O*. 





PROGRAMS FOR BUILDING NATIONAL AND INTER- 
NATIONAL SECURITY • Excerpts from President 
Eisenhower's Budget Message to the Congress 143 

UNITED NATIONS CHARTER REVIEW • Statement by 

170 
Secretary Dulles 

U.N. RELEASES PRISONERS OF WAR 152 

OUR VICTORY IN KOREA • by Assistant Secretary 

149 
Robertson • * 

INCREASING INTERNATIONAL UNDERSTANDING 
THROUGH EDUCATIONAL EXCHANGE • by 

Russell L. Riley ^^^ 

COOPERATION IN U.S.-CUBAN INDUSTRIAL RE- 
LATIONS • by Ambassador Arthur Gardner 158 

THE PROCESS OF FEDERATING EUROPE • 

by Robert R. Bowie 1^^ 



For index see inside back cover 



.^V^T o^ 



Boston Public Library 
Superintendent of Documents 

FEB 2 3 1954 



^ne ^e/ut'i^&ne'nt oi^ ^taie 




Ni„ o» 



bulletin 

Vol. XXX, No. 762 • Publication 5353 
February 1, 1954 



For sale by the Superintendent of Documents 

U.S. Government Printing Office 

Washington 26, D.C. 

Peice: 

52 Issues, domestic $7.50, foreign $10.25 
Single copy, 20 cents 

The printing of this publication has 
Iwen approved by the Director of the 
Bureau of the Budget (January 22, 1962). 

Note: Contents of this publication are not 
copyrighted and Items contained herein may 
be reprinted. Citation of the Department 
OF State Bulletin as the source will be 
appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of the 
Government with information on 
developments in the field of foreign 
relations and on the work of the 
Department of State and the Foreign 
Service. The BULLETIN includes 
selected press releases on foreign 
policy, issued by the White House 
and the Department, and statements 
and addresses made by the President 
and by the Secretary of State and 
other officers of the Department, as 
ivell as special articles on various 
phases of international affairs and the 
functions of the Department. Infor- 
mation is included concerning treaties 
and international agreements to 
uihich the United States is or may 
become a party and treaties of general 
international interest. 

Publications of the Department, as 
well as legislative material in the field 
of international relations, are listed 
currently. 



The Process of Federating Europe 



hy Rohert R. Bowie 

Director, Policy Planning Staff ^ 



Historically, federalism has been a process for 
creating wider political communities for promot- 
ing specific interests common to several existing 
states. For the formation of a federation, the 
component states must recognize that their prob- 
lems and interests are common and that they can 
7wt be effectively handled by the separate states or 
by mere cooperation. Diagnosis has often been 
slow and painful. The federal remedy is not likely 
to be applied until the ills have become acute and 
less radical cures have clearly failed. 

In the past, the ])roblems which have most often 
led to the formation of new federal states have 
been defense and economic needs. In the United 
States, in Australia, Canada, Switzerland, and 
Germany, the federation had its origin in the 
inability of the individual states to provide either 
security or viable economies in isolation. In each 
case, some higher political authority was needed to 
mobilize their resources for common defense and 
to facilitate trade and commerce among them. 

The rapidity with which the need for a new 
federal state is recognized and acted on depends 
on many factors. Temperament, training, and in- 
terest will make many people slow to accept the 
necessity of federation. State officials are likely 
to be reluctant to acknowledge their own inca- 
pacity to deal witli the pressing problems. Those 
who profit by protected markets will resist the 
need for change. Existing loyalties and patriot- 
isms will all counsel delay. Against such inertia 
or opposition, the requisite suppoi't for federation 
has generally been produced only by the threat of 
military or economic disaster. 

In many ways, the current efforts to achieve 
European unity reveal a similar pattern. But 
there is novelty and invention in the methods 
adopted to make progress. The urgency of the 
problems made it essential to begin at once and 
proceed under forced draft. Hence in seeking to 
build a supranational European government, the 



1 Address made before the Bicentennial Conference, 
Columbia University, New York, N. Y., on .Ian. 14. 



proponents have relied heavily on the dynamic 
conception of federalism as an evolving and grow- 
ing process. They have started with incomplete 
measures, banking heavily on the continuance of 
the process for their ultimate success. 

The Postwar Situation in Europe 

In terms of need, conditions in Europe after the 
war were ripe for the creation of some form of 
federal state. 

By 1945, Europe had suffered a radical decline 
in its power, economic well-being, and morale. 
For several centuries the states ot Europe, with 
their developed industries and military power, had 
governed much of the world and shaped its his- 
tory. Their rivalries and nationalism had broken 
out into repeated conflicts which ultimately cul- 
minated in two world wars. In their aftermath, 
the situation was profoundly changed. Europe lay 
almost impotent between two emergent giants-^ 
the U.S. and the U.S.S.R. 

Contemplating their plight, many Europeans 
Avere bitterly disillusioned with nationalism. If 
Europe was to survive, they concluded, it was es- 
sential to find some way to bury past hatreds and 
to live and work together in peace. For the future, 
France and Germany must somehow reconcile and 
merge their vital interests. European unity, 
which had been advocated as an ideal for cen- 
turies, took on a new appeal as a practical pro- 
gram. To a weakened and divided Europe, unity 
offered a new faith and a vision of a peaceful and 
stable future. 

The economic reasons for European integration 
went deeper than the war. For purposes of mod- 
ern industry and commerce, the separate states of 
Europe were too small. Tariffs, quotas, currency 
restrictions, transport barriers, and private cartels 
all served to divide Europe into a series of air- 
tight markets, each too restricted for efficient out- 
put and distribution. Any single state was power- 
less to correct the situation. It was forced to 
consider only its separate interests and to impose 



February ?, 7954 



139 



more and more barriers to commerce with the out- 
side. A general European government was needed 
to promote the common interest in a wider market 
and freer trade. 

Likewise, it was apparent that no European state 
could defend itself alone. Despite terrible war 
damage, the Soviet Union had great and growing 
military and industrial power. No single nation 
had the resources in terms of money, materiel, 
or men to face the Soviet threat by itself. None 
would be able, merely in terms of strategy, to 
defend itself against a Soviet attack. 

Nor was a coalition an adequate answer. Sepa- 
rate national forces, even if combined, would be 
grossly inefficient and could hardly produce a 
properly balanced total force for the defense of 
Europe. Effective defense, within Europe's 
means, required European institutions which could 
combine its resources in the most efficient way. 

Men were not lacking who saw the need for 
European unity. Among them were practical 
leaders like Schuman, Pleven, and Jean Monnet in 
France ; Adenauer in the German Federal Repub- 
lic; Paul-Henri Spaak of Belgium; de Gasperi of 
Italy; and many others. Their experience in 
grappling with Europe's problems convinced them 
of the urgent necessity for Europe to unify under 
supranational institutions if its peoples were to 
live and prosper together in security and peace. 
The merging of the basic interests of West Ger- 
many and its neighbors offered the only hope for a 
constructive and permanent solution of their rela- 
tions. The revival of West Germany under 
leaders devoted to the European idea provided an 
historic opportunity which must not be allowed to 
slip away. 

The problem was how to proceed. Let us look 
briefly at what has been done so far toward eco- 
nomic, defense, and political unity. 



Measures for Economic Unity 

In dealing with Europe's postwar economic dif- 
ficulties, organizations like Oeec [Organization 
for European Economic Cooperation], Epu 
[European Payments Union], and the Council of 
Europe had performed useful functions. But, 
while they provided a basis for cooperation among 
the states of Europe, they acted only by unanimity 
and could proceed only as rapidly as their most 
hesitant member. It was becoming clear, how- 
ever, that if Europe was ever to solve her basic 
economic problems, she must promptly achieve 
more organic unity by creating European agen- 
cies capable of acting for the common interest. 

But the obstacles to such closer economic unity 
were and are formidable, and deeply rooted. The 
very maturity of the European economies was a 
source of special difficulties. The long history of 
tariffs and other measures to protect national mar- 
kets had created entrenched vested interests cer- 
tain to oppose their removal. 



Moreover, the expanded economic role of the 
modern state complicates the task of attempting 
to establish a new federation. Today, when the 
state accepts responsibility for the health of the 
economy, it manages the budget, taxation, cur- 
rency and credit, and regulation of imports and 
exports as interrelated means for discharging this 
function. If a new federal state initially assumed 
this broad responsibility, it would probably be 
unable to cope with it. Yet to try to disentangle 
some of these threads for transfer to a federation, 
while leaving the rest in the hands of the member 
states, would hardly provide a permanent work- 
able solution. 

Faced with this dilemma, M. Schuman, in May 
1950, suggested a unique method for getting 
started. In proposing the Coal and Steel Com- 
munity, he stated that his plan had three major 
purposes: (1) to promote Franco-German trust 
and rapprochement by putting their primary raw 
materials, coal and steel, under common European 
institutions; (2) to make a start toward freer 
European trade by opening up a single market for 
these two basic industries; (3) to establish the 
nucleus of federal institutions. Six countries — 
France, West Germany, Italy, and the Benelux 
nations — joined in establishing the Community. 

Separating out the coal and steel industries for 
European control was no easy task. In many 
ways they are woven into the fabric of their sepa- 
rate national economies. In transferring them to 
the European agencies, the Coal and Steel Treaty 
inevitably left certain threads untied. 

The creators of the Coal and Steel Community 
were well aware that over time these loose ends 
might well cause serious trouble. But they were 
not planning for a static future. Tliey did not ex- 
I)ect the Coal and Steel Community to stand alone 
indefinitely. It was looked on as a first step only. 
The essential thing was to make a beginning to- 
ward unity before the opportunity was lost. Their 
plan and purpose was to start in motion a proc- 
ess — a process of growth — which would ultimately 
embody wider functions and authority. 

In part this method was directed to accumulat- 
ing experience and in part to creating a climate 
of opinion. The Coal and Steel Community was 
intended to teach by example the benefits of even 
limited economic unity. It was also designed to 
start the training and creation of a group of Euro- 
pean officials whose loyalty was wider than na- 
tional loyalty; whose horizons were wider than 
national horizons. Finally, it was to provide a 
symbol and a center around which new loyalties 
could group themselves. It was to be the living 
sign of a future Europe which would beckon others 
toward European solutions for other problems. 

In the span of a little more than 3 years, the 
initial idea has already borne fruit to an amazing 
extent. The Coal and Steel Community has now 
been in operation for a year and a half as a sort 
of limited federation. Its institutions are set up 



140 



Deparfment of Sfo/e Bulletin 



and functioning effectively. It has gathered to- 
gether a group of civil servants who owe their 
allegiance to the European Community and not to 
the member states. The decisions of the Commu- 
nity in the common interest liave been loyally 
accepted by the member states. 



Measures for European Defense 

As I have said, the Coal and Steel Community 
was intended only as the beginning. But the next 
step came more quickly than might have been 
expected. While the Coal and Steel Treaty was 
being negotiated, the Communists struck in Korea. 
This attack, and the fear that Europe might be 
next, focused attention on the pitiful weakness of 
its defenses. It soon became apparent that effec- 
tive defensive strength in Europe would require 
participation of German forces. 

France, which opposed any revival of a Ger- 
man national army, drew on the example of the 
Schuman Plan for a solution. In the fall of 
1950, M. Pleven proposed the creation of a Euro- 
pean army, integrating French, German, and 
other units under European institutions. In May 
1952, the six states initialed the draft treaty for 
the European Defense Community. It has been 
ratified by West Germany and the lower houses 
in Belgium and the Netherlands, and awaits ap- 
proval in P^rance, Italy, and Luxembourg. 

In its essence, the European army idea was 
even more radical than that of the Coal and Steel 
Community and involved more formidable diffi- 
culties. It dealt, after all, with more vital issues, 
charged with deep-seated loyalties and antago- 
nisms and impinging directly on the individual 
citizens who serve in its military forces or who 
must make financial sacrifices for their support. 
Furthermore, the close tie between military and 
foreign policies calls for some means to harmonize 
them. 

In view of these facts, it is not surprising that 
the powers granted by the Defense Treaty are 
relatively less complete than those under the Coal 
and Steel Treaty. The f ramers of the treaty were 
aware that, as a result, the Defense Community, 
as it stood, would hardly be viable over the long 
run. As a temporary expedient, the gaps could 
be filled by the existence of Nato and of the pro- 
cedures established there. But before very long 
it would be essential to expand the powers of the 
Defense Community, and in view of its vital na- 
ture of activity, this would not be feasible unless 
its institutions were constructed ultimately on a 
broader democratic base. 



The Political Community 

Accordingly, the Defense Treaty included a 
special provision (article 38) to meet this need. 
Under it, the Assembly of the Defense Community 
was assigned the constituent role of working out 



and submitting to the government a stronger 
framework for a federal or confederal structure, 
to be based on a bicameral legislature and on the 
separation of powers between it and an executive. 
This work was to begin only after the treaty had 
been ratified. During the summer of 1952, how- 
ever, the Foreign Ministers of the six countries 
decided to request the Coal and Steel Assembly, 
slightly augmented, to draft a statute for a Euro- 
pean Political Community. The work began at 
once and was pushed ahead energetically. By 
March 1953, a draft statute was ready and was 
submitted to the six governments, which are at 
present considering it. 

A political community is the logical and prac- 
tical next stage in the process of federation. This 
project, as now developed in draft, woidd set up 
stronger political organs for the Coal and Steel 
Community and, when realized, the Edc. Build- 
ing on the earlier structures, it would include a 
popularly chosen parliamentary assembly, execu- 
tive organs, and a judiciary. It would aim at the 
progressive achievement of a common market 
among the member states, with free movement of 
goods, capital, and persons. This project is being 
and will continue to be heatedly debated. 

Prospects for the Future 

Statesmen of vision have evolved in Europe a 
unique process of federation tailored to the pe- 
culiar problems and difficulties that face them. 

The distinctive feature of this process has been 
in developing federal institutions, stage by stage, 
through successive agencies, wielding limited 
powers in specific fields. This method has made 
possible an innnediate start in applying the fed- 
eralist solution to pressing current problems. It 
relies on a cumulative process of growth and grad- 
ual fulfillment. It assumes that existing residues 
of traditional and nationalist thinking may best be 
changed through actual experience and example. 

This method provides an inner compulsion to- 
ward growth. Once certain functions are dele- 
gated, once pailial communities are established, 
their initial success can create pressures to widen 
their functions and cure their deficiencies. The 
commitment embodied in the steps already taken 
leads to the next logical step. The rapid start 
with the Political Community Treaty shows how 
effectively this compulsion can operate. 

But the method also involves serious risks. The 
same deficiencies which provide motives to go 
further can, if not cured, undermine the communi- 
ties already created. A process of this sort cannot 
stand still ; it must go forward or seriously recede. 
That is the risk inherent in it. 

What, then, are the prospects? No one can say 
for sure. In terms of need, certainly, European 
unity has an aspect of ultimate inevitability. No 
other way has been proposed to enable Europe to 
achieve security, economic health, and social sta- 



February 1, 1954 



141 



bility, or to attain the permanent and essential 
reconciliation of France and Germany. 

Decision cannot wait upon ideal conditions, 
which are not likely to materialize. Drift and 
indecision would only mean increasing insecurity, 
rising economic pressures, social tensions, political 
radicalism, and "crisis governments." 

Forsaking the past and its conflicts, the six 
nations have set out on the more hopeful road to- 
ward unity. The results thus far are encouraging. 
Persistent efforts to maintain the momentum 
should insure that the Edc and the political statute 
are carried through and put into effect. 

It is not too much to say that the future of 
Europe hangs on the early success of these efforts. 
The situation will not stand still. The present 
historic opportunity can be lost by indecision or 
delay. Grim realities demand that the six states 
overcome fears and hesitations and go forward, 
without faltering, in hammering out tighter bonds 
of union. 



Netherlands Action 
on EDC Treaty 

Statement iy the President 

White House press release dated January 20 

I have just learned that the Netherlands, 
through action today by the First Chamber, has 
completed legislative action on the treaty to cre- 
ate the European Defense Connnunity. 

The Netherlands thus becomes the first country 
to complete the necessary legislative processes. I 
am gratified at the steady i^rogress toward the 
achievement of conditions in Europe which will 
insure permanent peace and prosperity. 



American Assistance to 
Netherlands Flood Victims 

Wliite House press release dated Jauuary 15 

FoUoioing is the text of a letter received hy the 
President from Her Majesty Queen Juliana of 
the Netherlands: 

Mr. President, 

Now that the last gap in the dykes has recently 
been closed, I feel impelled to address myself to 
you and the American people, moved by a deep 
sense of gratitude. The floods which ravaged 
our country in February have brought great dis- 
tress to hundreds of thousands of my compatriots 
and caused extensive damage. It has been a great 
comfort, however, that with a spontaneity to 
which history furnishes no parallel, sympathy 
with the victims was shown from all sides while 
valuable active assistance was given as well. 



