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Full text of "Department of State bulletin"

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INDEX 




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VOLUME XXXI: Numbers 784-809 

July 5- December 27, 1954 



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INDEX 

Volume XX XI I Niimbor* 784-809, July S-Decembor 27, 1954 



Ahli' Nt'iiiiK'H, ciiMVi'iilloM on ('('I'lllli'iitliiii of. rillO 
Aili'iiiiiii'i', Koiiriiil : 

Aliltio Aiiii'rii'iiii Joliil ili'iiiinil loll on liili'i'inilloniil iiiiil 
(IMN, ll|l|HdVlll, IK) 

Kiii'<>|H-iiii iiiiiiiii, vii'WN. nri 

(Icriniiii iiNHclH III 11. S., «'l1'orlH lowniil rrrovcry, till. "27(1 
Iti'Hiltiilloii |ii'o);niiii I'll!' .Nii/.l vIrlliiiH. I'JII, I'JH 
KcNtoriilloii iiT Wi'Nl (ii'i'iiiiiii Novi<i'i>li;<it.V, vI<>\vh on niiil 

(IIni'iinhIiiiih Willi S(>i'r(>tiir.v HuIIi'n, 1:<, I.'II, III-J 
VImII to I'.H., Hliilciiii-nlN, (ISd. II.S'J 
.\r>;lmnlMliiii : 

Iti'lli'f Ntl|il>lli'N. U.S. iiKiroincnl I'or iliit.v free ciilry iiml 
<li>rniynii'nl of Inliind IninNporlnl Ion rliiii'K<'r<, '-'1'^ 
Slint'iy I'oiiM'Mllon of ll>i:(l. inotocol iililrnilliiK, I'Jd 
Afilrii (dec ii/»(i iiuliriiiiitil ritiinliifii) : 
('oiiiiiiiiiiInI llirciil to, -t, n, Ntl.'l 

.North Afrli-ii, U.S. Krciich ciiiiiiiiiiiiliiui' rfKiinlliiK, NIM 
Soiitli Wi'Nt Afrlfii, iiroliH-ol ri'Kiirilliii; niiri'ollc driiuM, 

71»;i 
I'.S. |>oll<y In, 5 

Wont .\fili-ii, fntnn- ri'liitloimlilii of tlolil Coiisl iind 
IIi-HIhIi 'I'oKoliinil, (IL> 
AkcIoii, Arthur A., liStl 
AKtfl'osxIoli, tli'llnltloii ; 
t'olilliilinlNl (Iclliillloii, IHII 
I'lopoNiilH In I'.N., N7I 
Akii'i'iiu'IiLh, Intrniiitloiiiil. Srr 'rifiilh'N, iiKirciiii'iilN, clr.. 

mill loiintiii or mibji'i't 
Ak:rli'iillui'iil Niir|i|iiNi'H, 11. S. : 

Aiirlriilliinil 'rriiilc 1 'i'\rlo|uiiciit ami AHNlHliiiu't' Art:' 
Kmm'|iII\(> iiriltM' (III iiiliiilnlNlrntloii of, iiiinoiiiiciMiii'iit 

hy Whito lliiiiNc iiiKl ti>\l, IIKS, Mil 
I.i>tlcrs ( l*MN<>iiliii\vi'r I to iiKi'ix'y hi'iiils iiiul ii|i|>oliit 

liiK cluilriiiiin of Inti'ViiKcncy I'oininllli'i', Mil 
I'ollcy Nliitciiii-nl ( lOlNoiihowrr), -IIM) 
SIkiiIiik. mIiiIi'iiii'IiI ( l':l^<l■nho^Vl'l'), KIFi 
Sliitcinciit III I'.N. (StniMH), (IL'.S 
llollvlii, KriliilH of food.shilTH, 'H)2 
Khmd ivlli'f : 10iin>iK>, 271. IIM); riiklMtiin, 21)5 
liitoniKfiicy ('oiniiiKtro on AKrlrnllnnil Sin|)liis His 

IMIHIll, MHI 
Jilimil, t'oiiiinodlly |iroKriiin for, 7ll(l 
Mlltllill scriirlty proKrilin, uni' In, Iltl, IISI 
AKrIi'iilliiriil 'rriidc I 'cvi'lopini'iil iind .\H.slstiinro .\ct. Svv 

mull I .\j;i IriiK iinil .Miirpliisi'H 
Acrli iilinn- ; 

AKi'U-ultiirc mid I'.S. fori-lKn polhy. iiddn's.-i (Morton), 

A|!rlcultiir(> Mild I'.S, fori'l^'ii liiidr, .sImIimhi'iiI (IOImi'ii- 

hoNvi-i), IHll 
Coopciiillvc pro.lcilH, iinrccincnl.s with 
t'oslii UU-ii, ii».-rlrnlliiriil rcsfiircli, (UK) 



.\Ki hull iiri- t'oiillniii'd 

( 'oopcnillvi' proJcclH, ii>;rc('inciils with ( 'oiillnni'd 
101 Siilviidor, di'M'Inpiiii'iit proKniiii, lifil, MO 
K\ Siilviidor, pnidiicllvlly, MO, KJH 
Mexico, MKrIriill iiii'. MO 
NIriiriiKilii, iiKi'lriilliii'i', 1N(t 
I'lxpci'liiii'lil proKniin In I'mi, iiKri'i'iiicnl tcrniliiiillnK 

tlin^ IIKI-I't'lliclil, Ml 
l''o<>t-iiti<l iiioiith (IIns'iinc, imri'i'iMi'iil wllh Mrxli'o for 
llniliicln^' Mi'Xh'o U.S. ( 'oiiiniJNNlon I'or |n'i'\ I'lilliik', 
,MI<) 
(lA'l"r pidvlNloiiN, review oT, iril), 77ri 
Inli'i'iiiil ioniil liiNlllnleor .AKi'h'lillnre, proloiol prov Id 
liiK I'or diNMoliillon Iind IrtiliNfer of fiini'lloiiN lo 
l''ood Mild .\Ki'ii nlliire OikmiiI'/.mMoii, '2M 
MlRriilory liihor, iiKreeineiil wllh Mexleo reKiirdliiK ree- 
oniiiiendiitloiiN of .luliil Ml^'inlor.v I.tilior CoiiiiiiIn- 
nIoii, ;il7 
Mlnriilory woiIu'In. lu^reeineiil with Mexico redilclliK 
iiilnliiiiini colli nict period, '.Til 

ritinl protection coiivciill iiilei'iiiilloiiMl. jril, lITO, !I7II 

.\li- liiiM'.s iihrond. •^'i c IIh.'^cn 
■VlrcrMl'l. iS'i'i- iiho .\vliilliin 

.Mrcriifl, HrlllHli coniineicliil, mid U.S. roHciie pliiiu^, 
iilliick hy Cliliic.se ( 'oiniiiiiiilslh : 
l^'pni'lincnl iiniioniiceiiieni, l!l(l 
I'oll.sh chiirnes of U.S. iitliick on niercliniit .slilp.s, U.S. 

rejection, lill 
SliilenientH: Dulles, UV,. IIMI; I.imIkc, SOT); Smith, ll):t 
U.S. pioleNtN. texts, IIHI, '.Ml 
AlrcrMft, U.S.: 

Chinese ('onimuiilsl iidiuk on rescue mission to Hrltlsh 

pliine. Si'f Alrcrnn, Itrlllsh 
Chinese Coininiinlsl iilliiiUs on U.S. uikI fori'lfjii pliines 

(11)50 M), Hlntoiiient, (I,<mIkc<), 505 
Cliliie.se Comtnuiilsl Imprlsonincnl of crew i>f II ■_".). .s'ci 

Prisoners of wiir, U.S. 
C/.ei'h MitaeU on (llir>:i), U.S. I'ormiil dlploinnlii- cliilin, 

.•tOL' 
lliiiiKMrliiii Mi'l/.iiri> of (' 17 mill crew ( 11)51), removHl of 

U.S. iippllcMlloii from ctileiiiliir of ICJ, l.'tO, III) 
Sovl<>t MtlMck on It 21) (11)52) oir llokkMldo, DepMrtmeiil 
Mimoiiiieeiiieiil reniirdlnt; iind US forniMl dlploniiillc 
i-hilni, .^7!l, .SI I 
Soviet mtticli (HI II W (llir>:i) ovi'i- Scu of .lupmi, U.S. 
formiil dlploniiillc cliilin, .sri7 

Soviet iillMcU on Niivy piiliol h her (Sept. 11)51) over 

Sen of Jiipiin : 
U.S. protest Hiid Soviet reply, ;UI-» 

U.S. niipeiil to Security Council, slMlemeiit (l.odKe), 
417 



Indax, July >o Doc«mb»r 1954 



1019 



Aircraft, U.S. — Continued 

Soviet attack on B-29 (Nov. 1054) in Holskaido area, 
U.S. protest and Soviet note, 811 
Albania, Independence Day, 862 
Aldrich, Winthrop W., 649 
Alexander, Hobert C, 286 
Algeria : 

Postal convention, universal, 283 

Telecommunication convention, international (1952), 
543 
All, Mohammed, 295, 606, 639 
Allen, George V., 788, 790 
Allied High Commission for Germany : 

Abolishment, declaration of intent (U.S., U.K., France), 

515 
Archives of, agreement concerning, 186 
Reorganization of German coal and iron and steel indus- 
tries, 654, 992 
Allied landings in Prance, 10th anniversary, 294 
Allison, John M., 492 

Almonds and filberts, import duty on, proclamation, 656 
American National Theatre and Academy (ANTA), par- 
ticipation in exchange program, 543 
American Republics. See Latin America and individual 

countries 
American Studies, Conference on, 3d, 147 
Amini, Dr. Ali, 231, 233 
Anderson, Samuel W., 219 
Anslinger, Harry J., 3(58 

ANTA, participation in exchange program, 543 
Antarctica, exchange of information between U.S., Ar- 
gentina, Chile, and U.K. on plans, 817 
ANZUS governments, joint statement on collective defense 

in Southeast Asia, 50 
Arab refugees: 

Admission to U.S., provisions for, 4.54 
Jordan Valley project, benefits to, 132 
U.S. aid, 9, 10, 11 
Arab States (sec aJso indiiidiial countries) : 

Arabian peninsula, impact of Western civilization on, 6 
Economic development, address (Gay), 8 
Egyptian-Israeli relations, correspondence (Celler, 

Dulles), 316 
Jordan-Israeli violence in Jerusalem, U.S. message, 48 
Jordan Valley project, progress toward acceptance of 

workable plan, 4, 12, 132 
U.S. technical and economic aid, 9, 10, 11 
Archeology, use of radioactive materials in dating dis- 
coveries, 610 
Areilza, Don Jos6 Maria, Count of Montrico, 734 
Argentina : 

Antarctic plans, 817 

Plant protection convention, international, 070 
Tung oil exports to U.S., restriction, 012 
Armaments (see also Atomic energy, international control 
of, (ind Disarmament) : 
Agency (of Western European Union) for Control of, 
creation, constitution, and functions, 517, 518, 724, 
726, 854 
Charter review, possible consideration of regulation of 

armaments, 298, 451, 741 
EDC provisions, 51 fin 

German agreement not to manufacture certain types, 
519, 725 

1020 



Armaments — Continued 

Production and standardization, nine-power resolution, 

729 
Protocol to Brussels treaty on control of, 725 (text), 
845, 854 
Armed forces (see also Military) : 

Claims for death and injury in air attacks. See 

Aircraft 
Commitments under Brussels treaty and NATO (see 
also North Atlantic Treaty Organization), state- 
ments: Canada (Pearson), .520, 526 (text) ; U.K. 
(see United Kingdom: Armed forces); U.S. 
(Dulles), 519, 523 (text), 845, 854 
Czech seizure and release of 7 U.S. soldiers, 91 
Formosa, U.S. forces in, 900, O.jO, 960, 997, 1001, 1003 
Germany, rearmament and withdrawal of occupation 
troops. See Rearmament and Sovereignty under 
Germany, Federal Republic of 
Japan, status of U.N. forces in, agreement regarding, 

38, 882 
Military cemetery in England, U.S., 110, 270 
Prisoners of war. See Prisoners of war 
Reduction in armed forces. See Disarmament 
SACEUR. See under North Atlantic Treaty Organi- 
zation 
U.N. contributions for collective security, 243, 278, 781, 

782 
Western European Union, strength, 724, 848, 853 
Armour, Norman, 466, 570 
Arms and munitions : 
Export. See Exports 

Shipment to Guatemala from Iron Curtain, 44. 46, 335 
Army mission agreement with Peru extending 1949 agree- 
ment, 186 
Art Exhibition, Cinematographic, XV International, U.S. 

representatives, 315 
Art objects, U.S. program for return to countries of origin, 

article (Hall), 493 
Asia, South Asia, and Southeast Asia (see also individual 
countries) : 
America's primary interests in, remarks (Smith), 191 
Collective security (.sec also Mutual defense treaties), 
question of overall Asian pact, statement (Dulles), 
898 
Collective security in Southeast Asia : 
Addresses and statements : Diumright, 573, 574 ; 
Dulles, 163, 391, 302, 431. 473: Eisenhower, 163, 678; 
Murphy, 5, 294; Smith, 101, 192 
Anglo-American statement, 40 
ANZUS statement, 50 

Manila Conference. See Manila Conference 
Manila Pact (Southeast Asia collective defense 

treaty). See Manila Pact 
Mutual security program in (see also Mutual security 
and assistance programs) : 
Continued need for, letter (Dulles to Wiley), 221 
Recommendations and ri'iioii to Congress (Eisen- 
hower), 30, 8S2 
I'aeilic Charter. Sec Pacilic Charter 
Communist aggression in Asia (see also Indochina and 
Korea ) , addresses, etc. : Dreier, 40 ; Dnnuright, .571 ; 
Dulles, 391, ;?92, 431, 893; Lodge, 32; Morton, 121; 
Muri)hy, 4, 790 ; Robertson, 259 ; Smith, 191 
Defense of Asia, address (Murphy), 790 

Department of Sfafe Bulletin 



Asia, South Asia, aiui Southeast Asia — ContlniiiHl 
Economic developinont : 
Address (Raldwiii), tUl) 
Colombo riaii. See Coli>iiil)o Plan 
U.S. policy: Article (Kalijarvl), 41.'5 ; statement 
(Dulles), 966 
French cooperation in, letter (Coty to Elsenhower), 14 
Problems in Far East, address (nruniriglit ), I")?! 
Soviet propaKanda charges against U.S., statement 
(.lackson), !>ri7 
Associated States, Indochina. See Cambodia; Laos; and 

Viet-Nam 
Asylum in U.S. to Polish seamen, 653, 982, 998, 999, 1001 
Atomic energy, international control of atomic energy and 
weapons (sec also Iiisarniamcnt ) : 
Address (Gruenther), ri(i4 

lirussels treaty provisions. See Brussels treaty 
EDC treaty provisions, .517 
German declaration at London Nine Power Conference, 

519, 725 
Soviet position, 18, 19, 213, 293, 400; correspondence 

with U.S. (Jan.-Sept. 19.54), 478 
U.S. efforts for, 18, 19, 292, 398 
Atomic energy, nuclear explosions : 
Marshall Islands. See Marshall Islands 
Soviet Union, 700 
Atomic energy, peaceful uses : 

Anglo-American joint statement and declaration on 

basic principles and technical cooperation, 49 
Atomic power plant at Shippenport, Pa., remarks 

(Eisenhower), 396, 975 
"Atoms for peace" (atomic pool plan). See "Atoms 

for peace" 
Latin America, visit of U.S. specialist, 301 
Stable isotopes, export, 59 
Technical conference, international : 
General Assembly agenda item, 474, 475 
Statements : Dulles, 976 ; Lodge, 749, 921, 923, 924 
U.X. resolutions, draft and approved, 745, 919 
".\toms for Peace" (atomic pool plan) : 

Anniversary of proposal, statements : Dulles, 975 ; 

Strauss, 076 
Atomic Energy Act, amenilment (19.54), statements: 
Dulles, 976 ; Eisenhower, upon enactment, 365 ; 
Ilotchkis, 134 ; Jackson, 831 ; Lodge, 829, 833 
Fissionable material, allocation by U.S. to other coun- 
tries, 836, 978 
General Assembly agenda item, U.S. request for, 474. 475 
International Atomic Energy Agency, preliminary plans 
for: 
Outline of agency, memorandum (Dulles toZaroubin), 

480 
Statements: Eisenhower, 396, 733; Jack.son, 830; 
Lodge, 742, 828, 832 
Negotiations with Soviet Union : 

Addresses, statements, etc. : Dulles, 273, 473, 474, 893, 
975; Elsenhower, 7.33; Hotchkis, 1.34; Jackson, 830; 
Key, 19; Lodge, 742. 749, 828, S32; Murphy, 292; 
Patterson, 176; Strauss, 229 
Doctunents exchanged, Jan.-Sept. 1954, texts, 478 



"Atoms for Peace" — Contituicd 

Uelationship of agency to U.N., 749, 828, 829, 833, 835, 

920, 924 
Scientitlc and industrial research and development, ad- 
dres.ses and statements: Conant, 607; Dulles, 475; 
Lodge, 733, 742 ; Strauss, 227, 976 
Statements in U.N. : Dulles, 473; Hotchkis, i;!4 ; Jack- 
son, 170; Lodge, 742, 475, 828, 8.32, 918; Patterson, 
176 
Training programs, U.S., 396, 475, 747, 748, 828, 8:11, 976 
U.N. resolutions, draft and approved, 745, 919; state- 
ment (Lodge), 918 
U.S. representative and special assistant for Interna- 
tional Atomic Energy Agency Negotiations, 882, 970 
Auerbach, Frank L., 452 
Australia : 

Collective defense in Southeast Asia : 
Announcement of conference on, 284m, 296n. 
ANZUS statement, 50 

Pacific Charter and Manila Pact, signature, 393, 39,5n, 
426, 431 
German external debts, agreement on, 882 
Lend-lease, reciprocal aid, surplus war property, and 
claims, agreement with U.S. amending 1949 agree- 
ment, 510 
Austria : 

Chancellor, visit to U.S., 910 

Economic progress, 910 

Five-power committee proposal, U.S. acceptance, 309 

Floods, U.S. aid, 165, 197, 271, 490, 540 

International Bank loan, 210 

Slavery convention of 1926, protocol amending, 283 

State treaty : 

Prospect for, U.S.-Austrian communlqiie and White 

House statement, 909 
Report to General Assembly on U.S., French, and 

P.ritish efforts since 1952 for treaty, 907 
Soviet position, 400, 472, 905 
U.S. position, 398, 472, 902 
U.S. citizens, claims of, 910 
U.S. export procedures, 309 
Authors, U.S., to attend International Congress of Writers 

in Brazil, 217 
Auto travel, international. See Customs 
Aviation (see alio Aircraft) : 
Air base agreement with Netherlands, 269 
Air route, U.S.-Scandinavian, via Greenland, agree- 
ments with Denmark, Norway, and Sweden for 
establishment, 251, 2.52 (text), 347, 410 
Air services transit agreement, international, 186 
Air transport agreement of 1944 with Spain, agreement 

amending, 149, 184 (text), 219 
Air transport agreements of 1944 and 1945 with Den- 
mark, Norway, and Sweden, agreements amending, 
251, 252 (text), 347 
Bombing range at Cuxhaven, agreement with Germany 

for u.se by U.S. Air Force, 466 
Distant Early Warning (DEW) system, U.S. and Can- 
ada, 539, 813, 891 
Exemption from certain German taxes of U.S. airline 
companies, agreement with Germany, 219 



Index, July to December 1954 



1021 



Aviation — Continued 

International civil aviation convention : 
Current actions, 4G6, 7i)3 

Protocols regarding sessions and permanent seat of 
International Civil Aviation Organization, 346, 543, 
882 
North Atlantic ocean stations agreement, 109, 254 
Pacific Ocean weather station program, agreement with 

Canada, 186 
Weather service for international civil aviation, article 
(Little), 824 

Baldwin, Charles F., 646, 882 

Bank for Reconstruction and Development. See Inter- 
national Bank 
Barbour, Walworth, 57(5 
Barley imports ; 

Effect on domestic price-supix)rt program. President's 

request for investigation, 340 
Limitation, exchange of notes with Canada and pro<-- 
laniation, 817 
Barnard, Chester I., 20 
Bases, military, on foreign soil : 
Address (Merchant), 329, 330 

Construction, charges of discrimination against U.S. 

industry and labor, letter refuting (Dulles), 249 

Indochina, provisions of final declaration of Geneva 

Conference, 164 
Libya, agreement with U.S. for, 218, 396, 752, 792 
Soviet opposition to, 18, 178. 182, 400, 401 
Battle Act, embargo list revisions, 372 
Battle Monuments Commission, 270 
Beaulac, Willard L., 235 
Becbboefer, Bernard G., 970 
Beef, jerked, termination of duty-free entry for Puerto 

Rican sale, 132 
Belgium : 

Atomic power reactor, negotiations with U.S., 396 
Mutual defense assistance agreement with U.S., agree- 
ment concerning facilities assistance program, 970 
Offshore procurement, agreements with U. S., 218, 466 
Patent rights and technical information, facilitation of 
interchange for defense purposes, agreement with 
U.S., 712, 752 
Sugar agreement, international, 386 
Bennett, W. Tapley, .Tr., 206 
Berlin, Germany : 

American Memorial Library, dedication, address and 

message (Conant, Dulles), 531 
Free University of Berlin, dedication of new buildings, 

13, 209 
Position of three powers in : 

Declaration of London Nine Power Conference, 521, 

852 
Statement by Foreign Ministers of U.S.. U.K., and 

France, 732, S07, 852 
Tripartite agreement on exercise of retained rights, 
731, 752, 848, &51 
U.S. economic aid, 909 
Berry, Burton Y., 73 

Bills of lading, international convention for unification of 
rules relating to, 10i> 



Bipartisan foreign policy: Address (Eisenhower), 359; 

statements (Dulles), 332, 808 
Bipartite Coal Control Group, exchange of notes relating 

to, 186 
Bishop, Max W., 754 
Black, Eugene R., 310, 311 
Blockade of Communist China, question of, statements: 

Dulles, 8SS : Eisenhower, 889 
Bloomfield, Lincoln P., 446 
Bohan, Merwin L., 535 
Bohlen, Charles E., 489, 966 
Bolivia : 
Relief supplies, U.S., agreement for duty-free entry and 
defrayment of inland transportation charges, 218 
Trade, international, 201 
U.S. aid, 202 

U.S. Ambassador, appointment, 714 
World Meteorological Organization, convention on, 109 
Bombing range, Cuxhaven, Germany. See Cuxhaven 
Bond, Niles W., 322 
Bonin Islands, 766 
Bonn communique (Sept. 17) on German sovereignty, 

434, 492 
Bonn conventions, 49, 129, 148, 160; amended by protocol 
on termination of occupation regime in Federal Re- 
public of Germany, 729, 848, 849, 850, 851 
Bonsai, Philip W., 435 
Boundary and Water Commission, U.S.-Mexican, U.S. 

commissioner, 22 
Brazil : 

Coffee production, 604 

International Exposition, 301 

Lend-lease obligation to U.S., final payment, 47 

OAS, support of, 118 

Treaties, agreements, etc. : 

Customs tariff, protocol modifying 1890 convention, 

751 
Industrial apprenticeship, agreement with U.S. ex- 
tending 1952 agreement on cooperative program, 
283 
Wheat agreement, international, agreement revising 
and renewing, 589 
British Guiana, U.S.-U.K. agreement for technical as- 
sistance in, 970 
British Togoland, future relationship to Gold Coast, 62 
Brittain, Rear Adm. T. B., 379 
Broadcasting : 

U.S.-Mexican discussions, 713 

Voice of America, opening of Washington studios, 963 
Brosio, Manlio, 555, 558 
Brown, 1st Lt. Warren G., 303 
Brownell, Herbert, .Tr., 272 
BrozTilo, Marslial .l.isii), ()13. til4 

Brussels meeting on EDC, statement (Dulles), and Brus- 
sels communique, 332 
Brussels treaty (1948) : , 

Extension and strengthening : 
Address (Merchant), 844, 845 
Final act and draft protocol of London Nine Power 

Conference, 516, 522 
Paris nine-power communique, 638 



1022 



Department of Sfafe Bulletin 



unisspis irt'ui.v (i;n5) — coiuiuuca 

Extension and stronfrtlieninK — Continued 

Protocols niul resolution of Paris conference: 

No. I : .MiidifyiiiR and completing the ISruasels 

treaty, 72.'!, 853 
No. II : Forces of Western European Union, 724, 853 
No. Ill : Control of armaments, 725, 845, 854 
No. IV: Agency (of Western European Union) for 

Control of Armaments, 726, 854 
Resolution on production and standardization of 
arniament.s. 729 
Statements on results of Nine Power Conferences, 
London and Paris (Dulles) , 519, 639 
Germany and Italy, accession to: 
Address (Merchant), 844 
Pocuments of Ix)ndon Nine Power Conference, 516, 

.-22, &-J8 
Documents of Paris Nine Power Conference, 722, 723, 
853 
Text, 528 
Brn.<!sels Treaty Organization. See Brussels treaty and 

Western European Union 
Bryan, Belton O.. 254 
Bulgaria : 

Anniversary of death of patriot, 490 
Geneva conventions on prisoners of war, etc. (1949), 254 
Postal convention, universal, 838 
Bulletin and Press Releases, Department of State, 25th 

anniversary of publication, 477 
Bullis, Harry A., 371 
Burma : 
Foreign forces in, evacuation, statement (Mahoney) 

and text of General Assembly resolution, 709 
GATT, second and third protocols of rectifications and 
modifications to texts of schedules, 751, 793 
Burt, Arthur L., 254 
Buy American Act, 651, 652 
Byelorussia : 

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

466 
Genocide convention, 466 
UNESCO, constitution of, signature, 149 

Cabinet Committee on Energy Supplies and Resources 

Policy, formation, 199 
Cabinet Committee on Mineral Policy, report to President, 

988 
Cabinet Committee on Telecommunications Policy and 

Organization, establishment, 778 
Cabot, John Moors, 697 
Cale, Edward G., 79, 600 
Calendar of international meetings, 60, 169, 343, 503, 

659, 870 
California, University of, assistance in Indonesian medi- 
cal program, 342 
Cambodia : 

Benefits under Manila Pact, 395, 432, 823 
Communist aggression in. See Indochina 
Independence, progress toward, 103, 164, 364, 534, 615 
Safety of life at sea convention, 149 
U.N. membership, question of, 788 
U.S. aid: 

French-U.S. talks and communiques, 491, 534, 804 

Index, July fo December 1954 



uunioouia — » oniinuea 
U. S. aid— Continued 

Plans for direct U.S. aid, 616, 736 
U.S. Ambassador: 
Confirmation, 322 

I'resentation of credentials. White House announce- 
ment and message to King, 615 
Canada : 

Address (Morton), 201 
Barley exports to U.S., limitation, 817 
Disarmament, iwsition on, 661, 6(54, (565 
Lalte Michigan, U.S. bill to control level of, protest, 540 
Nine Power Conference, London, statements on con- 
tinued support of NATO and Brussels Treaty or- 
ganization, .''>20, 526, 722 
North I'acific Fisheries Commission, 277 
Radar warning system (DEW), cooperation with U.S. 

in development, 539, 813, 891 
St. Lawrence Uiver power development project, launch- 
ing, message (Eisenhower), 267 
St. Lawrence seaway. See St. I.,awrence seaway 
Treaties, agreements, etc. : 

GATT, declaration regulating commercial relations 

between certain contracting parties and .Japan, 149 

Great Lakes fisheries convention with U.S., 465, 466 

NATO, status of NATO, national representatives, and 

international staff, agreement on, 426 
Niagara Falls remedial works, agreement with U.S. 

on costs of, .588, 590 
North Atlantic ocean stations agreement, 254 
Pacific Ocean weather station program, agreement 

with U.S. on operation, 186 
St. Lawrence seaway project, agreement with U.S. 
for construction of navigation facilities, 300, 347 
Sugar agreement, international, 218 
Telecommunication convention, international (1952), 
186 
Cancer research, use of radioactive products for, 227, 475, 

609, 744, 748 
Cannon, Cavendish W., 131 
Capital, private, investment abroad. See Investment of 

private capital 
Captive peoples, address (Dulles), 893 
Caracas Conference. See Inter-American Conference, 10th 
CARE, Austrian flood relief, 165 

Cargo preference principle in merchant shipping, U.S. 
proposed legislation, statement (Kalijarvi) and pro- 
tests by foreign countries, 63 
Caribbean Commission, 19th meeting, U.S. delegation and 

agenda items, 881 
Carpenter, Isaac W., .Jr., 73 
Carson, Frederick R., 286 
Casey, Richard G., 50 
Castle, Lewis G., 91, 463 

Cell Biology, 8th International Congress of, U.S. delega- 
tion and program, 346 
Celler, Rep. Emanuel, 316 

Cemetery, military, U.S., use of land in England, 110, 270 
Central American SUites, Organization of, 695 
Ceylon, International Bank loan, 58 
Chapultepec, Act of, 116 
Charter, U.N. See United Nations Charter 
Chiang Kai-shek, 895 

1023 



Chihuahua, Mexico, U.S. consulate closed, 73 
Children's Fund, U.N., statement (Lord), 1008 
Chile: 
Antarctic plans, 817 
Customs concessions on certain automobiles, agreement 

with U.S. extending 1949 provi.sional agreement, .38 
Housing program in Chile, cooperative, agreement with 

U.S., 186 
Trade, international, 201 
China, Communist : 
Aggression in Far East (see also Indochina ami Korea), 
addresses : Murphy, 799 ; Robertson, 259 ; Smith, 191 
Blockade, question of, statements : Dulles, 888, 890 ; 

Eisenhower, 889 
British airliner, attack on. See Aircraft, British 
Free world ships and aircraft, attacks on (19.50-54), 505 
Hostility to and propaganda against U.S., remarks : 

Jackson, 957 ; Smith, 193 
Offshore islands. See under China, Republic of 
Trade : 

East-West, 195 
Narcotic drugs, lOOD 
U.S. export policy, 372, 373, 377 
U.N. membership, question of: 

Addresses and statements : Dulles, 87, 477 ; Lodge, 

279, 507 ; Morton, 121, 158 ; Robertson, 262 
Soviet attempts for, 121, 401, 507m. 
U.S. airplanes on rescue mission to British plane, at- 
tack on. See Aircraft, British 
U.S. fliers, imprisonment. See Prisoners of war, U.S. 
U.S. prisoners of war in. See Prisoners of war, U.S. 
China, Republic of (see also Formosa) : 
Aggression, definition, resolution propo.sed in U.N., 874. 

875 
Foreign forces in Burma, aid in evacuation, 709 
Offshore Islands : 

Communist bombing, 958 
U.S. position, statements (Dulles), 896 
Polish ves.sels, interception, 983, 997 
Refugees, provisions for admission to U.S., 454 
Treaties, agreements, etc. ; 

Mutual defense treaty with U.S., signing : 
Joint statement, U.S. and China, 895 
Listed, 926 

Message from President Chiang, 895 
Statements: Dulles, 890, 898; Jackson, 060, 961; 

Yeh, 898 
Text, 899 
Opium, protocol regulating production, trade, and 

use of (19.53), 38 
Relief supplies, agreement with U.S. amending 1948 
agreement, 882 
Chou En-lai, 260, 202, 938, 951 ; statement on Formosa, 
958, 1000 ; on mutual .security treaty, U.S. and China, 
961 
Chuong, Tran Van, 296 
Churchill. Sir Winston : 

Anglo-American discu.s.sions on interimtional matters, 
joint statement and declaration, 49 (text), 148, 
149; ANZUS approval, 50; German approval, 90 
Quoted, 678 
Churchmen, Czech and Hungarian, temix)rary admission 
to U.S., 129 



Cinematographic Art Exhibition, XV International, U.S. 

representatives, 315 I 

Civil aviation. See Aviation ) 

Civil Aviation Organization. See International Civil I 

Aviation Organization 
Civilian jiersons in time of war, Geneva convention on 

protection of (1949), 72, 254, 466, 590 
Claims : 

Agreement with Australia amending 1949 agreement, 

510 
Aircraft destruction, claims for. See Aircraft, U.S. 
Foreign Claims Settlement Commission, 273 
German claims law, indemnification to victims of Nazi 

persecution, 127 
German vested assets in U.S., question of disposition: 
Letter (Eisenhower to Adenauer), 269 
Statement (Dulles) and letter (Dulles to Dirksen), 

69 
Statement (Adenauer, Eisenhower), 681 
Surplus property, agreement with Federal Republic of 
Germany for reduction of indebtedness of Federal 
Republic for certain claims under 1953 agreement, 
318, 347 
U.S. citizens in — ■ 
Austria, 910 
Cuba, 816 

Mexico, payment, 816 
U.S. nationals, claims against Germany and Japan, 69, 
70, 269, 681 
Clay, Henry J., 273 

Clothespins, retention of present import treatment, 990 
Clover seed imports, proclamation changing rate of duty, 

167 
Coal and Steel Community, European, 384, 412 
Coal industry, German, reorganization, 654, 992 
Coexistence with Communism : 

Communist interpretation, addresses: Dulles, 890; 

Murphy, 292; Robertson, 260 
Remarks (Smith) on television program, 194, 195 
Coffee prices, address (Cale), 604 
Cold war, 327, .'564 

Collective Measures Committee, U.N. : 
Report. 420; U.S. endorsement, 780 
U.S. working paper, statement (Wadsworth) and text, 
243 
CoIliH'tive security (sec also Mutual defense treaties) : 
Addresses: Dulles, 891, 892; Eisenhower, 676, 678; 

Lodge, 280; Morton, 150 
Asia. See under Asia 
Europe. See under Europe 

Latin America. See Organization of American States 
North America, 539, 813, 891 
Philippine-l'.S. Council, 14, 264, 296, 364 
Principles of collective security : 
Report of U.N. Collective Measures Committee, text 

and U.S. endorsement, 420, 780 
U.S. working paper submitted to U.N., statement 
(Wadsworth) ami text, 243 
U.N. action during 1953, 349 

U.N. Charter provisions, problem of review, 448 
U.N. contributions of armed forces, 243, 278, 781, 782 
Collins, J. Lawton, 777 



1024 



Department of Stale Bulletin 



Collisions at sea, regulations for preventinn, list of coun- 
tries accepting, 713 
Colombia : 

Housing, agreement with U.S. for cooperative program, 

543 
U.S. Air Force, Army, and Naval missions in, agreement 
with U.S. e.xteniiiug agreements on, 005 
Colombo rian : 

Addresses and statements: Dulles, 068; Lodge, 32; 

Murphy, 801 ; Waugh, G40 
U.S. delegation to (ith meeting of consultative commit- 
tee, 464 
Colonialism («('<' also Dependent areas), statement 

(Dulles), 392 
Columbus Day celebration, address (Dreier), 505 
Commerce Department, foreign-aid functions, 013 
Commercial relations, U.S. and other countries. See Eco- 
nomic ixilicy and relations, U.S. ; Tariff policy, U.S. ; 
Tariffs and trade, general agreement on; Trade; 
iind Trade agreements 
Commercial treaties. Sec Trade: Treaties 
Communications. See Telecommunication 
Communism (sec also China, Communist: and Soviet So- 
cialist Republics, Union of) : 
Asia, aggression in. See under Asia 
Co-existence with, question of, 194, 195, 260, 202, 890 
Dogma, origins, 52 

Europe, menace of communism in, 120, 159, 202, 203, 327 
Indochina, aggression in. See Indochina 
Korea, aggression in. See Korea 
Latin America, intervention in. See under Latin 

America 
Nationalism, exploitation of, 191, .334 
Polish seamen, defection of, 653, 982, 998, 999, 1001 
Propaganda techniques, addresses : Cabot, 697 ; Dulles, 
890, 892; Eisenhower, 359; Gruenther, 564; Mer- 
chant, 328 
Refugees from. See Refugees and displaced persons 
Threat to free world, addresses, statements, etc. : Dil- 
lon, 268; Dreier, 45; Dulles, 391, 392, 431, 433; 
Eisenhower, 888; Merchant, 750, 761, 843, 844, 845: 
Morton, 156; Robertson, 262; Saltzman, 402 
Underdeveloi}ed areas, .supervision in, U9:',, 411, S(M1, 801 
U.S. countermeasures (see alxo Mutual security and as- 
sistance programs), 36, 37 
Compulsory jurisdiction declaration of Statute of ICJ, 

72, 149 
Conant, James B. : 
Addresses : 

American Memorial Library, Berlin, dedication, 531 
Nuclear physics, 007 

Significance of London and Paris agreements, 805 
Tasks and Accomplishments of the Free World, 52 
Offer of aid to flood victims of East Germany, 240, 271 
Conferences and organizations, international (see also 
subject), calendar of meetings, 60, 169, 343, 503, 659, 
870 
Congress (see also Senate) : 

Bipartisan participation in foreign policy, 808 
Legislation : 

Atomic Energy Act {19.")4), statement (Eisenhower), 
upon enactment, 365 



Congress — Continued 

Legislation — Continued 

Foreign economic policy, 371 

Foreign i)olicy legislation, listed, 37, 71, 183, 222, 284, 

385, 690, 703 
Foreign Service, strengthening, 440, 444, 445, 571 
Pan American Highway, funds, 670 
Legislation, proposed : 

Assets in U.S. of enemy nationals, disposition, 69, 270 
Cargo preference principle in merchant shipping, 

statement (Kalijarvi), 63 
Mutual security, continued need for aid in Southeast 

Asia, letter (Dulles to Wiley), 221 
Pan American Highway funds, Guatemalan section, 

670 
U.S. customs, increased exemption for U.S. tourists, 
219 
Presidential messages. See Eisenhower : Messages, re- 
ports, and letters to Congress 
Consular convention and supplementary protocol with 

Ireland, 38 
Consular rights. See Friendship, commerce, and consular 

rights 
Consulates, U.S., closing, 37, 73, 426, 544 
Continental shelf, draft articles on, item for agenda of 

9th General Assembly, 422, 425 
Conventional Armaments Commission, U.N., 18 
Cook, Gen. Orval R., 567 
Copper, Chilean trade in, 201 

Copyright arrangement with India, reciprocal, 713, 788 
Copyright convention, universal, and protocols, 72, 466, 

713, 970 
Copyrights, German and Japanese in U.S., blocked, 70 
Costa Rica : 

Agricultural research in Costa Rica, agreement with 

U.S. for cooperative project, 630 
U.S. Ambass.-idor, appointment, .")44 
Cotton, Export-Import Bank credits to Japan for purchase 

of, 211, 242 
Coty, Ren6, 13 

Counterpart special account, agi-eement with Ireland gov- 
erning disposition of balance in, 72 
Cowles, Willard Bunce, 110 
Cruz Salazar, Lt. Col. Josi"' Luis, 296 

Crystallography, International Union of, 3d General As- 
sembly, U.S. delegation, 147 
Cuba: 

Economic relations with U.S., conversations, 815 
Treaties, agreements, etc. : 
GATT, reciuest for renegotiation of tariff concession 

on steel, 276 
GATT, second and third protocols of rectitieations 

and modifications to texts of schedules, 283 
Opium, protocol regulating production, trade, and use 

of (1953), 510 
Slavery convention of 1926, protocol amending, 186 
Telecommunication convention, international (1952), 
72 
U.S. citizens, claims, 816 
Cultural Council of GAS, Inter-American, U.S. representa- 
tive, 912 
Cultural property, convention and protocol for protection 
in event of armed conflict, 589 



Index, July to December J 954 



1025 



Cultural property, U.S. program for return to countries 

of origin, article ( Hall ) , 493 
Cultural relations, inter-American, convention for promo- 
tion of, 109 
Currency convertibility, 246, 548 
Customs (see also Tariff policy, U.S.) : 

Customs Formalities for the Temporary Importation of 
Private Road Vehicles and for Tourism, U.N. Con- 
ference on, article (Kelly), 92 
Treaties, agreements, etc. : 

Concessions by Chile on certain automobiles, agree- 
ment with Chile extending 1949 agreement, 38 
Customs tariffs, protocol modifying 1800 convention 
on creation of International Union for Publication 
of Customs Tariffs, 283, 751 
Belief supplies, U.S., agreement for dut.v-free entry 
with Afghanistan, 218; Bolivia, 218; Egypt, 793; 
Honduras, 630; Jordan, 150; Liberia, 630; Peru, 
970 ; Viet-Nam, 510 
Road vehicles, customs convention on the temiwrary 

importation of, 93, 218 
Touring, convention concerning customs facilities for, 
94, 218 
U.S. customs, simplification : 

Increased exemption for U.S. tourists, proposed, state- 
ment (Anderson), 219 
Invoice requirements, 779 
Statement (Humphrey), 866 
Cuxhaven, Germany, practice bombing range : 
Agreement, U.S.-Germany. amending 1952 agreement, 

793 
Agreement, U.S.-Germany, permitting use by U.S. Air 

Force stationed in U.K., 466 
Agreement, U.S.-U.K., relating to claims arising from 
use, 590 
Czechoslovakia : 

Churchmen, temporary admission to U.S., 129 

Floods, U.S. aid, 309, 969 

Propaganda, draft resolution in U.N., 957?i 

U.S. aircraft, attack on (1953), U.S. formal rtiplomatic 

claim, 302 
U.S. soldiers, seizure and release, 91 

Dacca, Pakistan : 
U.S. consulate, closing, 426 
U.S. flood relief, 295, 338 
Davies, John Paton, Jr., determination in security case 

of, statement (Dulles), 752 
Debts, German external, agreements on. See External 

debts 
Defense, national. See National defense 
Defense Department, foreign-aid functions, Executive 

order, 913 
Denmark : 
Air route, U.S.-Scandinavian, via Greenland, agreement 
with U.S. on establishment, 251, 252 (text), 347, 410 
Air tninsport agreement of 1944 with U.S., agreement 

amending, 2.'')1, 252 (text), .•{47 
Imports from dollar area, relaxation of roslrictiuns, 990 
Opium, protocol regulating production, trade, and use 

of (1953), 347 
U.S. economic ami political relationships, 409 



Denmark — Continued 

U.S. proposed cargo preference legislation, aide- 
memoire protesting, 66 
Dependent areas {see also Colonialism and Trust terri- 
tories) : 
U.N. responsibilities, 450; action during 1953, 348, 352 
U.S. position, 348, 451 
Development assistance agreement with Egypt, 838 
Development assistance agreement with Guatemala, 985, 

995 
Devers, Gen. Jacob L., 294 
DEW (Distant Early Warning Line), U.S. and Canada, 

539, 813, 891 
Diem, Ngo Dinh, 337 
Dien-Bien-Phu : 

U.S. airlift of wounded French forces, 165 
U.S. citation of French nurse, 209 
Dillon, Douglas, 159, 268 
Dillon, James H., 249, 250 
Diplomatic relations, U.S. and Honduras, reestablished, 

985 
Diplomatic representatives, U.S., abroad. See Foreign 

Service 
Diplomatic representatives in U.S., presentations of cre- 
dentials: Greece, 956; Guatemala, 296; Libya, 14; 
Rumania, 956; South Africa, 645; Spain, 734; Viet- 
Nam, 296 
Disarmament {see also Armaments and Atomic energy, 
international control of) : 
Anglo-American declaration, 49 
London Disarmament Subcommittee talks : 
Address (Key), 17 
Results : 
Addresses and statements : Dulles, 476 ; Patterson, 

171, 214 ; Wadsworth, 621, 622 
Soviet proposals, 174, 177, 182 
Text of subcommittee report, 177 
U.K.-French memorandum, 174, 182 
U.K. memorandum, 178 

U.S. working paper on control organ, 173, 179 
Savings from disarmament, proposed diversion to U.N. 

economic development fund, 281, 350, 676 
Soviet position : 

Addresses, statements, etc., regarding: Dulles, 476; 
Hotchkis, 134; Key, 18; Lodge, 619; Murphy, 292, 
293 ; Patterson, 213 ; Wadsworth, 660 
Proposals at London, 174, 177, 182 
Proposals in U.N., text of draft resolution (Sept. 30), 
625 
U.N. debate on proposed resolutions: 

Statements: Lodge, 619; Wadsworth, 620, 660, 750 
Text of General Assembly resolution, 604, 750, 750» 
U.S. position, 17, IS, 19, 292, .398. 020, 780 
Disarmament and Atomic Development Authority, U.N., 

U.S. proposal for establishment, 179 
Disarmament Commission, U.N. : 
Doi'unioiils listed, 550 

Ix)ndon siibiiminnttce talks. See under Disarmament 
Displaced persons. Sec Refugees and displaced persons 
Distant Early Warning (DEW) system, U.S. and Canada, 

development, 539, 813, 891 
Dotlgo, .loseph M., 907, 987 



1026 



Department of Stale Bulletin 



Domestic Jurisdiction, question of competence of U.N. : 
Indians in South Africa, treatment of, 785 
Problems of Charter review, 298, 451, 740 
Dominican Reputilic: 

GATT. third protocol of rectifications and niodiflcations 

to texts of schedules, 751 
Teleconimuniciitiou ciuiventioii, international, and final 
and additional proto<>ols (19.'i2), 3S6 
Double taxation, convention for avoidance of, with — 
Germany, income, 184, 219, 347, 544 
Greece, estates of deceased persons, agreement to cor- 
rect errors in 1950 convention, 510 
Honduras, income, proiX)sed aRreement, 386 
U.K., Income, supplementary protocol amending 1945 
convention, ."{47, 713 
Dreier, John C, 45, 435, 595 
Drew, Gerald A., 714 

Drugs, potent {see also Narcotic drugs), protocol for 
termination of agreement for unification of formulas, 
283 
Drugs, synthetic, protocol (194S), 1009 
Drumright, Everett F., 571, 644 
Dulles, John Foster : 

Addresses, statements, etc. : 
Albanian Independence Day, 862 
Atomic energy, peaceful uses, 831 
Atomic energy control, 473 

Atomic energy talks with Soviet Union, status, 273 
"Atoms for peace," anniversary of President's pro- 
posal, 975 
Austrian Chancellor, visit to U.S., 910 
Austrian state treaty, 910 
bipartisanship in foreign policy, 332, 808 
Blockade of Communist China, question of, 888, 890 
British airliner and U.S. rescue planes, Chinese Com- 
munist attack on, 165, 196 
Charter review, 19, 20, 476 
EDC, French rejection, 363 

EDC treaty, French position at Brussels meeting, 332 
Davies (John Paton) case, determination in, 752 
European security, Soviet conference proposal, 807 
European unity, 472 

Foreign Bondholders Protective Council, work of, 969 
Foreign policy, goal of, 890 
Foreign policy, informed public opinion and flexibility 

of, 808 
Foreign Service officers, memorial to, rededication. 637 
Foreign Service personnel, awards for meritorious 

service, 635 
Four-power conference, possibility of (in 1955), 965 
Friendship, commerce, and consular rights, treaty 

with Federal Republic of Germany, signing, 682 
General Assembly, 9th, opening, 471 
German and Japanese assets in U.S., pre-war, dis- 
position, 69 
German sovereignty, 13 
German unification, 472 
"Good partner" policy, 267, 893 
Guatemala, Communist intervention in, 43 
Guatemala, question of recognition, 83, 88 
Indochina, Paris consultations, 123 
Indochina, settlement at Geneva, 163 
International communism, 335 



Dulles, John Foster — Continued 
Addresses, statements, etc. — Continued 

Iran, oil agreement, 230 

Japanese economic position, 264 

Korean unification, 472 

Latvian Indeix^ndence Day, 812 

Lend-lease payment by Brazil, 48 

Manila Conference, upon departure for, 364 

Manila Pact, 431 

Mutual defense treaty with China, signing, 895, 896, 
898 

Nine Power Conference, London, departure for, 489 

Nine Power Conference, London, results, 519 

Nine Power Conference, London, U.S. position on 
military commitments for European defense, 523 

Nine I'ower Conference, Paris, upon departure for, 
638 

North Atlantic Council meeting, upon departure for, 
981 

Pacific Charter, 431 

Philippine-U.S. Council meeting, upon departure for, 
364 

Rumania, Communist suppression, 339 

Southeast Asia, collective defense, 50, 163, 364, 391, 
392, 431, 473 

State Department personnel, awards for meritorious 
service, 6S5 

State Department personnel, integration program, 444 

Suez Canal base, Anglo-Egyptian agreements, 198, 734 

Trieste, Free Territory of, conclusion of four-power 
agreement, 556, 561 

Underdeveloped areas, economic aid to, 966 

Under Secretary Walter Bedell Smith, resignation, 
307 

United Nations, question of Chinese Communist mem- 
bership, 87 

United Nations Day, 702 

Voice of America, opening of Washington studios, 965 
Administrative actions : 

Assignment of Director General of Foreign Service, 73 

Functions and authorities of Department officers, 285 

State Department personnel integration program, 444, 
570 
Correspondence, messages, reports, etc.: 

Atomic energy pool, correspondence with Soviet oflS- 
cials, 478, 479, 480, 484 

Berlin, American Memorial Library, upon dedication, 
533 

Berlin, Free University of, upon dedication of library, 
13 

German and Japanese assets in U.S., pre-war, dis- 
position, letter to Senator Dirksen, 69 

Germany, protocols on termination of occupation re- 
gime and accession to NATO, report to President 
for transmittal to Senate, 849 

Germany, sovereignty, letters to Senator Wiley and 
Representative Chiperfield, 148 

Iranian oil agreement, messages to British Foreign 
Secretary; Herbert Hoover, Jr.; Iranian officials 
and reply ; and U.S. Ambassador to Iran, 231, 232, 
267 

London and Paris Nine Power Conferences on Euro- 
pean Security, report to President and Cabinet, 677 



Index, July to December 1954 



1027 



Dulles, John Poster — Continued 

Correspondence, messages, reports, etc. — Continued 

Mutual security legislation, continued need for funds 
for Southeast Asia, letter to Senator Wiley, 221 

Overseas construction and offshore procurement, let- 
ter to Senator Hayden refuting charges regarding, 
249 

Southeast Asia collective defense treaty (Manila 
Pact), report to President for transmittal to Senate, 
820 

Suez Canal base agreement, messages to British and 
Egyptian oflBcials, 234 
Discussions and meetings (see also subject) : 

Anglo-American meetings on international situation, 
49 

Consultations at White House on agreements regard- 
ing Germany, 733 

Japanese Prime Minister, discussions with, 765 

U.S.-Philippine Council, 264, 364 

East- West trade: 

Embargo lists, revisions, 372 
Statement (Hotchkis), 247 
Economic Advisory Group, U.S., for Formosa, 242 
Economic aid to foreign countries. See Agricultural sur- 
pluses : Colombo I'lan ; Economic policy and relations, 
U.S. ; Export-Import Bank ; International Bank ; Mu- 
tual security and assistance programs ; Underdevel- 
oped countries ; and United Nations : Technical as- 
sistance program 
Economic and Social Council, Inter-American. See Fi- 
nance or Economy, Meeting of Ministers of 
Economic and Social Council, U.N. : 

Commission on Status of Women, 8th session, 23 
Documents, listed, 15, 150, 465 
Eighteenth session, U.S. delegation, 33 
Report of, statement of U.S. views on (Lord), 1008 
Trade, international, resolutions on, 247, 248n 
Economic conference at Rio de Janeiro. See Finance or 

Economy, ftleeting of Ministers of 
Economic development, international financing, 280, 626, 

813, 868 
Economic development and political evolution in Asia, 

address (Baldwin), 646 
Economic Development Fund, U.N., proposed, 280 
Economic policv and relations, U.S. ( .« c iil.so iiidiridun! 
countries) : 
Aid to foreign countries (see also Agricultural sur- 
pluses; Export-Import Bank; and Mutual security 
and assistance programs) : 
Role of government, U.S. conception, 416 
U.S. programs, statement (Hotchkis), 282 
CooiK'ration with — 

Latin America. See I^atln America 
Underdeveloped areas (.see itlno Mutual security and 
assistance programs), statement (Dulles), 966 
Domestic economy and world sUu:ili<in, siiilenicnl 

(Hotchkis), i:!3 
Foreign economic policy : 

CorrespfHideiice (P.ullis, Eisenhower), 371 
Council on, established, 987 

Foreign e<-onomic policy and national security, ar- 
ticle (Kalijarvl), 409 



Economic policy and relations, U.S. — Continued 
Foreign economic policy — Continued 

Foreign economic policy as related to agriculture 
Address (Morton), 200; statement (Eisenhower) 
499 
Randall Commission, shipping recommendations, 66 
67, 68 
Talks with Yugoslavia, joint communique, 869 
Trade policy. See Tariff policy, U.S., and Trade 
Economic situation, world, and the U.S., statemen 

(Hotchkis), 133 
Economic, .social, and cultural collaboration and collectiv( 

self-defense, treaty of. See Brussels treaty 
Ecuador : 

Export-Import Bank loan, 211 

Peruvian boundary dispute, settlement, communique o 

guarantor states, 84 
Treaties, agreements, etc. : 

Civil Aviation convention, international, 466 
Geneva conventions on prisoners of war, etc. (1948) 

466 
Industrial service, agreement with U.S. for coopera 

live program, 186 
Slavery convention of 1926, protocol amending, 54: 
U.S. Ambassador, confirmation, 110 
Eden, Sir Anthony : 

Brussels treaty, concept of enlargement, 844 

German sovereignty, restoration of, disaissions witt 

Secretary Dulles, 434 
Indochina, Paris consultations, 123 
Iran, oil agreement, message to Secretary Dulles, 231 
Military commitments in Europe, British, statement at 
London Nine Power Conference, 519, 520, 525 
(text), 681, 722, 805, 845 
Suez Canal base agreement with Egypt, exchange of 

messages with Secretary Dulles, 234 
U.S. fliers, trial and sentence by Communist China, 

statement, 945 
Visit to Washington, 49 
Edinburgh Film Festival. 8th, U.S. delegation, 315 
Education, agreements regarding, U.S. and — 
Greece, amending 1948 agreement, 186 
Haiti, for cooperative program in rural education, 283 
Mexico, for survey of technical education activities and 
needs. 283 
Education, I'ublic, 17th International Conference on, U.S. 

delegation, 33 
Education and Small Scale Farming in Relation to Com- 
munity Development, Technical Conference on, U.S. 
delegation and agenda, 589 
Educational Commission, U.S., agreement with U.K. for 

additional funds from U.K. for oi>eration, 110 
Educational Exchange, U.S. Advisory Commission on, 

memlK'rship, 59 
Educational exrliange program, international: 

Agreement with France amending 1948 agreement, 149 
Agreement with Italy for linancing, 386 
ANTA, participation, 543 
Conference on American Studies, 3d, 147 
Exchange with Latin America, 207 
Educational, Scientilic, and t'ultural Organization, U.N. : 
Constitution of, 149 
General Conference, 8th session, U.S. delegation, 837 



1028 



Department of State Bulletin 



Egypt: 

Israeli rplntioiis. correspondence (Celler, Dulles), 316 
Keclanintion project, I'.S. aid, 233 
Treaties, aKreemciits, etc.: 

Development assistance, nKrecment with U.S., 838 
Relief supplies, U.S., agreement for duty-free entry 
and defrayment of inland transportation charges, 
793 
Safety of life at sea convention, 347 
) Slavery convention of IDL'ti, protocol amending, !(>!>, 

670 
; Suez Canal base, agreement with U.K. See Suez 

Canal base 
I'.S. consular oflBces in, 86 
U.S. technical aid, 10 
.Egypt-American Rural Improvement Service, 10, 233 
Einaudi, Luigi, 613, 614 
Eisenhower, Dwight D. : 
Addresses, statements, etc. : 
Agricultural Trade Development and Assistance Act, 

signing, 165 
Anglo-American discussions on international situa- 
tion, joint statement and declaration, 49 (text), 
8 149 ; AXZUS approval, 50 ; German approval, 90 

Atomic energy, peaceful use, 306 
Atomic Energy Act (1954), upon enactment, 365 
"Atoms for peace" program, progress, 733 
I "Atoms for peace" proposals, quoted, 742, 830, 832 
Awards for meritorious service by State Department 

and Foreign Service i)ersonneI, 636, 765 
Blockade of Communist China, question of, 8S9 
Christmas tree lighting ceremony, 980 
Collective defense in Southeast Asia, 163 
EDC, French rejection, 363 
Flood relief, Europe, 197 
Foreign policy, principles, 359 
Foreign trade as related to agriculture, 499 
Indochina settlement in Geneva, U.S. position, 163 
Japanese and U.S. efforts for peace and prosperity in 

Asia, 765 
Korea, joint statement with President Rhee on failure 

of Geneva Conference and future intentions, 197 
Lake Michigan, veto of bill to control level of, 539 
National Security Council meeting, 433 
Peace in Freedom, 675 
Philippine aid, 771 

Prisoners of war, U.S., in Communist China, 887 
Trout-labeling bill, veto message, 462 
Citation of French nurse, 209 
Correspondence, messages, etc. : 
Agricultural Trade Development and Assistance Act, 

administration, 500 
Allied landings in France, 10th anniversary, 294 
American Society for Friendship with Switzerland, 

843 
Barley and oats imports, request for investigation of 

effect on price-support program, 340 
Cambodia, upon presentation of credentials of first 

resident U.S. Ambassador, 615 
Clothespins, retention of present import treatment, 
990 

Index, July to December 1954 



Elsenhower, Dwight D. — Continued 

Correspondence, messages, etc. — Continued 

Dodge, .Joseph M., designation as Special Assistant to 

the President and Chairman of Council on Foreign 

Economic Policy, 987 
Foreign-aid programs, memorandum to agency beads, 

913 
GATT, 9th session of Contracting Parties, 774 
Glas-sware, hand-blown, retention of present duty on, 

460 
Fish imports, retention of present duty on, 166 
Foreign economic policy, administration position, 371 
German assets in U.S., correspondence with Chan- 
cellor Adenauer, 269 
Hurricane damage in U.S., reply to Iranian message, 

491 
Independence Day ceremonies in Philadelphia, 84 
International Bank and Monetary Fund, joint session 

of Boards of Governors, 549 
International Geophysical Year, support of, 20 
Iran, oil agreement, letters to Shahinshah and reply, 

to Herbert Hoover, Jr., and to U.S. Ambassador, 

230, 266 
Italy, upon conclusion of Trieste agreement, 613 
Memorial to Foreign Service officers, rededication, 

638 
Mexico, floods along Rio Grande, 84 
Ministers of Finance or Economy, Meeting of, 863 
Puerto Rico, 2d anniversary of Commonwealth, 205, 

206 
Refugee relief program, letter to State Governors 

urging local committees, 239 
St. Lawrence jiower project, launching, 267 
Stockpiling program, lead and zinc, 339 
Under Secretary Walter Bedell South, resignation, 

306 
Viet-Nam, U.S. direct aid, 735 

Yugoslavia, upon conclusion of Trieste agreement, 614 
Directives : 

Flood relief for Europe, 271 
Flood relief for Pakistan, 295 
Protection of cultural property, 495 
Executive orders. See Executive orders 
"Good partner" policy, 267, 291, 360, 893, 984 
Messages, reports, and letters to Congress: 
Economic report (Jan. 1954), quoted, 136 
Germany, protocols on termination of occui)ation re- 
gime and accession to NATO, transmittal to Senate, 

847 
Mutual security program, recommendations, 35 
Mutual security program, report (Jan. 1-June 30, 

1954), 381 
Southeast Asia collective defense treaty, transmittal 

to Senate, 810 
Proclamations. See Proclamations 
Eisenhower, Milton, 207, 209, 537, 538 
Elbrick, C. Burke, 987 

Electrotechnical Commission, International, golden jubi- 
lee, 402 
El-Kekhia, Dr. Mansour Fethi, credentials as Libyan Min- 
ister to U.S., 14 

1029 



El Salvador : 

Agriculture, agreement with U.S. for cooperative pro- 
gram of agricultural development, 254, 510 
Agriculture, agreement with U.S. for cooperative pro- 
gram of productivity, 510, 838 
Efforts to counter Communist activities in Central 

America, 695 
International Bank loan, 655 
U.S. Ambassador, appointment, 544 
U.S. Army mission, agreement with U.S. for, 590 
Ely, Gen. Paul, 491 

Embargo lists, Battle Act and international, revisions, 372 
Energy Supplies and Resources Policy, Cabinet Committee 

on, 199 
Engineering, developmental, agreement with Mexico pro- 
viding for a cooperative project, 109 
Entezam, AhdoUah, 230, 267 

Eritrea, U.S. technical cooperation in, agreement for, 254 
Escapees. See Refugees and displaced persons 
Establishment, treaty with Greece, 670 
Estates of deceased persons, avoidance of double taxation, 
agreement with Greece to correct errors in lOoO con- 
vention, 510 
Ethiopia : 

International civil aviation convention, protocols re- 
garding sessions and permanent seat of Interna- 
tional Civil Aviation Organization, 882 
Public health joint fund agreement of 1953, agreement 

with U.S. amending, 793 
Somaliland, boundary dispute, 34 
Technical cooperation, U.S., agreements for, 254 
Europe {see also indiiHdtial countries) : 

Anglo-American joint statement on policy in Western 

Europe, 49 
Collective security (see also Brussels treaty; European 
Defense Community treaty; Nine Power Confer- 
ence, London ; Nine Power Conference, Paris ; 
North Atlantic Treaty Organization; and Western 
European Union) : 
Defense of Europe, addresses : Gruenther, 562 : Mor- 
ton, 120, 202, 203 
French position, 14 

Progress toward, address (Merchant), 843 
Soviet proposals for conference on, 401, 402, 807, 845, 

846, 905, 906 
U.S. and Soviet notes and statements: .Tuly 24 (So- 
viet), 398; Aug. 4 (Soviet), 402; Sept. 10 (U.S.), 
397; Oct. 23 (Soviet), 902; Nov. 13 (Soviet), 905; 
Nov. 16 (U.S.), 807; Nov. 29 (U.S.), 901 
Doctors, FOA program for graduate study in U.S., 343 
Floods, U.S. aid, 165, 197, 240, 271, 9G9 
Mutual security program in, report (Eisenhower), 382 
Offshore procurement program in, statement (Cook), 

567 
Our European Allies, relations with, address (Mer- 
chant), 327 
Refugees. See Refugees and displaced persons 
Self-detennination in, address (Barbour), 578 
Trade with U.S., 203 
Unity : 

Addresses: Conant, .54; Dulles, 472 
U.S.-French comu)unique, 804 

1030 



Europe (see also individual countries) — Continued 
U.S. aid, 36, 343, 382, 969 

U.S. armed forces in, statement of U.S. position fol- 
lowing rejection of EDC (Dulles), 519, 523 (text), 
845, 855 
U.S. policy toward, address (Dillon), 159 
U.S. political and economic relations, article (Kali- 
jarvi), 412 
European Coal and Steel Community, 384, 412 
European Defense Community treaty : 

Brussels meeting of Foreign Ministers of signatory 
states : 
French position, statement (Dulles), 332 
Text of communique, 332 
Ratification, efforts for and failure of: 

Addresses : Conant, 55 ; Dillon, 160, 161 ; Morton, 120 
Anglo-American joint statement, 49 
Exchange of views (Adenauer, Dulles), 13 
Letters (Dulles to Wiley and Chiperfield). 148 
JIutual security program report, 381 
Rejection by France, addresses, statements, etc : 
Dulles, 363, 434, 435, 850 ; Eisenhower, 363 ; Gruen- 
ther, 563 
Replacement by new system (see also Brussels treaty; 
North Atlantic Treaty Organization ; and Western 
European Union) : Address (Merchant), 844; state- 
ment (Dulles), 519 
Soviet position on, 399 

Weapons, provisions of art. 107, annexes I and II, 516» 
European Migration, Intergovernmental Committee for, 
Sth session, U.S. delegation and draft provisional 
agenda, 880 
European treaty for collective security, Soviet proposals 
for. See Europe : Collective security, U. S. and So- 
viet notes 
Exchange program. See Educational exchange program 
Executive agreements. See Treaties, agreements, etc., 

and country or subject 
Executive orders : 

Agricultural Trade Development and Assistance Act, 

administration, 498 
Foreign-aid programs, administration, 913, 914 
International Organizations Employees' Loyalty Board, 

establishment, 21 
Security requirements for Government employment, 752, 
753 
Bxiwrt-Import Bank : 
Dividend declared, 59 

Loans to : Bolivia, 202 ; Ecuador, 211 ; Iran, proposed, 
776; Japan, 211, 242; Latin American countries, 
79, 82, 83, 687, 688, 689, 807 ; Mexico, 779 ; Middle 
East countries, 9; Paraguay, 463; Pliilippiues, 212 
Role in development field, statements : Humphrey, 868 ; 
Straus, 628 
Exports, U.S. (see also Trade) : 

Austria, strategic goods to, procedures, 309 
Battle Act embargo list revisions, 372 
Dependence on imixirts, 050 

Hong Kong, relaxation of license requirements for, 492 
Indochina Communist-controlled areas, suspension of 
licenses for, 212 

Deparfment of Slate Bullelin 



Kxporta, I'.S, («cc uZso Trade) — Coutinued 
License requirements, relaxation for eertaiu commodi- 
ties, LM3. 377 
Munitions, licensing, "J17 
Positive List of Commodities, revision, 377 
Security controls, announcement of new policies 

(Weelis), 373 
Stable isotopes, availability for export, .">!• 
Fxproiiilatitm of U.S. proiHTty, investment Knaranty 

proL'ram, U.S. -Thai apreemi'nt, 4t>4 
Kxternal debts, Herman, administrative agreement eon- 
cernin;: Arbitral Tribunal and Mixed Commission 
under 1053 agreement, signed, 995 
External debts, German, agreement on (1953), 218, 510, 
882 

Far East (sec also indiriditnl roMjiYnV.s) : 
Communist aggression in, addresses : Morton, 121 ; Rob- 
ertson, 259 
Foreign Kclations volumes on, published, 73, .544, 1013 
Mutual security program in, report (Eisenhower), 382 
Neutralism in, address (Murphy), S()0 
Problems in, address (Drumright), 571 
Farm surpluses. See Agricultural surpluses 
Farming ( Small Scale) and Education in Relation to 
Community Development, Technical Conference on, 
589 
Faulkner report on oil pollution of seas and coasts, 312 
Faure, Edgar, 491, 534 
Fawzi, Mahmoud, 234 
Felchlin, Lt. Col. II., 90 
Fermi, Enrico, 607, 608: death, 976 
Field, Hermann and Herta and Noel, U.S. request for 

repatriation, notes to Hungary and Poland, 586 
Figs, dried, imports: 

Tariff Commission report, 463 
Trade agreement negotiations, 767 
Film Festival. Edinburgh, Sth, U.S. delegation, 315 
Finance Corp., International, proposed, 813, 868 
Finance or Economy, Meeting of Ministers of : 
Preparations, addresses: Bohan, 537; Cale, 83 
Preview of U.S. position, address (Holland), 684 
Statement (Hoover), upon departure, 812 
Statement and message at meeting (Eisenhower, Hum- 
phrey), 863 
Text of final declaration and statement (Hoover) on 

results, 084 
U.S. delegation, 837 
Fine, Gov. John, 124 
Finland : 
Commercial samples and advertising material, inter- 
national convention to facilitate, 38 
U.S. Ambassador, appointnieut, 426, 466 
U.S. legation raised to embassy, 426 
U.S. proposed cargo preference legislation, aide- 
memoire protesting, 68 
Fish products, question of import duty and quotas, 166, 

767 
Fisheries : 
Economic development and conservation and regulation, 
item for agenda of 9th General Assembly, 422, 425 
Great Lakes fisheries convention with Canada, 465, 466 

Index, July to December 1954 



Fisheries — Continued 

North Pacific Fisheries Commission, International, 277 
Five-power committee, U.S. acceptance of Austrian pro- 
posal for, 309 
Floods : 
Austria, U.S. aid, message of appreciation, 540 
Czechoslovakia, U.S. aid, 309, 069 
Europe, U.S. aid, 165, 197. 240, 271, 490, 969 
Italy, U.S. aid, 777 

Mexico, U.S. message of sympathy, 84 
Nepal, U.S. aid, 615 
Pakistan, U.S. aid, 29.5, 338, 347 
Yugoslavia, U.S. aid, 338 
FOA. See Foreign Operations Administration 
Food and Agriculture Organization, U.N., protocol pro- 
viding for transfer of functions from International 
Institute of Agriculture to, 254 
Foot-and-mouth disease, -Mexieo-U.S. Commission for 
prevention, agreement for financing operations, 590 
Forced labor, U.N. action during 1953, .3.51 
Foreign aid. See Agricultural surpluses; Economic pol- 
icy and relations, U.S.; Mutual security and assist- 
ance programs ; Refugees and displaced persons ; 
Underdeveloped countries ; United Nations : Techni- 
cal assistance program ; and individual countries 
Foreign Bondholders Protective Council, meeting with 

Secretary Dulles, 969 
Foreign Claims Settlement Commission, 273 
Foreign Economic Policy, Council on, establishment and 

appointment of chairman, 987 
Foreign Economic Policy Commission (Randall Commis- 
sion), shipping recommendations, 66, 67, 68 
Foreign forces and their members in Federal Republic 
of Germany, convention on rights and obligations, 
amended, 729 
Foreign forces in the Federal Republic of Germany, pres- 
ence of, convention on (U.S., U.K., France, Federal 
Republic), signed, 730 (text), 732, 752 
Foreign investment. See Investment of private capital 
Foreign Ministers meeting in Guatemala case, proposed, 

31, 45 
Foreign Operations Administration {see also Mutual se- 
curity and assistance programs) : 
Agricultural surplus disposal program, functions, 501. 

502 
Foreign-aid functions. Executive order, 913 
Procurement procedures, standardization, 778 
Recommendation for continuation (Eisenhower), 36 
Foreign policy, U.S. : 

Agriculture and U.S. foreign policy, address (Mor- 
ton), 200 
Bipartisanship, statements (Dulles), 332, 808 
Coercion, U.S. continued rejection of, statement 

(Dulles), 267 
Goal of our foreign policy, address (Dulles) , 890 
Growing importance of, address (Merchant), 759 
Informed public opinion and flexibility of, statement 

(Dulles), 808 
Interrelationship with military power, address (Mur- 
phy), 291 
Legislation. See under Congress 
Principles of, address (Eisenhower), 359 

1031 



Foreign policy, U.S. — Continued 

Understanding U.S. foreign policy, statement (Smith), 

530 
U.S. foreign policy in perspective, address (Morton), 119 
Foreign Relations of the United States, volumes pub- 
lished. See under Publications 
Foreign Service (see aUo State Department) : 
Ambassadors and ministers, appointments and confirm- 
ations, 110, 16.3, 286, 322, 426, 466, 544, 613, 714 
American diplomacy, new environment of, address (Mer- 
chant), 759 
Appointments, 73, 466, 544, 754 
Awards for meritorious service, remarks at ceremony 

(Dulles, Eisenhower), 635 
Chancery building at Karachi, Pakistan, appropriation 

for, 378 
Consulates, closing, 37, 73, 426, 544 
Da vies (John Paton) case, determination, statement 

(Dulles) 752 
Director General, appointment and duties, 73, 466, 754 
Duties, 85. 439, 761, 762 
Employees, number of, 437 

Functions of the American consul, address (Lakas) , 85 
Legations raised to embassy : Finland, 426 ; Libya, 544 
Memorial to Foreign Service officers, rededication : Let- 
ter (Eisenhower), 638; remarks (Dulles, Mur- 
phy), 637 
Morale, 441, 637, 765 

Recruitment and scholarship program, 443, 446, 571 
Reorganization : 

Address and statement : Dulles, 444 ; Saltzman, 436 
Public Committee on Personnel, reconvening to eval- 
uate progress, 570 
Retirement, 73 

Soviet Union, illegal detention of U.S. Embassy em- 
ployees, 274 
Soviet Union, U.S. attaches declared persona non grata, 

90 
Tributes to, 334, 362, 635, 636, 637, 638, 764 
Foreign students in U.S. See Educational exchange pro- 
gram 
Foreign trade. See Trade 

Formosa (Taiwan) (see also China, Republic of) : 
Communist efforts to increase tension in Formosa area, 

statements in U.N. (Jackson), 957, 1000 
Economic Advisory Group, U.S., to study economy of 

Formosa, 242 
Soviet and Polish charges of U.S. interference with 
shipping in Formosa area : 
Rejection by U.S., 131, 900, 982 
Statements (Jackson) and U.N. resolution, 996 
U.S. aid program, visit of Assistant Secretary Robert- 
son, 614 
Four-power conference, possibility of (in 1955), comment 

(Dulles), 965 
Four-power meeting on German sovereignty (see also 
Germany, Federal Republic of : Sovereignty ) , 522, 639, 
677, 732 
France : 
Allied landings in, ceremonies on 10th anniversary, 294 
Austrian state treaty, efforts for, report to U.N., 907 



France — Continued 

Collective defense in Southeast Asia : 
Announcement of conference on, 264n, 296n. 
Pacific Charter and Manila Pact, signature, 393, 395«, 
426, 431 
Cultural property displaced during World War II, U.S. 

restitution program, 497 
Disarmament, position on. 172, 174, 182, 661 
Europe, defense of, position, 14 

EDC treaty, rejection. See European Defense Commu- 
nity treaty : Ratification, efforts for and failure of 
European treaty for collective security, Soviet propos- 
als for, position, 397, 901 
Four-power conference (1955), proposed, 965 
Germany, termination of occupation. See Germany, 

Federal Republic of : Sovereignty 
Germany, tripartite declaration (U.S., U.K., France), 

concerning (Oct. 3), 521, 719, 722, 732, 853 
Indochina situation. See Indochina 
Memorial to Gen. George Patton, 268 
Prime Minister, visit to U.S., 804 
Relations with U.S., letter (Coty to Eisenhower), 13 
Talks in U.S. on Indochina and mutual interests, 491 
Treaties, agreements, etc. : 
Allied High Commission for Germany, agreement con- 
cerning archives, 186 
Educational exchange agreement with U.S., agree- 
ment amending 1948 agreement, 149 
Germany, Federal Republic of, convention on presence 

of foreign forces in, 7.30 ( text) , 732, 752 
Germany, Federal Republic of, protocol on tormina 
tion of occupation regime, 729 (text), 732, 733, 752, 
847 
Germany, tripartite agreement (U.S., U.K., France) 
on exercise of retained rights in, 731 (text), 752, 
848, 851 
Manila Pact, signed, 393, 395>t, 426, 431 
Pacific Cliarter, signed, 393, 426 
Postal convention, universal, 283 
Telecommunication convention, international (1952), 

543 
Wheat agreement, international, agreement revising 
and renewing, 38 
U.S. citation of nurse at Dien-Bien-Phu, 209 
U.S.-French communique on Paris agreements, French- 
German relations, Indochina, and North Africa, 804 
Francis, Clarence, 499 
Free World, Preserving Peace by Strengthening, address 

(Saltzman), 402 
Free World Tasks and Accomplishments, address, (Con- 
ant), 52 
Free world unity, need for (Eisenhower), 360, 384 
Friendship, conunerce, and consular rights, treaty with 

Germany (1923), 38, 713, 882 
Friendship, commerce, and navigation, treaty with — 
Germany, 681, 752 
Greece, 72, 466, 670, 712 
Fulcurini ^faru, Japanese ship, death of crew member, 492 
Fulbright Act. Sec Educational exchange program 

Galard-Terraube, Genevit've de, 209 
Gallmnn, Waldeniar J., 110 



1032 



Department of State Bulletin 



Gnmboa. M. J., 14 
Gart-in, Carlos, 264 

GATT. See Tariffs and trade, general agreement on 
Gay, Merrill, 8 

Genoral Assembly, U.N. (xee also United Nations) : 
Activities during 195S, 348 

Administrative Tribunal, relationship to, request for 
advisory opinion of ICJ in U.N. awards case, 354 
Aggression, efforts to define, 871 
Austria, state treaty, U.S., French, and British report on 

efforts for since 1952, 907 
Collective Measures Committee report, 420, 780, 783n 
Collective security, U.S. working paper on, statement 

(Wadsworth) and text, 24:5 
Documents, listed, 15, 150, 217, 380, 549, 1012 
Functions, possible review of, 298, 740 
Good Offices Committee, report on membership problem, 

787, 1003 
Ninth session : 
Address (Dulles) at opening, 471 
Agenda, provisional, 214, 422, 425 
Agenda Item on atomic energy, 474, 475n 
U.S. delegates, 248, 294, 435, 544, 970 
Resolutions : 

Admission of new members, 1003 

American prisoners of war, condemnation of trial and 

Imprisonment by Communist China, 932 
Atomic energy, peaceful uses of, draft and final reso- 
lutions, 745, 919 
Collective Measures Committee report, approval, 783n. 
Disarmament (see also Disarmament) , 750, 750n. 
Economic Development Fund, proposed resolution, 281 
Foreign forces in Burma, 710 
Freedom of navigation, 996, 1002, 1003 
Indians in South Africa, treatment, text and U.S. 

views, 783 
Korean political conference report, approval, 948, 949 
Refugee aid, international fund, 705, 70S 
U.N. technical assistance program, 1006 
Geneva Conference (1954) : 
Indochina phase: 
Addresses, statements, etc. : Dulles, 163, 473 ; Elsen- 
hower, 163 ; Key, 16, 17 ; Smith, 195 
Final declaration of conference, 1(54 
Soviet views, 401 
U.S. unilateral declaration, 162 
Korean phase : 

Addresses: Dulles, 472; Key, 16 
Communist position, 952, 955 
Fifteen-nation report: 
General Assembly resolution approving, 949 
Statements : Smith, 954 ; Wadsworth, 948 
Meeting and statement (Eisenhower, Rhee), 123, 197 
Sixteen-natlon declaration, 16, 950, 953 
State Department publication of documents, 573 
Geneva conventions on treatment of prisoners of war, 
wounded and sick, and civilians (1949), 72, 254, 460, 
590 
Genocide, convention on prevention and punishment of 

crime of, 466, 970, 995 
Geodesy and Geophysics, International Union of, 10th 
general assembly, U.S. delegation, 346 



Germany : 
Berlin. See Berlin 
Cultural property displaced during World War II, U.S. 

restitution program, 493, 494, 495, 497 
Reunification : 

Addresses and statements: Adenauer, 681; Oinant, 

54, .55, 806 : Dulles, 472 ; Elsenhower, 681 
Brussels communique, 3.'i2 
Paris protwol on termination of occupation regime, 

provisions, 851 
Soviet position, 400, 402, 903, 905, 906 
U.S. position, 397, 472, 681, 901 
Germany, East, flood relief, U.S., 197, 240, 271, 969 
Gernmny, Federal Republic of : 

Assets in U.S., pre-war, disposition : 

German efforts for recovery, exchange of correspond- 
ence (Adenauer, Eisenhower), 269 
Proposed U.S. legislation, statement and letter 

(Dulles), 69 
Statement (Adenauer, Eisenhower), 681 
Chancellor Adenauer, discussions in U.S., 680 
Coal, iron and steel industries, reorganization, 654, 992 
Day of Unity and Freedom, commemoration, U.S. mes- 
sage, 55 
Declaration of Oct. 3 at London Nine Power Conference, 

520, 719, 732, 853 
Embassy building in Washington, U.S. funds for con- 
struction, 777 
Escapees and expellees residing In, provisions for ad- 
mission to U.S., 453 
Floods, U.S. aid, 197, 271 

Postal savings books, regulations for registration, 13 
Postwar recovery, 52, 53 
Prisoners of war and civilian deportees In Soviet Union, 

efforts for release, 681 
Rearmament : 

Addresses, statements, etc. : Dillon, 160, 161 ; Dulles, 

682 ; Gruenther, 563, 564, 565 ; Morton, 120 
Defense contribution, 516, 519, 527, 845, 849, 851 
London and Paris agreement on manufacture and 

control of armaments, 519, 725 
Soviet position, 399, 400, 903, 904, 905, 906 
Restitution program for Nazi victims: 
Article (Woodward), 126 
Supreme Restitution Court, U.S. member, 341 
Sovereignty, restoration of : 
Addresses : Merchant, 844 ; Morton, 120 
Anglo-American joint statement on, 49 (text), 148, 

149 ; German approval, 90 
Bonn conventions, 49, 129, 148, 160, 729, 848, 849, 

850, 851 
EDC failure, plans following : 

Letter (Dulles to Wiley and Chlperfield), 148 
Statements (Dulles, Elsenhower), 363 
U.S. consultations with British and German lead- 
ers : Bonn and London communiques and state- 
ments (Dulles), 434, 492 
Exchange of views, U.S. and Germany, 13 
London and Paris meetings : 
Declaration of Intent to end occupation (U.S., U.K., 
France), 515 



Index, July to December 7954 

372799 — 56 3 



1033 



Germany, Federal Republic of — Continued 
Sovereignty, restoration of — Continued 
London and Paris meetings — Continued 

Four-power meeting (U.S., U.K., France, Germany), 
522, 639, 677, 732 

Nine-power communique from Paris, 638 

North Atlantic Council resolution and final com- 
munique, 722, 732 

Paris agreements : 

Consultations, White House, 733 

Listed, 752 

Report to President (Dulles), 849 

Texts, 729 

Transmission to Senate, 847 

Statements (Dulles), 489, 519, 639 
Soviet views on termination of occupation, 904, 905 
U.S. Senate resolution, 284 ( text ) , 434, 435, 850 
Treaties, agreements, etc. : 

Allied High Commission, agreement (U.S., U.K., 

France) concerning archives of, 186 
Bipartite Coal Control Group, exchanges of notes 

(U.S., U.K., France) relating to, 186 
Bombing range near Cuxhaven. See Cuxhaven 
Bonn conventions, 49, 129, 148, 160, 729, 848, 849, 

850, 851 
Brussels treaty, accession to. See under Brussels 

treaty 
Double taxation, income, convention with U.S. for 

avoidance of, 184, 219, 347, 544 
Drugs, protocol for termination of Brussels agree- 
ment for unification of formulas, 283 
Exchange of official publications, agreement with 

U.S., 752, 791 
External debts, agreements on. See External debts 
Foreign forces in Federal Republic, presence of, con- 
vention on, 730 (text), 732, 752 
Friendship, commerce, and consular rights, treaty 

with U.S. (1923), 38, 713, 882 
Friendship, commerce, and navigation, treaty with 

U.S., 681, 752 
Geneva conventions on prisoners of war, etc. (1949), 

590 
Genocide convention, 995 
Jewish resettlement, German-Israeli agreement, 126, 

128 
North Atlantic treaty, accession to. See under North 

Atlantic treaty 
Occupation regime, termination of, protocol on, 729 

(text),732, 733, 752,847 
Patents, agreement with U.S., 881 
Retained rights In Germany, tripartite agreement 

( U.S., U.K., France) , 731 (text ) , 752, 848, 851 
Sugar agreement, international, 218 
Surplus property, agreement with U.S. for reduction 

of indebtedness of Federal Republic for certain 

claims under 1953 agreement, 318, 347 
Tariffs and trade, general agreement on : 

Declaration on continued application of schedules, 
38 

Declaration regulating commercial relations be- 
tween certain contracting parties and Japan, 543 



Germany, Federal Republic of — Continued 
Treaties, agreements, etc. — Continued 

Tariffs and trade, general agreement on — Continued 
Third protocol of rectifications and modifications 
to texts of schedules, 751 
Tax relief to U.S., expenditures for common defense, 

agreement with U.S., 995 
U.S. airline companies, agreement with U.S. for ex- 
emption from certain taxes, 219 
World Meteorological Organization convention, 109 
U.S. proposed cargo preference legislation, aide-memoire 
protesting, 66 
Gillllland, Whitney, 273 
Glassware, hand-blown, retention of present duty on, letter 

of President to Congressional chairmen, 4G0 
Goedhart, G. J. van Heuven, 703, 704, 708, 1011 
Gold Coast, future relationship to British Togoland, 62 
Good Offices Committee of General A.ssembly, considera- 
tion of U.N. membership problem, 787, 1003 
"Good partner'' policy, 267, 291, 330, 331, 360, 893, 984 
Gottwald, Polish ship, U.S. rejection of charge by Poland 

of Interception, 982, 997, 998, 999 
Gouthler, Hugo, 118 

Governors, U.S., report on visit to Korea, 124 
Grain, agreement with Turkey for sale of, 882 
Grant-aid. iSee Mutual security and assistance programs 
Great Britain. See United Kingdom 
Great Lakes fisheries convention with Canada, 465, 466 
Great Lakes Fishery Commission, U.S. and Canada, estab- 
lishment agreed upon, 465 
Greece: 

Ambassador to U.S., credentials, 956 
Offshore procurement program, 131, 347 
Refugees, provisions for admission to U.S., 453 
Treaties, agreements, etc. : 
Double taxation, avoidance of, on estates of deceased 
I)ersons, agreement with U. S. to correct errors in 
1930 convention, 510 
Education agreement with U.S., agreement amending 

1948 agreement, 186 
Establishment, treaty with U.S., 670 
Friendship, commerce, and navigation, treaty with 

U.S., 72, 466, 670, 712 
Military facilities agreement with U.S., 131 
NATO, protocol on status of international military 

headquarters, 218 
NATO, status of forces agreement, 218 
OiTshore procurement program, agreement with U.S. 

regarding operations, 347 
Radios, community, agreement with U.S. for transfer 

to Greece, 386 
Visual and auditory materials, agreement for facili- 
tating international circulation of, 254 
Gromyko, Andrei, 486 
Gnienther, Gen. Alfred M., 562 
Guatemala : 
Ambassador to U.S., credentials, 296 
Communist intervention in : 

Addresses, stateniont-s, etc. : Beaulac, 235; Cabot, 698; 
Dreier, 45, 598; Dulles, 43, 471, 892; Eisenhower, 
381, 678; Key, 115; Lodge, 26, 278; Morton, 122; 
Peurifoy, 333, 690 



1034 



Deporfmenf of State Bulletin 



Guatemala — Contiiuieii 

Communist Intervention In — Continued 
Analysis of Ouateniainn Coniniunist Tarty, State De- 
partment document, 2;{7 
Arms shipment from Iron Curtain, 44, 46, 122, .335, 694 
Communist cami)aign (1944-.")4), address and state- 
ment (Peurlfoy), 333, 690 
Guatemalan complaint before Security Council, ad- 
dresses and statements : Dreier, 46 ; Dulles, 44, 45, 
472 ; Key, 115 ; Lodge, 29 
OAS Council meeting to convoke Foreign Ministers 
meeting, letter of 9 governments requesting, 31, 45 
New govcriinuMit, recognition by U.S., 83, 88, 118 
Treaties, agreements, etc. : 

Development assistance agreement with U.S., 985, 995 
Inter-American Highway, agreement with U.S. amend- 
ing 1943 agreement for completion of construction 
in Guatemala, 713 
Military equipment and materiel, agreement with 

U.S. for transfer to Guatemala, 630 
Peace treaty, Japan, 590 

Technical cooperation, general agreement with U.S., 
644 
U.S. Ambassador, appointment, 466 
U.S. economic and technical aid, 544, 696 

Hagerty, James C, 241n, 271, 338, 733 

Hahn, Mrs. Lorena B., 23 

Haiti: 

Copyright convention, universal, 466 

President of, visit to U.S., 538 

Rural education, agreement with U.S. for cooperative 
program, 283 

Safety of life at sea convention, 149 
Hakodate typhoon, loss of Americans and Japanese, 541 
Hall, Ardelia R., 493 
Hare, Raymond A., 466, 754 
Harrison, Geoffrey, 555, 556, 558 
Hasler, Arthur, 274 
Health, agreement with Ethiopia amending 1953 public 

health joint fund agreement, 793 
Health organizations : 

Pan American Sanitary Bureau, 599 

Pan American Sanitary Conference, 14th, 629 

World Health Organization, 616, 629 
Heath, Donald R., 777 
Heine, Dwight, 96, 138 
Henderson, Loy W., 231, 2.32, 266 
Hendrickson, Sen. Rol>ert C, 165 
Herter, Christian A., Jr., 150 
Hewitt, Col. Leland Hazelton, 22 

High seas, regime of, subject of consideration by Inter- 
national Law Commission, 423, 1001 
Highway, Boyd-Roosevelt, agreement with Panama for 

maintenance, 510 
Highway, Inter-American, agreement with Guatemala 
amending 1943 agreement for completion of construc- 
tion in Guatemala, 713 
Highway Congress, 6th Pan American: 

Report on, 666 

U.S. delegation, 109 

Index, July fo December 1954 



Hildebraudslled, return of missing page to Germany, 

article (Hall), 493 
Ilildreth, Horace A., 492 
Hill, Robert C, 544 
Historic objects, U.S. program for return to countries of 

origin, article (Hall), 493 
Ho Chi Minh, 120, 191 
Holland, Henry F. : 
Addresses, 205, 684 
Preparations for Conference of Ministers of Finance 

or Economy, 537 
Visit to Latin America, 336 
Holleran, Mary P., 912 
HoUoway, John Edward, 645 
Holmes, Julius C, 970 
Honduras : 

Communist intervention, 694, 695 

Diplomatic relations with U.S. reestablished, 985 

Double taxation convention with U.S., income, proposed, 

386 
Guatemala, alleged intervention in, 26, 30 
Relief supplies, U.S., agreement for duty-free entry and 

defrayment of inland transportation charges, 630 
Statute of ICJ, declaration under art. 36, 72 
Hong Kong, relaxation of U.S. license requirements for 

exports to, 492 
Hoover, Herbert, Jr. : 
Appointment and assumption of duties as Under Secre- 
tary of State, 300, 307, 561 
Consultations at White House on agreements regarding 

Germany, 733 
Finance or Economy, Conference of Ministers of, state- 
ments, 812, 984 
Iranian oil agreement, letters (Dulles, Eisenhower), 

232, 266 
Pakistani Prime Minister, remarks upon arrival in U.S., 
606 
Hospital improvement program in Latin America, FOA, 

342 
Hotchkis, Preston : 

Statements before U.N. Economic and Social Council : 
Removal of obstacles to international trade, 246 
Special U.N. Development Fund, 280 
U.S. and world economic situation, 133 
U.S. representative, 18th session, Economic and Social 
Council, 33 
Housing program in Chile, cooperative, agreement with 

U.S., 186 
Housing program in Colombia, cooperative, agreement 

with U.S., 543 
Hull, Cordell, bipartisan foreign policy, inauguration, 332 
Hull, Gen. John E., 337 
Human rights : 
Protection of, in Trieste, 558 
South Africa, treatment of Indians, 783 
U.N. action during 1953, 352 
U.N. draft covenants : 
Soviet interpretation, 878 
U.S. position, 876, 1011 
Human Rights Day, 1954, U.N., proclamation, 963 

1035 



Humphrey, George M. : 

Fund and Bank, statement before joint session of 

Boards of Governors, 548 
International Finance Corp., proposed, announcement, 

814, 868 
Meeting of Ministers of Finance or Economy, statement, 
863 
Hungary : 
Churchmen, temporary admission to U. S., 129 
Floods, U.S. aid, 271 
Geneva conventions on prisoners of war, etc. (1949), 

466 
Postal convention, universal, 590 

U.S. aircraft seizure (1951), removal of case from cal- 
endar of ICJ, 130, 419 
U.S. request for repatriation of Noel, Herta, and Her- 
mann Fields, 586 
Hurricane damage in U.S., Iranian message of sympathy, 
491 

Iceland, U.S. Ambassador, confirmation, 322 
ICJ. See International Court of Justice 
ILO. See International Labor Organization 
Immigration into U.S. : 

Polish seamen, asylum in U.S., 653, 982, 998, 999, 1001 
Refugees and displaced persons, 239, 452 
Visa issuance to aliens convicted of minor offenses, 653 
Imports («ee also Trade) : 

Commercial samples and advertising material, inter- 
national convention to facilitate importation, 38, 
466, 838 
Customs regulations. See Customs 
Denmark, relaxation of restrictions on imports from 

dollar area, 990 
Sweden, relaxation of import-license requirements, 502 
Tariffs and trade, general agreement on. See Tariffs 

and trade 
U.S. («ee also Tariff policy, U.S.) : 
Munitions, licensing, 917 
Relationship to exports, 650 
Income tax, conventions for avoidance of double taxation. 

See Double taxation 
Independence Day ceremonies, Philadelphia, message 

(Eisenhower), 84 
India : 
Atomic energy agency, queries and proposed amendment 
to U.N. draft resolution, 918, 920, 921, 922, 924, 925n 
Communism, position on, 4 
Korean political conference report, draft resolution, 

954, 955, 956 
Nationals in South Africa, treatment, General Assembly 

resolution, text and U.S. views, 783 
Tariff concessions, GATT, request for renegotiation, 185 
Treaties, agreements, etc. : 

Commercial samples and advertising material, inter- 
national convention to facilitate importation, 466 
Copyright agreement with U.S., 713, 788 
Opium, protocol regulating production, trade, and use 
of (1953), 793 
Indian Conference, 3d Inter-American, U.S. delegation, 
216 

1036 



Indochina (see also Cambodia, Laos, and Viet-Nam) : 
Anglo-American joint statement on policy toward, 49 
Anglo-French-U.S. consultations in Paris, statements 

(DuUes), 123 
Associated States, progress toward independence, 163, 

164, 364, 534, 615 
Bases, foreign, provisions of final declaration of Geneva 

Conference, 164 
Communist aggression in (see also Geneva Conference- 

Indochina phase), 120, 195, 259, 293, 294, 615 
Dien-Bien-Phu : 

U.S. airlift of wounded French forces, 165 
U.S. citation of French nurse, 209 
Refugees from North Viet-Nam, U.S. aid in evacuation, 

241, 265, 336, 473, 534, 735, 736, 778 
U.S. aid : 
Address (Robertson), 261 

French-U.S. talks and communiques, 491, 534, 804 
Plans for direct aid, 615, 736 
U.S. export-license suspension to Communist-controlled 

areas, 212 
U.S. policy: Address (Morton), 120; statement (Dul- 
les), 123 
Indonesia : 
Medical training program, U.S. aid, 342 
Tariffs and trade, general agreement on, 109 
Industrial apprenticeship, agreement with Brazil extend- 
ing 1952 agreement for cooperative program, 283 
Industrial service in Ecuador, agreement with U.S. for 

cooperative program, 186 
Information, freedom of, report of Economic and Social 

Council, statement (Lord), 1009 
Inspection Service, Departmental, office designation, 714 
Interagency Committee on Agricultural Surplus Disposal, 

500 
Inter-American Conference, 10th, at Caracas : 
Declaration of Solidarity, 43, 46, 678, 912 
Position on international communism, 335, 381, 471, 598, 
678 
Inter-American Cultural Council of GAS, U.S. representa- 
tive, 912 
Inter-American cultural relations, convention for promo- 
tion of, 109 
Inter-American Economic and Social Council. See Fi- 
nance or Economy, Meeting of Ministers of 
Inter-American Highway, construction in Guatemala, 713, 

985 
Inter-American Indian Conference, 3d, U.S. delegation, 

216 
Inter-American Institute of Agricultural Sciences, 599 
Inter-American treaty of reciprocal assistance (Rio 
Pact) : 
Addresses : Dreier, 597 ; Key, 117 

Invocation in Guatemalan case, 31, 45, 46, 47, 207, 335 
Interdepartmental Committee on Trade Agreements, no- 
tices regarding tariff negotiations, 509, 769 
Intergovernmental Committee for European Migration, 
U.S. delegation and draft provisional agenda for 8th 
session, 880 
Intergovernmental Maritime Consultative Organization, 
convention on, 109, 426, 670 

Department of Stale Bulletin 



Internntlonnl Bnnk for Reconstruction and Development: 
Artk'loa of iiKroenient, 14!) 
Eximniling activities, statement (Straus), 627 
International Finance Corp., proposed as an affiliate, 

813, 868 
Joint session of Boards of Governors of Fund and Bank, 
statement (Humphrey) and message (Eisenhower), 
548 
Loans to Austria, 210; Ceylon, 58: El Salvador, 655; 
Latin America, 79, 82, 687, 868; Mexico, 378; Neth- 
erlands, prepayment, 310 
U.S. Executive Director, confirmation, 210 
International bodies, growth of "multilateral diplomacy," 

762 
International Civil Aviation Organization : 
Conventions regarding, 346, 543, 882 
Sessions of Commission for Aeronautical Meteorology 
and Meteorology Division, 824 
International Congress of Cell Biology, 8th, U.S. delega- 
tion, 346 
International Congress of Mathematicians, 10th, U.S. dele- 
gation, 314 
International Court of Justice : 
Activities during 1953, 353 
Adjudication of disputes, U.S. acceptance, 419 
Statute, declaration under art. 36, 72, 149 
U.S. C-47 aircraft case against Hungary and Soviet 
Union (1951), removal from calendar, 130, 419 
International Finance Corp., proposed, 813, 868 
International Geophysical Year, U.S. participation, 20 
International Labor OflBce, Governing Body, 127th ses- 
sion, U.S. delegation, 836 
International Labor Organization: 
Metal Trades Committee, 5th session, agenda and U.S. 

delegation, 751 
Status of women, efforts for equal pay for men and 
women, 24 
International law, role of U.N., possible Charter review, 

299, 741 
International Law Commission : 
Soviet charges of U.S. high seas piracy in Formosa area, 

item referred to, 996, 1002, 1003 
Study of regime of the high seas, regime of territorial 
waters, and the continental shelf, 423, 1001, 1003 
International Mathematical Union, 2d General Assembly, 

agenda and U.S. delegation, 314 
International Monetary Fund, 203, 246; joint session of 
Boards of Governors of Fund and Bank, statement 
(Humphrey) and message (Eisenhower), 548 
International organizations and conferences {see also sub- 
ject), calendar of meetings, 60, 169, 343, 503, 659, 870 
International Organizations Employees Loyalty Board, 

loyalty evaluations, 21 
International Union of Crystallography, 3d General As- 
sembly, U.S. delegation, 147 
International Union of Geodesy and Geophysics, 10th 

General Assembly, U.S. delegation, 346 
International Union of Pure and Applied Physics, U.S. 

delegation, 61 
Investment of private capital abroad : 
Asia, 643, 647, 803, 967, 968 



Investment of private capital abroad — Continued 
Encouragement, duties of Secretary of Commerce and 

FOA, 913, 914, 915 
Foreign BDiidlioIders Protective Council, work of, 969 
International Finance Corp., proposed, 813, 814, 808 
Latin America, 79, 82, 8;!, 208, 538, 605, 080, 800, 968 
Role of government against private aid, remarks 

(Dulles), 967,968 
Statements and article: Humphrey, 548, 549; Kali- 

jarvi, 412, 416; Straus, 027 
Thailand, investment guaranty program, U.S.-Thai 
agreement, 404, 030 
Iran : 

Aggression, definition, resolution proposed In U.N., 874 
Intergovernmental Maritime Consultative Organiza- 
tion, convention on, 109 
Military mission, agreement with U.S. extending, 995 
Oil agreement-in-princlple with International Con- 
sortium : 
Joint statement. Government of Iran and Oil Con- 
sortium, 232 
Letters, statements, etc. (Dulles, Eden, Eisenhower, 

Henderson, Page) , and replies, 2.30, 266 
Participation in Consortium by additional U.S. com- 
panies, 985 
Ratification of agreement by Iran, 683 
U.S. economic and technical aid, 10, 776 
U.S. hurricane damage, message of sympathy, 491 
Iraq: 

Narcotic drugs, protocol regarding, 346 
Plant protection convention, international, 254 
U.S. Ambassador (Berry), retirement, 73 
U.S. Ambassador (Gallman), confirmation, 110 
Ireland : 
Consular convention and supplementary protocol with 

U.S., 38 
Counterpart special account, agreement with U.S. gov- 
erning disposition of balance, 72 
Postal convention, universal, 72 

Telecommunication convention, international (1952), 
426 
Iron and steel industry, German, reorganization, 654, 992 
Isotopes, stable, export, 59 
Israel : 
Egyptian relations, correspondence (Celler, Dulles), 316 
International Bank, articles of agreement, acceptance, 

149 
Jerusalem, Jordan-Israeli violence in, U.S. message, 48 
Jerusalem, status of, U.S. policy, 776 
Jewish resettlement, German-Israeli agreement for, 126, 

128 
Jordan Valley project, progress toward acceptance of 

workable plan, 4, 12, 132 
Monetary Fund, International, articles of agreement, 

acceptance, 149 
Treaties, agreements, etc. : 
Air services transit agreement, International, 186 
Technical cooperation, U.S., agreement amending gen- 
eral agreement for, and agreements of June 21 and 
29, 1954, amending agreement of May 9, 1952, 186 
Telecommunication convention, international (1952), 
186 



Index, July fo December J 954 



1037 



Israel — Continued 

U.S. military aid, request for, inquiry of Representa- 
tive Celler regarding U.S. position, 316 
U.S. technical and economic aid, 10, 11, 186 
Italy : 

Cultural property displaced during World War II, U.S. 

restitution program, 497 
Floods, U.S. aid, 777 

Refugees, provisions for admission to U.S., 453 
Somaliland, Trust Territory of, administration, 34 
Treaties, agreements, etc. : 
Brussels treaty, accession to. See under Brussels 

treaty 
Educational exchange programs, agreement with U.S. 

amending 1948 agreement for financing, 386 
Technical cooperation program for Somaliland, agree- 
ment with U.S., 970 
Telecommunication convention, international, and fi- 
nal and additional protocols (1952), 186 
Trieste, Free Territory of, memorandum of under- 
standing regarding. See Trieste 
Wheat agreement, international, 995 
U.S. economic aid, 56 

U.S. proposed cargo preference legislation, memoran- 
dum protesting, 68 
U.S. submarine, transfer to Italy for training use, 987 

Jackson, C. D., 830, 957, 996 
James, Edwin W., 666 
Japan : 

Assets vested by U.S., status of, statements: Dulles, 

69 ; Eisenhower, 766 
Communist objectives and methods in, 573 
Economic and trade position, addresses, statements, 
etc.: Aldrich, 652; Drumright, 573, 575; Dulles, 
264 ; Eisenhower, 765 ; Kalijarvi, 413 ; Morton, 121, 
204 ; Murphy, 800, 802 ; Yoshida, 765 
Export-Import Bank credits, 211, 242 
Hakodate typhoon, loss of Americans and Japanese, 541 
North Pacific Fisheries Commission, 277 
Nuclear test in Pacific, death of Japanese seaman from 
fall-out : 
Statement (AlUson), 492 
U.S. statement of regret, 766 
Prime Minister, visit to U.S., 679, 765 
Treaties, agreements, etc. : 

Food and Agriculture Organization, protocol provid- 
ing for transfer of functions from International 
Institute of Agriculture, 254 
Military equipment and supplies, agreement with U.S. 

for transfer to Japan, 970 
Mutual defense assistance agreement with U.S., 382 
Naval vessels, U.S., agreement for loan of, 38 
Opium, protocol regulating production, trade, and 

use of (1953), 254 
Peace treaty, ratification by Guatemala, 590 
Status of U.N. forces in Japan, agreement regard- 
ing, 38, 882 
Tariffs and trade, general agreement on : 

Commercial relations between certain contracting 
parties and Japan, declaration regulating, 149 543 
Japanese possible accession to, 767, 769, 770, 802 



Japan — Continued 

Treaties, agreements, etc. — Continued 

Trade agreement with U.S., U.S. intention to ne- 
gotiate, 767 
U.N. membership application, U.S. support, statement 

(Lodge), 766 
U.S. destroyers, transfer to, remarks (Drumright), 644 
U.S. economic aid, 265, 766 

U.S. relations, statement (Eisenhower, Yoshida), 765 
Jerked beef, termination of duty-free entry for Puerto 

Rican sale, 132 
Jerusalem : 

Status of, U.S. policy, 776 

Violence in, U.S. message to Israel and Jordan, 48 
Jewish victims of Nazi persecution, German amends to, 

article (Woodward), 126 
Johnson, A.M. Ade, 703 
Johnston, Eric, 4, 12, 132 
Jordan : 
Israeli-Jordan violence in Jerusalem, U.S. message, 48 
Jordan Valley project, progress toward acceptance of 

workable plan, 2, 12, 132 
Relief supplies, U.S., agreement on duty-free entry and 
defrayment of inland transportation charges, 150 
U.S. economic aid, 11, 57 

Kalijarvi, Thorsten V., 63, 409 
Kapus, Ceza, 240 
Keefe, Richard, case of, 157 
Kelly, H. H., 92, 670 

Key, David McK., addresses, statements, etc. : 
OAS, relationship to U.N., 115 
Opium protocol (1953), 368 
United Nations, issues facing, 16 
United Nations Day, 701 
World Health Organization, 616 
Khrushchev, N. S., 140, 959 
Klemmer, Harvey, 63>i 
Koo, V. K. Wellington, 895 
Korea, People's Democratic Republic of (North Korea), 

U.S. export policy, 373, 377 
Korea, Republic of: 

Administrative control of certain area north of 38th 
parallel, transfer to Republic of Korea, letter (Hull 
to Rbee), and resolution of U.N. Commission for 
Unification and Rehabilitation of Korea, 337 
Armistice agreement, violation by Communists in im- 
prisoning U.S. fliers, letters and statements (Lodge) 
and U.N. resolution condemning, 931 
Collective security, statement (Wadsworth), 244, 245 
Communist tactics in, addresses : Drumright, 573 ; Rob- 
ertson, 259 
Political conference. See Geneva Conference (1954) : 

Korean phase 
Prisoners of war, U.N. Command request to Communists 

for report on, 379 
Treaties, agreements, etc. : 

Load line convention, international, 283 
Mutual defense treaty with U.S., 194, 382, 809, 810; 
entry into force and proclaimed, 838, 894, 970 



1038 



Department of State Bulletin 



Korcn, Uepublic of — Coiitiuuod 

Uiiilk'ntion, defenst', ami reliabilitiition : 
Meeting ami stnteinout (Kiseuhower. Hliee), 123, 10" 
Text of agreed minute and joint statement concern- 
ing, 809 
U.S. Governors' report on rehal)ilitation, 124 
U.S. position, remarlis (Smith), I'.Ki, 1"J4, 195 
U.N. action during lOoS, .S4S, 349, 350 
U.N. troop contributions, 278 

Labor : 
Migratory labor agreement with Mexico regarding 
Joint Migratory Labor Commission recommenda- 
tions, 347 
Migratory workers, agreement with Mexico reducing 
minimum contract period, 254 
Labor Office, International, Governing Body, 127tb session, 

U.S. delegation, S;!6 
Labor Organization, International, 24, 751 
La Chambre, Guy, 491, 534 
Lakas, Nicholas S., 85 

Lake Michigan, veto of bill to control level of, 539 
Langley, James M., 89, 404, 982 
Laos: 
Benefits under Manila Pact, 395, 432, 823 
Communist aggression. See Indochina 
Copyright convention, universal, 713 
Independence, progress toward, 1G3, 164, 364, 534 
Rice Commission, International, constitution, accept- 
ance, 346 
U.N. membership, question of, 788 
U.S. aid : 
French-U.S. talks and communiques, 491, 534, 804 
Plans for direct aid, 615, 736 
U.S. Ambassador, appointment and confirmation, 163, 
322 
Latin America (see also Inter-American and indirHdual 
countries) : 
Caribbean Commission, 19th meeting, U. S. delegation 

and agenda items, 881 
Common destiny of tlie Americas, address (Dreier), 595 
Communist intervention in : 
Addresses, statements, etc. : Bennett, 208 ; Cale, 603 ; 
Dreier, 45, 597, 598 ; Dulles, 43 ; Morton, 201 ; Peuri- 
foy, 690 
Guatemala. See under Guatemala 
Honduras, 694, 695 

Senate resolution to prevent intervention in Western 
Hemisphere, 29 
Economic situation, address (Cale), 600 
Export-Import Bank loans (see also Export-Import 

Bank), statement (Humphrey), 867 
Finance or Economy, Meeting of Ministers of. See 

Finance or Economy 
Foreign Relations volume on, published, 714 
Holland, Henry F., courtesy visit to, 3.36 
Hospital improvement program, FDA, 342 
International Bank loans, 79, 82, 655, 687, 868 
Investment of private capital in, 79, 82, 83, 208, 538, 605, 

686, 866, 968 
GAS. See Organization of American States 
Pan American Highway Congress, 6th, 109, 666 
Pan American Sanitary Bureau, 599 

Index, July fo December 7954 



Latin America (see also Inter-American and individual 
countries) — Continued 
Pan American Sanitary Conference, 14th, U.S. delega- 
tion, 629 
Private enterprise in, 684, 687 
Tariff policies, 82 

U.S. atomic energy specialist, visit, 301 
U.S. relations with, addresses : Bennett, 206 ; Bohan, 
535 ; Cale, 79 ; Dreier, .598 ; Holland, 684 ; Kalijarvi, 
413 
U.S. technical aid. See Mutual security and assistance 
programs 
Latvia, Independence Day, statement (Dulles), 812 
Laurel, Sen. Jos6 P., 404, 542, 771, 982 
Lawson, Edward B., 776 
Lawsou, Lawrence Milton, 22 
Lead and zinc, stockpiling program, letter (Eisenhower 

to Millikin), 339 
Lebanon : 

Aggression, definition, resolution proposed in U.N. 875 
Atomic energy agency, proposed amendment to U.N. 

resolution, 924, 925n. 
Jordan Valley project, progress toward acceptance of 

workable plan, 4, 12, 132 
Special economic assistance agreement with U.S., 109 
Sugar agreement, international, 670 
LeBaron, Robert, 301 
Legislation. See under Congress 

Lend-lease obligation, Brazil, final payment to U.S., 47 
Lend-lease, reciprocal aid, sui-plus war property, and 
claims, agreement with Australia amending 1949 
agreement, 510 
Liberia, U.S. relief supplies, agreement for duty-free entry 
and defrayment of inland transportation charges, 630 
Library, American Memorial, In Berlin, dedication, 531 
Libya : 
Minister to U.S., credentials, 14 
Treaties, agreements, etc. : 

Base rights agreement with U.S. : 
Negotiations for, 218 
Signed, statement (Smith), 396 
Entry into force, 7.52, 792 
Economic aid, agreement with U.S., 752 
Famine conditions, agreement with U.S. for wheat, 882 
U.S. Ambassador, appointment, 544 
U.S. economic and technical aid, 15, 397, 752 
U.S. legation raised to embassy, 544 
U.S. wheat shipments, 15, S82 
Little, Delbert M., 824 
Lloyd, Selwyn, 174, 175, 663, 665 
Load line convention, international, 149, 283 
Loans, U.N. See International Bank 
Loans, U.S. See Export-Import Bank 
Lodge, Henry Cabot, Jr. : 
Address on U.N., 278 
Correspondence : 
American fliers imprisoned by Chinese Communists, 

letters to Secretary General of U.N., 931, 934 
Atomic energy, request to Secretary General of U.N. 

for agenda item, 474 
U.N. technical assistance program, U.S. position on 
financial support, 879 

1039 



Lodge, Henry Cabot, Jr. — Continued 
Statements : 
American fliers, imprisonment by Chinese Commu- 
nists, 932, 935 
Atomic energy, peaceful uses of, 475, 733, 742, 828, 

832, 918 
Chinese representation in U.N., 507 
Free world ships and aircraft, Chinese Communist 

attacks on (1950-54), 505 
Guatemalan complaint before Security Council, 26 
International Finance Coitj., proposed, 813 
Japan, application for U.N. membership, 766 
Soviet attacks on U.S. aircraft, 417 
Soviet disarmament proposal, 619 
Soviet veto of Thai request for peace observers, 32 
London communique (Sept. 17) on German sovereignty, 

434 
London disarmament talks. See Disarmament 
London Nine Power Conference on European security. 

See Nine Power Conference, London 
"Long haul" concept of foreign policy, 981 
Lord, Mrs. Oswald B., 876, 1008 
Loyalty case of John Paton Davles, Jr., determination in, 

752 
Loyalty evaluations of U.S. citizens employed by interna- 
tional organizations, 21 
Luxembourg : 
German external debts, agreement on, 218 
Mutual defense assistance program, memorandum of 
understanding with U.S. on disposal of redistribut- 
able and excess property furnished in connection 
with, 219 
NATO, agreement on status of NATO, national rep- 
resentatives and International staff, 218 
NATO, protocol on status of international military head- 
quarters, 218 
Offshore procurement, agreement with U.S. amending 

standard contract, 254 
Telecommunication convention, international, and final 
and additional protocols (1952), 426 

MacArthur, Douglas, 2d, 733 

MacDonald, Malcolm, 408 

Madagascar, U.S. consulate at Tananarive closed, 37, 544 

Magloire, Paul, 538 

Mahoney, Charles H., 709, 780, 871 

Malik, Jacob, 171, 173, 174, 176 

Manila Conference: 

Place and date, 264, 296n. 

Statement (Dulles) upon departure for, 364 

Statement (Dulles) at opening and closing sessions, 
391, 392 

U.S. delegation, 296, 345 
Manila Pact (Southeast Asia collective defense treaty 
and protocol) : 

Addresses and statements : Dulles, 431, 473 ; Eisenhower, 
678; Jackson, 961 ; Mahoney, 783 ; Murphy, 802, 803 

Listed, 426 

Report to President (Dulles) and transmittal to Senate 
(Elsenhower), 819 

Text, 393 

U.S.-French communique, 534 



Manila Pact (Southeast Asia collective defense treaty 
and protocol) — Continued 
White House consultations regarding Senate action, 733 
Mann, John W., 311 
Mansfield, Sen. Michael J., 296, 392, 433 
Manuscripts, historic, U.S. program for return to countries 

of origin, article (Hall), 493 
Maritime Consultative Organization, Intergovernmental, 

convention on, 109, 426, 670 
Marshall, Joyce, 274 
Marshall Islands, nuclear tests In, petition to U.N. : 

Statements: Heine, 138; Mldkifif, 96, 137; Sears, 137, 

139, 140 
Trusteeship Council resolution, 139 
Marshall Plan, 159, 699 

Mass-destruction weapons. See Atomic energj'. Inter- 
national control of 
Mathematical Union, International, 2d General Assembly, 

U.S. delegation, 314 
Mathematicians, 10th International Congress of, U.S. dele- 
gation, 314 
Mayo, Dr. Charles, 279 
Mazatldn, Mexico, U.S. consulate closed, 73 
McCllntock, Robert M., 322, 615 
McCone, John A., 570 
McFall, Jack K., 426, 435, 466 
McUvaine, Robinson, 254 
McKinney, Maj. W., 90 
McLeod, Scott, 240, 455, 653 
McWilliams, William J., 254 
Medical programs, FOA, 342 
Medical research, atomic development, 227 
Mehta, Gaganvihari L., 788, 790 
Melas, George V., 956 

Memorial to Foreign Service officers, rededlcatlon, 637 
Mend^s-France, Pierre : 

Efforts for Indochina settlement, 123, 158 

Gratitude to U.S. for airlift of French wounded from 

Dlen-Blen-Phu, 165 
Visit to U.S. for official talks, 804 
Menon, V.K. Krishna, 918n, 922 
Merchant, Livingston T. : 
Addresses : 
American diplomacy, new environment of, 759 
European security, progress toward, 843 
Our European allies, 327 
Consultations at White House on agreements regarding 

Germany, 733 
Letter to Soviet Ambassador on atomic energy pool, 485 
Merchant marine, cargo preference principle, U.S. pro- 
posed legislation; statement (Kalijarvl) and pro- 
tests by foreign countries, 63 
Metal Trades Committee of ILO, 5th session, agenda and 

U.S. delegation, 751 
Metals and Minerals Staff, State Department, abolish- 
ment, 254 
Meteorological Organlzatiim, World, convention of the, 

109, 320 
Meteorological Organization, World, formation, 825 
Meteorology, Aeronautical, Commission for, 824 
Mexico : 
Broadcasting discussions with U.S., 713 
Claims of U.S. nationals, payment, 816 



1040 



Department of State Bulletin 



Mexico — Continued 

Oonsulnti's, I'.S., cIosinR, 73 

Kxport-IiiiiHirt BanI; lonu, 779 

Floods aloiiK Rio Grande, message of sympathy (Eisen- 

liower), 84 
Internationnl Bniilc loan, 378 
Treaties, agreements, etc. : 

Agricultural school, agreement with U.S. for coop- 
erative project, 510 
Developmental engineering, agreement with U.S. for 

cooperative project, 109 
Education, teclinicnl, agreement with I'.S. for .sur- 
vey of activities and needs, 283 
Intergovernnieutal Maritime Consultative Organiza- 
tion, convention on, 67 
Mexico-U.S. Commission for prevention of foot-and- 
mouth disease, agreement for liuancing Commission 
operations, 590 
Migrant labor, agreement with U.S. regarding .Joint 
Migratory Labor Commission, recommendations, 
347 
Migratory workers, agreement with U.S. reducing 

minimum contract period, 254 
Postal convention, universal, 838 
Technical cooperation, U.S., agreement amending 

general agreement for, 219 
Technical cooperation, U.S., agreement for establish- 
ing training schools in Mexico for operators of cer- 
tain equipment, 186 
Telecommunication convention, international, and 

final and additional protocols (1952), 426 
Telegraph regulations (1949) annexed to Interna- 
tional telecommunication convention (1947), 713 
U.S.-Mexiean Boundary and Water Commission, U.S. 

commissioner, 22 
U.S. relations with, address (Cabot), 697, 698 
Micronesia, U.S. administration as trust territory, state- 
ments (Midkiff), 96, 141 
Middle East and Near East. See Near and Middle East 
Midkiff, Frank E., 96, 137, 141 

Migratory labor, agreement with Mexico regarding Joint 

Migratory Labor Commission recommendations, 347 

Migratory workers, agreement with Mexico reducing 

minimum contract period, 254 
Military assistance. See Armed forces ; Mutual defense ; 
and Mutual security and assistance programs : 
Military aid 
Military bases. See Bases 

Military cemetery, U.S., use of land in England, 110, 270 
Military equipment, offshore procurement, statement 

(Cook), 567 
Military equipment and materiel, agreement with Guate- 
mala for transfer to Guatemala, 630 
Military equipment and supplies, agreement with Japan 

for transfer to Japan, 970 
Military facilities agreement, U.S. and Greece, 131 
Military headquarters, international, protocol on status 

of (NATO), 186, 218 
Military missions : 

Agreement with Iran extending 1947 agreement, 995 
Agreement with Peru extending 1949 agreement, 186 

Index, July fo December 7954 



Military jxiwcr. interrelationship with foreign policy, ad- 
dress (Jlurphy), 291 
Military profrraiii, U.S. See National defense 
Mills, Sheldon T.. 110 

Mineral Policy, Cabinet Committee on, rejiort to Presi- 
dent, 988 
Ministers of Foreign Affairs of American Republics, pro- 
posal for consultation In Guatemalan case, 31 
Moch, Jules, 171, 172, 174 
Mohammad, Ghulan, 338 
Moiscscu, Anton, 956 

Molotov, Vyacheslav M., 260, 479, 480, 482, 846, 951, 953 
Monaco : 

Slavery convention of 1926, protocol amending, 970 
Telecommunication convention, international (1952), 
186 
Monetary Fund, International, 203, 246, 548; articles of 

agreement, 149 
Money orders, agreement and final protocol relative to, 882 
Monroe Doctrine : 

Application in Guatemalan case, 43, 335 
Principles of, development under Act of Chapultepec and 
effect of veto power in Security Council on, 116 
Remarks (Sparks) upon opening of Monroe House, 911 
Montrico, Count of, 734 
Morlock, George A., 366 
Morocco : 
Postal convention, universal, 283 
U.S. consulate at Rabat closed, 426 
Morton, Thruston B. : 
Addresses : 

A Positive Approach to the U.N., 405 
Agriculture and U.S. Foreign Policy, 200 
Building an Enduring Peace, 155 
U.S. Foreign Policy in Perspective, 119 
Correspondence : Suez Canal base, reply to Representa- 
tive Celler regarding U.S. policy, 317 
Motion picture exhibition and festival, 315 
Muccio, John J., 322 
Mumford, L. Quincy, 788, 790 
Munitions shipments, licensing, 917 
Muniz, Joao Carlos, 47 
Munro, Leslie Knox, 50 
Murphy, Robert D. : 
Addresses : 

Defense of Asia, 799 

Interrelationship of military power and foreign pol- 
icy, 291 
Memorial to Foreign Service officers, rededication, 637 
The U.S. and the Uncommitted World, 3 
Member, Public Committee on Personnel, 570 
Trieste negotiations, 556 
Mutual Defense Assistance Control Act (Battle Act), em- 
bargo list revisions, 372 
Mutual defense treaties and agreements (see aUo Brussels 
treaty ; Collective security ; European Defense Com- 
munity treaty; North Atlantic Treaty Organization; 
and Western European Union) : 
Addresses and statements : Dulles, 891, 897 ; Jackson, 

960, 961 
Belgium, agreement with U.S. concerning facilities as- 
sistance program, 970 

1041 



Mutual defense treaties and agreements — Continued 
China, Republic of. See under China, Republic of 
Japan, mutual defense assistance agreement with U.S., 

382 

Korea, mutual defense treaty with U.S., 194, 383, 809, 

810 ; entry into force and proclaimed, 838, 894, 970 

Luxembourg, memorandum of understanding with U.S. 

on disposal of redistributable and excess property 

furnished for mutual defense assistance program, 

219 

Netherlands, agreement with U.S. for use of airbase, 

269 
North American defense system, 539, 813, 891 
Philippines, exchange of notes establishing U.S. -Philip- 
pine Council to consult under mutual defense treaty, 
14 
Southeast Asia collective defense treaty. See Manila 

Pact 
Spain, agreement with U.S. confirming arrangements 

for a facilities assistance program, 752 
U.K., agreement with U.S. for a special program of facil- 
ities assistance, 72 
Mutual security and assistance programs, U.S. (see also 
Agricultural surpluses ; Export-Import Bank : Foreign 
Operations Administration; and Mutual defense) : 
Addresses : Holland, 688, 689 ; Murphy, 5 
Budget recommendations for fiscal 1955, 11, 35 
Economic and technical aid to foreign countries : 
Arab States, 10, 11 
Berlin, economic aid, 969 

Brazil, agreement with U.S. extending agreement for 
cooperative program of industrial apprenticeship, 
283 
British Guiana, technical cooperation agreement 

(U.S.-U.K.), 970 
Cambodia, economic aid, 615 
Chile, agreement with U.S. for cooperative housing 

program, 186 
Colombia, agreement with U.S. for cooperative hous- 
ing program, 510 
Costa Rica, agreement with U.S. for cooperative agri- 
cultural research project, 630 
Ecuador, agreement with U.S. for cooperative pro- 
gram of industrial service, 186 
Egypt: 

Development assistance agreement with U.S., 838 
Reclamation project, 233 
Technical aid, 10 
El Salvador, agreements with U.S. for — 

Cooperative program for agriculture, 2.54, 510 
Cooperative program of productivity, 510, 838 
Ethiopia, technical cooperation agreements with U.S.. 

254 
Europe, 36, 382 
Far East, 382 
Guatemala : 

Allotments for aid, 696 

Development assistance agreement with U.S., 985, 

995 
Technical cooperation agreement with U.S., 544 
Haiti, agreement with U.S. for cooperative program 

of rural education, 283 
Indochina. See Indochina : U.S. aid 



Mutual security and assistance programs, U.S. — Continued 
Economic and technical aid — Continued 
Indonesia, medical training program, 342 
Iran, economic and technical aid, 10, 776 
Israel : 

Economic and technical aid, 10, 11 
Technical cooperation agreements with U.S. amend- 
ing 1951 and 1952 agreements, 186 
Italy, economic aid, 56 
Jordan, economic aid, 11, 57 

Korea. See Korea : Unification, defense, and reha- 
bilitation 
Latin America : 

Addresses : Bennett, 207 ; Dreier, 598 ; Holland, 688 
Medical program, 342 
President's report to Congress, 381 
Lebanon, economic assistance agreement with U.S., 109 
Libya : 

Agreement with U.S. for economic aid, 752 
Economic and technical aid, 15, 397 
Mexico : 

Agriculture, agreement with U.S. for cooperative 

project, 510 
Developmental engineering, agreement with U.S. for 

cooperative project, 109 
Technical cooperation, agreement with U.S. amend- 
ing 19.51 general agreement, 219 
Technical education needs, agreement with U.S. for 

survey of, 283 
Training school for operators of certain equipment, 
agreement with U.S. for establishment, 186 
Near and Middle East, 9, 382 

Nicaragua, agreement with U.S. amending 1953 agree- 
ment for cooperative program of agriculture, 186 
Pakistan : 

Agreement witli U.S. amending supplementary pro- 
gram agreement of 1953 for technical cooperation, 
186 
U.S.-Pakistan communique regarding aid, 639 
Panama, agreement with U.S. for cooperative pro- 
gram of economic development, 72 
Peru : 

Agreement with U.S. for special technical serv- 
ices, 72 
Agreement with U.S. terminating 1952 agreement 
for agricultural experiment, 544 
Philippines, economic aid program for, 771 
Somaliland, agreement (U.S.-Italy) for technical co- 
operation, 210, 970 
Southeast Asia : 

Address and correspondence (Dulles), 221, 4.32 
Recommendations and report to Congress (Eisen- 
hower), 36, 382 
Surinam, agreement with U.S. for cooperative pro- 
gram of economic development, 38 
Thailand, economic aid, 658 
Turkey, economic aid, 814 
European doctors, FOA program for graduate study in 

U.S. 343 
Executive order on administration of foreign-aid pro- 
grams, 913 
Flood relief. See Floods 



1042 



Department of Stale Bulletin 



Mutual security and assistance programs, U.S. — Continued 
Military aid to — 

Iiulorbina. Sec Indochina : U.S. aid 
Pakistan, IMO 
Thailand, 125 
Presldeut's rejHjrt to Congress (Jan. 1-June 30, 1904), 

381 
Technical cooperation, procedures revised, 382 
Training center in Tuerto Rico for international toch- 

nical cooperation, 57, 205 
University program for technical cooperation, 56 

NAC. See North Atlantic Council 
Nam U, 951, 953 
Narcotic drugs: 

International control, recent developments, article (Mor- 

lock), 366 
Opium protocol ( 10.")3) . See Opium 
Protocol bringing under international control drugs out- 
side scope of 1931 convention and 1946 protocol, 
346, 366, 793 
I'.X. steps to control, 352. 1009 
Narcotic Drugs, Commission on, 366, 367, 369, 370 
Nash, James P., 294, 1004 
Nasser, Gamal Abdel, 2.34, 316, 317 

National defense (see also Mutual defense treaties and 
National security) : 
Overseas bases and offshore procurement, contributions 

to national defense, 249 
Defense exiienditures, statement (Hotchkis), 135, 136 
Military program, U.S., addresses (Eisenhoveer), 361. 

679 
Radar warning system (DEW), U.S. and Canada, .""1.39, 

813, 891 
Role of foreign policy, address (Dulles), 891 
Technology, exchange for defense purposes, agreement 
with Belgium, 712, 752 
National Olympic Day, 1954, proclamation of, 606 
National Science Board, 20 

National security, U.S. {see also National defense) : 
Communism in Latin America, threat to national secu- 
rity. 696 
Executive order establishing re<iuirements for Govern- 
ment employment, 752, 753 
Foreign economic policy and national security, article 

(Kalijarvi), 409 
Recommendations of Cabinet Committee on Mineral 

Policy, 988 
Refugee Relief Act, safeguards in operation of, 455 
Unauthorized transmission of classified information to 
Netherlands Government, 054 
National Security Council, meeting, statement (Eisen- 
hower), 433 
Nationalism : 

Contrasted with communism, 191 
Statement (Dulles), 392 
NATO. See North Atlantic Treaty Organization 
Nauru : 
Future of, U.S. position, 34 
Plant protection convention, international, 670 
Naval vessels. See Ships and shipping 
Navigation, freedom of, U.N. resolution, 966, 1002, 1003 

Index, July to December 7954 



Navigation treaties. See Friendship, commerce, and nav- 
igation 
Near and Middle East (sec also Arab Stales and indi- 
i ill nil I countries) : 
Arms shipments, U.S. policy, 678 
Impact of Western civilization, book (Sanger), 6 
Mutual security program in, report (Eisenhower), 382 
Rural and industrial development, address (Gay), 8 
Suez Canal base agreement. See Suez Canal 
Tripartite Declaration of U}r,0 (U.S., U.K., France), 310. 

318 
U.S. policy in, address (Murphy), 4, 5 
Nepal, U.S. flood relief, 615 
Netherlands : 

Cultural property displaced during World War II, U.S. 

restitution program, 493 
International Bank loan, prepayment, 310 
Refugees, provisions for admission to U.S., 454 
Treaties, agreements, etc. : 

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

466 
NATO, status of international military headquar- 
ters, protocol, 186 
Offshore procurement program, agreement with U.S.. 

347 
Plant protection convention, international, 970 
U.S. use of Netherlands airbase, agreement with U.S., 
269 
U.S. classified information, unauthorized transmission 

by U.S. citizen, 6.54 
U.S. proposed cargo preference legislation, aide-memoire 
protesting, 67 
Netherlands New Guinea, plant protection convention. 

international, 970 
Neutralism in Far East, SOO 
New Guinea, plant protection convention, international. 

670 
New Zealand, collective defense in Southeast Asia : 
Announcement of conference on, 264n., 296)i 
ANZUS statement, 50 

Pacific Charter and Manila Pact, signature, 393, 395n. 
426, 431 
Newbegin, Robert, 354 
Niagara Falls, remedial works, agreement with Canada 

for iiayment of costs, 588, 590 
Nicaragua : 

Agriculture, agreement with U.S. amending agreement 
for a cooperative program and providing financial 
contributions, 186 
Alleged intervention in Guatemala, 26, 30 
Nine Power Conference, London : 
Address (Merchant), 844, 845 
Departure statement (Dulles), 489 
Final act and annexes : 

Brussels treaty, draft declaration and draft protocol, 

516, 522 
German declaration of Oct. S, ,520 (text), 719, 732, 8.53 
German declaration on armaments, 519 
German defense contribution and SACEUR's forces, 

conference paper on, 527 
German sovereignty, 515 
Joint declaration (U.S., U.K., France), 521, 722, 732 

1043 



Nine Power Conference, London — Continued 
Final act and annexes — Continued 
NATO, recommendations, 520 

Statements on military commitments for European 
security: Dulles (U.S.), 519, 523 (text), 845, 854; 
Eden (U.K.), 519, 520, 525 (text), 681, 722, 805, 
845; Pearson (Canada), 520, 526 (text) 
Results and significance : 

Addresses and statements: Aldrich, 649; Conant, 

805 ; Dulles, 519 
NAC resolution, 722 

Report (Dulles) to President and Cabinet, 677 
Soviet views, 905 
U.S. delegation, 489 
Nine Power Conference, Paris : 
Address (Merchant), 845 
Berlin, statement by Foreign Ministers of U.S., U.K., 

and France, 732, 807 
Departure statement (Dulles), 638 
Nine-power communique, 638 
Report (Dulles) to President and Cabinet, 677 
Significance of agreements, address (Conant), 805 
Soviet position, 905 

Texts of agreements relating to Brussels treaty, Ger- 
man sovereignty, and NATO {see also Brussels 
treaty ; Germany, Federal Republic of : Sovereignty ; 
and North Atlantic Treaty), 719 
U.S.-Freuch communique on desirability of early rati- 
fication, 804 
Nitrates, Chilean trade in, 201 
Nixon, Richard, welcome to French Prime Minister upon 

visit to U.S., 804 
Norfolk Island, plant protection convention, international, 

670 
North Africa, U.S.-French communique regarding, 804 
North American defense system (DEW), 539, 813, 891 
North Atlantic Council, Ministerial Meeting (Oct. 22) : 
Meeting suggested by Secretary Dulles, 3(54 
Proposed by Nine Power Conference (London), .522 
Report (Dulles) to President and Cabinet, 677 
Resolution of association with tripartite declaration of 

Oct. 3 (U.S., U.K., France), 722, 853 
Resolution on powers of SACEUR, 720, 852 
Resolution on results of four- and nine-power meetings, 

722 
Statement (Dulles) regarding agenda, 639 
Text of final communique, 732 
U.S. delegation, 639 
North Atlantic oc-ean stations, agreement on, 100, 254 
North Atlantic treaty (sec also North Atlantic Treaty Or- 
ganization) : 
Address (Dillon), 160 
German accession : 

German declaration at Ixtndon Nino Power Confer- 
ence (Oct. 3), .520, 719, 732, 8.53 
Protocol to North Atlantic treaty on accesssion of 
Federal Republic : 
Final communique of NAC, 732 
Listed, 751 

Report to President (Dulles), 849 
Text, 719 
Transmittal to Senate, 847 

1044 



North Atlantic treaty (see also North Atlantic Treaty Or- 
ganization ) — Continued 
German accession — Continued 
Statement (Adenauer), 680 

Tripartite (U.S., U.K., France) declaration at Lon- 
don Nine Power Conference (Oct. 3), 521; NAC 
resolution of association with, 722, 732, 853 
White House consultations on obtaining Senate ac- 
tion, 733 
North Atlantic Treaty Organization (see also North At- 
lantic treaty) : 
Addresses, statements, etc. : 

Contributions to mutual security (Conant), 54 
Defensive character (Dillon), 269; (Dulles), 981 
Forces of (Gruenther), 562 
U.S. early po.sition regarding (Dulles), 524 
Agreements and protocols : 

Headquarters of Supreme Allied Commander Atlantic, 

793 
Status of forces agreement : 
Address (Morton), 156 
Agreement, U.S.-Turkey, relative to implementation 

of, 186 
Greece, adherence deposited, 218 
Status of international military headquarters, 186, 

218 
Status of NATO, national representatives and inter- 
national staff, 218, 426 
Bases, military, 249 
German contributions to, proposals at London Nine 

Power Conference, 516, 519, 527, 845 
SACEUR, strengthening : 
Military commitments : 

British, French, and U.S. statements at London, 

523, 854 
Paris protocol on forces of Western European 
Union, 724, 853 
Nine Power Conference (London), recommendations, 

520, 527 
North Atlantic Council, resolution and final com- 
munique, 720, 732 
President's message to Senate. 848, 852, 853, 854 
Statement (Dulles), 639 
Soviet position regarding, :»7, 398, 309, 903, 904 
North Pacific Fisheries Commission, International, 277 
Northern Rhodesia, agreement on German external debts, 

882 
Norway : 

Air route. U.S.-Scandinavian, via Greenland, agreement 

wilh U.S. on establishment, 2.51, 2.52 (text), 347, 410 

Air transport agreement of 1945 with U.S., agreement 

amending, 251, 252 (text), 347 
Commercial samples and advertising material, inter- 
national convention to facilitate importation, 838 
Surplus property funds, agreement with U.S. amending 

1949 agreement relating to use of, 970 
U.S. proposed cargo preference legislation, aide-memoire 
protesting, 67 
Nuclear physics, address (Conant), 607 
Nuts, import duty on, proclamation, 656 
Nutting, Anthony. 945 
Nyasaland, agrwnient on German external debts, 882 

Deporfmenf of State Bulletin 



0;its Imports: 

I^ffect on ilnini'stic pritT-siipport program, rrosiilent's 

request for investlKiition, 340 
Limitntion, proelamatlun, C57 
Occupation. German.v. termination. Src (ierman.v. Fed- 
eral Uepublic of : Sovereignty 
CK'Oupntiou forces. Sec Armeil forces 
Ocean stalioii.s. Nortli Atlantic. a.i;riH>nient on. 10'.), 254 
Ocean stations. Pacilic, a^repnient with Canada. 186 
OITshore islands. Cliina. .s!H>, '.).">S 
OlTshore procurement program : 

Accomplishments and statistiial report, statement 

(Cook), 5G7 
Agreements witli — 
Belgium. 218. 406 

Greece, regardin;; operation of proirram. 347 
l-uxembourg, aniendini; slandard contract, 254 
Netherlands, 347 

Spain, agreement and agreement amending, 347, 703 
Discrimination against U.S. business and labor, letter 

refuting charges of (Dulles to Ila.vden), 249 
U.S. -Greek, addre.ss (Cannon), 131 
Ogburn. Charlton, .Tr., 714 
Oil: 

Arabian peninsula resources, 6, 7, 8 
Iran, oil negotiations. See under Iran 
Saudi Arabian shipping practices, 64 
Oil Pollution of the Seas and Coasts, International Con- 
ference on, article (Shepheard and Mann), 311 
Olympic Day, National (1954), proclamation of, 606 
Opium, protocol regulating production, trade, and use of 
(19i)3) : 
Accessions and ratifications : China, 38 ; Cuba, 510 ; Den- 
mark, 347; India, 79:!; Japan, 2.54; U.S. 347, .'543 
Article (Morlock), 367 
Statement (I.ord), 1009 
Organization of American States : 
Address (Dreier), 597 
Guatemala, Communist intervention in : 

Communist attempts to supplant OAS action with 

Security Council action, 26, 44, 45, 46, 471 
OAS Council meeting to convoke Foreign Ministers 
meeting: 
Addresses: Dulles, 44; Morton, 122 
Letter of 9 governments requesting, 31 
Postponement of Foreign Ministers meeting, 47n 
Statement (Dreier) before Council, 45 
Relationship to U.N., address (Key), 115 
Outer Mongolia, 449 
Overby, Andrew N., 210 

Pacific Charter : 

Addresses: Barbour, .577; Drumright, 575; Dulles, 431 
47:i; Eisenhower, 678; Lord, 1010; Mahoney, 7.83; 
Murphy, 802, 803 
Listed; 426 
Text, 393 

Transmission to Senate for information. 819, 820, 823 
U.S.-French communique, 534 
Pacific Fisheries Commission, North, International, 277 

Index, July to December 1954 



Pacific Islands, Trust Territory of: 

.Marslialle.se <-oniplaint regarding nuclear tests. See 

Marshall Islands 
U.S. administration, statements (Midkiff), 96, 141 
Pacific Ocean weather station program, agreement with 

Canada for operation, 186 
Page, Howard, 2.33 

I'ahlavi, Mohammad Reza, 230, 266, 491 
Pakistan : 
Collective defense in Southeast Asia : 

Announcement of conference on, 264«, 296n 
Pacilic Charter and Manila Pact, signature, 393, 
395n, 426, 431 
Floods, U.S. aid, 205, .'538 

Joint communique with Turkey on security, 4, 5 
Nationals in South Africa, treatment, position, 783, 784 
Prime .Minister, visit to U.S., 205, (i06, 639 
Treaties, agreements, etc. : 

Flood assistance, agreement with U.S. for, 338, 347 
Pacific Charter and Manila Pact, signed, 393, 395n, 

426, 431 
Plant protection convention, international, 970 
Technical cooperation, U.S., agreement amending 1954 
supplementary i)ri>gram agreement, 186 
U.S. aid, 56, 639 
U.S. chancery building at Karachi, appropriation for, 

378 
U.S. consulate at Dacca closed, 426 
U.S.-Pakistan friendship, address (Hildreth), 492 
Palestine question. See Arab refugees ; Arab States ; and 

Israel 
Pan American Highway. Sec Inter-American Highway 
Pan .\uierlcan Highway Congress, 6th, 109, G66 
Pan American Sanitary Bureau, .''i99 
Pan American Sanitary Conference, 14th, U.S. delegation, 

629 
Panama : 

Aggression, definition, resolution proposed in U.N.. 874 
Relations with U.S., di.scussions with U.S. concerning, 

301 
Treaties, agreements, etc. : 

Boyd-Roosevelt Highway, agreement with U.S. for 

maintenance, 510 
Money orders, agreement on, 882 
I'anel post, agreement on, 882 
Postal Union of the Americas and Spain, convention 

regarding, 882 
Technical cooperation, U.S., agreement for. 72 
Telecommunication convention, international (1947), 
186 
Papua, Territory of, plant protection convention, inter- 
national, 670 
Paraguay : 

Export-Import Bank credit, 463 
Tung oil exports to U.S., restriction, 912 
U.S. Ambassador, confirmation, 286 
Parcel ix)st agreement and final protocol, 882 
Parcel post agreement with Ryukyu Islands, 713 
Paris agreements on European security, documents re- 
lating to Brussels treaty, Gernmn sovereignty, and 
NATO {arc alio Brussels treaty; Germany, Federal 
Republic of: Sovereignty; and North .\tlantic Treaty 
Organization), texts, 719 

1045 



Paris >'ine Power Conferent-e on Earopean security. 

See Nine Power Conference, Paris 
Patent rights and technical information, afireeuient with 
HelKiuin to facilitate interchange for defense purposes, 
712, 752 
Patents, agreement with Germany, 881 
Patterson, Morehead : 

Disarmament, statements in U.N. regarding, 171, 213 
Member, Public Committee on Personnel, 570 
U.S. Representative, with rank of Ambassador, for In- 
ternational Atomic Energy Agency negotiations, 
733. 882 
Patton, Gen. George, memorial, 268 
1 'eace : 

Addresses on: Dulles, 471; Eisenhower, 361, .362, 636, 
675, 980; Key, 702; Merchant, 843; Morton, 155; 
Saltzman, 402 
Joint Anglo-American declaration, 49 
Peace observation mission. Thai request to Security Coun- 
cil lor, 17 ; Soviet veto, 32 
Peace treaty, Japan, Guatemalan ratification, 590 
Peaceful settlement : 

Po.ssible consideration in Charter review, 450 
U.N. action during 195S, 349 
Pearson, Lester B., 50, 526 
Personnel, Public Committee on, 436. 444. 570 
Peru: 

Agricultural experiment program in Peru, agreement 

with U.S. terminating 19.")2 agreement, 544 
Army mission agreement with U.S., agreement extend- 
ing, 186 
Ecuadoran boundary dispute, settlement, communique 

of guarantor states, 84 
Relief supplies, U.S., agreement for duty-free entry and 
defrayment of inland transportation charges, 970 
Technical cooperation, U.S., agreement for special tech- 
nical services, 72 
Pescadores, security relationship to U.S.. statements 

(Dulles), 896, 897, 898 
Petersen, Joseph S., Jr., 6.54 
Petkov, Nikola, 490 
Petroleum. See Oil 
Peurifoy, John E., 333, 466, 690 
Philippines : 

Collective defense in Southeast Asia : 

Announcement of conference on, 264w, 296« 
Pacific Charter and Manila Pact, signature, .393. 395«, 
426, 431 
Economic development, U.S. aid, 771 
Export-ImiX)rt Rank lojin, 212 

Recruitment of citizens for voluntary enlistment in U.S. 
Navy, agreement with V.^. amending 19."i2 agree- 
ment, 283, 590 
Trade agreement with U.S. (1946) revision: 

Extension of free-trade |n'riod, reciprocal, 89. 2."i4 
Kormal openin',' of talks, remarks (Laurel. Uobert- 

son), 542 
Hearings, U.S. notice, 264, 541 
Meeting (Elsenhower, Laurel), 771 
Revision, agreement reached, joint statement, 981; 

remarks (Robertson), 9.S2 
U.S. and Philiiypine delegations, 89, 147, 404 

1046 



Philippines — Continued 
U.S.-Philippine Council : 
Congressional advisers, 296 
Exchange of notes establishing. 14 
Meeting planned, 264 

Statement (Dulles) upon departure for meeting, 364^ 
Veterans hospitals and medical care, agreement vrith 
U.S. amending 1949 agreement for aid, 882 
Phillips, Christopher H., 714 
Phillips, Joseph R, 73 
Physics, Pure and Applied, International Union of, U.S. 

delegation, 61 
Plant protection convention, international, 2.54, 670. 970 
Poland : 

Cultural property displaced during World War 11, 

U.S. restitution program, 497 
Seamen, asylum in U.S., 653, 982, 998, 999, 1001 
Ships, merchant, U.S. note rejecting charges of air at- 
tack on, 241 
Ships, Praca and (lotticuld, U.S. rejection of charge of 
interception : 
Polish and U.S. notes, 982 
Stjitement in U.N. (Jackson), 997, 998, 999 
Treaties : 

Able seamen, convention on certification of, 590 
Safety of life at sea convention, 347 
U.S. request for repatriation of Fields family, 586 
Veterans of World War II in British Isles, provisions 
for admission to U.!^.. 453 
I'olitieal conference, Korea. See Geneva Conference 

(1954) : Korean pha.se 
Pollution of the Seas and Coasts by Oil, International 

Conference on, article (Shepheard and Mann), 311 
Popper, David H., 754 

Postal convention, universal, ratilications de|>osited: Bul- 
garia. &38: France. 2S3 : Hun^'ary. ,590: Ireland. 72; 
Mexico, 83s ; Riunania, 713 
Postal savings books, German, regulations for registra- 
tion, 13 
Postal Union of the Americas and Spain, convention and 

agreements on money orders and parcel post, 882 
Praca, Polish vessel, U.S. rejection of charge by Poland 

of interception, 982, 997, 998, 999 
Press and radio, influence on diplomacy, 763 
Price stabilization in Latin America. 688 
Price-suiUKirt program. elTect of barley and oats imports 

on. President's request for investigation. 340 
Prisoners of war, Geneva convention on treatment of 

(1949), ratifications deposited, 72, 254, 466, 590 
Prisoners of war, German, in Soviet Union, efforts for 

release, (581 
Prisoners of war. U.S. : 

Gift shipments authorized to Communist China. 213 
Ueport on. U.N. Command recpiesl to (^ommunists for, 

379 
U.S. fliers, trial and imprisonment by Conuuuuist China : 
Protest, U.S., 8.56 

Statements : Eisenhower, 887 : Jackson. 962 
Statements and letters in U.N. (Ixjdge), 931 
U.K. statement in U.N., 045 
U.N. resolutiim of condemnation, 932 
Private enterprise, strengthening, objective of national 
atomic energy policy, '22S 

Deparlment of State Bulletin 



Private Investment capital. Sec Investment of private 

capital 
Proiiauiations by the President : 

Almonds and filberts, import duty on, 656 

Barley import quota, 818 

Clover see<i imports, chaiiRe in rate of duty, 107 

Copyright relations with India, 791 

•Jerked beef, termination of duty-free entry lor Puerto 

Rican sale, 132 
Natii>nal Olympic Day (1&54), 606 
Oats imixirts, limitation, QTu 
Trade a^Teement with Switzerland, moditication of 

U.S. tariff concessions, 275 
Trade with Philippines, extension of free-trade period, 

89 
United Nations Pay (1954). 20 
United Nations Human Rights Day (1954), 963 
Pr(X'urement, offshore. Sec Offshore procurement 
Procurement, standardization of FOA procedures, 77S 
Productivity ajrreement with El Salvador for cooperative 

program in El Salvador, 510, 838 
Propaganda. Communist. See under Communism and 

Soviet Socialist Republics 
Public Committee on Personnel : 

Address and statement: Dulles, 444; Saltzman, 436 
Reconvening, 570 
Public Education, 17th International Conference on, U.S. 

delegation, 33 
Public Health. See Health 
Publications : 

Congress, lists of current legislation on foreign policy, 

37, 71, 183. 222, 284, 385, 696, 793 
Exchange of official publications, agreement with Fed- 
eral Republic of Germany, 752, 791 
State Department : 
Bulletin and Prens Releates, 25th anniversary of pub- 
lication, 477 
Foreign Rehitions of the United Staten, published: 
1937, vol. Ill (Far East), 73 
1937. vol. IV (Far East), 544 

1937, vol. V (American Republics), 714 

1938, vol. Ill (Far East), 1013 

Guatemalan Communist Party, summary of State 

Department document on, 237 
Korean Problem at the Genera Conference, Apr. 26- 

June 15, 195.1,, published, 573 
Lists of recent releases, 37, 110, 322, 334, .546, 754, 794, 

882, 1014 
London and Paris Agreements, published, 719 
United Nations, lists of current documents, 15, 150, 217, 
277, 379, 465, 549, 788, 1012 
Puerto Rico : 

FOA cooperative training program, 57, 205 
Second anniversary of Commonwealth, address (Hol- 
land), 205 
Self-government, 348 
Purse, Victor, 714 
Pyun, Yung Tai, 951, 952, 956 

Quemoy, shelling by Communists, 958, 960 

Raab, Julius, 909 

Index, July to December 1954 



Rabat, Morocco, closing of U.S. consulate, 426 
Radar warning system (DEW), U.S. and Canada, de- 
velopment, 539, 813, 891 
Radio and press, influence on diplomacy, 763 
Radio Union, International Scientilic, U.S. delegation, 216 
Radios, community, agreement with Greece for transfer 

to Greeoe, 386 
Radius, Walter A., 7.->4 

Rundall Commission, shipping recommendations, 66, 67, 68 
Raslvorov, Yuri A., |«)liti('al asylum in M.S., Ii71 
Reciprocal aid (and lend-lca.se, surplus war property, and 
claims), agreement with Australia amending 1949 
agreement, 510 
Reciprocity Information, Committee for, notices on tariff 

negotiations, 509, 770 
Reconstruction and Development, International Bank for. 

See International Bank 
Refugee Relief Act (19.53) : 
Article (Auerbach), 452 

Implementation, President's letter urging State com- 
mittees, 239 
Refugees and displaced persons: 

Admission to U.S. under Refugee Relief Act (1953), 

239, 452 
Arab refugees. See Arab refugees 
"Escapee" defined, 452 

Escapees from Soviet bloc countries, 707, 708 
Forcible repatriation, U.S. jKisition, 707 
Intergovernmental Committee on European Migration, 
U.S. delegation and draft provisional agenda, 880 
International fund for aid to. General Assembly re.solu- 

tion authorizing. 705, 70S 
"Refugee" defined, 452 
Soviet false accusations regarding free world position, 

707, 709 
State Department resiwnsibilities : 
Article (Auerbach), 456 
Departmental circular, 793 
U.N. High Commissioner's Advisory Committee on Refu- 
gees, 5th session, 1011 
U.S. position and proposals for international aid, state- 
ment (Johnson), 703 
Viet-Nam, North, evacuation of persons, U.S. aid, 241, 
265, 336, 473, 534, 735, 736 
Regional arrangements or organizations (see also Col- 
lective security and .Mutual defense treaties) : 
Address (Merchant), 328 
Asia. See Asia : Collective security 
Europe. See Europe : Collective security 
Latin America. See Organization of American States 
Question of primary responsibility in peaceful settle- 
ment, addres.ses and statements : Dreier, 46 ; I>ulles, 
44, 45, 472 ; Lodge, 29 
Relationship to U.N. collective security system, 115, 
244, 245, 782, 783 
Relief and rehabilitation. See Arab refugees; Refugees 

and displaced i)ersons ; and individual countries 
Relief supplies, U.S., agrwment for duty-free entry and 
defrayment of inland transportation charges with 
Afghanistan, 218 ; Bolivia, 218 ; Egypt, 793 ; Honduras, 
630; Jordan, 150: Liberia. 6."50; Peru. 970; Viet-Nam, 
510 

1047 



Relief supplies, U.S., agreement with China amending 

1948 agreement, 882 
Resources Policy, Cabinet Committee on, 199 
Retained rights in Germany, exercise of, tripartite agree- 
ment (U.S., U.K., France), signed, 731 (text), 7.52, 
848, 851 
Reynosa, Mexico, U.S. consulate closed, 73 
Rhee, Syngman : 

Statement with Pre.sident Eisenhower on unification 

of Korea, 197 
Visit to U.S. for discussions, 123 
Rice Commission, International : 

Laos, acceptance of constitution, 34(5 
Members of, 630 
Rieger, John P., 882 

Rio de Janeiro meeting of Ministers of Finance or Econ- 
omy. See Finance or Economy, Meeting of Ministers 
of 
Rio Grande, floods in Mexico, 84 

Rio Pact. See Inter-American treaty of reciprocal assist- 
ance 
Road vehicles, customs convention on temporary importa- 
tion of, article (Kelly), 93 
Robbins, Robert R., 145 
Robertson, Walter S. : 

Far East, Communist goals and tactics in, address, 259 
Philippine trade agreement revision, remarks, 542, 982 
Visit to Formosa, 614 
Roxborough, John Walter, II, 354 
Ruiz Cortines, Adolfo, 84 
Rumania : 

Ambassador to U.S., credentials, 956 
Communist suppression, 339 
Geneva conventions on prisoners of war, etc., 72 
Postal convention, universal, 713 
Russell, Donald, 570 
Ryukyu Islands : 

Parcel post agreement with U.S., 713 
Status, 766 

SACEUR. Sec under North Atlantic Treaty Organiza- 
tion 
Safety of IJfe at Sea, Conference on, regulations for 
preventing collisions at sea, list of countries accepting, 
713 
Safety of life at sea convention, 149, 347 
St. Lawrence River power develupment project, launching, 

message (Eisenhower), 207 
St. Lavv'rence seaway : 
Discu.ssions, U.S. and Canada: 

Inauguration, exchange of notes, .50 
Communique, 125 
Conclusion, 299 
Navigation facilities, agreement witli Canada for con- 
struction, 300, 347 
St. Lawrence Seaway Development Corp.. administra- 
tor, 91 
U.S. Army Corps of Engineers to aid, 463 
Saltzman, Charles E. : 
Addresses, 402, 436 

Member, Public Committee on Personnol, ,570 
Under Secretary of State for .\<lniiiiislraliiiii, confirma- 
tion, 73 



Salvage at sea, convention for unification of rules re- 
garding, 109 
Samoa, Western, progress under trusteeship, statement 

(Robbins), 145 
San Luis Potosi, Mexico, U.S. consulate closed, 73 
Sanborn, Frederic R., 341 
Sanger, Richard H., 6 

Saudi Arabia, violation of Aramco concession, 64 
Scandinavian-U.S. air route via Greenland, agreements 
with Denmark, Norway, and Sweden establishing, 251, 
252 (text), 347,410 
Scientific Radio Union, International, U.S. delegation, 216 
Seamen, able, convention on certification of, 590 
Seamen, Polish, asylum in U.S., 653, 982, 998, 999, 1001 
Sears, Mason, statements in U.N. : 

Marshall Islands petition to U.N., 137, 139, 140 
Togoland unification problem, 62 
Trust territories, 34 
Sebald, William J., 754 
Secretariat, U.N., documents listed, 217 
Security, collective. See Collective security and Mutual 

defense treaties 
Security, national. See National security 
Security Council, U.N. (see also United Nations) : 
Documents listed, 150, 217, 379, 550 
Guatemala, Communist intervention in, recognition of 
primary responsibility of regional organizations, 
addresses and statements ; Dreier, 46 ; Dulles, 44, 
45 ; Key, 115 ; Lodge, 26 
Soviet attacks on U.S. aircraft: 

1952 attack on B-29 off Hokkaido, text of U.S. note 

to be circulated, 579 
1954 attack in Sea of Japan, U.S. appeal to Security 
Council, statement (Lodge), 417 
Thai request for peace observers, Soviet veto, 32, 121 
Voting procedure : 

Admission of new members to U.N., applicability of 

veto, 87, 88, 739 
Possible review, 297, 298, 449, 450, 476, 740 
Soviet abuse of veto, 28, 32, 449, 450, 477, 740, 828, 829 
Self-determination : 

Concept of, in American thought, address (Barbour). 

576 
Interpretations of principle of, in U.N. draft of human 

rights convenants, 877, 878, 879 
Joint Anglo-American declaration upholding principle 

of, 49 
Togoland unification problem, 62 
U.S. sui)port for principle of, 163, 348, 451, 1010 
Senate, U.S. (see also Congress) : 

Communist intervention in Western Hemisphere, reso- 
lution on, 29 
(ierman sovereignty, resolution on, 284 (text), 434, 435, 

&-)0 
Soviet accusations against, 28 

U.N. Charter review, hearings and studies, 440, 447, 738 
U.N. technical assistance program, opinion. 920 
Sheplieard, Rear Adm. H. C, 311 
Ships and shipping: 
Antarctic plans, exchange of information on, 817 
Cargo preference principle, U.S. iir(>i)oscd legislation, 
statement (Kalijarvi) and jirotesls l)y foreign 
countries, 63 



1048 



Department of State Bulletin 



Ships 1111(1 shipping — Continued 

Collisions at sen, roKUliitiotis fur preventing, list of 

countries accepting, 71.'{ 
Polisli ships, charges against U.S. Noc under I'oland 
Soviet chiirKes concerning U.S. activities in Cliiua seas, 

U.S. rejection, 900, ".KM! 
Soviet tanker, alle^jed U.S. interception. Sec "Tuapse" 
Treaties, afjrecments, etc. : 

Interfidvemnientai Maritime Consultative Organiza- 
tion, convention on. Id!), 426, 670 
Load line convention, international, 1-li), 283 
Safet.v of life at sea convention, l-li>, 347 
Salvage at sea, convention for unitication of niles 

regarding, 109 
U.S. naval vessels, agreement for loan to ,Inp,in, ."iS 
U.S. suhmariues, agreement for loan to Turkey, 186 
U.S. and foreign shipping, Chinese Comiiiuiiist attacks 

on ( 19r)0-,")4 ) , statement (Lodge), .")0,"> 
U.S. vessels, loan to Italy, 987; .lapan, 38, 044; Turkey, 
1S6 
Shivers, Gov. Allan, 124 

Slavery convention of 1926, protocol amending, and annex : 
Acceptances deposited, 283, 347, 670, 970 
Signatures, 109, 1S6, 386, 426, 543 
Smith, ('apt. Donald C, 303 
Smith, Sen. H. Alexander : 
Delegate, Manila Conference and U.S.-Philippine Coun- 
cil meeting, 296, 392, 433 
Statements in U.N. : 

Indians in South Africa, treatment of, 783 
Korean question, 954 

U.N. technical assistance program, U.S. interest in, 
926 
Smitli, Walter Bedell : 
Addresses, statements, etc. : 

America's primary interests in Asia, 191 

Base rights agreement with Libya, 396 

Indochina phase of Geneva Conference, statement of 

U.S. unilateral declaration, 102 
Korean political conference, question of resumption, 

953 
U.S. foreign policy, understanding problems of di- 
recting, 530 
Hakodate typhoon, correspondence regarding loss of 

lives. 541 
Indochina, U.S.-French talks, communique, 534 
Under Secretary of State, resignation as, .306 
Solidarity, Declaration of (Caracas) : 
Address (Key), 117 

Senate resolution reafBrming support, 29 
Somaliland : 

I<^]ture of, U.S. position, 34 
Joint technical cooperation fund, U.S.-Italy, 210 
U.S. technical cooperation program, agreement. U.S.- 
Italy, 970 
South Africa, Union of: 
Ambas.sador to U.S., credentials, 645 
Indians, treatment. General Assembly resolution, text 

and U.S. views, 783 
U.N. forces in Japan, agreement on status of, acceptance, 

882 
U.S. Amha.ssador, apiwintment, 466 

Index, July to December 1954 



Soutli Asia. Sec Asia 

Soulli I'acilic Commission, 146 

Soutlieast Asia. .S'rc Asia 

Southeast Asia collective defense treaty and i)roto<i)l. 

See Manila Pact 
South West Africa, protocol regarding narcotic drugs, 793 
Soviet bloc, U.S. export policy : 
Revisions in Battle Act embargo list, 372 
Security export controls, announcement (Weeks), 373 

377 
Stutcnient (Hotchkis), 247 
Soviet Socialist Republics, Union of (nee also Com- 
munism) : 
Aggression, definition, resolution proposed in U.N., 

871, 874 
Aggression, world domination as Communist aim, 327 
Atomic pool proposals, position on : 
Correspondence with U.S., 478 

Rejection of U.S. proposals, addresses and statements : 
Dulles, 273, 473: Eisenhower, 733; Hotchkis, 134; 
Lodge, 743, 744; Murphy, 293; Patterson, 176; 
Strauss, 229 
U.N. draft resolution, Soviet position and profKised 
amendments, statements (Jackson, Lodge), 828, 
918, 920, 921, 924, 925, 925» 
Austrian state treaty, obstruction, 472, 907 
Communist China, Soviet efforts for U.N. membership, 

121, 401, 507n 
Diplomats, Western, in Moscow, treatment, 966 
Disarmament, position on. See under Disarmament 
Eet)nomic jwlicies, 415 
EDO, position on, 399 
Escapees from, 707, 708 

Europe, aggression in, 120, 159, 202, 203, 327 
European security, position on. See Europe: Collective 

security 
Far East, aggression in, 571 
Foreign Jlinisters conference, proposal for, 402 
German prisoners of war in, U.S. and German efforts 

for release, 681 
German unification and rearmament, position on, 399, 

4(X), 402. 903, 904, 905, 906 
Guatemala, Communist intervention in, Soviet obstruc- 
tions to OAS action, address and statements : Dreier, 
46; Dulles, 44: Key, 115, 116, 117, 118; Lodge, 26 
Human rights, U.N. draft covenants, interpretation, 

878 
Indochina, position regarding. Sec Geneva Conference 

(1954) : Indochina pha.se 
Korea, position regarding. See Geneva Conference 

(19.54) : Korean phase 
Manila Pact, denunciation, 433 

NATO, allegations regarding, 397, 398, 399, 903, 904 
Nuclear explosions, 700 
Propaganda against U.S., statement in U.N. (.lackson), 

957 
Propaganda campaign in U.N., IS, 1,3(1, 13!t, 140. 171, 996 
Propaganda organization, addresses : Cabot, 097 ; Dulles, 
890, 892; Eisenhower, 359; Gruenther, 564; Mer- 
chant, 328 
Rastvorov asylum case, 271 

Refugees, false accusations regarding free world posi- 
tion, 707, 709 

1049 



Soviet Socialist Republics, Union of {see also Com- 
munism) — Continued 
Rumania, suppression, 339 
Sliips, tanker "Tuapse." See "Tuapse" 
Thailand, request for peace observers, Soviet veto in 

Security Council, 32, 121 
Trade, international, resolution submitted to U.N. Eco- 
nomic and Social Council, 247 
Treaties, agreements, etc. : 

Customs, tariffs, protocol modifying convention on, 

283 
Safety of life at sea convention, 149 
Underdeveloped areas, subversion, 293, 411, 800, 801 
U.N., attitude regarding, 158, 473 
U.N., record in, 88, 89 

U.N. specialized agencies, policj' toward, 19, 158 
U.S. aircraft, attacks on. See Aircraft, U.S. 
U.S. Ambassador, return to Moscow, 9(i6 
U.S. attaches declared persona non grata, 90 
U.S. Embassy employees, illegal detention, U.S. protest, 

274 
U.S. fliers, imprisonment by Communist China, allega- 
tions regarding, 933, 934, 937, 938, 939, 943, 945, 
946, 947 
U.S. Senate, Soviet allegations against, 28 
Veto in Security Council, abuse of, 28, 32, 449, 450, 477, 
740, 828, 829 
Spain : 
Amibassador to U.S., credentials, 734 
Arms, possible shipment to Egypt, 317, 318 
Treaties, agreements, etc. : 

Air transport agreement of 1944 vcith U.S., agree- 
ment amending, 149, 184, 219 
(Jerman external debts, agreement on, 510 
Mutual defense assistance agreement with U.S., agree- 
ment confirming arrangements for a facilities as- 
sistance program, 752 
Offshore procurement, agreement with U.S. (July 30), 

847 
Offshore procurement, agreement with U.S. amend- 
ing July 30 agreement, 793 
Postal Union of the Americas and Spain, convention, 
882 
U.S. proposed cargo preference legislation, note verbale 
protesting, 68 
Sparks, Edward J., Oil, 970 

Specialized agencies, U.N. {see also name of agency) : 
Activities during 1953, 350, 351, 352, 353 
Address (Key), CM 
Soviet attitude toward, 19, 158 
Stable isotopes, export, 59 
Stassen, Harold E., 372 

State Department {see also Foreign Service) : 
Administrator, Bureau of Insi)ection, Security, :ind Con- 
sular Affairs, functions and authorities, 2S() 
Agricultural surplus disp<isal program, functions of De- 
partment, 501, 502 
Appointments and designations, 110, 150, 254, 286, 322, 

3!)4, 714, 7.'")4, 882, 970 
A.ssistant Secretary of State (Carpenter), confirmation, 

73 
Assistant Secretary of State for Personnel and Ad- 
ministration, functions and authorities, 286 

1050 



State Department (see also Foreign Service) — Continued 
Awards for meritorious service, remarks at ceremony 

(Dulles, Eisenhower), 635, 636 
Confirmations, 73, 306 

Departmental Inspection Service (DI), office designa- 
tion, 714 
Employees, number of, 437 
Foreign-aid functions, Executive order, 913 
Integration of Foreign Service and Civil Service: 
Address and statement : Dulles, 444 ; Saltzman, 436 
Reconvening Public Committee on Personnel, 570 
Loyalty case of John Paton Davies, Jr., determination 

in, 752 
Metals and Minerals Staff, abolishment, 254 
Problems of directing U.S. foreign policy, statement 

(Smith), 530 
Publications. See tinder Publications 
Refugee relief program, responsibilities, 456, 793 
Resignations and retirements, 286, 306 
Security regulations. Executive order establishing. 752 
Under Secretary of State, resignation ( Smith) , 306, 530 ; 
confirmation and assumption of duties (Hoover), 
306, 561 
Under Secretary of State for Administration, functions 
and authorities, 285; confirmation (Saltzman), 73, 
571 
Status of forces agreement, NATO. See North Atlantic 

Treaty Organization 
Status of international military headquarters, NATO, pro- 
tocol on, 186, 218 
Status of NATO, national representatives and interna- 
tional staff, 218, 426 
Steel, Cuban request for renegotiation of U.S. tariff con- 
cession, 276 
Steel industry, German, reorganization, 654, 992 
Stockholm Peace Appeal, 175 
Strategic materials: 

Battle Act embargo list revisions, 372 
Export to Austria, U.S. procedures, 309 
Metals and minerals, production and use, 988 
Stockpiling program, U.S., 81, 339, 988 
Straus, Robert W., 626 
Strauss, Lewis L., 227, 976 
Streibert, Theodore, 963 
Strong, Curtis, 34 
Stuart, R. Douglas, 50 
Student-exchange program. f!ee Educational exchange 

program. 
Submarines, U.S., agreement for loan to — 
Italy, 987 
Turkey, 186 
Suez Canal base, Anglo-Egyptian agreement: 
Agreement-in-principle ("Heads of Agreement") : 
Effect on U.S. policy, correspondence between Repre- 
sentative Celler and State Uepartnient, 316 
Exchange of messages (Dulles with Eden, Fuwzi. and 

Nasser), 234 
Statement (Dulles) and text, 198 
Final agreement, statement (Dulles) and text, 734 
Sugar agreement, international. 218. 386, 670 
Sugar iniiM)rts, con ver.sa lions willi Cuba, 815 
Supreme Allied Conunander, Euroi>e (SACEUR). See 
under North Atlantic Treaty Organization 

Department of State Bulletin 



Supreme Itestitiitlon Court fur Herlln, 341 
Surinam : 

Economic development, iiKiceuu ul with U.S. for co- 
operative program for, 38 
Plant protection convention, international, 1)70 
Surplus agricultural commodities. See Agricultural sur- 
pluses 
Surplus property, agreement with Federal Republic of 
Oermany for reduction of indebtedness of Federal 
Republic for certain claims under 1953 agreement, 
318, 347 
Surplus property, agreement with .Norway amending 1049 

agreement for use of funds from sale of, 970 
Surplus war i>roi)erty (and lend-lease, reciprocal aid, and 
claims), agreement with Australia amemliug 1949 
agreement, 510 
Sweilen : 

ImiKjrt license requirements, 502 
Treaties, agreements, etc. : 

Air route, U.S. -Scandinavian via Greenland, agree- 
ment with U.S. on establisbment, 251, 252 (text), 
347, 410 
Air transportation agreement of 1944 with U.S., agree- 
ment amending. 251, 252 (text), 347 
Slavery convention of 1926, protocol amending, 386 
U.S. proposed cargo preference legislation, memoran- 
dum protesting, 67 
Switzerland : 

Bills of lading, international convention for unification 

of rules relating to, 109 
Load line convention, international. 149 
Safety of life at sea convention, 149 
Salvage at sea, convention for unitication of rules re- 
garding, 109 
Trade agreement with U.S., modification of tariff con- 
cessions on watch movements, 274 
Switzerland. American Society for Friendship with, 843 
Synthetic drugs, protocol (1948), 1009 
Syria : 

Aggression, definition, resolution proposed in U.N., 875 
Jordan Valley project, progress toward acceptance of 

workable plan, 4, 12, 132 
Navigation on high seas, draft resolution in U.N., 996, 

1001, 1003 
Slavery convention of 1926, protocol amending, 347 

Tachen Islands, bombing, 960 

Taiwan. See Formosa 

Tananarive. Madagascar, closing of U.S. consulate, 37, 

544 
Tappin. Jobn L., 544 

Tariff i>olicy, U.S. {see also Customs and Trade agree- 
ments) : 
Address (Morton), 203 

Almonds and filberts, import duty on, proclamation, 656 
Barley imports, 340, 817 

Clothespins, retention of present import treatment. 990 
Clover seed imports, change in rate of duty on, proc- 
lamation, 1G7 
Figs, dried, Imports, 463, 767 

Fish products, question of import duty and (luuta, 166. 
767 

Index, July to December 1954 



Tarifl" policy, U.S. (»ce also Customs ami Trade agree- 
ments) — Continued 
Glassware, hand-blown, retention of present duty on, 

460 
.lerkcd beef, termination of duty-free entry for Puerto 

Rican sale, 132 
Latin America. U.S. position, 81, 82 
Lead and zinc, retention of present duty on, 339, 371 
Oats Imiiorts, 340, 657 
Quotas, 773, 774, 775 

Watch movements, modification of concessions to Switz- 
erland, 274, 371 
Tariffs and trade, general agreement on: 
Addresses: Aldrich, 0,52; Morton, 203 
Continued application of schedules, declaration on, 38 
Contracting parties, 9th session: 
Message (Eisenhower), 774 
U.S. delegation, 711, 772n 
U.S. objectives, statement (Waugh), 772 
Cuba, request for renegotiation of tariff concession on 

steel, 276 
General provisions, possible revision: 
Public hearings, scheduled, 310, 425 
Public hearings, statement (Waugh), 458 
Status of tariff concessions, 508 
India, request for renegotiation of tariff concessions, 

185 
.Tapan : 

Accession to, steps toward, 204, 767, 769, 770, 802 
Commercial relations between certain contracting par- 
ties and Japan, declaration regulating, 149, 543 
Rectifications and modifications to texts of schedules: 
Second protocol, 283, 793; third protocol, 109, 283, 
751 
Trade agreement negotiations under, notice of hear- 
ings, 767 
Taxation : 

Double taxation, avoidance of. See Double taxation 
Tax treatment of the forces and their members, con- 
vention on, amended, 729 
U.S. airline companies, agreement with Germany for 

exemption of certain taxes, 219 
U.S. exiienditures for common defense, tax relief, agree- 
ment with — 
Germany, 905 
Turkey, 18G 
U.S. investors abroad, tax incentives, statement (Hum- 
phrey), 869 
Teachers, FOA training center in Puerto Rico, 57, 205 
Technical assistance program, U.N. See under United 

Nations 
Technical conference on atomic energy. See under Atomic 

energy, peaceful uses 
Technical cooperation program, U.S. See Mutual security 

and assistanc-e programs 
Technology, exchange of, for defense purposes, agreement 

with Belgium, 712, 752 
Telecommunication convention, international (1947), 186, 

713 
Telecommunication convention, international (19.52), with 
annexes and final and additional protocols, ratifica- 
tions deposited, 72, 186, 386, 42C, 543 

1051 



Telecommunications Policy and Organization, Cabinet 

Committee on, establishment, 778 
Telegraph resulations (J.949) annexed to international 

telecommunication convention (1947), 713 
Territorial waters, subject of consideration by Interna- 
tional Law Commission, 423 
Texas A. and M. College, FOA contract for technical co- 
operation overseas, 56 
Thailand : 
Collective defense in Southeast Asia : 

Announcement of conference on, 264»i, 296jt 
Pacific Charter and Manila Pact, signature, 393, 395m. 
426, 431 
Foreign forces in Burma, aid in evacuation, 709 
Investment guaranties, agreement with U.S., 464, 630 
Peace observers, request for, Soviet veto in Security 

Council, 17, 32, 121 
Tin concentrates, agreement with U..S. for sale and 

purchase, 386 
U.S. aid, 125, 658 

U.S. Ambassador, appointment, 466 
Thompson, Llewellyn E., 555, 556, 558 
Thompson, Tyler, 970 
Thornton, Gov. Dan, 124 

Three powers, convention on relations with Federal Re- 
public of Germany, amended, 729, 849, 851 
Tin, Bolivian trade in, 202 
Tin concentrates, agreement with Thailand for sale and 

purchase, 386 
Tito, Marshal, 613, 614 
Togoland unification prolileni, statement (Sears) and 

draft resolution in U.N., 62 
Touring, convention concerning customs facilities for, 

article (Kelly), 94 
Tourism. See Customs and Travel, international 
Trade (kcc aUo EJconomic policy and relations, U.S.) : 
Agricultural Trade Development and Assistance Act. 