You sent us aeroplanes, helicopters and am- 
phibious vehicles which have proved to be a tre- 
mendous help dm'ing the rescue work ; goods and 
clothes were collected from all over the United 
States and considerable amounts of money were 
raised. You did even more than that : units of your 
armed forces rushed up ; by their utmost exertions, 
toiling day and night on the inundated lands at 
the risk of their own lives under the most un- 
favourable weather conditions, they saved victims 
and their cattle and helped in plugging the innu- 
merable breaches in the dykes. All those who did 
their utmost to help us have earned our deep-felt 
gratitude because they have proved that human 
solidarity does not stop at frontiers. On behalf 
of the victims and all my compatriots I address 
myself to you and, in doing so, to the American 
people to express what can hardly be expressed 
in words : our heart-felt thanks for everything you 
did when the sea — our faithful friend and eternal 
enemy — held our country in its crushing grip. 

I seize this opportunity to convey to you, Mr. 
President, my sincere wishes both for the pros- 
perity of the Republic and for your personal well- 
being. 

Juliana 

SoESTDijK, January 8, 1954 



Recent Releases 

For sale by the Superintendent of Documents, V. 8. Oov- 
ernmcnt Printing Office, Washington 25, D. C. Address 
requests direct to the Superintendent of Documents, ex- 
cept in the case of free publications, which may be obtained 
from the Department of State. 

Defense, Leased Areas in Goose Bay, Newfoundland. 

TIAS 2730. Pub. 5103. 5 pp. 50. 

Exchange of notes between the United States and Can- 
ada — Signed at Ottawa Dee. 5, 19.52. 

Technical Cooperation, Aerial Photographic Project. 
TIAS 2732. Pub. 5109. 4 pp. 5<S. 

Agreement between the United States and Liberia — Signed 
at Monrovia Dec. 15, 1952. 

Technical Cooperation, Public Health and Disease Con- 
trol Program. TIAS 2733. Pub. 5110. 6 pp. 5?;. 

Exchange of notes between the United States and Saudi 
Arabia — Signed at Jidda Dec. 15, 1952. 

Economic Cooperation, Duty-Free Entry and Free Inland 
Transportation of Relief Supplies and Packages. TIAS 

2735. Pub. 5113. 5 pp. 5t 

Agreement between the United States and Yugoslavia, 
with an accompanying note — Signed at Belgrade Dec. 3, 
1952. 

Defense, Offshore Procurement Program. TIAS 2738. 
Pub. 5117. 5 pp. 5^'. 

Exchange of notes between the United States and Greece — 
Dated at Athens Dec. 17 and 24, 1952. 

Mutual Defense Assistance in Indochina. TIAS 2447. 
Pub. 5119. 47 pp. 20!*. 

Agreement between the United States, Cambodia, France, 
Laos, and Viet-Nam — Signed at Saigon Dec. 23, 1950. 



142 



Department of State Bulletin 



Programs for Building National and international Security 



Excerpts from the President's Budget Message to the Congress 



NATIONAL SECURITY 



Mutual Military Program 



Because our own national security is vitally 
dependent on the continued strength of our allies 
throughout the free woiid, we have undertaken 
over the past several years to assist them in build- 
ing the military forces necessary to deter Com- 
munist aggression from without or subversion 
from within. Since the beginning of the mutual 
defense assistance program in fiscal year 1950, 
when the armed strength of the free world was at 
low ebb, $18 billion have been made available to 
furnish military equipment and training to 
friendly nations. More than half of this amount 
will have been spent by the end of the fiscal year 
1954. This assistance, combined witli their own 
resources, enables our allies and friends to ecjuip 
and train an equivalent of 175 army divisions, 
about 220 air force squadrons, nearly 1,500 naval 
aircraft, over 440 naval vessels, and related combat 
and logistic units to back up these forces. 

These friendly forces located in key strategic 
areas for the defense of the free world are largely 
supported by the countries themselves. In addi- 
tion, substantial forces are exclusively supported 
by our allies. Without all of these forces the 
United States would be faced with a potential 
defense burden so costly that it could well sap the 
economic vitality of our Nation. These forces 
constitute an integral part of the military strength 
of the free world. 

Since the mutual military program is so closely 
integrated with our own military plans and pro- 
gram, it is shown this year in the defense chapter 
of part II of the budget and is discussed here as 
part of our national security program. Because 
the mutual military program is also an integral 



' H. <loc. 264, 83(1 Cong., 2d sess. : transmitted Jan. 21. 
The full text of the message is for sale l)y the Suijerin- 
tendent of Documents, U.S. Government Printing Office, 
Washington 25, D. C, at $1.50 a copy (paper cover). 



part of our foreign policy, the Secretary of De- 
fense will continue to carry out his responsibili- 
ties for the mutual military program under the 
foreign policy guidance of the Secretary of State 
and witliin the terms of the mutual security legis- 
lation passed by the Congress. 

In this budget, mutual military program funds 
are shown under the new obligational authority 
of the Department of Defense. However, this 
arrangement is being reviewed and my recommen- 
dations will be set forth in connection with the 
authorizing legislation I shall recommend to the 
Congress. This authorizing legislation should 
permit adjustments in the composition of our aid 
programs to meet changing needs due to new in- 
ternational developments. It is therefore essen- 
tial that the Congress maintain the present Presi- 
dential powers of transferability of all foreign 
assistance funds, whether for military, technical, 
or economic assistance. 

The i-ecent Paris meeting of the North Atlantic 
Treaty Organization set realistic force goals for 
the 14 member nations, which will provide for a 
substantial increase in the defensive strength of 
Nato. The mutual military program provides the 
bulk of the initial equipment ancl certain mobiliza- 
tion reserves needed to meet these new goals. 
Meanwhile, our allies are themselves carrying 
heavy burdens. Their military budgets during 
the period of this program exceed by many times 
the value of the equipment we have so far de- 
livered. They have expressed their determination 
to continue their efforts at high levels. 

Despite the jDrogress which Nato has made, we 
are nevertheless faced with a serious need to 
achieve the luiity in Europe which is necessary for 
strength and security in the North Atlantic area. 
As is well known, the treaty constituting the Euro- 
pean Defense Community is not as yet in effect. 
It is not necessary for me to dwell on the reasons 
why the Edc is urgently needed. However, I am 
convinced that the Europeans who must decide on 
this essential next step toward building a Euro- 
pean community are fully aware of what is at 



February 1, 1954 



143 



stake and will in the near future reach their 
decisions. 

Nato is engaged in a reappraisal of strategy and 
tactics to reflect the prospective availability of 
atomic and other new weapons. These studies, to 
be meaningful, require the dissemination of cer- 
tain information regarding atomic weapons to 
Nato commanders. This will have a significant 
impact on Nato planning and provide a greater 
measure of security for all. I shall recommend 
that the Congress amend the Atomic Energy Act 
to permit us to disseminate classified information 
to our allies with regard to the tactical use of 
atomic weapons. This, of course, would be accom- 
plished under stringent security regulations. It 
is essential that action on this matter be taken by 
the Congress during the current session. 

In Indochina, where the French Union and As- 
sociated States forces are holding back Communist 
efforts to expand into the free areas of Asia, the 
United States is making a major contribution by 
providing military equipment and other military 
support. The amount as well as the timeliness of 
this military assistance will be an important factor 
in improving the situation. Additional native 
forces must be trained and equipped to preserve 
the defensive strength of Indochina. This assist- 
ance is required to enable these gallant forces to 
sustain an offensive that will provide the oppor- 
tunity for victory. 

We have helped the Chinese Nationalist forces 
to strengthen the defense of the island of Formosa. 
This assistance will be continued as will assistance 
to other countries of the free world such as the 
Philippines, Thailand, and some of the American 
Republics. 

The mutual military program, like our domestic 
military program, is now designed to build 
strength for the long pull rather than meet a given 
target date. Accordingly, we will concentrate on 
helping equip forces which our allies can them- 
selves support over a long period of time, with 
minimum dependence upon aid from the United 
States. We have succeeded in substantially reduc- 
ing the need for additional funds in fiscal year 
1955 compared to previous years. 

Our mutual security pi-ogram continues in two 
related parts — the economic and technical pro- 
gram is much smaller in amount than the mutual 
military program and is discussed in a later section 
under international affairs. In that section is a 
comparative summary of the combined program. 

Development and Control of Atomic Energy 

In my speech before the United Nations on De- 
cember 8, 1953,^ I made proposals looking toward 
a resolution of the atomic danger which threatens 
the world. My budgetary recommendations for 
the program of the Atomic Energy Commission 

' Bulletin of Dec. 21, 1953, p. 847. 
144 



for the fiscal year 1955 contemplate both new ef- 
forts to advance peacetime applications of atomic 
energy and also additional production of fission- 
able materials. All men of good will hope that 
these fissionable materials, which can be used both 
for peace and for military defense, will ultimately 
be used solely for peace and the benefit of all man- 
kind. 

Under the recommendations in this budget, ex- 
penditures of the Atomic Energy Commission will 
rise in the fiscal year 1955 to the highest point in 
our history. Operating costs will rise signifi- 
cantly as newly completed plants are brought into 
production. Capital expenditures will continue at 
a high level as construction goes forward on major 
new plants authorized in recent years. New ob- 
ligational authority recommended in 1955 is above 
that provided in 1954, because of the expansion in 
operations. Initiation of new construction proj- 
ects will be at a lower level than in recent years, 
and they will be limited essentially to facilities 
directly related to the production program and to 
several urgently needed research and development 
facilities. In all areas of activity the Commission 
is making strenuous effoi'ts to effect economies; re- 
sults are being accomplished in the reduction of 
unit costs. 

The increase in expenditures for operations 
from $912 million in the fiscal year 1954 to $1,182 
million in 1955 is due primarily to expanded oper- 
ations at the Commission's facilities at Oak Ridge, 
Paducah, Portsmouth, Hanford, and Savannah 
River, as plants are completed and placed in opera- 
tion. To meet the greater requirements for raw 
materials for this enlarged productive capacity, 
increased amounts of uranium ores and concen- 
trates will be purchased. Due to vigorous efforts 
in recent years to expand our sources of supply in 
this country and abroad, increased amounts are 
now being made available to match the increase in 
requirements. 

Atomic reactor development will be focused 
I^articularly upon the development of industrial 
atomic power for peacetime uses. The Commis- 
sion will move forward on the construction of a 
large atomic power reactor to be initiated in the 
fiscal year 1954, marking a significant advance in 
the technology of peacetime atomic power. Re- 
search and development, including construction 
of experimental facilities, will continue also on 
several other types of reactors which show prom- 
ise of ultimately producing power at economic 
rates. 

The launching — this month — of the first atomic 
submarine, the U. S. S. Nautilus,^ will be followed 
in the fiscal year 1955 by the launching of the 
U. S. S. Seawolf, a second atomic submarine of 
different design. Research on the more difficult 
problems of aircraft propulsion by atomic energy 
will continue. 



^ The Nautilus was launched on Jan. 21 at Groton, 
Conn., after being christened by Mrs. Eisenhower. 

Department of Slate Bulletin 



With the advent of various technical develop- 
ments relating to atomic power and with the 
greater availability of raw materials and fission- 
able materials, the time has arrived for modifica- 
tion of tlie existing atomic energy legislation to 
encourage wider participation by private in- 
dustry and by other public and private groups in 
tills country in tlie development of this new and 
uniquely attractive energy source for peaceful 
purposes. Such widespread participation will be 
a stmiulatiiig and leavening force in this impor- 
tant field and will be consistent with the best tradi- 
tions of American industrial development. The 
congressional Joint Committee on Atomic Energy 
last summer held public hearings which have 
served a most useful purpose of identifying and 
developing both the problems and the opportu- 
nities which emerge as preparations are made 
to depart from the Federal Government's existing 
monopoly in this field. Legislation is being rec- 
ommended to the Congress which would encour- 
age such participation and yet retain in the 
Federal Government the necessary controls over 
this awesome force. 

Further amendment of the Atomic Energy Act 
is needed also to enable us to realize the full value 
of our atomic energy development for the defense 
of the free world. I shall recommend amendments 
which would permit, with adequate safeguards, 
a greater degree of exchange of classified infor- 
mation with our allies, in order to strengthen 
their military defenses — as already mentioned — 
and to enable them to participate more fully in 
the development of atomic power for peacetime 
purposes. I shall recommend also an amend- 
ment which would permit the transfer of fis- 
sionable material to friendly nations to assist 
them in peacetime atomic power development, 
particularly those nations which are supplying 
us with uranium raw materials. This proposed 
amendment, as well as the previously mentioned 
amendment, will provide adequate safeguards for 
the security of the United States. These legis- 
lative recommendations are independent of my 
recent proposal for the establishment of an inter- 
national agency to advance the peacetime bene- 
fits of atomic energy, for which additional legis- 
lation would be needed. 

It is now feasible to plan to terminate Federal 
ownership and operation of the towns of Oak 
Kidge, Tennessee, and Richland, Washington. To 
enable the citizens of these communities to man- 
age their own affairs in a more normal fashion, 
legislation will be recommended which would per- 
mit them to purchase their own homes and to 
establish self-government in these communities. 



Stockpiling of Strategic and 
Critical Materials 

Considerable progress has been made in the 
fulfillment of the national stockpile goals, and 



further substantial progress is expected during 
the fiscal year 1955. By the end of 1955 about 
50 of the 73 materials objectives will be virtually 
completed. Consequently, expenditures will de- 
cline sharply from $919 million in 1953 to $770 
million in 1954 and $585 million in 1955. The 
total value of all stockpile objectives is estimated 
at $7.2 billion, of which about 5.5 billion will be 
on hand by June 30, 1955, to meet industrial and 
mobilization requirements in times of emergency. 
In addition to these direct expenditures from 
stockpile appropriations, the borrowing authority 
IJrovided under the Defense Production Act, dis- 
cussed in the finance, commerce, and industry sec- 
tion of this message, is used primarily for expand- 
ing the supply of critical materials. Net expendi- 
tures under this authority are estimated at $381 
million in the fiscal year 1954 and $308 million in 
1955. Therefore, a total of nearly $900 million 
will be spent in the fiscal year 1955 to assure an 
adequate supply of critical materials in the event 
of an emergency. 



INTERNATIONAL AFFAIRS AND FINANCE 

My budget recommendations for the interna- 
tional programs of the Government will enable 
us to hold our newly won initiative in world af- 
fairs and move toward a lasting peace. The 
budget for international affairs and finance in- 
cludes funds required for the conduct of our for- 
eign affairs, for the programs for economic and 
technical development abroad, and for our foreign 
information and exchange program. 

The mutual military program, which was for- 
merly included in the budget along with these 
programs under the heading "International se- 
curity and foreign relations" has been discussed in 
this budget message as part of the national se- 
curity progi-am. At the same time, military as- 
sistance is intimately related to and must be ad- 
ministered in the furtherance of our foreign 
policy. 

The extent of our assistance under both the 
mutual military program and mutual economic 
and technical program is shown in a summary 
table below. This table covers all components of 
the present mutual security program. This entire 
program is directed toward the establishment of 
conditions overseas which, in one way or another, 
contribute to our own security and well-being. 

Our national security and international pro- 
grams are designed to deter would-be aggressors 
against the United States and other nations of the 
free world, and to strengthen our efforts for peace 
by all aopropriate means including diplomatic 
negotiations with the Soviets. With a position of 
strength, an efl'ective conduct of our foreign rela- 
tions by the Department of State is the keystone 
of our efforts to win our way to peace. There has 



February 1, 1954 



145 



MUTUAL SECURITY PROGRAMS, MILITARY AND ECONOMIC 

[Fiscal years. In millions] 

1955 recom- 

1953 1954 mended or 

actual estimated estimated 

Xluial'mliitary program -U 954 $4,200 $4,275 

Mutual economic and technical program 1,702 1,300 1,125 

Total 5, 656 5, 500 5, 400 

New obligational authority: 

Mutual military program > 4, 236 3, 800 2, 500 

Mutual economic and technical program - 1,907 926 1,010 

Total 6, 143 4, 726 3, 510 

' Does not include reappropriations of $321 million for 1953 and $1,763 million for 1954. 
2 Does not include reappropriations of $128 million for 1953 and $179 million for 1954. 



never been a time when the future security and 
welfare of our country were more dependent upon 
the exercise of wise leadership in the realm of 
world affairs. My recommendation for funds for 
the Department of State will enable it to meet 
this challenge. 

Some countries are still facino; such economic 
conditions that they are not able solely by their 
own efforts to support the desired military effort 
or to provide for the economic growth and progi'ess 
essential to our mutual objectives. It is thus still 
necessary that supplementary good's, services, and 
technical skills be provided by the United States. 
It is for these purposes that funds for economic 
and technical development are requested for fiscal 
year 1955. 

Through our information and exchange pro- 
gi-am we are attempting to achieve a clear under- 
standing by others of our aims, objectives, and 
way of life and a better understanding by us of the 
aspirations and cultures of other countries. Such 
mutual undei-standing increases our ability to exer- 
cise strong, sympathetic, and cooperative leader- 
ship in the mutual efforts of free peoples to achieve 
their common goals. 