Hce under Agricultural surpluses 
Agriculture and U.S. foreign trade (see oZso Agricultural 
surpluses ), address (Morton), 200; statement (Eisen- 
hower), 499 
Battle Act and inteniaticmal eniliar;,'(> lists, revisions, 

372 
Bolivian economy, address (Morton). 202 
Cargo preference principle in merchant shipping. U.S. 

proposed legislation, 63 
Chilean economy, address (Morton), 201 
China, <'ommunist, remarks (Smith), 195 
East-West trade : 
Embargo lists, 372 
Statement (Hotchkis), 247 
Export-Import Bank loans. Sec Export-liuiiort Bank 
Exports, U.S. <S'ee Exports 
Foreign e<'onomic ix)li('y and national security, article 

(Kalijarvi), 409 
Free world economy, improvement, statement (Hum- 
phrey) and message (Eisenhower) to joint session 
of Boards of Governors of I'und and Bank, 5-18 
Imports. See Imports 

Japan, ecotuimic jiosilion, addresses and statement: 
Dulles, 204; Morton, 121, 204 

1052 



Trade (see also Economic iiolicy and relations, U.S.) — ■ 

Continued 

Latin America, trade with, addresses and statement: 

Bennett, 207: Boban. 538: Cale, 79; Dreier, 598; 

Humphrey, 865 : Kalijarvi, 413 

Liberalization of U.S. policies, need for, addresses: 

Aldrich, 649 ; Murphy, 802, 803 
Philippines, trade with. See under Philippines 
Removal of obstacles to international trade, statement 

(Hotchkis), 246 
Swedish import license requirements, 502 
Tariff policy, U.S. See Tariff jwlicy 
Treaties, agreements, etc. : 

Bills of lading, international convention for unifica- 
tion of rules relating to, 109 
Commercial samples and advertising material, inter- 
national convention to facilitate importation. 38, 
466, 838 
Friendship, commerce, and consular rights, treaty 

with Genuany (1923), 38, 713, 882 
Friendship, commerce, and navigation, treaty with 

Germany, 681, 752 
Friendship, commerce, and navigation, treaty with 

Greece, 72, 466, 670, 712 
Tariffs and trade, general agreement on. See Tariffs 

and trade 
Trade agreements. See Trade agreements 
Tung oil exports to U.S. from Argentina and Paraguay, 

restrictions, 912 
U.N. program concerning international trade during 

ia-,3, 351 
U.S. Foreign Service, trade functions, 85 
Western European economy, address (Morton), 202 
Ti'ade agreements : 

Japan, notice of U.S. intention to negotiate, 767 

Philippines. See under Philippines 

Switzerland, modification of T'.§. tariff concessions on 

watch movements, 274 
U.S. program, statement (Humphrey), 548 
Trade Agreements, Interdepartmental Committee on, 

notices regarding tariff negotiations, 509, 769 
Trade Agreements Act, amendment, letter (Eisenhower), 

774 
Trademark protection, declaration, U.S.-Viet-Nam, respect- 
ing rights of nationals, 926 
Trademarks, German and Japanese in U.S., blocked. 70 
Travel, international (see alxo Customs), encouragement, 

913, 014 
Treaties, agreements, etc., international (for specific 
treaty, see country or subject), current actions on, 
listed, 38, 72, 109, 149, 186, 218, 254, 283, 320, 346, 
386, 426, 466, 510, 543, 58!), 630, 670, 713, 751, 793, 
838, 882, 926, 970, 995 
Trieste, Free Territory of, four-power agreement (U.S., 
T'.K., Italy, Yugoslavia) : 
Address (Aldrich), 64!) 
Department announcement, 555 
Final communique, NAC, 733 
Map of territory, 557 

Memorandum of understanding and special statute on 
protection of minorities, 556, ,590 

Department of Sfafe Bulletin 



Trieste, Free Territory of, four-power agreement (U.S., 
U.K., Ital.v, YiiBO.slnvln ) — Continued 
Message (Dulles) to Italian antl Yuf;t>slav Foreign 

Ministers, 561 
Message (Eisenhower) to Presidents of Ital.v and Yugo- 
slavia and replies, (il3 
Statement ( Dulles) , '>r>6 

Terminal ion of Allied Military Government, exchange 
of letters (V. S., U. K.. Italy). 55") 
Trliwrtite Dwlaration of l!r>0 (U.S., U.K., France) con- 
cerning Middle Fast, .'ilG, 31S 
Tro<)i>s, U.S. ^'<•(' Armed forces 

Trout-labeling hill, veto statement (Eisenhower), 4(!2 
Truman, Harry S., point-four program, 8 
Trust territories, U.N. : 

Marshall Islands, i'cc Marshall Islands 

Nauru, future of, U.S. position, 34 

I'aciflc Islands, U.S. administration, statements (Mid- 

kiff),96, 141 
Samoa, Western, progress, statement (Robbins), 145 
Somaliland, future of, U.S. position, 34 
Togoland, British, unification problejn, 62 
U.N. action during 1953, 352, 353 
Trusteeship Council, U.N. : 

Documents listed, 150, 277, 380 
Resolutions : 

Marshall Islands petition, 139 

Togoland unihcation problem, U.S. draft resolution, (52 
Tuapse, Soviet tanker, U.S. rejection of charge of intercep- 
tion of : 
Soviet and U.S. notes, 51, 131, 900 
Statement in U.N. (Jackson), 996, 997, 998 
Tung oil exports to U.S., restriction, 912 
Tunisia, postal convention, universal, 283 
Turkey : 

Exchange of commodities and sale of grain, agreement 

with U.S., SS2 
Joint communique with Pakistan on security, 4, 5 
NATO, agreement with U.S. on implementation of 

agreement on status of forces, 186 
Statute of ICJ, declaration under art. 36, renewal de- 
posited, 149 
Taxation, Turkish, on U.S. expenditures for common 
defense, agreement with U.S. for relief from, 186 
U.S. aid, agreement for, 814 
U.S. submarines, agreement with U.S. for loan, 186 

Ukraine : 

Geneva conventions on prisoners of war, etc. (1949), 466 
Genocide convention, 970 

UNESCO, constitution of, signature and acceptance de- 
posited, 149 
Underdeveloped countries : 
Atomic energy agency, question of participation, 836 
Communist subversion, 293, 411, 800, 801 
Economic position, addresses : Murphy, 800; Waugh, 646 
Financing of economic development : 
Article (Kalijarvi), 412, 416 
Colombo Plan. See Colombo I'lan 
Proposed International Finance Corp., statements : 

Humphrey, 868; Ix)dge, 813 
Statements: Dulles, 893, 966; Hotchkis, 280; Straus, 
626 

Index, July fo December 1954 



Underdeveloped countries — Continued 

SiK-i-ial treatment in (!A'rr, consideration of, 459, 776 
Trade Development and Assistance Act, Agricultural. 

See under Agricultural sun>luses 
U.N. aid (see also United Nations: Technical assistance 

program), 3.50, 351 
U.S. iK)licy : Address (Truman), quoted, 8; .statement 
(Dulles), 9(!6 
UNESCO : 

Constitution of, 149 

General Conference, 8th session, U.S. delegation, 837 
Union of South Africa. See South Africa 
Union of Soviet Socialist Republics. See Soviet Social- 
ist Republics 
United Fruit Co., expropriation of lands by Guatemalan 

(loveriiment. 44, 236 
United Kingdom : 
Airliner, attack by Chinese Communists. See Aircraft, 

British 
Anglo-American joint statement and declaration on in- 
ternational matters, 49 (text), 148, 149; ANZUS 
approval, 50; German approval, 90 
Antarctic plans, 817 
Armed forces in Europe, commitments : 
Protocol to Brussels treaty, 725, 854 
Statement (Eden) at London Nine Power Conference, 
519, 520, 525 (text ) , 681, 722, 805, 845 
Austrian state treaty, efforts for, report to U.N., 907 
Collective defense in Southeast Asia : 

Announcement of conference on, 264», 296n 
Pacific Charter and Manila Pact, signature, 393, 39.5n., 
426, 431 
Commissioner General in Southeast Asia, visit to U.S., 

408 
Cultural property displaced during World War II, U.S. 

restitution program, 493 
Disarmament, position on, 174, 178, 182, 661 
European treaty for collective security, Soviet propo- 
sals for, position, 397, 901 
Germany, termination of occupation. See Germany, 

Federal Republic of : Sovereignty 
Germany, tripartite declaration (U.S., U.K., France) 

concerning (Oct. 3), 521, 719, 722, 732, 853 
Indochina situation, Paris consultations, 123 
Oil pollution of seas and coasts, efforts to prevent, 312, 

313, 314 
Suez Canal base, agreement with Egypt. See Suez 

Canal 
Togoland, future relationship to Gold Coast, 62 
Trade, international, resolution submitted to U.N. Eco- 
nomic and Social Council, 247, 248 
Treaties, agreements, etc. : 

Allied High Comnussion for Germany, agreement con- 
cerning archives, 186 
British Guiana, agreement with U.S. relating to co- 
operative technical assistance in, 970 
Double taxation, income, avoidance of, and preven- 
tion of fiscal evasion, supplementary protocol 
amending 1945 convention with U.S., 347, 713 
Germany, Federal Republic of, convention on pres- 
ence of foreign forces in, 730 (text) , 732, 752 

1053 



United Kingdom — Continued 

Treaties, agreements, etc. — Continued 

Germany, Federal Republic of, protocol on termina- 
tion of occupation regime, 729 (text), 732, 733, 752, 
847 
Germany, tripartite agreement (U.S., U.K., France), 
on exercise of retained rights in, 731 (text), 752, 
848, 8.51 
Manila Pact, signed, 393, 395«, 426, 431 
Mutual defense assistance agreement with U.S., 
agreement for a special program of facilities as- 
sistance, 72 
Northern Rhodesia and Nyasaland, agreement on 

German external debts, 882 
Pacific Charter, signed, 393, 426 

Practice bombing range near Cuxhaven, Germany, 
agreement with U.S. relating to claims for compen- 
sation arising from use of, 590 
Trieste, Free Territory of, memorandum of under- 
standing regarding, 590 
U.S. Educational Commission, additional funds from 

U.K. for operation, agreement with U.S., 110 
U.S. military cemetery in England, agreement with 
U.S. for use of land, 110 
Trieste, memorandum of understanding. See Ti-ieste 
U.S. fliers imprisoned by Communist China, statement 

in U.N., 945 
U.S. military cemetery in Ensland. use of land and 

perpetual rights, 110, 270 
U.S. proposed cargo preference legislation, aide-memoire 
protesting, 65 
United Nations : 
Addresses, articles, etc. : 

Evaluation (Bloomfield), 447, 448 
Positive Approach to the U.N. (Morton), 405 
Role in Improving Status of Women (Hahn), 23 
Some Challenging Issues Facing the U.N. (Key), 16 
U.N. in Today's World (Lodge), 278 
Aggression, proposals for defining, 871 
Anglo-American declaration in support of, 50 
Charter. See United Nations Charter 
Collective Measures Committee. See Collective Meas- 
ures Committee 
Collective security measures. See Collective security 
Disarmaments efforts. See Armaments ; Atomic en- 
ergy, international control of; and Disarmament 
Documents, listed, 15, 1.50, 217, 277, 379, 465, 549, 788, 

1012 
Economic and social cooperation, acti<m during 1!)53, 350 
Economic devcloiiment fuiiil, proposed, U.S. position, 280 
General Assembly. See Goiifral Assembly 
Human rights, draft covenants: 
Soviet interpretation, 878 
U.S. position, 876 
International Atomic Energy Agency, proiwsed, rela- 
tionship to U.N., 749, 828, 829, 833, 8;i5, 920, 924 
International Bank for Reconstruction and Develop- 
ment. Sec International Bank 
International Court of .Justice. See International Court 

of .Justice 
.lapan, renewed application for membership, 706 
.Japan, U.N. forces in, agreement regarding status of, 
.38, 882 



United Nations — Continued 

Korea, action regarding. See Geneva Conference 

(1954) : Korean phase; and Korea 
Marshallese complaint regarding U.S. atomic tests. 

See Marshall Islands 
.Membership : 
Admission of new members : 

General Assembly resolution, 1003 
Review of 1953 progress, 350 
U.S. position, statement (Wadsworth), 786 
Charter provisions, 87, 88 
Charter review problem, 449 

Chinese Communist membership, question of, ad- 
dress and statements: Dulles, 87, 477; Lodge, 279, 
507; Morton, 121,158; Robertson, 262 
.Japanese membership, renewed application for, state- 
ment ( Lodge ) , 766 
Narcotic Drugs Commission, 366, 367, 369, 370 
OAS, relationship to, 115 
Oil pollution of .seas and coasts, steps to prevent, 312, 

313 
Regional arrangements, relationship to U.N. collective 

security system, 115, 244, 245, 782, 783 
Review of 1953 activities, 348 
Security Council. See Security Council 
Specialized agencies. See Specialized agencies and 

name of agency 
Technical assistance program : 
Activities during 195S, 350 
Advice on status of women, 25 
General Assembly resolution, 1006 
Soviet policy toward, 19 

U.S. interest in, statements: Nash, 1004; Smith, 926 
U.S. position on financial support, 879, 10O4 
Thai request for peace observers, 17 
U.N. Conferexice on Customs Formalities for Temporary 
Importation of Private Road Vehicles and for Tour- 
ism, article (Kelly), 92 
U.S. delegation to, designation as "Foreign Service posi- 
tions," 444 
U.S. employees, screening, 279, 354 
U.S. financial contribution, 279, 348, 406 
World Health Organization : 
Address (Key), 616 
Regional committee, 6th meeting, 629 
United Nations Administrative Tribunal, relationship to 
General Assembly, request for advisory opinion of 
ICJ in U.N. awards case, 354 
United Nations Charter : 
Membership in U.N., provisions, 87, 88 
Principles reaffirmed in Manila Pact, 393 
Regional arrangements, provisions for. statement 

(Lodge), 29, 30, 31 
Review, addresses, statements, etc.: Bloomfield, 446; 
Dulles, 470 ; Eisenhower, 349 ; Key, 19 ; Wadsworth, 
788 ; Wainhouse, 290, 737 
Soviet violations, 418, 419 
United Nations Children's Fund, statement (Lord), 1008 
United Nations Command in Korea, request to Omirau- 

nists for reiKirt on U.N. prisoners of war. 379 
United Nations Commission for Unification and Rehabili- 
tation of Korea, resolution on transfer of adminis- 
trative control of certain area in Korea, .337 



1054 



Department of State Bulletin 



United Nations Commission on the Stiitus of Women, 
actions by Sth session, 'Si 

United Nations Day, remarks (Dulles, Key), 701 

Tnited Nations Disaimament Commission. See Disarm- 
ament and nisaniiament Commission 

United Nations Kducalional, Scientilic, and Cultuiul Oi- 
ganiziition : 
Constitution of, 14i» 
General Ctmference, .stli session, U.S. delegation, 837 

United Nations Food and Afjricullui'e Organization, li54 

United Nations High Commissioner's Advisory Couuuittee 
on Refugees, utli sc.^ision, 1011 

United Nations Human Uights Day, 1954, proclamation. 

United Nations Relief and Works Agency for Palestine 

Refugees, U.S. flnancial supi>ort, 11 
United Nations Trusteeship Council. See Trusteeship 

Council 
United States : 

Economic situation, statement (Hotchkis), 134 
United States and the Uncommitted Worlti, address 

( JIurpliy ) , :i 
World leadership, 414, 415, 760, 761 
United States Advisory Commission on Eklucational Ehc- 

change, membership, r>Q 
United States Air Force, Army, and Naval missions in Co- 
lombia, agreement extending, 995 
United States Army Cori)s of Elngineers, aid in St. Law- 
rence seaway project, 4ti3 
United States Army mission to El Salvador, agreement for, 

590 
United States citizens : 
Aircraft, death and injury from Communist attacks on. 

See Aircraft, British, and Aircraft, U.S. 
Claims. See Claims 
Death in Hakodate typhoon, 541 

Detention of staff members in Soviet Union, U.S. pro- 
test, 274 
Field. Noel (and Herta and Hermann), U.S. request 

for repatriation, 5S6 
Imprisonment in Communist China. iSce Prisoners of 

war, U.S. 
Loyalty of citizens employed by international organi- 
zations, evaluation, 21 
United States Information Agency, opening of Washington 

studios of Voice of America, 963 
United States Navy, agreement with Philippines amend- 
ing 1952 agreement on recruiting Philippine citizens 
for voluntary enlistment, 2s;j, 590 
Uniting for Peace resolution, U.N., 420, 421, 422 
Uruguay, trade agreement negotiations with U.S., 767, 769 

Velebit, Dr. Vladimir, 555, 558 
Venezuela, private capital investment, 968 
Vessels. See Ships and shipping 

Veterans hospitals and medical care in Philippines, agree- 
ment with Philippines for U.S. aid, 8S2 
Veto power in U.N. Security Council. See Security Coun- 
cil : Voting procedure 
Viet Minh, aggression in Indochina. See Indochina 
Viet-Nam : 

Ambassador to U.S., credenti.ils, 296 

Benefits under Manila Pact, 395, 4:{2, 823 

Index, July to December 1954 



Vlot-Nam — Coutinue<l 

Communist aggression (sec also Indochina), 573 
Independence, progress toward, 16;j, 164, 364, 534 
International civil aviation convention, 793 
Refugees from North Viet-Nam, U..S. aid in evacuation, 

241, 265, 336, 473, .534, 7.35, 730, 778 
Relief supplies, U.S., agreement for duty-free entry and 

defrayment of inland transportation charges, 510 
Trademark protection, declaration with U.S. respecting 

rights of nationals, 920 
U.S. aid : 

French-U.S. talks and communiques, 491, !>34, 804 
Message (Eisenhower), 735 
Mission of Gen. Collins, 777 
Plans for direct U.S. aid, 615, 736 
U.S. Embassy, 163 
Villard, Henry S., 435, 544 
Visas, U.S., issuance : 

Aliens convicted of minor offenses, 653 
Itefugees and displaced persons, 239, 452 
Visual and auditory materials, agreement for facilitating 

international circulation of, 254 
Voice of America, opening of Washington studios, 96.3 
Voluntary agencies, U.S. : 

Jordan, agreement for duty-free entry of relief sup- 
plies, 150 
Refugee relief program, cooperation, 239, 457 
Vyshinsky, Andrei, 619, 661, 662, 663, 665, 830, 832 

Wadsworth, James J., addresses, statements : 
Collective security, principles of, 343 
Communist and South Korean representation in Com- 
mittee I of U.N., 948 
Disarmament, 622, 660, 750 
U.N. admission of new members, 786 
Wailes, Edward T., 466 
Wainhouse, David W., 296, 737 
War, statement (Eisenhower), 888 
Warren, George L., 794 

Washington State College, FOA contract for technical co- 
operation overseas, 56 
Watch movements, modification of U.S. tariff concessions 

to Switzerland, 274, 371 
Waugh, Samuel C, 45,S, 640, 772 
Weather service for international civil aviation, article 

(Little), 824 
Weather station program, Pacific Ocean, agreement with 

Canada for operation, 186 
Weather stations. North Atlantic, agreement on, 109, 254 
Weeks, Sinclair, 373 
Welch, Roland, 354 
West Africa, future relationship of Gold Coast and British 

Togoland, 62 
Western European Union : 

Agency for Control of Armaments, creation, constitu- 
tion, and functions, 517, 518, 724, 726, 848, 854 
Cooperation with NATO, .522. 723, 733 
Council of, creation and functions, 516, 518, 519, 724, 848, 

8.53 
Forces of members, strength, 724, 848, 853 
Whaling convention, international, amendments, 970 

1055 



Wheat agreement, international, agreement revising and 

renewing, 38, 589, 995 
Wheat shipments to Libya, 15, 882 
Whitney, John Hay, 570 
WHO. See World Health Organization 
Willehalm manuscript, return to Germany, 493, 494, fuciiuj 

495 
Women, status of, U.N. role in improving : Article ( Hahn ) , 

23; statement (Lord), 1010 
Woodward. Mrs. Margaret Rupli, 126 
Woodward, Robert F., 544 
World Bank. See International Bank 
World economic situation and the U.S., statement (Hotch- 

kis), 133 
World Health Organization : 
Address (Key), 616 
Regional committee, 6th meeting, 629 
World Meteorological Organization, formation, 825 
World Meteorological Organization convention, 109, 320 
World War II, 10th anniversary of Allied landings in 

France, 294 
Wounded and sick in armed forces in the field, Geneva 

convention on treatment of (1949), ratifications de- 
posited, 72, 254, 466, 590 



Wounded, sick, and sliipwrecked members of armed forces 
at sea, Geneva convention on treatment of (1949), 
ratifications deposited, 72, 254, 466, 590 

Wriston, Henry M., 436, 570, 637 

Writers, International Congress, U.S. authors to attend, 
217 

Yeh, George K. C, 898 

Yemen, aggression, definition, resolution proposed In U.N., 

875 
Yoshida, Shigera : 

Hakodate typhoon, message of sympathy, 541 

Quoted, 644, 645 

Visit to U.S. and statement, 679, 705 
Yost, Charles W., 322 
Yugoslavia : 

Economic talks with U.S., joint communique, 869 

Flood relief, U.S., 338 

Nationalism, 893 

Telecommunication convention, international (1952) 
and final and additional protocols, 543 

Trieste, memorandum of understanding. See Trieste 

Zahedi, Fazlollah, 230, 266 
Zaroubin, Georgi, 402n, 478, 480 
Zionism, 3, 4 



DEPARTMENT OF STATE 
PnBLicATiON 6272 

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1056 



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Vol. XXXI, No. 784 
July 5, 1954 




THE UNITED STATES AND THE UNCOMMITTED 

WORLD • by Deputy Under Secretary Murphy 3 

THE TWENTIETH CENTURY COMES TO THE ARA- 
BIAN PENINSULA • Article by Richard H. Sanger ... 6 

EMERGING GOALS IN THE MIDDLE EAST'S RURAL 
AND INDUSTRIAL DEVELOPMENT • by Merrill 

Cay 8 

SOME CHALLENGING ISSUES FACING THE UNITED 

NATIONS • by Assistant Secretary Key 16 

THE GUATEMALAN COMPLAINT BEFORE THE SE- 
CURITY COUNCIL • Statements by Ambassador Lodge . 26 

THE U. N.'S ROLE IN IMPROVING THE STATUS OF 

VJ'OMEN • Article by Mrs. Lorena B. Ilahn 23 



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Superintendent of Documents 

AUG 9 - 1954 




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the Department, and statements and 
addresses made by the President and 
by the Secretary of State and otlicr 
officers of the Department, as well as 
special articles on various phases of 
international affairs ami the func- 
tions of the Department. Informa- 
tion is included concerning treaties 
and internatiorutl agreements to 
which the United States is or may 
become a party and treaties of gen- 
eral international interest. 

Publications of tlie Department, as 
well as legislative material in the field 
of international relations, are listed 
currently. 



The United States and the Uncommitted World 



hy Deputy Under Secretary Murphy ' 



It is an honor and a privilege to participate in 
this 57tli National Convention of the Zionist Or- 
ganization of iVinerica. It is an honor because 
I know this organization reflects some of the finest 
ideals of the American Jewish community. It is 
a privilege because of the opportunity it affords 
to emphasize the appreciation and understanding 
of our Government for these ideals. Perhaps, as 
in all things, it is necessary from time to time to 
restate the obvious, and I presume that friendly 
interest necessitates restatement often dealing 
with problems such as the Jewish problem. Rec- 
ognition of its difliculties and complexities leads 
to a better understanding all around. I can say 
of my associates in the Department of State who 
regularly deal with ramifications of the problem 
that they are affected by sympathy and desire to 
effect solutions which are in the basic interest of 
the Jewish community and of our country and, in 
working for these solutions, there is no desire im- 
properly to interfere in the internal affairs of any 
state. 

In approaching these problems I think that we 
in the Department of State are conscious that the 
Jewish community is not seeking favors and above 
all that its desire is for peace. Some of us who 
served in central Europe in the immediate postwar 
years and who were witnesses to the tragic circum- 
stances affecting the destinies of many thousands 
of Jews who literally were gasping in their eager- 
ness to seek a homeland understand what peace and 
security mean for the Jewish community. In visit- 
ing some of the former concentration camps imme- 
diately after the cessation of hostilities in 1945, I 
know that I gained a clearer insight into the rea- 
sons why a homeland was so precious to this sorely 
tried community. I remember, too, a meeting with 
the Jews assembled in the camps at Berlin in 
1945 — about 7,000 of them — on the occasion of 
their Memorial Day, when with General Clay I at- 
tended their Memorial Day services. The grief 

' Address made before the Zionist Organization of Amer- 
ica at New York, N.Y., on June 24 (press release 3-46). 



of these unfortunate people, all of whom had lost 
close relatives under tragic circumstances and had 

Eassed through the worst f onns of degradation and 
itter experience, is not easily forgotten. Psy- 
chologically what buoyed them up was a vision of 
a homeland where they could enjoy the exercise of 
their faith and age-old customs in independence 
and safety. Knowing something of this back- 
ground and having seen at firsthand the incredible 
suffering and the ordeal through which they 

fassed, I wish them well and hope that in the 
ramework of the world community they will find 
that happiness and prosperity for which they 
strive. 

Perhaps on this occasion it might not be inap- 
propriate for me to discuss with j'ou and as of 
direct interest to the aims of your organization 
some of the considerations which are involved in 
the psychological divisions of the world today. 

Psychological Divisions of the World 

To a well-informed group such as this there is 
no need to emphasize the fact that Soviet com- 
munism — or Communist imperialism — affects 
every major problem of foreign policy. One re- 
sult of this situation is the division of the peoples 
of the modern world into three groups from a 
psychological standpoint. 

First, there are those persons who are actively 
engaged in defending the free world from sub- 
version and aggression. We understand their out- 
look, at least I hope we do, since we belong to this 
group. We know that there is plenty of room for 
different points of view within it, for here there is 
no deadening drive toward uniformity. These 
differences, moreover, can be harmonized by vol- 
untary effort. The basic attitudes are similar, and 
the goals we seek are essentially the same. 

Second, there are those persons within the Com- 
munist bloc. We know the ruthless uniformity 
which their leaders impose. We know that the 
combination of materialistic philosophy and dic- 
tatorship which characterizes these countries tol- 



July 5, 1954 



erates no deviation from uniformity. We are 
sadly aware of tlie persecution visited upon Jews 
still behind the Iron Curtain because of tlu'ir de- 
votion to the God of their fathers. Whether a 
man is a principal or a. pawn in the drive of Com- 
munist expansion, lie can commit no greatei' sin 
than to think freely or to differ from those about 
him. 

Because of the unifoi'm mold into which the 
masses ai'e pressed, we know what they will do 
and what they will say — regardless of nationality 
or tongue. 

But the certainty of purpose which gives direc- 
tion to our own outlook is not yet a characteristic 
of a third group of peoples — those wlio iniiabit 
areas of the world which by and large, and as 
incredible as it may seem, are not yet comiiiittei^l 
in the struggle against Communist imperialism. 

This uncommitted world includes much of 
Africa, of the Near and Middle East, and of parts 
of Asia. It is an area of violent geogra]>hic con- 
trasts — harboring, for example, the greatest known 
concentration of oil in the world and tlie largest 
deserts on the face of the globe. It is also an area 
of economic disparity, of unbelievable poverty 
for many and inconceivable wealth for a few. 
And it is an area in which the peoples are vastly 
different — in race, religion, language, and outlook. 
In referring to this area as "uncommitted"' I am 
fully aware that some individuals and certain 
countries in this region actively support the free 
world. But these pereons and nations are not able 
to exert their full influence, since the area as a 
whole has not firmly decided its course in tlie 
struggle against communism. 

The attitude of these uncommitted peoples i'^ 
full of paradoxes: Almost all live in underdevel- 
oped areas. They admire or envy our strength, 
and some would like our aid. Yet because they 
are either still in a dependent status, or newly in- 
dependent, they are often swayed by suspicions of 
the major powers. This sensitivity about their 
freedom frequently leads them to a second con- 
tradiction. They fail to distinguish between 
Soviet promise and practice. Sometimes they 
believe that the hand which the Communists ex- 
tend to them is offered in friendly helpfulness, 
when in reality it is designed to subjugate tliem. 

Diversity and the Uncommitted World 

One hallmark of the uncommitted world is its 
diversity — and this diversity is both a delicate 
problem for American foreign policy and a tre- 
mendous opportunity. 

We know that diversity can be a source of great 
strength. The United States itself demonstrates 
this fact. The fabric of our life would be less rich, 
and our well-being diminished, if we had not 
received peoples of many cultures, languages, and 
religions. 



1 am sure that your great Zionist Organization 
lias found that its efforts have been i-einforced by 
tiie fact that those from many countries and dif- 
i'erent walks of life have contributed to its rich 
development. Dr. AVeizmann, in his excellent 
autobiography Tr'ial and Error, records some of 
tiie problems created by differing approaches to 
Zionism. At the same time, it is clear that without 
.1 variety of supporters Dr. Weizmann's efforts 
would have been far less fruitful. 

TJiere is no doubt but that modern Israel has 
al.so gained from the rare variety of peoples who 
have been drawn to it. W^ithout these many talents 
Israel perhaps could not have accomplished nearly 
as much as it has during the 6 short years since its 
establishment. 

We know from this experience that diversity can 
be a source of strength, that the sum of many 
(1 fferent abilities is greater than their total num- 
' cr. We cherish the fact that in the free world 
diversity need not weaken our capacity to oppose 
( 'niumunist imperialism. 

Of the many problems which the diversity of the 
iiiicoiiimitted world poses for American foreign 
policy, the most important seems to be: How can 

• help these peoples make their diversity a source 
of strength rather than weakness? How can 
divei'sity be a bulwark of their freedom and not 
an open sesame of an invitation to Communist 
nt'iietiation? 

Tlie problem, of course, takes different forms. 
h\ South Asia, for exami)le, India and Pakistan 
are neighbors and were forinerly under one admin- 
istration. Their religions and political orienta- 
ii"iis, however, are vastly different. Recently the 
predominantly Moslem Pakistan has taken a clear 
: taiul with the free world through its treaty with 
Turkey and its aid agreement with the United 
States. India continues to retain a certain aloof- 
ness from the struggle to prevent Communist 
expansion. One problem is how these two great 
iKitions may harmonize their different viewpoints, 
so that they can play a role in the world which is 
1 oiuiiiensurate with their size, their great talents, 
ami their enormous potential. 

In the Near East, Israel and its Arab neighbors 
i'ollow greatly different ways of life. There is 
no doubt where the majority of the ]:)eople of the 
area stand in the struggle against Soviet expan- 
sion. The area as a wliole, however, cannot be- 
come a vigorous partner in the free world until 
greater progress is made toward '-reating peaceful 
relations among the Near Eastern nations. A 
major jiroblem is how to transform the energy 
consumed in disjnite among neighbors into more 
con.structive channels, so that the welfare of the 
area can be more effectively safeguarded. One of 
tlie many steps which we believe will lead in this 
direction is the United Nations ]ilan for the unified 
development of the Jordan Valley, on which Mr. 
Eric .Johnston, as special representative of the 



Department of Stale Bulletin 



President, litis been conferring in Cairo aiul 'i\'l 
Aviv during tlie past week. 

In Africa, the problems attending diversity sire 
of still a dilTerent nature. Certain countries have 
long been independent and liave taken an active 
part in the free world. I can think of no more 
illustrious example of this than Ethiopia, wlin-c 
Emperor is now visiting the United States. Hut 
much of Africa is less fortunate. It is dominate I 
by poverty and haunted by racial antagonism. 
Much of the African problem is how to keep the 
many opposing forces of this great continent with 
in the framework of orderly progress, so that its 
people may in the future avoid Communist domi- 
nation. 

Tiiis diversity presents us with another kind of 
problem — the need to adopt a special attitude in 
the conduct of our foreign policy toward the un- 
committed world. Since conditions vary widely 
from country to country, and the peoples aie 
equally diverse, there is no bluei)nnt which will 
fit even a majority of the situations. (Jreater 
patience is needed to haimonize the points of view 
found there with our views and the requirements 
of our policies. 'When the areas of diflerence are 
large — as they frequently are in these countries — 
we must often go slower than we would like. We 
must recognize the truth, so deftly described In- 
Harold Xicolson in his book on diplomacy, that 
a foreign policy will fail if it does not clearly com- 
prehend the aspirations of other peoples and take 
them carefully into account. 

U.S. Policy in tiie Uncommitted Areas of the World 

In these circumstances, then, what is the atti- 
tude of the United States toward the uncommitted 
areas of the world ? 

No one questions the fact that the fate of the 
peoples in these areas is extremely important to 
us. Not only would their loss to the Communist 
world be an mimeasurable blow to freedom every- 
where, but also the diversity which gives them 
such potential would be crushed under dictatorial 
uniformity. The United States is interested in 
doing whatever it may to prevent these countries 
from falling prey to Communist imperialism. 

1. It seeks to fashion the elements of security, 
so that peaceful .strengthening of the countries of 
the area may be possible. If tliis condition is ob- 
tained, there will then exist a sufficiently strong 
framework within which diverse peoples, reli- 
gions, cultures, and points of view can interact 
without fear of the chaos which would invite 
communism. 

The need for such elemental security is obvi- 
ously acute in Southeast Asia. Wliatever course 
of action may eventually evolve — whether as a 
result of the Geneva Conference, the ajipeal of 
Thailand to the United Nations, or some form of 
united action — the underlying interest of the 



United Stales is to promote a favorable political 
^tability in tiie area. Only through such stability 
c. 1 the peoples of the area develop freely and 
enjoy the diversity which gave their ancient cul- 
li res such distinction and their present life real 
meaning. 

A similar motive underlies our approval of the 
treaty of Turkey and I'aki.stan in the Middle East. 
We believe, as do these countries, that the first step 
lowartl security in the area is to provide a de- 
fensive arrangement which will do two things: 
:.i. ke use of the resources immediately available 
and pave the way to adherence by other like- 
minded countries. This is an arrangement which 
tlircatons no one. There is no intention on the part 
of these nations to pressure any of their neighbors 
into joining or supporting it. But there is pre- 
sented the opportunity for others to stren^hen 
their security without sacrificing their individual 
character. 

a. Closely related to the desire to see greater 
security in these areas of the world is our policy 
of promoting solutions to the various disputes 
which jn-event full cooperation among the peoples 
who live there. This desire applies to all disputes, 
wliatever their nature. AVe earnestly hope that 
India and Pakistan can work out a solution to 
the Kashmir problem, since as long as it remains 
unsettled it will hold back peaceful development of 
the South Asian subcontinent. We continue our 
effort of cooperation in seeking a settlement of 
tlie Iranian oil issue. We look forward to the 
time when the Suez Base dispute may be resolved 
satisfactorily. Naturally we are deeply disturbed 
by the tension existing between Israel and the Arab 
States. Perhaps the problem is too complex, and 
the fears and frustrations too deep-seated, to make 
)iossible the immediate attainment of formal peace, 
but we earnestly seek the emergence of peaceful 
lelationships. AVe try to encourage every possible 
: ction which could lead in that direction — whether 
it be full and effective support of the U.N. Truce 
Organization, development of the Jordan Valley, 
a solution of the Palestine refugee problem. We 
view with great concern the tensions existing in 
some parts of Africa. We hope that peacefurso- 
lut ions may be found for the racial antagonisms in 
.some African areas. The same desire to see peace- 
ful evolution, rather than tension and terrorism, 
ajiplies to our attitude toward North Africa. 

;>. A third way in which tlie United States is 
trying to help the uncommitted world is through 
our ]irogram of economic assistance. Except for 
the fact that we will assist no country to become 
an aggressor, we require no one to agree with us 
completely in order to receive aid. Instead we are 
])repared — within the obvious limits of our domes- 
tic and global responsibilities — to provide tech- 
nical assistance and help for economic develop- 
ment to uncommitted countries as well as our firm 
allies. I do not claim that this attitude is devoid 
of self-interest. It springs from the fact that 



July 5, 7954 



freedom and diversity are closely related, and that 
economic support of diverse countries in uncom- 
mitted areas of the world is to our mutual wel- 
fare. 

4. Finally, we support these courses of action 
with the political policy of bolstering the inde- 
pendence of the nations of the area and of sup- 
porting self-goverimient where practicable in 
dependent territories. We ourselves covet no ter- 
ritory. We oppose all aggression. We know that 
this policy is sound — both for the peoples of the 
uncommitted world and for ourselves. 

Thus the United States, by tradition and policy, 
values and respects the diversity of the uncom- 



mitted world. The last thing we would wish would 
be to try to remake it in our exact image. 

Instead, our hope is that these friendly countries 
in the pursuit of their destinies will strengthen 
their own way of life and, by so doing, will be 
better able to deter aggression and subversion in 
whatever guise they may appear. We realize that 
in developing in this direction these peoples may 
not always agree with us in detail, or do exactly as 
we ourselves would do. But in the long run, we 
know that their independence not only provides 
the framework in which the best qualities of their 
diversity may flourish, but it also contributes to 
the strength of the entire free world. 



The Twentieth Century Comes to the Arabian Peninsula 



hy Richard II. Sanger 



Following is the introduction to Mr. Sanger's 
recently published hook, The Arabian Peninsula, 
repHnted with the permission of the puhlisher., the 
Cornell University Press. Mr. Sanger is public 
affairs adviser to the Bureau of Near Eastern., 
South Asian and African Affairs. 

In his remarkable book. Civilization on Trial., 
Professor Arnold J. Toynbee has written, "Future 
historians will say, I think, that the great event 
of the twentieth century was the impact of West- 
ern civilization upon all the other living societies 
of the world of that day. They will say of this 
impact that it was so powerful and so jjervasive 
that it turned the lives of all its victims upside 
down and inside out." 

Nowhere has this "impact of Western civiliza- 
tion" been more striking than in the Arabian 
Peninsula. From the Red Sea to the Persian 
Gulf, from the Syrian desert to the Arabian Sea, 
the timeless heart of the Arab East is stirring; 
the Arabian Peninsula is beginning to move into 
the twentieth century. Up to twenty yeare ago, 
this great tract of land, larger than India and 
almost one-third the size of the United States, had 
been visited by only a few dozen Europeans, most 
of whom had seen little but its coastal cities. 
They rej^orted that it was virtually unchanged 
since the time of the Prophet. Now, after stand- 
ing still for twelve hundred years, time is on the 
march again in Arabia. A score of years have 
seen more changes in some parts of Arabia than 



have all the centuries since the death of Mo- 
hammed. 

Many factors contributed to this change, includ- 
ing automobiles, airplanes, radios, and two world 
wars. But undoubtedly the two most important 
factors were the unification of most of the penin- 
sula under a single strong ruler and that ruler's 
consolidation of his kingdom at the time when 
the Western World discovered that the sands of 
Arabia were floating upon oil. 

As a result, a pastoral, nomadic, and medieval 
society which had for centuries kept out almost 
all but Moslem visitors has begun to open its 
doors to non-Moslems. Limited first to a few 
Western geologists and executives, the number 
has increased year after year in Saudi Arabia, 
and to a lesser degree in the other countries of 
the Arabian Peninsula. 

How this imjiact of Western civilization is turn- 
ing the lives of some of the inhabitants of Arabia 
upside down is dramatically illustrated in the city 
of Jidda, Saudi Arabia's diplomatic capital on the 
Red Sea. The last seven years have seen the city's 
walls torn down, its main streets paved, its lagoon 
rinnned by electric HghtSj fresh water brought 
down from the hills, a radio station built nearby, 
a pier run out to deep water in its harbor, a busj', 
hard-surfaced airport constructed, and a building 
boom take place. 

Planes of the Saudi Arabian Airlines span the 
country daily, crossing skies untraveled as little 
as ten j'eai-s ago. Pul)lic utilities are going into 



Department of State Bulletin 



Riyiulh, Kin<r Siiiid's imul-wnllecl capital in tlie 
lu'iirt of the Nojd, in wliose narrow streets new 
convertibles and shiny station wajrons arc literally 
iTowdinjx camels to the walls. On the oil coast, 
ill eastern Saudi Arabia, a standard-gauge rail- 
road runs inland to Kiyadh. A large pipe line 
tlows oil to refineries on the Persian Gulf and 
northwest to the Mediterranean, and Dhahran, 
tiie central headquarters of the Arabian Ameri- 
can Oil Company's operations, is the first city in 
the world to be' centrally air-cooled. In fact, 
Hassa province of Saudi Arabia, in which the oil 
coast is located and which was without European 
inhabitants twenty years ago, now contains one 
of the largest colonies of working Americans out- 
side the territorial limits of the United States. 

The impact of Western progress is striking in 
Saudi Arabia, but the fingers of change are push- 
ing open the doors of half a dozen other Arab 
States. A town as modern as Phoenix, Arizona, 
has grown up around the oil company's intricate 
installations on the pearl-rich island of Bahrein; 
tlie tranquil waters of the Persian Gulf off the 
Sheikhdom of Kuwait are churned by the propel- 
lers of barges bringing drilling rigs, prefabri- 
cated houses, cold-storage units, and operating 
tables from a row of cargo steamers anchored not 
far from the newly constructed dock in the shadow 
of Kuwait City's mud wall. 

Just south of the Sheikhdom of Kuwait, in that 
curious political anomaly, the Kuwait Neutral 
Zone, of which King Saud and the Sheikh of Ku- 
wait each have undivided halves, the spring grass, 
burned by the sun to a tawny gold, is flattened 
by the footprints of geologists tapping the wadies 
for water and poking the sand dunes for oil. The 
bare, sandy ridges of the sheikhdom that com- 
prises the Qatar Peninsula are furrowed by the 
trucks of drillers, pipe layers, and contractors. 
The bedouin of the seven tiny sheikhdoms that 
make up the Trucial Coast, their minds still on 
camels and raiding parties, look up to see planes 
circling above the wind-blown landing strip at 
Sharja. The dapper Sultan of Muscat, drowsing 
through the noontide in his high-roofed palace 
above the hot basalt rocks that guard his twin 
harbors, is anxious for Western help in the devel- 
opment of his country. Autos that were packed 
by pieces on the backs of camels over the moun- 
tain passes from the seaports of the southern coast 
now bump across the gravel wadies below the 
mud skyscrapers in the valley of the Hadhramaut, 
where an airlift brought food to the starving in 
the spring of 1949. The Crown Colony of Aden, 
England's (libraltar at the southern end of the 
Red Sea, has gone in for town planning, while in 
the ruin-scattered hinterland of the Western Aden 
Protectorate, the lead of the Sultan of Lahej in 
installing electric lights and serving ice-cooled 
drinks is being followed by other local rulers. 
Even forbidden Yemen, after sleeping through 
the centuries behind a protecting mountain range 



whose lowest passes are over nine thousand feet, 
has received foreign missions and sent a prince to 
the United Nations. 

Arabia is indeed changing under the impact of 
Western civilization, and no one who has seen its 
dust and dirt and poverty, its half-blind children, 
its women old before their time, and its men strug- 
gling to wring a l)arren living from a dust bowl 
of sun, sand, and rock, can doubt that on the ma- 
terial side the change is for the better. For some 
six centuries after Mohammed, this part of the 
Arab world was an active force. During the next 
six liundred years the drive died out, to be revived 
again in the 1930's. If Arabia can assimilate the 
lirogressive know-how of the West while retaining 
her inner calm, then her future will be more a 
renascence than an echo of her vigorous past. 

If the whole world is to benefit, the ever-widen- 
ing circles of change must prove helpful to more 
tlian the distant countries of the Western World, 
whose engines are drinking deep of Persian Gnlf 
oil. The change must modernize the thinking of 
the kings, sheikhs, and sultans of Arabia with their 
air-cooled palaces, Cadillac convertibles, and ever- 
growing oil royalties. It must bring a broader 
outlook to the wealthy merchants in their lofty 
countinghouses by the newly made harbors of the 
Red Sea and the Persian Gulf, merchants whose 
trade is shifting overnight from frankincense and 
liarem silks to bulldozers and radios. It must 
affect the labor and irrigation policies of the great 
landowners, whose palm groves stretch as far as a 
camel can walk in a day, and the powerful sheikhs, 
whose herds of black sheep and flocks of tawny 
camels cover the wadies in spring. 

The change must also help the struggling 
bedouin, who need new wells to water their 
scrawny flocks. It must give employment to the 
beggars in the towns, who in the past have looked 
to Allah and the King's bounty for a handful of 
dried dates and a bowl of camel milk and who are 
now finding employment as unskilled workers in 
the budding industrial revolution. It must bene- 
fit the artisans and handicraft workers, who can 
make more in a week running a lathe than they 
could in a month ornamenting sandals. It must 
enrich the petty merchants, sitting cross-legged 
in their stalls, whose trade is fast reviving as the 
earning power of the people rises. It must give 
direction to the intellectuals, who can replace days 
of endless talk over black coffee and nights of re- 
counting the past with hours of learning of the 
present and planning for the future that will make 
them the teachers, doctors, engineers, and builders 
of a new Arabia. Above all, it must produce a 
sense of social consciousness to replace the fast- 
fading feudal and tribal obligations. 

So far, the United States has played the major 
role in these changes, largely through the initia- 
tive and farsightedness of private industry, but it 
has no monopoly. England, Holland, and France, 
as well as the neighboring Arab countries of 



July 5, 1954 



Egypt, Lebanon, Syria, and Iraq, are all helpin 
to alter Arabia, assisting it to exchange its oi 
gold, air routes, and pilgrimage revenues for the 
machinery and techniques of the Western World. 
Distance from the West, severe climate, deserts, 
lack of water, and six hundred years of liighly 
localized, fragmented government all contribute 
to the difficulty of the task. Former President 
Truman in his Inaugural Address, introducing 
what has come to be known as Point Four, antici- 
pated United States help in facing this difficulty. 
Speaking on January 20, 1949, he said : 

We must embark on a bold new program for making 
the benefits of our scientific advances and industrial 
progress available for the improvement and growth of 
underdeveloped areas. 

More than half the people of the world are living in 
conditions approaching misery. Their food is inadequate. 
They are victims of disease. Their economic life is prim- 
itive and stagnant. Their poverty is a handicap and a 
threat both to them and to more prosperous areas. 

For the first time in history, humanity possesses the 
knowledge and the skill to relieve the suffering of these 
people. 

If Western civilization succeeds in helping the 
Arabs toward a higher standard of living, the 
pattern of life in this subcontinent where the rich 
tend to stay unproductively rich and the poor re- 
main too poor, where the sick too often fail to get 



well and the average man pays a high toll to ig- 
norance, may be reoriented toward a new Arab 
culture befitting both the past and the new age. 
A middle class may develop with opportunity to 
build in the heart of the Near East a bastion 
against all forces of totalitarianism. This is the 
challenge of Arabia. It cannot be met in a year 
or a decade, but if the present pace of change con- 
tinues, the outward lives of many of the next gen- 
eration will be very different from those of their 
fathers. The inner, deeper changes we must wait 
for our sons' sons to assess. 

This book is an attempt to make the average 
reader aware of the new frontier which has sprung 
up on the Arabian Peninsula, of the American 
role in developing it, and of the challenge wliich 
it presents to us, to other Western nations, and 
to the Arabs. This effort to suggest what Arabia 
is like today, to give sufficient history and liack- 
ground to show why it is that way, and to indicate 
the various paths down which Arabia may go in 
the future is not political and it is not all-inclusive. 
But I have intended to tell enough of the walled 
cities and bedouin camps, the sandy deserts and 
barren mountains, the ancient cultures and color- 
ful rulers, and the plain people, so that the i-eader 
may better understand the scope, importance, and 
new-found vitality of the Arabian Peninsula. 



Emerging Goals in the Middle East's Rural and Industrial Development 



iy Merrill Gay 

Economic Adviser to the Office of Near Eastern Affairs ' 



I have been asked to comment on our Govern- 
ment's interest in the emerging goals in rural and 
industrial development in the Middle East and to 
report on what the Government is doing in this 
connection. It is a challenging subject in this day 
when so many of the lesser developed countries 
of the world are eagerly trying to make up 
for lost time in respect to the economic side of 
progress. 

Tills avid interest in development is apparent 
in most of the Arab States and in Israel. During 
recent years the impact of Western civilization 
upon this area has been sufficient to jar the i)op- 
ulace from centuries-old acceptance of things as 



' Address made before tli(> American Friends of the 
Middle East at Lake Forest, 111., on June 17. 



they are. Through various channels, better ways 
of life have been revealed. This fact coupled with 
great poverty has produced tlie dangerous social 
unrest that floods the Middle P>ast. Alass lethargy 
is fast disappearing before the surge of new 
aspirations. 

Last winter I made a visit to a number of the 
countries in this area, my first in several years, 
and I was much impressed by tiie intensity of the 
drive in some quarters toward telescoping evolu- 
tionary progress into the shortest j)ossibk' time. 
Govornnients, to survive, now feel conipeiletl to 
bring tangible evidences of progress to tlie people. 
Perhaps it was the kind of persons with wiioni 1 
talked whicli accounts for my impressions, but it 
did, I must say, almost seem as if the air were 
charged with an impatience to get ahead with 



Department of Stale Bulletin 



economic dcvolopiiicnt plans. There is, of course, 
a danger in tliis; the danger is that, in tlie searcli 
for a panacea for poverty, acceptance of the Mos- 
cow system may be considered by some as the best 
way out. 

Unfortunately there is no magic formula where- 
by economic goals can be accomplished overnight; 
skilled planning, political and economic wisdom, 
and jihiin hartl tortuous work are required to 
bring about tlie desired accomplishments. 

Before I describe in more detail what we have 
done by way of economic cooperation in the Mid- 
dle East, and some of our thoughts for the future, 
1 would remind you that tliere are extraordinary 
(liilicultics in the way of economic development 
ill tiiis region and in the way of our assisting to- 
ward its accomplishment. It is a region in which 
economics, politics, and emotions are to an unusual 
degree mixed up together, so much so that one can 
liardly speak of economic problems and economic 
plans as if the economic sicle of things were neatly 
set off to itself, free from other types of problems. 
To illustrate briefly I need only mention, (1) the 
long drawn out difficulties between the United 
Kingdom and Iran with respect to petroleum pro- 
duction and distribution, (2) the troublesome ne- 
gotiations between Egypt and the TT. K. on Base 
rights in the Suez, and (3) the continuing ex- 
plosive friction between the Arab States and 
Israel. These difficulties create not only tensions 
but also uncertainties. These uncertainties affect 
private business, private investment, foreign and 
domestic; they affect what the United States Gov- 
ernment is able to do. It is trite to say we are 
dealing with a complex situation ; it is a perilous 
one. The years since the Palestine partition have 
had little healing effect. The tensions have 
mounted instead of abating. In the strong na- 
tionalism that exists a continuing anti-colonialism 
also creates problems. Partly, however, it may 
also stem from the feeling that economic depend- 
ency is a source of weakness. 
\ More fundamentally significant is the fact of 

dire poverty throughout most of this region. It 
may also seem trite to say that poverty breeds pov- 
erty; yet it is an observation which deserves 
thought. Rainfall is erratic — there is either too 
much or too little. Water supply is a constant 
cause of concern to the area. Economic and social 
development is constantly threatened by lack of 
water. Tliis fact makes nomadic herdsmen out of 
countless thousands of farmers. Much of the 
Middle East's "fertile" farmland would be re- 
garded in this country as submarginal land. Even 
in the rich Nile valley limited water supply and 
overpopulation make life difficult. The Arab 
farmer usually lives with his family in a one-room 
shack and possesses few tools; his diet constitutes 
a caloric intake % that of the average U.S. citizen. 
This is the situation today in spite of the fact 
that the U.S. Government has already provided 
many millions of dollars of assistance to the area 



in one way or another, e. g., about $125 million 
during the last 4 years in the f(U-m of technical 
assistance, about the same amount for .Vrab refu- 
gees through the U.N. Relief and Works Agency 
(Unrwa) and its predecessors ; a Special Economic 
Assistance package of $147 million for 1054, much 
of which has been committed ; around $200 million 
of disbursements of Export-Import Bank develop- 
ment loans to various countries of the region ; and 
contributions to the Inno and various other U.N. 
specialized agencies operating in the region. 

It is clear that the U.S. has not been insensitive 
to Middle Eastern needs. The Department of 
State is anxious that the countries of the Middle 
East enjoy a sound and rapid development of their 
resources and consequent improvement in their 
living conditions. Economic progi-css and the 
iiope it engenders should materiallv contribute to 
the broad objectives which the U.S. Government 
hopes this region can achieve, namely, stability 
and peace, and the will and power to withstand 
encroachment in the area by an imperialistic 
Soviet regime. Undernourishment is an invitation 
to the Communist virus; chaos is the ally of its 
propagators. 

The U.S. Government does not and cannot as- 
sume the responsibility for a rapid economic de- 
velopment in any of the lesser developed countries. 
It is a responsibility which they themselves must 
assume. The Government does, however, want to 
help in those endeavors which show a real will on 
the part of the local governments and populace, 
and also show promise of success. We hope we can 
encourage, stimulate, or in some cases serve as a 
catalytic agent to bring about strong indigenous 
efforts toward the desired objectives. I might 
inject the comment that we want to do this only 
where there is a demonstrable interest on the part 
of a needy country for such assistance and a desire 
that we do it. I suspect that sometimes our 
motives are questioned ; there may be speculation 
about possible ulterior objectives. I believe, 
however, that in general such apprehensions soon 
disappear. The fact that we do not want to go in 
with economic assistance or stay in where we are 
not wanted is, I believe, reassuring to countries 
and governments which initially may have doubts. 
I will now undertake to bring the record of what 
we are doing up to date in a little more detail. 



Technical Assistance 

Probably the most widely known U.S. economic 
program in the Near East is technical assistance. 
Tlirough this program American plant-breeders, 
dirt farmers, cattlemen, engineers, public-health 
doctors, and others, more than 500 of them, have 
been gathered together, bringing their skills to the 
peoples of nearly all the countries of the Near East. 
Since this program first got under way in fiscal 
year 1951, approximately $54 million has been pro- 



July 5, 1954 



gramed for the Arab States and Israel. The 
largest beneficiary of technical assistance funds in 
the Near East has been Egypt, which received ap- 
proximately $13 million in fiscal year 1953. Of 
this amount, $10 million went toward an Egyptian- 
American Rural Improvement fund, which also 
received the equivalent of $16 million from the 
Egyptian Government. This illustrates the strong 
local interest in rural improvements. The remain- 
ing programs in the area are in the rough amount 
of $li/2-$3 million per year per country. 

Technical assistance funds, as you know, are 
used for experts, trainees, and demonstration 
equipment, but not for capital development ex- 
penditures or consumer goods. The program 
stands as a means of extending aid to those friendly 
nations which need it and want it. Tlie response 
throughout the area has been generally favorable. 
I have received this impression from numerous lo- 
cal officials who appreciate the sound long-range 
accomplishments. I have gotten it also from the 
man in the street, especially those directly affected 
by training programs. I am aware that some of 
our efforts in some parts of the world have been 
criticized ; too many people using up all the good 
houses, too many fancy American cars, etc. But 
in my direct observations in visiting some of our 
projects in the Middle East I have found many 
able and devoted Americans working long hours, 
in dirty clothes, away from the comforts, with 
eager local learners. I recall a young agriculturist 
working in the desert 40 miles out of Baghdad 
from sunup to sundown with a group of natives 
bringing vast sections of wasteland back to pro- 
ductive use — an experienced American roadbuilder 
toiling in the dust and heat demonstrating how to 
make low-cost roads that can be simply main- 
tained in good condition for long periods. There 
are many such public servants on tlie job. 

Special Economic Aid 

By the addition of section 206 to the Mutual 
Security Act last summer, covering the special 
economic assistance for fiscal year 1954 to which 
I have referred, Congress made tlie first authori- 
zation of grant economic aid to the Arab States 
that has ever been made over and above technical 
assistance. For the 2 previous years Congress 
did authorize grant aid for Israel to provide for 
refugees coming into Israel, most of the funds 
being used for consumer goods. Congress has also 
autliorized funds for the Arab refugees, funds 
channeled through the U.N. primarily for relief 
purposes though in part for reintegration projects. 
Section 206 the first time, however, made the Arab 
States legislatively eligible for development funds 
from the United States on a grant basis. 

Section 206 was new also in tliat it was the first 
regional economic development fund for the area. 
It grouped the Arab States, Israel, Iran, and tlie 
Dependent Overseas African countries together 



as "the Near East and Africa" and established a 
single "package" of $147 million to be allocated by 
the executive branch when and where it considers 
the needs to be greatest and the investment to be 
practical. 

As it worked out, the first use of the new pack- 
age came last September for Iran — just after the 
Shah flew back from Rome to Tehran and General 
Zahedi became Prime Minister. Funds were 
quickly made available to support the budget of 
the new Government. Something more than $50 
million has by now been committed to Iran from 
the section 206 fund. 

A second use of the package has been for Israel. 
It has gone in part for commodities most of which 
start with "f" — food, fodder, fuel, fertilizer, and 
footwear — and in part for projects of a capital 
development nature which had been in the plan- 
ning stage for a considerable period. All of 
Israel's share — amounting to $52.5 million in fis- 
cal 1954 — has been designed to assist in further 
progress toward a self-sustaining economy to 
which the U.S. Government will eventually need 
to extend no further grant aid. 

A third charge was small but indicative of the 
variety of uses to which the package has been used 
to meet needs when and where they arise. It was 
$310,000 to finance the transportation costs of the 
wheat which was shipped to Libya and Jordan 
under the Famine Relief Act. It is significant 
that these were the only two instances in fiscal 
1954 in which Arab States were seriously in need 
of basic food imports which they could not finance 
from their own resources. 

It is difficult to divide a "package" among eager 
claimants without making one's friends unhappy. 
It has been said by many that favoritism for Israel 
has deprived the much larger Arab States of their 
proper proportion of grant economic aid. On the 
other hand it has been argued that tliis help is well 
and effectively used. It is quite true that Israel 
has received a large share of the "package" and 
the Arab States almost none up to tlie present 
time. The proportion will probably change. This 
change need not, however, depend on an alteration 
of our basic aid policy. We have never aimed any- 
where at equality in the sense of wanting dollars 
on a per capita or per country basis. We give 
none to Canada; we once gave a lot to Greece; 
we have not to my knowledge been charged with 
inequitable treatment in either case. We trj- to 
extend aid in accordance with need, the capacity 
of countries to absorb assistance, and of course, 
our own limitation of funds, all in the context of 
what we deem to be tlie enlightened self-interest 
of the United States. We wish to emphasize the 
cooperative nature of our programs, the mutuality 
of interest, and our aim to disi)erse aid flexibly — 
where it is most needed, wliere it will do the most 
good. In general the Arab States have not re- 
quired commodity aid and in general their re- 
quests for assistance on capital development proj- 



10 



Departmenf of State Bulletin 



ects have not until recently contained suflicient 
engiiiocrinjx and (inuncial clatu to justify hiring 
of contractoi-s or conunitting fumls. The conclu- 
sions of many of the surveys put forward in the 
past were confined to recommendations for more 
detailed studies. 

Progress has heen made, however, and in recent 
months tlie U.S. has olfered grant-aid agreements 
to several Arab countries. Two days ago an- 
nouncement was made of the signing of such an 
agreement witli Jordan under which projects for 
irrigation, roads, water development and other 
public works involving several million dollai-s may 
go forward with the utilization of package funds.^ 
It may be that generally similar agreements with 
other Arab countries will also soon be signed. 

Looking into the future, there is some indication 
that grant aid to Arab States may increase as the 
development needs of those States which are short 
of capital become more fully documented and blue- 

Srinted. For the forthcoming fiscal year (starting 
uly 1) , the executive branch lias requested of Con- 
gress a "development assistance" package of $130 
million for "the Near East and Africa." Israel 
will probably continue to be an important claim- 
ant on the fund, but from the economic factors 
now apparent probably will not be in as gi'eat need 
as it was in fiscal 1953 ($70 million) or fiscal 1954 
($52.5 million) owing to an increase in revenues 
both from exports and private American loans, to 
a sharp drop in immigration, and to the receipt of 
German reparation goods at an annual rate of some 
$50 million. 

I have perhaps labored the cause of grant-aid 
policy for the countries of the Near East at the ex- 
pense of time which might be devoted to the Arab 
refugee problem. We are again asking Congress 
for an authorization to assist in the relief and rein- 
tegration of this unfortunate group. As the U.N. 
Economic Survey Mission under Gordon Clapp 
pointed out, the problems of this group are an 
extreme reflection of the poverty and unemploy- 
ment which typify the entire area, and allevia- 
tion of the problems of the refugees is a major ob- 
jection of our policy for the entire area. Our 
grant aid and technical assistance programs for 
the nonoil countries in which the refugees now 
dwell are an essential corollary, for it is unreason- 
able to expect Arab countries to accept refugees as 
workers unless means are found to improve condi- 
tions for their own citizens at the same time. 



Refugee Problem 

The problem of the refugee is itself perhaps 
the most critical one facing the Near East today; 
it is an aggravant and a dead weight impeding 
economic and social improvement and retarding 
the reduction of tensions between Israel and the 
Arab States. Over % of a million of these unfor- 



' Bulletin of June 28, 1954, p. 1000. 



tunate and unhappy people have for 6 years suf- 
fered the misfortuiu's deriving from the conflict 
between Israel and the Aral) nations. They live in 
camps provided by the United Nations or in primi- 
tive huts of their own devising. 

Last winter I saw how thousands of the.se people 
live, and it is not pleasant to recall : whole families 
living in a G' x H' room witli oidy a box to sit on 
and tortuously collected firewood over which to 
cook. Many homes are surrounded by a sea of 
mud when it rains; more normally they are en- 
shrouded in clouds of parching dust. These peo- 
ple constitute a hunumitarian problem of the ut- 
most urgency. Political negotiations have brought 
no results. The problem grows worse with an 
annual birth increment of 25,000 lives a year to be 
added to international relief roles. Depending 
j'ear after year on slim U.N. handouts can only 
bring frustration, demoralization, loss of self- 
respect, the fanning of hatreds. 

The United States has given strong financial 
support through Unrwa in efforts to bring relief 
to and hasten reintegration of the refugees. A 
total of $153 million has been appropriated, 65 per- 
cent of all contributions, since 1948. About three- 
fourths of this has gone for relief and the re- 
mainder, still not all spent, for reintegration. 
Unrwa has had difficulty in the implementation 
of its responsibility for finding feasible projects 
at reasonable cost in the countries where the refu- 
gees are located which are acceptable to the gov- 
ernments concerned. 



Unified Plan for Jordan Valley Development 

What I have said explains why the U.S. Gov- 
ernment has put its shoulder to the task of vitaliz- 
ing the economic resources of the Jordan Valley 
for the benefit of these dislocated human resources, 
in the hope at least of ameliorating the tensions 
which this problem spawns. 

The Jordan River in terms of what we are used 
to here is little more than a muddy sti-eam, drop- 
ping 200 miles from the hills of Lebanon through 
Galilee to the sub-sea-level Dead Sea — dreary 
geography but for centuries rich in the history of 
modern man. Its waters, long allowed to slip 
away unused, are as precious as petroleum, more 
precious than we are likely to appreciate. It is 
a potential source of power and fertility which 
the valley and the contiguous states desperately 
need. Four states, however, lay claim to the Jor- 
dan's waters. International rivers are inevitably 
a source of strife and friction until some mutually 
acceptable modus operandi is evolved. In the case 
of the Jordan, the difTuulty is compounded by the 
perilous ferment which pervades the whole Middle 
East. As we have recently learned, any attempt 
of any one country to harness the waters of the 
Jordan is explosively provocative to the other 
states concerned. Some acceptable formula for 



July 5, 7954 



11 



equitably dividing the Jordan's waters among the 
riparian states must therefore be found. 

You are all familiar \Yith Mr. Eric Johnston's 
Mission to the Middle East to sell the idea of find- 
in" such a formula. Progress is reflected in the 
important meetings which are taking place in 
Cairo and which will take place afterward in Tel 
Aviv. Mr. Johnston, in accordance with his prom- 
ise made last fall to return again to the Near East, 
is meeting with both Arab and Israeli leaders fur- 
ther to discuss plans for the development of the 
valley. It is encouraging that both sides have 
come to grips with this problem of water utiliza- 
tion on an engineering basis. 

I cannot here go into details, but I would em- 
phasize as Mr. Johnston has done that what he 
took to the Middle East last autumn was not a 
plan for the valley but a broad conception of what 
might be done. This he offered as a basis for dis- 
cussion. The central idea set forth is to use Lake 
Tiberias as a natural storage reservoir for the 
waters of the Jordan and the Yarmuk. Year 
round irrigation would be provided to the lower 
valley by a canal system. Israel would draw 
mainly from the headwaters above Tiberias. 

Under the proposals, drawn up by the Chas. T. 
Main Company under U.N. direction, and utiliz- 
ing many earlier though less comprehensive valley 
studies, approximately 234,000 acres of land not 
now irrigated could be served, much of it capable 
of producing crops the year round. This 3-crop 
aspect could make the Jordan project, in terms of 
crop production, about one-half the size of the 
largest irrigation operation in the US. 

The original proposals tentatively sugo-ested 
yearly allocations in round numbers as follows: 
over 400 million cubic meters of water to Israel 
to irrigate 100,000 acres of ground, over 800 mil- 
lion cubic meters to Jordan to irrigate 122,000 
acres, and 50 million cubic meters to water 7,500 
acres in Syria. Some 38.000 kilowatts of electric 
energy' could be produced on the Yarmuk side and 
27,000 kilowatts at another plant in Israel. 

The Unified Plan proposals, whicli we are sup- 
porting, were not, as I have indicated, put forward 
as an ironclad plan. Essentially we are sponsor- 
ing the principle of total valley development on 
its merits as an economic ]iroposition. We hope 
.some mutually acceptable basis for sharing tlie 
water can he found. This accomplished, it only 
remains for the engineers to provide implementa- 
tion of measures directed toward the best use of 
the waters for the refugees and the people of the 
states concerned. The political situation in the 
area underlines the importance of an international 
administration and su])ervision of tlie project 
which would obviate the need for direct or in- 
direct negotiation between Arab and Israeli. If 
the principle is accepted, finding the suitable 
mechanism should not present insurmountable dif- 
ficulties. The United Nations should be able to 
provide the framework for such a meclianism. 



Both Arab and Israeli experts have been study- 
ing the proposals. There certainly may be differ- 
ences as to the most equitable division of the avail- 
able water or as to the best location and manner 
of construction of diversion dams or hydroelectric 
installations. There may be room for arguments 
of this kind, since the engineering studies are in- 
complete. The purpose of Mr. Johnston's current 
discussion in Cairo and Tel Aviv is among other 
things to eliminate engineering misconceptions 
and so far as possible to narrow any areas of dis- 
agreement on technical or other aspects of the pro- 
gram. We seek a workable plan which can be ac- 
cepted despite the continuing political differences 
among the states concerned and which will bring 
the maximum benefits to the peoples and these 
states and make the greatest contribution toward 
relieving the refugee problem. We hope that our 
efforts in support of Jordan Valley development, 
alongside related efforts of the Unrwa, and our 
other efforts toward economic cooperation, will be 
interpreted by both Arabs and Israeli as a demon- 
stration of our good will toward all the countries 
of the area and a constructive example of what 
President Eisenhower had in mind when he ex- 
pi'essed the U.S. policy toward the area as one of 
"sympathetic and impaitial friendship." 

Summarizing U.S. Goals 

The United States has tried for several years, if 
I may recapitulate briefly, to render assistance, in 
response to the needs and aspirations of the ]\Iiddle 
East for rural and industrial development. It has 
collaborated in U.N. efforts to find durable settle- 
ment ; it has provided technical assistance to most 
of the countries; it has made large financial con- 
tributions to the refugees through Unrwa pro- 
grams, and contributed to other U.N. agencies 
directly involved; it has made substantial public 
loans; and it is now providing some special eco- 
nomic aid of a capital nature. 

We shall continue with technical assistance. We 
are asking the Congress for another regional 
"package" allocation of $130 millions for economic 
development assistance. In our continuing pro- 
grams we hope to emphasize mutuality of interest 
and flexibility of approach. Apportionment 
among countries will depend luucli on need and 
demonstration of effective ab-orptive capacity. 
We liope private investment will increasingly come 
to the fore and reduce the need for public assist- 
ance. And finally, we shall continue to use our 
good offices and powers of friendly persuasion to- 
ward the general accejitance and implementation 
of an eflicient Jordan Valley development program 
harnessing the ])otentialities of (he streams which 
make up this river system. All this we hope will 
help move the countries of the area toward peace 
and stability, toward an improved economic life, 
and toward a greater will to withstand imperialis- 
tic encroachments. 



12 



Deparfmenf of Stale Bulletin 



Registration of German 
Postal Savings Books 

Tress release 335 dated June 21 

The Department of State invites the attention 
of persons in the United States who hoiil German 
postal savinips books to a reguhition wliicli calls 
for the registration with the Postsparkassenanit 
Hamburg of savings books of the former German 
Reichspost. Pursuant to this regulation, which 
is incorporated in Ordinance No. 112/l!)r)4 of the 
Postal Minister of the Federal Republic of Ger- 
many, nonresidents of Germany must apply di- 
rectly to the Postsparkassenanit Hamburg and 
should submit their postal savings book with their 
application. Application may be submitted by 
the original account holder, his legal representa- 
tive, his successor, or his heir. If application is 
made by a person other than the original account 
holder, it should be accompanied by appropriate 
evidence of the applicant's legitimate interest 
therein. 

Postal savings books registered under this or- 
dinance will be converted into Deutsche Marks at 
the rate of 61/2 Deutsche Marks for every 100 
Reichsmarks previously due. 

No deadline has been fixed for filing applica- 
tions under this ordinance. 

The above regulation does not apply to postal 
savings books whose owners or their heirs wei'e 
entitled to register their claims under the Berlin 
Ordinance of December 23, 1949, concerning pre- 
capitulation credit balances in Berlin unless such 
persons can prove that due to no fault of their 
own they were unable to apply for registration 
of their claims under that ordinance. 



Dedication of Library of 
Free University of Berlin 

Following is the text of a congratulatory mes- 
sage sent by Secretary Dulles to the Free Univer- 
sity of Berlin on the occasion of the dedication of 
the university library on June 19: 

It gives me great satisfaction to send the greet- 
ings of the United States Government and my 
personal wishes to the faculty and students of the 
Free University. 

Just as Berlin has come to be known as a syno- 
nym for political freedom, so the Free University 
has become a symbol of academic freedom and a 
beacon to those destined to exist in the Eastern 
approaches to democracy. Dedicated to the pur- 
pose of preserving the truth and of promoting 
knowledge, the Free University gives meaning 
and reality to the cultural fellowship enjoyed by 
all free people. It is a strong reminder that this 
fellowship is universal and that its privileges can- 



not be denied for long to those who have been tem- 
porarily deprived ot them. 

In helping construct these fine buildings the 
American people have joined hands with the Ber- 
liners in a resolve to give visible expression to the 
indivisibility of Western civilization. 



Views Exchanged on Restoration of 
West German Sovereignty 

Press release 845 dated June 2.3 

Ambassador Heinz L. Krekeler called on Secre- 
tary Dulles on June 23 with a view to an exchange 
of views prior to Dr. Krekeler's return to Ger- 
many. Aniong other things, he brought to Secre- 
tary Dulles' attention the portion of Chancellor 
Adenauer's speech before the Christian Demo- 
cratic Union in Diisseldorf, Germany, on June 20, 
1954. He said that in that speech the Chancellor 
expressed the view that the German people cannot 
wait indefinitely to have their sovereignty restored, 
and that, if the ratification of the Edc Treaty is 
much further delayed, this delay should not keep 
deferring the return to the German people of their 
freedom and sovereignty. 

Secretary Dulles tnjd Dr. Krekeler that the view 
thus expressed by Chancellor Adenauer was fully 
shared by the Government of the United States. 
The U.S. Government, he said, believes that there 
is a good prospect of an early completion of the 
ratifications of the European Defense Treaty. If, 
however, this hope and expectation should not be 
realized, it would, in the opinion of the U.S. Secre- 
tary of State, be necessary that prompt considera- 
tion be given to the restoration of sovereignty to 
the West German Republic. 



French Friendship for U.S. 

White House press release dated June 26 

Following is the text of a letter from President 
Rene Coty of France in reply to President Eisen- 
hower's letter of June 18: ' 

Paris, France 

June 23, 19S4 

My dear Mr. President: I am profoundly 
moved by the sentiments of understanding that 
you have so kindly expressed to me. 

The friendship of our countries is written in 
history, it is profoundly embedded in the hearts 
of the French who do not forget the disinterested 
aid which in the gravest hours the United States 
has spontaneously provided on two occasions. 



' Bulletin of June 28, 1954, p. 990. 



July 5, 1954 



13 



This friendship confers on our relations frankness 
and confidence that has always marked our affairs. 

The world must face up to tremendous problems. 
In agi-eement with their friends and allies, the 
United States and France are merging their efforts 
to preserve the freedom of Europe and to put in the 
background the conflicts of the past, in order to 
assure, in peace, the independence of the peoples 
of Southeast Asia. As you have been kind enough 
to suggest, the French Government is always ready 
to proceed with the United States Government to 
examine the problems involved in the reestablish- 
ment of peace in the Far East. 

In searching for a system upon which the future 
depends, France continues to be motivated by her 
desire for freedom and peace. United to all the 
peoples of the Atlantic Community, whose solidar- 
ity guarantees independence, France has decided 
to contribute to a rapid and realistic solution of the 
problem of the defense of Europe. 

You have been kind enough to give me the as- 
surance that the American Government was dis- 
posed to examine, in the most friendly spirit, the 
principal aspects of the relations between our two 
countries. This undertaking is particularly valu- 
able, coming from the Chief of the great American 
nation, who was Commander of the Armies of the 
Liberation, whose victory has maintained this 
freedom which we defend together. I can on my 
part assure you of the desire of the head of the 
French Government to see reopened, between our 
two Governments, in the near future, conversa- 
tions of a confidential and intimate character re- 
sulting from inalterable sentiments of friendship. 

I pray you, my dear Mr. President, to find here 
the expression of my respectful and faithful 
friendship. 

Rene Coty 



U.S.-Philippine Council 
Under Mutual Defense Treaty 

Press release 341 dated June 23 

Secretary Dulles and Philippine Charge d'- 
Affaires Melquiades J. Gamboa in an exchange of 
notes on June 23 formalized the establishment of 
a United States-Philippine Council to consult 
under the terms of the Mutual Defense Treaty be- 
tween the two countries. Also jjresent at the cere- 
mony were Carlos P. Romulo, personal and special 
representative of the President of the Philip- 
pines; Lt. Gen. Jesus Vargas, Philippine Armed 
Forces Chief of Stall"; AValter J. Robertson, As- 
sistant Secretary for Far Eastern Affairs; and 
Rear Admiral William R. Smedborg III, Director 
of the Politico-Military Policy Division, Office of 
the Chief of Naval Operations. 

Following are the texts of the notes exchanged : 



Secretary Dulles to Dr. Gamboa 



June 23, 1954 



Sir: I refer to my conversation with General 
Carlos P. Romulo, Personal and Special Repre- 
sentative of the President of the Philippines, on 
June 15, 1954, in regard to implementation of the 
Mutual Defense Treaty between the United States 
of America and the Republic of the Philippines, 
and to an aide-memoire handed to the Acting Sec- 
retarjf of State by the Personal and Special Rep- 
resentative of the President of the Philippines on 
June 3, 1954. 

During the discussions on June 15, between the 
Personal and Special Representative of the Pres- 
ident of the Philippines and me, we were in agree- 
ment that, pursuant to the provisions of the 
United States-Philippine Mutual Defense Treaty, 
and in the light of international developments, it 
would be useful to establish a Council consisting 
of the Secretary of State, or his Deputy, and the 
Secretary of Foreign Affairs of the Republic of 
the Philippines, or his Deputy; that each member 
of the Council would designate a military repre- 
sentative; that consultations will be held upon the 
request of either party; and that the time and 
place of such meetings will be determined by mu- 
tual agreement. 

I should be glad to know whether the forego- 
ing is acceptable to the Government of the Phil- 
ippines. If so, we shall promptly proceed 
accordingly. 

Accept, Sir, the renewed assurances of my high 
consideration. 

John Foster Dulles 



Dr. Gamboa to Secretary Dulles 



June 23, 1954 



ExcELLEXCT : I have the honor to refer to your 
note of today's date reading as follows: 

(Here follows the text of the note from Sec- 
retary Dulles, mipra.) 

I am pleased to inform Your Excellency that 
the arrangements stated above are acceptable to 
the Government of the Republic of the Philippines 
and that the latter is prepared to proceed 
promptly in accordance therewith. 

Accept, Excellency, the renewed assurances of 
my highest consideration. 

M. J. Gamboa 

Letters of Credence 

Libya 

The newly appointed Minister of Libya, Dr. 
Mansour Fethi El-Kekhia, presented his creden- 
tials to the President on June 22. For the text of 
the Minister's remarks and the text of tiie Presi- 
dent's reply, see Department of State press release 
337. 



14 



Department of State Bulletin 



Economic Aid to Libya 

I'ress release 332 dated June 19 

The U. 
Henry S. 
for 1 mil 
Ben Hali 
Tripoli, i 
in Libya. 
U.S. Min 
the I'nit 
liibyanoi 
the <rratit 
Lib^a 



S. Minister to the Kingdom of Libya, 
Villard. on June 19 i)resented a check 
Uion dollars to Libyan Prime Minister 
m at the Federal (Jovernment Offices in 
n connection with economic development 
In letters exchanged on that date the 
ister stressed tlie continuing interest of 
ed States in the development of the 
onomy. and the Prime Minister exjiressed 
ude of liis Government and the people of 



EX'oiupniic Development of t'luler-Developed rouiitries. 
SiM'clal United Nations Fund for Efouomlc Develop- 
ment. Comments of Governments on the report of 
the Committee of Nine, submitted in accordance with 
(ieneral Assembly resolution 7i;i U (VIII). A/2C46. 
May 7, 1954. 07 pp. mimeo. 

International L;i\v Commission. Sixth session. Nation- 
ality IncludinK Statelessness. Addendum to Com- 
ments by Governments on the Draft Convention on 
the Elimination of Future Statelessness and on the 
Draft Convention on the Reduction of Future State- 
lessness. A/CN.4/S2/Add.3. May 12, 1054. 1 p. 
mimeo. 

Peace Observation Commission. Balkan Sub-Commission. 
Letter Dated 14 May 10.54 from the Representative of 
Greece Addressed to the Secretary-General. A/CN.7/ 
SC.1/55. May 17, 1954. 1 p. mimeo. 



Gift of Wheat to Libya 



Press release 349 dated June 25 



The U.S. Government has approved a gift of 
6,000 tons of wheat for delivery to Libya. The 
lirst shipment of 2,000 tons will be loaded on June 
25 and sliould arrive in Tripoli within the next 
few weeks. This action is taken in response to the 
Libyan Government's appeal to the United States 
for assistance in meeting an urgent need for gi-ain 
to alleviate shortages resulting from continued 
droughts throughout Libya. 

In announcing in Tripoli the confirmation of the 
U.S. offer, Henry S. Villard, American Minister 
to Libya, cited the prompt response of the Ameri- 
can Goverimient as another example of the con- 
tinuing sympathy and interest of the United States 
in the welfare of the Libyan people. He noted 
the desire of the United States that the new king- 
dom should rest on a firm economic foundation. 
Libya has already received teclinical and economic 
assistance from the United States. 

The economic position of Libya will probably 
be among the topics discussed during the visit to 
the United States in July of the Libyan Prime 
Minister, Ben Halim. 



Current U. N. Documents: 
A Selected Bibliography ' 

General Assembly 

Third Keiiort Kelating to a Draft Code of Offences Against 
the Peace and Security of Mankind. A/CN.4/85. 
April .30, 1954. 33 pp. mimeo. 



'Printed materials may be secured in the United States 
from the International Documents Service, Columbia 
University Press, 2960 Broadway, New York 27, N. T. 
Other materials (mimeographed or processed documents) 
may be consulted at certain designated libraries in the 
United States. 



Economic and Social Council 

Full Employment. Implementation of Full Employment, 
Economic Development and Balance of Payments Pol- 
icies. E/25C5. April 28, 1954. 165 pp. mimeo. 

Full Employment. Measures To Prevent Possible Infla- 
tion at High Levels of Economic Activity. E/2563/ 
Add. 2. May 10, 1954. 10 pp. mimeo. 

Full Employment. Measures To Prevent Possible Infla- 
tion at High Levels of Economic Activity. E/2597. 
May 12, 1954. 16 pp. mimeo. 

Organization and Operation of the Council and its Com- 
missions and Amendment of Rule 82 of the Rules of 
Procedure of the Council. Review of the Organiza- 
tion and Work of the Secretariat in the economic and 
social field. B/2o98. May 13, 1954. 21 pp. mimeo. 

Economic Development of Under-Developed Cotmtries. 
Establishment of a Special Fund for Grants-In-Aid 
and for Low-Interest Long-Term Loans. E/2599. 
May 13, 1954. 8 pp. mimeo. 

Calendar of Conferences for 1955. Memorandum by the 
Secretary-General. E/2602. May 14, 1954. 9 pp. 
mimeo. 

United Nations Children's Fund. Programme Coordina- 
tion between Unicef, The Regular and Technical As- 
sistance Programmes of the United Nations and the 
Specialized Agencies. Report by the Secretary- 
General under General Assembly resolution 802 
(VIII). E/2C01. May 14, 1954. 25 pp. mimeo. 

United Nations Children's Fund. Executive Board. 
Unicef-Who .Toint Committee on Health Policy. Re- 
port of the Seventh Session Held at the Headquarters 
of the World Health Organization, Geneva. 29 April- 
1 May 1954. E/ICEF/263. May 17, 1954. 9 pp. 
mimeo. 

Development and Utilization of Water Resources. Action 
initiated under Economic and Social Council Resolu- 
tion 417 (XIV). Report by the Secretary-General. 
E/2G03. May 18, 1954. 20 pp. mimeo. 

Full Employment. Implementation of Full Employment, 
Economic Development and Balance of Payments 
Policies. E/2565/Add.l. May 18, 1954. 168 pp. 
mimeo. 

Economic Development of Under-Developed Countries. 
Efforts towards Raising Productivity in Industry. 
Working Paper by the Secretary-General. E/2604. 
May 19, 1954. 50 pp. mimeo. 

Annotations of Items on the Provisional Agenda for the 
Eighteenth .Session of the Economic and Social 
Council. Note by the Secretary-General. E/L.C06. 
May 21, 19,54. 9 pp. mimeo. 

Advisability of Convening a Conference of Non-Govern- 
mental Organizations Interested in the Eradication 
of Prejudice and Discrimination. Report by the Sec- 
retary-General. E/2608. May 21, 1954. 28 pp. 
mimeo. 

Proceeds of Sale of Unrra Supplies. Report by the Sec- 
retary-General. E/2610. May 21, 19.54. 9 pp. mimeo. 



July 5, 1954 



15 



Some Challenging Issues Facing the United Nations 



hy David McK. Key 

Assistant Secretary for United Nations Affairs ' 



I had no sooner started last Monday to prepare 
my remai'ks to you than the sounds of an air-raid 
warning practice drill caused me to lay aside my 
pen. This dramatized for me, as I am sure it 
must have for millions of other Americans, the 
tensions under which we live as well as the seri- 
ousness and magnitude of the problems of our 
times. I am sure you would agree that the solu- 
tion of our main international problems is all the 
more pressing because of the awesome develop- 
ments in thermonuclear weapons. There can be 
no question of the urgency confronting mankind 
to move ahead toward realization of tlie United 
Nations Charter goal of a world free of the 
"scourge of war" where the rights and dignity 
of man are respected under conditions of justice 
and freedom. This points up the vital stake 
which every individual has in the successful func- 
tioning of the United Nations. 

Agamst this sobering background, I would like 
to review with you some of the challenging issues 
confronting the United Nations, and the prospects 
for their solution. 

Two international meetings now in progress — 
one in Geneva and one in London — reflect our 
efforts to achieve peace and security. Both meet- 
ings are now well into their second month. Both 
see the free world pitted against the Communist 
world. In both meetings we have been trying 
every possible reasonable approach to reconcile 
existing differences. 



Korean Phase of Geneva Discussions 

You will recall that, at the Berlin Conference 
of Foreign Ministers last February, the United 
States agreed to a conference at Geneva for two 
purposes: to achieve a united, free, and iiulepeiid- 
ent Korea by peaceful means; and to consider the 
situation in Indochina. The Geneva meeting 
opened on April 26. The Korean phase of the dis- 



' Address made before the Convention of the United 
World I'^dernlists at Washinjjton, D.C., on ,Tune 18 (press 
release 328). 



cussions represented in fact the Korean Political 
Conference called for by paragraph 60 of the 
armistice. On the one hand were the Republic of 
Korea and 15 participants in the United Nations 
action to resist aggression; on the other, the 
U.S.S.R. and the North Korean and Chinese Com- 
munist aggressors. The participants in the Indo- 
china phase of the Conference are France, the 
United Kingdom, the United States, and the Asso- 
ciated States representing the free nations, while 
the U.S.S.R., the Chinese Communists, and the 
Viet Minh are on the Comnumist side. 

On Tuesday of this week the negotiations of the 
Korean phase of the Geneva Conference were 
ended. This came after the United Nations side 
had exhausted every reasonable possibility of 
coming to an agreement with the Communists. 
I can think of no better way of pointing up the 
principles involved and of sununarizing the re- 
sults of the 8 weeks at Geneva than by reading 
to you the Declaration made unanimously by the 
16 Allied nations participating in the Korean 
conference : 

Pursuant to the resolution of August 28, 1953, of the 
United Nations General Assembly, and the Berlin com- 
munifljue of February 18, 1954, we, as nations who con- 
tributed military forces to the United Nations Command 
in Korea, have been participating in the Geneva Con- 
ference for the purpose of establishing a united and 
independent Korea by peaceful means. 

We have made a number of proposals and suggestions 
in accord with the past tflforts of the United Nations to 
bring about tiie uuilication, independence and freedom of 
K(ire:i ; and within the friunework of the following two 
principles which we believe to be fundamental. 

1. The United Nations, under its Charter, is fully and 
rightfully empowered to take collective action to repel 
aggression, to restore peace and security, and to extend 
its good offices to seeking a peaceful settlement in Korea. 

2. In onler to establish a unifled, independent and 
democratic Korea, genuinely free elections should be 
held under I'X sujiervision, for ri'inesenlatives in the 
niitional assembly, in which representation shall be in 
direct i)roportion to the indigenous population in Korea. 

We have earnestly and patiently searched for a basis 
of agreement which would enable us to proceed with 
Korean unilication in accordance with these fundamental 
principles. 

The declaration goes on to say : 



T6 



Department of Stale Bulletin 



The Comrauulst delPButlons linvo rcjiH'tcd our every 
effort to olitaln iiKreeniont. The i)riucliial Issues helween 
us, therefore, are clear. Firstly, we aeeept anil assert 
the authority of the rniteil Nations. 'I'he Coniniunlsts 
repuiliate anil rejeit tlie aulliorily anil coniiM'li'nre of the 
United Nations in Korea and have labelled I lie United 
Nations itself as the tool of aKKression. Were we to 
aeee|it this position of the Coninuuiisls, it would mean the 
death of the principle of collective security and of the 
I'N itself. Secondly, we desire fienuinely free elections. 
The Coniuiunisis insist \ipon procedures which would 
make genuinely free elections iuipossihle. It is clear that 
the Communists will not accept impartial and effective 
supervision of free elections. I'lainly, Ihey have shown 
their intention to maintain Coninninist control over North 
Korea. They have persisted in the same .illitudes which 
have frustrated United Nations efforts to unify Korea 
since 1947. 

We believe, therefore, that it Is better to face the fact 
of our disasreement than to raise false hopes and mislead 
the peoples of the world into believing that there is agree- 
ment where there is none. 

In the circumstances, we have been compelled re- 
luctantly and rcKrctfully to conclude that so long as the 
Coninuinisl delegations reject the two f>indamental 
principles which we consider indispensable, further con- 
sideration and examination of tlie Korean question by the 
conference would serve no useful purpose. We reaiBrm 
our continued support for the objectives of the United 
Nations in Korea. 

In accordance with the resolution of the General As- 
sembly of the United Nations of Augtist 28, 1953, the mem- 
ber states parties to this declaration will inform the 
United Nations concerning the proceedings at this con- 
ference. 

You will see from this declaration that the issues 
on Korea between the Communists and the free 
world are fundamental. 

The United Nations in 1947 undertook responsi- 
bility- for fostering the peaceful unification of 
Korea. The United Nations members who par- 
ticipated in the Geneva Conference have in their 
declaration made a ringinfr reaffirmation of their 
belief that the Communists cannot be allowed to 
impu<rn the authority of the United Nations nor 
to cliallenge its basic i-esponsibilities for collective 
security. They will, accordingly, report to the 
United Nations upon failure of the Geneva Con- 
ference arising from Communist intransigence. 
We may expect that, after there has been an oppor- 
tunity to assess the issues as they emerged at this 
Conference, the United Nations will give further 
consideration to the next steps. 

The declaration by the United Nations side at 
Geneva makes it very clear that any further nego- 
tiations with the Communists in Korea would be 
futile until the Connnunists accej^t the two funda- 
mental ]>rinciples of the declaration. 

Meanwhile, although the armistice remains in 
effect, the free world will continue to be alert 
against any possible renewal of Communist ag- 
gression in Korea. The rehabilitation and recon- 
struction work of the Ignited States and the United 
Nations in Korea continue unabated. 



Indochina Phase 

As to the Indochina phase of the Conference, 
we have no basis for hoping that the Communists 

July 5, 1954 

304834—54 3 



will take a more reasonable attitude than they 
have on the Korean pi-oblem. The discussions on 
this matter are continuing at Geneva. At the 
same time the peojile of the free world are turning 
attention to (he United Nations where the (iovern- 
ment ol'Tiiailand has requested the Security Coun- 
cil to send a {)eace observation mission to observe 
tlie tlircat to tiie ])cace iu the general area of 
Thailand. 

As Ambassador Lodge stated on AVednesday in 
the Security Council," "It is the view of the United 
States that it would be prudent and highly de- 
sirable to authorize the Peace Observation Com- 
mission to observe developments in the area of 
Thailand in order to provide the United Nations 
with independent reports on the danger to inter- 
uationai peace and security caused by the conflict 
in Indochina." This is, he pointed out, "pre- 
cisely the kind of situation for which the Peace 
Observation Connnissioii was created." 

The United Nations observer system in the past 
has worked effectively in Greece, in Korea, in the 
Middle East, and in" Kashmir. It has served as 
the eyes and ears of the United Nations. AVhether 
or not the Geneva Conference reaches anv work- 
able settlement for restoring peace in Indochina, 
we believe that the United Nations should have its 
imjiartial observers ready to watch and report 
the facts. The United Nations will then be in a 
position to assess these facts, weigh the danger 
and consider what should be done. 

London Discussions on Armament Reduction 

At London a different type of discussion has 
been going on, but so far with no more encouraging 
results than at Geneva. The United States an(l 
its free world allies are again attempting to reach 
agreement with the U.S.S.R. on rational and effec- 
tive procedures for reducing world armaments 
and eliminating the threat of nuclear warfare. 
This Conference has been proceeding in closed 
sessions without the fanfare surrounding the 
Geneva Conference. Representatives of France, 
the United Kingdom, Canada, the United States, 
and the U.S.S.R. have been meeting as a subcom- 
mittee pursuant to a United Nations re>-o]ution 
and will report soon to the full United Nations 
Disarmament Commission in New York. "We have 
been ably represented at the London meeting by 
Mr. Morehead Patterson, who haj^pens also to be 
this year's chairman of the United States Commit- 
tee for United Nations Day. 

Wlien the time comes to appraise the results 
of the London disarmament talks, it will be useful 
to bear iu mind the fundamental divergencies 
between the Soviet and the United States ap- 
proaches to disarmament. 

We have consistently called for concrete meas- 
ures to assure safeguarded disarmament under 
effective international control. Our aim is to ease 



' Bulletin of June 28, 1954, p. 974. 



17 



the burden of armed forces and armaments of all 
sorts and to lessen the threat of war. We desire 
specific and binding commitments by all parties, 
subject to United Nations supervision. The 
United States believes that an effective disarma- 
ment system must include, though not be limited 
to, the prohibition of both the use and the produc- 
tion of atomic and hydrogen weapons. "We want 
effective safeguards under the United Nations 
which will insure that disannament agreements 
will be carried out. Mere declarations not to use 
these weapons do not lessen the danger of war nor 
its desti'uctiveness and would merely deceive the 
world into thinking there had been progress to- 
ward peace and security. 

Soviet Position on Disarmament 

Wi\at has been the U.S.S.E. position? Basi- 
cally, I am sorry to say, they liave limited them- 
selves to eye-appealing superficial slogans. They 
have treated the subject of disarmament for 
propaganda purposes. 

There are three parts to the Soviet disarma- 
ment propaganda package. First, the U.S.S.R. 
desires us to join with them in a high-soimding 
declaration of intent to "unconditionally prohibit" 
atomic, hydrogen, and other weapons of mass 
destruction. But they offer no provisions to en- 
force this prohibition. Second, they propose that 
the five Great Powers reduce their conventional 
arms and armed forces by one-third from existing 
levels. But they provide no mechanism to deter- 
mine what the present levels are or to insure that 
the reductions woidd in fact be carried out. This 
is an obvious device to gain advantage over us, 
since it would maintain or even increase the Soviet 
preponderance of power in this field. Third, they 
have asked the United Nations to reconmiend the 
elimination of military, air, and naval bases in the 
territories of other states. This would, of course, 
effectively destroy the collective self-defense and 
regional security arrangements specifically pro- 
vided for in the charter. 

Let me point out again that these are only slo- 
gans. They are only as good as the word of those 
who make them. They do not advance the cause 
of peace. They serve only to confuse the issue. 
We would be risking national suicide by accepting 
such pledges in the light of past Soviet perform- 
ances. I will be perfectly frank. We simply do 
not and cannot trust mere Soviet pledges in the 
absence of effective guaranties. 

I know that there are some very honest and 
sincere people who are so appalled by the dev- 
astating nature of modern weapons that they will 
grasp at any will-of-the-wisp. But we cannot 
entrust the security of our nation and of the free 
world to wishful lliiuking. 

I think that anyone who studies the record care- 
fully will conclude that we have persisted with 



patience and flexibility in constructive efforts to 
release mankind from the burden and fear of in- 
creasing armaments and the horrors of nuclear 
warfare. In these efforts we have been repeatedly 
rebuffed by Soviet maneuvers which belie their 
professed yeai'ning for peace. 

I do not intend to weary you with a long chronol- 
ogy of our efforts, but I would like to run over a 
few high points of tlie rock}- path that led to our 
present negotiations in London. 

When we had a monopoly of atomic weapons, 
we proposed the establislnnent of a United Nations 
Atomic Energy Commission to devise methods of 
insuring that atomic energy would be used for 
peaceful jmrposes only. But, when the General 
Assembly in IDiS overwhelmingly approved such 
a plan, the Soviets refused to approve or accept it 
or to suggest any reasonable alternative. This 
prevented the United Nations from putting it into 
effect. 

We also took the lead in trying to make progx-ess 
toward reduction of armed forces and nonatomic 
armaments in the Conventional Armaments Com- 
mission which was set up in 1947. But when, in 
1949, this Commission, largely on United States 
initiative, presented concrete proposals for a cen- 
sus and verii'ication of armaments and armed 
forces, the U.S.S.R. promptly vetoed this proposal 
in the Security Council. 

The U.S.S.R. objected to the existence of two 
separate Commissions — one on atomic energj^ and 
one on conventional armaments. They refused to 
attend meetings of either Commission. We then 
proposed to merge the two Commissions into a 
single commission. Whereupon, the Soviets sud- 
denly dropped their previous insistence that the 
United Nations should take a unified approach to 
the disarmament problem. They voted against 
our proposal, but they showed up when the Dis- 
armament Commission later met. apparently be- 
ing then forced to do so by world opinion. 

In the meetings of the Disarmament Commis- 
sion in 1952 we and our British and French col- 
leagues prepared and presented the outlines of a 
comprehensive disarmament program to include 
all armed forces and all arms. We suggested 
means to disclose and verify all armed forces and 
all armaments, conventional and atomic, to pro- 
vide information needed to work out the details of 
a disarmament program. We suggested fixed 
ceilings on the armed forces of the five Great 
Powers which represented great reductions in the 
size of these forces. We proposed ways to limit 
conventional armaments and to keep a balance in 
the armed forces. 

AVhen the Soviets said that they did not want 
to get involved in the details of disarmament, that 
they wanted to discuss principles, we presented a 
working paper on the "Essential Principles for 
a Disarmament Program." Instead of taking this 
proposal seriously, the Soviets launched their 
notorious propaganda campaigii charging us 



18 



Department of Stale Bulletin 



falsely with using bacteriological warfare in 
Korea. 

When President Eisenhower made his famous 
speech of December 8, l!)r).'!, to the General As- 
sembly.^ he reluctantly acknowledged the tlcad- 
locU with the U.S.S.K. on disurmaMUMit and 
proposed that we try a new avenue of approach — 
a moilest beginning in the field of peaceful use of 
atomic energy so as to give the people of the 
world the benefits of atomic energy before we had 
solved all the complex issues of disarmament. 
And then the Soviets had the effrontery to criti- 
cize the President for failing to come to grips with 
the main problem of disarmament. 

You may well say that this has been an 8-year 
record of frustration. It has been. Yet it is a 
record of which we can truly be proud. "We have 
been flexible in the face of Soviet intransigence. 
"We have made concessions, not on the unalterable 
principle of a foolproof system of safeguards, 
but on political and psychological points which 
appeared to be blocking the way to joint respon- 
siole agreement between the free world and the 
Soviet Union. "We have advanced and will con- 
tinue to advance proposals which give any hope 
of leading to disarmament with security for all 
nations. 

Xow it is against this background of Soviet ob- 
structionism in the United Nations that we should 
assess the recent Soviet moves to participate in the 
United Nations technical assistance program and 
to join two specialized agencies — the Interna- 
tional Labor Organization and Unesco. These 
specialized agencies and others were provided for 
in the United Nations Charter, as you know, to 
help raise living standards and to improve the 
general well-being. It is to our interest to support 
these specialized agencies because we know that 
they help create a favorable climate for repre- 
sentative and stable governments, and we also 
know that the continuation of substandard living 
conditions among two-thirds of the world's popu- 
lation creates an attitude of misery and despair 
which fosters the spread of communism. 

The specialized agencies have established a re- 
markable record of positive accomplishment. 
This is demonstrated by the steadily increasing 
contributions of member states and the larger 
number of countries which are benefiting from the 
programs. For millions of the world s popula- 
tion in underdeveloped areas, the specialized 
agencies are the United Nations. Yet since 1945, 
the U.S.S.R. and its satellites have neither joined 
nor supported most of the specialized agencies. 
They have maintained a halfhearted or temporary 
membership in a few, but more often they have 
denounced these specialized agencies as tools of 
American imperialism. 

In the light of this, it was surprising that the 
Soviets and their satellites made their recent 



moves to join with others in the technical assi.st- 
ance program and seemingly to reverse their atti- 
tude toward the specialized agencies. The old-line 
members wiio have supported and benefited from 
the work of these agencies, ami this includes the 
United States, arc understandal)Iy cautious with 
regard to these latest Communist moves. If the 
Communists demonstrate by their actions that 
they will support these and other organizations, 
then their membership is welcome. If, however, 
Connnunist intentions are to sabotage the special- 
ized agencies or to exploit their membership for 
propaganda purposes, the free-world members 
will not stand idly by and see the ruination of 
l^rograms which already have had a marked and 
favorable imi:)act on the underdeveloped areas. 

Charter Review 

Let me now turn briefly to a subject which is 

Serhaps not as pressing as some I have already 
iscussed, but which nevertheless merits our con- 
sidered judgment. I refer to general review of 
the United Nations Charter. I Know your organ- 
ization has a deep interest in this subject. 

When the 1955 session of the United Nations 
General Assembly votes on whether to call a gen- 
eral conference to review the charter, as provided 
by article 109, your Government expects to favor 
the calling of a conference. We are already 
examining the many issues which are likely to 
arise at any review conference. We want to be 
in a position to use with intelligence and discrimi- 
nation the advice we will be receiving from the 
Senate subcommittee on the United Nations 
Charter, chaired by Senator W^iley. We will also 
give careful consideration to the recommendations 
of many citizen groups such as your own. 

The outcome of this public consultation should 
be a policy representative of the very best think- 
ing of many informed Americans. We want that 
policy to have the support of our friends in the 
free world, who are partners with us in many 
great enterprises including the United Nations. 
And ^ye want that policy to command the respect 
of all in the world, including those who are always 
prepared to distort our actions and motives. 

When Secretary Dulles testified before the Sen- 
ate subcommittee on January 18 of this year,* he 
set forth the basic considerations underlying the 
United States Government's approach to charter 
review. He also identified some of the policy 
questions which groups such as your own might 
be thinking about. Ambassador Ix)dge further 
testified on March 3.= I hope all those interested 
in this important subject will study their full 
testimony. 

To it, I would only add this. History has shown 
that the behavior of states will not be transformed 



' Ihid., Dec. 21, 19.53, p. 847. 
Jo/y 5, 1954 



♦///irf., Feb. 1. 1954, p. 170. 
• lUa., Mar. 22, 1954, p. 451. 



19 



by changes in the language of documents alone. 
Even if we state our ideals for a better world as 
we did in the charter, we still face the task of trans- 
lating those ideals into reality. In a world of 
sovereign nations, we must strive ceaselessly to 
develop a level of cooperation among nations 
which would make possible the fuller realization 
of the consensus embodied in the present charter. 

To those who are dissatisfied or impatient with 
the United Nations and our participation in it, I 
want to quote Secretary Dulles' statement : "Dif- 
ferences of opinion about how to strengthen 
the U.N. should not ... be pressed to a 
point . . . that the Review Conference would 
result in undermining the United Nations or dis- 
rupting it. The United Nations as it is, is better 
than no United Nations at all." The Secretary 
also said that wliile we are aware of the desirabil- 
ity of perfecting the charter, we are also deter- 
mined "not to lose the good that is, in the search 
for something better." 

This sums up this Government's present ap- 
proach to charter review. "We contemplate an 
active review. We have an open mind as to how 
this should be done. But having said that, we can 
plan our future actions only by combining that 
which is desirable with that which is possible. 
As we study such thorny problems as universality 
of membership, voting procedures, the develop- 
ment of law, the colonial problems, and many 
others, we must constantly test our conclusions 
against two questions: Is it in the national inter- 
est of the United States? Ajid will it actually 
move us closer to our objective of a world at 
peace ? 



United Nations Day, 1954 

A PROCLAMATION ' 

Whereas the I'uiteil Niitidiis represeiits man's most 
determined and ijvoniising effort to save humanity from 
the scourge of war and to promote conditions of peace and 
well-being for all nation.s; and 

Whereas this (Jovernment believes that the United Na- 
tions deserves onr continued firm support and that its suc- 
cess depends not only on the support given it by its mem- 
bers but equally on that of the peoples of the member coun- 
tries ; and 

Whereas the General Assembly of the United Nations 
has resolved that October 24, the anniversary of the 
coming into force of the United Nations Charter, should 
be dedicated each year to making known the aims and 
accomplishments of the United Nations: 

Now, THEREFORE, 1, DWIGHT D. EISENHOWER, 
President of the United States of America, do hereby urge 
the citizens of this Nation to observe Sunday, October 24, 
H)."4, as United Nations Day with community programs 
that will demonstrate their laitli and support of the 
United Nations and create a better i)\iblic understanding of 
its aims, iichievenients, and problems. 

I call also upon the ollicials of the Federal, State, 
and local Governments, the I'nited States Committee for 



■ No. 3058 ; 19 Fed. Reg. 3923. 
20 



United Nations Day, representatives of civic, educational, 
and religious organizations, agencies of the press, radio, 
television, and motion pictures, as well as all citizens to 
cooperate in appropriate observance of the day throughout 
our country. 

I.\ WITNESS WHEREOF, I have hereunto set my hand 
and caused the Seal of the United States of America 
to be affixed. 

Do.xE at the City of Washington this twenty-fourth day 

of June in the year of our Lord nineteen hundred 

[seal] and tifty-four, and of the Independence of the 

United States of America the one hundred and 

seventy-eighth. 

X^ LjiS-y LJ~Z^ L>-<.j.^ /\yu^,j^ 

By the President : 

John Foster Dulles 

Secretary of State. 



International Geophysical Year 

White House press release dated June 25 

The Wliite House on June 25 released the texts 
of an exchange of letters between the President 
and Dr. Chester I. Barnard, Chairman of the 
National Science Board, concerning the Govern- 
ment's support for an initial appropriation to 
defray the costs of the U.S. program for par- 
ticipation in an international scientific project 
known as the International Geopliysical Year. 

On June 7, 1954, the President transmitted to 
the Congress a request for supplemental approjTri- 
ations for the fiscal year 1955. including a request 
for $2,500,000 for the National Science Foundation 
to permit preparations to begin for the program 
of the International Geophysical Year. 

The exchange of letters between the President 
and Dr. Barnard follows: 



President Eisenhower to Dr. Barnard 

De.\r Dk. Bakxakd: I appreciate j'our letter 
with respect to the United States progi-am for 
participation in the International Geophysical 
Year. 

I am glad to supjiort this undertaking. It is a 
striking example of the oi^^^ortunities which exist 
for cooperative action among the peoples of the 
world. As I understand it, some thirty nations 
will unite their scientific resources for a simul- 
taneous effort, extending over two years, to pene- 
trate the basic geophysical forces which govern 
the natural environment in wliich we live. Under 
especially favorable conditions, scientists of many 
nations will work together in extending man's 
knowledge of the universe. The findings of this 
research will be widely disseminated throughout 
the world, aiding in the furtlier developmont of 
tolecomnuinications, aviation, navigation, and 
weathei- foiocasting. It is doubtful whether any 
single nation could undertake siicli a jn-ogram. 
Acting in concert, each participating nation, con- 

Department of State Bulletin 



tributing witliin its means, secures the benefits of 

tlio profiram. 

Tlio I'liited States has become stronjj through its 
diligeiue in expaiuliiig tlio fnmtiers of scientific 
knowlcilirc. Our tcclinol()<:y is Iniilt upon a solid 
founihititJU of basic scientific imiuiry, wiiicli must 
be continuously enriclied if we are to make further 
progress. The International Geophysical Year 
IS a unique op])ortunity to advance science, while 
at the same time it holds tlie promise of greater 
technological gains both for ourselves and for 
other nations. I am sure that our particii)ation in 
this far-reaching ell'ort will veiy materially 
strengthen our bonds with the many cooperating 
nations and make a constructive contribution to- 
ward the solution of mutual problems. 
Sincerely, 

DwiGHT D. Eisenhower 



Dr. Barnard to President Eisenhower 

My dear Mr. PREsmENT: I wish to convey to 
you the sincere appreciation of the National 
Science Board for your wholehearted support of 
this country's progi-am for the International Geo- 
physical Year as presented in the budget request 
which you have sent to the Congress. 

As you know, there are pressing problems of 
interest to agencies of the Government and to the 
nation, as well as to the scientists in the field of 
geophysics, whose solution primarily depends upon 
simultaneous observations throughout the world. 
It is heartening that in times like these so many 
nations have agreed to cooperate in a world-wide 
program on scientific matters of interest and con- 
cern to all. It is eminently fitting and indeed im- 
portant that the United States join the other na- 
tions in this effort, and that the Federal Govern- 
ment accept responsibility for our participation. 

With grateful acknowledgment of your sup- 
port in this important undertaking, I am 
Faithfully yours, 

Chester I. Barnard 



International Organizations 
Employees' Loyalty Board 

Press release 340 dated June 23 

Under Executive Order 10422,* issued by Presi- 
dent Truman on January 9, 1953, and as amended 
by Executive Order 10459,^ issued by President 
Eisenhower June 2, 1953, an International Organ- 
izations Employees' Loyalty Board was estab- 
lished in July 1953. in the Civil Service Commis- 
sion to make evaluations as to the loyalty of 
American citizens currently employed by interna- 

' Bcu.KTiN' of Jan. 12, 1953, p. 62. 
• Ihid.. .Tune 22, 19.53, p. 882. 



Jo/y 5, 7954 



tional organizations either in the United States or 
abroad. Since that time the Board has completed 
its evaluations in nearly all of the cases of persons 
already in em])lnyment in tliese organizations, and 
is now on a current basis of evaluating applicants 
for future em[)lovment. 

As a result of investigations conducted by the 
U.S. Civil Service Conunission and the Federal 
i5ureau of Investigation, however, the Board still 
has under evaluation tlie cases of a number of U.S. 
citizens employed by international organizations 
in their European oilices. President ^Eisenhower's 
Executive Order 10459 requires tliat in all cases 
of U.S. nationals employed in international or- 
ganizations where investigation has developed in- 
formation of a derogatory nature, the employee in 
(jucstion must be given an opportunity for a hear- 
ing before the Board. 

Two alternative courses of action which the 
Board might take in order to afford U.S. citizens 
currently employed abroad tlie opportunity of a 
hearing presented themselves. One was to suggest 
that the employees concerned return to the United 
States for liearing; the other was for the Board 
itself to proceed to Europe and hold hearings in 
tlie places in which the employees were stationed. 
The first course would naturally result not only 
in considerable personal inconvenience to the in- 
dividuals concerned but also in disruption of the 
work and administrative arrangements of the in- 
ternational organization by which they are em- 
ployed. Furthermore, the U.S. Government 
woidd be required to bear the cost of their journey 
to the United States and return, and their living 
expenses while here. 

The second course, on the other hand, though 
involving personal inconvenience by absence from 
business to some members of the Board, all of 
whom are serving in a part-time capacity as a pub- 
lic service, would be more economical than the 
first in terms of expense to the U.S. Government. 

After full consideration, it has been determined 
that the overriding factors shoidd be the conven- 
ience of the employees themselves and the inter- 
national organizations which they sei^ve. 

Accordingly it has been decided that the Board 
should proceed to Europe for the purpo.se of af- 
fording those U.S. citizens whose cases are under 
evaluation the opportunity for a personal hearing. 
These hearings will be held in private on the prem- 
ises of the American Embassy or consulate in the 
city most convenient for the individuals concerned. 

Appearance at these hearings is not compulsory; 
the decision' whether or not to appear is entirely 
voluntary on the part of the individuals concerned. 
Nor will their failure to ajipear prejudice the 
Board's final decision in their cases. Those con- 
cerned, however, will be fully aware that failure 
to appear will require the Board to proceed to a 
final determination on the basis of the information 
at its disposal and without the benefit of hearing 
the individual's own side of his case. 



21 



The membership of the Board is as follows: 
Pierce J. Gerety, Chairman, George J. Kaiifmann, 
Dr. Edmund L. Tink, H. S. Waldman, Lawrence 
Gilman, and H. Grady Gore. 

Executive Orders 10422 and 10459 are intended 
to assure that U.S. citizens employed on interna- 
tional organizations secretariats are persons of 
high personal integrity who are fully able to dis- 
charge their obligatioiis as international civil 
servants. Under the provisions of the oi-ders U.S. 
citizen employees or prospective employees are 
given the same sort of investigations by the same 
U.S. Federal agencies, i. e. the U.S. Civil Service 
Commission and the Federal Bureau of Investiga- 
tion, as has been the case for various categories of 
U.S. Federal employees. The results of these 
investigations are then evaluated against a stand- 
ard of loyalty to the Government of the United 
States. 

The issuance of Executive Order 10422, while 
calling for a loyalty determination on U.S. citi- 
zens who are or mny become international civil 
servants, does not constitute a fundamental change 
in basic U.S. policy toward the selection of U.S. 
personnel by international organizations. It spe- 
cifically recognizes the right of the heads of those 
organizations to make the final decision as to em- 
ployment or termination. At the same time, the 
United States considers that it is appropriately in 
its interests to attempt to assure that no U.S. citi- 
zen be employed if he is believed to be engaged, 
or is likely to be engaged in activities regarded as 
subversive by the U.S. Government. Considera- 
tion of past activities of this nature would neces- 
sarily be an important factor in any determina- 
tions made by the United States in this regard. 
It is to be noted here that a Commission of Inter- 
national Jurists advised the United Nations that 
the Secretary-General can and should rid the U.N. 
Secretariat of U.S. citizens who engage in sub- 
versive activities against the United States. Con- 
sistent with, and in response to the Jurists' con- 
clusions and recommendations, the Executive 
order provides for the supplying of information 
to the Secretary-General on persons decided upon 
adversely by the United States as a result of a 
U.S. investigation and review. 

Pursuant to Executive Order 104.59, an Interna- 
tional Organizations Employees' Loyalty Board 
was established in July 1953, in the Civil Service 



Commission and charged with the responsibility 
of making these evaluations as to loyalty. 

The Board is empowered to make advisory de- 
terminations as to loyalty in cases where deroga- 
tory information about a citizen is disclosed. The 
Board's determinations in such cases are then 
turned over to the Secretary of State for trans- 
mission to the executive heads of the United Na- 
tions and other international organizations. 

The Board has now completed its evaluation in 
approximately 90 percent of the cases of persons 
ali'eady employed in some 46 international or- 
ganizations, to the number of some 3,000. The 
remainder of these evaluations, including those 
employed abroad, are expected to be completed in 
the near future. The Board has now reached the 
continuing stage of evaluating the investigations 
of applicants for future employment. 



Appointment to U. S.-IVIexican 
Boundary and Water Commassion 

The Department of State announced on June 
18 (press release 329) the appointment by the 
President of Col. Leland Hazelton Hewitt, U.S. 
Army (Ret.), as LT.S. Commissioner on the Inter- 
national Boundary and Water Commission, United 
States and Mexico. The former commissioner, 
Lawrence Milton Lawson, retired on February 13. 

The International Boundary and Water Com- 
mission, United States and Mexico, consists of a 
United States and a Mexican Commissioner, and 
the treaty of 1944 with Mexico stipulates that each 
must be an engineer. Functioning under the 
policy direction of the Department of State and 
the Mexican Ministry of Foreign Relations, the 
Commission is charged b}' numerous treaties and 
laws with the conduct of an international program 
for the solution of engineering problems on the 
1,900-mile boundarj' with JNIexico. President 
Eisenhower and President Ruiz Cortines of Mex- 
ico late last j'ear dedicated Falcon Dam on the 
Rio Grande, the first great international dam to 
be completed by this Commission.^ 



^ For the text of Presidout Eisenhower's address at the 
dedication, see Bulletin of Nov. 2, 1053, p. 579. 



22 



Department of Slate Bulletin 



The U.N/s Role in Improving the Status of Women 



EIGHTH SESSION OF THE U.N. COMMISSION ON THE STATUS OF WOMEN 



hy Mrs. Lorena B. Hahn 



The U.N. Commission on the Status of Women 
met for its eighth session at New York March '22 
to April 9, 1954. Each of the 18 member countries 
sent a woman delegate to the meeting. Six of the 
countries represented on the Commission this year 
are in the Americas, four in Europe, five in the 
Middle and Far East, and three in Soviet and 
satellite nations. 

The Commission on the Status of Women is one 
of several advisory bodies of the Economic and 
Social Council. It is directed to make recom- 
mendations to the Council on the rights of women 
and the elimination of discriminations against 
them. Tliis is in line with the aims and purposes 
of the U.N. Charter, which in its preamble re- 
affirms faith "in fundamental human rights, in 
the dignity and worth of the human person, in the 
equal rights of men and women." The Commis- 
sion began its work in 1947 by collecting infor- 
mation from governments on pertinent aspects of 
law and practice and has analyzed and organized 
this material for ready use. On the basis of this 
information the Commission considers principles 
which can be reconmiended to governments by the 
Economic and Social Council and the General 
Assembly. 

Action in the Commission this year centered on 
tlie major objectives of equal suffrage for women, 
the elimination of discriminations in regard to 
nationality, promotion of equal pay for equal 
work and enlarged opportunities for employment, 
equality of rights in family and property law, 
assurance of equal opportunities for girls in edu- 
cation, and development of technical assistance to 
improve the status of women. 

Opening Session and Election of Officers 

The Commission was addressed at its opening 
meeting by Dag Ilammarskjold, Secretary-Gen- 
eral of the United Nations. He assured the Com- 



mission that the best person available would be se- 
lected for each post in the Secretariat regardless 
of sex, race, color, or creed. The small number 
of women presently in high Secretariat posts was, 
he thought, a reflection of the situation in all coun- 
tries, as highly qualified women had not yet been 
trained in anything like tlie same numbers as men. 
It was logical to think that, as the proportion of 
women in national life increased, the change would 
be reflected in the staffs of the international or- 
ganizations. The Commission expressed appre- 
ciation of this statement in a resolution on the 
subject of participation of women in the work of 
the U.N. and the specialized agencies. 

All officers were unanimously elected. Minerva 
Bernardino of the Dominican Republic was chosen 
chairman for a second year. Mrs. John Warde 
of the United Kingdona was elected first vice- 
chaii-man, Mrs. Zofia Dembinska of Poland sec- 
ond vice-chairman, and Mrs. Safiyeh Firouz of 
Iran rapporteur. Mrs. Mary Tenison-Woods, 
chief of the section on Status of Women in the 
U.N. Secretai'iat, represented the Secretary-Gen- 
eral in later meetings, and Mrs. Sonia Grinberg- 
Viniver, deputy chief, served as secretary. 

Political Rights for Women 

The Connnission gave first attention to political 
rights for women. The Secretary-General's an- 
nual report showed important gains in the past 
year in Mexico and Syria, bringing to 60 the total 
number of countries where women vote on equal 
terms with men. Women vote under certain 
limitations in 6 more but are denied the vote al- 
together in 17 countries — Afghanistan, Cambodia, 
Colombia. Egypt, Ethiopia, Honduras, Iran, Iraq, 
Jordan, Laos, Libya, Liechtenstein, Nicaragua, 
Paraguay, Saudi Arabia, Switzerland, and 
Yemen. 

Of the 24 governments which have extended 
voting rights to women since 1945, when the U.N. 



Ju/y 5, J 954 



23 



Charter was signed, 6 are presently members of 
the Commission — Burma, Chile, China, Haiti, 
Lebanon, and Venezuela. In another member 
country, Pakistan, women are voting for the first 
time as an electoral system is set up. In one mem- 
ber country, Iran, women are still denied the right 
to vote. But so far no country which has become 
a member of the Commission without woman suf- 
frage has failed to grant women at least partial 
voting rights before its term of office has expired. 
The Commission has analyzed the history of 
woman suffrage, beginning with the first grant 
in our territory of Wyoming in 1869, as a means 
of helping governments where women do not yet 
vote. The Commission has also developed study 
materials on citizenship responsibilities for use in 
countries where large numbers of women are vot- 
ing for the first time. A new document this year 
contained suggestions from nongovernmental or- 
ganizations. Reports showed that two pamphlets 
published by the U.N. in this field, The Road to 
Equality and Political Education of Women, were 
nearly sold out and the Commission urged further 
printings. The United States abstained on a 
resolution urging countries to ratify the U.N. Con- 
vention on Political Rights of "Women, since we 
do not intend to become a party to it. Women in 
the United States already have the rights to vote 
and to hold public office specified in this conven- 
tion. 



Nationality of Married Women 

The Commission considei'ed two proposals in 
the field of nationality. The first, sponsored by 
Cuba, was a revised draft convention on the nation- 
ality of married women based on a text circulated 
to governments last year. The Commission rec- 
ommended that the text be circulated again. The 
United States opposed further work on this con- 
vention on the ground that more effective action 
can be expected from the work of another U.N. 
body, the International Law Commission, which 
is now studying the subject of nationality as a 
whole. 

The second proposal, sponsored by the United 
States, voiced the principle that a woman should 
have the same right as a man to retain her nation- 
ality on marriage to an alien. This resolution 
strikes directly at the principal discrimination 
experienced by women in the nationality field and 
was adopted without dissent. If approved by 
the Economic and Social Council, it will become 
a formal recommendation to governments, many 
of which are revising their nationality laws. 
Women in this country have enjoyed this right for 
many years, and the United States has ratified the 
Inter- American Convention on the Nationality of 
Women, which is based on a similar principle. 



Equal Pay 

Because in every country there are women who 
must earn a living, for themselves and often for 
members of their families, the Commission co- 
operates closely with the International Labor Or- 
ganization to improve their situation. The Ilo 
progress report this year showed that 15 coun- 
tries are considering action in response to the 
Convention and Reconunendation on Equal Re- 
muneration for Men and Women Workers for 
Work of Equal Value adopted by the Ilo in 1951. 
While the principle of equal pay for equal work 
is recognized in the constitutions and legislation 
of a number of countries, problems arise in mak- 
ing it effective in practice. 

The Commission adojjted two resolutions on 
equal pay. The first, proposed by Byelorussia, 
reaffirmed the equal-pay principle in general and 
urged action by governments. The United States 
and Sweden opposed this resolution as inadequate 
because it made no mention of the Ilo, which is 
the agency responsible for international work in 
this field, and because it omitted all reference to 
free-enterprise methods of implementation such 
as collective bargaining and voluntary agreements 
between employers and employees. The United 
States and Sweden sponsored a second resolution, 
adopted without dissent, which not only upheld 
the principle of equal pay but made recommenda- 
tions for both official and nongovernmental action. 

The test of real support of equal pay is the ex- 
tent to which the principle is observed in prac- 
tice. The key to enforcement is largely in the 
hands of nongovernmental organizations — labor 
unions, employers' associations, women's groups, 
and others, wlio can establish a favorable climate 
of understanding by realistic appraisal of the fac- 
tors involved. Since the Ilo reports describe only 
official action by governments, the United States- 
Swedish resolution requested information next 
year from nongovernmental organizations on 
methods they had found useful in piomoting ac- 
tion on equal pay. The experience of national 
branches of these groups cini thus be channeled 
to the United Nations and become a stinuilus to 
efforts for equal pay in many areas of the world. 



Economic Opportunities 

In most countries women need more employ- 
ment opportmiities. The Commission has urged 
countries which still bar women from certain pro- 
fessions to abolish such restrictions and has em- 
phasized the need for vocational and professional 
training. It has also been concerned witli prob- 
lems faced especially by women. Two sucli prob- 
lems wci-e considered this year — part-time work, 
which is particularly a(lai)fed to the needs of 
women with family responsibilities, and the situ- 
ation of older women workers. 



24 



Department of State Bulletin 



The discussion of part-time work showed a 
growing apprpciation of its vahie to the ooononiy 
of a country as well as to the imliviiluals con- 
cerned. In previous sessions some countries ex- 
pressed fears tliat part-time work schedules would 
reduce full-time employment and threaten sound 
labor standards. Experience in the United States 
was reflected in the documentation prepared on 
this item, which included reports from the Inter- 
national Federation of University Women and the 
International Federation of Business anil Pro- 
fessional Women's Clubs. Frequent reference 
was also made to the pamphlet on Fart-thnf Work 
for Wom^n and other material published by our 
Women's 15ureau. The Commission looked for- 
ward to completing study of this field next year. 

A preliminary review of opportunities for older 
women workers showed openings in clerical, sub- 
professional, and similar fields. The Ilo is cur- 
rently studying these occupations and will report 
further next year. The Commission renewed a 
request for information on possibilities in "cot- 
tage industries," through which many women in 
underdeveloped areas contribute to family income. 

The Commission added an item to its agenda 
for next year on "the protection of the working 
mother." 



Family Law and the Property Rights 
of Married Women 

This year the Commission continued its consid- 
eration of the legal situation of married women. 
It adopted recommendations condemning the 
practices of bride-price and child marriage where 
these still exist, asserting the right of a woman to 
engage in independent work and control her earn- 
ings, and urging equality in regard to property 
and other matters. Policy formulations in this 
field require long-range study. 

Because systems of law vary greatly, not merely 
between but even within countries, as the result of 
historical, religious, and economic factors, the 
Commission began last year to analyze character- 
istic legislation on married women's property 
rights, domicile and residence, and parental righte 
and duties. Preliminary studies this year showed 
that differences in types of laws do not necessarily 
indicate discrimination, since there are various 
ways of assuring equal treatment for the marriage 
partners. For instance, in our own country, some 
of our States base their family legislation on the 
system of community property and others on the 
common law of separate property. Women com- 
ing to the United States are usually very interested 
in our laws, wliich they feel provide general equal- 
ity and at the same time recognize the differing 
responsibilities of husbands and wives for the sup- 
port of the family and care of the children. 

The Commission discussed a highly informa- 
tive survey by the U.N. Educational, Scientific 



and Cultural Organization on tiie education of 

firls tiirougii the primary anil elementary giade.s. 
'ho report not only indicatetl substantial prog- 
ress in needy areas but also the need for continued 
work. AVhere a smaller numbi'r of girls Ihaii Ixjys 
is attending school, the problem is due to lack of 
facilities and interest rather tiian to proiiibiticms 
in law. A report on "The Education of Girls 
in Non-Sclf-Governing Territories'' pi-e]>are(l by 
another conunittee of the United Nations also 
showed consitlerable progress, though by no means 
achievement of the desired standards. The Com- 
mission reconnnended a study by Unesco on meth- 
ods which seemed to be helpful in increasin<; school 
attendance by girls, to be presented at its next 
session. It also urged wider use of women as 
teachers in areas where it has not been customary 
to employ them. 



Technical Assistance 

Tiie General Assembly last fall approved ex- 
panding the technical assistance program to in- 
clude advice on the status of women to govern- 
ments requesting such aid. No requests from gov- 
ermuents has as yet been received, but a report 
from the All-Pakistan Women's Association said 
it has asked the Government of Pakistan to request 
aid in citizenship education. The Commission 
commended especially a memorandum prepared by 
the Secretariat on fellowships and other assistance 
available for the training of persons interested in 
the status of women. 



Participation by Others 

In accordance w'ith regular United Nations pro- 
cedures, representatives of recognized nongovern- 
mental organizations participated in the session. 
Among those present this year were the Interna- 
tional Alliance — Equal Eights and Equal Respon- 
sibilities, the International Council of Women, 
the International Federation of Business and 
Professional Women's Clubs, the International 
Federation of University Women, the Liaison 
Committee of Women's International Organiza- 
tions, the Women's Lnternational League for 
Peace and Freedom, the World Union of Catholic 
Women's Organizations, and the World Young 
Women's Christian Association. The Govern- 
ments of Israel and Argentina, though not mem- 
bers of the Commission, sent official observers, as 
did also Japan and the German Federal Republic, 
which are not members of the U.N. Unesco and 
the Ilo were represented by staff officers carrying 
responsibility for women's interests. The Inter- 
American Commission of Women, a regional in- 
tergovernmental body with which the U.N. Com- 
mission cooperates, was represented by its chair- 
man and executive secretary. 



Ju/y 5, 1954 



25 



Among the closing expressions was a statement 
by the Liaison Committee of Women's Inter- 
national Organizations thaitking the Commission 
for the confidence it had repeatedly expressed in 
nongovernmental organizations by drawing on 
their snggestions and experience. The chainnan 
in return expressed appreciation of contributions 
of voluntary groups to the documentation and the 
discussions on agenda items. Many of these 
contributions came from the United States 
branches of these organizations and have thus 
become a part of the Commission's effort to ex- 
change information across the world. 



Conclusion 

I am often asked why the United Nations is 
concerned to improve the status of women. My 
answer, based on observation in the United Na- 
tions and previous experience abroad, is that today 
women are moving, some for the first time, some 
more rapidly, into public life and public responsi- 
bilities. They are seeking a better life for their 
children and their families as well as for them- 
selves. It is important that they utilize the 



United Nations, where all points of view can be 
discussed fully, as well as other means, for 
achieving their hopes. 

As a practical matter, the Commission on the 
Status of Women has brought into focus experi- 
ence of countries where women have become an 
effective part of national life, so that govern- 
ments can judge wisely in adapting their laws and 
institutions to this new potential of womanpower. 
Equality for women is a simple human right. The 
hope is to hasten the time when women can make 
their full contribution in ever}' country. The 
Commission has already demonstrated competence 
in developing documentation and directing it to 
specific needs. The formulation of recommenda- 
tions to advance the status of women involves re- 
sponsibilities which will continue to challenge the 
wisdom of the Commission and of its parent body, 
the Economic and Social Council. 

• Mrs. Ilahn^ author of the above article., is the 
U.S. representative on the U.N. Commission on 
the Status of Wotnen. For texts of statements 
which she viade during the eighth session, see 
Bulletin of Apr. 26, 1954, p. 646. 



The Guatemalan Complaint Before the Security Council 



Folloiving are three statements made before the 
Security Council by Henry Cabot Lodge, Jr., U.S. 
Representative to the United Nations. 



STATEMENT OF JUNE 20 

U.S./U.N. press release 1924 dated June 20 

The United States believes in the basic proposi- 
tion that any member, large or small, has the right 
to an urgent meeting of the Security Council when- 
ever it feels itself to be in danger. This is so even 
when, as is sometimes the case, the Security Coun- 
cil may not itself be in the best position to deal 
directly with the situation. 

Guatemala charges that other governments are 
pursuing a policy of hostility and aggressiveness 
against it.' The specific Guatemalan allegations 
involve two of its immediate neighbors, Honduras 
and Nicaragua, who are charged with disturbing 
the peace in a particular part of Central America. 
These charges are indeed serious and certainly 
warrant urgent examination. 



' U.N. doc. S/3232 dated June 19. 



But the question arises as to where the situa- 
tion can be dealt with most expeditiously and most 
effectively. 

The situation appears to the U.S. Government 
to be precisely the kind of problem which in the 
first instance should be dealt with on an urgent 
basis by an appropriate agency of the Organiza- 
tion of American States. The very fact that the 
Government of Guatemala as a member of the 
Inter- American System has already requested that 
the Organization of American States take action 
strengthens this view. 

It would perhaps be in order for me to inform 
the Council that, while the reports that we receive 
on the situation in Guatemala are incomplete and 
fragmentary, the information available to the 
United States thus far strongly suggests that the 
situation does not involve aggression but is a revolt 
of Guatemalans against Guatemalans. The situa- 
tion in Guatemahi, out of which this ]iroblem 
arises, has caused grave concern to tlic U.S. Gov- 
ernment and to the otlier members of the Organi- 
zation of American States. Consequently, the 
members of the Organization of American States 
have for some time been conferring intensively 
among themselves on the Guatemalan situation 
with a view to deciding upon what steps should be 



26 



Department of State Bulletin 



taken for tlie maintenance of peace and security 
of tlie continent. 



No Charge Against U.S. 

I an> very glatl that the Guatemalan represen- 
tat ive made it crystal clear that he makes no charge 
whatever against the U.S. Government, because 
it is certainly true that the United States has no 
connection whatever with what is taking place. 

I am constrained to note that, althougli he made 
no charges against the United States, the Guate- 
malan representative did cite a number of un- 
favorable comments made by others concerning 
Secretary Dulles, Ambassador Pcurifoy, and Am- 
bassador John M. Cabot. In fact, more of the 
time of his speech M'as given up in citing these 
statements that others had made — newspaper 
articles and hearsay — than in the actual charge 
that he made. Those tactics, of course, always give 
one the impression that instead of being interested 
in getting the answer to the question, ^\^lat is the 
truth?, tlie speaker is more interested in getting 
the answer to the question, What is the headline 
going to be ? 

Now, I do not think it is necessary for me here 
in the United Nations to make a lengthy speech 
about Secretary Dulles. Secretary Dulles has 
worked here for years. He is very well known 
personally to most of the men in this room. The 
merest inference that he could be actuated by any 
consideration other than that of duty is one which 
certainly reflects no credit on him who utters it. 

To anyone who knows President Eiseiiliower — 
and many of you know him — it must be crystal 
clear that there is a man who is utterly devoted 
to the principles of democracy, to the rights of 
man, and who abhors all forms of imperialism, 
who led a great army in World War II against 
Nazi imperialism, and who has shown by every 
word and deed of his life since the day w-hen he 
was a small boy in Kansas that his heart is always 
on the side of the little man who is trying to get 
b}" in life. 

The Secretary of State did nothing at Caracas 
which was not in accordance with the facts. As a 
matter of fact, the only authorities which the 
(Guatemalan representative cites are the U.S. press. 
The U.S. press, estimable though it is and deeply 
as I respect it, does not speak for the U.S. Govern- 
ment, and I am sure the U.S. press will agree with 
me in that respect. You can find as many differ- 
ent opinions in the U.S. press as you care to look 
for. 

Then the Guatemalan representative cites Amer- 
ican companies, and, of course, they do not speak 
with the voice of authority. 

Finally, he refers to Mr. Patterson [Richard C. 
Patterson, Jr., U.S. Ambassador to Guatemala 
from October 1948 until March 1951]. Well, Mr. 
Patterson does not hold office under this admin- 



istration. He has never lield ollice under this ad- 
niiiiisf ration. Whatever he says is entirely on his 
own authority as an individual, and just as I will 
not judge the opinion of tiie Guatemalan Govern- 
ment about the United States on the basis of what 
some individual Guatemalan may say, so I will 
ask the Guatemalan representative not to judge 
the U.S. opinion about Guatemala on the basis of 
wluit some individual citizen of the United States 
may say. 

1 would like to point out that the Guatemalan 
representative has never produced any names or 
dates or otiier specific indications showing that 
tiie State Department has ever acted in an im- 
proper manner. 

Now, this discussion began with a speech of 
Ambassador Castillo-Arriola which, as I say, was 
correct in tone. Then came the unspeakable libels 
against my country by the representative of the 
Soviet Union, which, in the words that Sir Glad- 
wyn Jebb used last autumn, make me think that 
his reason must be swamped when he says things 
like that about the United States. 

Then, as a climax, we had the crude performance 
in the gallery — a sequence which I fear is not with- 
out significance. Of course, anyone is capable of 
filling the galleries with paid demonstrators, and 
we hope that the Communists who think this is 
such clever politics will outgrow it after a while. 
It may take time. 



No Satellites in OAS 

Tlie representative of the Soviet Union said that 
the United States is the master of the Organiza- 
tion of American States. When he says that, he is 
not reflecting on us. He is reflecting on himself, 
because it shows that he cannot conceive of any 
human relationship that is not the relationship of 
master and servant. He cannot conceive of a 
relationship in which there is a rule of live and let 
live, in which people are equals and in which 
people get along by accommodation and by re- 
specting each other. 

He can just imagine what would happen to some- 
body who raised his voice against the Soviet Union 
in Poland, Czechoslovakia, or Estonia, or one of 
those countries, and compare that with the way in 
which representatives of smaller countries in the 
United Nations constantly disagree with the 
United States — and they are welcome to do it. We 
have no satellites and we do not want any ; and we 
do not desire to set up a monolithic structure in the 
free world. 

Then the Soviet representative said that the 
United States prepared this armed intervention. 
That is flatly untrue. I will challenge him to 
prove it — and he cannot do so. 

It is interesting to me, who spent 13 years of my 
life in the United States Senate, to come here and 
find that in the person of the representative of the 



July 5, 1954 



77 



Soviet Union we have such an outstanding; author- 
ity on the United States Senate. Apparently, he 
knows all. Though he never has set foot inside the 
place, he apparently knows much more about the 
United States Senate than men who have been 
members of it for many years. When he infers 
that the Senators of the United States allow their 
official actions to be determined in accordance with 
their private financial interests, he is making an 
accusation which not only reflects no ci'edit upon 
himself but which reflects a grave doubt on the 
wisdom and the good intent and the sincerity of 
every policy which his Government advocates here 
today. 

I will call his attention to the fact that I was 
in the Senate at the beginning of World War II 
when the Senate voted the Lend-Lease Bill where- 
by the United States aided the Soviet Union in its 
fight to repel Nazi imperialism. At that time we 
did not hear anything out of the Soviet Union 
criticizing the motives of the Senators of the 
United States who were then voting to help the 
Soviet Union. 

Now, the men who are in the United States 
Senate today are precisely the same kind of men 
who voted to help the Soviet Union. If they were 
good enough then to help the Soviet Union, they 
are good enough now to stand up for the interests 
of their country. 

I notice the representative of the Soviet Union 
is smiling, which leads me to believe that he does 
not really believe the things that he has said and 
that he has said them under instructions. I trust 
that is the case. 

Now, he has told us that he intends to veto the 
pendino; resolution. That will be the second veto 
by the Soviet Union in 3 days. We had veto No. 59 
on Friday, and now we are going to have veto No. 
60 on Sunday. And, vetoing what? Vetoing a 
move to ask the Organization of American States 
to solve this problem, to ti-y to bind up this wound 
in the world and then report back to the Security 
Council — not to relieve the Security Council of 
responsibility. This resolution does not do that. 
It just asks- the Organization of American States 
to see what it can do to be helpful. Here it says 
in paragraph 2 of article 52, "the Members of the 
United Nations entering into such arrange- 
ments" — that is, regional arrangements — "or con- 
stituting such agencies shall make every effort to 
achieve pacific settlement of local disputes through 
such regional arrangements or by such regional 
agencies before referring them to the Security 
Council." 

Now, at the very least, that is a harmless provi- 
sion. It is an intelligent provision. It is a con- 
structive provision. Why does the representative 
of the Soviet Union, whose country is thousands 
and thousands of miles away from here, undertake 
to veto a move like that? Wliat is his interest in 
it? How can he possibly — how can this action of 
his possibly fail to make unbiased observers 



throughout the world come to the conclusion that 
the Soviet Union has got designs on the American 
Hemisphere. There is no other explanation of it. 
And the recent articles in Pravda and Izvestia 
which have appeared in the last 2 or 3 days give 
color to that assertion. 

I say to you, representative of the Soviet Union, 
stay out of this hemisphere and don't try to start 
your plans and your conspiracies over here. 



STATEMENT OF JUNE 22 

U.S. /U.N. press release 1925 dated June 22 

I note specifically the cable from Mr. Toriello 
does not ask for another meeting of the Council. 

As President of the Security Council I was 
very glad to respond to his request for an urgent 
meeting of the Council last Sunday. 

The Security Council, after exhaustive discus- 
sion, by a vote of 10 to 1, voted last Sunday [June 
20] that the right place to go to get peace in Guate- 
mala is the Organization of American States, 
where there is both unique knowledge and au- 
thority." The one vote against this was that of 
the Soviet Union. 

In the face of this action, therefore, those who 
continually seek to agitate the Guatemalan ques- 
tion in the Security Council will inevitably be sus- 
pected of shadow boxing — of trying to strike atti- 
tudes and issue statements for propaganda pur- 
poses. 

I can understand that the Soviet Union, which, 
by its cynical abuse of the veto, has crudely made 
plain its desire to make as much trouble as possible 
in the Western Hemisphere, should constantly seek 
to bring this matter before the Security Council. 

But the Government of Guatemala should not 
lend itself to this very obvious Communist plot, 
lest they appear to be a cat's paw of the Soviet 
conspiracy to meddle in the Western Hemisphere. 
In fact, as it is, many persons will wonder whether 
the whole imbroglio in Guatemala was not cooked 
up precisely for the purpose of making Communist 
propaganda here in the United Nations. This I 
am sure Mr. Toriello would not want. 

The fact that it has become increasingly plain 
tliat the situation in Guatemala is clearly a civil — 
and not an international — war, makes it even more 
appropriate that tlie Security Council should not 
intervene further. 

The Security Council .showed last Sunday by a 
vote of 10 to i that it emphatically believed that 
the Organization of American States was the place 
to try to settle the Guatemalan problem. To fly 
squarely in the face of this recommendation would 
raise grave doubts as to tlie good faith of those who 
make such requests. 



'The draft resolution (U.N. doc. S/.32.36/Rev. 1/Ck)rr. 1) 
was proposed by Brazil and Colombia and amended by 
France. 



28 



Department of Slate Bulletin 



STATEMENT OF JUNE 25 

U.S./U.X. press release 1027 dated June 26 

Now, Gentlemen, the Government of the United 
States joins its collea<rues in tlie Oifianizulion of 
American States in opposinji tiie ailnption of tlie 
provisional ajienda. We have taken tliis position 
only after the most careful consideiation. AVe be- 
lieve that there should be great liberality with 
reference to the consideration of items by either 
the Security Council or the General Assembly, 
but in the present case, we believe that an issue 
was involved which is so fundamental that it 
brings into question the whole system of interna- 
tional peace and security which was created by 
the charter at San Francisco in 1945. 

When the charter was being drafted, the most 
critical single issue was that of the relationship 
of the United Nations as a univei-sal organization 
to i-egional organizations, notably the already ex- 
isting Organization of the American States. 
There were a good many days in San Francisco 
when it seemed that the whole concept of the 
United Nations might fail of realization because 
of tJie difficulty of reconciling these two concepts 
of universality and regionalism. Finally, a solu- 
tion was found in the formula embodied in articles 
51 and 52 of the charter. Article 51 recognized 
the inherent right of individuals to collective self- 
defense, and article 52 admitted the existence of 
regional arrangements for dealing with such mat- 
tei-s related to the maintenance of international 
peace and security as are appropriate for regional 
action. Article 52 provided that the Security 
Council had the inherent right to investigate any 
dispute or situation under article 34 which might 
lead to international friction. While any member 
of the United Nations might bring any dispute 
or situation to the attention of the Security Coun- 
cil under article 35, nevertheless members of the 
United Nations who had entered into regional 
ariungements should make every effort to achieve 
pacific settlements of local dis])ute,s through such 
regional arrangements before referring them to 
the Security Council. The Security Council 
should thus "encourage the development of pacific 
settlement of local disputes through regional 
arrangements. 

Now, Gentlemen, by that formula a balance was 
struck between universality, the effectiveness of 
which was qualified by the veto power, and re- 
gional arrangements. The adoption of that for- 
mula permitted the charter of the United Nations 
to be adopted. Without that formula there would 
never have been a United Nations. 

If the United States Senate in 1946 had thought 
that the United Nations Charter in effect abro- 
gated our inter- American system, I say to you as 
a man with 13 years' experience in the Senate, 
the charter would not have received the necessary 
two-thirds vote. And, in my judgment, the Amer- 
ican people feel the same way today. 



Translating a Formula Into a Reality 

Now for the first tinu>, the United Nations faces 
the problem of translating that formula from one 
of words into one of reality. The problem is as 
critical as that whicli faced the founders at San 
Francisco in 1945. I^t us not delude ourselves. 
If it is not now possil)le to make a living ivality 
of tlie formula wliich made jiossibic the adojjtion 
of the charter, then the United Nations will iiave 
destroyed itself in 1954 as it would have been de- 
stroyed still-born in 1945 had not the present 
formula been devised primarily under the creative 
effort of the late Senator Vandenberg and the 
present Secretary of State, Mr. Dulles, working 
with Secretary Stettinius and other administra- 
tion leaders. It was this foi'mula which secured 
bipartisan support in the United States in 1946. 
And I note by a completely bipartisan vote the 
Senate today declared that the international Com- 
munist movement must be kept out of this 
hemisphere. 



Text of Senate Concurrent Resolution 91 ' 

Whereas for many years it has been the Joint 
policy of the United States and the other States in 
the Western Hemisphere to act vigorously to pre- 
vent external interference in the affairs of the na- 
tions of the Western Hemisphere ; and 

Whekeas in the recent past there has come to light 
strong evidence of intervention by the international 
Communist movement in the State of Guatemala, 
whereby government institutions have been infil- 
trated by Communist agents, weapons of war have 
been secretly shipped into that country, and the jiat- 
tern of Communist conquest has become manifest; 
and 

Whebeas on Sunday, June 20, 1054, the Soviet 
Government vetoed in the United Nations Security 
Council a resolution to refer the matter of the recent 
outbreak of hostilities in Guatemala to the Organi- 
zation of American States : Therefore be it 

Resolved by the Senate {the House of Rejiresent- 
atires eonciirring). That it is the sense of Congress 
that the United States should reaffirm its support 
of the Caracas Declaration of Solidarity of March 
28, 19.")4, which is designed to prevent interference 
in Western Hemisphere affairs by the international 
Ciimmunist movement, and take all necessary and 
proper steps to support the Organization of Ameri- 
can States in taking appropriate action to prevent 
any interference by the international Communist 
movement in the affairs of the States of the Western 
Hemisphere. 



' Approved by the Senate on June 25. 



So much for the part of the United States in 
what hai)pened at San Francisco. 

The great weight of the effort at San Francisco, 
however, was made by the other American Re- 
publics, as you have heard Ambassador Gouthier ' 



'Hugo Gouthier, Brazilian representative. 



July 5, 1954 



29 



and Ambassador Echeverri * say before me. The 
representatives of the other American Republics 
were determined that the United Nations should 
be supplementary and not in substitution or im- 

f)airment of the tried and trusted regional re- 
ationships of their own. 

The United States, who took such an active part 
in drafting the charter provisions in question, 
soberly believes that, if the United Nations Se- 
curity Council does not respect the right of the 
Organization of American States to achieve a 
pacific settlement of the dispute between Guate- 
mala and its neighbors, the result will be a catas- 
trophe of such dimensions as will gravely impair 
the future effectiveness, both of the United Na- 
tions itself and of regional organizations such as 
the Organization of American States. And that 
is precisely what I believe to be the objective of 
the Soviet Union in this case. Otherwise, why is 
he so terribly intent upon doing this? 

The present charter provisions were drafted 
with particular regard for the Organization of 
American States, which constitutes the oldest, the 
largest, and the most solid regional organization 
that the world has ever known. The distinctive 
relationship of the American States dates back 
to the early part of the last century. Throughout 
this period of over 130 years, there has been a 
steady development of ever closer relations be- 
tween the 21 American Republics. They have 
achieved a relationship which has preseiTed rela- 
tive peace and security in this hemisphere and 
a freedom from the type of wars which have so 
cruelly devastated the peoples of Europe and Asia. 
The Organization of American States is an or- 
ganization founded upon the freedom-loving tradi- 
tions of Bolivar, of Washington, and of Abraham 
Lincoln. 

The 21 American Republics have been bound 
together by a sense of distinctive destiny, by a 
determination to prevent the extension to this 
hemisphere of either the colonial domain of Eu- 
ropean powers or the political system of European 
despotism. They have repeatedly pledged them- 
selves to settle their own disputes as between them- 
selves and to oppose the interposition into their 
midst of non-American influences, many of which 
were abhorrent to the ideals which gave birth to 
the American Republics and which sustained them 
in their determination to find a better international 
relationship than has yet been achieved at the 
universal level. 



Evidence of Communist Intervention 

TliiTO has recently been evidence that interna- 
tional communism, in its lust for world domina- 
tion, has been seeking to gain control of the politi- 
cal institutions of the American States in violation 
of the basic principles which have from the begin- 



' Carlos Echeverrl-Cortes, representative of Colombia. 



ning inspired them freely to achieve their own 
destiny and mission in the world. 

Now it is our belief that the great bulk of the 
people of Guatemala are opposed to the imposition 
upon them of the domination of alien despotism 
and have manifested their resistance just as have 
many other countries which international com- 
munism sought to make its victim. The Govern- 
ment of Guatemala claims that the fighting now 
foing on there is the result of an aggression by 
[onduras and Nicaragua. It claims that it is a 
victim. It asks for an investigation. It is en- 
titled to have the facts brought to light. The 
procedures for doing that are clearly established 
within the regional Organization of American 
States. These states have established a perma- 
nent Inter-American Peace Committee to handle 
problems of this nature. Guatemala, Honduras, 
and Nicaragua all applied to that Committee for 
assistance in resolving this problem. The Com- 
mittee has agi-eed to send a fact-finding committee 
to the area of controversy for that purpose. 
Guatemala has attemp)ted to interrupt this whole- 
some process by first withdrawing its petition, and, 
second, by withholding its consent for the fact- 
finding committee to proceed with its task. Never- 
theless, because the members of the Committee 
feel that it is inconceivable that Guatemala will 
obstruct the very investigation for which she has 
been clamoring for days, the Committee is firmly 
and vigorously preparing to i^roceed to the area of 
controversy. 

The Government of Guatemala has regularly 
exercised the privileges and enjoyed all the advan- 
tages of membership in the Organization of 
American States, including those of attending 
and voting in its meetings. It is obligated by 
article 52, paragraph 2 of the charter, to "make 
every effort to achieve pacific settlement of local 
disputes through regional arrangements." Its 
effort to bypass the Organization of American 
States is in substance a violation of article 52, 
paragraph 2. 

We hear today that Guatemala, after years of 
posing as a member of that Organization, now for 
the first time claims that she is not technically a 
member thereof. To have claimed and to have 
exercised all the privileges of membership for a 
number of ^^ears and then to disclaim the obliga- 
tions and responsibilities is an example of duplic- 
ity which surely the Security Council should not 
condone. Either Guatemala is a member of the 
Organization of American States and therefore 
bound by article 52, paragraph 2, or else it is 
guilty of duplicity such that it cannot come before 
the Securit}' Council with clean hands. 

Now, if we adopt the agenda, we in efl'ect give 
one state, in this case Guatemala, a veto on the 
Organization of American States. It is not pos- 
sible to do both. You do one at the expense of 
tlie other in this case. 

In any event, the United States is a member of 



30 



Deparfmenf of State Bulletin 



tlu' Oifiaiiization of American States, and as such 
we arc clearly bouiul by article 52, paragraph '2 
of the charter. The United States is also bound 
by article 'JO of the charter of the Organization of 
American States which provides: 

AH International disputes that may arise between 
American States sliall be submitted to the peaceful pro- 
cedures set forth in the Charter before being referred 
to the Security Council of the United Nations. 

Well, that has been so for a long time. 

Tlie United States does not deny the propriety 
of this danger to the peace from Guatemala being 
brought to the attention of the Security Council 
in accordance with article 35 of the charter, and 
that has been done. As I said, I called the meet- 
ing the day after I received the message. The 
United States is, however, both legally and as a 
matter of honor bound by its undertakings con- 
tained in article 5'2, paragraph 2, of the charter 
and in article 20 of the charter of the Organization 
of American States to oppose Security Council 
consideration of this Guatemalan disjiute upon 
the agenda of the Security Council until the matter 
has first been dealt with by the Organization of 
American States, which through its regularly 
constituted agencies is dealing actively with the 
problem now. 

The United States is in this matter moved by 
more than legal or technical considerations, and I 
recognize that. We do not lightly oppose consid- 
eration of any matter by the Security Council. 
We are, however, convinced that a failure by the 
Security Council to observe the restraints which 
were spelled out in the charter will be a grave blow 
to the entire system of international peace and 
security which the United Nations was designed 
to achieve. 

The proposal of Guatemala, supported most ac- 
tively by tne Soviet Union, whicn in this matter 
has already passed its 60th veto, is an effort to 
create international anarchy rather than interna- 
tional order. International communism seeks to 
win for itself support by constantly talking about 
its love of peace and international law and order. 
In fact, it is the promoter of international dis- 
order. 

Gentlemen, this organization is faced by the 
same challenge which faced the founders at San 
Francisco in 1945. The task then was to find the 
words which would constitute a formula of recon- 
ciliation between universality and regionalism. 
And now the issue is whether those words will be 
given reality or whether they will be ignored. If 
thejf be ignored, the result will be to disturb the 
delicate but precious balance between regional and 
universal organizations and to place one against 
the other in a controversy which may well be fatal 
to them both. 

The balance struck by the charter was achieved 
at San Francisco in the face of violent opposition 
of the Soviet Union at that time. It sought from 
the beginning to secure for the Security Council, 



where it had the veto power, a monopoly of au- 
thority to deal with international disputes. Today 
international coiunnniism uses Guatemala as the 
tool whereby it can gain f(u- itself the privileges 
which it was forced to forego at San Francisco. I 
say with all solemnity that, if the Security 
Council is the victim of that strategy and assumes 
jurisdiction over disputes which are the proper 
responsibility of regional organizations of a solid 
and serious cliaracter, then the clock of peace will 
have been turned back and disorder will replace 
order. 

The Guatemalan complaint can be used, as it is 
being used, as a tool to violate the basic principles 
of our charter. It is to prevent that result, which 
would set in motion a chain of disastrous events, 
that the United States feels compelled to oppose 
the adoption of the provisional agenda containing 
the Guatemalan complaint and appeals to the 
other members to join with us in avoiding a step 
which, under the guise of plausibility and liberal- 
ity, will, in fact, engage this organization in a 
course so disorderly and so provocative of jurisdic- 
tional conflict that the future of both the United 
Nations and of the Organization of American 
States may be compromised and a grave setback 
given to the developing processes of international 
order.' 



Call for Special Meeting 
of Inter-American Council 

Press release 351 dated June 26 

The United States on June 26 joined with nine 
other American Governments in requesting the 
Chairman of the Council of the Organization of 
American States to call a special meeting of the 
Council as soon as possible in order to convoke 
a Meeting of Foreign Ministers under the Inter- 
American Treaty of Reciprocal Assistan<;e ( Treaty 
of Rio de Janeiro) on July 7, 7554- The request 
was incorporated in a note addressed to Ambassa- 
dor nSctor David Castro of El Salvador, Chair- 
man of the Council. Following is a translation 
of the note. 

June 26, 1954 

Dear Mr. Chairman : 

Our Governments view with increasing concern 
the demonstrated inter\'ention of the international 
communist movement in the Republic of Guate- 
mala and the danger which this involves for the 
peace and security of the Continent. The recent 
outbursts of violence in the area intensify con- 
siderably this concern and pose an urgent need to 
hold a meeting of the Organ of Consultation. It 



° The vote on the adoption of the agenda on .Tune 25 was 
4 (U.S.S.R.)-5 (U.S.)-2; since 7 affirmative votes were 
required for adoption, the agenda was not adopted. 



July 5, 7954 



31 



is abundantly clear that the nations of this Con- 
tinent are today faced with a situation which they 
believe endangers the peace of America and affects 
the sovereignty and political independence of the 
American States. 

In fulfillment of instructions received from our 
respective Governments, the undersigned members 
of tlie Council propose that a Meeting of Ministers 
of Foreign Affairs be convoked, in accordance with 
Article 6 and Article 11 of the Inter-American 
Treaty of Reciprocal Assistance, to act as Organ 
of Consultation for the purpose of considering the 
danger to the peace and security of the Continent 
and to agree upon the measures which it is desir- 
able to take. To this effect, we request Your 
Excellency to call a meeting of the Council in 
extraordinary session as soon as possible. 

In view of the extreme urgency which exists, it 
is proposed that the opening session of the Meeting 
of the Organ of Consultation be held July 7. 

In thanking Your Excellency in advance for the 
attention which you, in your high position as 
President of the Council, will give to the request of 
our governments, we are happy to reiterate the 
expressions of our highest consideration and 
esteem.^ 



Soviet Veto of Thai Request 
for Peace Observers 

Statement hy Henry Cabot Lodge, Jr. 
U.S. Representative to the United Nations ^ 

U.S. /D.N. pre.ss release 1923 dated .Tune 18 

The Chair will recognize himself in his capacity 
as representative of the United States and make 
a few comments on what seems to him a singularly 
ill-advised speech and action on the part of the 
representative of the Soviet Union. 

He asks what is the hurry ? That is a strange 
question to ask a small nation which considers 
itself to be in danger of having its citizens killed. 
The representative of the Soviet Union and I hap- 
pen to represent big countries, but I continue to 
hope that we can look at the representatives of 
small countries with sympathy and understanding. 
The United States was a small country for a long 

' The note wa.s signed by the following representatives 
on the Council of the Organization of Anipricnn States: 
Gulllermo Scvilla Saeasa (Nicaragua), Juan Bautlsta de 
Ivavalle (I'eru), Ooiizalo Guell (Culia), Rafael Hcliortorii 
Valle (Honduras), John C. Dreier (United States), 
Robprti) lleurtoniatte (Panama), Jacques Fran(;ois 
(Haiti), Jost^ Ram6n Rodriguez (Dominican Republic), 
FeTnando Lobo (Brazil), and Antonio Facio (Costa Rica). 
'Made in the Security Council on June IS. For te.\t of 
the Thai draft resolution which the Soviet Union vetoed 
at the June 18 session, see Hui.i,i;tin of June 28, 19r>4, 
p. 975. 



time and still looks at many things from the stand- 
point of a small country. I hope that I will never 
live to see the day when a small country comes to 
the United Nations and asks for protection against 
war and is simply greeted with the question, 
■'What's the hurry ?"' The Thai representative has 
eloquently told us precisely what the hurry is. 

The Soviet representative has accused the 
United States of moving toward the e.stablishment 
of conditions which can make possible interven- 
tion by the United States. Let me thank my dis- 
tinguished colleague from the United Kingdom 
for his very effective words to put the record 
straight in that particular. This Soviet allegation 
is particularly ludicrous in view of the Communist 
activity in aiding the aggressors in Southeast Asia 
and the increased outpouring of Communist sup- 
plies to those forces from as far away as the Skoda 
Works in Czechoslovakia. We recall the fighting 
in Korea when apparently the Soviet Union was 
willing to go on fighting to the last Chinese 
Communist. 

The fact is that tlie United Statas has tried to 
respond to requests for aid by the peoples and their 
governments who are attempting to defend their 
independence against imperialistic communism, 
which is the 20th century colonialism of the 
Soviets that has already engulfed 600 million 
people. 

Now it is perfectly true, and we don't deny it, 
tliat the United States has used its strength to 
uphold the independence of free states, and in 
doing this we have always acted wholly within 
the spirit and the principles of the United Nations 
Charter. After all, the United States was the first 
colony in modern times to gain independence, and 
so we have an understandable sympathy for those 
peoples who would do likewise. 

Despite this, the Communist propaganda appa- 
ratus has tried to depict the United States as the 
No. 1 colonial power, which is an amazing accusa- 
tion when you consider the Asian imperial power 
which now rules colonial territories in the Cauca- 
sus in Central Asia and which brings upon such 
Asian peoples as the Armenians, the Kazakhs, 
ISIongols, and others, poverty and degradation. 

When I hear charges like tliat, that are so abso- 
lutely fantastic and fly so completely in the face 
of truth, I take comfort in the remark that was 
made recently by no less a figure than Mr. Eden, 
the Foreign Secretarv of the United Kinsrdom, 
"No one in the world has been enslaved hy the 
United States." Now we have made mistakes and 
we are human beings, and we make errors of 
judgment, but no one in tlie world lias ever been 
enslaved by the United States and no one in the 
world ever will be. 

Our position in the present sittiation is not un- 
like that proclaimed recently at the Colombo con- 
ference. The five Prime Ministers attending tliat 
conference resolved to i)reserve in their countries 
the freedoms inherent in democratic institutions 



32 



Department of State Bulletin 



and to losist interference in their interniil affairs 
from wliiitever source. Now, the United States is 
certiiinly in iiccord with tliose principle*;, which 
if cnilcMvois to follow. 

When vow hear some of the statements that have 
been niiidi' iieie this morning by the representative 
of the Si)viet Union, you wonder whether it is the 
plan to ''liberate" — and I put that word in quota- 
tion mark- — to "liberate'' Hanoi in the way that 
p]stonia. Latvia, Lithuania, Czechoslovakia, Po- 
land, and ii i^reat many other places have been 
liberated. 

(ientlenien, this is not the first time that Soviet 
vetoes have harmed Asia. Soviet vetoes thwarted 
Security (\)uncil action designed to help Indo- 
nesia m her newly won freedom. Vetoes exacer- 
bated the Korean conflict. Asian countries, and 
I mention Jajian, Vict-Nam, Laos, Cambodia, 
Ceylon, and Nepal, have been blocked from United 
Nations membership by Soviet vetoes. 

To these vetoes, directed against the interests of 
the Asian peoples, must be added today's action, 
whicii could, if it were left unchallenged, make it: 
easier for aggression to strike across the borders 
of ThailaiKl. Thailand, a small Asian country, 
has acted in a self-respecting manner as a loyal 
United Nations member. She now comes before 
ns ai-king for this small measure of protection. 
The Council's desire to respond to Thailand's 
anpcal is clear. Mr. Tsarapkin's "Nyet" turns 
Thailand away from the United Nations body 
which has piimary responsibility for the main- 
tenance of peace. She will undoubtedly seek a 
remedy elsewhere in the United Nations, and she 
will luive our support when she does so. 

(ientlemen, let me conclude. Wliat we have 
tried to do here today is a modest helpful step. 
It is a merciful effort to try to bind up one of the 
wounds of the world. In vetoing this attempt 
today, the Soviet Union has shown that same con- 
tempt for the opinions of mankind which has lost 
them so many friends which they had at the end 
of World War IL It surpasses even its record 
of brutal cynicism. This veto has laid bare in a 
ghastly light the ugly visage of a rule which 
blandly does not hesitate to egg other peoples on 
to use war as an instrument of policy to fight the 
battles of Soviet communism. Thank heaven we 
can still go on to the Assembly. 



U.S. Delegations to 
International Conferences 

U.N. Economic and Social Council 

The Ueiiartment of State announced on Juno 22 (press 
release :'..'i8) that Pre.ston Ilotchkis will l>e the U.S. repre- 
sentative to the ISth session of the Economic and Social 
Council of the United Nations which will convene at 
Geneva on June 29. 



The other memhers of the U.S. delecullon ul iIh- forlli- 
L'oiuing session will be as follows: 

Deputy U.S. Rcprcscnliitive 

Waller M. Kotschnig, Director of the Office of United .Na- 
tions Ecouomic and Social AlTairs, Department of 
State 

Advisers 

WiUinni .\. Kimbel, Director of Public Uelations, lli-Q 
Division, Aerovox Corporation 

William U. BI^'KS, Vice I'resident, Bank of New York and 
Fifth Avenue Bank 

Kathleen Boll, Office of United Nations Economic and So- 
cial AlTairs, Department of State 

Carl P. Blackwell, Director, International Economic 
Analysis Division, Bureau of Foreign Commerce, De- 
partment of Commerce 

Kathryn G. Heath, Senior Staff Officer, Office of the Secre- 
tary, Department of Health, Education, and Welfare 

Joseph C. Hickingbotham, Jr., Special Assistant to the 
Assistant Secretary for Economic Affairs, Deiiartment 
of State 

Nat B. KinK, Adviser, United States Permanent Mission 
to the United Nations, New York, N. Y. 

Otis E. Muliiken, Office of United Nations Economic and 
Social Affairs, Department of State 

William J. Stibravy, Office of Finandal Development Pol- 
icy, Department of State 

George Tobias, Office of Manpower Administration, De- 
partment of Labor 

Webster B. Todd, Director, Office of Economic Affairs, 
Office of the United States Representative to the 
North Atlantic Council and Regional European Or- 
ganizations, Paris 

William H. Wynne, Office of International Finance, De- 
partment of the Treasury 

The United Nations Economic and Social Council was 
established in accordance with the Charter of the Unitetl 
Nations to promote higher standards of living, full em- 
ployment, economic and social progress, international cul- 
tural and educational cooperation, and universal respect 
for and observance of human rights and fundamental free- 
doms. The 1st session was held at London, England, 
January-February 1946; the 17th session at New York, 
March-April, 1954. 

The provisional agenda for the ISth session covers a 
wide variety of topics, including the annual review of the 
world economic situation, consideration of reports of the 
functional commissions of the Council and the specialized 
agencies, the financing of economic development of under- 
developed countries, and technical assistance. 



Seventeenth International Conference on Public 
Education 

The Department of State announced on June 23 (press 
release .'5.^!)) that the United States will be represented at 
the Seventeenth International Conference on Public Edu- 
cation, to be convened jointly by the United Nations Edu- 
cational, Scientific and Cultural Or.t'anization and the 
International Bureau of Education on July .">, 1954 at 
Geneva, by the following delegation : 

Wayne O. Reed, Chairman 

As.sistant Commissioner. Division of Stato and Local 
School System, Office of Education, Department of 
Health, Education, and Welfare. 

Martha A. Shull 

English Teacher, Jefferson High School, Portland, 
Oreg. 



iijly 5, 1954 



33 



The major topics for discussion will be the training and 
status of secondary teachers. It was pointed out in the 
invitation that "the study of these questions forms the 
necessary complement to the subjects dealt with at last 
year's Conference, which adopted recommendations . . . 
on the training and status of primary teachers." The 
Conference will also discuss the reports submitted by 
Ministries of Education on outstanding developments dur- 
ing the school year 1953-54. 

invitations to participate in the Conference have been 
extended to 83 member states and 11 international 
organizations. 



Calendar of Meetings 

The Calendar of Meetings, which usually ap- 
pears in the first issue of the Bulletin for each 
month, will appear in the July 12 issue. 



U.S. Views on Trust Territories 

Following are texts of statements made hy U.S. 
representatives in the U.N. Trusteeship Council 
on June 11 and 17 during discussions of the reports 
to the Council presented hy the administering au- 
thorities of Somaliland cmd Nauru. 



STATEMENT ON SOMALILAND' 

U.S. /U.N. press release 1920 dated June 11 

There are few undertakings which are more im- 
portant tlian helping to create new nations. This 
is particularly true of our responsibilities toward 
Somaliland, which has been promised independ- 
ence by 1960. Because of the nearness of this date, 
the Trusteeship Council has a special duty to think 
realistically. 

Although the problem does not involve the set- 
ting of a date for independence, it does concern 
the rate of progress best suited to the Somali 
people. The customs of generations cannot be 
altered overnight. To ask the Somalis to make 
drastic changes in their way of life at a pace faster 
than they can accept would retard their progress 
toward real freedom. 

The United States, for its part, wants for every- 
one the kind of independence which will endure, 
and we want them to have it with the least possible 
delay. Our delegation, for example, would like 
independence for the Somalis tomorrow, if they 
could sustain it. But unfortunately the present- 
day world is full of powerful, freedom-destroying 
forces which stand ready at all times to subvert 
new nations at first sign of instability. If this is 



to be prevented, we think the Somalis are going 
to need and will be glad to have administrative 
and economic assistance for some time after 1960. 

In this connection my delegation was much im- 
pressed by the Somali leaders of the Territorial 
Council who appeared before us a few days ago. 
Abdulla Osman and Mohammed Hussen are to be 
congratulated for the responsible and constructive 
spirit of their statements. Their long-range views 
about the future needs of their country were re- 
ceived with real respect. 

In the meantime my delegation believes the 
Italian administrators with the cooperation of the 
Somali leaders are incorporating progressive 
measures into the territorial system as fast as 
circumstances will permit. In our judgment they 
should be commended for their effoi-ts. 

In conclusion we have only one more thing to 
say. In order to prevent border violence, we 
earnestly hope the Ethiopian Government will 
appoint as soon as possible the Ethiopian members 
of the joint conmiittee to study the boundary dis- 
pute between their country and Somaliland. 

And for myself, Mr. President, let me say that 
I am looking forward with great pleasure to visit- 
ing Somaliland this coming autumn. 



STATEMENT ON NAURU' 

U.S./U.N. press release 1922 dated June 17 

The Trust Territory of Nauru is by far the 
smallest of the 11 trust territories under the super- 
vision of the United Nations. This does not mean 
that the advancement of its people toward the 
goals of the trusteeship system is of any less con- 
cern to the United Nations than that of other 
territories. At the same time, the fact that we are 
dealing with a single small island, measured in 
acres rather than miles, with an indigenous pop- 
ulation of only 1,745 people, makes it quite obvious 
that the advancement of the Nauruans cannot be 
expected to parallel in all regards that of the 
larger trust territories, particularly those that can 
properly aspire to independence. 

Although small, Nauru is jiroportionately rich. 
It has one valuable natural resource, its phosphate 
deposits. If a million tons a j'ear of phosphate are 
extracted, which is approximately the current rate, 
this resource will last another 65 to 70 years. 

This raises the difficult problem of planning 
for the future of the Nauruans when the deposits 
are exhausted. It is encouraging to note that the 
administering authority has begun to plan for this 
day and that its oliicials have begun consulting 
with Nauruans on this nuitter. My delegation 
feels that Australia will not relax its efforts to 
develoi), with the coo2jeration and support of the 



' Made by Mason Sears, U.S. representative in the 
Council, on June 11. 



' Made by Curtis Strong, member of the U.S. delegation, 
on June 17. 



34 



Department of Slate Bulletin 



Nauruans, a detailed plan, or perhaps alternative 
plans. As the Visitiiip Mission pointeil out, it is 
ditHcult to iniajiine at this stajjc any plan which 
wonld permit the entire Nauru population to re- 
main in the territory after tlie ilejiosits are ex- 
hausted. However, even such a possibilit^y may 
emerjre with continued advances in scientific 
knowledge durin<i the next half-century. It might 
become possible for science to develop satisfactory 
means of livelihood for some of the Nauruans who 
might wish to remain on their island. On this 
complex matter, we have no concrete recommenda- 
tion, except to urge that the administering author- 
ity continue to develop plans in the closest con- 
sultation with the inhabitants. However, we feel 
that it should carry on an active program of ex- 
planation and jJei-suasion in order to make clear 
to the Nauruans that the early development of 



concrete plans is an act of foresight rather than 
any pressure on them to leave their homes in the 
future. We hope, too, that the administering au- 
thority will give further consideration to the views 
of the Visiting Mis.sion with regard to the estab- 
lislunent of a cajiital fund for settlement. 

Meanwhile, Mr. President, my delegation feels 
sure that, despite the small number of Nauruans, 
the administering authority will pursue vigorously 
its policy of training Nauruans for an even greater 
role in the conduct of their own affairs in the 
political field, as well as in the economic, social, 
and educational fields. With this kind of effort, 
Nauru could become an outstanding demonstration 
of an administering country and the United Na- 
tions working together to help an island people 
adapt their traditional way of life to modern 
conditions. 



Recommendations Relating to Mutual Security Program 



Message of the President to the Congress ' 



I herewith transmit recommendations relating 
to the mutual security program which, I am deeply 
convinced, are essential to the efforts of the United 
States in the fields of international relations and 
national defense. These recommendations are the 
outgrowth of painstaking analyses of present mu- 
tual security programs, recent world developments 
and alternative methods of protecting the nation's 
intei-ests. 

Our mutual secnrity program is based upon the 
sound premise that there can be no safety for any 
of us except in cooperative efforts to build and 
sustain the strength of all free peoples. Above 
all else communist strategy seeks to divide, to 
isolate, to weaken. The mutual security program 
is an important means by which to counter this 
strategy. It helps us to bolster strength in remote 
areas which are, nevertheless, vital to our own se- 
curity. It is mutually advantageous to our own 
economy and to the economies of the countries to 
which we give assistance. It meets the communist 
menace at the front fine with practical and effec- 
tive measures. It serves the ultimate purpose of 
our foreign policy by expanding the area of hope 
and freedom, and thus it helps to secure the foun- 
dations of a free and peaceful world. 



' H. Doc. 449, S3d Cong., 2d sess. ; transmitted June 23. 
JuJy 5, 7954 



For the new program I urge that the Congress 
authorize new appropriations to the President in 
the amount of approximately $3,500,000,000. This 
amounts to approximately a 40% reduction in two 
years. Further reductions in the authorized pro- 
gram at this time, in view of the continuing threat 
to our national safety, would be unjustified and 
unsafe. Because the new program is in large 
measure a continuation of existin"; programs, its 
success requires reauthorization for expenditure 
of funds that are still unexpended. 