During the past year progress has been made 
toward the accomplishment of the objectives of 
our international programs. Not only have our 
allies and friends grown in military strength, but 
also a continued high level of production and 
increased gold and dollar reserves have permitted 
European countries to become more nearly self- 
supporting. This improvement makes it possible 
for estimates of ex[)enditures for economic and 
technical programs included in this budget to be 
significantly lower than the already reduced level 
of the fiscal year 1954. Significant contributory 
factors in this progress have been our assistance 
in past years and the positive and constructive 
fiscal and other economic measures which have 
been taken by the other countries themselves. As 
a result the fiscal year 1955 represents, in a sense, 
a period of transition from heavy dependence by 
a large number of countries upon massive bilateral 
economic assistance from the United States to the 
use of such assistance in more limited circum- 
stances. Progress in such a transition will gen- 
erally depend upon the extent to which our own 
policies, and those of our friends, contribute to 
increased private investment, increased exports 



INTERNATIONAL AFFAIRS AND FINANCE 



[Fiscal years. 



In millions] 

Gross expenditures 



Net expenditures 



Program 



1953 
actual 

$150 



1954 
esti- 
mated 

$129 



1955 
esti- 
mated 



1963 
actual 



1954 
esti- 
mated 



1955 
esti- 
mated 



$125 $150 $129 $125 



1,943 1, 



105 
370 



1,960 1,555 



658 
370 



Conduct of foreign affains 

Economic and technical development: 

Present program ' 2, 396 

Propo.sed legislation ' . . 

Surplus agricultural commodities disposal (proposed 

legislation) 

Foreign information and exchange activities .... 106 

Total 2,652 2,167 1,697 2,216 1,779 1,250 1,546 

' Gross expenditures exclude private bank loans guaranteed by the Export-Import Bank and net repayments 
thereof in the amounts of 4 million dollars in 1953, 82 million dollars in 1954, and 188 million dollars in 1955. 
buch amounts are included in table 1 and Special Analysis B 



95 



97 



106 



95 



97 



Recom- 
mended new 
obligational 
authority 

for 1955 

$116 

15 
1,010 

300 
105 



146 



Department of Sfafe Bullefin 



to the United States, internal financial and eco- 
nomic reforms in some countries, and multilateral 
cooperation for the achievement of strong and 
self-supporting economies. 

Conduct of Foreign Affairs 

The burden of the vastly enlarged responsibility 
involved in our international affairs falls heavily 
upon the Department of State since the Secretary 
of State is the officer responsible, under the Presi- 
dent, for the development and control of all for- 
eign policy and for the conduct of our relations 
with foreign governments and international agen- 
cies. Successful dischai'ge of this broad respon- 
sibility calls for wise and informed diplomatic 
support to our national leaders in negotiations 
carried on at the highest levels as at Bermuda 
and Berlin. It requires the day-to-day represen- 
tation of our national interest through some 273 
diplomatic missions and consular offices abroad. 
We also must continue to give our firm support to 
the United Nations and other international organ- 
izations, and bear a part of the costs of these 
organizations and their pi-ograms. A successful 
administration of our foreign policy requii-es the 
State Department to report and appraise polit- 
ical, economic, and social conditions and trends 
abroad ; to provide foreign policy guidance to all 
agencies carrying on progi'ams overseas; and to 
coordinate in the field all foreign policy aspects 
of overseas programs. Finally, advice must be 
furnished as to the foreign policy implications of 
domestic programs. 

Net budget expenditures for the conduct of for- 
eign affairs in the fiscal year 1955 are estimated 
at $125 million. This expenditure represents a 
decrease of $4 million from 1954, resulting from 
reduction of personnel and other costs of the De- 
partment of State including the curtailment of 
civilian occupation activities in Germany. 



Economic and Technical Development 

Net budget expenditures for economic and tech- 
nical development in the fiscal year 1955 are esti- 
mated at $1,028 million, compared with $1,555 
million in the fiscal year 1954 and $1,960 million 
in 1953. 

This budget, as did the fiscal year 1954 budget, 
reflects proportionately gi'eater emphasis on pro- 
grams in Asia, Africa, and Latin America. It 
contemplates new appropriations for aid to very 
few European coimtries. 

In the Far East there is a need for contributions 
to provide for relief in Korea and, now that hos- 
tilities have been terminated, for an expanded 
reconstruction program for that war-devastated 
country. Funds are also recommended to maintain 
the strength and security of Formosa and to sup- 
port further the effort of our friends combating 
Communist aggression in Indochina. This budget 



also provides for technical assistance and economic 
development in India, Pakistan, the Philippines, 
and other nations of Asia to encourage continued 
progress in their efforts to improve the living con- 
ditions of their people. 

With respect to the Near East the budget pro- 
vides for helping relieve the plight of Arab refu- 
gees through contributions to the United Nations 
refugee agency, and for technical assistance and 
supplementary economic development in the Arab 
States, Israel, and Iran. 

Provision is also made in the budget for con- 
tinuing the technical assistance program for Latin 
America. This program, which has existed for a 
number of years, contributes to a reduction of 
social and economic problems upon which com- 
munism feeds and which hampers the development 
of stable and growing economies. 

Surplus Agricultural Commodities 

I plan to request authority soon to use a part of 
our accumulated surpluses of agricultural prod- 
ucts to assist in strengthening the economies of 
friendly countries, and otherwise to contribute to 
the accomplishment of our foreign policy objec- 
tives. Authority will be requested to use for this 
purpose over a 3-year period up to $1 billion worth 
of commodities held by the Commodity Credit 
Corporation. This budget anticipates a request 
for a supplemental appropriation of $300 million 
for the fiscal year 1955 to reimburse that Corpora- 
tion for commodities used. 

This program for use of agricultural surpluses 
is designed to complement our general program of 
economic and technical development and must be 
closely coordinated with it. The program for use 
of surplus agricultural commodities involves the 
use of stocks held by the Commodity Credit Cor- 
poration. No additional budget expenditures will 
be required for these commodities. 

It should be emphasized in connection with this 
program that it is purely temporary, predicated 
upon adoption of our domestic agricultural pro- 
gi-am which should not involve the continued ac- 
cumulation of large surpluses. Special safeguards 
will be provided which will require that commodi- 
ties furnished must be in acldition to amounts 
which otherwise would have been imported and 
must not displace the usual marketings of the 
United States and friendly countries. 



Foreign Information 
and Exchange Activities 

This budget includes expenditures of $97 million 
for foreign information and exchange activities, 
including those functions conducted by the new 
United States Information Agency. This is an in- 
crease of $2 million over the ex])enditures for for- 
eign information and exchange pi-ograms in the 
fiscal year 19.54. 



February 7, 7954 



147 



In October, on the advice of the National Se- 
curity Council, I directed the United States In- 
formation Agency to develop programs which 
would show the peoples of other nations that the 
objectives and policies of the United States will 
advance their legitimate aspirations for freedom, 
progress, and peace.* 

I believe that if the peoples of the world know 
our objectives and policies, they will join with us 
in the common effort to resist the threat of Com- 
munist imperialism and to achieve our mutual 
goals. It is essential that the United States In- 
formation Agency have the tools to carry out this 
mission. 

The United States Information Agency will 
reach 77 free countries through radio, press, mo- 
tion pictures, or information centers and will reach 
10 Iron Curtain countries through radio broad- 
casts. 

My budget recommendations for information 
and exchange activities include $15 million of 
new obligational authority for educational ex- 
change programs. These programs are designed 
to promote a receptive climate of public opinion 
overseas through the exchange between the United 
States and over 70 foreign countries of students 
and persons who are leaders important to the pres- 
ent or future of their nations. 



Problems Facing Meeting 
of Foreign Ministers 

Press Conference Statement by Secretary Dulles 

Press release 21 dated January 19 

I plan to fly to Berlin on Thursday leaving here 
about noon. The President has kindly made the 
"Columbine" available to us for the flight. 

My principal assistants will be Mr. Merchant, 
Assistant Secretary for European Affairs; Mr. 
MacArthur, Counselor; Mr. McCardle, Assistant 
Secretary for Public Affairs; Mr. Bowie, Director 
of the Policy Planning Staff; Assistant Secretary 
of Defense Frank Nash ; and Mr. C. D. Jackson of 
the White House staff. Also, certain U.S. Am- 
bassaclors and diplomatic representatives in Eu- 
rope, including Ambassador Conant and Ambas- 
sador Bohlen, will be present in Berlin to assist in 
the consideration of those subjects with which 
they are primarily concerned. 

This will be the first time that the four Foreign 
Ministers have met since 1949, nearly 5 years ago.= 
It will be interesting to see whether Soviet policies 
and tactics have changed. In the past, Soviet 

* md., Nov. 30, 1953, p. 756. 

' For text of communique issued at conclusion of 1949 
meetings, see Bulletin of July 4, 1949, p. 857. 



leadership has not sought any constructive results, 
but rather has souglit to divide and weaken the 
Western nations. They have tried to stir up 
French fear of Germany and German resentment 
against France. Tliey have sought to frighten 
the Western European nations by picturing the 
United States as a militaristic iiuperialist. 

If at the coming conference the Soviet pursues 
these same tactics then the conference will be a 
futility. AVe will all have wasted our time, and 
that ajDplies to the Soviet leaders as well, for the 
Western nations are sufficiently mature not to be 
fooled by tactics of division employed by those 
who themselves have consolidated 800 million peo- 
ple into a single massive military bloc. 

If, as we hope, the Soviet leaders approach this 
conference in a constructive mood, they will find 
us responsive and then there will be plenty to do. 
The conference could have large historical sig- 
nificance. 

Austria needs to be liberated. There is no sub- 
stantial obstacle in the way except the will to do it. 

Germany needs to be unified. That can be done 
if the four occupying powers pull down the bar- 
riers so that a united Germany can through free 
elections create an all-German government. The 
three Western Powers stand ready to do that but 
they cannot do it alone. Soviet concurrence is 
essential. 

I look forward to working in close association 
with Mr. Bidault and Mr. Eden. All three of 
us have had extensive experience in postwar nego- 
tiations with Soviet leaders. Our prior talks at 
Bermuda and at Paris, London, and Washington 
have demonstrated that we think alike. Also our 
views are shared by Chancellor Adenauer, with 
whom we maintain close contact. 

Departure Statement by the Secretary ° 

We are going to Berlin on a mission which is 
difficult, but hopeful. We shall need to feel the 
moral support of the American people. 

This will be the first time in 5 years that the 
United States with Britain and France will be 
negotiating with the Soviet Union. The subject 
is the future fate of Europe. Will Germany and 
indeed all Europe be unified for peace? Or will 
divisions be imposed which will make Europe 
again the breeder of war? 

The Berlin conference will not finally answer 
these questions. But it will go far to indicate 
what the final answers will be. 

The United States has a great stake in this 
matter. Most of us have close ties with Europe 
and we share its culture and religion. Many 
Americans have died on the battlefields of Europe 
to help to save our civilization from being crushed 
by the consequences of Europe's inner conflicts. 

This time, we believe that Europe will be rebuilt 

' Made at the Washington National Airport on Jan. 21 
(press release 28). 



148 



Department of State BuUet'm 



in strength. France and Germany are cooperating 
and providing statesmanlike leaders. They are 
strongly supported by Great Britain and the 
United States. 

I believe that no Soviet efforts can prevail 
against our constructive purposes and I hope 



that that will not be tried. If the Soviet leaders 
come to Berlin with a genuine desire to create 
conditions of peace, they will find us openminded 
and cooperative and we can together do much good 
for Germany and Austria and indeed for Europe 
and the world. 



Our Victory in Korea 



hy Walter S. Robertson 

Assistant Secretary for Far Eastern Affairs ' 



Pride in all its forms, as we know, is very repre- 
hensible. And local pride — pride in one's place 
of origin — being particularly vainglorious, is par- 
ticularly sinful. However, I have no repentance 
in confessing to this sin. I am intensely proud of 
Virginia. And furthermore, I should say I do not 
believe the Almighty ever intended Virginians to 
be modest about Virginia. If He had. He would 
not have made it so difficult for us. 

It is impossible not to be proud of Virginia's 
contribution to our civilization. There have been 
so many great Virginians that they have tended to 
stand in one another's shadow, like trees that have 
grown to giant stature, one close beside another, in 
soil of exceptional richness. Had Jefferson, for 
example, been a native of one of the States north 
of the Potomac, he would today, I believe, have a 
national cult at least as impressive as Lincoln's. 
If Jefferson has never fully received the under- 
standing and appreciation that are his due, it may 
be in part because he had on either side of him the 
towering figures of Washington and of Lee. It 
was the fate of those two incomparable leaders, as 
it was their capacity, to embody and symbolize in 
their own persons the great causes for which tliey 
fought. We have the feeling about them that, even 
while they lived, they were immortals and were 
not to be comprehended in terms common to ordi- 
nary human beings. It is apparent that even their 
contemporaries felt this. 

Jefferson, though no less great than Geoi'ge 
Washington and Robert E. Lee in terms of his 
achievements, was by contrast an intensely human 
figure. Plis attainments — and they were extraordi- 
nary, almost unbelievable in their range — were the 
attainments of a man who realized within himself, 
perhaps as fully as any one person since Leonardo 

'Address made before the Virginian Society of Balti- 
more, M(i., on Jan. 22 (press release 30). 



da Vinci, the potentialities of human beings. Per- 
haps more truly than any other American, before 
or since, Jefferson visualized the significance and 
promise of our country. His vision is always new, 
always meaningful. And it is to his vision that 
our country, as long as it is true to itself, must 
always be striving to live up. 

In all that Jefferson did as a statesman, you 
feel his consciousness that the eyes of the world 
were upon the young American Republic. He 
was intensely aware, throughout those years of 
struggle, of the importance to the human race of 
what he and his contemporaries were trying to 
achieve. It was a constantly recurring theme of 
his writing. As he expressed it on one occasion : 

"No experiment can be more interesting than 
that we are now trying, which we trust will end 
in establishing the fact that man may be governed 
by reason and truth." 

Although the subject I have chosen to talk 
about this evening is Korea, it is to that point — 
the point that Jefferson made — that I shall come 
back in the end. What the American people did 
was significant for mankind in Jefferson's day be- 
cause democracy was in the experimental stage. 
It is significant today because democracy is facing 
a challenge more determined than perhaps any it 
has had to meet in the past. 

Results of the Korean War 

Tlie American people, I am aware, have a gnaw- 
ing feeling of dissatisfaction and frustration over 
the results of the Korean war. The attitude of 
many is that because we did not drive the Chinese 
Communists back into Manchuria and fully liber- 
ate Korea we failed in our undertaking. The 
point is made that North Korea is still in the 
grip of a foreign, Communist tyranny, that this 



February 7, 7954 



149 



tyranny denies the Korean people their longed- 
for unity, and that this is a monstrous injustice. 
That is true. Obviously it must be a matter of 
regi-et to all of us that Communist power was not 
di'iven back beyond the Yalu and Tumen Rivers 
from whence it came into Korea as a foreign in- 
vader. In addition to our concern for the Ko- 
reans still under Chinese Communist rule, we must 
recognize that the fact that the Chinese Com- 
munists were not expelled from the whole of 
Korea has made them look more formidable in 
some parts of the world. And this is not only 
unfortunate but ironical. For among the na- 
tions with whom the Chinese Communists have 
perhaps acquired this more imposing appearance 
are those who were particularly unfavorable to a 
hoine-thi-ust against Communist China and whose 
views the United Nations Command necessarily 
took into account. 

Historians will be debating for years to come 
the factors for and against a wider application 
of American military power in the Korean con- 
flict. It is not my intention, however, to enter 
into this debate although I have strong personal 
views on the subject. I should like to look at the 
Korean war from the point of view not of how 
we might have done better or worse but of what 
we did accomplish. First I think we must recog- 
nize that, while North Korea is still held subject 
to a foreign tyranny that prevents the reunion of 
the Korean peoples, East Germany is also under 
a foreign tyranny that prevents the reunion of 
the German peoples. The Baltic States, Czecho- 
slovakia, Hungary, Rumania, Bulgaria, and Al- 
bania have also been brought by military force 
under a foreign tyranny. We cannot, however — 
and this is what we must recognize — we cannot 
charge our nation with the responsibility for re- 
dressing every wrong under which mankind suf- 
fers. We cannot consider ourselves morally obli- 
gated to liberate by force of arms all those peoples 
who have had their independence taken from them. 
The restoration of the independence of those who 
have lost it remains the constant concern of the 
United States Government. That does not mean, 
however, that we are impelled to achieve tliis ob- 
jective by war. 

For one thing, we have only one-thirteenth of 
the jjopulation of the world and there are limits 
to what we can do with this small numbei'. More- 
over, we could not expect, even if we wished, to 
lead any substantial number of the other twelve- 
thirteenths in a military campaign against all the 
oppressive and tyrannical governments in the 
world. Most of those other peoples, almost all 
those of Europe and Asia, have already been put 
at least once in their lifetimes through the mangle 
of war. They recognize only too well that any 
cure of mankind's ills requiring a major war would 
be worse than the disease. The cost in human lives 
and suffering of liberating by force all the coun- 
tries now held captive under Communist imperial- 



ism — even if we could accomplish it singlehand- 
edly, which we could not — would be so fearful that 
nothing could justify it. 