Measured in terms of functions, about $2,748.4 
million of the $3.5 billion of new appropriation 
authority, or 79%, is for programs essentially of 
a military nature. Of this amount, $1,580 million 
is for Mutual Defense Assistance (principally 
military end-items and training) ; $945 million is 
for Dii'ect Forces Support (primarily for sup- 
plies and equipment for forces in Southeast Asia 
and the western Pacific) ; and $223.4 million is for 
Mutual Defense Support (principally to sustain 
abnormally large but essential military programs 
in certain countries). The remainder consists of 
$241.3 million for programs in Korea, $256.4 mil- 
lion for Develoi)ment Assistance (largelv in the 
Near East' and South Asia), $131.6 million for 
Technical Cooperation, and $70.5 million for 
other programs, including contributions to vol- 
untary programs of the United Nations. 

35 



Dividing tlie $3.5 billion into iire;is, approx- 
iniafi-!v $'.H)') million is for Europe. $570 million 
foi- the Near I-Cast. Africa and South Asia, $1,770 
million IVir the Far East and the Pacific, and $47 
million foi- Latin America. Some $lf)5 million is 
requested for non-re<rional profrrams. 

Today the continued ruthless drive of communist 
imncnul'st^ ''or world domination places an 
especially hijrh premium on our maintenance of 
close_ i'(-l!it!' ns with friendly nations. We must 
provide mil'tary assistance to some nations, 
especially to those of strategic military significance 
which are willing to join in the conimon defense 
effort. .A major part both of the nearly $5 billions 
of cxtienditures in the current fiscal year and the 
approjirii'tions a\ithorization requested for the 
coming year is for programs of a military nature. 
These amounts are, indeed, substantial. But a 
coinmoi! defense sy.stem evolved in concert with 
allies is far less expensive to our people and far 
more effective for the free world than a defense 
structine erected only on our soil, consisting only 
of onv forces. Such amounts, moreover, are 
min;-sc!ile compared to the cost of global war 
wh-ch these programs help to prevent. 

R:'cent events in Southeast Asia have created 
gr;\ve uncertainty. The security of that region 
and the interests of the United States and its allies 
there aie clearly endangered. It is, therefore, 
critically imiiortant that the Congress authorize 
the appropriation of funds needed to provide mili- 
tary and other assistance to this area and that au- 
thority be granted to adjust the use of these funds 
to rapidly changing conditions. 

T also recommend continuance of limited au- 
thority to transfer, for use in another geographic 
area or for a different purpose, funds appropriated 
for one geoirraphic area or purpose. Other forms 
of flexibility which proved their value during the 
past year should also be continued. The United 
States must be in a position to employ these pro- 
grams with the utmost speed and precision to ac- 
complish our goals under the swiftly-shifting 
circumstances of the world. 

Our country's participation in Technical Co- 
operation jjrograms must be vigorously advanced. 
Certain fundamentals are essential to their success. 
First, they should provide experts and know-how 
rather than large amounts of funds or goods, al- 
though they should not be allowed to fail due to 
lack of necessary teaching and demonstration 
equipment. Second, they should be tightly ad- 
justed to the needs of the host countries! Third, 
tliey should l)c so administered as to reach as 
many people as possible helping them raise their 
own standards of living and sohe their own prob- 
lems. Technical Cooperation programs now be- 
fore the Congress are based on these fundamentals. 
These programs are our most effective countei'- 
measure to Soviet pro])aganda and the best method 
by whicli to create tiie political and social stability 
essential to lasting peace. 



Three months ago I advised the Congress that 
economic assistance on a grant basis shoukl be 
terminated as swiftly as our national interest 
would allow. This concept underlies the new 
programs. In Europe economic assistance is 
recommended only for a few local programs of 
especial importance. As rapidly as feasible in 
our relationships with other countries, these pro- 
grams are being supplanted by more durable un- 
dertakings in the field of mutually profitable 
private investment and trade. As such trade and 
investment expands, the need for grant assistance 
will further diminish. But this expansion takes 
time and effort. This requires that in strategi- 
cally located, underdeveloped areas of the world, 
some grant assistance must be continued for an 
additional period of time. Such assistance is also 
needed for certain countries which lack the eco- 
nomic capacity to establish and equip military 
forces needed for the common defense. 

Notwithstanding the continuing need for such 
grants, we must strive constantly toward relation- 
ships with our friends which are more satisfactory, 
both to them and to us, than grant assistance. 
This legislation should, therefore, reserve for 
loans not less than $100 million of the fiscal year 
1955 funds. Such loans would be made where 
there is reasonable chance of repayment in dollars 
or in local currencies, and should be extended in 
a manner that would not substantially impair a 
country's capacity to borrow from private bank- 
ing sources, the International Bank for Recon- 
struction and Development, or the Export-Import 
Bank. This is a vital step toward the general 
replacement of grant economic assistance. We 
shall achieve this goal as quickly as world condi- 
tions and our national welfare permit. 

In the administration of the mutual security 
program, agricultural surpluses will be used to 
strengthen the economies of friendly countries 
and to contribute in other ways to the accomplish- 
ment of our foreign policy objectives. We shall 
also attempt to use other products of our farms 
and the output of our industries whenever their 
use is consistent with the essential objectives of 
the program, after taking into account such fac- 
tors as availability, price and quality. In the 
conduct of these and other nuitual security pro- 
grams a Foreign Operations Administration per- 
forms a necessary function and should be con- 
tinued. 

The United States has chosen carefully from 
among many alternatives in order to chart a 
sound course in the world. 

AVe have chosen to build defenses with our allies 
rather than go it alone, because we are convinced 
that this course is more effective and less costl}'. 

We have chosen to help develop and expand 
world markets, because we believe that this course 
will strengthen the economies of all free nations, 
including our own. 



36 



Department of State Bulletin 



We have chosen to excliange technical knowl- 
cclf^e iuul ideas with our frioiuls, because we be- 
lieve that course will go far toward countering 
the elFects of coninninist propaganda, while at tlie 
same time promoting peace through improved 
political ami economic stability. 

Having embarked upon these courses of action, 
we shall follow them through. We did not choose 
the gigantic struggle now endangering the world, 
but suiely this is clear: During periods when the 
contest is hardest, we must not falter, we must 
not abandon programs of positive action. In- 
stead, at such a time, we must intensify sensible 
and positive action. 

This program of mutual security is such action; 
it is one of our most effective, most practical, least 
costly methods of achieving our international ob- 
jectives in this age of peril. 

I therefore strongly urge enactment of mutual 
security legislation along the lines I have herein 
generally outlined. 




DwiGiiT D. Eisenhower 



The White House, 
June 23, 1954. 



Current Legislation on Foreign Policy: 
83d Congress, 2d Session 



Report on Operations of Export-Import Bank and the 
International Banli in Latin American Countries. 
Report to accompany S. Con. Res. 74. S. Rept. 1221, 
Apr. 21, 1954. 2 pp. 

Examination and Review of ttie Administration of tlie 
Trading with the I'^neniv Act. Report to accompany 
S. Res. 227. S. Rept. 1237, Apr. 22, 19.54. 2 pp. 

Biennial Inspection of Hulls and Boilers of Cargo Vessels. 
Report tci accompany S. 2818. S. Rept. 1272, Apr. 29, 
19.")4. 10 pp. 

Communist Action Derogatory to the Rights of Free Men. 
Report to accompany S. Con. Res. 58, as amended. 
S. Rept. 1273, Apr. 29, 1954. 3 pp. 

Reorganization Plan No. 1 of 1954. Message from the 
President Transmitting Reoriiaiiization Plan No. 1 
of 19i>4, Relating to the Establishment of the Foreign 
Claims Settlement Commission. H. Doc. 381, Apr. 
29, 1954. 5 pp. 

Reorganization Plan No. 2 of 1954. Message from the 
President Transmitting Reorganization Plan No. 2 
of 1954, lielating to the Liquidation of Certain Affairs 
of the Reconstruction Finance Corporation. H. Doc. 
382, Apr. 29. 1954. 4 pp. 

1953 Annual Report, United States Civil Service Commis- 
sion. H. Doc. 2G1, Nov. 16, 1953. 96 pp. 

Comptroller General of the United States, 1953 Annual 
Report. H. Doc. 26."?. VIII, 124 pp. 

Annual Report of the American Historical Association for 
the Year 1951. Vol. II, Writings on American His- 
tory, 1949. H. Doc. 267, Vol. II. XI, 636 pp. 



Recent Releases 

Fnr sdic l>ii the Superintendent of Doruiiicnls, U.S. fluv- 
cniinoit I'riiitinij Office, \\'(isluri;iton iS, I). ('. AdilreM* 
riiiuc-itii direct to the Hupci intcndou of Dnciiiiiciils. c.r- 
cept ill the case of free puliliiations, which imiii he nUlitined 
from the Uepiirttniiit of Stiitc. 

Italy — 1954. Pub. 542(5. European and Briilsh CoiiMiKin- 
wealth Series 46. 16 pp. 15(f. 

A background summary of the basic prolilenis, iiolilical 
history and situation, and government rcfcirnis in lialv 
to ilate, witli map. 

General Agreement on Tariffs and Trade. TI.\S 27^7 
Pub. 51:55. 58 PI). 20(f. 

Fourth protocol of rectifications to the agrtn'ment of Oc- 
tober :iO, 1947 lietween the United States and Other Gov- 
ernmonts — Signed at Geneva Apr. 3. 19.5(1. 

Double Taxation— Taxes on Income. TIAS 2S80. Pub. 
5351. 14 pp. lO^". 

Convention between the United States and Australi-j-- 
Sisrned at Wasliiniiton May 14, 19.53. 

United States Air Force Mission to Haiti. TIAS 2807. 
Pub. 5213. 2 pp. 5(J. 

Agreement between the United States anil Haiti, extend- 
ing agreement of January 4, 1949. Exchange of notes — 
Signed at Washington .Ian. 28 and Mar. 2, 19.53. 

Technical Cooperation. TIAS 2811. Pub. 522(;. .", pp. 

Agreement between the United States and Pakistan, .-^up- 
plementing agreement of February 9, 1951, as sniiple- 
mented — Signed at Karachi Mar. 27, 10.53. 

General Agreement on Tariffs and Trade. TIAS 28:51. 
Pub. 5251. 11 pp. 10«;. 

Second protocol of supplementary concessions (Austria 
and I'ederal Republic of Germany — Dated at lun.shruck 
Nov. 22, 1952. 

Economic Aid to Spain. TIAS 2851. Pub. .5302. 2.5 pp. 
15^. 

Agreement, with annex containing interi)retative notes. 
between tie I'nited States and Spain — Signd a Madrid 
Sept. 26, 1953. 



Consular Offices 

The Department of State announced on .luiie 21 (press 
release :K3) tli.it the consulate at Tananarive, .Madagas- 
car, is in the process of closing and will cense to peildrni 
consular services as of the close of business July 1. 1954. 
Consular activities formerly performed at TMiiannilve 
are to be carried out on an ad hoe basis by nearby con- 
sulates, primarily LoiiietK.o Manjues. 

The consulate at Tananarive will be ofhcially dosed 
about August 31, 19.54. The exact date will be aiiuouiiced 
later. 



July 5, 1954 



37 



TREATY INFORMATION 



Declaration deposited (recognizing signature as bind- 
ing) : Germany, June 15, 1954. 
Internationai convention to facilitate the importation of 
commercial samples and advertising material. Dated 
at Geneva November 7, 1952.' 
Accession deposited: Finland, May 27, 1954. 



Current Actions 

MULTILATERAL 

Commodities — Wheat 

Agreement revising and renewing the International Wheat 
Agreement of 1949 (TIAS 1957). Dated at Washington 
April 13, 1953. Entered into force July 15, 1953. TIAS 
2799. 
Ratification deposited: France, June 8, 1954. 

Japan — Status of United Nations Forces 

Agreement regarding the status of the United Nations 
forces in Japan. Signed at Tokyo February 19, 1954. 
Entered into force: June 11, 1954 for Japan, the United 
States of America acting as the Unified Command, 
Australia, Canada, France, Italy, New Zealand, Phil- 
ippines, and the United Kingdom. 

Narcotic Drugs 

Protocol for limiting and regulating the cultivation of 
the poppy plant, the production of, international and 
wholesale trade in, and use of opium. Dated at New 
York June 23, 1953.' 
Ratification deposited: China, May 25, 1954. 

Trade and Commerce 

Declaration on continued application of schedules to the 
General Agreement on Tariffs and Trade (TIAS 1700). 
Done at (jeneva October 24, 1953. Entered into force 
October 24, 1953. TIAS 2886. 



BILATERAL 



Chile 



' Not in force. 



Agreement extending the provisional agreement of April 
9, 1949 (TIAS 2178), as extended, providing customs 
concessions by Chile on certain automobiles. Effected 
by exchange of notes at Santiago April 26 and May 10, 
1954. Entered into force May 10, 1954. 

Germany 

Treaty of friendship, commerce and consular rights. 
Signed at Washington December 8, 1923. TS 725. 
Article VI inoperative: June 2, 1954 (notification given 
by the United States June 2, 1953). 

Ireland 

Consular convention. Signed at Dublin May 1, 1950. 

Ratifications exchanged May 13, 1954. 
Entered into force: June 12, 1954. 
Proclaimed hy the President: June 12, 1954. 

Supplementary protocol to the consular convention of 
May 1, 1950. Signed at Dublin March 3, 1952. Ratifi- 
cations exchanged May 13, 1954. 
Entered into forc^: June 12, 1954. 
Proclaimed by the President: June 12, 1954. 

Japan 

Agreement for the loan of United States naval vessels to 
Japan. Signed at Tokyo May 14, 1954. 
Entered into force: June 5, 1954. 

Surinam 

Agreement for a cooperative program of economic de- 
velopment pursuant to the general agreement for techni- 
cal cooperation with the Netherlands of January 22, 
1954. Signed at Paramaribo April 29, 1954. Entered 
into force April 29, 1954. 



38 



Department of Sfofe Bulletin 



July 5, l%t 



Index 



Vol. XXXI, No. 784 



Amrrican Principlesi. Tlie I'liltoil StiltOS and the Dncom- 

inlttiMl W.irlil (Mnriihy) 8 

Congress. The 

Curri-nt Li'slslatlon 87 

Kecoiiiinonilnlluns Relating to Mutiinl Soeurlty ProBraiu 

(Klsiiih.iwiT) 35 

Economic AfTairfl 

Ki'onomli- Alil to Libya 16 

Gift of Whpnt to Libya 15 

Keirlstriitlon of OiTmnn TOKtiil Savings Books .... 13 

Foreign Service. Consular Offlecs 37 

France. French Friendship for U.S. (Coty) 13 

Germany 

Dedication of Library of Free University of Berlin (DiiUos) 

(text of messapre) 13 

Registration of German Postal Savings Books .... 13 
Views Exchanged on Restoration of West German Sov- 
ereignty 13 

Guatemala. Gnatemnlan Complaint Before the Security 

Ci>uiieil (Lodge) 28 

International Information 

International Ceophjsloal Year (Elsenhower, Barnard) . 20 

International Organizations Employees' Loyalty Board . 21 

International Oreanizations and Meetings 

Calendar of Meetings 34 

Call for Special .Meeting of Inter- American Council . . 31 

International Organizations Employees' Loyalty Board . 21 

U.S. Delegations to International Conferences .... 35 
Libya 

Economic Aid to Libya 15 

Gift of Wheat to Libya 15 

Letters of Credence (El-Kekhia) 14 

Mexico, .appointment to U.S. -Mexican Boundary and 

Water Commission 22 

Middle East, Emerging Goals In the Middle East's Rural 

and Industrial Development (Gay) 8 

Mutual Security 

Frenih Friendship for U.S. (Coty) 13 

Recommendations Relating to Mutual Security Program 

(Elsenhower) (message to Congress) 35 

Soviet Veto of Thai Request for Peace Observers (Lodge) . 32 

U.S.-Philipplne Council Under Mutual Defense Treaty 

I Dulles. Gamboa) (texts of notes) 14 

Near East. The Twentieth Century Comes to the Arabian 

Peninsula (Sanger) 6 

Non-Self-GoverninK Territories. U.S. Views on Trust Ter- 
ritories (Sears. Strong) 34 

Philippines, The. U.S. -Philippine Council Under Mutual 

Defense Treaty (Dulles, Gamboa) (texts of notes) . 14 

Presidential Docamenta 

International Geophysical Year 20 

Recommendations Relating to Mutual Security Program 

(message to Congress) 35 

United Nations Day, 1954 (proclamation) 20 

Publications 

Current U.N. Documents 15 

Recent Releases 37 

State, Department of. Appointment to U.S. -Mexican Bound- 
ary and Water Commission 22 

Thailand. Soviet Veto of Thai Request for Peace Ob- 
servers (Lodge) 32 

Treaty Information. Current Actions 38 



United Nation! 

Current UN'. Documents 10 

Guatemalan Cumplalnt Before the Security Council 

(Lodge) 26 

Some Challenging Issues Facing the U.N. (Key) ... 16 

Soviet Veto of Thai Request for Peace Observers (Lodge) . 32 
The U.N. '8 Role In Improving the Status of Women 

(Ilahn) 23 

U.S. Views on Trust Territories (Sears, Strong) ... 84 

Name Iniirx 

Barnard, Chester I 20 

Coty, Ren<? 13 

Dulles. Secretary 13^ 14 

Elsenhower, President 20, 35 

EI-Kekhla. Monsour FethI 14 

Gamboa, M. J 14 

Gay, Merrill g 

Hahn, Lorena B 23 

Hewitt, Leiand Ilazelton 22 

Key, David .McK 16 

Krekeler, Henry L 13 

Lodge, Henry Cabot, Jr 26, 32 

Murphy, Robert G. 3 

Sanger, Richard H 6 

Sears, Mason 34 

Strong, Curtis 34 

Vlllard, Henry S 15 



No. 



Date 



Check List of Department of State 
Press Releases: June 21-27 

Kt'lea.se.s may be olituincd from tlie News Divisiou, 
Department of State, Washington 2.5, D. C. 

I're.ss releases issued prior to .Tune 21 which 
appear in this issue of the Bulletin are Nos. 328 
and 329 of June 18 and 332 of .Tune 19. 

Subject 
Consulate at Tananarive 
Educational exchange 
German postal savings 
Foreign Relations volume 
Libyan credentials (rewrite) 
Delegation to ECOSOC 
Delegation on public education 
Employee loyalty 
U.S.-Philippine Council 
Assistant Secretary Carpenter 
Gabriel L. Dennis death 
Raymond D. Muir death 
German sovereignty 
Murphy : The uncommitted world 
Mills nomination 
Educational exchange 
Wheat for Libya 
Educational exchange 
Note to OAS re Guatemala 
U.S. note re Soviet tanker 

*Not printed. 

tHeld for a later Issue of the Bulletin. 



333 


6/21 


*334 


6/21 


335 


6/21 


t336 


6/21 


337 


6/22 


338 


6/22 


3.39 


6/23 


340 


e/23 


341 


6/23 


t342 


6/23 


•343 


6/23 


•:{44 


6/23 


345 


6/23 


346 


6/24 


♦.347 


6/24 


•348 


6/25 


349 


6/25 


•3.50 


6/25 


351 


6/26 


t352 


6/26 



U. S. aOVERNHCNT PftlNTINC OFFICE: 1954 



* 







ttie 

epartment 

of 

State 



Order Form 



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Government Printing Office 

DIVISION OF PUBLIC DOCUMENTS 

Washington 25, D. C. 



PENALTY FOR PRIVATE USE TO AVOID 

PAYMENT OF POSTAGE. *300 

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OFFICIAL BUSINESS 



Foreign Relations of the United States . . . 

the basic source of information on U.S. diplomatic history 

1937, Volume II, The British Commonwealth, 
Europe, Near East and Africa 



Prominent among the subjects treated in this volume are the 
efforts of the Department of State to promote more liberal 
trade policies by discussions looking to the conclusion of recip- 
rocal trade agreements and representations against discrimi- 
nating practices damaging to American commerce. Secretary 
of State Cordell Hull conceived his trade agreements program 
not merely as a means for promoting American business but as 
one important instrument that would help maintain interna- 
tional peace. 

A number of issues tended to strain relations with the Nazi 
Government of Germany in 1937. Persecution of the Jews 
continued with additional restrictive measures being applied. 
Trade relations were unsatisfactory. The German Govern- 
ment made representations against derogatory remarks by 
Mayor La Guardia of New York about Hitler. 

Among many matters of diplomatic concern in the Near East 
recorded in this volume were the Montreux Conference for the 
abolition of capitulations in Egypt, the withdrawal of Ameri- 
can diplomatic and consular representatives from Ethiopia 
which was under Italian occupation, the grant of an oil con- 
cession by the Iranian Government to the Amiranian Oil Com- 
pany, proposed abolition of capitulatory rights of the United 
States in the French Zone of Morocco, and interest of the 
United States in British proposals for the partition of Pales- 
tine between Arabs and Jews. 

Copies of this volume may be purchased from the Superin- 
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^/te' ^e/ia/}if?}ne'nt /O^ ^tate/ 




Vol. XXXI, No. 785 
July 12, 1954 




ANGLO-AMERICAN DISCUSSIONS ON INTERNA- 
TIONAL SITUATION • Statements by the President and 
Sir Winston Churchill 49 

INTERNATIONAL COMMUNISM IN GUATEMALA • 

Address by Secretary Dulles 43 

THE GUATEMALAN PROBLEM BEFORE THE OAS 

COUNCIL 9 Statement by Ambassador John C. Dreier . • 45 

THE TASKS AND ACCOMPLISHMENTS OF THE 

FREE \^'ORLD • by Ambassador James B. Conant ... 52 

THE CARGO PREFERENCE PRINCIPLE IN 

INIERCHANT SHIPPING • Statement by Thorsten V. 
Kalijarvi 63 



For index see inside back cover 



Eoston Public Lihrary 
Superintonrtent of Documents 

AUG 9 - 1954 



,jAe zl)efi€i')il)n€'n(^ c^ c/lcil:e 




bulletin 



Vol. XXXI, No. 785 • Publication 5535 
July 12, 1954 



For sale by the Superintendent of Documents 

U.S. Government Printing OfBce 

Washington 25, D.C. 

Peice: 

62 issues, domestic $7.60, foreign $10.26 
Single copy, 20 cents 

The printing of this publication has 
been approved by the Director of the 
Bureau of the Budget (January 22, 1952). 

Note; Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Department 
0? 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 
developmen ts 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 
well as special articles on larious 
phases of internatioruil affairs and the 
functions of the Department. Infor- 
mation is included concerning treaties 
and international agreements to 
which the United States is or may 
become a party and treaties of general 
international interest. 

Publii-attons of the Department, as 
ivell as legislative material in the field 
of international relations, are listed 
currently. 



International Communism in Guatemala 



Address hy Secretary Dvlles ^ 



Toni<rlit I should like to talk -with you about 
Guatemala. It is the scene of dramatic events. 
They expose the evil purpose of the Kremlin to 
destroy tlie inter- American system, and they test 
the ability of the American States to maintain the 
peaceful integrity of this hemisphere. 

For several years international communism has 
been probinji here and there for nesting places in 
the Americas. It finally chose Guatemala as a 
spot which it could turn into an official base from 
which to breed subversion which would extend to 
other ^Vmerican Republics. 

This intrusion of Soviet despotism was, of 
course, a direct challenge to our Monroe Doctrine, 
the first and most fundamental of our foreign 
policies. 

It is interesting to recall that the menace which 
brought tliat doctrine into being was itself a 
menace born in Russia. It was the Russian Czar 
Alexander and his despotic allies in Europe who, 
early in the last century, sought control of South 
America and the western part of North Amer- 
ica. In 1823 President Monroe confronted this 
challenge with his declaration that the European 
despots could not "extend their political system 
to any portion of either continent without en- 
dangering our peace and happiness. We would 
not," he said, "behold such interposition in any 
form with indifference." 

These sentiments were shared by the other 
American Republics, and they were molded into a 
foreign policy of us all. For 131 years that policy 
has well served the peace and security of this 
hemisphere. It serves us well today. 

In Guatemala, international communism had an 
initial success. It began 10 years ago, when a 
revolution occurred in Guatemala. The revolu- 
tion was not without justification. But the Com- 
munists seized on it, not as an opportunity for 
real reforms, but as a chance to gain political 
powei-. 

' Delivered to the Nation over radio and television on 
June ZO (press release 357). 



Communist agitators devoted themselves to in- 
filtrating the public and private organizations of 
Guatemala. They sent recruits to Russia and 
other Communist countries for revolutionary 
training and indoctrination in such institutions 
as the Lenin School at Moscow. Operating in the 
guise of "reformers" they organized the workers 
and peasants under Communist leadership. Hav- 
ing gained control of what they call "mass or- 
ganizations," they moved on to take over the 
official press and radio of the Guatemalan Gov- 
ernment. They dominated the social security or- 
ganization and ran the agrarian reform program. 
Through the technique of the "popular front" 
they dictated to the Congress and the President. 

The judiciary made one valiant attempt to pro- 
tect its integrity and independence. But the 
Communists, using their control of the legislative 
body, caused the Supreme Court to be dissolved 
when it refused to give approval to a Communist- 
contrived law. Arbenz, who until this week was 
President of Guatemala, was openly manipulated 
by the leaders of communism. 

Guatemala is a small country. But its power, 
standing alone, is not a measure of the threat. 
The master plan of international communism is 
to gain a solid political base in this hemisphere, a 
base that can be used to extend Communist pene- 
tration to the other peoples of the other American 
Governments. It was not the power of the 
Arbenz government that concerned us but the 
power behind it. 

If world communism captures any American 
State, however small, a new and perilous front is 
established which will increase the danger to the 
entire free world and require even greater sacri- 
fices from the American people. 

The Declaration at Caracas 

This situation in Guatemala had become so dan- 
gerous tliat the American States could not ignore 
it. At Caracas last March the American States 
held their Tenth Inter-American Conference. 



Jo/y 12, 1954 



43 



They then adopted a momentous statement. They 
declared that "the domination or control of the 
political institutions of any American State by 
the international Communist movement . . . 
would constitute a threat to the sovereignty and 
political independence of the American States, 
endangering the peace of America." - 

There Avas only one American State that voted 
against this declaration. That State was Guate- 
mala. 

This Caracas declaration precipitated a dra- 
matic chain of events. From their European base 
the Communist leaders moved rapidly to build up 
the military power of their agents in Guatemala. 
In May a large shipment of arms moved from be- 
hind the Iron Curtain into Guatemala.^ The 
shipment was sought to be secreted by false mani- 
fests and false clearances. Its ostensible destina- 
tion was changed three times while en route. 

At the same time, the agents of international 
communism in Guatemala intensified efforts to 
penetrate and subvert the neighboring Central 
American States. They attempted political as- 
sassinations and political strikes. They used 
consular agents for political warfare. 

Many Guatemalan people protested against 
their being used by Communist dictatorship to 
serve the Communists' lust for power. The re- 
sponse was mass arrests, the suppression of con- 
stitutional guaranties, the killing of opposition 
leaders, and other brutal tactics normally em- 
ployed by communism to secure the consolidation 
of its power. 

In the face of these events and in accordance 
with the spirit of the Caracas declaration, the 
nations of this hemisphere laid further plans to 
grapple witli the danger. The Arbenz govern- 
ment responded with an effort to disrupt the inter- 
American system. Because it enjoyed the full 
support of Soviet Russia, which is on the Security 
Council, it tried to bring the matter before the 
Security Council. It did so without first referring 
the matter to the American regional organization 
as is called for both by the United Nations Char- 
ter itself and by the treaty creating the American 
organization. 

The Foreign Minister of Guatemala openly con- 
nived in this matter with the Foreign ISIinister of 
the Soviet Union. The two were in oiwn corre- 
spondence and ill-coucealed privity. The Secu- 
rity Council at first voted overwhelmingly to 
refer the Guatemala matter to the Organization 
of American States. The vote was 10 to 1. But 
that one negative vote was a Soviet veto. 

Then the Guatemalan Government, with Soviet 
backing, redoubled its efforts to supplant the 



' For text of "Declaration of Solidarity for the Preserva- 
tion of the Political Integrity of the -Vmerican States 
Against International (^onimunist Intervention," see 
BtTLLBTiN of Apr. 2(>, l!>ri4, p. GIJS. 

' For a statement by Secretary Dulles on the arms ship- 
ment, see ibid., June 7, 19G4, p. 873. 



44 



American States system by Security Council 
jurisdiction. 

However, last Friday, the United Nations Se- 
curity Coimcil decided not to take up the Guate- 
malan matter but to leave it in the first instance 
to the American States themselves.'' That was a 
triiunph for the system of balance between re- 
gional organization and world organization, which 
the ^Vmerican States had fought for when the 
charter was drawn up at San Francisco. 

The American States then moved promptly to 
deal with the situation. Their peace commission 
left yesterday for Guatemala. Earlier the Or- 
ganization of American States had voted over- 
whelmingly to call a meeting of their Foreign 
Ministers to consider the penetration of interna- 
tional communism in Guatemala and the measures 
required to eliminate it. Never before has there 
been so clear a call uttered with such a sense of 
urgency and strong resolve. 

Attempt To Obscure Issue 

Throughout the period I have outlined, the 
Guatemalan Government and Communist agents 
throughout the world have persistently attempted 
to obscure the real issue — that of Conmiunist im- 
perialism — by claiming that the United States is 
only interested in protecting American business. 
"We regi-et that there have been disputes between 
the Guatemalan Government and the United Fruit 
Company. We have urged repeatedly that these 
disputes be submitted for settlement to an inter- 
national tribunal or to international arbitration. 
That is the way to dispose of problems of this sort. 
But this issue is relatively unimportant. All who 
know the temper of the U.S. people and Govern- 
ment must realize that our overriding concern is 
that which, with others, we re<^orded at Caracas, 
namely, the endangering b}' international commu- 
nism of the peace and security of this hemisphere. 

The people of Guatemala have now been neard 
from. Despite the armaments piled up by the 
Arbenz government, it was unable to enlist the 
spiritual cooperation of the people. 

Led by Colonel Castillo Armas, patriots arose 
in Guatemala to challenge the Communist leader- 
ship — and to change it. Thus, the situation is be- 
ing cured by the Guatemalans themselves. 

Last Sunda}', President Arbenz of Guatemala 
resigned and seeks asylum. Others are following 
his example. 

Tonight, just as I speak. Colonel Castillo Armas 
is in conference in El Salvador with Colonel Mon- 
zon, the head of the Council which has taken over 
the power in Guatemala City. It was this power 
that the just wrath of the Guatemalan people 
wrested from President Arbenz, who then took 
flight. 



* For text of U.S. statement in the Security Council on 
June 25, see ibid., July 5, 1954, p. 29. 

Departmenf of State Bulletin 



Now the future of Guntemnlii lies at the disposal 
of the Guatemalan people theiiipelves. It lies also 
at the disposal of leaders loyal to GuatiMuala who 
have not treasonably become the agents of an alien 
despotism which soufiht to use Guatemala for its 
own evil ends. 

The events of recent months and days add a new 
and jrlorious chai)ti'i- to the already great tradition 
of the American States. 

Each one of the American States has cause for 
profound trratitude. AVe can all he irratcful that 
we showeii at Caracas an impressive soliilarity in 
support of our American institutions. I may add 
that we are prepared to do so again at the con- 
ference calleil for Rio. Advance knowledge of 
that solidarity undoubtedly shook the Guatemalan 
Government. 

We can be gi-ateful tliat tlie Organization of 
American States showed that it could act quickly 
and vigorously in aid of peace. There was proof 
that our American organization is not Just a ])aper 
organization, but that it has vigor and vitality to 
act. 

We can be grateful to the United Nations Secu- 
rity Council, which recognized the right of re- 
gional organizations in the first instance to order 
their own affairs. Otherwise the Soviet Russians 
would have started a controversy which would 



have set regionalism against universality and 
gravely wounded both. 

Above all, we can be gratefid that there were 
loyal citizens of Guatemala who, in the face of 
terrorism and violence and against what seemed 
insuperable odds, had the cotirage and the will to 
eliminate the traitorous tools of foreign despots. 

The need for vigilance is not past. Connnii- 
nism is still a menace everywhere. Rut the jjcople 
of the United States and of the other American 
Reiniblics can feel tonight that at least one grave 
danger lias been averted. Also an example is set 
wliicii jiromises increased security for the future. 
The ambitious and unscrupulous will be less prone 
to feel that communism is the wave of their future. 

In conclusion, let me assure the people of Guate- 
mala. As peace and freedom are restored to that 
sister Republic, the (iovernment of the United 
States will continue to support the just aspira- 
tions of the Guatemalan ])eoi)le. A prosperous 
and progressive Guatemala is vital to a healthy 
hemisphere. The United States pledges itself not 
merely to political opposition to connnunism but 
to help to alleviate conditions in Guatemala and 
elsewhere which might afford communism an 
opportunity to spread its tentacles throughout the 
hemisphere. Thus we shall seek in positive wavs 
to make our Americas an example which will 
inspire men everywhere. 



The Guatemalan Problem Before the OAS Council 



Statement hy John C. Dreier 

U.S. Representative to the Council of the Organization of Am-erican States ' 



I speak today as the representative of one of 10 
American countries who have joined in a request 
that a Meeting of Ministers of foreign Affairs be 
convoked to act as Organ of Consultation under 
articles fi and 11 of the Inter- American Treaty of 
Reciprocal Assistance.- On behalf of the United 
States I wish to support this request with all the 
force and conviction that I can express, feeling 
profoundly as I and my countrymen do that this is 
a critical hour in which a strong and positive note 
of inter-American solidarity must be sounded. 

The Republics of America are faced at this time 
with a serious threat to their peace and indei)end- 
ence. Throughout tlie world the accressive forces 



' Made before the Council at Washington, D. C, on June 
28 ( press release .353 ) . 

' For text of the request, see Bulletin of July 5, 1954, 
p. 31. 



of Soviet Communist imperialism are exerting a 
relentless pressure upon all free nations. Since 
1939, 15 once free nations have fallen prey to the 
forces directed by the Krendin. Hundreds of 
millions of people in Europe and Asia have been 
pressed into the slavery of the Communist totali- 
tarian state. Subversion, civil violence, and open 
warfare are the proven methods of this aggressive 
force in its ruthless striving for world domination. 
Following World War II, in which millions of 
men died to free the world from totalitarianism, 
the forces of Connnunist imperialism took on a 
freshly aggressive aspect. Tlie first objectives of 
this new drive for domination were the countries 
of Eastern Europe and the Balkans. Efforts to 
overcome Greece and Iran failed because of the 
heroic resistance of peoples whose courage not only 
gave them strength to defend their independence 



July 72, T954 



45 



but also brought them the moral and material sup- 
port of other countries directly and through in- 
ternational organizations. 

Communist forces then turned their attention 
to Asia. Following the fall of China came the 
stark aggression of the Korean war where once 
more the united forces of the free world, acting 
through the United Nations, stemmed the tide of 
Soviet Communist imperialism. 

More recently, we have seen the combination of 
Communist subversion and political power, backed 
with weapons from the Communist arsenal, strike 
deep into Southeast Asia and threaten to engulf 
another populous area of the world as it emerges 
from colonialism. 

And now comes the attack on America. 

Until very recently we of the Americas, here in 
our continental bastion, have felt ourselves rela- 
tively far from the field of open conflict. To be 
sure, in all our countries the international Com- 
munist organization has for some time undertaken 
its insidious work of attempting to undermine our 
institutions and to achieve positions of influence 
in public and private organizations. But only 
within the last few years has there been evidence 
of a real success on the part of the international 
Communist organization in carrying to this hemi- 
sphere the plagues of internal strife, and subser- 
vience to a foreign imperialism, which had pre- 
viously been inflicted upon other areas of the 
world. That success marks the problem for which 
the treaty of Rio de Janeiro is now invoked as a 
measure of continental defense. 

Mr. Chairman, this is not tlie time and place in 
which to enter into a discussion of the substance 
of the problem which will be placed before the 
Organ of Consultation when it meets. At this 
time it is the function of the Council merely to 
consider the validity of the request that the Organ 
of Consultation be convoked. 

In support of the request for a meeting, I should 
like to cite briefly the following compelling argu- 
ments. 

Anti-Communist Declarations 

First, the American liepublics have several times 
during recent years clearly and unequivocably 
stated their opposition to the objectives and meth- 
ods of the international Comnuinist movement 
which, by its very nature, is incompatible with 
the high principles that govern the international 
relations of the American States. This viewpoint 
was clearly enunciated at the Ninth Inter-Ameri- 
can Conference, whicli in IJosoliition -'^2 declared 
that by its antidemoci'atic natui'e and its iiitoi-- 
ventionist tendency tlie ])()litical activity of in- 
ternational conimiiiiisiii was inc()iii|)atil»le with the 
concept of American freedom. This thought was 
echoed at the Fourth Meeting of Foreign Ministers 
which, furthermore, i)ointe<l out that the subver- 
sive action of interiuitioiial communism reco":nized 



no frontiers and called for a high degree of inter- 
national cooperation among the American Repub- 
lics against the danger which such actions repre- 
sented. 

Only a few months ago at Caracas the Ameri- 
can States expressed their determination to take 
the necessary measures to protect their political 
independence against the intervention of interna- 
tional communism, and declared that the domina- 
tion or control of the political institutions of any 
American State by the international Communist 
movement would constitute a threat to the sov- 
ereignty and political independence of the Ameri- 
can States, endangering the peace of America. 

There is no doubt, Mr. Chairman, that it is the 
declared policy of the American States that the 
establishment of a government dominated by the 
international Communist movement in America 
would constitute a grave danger to all our Ameri- 
can Republics and that steps must be taken to 
prevent any such eventuality. 

Communist Penetration in Guatemala 

Second, I should like to affirm the fact that there 
is already abundant evidence that the interna- 
tional Communist movement has achieved an ex- 
tensive penetration of the political institutions 
of one American State, namely the Republic of 
Guatemala, and now seeks to exploit that coimtry 
for its own ends. This assertion, which my Gov- 
ernment is prepared to support with convincing 
detail at the right time, is clearly warranted by the 
open opposition of the Guatemalan Government 
to any form of inter-American action that might 
check or restrain the progress of the international 
Communist movement in this continent; by the 
open association of that Government with the 
policies and objectives of the Soviet Union in in- 
ternational atl'airs ; by the evidences of close collab- 
oration of the authorities in Guatemala and au- 
thorities in Soviet dominated states of Europe for 
the purpose of obtaining under secret and illegal 
arrangements the large shipment of arms which 
arrived on board the M/S Alphem on May 15, 
1954; by the eiTorts of Guatemala in the ITnited 
Nations Security Council, in collaboration with 
the Soviet I^nion, to j)revent the Organization of 
American States, the appropriate regional organi- 
zation, from dealing with her recent allegations 
of aggression, and finally by the vigorous and sus- 
tained propagaiida campaign of the Soviet press 
and radio, echoed by the international Commu- 
nist i>ropaganda machine throughout the world 
in support of Guatemalan action in the present 
crisis. 

The recent outbreak of violence in Guatemala 
adds a further sense of urgency to the matter. We 
well know from experience in other areas into 
which the international Comnuinist movement has 
penetrated the tragic ]iro]wrtions to which this in- 
evitable violent conflict may ultimately extend. 



46 



Department of Stale Bulletin 



The above facts, Mr. Chairman, I submitj are 
more tliiin I'liouiih to deinonstriitc tlie need for a 

Eronipt meeting of the Organ of Consultation as 
as been j)roi)ose(l in the note which was read at 
this meet nig today. 

"Within the hist 24 hours it ai)pears that there 
has been a change in the ttovernnient of (hiate- 
niahi. It is not possible, however, in tlie opinion 
of my (lovernment, to arrive at any considered 
judgment of how this change may alVect tlie prob- 
lem with which we are concerned. I'ntler the cir- 
cumstances, it would appear to be essential that 
we do not relax our ellorts at this moment, but pro- 
ceed with our plans in order to be ready for any 
eventuality. At the same time, we should of 
coiu'se all watch developments in Guatemala care- 
fully and be prepared subsequently to take what- 
ever steps may prove necessary in the light of 
future events. 

I should like to emphasize the fact that the ob- 
ject of our concern, and the force against which 
we must take defensive measures, is an alien, non- 
American force. It is the international Commu- 
nist organization controlled in the Kremlin which 
has created the present danger. That it is rapidly 
making a victim of one ^Vmerican State increases 
our concern for that country and our determina- 
tion to unite in a defense of all 21 of our American 
nations. AVe are confident that the international 
Communist movement holds no real appeal for 
the peoples of America and can only subdue them 
if allowed to pursue its violent and deceitful meth- 
ods unchecked. Having read the tragic history 
of other nations seducecl by Communist promises 
into a slavery from which they later could not es- 
cape, we wish to leave no stone unturned, no eifort 
unexerted, to prevent the complete subordination 
of one of our member states to Soviet Communist 
imperialism. For when one State has fallen, his- 
tory shows that another will soon come under 
attack. 

Now, Mr. Chairman, in the Americas we have 
established ways for dealing with these problems 
that atl'ect the common safety. "We are pledged to 
maintain continental peace and security through 
our solidarity expressed in consultation and joint 
effort. In the Inter-American Treaty of Recip- 
rocal Assistance we have the vehicle through which 
we can merge our individual efforts in order to 
take the measures necessary for the maintenance 
of continental peace and security. The meeting 
of the Organ of Consultation which we request 
here today is in fulfillment of the principles and 
procedures which the American Republics have 
laid down for dealing with threats to their inde- 
pendence, sovereignty, and peace. If that system 
of international relations of which the peoples 
of this hemisphere are so rightfully proud is to 
endure, it must resolutely meet the challenge which 
Soviet Communist imperialism has now thrown 
down to it. 

If we take a valiant course and courageously 



face the danger which menaces us we will again 
prove, as America has proved in the past, the 
power of our united will. That, I am sure, we 
shall do because of what is at stake. There hang 
in the balance not only the security of this conti- 
nent but the contiimed vitality and existence of 
the Organization of American States and the high 
principles upon which it is founded. In our de- 
cisions at this hour we may well profoundly af- 
fect the future of our American way of life. 

Mr. Chairman, I urge that tliis Council 
pronq)tly apjnove the proposal that the Organ of 
Consultation be invoked ; that the date be set as of 
July 7 next; and that the decision be taken here 
and now so that the entire world may be given 
evidence of our determination to act efi'ectively in 
the present crisis.^ 



Brazil Makes Final Payment 
on Lend Lease Obligation 

Press releases 358, 359 dated July 1 

Ambassador Joao Carlos Muniz of Brazil on 
July 1 presented a check for $5 million to Secre- 
tary Dulles. This represents the final payment by 
the Government of Brazil on its lend-lease obliga- 
tion. 

Besides the Secretary and Ambassador Muniz, 
those present at the ceremony in the Secretary's 
office were Mario da Camara, Financial Counselor 
of the Brazilian Embassy; Henry F. Holland, As- 
sistant Secretary for Inter- American Affairs; 
Samuel C. "Waugh, Assistant Secretary for Eco- 
nomic Affairs; and Charles W. Kempter of the 
Department of State's Lend Lease and Surplus 
Property Staff. 

The lend-lease material was supplied to Brazil 
during the last war to meet the serious threat of 
an enemy invasion of the "Western Hemisphere and 
to support Brazil's military effort as an active 
ally. Brazilian-United States cooperation in this 
period represented exceptionally close and effective 
relations between the two countries. 

Brazil has paid each installment on her lend- 
lease obligation regularly and in full. 

Following are the texts of remarks made at the 
ceremony on July 1: 

Statement by Ambassador Muniz 

This official act has a significance deeper than 
that of the mere delivery of a check in payment of 
the terminal installment of lend-lease between our 
two countries. It brings to our mind the recollec- 



' The Council voted on June 28 to convoke a Meeting of 
Ministers of Foreign Affairs at Rio de Janeiro on July 7. 

Fdlldwint; tlio cease-tire in (Juateniala on June 29 and 
the reaching of a settlement on July 1, the Council on 
July 2 ai)proved a U.S. proposal that the Meeting of 
Foreign Ministers he postponed. 



July J 2, 7954 



47 



tion of days not long past, when our peoples stood 
and fought side by side, in defense of ideals and 
principles which we hold to be fundamental to 
our conception of life and civilization. 

It is fitting, therefore, that we should pause 
and consider today that memorable phase in the 
history of our countries, in which the United 
States and Brazil joined their military forces for 
the preservation of freedom. This reflection is 
all the more important because the struggle for 
freedom is still going on and the menace of world 
enslavement, though in another form, is as gi-eat 
today as it was when the soldiers of our countries 
facecl together the perils of the battlefield. 

In the midst of the staggering difficulties of 
our times, it is a source of strength and relief to 
know that the friendship that unites our two 
countries, and wliich derives inspiration from the 
same ideals, is being rendered still closer by the 
practice of daily cooperation in so many sectors 
of our activities. 

Lend lease, the material part of which termi- 
nates today, remains a symliol of solidarity be- 
tween our two peoples. 



laboration with our own South Atlantic Fleet and 
acting independently, kept open strategic sea lanes 
for connnerce in the vast waters from the Carib- 
bean southward. The vigilance, preparedness, 
and ability of the officers and crews of the Bra- 
zilian Navy is a proud record. 

The cost of victory to Brazil — as to the United 
States — was not small, but over the postwar years 
Brazil has fulfilled each term of her commitments 
unfailingly. Xow, today, in what must be a soul- 
satisfying conclusion, Brazil writes yet another 
honorable chapter in her history. 

However, even before we fully emerged from 
the shadows of the conflict, our world passed into 
a new and demanding era, with Soviet imperialism 
seeking implacably first to divide and then to con- 
quer the free nations. As we face today's crucial 
world problems, we know that adherence to our 
common democratic ideals, with mutual trust and 
respect between our two nations, is imperative. I 
am confident that we will alwaj's be found stand- 
ing side by side with the strength and determina- 
tion to defend and hold firm to our cherished prin- 
ciples of freedom and democracy. 



Statement by Secretary Dulles 

Mr. Ambassador, it is a very special honor for 
me to receive this note and check from the great 
Republic of Brazil not alone for its monetary 
value but for its significance as another of the 
many evidences of the honor which Brazil gives 
to her international obligations. 

This final payment of $5 million, which closes 
the account known as the Brazilian Lend-Lease 
Settlement Arrangement, ends an outstanding 
chapter in the long history of loyal cooperation 
between the United States and Brazil. 

The mutual aid principles of lend-lease were 
successfully applied by our two Governments 
against the threats of an enemy invasion of our 
Western Hemisphere in World War II. 

The world knows of the proud and valiant cam- 
paign waged by the soldiers and aviators of the 
Brazilian Expeditionary Force in the Mediter- 
ranean war theater. Their bravery and valor are 
recorded on the pages of history, and certainly 
the memory of those men of Brazil will remain 
enshrined in the hearts of both our nations. 

Then there was the Brazilian Navy. The 
rapidly growing sea power of Brazil, both in col- 



Outbreak of Violence 
in Jerusalem 

Press release 3G3 dated July 2 

Tlie following message was sent by the U.S. 
Government to the Governments of Jordan and 
Israel on July 1 : 

The United States Government has been informed that 
widespread heavy firinir brolie out in .lerusalem on .Inne 
30 and has since continued intermittently, reportedly hav- 
ing been resumed even after an agreement on cease Are 
was reached at a nieetinir of the Israel-.lordan Mixed 
Armistice Commission on July 1. The X'nited States 
Government deplores this serious outbreak of vi<ilenee in 
the Holy City, with its attendant loss of life, and urges 
the Government <if (Jordan) (Israel) to take immediate 
.steps to insure the observance of tlie cease fire. The 
United States Government is transmitting an identical 
request to the Government of (Israel) (Jordan). 

The U.S. Government earnestly hopes that the 
two Governments concerned will cooperate whole- 
heartedly with General Vagn Bonnike, Chief of 
Staff of tlie U.N. Truce Supervision Organization, 
in his efforts to terminate this serious clash. 



48 



Department oi State Bulletin 



Anglo-American Discussions 
on International Situation 

Britixh Prime Minister Sir Win.ifa7i ChtirchiU 
and Foreign Secretary Anthony Eden xcere in 
Wa.thington June 25-29Jor disc^t.sxianx with Preni- 
dent Eixenhoieer and Secretary Dulles. Follow- 
ing are the terts of jo'nt statements issued by the 
President and the Pr, me Minister. 



conclusion of an Ufxiwiii^'i't on Indocliina. We 
iilso consiilcrod the situation which would follow 
from failure to roach such an a<rrponicnt. 

AVc will i>ress forward with plans for collective 
defense to meet either eventuality. 

We are both convinced tiiat if at Geneva the 
French (iovernnient is confronted with demands 
which i)revent an acceptable agreement regard- 
ing Indochina, the international situation will be 
seriously aggravated. 



STATEMENT OF JUNE: 28 

White House press release 

At the end of their meetings today, the Presi- 
dent and the Prime Minister issued the following 
statement : 

In these few days of friendly and fiuitful con- 
vei-sations, we have considered various subjects 
of mutual and world interest. 



/. Western Europe 

We are agreed that the German Federal Repub- 
lic should take its place as an equal ])artner in the 
connnunity of Western nations, where it can make 
its ]iroper contribution to the defense of the free 
world. We are determined to achieve this goal, 
convinced that the Bonn and Paris Treaties pro- 
vide the best way. We welcome the recent state- 
ment by the French Prime Minister that an end 
must be jnit to the present uncertainties. 

The Eurojiean Defense Community Treaty has 
been ratified by four of the six signatory nations, 
after exhaustive debates over a period of more 
than two years. Naturally these nations are un- 
willing to disregard their previous legislative ap- 
provals or to reopen these complex questions. 

In connection with these treaties, the United 
States and the United Kingdom have given im- 
portant assurances, including the disposition of 
their armed forces in Europe, in order to demon- 
strate their confidence in the North Atlantic Com- 
munity and in the Edc and the Bonn Treaties.' 

It is our conviction that further delay in the 
entry into force of the Edc and Bonn Treaties 
would damage the solidarity of the Atlantic 
nations. 

We wish to reaffirm that the program for Euro- 
pean unity inspired by France, of which the Edc 
is only one element, so promising to peace and 
prosperity in Europe, continues to have our firm 
support. 

//. Southeast Asia 

We discussed Southeast xVsia and, in particular, 
examined the situation which would arise from the 



' Bulletin of Apr. 26, 1954, p. 619. 
July 72, 1954 



///. Atomic Matters 

We also discussed technical cooperation on 
atomic energy. We agreed that both our coun- 
tries would benefit from such cooperation to the 
fullest extent allowed by U.S. legislation. 



IV 

In addition to these specific matters, we dis- 
cussed the basic principles underlying the policy 
of our two cotuitries. An agreed declaration set- 
ting forth certain of these will be made available 
tomorrow. 



DECLARATION OF JUNE 29 

wind' Huuse pri'ss release 

As we terminate our conversations on subjects 
of mutual and world interest, we again declare 
that : 

( 1 ) In intimate comradeship, we will continue 
our united eil'orts to secure world peace based upon 
the principles of the Atlantic Charter, which we 
reaffirm. 

(2) We, together and individually, contmue 
to hold out the hand of friendship to any and all 
nations, which by solemn pledge and confirming 
deeds show themselves desirous of participating 
in a just and fair jieace. 

(3) We uphold the principle of self-govern- 
ment and will earnestly strive by every peaceful 
means to secure the independence of all countries 
whose peoples desire and are capable of sustaining 
an independent existence. We welcome the proc- 
esses of development, where still needed, that lead 
toward that goal. As regards formerly sovereign 
states now in bondage, we will not be a ])arty to 
any arrangement or treaty which would confinn 
or prolong their unwilling subordination. In the 
case of nations now divided against their will, 
we shall continue to seek to achieve unity through 
free elections supervised by the United Nations 
to insure they are conducted fairly. 

(4) We believe that the cause of world peace 
would be advanced by general and drastic reduc- 
tion under etiective safeguards of world arma- 
ments of all classes and kinds. It will be our per- 

49 



severing resolve to promote conditions in wliicli 
the prodigious nuclear forces now in human hands 
can be used to enrich and not to destroy mankind. 

(5) We will continue our support of the 
United Nations and of existing international or- 
ganizations that have been established in the spirit 
of the Charter for common protection and security. 
We urge the establishment and maintenance of 
such associations of appropriate nations as will 
best, in their respective regions, preserve the peace 
and the independence of the peoples living there. 
When desired by the peoples of the affected coun- 
tries we are ready to render appropriate and feas- 
ible assistance to such associations. 

(6) We shall, with our friends, develop and 
maintain the spiritual, economic and military 
strength necessary to pursue tliese purposes effec- 
tively. In pursuit of this purpose we will seek 
every means of promoting the fuller and freer 
interchange among us of goods and services which 
will benefit all participants. 



Meeting of Representatives 
of ANZUS Governments 

The presence in Washington of Richard G. 
Casey, Australian Minister for External Affairs, 
trho was returning to Aastrrtlia from the Geneva 
Conference, inade possible the holding on June 30 
of an informal consultative meeting of representa- 
tives of the signatories to the ANZUS treaty. 
Secretary Dulles represented the United States, 
and Ambassador Leslie Knox Munro represented 
New Zealand. Following is the text of a state- 
ment issued after the meeting: 

Press release 356 dated June 30 

Today's Anzus meeting was one in the continu- 
ing series of such meetings providing close con- 
sultation among Australia, New Zealand, and the 
United States, the three signatories to the Anzus 
treaty. 

The situation in Southeast Asia was discussed 
in the light of current developments, including 
the talks just concluded in Washington between 
the United Kingdom and the United States. 

The Australian and New Zealand representa- 
tives expressed satisfaction witli tlie statement by 
President Eisenhower and Sir Winston Churchill 



that plans for collective defense in Southeast Asia 
should be pressed forward. They also shared the 
conviction expressed that, if at Geneva the 
French Government is confronted with demands 
which prevent an acceptable agreement regarding 
Indochina, the international situation will be 
seriously aggravated. 

All three representatives at the Anztjs meeting 
agreed on the need for innnediate action to bring 
about the early establishment of collective defense 
in Southeast Asia — an area in which the three 
participating countries are all vitally concerned. 



U.S. and Canada To Discuss 
Development of Seaway 

Following are the texts of notes exchanged by 
the U.S. Ambassador at Ottawa, R. Douglas 
Stuart, and the Canadian Secretary of State for 
External Affairs, Lester B. Pearson. 

U.S. NOTE OF JUNE 7 

Sir: I have the honor of conveying to your 
Government a copy of an Act of Congi-ess signed 
by the President on Iklay 13, 1954 (Public Law 358, 
83rd Congress, Second Session) creating the St. 
Lawrence Seaway Development Corporation 
which, under certain conditions, is authorized and 
directed to construct in United States territory a 
portion of the St. Lawrence Seaway. The Cor- 
poration is to be headed by an Administrator ap- 
pointed by the President by and with the advice 
and consent of the Senate; it is directed to under- 
take certain negotiations with the St. Lawrence 
Seaway Authority of Canada or, in the case of 
tolls, "such other agency as may be designated by 
the Ciovernment of Canada" and to construct, op- 
erate and maintain certain navigation works in 
coordination with the St. Lawrence Seawaj' Au- 
thority of Canada. The Act specifies that the 
navigation works in LTnited States territon' shall 
be "substantially in accordance with"' the plan set 
forth in the joint re))ort of January 3, 1941 by the 
Canadian Temporary (ireat Lakes-St. Lawrence 
Basin Advisory Counnittee and the United States 
St. Lawrence Advisory Committee to the Presi- 
dent of the United States and the Prime Minister 
of Canada. 

Because the Act of Congi-ess cited above con- 
fers si)ecific powers on the (iovernmental Corpora- 
tion which would carry out the work on the United 
States side, it is from the point of view of the 
United States desirable if not essential that rep- 
resentatives of this ('or]ioration jiarticipate in 
negotiations related to the construction of the 
Seaway. 



50 



Deparfmenf of State Bulletin 



I have therefore been requested to supjjest that, 
as soon as niiiy ho convenient aft^r the initial or- 
ganization of the St. Lawrence Seaway Develop- 
ment Corporation, detailed discussions take place 
between representatives of the two (Jovernnients 
on the ]>lannin<x and execution of the Seaway de- 
velopment in both countries. I should appreciate 
receiving your conunents on the proposecl i)roce- 
dure and, in order to expedite negotiations, I 
should be glad to receive a list of the specific topics 
which, in the opinion of the Canaduin Govern- 
ment, might be covered in such negotiations. 

Accept, Sir, the renewed assurances of my 
highest consideration. 



In order to expedite matters, I suggest that it 
might be appropriate to hold in Ottawa during 
the week of June 28, 1954, meetings of officials 
from the United States and Canada who might 
prepare a list of specific topics which might form 
the basis for subsequent inter-governmental 
discuasions. 

Accept, Excellency, the renewed assurances of 
mv highest consideration. 



U.S. Rejects Soviet Charges of 
Interference With Tanker 



CANADIAN REPLY OF JUNE 16 

ExfELi-KNCY, I have the honour to thank you for 
liaving sent me, under cover of Note No. 281 of 
June 7, 1954, a copy of the Act of Congi-ess creat- 
ing the St. Lawrence Development Corporation, 
which, under certain conditions, is authorized to 
construct in United States territory a portion of 
the St. Lawrence Seaway. In that Note you sug- 
gested that detailed discussions take place be- 
tween i-epresentatives of the two governments on 
the planning and execution of the seaway develop- 
ment in both countries. 

You will recall that our two governments made 
arrangements, embodied in an Exchange of Notes 
dated June 30. 1952,^ for the construction by 
Canada of works to allow uninterrupted 27-foot 
navigation between Lake Erie and the port of 
Montreal and that the Canadian undertalcing to 
provide this portion of the seaway was pi-edicated 
on the construction and maintenance by suitable 
entities in Canada and the United States of a 
sound power project in the International Rapids 
Section. Since these arrangements were made, 
both governments have worked closely together 
and it now appears that, due in a large measure 
to your government's active and unfailing atten- 
tion in seeking to remove obstacles in the United 
States which would delay the construction of the 
power project, this phase of the project is likely 
to be started in the near future. The Canadian 
Government assumes that the suggestion for dis- 
cussions contained in your Note is made with a 
view to reexamining the arrangements for the con- 
struction of the seaway now existing between our 
governments and confirmed in the Notes ex- 
changed on June 30, 1952. 

The Government of Canada is prepared to dis- 
cuss this matter provided, as indicated in the 
Prime Minister's memorandum of January 9, 1953, 
to your predecessor, and in the Prime Minister's 
statement in the House of Commons on May 6, 
1954, that such discussions do not seriously delay 
construction of either the power project or the 
seawav. 



» Bulletin of July 14, 1952, p. 65. 
July 72, 1954 



Text of U.S. Note of June 26 

I'ress release 352 dated June 26 

Following is the text of a note delivered on Jv/ne 
26 by the IJ.S. Embcuisy at Moscow to the Soviet 
Ministi'y of Foreign Affairs: 

The United States Government refers to the 
Soviet Government's note of June 24 regarding 
interception of the Soviet tanker Taupse by a war 
vessel of the destroyer type in Far Eastern waters. 

The United States Government rejects as com- 
pletely without foundation the allegations made 
by the Soviet Government that Naval Forces of 
the United States have seized or otherwise inter- 
fered with the movement of the Soviet tanker in 
question. 

Soviet Note of June 24 

The Soviet Government considers it necessary to state 
the following to the Government of the U.S.A. 

On June 23, 19,')4 at 4 o'clock local time, the Soviet 
tanker Taupse of the Black Sea Merchant Fleet, proceed- 
ing with a cargo of illuminating kerosene in the open 
sea south of the Island of Taiwan, was stopped by a war 
vessel of the destroyer type at a spot with coordinates 
19 degrees 55 minutes north latitude and 120 degrees 23 
minutes east longitude and under threat of the use of 
arms was forced to change course and to follow after this 
war vessel. Following receipt of a communication from 
the captain of the tanker concerning the attack of an 
armed vessel of the destroyer type, radio communication 
with the tanker was disrupted. The further fate of the 
Soviet ship and its crew is unknown. 

It is entirely obvious that seizure of a Soviet tanker 
by a war vessel in waters controlled by the U.S. naval 
fleet could be carried out only by naval forces of the 
U.S. 

The Soviet Government expects that in connection with 
this attack on a .Soviet merchant vessel in the o\>en sea 
the Government of the U.S. will take measures for the 
immediate return of the ship, its cargo, and crew. At 
the same time the Soviet Government insists on the severe 
punishment of the responsible American personnel who 
took jiart in the organization of this illegal act and on 
the adoption of measures which would exclude the pos- 
sibility of repetition of similar acts which grossly violate 
the freedom of navigation in the open sea. 

The Soviet Government considers it essential to state 
that it cannot overlook such impermissible acts and will 
be forced to take appropriate measures to guarantee the 
safety of navigation of Soviet merchant vessels in this 
region. 

51 



The Tasks and Accomplishments of the Free World 



iy J amies B. Conant 

United States High Cammissioner for Germany ^ 



The fact that the Kiel festival week is again 
being celebrated shows us the progress reconstruc- 
tion has made in Germany. For I like to consider 
this week, devoted to sailboat races and art, as a 
symptom of political, economic, and spiritual re- 
covery. You know that almost the entire world 
is talking of the miracle of German recovery and 
in that connection, quite properly, praises Ger- 
man industriousness as one of the reasons for the 
rapid rehabilitation. With all due admiration for 
German industriousness, however, I should like 
to make a somewhat heretical remark. I per- 
sonally am glad not only because the Germans 
can work hard; I am just as glad because they 
know how to hold festivals and devote themselves 
to such a. fine pleasure as the artistic sport of 
sailing. 

Perhaps my predilection is due to the fact that 
I myself grew up on a coast and spent many a 
happy childhood hour in a small sailing boat. 
I feel here as if transported back to my own youth. 
I have already mentioned that a large number of 
foreign diplomats have come from Bonn to Kiel 
at the invitation of the German Federal Govern- 
ment. One almost has the impression that for the 
duration of the Kiel regatta the Federal capital 
is not on the Rhine but on the Kiel Canal. To be 
sure, I cannot tell whether all the foreign repre- 
sentatives from Bonn have come, for the diplo- 
matic corps is after all a very large group. 

As you know, many different nations are today 
represented in Bonn: large and small countries; 
the neighbors of the German Federal Republic 
and the antipodes; industrial states and predomi- 
nantly agricultural states; countries with a culture 
older than the European, such as India, Pakistan, 
and Egypt, for example ; pioneer states such as the 
U. S. A., Canada, and Australia; Christian, Mo- 
hannnedan, Buddhist, and Shintoist nations. 



' Excerpts from an address delivered in German at 
Kiel, Germany, on June 22. 



However different these nations represented in 
Bonn may be, thej' have one decisive character- 
istic in common : They all belong to the free world. 
The fact that there are also other nations which 
are not represented in Bonn reminds us constantly 
of the difficult problems with which our era has 
to contend. And with that, I have come to the real 
subject of my speech, the tasks and accomplish- 
ments of the free world. 



Origins of Cominunist Dogma 

Marx and Engels knew from their own experi- 
ence the first effects of the industrial revolution in 
England — and these effects were often shocking. 
Naturally, a man of the twentieth century would 
also find the life of a peasant a hundred years ago 
rather unpleasant, but that does not alter the fact 
that the life of a factory worker in the early period 
of the industrial revolution, compared with the 
life of a factory worker in our day, was inhumanly 
hard. Marx was convinced that in a capitalistic 
society the life of an industrial worker must al- 
ways remain equally unendurable — in fact, it must 
even grow constantly worse. The history of the 
last liundred years has refuted Karl Marx. It is 
an irony of fate that precisely in our time, when 
his predictions proved to be false, Karl Marx was 
elevated by his followei-s to the status of an al- 
legedly infallible prophet of a fanatical sect. 

You all know how in the twentieth century the 
Soviet Russians have misused their own inter- 
pretation of the ^Marxist dogma that arose in tlie 
nineteenth century to establish a terrible tyranny 
in Russia and subjugate a large number of unfor- 
tunate neighboiing states. After the Soviet 
seizure of power this dogma was declared a state 
religion, so to speak. I sliould like to suggest 
tliat you take a look some time at tlie list of books 

t)rcscribed at the Conuuunist-tlominated Hum- 
loldt University in East Hei'bn. What the student 
in the East learns about pobtics, economics, liis- 



52 



Department of State Bulletin 



tory, and ])hilosophy comes eitlier from llu- writ- 
iiiiTs of Marx aiul Eiij^els or from tlie writin<rs of 
tlie otliiial Soviot Kussian intiM'proters of the 
Marxist iIo<rma, tliat is, Leniii and Stalin. Tin' 
stmUMit is to W <;iven the impression tiiat, except 
for these foiii- jmtroii saints of tlie Soviet tyranny 
and a couple of thinkers from the Soviet Zone, 
such as Messrs. Pieck and Ulbricht, no man has 
even said anytliinir of importance about human 
society. 

This fxrotesciue mixture of anti(iuated Marxist 
dojrma anil even much more antiquated Kussian 
pipe dreams which is forced on tlie student in the 
East is ultimately based (as I want to emphasize 
liere a<;ain) on the completely outmoded analysis 
of human society which Marx ori<j;inated a hun- 
dred years apo under the influence of the up- 
heavals of the industrial revolution. Although 
the Connnnnist Party likes to call itself a pro- 
firessive l>arty, it nevertheless reveres a dojima 
which any objective observer recognizes as long 
since refuted by the couree of history. 

The Marxist attitude toward natural science, 
for exami)le, is the attitude of a generation which 
saw in the teaching of the conservation of energy 
and the atom theory the ultimate truths about the 
nature of the world. This generation, of course, 
did not as yet have any inkling of Einstein's 
theory of relativity, Planck's quantum theory, or 
modern nuclear physics. The Marxist attitude 
toward economics is the attitude of a generation 
which did not yet know how greatly the general 
standard of living, hence also tliat of tlie industrial 
worker, can be raised. After all, no person could 
imagine a hundred years ago what the life of a 
worker in present-day America, for examjile, 
would be like — a worker who drives his own car, 
who works only 40 hours a week, and whose chil- 
dren study at a university. "Where free discussion 
is possible and where the initial difficulties of the 
industrial revolution liave been overcome, today's 
version of the Marxist-Leninist dogma has little 
power of attraction. Think, for example, of the 
nonsense which Molotov brought up at the Berlin 
Conference about allegedly free elections. Molo- 
tov insisted that a genuinely democratic govern- 
ment and genuinely free elections were found only 
where one party alone is permitted. Now, only 
few persons outside the Eu.ssian sphere of power 
will today be convinced by tliese outrageous 
assertions. 

On the other hand, the Communist dogma still 
finds adherents in two social orders: first, in coun- 
tries such as Soviet Russia and its satellite states, 
where Marxism-Leninism has been made a stat« 
religion and is protected against the competition 
of modern ideas by all the means at the disposal 
of the state; secondly, in areas which are just now 
going through the inevitably difficult first i)hase 
of industrialization. The revolutionary change 
in the social order which industrialization always 
brings with it gives rise in every society to dis- 



satisfaction and resentments. These resentments 
are es])ecially strong in former colonial areas, 
where they often combine with old feelings of 
hatred ajiainst a colonial rule. The Kremlin has 
been trying for years to exploit such feelings of 
hatred in the interest of Soviet Russian strivings 
for power. 

What are the problems with which the fre-e 
world is now confronted as a result of this diffi- 
cult international situation, and what has the 
free world done thus far to master tliese problems ? 



Awakening of Free World 

For the sake of historical truth I want to admit 

at once that it is less than 10 years since the free 
world recognized once for all the lust for ex- 
pansion of the rulers in the Kremlin and hardly 
5 years sine* the free world took the first measures 
to safeguard its own security. It is true that the 
whole world was given a clear warning when the 
Bolshevist regime reached an agreement with its 
alleged mortal enemy, the National Socialist 
regime, on the fourth partition of Poland and 
subjected millions of non-Kussians and anti- 
Bolshevists to its tyranny. But this warning was 
not heard in the tumult of the war which was 
then raging over the Continent. I must confess 
that after the end of the war many people in the 
Anglo-Saxon countries cherished the naivest 
hopes for the future. They constantly proclaimed 
that the Soviet Union would, to be sure, go its 
own way in politics antl economics but would also 
respect other nations' right of self-determination. 
What happened in the next 3 years opened the 
eyes of everyone. After the brutal rape of 
Czechoslovakia, wliich by a Communist coup (fetat 
reduced an independent state to a satellite, there 
could be no more doubt about the real aims of the 
Kremlin. In the meantime many an illusion has 
been dispelled. I believe that even those non- 
Communist German politicians in the Soviet Zone 
who a few years ago still maintained that the 
Communists merely desired to collaborate in good 
faith in a coalition government — I believe that 
even these gentlemen have by now recognized the 
real aims of the Kremlin. 

Now you will with good reason ask: "And what 
has the free world done since it became clearly 
aware of the danger? What has it accomplished 
in the last few years?" 

May I remincl you here of some facts which are 
so well known to all of us that we hardly speak 
or think about them any more. 

One of the most important accomplishments of 
the flee world during the last few years, I would 
say, is the recovery in the CTerman Federal Re- 
public. Nothing is further from my mind than 
glossing over the still unsolved problems in Ger- 
many. But even if one is fully aware of these 
problems, one can only speak with admiration of 
what has been accomplished in Germany since the 



July 72, J 954 



53 



currency reform. I have already spoken a word 
of praise for German industriousness ; permit me 
here also to add a word of praise for those former 
enemy nations who were willing, only a few years 
after a bitter war, to aid German recovery as far 
as they were able. 

But not only Germany needed economic assist- 
ance in the postwar years. Throughout Europe 
the economic situation after the Second World 
War was threatening. A second important ac- 
complishment of the free world, I would say, is 
that it succeeded with the aid of such bold, orig- 
inal measures as, for example, the Marshall plan 
in preventing the threatening economic catas- 
trophe in Europe. We know from the statements 
of leading Soviet officials that the Soviet Union 
was counting on an economic crisis in the free 
world in the postwar years and consequently new 
possibilities of expansion for bolshevism. Tliat 
such an economic crisis was avoided was of crucial 
importance for the future of the entire free world. 

The hopes of the Bolshevists for economic chaos 
in Europe in the postwar years failed to mate- 
rialize; two attempts at conquering new territories 
in Europe by brute force were likewise unsuccess- 
ful. I refer to the civil war in Greece engineered 
by neighboring Communist countries and to the 
Berlin blockade. That Greece and Berlin were 
saved, thanks to the courage of the people and the 
effective help of the free world, may also be scored 
as an important accomplishment. 

Only a couple of weeks ago a well-known Ger- 
man statesman said to me : "The failure of the 
Berlin blockade was a great victory for the free 
world and the result of the cooperation of a man 
of determination and a people with courage." 

NATO's Contribution to Security 

I am convinced that future historians will also 
count the organization of Nato as one of the great 
achievements of the free world. Everyone in the 
free world who still remembers how a few years 
ago a Western Europe without any possibility of 
defense faced a Soviet Union armed to the teeth 
will gratefully acknowledge the Nato contribu- 
tion to international security. 

General Gruenther said recently that the troops 
in free Europe ready for defense were today three 
to four times as strong as in January 1951, at the 
time wlien [General] Eisenhower assumed office as 
chief of Shape. Shape could today counter any 
attack with strong forces. To be sure, the middle 
sector of tlie defense line is not strong enough. 
Therefore Shape has recommended a German de- 
fense contribution. But even without this con- 
tribution Shap]-: has created such a strong shield 
for Europe that the Soviet troops assembled in the 
occupied areas of Eastern Europe' could today no 
longer be certain of defeating the troops under 
Shape. 

However novel the mutual security system of 



the Atlantic nations may be, the establishment of 
Nato is actually only the formal recognition of an 
historical reality which developed in the course 
of time. Even before the North Atlantic Pact 
was signed, there was a family of Atlantic nations. 
Every member of this family knew that its own 
security was endangered as soon as the security of 
the other members was threatened. The estab- 
lishment of Nato merely sealed this realization. 

Another thing that I believe it is hardly neces- 
sary to emphasize is that Nato serves defensive, 
not offensive, aims. No member of Nato is think- 
ing of a third world war to break through the 
Iron Curtain which today divides Germany and 
Europe. Of course, we in the free world should 
never regard this curtain as permanent; we must 
naturally do all in our power to bring about the 
day of German reunification in peace and free- 
dom. I for one am firmly convinced that the day 
of German reunification will come. I am just as 
firmly convinced that this day must be achieved 
in peace and freedom and that the overwhelming 
majority of the Germans in East and West Ger- 
many share this conviction. Even when the Ger- 
man people, which suffers most from the division 
of Europe, through Edc ties itself to Nato, no- 
body will have the least reason to see anytliing 
else in Nato than an instrument of defense. 



European Integration 

And with that, we have come to the much dis- 
cussed problem of European integration. On no 
other subject have I had so many conversations 
since my arrival in Germany 16 months ago. Just 
recently I again had an opportunity, at a private 
gathering, to speak with representatives of Ger- 
man politics and economy about European inte- 
gi'ation. On this occasion a refugee from the 
East in particular expressed very pessimistic 
views. He said among other things: "Today 
there is so much talk about European unity, but 
in my youth tliis unity actually existed. Since 
1945, on the other hand, Germany and Europe 
have been torn asunder: there is talk of integra- 
tion, to be sure, but actually nothing happens." 

I could very well understand why a refugee 
from the eastern areas of Germany is filled witli 
deep sorrow over the present — but I could not share 
liis views on recent European history. It seemed 
to me that lie credited tlie period of his youth with 
advantages which it by no means possessed. The 
very fact tliat in the last half century two terrible 
wars were .started in Europe should warn us 
against an uncritical glorification of tlie past. 

Tlie objective historian will probably say that 
the characteristic feature of Eurojie before the 
First World War was not unity but division and 
nationalistic hostility. Tlie bitter eiunity between 
(ierniany and France at that time tlireatened any 
moment to start a confiagration in Europe. In 
the Austro-Hungarian nation, too, wliich the man 



54 



Department of State Bulletin 



witli wlioni I wiis coiivci-siiij; jiraiscd as a niodi-l 
for tlie cooperation of various otlmii' jrroups, such 
stronjr feeliiijrs of hatred had l)et>n built up before 
the First AVorld AVar that tlie various national 
groups strove to break apart forcibly as soon as 
the central government was weakened by military 
defeat. 

lint even if the i>ast liad possessed all the ad- 
vanta>;es which this man seemed to think it had, 
it could not serve us as a model for the future. 
Lar<;e areas of Eun)pe which 75 years a^o were 
still entirely ajiricultural are today industrialized. 
For example, in 1871 two-thirds of the jwpulation 
of the (lernian Empire lived in tlie country and 
only one-third in the city. In in.'J:) the ratio was 
exactly the reverse: Only one-third of the popu- 
lation still lived in the comitry and two-thirds 
lived in the city. Quite apai-t from the basically 
difl'erent political situation in the world today, 
the industrialization of former agricultural areas 
would in itself necessarily lead to a new order 
amonfjf the European nations. Even if it should 
seem desirable, a restoration of the Europe of 
1014 would therefore be altofrether impossible. 

On the other hand, a modern solution of Euro- 
pean problems, namely the economic, political, and 
military intejiration of the free nations in Europe, 
is not only possible but is actually demanded by 
the economic and political realities of our time. 
Xaturally I know only too well the obstacles which 
have mounted up time and ajjain recently on the 
road to European integration. Nevertheless, I 
say here quite frankly: Without a reconciliation 
of the hi.storic German-French conflicts, without 
close cooperation of the free European nations in 
all fields, without a new communal spirit in a free 
Europe instead of the traditional divergencies, 
free Europe does not have any future at all. 

Chancellor Adenauer said recently in a speech 
before the Bundestag : 

Let us, Ladies and Gentlemen — and I address these 
words far beyond this hall to all people of good will in 
free Europe — realize the seriousness of this period and 
let us prove ourselves equal to its demands, so that later 
generations may not condemn us as weak and shallow. 
We must realize clearly that, if the union of European 
nations fails, the existence of this Continent will be 
imperiled. 

As a foreign observer who follows developments 
in Europe with the greatest interest I want to say 
that I agree with this statement completely. 

Question of French Ratification 

I must admit that the European movement has 
not exactly been helped by the delay in the ratifi- 
cation of Edc. The fact that up till now no French 
Government has been in a position to submit the 
treaty to Parliament for ratification has been a 
great disappointment. We .should not forget, how- 
ever, that even here in Germany ratification was 
concluded only a few months ago. Besides, we 



know that France in this period has had to battle 

witli dillicult problems created by the crisis in 
Indochina, 'i'lie wiiole free world has followed 
with sympathy and understanding the French ef- 
fort to solve these i)roblems. 

Tliat the majority of the French people, despite 
all (lilliculty, favors ratification of Enc is con- 
firmed by all tiio infoiiiiation at my disposal. 
This majority knows tliat without Enc the whole 
Eur()])can unity movement would be jeopardized 
and fiiat a decision in this vital question cannot 
be delayetl interminably. A few days ago Presi- 
dent Eisenhower expressed this same conviction 
in a letter to President Coty.-' He wrote that he 
lioped the European Defense Connnunity would 
be realized while there was still the opportunity 
to do so. We all know that this opportunity 
will not offer itself iiuicli longer. Time is of the 
essence. All tliese facts force me to believe that 
the French Parliament will ratify Edc before the 
sununer recess. 



Commemoration off German Day 
of Unity and Freedom 

On behalf of the United States Oovernment, U.S. 
High Commissioner James B. Gonant on June 11 
presented to Chancellor Adenauer the folloicinu 
message: 

Today the German people commemorate the Day 
of German Unity and Freedom. One year ago, the 
workers of the Soviet Zone of Germany rose in a 
detiant demonstration against their Communist 
masters to demand that Germany be unifled in 
freedom. That outcry of an oppressed people was 
heard around the world. Our own history teaches 
us that the urge of man to enjoy security, to live in 
liberty and to follow the dictates of his conscience 
are basic rights which cannot be denied to a people 
indetinitely. 

We therefore join the German people in their 
commemoration of June 17 and pledge ourselves to 
use every appropriate occasion to assist the Ger- 
man people in their aim to achieve by peaceful 
means those freedoms for their countrymen in 
East Germany. 



The way to German reunification, too, leads 
through European integration, in my opinion. I 
am convinced that the Russians will not let go of 
the zone of Germany they occupy until they real- 
ize that they cannot use this part of Germany as a 
springboard for the conquest of all of Europe. 
As long as the Russians cling to their old wishful 
thinking that they could push the boundary of 
their simere of power up to the Atlantic Ocean, 
they will not agree to a reunification of Germany 
in peace and freedom. I believe, however, that, 
when this dream turns out to be an illusion — and 
a unified Europe ought to be convincing proof that 
these Soviet designs cannot be carried out — then 

' Bulletin of June 28, 1954, p. 990. 



Ju/y J 2, J 954 



55 



the realists in the Kremlin will be prepared for 
real negotiations concerning German reunifica- 
tion. 

Up till then, till the day of reunification, which 
will come, the free world must give the people in 
the East the feeling of certainty that they have 
not been forgotten, that they have not been writ- 
ten off by the West, that the time of their sup- 
pression will end. 

Last week I handed to the Chancellor a message 
from the American Government in which my Gov- 
ernment assumes the obligation to assist the Ger- 
man people in winning back, by peaceful means, 
freedom and human rights for their brethren in 
the Soviet Zone. In other words, the free world 
has recognized that the reunification of Germany 
in peace and freedom is one of its most important 
tasks. However, we must not forget that the free 
world has to solve important tasks not only in 
Europe but all over the world. If we look back 
on what the free world has accomplished in the 
span of a few short years, we will not shrink from 
these tasks but view the future with determination 
and confidence. 



FOA Announcements 

Defense Support Funds for Italy 

The Foreign Operations Administration on 
June 16 announced a $20 million allotment of de- 
fense support funds for Italy with the double 
objective of providing raw materials needed by 
Italian industry and stimulating economic devel- 
opment in the country's underdeveloped southern 
and insular areas. 

To meet the two objectives : 

1. The dollars will enable Italy's industries to 
purchase raw materials available only in the 
United States and other dollar areas. 

2. The lira equivalent of these dollars — counter- 
part funds — to be paid by the Italian industries 
for the raw materials will provide a revolving 
industrial loan fund for continental Southern 
Italy, Sicily, and Sardinia. 

Italian industries are producing a large variety 

of military equipment — naval vessels, arms, am- 
munition, etc. — for use by Italian and other Nato 
forces. 

The chief purpose of the loan fimd is to promote 
a more rapid growth of industry in what has been 
recognized as a sore spot in the economy of Italy 
affecting the security and prosperity not only of 
all of Italy, but also of Western Europe. P^stab- 
lishment of the special funds, together witli pre- 
viously taken measures, uiiderlincs the importance 
which both the Italian and the U.S. Governments 
attach to revitalizing these depressed areas, which 
comprise some two-fifths of Italy's 115,000 square 
miles. 



Plagued by inadequate agricultural and indus- 
trial production, chronic unemployment, and 
underemployment, the 17 million people of the five 
regions south of Rome, of Sicily and of Sardinia 
have suffered substantially lower living standards 
than the other parts of Italy. The inhabitants of 
these regions comprise more than one-third of 
Italy's total population. 

The Italian Government has long recognized 
the gravity of the area's plight and in 1950 
launched a 12-year program of direct action to 
create the prerequisites for a sound economic de- 
velopment of Southern Italy. It created the Cassa 
per il Mezzogiorno (Fund for the South) , a public 
agency to finance basic improvements in that area. 
The bold program envisaged land reclamation, ir- 
rigation, and conservation, for which more than 
half of the total Cassa budget was earmarked. 
Development of roads, railways, aqueducts and 
sewers accounts for al^out another quarter of the 
programed funds. The program entails an an- 
nual budget equivalent to $175 million. 

The Cassa has moved forward in its basic pro- 
gram, showing effects of full-scale operation at 
the average annual rate hoped for by last year. 
At the end of 195.3 it could report that more than 
40 million man days of work had been generated 
by its program, 35 percent of the total 12-year 
program had been approved in the form of spe- 
cific projects, 30 percent of the total program was 
under contract and 15 percent of the total funds 
had been expended. 



Technical Cooperation Contracts 
Signed With Two Colleges 

Harold E. Stassen, Director of Foreign Opera- 
tions, on June 24 signed two comprehensive con- 
tracts with U.S. colleges. Tlie new contracts, total- 
ing $3,300,000, link AVashington State College with 
the University of Punjab in West Pakistan, and 
Texas Agricultural and Mechanical College with 
the University of Dacca in East Pakistan. 

Both U.S. schools will undertake 3-year pro- 
grams in the fields of engineering, education, agri- 
culture, business administralion, and home eco- 
nomics. The 3-ycar contracts are in conformance 
with the Foreign Operations Administration's 
new university ])rogram. Previously American 
universities assumed res])onsibility for assisting 
foreign schools for only a 1- or 2-year jieriod. 

Under the contracts, the American school agrees 
to send overseas a university team to remain in 
residence at the foreign institution, and also to 
provide special consultants for briefer ])eriods. 
The Texas and Washington overseas staffs are ex- 
jiected to total about 40 college re]>resentatives. 
Also, the foi'cign schools are to send a nun\ber 
of key faculty members and graduate students to 
study at their "sister universities" in the L'nited 
States. 



56 



Department of Sfafe Bulletin 



As in all the U.S. technical cooperation pro- 

fjranis, the request for such contracts is initiated 
by tile foreijxu <iovcrnnient desirinjjj such assist- 
ance. Tlie foreifin university and fiovernnient 
anrj-ee to contribute a fair share of the cost of tiie 
uudertaUiiiii. 

Tiie two contracts signed June 24 brinn; tlic 
amount of funds obligated in the university con- 
tract pro<;rain to more than $ir> million. The total 
may reach an estinuited $40 million with the con- 
clusion of nearly 50 more contracts whicli are now 
under negotiation with some 40 universities. The 
university contracts involve more than 'M under- 
developed countries in the Far East, Middle P^ast, 
Africa, Europe, and Latin America. 

The contracts vary in amount from about 
$200,000 to $2,000,000, and provide for the services 
of as few as two and as many as 31 American uni- 
versity technicians overseas at a time. Foa of- 
ficials expect that some of the contracts now being 
sponsored will continue under foreign government 
or private sponsorshiji, after Foa financing has 
terminated, and tluis provide a lasting university 
relationship. 

The majority of contracts are with U.S. land- 
grant colleges. However, some contracts do not 
involve agriculture, and non-land-grant institu- 
tions are also participating in the Foa program. 

The assistance of such agencies as the U.S. Oflice 
of Education, the American Council on Education, 
the National Education Association, the Land 
Grant College Association, and the American So- 
ciety for Engineering Education is sought in de- 
termining whether the institutions suggested by 
foreign governments are appropriate for the proj- 
ects indicated. 

Training Center in Puerto Rico 

The Foi-eign Operations Administration on 
June 25 announced the signing of a contract with 
the Commonwealth of Puerto Rico to conduct an 
international technical cooperation training cen- 
ter for participants from over 40 countries. 

The contract continues a cooperative training 
program that began in Puerto Rico in May 1950. 
Tlirough May 1954, 1,.S00 participants were 
trained. They represented almost every country 
with which the U.S. Government participates in 
economic or technical cooperation. 

The largest single group of students will come 
from the British, French, and Netherlands areas 
of the Caribbean for whom special courses on the 
vocational level have been planned. The training 
facilities of the vocational schools, the Depart- 
ment of Education, and the University of Puerto 
Rico will be utilized, along with the opportunities 
for apprentice training on the farms and in the 
shops and growing industries of the Common- 
wealth. Participants will be largely teachers and 
supervisors in the fields of industry, trade, and 
agriculture, with a limited number of young voca- 
tional students. 

July 72, 1954 

305827—54 3 



Seventy participants from the dependent over- 
seas territories are presently enrolled in the Metro- 
politan Vocational School studying principally 
the merliaiiical trades. The Foreign Operations 
Administration is making $150,000 available im- 
mediately to enlarge and broaden the i)rogiam 
to include more advanced instruction for teachers 
and supervisors and to offer work in vocational 
agriculture. 

In addition, Foa proposes under the contract to 
contribute $90,000 during fiscal 1955 to train up 
to 500 participants from other areas of the world 
in concentrated short courses. This phase of the 
])rogram will permit training in various fields 
including agriculture, social welfare, housing, edu- 
cation, health, industrial development, labor, 
public administration, and teclinical information 
with particular attention to the use of audio-vis- 
ual aids. 

The contract will go into eO'ect on July 1. It 
was negotiated at the request of Governor Luis 
Mufioz-Mai'in of the Commonwealth. Tlie former 
training program was carried on under the super- 
vision of the Puerto Rico Planning Board. The 
new one has been placed under the jurisdiction of 
the Secretary of State of Puerto Rico with direct 
supervision by Under Secretary Arturo Morales 
Carrion. 

Puerto Rico is particularly well fitted to offer 
technical training to participants from other 
countries. The Commonwealth is a onetime un- 
dei-developed country which, through its "Oper- 
ation Bootstrap," has solved many of its own eco- 
nomic and social problems. 

For the past 13 years, Puerto Rico has success- 
fully conducted a wide variety of programs of 
agricultural, health, education, and economic de- 
velopment. Thus it provides firsthand observa- 
tion and experience under conditions comparable 
to those in the countries from which the training 
participants come. The country is bilingual, of- 
fering instruction in either Spanish or English. 

In requesting the contract. Governor Muiioz- 
Marin stressed the fact that "the people of Puerto 
Rico are desirous of sharing their experience in 
social and economic development with other areas 
of the world which are struggling to achieve a 
better standard of living." 



Support for Jordan Development Program 

United States economic aid in support of the 
Jordan Government's program for better roads, 
more water, improved crops and livestock, ana 
restoration of forest lands was announced by Foa 
on June 28. The Foreign Operations Administra- 
tion has allotted $8 million to give practical effect 
to an economic assistance agreement announced 
on June 15.^ 



' BuiJXTiN of June 28, 1954, p. 1000. 



57 



About half of the economic aid — approximately 
$4 million — will be in the form of commodities, 
principally of raw and processed agi'icultural com- 
modities, badly needed in Jordan. These, when 
sold within the country, will produce local cur- 
rencies to help finance the development projects. 
The remaining half of the $8-million allotment 
will cover the costs of engineering and other tech- 
nical services and equipment imported for the 
development work. 

Jordan is a country somewhat larger than 
Maine. Farming and animal husbandry are the 
principal occupations. Wlieat, barley, olives, to- 
bacco, and grapes are the principal crops. Small 
industries processing farm products represent the 
chief industrial activity. The country's precarious 
economic situation is aggravated by the addition 
of 480,000 refugees to its previous population of 
900,000. 

Jordan suffers fi'om a general depletion of her 
limited natural resources. The counti'y lacks the 
technical know-how and the money to make sub- 
stantial headway toward solution of its basic eco- 
nomic problems. International and private agen- 
cies are giving assistance. The United States, in 
addition to carrying out programs of technical 
cooperation, made a grant of wheat in 1952, valued 
at $1,2&4,000 and a further grant in 1954, under 
the Famine Relief Act, valued at $1 million. 

The $8 million allotment will be spread over 
five major projects as follows: irrigation, $3 mil- 
lion; range resources rehabilitation and develop- 
ment, $2 million ; afforestation and watershed pro- 
tection, $500,000; road construction, $2 million; 
and gi'ound water exploration and development, 
$500,000. 

International Bank Loan to Ceylon 

The International Bank for Reconstruction and 
Development announced on June 18 that it has 
approved its first loan to Ceylon. The loan will 
be made in various currencies equivalent to $19,- 
110,000. The funds will help to carry forward 
the Aberdeen-Laksapana hydroelectric scheme for 
supplying additional power to southwestern Cey- 
lon, the most productive and populous part of this 
island country. 

The hydroelectric power potential of Ceylon 
is largely undeveloped, and there is a heavy de- 
pendence on thermal power which is generated 
entirely with imported fuel. Particular impor- 
tance, therefore, is attached to the development of 
hydroelectric power because it will both produce 
additional electricity at lower cost and efi'ect for- 
eign exchange savings. 

The Aberdeen-Laksapana scheme is intended to 
develop the power potential of the Kehelgamu and 



Maskeliya Rivers at a point about 50 miles east of 
Colombo, the capital. Eventually the total gen- 
erating capacity of this development wiU be 150,- 
000 kilowatts. The scheme is being carried out in 
stages, of which the first was completed in 1951. 
It consisted of the construction of a 25,000-kilo- 
watt plant in the Laksapana Valley, a diversion 
dam and tunnel to conduct water from the Kehel- 
gamu to the plant, and a transmission line to 
Colombo. 

The next stage of this development is being 
financed with the help of the bank's loan. It con- 
sists of the construction of a second dam to store 
additional water from the Kehelgamu and to regu- 
late its flow to the power station, the addition of 
25,000 kilowatts to the generating capacity of the 
existing power plant, and the construction of 
transmission lines and distribution facilities. 

The total cost of this stage is estimated at about 
150 million rupees (equivalent of $31.5 million). 
The bank's loan will finance the foreign exchange 
requirements; the rupee costs will be met by the 
Government. It is expected that the project will 
be completed in approximately 4 years. 

Tea, rubber, and coconut products constitute 
90 percent of Ceylon's exports. Almost all the 
factories processing these products are situated 
in the area to be served by the Aberdeen-Laksa- 
pana jjroject. These industries now rely for 
power to a great extent on small thermal miits. 
Increased supplies of low-cost power from the 
project will improve efficiency of production in 
the factories. The power will also be used in light 
industries producing consumer goods of kinds 
now imported. 

The area served also includes Colombo, which 
is Ceylon's largest city and most important port. 
A program to enlarge and modernize the port, 
now nearly finished, will enable it to handle more 
traffic and will increase the demands for power 
for cargo-handling facilities. Because Colombo 
is the center of Ceylon's foreign trade and has a 
large labor force, it is likely that future industrial 
growth, with consequently increased demand for 
power, will take place in this vicinity. 

The power system which is being built up in the 
area served by the Aberdeen-Laksapana project 
is run by tlic Electrical Undertakings Department 
of the Ceylon (lovcrnment. The major part of 
the construction will be done by foreign contrac- 
tors under the supervision of British consulting 
engineers and the Department. 

The loan is for a term of 25 years and bears 
interest of 4% percent per annum, including the 
statutory 1 percent commission charged by the 
bank. Amortization will begin January 15, 1959. 

The Executive Directors of the bank approved 
the loan at a meeting on Jime 17, 1954, and the loan 
documents will be signed shortly. 



58 



Department of State Bulletin 



Export- Import Bank Declares 
Dividend of $22,500,000 

The Export-Import Bank of Washington an- 
nouiu'ed on June 28 the declaration of a dividend 
for tlie year in the amount of $22,500,000, which 
will be payable to the Treasury of the United 
Stat<>s on July 1, 1954. The dividend is 214 per- 
cent of the bank's capital stock of $1 billion, all 
of which is held by the Treasury. 

The diviilend will bo i)aid out of gross earnings 
estimated to be $86.2 million during the fiscal year 
ending June 30, 1954. The bank will realize a 
net profit of approximately $50.9 million on its 
operations during the fiscal year before payment 
of the dividend. The net profit figure is stated 
after deducting from gross earnings operating ex- 
penses of $1.1 million and $28.2 million interest 
paid on money borrowed from the U.S. Treasury. 

The remainder of the net profit, approximately 
$34.4 million, will be added to the accumulated 
past earnings of the bank, which constitute a re- 
serve for possible future losses. The reserve will 
then amount to approximately $330 million. 

Total dividends paid to the Treasury since 1951 
■will amount to $85 million. Total dividends paid 
since the bank was organized amoiuit to $105,905,- 
178. Principal repayments on outstanding loans 
during the fiscal year will amount to approxi- 
mately $350 million. 



Stable Isotopes To Be Available 
for Foreign Distribution 

Stable isotopes produced in facilities of the U.S. 
Atomic Energy Commission will be available for 
foreign distribution under a progi'am announced 
on July 1 by the Commission.' 

Radioisotopes have been sold to foreign users 
by the Conmiission since 1947, but stable isotopes 
generally have been available only to usei's within 
the United States. About 175 stable isotopes of 
nearly 50 elements are produced by the Aec. 
Stable isotopes, like radioisotopes, are valuable 
tools for basic research in various scientific fields. 

A total of 48 foreign countries has been author- 
ized to receive radioisotopes produced in the 
United States, and approximately 2,500 foreign 
shipments of radioisotopes have been made. For- 
eign requests for stable isotopes will be forwarded 



' Most elements hare several forms, similar in chemical 
behavior but differing In atomic weight These are the 
isotopes of the element. More than 1,000 isotopes occur 
naturally or have been artificially produced. Some are 
radioactive. These usually are called radioisotopes. 
Others are nonradioactive, or stable. Since the isotopes 
of an element are similar in chemical behavior, their 
separation from each other requires special processes. 



to the Commission through the oliicial representa- 
tives of foreign nations for radioisotope procure- 
ment. 

The terms and conditions for obtaining stable 
isotopes will be the same as those which now apply 
to foreign requests for radioisotopes. The appli- 
cant must agree to use the isotope only for the 
purpose stated in the application, and also must 
agree to report research results to the Akc. For- 
eign countries may obtain isotopes for scientific 
research, medical research, industrial isotopes for 
scientific research, medical research, industrial re- 
search, medical therapy, and industrial utilization. 

Stable isotopes will be sold at prices which will 
recover full costs of production. The quantity of 
a stable isotope approved for export will be lim- 
ited to the amount generally provided to a domes- 
tic user for a similar purpose. 

Although some stable isotopes have been pro- 
duced since the 1930's, pre-World War II tech- 
niques for the concentration and separation of 
stable isotopes were impracticable for most ele- 
ments, and only very minute quantities of pure 
separated isotopes could be obtained. 

Electromagnetic separation was one of the 
methods used during World War II to separate 
the uranium-235 isotope, needed for atomic weap- 
ons, from the more common uranium-238 isotope. 
This method no longer is used for uranium sep- 
aration. However, part of the electromagnetic 
separation plant at the Oak Ridge National Lab- 
oratory has been utilized for the production of 
stable isotopes for research, in quantities much 
greater than were available before. Most stable 
isotopes now are produced by electromagnetic 
separation. 

Stable isotopes have various research uses. 
Some elements do not have radioisotopes with 
half-lives long enough to make their use feasible 
in experiments. Stable isotopes of these elements 
can be used in tracer experiments. Boron-10 is 
useful as a neutron detector. Deuterium, the 
stable heavy isotope of hydrogen, has been utilized 
in biological and chemical studies. Helium-3 is 
important in low-temperature studies. 



Educational Exchange Commission 
Members Confirmed 

The Senate on June 28 confirmed the following 
to be members of the United States Advisory Com- 
mission on Educational Exchange for the terms 
indicated, and until their successors have been 
appointed and qualified: 

Arthur Hollis Edens for the remainder of the term 
expiring January 27, 1.955. 

Anna L. Rose Hawkes, for the remainder of the term 
expiring .Tanuary 27, 1055. 

Kufus H. Fitzgerald, for the remainder of the term 
expiring January 27, 1956. 

Arthur A. Hauck, for the remainder of the term ex- 
piring January 27, 1956. 



July 12, 1954 



59 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Calendar of Meetings ' 

Adjourned during June 1954 

U.N. Conference on Customs Formalities for the Temporary Impor- 
tation of Private Vehicles and for Tourism. 

U.N. Disarmament Commission, Subcommittee of Five (Povi'ers): 2d 
Session. 

Who Executive Board: 14th Meeting 

11th International Ornithological Congress 

10th International Congress of Agricultural and Food Industries. . . 

IcAO Assembly: 8th Session 

Ilo Annual Conference: 37th Session 

Fag Committee on Commodity Problems: 23d Session 

U.N. International Law Commission: 6th Session 

International Cotton Advisory Committee: 13th Plenary Meeting . . 

UNESCO Intergovernmental Conference of Experts on Cultural Rela- 
tions and Conventions. 

9th Pan American Railway Congress, U.S. National Commission . . 

6th Inter-American Travel Congress 

International Tin Study Group, Management Committee 

Fag Technical Advisory Committee on Desert Locust Control: 4th 
Meeting. 

Fao Committee on Research of Latin American Forestry Commission . 

International Commission for Northwest Atlantic Fisheries: 4th 
Annual Meeting. 

International Meeting of Tonnage Measurement E.xperts ...... 

U.N. EcE European Regional Conference of Statisticians: 4th 
Session. 

U.N. Permanent Central Opium Board and Narcotic Drugs Super- 
visory Body: 11th Joint Session. 

Civil Aviation Meet (Centenary of Sao Paulo) 

International Wheat Council: 15th Session 

Ilo Governing Body: 126th Session 

In Session as of June 30, 1954 

Geneva Conference Geneva Apr. 26- 

International Fair of Navigation Naples May 15- 

U.N. Trusteeship Council: 14th Session New York .Tune 2 



New York May 1 1-June 4 

London May 13-June 22 

Geneva May 24-June 3 

Basel May 2&-June 5 

Madrid May 30-June 7 

Montreal June 1-June 14 

Geneva June 2-24 

Rome June 3-11 

Paris June 3-26 

Sao Paulo June 7-17 

Paris June 8-18 

Washington June 9 

Panamd City June 10-20 

London June 11 

Cairo June 12-14 

Rio de Janeiro June 14-17 

Halifax June 14-19 

Paris June 14-23 

Geneva June 14-19 

Geneva June 14-26 

Sao Paulo June 16-20 

London June 16-26 

Geneva June 26-26 



IcAO Meteorology Division: 4th Session 

Wmg Commission for Aeronautical Meteorology: 1st Session .... 

UNESCO Seminar on Educational and Cultural Television Program 

Production. 

U.N. Economic and Social Council (Ecosoc): 18th Session 

Itu International Telegraph Consultative Committee (Ccit): Study 

Group XI. 
Art Biennale, XXVIIth 



Montreal June 15- 

Montreal June 15- 

London June 27- 

Geneva June 29- 

Geneva June 30- 

Venice June- 



Scheduled July l-September 30, 1954 

International Exposition and Trade Fair SSo Paulo July 1- 

8th International Congress of Botanv Paris July 2- 

Inter-American Technical Cacao Committee: 5th Meeting Turrialba (Costa Rica) . . . July 4- 

17th International Conference on Public Education (jointly with Geneva July 5- 

Unesco). 

XVth International Exhibition of Cinematographic Art 

International Union of Pure and Applied Physics: 8th General 

Assembl}'. 

6th Pan American Highway Congress 

International Whaling Commission: 6th Annual Meeting Tokyo July 19- 

Intcrnational Union of Crystallography: 3d General Assembly . . . Paris July 21- 

World Power Conference: "Sectional Meeting Rio de Janeiro July 25- 



Venice July 6- 

London July 6- 

Caracas July 11- 



' Prepared in the Division of International Conferences June 28, 1954. Following is a list of abbreviations: U.N.. 
United Nations; Who, World Health Organization; Icao, International Civil Aviation Organization; Ilo, International 
Labor Organization; Fag, Food and Agriculture Organization; Unesco, United Nations Educational, Scientific and 
Cultural Organization: Ece, Economic Commission for Europe; Wmg, World Meteorological Organization; Ecosoc, 
Economic and Social Council; Itu, International Telecommunication Union; Ccit, International Telegraph Consultative 
Committee (Comit6 consultatif Internationale telegraphique) ; Gatt, General Agreement on Tariffs and Trade. 



60 



Department of State Bulletin 



Calendar of Meetings — Continued 

Scheduled July l-September 30, 1954 — Continued 

Gatt Ad Hoc Committee for Agenda and Iiitorsessional Business . . 

3d Iiiter-Anierican Conference on Indian Life 

Fao Caril)bean Agricultural Extension Development Center .... 

UoRotii International Exposition 

10th World's Poultry Congress 

5th International Congress of Soil Science 

U. N. Committee on Information from Non-Self-Govcrning Terri- 
tories: 5th Session. 

8th Edinburgh Film Festival 

31st International Congress of .\mericanists 

2d International Congress of Classical Studies 

International Scientific Radio Union: 11th General Assembly . . . . 

Wmo Executive Committee: 5th Session 

Inter-Parliamentary Union: 43d Conference 

UNESCO Regional Seminar on the Arts and Crafts in General Education 
and Community Life. 

International Mathematical Union: 2d General Assembly; and Inter- 
national Congress of Mathematicians. 

U. N. \Vorld Population Conference 

International Society of Cell Biology: 8th Congress 

Fao Latin American Regional Meeting on Food and Agricultural Pro- 
grams and Outlook. 

International Sugar Council, Meeting of Executive Committee . . . 

IcAO Legal Committee: 10th Session 

International Sugar Council, Meeting of Statistical Committee. . . . 

International Sugar Council, 1st Meeting of Second Session .... 

2d International Seminar on the Role of Museums in Education 
(Unesco). 

Colloquium on Luso-Brazilian Studies 

International Union of Geodesy and Geophysics: 10th General Assem- 
bly. 

International Federation for Documentation: 21st Conference . . . 

Consultative Committee on Economic Development in South and 
Southeast Asia ("Colombo Plan"). 

Fao Committee on Commodity Problems: 24th Session 

IX International Exposition of Preserved Foodstuffs and Packing . . 

U.N. General .\ssembly: 9th Session 

International Bank for Reconstruction and Development and Inter- 
national Monetary Fund :9th. \nnual Meetingof Boards of Governors. 

4th International Exposition of Cotton, Rayon, Textile Chemistry and 
Machinery. 

Fao Council: 20th Session 

Ilo Chemical Industries Committee: 4th Session 



Geneva July 26- 

La Paz Aug. 2- 

Jamaica Aug. 5- 

Bogotd, Aug. 6- 

Edinburgh Aug. 13- 

Leopoldville(BelgianCongo). Aug. 16- 

New York Aug. 20- 

Edinburgh Aug. 22- 

Sao Paulo Aug. 23- 

Copenhagen Aug. 23- 

Atnsterdam Aug. 23- 

Geneva Aug. 2.5- 

Vienna Aug. 27- 

Tokyo Aug. 28- 

The Hague and Amsterdam . Aug. 31- 

Rome Aug. 31- 

Leiden Sept. 1- 

Buenos Aires Sept. 1- 

London Sept. 6- 

Montreal Sept. 7- 

London Sept. 7- 

London Sept. 8- 

Athens Sept. 12- 

Sao Paulo Sept. 12- 

Rome Sept. 14- 

Belgrade Sept. 19- 

Ottawa Sept. 20- 

Rome Sept. 20- 

Parma (Italv) Sept. 20- 

New York " Sept. 21- 

Washington Sept. 24- 

Busto Arsizio (Italy) .... Sept. 26- 

Rome Sept. 27- 

Geneva September 



U.S. Delegations to 
International Conferences 

International Union of Pure and Applied Physics 

The Department of State announced on .Tuly 1 (press 
release :5(iO) that the United States Government will be 
represented at the Eighth General Assembly of the Inter- 
national Union of Pure and Applied Physics, opening at 
London on .July C, by the following: 

John C. Slater, Ph.D., Chnirmnn, I'rufessor, Massachu- 
setts Institute of Technology, Cambridge, Mass. 

Henry A. Barton, Ph.D., American Institute of Physics, 
New York, N. Y. 



Karl K. Darrow, Ph.D., Bell Telephone Laboratories, Inc., 
New York, N. Y. 

Ilarold H. Nielson, Ph.D., Professor and Chairman, De- 
partment of Physics and Astronomy, Ohio Slate Uni- 
versity, Columbus, Ohio 

John A. Wheeler, Ph.D., Professor, Department of Physics, 
Princeton University, Princeton, N. J. 

The International Union of Pure and Applied Physics 
was founded in 1923 to eneouratje international coopera- 
tion in physics ; to coordinate the work of preparation and 
publUiition of abstracts of papers and of tables of physi- 
cal constants; to bring about international atireement on 
matters of units, nomenclature and notations; and to 
supiiort research in suitable directions. 

The Seventh General Assembly was held at Copenhagen, 
July 1951. 



My 72, J 954 



61 



Future Relationship of Gold Coast 
and British Togoland 

STATEMENT BY MR. SEARS 

U.S./U.N. press release 1929 dated June 29 

Folloioing is the text of a statement issued on 
June 29 hy Mason Sears, U.S. Representative in 
the Trusteeship Council, together with the text of 
a U.S. draft resolution introduced in the Council 
on the same date: 



Since recent constitutional developments in the 
Gold Coast have placed this West African colony 
of Great Britain on the threshold of independence, 
the terms of the future relationship of its 4 million 
people with the adjoining trust territory of British 
Togoland will require early action by the United 
Nations. 

This is a matter of fundamental concern to the 
people of both territories and especially to Togo- 
landers. Any action or lack of action which would 
hold them back and keep their country in a de- 
pendent status against the known wishes of so 
many of its people would scarcely be in line with 
the principle of self-determination. 

Recognizing this, the United States delegation 
today introduced into the Trusteeship Council a 
resolution in support of a British note suggesting 
that the General Assembly set up machinery in 
1956 to determine public opinion in the territory. 
Presumably the best way to do this would be by 
plebiscite. 

Because the outcome could result in political 
freedom for the people of a trust territory, the 
question is perhaps the most important one ever 
raised in the Trusteeship Council. 

The reason for this arises directly from the re- 
sults of the election on June 15 in British Togo- 
land and the Gold Coast. Although these elections 
were for members of the new Gold Coast Legis- 
lative Assembly, they have provided a significant 
indication of the wishes of the Togolanders. 

All Togolanders elected in the north and at least 
half of those elected in the south favor the merg- 
ing of Togoland into an independent Gokl Coast. 
In northern Togoland the overwhelming senti- 
ment in favor of joining their neighboring tribes- 
men across the border had been exjiected. Even in 
the constituencies of southern Togoland, where 
there luis been a movement for unification of 
British and French Togoland, at least half of the 
vote was clearly in favor of tliosc who desire to 
become part of an independent Gold Coast. 

The vote in tlie south was about 24,000 for the 
candidates of tlie Togoland branch of the Conven- 
tion People's Party, whicli favors joining the (iold 
Coast, to about 21,000 for the candidates of the 
Togoland Congress, which favors unification with 

62 



French Togoland. A few thousand votes went to 
an independent candidate. 

We feel sure that the United Nations will re- 
gard this as an impressive step forward toward 
the final achievement of self-determination. To 
do otherwise would tend to make a mockery of the 
principle of self-determination. 

Election day on June 15 marked a new phase in 
a series of constitutional developments occurring 
in West Africa which will place millions of West 
Africans under responsible government of their 
own choosing. 

It was also a red-letter day in the evolution of 
the trusteeship system since it was the first time 
that elections on the basis of universal suffrage 
have been held in a United Nations trust territory. 

]\Ioreover, we believe that the influence of these 
elections will benefit the orderly development of 
self-government in other dependent areas. 

The United States delegation takes this occa- 
sion to pay tribute to Prime Minister Nkrumah 
and his Government for the statesmanship and 
wisdom with which they are guiding their people 
toward independence. The United States wishes 
him well in fulfilling his task of bringing African 
peoples into full membership in the family of free 
nations. 



U. S. DRAFT RESOLUTION 



U.N. doc. T/L. 480 
Dated June 29, 1954 



The Togoland Unification Problem 

The Trusteeship Council, 

Informed by the United Kingdom Government of the 
recent constitutional developments in the Gold Coast 
which affect the future of the Trust Territory of British 
Togoland, 

Having eegaed to the terms of the trusteeship agree- 
ment, and to the resolutions of the General Assembly and 
of the Trusteeship Council relating to this question, 

Noting that it is the wish of the United Kingdom Gov- 
ernment to have on the provisional agenda of the next 
General Assembly the question of "the future of the Trust 
Territory of Togoland under United Kingdom Trustee- 
ship", 

CoNsinEiUNo that it is the duty of the Trusteeship Coun- 
cil to assist the General Assembly in its consideration of 
this question, 

Kecognizing also that the free and democratic general 
elections recently hold in the Gold Coast and in British 
Togoland, based on the principle of universal suffrage, 
have given a significant indication of the wishes as well 
as the political maturity of the people of British 
Togoland, 

Convinced, however, that before a final determination 
of the future of this Territnry can be made it will be neces- 
sary, as the Charter provides, and as the Administering 
Authority recommends, to establish the "freely expressed 
wishes of the peoples concerned", 

Noting that the Administering Authority proposes that 
the United Nations itself should arrange to ascertain, by 
whatever means it considers desirable and appropriate, 
the wishes of the inhabitants of the Trust Territory as 
to the status to be enjoyed by them when the present 



Department of Sfofe Bullefin 



arrnn^einents for iidniintstoriiig (bo territory become 
iiu>i>i'ralilo, 

1. t:Ti)rc»ses the Council's Rrntlflcatlon that the Initial 
step in the process of self-fletprniinatlon has been taken 
tbn>u«h the general clootious for the lyCj^lslatlve 
Assembly ; 

2. Commctids the United Kingdom Government for the 
effort it lins made in co-operatioii with the peopU>s of tlie 
Gold Coast and British ToKoland to chart a course lead- 
ing to the establishment of arranjrements which will ac- 
cord with the wishes of the people concerned and the 
principles of the Charter; 



3. Recommends that the forthcomlnR General Assem- 
lily place the proposal of the United Kingdom Govern- 
ment early on its agenda so that its general ^'uidance 
in tliis imiMirtant matter can be developed with due delit)- 
cration on all the issues Involved; 

4. .Ij/rccs, if the General Assembly so desires, to form- 
uhile at its flftecnih and sixteenth sessions, such meth- 
ods and procedures for ascertainin}? the wishes of the 
inhabitants, and for terminatint; the trusteeship, so that 
the General Assembly at its tenth session can set in 
motion the approved machinery in the course of lltOC. 



The Cargo Preference Principle in Merchant Shipping 



Statement hy Thorsten V. Kalijarvi 

Deputy Assistant Secretary for Economic Affairs^ 



The purpose of this bill is to strengthen the 
American merchant marine. The Department of 
State does not question this objective; in fact, the 
Department welcomes an opportunity to reaffirm 
its support for a merchant marine adequate to 
our strategic and commercial needs. 

The Department of State, along with other 
agencies of the Government, testified against S. 
3233 in the Senate. Although S. 3233 as passed 
is an improvement over the original bill, the De- 
partment is still concerned over the possible ad- 
verse effects of this legislation not only on the 
merchant marine but on other segments of the 
economy as well. 

Among the many responsibilities which the De- 
partment of State must discharge is that of pro- 
tecting the legitimate commercial interests of all 
U.S. industries engaged in exporting and import- 
ing American goods and services. It is the De- 
partment's belief that the greatest protection for, 
and benefit to, our foreign trade as a whole lies in 
the expansion of world trade through the develop- 
ment of a health}- international commercial atmos- 
phere. This is a matter of vital concern to the 
United States, the world's largest trading nation. 
This concern, tlierefore, for a mutually beneficial 
international exchange of goods and services is a 
practical and a selfish one. 

' Delivered for Mr. Kalijarvi on June 2.3 by Harvey 
Klemmer, Acting Director of the Office of Transport and 
Conununications I'olicy, before the Merchant Marine and 
Fisheries Committee of the House of Itepresentatives with 
regard to S. 3233. 



There is one point which I cannot overempha- 
size: When we talk about foreign trade, we are 
not talking about abstract ideas or theories. We 
are talking about the American goods, the Ameri- 
can workers, the American capital, and the Ameri- 
can know-how which make up that part of our 
economy which is engaged in the export and im- 
port of goods and services. On the exporting side 
we are talking about such industries and com- 
modities as agricultural machinery, pharmaceu- 
ticals, petroleum products, sewing machines, elec- 
trical equipment, automobiles, tires, cotton, to- 
bacco, fruit, grain, meat products, and so on. At 
the same time, the United States must import a 
great variety of essential raw materials. I don't 
think I need to belabor this point, but I do want 
to emphasize the importance to this Nation of 
our foreign trade. It follows that one of the 
Department's most important tasks is to preserve 
an atmosphere which will best enable us to sell 
the goods we produce and buy the essential raw 
materials that we need. 

The very fact that the Department of State 
has the responsibilities I have referred to makes', 
it essential that any proi)osal relating to the dis- 
charge of one responsibility must be carefully 
evaluated for its possible effect upon all the 
others. Tiie American merchant marine repre- 
sents one of the industries wliich make up the sum 
total of our foreign trade. Therefore, the De- 
partment must consider this bill in terms of its 
possible effect upon the overall trade picture. 

Without going into any great detail, I believe 



July 12, 7954 



63 



it is accurate to say that there is a basic distinc- 
tion between this bill and existing cargo prefer- 
ences. This bill would not only substantially 
broaden existing cargo preferences, but would 
enact them into permanent legislation. The great 
majority of existing cargo preferences are tem- 
porary in nature, in that they have been written 
into legislation containing dates of termination. 
This bill, therefore, would make it very clear to 
all nations that the United States has accepted 
the cargo preference principle as a permanent 
part of its maritime statutes. 

In recent years, the Department of State has 
been engaged in the difficult, tedious, and at times 
unrewarding task of seeking the removal of vari- 
ous restrictive and discriminatory practices 
against the foreign trade of the United States. 
This task is not only necessai-y to protect U.S. 
interests abroad but is part of the Department's 
foreign economic policy goal of encouraging a 
healthy atmosphere for world trade. 

Discrimination by Foreign Countries 

In the field of shipping, restrictive and discrim- 
inatoi-y practices by foreign countries have taken 
various forms. American shipping companies 
have evidenced great concern over such practices. 
They know better than we what such discrimina- 
tions can do to their interests. "Without any qual- 
ification, I can say that, whenever a report is 
received by the Department regarding a discrimi- 
nation, and it is verified, every appropriate effort 
is made to obtain the removal of that discrimina- 
tion. Wliile we have not succeeded in all such 
efforts, the Department has been successful in ob- 
taining the removal or relaxation of most of the 
discriminations encountered. 

Unfortunately, there is one type of shipping 
discrimination with which we have had little suc- 
cess. It is the application of the 50-50 principle 
to quasi-governmental and even to commercial 
cargoes by other nations. The Department has 
vigorously protested such discriminations and has 
answei'ed i-eferences to analogous United States 
practices by pointing out that our cargo prefer- 
ences for the most part are temporary in nature 
and apply only to government-owned or financed 
cargoes. Obviously this argument will lose force 
if our practices are broadened and put on a perma- 
nent basis. 

What we are talking about here is the obvious 
trend toward the use of cargo preferences. Cer- 
tain nations have indicated a desire to halt this 
trend and ])reserve theclemeiit r)f private initiative 
and private enterjtrise in the field of ocean trans- 
portation. Certain other nations, notably those 
newly entered in the field of ocean transportation, 
have indicated a tendency toward increasing gov- 
ernment control over their merchant sliipping. 
This tendency is best evidenced by their eagerness 
to employ cargo preferences. The example of the 



United States in this matter may well determine 
whether private initiative or government control 
will eventually prevail in this field. 

The Department of State believes that merchant 
shipping should provide the maximum scope for 
private initiative and private enterprise consistent 
with national security. The allocation of cargo 
by government decree is a step in the dii'ection of 
greater governmental control of ocean transporta- 
tion. 

This is no idle fear on the Department's part, 
nor does it reflect any idealistic notions. Rather, 
it is a sober appraisal of the hard facts of life as 
we deal with them every day. It might be useful 
at this point to consider the possibility that other 
nations which possess certain mineral or agricul- 
tural resources, vital to our economy in peace and 
war, may simply decree, on the basis of the cargo 
preference principle, that such materials must be 
exported in national vessels or in the vessels of a 
given corporation. 

This is not mere speculation. Efforts are being 
made right now to implement just such a cargo 
preference scheme in at least one important oil- 
producing country with respect to its petroleum 
exports. American petroleum companies and 
tanker operators are seriously concerned over the 
consequences of this form of cargo allocation and 
have expressed their concern to the Department. 

I am talking here of the agreement between Mr. 
Onassis and the Saudi Arabian Government to 
form a private company to operate a tanker fleet 
under the Saudi Arabian flag. This new agree- 
ment seems to us to be an example of cargo prefer- 
ences carried to their ultimate conclusion. As 
presently interpreted, the agreement may provide 
a virtual monopoly of Saudi Arabian oil ship- 
ments. As the Connnittee is aware, Saudi xVrabian 
oil is being developed by a firm known as Arajico, 
which is made u]) of foui- of the largest American 
oil companies. These companies take a very seri- 
ous view of this agreement, as does the Depart- 
ment of State, of course. 

Violation of ARAMCO Concession 

The Department has protested this agreement 
as a violation of the Arajico concession. I might 
add that had S. oii.'5;> been passed in its original 
form the Dejjartment would have been in the em- 
barrassing position (if ])rotesting an action which 
would have been entirely ])ossihle under the origi- 
nal terms of this bill. The indications are that 
efforts are being made to estMl)lish this type of 
cargo pi-eference in several other countries. We 
know of at least three other countries which have 
been api)roached to make similar agreements, 
whereby (he transportation of their oil, or a share 
of their oil, would be reserved to certain shipping 
com]ianies which would be set u]) under the flag 
of those couiUries, in I'etnrn for the payment of 
royalties on each tdu of oil shipped out of the 



64 



Department of State Bulletin 



coiintrv. If this sort of thinp should spread, there 

would lie IK) reason why other countries produeiug 
ii'ou oie, htiuauas. eotl'ee, ehrouie, uiaufxauese, or 
what have you, eould not a|)])ly the same ])rinciple 
by settiufj up national flaj: tleets and requirinj;, by 
law, that a certain jieroentajze of all such cargoes 
move in national vessels. That is why we are «o 
concerned about the extension of this principle 
at this time. 

The carjio jireference princij^le, whether for 
proht or the desire to support national luerchaut 
fleets, could be applied by any country to any 
number of conunodities — petroleum, iron ore, 
man<ianese, chrome, nitrates, tin, and for that 
nuitter even coffee or bananas. The list is endless. 
If carried to its lojrical conclusion, such a prac- 
tice would have nations attempting to transport 
SO percent, or 75 jtercent, or even 100 percent of 
the cai-go entering and leaving their ports. Trade 
would decline because of increased costs and the 
enforced rigidity of the means of transportation 
and, in the long run, every trading nation would 
suffer. Surely, neither tlie American merchant 
nuirine nor the Nation as a whole would find any 
comfort under such conditions. 

Of course, some will say that, if s\ich conditions 
arise, it will be up to the Department of State 
to stop them ; that is the Department's job. With- 
out appearing unduly pessimistic, let me say that 
once the vicious cycle of competitive discrimina- 
tions is started, stopping it before any real dam- 
age is done is much easier to say than to accom- 
plish. Sovereign nations cannot order each other 
to cease their respective practices. Results in this 
field are obtained through mutual consent and co- 
operation, ^loreover, the probable worst of- 
fenders in this field would be nations which re- 
ceive little or no aid from the United States, thus 
leaving little bargaining advantage in that respect. 

I'p to now, I have concentrated on the ])ossible 
international repercussions if this bill is enacted 
into law — repercussions which the Depaiiment 
believes would adversely affect our entire foreign 
trade as well as the American merchant marine 
in the long run. It might be useful at this point 
to consider the fact that our basic merchant ma- 
rine problems are long-range problems. On the 
other hand, our aid progi-ams are temporary and 
getting smaller each year. This bill proposes to 
solve a long-range problem with short-range, de- 
clining means. Apart from the international con- 
sequences, such fluctuating and temporai-y means 
should not be relied upon as a foundation for so 
vital a segment of our defense structure as our 
merchant marine. 



Decreasing Value of Cargo Preferences 

With the obvious decline in our aid programs 
it is apparent that cargo preferences will prove 
of decreasing value to our merchant marine as a 
source of cargo. Therefore, it is only a matter of 



time until the principle must either be abandoned 
as valueless, or extended to all cargoes touched by 
the hand of Govermnent and perliaps finally to 
all United States imports and exports. 'I'he first 
alternative promises only temporary benefits, and 
the second alternative promises grave conse- 
quences for the nu'rchant marine and for our for- 
eign trade as a whole. 

It is the Department's view that support for an 
adei|uate merchant marine should be open, direct, 
and subject to ])eriodic review by the Congi-ess. 
In his messa";e to the Congress on foreign economic 
policy,^ the President stated that: ". . . we must 
have a merchant marine adequate to our defense 
requirements. I subscribe to the princi])le that 
such support of our merchant fleet as is required 
for that purpose should be provided by direct 
means to the greatest possible extent." More re- 
centl)', the President requested the Department of 
Commerce to study the extent to which direct 
means can be utilized to nuiintain an adequate mer- 
chant marine. It is hoped that this study will 
provide long-range answers to a difficult, long- 
range j^roblem. Pending the completion of the 
Commerce Department's study, the Department 
of State believes that any action on S. :5"2;5;3 would 
be premature. 

I am not here to say that the United States can- 
not restrict the carriage of such cargoes to its own 
vessels. Of course it can. But that isn't the ques- 
tion. The question is whether or not it would be 
heli)ful or harmftd in the overall picture to U.S. 
trade and to our merchant marine. 

As I stated in my opening remarks, the Depart- 
ment of State fully supports a merchant marine 
adequate to our strategic and commercial needs. 
We would, however, be less than honest if we came 
before this Committee and failed to tell you of the 
dangerous repercussions which in our exj^erience 
and judgment are embodied in the cargo prefer- 
ence principle. The Department, therefore, in all 
con.science, cannot support the enactment of 
S. 3233. 

Mr. Chairman, formal representations in writ- 
ing have been made to the Department of State by 
nine foreign governments with reference to the 
proposed bill. I have with me copies of these 
notes which the Committee may wish to make a 
part of the record. 



TEXTS OF COMMUNICATIONS 
CONCERNING S. 3233 

Aide-Memoire From the British Embassy 

Reference is made to the Bills, S. 3233 and H. R. 8659, 
iiitrddiiced into Congress on March 31 to amend the Mer- 
chant Marine Act, 1!)36, to provide permanent lejiislation 
for the tran.sportation in United Slates lla;; vessels of 
WMtiT-liiirne carfjoes in which the United States Govern- 



' 15ri.i.KTi\ of Apr. 1!). 1054, p. 602. 



i\j\y 72, J954 



65 



ment either directly or indirectly are financially 
interested. 

2. The United States Secretary of State will be aware 
from the memorandum handed to the United States 
Secretary of the Treasury by the United Kingdom Chan- 
cellor of the Exchequer on April 24, 1953, of the im- 
portance attached by Her Majesty's Government to the 
principle of the freedom of shipping to compete in free 
and fair competition in international trade, and the seri- 
ous impact on the economy of the United Kingdom of any 
departure from that principle. Her Majesty's Govern- 
ment accordingly welcomed the recommendations on this 
subject in the report of the Randall Commission. The 
proposals in the Bills now before Congress appear to con- 
stitute a complete negation of the letter and spirit of these 
recommendations and Her Majesty's Government assume 
that they accordingly do not have the support of the 
United States Administration. 

3. On a point of detail it is noted that the first proviso 
in the Bills appear to contemplate, as a matter of prin- 
ciple, that carriage of cargoes of the types mentioned 
above should be reserved exclusively to United States flag 
vessels, and that relief from this over-riding principle is 
possible only after the holding of public hearings. Fur- 
ther, the second proviso amounts to regulation by legisla- 
tive means of the employment of third-country flag ships, 
irre.spective of the choice or desire of the consignee or 
consignor. On practical grounds alone the administra- 
tion of the provisions of these Bills would appear to 
create very serious difficulties and uncertainties. 

4. Apart from the general objections to the enforced 
distortion of normal shipping patterns, one of the most 
disquieting features of the Bills is the implication in the 
words ". . . shall furnish to or for the account of any 
foreign nation . . .". These words seem to imply that 
transactions of any kind, where the United States Govern- 
ment has any interest, however remote, or has in any way 
acted as an intermediary, could fall within the scope of 
the proposed legislation. Her Majesty's Government 
would view such an interpretation with the gravest con- 
cern, since it would result in the introduction of discrimi- 
natory shipping practices into transactions of any ordi- 
nary commercial nature. 

5. The United States Government will not have over- 
looked the probability that these proposals, if adopted, 
would undoubtedly encourage the introduction by other 
countries of similar discriminatory shipping measures to 
an extent far greater than those now existing. Already 
certain countries have cited the practices introduced by 
the United States Government in connection with mutual 
aid cargoes as a pretext for imposing discriminatory con- 
ditions in connection with their own national fleets. 
These practices on the part of other countries, whether 
retaliatory or not, affect adversely the United States mer- 
chant marine as well as the merchant fleets of other 
countries whose shipping is engaged in international 
trade. 

Bkitish Embassy 

Washington D. C, 
Srd Mail, 195/, 



Aide-Memoire From the Diplomatic Mission 
of the Federal Republic of Germany 

On March 1, 10.54, Senator Butler introduced a bill 
(S. .'52.'?3) in the Senate simultaneously with a similar bill 
(H. R. 8(r>0) of Representative Tollefson in the House of 
Representatives to amend the Merchant Marine Act 1936 
with the objective to i)rovide legislation for the transpor- 
tation of a substantial portion of waterborne cargoes in 
United States-flag vessels. 

In i)rinciple, these bills, if enacted, would require all 
aid cargoes to be carried in United States-flag ves.sels, 
subject only to waiver to .'lO percent for the flag of the 
recipient countries after public hearing by the Secretary 
of Commerce. If correctly understood, the provisions 



under review would cover cargoes originating within the 
United States and possessions and off-shore cargoes as 
well. 

It may be pointed out that no legislation of this or a 
similar nature exists in the Federal Republic of Germany 
in the field of marine transportation, and American ship- 
ping can unequivocally participate in trafSe offered for 
shipment in West-German ports. 

The intended legislation is also contrary to the recom- 
mendation of the Committee on Foreign Economic Policy 
(Randall Commission) in its report to the President, dated 
.January 23, 1954. The Commission recommended "that 
the statutory provisions requiring use of the United States 
vessels for shipments financed by loans or grants of the 
United States Government and its agencies be repealed." 

The measures provided in the bills, when set into force, 
will undoubtedly deliver an unfortunate example to other 
countries and encourage them to promote restrictions with 
the result that the free commercial intercourse would 
severely be hampered. 

In view of these consequences the Diplomatic Mission 
of the Federal Republic of Germany wishes to bring to 
the attention of the United States Government its deep 
concern in regard to the bills proposed. 

Washington, D. C, 
May 3, 1954 



Aide-Memoire From the Danish Embassy 

On the 31st of March two identical bills, S. 3233 and 
H. R. 8659 to amend the Merchant Marine Act of 1936, 
were introduced into Congress. 

The tenor of the said bills seems to be that any cargo 
resulting from a transaction in which the United States 
Government has had any part what.soever shall be trans- 
ported exclusively on privately owned United States flag 
commercial vessels, unless the Secretary of Commerce after 
public hearing finds and certifies to the proper Govern- 
ment agency that foreign commerce of the United States 
will be promoted by permitting the use of foreign vessels 
or that privately owned United States flag commercial 
vessels are not available in sufiicient numbers or tonnage 
capacity or at reasonable rates. In any case 50 percent of 
such cargoes shall be transported on privately owned 
United States flag vessels to the extent that such vessels 
are available at fair and reasonable rates. Furthermore 
it seems to be contemplated in principle to exclude the 
use of ships registered under the flag of a third country 
(whether or not this is in accordance with the desire of 
the consigner and consignee) . 

It is well known that the Danish Government considers 
anil preferential treatment accorded national flag vessels 
as a dangerous infringement of the traditional freedom of 
shipping and trade. Any violation of this principle ad- 
versely affects the economy of Denmark, since a consid- 
erable part of Danish income of dollars and other foreign 
exchange is earned by Danish ships partioiiiating in in- 
ternational ocean transportation under time-charter and 
otherwise. 

The Danish Government noted with groat interest that 
the "Rnndall-Commission" three months aco in its recom- 
mendations on shipping endorsed the principle of freedom 
of shipping in proposing that provisions requiring the 
use of United States flag vessels for shipments financed 
by loans or grants of the United States Government be 
repealed. The President's message to Congress on foreign 
economic policy indicates a similar point of view as the 
policy of the Administration. 

It is the opinion of the Danish Government that the 
so called ".TO i)<>rcent rule" applied by the United States 
has already set a dangerous prece<lent which has done 
much to encourage similar practices in other countries. 
A chain reaction set in motion by such policies would 
eventually, by seriously hampering international ship- 
ping, cause material difliculties also to United States 



66 



Department of Sfofe Bulletin 



sliippiiiK iiiiil other interests. ShoiiUl the proposed leKls- 
hition, S. :V2'Xi and H. K. Mir>!>, ho adopted hy Congress, 
the daniMU'iiii; etTecIs to all parties concerned hrousiht 
ahont by such chain reaction will be seriously Increased. 
For that reason llie said two bills have caused ^rave 
concern to the Danish (.government as already stated at the 
last nieetinj; of the Workinj; Group of the Sea Transport 
("oniniittee in Paris. It is ho]H>d that the ol>jecti(Uis of 
the Danish (Joverninent resiardinjr S. 3233 and H. It. Mi."!* 
will be j;iven serious consideration. 

N\'.VSHIN(1T0X D. C. 

May .',, lii'ii 



llie Ornaiilzaliou of European Kconoinic Cixiperatioii wilh 
tlie eiicourauenient of llw United Slates (ioverunient, and 
lield to be essential to the prosperity and well-beinR of 
Ibc free world. It would be regrettable, indeed, if the 
Inilcd Stales should take steps which would endanger 
llie inipleinentatioM of these futidaniental i>rinciples. 

It is, therefore, bojied that the I'liitcd States Covern- 
nient will earnestly consider the .Norwegian Covernnicnt's 
stroMC objccli(pns and di'cp cniiccrn relative to the pro- 
posed legislation. 

\V.\SHINC.TON, D. C, 

Mail .'/, lur,/, 



Aide-Memoire From the Norwegian Embassy 

On March 31st. l!>."i I, two liills were introduced into the 
CouKress of the Tnited States, one by Senator Butler and 
one l)y Representative Tollefson, witli the purpose of 
making i)ermanent, tliroui.ii amendment of the Merchant 
-Marine Act of 193G, certain principles for U.S. tlas; par- 
ticipation in the ocean transportation of Government 
Unanced carsoes. 

The two bills, S. 3L'33 and II. R. SOr.il, provide in effect 
that 100% of cargoes procured, contracted for, or other- 
wise obtained for the account of the United States, or 
funiislied to, or for the account of any foreijrn nation, 
must be carried in U.S. flag ships, and that relief from 
this requirement is only obtainable if the Secretary of 
Commerce, after public hearings, iiuds and certifies that 
U.S. flag sliijis are not available in sufficient numliers or 
in sufflcient tonnage capacity etc. In any event at least 
50% of such cargoes must be transported on privately 
owned American ships. It seems likely, however, that 
the provision for public hearing will, in practice, pre- 
clude the participation of other flag ships, even to the 
e.Ntent of 50%, in such shipments. 

The bills further provide to restrict the use of ships 
registered under the flag of a third country, regardless 
of the desire of the Consignor or the Consignee. 

The Norwegian Government is of the opinion that re- 
strictions in the form of cargo preference measures of 
any kind are detrimental to international trade and com- 
merce. The bills now before Congress represent a most 
disturbing step in the direction of hampering the free 
interchange of shipping services which must be inter- 
national, not bilateral, in character. Barriers set to the 
free movement of shipping will also tend to increase the 
cost of ocean transportation. 

Sln)uld the bills become law, they would have the most 
serious consequences fin- the Norwegian economy, because 
of the peculiar structure of the Norwegian shipping in- 
dustry. The Norwegian merchant marine has tradi- 
tionally been engaged to the extent of more than 8.5% 
in trading between foreign countries. 

The recurrent appearance of more and more restrictive 
legislation in the shipping field is considered by the Nor- 
wegian Government to embody a very dangerous tendency, 
not only by its direct effect on the operational conditions 
of international shijiping, but also because of the precedent 
it establishes and because it encourages similar measures 
by other countries. Such legislation, wherever it origi- 
nates, can only lead to detrimental consequences for world 
shipping and world seaborn trade and further generate 
retaliation. This might also affect adversely the Ameri- 
can merchant marine. 

The Norwegian Government has noted with interest 
the recent recommendations by the Commission on Foreign 
Kconomic Policy to the President and the Congress to 
the effect that restrictive measures upon shipping should 
be loosened rather than tightened. This principle is also 
subscribed to in the President's program for a foreign 
economic policy. 

The Norwepnan Government considers the proposed 
legislation as cimtrary to the principles of liberalization 
and n(m-discrimiiiation in international trade and ship- 
ping which have been adopted by member countries of 



Memorandum From the Swedish Embassy 

Two identical bills to aniend the .Merchaiil Marine Act, 
103t), to provide pcrmancnl legislation for the transporta- 
tion of a substantial portion of waterhorne cargoes in 
the United Slales-lhig vessel — S 3233 and HR 8ti.')9 — 
were introduced into Congress on the 31st of March 19r)4. 
The bills reimrtedly contain a proposal to extend the so- 
called "")() percent rule" and to enact the new regulation 
as an amendment of permanent character. 

The Swedish Government, which consider the "50 per- 
cent rule" now in practice detrimental to the cau.se of the 
international freedom of shipping, has noted this new 
legislative proposal — which does not seem to agree with 
the recommendations on shipping by the Randall Comniis- 
siiin — with great concern. If adopted by Congress, the 
bills would damage not only Swedish shipping directly 
but would furthermore set a dangerous precedent for 
similar protectionist legislation in other countries ; Amer- 
ican legislation of this kind could thus be expected to be 
invoked hy countries wishing to adopt discriminating 
shiiipiug policies. Such an international development 
would evidently cause damaging effects to all parties 
concerned by seriously hampering international shipping, 
which probably would tend to increase shipping costs and 
have other undesirable effects as well. 

It is the hope of the Swedish Government that these 
objections to the proposed legislation will be seriously 
considered hy the United States Government. 

Washington, D. C, 
May .',, 1951, 



Aide-Memoire From the Netherlands Embassy 

With reference to the Bills, S. 32.S3 and H. R. 8(359. 
recently introduced into Congress to amend the Merchant 
Marine" Act, 1936, to provide permanent legislation for 
the transportation in United States' flag vessels of water- 
borne cargoes in which the United States Government 
are financially interested either directly or indirectly, the 
attention of the Secretary of State may be drawn to the 
views of the Netherlands Government as expressed here- 
under. 

The principle of the freedom of shipping to compete in 
free and fair comi)etition in international trade has con- 
stantly been maintained as one of the main features of 
the economic policy of the Netherlands Government. This 
freedom of shipping is deemed a sina qu.i non for the de- 
ployment of the activities of the Merchant Marine of the 
Netherlands and the efficiency and economic soundness 
of shipping in general. 

The recommendations on this subject in the report of 
the Commission on Foreign Kconomic Policy were there- 
fore warmly welcomed by the Netherlands Government as 
a token of growing understanding in this field and it was 
sincerely hoped that legislation in accordance with these 
recommendations would be initiated. 

It is noted however with disappointment and concern 
that the provisions of the bills now before Congress are 
contrary to the recommendations of the Commission on 
Foreign Economic Policy and tend to interfere with the 



Ju/y ?2, 1954 



67 



principle to ■which the Netherlands Government attach 
such great importance. 

This concern is the more sincere since it is to be feared 
that an example, set by the world's most important marl- 
time nation, will be used all too eagerly by certain other 
nations as a pretext for introducing discriminatory prac- 
tices for the benefit of their national Merchant Marine. 

Apart from the fact that such measures by other coun- 
tries will constitute a certain menace to United States 
Merchant Shipping, their effect on those countries, which 
depend to a large extent on shipping activities will com- 
paratively be much more severe. 

It would seem moreover from the wording of the hills 
referred to above that the proposed legislation could be 
applied to transactions of any kind where the United 
States Government have any interest however remote. 
If this interpretation should be correct it is to be feared 
that normal commercial transactions will be greatly 
affected and discriminatory shipping practices will be 
introduced in this field as well. 

It is for these reasons that the Netherlands Government 
regret to impart to the Secretary of State their grave 
concern about the consequences of the bills now before 
Congress once they have become law. 

Netherlands Embassy 
Washington, D. C. 
May 6, 1954. 



Memorandum From the Italian Embassy 

a ) There are presently pending in Congress two identi- 
cal bills, S-3233 and H. R. 86.".!>. which aim to the enact- 
ment on a permanent basis of legislations for the trans- 
portation of a substantial portion of waterborne cargoes 
on U.S. flag vessels. 

b) These bills contain many restrictive features which 
would appear to be at variance with the foreign trade 
policies of the Administration, as embodied also in the 
recommendations of the Randall Commission and, pos- 
sibl.v. in violation of non discriminatory provisions in- 
cluded in the Trade and Navigation Treaties stipulated 
between the United States and other nations, lilse Italy. 

c) The adoption of these bills would broaden and in- 
tensify the scope of cargo preference provisions contained 
in a number of U.S. foreign aid laws, as they would 
probably affect the transportation also of materials off- 
shore procured, surplus of agricultural commodities, 
stockpile materials and even goods procured through the 
guarantee of the convertibility of foreign currencies. 

d) Moreover, among the restrictive features are require- 
ments which might easily create a situation according to 
which the so-called 50-50 principle might become a 100% 
principle. 

e) The Italian Government has always viewed with 
great concern the application of a clause which might 
encourage in the maritime countries tendencies and prac- 
tises of flag discrimination. Italy is a country which is 
highly dependent on sea-borne trade and as such it has 
histcjrically been building up a maritime trade and a mer- 
chant marine which assure important returns in its 
balance of payments. Any hardening of the present re- 
strictive practises, which are already dangerous enough 
as an encouragement to flag discrimination, would nial<e 
this danger world-wide more acute and would therefore 
be viewed with the utmost concern by the Italian 
Government. 

f) Moreover, the aggravation of the present practises 
would decrease the dollar returns wliich miglit otherwise 
be earned l)y the Italian merchant marine and increase 
therefore the dilliculties tlial Italy still faces with regard 
to the dollar deficit of its balance of payments. 



Washington, D. C, 
May 7, 19S/,. 



Aide-Memoire From the Finnish Legation 

It has been brought to the knowledge of the Legation 
of Finland that a bill has been recently introduced in the 
Senate of the United States by Senator Butler of Mary- 
land with the purpose to provide permanent legislation 
for the transportation of a substantial portion of Govern- 
ment-financed cargoes in United States-flag vessels by 
amending the Merchant Marine Act of 1936. A similar 
legislative action has been taken in the House of Repre- 
sentatives. 

The above Senate Bill, S3233, provides in fact that 
whenever the United States shall procure contract for, or 
otherwise obtain for its own account, or shall furnish to 
or for the account of any foreign nation, any equipment, 
materials, or commodities, such equipment, materials, or 
commodities shall be transported exclusively on privately- 
owned United States-flag vessels. The bill stipulates that 
an exception of this rule can be made only in case the 
Secretary of Commerce after public hearings finds and 
certifles that the foreign commerce of the United States 
will be promoted, or that United States-flag vessels are 
not available in sufiicient numbers or in sufficient tonnage 
capacity, etc. But, also in this case at least 50 percent 
of such cargoes shall be transported on privately owned 
United States ves.sels to the extent such vessels are avail- 
able at fair and reasonable rates. The above provision 
for public hearing will, however, most likely prevent any 
participation of foreign vessels in these transportations. 

In respect of the participation of ships registered under 
the flag of a third country the bill restricts their use to 
cases where the consignor and the consignee do not have 
ships of their own registry available for the purpose. 

It is the opinion of the Finnish Government that these 
bills now introduced in the United States Congress con- 
stitute a dangerous attempt to impose new restrictions on 
the free interchange of shipping services in the inter- 
national trade. Barriers of this kind will evidently not 
only increase the costs of ocean transportation, but also 
lead to similar discriminatory measures taken by other 
nations in order to protect the interest of their shipping 
industries. The principle of liberalization of the inter- 
national trade recommended by the Commission of Foreign 
Economics Policy and supported by the Government of the 
United States will certainly not he furthered by the pro- 
posed legislation which on the contrary tends to violate 
the principles of liberalization and non-discrimination 
which are fundamental for a more free international 
trade. 

In view of the above it is sincerely hoped that the 
Government of the United States would take appropriate 
notice of the serious concern of the Government of Fin- 
land in respect of the proposed legislation. 

Washington, D. C, 
May 12, 195],. 



Note Verbale From the Spanish Embassy 

[Tran.slation] 

Th(> Embassy of Spain presents its compliments to the 
Department of State and has the honor to state that 
bills II. R. si).">!) and S. 32:13, identically worded, presented 
on March 31. 1!C>4 to the House of Representatives and 
the Senate respectively, for the jiurpose of amending the 
Merchant Marine Uaw of li).3(i. have been viewed with 
some alarm in Spanish circles interested in the matter. 

The reason foi- tliis ciincorn is that, if approved, the 
above-mentioned bills will mean an increase in the use 
of American freighti'rs, since they would be assigned goods 
purchased in other countries, agricultural surpluses, and 
liroducis for tlie purchase of which any system of United 
States Treasury assistance is used, including the simple 
guarantee of convertibility. 

This ICnibassy is aware of the reasons that have led 
to the presentation of these bills, but at the same time 
it deems it advisable to state that if these liills become 



68 



Deparfmenf ot Stale Bulletin 



linv the punhiisiii'^ ixpwi-r of Spain in Uiis iiinrkct will 
lie iippn'ilahl.v n'strictcil, tieoausi' of llic ooiisfqiii'iit ex- 
pt'ctt'tl r»'«liicti<ni ill dollars for payiiii'iit for services that 
can he reiulereil by Spanish ships. 

The Kiiiliassy ol Spain avails ilself of the opportunity 
lo renew to the Department of State the assurunees of Its 
hislipst consideration. 

Washington, D. C, 
June H, I'Joi. 



Status of Former German 
and Japanese Property 

Statement by Secretary DuUcs ' 

I am happy to have an opportunity to discuss 
witli the Committee tlie question of the status of 
former German and .Japanese jiroperty raised by 
S. 3423. I think it is appropriate tliat the Con- 
gress sliould review legislative policy in this field. 
The seizure and disposition of enemy property 
was made durino; and immediately after the war. 
when feelings were influenced by the events of 
that period. I think it is useful to have a fresh 
look at what is being done in the light of chang- 
ing world circumstances and experience in admin- 
istering the legislation. 

The Department has submitted a letter to the 
Committee commenting on questions of general 
principle raised by the bill. I do not wish to go 
into the matter indetail, but 1 wotild like to com- 
ment on a few of the aspects of the question. 

The policy adopted after World War II of 
completely eliminating ownei-ship of enemy pri- 
vate property was a departure from historic 
American policy after other wars. I myself have 
had some experience in this field, since I worked 
on these problems in connection with the Treaty 
of Versailles. I would, frankly, like to see a re- 
turn to our historic position to the extent that may 
be possible, although I apju-eciate that to do so 
involves considerable difficulties after so long a 
period of years. 

As I have stated in my letter to the Committee, 
there is no objection from a foreign policy view- 
point to the return as a matter of grace of vested 
German property or of Japanese property. In 
point of fact, any action of this character would 
be welcomed, both by the Governments of the Fed- 
eral Republic of Germany and of Japan, as an in- 
dication of a return to more normal relations, and 
of course by the owners of the property. I per- 
sonally feel sympathy for the burdens ])laceci on 
large numbers of people who had small jiroperty 
holdings in this country representing interests in 
estates and trusts, from small investments or pen- 
sions, life insurance policies, etc. When I last saw 



' Made before a subcommittee of the Senate Judiciary 
Committee concerning S. 3423, To Amend the Trading 
with the Enemy Act, on July 2 (press release 361). 

Jo// 12, 7954 



Ciiaiuellor Adenauerj after the Berlin Conference, 

he particularly mentioiu'il this subject to me and 
pointed out tlic liardsliip whicli our vesting had 
caused in these cases. 

One aspect of the problem to be considered is 
the status of war claims still outstanding, princi- 
pally in the form of claims of American citizens 
against (iermany for war damage to projierty. 

lU'cause of the great dislocation of I lie (icriiian 
economy as a resuU of the war, tlie Allied couiilries 
decided to look to the (ierman assets in their ter- 
ritories as a principal source for the payment of 
their claims against (iermany. If this a])proach 
is to be reversed, the question of unsatisfied claims 
against (iermany would call for consideration. 

The situation with respect to Japan is somewhat 
different, in that we have a peace treaty with 
Japan, in which there has been jirovision for the 
])ayment of certain claims against Japan and a 
deiinitive waiver of the balance. 

Tliis is a complicated problem which involves 
many policy aspects. A good deal of money has 
already been disbursed and appropriations would 
be required. Some of these are matters which go 
beyond the province of the State Department. In- 
sofar as the problem involves matters of foreign 
policy, I would have no hesitation in recommend- 
ing adoption of legislation along the general lines 
of this bill. 



ANNEX 

Letter From Secretary Dulles to 
Senator Everett M. Dirksen 

July 1, 1954 
Dkar Senator Dirksen : I refer to your letter 
of May 10, 1954 requesting my comments on S. 
3423, a bill to amend the Trading with the Enemy 
Act. This bill would in substance provide for 
the return, as a matter of grace, of assets vested 
from nationals of enemy countries, or the liqui- 
dated proceeds thereof. The benefits of the Act 
would not apply to persons convicted of war 
crimes nor to persons resident in the Soviet zones 
of occupation of Germany and Austria, or in 
Albania, Bulgaria, China, Czechoslovakia, Hun- 
gary, Poland, Rumania or the Soviet Union. 

Pursuant to the Trading with the Enemy Act, 
as amended, the assets of the governments and 
nationals of Germany and Japan, and certain as- 
sets of the government and nationals of Italy were 
vested in the United States. Assets of tlie gov- 
ernments and nationals of Rumania. Hungary and 
Bulgaria, with which the United States was also 
at war, were in general not vested but were placed 
under control. Return of vested Italian assets 
was authorized by the Congress at the time that 
an agreement was executed between the United 
States and Italy (dated August 14, 1947), which 

69 



provided for the settlement of various problems 
arising out of the war, including claims against 
Italy of American nationals. Claims of Ameri- 
can nationals against Rumania, Bulgaria and 
Hungary, arising out of the war or out of nation- 
alization of property have not been settled. Rec- 
ommendations regarding these claims and the 
assets of those countries in the United States are 
being sent to the Congress separately by the 
Bureau of the Budget. 

In view of the above, I will confine my com- 
ments in this letter to the vested German and 
Japanese assets. Although nearly all assets in 
the United States of the governments and nation- 
als of these countries have been vested, only part 
of them have been liquidated. Exact values are 
difficult to estimate, but the Department under- 
stands that approximately $60 million of property 
have been vested as being of Japanese ownership 
and $450 million as being of German ownership. 
The finding of enemy ownership has been con- 
tested in the case of important properties of sub- 
stantial value, and the total amount of money 
which may ultimately be realized from the vesting 
program is uncertain. However, $225 million of 
enemy assets have been liquidated and authorized 
for payment or paid into the War Claims fund 
pursuant to existing legislation. 

Under the "War Claims Act of 1948, Congress 
has provided for the payment of certain types of 
claims arising out of the war, principally those 
for personal injury of prisoners of war and civilian 
internees. Other war claims have been studied 
by the War Claims Commission and are dealt with 
in the two reports of the Commission of May 3, 
1950 and January 16, 1953, which have been sub- 
mitted to the Congress. The claims which have 
thus far been authorized to be paid have been 
predominantly against Japan, although as is ob- 
vious from the relative magnitude of the assets 
vested from Japan and Germany, the source of 
funds has been predominantly German in origin. 
In fact, the total claims which are estimated to 
be payable under the War Claims Act of 1948 
against Japan ($130 million) greatly exceed the 
total value of vested Japanese assets. It follows 
that German assets have been used to an important 
extent for the payment of claims against Japan 
and that any further claims to be paid from the 
War Claims fund would be almost exclusively 
from this source. 

In addition to the bill to which I have referred, 
a number of otlier bills have been introdiiccd in 
the Congress, some of which would provide for 
tlie return of particular categories of German and 
Japanese assets, while others would provide for 
the payment of particular categories of claims 
from the War Claims fund. These bills therefore 
all represent alternative uses of tiie funds remain- 
ing in the possession of the Government as a result 
of the vesting of German and Japanese assets. 
The Department believes tliat it would be api)ro- 



priate for the Congress to review the (juestion 
of the disposition of these assets as a whole and 
to lay down a fjeneral policy with I'espect to the 
disposition of these assets. In this connection, it 
desires to submit the following general comments. 

There are no foreign policy objections to the 
return of former enemy assets, or the proceeds 
of their liquidation, as proposed in S. 3423. Any 
return which the Congress may see fit to make 
of assets vested from private individuals and cor- 
porations would be consistent with the respect 
which the United States has traditionally accorded 
to private property as a general policy and with 
the practice which has been followed after other 
wars. The return of such assets would of course 
be welcomed by the countries concerned. How- 
ever, it appears from the terms of S. 3423 .\nd from 
the fact that a significant amount of assets has 
already been liquidated and disposed of that ap- 
propriations would be required to implement the 
policy proposed in the bill. The amount of appro- 
priations required either from a complete return 
of German and Japanese assets or for any meas- 
ure of partial return has not been estimated. In 
the circumstances, the Department does not feel 
that it is in a position to endorse any specific pro- 
posal for return at this time. 

In adopting a policy on this subject, the Con- 
gress should take into account the fact that there 
are unsatisfied claims of American nationals 
against Germany and Japan. The nature of these 
claims is indicated in the reports of the War 
Claims Commission. In this connection, the De- 
partment wishes to go on record as being firmly 
opposed to any further use of former German 
assets for the purpose of satisfying claims against 
countries other than Germany. 

If the Congress should see fit to provide for a 
partial rather than full return of vested properties 
or their proceeds, the Department believes that 
preference should be given to small property hold- 
ings, which would particularly benefit individuals 
who had life insurance policies, pensions, interests 
in estates, social security benefits, bank accounts 
and real property holdings and would spread the 
benefits of a return widely among the former 
owners of the assets. 

Regardless of what policy is followed with re- 
spect to vested assets in general, the Department 
believes that tlie return of vested trademarks and 
copyrights is particularly desirable. At the re- 
quest of the Department, the Office of Alien Prop- 
erty on December 19, 1952 released from blocking 
German and Japanese trademarks which had not 

ijreviously been vested. However, it continues to 
lold about 400 vested trademarks and 500,000 
vested copyriglits whicli cannot be released with- 
out new enabling legislation. Particularly in the 
case of Germany, tiu^ trademarks are important 
to export trade with the United States, and return 
of copyrights would eliminate a point of friction 
in our cultural relations. 



70 



Department of Sfafe Bulletin 



With respect to iroveniniental property, which 
is exchided from the scope of the bill, it may be 
noted that American practice ^irior to World 
War II has been to respect property of a diplo- 
mat ic character. The Treaty of Peace with Japan 
specitically excepts dijdomatic and consular prop- 
erty from the riirht of seizvii'e of Japanese assets 
granted to the Allied powers. In this connection, 
the Department is aware of the fact that a bill, 
S. ir>73. has recently been passed by the Senate 
which woidd provide for the payment of $:M10,000 
to the Federal Repnblic of Germany for the con- 
struction of a new Embassy in Washiu^'ton in lieu 
of the former German Embassy which has been 
vested and .'^old. It should also be noted that in 
the case of Italy previous le<rislation ])rovidinor for 
the return of Italian assets did not exclude govern- 
mental property from the return. (It may in 
fact, be necessary to reconcile the provisions of 
this bill with such jirevious legislation.) 

In the event that Congress should see fit to pro- 
vide for return of (ierman and Japanese assets, it 
may be appropriate to work out some of the tenns 
and conditions with the governments of the Fed- 
eral Republic and of Japan. Negotiations would 
also probably be recjuiied with other governments 
■with which the United States has concluded agree- 
ments for the resolution of iiiter-custodial con- 
flicts. There are various other practical and 
technical problems involved in a policy of I'eturn, 
a number of which are raised by the bill under 
reference. The Department believes that these 
aspects of the question can be best considered once 
a general policy is determined and would be 
pleased to submit its comments on them at a later 
date. 

I am sending a similar letter to Senator Langer, 
Chairman of the Committee on the Judiciary, who 
has also requested my comments. 

I have been informed by the Bureau of the 
Budget that there is no objection to the submission 
of this report. 

Sincerely yours, 

John Foster DuUiES 



Current|Legislation on Foreign Policy: 
83dJCongress, 2d Session 

Departments of State, Ju.stice, and Commerce and United 
States Information Agency Appropriations, 1955. 
Hearings before the Subcommittee of the Senate 
Committee on Appropriations on H. R. 8067, Maldng 
Appropriations for the Departments of State. Justice, 
and Commerce and the United States Information 
Agency for the Fiscal Tear Ending .lune .'^0, 1955. 
Part 1. March 22-April 22. 1954, pp. 1-1137. 

The Mutual Security Act of 1954. Hearings before the 
House Committee on Foreign Affairs. April 5-June 
8, 1954, 1200 pp. 

Universal Copyright Convention and Implementing 
Legislation. Hearings before a Subcommittee of the 



Senate Committee on Foreign Relatlonn and a Sub- 
committee of the Senate Committee on the .Indiciiiry 
on Executive M, S.'i(l Congress, 1st Session, tlie Uni- 
versal Copyright Convention and S. L'55'.l, a Hill To 
.Vnieiiil Title 17. riiite<l Stales Code, Entitled "Copy- 
rights." April 7 and s, l',)54, 208 pp. 

Departments of State. .Instice, and Commerce an<l the 
United States Iiifdrinatlon .Xgeiicy Appropriations, 
1955. Hearings before the SulKiunniittee of the 
Senate Coiiimittce on Apprni)riatioiis on H. H. S0f!7. 
Part 2, April 2(;-May 18, 1954. pp. ll:!9-22i;:!. 

Report on .\tidit of Export-Import liank of Washington 
for the Fiscal Year P'.nded .lune :!0. ^U',^^, transmitted 
l)y the .Vcting Coiuptroller Ceneral of the United 
States. H. Doc. ;'.72, April 2f;. 1954. 20 Jip. 

Cargo Preference I5I11 (.50-.50 Cargo). Hearings before 
a Subcommittee of the Senate Committee on Interstate 
and Foreign Commerce on S. ;!2:i:!, A Hill To Amend 
the Merchant Marine Act, ]93(), To Provide Permanent 
Legislation for the Transportation of a Substantial 
Portion of WaterlMirne Cargoes In United States- 
flag vessels. May .5-24, 19.54, 14S pp. 

Universal Copyright Convention. Report of the Com- 
mittee on Foreign Relations on Executive M, 8."?d Con- 
gress, 1st session. S. Exec. Rept. 5, ,Iune 11, 1954, 
27 pp. 

Trade Agreements Extension. Report to accompany H. R. 
9474. S. Rept. 1(105. June Iti, 1954, 4 pp. 

Restoring VA Benefit Rights to Certain Residents of 
Japan and Germany. Report to accompany S. 31.5:5. 
S. Rept. 1601, June 16, 5 pp. 

I'roviding Relief for the Sheep-raising Industry by Mak- 
ing Special Nonquota Immigration Visas Available 
to Certain Skilled Alien Sheepherders. Report to 
accompany S. 2862. S. Rept. ICOO, June 16, 1954, 
4 pp. 

Customs Treatment of Wood Dowels. Report to accom- 
pany H. R. 2763. S. Rept. 1602, June 16, 19.54, 2 pp. 

Amending Paragraph 1.530 (e) of the Tariff Act of 1930. 
Report to accompany H. R. 6465. S. Rept. 1606, June 

16, 1954, 3 pp. 

Copper Import-tax Suspension. Report to accompany 
H. R. 7709. S. Rept. 160S, June 16, 1954, 2 pp. 

Extension on a Reciprocal Basis of the Period of the 
Free Entry of Philippine Articles in the United States. 
Report to "accompany H.R. 9315. H. Rept. 1887, June 

17, 1954, 3 pp. 

Convention with Belgium Relating to Taxes on Estates 
and Successions. Message from the President Trans- 
mitting a Convention between the United States of 
America and Belgium for the Avoidance of Double 
Taxation and the prevention of Fiscal Evasion with 
Respect to Taxes on Estates and Successions. Signed 
at Washington on May 27, 1954. S. Exec. G, June 22. 
1954, 10 pp. 

Supplementary Protocol with the United Kingdom Relat- 
ing to Taxes on Income. Message from the President 
Transmitting the Supplementary Protocol between 
the United States of America and the United King- 
dom of Great Britain and Northern Ireland. Signed 
at Wa.shington on May 25, 1954, Amending the Con- 
vention for the Avoidance of Double Taxation and 
the Prevention of Fiscal Evasion with Respect to 
Taxes on Income. Signed at Washington on April 
26, 1945, as Modified by the Supplementary Protocol 
Signed at Washington on June 6, 1946. S. Exec. H, 
June 22, 1954, 5 pp. 

Mutual Security Program. Message from the President 
Transmitting Recommendations Relating to the 
.Mutual Security Program. H. Doc. 449, June 23, 
19.54, 4 pp. 

Study of Technical Assistance Programs. Report to ac- 
company S. Res. 214. S. Rept. 1628, June 23, 1954, 
2 pp. 

Permitting Free Entry of Articles Imported from For- 
eign Countries for the Purpose of Exhibitiou at the 



July 12, 1954 



71 



First International Instrument Congress and Exposi- 
tion, Phlhulelphla, Ta. Report to accompany H, J. 
Res. 256. H. Rept. 1920, .lune 24, 1954, 2 pp. ' 

Permitting Free Entry of Articles Imported from Foreign 
Countries for the Purpose of Exhibition at the Wasli- 
ington State Fourth International Trade Fair, Seattle, 
Wash. Report to accompany H. J. Res. 53. H. Rept. 
1921, June 24, 2 pp. 

Permitting Free Entr.y of Articles Imported from Foreign 
Countries for the Purpose of Exhibition at the Inter- 
national Trade-sample Fair, Dallas, Tex. Report to 
accompany H. J. Res. 545. H. Rept. 1922, June 24, 
1954, 1 p. 

Mutual Security Act of 1954. Report of the Committee 
on Foreign Affairs on H. R. 9678. a Bill To Promote 
the Security and Foreign Policy of the United States 
by Furnishing Assistance to Friendly Nations, and 
for Other Purposes. H. Rept. 1925, Part 1, June 25, 
1954. 113 pp. 

Mutual Security Act of 19.54. Minority views to accom- 
pany H. R. 9678. H. Rept. 1925, Part 3, June 25, 19.54, 
9 pp. 

Mutual Security Act of 1954. Report of the Committee on 
Foreign Affairs on H. R. 9678. H. Rept. 1925, Part 2, 
June 25. 1954. 100 pp. 

Expressing the Sense of Congress on Interference in 
Western Hemisphere Affairs by the Soviet Communi- 
ties. Report to accompany S. Con. Res. 91. S. Rept. 
1033, June 25. 1954, 2 pp. " 

Amending Certain Provisions of Part II of the Interstate 
Commerce Act To Provide for the Regulation for 
Purposes of Safety and Protection of the Public, of 
Certain Foreign Motor Carriers Operating in the 
United States. Report to accompany H. R. 7468 
S. Rept. 1650, June 28, 1954, 3 pp. 

Authorization for Sale of Passenger-Cargo Vessels. Re- 
port to accompany S. J. Res. 161. S. Rept. 1645, June 
2S, 1954, 5 pp. 

Agricultural Trade Development and Assistance Act of 
1954. Conference report to accompany S. 2475. H. 
Rept. 1947, June 29, 19.54, 10 pp. 

Authorizing the President of the United States of America 
To Proclaim the First Sunday of Each Month for a 
Period of 12 Months for Prayer for People Enslaved 
Behind the Iron Curtain. Report to accompany S. J 
Res. 169. S. Rept. 1659, June 29, 1954, 1 p. 

Naturalization of Former Citizens of the United States 
Who Have Lost United States Citizenship by Voting 
in a Political Election or Plebiscite Held in Occupied 
Japan. Report to accompany S. 1303. H. Rept. 1948, 
June 29. 19.54, 5 pp. 

Amending the Foreign Agents Registration Act of 1938, 
As Amended. Report to accompany S. 37. S. Rept. 
1694, June 29, 19.54, 7 pp. 

Departments of State, Justice, and Commerce, and the 
United States Information Agency Appropriation 
Bill, 1955. Conference report to accompany H R 
8067. H. Rept. 2000, June 29, 19.54, S pp. 



TREATY INFORMATION 



Current Actions 



MULTILATERAL 
Copyrights 

Universal copyright convention and three related pro- 
tocols." Done at Genera September 6, 19.52. 
Senate advice and consent to ratification: June 25, 1954. 

' Not In force. 



72 



International Court of Justice 

Statute of the International Court of Justice (part of the 
United Nations Charter signed at San Francisco June 
26, 1945). 59 Stat. 1055; TS 993. 

Renewal deposited (of declaration under article 36 rec- 
ognizing compulsory jurisdiction) : Honduras, May 
24, 1954. 

Postal Matters 

Universal postal convention, with final protocol, annex, 
regulations of execution ; and provisions regarding air- 
mail and final protocol thereto. TIAS 2800. Signed at 
Brussels July 11, 1952. Entered into force July 1, 1953. 
Ratification deiwsited: Ireland, May 26, 1954. 

Telecommunications 

International telecommunication convention and six an- 
nexes. Signed at Buenos Aires December 22, 1952. 
Entered into force January 1, 19.54.'' 
Ratification deposited: Cuba, May 19, 1954. 

War 

Geneva convention relative to treatment of prisoners of 

war; 
Geneva convention for amelioration of the condition of 

the wounded and sick in armed forces in the field ; 
Geneva convention for amelioration of the condition of 

wounded, sick and shipwrecked members of armed 

forces at sea ; 
Geneva convention relative to protection of civilian per- 
sons in time of war. 

Dated at Geneva August 12, 1949. Entered into force 
October 21, 1950.' 

Ratification deposited: Rumania, June 1, 1954. 



BILATERAL 
Greece 

Treaty of friendship, commerce and navigation. Signed 
at Athens, August 3, 1951. 
Ratified with reservation: United States, June 24, 1954. 

Ireland 

Agreement governing the disposition of the balance in the 
counterpart special account. Signed at Dublin June 17, 
1954. Enters into force upon exchange of ratifications. 
The agreement is subject to ai)proval for the United 
States by an act or joint resolution of Congress. 

Panama 

Agreement for a cooperative program of economic de- 
veloiiment, pursuant to general agreement for technical 
cooperation dated December 3o, 1950 (TIAS 2167). 
Signed at Panama May 11, 1954. Entered into force 
May 11, 1954. 

Peru 

Agreement providing .special technical services between 
the United States and Peru, pursuant to the general 
agreement for technical cooperation of January 25, 
1951 (TIAS 2772), as amended. Signed at Lima April 
13, 19,54. Entered Into force May 21, 1954. 

United Kingdom 

Agreement concerning a special program of facilities as- 
sistance pursuant to the mutual defense assistance 
agreement of January 27, 1950 (TI.\S 2017). Effected 
by exchange of notes at London June 8 and 15, 1954. 
Entered into force June 15, 1954. 



' Not in force for the United States. 

Departmenf of Sfofe Bulletin 



THE DEPARTMENT 



PUBLICATIONS 



Confirmations 

The Senate on June 18 confirmed the nomination of 
Isaac W. Carpenter, Jr., to be Assistant Secretarj- of 
State. 

The Senate on June 28 confirmed Cliarles E. Saltzman 
to he Under Secretary of State for Administration. 



FOREIGN SERVICE 



Assignment of Director General 

Department Circular 108 dated June 30 

The Director General of the Forelfin Service is as- 
signed, effective immediately, to the Office of the Under 
Secretary for Administration. In a staff capacity, he 
will advise and assist in the formulation and imple- 
mentation of policies governing the administration of 
the Foreign Service. 

John Fosteb Dulles 



Retirement 

Burton Yost Berry, Ambassador to Iraq, effective June 
30 (press release 354 dated June 29). 



Appointment 

Joseph B. Phillips, Deputy Assistant Secretary for Pub- 
lic Affair.s, as Director of Public Affairs, Office of the 
High Commissioner for German.v (see U.S. Information 
Agency press release dated June 25) . 



Consular Offices 

Tlie Consulates of Chihuahua, Mazatldn, Reynosa, and 
San Luis I'otosf, Mexico, were closed to the public June 1.'), 
1954, and will be closed oflSeially June 30, 1954. 

The functions and consular districts are being trans- 
ferred as follows : 



From 


To 


Chihuahua 


Ciudad Ju;irez 


Mazatldn 


Nogales 
Guadalajara 


Reynosa 


Matamoroa 


San Luis Potosf 


Monterrey 
Guadalajara 
Mexico City 


July 12, 1954 





[! 



Foreign Relations Volume 



Press release 336 dated June 21 

Nearly 1,000 pajijes of documents on the bcpiii- 
nlujx iiiul early stajies of the undeclared war be- 
tween Japan and China were released on June 26 
by the Department of State iu Foreign Relations 
of the United States, 1937, Volume III, The Far 
Fast. Tlie greater part of this material is in seven 
chronological chapters giving an account of po- 
litical and military developments for the year. 
Other chapters deal with etl'orts to maintam the 
integi'ity of the Chinese Maritime Customs and 
Salt Revenue Administrations, developments in 
"Manchoukuo," and consideration of neutraliza- 
tion of the islands of the Pacific or a general 
Pacific pact of nonaggression. 

During the first half of 1937 there was a con- 
tinuing deadlock in Chinese-Japanese relations. 
Ambassador Nelson T. Johnson reported, however, 
tliat under Japanese pressure and the leadership 
of Chiang Kai-sheli there was developing on the 
part of the Chinese a realization of the necessity 
for unity if China was to survive as a nation and 
that a measure of unity had already been achieved 
pp. 87-91). From Japan, Ambassador Joseph 
Grew reported that Naotake Sato as Minister 
for Foreign Afi'airs had made "a very bold and 
courageous attempt to persuade Japan to adopt 
more liberal and conciliatory foreign policies" but 
that under existing conditions his attempt was 
practically hopeless (pp. 48-52). Mr. Grew noted 
indications that Japan was changing its methods 
from forceful aggression to friendsliip and eco- 
nomic cooperation, although there was doubt that 
Japan's basic policy to dominate China and the 
whole Far East south of Siberia in one way or an- 
other had changed (pp. 96-100). Secretary of 
State Cordell Hull expressed concern at reports 
that the British Government might be willing to 
recognize that Japan had a "special position"' or 
"special interests" in China (pp. 103-104). On 
July 1 the Chinese Foreign Minister, Wang 
Cliung-hui, informed Ambassador Johnson that 
lie did not expect any further Japanese aggression 
for the time being and that during the lull the 
Chinese Government would strengthen its defenses 
in anticipation of a resort to force in defense of its 
rights (pp. 125-126). 

Ambassador Johnson and Ambassador Grew 
were in agreement in reporting their belief that 
the Japanese military did not deliberately plan 
the clash at Marco Polo Bridge on July 7 which 

73 



precipitated the undeclared war. They were con- 
vinced, however, that the conduct of the Japanese 
military forces was responsible for the conditions 
which led to the fighting and that the Japanese 
Army did seize the incident as an occasion for ex- 
tending Japanese power in North China (pp. 170- 
171, 251-253, 432-i37). 

The British Government proposed a "united 
front" with the United States in efforts to avert 
hostilities but this suggestion was rejected in favor 
of "parallel action" (pp. 226-228, 235-236). The 
two Governments urged upon both sides that they 
should avoid hostilities. 

Ambassador Johnson believed that nothing 
could save China from the necessity of deciding 
whether to oppose Japanese aggi'ession with force 
or become a vassal state and urged that China 
should not be advised to yield (pp. 385-386). 
Further moves by the Japanese military met 
strong resistance from the Chinese and the con- 
flict soon spread to a full-sized war. With this 
development, Mr. Johnson telegraphed on Septem- 
ber 6 : "If the powers fail to condemn this brutal, 
unscrupulous and merciless blotting out of Chinese 
Government control within its own territories the 
reaction within China may well be disastrous." 
He warned that the time was coming when "we 
must consider whether we are to abandon all hope 
of saving something, even our self-respect,, from 
the wreckage of 150 years of cultural and com- 
mercial efforts in China" (pp. 513-514). 

Ambassador Grew expressed full agreement 
with Ambassador Johnson as to the necessity of 
Chinese resistance but urged that the United 
States should not forfeit Japanese friendship by 
condemning Japan's policy toward China on moral 
or legal grounds (pp. 485-488). In reply. Secre- 
tary of State Cordell Hull expressed doubt that 
the United States could make it a definite ob- 
jective to solidify relations with Japan as Mr. 
Grew had suggested while pursuing the funda- 
mental objectives upon which he and Mr. Grew 
were in agreement. Mr. Hull desired it to be 
fully understood by Japan tliat the U.S. Govern- 
ment disapproved its foreign policy and the meth- 
ods the Japanese military were pursuing (pp. 
505-508). Ambassador Grew explained in a 
letter of September 15 to Secretary Hull that he 
agreed with the course of action so far pursued 
by his Govermnent but again urged that an effort 
be made not to create antagonism among the 
Japanese by public censure and thus weaken 
the influence of the United States with Japan 
(pp. 525-530). In a dispatch of October 2 he 
elaborated on the benefits of such a policy (pp. 
574-577). 

On October G, Ambassador Grew drafted a fur- 



ther telegram contrasting the American policy of 
"independent action to protect rights and interests 
in China" with the "British effort to create a com- 
mon front against Japan," the former retaining 
Japanese friendship while the latter had forfeited 
it. Before this telegram was sent. President 
Roosevelt delivered his "quarantine speech" at 
Chicago on October 5. Mr. Grew felt this speech 
rendered his telegram "superfluous" at that date 
but he forwarded it in a dispatch as a matter of 
record (pp. 590-593). 