So much for the negative side. On the positive 
side I should like to point to the kind of victory we 
won in Korea. For the victory was very real and, 
conceived in terms of the announced objective of 
the United Nations, it was a complete victory. 
The victory won in Korea, and this is what I be- 
lieve the American people generally fail to appreci- 
ate — was a victory over a far older enemy of 
mankind than the Communists, an enemy far more 
terrible in the number of its victims than even the 
tyrannies of the Communist world. The victory 
was over aggressive war itself. And that was the 
United Nations objective in Korea: to repel the 
aggi'ession. 

We won this victory without subjecting man- 
kind to the horrors of a general war, in which the 
pacific states must have snffei'ed scarcely less than 
the aggressors. That was what the free nations 
had twice befoi-e in our generation failed to do. 
For their aggression in Korea, the Communists 
were made to pay a fearful price in hundreds of 
thousands killed and wounded; in the destruction 
of vast quantities of their precious transportation 
and military equipment ; in the setbacks to the 
Chinese industrialization program; in the wreck- 
age that was made of North Korea, which before 
the war had been an important economic asset to 
the Communists. Because of that, because of the 
moial purpose and the military strength we 
demonstrated in repelling the aggression in Korea, 
the danger of further such Communist attacks has, 
I think it is clear, been greatly reduced. 

Winning on a Principle 

That gain, great as it is, was not our only gain. 
During the last year and a half of the Korean 
war, when the aggression had been repelled and 
the aggressor stood behind the line from which 
his attack had been launched, we were fighting 
for another principle. We w'ere fighting a battle 
that would have been particularly close to the 
heart of Thomas Jefferson, whose guiding belief 
was that all men are possessed of inherent and 
xmalienahle rights — which, by the way, was how 
he expressed it in his original draft of the Decla- 
ration of Independence that was subsequently 
altered. The question at issue was whether hu- 
man beings are the chattels of whatever regime 
controls their country and as such must obey its 
every edict, however tyrannical, or are to be recog- 
nized as having an ultimate responsibility for 
their own destinies. Expressed in terms of its 
supreme significance, the question was whether 
the state or the human individual is the instiii- 
ment of God's will. If the former, then all the 
prisoners whom we had taken from the Commu- 
nists were subject to return by force to the Com- 
munist side as the Commimists demanded. If 



150 



Department of State Bulletin 



the latter, then those who did not wish to retui'n 
were not so subject. The Communists do not, of 
couree, recognize Ciod. They invoke instead the 
historical imperative and Marxism-Leninism. 
For our part, we were detennined that history 
would follow not Marxism-Leninism or even the 
teachings of Mao Tse-tung but the imperative of 
God, who had endowed man with inherent and 
unalienable rights. 

The question of which side would prevail on 
this crucial point was the issue of the Korean 
war long after the aggression had been repelled. 
We were determined that not one Chinese or 
Korean that we held as a prisoner of war would 
be forced to return to the tyranny he abhorred. 
And in the end — probably because the Commu- 
nists understood that we were ready to resort to 
more far-reaching measures than we had so far 
applied — we won on this principle as we had on 
the i^rinciple of repelling the aggi-ession. At this 
very time, 22,000 Chinese and Korean prisoners 
of war, determined to resist I'eturn to Communist 
control, are being freed as civilians in accordance 
with the terms of the armistice the Communists 
accepted 6 months ago today. This is a gi'eat 
occasion in the history of mankind. 

The Communists must take into account that, 
in any future conflict between the Communist 
world and the free woi-ld, the unwilling soldiers 
on their side will be able to escape their tyranny 
by taking asylum with free nations. This real- 
ization, like the defeat of their aims in Korea, 
will be a powerful deterrent to future aggression. 
The jiresent greatly diminished prospect of war 
will, in my opinion, be recognized by history 
as a great victory for our side, a victory achieved 
in Korea and also, I should add, through Nato. 
But let us remember that our increased immunity 
from Communist attack is entirely and com- 
pletely, and in every sense, a function of our ability 
to withstand such an attack. The moment the 
Communists conclude we have lost that ability, 
we shall stand in mortal peril. 

And that is not all. Let us not imagine that, 
because in Moscow's and Peiping's view an attack 
on the free world under present circumstances 
would not be profitable, anything has been 
"settled" between the Communist world and our 
own. Nothing whatsoever has been settled. The 
issues are precisely what they were before the 
attack on the ReiJublic of Korea. The Com- 
munists are as determined as ever to destroy all 
centers of resistance to their ideology and to the 
agencies of their power. They have simply, for 
the present, adopted different techniques. 

We may expect them now to concentrate on 
strengthening themselves and weakening us by 
means other than waging open war against us. 
We may expect Moscow and Peiping to continue 
sacrificing the welfare of the Russian and Chinese 
peoples to the building up of the industrial base 
that will be required for their huge military ma- 



chines of the future. We may expect them to con- 
tinue supporting and provisioning uprisings and 
rebellions against legal governments in the free 
world such as they are now doing in Indochina, 
where a situation of great danger to us exists. We 
may expect them to redouble their efforts to ex- 
ploit sources of discontent and revolt among the 
"have-nots" of the free world; to sow and foster 
confusion, suspicion, and hatred; to set class 
against class, color against color, nation against 
nation. We may expect them to redouble their 
efforts to poison the minds of other laeoiiles against 
the United States, to insist that it is only the anti- 
socialistic warmongering elements of capitalistic 
America that stand in the way of a universal peace. 
Every Communist voice telling us that all will be 
happy and peaceful if only we make the next two 
or three concessions will be matched by voices on 
our own side explaining, in one way or another, 
how vigilance and prepai'edness are somehow un- 
worthy of us and, in any case, are costly and 
unnecessary. 

The period into which we are now entering will 
be one of increased rather than diminished diffi- 
culty. War is a marvelous instrument for making 
the issues of a struggle graphic and unmistakable, 
for keeping people's resolution up to the mark, for 
calling forth sacrifices and endurance. In a pe- 
riod of peace we shall be under strong temptation 
to excuse ourselves from the hard tasks that the 
contest with the Communist camp enjoins upon us. 
It will be easy to rationalize our desire to give 
ourselves up to all the material pleasures and com- 
forts that are so effectively advertised to us in 
eveiy newspaper, magazine, and broadcast and to 
be untroubled by responsibilities in distant lands. 
It will be easy to believe that the Communists have 
somehow changed, that they are becoming subject 
to the softening influences that so often overtake 
militant movements. 

I pray that we may resist these temptations. It 
is only by resisting them, by reminding ourselves 
unceasingly that Communist ambitions and pur- 
poses have not undergone the least modification 
that we may hope to escape a final reckoning by 
force with the Communist world — a military show- 
down on terms advantageous to them, in cii"cum- 
stances of their own choosing. The question is 
whether we shall hold onto the advantage Ave won 
in Korea at such a fearful cost of blood and labor. 

It may appear from what I have said that, in 
my opinion, the best we can do is to hold our own 
against the Communists and that we must reconcile 
ourselves to a passive defense and acquiescence in 
Communist control over a third of the earth's 
population. That is far from what I mean. If 
you asked me what kind of resolution of the all- 
encompassing struggle with the tyrannical empire 
of the Communists we may look forward to, I 
should give you a very simple answer. Commu- 
nism is a movement that cannot survive without 
expanding. It cannot remain static. The strength 



February 1, 7954 



151 



of communism consists in the fanatical conviction 
of its adherents, and their ability to persuade 
others, that Communist analysis is infallible and 
that communism must, therefore, prevail over all 
opposition. It is up to us to destroy that illusion 
of inevitable Communist triumph. By so doing, 
we shall strike at the very heart of the monster. 

Our all-important aim must be to forestall any 
further expansion of the empire of Moscow and 
Peiping while at the same time giving all those 
peoples enslaved under Communist imperialism 
real reason to understand that they are not alone 
in their determination to win back their independ- 
ence. The captive peoples must have confidence 
that they can look to us for all measures in their 
behalf short of those that would do them — and 
other peoples — more harm than good. We must 
demonstrate to peoples and governments on both 
sides of the Iron Curtain — what is already obvious 
to all enlightened peoples — that communism is not 
an advanced methodology for the scientific recon- 
struction of society but is a crudely conceived 
resurrection of the worst features of ancient 
tyrannies and that its chief present employment 
is to justify the practices of Soviet Russian and 
Communist Chinese imperialism. 

Much, perhaps everything, will depend upon the 
comparative accomplishments of the two worlds. 
I have every belief that if we can demonstrate how 
infinitely more our way of life has to offer man- 
kind — especially those vast numbers of mankind 
who have received little, if any, benefit from it so 
far — and that it can generate more moral and 
physical strength than the Communist system, we 



shall see a revulsion everywhere against commu- 
nism and all it stands for, an inevitable part of 
which will be a shattering of faith in Moscow and 
Peiping themselves and a convulsive breakup of 
the whole monolithic structure. The more we can 
succeed in strengthening the faith of the peoples 
imprisoned behind the Iron Curtain, the more con- 
vincing evidence we can give of our support of 
their cause, the more rapid that breakup will be. 

It goes without saying that in the contest ahead 
we should do nothing to help the Communist camp 
overcome its difficulties. It also goes without say- 
ing that we must strive to make the very most of 
our own opportunities, in particular, to set an 
example impregnable to Communist falsehood and 
slander. 

I said I should end with JeflFerson. From a cen- 
tury and a half ago he reminds us that we are not 
"acting for ourselves alone, but for the whole 
human race. The event of our experiment is to 
show whether man can be trusted with self- 
government. The eyes of suffering humanity are 
fixed on us with anxiety as their only hope, and on 
such a theatre for such a cause we must suppress 
all smaller passions and local considerations." 
And again : "The station which we occupy among 
the nations of the earth is honorable, but awful. 
. . . And to what sacrifices of interest, or conven- 
ience, ought not these considerations to animate 
us ? To what compromises of opinion and inclina- 
tion, to maintain harmony and union among our- 
selves, and to preserve from all danger this hal- 
lowed ark of human hope and happiness." 



U. N. Releases Prisoners of War 



Following are the texts of statements regarding 
the release of prisoners of toar in Korea made hy 
Gen. John E. Hidl, United Nations Commander, 
Secretary Dulles, Henry Gahot Lodge, Jr., TJ . S. 
Representative to the United Naiiotis, and James 
J. 'Wadsworth, Acting U.S. Representative to the 
United Nations; and of an exchange of letters 
hetxoeen Gen. K. S. Thimayya, Chairman of the 
Neutral Natiorhs Repatriation Commission, and 
General Hitll: 

GENERAL HULL'S STATEMENT OF JANUARY 23 

By action of the Chairman of the Nnrc those 
anti-Communist Pow's who did not choose to be 
repatriated or to remain in Nnrc custody for 
assistance in going to neutral nations were released 
to territory under Unc control. 

The action of releasing these Pow's without de- 
clai-ing their civilian status cannot, under the 



agreement on Pow's, lawfully result in the inhu- 
manity of continued indefinite imprisonment for 
thousands of Koreans and Chinese. 

The Unc has repeatedly stated that it would 
fully respect the rights of the Pow's as set forth 
in the Terms of Reference of the Nnrc annexed to 
the Armistice Agreement. The Terms of Refer- 
ence were developed in solemn agreement between 
the opposing sides in the Korean conflict. They 
were intended, and must be given effect, as a guar- 
antee against indefinite captivity. Accordingly, 
all prisoners who have not chosen to be repatriated 
are entitled, now that the 120-day period for their 
custody by the Nnec has expired, to their freedom 
as civilians and to have this freedom respected by 
all concei-ned. The Unc considers that these for- 
mer prisoners now have civilian status. As of 0001 
hours Korean time on 23 January 1954 they be- 
came free men. 



152 



Department of State Bulletin 



STATEMENT BY SECRETARY^DULLES 

Statement by Secretary Dulles 

Press release 27 dated January 20 

The prisoners of war in Korea ■who do not 
desire to be repatriated are now being released 
and will revert to civilian status punctually in 
accordance with the terms of the armistice agree- 
ment. We can take great satisfaction from that 
fact. Oftentimes doubt has been expressed as to 
whether this release would actually happen. Now 
it has happened, and we can all rejoice that human 
dignity and the rights of the individual are being 
respected. A new principle of humanity has been 
written into the hard rules of war. We have stood 
fast for the right, and it has prevailed. 

Recognition is due to General Thimayya of 
India and his Swedish and Swiss colleagues for 
their personal contributions of patience and cour- 
age in a difficult task, and to the United Nations 
Command in Korea, headed by General Hull. 



STATEMENT BY AMBASSADOR LODGE 



strated what the principle of nonf orcible repatria- 
tion means in human terms. It is a doctrine of 
freedom. It is an international antislavery doc- 
trine — shaped in United Nations debate, tempered 
on Korean battlefields, incorporated in the Korean 
Armistice Agreement, and proven now by the 
brave men who have turned their backs on com- 
munism forever. 

The free world has battled for an important 
humanitarian principle and won. The prisoners 
who chose freedom over tyranny and persecution 
have earned the respect of every nation where the 
rights of man, not the powers of the state, are 
supreme. Their freedom today further discredits 
the false idea that man is a tool, a mere possession 
of the state. Dictators will remember that neither 
long detention, nor constant Communist threats, 
nor brutal discipline can crush the desire for 
freedom. 

The free world has jjroven that it will not break 
faith with those who stand for freedom against 
slavery. It has remained true to the noble pur- 
poses for which free men sacrificed so much in 
Korea. Now, the United Nations has struck a his- 
toric blow for collective security and human 
freedom. It could not have done less. 



Press release 33 dated January 22 

The release of the prisoners makes clear the 
shining truth that man is entitled to freedom and 
will not be forced to return to the control of a 
regime repugnant to his natural desires for self- 
expression. This is a victory for freedom every- 
where and gives hope to others less fortunate. It 
has been well worth the effort. 

The significance of the United Nations position 
on this principle must have left its impression on 
the Communists and have further convinced 
others of the sincerity of our dedication to human 
liberty. Its meaning will not be overlooked in 
any future planning by those who may contem- 
plate aggressive action. They will remember that 
freedom is the popular choice and the desire for 
freedom can overcome even the most intense in- 
doctrination and brutal discipline. 

The free world has a special right to feel happy 
about the return of these men. We have stood by 
a principle and won. We welcome to the free 
world the men who today have chosen the free 
way over tyranny and pei'secution ! 



STATEMENT BY AMBASSADOR WADSWORTH 

U.S./tJ.N. press release dated January 22 

Today some 22,000 Korean and Chinese prison- 
ers of war have become free citizens of the free 
world. This act is a beacon of new hope to mil- 
lions now living under Communist tyranny. 

The prisoners who chose freedom have demon- 
February 1, 1954 

286849— B4 > 



GENERAL THIMAYYA'S LETTER OF JANUARY 18 

To the CoTrnnander-in-Chief, United Nations 
Command. 

I have the honor to refer to your letter of Janu- 
ary 16.^ In paragraph 7 of this letter you have 
said that in view of my "stated intention to release 
unilaterally the prisoners of war starting 20 Janu- 
ary, the United Nations Command must neces- 
sarily be prepared to arrange for their accommo- 
dation and disposition." I feel that the request 
made in my letter of January 14 ^ has been mis- 
understood by you. I am taking this opportunity 
to clarify the request and the reasons which have 
impelled me to make this request. 

In my letter of January 14, I have pointed out 
that the Nnrc has come to the decision that it has 
no competence, in existing circumstances, either 
to release Pow's, or to declare relief from Pow to 
civilian status, or to continue custody beyond 
January 23. In view of this decision, I, as Chair- 
man and Executive Agent and having custody of 
Pow's, have come to the conclusion that the only 
correct, lawful and peaceful course open is to re- 
store Pow's to the custody of the former detaining 
sides immediately prior to January 23. I am, 
therefore, requesting each detaining side to accept 
restoration of custody as from January 20 at 0900 
hours. 



' Bulletin of Jan. 25, p. 115. 
' Ibm., p. 113. 



153 



I have stated in my letter that I am making this 
request as Chairman and Executive Agent as I 
can neither retain custody of Pow's, nor further 
implement the terms of reference nor release the 
Pow's. I have made it clear that it is not my 
intention to establish any alteration in the status 
of the Pow's or to effect their final disposition. 

I have also stated in my letter that the Nnrc, in 
pursuance of its functions and authority to inter- 
pret the terms of reference, is of the view that 
alteration of the status of Pow's either by declara- 
tion of civilian status or disposition in any other 
manner requires prior implementation of the pro- 
cedures of exi^lanation and political conference, 
unless the two commands agi'ee on some alternative 
procedures or courses of action in regard to status 
and disiJosition. I have pointed out that in 
Nnec's view any unilateral action by either party 
concerned in regard to change of status or dis- 
position will not be in conformity with the said 
terms of reference. 