A report that the Japanese Emperor was pre- 
pared to intervene and to be guided by the advice 
of the Prime Minister and Foreign Minister rather 
than by the military was received by Eugene H. 
Dooman of the Embassy at Tokyo on December 
14, but on the same day a further report indicated 
that the Prime Minister, Prince Konoye, had be- 
come much alarmed by such a drastic step and 
Mr. Dooman was told to consider the earlier con- 
versation as not having taken place (pp. 809-810). 

Ambassador Johnson telegraphed on December 
21 his view that "The real policy of Japan in 
China is planned and executed by the Japanese 
Army which is guided only by its careful esti- 
mate of the military obstacles to be expected and 
ignores as entirely irrelevant the protests of for- 
eign governments and the promises of Japanese 
diplomats, neither of which the army believes 
has any bearing on its purely military problems. 
The undoubtedly friendly feeling of the Japanese 
people and Foreign Office for the American peo- 
ple has thus far had no effect on the policy of the 
Japanese Army in China" (p. 826). 

On the last day of the year. President Roose- 
velt received an urgent appeal for help from 
Chiang Kai-shek (pp. 832-833). 

References to Communist activities in China 
are numerous in this volume. Japanese pressure 
brought some degree of cooperation between the 
Communists and the National Government, and 
the Soviet Government found it to its interests 
to give aid and encouragement to China to some 
extent while avoiding becoming involved against 
Japan. The Chinese Communist forces were or- 
ganized into government forces as the Eighth 
Route Army and it was reported that the Com- 
munists had forsworn their commimistic activ- 
ities (pp. 376-377, 479, 522, 548-549, 837-838). 
Mr. Loy W. Henderson, Charge in the Soviet 
Union, reporting on September 20 regarding Sino- 
Soviet relations, expressed the view that the 
Chinese Communists would not fail to take ad- 
vantage of the situation to strengthon tlioir in- 
fluence in China and tliat the Soviet Government 
realized that Chiang Kai-shek fiilly understood 
the ultimate objectives of Soviet policies in the 
Far East (pp. 537-.541). 



74 



Department of State Bulletin 



July 12, 1954 



Amrricsn Prinriplrs. The Tnsks nml AccompUsliinrnts of 

Ihi' Trot' World (Connut) 

Atomic Entrty. Stable Isotopes To Be Available for For- 

oltin Ulslrlbutlon 

Australia. MeetiDg of Representatives of ANZDS Govern- 

uents 

Brazil. Brnzil Makes Final Payment on Lend Lease Obll- 

tration (Dulles, Munlz) 

Canada. U.S. and Canada To Discuss Development of 

Seaway (Stuart, Pearson) (texts of notes) .... 
Cejrion. Inlernational Bank Loan to Ceylon .... 
Claims and Property. Status of Former German and Japa- 

nwo Pro|pprty (Dulles) 

Congreaa, Tlie 

The Carco Preference Principle in Merchant Shipping 

(Kalijarvi) (texts of notes) 

Current Loi;lslutlon 

Economic Affairs 

Brazil Maiies Final Payment on Lend Lease Obligation 

(Dulles, Munli) ^ 

The Cargo Preference Principle in Merchant Slilppini.' 

(Kalijarvi) (texts of notes) 

Export-Import Bank Declares Dividend of $22,500,000 . 

FOA Announcements 

International Bank Loan to Ceylon 

U.S. and Canada To Discuss Development of Seaway 

(Stuart. Pearson) (texts of notes) 

Foreien Service 

Appointment (Phillips) 

Assignment of Director General 

Consular Offices 

Retirement (Barry) 

Germany 

Status of Former German and Japanese ProperSy 

(Dulles) 

The Tasks and Accomplishments of the Free World 

(Conant) 

Gold Coast. Future Relationship of Gold Coast and 

British Togoland (Sears) (text of draft resolution) . 62 
Gaatemala 

Guatemalan Problem Before the OAS Council (Dreler) . 45 
International Communism in Guatemala (Dulles) ... 43 

International Information. Educational Exchange Conimis- 

sinii Mt'inliers Confirmed 59 

International Orsanizations and Meetings 

Calendar of Meetings 60 

U.S. Delegations to International Conferences .... 61 
Israel. Outbreak of Violence in Jerusalem (text of 

note) 48 

Japan. Status of Former German and Japanese Prop- 
erty (Dulles) 69 

Jordan. Outbreak of Violence in Jerusalem (text of 

note) 48 

Military Affairs 

Outbreak of Violence in Jerusalem (text of note) ... 48 

U.S. Rejects Soviet Charges of Interference With Tanker 

(texts of notes) 61 

Motoal Security. Anglo-American Discussions on Inter- 
national Situation (Eisenhower, Churchill) ... 49 
New Zealand. Meeting of Representatives of ANZUS Gov- 
ernments 80 

NoB-Self-GoverninB Territories. Future Relationship of 
Gold Coast and British Togoland (Sears) (text of 
draft resolution) 62 



Index Vol. XXXI, No. 785 

Publications. Foreign Relations Volume 73 

52 State, Department of. Conflrmntions (Car|ienter, Saltz- 

man) 73 

^^ Togoland, British. Future Relationship of Gold Coast and 

British Togoland (Sears) (text of draft resolution) . 62 

*''' Treaty Information. Current Actions 72 

U.S.S.R. U.S. Rejects Soviet Charges of Interference 

■*' With Tanker (texts of notes) 51 

United Kingdom. Anglo-American Discussions on Inter- 

national .Situation (Elsenhower, Churchill) ... 49 
•'° United Nations. Future Relationship of Gold Coast and 

British Togoland (Sears) (text of draft resolution) . 62 
69 

Name Index 

Berry, Burton Yost 73 

g3 Cari>enler, Isaac W.. Jr 73 

71 Casey, Richard G 50 

Churchill, Winston 49 

Conant, James B 52 

47 Dreler, John C 45 

Dulles, Secretary 43, 48, 50, 69, 73 

6.'! Edens, Arthur Ilolli.') 59 

59 Eisenhower, President 49 

5*' Fitzgerald. Rufus H 59 

5^ Hauck, Arthur A 59 

_„ Hawkes, Anna L. Rose 59 

Kalijarvi, Thorsten V 63 

Muuiz, Joao Carlos 47 

.... Munro, Leslie Knox . 50 

y3 Pearson, Lester B 50 

73 Phillips, Joseph B 73 

Saltzman, Charles E 73 

Sears, Mason 62 

69 Slater, John C 61 

Stassen, Harold E 56 

52 Stuart, R. Douglas 50 



Check List of Department of State 
Press Releases: June 28-July 4 

Releases may be obtained from the News Division, 
Department of State, Washington 2.5, D. C. 

Press releases issued prior to June 28 which 
appear in this issue of the Bulletin are Nos. 33(5 
of June 21 and 352 of June 26. 

No. Date Subject 

353 6/28 Dreler : Council of OAS 

354 6/2'J Burton Berry's retirement (rewrite) 
*3i35 6/30 lutern.-itioual Claims Commission re- 
port 

356 6/30 ANZUS meeting 

357 6/30 Dulles: Report on Guatemala 

3.58 7/1 Brazil's lend-lease payment 

3.59 7/1 Dulles, Muniz statements 

360 7/1 Conference on physics 

361 7/2 Dulles: Alien property 
*362 7/2 Educational exchange 

303 7/2 Note to Israel and Jordan 



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Foreign Relations of the United States . . . 

the basic source of information on U.S. diplomatic history 

1937, Volume II, The British Commonwealth, 
Europe, Near East and Africa 



Prominent among the subjects treated in this volume are the 
efforts of the Department of State to promote more liberal 
trade policies by discussions looking to the conclusion of recip- 
rocal trade agreements and representations against discrimi- 
nating practices damaging to American commerce. Secretary 
of State Cordell Hull conceived his trade agreements program 
not merely as a means for promoting American business but as 
one important instrument that would help maintain interna- 
tional peace. 

A number of issues tended to strain relations with the Nazi 
Government of Germany in 1937. Persecution of the Jews 
continued with additional restrictive measures being applied. 
Trade relations were unsatisfactory. The German Govern- 
ment made representations against derogatory remarks by 
Mayor La Guardia of New York about Hitler. 

Among many matters of diplomatic concern in the Near East 
recorded in this volume were the Montreux Conference for the 
abolition of capitulations in Egypt, the withdrawal of Ameri- 
can diplomatic and consular representatives from Ethiopia 
which was under Italian occupation, the grant of an oil con- 
cession by the Iranian Government to the Amiranian Oil Com- 
pany, proposed abolition of capitulatory rights of the United 
States in the French Zone of Morocco, and interest of the 
United States in British proposals for the partition of Pales- 
tine between Arabs and Jews. 

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Vol. XXXI, No. 786 
July 19, 1954 




-*Tea o* 



ECONOMIC BASES OF UNITED STATES-LATIN 

AMERICAN RELATIONS •, 6y Edward C. Cale .... 79 

U.S. ADMINISTRATION OF THE TRUST TERRITORY 

OF THE PACIFIC ISLANDS) • Statement by Frank E. 
Midkijf 95 

FUNCTIONS OF THE AMERICAN CONSUL • by Mchoh, 

S. Lakas g5 

NEW TREATIES ON INTERNATIONAL TRAVEL • 

Article by II. II. Kelly 92 



For index see inside back cover 



nnuTinfon-' .^t of Oocuments 

^'^^ 9 - IS54 



iyne z/^e/tcct^l^me'n^ (^ ^Icite 




bulletin 



Vol. XXXI, No. 786 • Publication 5537 
July 19, 1954 



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Washington 25, D.C. 

Price: 

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The printing of this publication has been 
approved by the Director of the Bureau of 
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Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprtoted. Citation of the Department 
07 State Bdllktin as the source will be 
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The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides tlie 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the icork of the De- 
partment of State and the Foreign 
Service. The BULLETIN includes se- 
lected press releases on foreign policy, 
issued by the White House and the 
Department, and statements and ad- 
dresses made by the President and by 
the Secretary of State and other offi- 
cers 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 
well as legislative material in the field 
of international relations, are listed 
currently. 



Economic Bases of United States-Latin American Relations 



by Edward G. Cale 

Director, O-ffice of Regional American Affairs * 



The United States and the Latin American 
countries are bound toojether by many ties. These 
inchide ties of geography and of history. We also 
share connnon ideals. Furthermore, our interests 
are such that we have customarily found ourselves 
holding essentially the same views on important 
political issues. I am sure that close cooperation 
between ourselves and our sister Republics will 
continue, not because we do not often have differ- 
ences of opinion, but because it will continue to be 
in our mutual interest to cooperate and to resolve 
our differences in a spirit of understanding and 
accommodation. 

Cooperation between the United States and the 
other American Eepublics rests on strong economic 
bases which are likely to be of an enduring nature. 
The principal economic bases of U.S. relations 
with Latin America today are our trade, our pri- 
vate financial relations, and our public financial 
relations. 

Our trade of nearly $7 billion annually is 
divided almost equally between imports and ex- 
ports. Our exports to Latin America are equiva- 
lent to about 1 percent of our national income and 
represent about 20 percent of our total exports. 
Their exports to us are equivalent to about 8 per- 
cent of their national income and represent about 
50 percent of their total exports. 

Our private financial relations involve direct 
private U.S. investments in Latin America in the 
amount of approximately $6 billion. Such invest- 
ments have flowed into Latin America since the 
Second World War at the average annual rate of 
approximately $250 million. In addition, private 
earnings of T^.S. companies in Latin America have 
been reinvested, rather than being returned to the 
United States, at the average annual rate of ap- 
proximately $190 million. Thus U.S. private 
investment in Latin America has been increasing 
at the average annual rate of about $440 million 
per year. 

'Address made before the Indiana University Con- 
ference on Problems of American Foreign Policy, Bloom- 
infrton, Ind., on July 9 (press release 373 dated .Tuly 8). 



Our public financial relations are conducted 
througli membership in the International Bank 
and directly through our own Export-Import 
Bank. The net flow of loan funds (disbursements 
less repayments) from these two institutions into 
Latin America has averaged approximately $93 
million per year since World War II, of which 
approximately % has been supplied by the Export- 
Import Bank. The dollar exchange which the 
Latin American countries receive from their trade 
with us and from our private investment and 
loans provides them with the means of obtaining 
capital equipment in this country and of servicing 
dollar investment and loans which they need to 
carry out their economic development programs. 
Some of this exchange is also used by them to meet 
their daily requirements for such food and other 
consumer goods as they need to import from 
abroad. 

Favorable trade and financial relations have 
helped the Latin American countries to achieve a 
really remarkable rate of economic progress in 
recent years. Of major importance in these rela- 
tions has been the large demand and favorable 
S rices for Latin American export commodities, 
etween 1939 and 1952 the prices of their exports 
had risen so much more rapidly than the prices of 
their imports that they would have been able to 
buy more than twice the physical volume of goods 
in 1952 with the 1939 volume of exports. 

In calling attention to this fact I do not wish in 
any way to minimize the industry, intelligence, 
and ingenuity that our Latin American neighbors 
have devoted to the progress which they have 
achieved during this period. I merely wish to 
note that favorable price relations facilitated their 
efforts. 

The following are some indications of the really 
remarkable progress which they have made since 
the Second World War: Population is increasing 
in Latin America, on the average, at a rate of from 
2 to 2Y2 percent per annum — more rapidly than in 
most other areas of the world. But national in- 
come has been expanding at a considerably more 



July 19, 1954 



79 



rapid rate so that there has been a very substantial 
increase in per capita income. Output of goods 
and services has been substantially in excess of 
population growth. The per capita rate of in- 
crease of output of goods and services since the 
war has been around 31/2 percent per year. Living 
standards have been raised appreciably as a result, 
but not all of the increased output has gone into 
increased consumption. Economic development 
requires that capital be accumulated, and capital 
accumulation in Latin America since the close of 
the Second World War has been exceptionally 
intense, the investment rate approximating 16 
percent of total national income. This compares 
favorably with the record of even highly indus- 
trialized countries. The stock of capital per 
worker has increased on the average of from $1,- 
177 in 1945 to $1,409 in 1952, an increase of more 
than 25 percent. The outstanding feature of this 
development has been the expansion in manufac- 
tures. The value of manufactures increased from 
$6.8 billion in 1945 to $11.4 billion in 1952. This 
is an increase of better than 70 percent m 7 years. 
The value of manufactures surpassed the value of 
agricultural output in Latin America in 1947 for 
the first time and has outranked it ever since. The 
fact that these increases are measured from a very 
low initial base does not detract from, but rather 
emphasizes, the achievement of the other Ameri- 
can Republics during this period. 

Latin American oiticials are at present seriously 
concerned over the possibility that they may not 
be able to sustain this rapid rate of economic prog- 
ress. In some ways the outlook for doing so is 
not especially goocl, owing to a decline in the de- 
mand for, and falling prices of, a considerable 
number of their export products such as tin, cop- 
per, lead, and zinc. Faced with a shrinking de- 
mand and declining prices, our Latin American 
neiglibors are understandably concerned over the 
situation. Tliey are determined to continue their 
recent rate of progress and to assure their eco- 
nomic development. The United States is, of 
course, not in a position to underwrite the develop- 
ment of Latin America or the other underdevel- 
oped areas. We do not have the means at our dis- 
posal required for such an undertaking. Further- 
more, I do not believe that our good neighbors to 
the south really want us to do so. They are a 
proucl, self-reliant, and self-respecting people, and 
I am sure that they believe that they are largely 
capable of meeting their current problems them- 
selves. In addition, the Latin Americans not only 
have the will to meet their prolilems, they possess 
the resources to do so and to support a much higher 
level of economic activity than they now enjoy. 

What Latin Americans Want 

'Ilioy are especially interested, however, in ac- 
tion which we may be prepared to take to help 
them : (a) stabilize the prices of their exports, (b) 

80 



afford them the freest possible access to our market 
for such exports, and (c) finance the foreign cur- 
rency costs of their economic development proj- 
ects. I should like to discuss briefly each of these 
subjects. 



PRICES 

The economic situation in most of the Latin 
American countries depends to a large degree upon 
conditions under which a relatively few of their 
commodities are sold in international trade. Most 
of the Latin American countries are heavily de- 
pendent on one, or at best three or four, raw ma- 
terials and foodstuffs. For example, tin is the 
bellwether in Bolivia; nitrates and copper in 
Chile; sugar in Cuba; coffee in Brazil, Colombia, 
El Salvador, and Guatemala; meat and wool in 
Uruguay; petroleum in Venezuela; and lead and 
zinc in Mexico and Peru. 

The state of the export trade in these few com- 
modities has a direct and major effect upon em- 
ployment and upon economic activity generally. 
They supply an overwhelming part of the dollar 
exchange required for the purchase of capital 
equipment in the United States and for servicing 
the dollar indebtedness and equity investment. 
They are the means to economic development. 

The Latin American countries have therefore 
suggested that the United States help maintain a 
fixed and favorable relationship (from their view- 
point) between the prices of the products which 
they export and the prices of the products which 
they import. We have not been able to agree to 
such an undertaking. Even with the decline that 
has occurred in the prices of many of their export 
commodities in the last year or two, they are, in 
general, still favorably priced. Some, such as 
coffee and cocoa, are very favorably priced. 

Furthermore, an undertaking to maintain a 
fixed relationship, on a worldwide basis, between 
the prices of raw materials and the prices of man- 
ufactured goods would undoubtedly be impossible 
of fulfillment. It would involve very extensive 
controls over the production and trade of all of 
the participating countries. The complexity of 
an undertaking of this nature is suggested by the 
problems that we have had in this country in 
maintainin<r our agricultural price supports, re- 
sulting as tTiey have in recurring sur])luses. 

The United States, however, is very conscious 
of the problem faced by the Latin American coun- 
tries as a result of the fact that their prosperity 
flenends to so great an extent on such u limited 
number of commodities. We believe, furthermore, 
that there is a constructive contribution which the 
United States can make toward maintaining 
greater stability in world prices. A number of 
ways by which we can do this were indicated by 
the' Randall Commission. These include : 

1. Measures tending to relieve or remove im- 



Deporfmenf of Sfafe Bullef'in 



pediments to U.S. forei<;n tnule nnd to encourage 
otlier countries to move in tlie siune direction, a 
matter wliicli I will discuss in greater detail later. 

2. Encouragement of diversification of the econ- 
omies of the countries now dependent ui)on a small 
nuinbei' of pi'oducts, antl encouragement of the 
governments of those countries to pursue policies 
likely to attract foreign investors to participate in 
the work of diversification. 

3. Policies which will temper the fluctuations 
of our domestic economy, which exert a great 
influence upon the course of world prices. 

The President, as you know, has indicated his 
determination not to permit the development in 
this country of any material decline in tlie rate 
of economic activity. In view of the fact that 
approximately 50 percent of Latin American ex- 
ports are sold in the United States, this determina- 
tion should be of very great significance to tliem. 
In addition, the President has announced the initi- 
ation of a new "long-term" stockpiling program 
and has directed the Office of Defense Mobiliza- 
tion to review objectives for 35 to 40 minerals in 
the light of broailer terms of reference. In ac- 
quiring metals and minerals under this new secu- 
rity program, preference will be given to newly 
mined metals and minerals of domestic origin. 
The program will, nevertheless, have indirect bene- 
fits to the mining industries of other areas, includ- 
ing Latin America. To the degree that the U.S. 
Government bn3's and stockpiles domestic mate- 
rials, these materials will be withheld from exert- 
ing a generally depressing effect on world com- 
modity markets. 



TRADE 

Since the United States takes about 50 percent 
of all tiie goods exported by the Latin American 
countries, it is only to be expected that they should 
have a great interest in the tariff policy which we 
pursue. Especially at a time such as Ihe present 
when they face declining prices for many of their 
exports, and when they know that without profit- 
able two-way trade with the United States they 
cannot hope to maintain their standards of living, 
which despite all the advances they have made are 
on the average still verj' low by comparison with 
ours, the trade policy which we adopt is of very 
great significance to them. Their anxiety is par- 
ticularly acute at present because there are a 
number of commodities which are of major im- 
portance to one or more of the Latin American 
countries concerning which there have for some 
time been almost continuous threats of tariff in- 
creases or other restrictions. 

These commodities include petroleum, upon 
which the economic prosperity of Venezuela de- 
pends and which at present underlies a very favor- 
able trade relationship between the United States 



and Venezuela. Last year 90 percent of Vene- 
zuela's foreign exciiangecamo from petroleum and 
24 percent of all its petroleum exports came to the 
United States. They include lead and zinc which 
together last year accounted for about 22 percent 
of tlie export trade of Mexico, 16 percent of that 
of Peru and 11 percent of that of Bolivia. 

We imported about 1,050,000 barrels a day of 
petroleum products in li)5.">, to meet a consumption 
requirement of about 8 million barrels a day. In 
other words, imports supplied about 12 percent of 
our consumption. There are bills now before Con- 
gress which would shut out % of our current im- 
ports of residual fuel oil, which comes principally 
from Venezuela, and which would severely restrict 
imports of other crude petroleum products. Some 
would oblige the Tariff Commission to impose 
quotas or increase duties whenever injury can be 
shown to any domestic producer. 

Lead is now subject to a duty of I'/ig cents per 
pound or about 8.2 percent of the 1!)5.3 price, and 
zinc is now subject to a duty of %o cents per 
pound or about 8.8 percent of the 1953 price. 
There are proposals now under consideration 
which would more than double the duties on both 
of these commodities. 

The reason for these various proposals is the 
fact that the postwar reduction in demand has, 
in some cases, adversely affected our producers, 
just as it has Latin American producers of the 
same commodities. To the extent that the pro- 
posals would be effective, however, they would 
improve the position of our producers by further 
worsening theirs. There is probably nothing in our 
economic relations with the Latin American coun- 
tries at the present time that is as critical as the 
action we take on these commodities. To the ex- 
tent that relief to our domestic producers of the 
commodities involved is warranted, it would be 
highly desirable from the viewpoint of our inter- 
American relations for it to be provided in some 
way that would not restrict imports. Such relief 
would, furthei'more, be consistent with the Presi- 
dent's message to the Congress on March 30 trans- 
mitting the report of the Commission on Foreign 
Economic Policy.^ In supporting the Commis- 
sion's recommendation on assuring raw materials 
for defense, the President stated that he believed 
that it is normally sound that "domestic sources 
for raw materials required for military purposes 
should be assured by direct means and not by tar- 
iffs and import quotas." 

This is, however, only one part of the total pic- 
ture of our trade relations with the other American 
Pepublics. There are courses of action in the trade 
field which they are now pursuing which are harm- 
ful to their economic relations with us and which 
they seek in part to justify by allegations of vari- 
ous kinds as to the trade policy of this country. 
P'or example, the criticism is often made in Latin 



• Bulletin of Apr. 19, 1954, p. 602. 



jo/y 79, 1954 



81 



America that we do not wish them to industrialize. 
In support of this position it is pointed out that 
our tariffs are higher on semimanufactured and 
manufactured products than on raw materials, 
thus making it more difficult for them to process 
their raw materials before exporting them to us. 
The}' also maintain that they need tariff protec- 
tion for their young industries and argue that the 
United States grew to industrial greatness with 
the help of tariff protection for its industries. 
They therefore state that the United States should 
unilaterally reduce its duties on imports from 
Latin America while agreeing that they maintain 
or increase their tariffs on imports from the United 
States. 

It must be admitted that our tariffs do make it 
harder for the Latin Americans to sell semiproc- 
essed and processed goods to us than to sell us raw 
materials. In general, however, the tariff treat- 
ment accorded by the United States to imports 
from Latin America is very favorable. Approxi- 
mately % of such imports are on the free list and 
they are therefore not subject to duty. Further- 
more, the average rate of duty on dutiable imports 
from Latin America is generally very low. In 
1953 it was 8.4 percent. In addition, during the 
past 20 years the United States has probably done 
more than any major trading country of the world 
to reduce its tariffs. During the same period, the 
Latin American countries have increased their 
tariffs, especially on manufactured products. 
They have also instituted a large number of other 
restrictions on imports which are often more re- 
strictive than tariffs. Some of them have export 
taxes on raw materials which do not apply to 
manufactured goods. Many of them have mul- 
tiple exchange rate systems which, at times, have 
the effect of giving greater encouragement to the 
exportation of manufactured products than to the 
exportation of raw materials. 

With reference to the effect which trade policy 
may have had on the industrial growth of the 
United States, to which our Latin American 
friends refer, it appears much more likely that the 
development of our industry in a very large free 
trade area of 48 states, in which competitive con- 
ditions prevailed, was much more important than 
the fact that our industries were protected against 
imports from other countries. 

In view of considerations such as these, the po- 
sition of the United States is (luit while we are 
prepared, subject to apjiroval by Congress of ade- 
quate authority, to negotiate with the Latin Amer- 
ican countries, as with other countries, for a rea- 
sonably orderly and reciprocal reduction of trade 
barriers, we are not piej^ared unilaterally to re- 
duce oiii' tariffs. At the same time, we are will- 
ing to examine sympathetically with our Latin 
American neighbors s[)ecific situations where they 
believe that their industrial development is being 
retarded by a lack of tariff protection. In doing 
so, we believe that they will be influenced by the 



fact that in order to provide increased real income 
for their growing populations they must increase 
their economic productivity and that encouraging 
industry to develop under competitive conditions 
is an effective means to this end. 



FINANCING DEVELOPMENT 

It is estimated that over 90 percent of the funds 
that have gone into economic development in Latin 
America in recent years have been supplied from 
Latin America's own savings. The remainder has 
been supplied by foreign investors, private and 
public. It is, of course, upon Latin American 
savings that the other American Kepublics must 
continue primarily to rely for economic develop- 
ment funds. The United States has, however, 
been a significant source of foreign capital. The 
increase of U.S. direct private investment in Latin 
America of approximately $440 million per year 
since the Second World War has helped to finance 
a considerable portion of the foreign currency 
costs of their economic development. Loans of 
the Export-Import Bank and the International 
Bank have also helped supplj' Latin America's 
needs for capital goods from abroad. 

United States private capital would undoubt- 
edly be available to the Latin American countries 
in a much larger volume if they wanted it and 
deliberately tried to attract it. Private capital 
could be made available by the United States on 
a much larger scale than coidd public capital. 
Measured against domestic private investment in 
the United States, our private investment in Latin 
America is exceedingly small. The $G billion of 
direct private investment which we have made in 
Latin America, and which has been built up to 
this figure over a period of many years, is actually 
small by comparison with domestic private in- 
vestment in the United States during any one year. 
For example, it is small in comparison with do- 
mestic private investment in the United States 
during 1953 in the amount of $55.7 billion. 

The Latin American countries would undoubt- 
edly gain much from the investment of further 
U.S. private capital. To them it would mean in- 
creased economic development witli the many ben- 
efits that it brings. In terms of increased income, 
however, the U.S. investor has little to gain by 
investing in Latin America. In fact one of the 
ju'iucipal reasons why additional U.S. capital does 
not flow into the I^atin American countries is the 
existence of opportunities in the United States for 
investing exceedingly large sums of capital at rates 
of return which are almost as high, and in some 
cases higlier. than the rates that could be earned 
in Latin America. In certain fields, such as pub- 
lic utilities, the average rate of return earned by 
private capital in the United States is considerably 
Iiigher than in Latin America and it is difficult to 
.see how there can be any substantial flow of pri- 



82 



Department of Stale Bulletin 



vftte investment fuiuls into such fields until the 
situation is radicully iiltered. 

Tliere are also at present a number of basic at- 
titudes which are widely lield in Latin America 
that would iiavo to be overcome bel'ure tiie How of 
United States private capital could be materially 
increaseil. For example, it is often alleiii'd tiiat 
U.S. capitalists are invadinj; the Latin American 
countries, are attempting to control them, and do 
not wish them to become industrialized because 
we wish them to be merely a source of raw ma- 
terials and a market for industrial products. As 
I have indicated earlier, the auHiunt of U.S. pri- 
vate capital flowing into Latin America is exceed- 
ingly small in comparison with the amount in- 
vested domestically in the United States. With 
respect to the allegation that U.S. corporations 
seek to exercise control over the Latin American 
countries, it may be pointed out that on a per cap- 
ita basis U.S. investment in Canada is ajijjroxi- 
mately 10 times as great as in Latin America and 
that our neighbors to the nortli would resent and 
know to be untrue the allegation that our invest- 
ments influence their economic life. 



Record of U.S. Business 

Although there were undoubtedly abuses in the 
past, the record of U.S. business in Latin America 
has been increasingly good. It is upon the Latin 
American governments, rather than upon our own, 
that the responsibility devolves for seeing that any 
remaining abuse is checked and that business in 
their countries is conducted in the national inter- 
est. Today, I believe that it is a fact that foreign 
business in Latin America is more sinned against 
than sinning and that in some sectors several of 
the Latin American governments have gone so 
far in harassment and restrictive measures as to 
discourage further investment which could ma- 
terially facilitate their economic development. It 
is, however, for them, rather than for us, to de- 
termine the rate at which investments should flow 
into their countries and we have no desire to en- 
courage capital to go into countries where it is 
not wanted. 

With reference to the allegation that we do not 
wish tlie Latin American countries to industrial- 
ize, to which I also made references earlier in dis- 
cussing trade problems, it might be pointed out 
that much of the private capital that is now going 
into Latin America is going into industrial under- 
takings. Furthermore, as a government, we have 
steadily sought to promote the industrialization 
of Latin America and have applauded their prog- 
ress in this field. Since the Export-Import Bank 
was established in 19.3-4, it has made loan commit- 
ments to the Latin American countries of more 
than $2 billion of which considerably more than 
14 has been committed since 1945. These loans 



have made a sul)stantial contribution to industrial 
development in Latin America. Our technical co- 
operation program has contributed substantially 
to the same objective. 

As is (lie case with jirivate capital, the rate at 
which additional |)ublic loan capital will flow into 
Latin America is largely for our Latin American 
neighbors to determine. The flow of loan funds 
couiil undoubtedly be substantially increased. 
Their ability to borrow depends, of course, on the 
basic soundness of their financial position and of 
the projects for which they seek financing. These 
in turn depend upon many factors, including not 
only the volume of their exports but their linan- 
cial and monetary stability. To a very consid- 
erable extent these are factors within the deter- 
mination of the Latin American countries as sov- 
ereign nations, and there are close limitations on 
our ability or our right to influence their action. 

As you may know, the United States and the 
other American Republics are scheduled to meet 
in Rio de Janeiro this fall in a Conference of Min- 
isters of Economy or Finance. The problems 
which I have been discu.ssing with you will make 
up a large part of the agenda for that conference 
and are to be thoroughly discussed. The United 
States is now very actively formulating its posi- 
tion for the conference. It is our belief that not 
only the United States but the Latin American 
countries should go to the conference with posi- 
tive programs for meeting the problems. Their 
stake in maintaining and, if possible, improving 
the generallj' good economic relations which exist 
between the two areas is as great as ours, and I 
am confident that within the framework of our 
respective national economic policies a good deal 
of progi'ess will be achieved at Rio de Janeiro. 



Question of Recognition of 
New Guatemalan Government 

Press release 375 dated July 8 

At his neios conference on July 8 Secretary 
DuUes was asked if he was prepared to state 
whether the United States will extend diplomatic 
recognition to the Government of Guatemala as 
requested hy the Junta there. Secretary Dulles 
made the folloioing reply: 

We are applying to that Government the same 
tests as we normally apply when there is a change 
of government. Primarily, we want to feel sat- 
isfied that the new regime will be able and willing 
to carry out its international obligations. If we 
are satisfied on that i)oint, as I hope and expect we 
shall be, then we would proceed to recognition. 
But at the moment we are going through the nor- 
mal testing as regards ability and willingness to 
carry out international obligations. 



Jo/y 79, 7954 



83 



Floods on Rio Grande 

FoUoioing is an exchange of messages hetween 
President Eisenhower and President Adolf o Ruiz 
Cortines of Mexico. 

President Eisenhower to President Ruiz Cortines 

White House press release dated July 1 

I join with the people of the United States of 
America in expressino; to Your Excellency and the 
people of Mexico profound sympathy in the tv^gio, 
disaster wrought by flood waters along the Rio 
Grande which has brought untold suffering to 
many persons in both countries. Our thoughts 
and prayers go out to those bereaved and left 
homeless. 

DwiGHT D. Eisenhower 

President Ruiz Cortines to President Eisenhower 

White House press release dated July 3 

In thanking your Excellency very cordially for 
your sympathetic expressions occasioned by the 
floods along the Rio Grande, may I assure you that 
the people of Mexico and I share with the Govern- 
ment and the people of the United States of Amer- 
ica the same deep feelings with regard to the loss 
of life and the sufferings which that catastrophe 
has brought to the people along the border of our 
two countries. 

Adolfo Ruiz Cortines 
President of Mexico 



Peru-Ecuador Boundary Dispute 

Press release 379 dated July 10 

The United States, as one of the guarantor states 
of the Protocol of Peace, Friendship and Bound- 
aries of January 29, 1942, between Ecuador and 
Peru, is releasing the following communique in 
accordance with recommendations received from 
the Committee of Representatives of the guarantor 
states, which sits in Rio de Janeiro. The com- 
munique is also being released at Rio de Janeiro, 
Santiago, and Buenos Aires, capitals of other 
guarantor states, and at Quito and Lima, capitals 
of the two pi-incipals which subscribed to the 
aforementioned protocol : 

In response to the proposals presentotl by the Com- 
mittee of Representatives of the guarantor states of the 



Protocol of Peace, Friendship and Boundaries between 
Ecuador and Peru of January 29, 1042, the (^.overnment 
of Peru, in the presence of the Military Attaches of the 
guarantor states accredited in Lima, has proceeded, at 
Vargas Guerra in the Morona River region, with the re- 
patriation of the Ecuadoran soldiers in its possession thus 
puting an end to the differences which might have preju- 
diced mutual understanding in its relations with Ecuador. 
The act of repatriation took place at 9 a. m. on July 9, 
1954. 



The Meaning of Independence Day 

Following is the text of a message from, the 
President to Mayor Joseph F. Clarh, Jr., of Phila- |j 
delphia, which was read at Independence Day 
Ceremonies at Independence Hall on July 5. 

White House press release dated July 5 

Dear Mr. Mator : I send warm greetings to all 
citizens of Philadelphia and the distinguished 
friends joining them for the Fourth of July cere- 
monies at Independence Hall. 

Because your city was the birthplace of our Dec- 
laration of Independence and was closely asso- 
ciated with many of the important incidents and 
figures of our Revolutionary history, it occupies 
a high place in American sentiment and memories. 
For most of us it symbolizes Freedom itself. 

During the decades following upon those stir- 
ring events in Philadelphia, the march of freedom 
toward many corners of the globe seemed trium- 
phant and certain to continue. But, beginning a 
score of years ago, it has suffered notably from 
forces marshalled by tlie loaders of Fascism and 
Communism. Thougli their evil doctrines differ in 
some respects, they are as one in contempt of our 
concepts of liberty and human dignity. Both have 
disdained and attempted to destroy all religious 
belief and have ruled the millions under their con- 
trol through cruelty, violence and deceit. 

Important parts of these conspiracies have al- 
ready been stopped by an outraged humanity. 
Eventually the others are certain to go, because in 
the long run nothing can stand before man's in- 
tense desire for personal liberty and his determi- 
nation to worship in his own way. 

On this Fourth of July we confidently strive 
toward the ultimate triumph of peace and justice 
in the world. May it be a conquest, we pray, ac- 
complished not by force, but through patient 
perseverance and "the growth of knowledge and 
understanding among nations and men. 
Sincerely, 

DwiGiiT D. Eisenhower 



84 



Deparfmenf of Stale Buflelin 



Functions of the American Consul 



hy Nicholas S. Lakas 

Vice Consul, Alexandria, Egypt ' 



Tonij:;lit I want to talk to you about "The Amer- 
ican Consulate in Your Community.'' This sub- 
ject is one of {!;reat importance to me as an Ameri- 
can and as a member of the Foreign Service of 
the United States. It is of even greater impor- 
tance to me that you understand more fully why 
there is an American consulate in your community. 
Therefore, it is my intention this evening to clear 
up for 3-ou such questions as : "What is a consulate 
and what is its business? ^Vliat is a consul and 
what does he do in your community? 

Much as I would like to speak in detail and at 
great length on a subject close to my heart, consid- 
eration must be given to the limited time available 
to us this evening and I shall therefore restrict my 
talk to a general sketch of the historical back- 
ground of my Service, and to a condensed descrip- 
tion of some of our principal functions. 

The origin of consular olfices and functions ante- 
dates the development of diplomatic exchanges. 
Early in the history of commerce, it became neces- 
sarj- for commercial states to establish a jurisdic- 
tion over their own seamen, vessels, cargoes, and 
nationals. As the operations of commerce in for- 
eign ports also involved national interests as well 
as individual interests of merchants and seamen, 
it became equally necessary that this jurisdiction 
be exercised by an agent, that is, by a person who 
was a national of the state concerned. Hence, we 
find among the states of antiquity commercial 
magistrates with functions similar to those vested 
in the consuls of today, though much more 
extensive. 

During the Jliddle Ages, consuls were semiam- 
bassadors and ministers who watched over the in- 
terests of their countrymen, deciding their dis- 
putes, protecting their counnerce, and exercising 
large judicial and commercial powers, independent 
of the laws of the country to which they were 
accredited. Wlien embassies or legations came to 
be established in name and in fact, the consular 
office lost much of its diplomatic character. How- 



' Atl(lres.s made before the English Teachers' Club of 
Alexandria on July 1. 



ever, the growth of world commerce and the inten- 
sification of international relations in our own time 
have had the effect of again broadening the scope 
of consular functions by placing upon consular 
representatives numerous duties of an entirely dif- 
ferent and modern character. 

The United States consular service was created 
in the 1780"s as an addition to our diplomatic serv- 
ice and was subsequently consolidated with the 
diplomatic service under what is now known as 
the Foreign Service of the United States. Today, 
officers of our Foreign Service are generally com- 
missioned as both diplomatic and consular officers. 
"While assigned to consulates, officers hold one of 
three ranks : consul general, consul, or vice consul, 
the rank of consul general being, of course, the 
highest consular rank in our Service. An officer 
in charge of a consulate, whether consul general, 
consul, or vice consul, carries full responsibility 
for the proper conduct and execution of the con- 
sulate's operations in addition to being responsible 
for all decisions which he may make in his capacity 
as the principal officer of the post. 

Growth of Foreign Service 

Our commercial and diplomatic interests in the 
I780's were tended to by 16 consular officers and 
by three diplomatic missions. Today, our For- 
eign Service is manned by more than l-i,000 em- 
ployees, about 1,300 of whom are career officers. 
From the original 19 posts we now have 244 con- 
sulates and diplomatic posts functioning in vari- 
ous communities around the globe. 

According to law, and when there are available 
funds, American personnel are returned to the 
United States any time after 2 to 3 years of con- 
tinuous service overseas for a 30- to 60-day home 
leave, at the conclusion of which they are either 
reassigned to another post, or take up an assign- 
ment in the Department of State, or are returned 
to their former station. It has recently become 
the practice to alternate our assignments during 
our early training period from consulate to em- 
bassy and vice versa. 



July 79, 1954 



85 



The United States establishes consular oiBces 
at important seaports and trade centers of other 
nations to (1) protect and aid the persons and in- 
terests of American citizens; (2) encourage and 
facilitate a flow of mutually profitable trade ; and 
(3) foster and maintain good will and common 
understanding with the respective communities. 

Early consular records of the United States 
show that we have maintained consular representa- 
tion in Alexandria for more than one century and 
that our first consular office with the rank of con- 
sulate general in our Service was created here in 
Alexandria early in 1854. Our office exercises 
consular jurisdiction over most of the Nile Delta's 
8,495 square miles, which, in area, is comparable 
to the size of our State of Massachusetts. 

^Vlien I say consular jurisdiction, I simply mean 
this. The United States has two consular posts 
in Lower Egypt, one here in Alexandria and the 
other in Port Said. Each post is directly con- 
cerned only with its consular activities within its 
area. Eesidents in the Governorates of Alexan- 
dria, Damietta, and the six Provinces of Behera, 
Dakhahlia, Gharbia, Menufia, Galubiya, and Shar- 
quia, attend to whatever consular transactions they 
may have with our office at Alexandria. You will 
be surprised to hear, I'jn sure, that at least 50 
percent of our daily work has to do with assisting 
residents of this area with a variety of requests 
and problems. 

According to Thomas Jefferson, third President 
of the United States and our first Secretary of 
State, consular representatives from other nations 
stationed in the United States were to be "consid- 
ered as distinguished foreigners dignified by a 
commission from their Sovereign and specially 
recommended by him to the respect of the nation 
with whom they reside." Consular officials of all 
nations stationed throughout the world carry on 
their work much along the same lines as I and my 
colleagues do here in your community in accord- 
ance with the laws of nations, treaties, and consu- 
lar conventions. 



Day-to-Day Functions 

Our principal day-to-day operations include as- 
sistance to Americans on a cradle-to-grave basis, 
with a lot of activity in between. It is mandatory 
that tlie birth of American children abroad be 
reported to the nearest Foreign Service post, 
wlaich, in turn, reports the blessed event to Wash- 
ington. If an American citizen so desires, he may 
have his marriage abroad witnessed by the consul, 
who then issues a certificate that he did witness the 
ceremony in his official capacity. The consulate 
will bury or ship to the United States the remains 
of American citizens who die in this area. If an 
American citizen dies in this area without a legal 
representative, wc assist in the settlement of his 
estate. And not to forget a very important ac- 



tivity, we investigate claims to American citizen- 
ship and issue documents of identity and passports 
to American citizens. We are also directly in- 
volved in the shipment, discharge, and relief of 
seamen serving on American vessels. Recipients 
and beneficiaries of United States pensions, resi- 
dent in the Alexandria district, receive their checks 
through our office. 

Here are a few more of our functions. Our con- 
sulate general issues immigrant and nonimmigrant 
visas to local residents who desire to visit or to emi- 
grate to the United States. With certain excep- 
tions, invoices of merchandise over $100 in value 
destined for the United States must be certified 
by the consulate general. This consular certifica- 
tion is performed to enforce our customs regula- 
tions with respect to prohibited goods and those 
which require disinfection or special documenta- 
tion. Notarials and depositions are also part of 
our daily routine. 

Also of primary importance is the analysis, eval- 
uation, and reporting to Washington of events, 
situations, and opinions in Northern or Lower 
Egypt which, we believe, might be of interest to 
our Government. Our reports cover a multitude 
of subjects and range from descriptions of trade 
and commerce facilities to trends in public opinion 
on any number of topics — from local market con- 
ditions to local developments in trade, agriculture, 
and industry. 

The consulate general promotes and protects the 
overseas trade of the United States. W^e initiate 
trade inquiries about local markets; we encourage 
and facilitate the entry of local producers and 
manufacturers into the export trade with the 
United States. Manufacturers established in this 
area who are interested in expanding their mar- 
kets into the United States are invited to avail 
themselves of a variety of commercial ser\nces 
offered by the consulate general without fee." Our 
commei'cial reference facilities are also available. 
The consulate general assists local exporters with 
their problems affecting the manner of their ap- 
proach to the American market and the placement 
of their products in the desired areas. 

If a local businessman or manufacturer is inter- 
ested in any phase of United States trade and pro- 
poses to visit the United States, the consulate gen- 
eral will announce his impending arrival to the 
Department of Commerce and issue the visi- 
tor an invitation to call on the manager of the 
nearest Department of Commerce office. In in- 
stances where business visitors are interested in 
representation, their names are included in the files 
of the Department of Conunerce and are brought 
to the attention of United States firms upon 
inquiry. 

I could go on and on to tell j'ou about our other 



' Editor's Note. Certain of the.se services are per- 
formoil uiion payment of a fee, as prescribed by law or by 
Executive orOer. 



86 



Department of State Bulletin 



I 



activities hore and to tlescribc to you tlu' inmi- 
inerabie unique experiences which liavc featured 
my tours of duty in other parts of tlie world. I 
liave purposely avoided a detailed description of 
all the functions which we jierforni but hope that 
I have at least sketched enoujjjh of a picture to en- 
able you to have a better understanding as to why 
we are here in Alexandria, what we do, and our 
place in your community. 



Chinese Representation 
in the United Nations 

Press release 376 dated July 8 

At his news conference on JuJy 8, Secretary 
Dulles wa.s asked ^rhefher he favored United States 
withdrawal from the United Nations if Bed China 
is admitted to that organization. Secretary Dulles 
made the follaicing reply : 

I am so confident that the Communist regime 
will not be seated in any of the principal organs 
of the United Nations that I do not care to proceed 
on the assumption that they will be seated. I 
think that weakens our case and strikes a note of 
defeatism which I think is entirely unjustified. 

The United States has a powerful case in this 
respect and it is a viewpoint which is shared by 
many other membei's of the United Nations. The 
record of the Chinese Communist regime is such 
that it is. in my opinion, clearly not qualified to 
be seated in the United Nations. 

Let me, if I may, elaborate that a bit. I recall 
from the daj's at San Francisco in 1945, when the 
charter was drawn, that thei'e was at that time a 
very considerable argument on whether the United 
Nations should be a universal body which would 
represent all the governments of the world, good, 
bad, or indifferent, or whether membership should 
be on a selective basis. That was strongly argued 
at San Francisco and the proponents of selectivity 
won. That is reflected by the provision in the 
charter that members should be peace-loving and 
able and willing to discharge their ol)ligations 
under the charter. That is strengthened further- 
more by the provision that any nation against 
which enforcement action was taken should be 
liable to suspension from membership in the 
United Nations. In other words, the United Na- 
tions was not set up to be a reformatory. It was 
assumed that you would be good before you got in 
and not that being in would make you good. 

The I'nited States, basing itself on the prin- 
ciples of the charter, which are clear, takes tlie 
Eosition that the Communist regime is disqualified 
y its consistent record of opposition to the prin- 
ciples of the United Nations. In Korea it carried 
on war against the United Nations. At the Geneva 
Conference it continuously denounced the United 



Nations. It has been the subject of enforcement 
action recommended by the United Nations. In 
Southeast Asia it promoted aggression. All of 
these facts combine to make a case such that we 
do not believe that the requisite vote can be found 
to admit the Communist regime to represent China 
in the Ihiited Nations. Because we believe that, 
we do not think that it is wise to proceed on the 
assumption that wo are going to be defeated. I 
do not believe Communist Cliina in fact is going 
to be seated. 

So far there are over 150 test cases which have 
come up in one or the other of the organs of the 
United Nations and in every one of those cases the 
position has been taken that the Communist 
regime should not be seated. In view of the 
strength of our case, the fact that we know many 
other countries share it with us, and in view of the 
past record, I see no reason whatever to assume 
that we are going to be defeated on this issue at 
the present time. 

Mr. Didles was a-^l'ed what he considered the 
requisite vote to defeat Red China!s being seated. 
He replied: 

I believe that, as far as the General Assembly is 
concerned, this certainly is an important matter 
which would require a two-thirds vote. Anybody 
that says this is not an important matter is cer- 
tainly not facing up to the realities of the situa- 
tion. I believe that in the Security Council it is a 
matter which is properly subject to veto. 

Mr. DulJes was asked whether that meant that 
the United States looxdd use the veto if necessary. 
He re-plied: 

It means that we would invoke the veto if neces- 
sary, yes. 

Mr. Dulles vms ashed whether that meant tliat 
the United States does not consider it a question of 
credentials. He replied: 

It means that we consider it what the charter 
calls an "important matter." The charter says 
that important matters shall require a two-thirds 
vote, and, as I say, anybody that does not think 
this is an important matter is exercising a curious 
judgment. 

The Secretary was asked whether, in the event 
that there would have to he a vote to determine 
whether this was or was not an important matter, 
that would he hy majority vote. He replied: 

That would be by a majority vote. The charter 
contains, in relation to the General Assembly, the 
basic provision that important matters shall re- 
quire a two-thirds vote. It then goes on by way of 
illustration to indicate certain matters which are 
by definition important matters. Then it goes on 
to say that the creation of an additional category 
of important matters should be by a majority vote. 



Ju/y ?9, J 954 



87 



Mr. Dulles was ashed who would he hurt the most 
hy A7nerican withdrawal from the United Na- 
tions. He replied: 

I don't think there is going to be any American 
witlidrawal from the United Nations or any oc- 
casion for it. 

A correspondent raised the point that Mr. 
Dulles'' predecessor took the position that a vote 
on Chinese Communist membership in the Security 
Council was not a vetoable question. Mr. Dulles 
was asked why his thinking differed on this point. 
The Secretary replied: 

The view is clearly accepted that the admission 
of a new member is subject to veto. And then the 
question arises as to whether the admission of a 
new government is subject to veto. 

In view of the fact that the charter tests as to 
eligibility obviously relate to governments, or can 
only be applied in terms of governments, it seems 
to me that if you look at the substance of the mat- 
ter rather than the form, the question of the 
eligibility of a new government should be subject 
to the same voting tests as the admission of a new 
state. 

The charter says that a state shall not be eligible 
for membership unless it is able and willing to 
carry out its obligations under the charter. Now 
the question as to whether a state is able and will- 
ing to carry out its obligations under the charter 
clearly depends upon its government. There is 
no way in the world of determining ability and 
willingness to carry out obligations except in terms 
of what is the attitude of the government, just as 
in the case of Guatemala, which has been referred 
to.' In that case we are withholding recognition 
until we are satisfied that the Government will be 
able and willing to carry out its international 
obligations. 

The test that the charter applies is a test which 
can only be applied in terms of governments. You 
cannot apply tlie test to an amorphous body, such 
as a state, without regard to its government. 
Therefore, as far as the substance of the matter is 
concerned, it seems to us that it is a substantive 
and not a procedural matter to determine whether 
or not the Communist regime shall be seated. 
That is the reality of the situation. The Soviet 
Union by veto prevents the admission of Japan, 
of Italy, and of many states who are qualified be- 
cause of their peace-loving and law-abiding gov- 
ernments to membership. To say that the Soviet 
Union can exercise that right in that respect, but 
that in this respect the right cannot be exercised, 
seems to me to put the letter above the spirit of the 
charter. 

Mr. Dulles was asked how he accounted for the 
fact that some of the governments whose repre- 
sentatives at Geneva only a few weeks ago signed 



the 16-poxoer declaration,^ lohich in effect termi- 
nated the Korean talks, can now so materially alter 
the view that they expressed in that declaration. 
He replied: 

Well, I was reading that just before I came down 
here. It says : 

The Communists repudiate and reject the authority and 
competence of the United Nations in Korea and have 
labelled the United Nations itself as the tool of aggression. 
Were we to accept this position of the Communists, it 
would mean the death of the principle of collective secu- 
rity and of the U.N. itself. 

Sixteen nations signed that declaration, and one 
of the reasons why I am confident that the Com- 
munist Chinese regime will not be seated in the 
United Nations is because of the fact that the 
principle to which they subscribed at that time 
leads irrefutably to the conclusion that that regime 
should not be brought into the United Nations. 
As indeed is said there, the position which Com- 
munist China represents, if it were accepted, would 
mean the death of the princi pie of collective secu- 
rity and of the United Nations itself. 

Mr. Dulles was asked whether his vieios on the 
admission of Communist China to the United Na- 
tions have been modified since loriting his book in 
1950 in which he stated that the only test should 
he whether the regime governs the country or not, 
and argued in favor of the universal theme rather 
than the selectivity theme. The Secretary replied : 

In the first place, I was arguing for an amend- 
ment of the charter of the United Nations which 
would adopt the principle of universality. The 
other theory was adopted and is in the charter, 
and that is what we are botmd by at the present 
time. Furthermore, since that was written, there 
has been the aggression of the North Koreans in 
Korea. There has been the Chinese intervention 
in that aggression. There has been the condemna- 
tion of Communist China as an aggressor. There 
has been the support by Communist China of ag- 
gression in Indochina. These are all events which 
in the winter of 1949-1950 were not predictable. 
We were entitled to believe at that time that there 
was a general acceptance of the principles of the 
United Nations. Since that time there has been a 
very marked change in the situation. There has 
been a scries of actions which indicate tliat the 
hopes which were legitimatfly entertained, I think, 
at that time pcrliaps cannot be entertained with the 
same confidence at the present time. 

The Secretary was asked whether that is not also 
true of the Soviet Union. Mr. Dulles replied: 

The Soviet Union is at the present time seated 
in the United Nations. It cannot be put out of 



' See p. 8,r 



88 



' Bulletin of June 28, 19.54, p. 07."?. 

Department of State Bulletin 



the United Nations because it would bo able to 
veto that action. In the case of the Soviet Union 
the matter is academic even if we assume, which 
is not necessarily to be assumed, that the record 
of the Soviet Union is coini)arable to that of Com- 
munist Cliina. The Soviet Union has never been 
dedaretl an ajrgressor by the United Nations, nor 
have enforcement measures been taken against it 
such as would justify suspension under the 
United Nations Charter. 

Mr. Dulles was asked whether the position of 
Coinmunist China in relation to the principles of 
the United Nations is a worse record than that of 
the Soviet Union. He replied: 

Yes, because Communist China has been found 
by the United Nations to be an aggressor and the 
United Nations has called for enforcement meas- 
ures against Communist China. There is nothing 
comparable in that respect as far as the record of 
the Soviet Union is concerned. Wliether that 
should be the case or not is another question. But 
the fact is that the Soviet Union has not been 
found by the United Nations to be an aggressor. 
Therefore it is not a question of inviting into the 
United Nations a government which is itself at 
war with tlie United Nations and is today subject 
to sanctions which have been called for by the 
United Nations. 

The Secretary was asked whether we are pre- 
pared to have this issue come to a vote in Septem- 
ber when the next Assembly meets, or whether we 
wcnild seek to postpone a vote on the Chinese 
admission. Mr. Dulles replied: 

I would not want to predict at this time what 
the particular techniques will be. Last year the 
matter came up in the form of a resolution, which 
I think I moved, that tlie question of the admis- 
sion of Communist China be postponed for the 
period of the Eighth Assembly.^ That resolution 
prevailed. I remember I handled it myself per- 
sonally on the floor at the opening day of the 
General Assembly. 

Asked whether or not he was ruling out the 
possibility that that move might be made again, 
he replied: 

No, that might very well be the procedure that 
would be followed. 

Asked whether in gach a case the vote required 
would be two-thirds or a majority, he replied: 

My recollection is that the resolution was 
adopted by a two-thirds vote, so that it became 
academic. 



Mr. Langley To Head Delegation 
to Philippine Trade Talks 

I'rcss relcuBc 308 dated July 

The White House on July G amiounced the des- 
ignation by Secretary Dulles of James M. Langley, 
New Hampshire publisher, as the chairman of the 
U.S. delegation which will meet with a Pliilippine 
delegation to consider possible modification of the 
194G Agreement on Trade and Ilelated Matters 
between the United States and the licpublic of the 
Philippines. This agreement has governed trade 
relations between the two countries since the Phil- 
ippines became independent on July 4, 1946. Its 
reexamination and readjustment were requested 
last year by the President of the Philippines as 
vital to the economic stability of his country, to 
which President Eisenhower replied that the 
United States stood ready to give prompt and 
sympathetic consideration to any specific pro- 
posals for revision which the Philippine Govern- 
ment might wish to advance.' 

Specihc proposals have been made by the Phil- 
ippine Government and subjected to preliminary 
examination by this Government. The consulta- 
tions and negotiations which are soon to take place 
are of importance to the United States because of 
its continuing interest in the welfare of the Philip- 
pines and its consequent willingness to discuss 
with the Philippine Government a matter which 
in the Philippines is considered to be of great 
importance. 

The U.S. delegation will comprise, in addition 
to Mr. Langley, two officers of the Department of 
State as deputy chairman, representatives of the 
Departments of Commerce and Agriculture, of 
the Treasury Department, and of the Foreign Op- 
erations Administration, and possibly an official 
of the Tariff Commission. 

The Philippine Government is expected soon to 
announce the composition of its delegation. Con- 
sultations will begin upon the arrival of the Phil- 
ippine delegation in Washington, which will prob- 
ably take place sometime within the next few 
weeks. 



Trade With Philippines 



TEXT OF PROCLAMATION' 

Wiieiulas, pursuant to the authority conferred by sec- 
tion 401 of the Philippine Trade Act of 1046 (60 Stat. 143), 
the President of the United States, through his duly em- 
powered Plenipotentiary, entered into an agreement on 



' For text of the Secretary's statement, see ibid., Sept. 
28, 19.j3, p. 412. The resolution was approved by a vote 
of 44 to 10, with 2 abstentions. 



' For texts of correspondence, see Bulletin of Sept. 7, 
19.5.3, p. .316. 
' No. 3060 ; 19 Fed. Reg. 4397. 



Ju/y J 9, 1954 



89 



July 4, 1946, with the President of the Philippines ; and 
Whereas on October 22, 1946, the two Governments ex- 
changed notes making certain clarifying amendments to 
the said agreement ; and 

Whereas the said agreement and the said notes were 
proclaimed by the President of the United States by Proc- 
lamations of December 17, 1946 and January 8, 1947, and 
entered into force on January 2, 1947 ; and 

Whereas the act of July 5, 1954, entitled "An Act to 
provide for an extension on a reciprocal basis of the period 
of the free entry of Philippine articles in the United 
States"',' provides as follows : 

"The duty-free treatment provided for in section 201 
of the Philippine Trade Act of 1946 (60 Stat. 143) shall 
apply in lieu of the treatment specified in paragraphs (1) 
and (2) of subsection (a) of section 202 of that Act, to 
Philippine articles entered, or withdrawn from warehouse, 
in the United States for consumption during such period 
after July 3, 1954, but not after December 31, 1955, as 
the President may declare by proclamation to be a period 
during which United States articles, as defined in that 
Act, will he admitted into the Republic of the Philippines 
free of ordinary customs duty, as such duty is defined in 
that Act. Notwithstanding any such proclamation, para- 
graph (2) of such .subsection shall be considered as hav- 
ing lieen in effect for the purpose of applying the pro- 
visions of paragraph (3) of such .subsection." : 

Now THEREFORE, I, DWIGHT D. EISENHOWER, Pres- 
ident of the United States of America, acting under and 
by virtue of the authority vested in me by the said act of 
July 5, 1954, do hereby declare and proclaim, on the basis 
of information received from the Government of the 
Philippines, that United States articles, as defined in the 
said Philippine Trade Act of 1946, entered, or withdrawn 
from warehouse, in the Philippines for consumption, dur- 
ing the period from July 4, 1954, to December 31, 1955, both 
dates inclusive, will be admitted into the Philippines free 
of ordinary customs duty, as such duty is defined in the 
said Philippine Trade Act of 1946. 

In WITNESS WHEREOF, I have hereunto set my hand and 
caused the Seal of the United States of America to be 
aflSxed. 

Done at the City of Washington this tenth day of July, 
in the year of our Lord nineteen hundred and 
[SEAL] fifty-four, and of the Independence of the United 
States of America the one hundred and seventy- 
ninth. 



^y (.jLa-^ L'CXU U-<^L^ A**o^ 



By the President 
John Foster Dulles 

Secretary of State. 



German Views on U.S.-U.K. Talks 

White House press release dated July 1 

Following is the text of a letter received hy the 
P rem dent from Chancellor Konrcul Adenauer of 
the Federal Republic of Germany: 

My dear Mr. Pre.side;nt : It is my sincere desire 
to tell you that the Federal Government has with 
deep satisfaction taken note of the Washington 
Connnunique of June 29 which you published in 
conjunction with Sir Winston Churchill after the 



conclusion of your talks.* The clear position on 
questions pertaining to Western Europe and espe- 
cially to the Federal Republic of Germany with 
respect to Western Europe coincides completely 
with the concept of the Federal Government. I 
particularly want to thank you for your renewed 
aifirmation that the Federal Eepublic of Germany 
should take its place as an equal partner in the 
community of Western Nations where it can make 
its due contribution to the defense of the free 
world. This statement is in accordance with the 
ardent desire of the great majority of the German 
people. 

Sincerely, 

Adenauer 



U.S.S.R. Retaliates for Expulsion 
of Soviet Officials from U.S. 

Press release 365 dated July 5 

On July 3 the Soviet Ministry of Foreign Af- 
fairs informed the American Embassy at Moscow 
that Lt. Col. H. Felchlin, U.S. Assistant Military 
Attache, and Maj. W. McKinney, U.S. Assistant 
Air Attache, have been declared persona non grata 
because of alleged improper activities in the Soviet 
Union. 

The U.S. Government through the American 
Embassy at Moscow has categorically denied the 
Soviet allegations, which are baseless, and pointed 
out to the Soviet Government that no evidence 
whatever has been given to support these charges 
regarding Lt. Col. Felchlin and Major McKinney. 

Maj. McKinney and his family, who are now 
on vacation outside the Soviet Union, will not 
return to Moscow. Arrangements are bein^ made 
for the early departure of Lieutenant Colonel 
Felchlin and his family. 

Since there is no foundation whatsoever for the 
arbitrary action of the Soviet Government with 
resjiect to Lieutenant Colonel Felchlin and Major 
McKinney, it is obvious that the Soviet authorities 
have taken this action in retaliation for the expid- 
sion in recent months of three Soviet officials for 
espionage and improper activities in this country. 

Comdr. Igor A. Amosov, Assistant Naval At- 
tache of the Soviet Embas.sy, was declared persona 
non grata by the Department of State on Febru- 
arv -'5, 1954. Commander Amosov departed from 
th'e TTnited States February 8, 19.54. 

Alexander P. Kovlyov, Second Secretary of the 
Soviet delegation to the United Nations, was asked 
to leave the United States on February 3, 1954. 
He departed P'ebnuiry 10, 1954. 

Lt. Col. Leonid E. Pivnev, Assistant Air At- 
tache of the Soviet Embassy, was declared persona 
nan grata by the Department of State on May 29, 



• Public Law 474, 83d Cong. 



• liULLETiN of July 12, 1954, p. 49. 



90 



Department of Stale Bulletin 



1!)54. Lieutenant Colonel Pivnev (le|)iu-tcd from 
tlie rnitfil States dh ,liine O, l!>r>t. 

The texts of the Soviet note and the American 
Embassy's reply follow. 

U.S. Note of July 4 

The Embassy of the United States of America 
acknowledjies receipt of the note of the Ministry of 
F'oreign Alfairs of the Union of Soviet Socialist 
Republics of July 3, 195-4, concerniufj; Lt. Col. 
Howard L. Felehlin and Maj. Walter McKinney, 
Assistant Military Attache and Assistant Air 
Attache of this Embassy. 

The Embassy wishes to state that neither these 
officers nor any otiier members of this Embassy 
have engaged in activities incompatible with their 
diplomatic status and observes tiiat the Ministry 
submits no evidence in support of its allegation 
against Lt. Col. Felehlin and Maj. McKinney. 

However, in view of the action of the Soviet 
Government in declaring these officers persona non 
grata, the Embassy informs the Foreign Ministry 
that Maj. McKinney and his M'ife are presently on 
leave and will not return to the Soviet Union, and 
Lt. Col. Felehlin and his family will depart from 
the Soviet Union on the Ambassador's airplane on 
July S, 1954. 

Soviet Note of July 3 

The ^linistry of Foreign Affairs of the Union of 
Soviet Socialist Republics has the honor to state 
the following to the Embassy of the United States 
of America. 

Competent Soviet authorities have established 
that the Assistant Military Attache of the United 
States, Lt. Col. H. Felehlin, and the Assistant Air 
Attache of the United States, Maj. W. McKinney, 
have made use of their stay in the Union of Soviet 
Socialist Republics to carry out espionage work 
and have, in this manner, engaged in activity in- 
compatible with their diplomatic status. 

In connection with this Lt. Col. H. Felehlin and 
Maj. W. McKinney are declared to be persona non 



grata and the Ministry expects that the Embassy 
will take measures for their immediate departure 
from the Soviet Union. 



Czechoslovak Abduction 
of U.S. Soldiers 

I'reiis release 372 dated Julj' 7 

Following is the text of a note delivered on July 
7 by the Am-er'tcan Emhassy at Prague to the 
Czechoslovak Foreign Office: 

The Embassy of the United States of America 
presents its compliments to the Ministry of For- 
eign All'airs and has the honor to state that United 
States authorities in Germany have reported that 
the following members of United States armed 
forces arc now in the custody of Czeclioslovak bor- 
der authorities . . . [names and ranks of person- 
nel].' These soldiers were proceeding innocently 
without arms along the border in the vicinity of 
Barnau on July 4 when they were seized by a 
Czechoslovak patrol at approximately 1830-1900. 
The Czechoslovak border patrol in this area has 
already acknowledged that these American sol- 
diers are in Czechoslovak custody. The U.S. Gov- 
ernment protests in the strongest terms this abduc- 
tion of American soldiers and demands their 
immediate return to U. S. authorities in Germany .- 



Administrator of Seaway Corporation 

The Senate on July 2 confirmed Lewis G. Castle 
to be administrator of the St. Lawrence Seaway 
Development Corporation.^ 

' The men later were identified as Capt. Jack M. Davis, 
Corjiciral John F. Ghisson, and Privates Leonard Tennis, 
J. W. Griffith, John F. Switzer, Richard J. Jumper, and 
Koss F. McGinnis. 

"On July 15 the men were returned to Seventh Army 
authorities at Waidhaus-Uozvadov on the German-Czecho- 
slovak border. 

' For hackground, see Bulletin of June 21, 1954, p. 959. 



Ju/y ?9, 7954 



91 



New Treaties on International Travel 



UNITED NATIONS CONFERENCE ON CUSTOMS FORMALITIES FOR THE TEMPORARY IM- 
PORTATION OF PRIVATE ROAD VEHICLES AND FOR TOURISM 



ly H. H. Kelly 



With 55 nations represented, a United Nations 
conference on customs formalities for tourists was 
held at U.N. headquarters in New York from 
May 11 to June 4, 1954. The conference accom- 
plished successfully the purpose for which it was 
called — the drawing up and signing of two treaties 
designed to simplify and standardize customs for- 
malities on automobiles used for private touring 
purposes and on the personal effects and other be- 
longings of tourists in general. The new treaties 
are expected to be a further incentive to interna- 
tional travel, already an important factor in the 
economic and social progress of almost all nations 
of the free world. 

In 1926 an international conference at Paris 
reached agreement on certain measures to facili- 
tate international highway traffic, including recog- 
nition of an international customs pass (camet de 
passages en douane) to permit tourists to take their 
automobiles across national frontiers under bond 
and without payment of customs duty. In 1949 at 
a United Nations conference at Geneva, a world- 
wide Convention on Road Traffic was drawn up, 
including among its provisions a brief reference 
to the desirability of simplifying customs for- 
malities applicable to tourists' automobiles and 
again recognizing the usefulness of the camet. 

Since it was obvious that much more detailed 
provisions on tourism would eventually be neces- 
sary to meet modern conditions, the U.N. Trans- 
port aTul Communications Commission considered 
the subject at successive meetings. The Commis- 
sion obtained data and recommendations from the 
member governments, decided to elimiiuite consid- 
eration of aircraft, pleasure boats, and commercial 
motor vehicles, and finally recommended to the 
Economic and Social Council in February 1953 
tbat an international conference be convened to 
conclude two conventions, one on private road 
vehicles and the otlier on tourists belongings. 
Ecosoc, in turn, instructed the Secretary-General 

92 



to convene a conference of governments.^ The 
New York meeting was the result. 

The agenda of the conference was of the stand- 
ard type, its two main items relating to the two 
conventions for which it had been assembled. To 
the second of these, however, regarding personal 
effects of tourists, the conference itself added an 
item on "tourist publicity documents and mate- 
rial" which emerged linally as a protocol to the 
second convention. 



Participation and Organization 

In number of countries represented, the con- 
ference proved to be one of the largest technical 
gatherings ever assembled by the United Nations. 
This fact undoubtedly reflects the universal inter- 
est of governments of the free world in the devel- 
opment of international travel. 

The following 47 governments were represented 
by official delegates : 



Argent ina 
Australia 
Austria 
Belgium 
Bolivia 
Burma 
Cambodia 
Canada 
Cevlon 
Cliile 
China 
Colombia 
Costa Kica 
Cuba 

Dominican Repub- 
lic 
Ecuador 



Egypt 

France 

Federal Republic 

of Germany 
Guatemala 
Haiti 
Honduras 
India 
Iran 
Israel 
Italy 
Japan 
Jordan 
Lebanon 
I^uxembourg 
Mexico 
Monaco 



Netherlands 

Panama 

Peru 

Philippines 

Portugal 

San Marino 

Spain 

Sweden 

Switzerland 

Syria 

United Kingdom 

United States 

Uruguay 

Vatican City 

Yugoslavia 



The following eight governments were repre- 
sented by observers: Brazil, Denmark, Finland, 
Greece, Hungary, Iraq, Thailand, and Turkey. 



" Resolution 4GS F (XV ) dated Apr. 15, 10.^.3. 

Department of State Bulletin 



The followiiii; orfjjiinizatioiis wero iilso repre- 
sented: United Nations Educational, ScientiKc, 
and Cultural Organization, Customs Cooperation 
Council, Orj^anization of American States, Or- 
ganization for European Economic Cooperation, 
Intel-national Cliamber of Comincrce, Inter-Amer- 
ican Federation of Automobile Clubs, Interna- 
national Automobile Federation, International 
Touring Alliance, International Air Transi)ort 
Association, International Road F'ederation, In- 
ternational Union of Official Travel Organiza- 
tions, and Caribbean Tourist Association. 

The members of the United States delegation 
were as follows : 

.lames J. Wadswovlh, Deputy U.S. Representative to the 

I'liiti'd Niitidns. cluiirmtni 
lleiu-y H. Kelly, Office of Transport and Communications 

Policy, Department of ."^tatc, rice chairman 

1 >r. Herliert Ashton, Bureau of Foreign Commerce, De- 

partment of Commerce 

Victor A. Macl;. (Office of International Finance, Depart- 
ment of tlie Treasury 

Victor A. Wallace. Ofliee of the Legal Adviser, Department 
of State 

In addition, the following highly qualifled ex- 
perts in the matters under consideration were 
available as consultants to the U.S. delegation: 

Francis 15. Laughlin, Assistant Collector, and John J. 
Casazza, Deputy Collector, Bureau of Customs, New 
York, N. Y. 

J. D. Uyan, Director of Foreign Touring, and .lohn Gavi- 
gan. Assistant Director, American Automobile Asso- 
ciation. New York, N. Y. 

Somerset K. Waters, Jr., Director of Business Develop- 
ment, American Magazine, representing the National 
Association of Travel Organizations 

Andrew Kelly, I'resident. Sutherland International Des- 
patch, representing the American Society of Travel 
Agents 

At the opening plenary session on May 11, the 
Secretary-General of the United Nations wel- 
comed the participants. The conference then 
elected by acclamation the following officers : pres- 
ident. Philippe de Seynes (France) ; vice chaii-- 
men. A. S. Lall (India) and Orencio Nodarse 
(Cuba). It also set up the following committees 
and working parties, which subsequently elected 
chairmen as indicated: Credentials, H. Scheltema 
(Netherlands) ; Legal, G. de Sydow (Sweden) ; 
Working Party on Vehicles, Franz Luethi (Swit- 
zerland) ; Working Party on Tourists' Efi'ects and 
on Publicity Material, Charles Hopchet (Bel- 
gium). 

Plenary sessions were also held on May 12 for 
general discussion, but the two Working Parties 
took over on May LS and labored for more than 

2 weeks in morning and afternoon sessions on the 
task of preparing texts for the conventions and 
protocol. Special drafting groups also held nu- 
merous meetings. The final plenary sessions con- 
vened during the week of May 31, and the cere- 
monj- of signature and the adjournment of the 
conference took place on June 4. 

Jo/y 19, 1954 

308230—64 2 



Final Act 

The formal results of the conference were set 
foith in a Final Act, two conventions, and a pro- 
tocol. The Final Act, signed by 41 nations, is 
noteworthy because it calls special attention to tiie 
fact that the agreements reached by the confer- 
ence "set out minimum facilities, which are less 
than those allowed by many of the Contracting 
States." It also pled<^es that "the Contracting 
States will endeavor to increase the facilities which 
they now grant." Thus the participants recog- 
nize that these agreements are in the nature of 
lowest-connnon-denominators, made necessary by 
the fact that some nations are not yet able to give 
as full encouragement to international travel as 
others do. No country which already has liberal 
provisions on customs formalities for tourists, 
however, is in any sense recjuired or expected to 
change its policy because of the new agreements, 
and indeed all participants are urged in effect to 
increase their present facilities. This atmosphere 
of confidence in future improvement pervaded the 
conference in general. 



Importation of Vehicles 

The Customs Convention on the Temporary 
Importation of Road Vehicles ^ marks a distinct 
improvement over previous treaties of this nature 
by clarifying and standai'dizing the requirements 
to be met by motorists in taking their cars across 
national frontiers. It amplifies the provisions of 
the Convention on Road Traffic of 1949, the aims 
of which are referred to in the preamble of the 
new treaty. The convention contains 44 articles, 
of which the last 12 are the usual procedural treaty 
clauses, together with 5 documentary annexes. 

In essence, this convention provides that each 
contracting state shall grant temporary admission 
without payment of import duties, subject to re- 
exportation, to vehicles owned by persons nor- 
mally resident outside its territory, for private 
use on the occasion of a temporary visit (up to 
6 months) . Temporary importation papers guai 
anteeing payment of import duties and import 
taxes are authorized to be issued by recognized 
motoring associations. Component parts re- 
quired for repair of vehicles already imported 
under the terms of the convention will also be ad- 
mitted free of duty provided they are reexported 
with the vehicle. (This provision, which won the 
support of practically all delegations at the con- 
ference, will necessitate a minor amendment to 
U.S. customs legislation, but the Department of 
the Treasury and other agencies of the Federal 
government agreed to its desirability and the U.S. 
delegates accordingly were able to sign the con- 
vention without a reservation on this point.) 



' U.N. doc. E/Conf. 16/22 dated June 7, 1954. 



93 



The temporary importation papers above cited 
include the carnet de passages en douane, valid for 
more than one country; a "triptych," valid for 
only one country ; and a new and simplified docu- 
ment called a "diptj'ch," valid for only one country 
and incorporating a detachable sticker to be af- 
fixed to the windshield of the vehicle. The va- 
lidity of these documents is limited to one year, 
although provision is made for their extension for 
a brief period if necessary to permit completion of 
a journey. Certification is also provided for cases 
in which the papers are undischarged, destroyed, 
lost, or stolen. All of these papers are specified in 
exact form in the 5 annexes to the convention. 

The temporary importation papers constitute a 
bond or guaranty that the issuing association will 
pay the customs duty on any vehicle which is not 
reexported from a contracting state within the 
period of validity. This is a basic requirement in 
any convention of this nature, since most countries 
must be protected against the possibility of vehi- 
cles being imported, ostensibly for touring pur- 
poses, but in reality for sale without payment of 
duty. The outstanding exception, and perhaps the 
only one, is the United States, which does not re- 
quire any bond or other document for the entry 
of foreign tourists' automobiles other than a no- 
tation on the baggage declaration. This liberal 
policy on the part of the United States reflects its 
predominance in the field of automobile manufac- 
ture and usage, as well as its desire to make inter- 
national travel both less expensive and more at- 
tractive. Wliile the U.S. customs procedures are 
not affected by most of the substantive provisions 
of the convention, American tourists traveling 
abroad will be helped under many of its terms. 

The convention includes many additional pro- 
visions designed to protect both the contracting 
states and the motoring associations in the matter 
of temporary importation papers and thereby 
clarifies numerous questions which have been vexa- 
tious in the past. The significance of these pro- 
visions will be realized by international motorists 
in the future as their passage across national 
boundaries becomes smoother, more expeditious, 
and less expensive. On the other hand, there is, 
of course, a penalty clause, pi'oviding that any act 
which has the effect of causing a person improp- 
erly to benefit from the liberal system of importa- 
tion laid down in the convention "may render the 
offender liable in the country where the offense 
was committed to the penalties prescribed by the 
laws of that country." 

One additional feature is worthy of special note. 
This is the recognition, largely at the initiative 
of the U.S. delegation, of the increasing impor- 
tance of "drive yourself" cars in international 
motoring. Provision is made for vehicles to be 
admitted and used by third persons duly author- 
ized by the holders of the papers, provided that 
such persons normally reside outside the country 
of importation and fulfill the other conditions of 

94 



the convention. Here for the first time is a sound 
legal basis for the hiring of cars to be used inter- 
nationally for private touring purposes — a wel- 
come privilege for large numbers of American 
tourists abroad. 

A strong effort was made by the French dele- 
gation to have the subject of commercial vehi- 
cles included in the convention. It was defeated 
on the grounds that this was not within the terms 
of reference of the conference, that most delega- 
tions had no instructions on the subject, and that 
in any case it would introduce questions of com- 
petitive means of transport which would go far 
afield from the basic problem of facilitating travel 
by private automobile. In recognition, however, 
of the fact that bus operations might be helped 
in certain countries by the standard customs docu- 
ments established by the convention, the U.S. 
delegation suggestecl that these documents "be 
utilized for commercial road vehicles transporting 
tourists, by any contracting state which permits 
the entry and operation of such vehicles in inter- 
national traffic." This proposal was unanimously 
adopted and incorporated as a recommendation in 
the Final Act. 

The Customs Convention on the Temporary Im- 
portation of Koad Vehicles will enter into force 90 
days after deposit of the fifteenth instrmnent of 
ratification or accession. The 29 nations which 



signed it at New York are as follows : 



Argentina 
Austria 
Belgium 
Cambodia 
Ceylon 
Cuba 

Dominican Repub- 
lic 
Ecuador 
Egypt 
France 



Federal Republic 

of Germany 
Guatemala 
Haiti 
Honduras 
India 
Italy 
Mexico 
Monaco 
Netherlands 



Panama 

Philippines 

Portugal 

Spain 

Sweden 

Switzerland 

United Kingdom 

United States 

Uruguay 

Vatican City 



Customs Facilities 

The Convention Concerning Customs Facilities 
for Touring ^ is briefer than that on vehicles. It 
has 25 articles, of which only 13 are of a sub- 
stantive nature, the remainder being the customary 
final clauses required for treaty purposes. 

Basic to this convention is its delinition of the 
word "tourist," as "any person without distinc- 
tion as to race, sex, language or religion, who en- 
ters the territory of a Contracting State other 
than that in wliich that person normally resides 
and remains there for not less than twenty-four 
hours and not more than six montlis in the course 
of any twelve month period, for legitimate non- 
immigrant purposes, such as touring, recreation, 
sports, healtli, family reasons, study, religious pil- 
grimages or business." Here for the first time 



' U.N. doc. E/Conf. 16/20 dated June 7, 1954. 

Department of State Bulletin 



in an internutional instrument is a broad yet 
thoroujjii ilescription wiiioli should clarify the 
status of the bonu fulc international traveli-r in all 
countries. 

Many houi-s of discussion were devoted to the 
liannnering out of these words, and in the end the 
delinition as given above was approved in plenary 
session by lio votes to 3, with G abstentions. Some 
of tlie words had given rise to brisk diH'erences of 
opinion before the final vote, perhaps the most 
signilicant relating to "business" as one of the 
legitimate jiurposes of tourism. On this point, 
a motion by tlie Guatemalan delegate to strike the 
word "business" was rejected by 20 votes to 12, 
with 4 abstentions. Adoption of the definition by 
the conference marked a considerable victory for 
the U.S. delegation, which, mindful of the diffi- 
culties caused in many countries by restrictive 
limitations on certain classes of tourists, had in- 
sisted throughout the discussions in working par- 
ties and plenary sessions upon wording which was 
essentially the same as that finally adopted. 

In brief, this convention provides that contract- 
ing states shall admit temporarily, free of import 
duties or import tiixes, the personal effects of tour- 
ists — defined as ''all clothing and other articles 
new or used which a tourist may personally and 
reasonably require . . . but excluding all mer- 
chandise imported for commercial purposes." 
^Vmong these personal effects are also included 
such items as personal jewelry, one camera with 
12 plates or 5 rolls of film, one miniature moving- 
picture camera with 2 reels of film, one pair of 
binoculars, one portable radio, one portable sound- 
recording apparatus, one portable typewriter, 
sports equipment, etc. This constitutes a very 
broad definition of personal effects, which should 
result in manj' more items being accorded duty- 
free customs treatment than has been the case in 
the past in many countries. 

Also there may be admitted free with each tour- 
ist 200 cigarettes or 50 cigars or 250 grams (about 
1/4 pound) of tobacco provided that the total 
quantity in any case does not exceed 250 grams; 
one regular-size bottle of wine and 14 liter (about 
14 quart) of spirits, and 14 liter of toilet water 
and a "small quantity of perfume." Although 
these quantities will undoubtedly appear small 
to some travelers, they represent substantial con- 
cessions on the part of many signatories to this 
first worldwide agreement on the subject. The 
U.S. tourist will find that many countries actually 
extend more liberal allowances. 

Authorization is also granted for each tourist 
to import in transit travel souvenirs totaling not 
more than $50 in value and to export in addition 
travel souvenirs totaling not more than $100. 
There is a short but significant article reading: 
"The Contracting States shall endeavor not to 
introduce customs procedures which might have 
the effect of impeding the development of inter- 
national touring." Recognition is paid to the 



right of contracting states to apply special regu- 
lations relative to arms and anununition, and to 
articles having ri-lation to "public morality, pub- 
lic security, jjublic healtli, hygiene, veterinary or 
phyto-pathoiogical considerations" — the last 
phrases applying to plant and animal quarantine 
restrictions. The liberal provisions of the con- 
vention may be denied to a tourist who enters the 
country of import more than once a month or to a 
tourist under 17 years of age, and a safeguard 
phrase, "provided there is no reason to fear abuse" 
is used several times. In the event of fraud, con- 
travention, or abuse, proceedings may be insti- 
tuted for recovery of duties and imposition of 
penalties, and an offender is made subject to the 
laws of the country where the offense was 
committed. 

As in the instrument on vehicles, the convention 
will come into force after 15 countries have rati- 
fied it. It was signed at New York by the follow- 



ing 28 countries : 

Arjjentina 
Austria 
Bel^'ium 
Cambodia 
Ceylon 
Cuba 

Dominican 
Republic 
Ecuador 
EgJ-pt 



France Panama 
Federal Republic Philippines 

of Germany Portugal 

Guatemala Spain 

Haiti Sweden 

Honduras Switzerland 

Italy United Kingdom 

Mexico United States 

Monaco Uruguay 

Netherlands Vatican City 



Tourist Publicity 

A Protocol Relating to the Importation of Tour- 
ist Publicity Documents and Material (to be an- 
nexed to the convention on touring),* based on a 
document submitted by the French delegation, 
was also adopted by the conference. The U.S. 
delegation did not participate in this activity, hav- 
ing no instructions on the mattei-, and did not 
sign the Protocol. As a matter of fact, the French 
draft, which was not submitted until after the con- 
ference opened, appeared to entail important 
legislative and tariff' revisions which the United 
States could not undertake without extensive re- 
view. It appeared, furthermore, to duplicate at 
some points the Samples Convention signed by the 
United States at Geneva in November 1952 but not 
yet ratified by the United States Senate. The 
IProtocol permits the free entry of books, maga- 
zines, posters, documentary films and recordings, 
etc., "the purpose of which is to encourage the 
public to visit foreign countries." It was signed 
at New York by 22 countries, as follows : 



Argentina 


Federal Republic 


Panama 


Austria 


of Germany 


Philippines 


Belgium 


Haiti 


Sweden 


Cambodia 


Honduras 


Switzerland 


Cuba 


Italy 


United Kingdom 


Ecuador 


Mexico 


Uruguay 


Eg>-pt 


Monaco 


Vatican City 


France 


Netherlands 





• U.N. doc. E/Conf . 16/21 dated June 7, 1954. 



iuly 19, 1954 



95 



From the point of view of U.S. interests, this 
United Nations conference may be characterized 
as successful. The members of the U.S. delega- 
tion, comprised of representatives of the Federal 
departments and national private organizations 
chiefly interested in the matters under considera- 
tion, regard with satisfaction the Final Act and 
the two Conventions which the conference 
adopted. All of the major points in the U.S. in- 
structions, which had been carefully prepared 
during several months of consultation, were incor- 
porated in these documents. Notable among 
them are the following : 

The concept of "minimum facilities," which all 
nations are encouraged to improve upon. 

The concept of "normal residence," which estab- 
lishes the eligibility of a tourist to receive special 
customs privileges abroad without running coun- 
ter to the existing laws of many countries. 

Exclusion of commercial motor vehicles (buses 
and trucks) from the mandatory provisions of the 
first convention. 



Clarification and standardization of the customs 
documents for vehicles. 

Extension of privileges to the so-called "drive 
yourself" vehicles. 

Recognition of the relationship between the ne sv 
agreement on vehicles and the basic Convention 
on Road Traffic of 19-19. 

A clear delineation of the rights and duties of 
motoring associations. 

An exact definition of "tourist," with enumera- 
tion of the various principal classes of travelers 
and including "business" as a legitimate purpose. 

A helpful enumeration of "personal effects." 

Authorization for travelers to carry travel sou- 
venirs in transit and to export them from the 
country of purchase. 

Due regard in all cases for the statutory rights 
and duties of customs authorities. 

• Mr. Kelly, author of the above article, is in 
charge of inland transport and travel matters for 
the Office of Transport and Communications Pol- 
icy, Department of State. 



U.S. Administration of the Trust Territory of tlie Pacific Islands 



Statement ly Frank E. Midhiff 

High Commissioner of the Trust Territory ^ 



Mr. President and Representatives in the Trus- 
teeship Council, it is a pleasure to appear before 
you for the second time as the special representa- 
tive for the United States and thus make myself 
available to the members of the Council in their 
review of the annual report for the administra- 
tion of the Trust Territory of the Pacific Islands 
for the period from July 1, 19.52, to July 1, 19.53.^ 

1 wish to testify at this time to the benefits to 
my administration of our last meeting. Not all 
the recommendations made by all the members 
of the Trusteeship Council at the last meeting 
were found possible to apply during this year. 
Many of them, of course, in fact nearly all of the 
suggestions, were of a general policy nature and 
could not be reflected in definite adoption except 
gi-adually and over a period of many years. How- 
ever, the wise counsel of the members of the 



'Made in the U.N. Trusteeship Council ou July 7 (U.S./ 
U.N. press release 19.'U). Mr. Midkiff is special U.S. rep- 
resentative to the Council. 