In requesting you to accept restoration of cus- 
tody as from January 20, I venture again to ex- 
press the confident hoi^e that any further steps 
which might be taken by the two commands in 
relation to status and disposition of Pow's who 
will soon be restored to their custody will be in- 
spired by an earnest desire to further the purposes 
of the armistice agreement. 

K. S. Thimatta, 
Lt. General^ 
Chairman^ NNRC 



GENERAL HULL'S LETTER OF JANUARY 19 

Chairman^ NNRC: 

With reference to your letter of January 18, the 
views and intentions of the Unc were clearly stated 
in my letter to you of January 16, and remain 
unchanged. 

The Unc will be prepared to process and dispose 
of the Pow's now in custody of the Nnrc whether 
they leave the demilitarized zone on January 20 
or immediately following the termination of Nnrc 
custodial authority at 23rd, 12 : 01 A. M. In either 
case, on January 23, 12: 01 A. M., the Unc in ac- 
cordance with the agreement on Pow's will honor 
its obligation to treat them as fully entitled to their 
freedom as civilians. 

_ You may be assured that the Unc, having nego- 
tiated the Armistice Agreement and terms of refer- 
ence, is fully cognizant of the purpose and spirit of 
these documents and is deeply imbued with the 
most sincere desire to insure that their provisions 
are carried out. It is precisely for this reason we 
have so firmly maintained the position set forth 
in my letter of January 16. 

J. E. Hull, Gen, USA, 

Commander in Chief 

154 



Commercial Relations With Japan 

Press release 22 dated January 19 

The United States, 17 other contracting parties 
to the General Agreement on Tariffs and Trade, 
and Japan have accepted a declaration under 
which Japan on the one hand and the other coun- 
tries on the other hand agree that the commercial 
relations between them will, pending the accession 
of Japan to the General Agreement or until June 
30, 1955, be based upon that agreement. Under 
this arrangement Japan obtains all of the tariff 
concessions already made by contracting parties 
accepting the declaration, but the arrangement 
results in no new reductions or bindings of tariff 
treatment by the United States or the other con- 
tracting parties accepting the declaration. In 
return J apan has given to the United States and 
to the other countries accepting the declaration a 
commitment binding against increase approxi- 
mately 85 to 90 percent of Japan's present tariff 
rates. 

The declaration was drawn up at the eighth ses- 
sion of the Contracting Parties to the General 
Agreement following public notice in the United 
States by the Chairman of the Interdepartmental 
Committee on Trade Agreements.^ In addition to 
the United States and Japan, the declaration has 
been accepted by Belgium, Burma, Ceylon, Den- 
mark, Dominican Republic, Finland, Haiti, India, 
Italy, Luxembourg, Netherlands, Nicaragua, Nor- 
way, Pakistan, Sweden, Turkey, and Uruguay. It 
becomes effective between each country and Japan 
on the thirtieth day after acceptance by such 
country; the effective date between the United 
States and Japan was November 23, 1953. The 
declaration has also been signed ad referemium 
by Austria, Chile, and Germany. 

In addition, the Contracting Parties to the Gen- 
eral Agreement, acting jointly, by a decision of 
October 23, 1953, invited the Government of Japan 
to participate in their sessions and in subsidiary 
bodies established by them and agi-eed to accept 
any functions necessary for the operation of the 
above declaration. 

The United States and 27 other contracting 
parties have also accepted a declaration agi'eeing 
not to invoke the provisions of article XXVIII 
of the General Agreement from January 1, 1954, 
to June 30, 1955. Article XXVIII permits the 
withdrawal or modification of concessions in the 
schedules to the agreement, by negotiation if pos- 
sible but unilaterally if negotiations should be 
unsuccessful. 

The signature of this declaration by the United 



' For text of the public notice, gee Department of State 
press release 460 dated Aug. 27, 1953 (not printed) ; for a 
statement by Assistant Secretary Waugh concerning 
Japan's application for association with Gatt, and for a 
summary of the eighth session of the Contracting Parties, 
see BtriLETiN of Oct. 12, 1953, p. 495, and Nov. 16, 1953, 
p. 677. 

Department of Stale Butlelin 



States in no way affects its rights to invoke the 
escape clause (art. XIX) or any other exception 
in the General Agreement. In addition to the 
United States, the other contracting parties ac- 
cepting the article XXVIII declaration are Bel- 
gium, Burma, Canada, Ceylon, Chile, Cuba, Czech- 
oslovakia, Denmark, Dominican Republic, Fin- 
land, France, Greece, Haiti, India, Indonesia, 
Italy, Luxembourg, Netherlands, New Zealand, 
Nicaragua, Pakistan, Southern Rhodesia, Sweden, 
Turkey, Union of South Africa. United Kingdom, 
and Uruguay. In addition, Austria, Germany, 
and Norway signed on an ad referendum basis, 
and the Australian Government has decided to 
authorize Australian signature of the declaration. 
Brazil and Peru, the two other contracting parties 
to the General Agreement, have not signed the 
declaration. 

Although the article XXVIII declaiation was 
accepted by Southern Rhodesia, the new Fed- 
eral Government of Central Africa, composed of 
Southern Rhodesia, Northern Rhodesia, and Ny- 
asaland, became a contracting party to the General 
Agreement on October 30, 1953, succeeding to the 
status of Southern Rhodesia as a contracting party 
and to the interests of Northern Rhodesia and 
Nyasaland to which the agreement had previously 
applied as areas for which the United Kingdom 
had international responsibility. 

Following are texts of the decision and declara- 
tions : 



Decision of 23 October 1953 Regarding 
the Participation of Japan in the 
Sessions of the Contracting Parties 

Considering that : 

(a) it has not been practicable for the Contracting 
Parties in present circumstances to proceed with the re- 
quest made by the Government of Japan to accede to the 
General Agreement in accordance with the provisions of 
Article XXXIII, 

(b) the Contracting Parties are desirous meanwhile of 
associating the Government of Jajjan with their discus- 
sions and deliberations, 

(c) a number of contracting parties agree by a Declara- 
tion that, pending the accession of Japan following tariff 
negotiations, their commercial relations with that country 
shall be governed by the provisions of the General Agree- 
ment, and 

(d) the said Declaration requests the Contracting 
Parties to perform certain functions comparable in nature 
to their functions under the General Agreement, 

The Contracting Parties 
Tiecide: 

1. to invite the Government of Japan to participate In 
Sessions of the Contracting Parties and of subsidiary 
bodies established by the Contracting Parties, 

2. to accept such fimctions as are necessary for the 
operation of the Declaration referred to in the preamble to 
this Decision, and 

3. that this Decision shall take effect if approved by 
not less than two-thirds of the contracting parties and 
shall continue in effect until the accession of Japan fol- 
lowing tariff negotiations with contracting parties or until 
30 June 1955 unless it is agreed to extend it to a later 
date. 



fehruat^ T, 1954 



Declaration of 24 October 1953 Regulating the 
Commercial Relations Between Certain Contracting 
Parties to the General Agreement on Tariffs and 
Trade and Japan 

CoNSiDEEiNG that: 

(i) the Government of Japan on 18 July 1952 made a 
formal request to accede to the General Agreement in 
accordance with the provisions of Article XXXIII, 

(ii) a condition precedent to proceeding witli this ap- 
plication would be the holding of satisfactory tariff nego- 
tiations between the contracting parties and Japan, 

(iii) it is not at present possible for arrangements to 
be made for such negotiations in the near future, 

(iv) accordingly it is not possible for the Contracting 
Parties to proceed at this time with the application of the 
Government of Japan to accede, 

(v) at the Seventh Session it had been recognized that 
.Japan should take her rightful place in the community of 
trading nations, 

(vi) the Government of Japan has so far been uni- 
laterally granting in matters of trade, most-favoured- 
nation treatment to all contracting parties whether or 
not they accord most-favoured-nation treatment to Japan, 

Those contracting parties to the General Agreement on 
Tariffs and Trade on behalf of which this Declaration 
has been accepted (hereinafter called "the participating 
contracting parties") and the Government of Japan 

1. Declare that: 

(a) pending the conclusion of tariflf negotiations with 
Japan with a view to the accession of that country under 
the provisions of Article XXXIII, and without prejudice 
to the freedom of individual contracting parties on the 
question of such later accession, the commercial relations 
between the participating contracting parties and Japan 
shall be based upon the General Agreement as if the pro- 
visions of the arrangement for the application of the 
General Agreement to acceding governments, approved 
by the Contracting Parties on 23 October 1951 (Basic 
Instruments and Selected Documents, Volume I, pages 
111 to 115), were embodied in this Declaration and as if 
the Schedule annexed to this Declaration were the sched- 
ule of an acceding government within the terms of the 
said arrangement : 

(b) in view of the provisional nature of the status of 
the islands referred to in Article 3 of the Treaty of Peace 
with Japan, this Declaration shall not require any modi- 
fication in the present arrangements for trade between 
Japan and such islands ; 

(c) the arrangements embodied in this Declaration 
shall not be applied after the accession of .Japan to the 
General Agreement following tariff negotiations with 
contracting parties, or after 30 June 1955 unless it has 
been agreed to extend the validity of this Declaration to 
a later date; 

(d) this Declaration shall become effective between 
Japan and any contracting party on the thirtieth day 
following the day upon which it will have been signed 
by Japan and accepted by that contracting party. 

2. Request the Contracting Parties to perform such 
functions as are necessary for the operation of this 
Declaration. 

3. This Declaration shall remain open for signature 
until 31 December 1953 by contracting parties and by 
Japan at the Headquarters of the Contracting Parties. 

Done at Geneva this twenty-fourth day of October, one 
thousand nine hundred and fifty-three, in a single copy 
in the English and French languages, both texts authentic 
except as regards the Schedule annexed hereto which 
appears and is authentic only in the English language. 

155 



Declaration of 24 October 1953 on the 
Continued Application of Schedules to the 
General Agreement on Tariffs and Trade 

The contracting parties to the General Agreement on 
Tariffs and Trade (hereinafter referred to as "the Gen- 
eral Agreement"), . . .. , 

CoNsiDEBiNG that, Under the provisions of Article 
XXVIII (as amended), the assured life of the concessions 
embodied in the schedules annexed to the General Agree- 
ment will expire on 31 December 1953, in the sense that 
thereafter it will become possible for a contracting party 
by negotiation with other contracting parties to modify 
or cease to apply the treatment which it has agreed to 
accord under Article II to any products described in its 
schedule, . , , , 

Considering that, although by the terms of the Agree- 
ment the schedules will retain their full validity not- 
withstanding the expiry of their assured life, the pos- 
sibility of invocation by contracting parties of the pro- 
cedure of Article XXVIII for modification of siwcific 
concessions would, in present circumstances, impair the 
stability of tariff rates which has been one of the prin- 
cipal achievements of the General Agreement, and 

CoNSiDEBiNG FURTHER that it would be particularly un- 
desirable to arrive at such a result at a time when a 
number of contracting parties are studying ways and 
means of malting further progress in the reduction of 
tariffs and other barriers to trade and towards the achieve- 
ment of the other objectives of the General Agreement, 

Hereby declare that they will not invoke prior to 1 July 
1955, the provisions of Article XXVIII, paragraph 1, of 
the General Agreement to modify or cease to apply the 
treatment which they have agreed to accord under Article 
II of the General Agreement to any product described in 
the appropriate schedule annexed to the General Agree- 
ment. 

The provisions of this Declaration shall not apply to 
concessions initially negotiated with a government with 
respect to which this Declaration is not in effect. 

The Declaration shall be open for signature at Geneva 
until 30 October 1953. It shall thereafter be deposited 
with the Secretary-General of the United Nations, who is 
authorized to register this Declaration in accordance with 
Article 102 of the Charter of the United Nations, and shall 
be open for signature at the Headquarters of the United 
Nations until 31 December 1953. 

The Secretary-General of the United Nations shall 
promptly furnish a certified copy of this Declaration to 
each Member of the United Nations, to each other govern- 
ment which participated in the United Nations Confer- 
ence on Trade and Employment, and to any other inter- 
ested government. 

In witness whereof the respective representatives, 
duly authorized have signed the present Declaration. 

Done at Geneva, in a single copy, in the English and 
French languages, both texts authentic, this 24th day 
of October, one thousand nine hundred and fifty-three. 



India To Receive 200,000 
Tons of Steel 

India's farm-equipment manufacturers, rail- 
ways, and construction industries will be the 
principal consumers of 200,000 tons of steel being 
provided this year under the largest single Indo- 

156 



American project negotiated as part of the U.S. 
technical cooperation program for India, the For- 
eign Operations Administration announced on 
January 20. 

The steel agreement, signed early this month in 
New Delhi by the Director of the United States 
Operations Mission and the Government of India, 
provides $25.5 million in U.S. funds to finance 
the purchase of steel from free-world markets 
outside of India. 

The Government of India will deposit the rupee 
equivalent of the controlled pool price of the steel 
in a development fund to be used for further proj- 
ects under the Indo- American program. It will 
also meet ocean transportation and handling costs, 
estimated at the equivalent of $3.15 million. 

The production of food, which has a high pri- 
ority in India's 5-year plan, has been held back by 
the shortage of steel and about 40,000 tons of steel 
imported under the agreement will be earmarked 
for agricultural and rural development uses. Dur- 
ing the last 2 years, India has received $16,885,000 
to import iron and steel for making farm tools 
and implements as part of the food-production 
program. 

The remainder of the 200,000 tons of steel will 
be allocated as follows : 23.5 percent to shipbuild- 
ing and repairs, hospital equipment, pipes, tubes, 
industrial machinery, and oil drums and contain- 
ers ; 43 percent to railway car building and other 
railway requirements; 8.5 percent to river valley 
projects ; and 5 percent to small scale and cottage 
industries and the petroleum industry. 

Although India's own steel industry is large, by 
Asian standards, output is less than half enough 
to meet the estimated annual demand. Normal 
annual production is about 1 million tons, and the 
annual need in 1954 is expected to reach 2.9 
million. 

Expansion of steel and pig iron production in 
India is included in the 5-year plan and work has 
already gotten underway. 

Both the Tata Iron and Steel Company and 
Indian Iron and Steel Company are enlarging 
facilities, Tata meeting costs largely from its own 
reserve funds but with some Government assist- 
ance and Indian Iron and Steel with loans from 
the Government and the World Bank. 

In addition, the Government of India signed an 
agreement in December with the German combine 
of Krupps and Demag to set up a third major steel 
operation. Designed to produce 500,000 tons of 
steel in the first phase, the plant will later be 
expanded into a million-ton unit. If the program 
is implemented according to schedule, the next 4 
years will see a major addition to the industry. 

Allocation of the imported stipplies will be made 
by the Iron and Steel Controller. India has had 
steel controls in operation since World War II. 

Deparfment of State Bulletin 



Export Licensing Changes 

Certain combat vehicles, photographic and pro- 
jection goods, and scientific, professional, and elec- 
trical apparatus, formerly among the items li- 
censed for export by the Department of State, are 
now being licensed by the Bureau of Foreign 
Commerce, the U.S. Department of Commerce 
announced on January 5. 

Owing to wider commercial application, these 
commodities are no longer regarded as arms, 
ammunition, or implements of war, Bfc said. 
However, their strategic value requires continued 
export control. 

Arms, ammunition, and implements of war, as 
defined in Presidential Proclamation 3038, dated 
November 18, 1953,' continue to be licensed by the 
Department of State. 

The commodities added to Bfc's Positive List, 
effective January 1, are new amphibian combat 
vehicles or carriers, not elsewhere classified under 
Schedule B, front and rear axle drive or multiple 
rear axle drive, except armored vehicles or car- 
riers (Schedule B No. 791113) ; high-speed 
cameras, capable of recording at rates in excess 
of 250 frames per second (B No. 900238) ; parts, 
not elsewhere classified under Schedule B, spe- 
cially fabricated for high-speed cameras capable 
of recording at rates in excess of 250 frames per 
second (B No. 900600) ; photo-theodolites, and 
specially fabricated jiarts, not elsewhere classified 
under Schedule B (B No. 916029); cathode-ray 
tubes, not elsewhere classified under Schedule B 
(B No. 707820) ; doppler equipment, and specially 
fabricated parts, not elsewhere classified under 
Schedule B (B No. 708410) ; and supersonic gen- 
erators for operation at 17,000 cycles per second 
or over, and parts, not elsewhere classified under 
Schedule B (B No. 919080). 

Exporters who wish to ship these commodities 
to any destination except Canada now are required 
to apply to Brc for validated licenses. 

The following items also have been added to 
the Positive List and require validated licenses 
for shipment to all countries outside the Western 
Hemisphere: new amphibian combat vehicles or 
carriers, not elsewhere classified under Schedule 
B, single rear axle drive, except armored veliicles 
or carriers (Schedule B No. 791113) ; radiosondes 
(B No. 919010) ; television picture receiving tubes 
(cathode-ray) (B No. 707815) ; and telemetering 
equipment (B No. 708460). 

Formerly cathode-ray tubes, except types P-1 
and P-4, and military supersonic generators were 
licensed by the Department of State. Now all 
types are licensed by Brc. 



Exporters now may ship 56 additional com- 
modities to most countries without applying for 

' BuiXETiN of Dec. 7, 1953, p. 792. 



an individual export license, the Bureau of For- 
eign Commerce announced on January 14. 

Items removed from Bfc's Positive List include 
certain cotton and silk manufactures, rubber and 
manufactures, industrial chemicals and chemical 
specialties, medicinal and pharmaceutical prepa- 
rations, railway transportation equipment, metal 
manufactures, zinc ore and concentrates, man- 
ganese and tungsten ores and concentrates, indus- 
trial machines and parts, and feathers. 

Individual export licenses will continue to be 
required for shipments to Hong Kong, Macao, 
and the Soviet bloc. Shipments to other countries 
may be made under general license GRO without 
prior application to Bfc. 

Export controls over these items were relaxed 
because their retention on the Positive List is no 
longer required for security or supply reasons, 
Bfc said. 

Effective January 14, phosphorus oxychloride 
and phosphorus trichloride (Schedule B No. 
839900) have been added to the Positive List and 
require validated licenses for shipment to any 
destination except Canada. 

Iron and steel buildings, and other metal build- 
ings, having a single unsupported span of more 
than 30 feet, suitable for portable aircraft hangars 
(B Nos. 618976 and 618977), also have been added 
to the Positive List and require validated licenses 
for shipment to all countries outside the Western 
Hemisphere. 

Sliipments to^HongTKong 

Effective immediately, a large number of items 
have been added to the list of nonstrategic com- 
modities which exporters may ship to Hong Kong 
without applying for individual licenses, tne Bu- 
reau of Foreign Commerce, U.S. Department of 
Commerce, announced on January 15. 

General license GHK, established October 22, 
1953, authorizes exporters to ship specified com- 
modities to Hong Kong without prior approval 
by Bfc. This list has now been extended to include 
many additional commodities, among which are 
inedible animals and animal products ; hard rubber 
goods; wool and wool manufactures; paper man- 
ufactures such as newsprint, tissue, and coarse 
paper; coal and related fuels, except coke; do- 
mestic cooking stoves and ranges; office machines 
and parts, including standard and portable type- 
writers; agricultural machines, implements, and 
parts; certain household and industrial insecti- 
cides; photographic and projection goods; and 
optical goods. 

Brc said these relaxations could be made without 
jeopardizing the national security. 

The complete list of commodities exportable 
under general license GHK, including the items 
added on January 15, with their Schedule B num- 
bers, is published in Bfc's Current Export Bulletin 
No. 722, dated January 14. 



February 1, 1954 



157 



Pakistan Eases Income Tax 
on Visiting Businessmen 

Businessmen visiting Pakistan now are exempt 
from the Pakistan income tax if their stay does 
not exceed 90 days, the Bureau of Foreign Com- 
merce, U.S. Department of Commerce, reported 
on January 12. 

Previously businessmen, other than ordinary 
tourists, visiting Pakistan were subject to Paki- 
stan income tax after 30 days' stay, if they acted in 
an advisory or any other capacity, even though 
they were paid no saLary or received no other 
remuneration during their stay. Pakistan income 
tax is payable on income which accrues or is earned 
in Pakistan, whether or not it is received there. 

This relaxation by the Government of Pakistan 
will help promote closer ties between U.S. and 
Pakistan business firms, Bfc said, and is a firm 
indication that the Pakistan Govermnent desires 
to eliminate administrative obstacles to dealings 
with foreign businessmen. 

The Government of Pakistan now also exempts 
all visitors from obtaining income-tax clearance 



certificates if they are able to show they have not 
spent more than 90 days in Pakistan during the 
current financial year (April-March). 

Formerly the exemption applied only to persons 
leaving Pakistan within 30 days who had not spent 
more tlian a total of 60 days in that country during 
the financial year. 

The income-tax exemption was made retroactive 
to April 1, 1953, making possible a refund to an 
employee of a New York firm in whose behalf the 
American Embassy at Karachi, at the request of 
the U.S. Department of Commerce, had made rep- 
resentations to the Pakistan Government. Similar 
cases are pending involving other American busi- 
nessmen who have been assessed Pakistan income 
tax after visiting that country. 

The Government of Pakistan now exempts : 

Any income received by an employee of a foreign enter- 
prise, not engaged in any trade or business in the taxable 
territories, as remuneration for services rendered by him 
during the course of his stay in the taxable territories, 
where such stay does not exceed in the aggregate a period 
of 90 days in any year and where such remuneration is 
not liable to be deducted from the income, profits, and 
gains chargeable under the Income-Tax Act, 1922. 



Cooperation in U.S.-Cuban Industrial Relations 



By Arthur Gardner^ Ambassador to Cuba ' 



It is a great pleasure for me to address a group 
of industrialists such as this because, as your presi- 
dent has said, we meet on a common groimd of 
mutual understanding. The phrase "mutual un- 
derstanding" has a familiar ring because it is 
the keynote of United States relations with the 
Latin American Republics. 

As you know, I have been in your beautiful 
country a comparatively short time. I know 
something of your stirring history, and I am 
launched on the project of learning your lan- 
guage and the economic, social, and political story 
of Cuba. 

I have been here long enough, however, to find 
ample grounds for agreeing with the findings of 
this group that greater diversification of industry 
is essential to Cuba's progress and economic well- 
being. Let me mention one very fine step in that 
direction— the cooperative Cuban-United States 

'Address made before the National Association of 
Manufacturers of Cuba at Habana on Jan. 4. 



development of kenaf fiber here under the point 
4 program. Wliile the growing of kenaf still 
is in the experimental stage, it holds wonderful 
promise. Before long it may provide employ- 
ment for many thousands of Cubans in the long 
months between sugar harvests. It may make 
Cuba independent of far lands for sugar-sacking 
material. I feel that Cuba has a valuable product 
in kenaf. 

There is no reason to dwell here on the very 
close historical and economic ties which we all 
know exist between my country and Cuba. We 
see this on all sides — in harmonious political 
relations, voluminous bilateral trade, cultural in- 
terchanges, and an astounding volume of tourist 
travel back and forth between our countries. We 
read it in cold statistics and we feel it, too, as 
mutually sympathetic brothers in the family of 
fi"ee nations. Somehow we seem to think alike 
and act alike, and this is particularly vital today 
in the face of a world crisis. 

The world has seen the enormous burden that 



158 



Department of State Bulletin 



the United States has assiuned in the defense of 
democracy, not only in this hemisphere but in 
Asia and Europe as well. Some say that the 
United States has not paid enougli attention to 
Latin America. It is only fair to point out in 
this regard that most of the burdens we have 
shouldered are as vital to Latin Amei'ica as they 
are to the United States. In resisting aggres- 
sions upon the free world, we have set up bulwarks 
against aggression not only for ourselves but for 
the entire hemisphere. By providing economic 
assistance to nations in other parts of the world 
we have helped to open up markets for the prod- 
ucts of Latin America. At the same time, we 
are continuing to provide economic aid in this 
hemisphere where it is most needed. 

Perhaps no nation of the Americas has had more 
evidence than Cuba of the way this policy has 
helped open up markets for its products. The 
benefits have been felt throughout this hemisphere. 

The United States is profoundly interested, par- 
ticularly at this time, in higher standards of living 
for its sister republics, and also in their national 
development and in their solidarity against com- 
munism. I believe that good men throughout this 
hemisphere will agree that the goals of the United 
States and of Latin America are essentially the 
same. 

I can tell you that the people of my country, of 
all economic groups, are making great personal 
sacrifices, in the form of taxes, to help build a 
better world. The entire system of defense of the 
free world against Communist imperialism de- 
pends upon our economic, political, and militaiy 
cooperation. There can be no question but that 
the defense of the free world depends in large 
degree on the fundamental soundness of the United 
States economy. 

Foreign Investment Capital 

Let me speak for just a moment about foreign 
investment capital. Latin America is undergoing 
terrific industrial growth, and there is great faith 
and optimism in the future. Milton Eisenhower 
called it "a continent in transition," practically 
vibrating from the hammers of construction. Yet 
the President's brother found a crying need for 
more capital to promote sound economic develop- 
ment. This capital should, of course, come pri- 
marily from local investors, but foreign private 
capital has to play an important complementary 
role. 

United States private investment in Latin 
America is very substantial — six billion dollars. 
Latin America is second only to Canada in the 
entire world in the amount of United States 
private investment. 

Private capital flows to foreign countries when- 
ever there are opportunities for it. Private cap- 
ital must be attracted. And to be attracted there 
must be adequate opportunities for fair profit, 
reasonable provisions for the transfer of earnings, 



equitable labor and management laws, and free- 
dom from fear of discrimination or expropriation. 
It should not be overlooked that there still is broad 
investment opportunity at home for our own cap- 
ital. It does not have to go abroad unless it is 
wanted and is sure of fair treatment. I know that 
you businessmen, who fully realize that Cuba 
offers new frontiers to foreign investment, will 
agree with this. 

Far more than most people realize, the United 
States well knows the value of foreign capital. It 
was foreign capital which helped build the vast 
railroad networks, the packing plants, the steel 
mills, and hundreds of other industries in my 
country. In nearly every case the investor was 
rewarded with a more than fair return. And most 
important, there were no restrictions against re- 
mitting earnings abroad. Eventually the young 
American nation developed its own capital, bought 
out the original foreign owners, and launched it- 
self on a period of great prosperity, a period which 
has never stopped. Tlie free enterprise system 
has proved itself the most successful ever known 
in history, providing not only profits for the in- 
dustrialist but a higher standard of living stem- 
ming from broader employment and fuller lives 
for the worker. 



Labor-Management Relations 

No discussion on an economic theme, however 
brief, can avoid reference to the complicated prob- 
lem of labor-management relations. I believe that 
nowhere can we find a better definition of what 
they should be than that given in a recent speech 
by Benjamin F. Fairless, chairman of the board 
of the United States Steel Corporation. He said : 

To live better we must produce more ; but production 
is the result of teamwork, not of conflict. We shall 
achieve our fullest measure of production only when we 
begin to understand that the interests of worker and 
owner are not antagonistic, but identical — that under our 
American system of competitive enterprise, it is impos- 
sible over a period of time for one to prosper while the 
other suffers. 

I am deeply appreciative of the opportunity to 
appear before you tonight, and profoundly 
touched by the personal tribute you have paid me. 

And as we round the corner together into 1954, 
my deep and abiding wish is prosperity and hap- 
piness for Cuba and her people. 



Trading in German Securities 

The following was released to the press on 
January 11 hy the Securities and Exchange Ccm- 
mission: 

On December 8, 1941, following the attack on 
Pearl Harbor, the national securities exchanges 
suspended dealings in securities of German, 
Italian, Japanese, and other Axis origin, and the 
Securities and Exchange Commission, liaving con- 



February I, 7954 



159 



suited with the State and Treasury Departments, 
requested the cooperation of brokers and dealers 
in refraining fi'ora effecting transactions in all 
securities of such origins. Trading was restored 
in Italian securities in December 1947 and in 
Japanese securities in November 1950. 

In March 1951, following the announcement by 
the Government of the Federal Republic of Ger- 
many (West Germany) of its recognition of pre- 
war external debts of the German Eeich, the Com- 
mission, having consulted with the Department of 
State, advised that it did not intend to withdraw 
its request that brokers and dealers refrain from 
effecting transactions in German securities until 
full assurances could be given to investors, througli 
validation proceedings, that only securities which 
constitute "good delivery" would be afforded a 
market in the United States. This action was 
necessary because of the large volume of German 
securities, particularly foreign currency bonds, 
reacquired by the Germans and held in negotiable 
form in Berlin, which were lost or looted after the 
occupation of Berlin in 1915 by the Soviet armed 
forces. In September 1952 and April 1953 the 
Commission again requested brokers and dealers to 
refrain from effecting transactions in German se- 
curities pending the establishment of appropriate 
validation procedures. 

The Federal Republic of Germany has enacted 
legislation requiring the validation of foreign cur- 
rency bonds and certain internal securities, and 
procedures for validation have been or are being 
established.^ The Agreement on German Ex- 
ternal Debts signed in London on February 27, 
1953, provided that the Federal Republic would 
permit the settlement of certain debts, including 
German foreign currency securities, and would 
provide the necessary foreign exchange to permit 
payments on debts which are settled. Validation 
is a necessary step before a bondliolder may par- 
ticipate in a settlement which may be offered pur- 
suant to the agreement of February 27, 1953. An 
exchange offer has been made by the Federal Re- 
public with respect to certain issues of the German 
Reich and the Free State of Prussia and an issue 
of the Conversion Office for German Foreign 
Debts. It is understood that further exchange 
offers are being negotiated. 

Negotiations in the case of dollar bonds issued 
or guaranteed by West German states or munici- 
palities are being conducted by the Foreign Bond- 
holders Protective Council, Inc., 90 Broad Street, 
New York 4, N. Y., and negotiations in the case of 
other German dollar bonds are being conducted by 
the United States Committee for German Corpo- 
rate Dollar Bonds, 910 I7th Street, NW., Wash- 
ington 6, D.C. Inquiries concerning these matters 
should be addressed to the Foreign Bondholders 
Protective Council or to the Committee for Ger- 



man Corporate Dollar Bonds, whichever is 
appropriate. 

The procedures for validation are not identical 
for all securities. Under an agreement dated 
February 27, 1953,^ entered into between the 
United States Government and the Federal Re- 
public of Germany, a joint German and American 
Board has been established in this country to vali- 
date German dollar bonds, and registration of 
such securities for validation began in September 
1953. In addition, under the provisions of a 
treaty between the Federal Republic and the 
United States signed on April 1, 1953,' no Ger- 
man dollar bond subject to the validation laws 
of the Federal Republic is enforceable unless and 
until it has been validated. 

In addition to the problem of validation, the 
Commission has been concerned with obtaining 
for investors recent information about the various 
issuers of German dollar securities. Such infor- 
mation is considered desirable in connection with 
the resumption of trading in such securities. In 
November 1952 the Commission initiated steps 
through the Government of the Federal Republic 
looking to the furnishing of current information 
by the German issuers. Such information about 
the Federal Republic is now available in a circu- 
lar dated October 6, 1953, which relates to the 
exchange offer which it is now making. Copies 
of the circular may be obtained from the exchange 
agents : J. P. Morgan & Co., Incorporated, 23 Wall 
Street, New York 8, N. Y., and Dillon, Read & 
Co., 48 Wall Street, New York 5, N. Y. Since 
information about the other German issuers had 
not been furnished, the Commission in November 
1953, after consultation with the Department of 
State, sent direct requests to C3 issuers of German 
dollar obligations and again requested the assist- 
ance of the Govermnent of the Federal Republic. 
As a result of such efforts, 13 German issuers * 
have transmitted to the Commission copies (in the 
German language) of their annual reports, but 
the remaining 50 issuers have so far failed to send 
information. The annual reports on hand are 
available for public inspection in the Commission's 
Washington office and, where sufficient copies have 
been received, are also available for public inspec- 



'For Information on the validation of German bonds, 
see BuiXETiN of Oct. 20, 1952, p. 608, and Apr. 20, 1953, 
p. 569. 



' Ibid., Mar. 9, 1953, p. 376. 

= Ibid., May 4, 1953, p. 666. 

* City of Cologne ; city of Frankfort on the Main ; city 
of Munich ; Dortmunder Stadtwerke A.G. {Dortmund Mu- 
nicipal Utilities) ; Electro werke A.G. zu Berlin (Electric 
Power Corporation of Berlin) ; Energie-Versorgung 
Schwaben A.G. (Consolidated Hydro-Electric Works of 
Upper Wiirttemberg) ; Feldmiihle Papier & ZellstofCwerke, 
A.G. (Feldmiihle I'aper & Cellulose Works Corp.) ; Ham- 
burger Hochbalin A.G. (Hamburg Elevated, Underground, 
& Street Railways Co.) ; Hamburgische Electricitats- 
Werke A.G. (Hamburg Electric Company and Unterelbe 
Power & Light Co.); Rudolph Karstadt A.G. ; Rhein- 
Main-Donau A.G. (Rhine-Main-Danube Corporation) ; 
Energie-Versorgung Ostbayern A.G. (Oberpfalz Electric 
Power Corporation) ; Harpener Bergbau A.G. (Harpen 
Mining Corp. ) . 



160 



Department of State Bulletin 



tion at the Commission's regional offices in New 
York, Chicago, and San Francisco. 

On November 20, 1953, the Securities and Ex- 
change Commission announced that it had under 
consideration a proposal to adopt a rule under 
section 15 (c) (2) of the Securities Exchange Act 
of 1934 to prohibit brokers and dealers from trad- 
ing in the over-the-counter market in German se- 
curities which are required to be and have not 
been validated pursuant to the validation laws of 
the Federal Republic of Germany. The Commis- 
sion has considered all of the comments and sug- 
gestions received and has adopted Rule X- 
15C2-3 in the form stated below. 

This new rule makes it a "fraudulent, deceptive, 
or manipulative act or practice," as used in sec- 
tion 15 (c) (2) of the act, for any broker or dealer 
to effect any transaction in, or to induce the pur- 
chase or sale of, any German security required to 
be validated under applicable validation laws of 
the Federal Republic of Germany unless it has 
been duly validated. If such security is a dollar 
security, it must have attached to it a document 
of the Validation Board for German Dollar Bonds 
certifying to the validation of such security. The 
Commission has been informed by representatives 
of the various exchanges upon which German se- 
curities have been traded that securities which 
have not been validated will not be considered 
"good delivery" against sales made on these ex- 
changes. 

The Commission has been informed that, where 
the authenticity of an outstanding dollar security 
has been established, the Validation Board will 
attach to each such dollar security a document cer- 
tifying to its validation. Consequently, Rule 
X-15C2-3 provides that a German dollar security 
required to be validated cannot be traded unless 
this document is attached to it. Since the Com- 
mission has no assurance that a validated security 
other than a dollar security will have any docu- 
ment certifying to its validation attached to it, a 
broker or dealer proposing to effect a transaction 
in such a security will have to be certain that it has 
been duly validated; if he should effect a trans- 
action in a security not validated as required he 
would be violating Rule X-15C2-3 if the mails or 
other jurisdictional elements are involved. 

Persons wishing information regarding the vali- 
dation of German dollar securities should com- 
municate with the Validation Board for German 
Dollar Bonds, 30 Broad Street, New York 4, N.Y. 
Information concerning the validation of securi- 
ties other than dollar securities may be obtained 
from the Foreign Representative of the German 
Federal Republic, 30 Broad Street, N.Y. 4., N.Y. 

In view of the above, the Commission feels that 
it is appropriate to withdraw its request that 
brokers and dealers refrain from effecting trans- 
actions in West German securities to the extent 
that such trading is not prohibited under the pro- 
visions of its new Rule X-15C2-3. The Commis- 



sion's action, of course, should not be construed 
to mean that it has in any way passed upon the 
merits of any of the securities which are permitted 
to be traded. 

The Commission has no information when vali- 
dation procedures will be established for dollar 
securities of issuers in that part of Germany under 
the control of the Soviet or Polish Governments. 
Therefore, the Commission, after consultation 
with the Department of State, requests that 
brokers and dealers continue to abstain from any 
activities which would tend to create a public 
market in these securities. While the Commis- 
sion has been advised that negotiations are under 
way to establish validation procedures for Aus- 
trian dollar securities, the Commission requests 
that the securities industry also refrain from trad- 
ing these securities until further notice after the 
establishment of validation procedures. The 
Commission is not in possession of any information 
which it feels would justify it in withdrawing its 
earlier request that brokers and dealers refrain 
from trading in securities issued by Bulgaria, 
Hungary, and Rumania and by issuers in any of 
these countries. 



Statutory Basis 

Rule X-15C2-3 is adopted pursuant to the pro- 
visions of the Securities Exchange Act of 1934, 
particularly sections 15 (c) (2) and 23 (a) thereof, 
the Commission deeming such action necessary 
and appropriate in the public interest and for the 
protection of investors and necessary for the exe- 
cution of the functions vested in it under the act. 
In accordance with the provisions of section 4 (c) 
of the Administrative Procedure Act, the Com- 
mission finds that there is good cause for making 
this rule effective before the expiration of 30 days 
after its publication because brokers and dealers 
subject to the rule have been refraining from ef- 
fecting transactions in the securities covered by 
the rule at the request of the Commission, and 
it is necessary in the public interest and for the 
protection of investors that the rule be made ef- 
fective before the expiration of said 30-day period. 

Text of Rule 

Rule X-15C2-S — Prohibiting Trading in Oerman Securities 
Unless Validated 

The term "fraudulent, deceptive, or manipulative act 
or practice"', as used in Section 15 (c) (2) of the act, 
is hereby defined to include any act of any broker or 
dealer designed to effect any transaction in, or to induce 
or attempt to induce the purchase or sale of, any security 
required to be validated under any applicable validation 
law of the Federal Republic of Germany unless (a) such 
security has been duly validated, and (b) if such security 
is a dollar security, there is attached a document of the 
Validation Board for German Dollar Bonds certifying 
to the validation of such security. 

The foregoing shall become effective January 12, 1954. 
By the Commission. Orval L. DitBois 

Secretary 



February 7, J 954 



161 



Visit of Turkish President 



Press Conference Statement by Secretary Dulles 

Press release 23 dated January 19 

We here in Washington look forward very 
eagerly to the visit of the President of Turkey.^ 
It is a matter of great jDersonal regi-et to me that 
I shall not be present to join in the reception of 
him. I had planned a dinner in his honor, which 
will be held in my place by the Acting Secretary 
of State. 

Turkey is an ally which has shown its worth in 
many respects. It has shown its understanding 
of the problems of our times to a remarkable de- 
gree, and I am confident that the American people 
will all want to express their recognition to the 
President of Turkey, who stands for a people 
whom we respect and admire and whom we count 
upon as firm allies. 



Secretary's Letter to Turkish Ambassador 

Press release 29 dated January lU 

Following is the text of a letter from Secretary 
Dulles to His ExceMeiwy Feridun C. Erkin, 
Amhassador of Turkey : 

January 19, 1954 

Dear Mr. Ambassador : Before I leave for Ber- 
lin to attend the Foreign Ministers Conference, I 
should like you to know how much I regret the 
fact that I will not be here to welcome the Presi- 
dent of your country when he comes to Washing- 
ton next week. I had been looking forward to 
receiving him, and it is a great disappointment 
to me that this will not be possible. 

Please express to President Bayar my best 
wishes for an enjoyable visit during his stay in 
the United States. 

Sincerely yours, 

John Foster Dulles 
His Excellency 

Feridun C. Erkin, 
Ambassador of Turkey. 



Increasing International Understanding 
Through Educational Exchange 



hy Russell L. Riley 

Director^ International Educational Exchange Service ' 



The interest of your group in international re- 
lations is a clear indication that you are among 
the many, many Americans who know that our 
position of leadership in the world today places 
very heavy responsibilities upon us as citizens. 
You also know that we can discharge these re- 
sponsibilities only by getting to know the people 
and the problems of other countries and getting 
them to know and luiderstand us. Obviously, that 
is a big order, and we must use every means at 
our disposal to try to bring this better understand- 
ing about. 

One reason why I am glad to talk about the 
work of the International Educational Exchange 
Program of the State Department is that it rep- 

' For announcement of President Bayar's visit, see 
Bulletin of .Ian. 4, 1954, p. 24. 

' Excerpts from an address made on Jan. 8 before the 
Women's Club of Loudoun County, Va. 

162 



resents one way of bringing about better under- 
standing. I think that the direct person-to-per- 
son approacli wliich it affords can make a very 
significant contribution to our mutual goals. I 
believe that the average American has enough 
faith in our democratic system to realize that, if 
the people of other countries have a chance to 
see us as we are, in our daily life and in our jobs, 
they will become reliable interpretere of this coun- 
try to their fellow citizens. In this way we can 
build up a climate of public opinion overseas in 
which our actions, our motives, and our policies 
can be correctly interpreted. 

Tlie exchange program of this Government had 
its beginnings with the Good Neighbor Policy with 
tlie otlier American republics in this hemisphere. 
After World War II the importance of this form 
of communication on a worldwide basis was recog- 
nized by the Congress through the passage of such 
laws as the Fulbright Act, the Smith-Mundt Act, 

Department of State Bulletin 



and a numbei" of other pieces of special legislation. 
Under this legislation we are now conducting ex- 
changes of about 8,000 people a year with over 70 
countries of the free world. 

Let me tell you a bit about who these 8,000 people 
are and what it is they do. 

Two-thirds are carefully selected people from 
other countries who are studying, teaching in our 
schools and colleges, lecturing, or carrying on 
specialized research. Tliey are young people like 
the deputy chief of tlie Legislative Reference 
Service of the Government of India who has this 
year completed work on his Ph. D. in the field of 
public administration at American University ; or 
the official of the bank of Thailand who is studying 
economics at the Wharton School of Finance in 
Philadelphia; or the head of a reformatory in 
Egypt who is studying juvenile delinquency for a 
year at the University of Minnesota. Three- 
fourths of these foreign students are, as the above 
examples indicate, not students in their home 
country, but already embarked on professional 
careers. 

We also bring elementary and secondary school- 
teachers to this country. Some of them, especially 
from the English speaking countries, swap jobs 
with their American counterparts in our public 
schools. Others, like the instiiictor and curricu- 
lum planner for a number of rural schools in Cuba, 
come to observe our educational methods, in this 
case our methods of teacliing vocational education. 
Still others, like the head of the Physics Depart- 
ment at the University of Oslo in Norway, are 
lecturing in our colleges or are canning on ad- 
vanced research in a great variety of fields, im- 
portant among whicli are the medical sciences and 
American literature and history. 

Another group of people whom we bring from 
overseas are the present leaders of thought and 
opinion in these countries — outstanding newsmen, 
government officials, members of national legis- 
latures, and people with wide influence in labor, 
business, and social and community welfare. It 
might interest you to know, for example, that 71 
of the ])resent members of the German parliament 
came to the United States under our program in 
the last few years. Because of their positions, 
most of these people can come for only a short 
time, usually about 3 months, and they spend this 
time establishing contacts with their American 
coworkers and observing recent developments in 
various parts of the United States. To give you 
a few examples of who these people are, let me 
cite some who are in this country right now : a 
member of Parliament from England ; three labor 
leaders from Finland; the political editor of a 
newspaper in Diisseldorf, Germany; the director 
of what might be the counterpart of our Farm 
and Home Houi* on the Japanese radio ; and the 
chief labor officer in the Ministry of Labor of the 
Gold Coast Government. 

One of our projects for foreign newsmen is of 



particular interest. In 1946, the Virginia Press 
Association decided to bring two French news- 
papermen to the United States as its guests for 3 
months. The association worked out the details 
of this project with the State DeiDartment, and 
our mission in France helped find two suitable 
candidates. The expenses of their trip were 
shared by the Virginia Press Association and the 
French newspapers from which the journalists 
came. During their 3 months' stay in Virginia, 
the two French newsmen accompanied members of 
the newspaper staff on their regular a&signments, 
became thoi'oughly familiar with desk and edi- 
torial procedures, lived most of the time in the 
homes of fellow journalists, and participated fully 
in the life of the community. 

During all this time they were writing articles 
about their experiences for their newspapers in 
France. Following this pattern, we are now 
bringing about 18 journalists a year from different 
countries. We pay their travel and the newspaper 
on which they work pays their expenses while they 
are in the United States. One of the most success- 
ful of these trips was an arrangement under which 
Ronald McKie of the Sydney Daily Telegra'ph 
in Australia spent 3 months with the Wimton- 
Salem, Journal and Twin City Sentinel. McKie's 
articles appearing in the Journal- 8 enthiel, touch- 
ing as they did on every aspect of American life 
from tlie cleanliness of our restaurants to the 
nature of our political campaigns, became the sub- 
ject of frequent letters to the editor. Some of 
the more cynical writers indicated a strong belief 
that McKie existed only as a creature of the editor's 
warped imagination and that tliis was merely a 
clever device whereby the Journal-Sentinel could 
give vent to some unortliodox views about the 
life of the community without becoming the target 
of brickbats and Mason jars thi-own by disgruntled 
readers.^ 



Americans Abroad 

The other one-third of our 8,000 excliangees are 
outstanding Americans who go abroad for pur- 
poses similar to those of their foreign counterparts. 
These representative Americans come from all 48 
of our States. Through their professional activ- 
ities and their informal contacts, they are able 
to demonstrate and share our American acliieve- 
ments and give firsthand information about our 
country. They bring back and put to use the 
knowledge of foreign cultures, achievements, and 
problems acquired during their visit overseas. 

One of the fundamental concepts of the ex- 
change program and one which I think contributes 
immeasurably to its effectiveness is the fact that 
it is a truly cooperative undertaking. In many 



' For an article on Mr. McKie's experiences in Win.stou- 
Salem, see Field Reporter, May-June 1953 (Department 
of State publication 5028), p. 14. 



February I, 7954 



163 



countries overseas we have binational commissions 
which play an important role in planning suitable 
programs for each country, in selecting partici- 
pants, and in looking after our grantees while they 
are abroad. The participation of leading foreign 
nationals and prominent American businessmen 
and educators on these commissions gives great 
prestige to the program and gains a ready accept- 
ance for the Americans going to these countries. 

In this country the program is run in typical 
American fashion — as a partnership between the 
Government and private enterprise. We could 
not run this program effectively for a week with- 
out the cooperation of American organizations and 
individuals all over the United States. Univer- 
sities and colleges and private organizations in 
this country contribute direct financial support to 
this program by giving scholarships to some of the 
foreign students for whom we pay round trip 
travel, or by offering stipends to foreign lecturers 
and researchers. In the teacher-exchange pro- 
gram the schools maintain the teachei-s' salaries 
while they are abroad, and the overseas schools pay 
their teachers who are in this country. 

A number of private organizations in this coun- 
try provide services for the exchange program 
under contractual arrangements with the Depart- 
ment of State. These services include primary 
selection of candidates, placement of foreign can- 
didates, and supervision of some of the exchangees. 
Still others help in planning suitable itineraries 
and professional contacts for our foreign leaders. 
And some groups are under contract to us to make 
studies which will help us to measure the effec- 
tiveness of the program and improve its operation. 

Individual Contributions 

Perhaps the largest single service provided by 
voluntary groups in this country is the offering of 
professional guidance and hospitality to our for- 
eign guests. There are at present about 1,000 
advisers on college campuses who help foreign 
students with their problems and an equal number 
of advisers who help Americans who want to apply 
for scholarships. It is almost impossible to meas- 
ure the dollars and cents value of these services, 
but its importance can be realized if you will re- 
member that it is you, the citizens of this country, 
who are the interpreters of America. The picture 
which any one of our foreign visitors gets of this 
country is the sum total of his experiences with 
individual Americans. We want not only to share 
with him our rich educational resources and our 
skills, but to give him some insight into the kind 
of society we have developed in this country which 
maJces these resources and skills available to the 
majority of people. One of the best ways to do 
this is to shnre our daily life with him so that from 
visiting and talking with individual Americans 
in their homes, on their farms, in their businesses, 
churches and community groups, he can under- 



stand the real values of democracy for the average 
American. 

We in the Educational Exchange Service offer, 
on the other hand, various kinds of help to private 
gi'oups and individuals in the United States who 
have exchange projects of their own, so that their 
exchange efforts can contribute more effectively 
to the national interest. The help which we can 
give takes a great variety of forms. Sometimes 
it may mean guidance to groups who are planning 
exchange projects, or arranging predeparture 
briefing for Americans visiting sensitive world 
areas, or arranging with our posts overseas to 
facilitate tours for American groups or indi- 
viduals. 



Accomplishments of the Program 

At this point it seems reasonable to ask just 
what these exchanges are accomplishing. In the 
first place they are removing false ideas about the 
United States and replacing such ideas with more 
accurate information about us. A young German 
who landed on our shores with some very harsh 
criticisms of U.S. fraternities as a breeding 
ground for self-styled snobs commented after he 
had been here for a year : 

I do not think that I have been assimilated here, that 
I have been "Americanized" to any great extent, but I 
have found in Sigma Chi a common meeting ground where 
I can be a close friend to Americans and still be a good 
German. That may not sound too extraordinary, but 
imagine this concept really being applied on a large scale 
in international relations. 

One of the newsmen from the Nato countries 
who came here to see our defense efforts had this 
to say about us : 

We have been taught that Americans thinlj only of 
making money, but I found them real human beings with 
a warm feeling for problems in other countries. 

In still another field, our assistance in aiTanging 
concerts for the St. Cecilia Choir of Boston which 
went to Europe under private auspices paid divi- 
dends in the following notice in a French news- 
paper : 

We have always known that the Americans make good 
machines, but concerts like this one are convincing us 
that they also possess a fully developed culture about 
which we know extremely little. 

The program is also strengthening our ties with 
the free world by sharing our knowledge and 
building up skills which are of mutual benefit to 
the United States and other countries. A woman 
from the Philippines who studied social work in 
the United States has succeeded in establishing an 
institute of technology in Mindanao modeled very 
much after the idea of Berea College in Kentucky 
where the system of providing students with an 
opportunity to earn their education impressed this 
visitor as being adaptable to the needs of her own 
people. A German county official who came to 



164 



Department of State Bulletin 



this country last year has been introducing a num- 
ber of new ideas since his return home, including 
citizenship training as part of the curriculum of 
a newly constructed agricultural school and a 
•wholly revolutionary idea of inserting in the 
county newspaper at the end of the fiscal year a 
report showing the county's income and ex- 
jjenditures. 

These ties with the free world are also being 
strengthened by building lasting contacts with 
the United States. In 35 countries there are 
alumni associations which bring together students 
and others who have studied in the United States. 
On an individual basis the following examples 
come to mind : An Indian who studied industrial 
relations in the United States has been solely 
responsible for organizing the Division of Indus- 
trial Eelations in the Tata Institute in Bombay. 
He distributes pamphlets for the American Fed- 
eration of Labor and cooperates with their local 
representatives as well as with representatives of 
American business firms in Bombay. A leading 
dental surgeon in Indochina organizes showings 
of U.S. Information Service films in his spare 
time and uses our materials for feature articles 
and pamphlets. He has kept up his membership 
in the American Dental Association and has or- 
ganized a Vietnamese Dental Association as well 
as a free medical and dental clinic where Ameri- 
can methods are introduced. 

The exchange experience is also making clear 
the essential difference between the democratic way 
of life and that of the totalitarian regimes, and 
in this way strengthening the resistance of the 
people of these countries to aggressive communism. 
As one European specialist said : 

I had always been afraid of Russian imperialism. Not 
until I visited your country did I learn to believe in 
the United States as a supporter of all the good and 
culture supporting ideas. If you invite people from other 
countries to visit the U. S. A., you can make your passive 
friend your active ally. 

A Japanese legislator told of his understanding 
in this way : 

I realized from this trip that the essential difference 
and disagreement between Communist Russia and the 
United States is that the former represents a way of life 
by compulsion and the latter represents a way of life 
which is based on and derives its strength from volun- 
tary processes. The American way is just and proper for 
human society. 

And lastly, exchanges are increasing our under- 
standing of other countries. We learn about other 
countries from firsthand contact with the citizens 
who come to this country and through the experi- 
ences of every American grantee who goes abroad. 
It is significant to note that about 30 percent of 
the Americans who go abroad each year are work- 
ing in some branch of the social sciences. Their 
jobs, therefore, bring them very closely into con- 
tact with the workings of cultures other than our 
own. A number of these people are working di- 
rectly with the area studies programs of several 



of our large universities, and their overseas assign- 
ments are proving of tremendous value to the 
carrying out of these projects. 

These are a few of tlie things that are resulting 
from the firsthand experiences with America and 
Americans whicli the exchange program affords. 
Any endeavor which deals with people as this 
one has its quota of problems and its occasional 
failures. However, our work in this field over 
the past 10 to 15 years has given us a fund of 
useful experience on which we are constantly 
building. There are two important ways in which 
all of you can help : First, by seeing that able and 
well-qualified Americans know about the oppor- 
tunities offered under this program so that we 
can constantly improve the caliber of our xVmerican 
grantees. And second, by helping any foreign 
visitor who may come to your community to get 
as clear and well-balanced a picture of us as you 
can possibly give him. In this way we will build 
up a constantly increasing stream of eyewitnesses 
who can, in the words of the President, "submit 
evidence to peoples of other nations . . . that 
the objectives and policies of the United States 
are in harmony with and will advance their legiti- 
mate aspirations for freedom, progress and peace." 



Fisheries Commission Meeting 

Press release 25 dated January 20 

The first meeting of the International North 
Pacific Fisheries Commission is to be held at 
Washington, D. C, beginning on February 1. The 
Government of the United States will be host. 

The establishment of the International North 
Pacific Fisheries Commission is provided for in 
the International Convention for the High Seas 
Fisheries of the North Pacific Ocean which was 
signed at Tokyo on May 9, 1952, on behalf of 
Canada, Jai:>an, and the United States, and came 
into effect on June 12, 1953, upon the exchange of 
ratifications by the tliree Governments at Tokyo. 
The treaty was ratified by the President of the 
United States on July 30, li)52, with the advice and 
consent of the Senate, given July 4, 1952. 

The participants in the conference will be the 
Governments of Canada, Japan, and the United 
States. Invitations to send an observer have been 
extended to the Food and Agriculture Organiza- 
tion of the United Nations, the International 
Pacific Halibut Commission, the International 
Pacific Salmon Fisheries Commission, the Inter- 
national Commission for the Northwest Atlantic 
Fisheries, and the Inter-American Tropical Tuna 
Commission. 

The purposes of the conference will be to decide 
matters of organization, to prepare coordinated 
programs of research on stocks of fish that are 
of common concern to the three countries, and, 
generally, to carry out the commitments of the 
convention. 



February 1, 1954 



165 



Calendar of Meetings' 

Adjourned during January 1954 

International Legal Conference of Asian Countries New Delhi Dee. 28-Jan. 

Un Subeommission for Prevention of Discrimination and Protection New \ ork Jan. 4-29 

of Minorities ^ „ t ir, oa 

Who Executive Board and Committee on Administration and Finance: Geneva Jan. 12-dO 

13th Meeting ^ . ., , . . oo 

World Coffee Congress and International Coffee Culture Exposition . t uritiba Jan. 14-2^ 

Wmo Regional Association for Southwest Pacific: 1st Session . . . . Melbourne Jan. 19-30 

Un Ecafe Inland Transport Committee: 3d Session Kandy (Ceylon) Jan. 20-2.5 

Meeting of Experts To Consider a Draft of a Proposed Phy to-Sanitary Singapore Jan. 25-30* 

Convention for Southeast Asia 

In Session as of January 31, 1954 

Un Petitions Committee (Trusteeship Council) New York Jan. 12- 

International FLxhibition on Low-Cost Housing New Delhi Jan. 20- 

Seminar on Housing and Community Improvement New Delhi Jan. 21- 

Fao Indo- Pacific Fisheries Council: 5th Session Bangkok Jan. 22- 

Meeting of the Four Foreign Ministers Berlin Jan. 2,5- 

Un EcAFB Committee on Industrv and Trade: 6th Session Kandy Ian. 26- 

Un Trusteeship Council: 13th Session New York Jan. 28- 

Scheduled February 1-Aprii 30, 1954 

First Meeting of the International North Pacific Fisheries Commission . Washington 

IcAO Council: 21st Session Montreal 

Un Economic Commission for Latin America (Ecla) : Committee of Santiago 

of the Whole 

Un Economic Commission for Asia and the Far East (Ecafe): 10th Kandy 

Session. 

Un Technical Assistance Committee Working Party New York 

Icao North Atlantic Ocean Weather Stations Conference Paris . ^ 

Un General Assembly: Eighth Session, 2d Part New York 

First International Film Festival of Brazil Sao Paulo 

Ilo Inland Transport Committee: 5th Session Geneva 

Tenth International Exhibition of Sports Motion Pictures Rome _ 

Un Human Rights Commission: 10th Session New York 

Un Committee on Non-Governmental Organizations New York 

Fag Committee on Commodity Problems, Working Party of Experts . Washington 

Un High Commissioner's Advisory Committee on Refugees .... Geneva 

Ilo Governing Body: 124th Session Geneva 

Tenth Inter-American Conference Caracas 

Un Children's Fund (Unicef) : Executive Board and Program Com- New York 

mittee. 

Un Ecafe Third Regional Meeting of Statisticians New Delhi 

Un Technical Assistance Committee New York 

IcAO Communications Division: 5th Session Montreal 

Un Economic Commission for Europe (Ece) : 9th Session of the Com- Geneva 

mLssion. 

UNESCO Executive Board: 37th Session Paris .^ 

Western Hemisphere Television Demonstrations (and Frequency New York and Washington 

Sharing Conference). 

Un Commission on the Status of Women: 8th Session New York 

Wmo Eastern Caribbean Hurricane Committee of Regional Associa- Trinidad 

tion IV (North and Central America). 

• Prepared in the Division of International Conferences Jan. 21, 1954. .\sterisks indicate tentative dates. 

is a list of abbreviations: 

Who — World Health Organization; Wmo — World Meteorological Organization; Ecafe — Economic Commission for Asia 
and the Far East; Fag — Food and Agriculture Organization; Ecla — Economic Commission for Latin America; 
Paso — Pan American Sanitary Organization; Icag — International Civil Aviation Organization; Ilo — International 
Labor Organization; Ecosoc — Economic and Social Council; Icem — Intergovernmental Committee for European 

Migration; Unesco — United Nations Educational, Scientific and Cultural Organization. 

166 Department of State Bulletin 



Feb. 


1- 


Feb. 


2- 


Feb. 


8- 


Feb. 


8- 


Feb. 


8- 


Feb. 


9- 


Feb. 


9*- 


Feb. 


12- 


Feb. 


15- 


Feb. 


15 


Feb. 


23- 


Feb. 


23- 


Feb. 


23- 


Feb. 


25- 


Feb. 


27- 


Mar 


1- 


Mar 


1- 


Mar 


1- 


Mar 


8*- 


Mar 


9- 


Mar 


9- 


Mar 


10- 


Mar 


15- 


Mar 


22- 


Mar 


24- 


dates 


>. Following 



Calendar of Meetings — Continued 



Scheduled February 1-April 30, 1954 — Continued 

Ilo Salaried Employees and Professional Workers Committee: 3d 
Session. 

Un Economic and Social Council (Ecosoc) : 17th Session 

Fourth International Congress of Prehistoric and Protohistoric Sci- 
ences. 

Un Statistical Commission: 8th Session 

Caribbean Trade Promotion Conference 

Joint Ilo/Who Committee on Hygiene of Seafarers: 2d Session . . 

Second Congress of the International Irrigation and Drainage Com- 
mission. 

International Trade Fair of Milan 

Un Narcotic Drugs Commission: 9th Session 

IcEM Seventh Session of Committee 

Un Ece Second East- West Trade Consultation 

IcAo Conference on Coordination of European Air Transport . . . 

Fourteenth International Congress of Military Medicine and Phar- 
macy. 

UNESCO Intergovernmental Conference on the Protection of Cultural 
Property in the Event of Armed Conflict. 

Nato Ministerial Meeting of North Atlantic Council 

Paso Executive Committee: 22d Meeting 

South Pacific Commission: 13th Session 



Geneva Mar. 29- 

New York Mar. 30- 

Madrid Apr. 2- 

Geneva Apr. 5- 

Trinidad Apr. 6- 

Geneva Apr. 9- 

Algiers Apr. 12- 

Milan Apr. 12- 

New York Apr. 19- 

Geneva Apr. 20- 

Geneva Apr. 20- 

Strasbourg Apr. 21- 

Buenos Aires Apr. 21- 

The Hague Apr. 21- 

Paris Apr.- 

Washington Apr.- 

Noum6a Apr.*- 



VIII Pan American Railway Congress 



In his report to the President on United States- 
Latin American relations,^ Special Ambassador 
Milton S. Eisenhower noted that "Next to an in- 
crease in agricnltural production, development of 
transportation is the paramount need in most of 
the Latin American countries." An important 
contribution to the advancement of transportation 
efBciency and technical knowledge in Latin Amer- 
ica was the VIII Pan American Kailway Congress 
held at Washington and Atlantic City, June 12-25, 
1953, under the auspices of the Pan American 
Railway Congress Association. This Association 
has for many years had as its primai'y concern the 
establishment and development of more extensive 
and moi'e efScient railroad facilities in the Amer- 
icas, along with the promotion of international 
arrangements to facilitate communication and 
travel among the nations of the Americas. 

The Pan American Railway' Congress Associa- 
tion began its work in this field as the South 
American Railway Congress of 1907 in connec- 
tion with the celebration of the 50th anniversary 
of the first railway built in Argentina. The first 

• Bi'Li.ETiN of Nov. 23, 1953, p. 695. 

February 1, 1954 



formal meeting of the organization was held in 
1910 at Buenos Aires. Other meetings followed 
at Rio de Janeiro in 1922, Santiago in 1929, and 
Bogota in 1941, when the name was changed to 
the Pan American Railway Congress Associa- 
tion, and invitations to join were extended to 
countries of Central and North America. Fol- 
lowing World War II, congi'esses were held at 
Montevideo in 1946, Habana in 1948, and Mexico 
City in 1950. Through these successive meetings, 
the Association developed into a well-established 
international organization, with rights of mem- 
bei"ship extended not only to all the American 
governments but also to public institutions, rail- 
way companies, and interested private individ- 
uals. Its aim of promoting the development and 
progress of railways in the American Continent 
was carried out by means of (a) periodic con- 
gresses, (b) the publication of documents and 
other works related to the Association's objectives, 
and (c) the maintenance of informative services 
and studies of topics of general interest. 

The Congi-ess held last summer in the United 
States was the eighth in the series of Pan Ameri- 



167 



can Railway Congresses sponsored by the Associa- 
tion and also was the first to be held in this or any 
other English speaking country. The VIII 
Congress was organized by the United States 
Government and the U.S. JSTational Commission 
in the Pan American Railway Congress Associa- 
tion, in collaboration with the Permanent Com- 
mission of Parca.= It was larger than any pre- 
ceding Congress in the series in point of total 
registration and number of countries represented 
and was outstanding among these Congresses in 
scope and ciiaracter of teclmical jjapers presented. 

During tlie section and plenary sessions of the 
Congress, held in Washington June 12-21, 1953, a 
total of 168 papers from authors in 16 countries 
were considered. These papers covered a wide 
range of transportation subjects, including prob- 
lems having to do with roadway and structures; 
freight and passenger cars and locomotives ; oper- 
ation of service; accounting, statistics, and tariffs; 
legislation, administration, and coordination ; and 
personnel and general subjects. A wealth of tech- 
nical information from authoritative sources was 
thereby made available to the agencies and indi- 
viduals concerned with the establishment, opera- 
tion, improvement, and administration of railway 
transportation facilities. 

Potentially more valuable than the assembly of 
that body of information in respect to the future 
development of railways was the stimulating effect 
that the whole process had upon the minds of in- 
terested individuals before, during, and after the 
Congress. Of special significance were the scope 
and the results of the exchange of ideas and in- 
formation attendant upon the pre-Congress prep- 
aration and review of the various papers; the 
during-the-Congress presentation, discussion, and 
evaluation of the papers; and the post-Congress 
distribution of tlie papers. 

Equally important were the effects upon the 
Congress participants of the proceedings at Atlan- 
tic City, New Jersey, June 21-25, 1953. There 
they were afforded an opportunity not only to 
attend meetings of the Association of American 
Railroads and the American Short Line Railroad 
Association but also to inspect a $20 million exhi- 
bition of railway rolling stock, equipment, and 
appliances brought together by member firms of 
the Railway Supply Manufacturers' Association. 

Two events of particular significance to the As- 
sociation occun-ed during the Congress. On June 
17, Dr. Alberto Lleras Camargo, Secretary Gen- 
eral of the Organization of American States, and 
Ing. Joaquin Nuriez Brian, of Parca, signed an 
agreement providing for official cooperation of 
their two organizations through the exchange of 
information and mutual assistance in the realiza- 
tion of plans and programs being carried out by 

'For the membership of the U.S. delegation to the 
Congress, see iUd., June 22, 1953, p. 884. 



the various countries. This marked the transition 
from the informal relations which had existed for 
many years to a more formal and definite relation- 
ship for the future. Secondly the Congress 
adopted a resolution providing for the revision of 
the statutes of the Association. Since that resolu- 
tion invited all national commissions to submit 
their suggestions for revision, the U. S. National 
Commission has given careful consideration to the 
matter and, with the assistance of the Department 
of State, has recently (January 1954) sent to the 
Permanent Commission of Parca at Buenos Aires 
a proposed new draft of the statutes for review 
and comment by all of the other national com- 
missions. Final action is expected to be taken at 
the IX Congress in 1956, 

Two other resolutions adopted at the Congress 
related to the continuation of studies fundamental 
to the international, as well as national, develop- 
ment of American railway facilities. The Per- 
manent Commission of Parca was directed to con- 
tinue work on the compilation of a glossary of 
technical railway terms in Spanish and English. 
Such a glossary was deemed to be of vital impor- 
tance to the standardization of railway accounting 
and statistics as a basis for the measurement and 
comparison of relative results of operation at- 
tained by railroads in Latin America. The Per- 
manent Commission was also directed to continue 
studies designed to help American countries co- 
ordinate the international traffic of their railroads. 
The Commission was asked in this connection to 
give primary consideration to those studies relat- 
ing to (1) railroad connections of the same gage 
for the interchange of rolling stock, (2) railroad 
connections of different gage and other circum- 
stances which necessitate transfers, (3) currency 
exchange and customs formalities, as such opera- 
tions relate to international traffic, which can be 
regulated by common agreement between govern- 
ments, and (4) "the unification, if feasible, of rail- 
road legislation and regulations of the countries of 
the Americas as regards international traffic, pro- 
vided that where traffic is now or hereafter inter- 
changed between any two countries pursuant to 
private arrangements legal under the laws of the 
countries concerned, it is not the intention of 
this subparagraph to advocate changes in such 
arrangements." 

A resolution was also adopted by the Congress, 
upon the initiative of the Mexican delegation, re- 
questing the Inter-American Economic and So- 
cial Council to constitute an Interim Committee 
composed of specialized delegates from a small 
number of countries, for the purpose of studying 
the best methods of bringing about the coordina- 
tion of all the various forms of transport of the 
American Continent (railway, highway, water, 
and air). The Pan American Union was re- 
quested to provide appropriate secretariat facil- 
ities therefor. 



168 



Department of State Builetin 



THE DEPARTMENT 



Foreign Buildings Architectural 
Advisory Board Established 

Press release 15 dated January 14 

The Department of State is enlisting the ad- 
vice and assistance of outstanding American 
architects to serve on an Advisory Board to im- 
prove the methods and operation of the