• U.N. doc. T/1118 dated May 18, 1954. 



Trusteeship Council is again sought and their 
guidance is sincerely appreciated. 

More than a year has elapsed since June 30, 1953, 
the closing date of the period reported upon and 
under review. It is thought desirable therefore 
to review in this opening statement some of the 
past year's developments that have taken place and 
that are not covered in the report. 

I would like to point out at this time that I do 
not touch in this statement upon the petition which 
the Council has received from the Mar.shall Is- 
lands regarding the conduct of experiments in- 
volving nuclear devices. This petition I under- 
stand will be considered by the Council's Peti- 
tions Committee. I should, however, like to in- 
form the Council that the United States has made 
it possible for Dwight Heine, who was one of the 
principal draftsmen of the petition, to be present 
here. Mr. Heine will be available when the peti- 
tion is discussed in the Committee to answer any 
questions that members of the Committee may 
have regarding the petition. It is our intent in 
having Mr. Heine present to enable tlie Council 



96 



Department of State Bulletin 



to have firsthand information on the petition and 
to enable Mr. Heine to follow throii<;n to its con- 
clusion the petition which he helped originate. 

Since March i;?, l',);");], when 1 assumed ofllce, I 
have made four trips to the trust territory. I feel 
much more closely in touch with the people and 
their nroblems than I was a year aj;o. Also, in this 
periotl it has been necessary for me to make six 
trips to "Washington, visiting the Department of 
Interior and other departments of the (iovernnient 
and including; last year's visit to the Trusteeship 
Council of the United Nations. 

It is desired in this statement to place before 
you some of the chief problems of our administra- 
tion and thus present to you an opportunity to 
sup<];est possible approaches looking toward even- 
tual solution. 



Relocation of Headquarters 

One of the recommendations stressed at the last 
meeting of the Trusteeship Council was that a de- 
cision should be made concerning the location of 
the headquarters of the trust territory adminis- 
tration. Although this decision had not been 
reached by the end of the period of the report, a 
decision now has been reached to move the head- 
quarters of the High Commissioner to Guam. This 
relocation, which will take place within a few 
months, is on an interim basis pending the time 
when funds will be available to construct a trust 
territory headquarters within the trust territory 
itself. The temporary location in Guam will pro- 
vide that the High Commissioner and his small 
stall' are geographically closer to the district cen- 
ters of Koror, Yap, Truk, and Ponape and some- 
what closer to the district center of the Marshall 
Islands than is the present headquarters location 
in Honolulu. 

The members of the Council will be interested to 
learn that during the past year, also, and prior to 
the decision to move the remnant of the High Com- 
missioner's office to Guam, the location of the De- 
partment of Public Health was changed to Ponape 
within the trust territory, and the location of the 
Department of Education was changed to Truk. 
both within the trust territory ; also, the Fiscal and 
Supply Officer and his staff and the Executive Of- 
ficer and his staflf were moved to Guam, thus bring- 
ing all the "line" functions closer to the district 
centers. It will be seen, therefore, that at the pres- 
ent moment there is only a very small nucleus left 
in Honolulu, consisting of the personal staff and 
the advisers of the High Commissioner, and these 
very shortly will be moved to Guam. 

Chief Problems 

In general, it may be said that the basic diffi- 
culties for administering the trust territory con- 
tinue: (1) the great expanse of the area in which 
the islands lie; (2) the paucity of land and other 

July J 9, 1954 



natural resources; and (3) the diversity of lan- 
guages and the nine ethnic groups. The adminis- 
tration is keetdy aware of the many proijlems that 
arise from these basic conditions. We have been 
working away at them constantly. It aj)pears to 
us that we are developing on a sound basis, but we 
appreciate the oi)})ortunity at these sessions to 
profit by the experience and guidance of the Trus- 
teeship Council. 

As to the problem of great distances over the 
ocean between the district centers and the nu- 
merous atolls of the trust territory, we attempt 
somewhat to reduce this by the organization of the 
territory along geographical lines and [)laciiig the 
islands in six geographical areas, each area or dis- 
trict under the direction of a District Administra- 
tor. Fortunately, these District Administrators 
and their staffs are proving to be sympathetic and 
unclerstanding of the people and their problems 
and able to afford guidance and direction by per- 
sonal contact in most cases. Continuity in service 
and years of experience, along with proper per- 
sonal characteristics, are of great importance in 
developing an effective district staff. We are still 
in the transition stage, somewhat, in this respect. 
In fact, we are considering more decentralization 
and less dependence upon the central district staffs 
antl more upon individual workers at more key 
points. 



At What Rate Shall Change Occur? 

One problem intertwining all others and involv- 
ing a wide range of opinion and procedure is what 
shall we do about the "rate of change" or the speed 
at which customs should change in Micronesia. As 
stated in my closing remarks during the last session 
of the Trusteeship Council meeting,' I was im- 
pressed then and still am impressed with the fact 
that there are two quite different ways of ap- 
proaching change amongst the peoples of the trust 
territory. 

The first way is purposefully to hasten change 
and achieve by dramatic and possibly even vio- 
lent steps the overthrowing of the extended family 
or customary controls and the adoption of a West- 
ern ty]:)e of democratic system. A year's observa- 
tion of changes that currently are taking place has 
caused me to believe that on the whole we do not 
need to complain that change in Micronesia is too 
slow. There are indications that rapidity of 
change is causing indigestion and possibly not 
merely imagined distress. 

The second way of approaching change is to try 
to see that it occurs in a quiet, evolutionary man- 
ner and that most change is expected to extend 
over a period of years and to take place in response 
to the felt needs of the Micronesian people. 

There is no doubt that in certain spheres change 
is essential — in some cases unavoidaole — and that 



' Bulletin of Aug. 3, 1953, p. 150. 



97 



progress can be made to follow change if matters 
are wisely handed. At the same time, it has be- 
come increasingly evident that the Mici'onesians 
must manage their own affairs to a very large ex- 
tent and that tlieir competence in such manage- 
ment must increase and their confidence in their 
ability so to do must be restored as it was in the 
days before the outsider came. For in those days 
it is evident that they cai'ried on with a great 
measure of success, adjusted their lives to the lim- 
ited land, fresh water, and natural resources, and 
to the perils of sea and storm with which they were 
more or less constantly confronted. 

This whole question, therefore, is laid before the 
Trusteeship Council with the statement that we 
are attempting to blend the old and new gradually, 
but never to accomplisli a complete substitution of 
the new for the old. Does it seem proper to the 
Council that we should continue constructively but 
cautiously to build upon Micronesian custom and 
culture? The basic environment of the Microne- 
sian people lias changed only slightly and possibly 
only superficially during recent decades, no matter 
what manner of men have held political control. 
Should we not be cautious about insisting upon the 
adoption of a culture pattern that has evolved from 
continental conditions and in regions where natu- 
ral resources are vast as compared with those of the 
trust territory islands ? 

ELECTION OF OFFICIALS 

Take, for example, the election of officials as 
contrasted with the established method of selection 
of the leaders. To begin with, it is noted that 
97 out of a total of 117 magistrates are elected. 
The established method of old for selecting leaders 
or chiefs was largely influenced first by heredity 
and secondly by native ability, but nevertheless the 
leaders were schooled and trained and were re- 
quired to provide sound leadership or they were 
cleposed. Can we expect officials who are elected 
to be as competent in leadership and as responsive 
to the needs of their people as are the chiefs? 
Should we not, at any rate, while encouraging elec- 
tion of officials, also encourage the retention of au- 
thority of the responsible customary and heredi- 
tary leaders of the people and possibly look upon 
this blending as insurance of both liberal and con- 
servative elements of the government? Will this 
not tend to create less confusion and afford an 
evolutionary and workable method of providing 
cliange and progress? 

The Conununity and District Courts which are 
presided over by Micronesians have continued to 
function throughout the year with increased 
efficiency as the judges become more and more 
familiar with tlieir duties and the provisions of 
the Code of the Trust Territory. During the past 
year, a Micronesian Public Defender has been ap- 
pointed for each district. They have all worked 

98 



under the direct supervision of the American 
Public Defender who as he travels throughout the 
district instructs them in the necessary rudiments 
of law and court procedure. It is planned to hold 
a 10-day meeting of all Micronesian Public De- 
fenders within the next month or so for the pur- 
pose of conducting an intensive course in the 
duties which they are called upon to perform. 

ORGANIC LEGISLATION 

The island people have well established codes of 
customary law. The imposition of a Western code 
or "organic act" over the whole trust territory 
would run counter to customary law in certain 
places. This might not be serious if the environ- 
ment and factors of living were modifiable to suit 
the new Western code. However, the environ- 
ment cannot be changed by fiat. Would it not 
seem, therefore, that the enactment of "organic 
legislation" and in fact the application of our own 
trust territory code, which is based on Western 
legal concepts and practices, might well be per- 
mitted to come slowly and in response to felt need ? 
As a matter of record, our judges have this fully 
in mind in administering our code. 

We have found that there are well recognized 
needs for certain new laws. Such we are proceed- 
ing to enforce. We also see the need for the con- 
tinuance of the great body of the customary laws. 
We are endeavoring to codify these. 

Very earnest study has been given by officials of 
the trust territory. Department of Interior, and 
representatives of the Congress to preparation of 
a suitable organic legislation bill during the past 
year. It has been found best to continue study of 
such legislation, based upon longer observation 
of local legislation needs. Also, it is lioped that 
a guide may be indicated during the coming years 
as we codify native codes and laws. 

A bill has been enacted by the Congi'ess author- 
izing the continuance of tlie present government 
and administration of the Trust Territory of the 
Pacific Islands and authorizing that funds shall 
be appropriatetl to finance the same.'' This au- 
thorization extends until June 30, 1060, during 
which time organic legislation thoroughly appro- 
priate to the needs of the area will be studied, 
formulated into a bill which is clearly for the best 
interests of tlie Micronesian people, and then en- 
acted into law. 

CHANGE THROUGH EDUCATION 

Does not the theory of changing slowly and in 
an evolutionary manner also indicate a question 
concerning education? Would it be advisable for 
us to adopt the practice of bicultural education? 
In tiiis, we should try to retain the best of the old 
ways and add gradually those items of the more 

* r*ublic Law 451, 83d Cong. 

Deparfment of State Bulletin 



modern way of life thiit will be beneficial in the 
economy and ofTirial lifo of the peoiile. Most 
people teacii nuKli of their fiindaiuonta! customs 
and tloniestic skills to tlieir children in homes and 
connuunity. AVith encour;igement, such teaching 
can be restored and expandetl and somewhat 
modernizetl in Micronesia — at no public cost. 

More tlian a century ago, Christum missionaries 
spread tlieir influence tiiroughout the trust terri- 
tory. Tlie ten commandments were tlisseminated 
and ixradiially became established in place of many 
of the old customs. Superficially, at least, idola- 
try disajipeared and indivitluals tiiroughout 
Micronesia, with few exceptions, accepted Chris- 
tianity. Missionary schools stressed the 3 R's and 
to a slight extent the apjilication of science, as well 
as teaching some otlier tilings that were regarded 
as a more modern, practical way of living. These 
latter included modern cooking, clothing, laundry 
jiractices, and the use of modern handtools. 

The Germans, in turn, introduced the idea of 
producing copra on a commercial scale. It is 
manifest, therefore, that these agents already and 
long ago modified the culture of Micronesia to 
a very definite extent and many of these modifi- 
cations have become acceptable to the people. 
Many now desii'e and request systematic formal 
education which they regard as affording oppor- 
tunities for personal growth and development. 
It is right at this point that problems arise as to 
whether the Micronesians should be afforded edu- 
cation that will wean them from their environ- 
ment and fi'om service to their people and prac- 
tically urge them to residence and employment 
in outside areas. 5Iay it be that a combination 
of the old and the new — of education for improve- 
ment of their local conditions on the one hand, 
and on the other hand for their own personal 
growth and competence even beyond the oppor- 
tunity of use locally — can be gradually and wisely 
harmonized ? 

Do the members of the Trusteeship Council who 
have had personal experience in administrative 
problems with dependent people conclude that it 
is wise to let the people find their own way to a 
considerable extent, though at the same time aid- 
ing them in their efforts to improve their own 
conditions? 

We have 100 students pursuing advanced courses 
in Suva, (hiam, Manila, Honolulu, and the Ameri- 
can mainland. These young people are training 
themselves in fields including medicine, dentistry, 
sanitation, nursing, general education, priesthood 
and ministry, business and commerce, communi- 
cations, and certain skilled trades. 

The medical and dental students at Suva are 
being financed by the trust territory government. 
A few students are sponsored by civic and pro- 
fessional groups in Hawaii. Several are spon- 
sored by the Catholic Mission of the trust terri- 
tory. Alany of the 100 are working their way 
through school. 



Most of them at present intend to return to the 
trust territory to serve amongst their people and 
improve conditions in their communities. 



WAYS AND STANDARDS IN ADJUSTMENT 
WITH LOCAL ECONOMY 

Since the resources of the area are inevitably 
limited, does it not seem wise to avoid the intro- 
duction of ways and standards that cannot be 
maintained by the economy of tlie area? In other 
words, when it is known what tlie Micronesians 
actually desire, after having weighed all factors 
over against their long island experience, then 
we are in a position to aid them to obtain these 
things insofar as they are practicable. Since 
their environment is limited and their economy 
correspondingly meager, does this not indicate 
that we should go slow in disturbing the mores 
and economic customs that have proved adequate 
over so many generations? Cannot we agree that 
insofar as it is practicable, can be sustained by the 
local economy, and the people really desire it 
enough to espouse it and make it work, our "ob- 
jective is the preparation of the population for 
the integration of the scientific changes of this 
century into their own cultural pattern?'' 

I have stated these simple questions as to what 
we shall do concerning the "rate of change" in 
several ways, I hope not too repetitiously, because 
I am impressed by the belief that we must have 
the proper answers in order wisely to deal with 
most all other problems in the area. 



Development of Self-Sufflcient Economy 

A .second problem arises in connection with the 
foregoing. This problem has to do with how to 
aid the Micronesians to develop a self-sufficient 
economy. It will be recalled that the Micronesians 
of old had a self-sufficient economy at subsistence 
level which provided a form of living that some 
modern people today might enjoy. However, it is 
impossible for many of the Micronesians forthwith 
to return to their ancient mere subsistence economy 
for the following reasons: Their means of sub- 
sistence have been damaged or destroyed by im- 
poi-ted pests, war damage, and "Western modifica- 
tion, and the Micronesians themselves today wish 
something different from the old subsistence econ- 
omy. The problem, therefore, is to develop a self- 
sufficient economy above the mere subsistence level. 

The past year has been occupied with action to 
improve the economic lot of the Micronesians. 
The Administering Authority has taken not one 
cent of revenue from the area. Rather, it has 
assumed annually a net outlay of several millions 
of dollars in carrying out its trusteeship. 

Gains have been made steadily. These gains in- 
clude, in some cases, painful readjustment toward 
an economic basis that will be able to support prac- 
ticable standards of living, fitted to the islands' 



July 19, J954 



99 



environment and resources, and capable of being 
maintained by the Micronesians tliemselves as and 
-when they become self-governing. 

As special representative, I submit to the Trus- 
teeship Council the above premise for action and 
trust that it will meet with the approval of all 
members when duly considered. It seems to me 
the only sound basis for permanent administration. 

I should like to review with you some of the 
steps we are taking in this direction. 



COCONUT CULTURE 

The chief product of Micronesia is copra. At 
present, more of it can be produced than is needed 
for subsistence. This excess is sold in exchange for 
trade goods. Most of the copra comes from the 
low islands. As the population increases on these 
low islands, the need for coconuts for food will 
increase, and unless husbandry is improved, the 
excess of copra for sale will decrease proportion- 
ately. It is known that coconut husbandry can be 
improved by genetic selection and by improved 
methods of planting and cultivation. 

Coconuts naturally grow well in Micronesia, but 
in many places war damage to the trees and the 
introduction of pests have reduced production. 
Also, since the time of the German administration, 
there has been a neglect of husbandry. Coconut 
trees now in most places are old and are in crowded 
forests whereas they should be in well spaced 
groves with rows properly planted. Efforts must 
be constantly exerted to improve the strain and 
variety of the nuts. Work is being done to en- 
courage increased production from existing trees 
and to replace many of the trees now close to the 
end of their bearing period. It is hoped that the 
introduction of burros and outboarcl motors, in 
addition to increased personal leadership on the 
part of the District Administrator, the agricul- 
turists, and the chiefs, will lead to increased indus- 
try and labor resulting in higher output. A ''low 
island" nursery and propagation center to select 
and plant quality nuts is being formed for Jaluit 
Atoll. Seed selection and programs to improve 
planting procedures are under way generally 
throughout the districts. 

A survey by W. V. D. Pieris of the South Pacific 
Commission, who is a world authority on coconut 
culture, has given us helpful recommendations 
which, altliougli not yet adopted generally, have 
benefited the program considerably. 

During August 19.53, a live scolia wasp was dis- 
covered in Koror (Palau Islands), which indicates 
that efTorts to establisli tlie wasp, which is a 
predator of the rhinoceros beetle, have been suc- 
cessful. The last release of scolia wasps was made 
in December 19.51. It is hoped that the wasps 
will multiply to the extent iiecessary to control the 
ravages of the beetle. Otlr>r steps are being taken 
to combat the beetle, including removal of vast 



numbers of old coconut stumps and collection and 
destruction of grubs. 

The high islands have some areas that are ca- 
pable of substantially increased production of 
crops heretofore unused by the Micronesians to 
any considerable extent. Modern agriculture and 
horticultural science reveal ways of using more of 
the areas of the high islands, while at the same time 
maintaining the watershed and conserving the 
soil. The problem here is: Shall these possi- 
bilities in modern science be enforced upon the 
Micronesians, or shall the spur of necessity and 
enlightenment through education be depended 
upon to develop a feeling of need and desire on 
the part of the Micronesians so they will appre- 
ciate aid given in these lines and in due time them- 
selves assume the cost of carrying on modern and 
improved agriculture? 



FISHERIES, INCLUDING TROCHUS 



V=*^^*^ .*«r^ ■ 



During the past fiscal year the trust territory 
has explored possibilities for developing coimner- 
cial fisheries m Micronesia along lines that will 
insure maximum participation of, and accrual of 
direct benefits to, the Micronesians. 

Much first-rate advice was obtained through 
consultation with members of the Tuna Industry 
Advisory Committee (advisory to the Director, 
U.S. Fish and Wildlife Service), which met at 
Honolulu in February of this year. Partly as a 
result of such counsel, and also on the strength of 
advice received at frequent intervals from officials 
of the Pacific Oceanic Fishery Investigations (an- 
other activity of the Fish and Wildlife Service), 
first attention is being given to encouragement of 
local fisheries in the districts, for the purposes of 
increasing the supplies of fish protein needed for 
local consumption, as well as to enable exports to 
neighboring districts and to Guam. Efforts are 
being put forth further to develop the program 
instituted at Ponape in early 1952 whereby Kap- 
ingamarangi and Mokil men residing there mar- 
ket the fish catches obtained off the main channel 
entrance. Since inception of the ])lan, surpluses 
have been shipped regularly to Truk for use there 
in the hospital and central dining room, with 
some going on to Guam. 

A plan to store and raise fish in fish pens for 
export sale has been broached at Ponape but has 
been discounted as a likely commercial venture 
by fisheries experts. The fish pens, however, long 
successfully used on Mokil Atoll, may have future 
value in connection with local subsistence fishing 
activities elsewhere. 

The government of the trust territory is observ- 
ing closely the new — and for American fishing in- 
terests, radical — experimental expeditions to the 
central Pacific area by the U.S. fishing groups. 
Activities and i^articipation by Micronesians are 
objectives in all such ]ilanning. 



100 



DepartmenI of State Bulletin 



Conversations are proceeding with Hawaiian 
and west coast commercial lirms toward tlie de- 
velopment of improved tishinfi: facilities for the 
Micronesians. It is not planned to set up can- 
neries or byproducts plants, but it is anticipated 
that the islandei-s will be taught ways to improve 
their tishing intake. 

The .Iai)anese military, in order to further their 
security program, destroyed all but 80 of the 
Micronesians' 1,500 canoes. This literally wiped 
out the native subsistence tishing on many islands 
except for reef wading and lishing. Since each 
canoe requires a mature breadfruit tree to manu- 
facture, and since there are no surplus breadfruit 
trees on most islands, it will take a considerable 
time to replace the canoes. The Micronesians are 
now occupied in remodeling and repairing surplus 
whaleboats and motor launches to meet the need. 
In a few instances, they are constructing cabin 
launches which use an outboard motor or engine, 
permitting wider cruising range. 

The trochus industry yielded $18,439 to the 
Micronesians in 1953. At present we are spread- 
ing the trochus beds and extending the period of 
the harvest season annually, thus increasing this 
source of income. 



ANGAUR PHOSPHATE MINING 

Negotiations for opening of new mining areas 
at Ajigaur were conducted in Honolulu with offi- 
cials of the Japanese Phosphate Mining Company 
at intervals throughout the early months of 1954. 
The mining firm was, of course, most anxious to 
obtain permission to enter remaining agricultural 
lands underlaid by phosphate deposits. Discus- 
sions as a result were prolonged and thoroughly 
exhaustive and involved considerable hj'drological 
and agricultural research and observations. 

At the beginning of April 1954 an extension to 
the basic contract was agreed upon according to 
which mining is authorized in an additional tract 
located at North Angaur. The area is expected 
to be exhausted in October of this year, at which 
time mining is to terminate finallj'. There will 
then remain slightly less than ten acres of first- 
grade taro land available to the North Angaurese 
clans, and this acreage is considered to be the min- 
imum beyond which it is not in the best interests 
of the inhabitants to encroach. 

The Phosphate Mining Company, in order to 
protect ground water supplies and replace land 
areas destroyed in mining, is bound by contractual 
obligation to backfill bodies of standing water 
resulting from past operation. 



JALUIT DEVELOPMENT PROGRAM 

Authorized on October 2, 1953, with an initial 
allotment of $4,000, this Jaluit Development Pro- 
gram was established to provide for rehabilitation 
of Jaluit Atoll as a prelinunary step in resettling 



islanders on the Island of Jabwor, former site of 
the Japanese civil headquarters in the Marshalls. 
On December 30, 1953, the authorized allotment 
was increased to a total of $5,500. 

Main emphasis is to be placed on agricultural 
redevelopment, with specialattention to setting up 
a coconut nursery for distiibution of selected seed 
nuts and seedlings to the liarrcn lands and to other 
areas of the territory. Of eciiial importance is the 
concept of employing at Jaluit a carefully selected 
couple to inaugurate an operation designed to 
awauen the voluntary participation of tlie local 
islanders in local improvement undertakings for 
their own benefit. It has been possible to attract 
a mature, self-reliant couple interested in a chal- 
lenging assignment of this type. 



CACAO 

A search for new subsistence crops and commer- 
cially feasible cash crops adapted to the islands is 
continually pursued by our agriculturists. At the 
moment cacao seems to hold promise for the fu- 
ture as a source of cash income, and active experi- 
mentation is now being done with this plant at 
Ponape and more especially in the Palau areas 
(Babelthaup Island and elsewhere). Mature 
plantings of Criollo variety remaining from Jap- 
anese agricultural experiments are providing a 
source of seed for propagation activities on the 
high islands. 

Thousands of carefully selected cacao seedlings 
are now being grown and are being distributed on 
the various districts where the soil, temperature, 
rainfall, etc., are suitable for cacao growing. At 
Palau 29,000 cacao plants have been set out in a 
nursery and another 1,000 distributed to local 
people. Other seedlings have been established in 
two nurseries at Ponape. The staff is studying the 
best ways to grow, cultivate, harvest, prepare, and 
market the crop. 



OTHER ECONOMIC PROJECTS 

As careful study indicates the advisability of 
trying additional economic projects, funds will be 
made available for experimentation up to and in- 
cluding pilot studies. In a very small way the pro- 
duction of beef is being undertaken and carefully 
watched. Nine blooded Brahma bulls have re- 
cently been shipped from Tinian to Rota and 
Ponape to improve the local stock. Cattle are be- 
ing run in coconut groves where legumes have been 
planted. They aid in keeping the plantations 
clean of brush so that coconuts can be harvested 
more easily. Swine and poultry stock and their 
luisbandry are being improved. Many Micro- 
nesian families have pigs and chickens, but the 
grade is very low. During the past year, many 
selected breeding swine have been imported in an 
effort to improve the quality and quantity of pork 
available to the Micronesians. Tropical fruits 



July 19, 1954 



101 



and spices especially adapted to the area will be 
investigated; black pepper, vanilla, and some 
others are now growing. High island reforesta- 
tion projects, badly needed after the widespread 
forest destruction of the Japanese period (illus- 
trated by extensive overcropping and clearing for 
clean farming), are contemplated and being un- 
dertaken to assist in (a) soil conservation, and (b) 
timber for lumber. 



HANDICRAFT 



A systematic pi'ogram of improving the quality 
and quantity of handicrafts is being carried on by 
the administration. There seems to be an ade- 
quate market for properly made merchandise, 
although transportation and customs costs are 
high on many items. However, the Micronesians 
need to learn the necessity to produce goods of 
consistent quality and in addition be able to adjust 
to a small margin of profit when such items are 
competing with handicrafts from other areas. 
Furthermore, regularity of supply is not easy to 
accomplish since it requires somewhat factory- 
type work rhythms — things quite out of character 
with the Micronesians. New production incen- 
tives are being sought. Handicraft comprises 
the chief source of income on several islands and 
atolls, where the large populations consume nearly 
all the coconuts. The receipts of Micronesians 
for their handicraft products in 1953 were $20,388. 
By good management this can be increased. 

We are constantly torn between the desire to 
speed up production by modern plantation meth- 
ods on the one hand, and on the other hand the 
contrasting policy of encouraging the people 
themselves to observe the modern way of agricul- 
ture and thereupon to undergo the routine and 
regimentation required to make a success of im- 
proved agriculture. We, therefore, show the 
chiefs and the people and the school students ways 
of improving coconut strains and bettor ways of 
planting the seed coconuts. We are demonstrat- 
ing cacao as a new cash crop. We are making new 
strains of pigs and chickens available to those who 
wish to purchase them. We are showing the effect 
of new grasses and legmnes. We are showing that 
coconuts can be grown through large, deep holes 
in former concrete airfields. We are going ahead 
with the control of the rhinoceros beetle and show- 
ing the people the part they have to play in this 
serious undertaking. We are trying the same 
methods in introducing and conditioning the 
people to democratic processes of government and 
to the method of free elections by secret ballot. 

In all of these agricultural and political im- 
provements, we are trying to avoid waste of energj' 
and money and discouragement through recom- 
mendations and experiments that may meet with 
failure in the long run. In this jirogram, we 
solicit the suggestions and counsel of members of 



this Trusteeship Council who have had years of 
experience in similar situations. 



Tax Structure and Practices 

A third problem deals with the establishment of 
a suitable tax structure to enable governmental 
organizations to function. The Micronesian 
chiefs are accustomed to levying certain forms of 
taxes amongst membei's of their own municipali- 
ties. There were some cases where the levies ex- 
tended over nearby island groups, sometimes in 
the form of what might be called tribute. A more 
modern system of taxation is now becoming under- 
stood by many of the Micronesians who are asking 
for guidance in setting up suitable tax systems. 
The question is to what extent are thej^ able to tax 
themselves to provide the modern conditions they 
ask for. 

During the past year, increased attention has 
been paid to the collection of local taxes with the 
end in view of paying all elementary school 
teachers' salaries from locally collected taxes. 
For this purpose the districts of Truk and Ponape 
have recently promulgated, with the concurrence 
of the Council of Chiefs and the Island Congress, 
respectively, a simple tax on all imports except 
food intended for human and animal consumption. 
The Marshall Islands District, in accordance with 
a resolution of the Marshallese Congress, has a tax 
on all copra processed for export, for the exclusive 
purpose of paying the salaries of all elementary 
school teachers. It is my intention to encourage 
this healthy sign of local responsibility by foster- 
ing additional taxes to the point where not only 
all elementary school teachers, but also local health 
aides, will receive their salaries from local 
revenues. 

As the American employees cany on their 
family homes and normal life as residents of the 
trust territory, they require conditions not too 
different from those to which they have been 
accustomed before entering the trust territory 
service. For their children they wish adequate 
medical service and suitable education, and for 
their families they wish the advantages of some of 
the modern conveniences that have become neces- 
sities to these families while they lived in America. 
Provision of these things for the Americans sets 
an example before the Micronesians. who gain de- 
sires for similar benefits and advantages. The 
question is how and to what extent shall the Micro- 
nesians attain any such modern facilities as their 
economy can sui)port. Certain features of health 
service are regarded as suitable continuing ex- 
penditures for the Administering Authority. The 
same applies to teacher training and certain trade 
and technical instruction to enable the Micro- 
nesians to do work existing in the trust territory 
government and in which tlie Micronesians nnvy 
attain competence. Inqiorts h;ive become neces- 



102 



Department of State Bulletin 



sities in certain cases. This applies to clothing 

ami certain (iru<js. 

Is it soiintl ailministration to see the Micro- 
nesians beconiin<; accustomed to the enjoyment 
and use of imports and Western services for which 
(hey tiiemselves are able to pay in one way or 
another? Usually the ability to pay can be pafied 
by tlie amount of money or labor tliey reasonably 
can advance throufrh a system of taxes or through 
barter. The administration is assisting the 
Microiiesians to accpiire funds through copra 
processing taxes, import taxes, and income taxes. 
The sums tiiat are available through taxes are not 
large in comparison with the costs of services the 
Micronesians are receiving under the existing ad- 
ministration. The question is how to aid the 
Micronesians best in an adjustment to services 
and facilities which they themselves are able to 
pay for through a tax structure that is practicable 
for them, rather than have the Administering Au- 
thority subsidize such items and thereby reduce 
Micronesian incentive toward self-reliance. 



Health Improvement 

One of the features of "change" that all appar- 
ently concur in is health improvement. Basically 
we are trying to eliminate serious diseases, most 
of which "have been brought in by outsiders, al- 
though yaws was a bad and extensive disease that 
had existed from time immemorial. 

"\Vc are making considerable progress. In fact, 
control of disease through modern drugs and prac- 
tices is resulting in a vei-y impressive and, one 
must admit, startling increase of population. 

Our health personnel are rapidly being aug- 
mented and in many cases replaced by Micro- 
nesians, as the following figures indicate. Stu- 
dents in the technical training program of the 
Public Health Department: 

1. J'oniKiI Training 

Enrolled in the Suva School for native medical 
and dental practitioners : 

To complete a 4-year course in December 1954_ 25 
To complete a 4-year course in December 1!)55_ 3 
To complete a 4-year course in December 1956- 2 

Native practitioners serving medical internship — 
Hawaii 3 

Native graduate nurses in formal training — 
Hawaii 2 

Graduates of the Trust Territory Pacific Islands 
Central School enrolled in the Trust Territory 
School of Nursing 10 

Trust Territory course for training of native sani- 
tarians 15 

2. Informal Apprenticeship Training Continuous in Trust 

Territory Hospitals 

Native medical and dental interns and practi- 
tioners 13 

Nurse aides, outer-island health aides, laboratory 
technicians, etc. Average number 35 

July 19, 1954 



Another item may be of interest, to wit: a new 
approach to isolation facilities for leprosy. 

I'nder current arrangements, conlagious cases 
of leprosy are carried (o tlie trust territory lepro- 
.sariiim on the Island of Tinian now a(hiiinistered 
by the U.S. Navy. This island is strange to most 
Micronesians and involves serious cost and trans- 
portation problems. 

Concepts concerning isolation for leprosy are 
changing. KnowkHlge of conununicabijity is in- 
creasing. More exact classilication of the disease 
is possible. Treatment of early cases is more ef- 
fective. 

It is believed that two smaller isolation units 
within the civilian administered territory, one at 
Yap and one at Ponape, would be preferable to 
one large one. 

Based on the foregoing, the following plan is 
being developed : 

(a) Selection of a tract of land suitable for sub- 
sistence agriculture and food gathering accessible 
to an established hospital and to the sea for 
lishing. 

(b) Cooperation of the native people (espe- 
cially members of a family in which there is a case 
of leprosy) in constructing a well-planned native 
isolation village with central infirmary for treat- 
ment and care of nonambulatory cases. 

(c) Staff with trained native attendant under 
regular supervision of a physician from the 
hospital. 

(d) Temporary transfer of surgical cases to 
the hospital as need arises. 

Plans are under way for selection of two suitable 
sites and arrangements with native leaders for im- 
plementing the project as a native undertaking 
with whatever supervision and imported materials 
found necessary. 

This program is considered practicable, reason- 
ably adequate, and within the resources of the 
administration and the people. 



Employment of Micronesians 

Members of the Trusteeship Council who have 
had experience in administering colonies and trus- 
teeships are aware that the enumeration of a few 
problems by no means indicates that this present 
list requiring solution and constant attention is a 
complete one. 

With this understanding, I turn to a fifth prob- 
lem or cluster of problems arising out of the 
policy to use Micronesians insofar as is possible 
in filling positions in government. At the present 
time, we are able to provide employment to 
Micronesians in many normal and continuing 
phases of government work, and in excess of nor- 
mal administration needs when we have public 
works construction, stevedoring, maintenance, or 
repair going on. Such employment is on a tem- 

103 



porary basis. The cash income thus made avail- 
able in the Micronesian economy is appreciated. 

The main consideration, however, is to get 
Alicronesians into tlie permanent government posi- 
tions now lield by Americans insofar as such posi- 
tions are necessary and on essential operations at 
ai^propriate levels. At the same time, we are to 
provide training on the job for Micronesians, 
bringing them along to a point where their serv- 
ices are adequate for general administrative needs. 

At the present time there are 1,262 Micronesians 
in this permanent employment category, distrib- 
uted as follows (these figures do not include em- 
ployees of the Micronesians by themselves in their 
municipalities) : 

Health Services, 237; Education Services, 61; 
Security and Public Safety, 106; Public Works, 
649; Agriculture and other Economic Projects, 
149 ; other categories, 160. 

There has been a decrease of 26 Micronesians 
occupying these public positions and replacing 
Americans during the past year. However, there 
has been a decrease of 48 American employees 
also during the past year. In other words, we 
are cutting government posts down to a size which 
the economy largely can support. The problem 
confronting us is how to carry on the essential 
operations at an adequate level and at the same 
time provide training on the job for Micronesians, 
bringing them along to a point where their serv- 
ices are adequate for general administrative needs. 
Our methods include on-the-job training by our 
own American personnel together with the use of 
training materials provided by the headquarters. 
The competence of certain Micronesians, if inter- 
ested in the particular work and adequately 
trained, is gratefully recognized. Their language 
limitations constitute, in many ways, serious im- 
pediments to their service, but these obstacles are 
being overcome. In other fields of service, they 
are really doing an outstanding job. One illus- 
tration may suffice: 

Dr. Isaac Lanwi is a native medical practitioner 
who, because of his interest in his patients and 
his profession, was given an extra year of training 
in the Hilo Hospital in Hawaii. He specialized 
in eye surgery. His year's training resulted in 
what our physicians and the staff at the Hilo Hos- 
pital regard as miusual skills. He was accom- 
panied back to Micronesia by the head of the Hilo 
Hospital, who assisted him in preparing patients 
and then retired while Dr. Lanwi performed cat- 
aract operations throughout the trust territory, all 
of which have turned out successfully so far. 
Similar illustrations could be given to indicate 
the competence of many other native medical prac- 
titioners and Micronesians in other lines of work 
and their capacity to profit by additional spe- 
cialized training. 

AVe shall appreciate receiving suggestions from 
the Trusteeship Council members as to the best 
methods of developing competence in the Micro- 



nesians to carry on the important functions of 
government and other essential services through- 
out this vast area. 

We are affording an opportunity in the field of 
government for the ^Micronesians to learn the par- 
liamentary process and for them to practice the 
use of the secret ballot in elections. In this field 
we are aware of the problem of providing for the 
customary and well established conservative or 
council type of Micronesian government with all 
of its necessary contributions and benefits and, 
as noted earlier in this statement, at the same 
time encouraging the progressive elements to co- 
operate with the conservatives in sound and con- 
structive development. 

Settlement of Land Claims 

Our sixth problem may be called land claim 
settlements or resettlement on lands. As it has 
been reported heretofore, we have a definite policy 
prohibiting alienation of Micronesian lands. Any 
lands being used for government purposes or by 
anyone except Micronesians themselves are re- 
garded merely as being leased. The title remains 
with the original owners. 

Now it is not clear in many cases who the origi- 
nal owners were and who would constitute the 
rightful successors in title according to Micro- 
nesian customs. This is due to takings by the 
Spanish, the Germans, and the Japanese. In 
many cases, as, for example, when the land was 
taken by the Germans, compensation was made, 
and an assumption has to be made that the trans- 
action was between free agents and that the com- 
pensation was fair. The Germans proceeded to 
develop copra plantations and to set up small 
settlements for their administrative uses and resi- 
dences of their agents. Apparently the Micro- 
nesians adjusted themselves to this taking during 
a period of years and recognized the necessities 
of the situation without continuing claim or 
complaint. 

When the Japanese entered the picture, they 
announced themselves as heirs to all lands held by 
the Germans and declared these to be a part of the 
"public domain."' They also saw that there was a 
considerable part of communally held land that 
apparently was not being actively used by the 
Micronesians and this they added to "public do- 
main." Unfortunately, altliough this land was not 
continuously used by the Micronesians in all cases, 
it nevertheless had a value, and title to it was com- 
plete according to Micronesian custom. An illus- 
tration of this would be the high lands not regarded 
as comfortable for residences but necessary for 
forest reserve and watersheds. Nevertheless, the 
Micronesians from earliest times used these areas 
as a source of trees and lumber as well as a source 
of other mountain growing ]iroducts — herbs, fiber, 
stones for their implements, etc. The Japanese 
operated under the League of Nations Mandate 



104 



Department of State Bulletin 



and their acquisition of lands for their vise and 

for (lu'ir "public doniain'' has been rejjanled as 
huviiif^ been carried out in proper form. In other 
words, it is assumed that the Japanese paid for 
the land at prices satisfactory to the sellers up 
until about 19;}" or the time when the Japanese 
excluded other nations from entering the area 
and discontinued reporting to the League of Na- 
tions. Our administration and our land claims 
officials have been assembling information and 
testimony and completing a cadastral survey, thus 
trying to arrive at an overall understanding of 
the whole land claims problem. 

We have difficulty in arriving at a "fair value" 
determination for many types of claims. We have 
felt it necessary to complete the survey and studies 
and tind out to what extent people have been in- 
jured before adopting any fixed policy or rates 
of compensation. We have held that it is desirable 
to act in a manner that is fairly uniform but with 
allowances for some gradations of value dependent 
upon former use of the land, location, etc. 

Meanwiiile, we have been able to provide every 
Micronesian who has desired land an area to live 
on and work. In some cases, these have been 
necessarily on a revocable lease basis depending 
on definite determination of fact. We have made 
much progress during the past year in this analy- 
sis, although it must be admitted that there are 
many former owners who are anxious to have 
settlements completed and inevitably are impa- 
tient with our inability to conclude their cases be- 
fore this date. However, it is a pleasure to record 
the conscientious and painstaking work done, and 
that will very soon enable us to close many more 
claims. 

In many cases, the reason Micronesians do not 
have title to the land they are occupying, or their 
alleged titles in some cases are in doubt, is due to 
an almost complete loss of German and Japanese 
land records and by population shifts due to both 
Japanese and American military occupation and 
construction and subsequent permanent military 
and civil administration requirements. 

The chaotic land condition originally facing the 
present administration is being reduced to one of 
order pursuant to the broad outline contained in 
Chapter 15, "Keal Property, Trust Territory Code 
and Land and Claims Regulation No. 1." The 
principal steps being employed are as follows : 

( 1) Surveying and marking with concrete posts 
the areas of all private holdings. This has been 
an expensive and time consuming task, but it has 
been a required starting point in nearly every land 
case. 

(2) Hearing and evaluating damage or rental 
claims arising out of use of private lands by the 
United States and its agencies. 

(3) Determining the perimeters of all former 
Japanese owned land, both public and private. 

(4) Determining the areas which will be needed 

July 19, 7954 



on a permanent basis for civil administration and 
negotiating witli the owners in the ca.se of pri- 
vately owned land for a reasonable rental. 

(5) Establishing areas of public lands, com- 
monly referreil to as '"public domain," including 
lands formerly owned by Japanese individuals 
antl corporations. 

(G) Establishing the basis for acquiring home- 
steads. 

(7) Negotiating with the Armed Forces for 
ade<iuate compensation for those lands being re- 
tained on a permanent basis for military purposes, 
including Aec [Atomic Energy Commission] 
lands. 

We are continuing our studies of atolls and of 
land use. 

In addition to the settlement of claims due to 
taking by government, we now are beginning to 
have land problems due to overpopulation on some 
of our low islands. This requires a new form of 
resettlement, and we are approaching the solution 
in two ways : (a) by studying atolls to see to what 
extent we may have atolls or islands on atolls avail- 
able for use of people that necessarily must be re- 
moved from their present or former atoll loca- 
tions; (b) by study of the hinterlands of the high 
islands to see how to adapt them for residential 
and agricultural uses of additional Micronesians. 

In centuries gone by, disease, wars, and infanti- 
cide placed strict limitations upon the growth of 
the population. Now, however, disease is being 
conquered, infant mortality is comparatively low, 
and interisland wars and infanticide no longer 
exist. The number of children is very striking 
throughout Micronesia today. The birth rate is 
high and survival also is high due to our health 
services. The population is increasing quite rap- 
idly. This poses a basic problem for the adminis- 
tration where land areas are so severely limited 
and where necessarily a very large percentage of 
the high islands are steep slopes and unsuited for 
habitation but are required for watersheds and 
forest reserves. 



Closing of Island Trading Company 

The seventh problem that we have had to deal 
with during the past year is the termination of the 
Island Trading Company. This organization has 
operated since the close of World War II and has 
served to purchase and market copra and there- 
upon distribute trade goods throughout the area. 
It has been operating entirely not for private gain. 
It has paid all its own expenses, has served with- 
out a government subsidy, and has laid up a reserve 
to be used for the benefit of the Micronesians. It 
is organized as a stock corporation with but one 
share of stock, and dividends are never paid, but 
any possible net surplus has been held for eco- 
nomic betterment of the Micronesians. By act of 

105 



Congress, this organization must be terminated as 
of December 31, 1954. The corporation, tliere- 
fore, has been developing successors to itself. It 
has assisted at least one capable and promising 
Micronesian private enterprise trading company 
in each clistrict, and in the short time given for the 
close of its business, it has endeavored to make sure 
that the flourishing independent firms, wliicli Itc 
was carrying as "agents" in each district, can be 
preserved for the benefit of the Micronesiaus tliem- 
selves and can be carried on as totally Micronesian- 
owned stock companies throughout each district. 

It is a pleasure to assure the Trusteeship Council 
that the Island Trading Company now feels quite 
satisfied with its efforts to establish these succes- 
sors. _ At least one Micronesian company in each 
district has an experienced salaried American 
manager, and each, with supervision until the end 
of this calendar year by the Island Trading Com- 
pany personnel, will be able to assume copra pur- 
chasmg and trade goods merchandisinir responsi- 
bilities satisfactorily. In fact, some of the trad- 
ing companies already are engaging in additional 
enterprises such as soap manufacturing, collection 
of coir fiber for market, surface transportation, 
etc. 

Distances and Surface Transportation Costs 

A further set of serious problems evolves 
from providing adequate surface transportation 
throughout this vast area. The resources of the 
area are so limited that it is not good business nor 
economical for commercial vessels to provide regu- 
lar surface transportation for the entire area 

The two CI-MA-VI-4,800-ton (AK) ships that 
ply between Japan, Guam, and our district centers 
and carry copra and scrap to Japan, returning 
some trade goods therefrom and picking up other 
manufactured trade goods at Guam, are now oper- 
ating at a slight profit. These, of course, are gov- 
ernment-owned ships and no charges are made 
against Micronesiaus for the capital investment 
and amortization. For atolls lying near to the 
district centers, the Micronesiaus themselves pro- 
vide a considerable amount of their own transpor- 
tation in small sailing craft with auxiliary engines, 
and we have been stimulating and encouraging 
this growth ; but for the more distant atolls'^and 
for the purpose of transporting our administrative 
personnel and their effects and supplies, we find it 
necessary to have somewhat larger ships that can 
carry a more nearly adequate jiay load for the 
longer trips and that can make these hmger trips 
on a fairly regular schedule. These (rips arc un- 
profitable. They have to be subsidized. Surface 
transportation is one of our biggest net expendi- 
tures each year. We now have a committee of ex- 
perienced shipping men advising us on ways to 
reduce these costs and provide better surface 
transportation service. 

The construction of wharves is iu itself a prob- 

106 



lem because privately operated ships must charge 
demurrage due to delays, if they cannot expedi- 
tiously effect turn-arounds. By the same token 
these delays are expensive to government-operated 
craft. However, to build wharves that are ade- 
quate to withstand the storms of Micronesia and 
provide berthing that will permit rapid dispatch 
of cargo in almost any kind of Aveather, including 
rains, is so expensive that our limited tonnage can- 
not amortize the capital investment for proper 
wharf improvements. This again would require 
large capital expenditures which manifestly will 
be difficult to come by unless it clearly is estab- 
lished that adequate service cannot be rendered 
otherwise and without such great expense. 

How to improve the surface transportation 
without increased subsidies is a problem that can- 
not be solved quickly. "We are trj'ing to increase 
copra jDi'oduction. This again means increased 
and regular and reliable surface transportation 
because the Micronesiaus have no way to store the 
copra for long periods and they make it only dur- 
ing a short period before the expected arrival of 
a ship. 

We are trying to increase our fishei'ies and pro- 
vide refrigerated fish tonnage to attract private 
shipping and assist in cariymg on our own gov- 
ernment shipping. 

We are looking about for a less expensive type 
of craft to replace our very expensive AKLS, the 
250-ton interdistrict station vessels we now oper- 
ate. Already we have purchased two motor 
schooners for this purpose but we still are having 
to rebuild and alter them to suit our needs. 

At the present time, however, it appears to us 
that if adequate surface transportation is to be 
provided to insure the administrative inspections 
required of us as good administrators, there al- 
ways will have to be somewhat substantial 
subsidies. 



Yen and Otiier Claims 

A vexatious set of problems has to do with the 
payment of yen, land rental, postal savings, Japa- 
nese war bonds, and war-damage claims. 

We have not been in the position simply to go 
ahead and pay these claims as thej' have been re- 
ceived. We are sure that there are many addi- 
tional and as yet unlisted claims that will be made 
as soon as some settlements are made, and we are 
aware of the danger of i)recedents in this matter. 
It is hoped that we soon will bo able to deal fairly 
in connection with many of the claims. In the 
Saipan District we already have begun to settle 
the claims for unredeemed yen. We hope to re- 
solve the accrued land rental i)roblem, in part at 
least, very soon. Various things have delayed the 
full settlement, but we believe that we have made 
progress toward closing out these two categories 
of claims. This will be a welcome situation for 
all hands. 

Departmenf of State Bulletin 



Summary of Advances and Improvements 

There luive been some iidviuues iiiul improve- 
ments made clurinj; tlie period of oui- I'ejxirt suul 
during the past year: 

Delinite ellorts are under way and improved 
phmtings have been made in coconuts. 

Tiie cacao germination and planting out liave 
gone aiiead. Possibly somewhat over ;ir),()0() 
phints are out and being careil for by cliiefs, 
families, producei's, and two government propaga- 
tion centers. 

Cleanup of rhinoceros beetle areas has gone 
aliead ana new coconuts are now beginning to be 
set out on an island nursery near Peleliu in the 
Pahins. 

"We have been able to erect the following perma- 
nent structures: power ])lant at Koror, reefer at 
Ponape, i>ower jilant (half done) at P()nai)e, two 
concrete transit warehouses at Alajuro, tubercu- 
losis ward at Koror, Ponape wareliouse (j)artly 
done). 

Many old surgical cases liave been cleared; some 
advances have been made in the liehl of commu- 
nity sanitation. 

Imjirovcd breeding stock has been distributed 
and more is on the way (cattle and pigs) . 

Several new and promising gi-asses and legumes 
have been started and are being spread. 

Some progress has been made in fishing and the 
fish industry. 

There have been evident advances in self-gov- 
ernment according to the elective representative 
pattern. 

Other economic improvement projects have been 
set up. 

"We have affected many land resettlement cases 
and are laboring toward agreements and payments 
for land rentals and yen redemptions. 

"We have practically eliminated the need for the 
government-operated Island Trading Company by 
turning the function over to the operation of the 
Micronesian people themselves. 

"We have reduced American personnel and have 
replaced many Americans with Micronesian em- 
ployees. "We have gone ahead with special training 
programs for Mirronesians to enable them to qual- 
ify. "We are making progress toward a level of 
economy that the Micronesians themselves can sus- 
tain but that also is above the mere subsistence 
level. 

"We have made progress in aiding the Micronesi- 
ans to set up tax systems whereby they can pay for 
education of their children. "We have made prog- 
ress in getting them to pay their native medical 
practitioners. 

Transfer of collection of copra on district-wide 
basis has been placed in the hands of locally owned 
trading companies (except for Ponape, where 
plans are going forward for such transfer). 

Government-operated commissaries liave been 



transferred to Incai trading companies in every 
district except Yap. 

The trust territory transferred its title in an 
al):in(lnn('(l J ai)aii('S(' lisiiing vessel to the ])eople 
of Kapinganiarangi Island in satisfaction of tlieir 
lien for salvage. This vessel is now operating 
regulai-ly in Ponape District carrying freight and 
passengers. 

A tr()|)ical agricultural specialist was installed 
as a resident on the Island of Kota to assist in 
developing tiie economy, jirincipally by increasing 
vegetable products for export to the ready market 
of (Juain. 

The Kota harbor development work is in 
progress. 

An economic rehabilitation and community de- 
velopment program was begun at Kili for the solu- 
tion of the economic aiul social problems of the 
displaced Bikinian people resident there, under 
the direction of a Marshal lese project manager. 

A Self-Government Conference was held at 
Truk. Delegates from all parts of the territory 
assembled and discussed political and social prob- 
lems of mutual interest. 

Arrangements were made to terminate phos- 
phate mining operations on the Island of Angaur 
during the summer or fall of 1954, in order to 
preserve the remaining agricultural lands for use 
of the inhabitants. 

The South Pacific Commission's support of the 
community center project at Koror terminated, 
and it is expected that the center will continue 
under local auspices. 

Cacao nursery plantings at Ponape and Palau 
were extended, using seed materials obtained from 
Yap District. 

A program to reduce conditions of overpopula- 
tion at Ebeye was begun. 

Other things might be listed as gains. Prob- 
ably in some ways, time may show that we have 
not done so well. We have a long list of things 
we hope to do and that we are working to ac- 
complish. 

At any rate, we have noticed an increased effort 
on the part of the Micronesians to run their own 
show, and we have tried to take advantage of this 
awakened interest. 



Help From Advisory Committees 

There is one device that we are employing and 
that is proving helpful to us in planning improve- 
ments in our administration of the Pacific Islands; 
I refer to our various advisory committees. 

These advisory committees exist both in Hono- 
lulu and in the several districts. In Honolulu the 
conunittees are composed of American leaders in 
respective fields, including health, education, agri- 
culture, anthropology, surface transportation, 
handicraft, fisheries, and copra stabilization. 
Hawaii men who are familiar with the islands of 
the Pacific and their peoples, resources, and prob- 



July 19, 1954 



107 



lems, as well as with the Orient, the antipodes, and 
America, vokintarily gather and consider prob- 
lems we lay before them, providing us wise counsel 
drawn from a vast reservoir of their experience 
and knowledge. 

In tlie districts, the Micronesian advisory com- 
mittees are set up quite formally and are dignified 
with not only the name "committees," but in many 
cases tJie designation "council" or "congress." 
Only one who is quite familiar with the wisdom of 
island chiefs, chiefesses, elected representatives, 
and other local leaders can appreciate the care and 
sound judgment such organizations can provide 
the district administrators. Indeed, it is these 
very local islanders' advisory committees or 
councils or congresses that are evolving into bona- 
fide legislative, judicial, and executive entities. 
The same applies to local economic and business 
enterprises. Under competent guidance and as 
they are endowed with increasing responsibility, 
it is very encouraging to witness the growth of the 
islanders in capability in all fields. They gradu- 
ally and systematically are more aiid more 
running the show— and we do intend that they will 
run their show. 

During the past year also, we have availed our- 
selves of the advisory services of the Pacific 
Science Board, a division of the National Re- 
search Council. This excellent organization has 
afforded advice and definite cooperation in all 
phases of applied science, adding the outstanding 
scientists of tlie entire nation to our advisory sys- 
tem. During the past year systematic atoll studies 
and other investigations have been carried on un- 
der the guidance of this board. 

At all times we are aided by the South Pacific 
Commission, which provides the relative new- 
comers in administration north of the Equator in 
the Pacific Islands a wealth of long experience in 
dependent peoples and trust territory adminis- 
tration. 

We endeavor to implement and apply the 
recommendations we receive from these bodies, 
since it is well known that their objectives are en- 
tirely in keeping with the provisions of the 
Trusteeship Council. 

Centuries ago, the Micronesians made the long 
voyages over the ocean in their outrigger canoes. 
They discovered and settled in the little islands of 
the Pacific. They planted coconuts, yams, taro, 
breadfruit, bananas, and they learned how to man- 
age and harvest tlieir lagoons. Tliey developed 
their very interesting and well-ordered societies, 
culminating in the councils of elders or chiefs and 
in influential matriarchs. They devised ways for 
the control and vital uses of their limited land and 
limited resources. They evolved traditions and 
an oral literature often very rich in figures of 
speech, not dissimilar from the literature of the 
ancient Greeks and tlie Hebrews. Their lives are 
active and well ordered, attuned through centuries 
of necessity to their environment. 

108 



In later years they have observed the accom- 
plishments of the Germans in scientific agricul- 
ture and commerce. Then they saw how the in- 
dustrious and Westernized Japanese developed 
resources. They now are studying the accom- 
plishments and ways of the Americans. 

Like their seafaring and voyaging ancestors of 
old, many of them have been abroad and have 
studied ways of people in Japan, Manila, Hono- 
lulu, America. 

They have a deep desire to increase their own 
capabilities, to do things that they see modern men 
doing, and to establisli in their own communities 
some new standards of living. 



Basic Objectives 

In working with the Micronesians, few of us 
would attempt to impose upon them the doctrine 
that ignorance is bliss or that the best life is in- 
activity. Eather, we believe that the good life is 
the active life, and we stand readv to assist them 
toward expanding, and yet suitably founded and 
supported, undertakings. We work to aid them 
in their efforts to rid themselves of yaws, tubercu- 
losis, leprosy, and other serious limitations upon 
living. We wish to aid them in ability to apply 
modern science to their coconut and other agricul- 
ture, to their fishing, and their navigation and 
communication. We wish to aid them in acquir- 
ing knowledge and benefit from written language. 
And our design in all this is that they may live in 
peace in their islands and may improve their sur- 
roundings and attain greater'enjoyment ancl true 
benefits from human associations. 

In short, we wish to aid them in sound and 
proper development of their communities and of 
their own individual lives. We wish them to keep 
their lands and the status such ownership gives 
them. We wish them to develop themselves in 
stature insofar as tliis is based on sound economy, 
and we desire that they may acliieve a place among 
men that will be increasingly beneficial to theni- 
selves and to others who may observe tlioir peace- 
ful and well ordered adjustment to the world we 
live in. 

Those are our basic objectives. We are building 
our program to fit those objectives. We move 
slowly along the road, and possibly to some our 
attitude toward abrupt change may seem inexcus- 
able ; it may appear that in some ways the jn-oiiress 
has been backward. If so, we hope it is only real- 
istic adjustment to existing factors and to "condi- 
tions that inescapalilv must be determined by 
environment and available basic resources. We 
try to avoid false and unsustainable standards but 
always to aid the Micronesians in their own desires 
and efforts soundly to improve their connnunities. 
I have imposed upon the patience of the mem- 
bers of the Trusteesliip Council in stating our 
objectives so that, out of the assembled experience 
here, we may receive aid and direction toward 

Department of State Bulletin 



iinprovinjij botli our objectives nnd o\ir mctliods. 
Short of Imving an opportunity actiialiv to visit 
our sister tnistee.ships, wo look forwuril at this 
Council mectinf; to snaring tiic comment nnd ad- 
vice of othere expericncctl in these fields. 



U.S. Delegations to 
International Conferences 

Pan American Highway Congress 

Till' Di'piirliiR'ut of Slate aiiiKUiiiciHl on .Inly (pre.ss 
ri'U'iitie ."07) thai tlio I'liitcd States Covciiniu'iit will be 
ri'iireseiited at the Sixth I'au-Auierieau Hit;li\vtty Con- 
gress, opening at Caracas on July 11, by the following: 

Chainiian ami delegate 

Walter Williams, Under Secretary of Commerce 

Vice Chairman and deleiiaic 

Charles I'. Nolan, OHiccr in Charse, Transport and Com- 
miiiiicatiiiiis, UfUce of Ke^'ional-.\meriean Affairs, 
liureau of Inter-American Affairs, Department of 
State 

Cottjircssional advisers 

J. Harry McGresor, House of Representatives 
Georj,'e H. Fallon, House of Kepreseutatives 

Members: 

Herbert Ashton, Special Assistant on International Trans- 
portation, lUireau of Foreign Commerce, Department 
of Commerce 

Sewell Marcus tiross, Armco International Corporation, 
for American Koad liuilders Association 

Edwin W. James, Hishway Engineer, for American So- 
ciety (if Civil Kngineers 

Henry H. Kelly, Adviser on Inland Transport, Ollice of 
Transportation and Communications INjlicy, Depart- 
ment of Slate 

Gale Moss, Director of Highways, State of Kansas, for 
American Association of State Higliway Officials 

Kussell 10. Singer, Fxecutive Vice President, American 
Automobile Association 

Francis C. Turner. Assistant to the Commissioner, Bureau 
of I'ublic Roads, Department of Commerce 

Norman B. Wood. Hi-'hway Engineer, Bureau of Public 
Roads, Department of Commerce 

The purpose of the Sixth Pan American Highway Con- 
gress is to coordinate the efforts and activities of the 
American Uepnblics for development of the planning, con- 
struction and maintenance of highways. 

The Fifth Pan American Hii:h\vay Congress was held 
at Lima. Peru, during the month of October iO.'Jl. 



TREATY INFORMATION 



Current Actions 

MULTILATERAL 

Bills of Lading 

International convention for the unification of certain 
rules relating to bills of lading, and protocol of signa- 



ture. Dated at ItrusselH August 2!5, 1024. Entered Into 

force .hiiie 2, I'.KU. .''.1 Stat. a.TJ. 

/l(//icrc«c<' de/tu.'iited: Swltzerlund, May 28, 1054. 

Cultural Relations 

Convention for tlie Promotion of Inter-Ainerlcan Cultural 
Relations. Signed at Cara<'as March liS, 1054.' 

Signature: Costa Rica, June 16, 1054. 

Salvage 

Convention for the unillcatlon of certain rules willi respect 
to assistance and salvage at sea. S gned at Hrussels 
September 2:i, 1011). Entered into force March 1, lOia. 
37 Stat. ICIS. 
Adherence deposited: Switzerland, May 28, 1954. 

Shipping 

Convention on llie Intergovernmental Maritime Consulta- 
tive Organization. Signed at (ieneva March (i. liH.s.' 
Signature (subject to acceptance) : Iran, June 10, 1054. 

Slave Trade 

Protocol amending the slavery convention signed at Geneva 
September 25, 1020 (40 Stat. 218.'{), and annex. Done 
at New York December 7, lOoy. Entered into force 
December 7, 1053." 

Signalure (with reservation as to acceptance) : Egypt, 
June 15, 1954. 

Trade and Commerce 

Declaration on the cdntinned application of the schedules 
to the General Agreement on Tariffs and Trade. Done 
at (Jeneva October 24, 10.'')3. Entered into force October 
24, 1053. TiAS 2.S,S0. 

Declaration deiiosiled (recognizing signature as bind- 
ing) : Germany, June 15, 1054. 

Third protocol of rectilications and n)(i(lill<'iitinns to the 
texts of the scliedules to tlie (ienerai Agreement on 
Tariffs and Trade. Done at Geneva October 24, 1053.' 
aiynaturc: Indonesia, June 30, 10.j4. 

Weather Stations 

Agreement on .N'ortli Atlantic Ocean Stations. Dated at 
Paris February 25, 10,54.' 
Acceptance deposited: United States, June 23, 1954. 



MetiMirological Organization. 
1047. 



World Meteorological Organization 

Convention of the World „ ,.^ 

Opened for signature at Washington October 11, 
Entered into force March 2:i. lO.'.O. Tias 20.52. 
Accessions deposited: Bolivia, May 15, 10.54; Germany, 
June 10, 10,54. 



BILATERAL 

Lebanon 

Agreement relating to special economic assistance. Ef- 
fected by exchange of notes at Beirut June 11 and 18, 
1954. Entered into force June 18, 1054. 

Mexico 

Agreement providinir for a cooperative project In develop- 
mental engineering in .Mexico, pnrsiiatit to general agree- 
ment signed June 27, 1051 (Tias 2273), as amended. 
Eilected by exchange of notes at Mexico April 6, 1954. 
Entered into force April 0, 19.54. 



' Not In force. 

' Not in force for the United States. 



July J 9, 1954 



109 



United Kingdom 

Agreement relating to additional funds to be made avail- 
able by the United Kingdom for the continued operation 
of the U. S. Educational Commission. Effected by ex- 
change of notes at London June 15, 1954. Entered 
into force June 15, 1954. 

Agreement relating to the use of land at Madingley, near 
Cambridge, as a United States military cemetery. Ef- 
fected by exchange of notes at London June 21, 1954. 
Entered into force June 21, 1954. 



DEPARTMENT 



Appointment 

Willard Bunce Cowles as Deputy Legal Adviser (press 
release 374 dated July 8) . 



PUBLICATIONS 



Recent Releases 

For sale by the Superintendent of Documents, V. S. Oov- 
ernment Printing Office, Washington 25, D. C. Address 
requests direct to the Superintendent of Documents, ex- 
cept in the case of free publications, ichich may be obtained 
from the Department of State. 

United Nations General Assembly— A Review of the 
Eighth Session. Pub. 5450. International Organization 
and Conference Series III, 99. 8 pp. 50. 

A background summary review of questions discussed at 
the Eighth Session — political and security, social and 
humanitarian, and economic — as well as a discussion of 
the proposed charter review and problems regarding the 
Secretariat. 

Toward a Stronger Foreign Service — Report of the Secre- 
tary of State's Public Committee on Personnel, June 1954. 
Pub. ,5458. Department and Foreign Service Series 36. 
70 pp. 30<e. 

The official report of the Secretary of State's Public Com- 
mittee on Personnel on the present status of the Foreign 
Service, with their recommendations for improvement 
through an enlarged, integrated service, re-forming of the 
Foreign Service Institute, and proimsals for raising the 
morale of the Service as a moans of increasing efficiency 
on the whole. 

The China Problem and U. S. Policy. Pub. 5460. Far 
Eastern Series 64. 20 pp. 100. 

The pamphlet contains two addresses (Department of 
State Bulletin reprints) on China — "Considerations Un- 
derlying U.S.-China Policy" l)y Edwin W. Martin, Deputy 
Director, Office of Chinese Affairs, and "Present United 



States Policy Toward China" by Alfred le Sesne, Officer in 
Charge, Chinese Political Affairs. Both addresses deal 
with contemporary problems with China and explanations 
of U.S. jjolicy regarding these problems. 



The Middle East. 

Series 16. 28 pp. 



Pub. 5469. 
100. 



Near and Middle Eastern 



The pamphlet contains two addresses (Department of 
State Bulletin reprints) on the Middle East — "The 
Middle East in New Perspective" and "Facing Realities in 
the Arab-Israeli Dispute" by Henry A. Byroade, Assistant 
Secretary for Near Eastern, South Asian and African 
Affairs. Both addresses deal with problems in this area 
and with U.S. interest in their solutions. 

Americans Abroad. Pub. 5483. International Informa- 
tion and Cultural Series 28. 13 pp. 100. 

Address (Department of State Bulletin reprint) by 
Francis J. Colligan, Deputy Director of the International 
Educational Exchange Service, dealing with the individual 
citizen's responsibilities in regard to foreign p<:)licy when 
traveling abroad. 



Air Transport Services. 

150. 



TIAS 2610. Pub. 5346. 31 pp. 



Agreement, with annex and schedule, between the United 
States and Israel — Signed at Hakirya June 13, 1950. Ex- 
change of notes — Signed at Tel Aviv February 21, 1951. 



Relief From Taxation on Defense Expenditures. 
2719. Pub. 5073. S pp. 100. 



TIAS 



Agreement between the United States and Belgium, ef- 
fected by exchange of notes — Signed at Brussels March IS 
and April 7, 1952. Related exchange of notes — Signed at 
Brussels March 18 and April 7, 1952. 

Surplus Property — Settlement of Obligation of the Fed- 
eral Republic of Germany. TIAS 2797. Pub. 5211. 15 pp. 

100. 

Agreement, with exchange of notes, between the United 
States and the Federal Republic of Germany — Signed at 
London February 27, 1953. 

Technical Cooperation — Application to Eritrea. TI.\S 
2802. Pub. 5263. 4 pp. 50. 

Agreement between the United States and Ethiopia. Ef- 
fected by exchange of notes — Dated at Addis Ababa De- 
cember 24, 1952, and March 30, 1953. 

Amendment of Article XVII of the Administrative Agree- 
ment Under Article III of the Security Treaty. TIAS 

284S. Pull. 5281. 2!) pp. 150. 

Protocol, and official minutes, between the United States 
and Japan — Signed at Tokyo September 29, 1953. 



THE FOREIGN SERVICE 



Confirmations 

The Senate on July 2 confirmed Sheldon T. Mills to be 
Ambassador to Ecuador. 

The Senate on July 2 confirmed Waldemar J. Gallman 
to be Ambassador to Iraq. 



no 



Department of State Bulletin 



July 1'). lOfvl 



Index 



Vol. XXXI, No. 786 



American Krpublica. Ki'onomlc Buses of I'liiti'd Stiitcs- 

I.iillii American KelatloDs (Cule) 70 

Canada. Ailmiulstrutor of Senway Corporation .... 1)1 

China. Chinese Representation Id the United Nations 

(Dulles) 87 

CiKhoalovakia. CzeeboslOTak Abduction of U.S. Soldiers 

(text of note) 91 

Economic Affairs 

Kcouoiiiic Ba.ses of United States-I.atin American Rela- 
tions (Calc) 79 

.Mr. Langley To Head Delegation to Philippine Trade 

Talks 89 

New Treaties on International Travel (Kelly) .... 92 

Ecuador. Peru-Ecuador Boundary Dispute 84 

Eiypt. Functions of the American Consul (Lakas) ... 85 

Forcisn Service 

Conlirmatlons (Gallman, Mills) 110 

Functions of the American Consul (Lakas) 8.5 

Germany. German Views on U.S. -U.K. Talks (Adenauer) . 90 
Goatemala. Question of Recognition of New Guatemalan 

Government (Dulles) 83 

International Information. New Treaties on International 

Travel (Kelly) 92 

International Organizations and Meetings. 
U.N. Conference on Customs Formalities for the Temporary 
Importation of Private Road Vehicles and for 

Tourism 92 

U.S. Delegations to International Conferences 109 

Mexico. Floods on Kio Grande (Elsenhower, Ruiz 

Cortlnes) 8^ 

Non-Self-Governing Territories. U.S. .administration of the 

Trust Territory of the Pacific Islands (Midkiff) . . 96 

Pacific Islands. U.S. Administration of the Trust Territory 

of the Pacific Islands (Midkiff) 98 

Pera. Peru-Ecuador Boundary Dispute 84 

Philippinea 

Mr. Langley To Head Delegation to Philippine Trade 

Talks 89 

Trade With Philippines (proclamation) 89 

Presidential Docaments 

Floods on Kio Grande 84 

The Meaning of Independence Day 84 

Trade With Philippines (proclamation) 89 

Publications. Recent Releases 110 

State, Department of. Appointment (Cowles) 110 

Treaty Information. Current Actions 109 

U.S.S.R. U.S.S.R. Retaliates for E.\pulslon of Soviet Ofll- 

cials from U.S. (texts of notes) 90 

United Nations 

Chinese Representation In the United Nations (Dulles) . . 87 

New Treaties on International Travel (Kelly) 92 



Name Index 

.\denauer, Konrad 90 

Cale, Edwanl G 7» 

Castle, Lewis 91 

Cowles, Wlllard Buncc 110 

Dulles. Secretary 83, 87, 89 

Klsenhower, President 84.89 

(iailman, Waldenuir J 110 

Kelly, II. H 92 

Lakas. Nicholas S 85 

Langley, .Tames M. . 89 

Midkiff, Frank E 96 

Mills, Sheldon T 110 

Ruiz Cortlnes, Adolfo 84 



Check List of Department of State 


Press Releases: July S-ll 


Releases may be obtained from the News Division, 


Department of State, Wa.shington 2.5, D. C. 


No. 


Date 


Subject 


t364 


7/5 


Note to U.S.S.R. on Soviet tanker 
Taupse 


365 


7/5 


Notes on Soviet action against U.S. 
attaches 


*366 


7/6 


Educational exchange 


367 


7/6 


Delegation to Pan American Highway 
Congress 


368 


7/6 


Langley appointment 


t369 


7/6 


Johnston's return from Near East 


t370 


7/7 


Third Conference on American Studies 


*371 


7/7 


Educational exchange 


372 


7/7 


Note to Czechoslovakia on abducted 
soldiers 


373 


7/8 


Cale: Economic relations with Latin 
America 


374 


7/8 


Cowles appointment (re-write) 


375 


7/8 


Dulles : Recognition of Guatemalan 
Government 


376 


7/8 


Dulles : Chinese representation in U.N. 


t377 


7/9 


Key : The Oas and the U.N. 


t378 


7/10 Morton : U.S. foreign policy in perspec- | 






five 


379 


7/10 Conciliation of Peru-Ecuador boundary | 






dispute 


*N 


Tt printed. 


tHeld for a later issue of the Bulletin. 



U S GOVERNMENT PR1NTINC OFFICE: l>84 




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Department 

of 

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United States 
Government Printing Office 

DIVlStON OF PUBLIC DOCUMENTS 

Washington 25, D. C. 



PENALTY FOR PRIVATE USE TO AVOID 

PAYMENT OF POSTAGE. S300 

(GPO) 



OFFICIAL BUSINESS 



Foreign Relations of the United States . . . 
the basic source of information on U.S. diplomatic history 

1937, Volume 111, The Far East 



Documents on the beginning and early stages of the unde- 
clared war between Japan and China comprise nearly 1,000 
pages of this volume. Other material included deals with 
efforts to maintain the integrity of the Chinese Maritime Cus- 
toms and Salt Revenue Administrations, developments in 
"Manchoukuo," and consideration of neutralization of the 
islands of the Pacific or a general Pacific pact of non-aggression. 

During the first half of 1937 there was a continuing deadlock 
in Chinese-Japanese relations. Ambassador Johnson and 
Ambassador Grew were in agreement in reporting their belief 
that the Japanese military did not deliberately plan the clash 
at Marco Polo Bridge on July 7 which precipitated the unde- 
clared war. They were convinced, however, that the conduct 
of the Japanese military forces was responsible for the condi- 
tions which led to the fighting and that the Japanese Army did 
seize the incident as an occasion for extending Japanese power 
in North China. 

The British Government proposed a "united front" with the 
United States in efforts to avert hostilities but this suggestion 
was rejected in favor of "parallel action." The two Govern- 
ments urged upon both sides that they should avoid hostilities. 

Copies of this volume may be purchased from the Superin- 
tendent of Documents, Government Printing Office, Washing- 
ton 25, D. C, for $4.25 a copy. 



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J/ie' Zi^efia^^tment/ x^^ tnate/ 




July 26, 1954 




THE ORGANIZATION OF AMERICAN STATES AND 
THE UNITED NATIONS: RIVALS OR PART- 
NERS? • by Assistant Secretary Key 115 

U. S. FOREIGN POLICY IN PERSPECTIVE • by Assist- 
ant Secretary Morton 1^" 

THE UNITED STATES AND THE WORLD ECONOIVIIC 

SITUATION • Statement by Preston Ilotchkis 133 

GERMANY MAKES AMENDS • Article by Margaret Rupli 

n'oo<lward 1^6 



For index see inside back cover 



Eof.on Public L:',:rary 
Puperintcndont of Documents 

SEP 7 -1954 



:^ne z/^e/va'yl^e'n^ cd t/tate 




"■•»«• «>♦ 



bulletin 



Vol. XXXI, No. 787 • Publication 5547 
July 26, 1954 



For sale hy tho Superintendent of Documents 

U.S. Oovernment Printing OlDee 

Wushington 25, D.C. 

Price; 

62 Issues, domestic $7.50, 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, 19,52). 

Note: Contents of this publication are not 
copyrighted and Items contained tierein may 
be reprinted. Citation of the Department 
Of State Bulletin as the source will be 
appreciated. 



The Department of State BULLETIN, 
a tceekly 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 tcetl as 
special articles on various phases of 
internalional 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 parly and treaties of gen- 
eral international interest. 

Publications of the Department, as 
well as legislative material in the field 
of international relations, are listed 
currently. 



The Organization of American States and 
the United Nations: Rivals or Partners? 



by David McK. Key 

Assistant Secretary for United Nations Affairs^ 



I should like to talk to you today about the re- 
lationship between regional organizations and the 
United Nations. Are they rivals or are they part- 
nei-s ? Put more specifically, what is the relation- 
ship between the U.N. as a universal organization 
and such a regional organization as the Organiza- 
tion of American States? 

The U.N. was designed to be as nearly universal 
an organization as possible. It had a responsibil- 
ity to seek to maintain international peace every- 
where. It could therefore admit of no rival. 
But did that requii-e that the U.N. should be an 
exclusive agency for maintaining international 
peace? Could there perhaps also be regional 
associations for peace? 

The recent appeal of Guatemala's former gov- 
ernment to the United Nations Security Council 
regarding alleged acts of aggression brought into 
sharp focus for the first time the questions of uni- 
versality and regionalism which had previously 
been considered only on a purely theoretical basis 
at San Francisco when the charter was being 
drafted. 

You will recall that on Sunday, June 20, the 
Security Council, after hearing a long and de- 
tailed statement by the Guatemalan representa- 
tive, voted 10 to 1 to refer the Guatemalan com- 
plaii>t to the Organization of American States. 
The one negative vote was a Soviet veto — its 60th. 
On the same day a resolution proposed by France 
calling for immediate termniation of action likely 
to cause bloodshed was adopted unanimously by 
the Council. Five days later, the Inter-American 
Peace Committee of the Organization of Ameri- 
can States having meanwhile set in motion steps 

' Address made before the Colgate University Con- 
ference on American Foreign Policy at Hamilton, N. Y., 
on July 13 (press release 377 dated July 9). 



to get at the facts, the Security Council decided 
not to resume consideration of the Guatemalan 
matter at that time. 

These actions by the Security Council raised 
certain questions which merit study and discus- 
sion. Was this a retrograde step on the part of 
the Security Council? Was it shirking its duty 
to enforce the peace? Was the Security Council 
denying a full hearing to a United Nations mem- 
ber? Could it be said that, to be consistent with 
our record in the Korean case, the United Nations 
was obligated to take innuediate action in the Se- 
curity Council? 

I believe that a review of the background of 
this problem will show quite clearly that the 
Security Council was acting wisely and fairly, 
and in accordance with the true meaning and in- 
tent of the charter. The Security Council recog- 
nized that an issue was involved which was so 
fundamental that it brought into question the 
whole system of peace and security which had been 
created by the charter at San Francisco. 

Universality vs. Regionalism 

In the spring of 1945, with most of the major 
issues already settled, the question of the relation- 
ship and jurisdiction of regional organizations 
vis-a-vis the new international organization arose 
and had to be answered. 

Basically, it was the veto provision in the Secu- 
rity Council in relation to the inter- American sys- 
tem that precipitated the crisis. Significantly, it 
was the Latin American Republics who asked, 
"What happens in case of aggression against any 
one of us? If the Big Five in the Security Coun- 
cil disagree, are we powerless to resort to collective 
action in our own defense?" 



July 26, 1954 



115 



What the Latin American countries wanted was 
a self-operating inter-American regional system, 
one that could act for peace without interference 
from a Security Council veto. It seemed for a 
time that the whole idea of the United Nations 
might fail to be realized because of the difficulty 
of reconciling the two concepts of universality and 
regionalism. 

This question had the utmost significance at 
the time, for the Organization of American States 
has the longest continuous history of any regional 
agency. The distinctive relationship of the 
American States goes back over 130 years. 
Throughout this period there has been a progres- 
sive development of closer relationships between 
the 21 American Republics. This relationship 
has succeeded over the years in preserving rela- 
tive peace and security in this hemisphere and a 
freedom from the kind of holocaust which has re- 
peatedly devastated Europe and Asia. The Or- 
ganization of American States is an organization 
founded upon the freedom-loving traditions of 
Bolivar and Washington. The 21 American Re- 
publics had a common experience in their heroic 
struggles for independence. They have ever since 
been determined to prevent the extension to this 
hemisphere of either the colonial domain of 
European powers or any despotic political systems 
of Europe. They have repeatedly pledged them- 
selves to settle their own disputes peacefully and 
have established a system that has demonstrated 
increasing effectiveness to that end. It is for these 
reasons that it was absolutely essential that re- 
gionalism and universality be blended at San 
Francisco. 

Just prior to the San Francisco conference the 
21 American Republics, including the United 
States, had met in Mexico City for a Conference on 
Problems of War and Peace. This conference had 
adopted the "Act of Chapultepec," which reaf- 
firmed the century-old pan-American solidarity 
and provided for the early conclusion of an inter- 
American treaty which would recognize the prin- 
ciple that an attack on any one of the Ajuerican 
States would be regarded as aggression against all. 
In such event the proposed treaty would provide 
for collective action by the American Reiniblics, 
including the use of force. It would also pro- 
vide for collective action to deal with other tlireats 
menacing the peace and security of the American 
States. 

When the United States adhered to the Act of 
Chajiultepec, we realized that it involved a signifi- 
cant develo]iment of (he principles of the Monroe 
Doctrine. It meant (hat, in the event of a future 
aggi'ession against any one of the American Re- 
])ublics, from inside or outside the Western 
Hemisphere, it was not just the United States 
which was committed to take action but all of the 
American Republics on the ])rinci])]e of all for 
one and one for all. 



Implications of Veto Power 

The late Senator Vandenberg, who was one of 
our principal delegates to the San Francisco con- 
ference, recorded in his private diary at the time 
his full realization of the implications of the veto 
power in the Security Council to collective se- 
curity measures in the Western Hemisphere. He 
wrote: "In the event of trouble in the Americas, 
we could not act ourselves; we would have to 
depend exclusively on the Security Council; and 
any one pemianent member of the Council could 
veto the latter action. . . . Thus little is left 
of the Monroe Doctrine." He went on to record: 
"I do not see how we could tolerate a possible 
situation in which [under the United Nations 
Charter] we could not deal with a bad pan- 
American situation at all liecause (1) we are not 
permitted to act under Chapultepec and (2) the 
Security Council is stopped by a Russian or a 
British or a Chinese or a French veto." 

That the American Republics should be free 
to take appropriate action in such circumstances 
was and is of utmost importance because of the 
veto in the Security Council. Given the state of 
the world, it would have been too much to expect 
that all of the five major powers woidd agree to 
forego all use of a veto. While the veto did not 
doom the United Nations to futility, it did reflect 
difficulties in the way of action by a world organi- 
zation which would not necessarily be found in the 
way of action of a regional association. For the 
Latin Americans it was of vital importance that 
the i)romises of Chapultepec not be nullified by 
subjecting American regional action to a Russian 
veto. A way had to be found to permit an inter- 
American regional agency to take nece,ssary action 
regardless of the Russian veto. 

This way was found when the United States 
and the Latin American Republics, over intense 
Soviet opposition, included in articles 51 and 52 
of the charter provisions establishing the rights 
of regional organizations in matters of collective 
self-defense and pacific settlement. Article 51 
recognized the inherent right of states to indi- 
vidual or collective self-defense. Article 52 recog- 
nized the existence of regional arrangements for 
dealing with such matters related to the main- 
tenance of international ])eace and secui'ity as are 
ap])roi)riate for regional action. Tiiis did not 
impair the right of the Security Council to inves- 
tigate any dispute or situation under article 34 
which might lead to international friction. Any 
member of the United Nations might bring any 
dispute or situation to tlie attention of the Se- 
curity Council luider article 35. Nevei-tlieless un- 
der article 52 members of the United Nat ions who 
have entered into regional arrangements are en- 
joined to make every effort to achieve pacific set- 
tlements of local disputes through such regional 
arrangements before referring them to the Secur- 



116 



Department of State Bulletin 



ity Couiuil. l*:iru<rr:ii)l> '■) of article 52 states, 
"The Sec'init}- CouikmI shall encomajje the de- 
velo|)nu'iit of pacilio sottloineiU of local ilispiites 
throuurh siu'h reirional urraniieinents or by such 
regional airciuMi's either on the initiative of the 
states concerned or hy reference from the Secni-ity 
Council." 

liy that formula a halance was struck between 
refjional or<ianization and world oifranization. 
The acceptance of that fornuda made it possible 
for the Charter of the United Nations to be 
adopted. Without that formula there would, in 
all probability, have never been a United Nations. 

Just as the United Nations has developed since 
its foundinji, so has the inter- American system. 

The Inter- American Treaty of Reciprocal As- 
sistance, signed at Rio de Janeiro on September 2, 
1947, put into etfect both the Act of Chapultepec 
and the provisions of article 51 of the United 
Nations Charter. The treaty bound the signa- 
tories to consult in the event of aggression either 
from within or without the Americas and provi-led 
for certain measures which, if approved by a two- 
thirds majority, would become obligatory on all 
States parties to the treaty. Thus, the Rio Pact, 
as it is commonly called, established a precedent 
which has been used in developing the North 
Atlantic Pact and other regional collective secu- 
rity arrangements. 

In 1948 at Bogota, the Charter of the Organiza- 
tion of American States was drawn up and ap- 
proved. It further defined the relationshij) of 
this regional organization to the United Nations. 
Article 20 of the Charter of the Organization of 
American States provides: "All international dis- 
putes that may arise between American States 
shall be submitted to the peaceful procedures set 
forth in this Charter, hefare being referred to the 
Security Council of the United Nations." 



Role of Security Council 

It is in this context and with this background 
that we should judge the action taken with respect 
to the recent Guatemalan appeal to the United 
Nations, which I mentioned at the beginning of 
my talk. 

In the first place there is no question that the 
Security Council has primary responsibility under 
the charter for the maintenance of international 
peac€ and securit}'. The fact that the Security 
Council refused to give further consideration to 
the Guatemalan matter while an agency of the 
Organization of American States carried out its 
activity does not derogate from the authority of 
the Secui'ity Council in matter's relating to the 
maintenance of international peace and security. 
On the contrary, in matters falling within the 
scope of a fully developed and actively function- 
ing regional agency, the Security Council is under 



an obligation to promote pacific settlement 
through such an agency. This is just what it did 
in the (Juatemalan case. 

Secondly, there was no reluctance on the part 
of the Security Council to have the facts in the 
Guatemalan case fully aii'etl. The (Juatemalan 
representative exercised his right to bring a situ- 
ation to the attention of the Council. The Secu- 
rity Council met at once, listened to his complaint, 
and acted upon it. The decision of the Security 
Council 5 days later not to resume its considei'ation 
of the matter when the regional agency involved 
was actively considering it cannot be deemed to be 
a denial of the right of a I'.N. member to bring 
such a nuitter to the attention of the Security 
Council. 

Thirdl}', the Security Council was not shirking 
its duty to maintain peace and security. It was 
taking the most eft'ective action under the circum- 
stances by not depriving the regional agency in 
the first instance of an opportunity to promote a 
peaceful solution. 

Fourthly, the action of the Soviet Union in the 
Security Council unfortunately confirmed the 
fears of the founders of the charter at San Fran- 
cisco. In vetoing Security Council action de- 
signed to refer the Guatemalan matter to the 
Organization of American States, the Soviets had 
two purposes. By confining the matter to the 
Security Council, the Soviets hoped to retain a 
degree of control over the consolidation of their 
Communist bridgehead in Guatemala. At the 
same time they sought to crijjijle, and thereby dis- 
credit, the long-established inter-American system. 

Fifthly, the Organization of American States 
was actively and effectively handling the Guate- 
malan situation. It was acting as the partner, not 
the rival, of the United Nations. As you know, 
for some time prior to the recent outbreak in 
Guatemala, it was apparent that the Connnunist 
Party in that State, acting in collaboration with 
the international Communist conspiracy, had 
come very close to exercising effective control of 
that Government, if it did not, indeed, exercise 
such control. The Comnuuiist menace in Guate- 
mala had become so dangerous that the American 
States could not ignore it. At their Tenth Inter- 
American Conference in Caracas last March they 
had declared that ''the domination or conti'ol of 
the political institutions of an\' American State 
by the international Connnunist movement, ex- 
tending to this hemisphere the political system of 
an extracontinental power, would constitute a 
threat to the sovereignty and jiolitical independ- 
ence of the American States, endangering the 
peace of America, and would call for a meeting 
of consultation to consider the adojition of appro- 
priate action in accordance with existing treaties." 

AVhen the Guatemalan Government made its ac- 
cusations against its neighbors before the Inter- 



July 26, 1954 



117 



American Peace Committee, the Organization of 
American States promptly set its machinery into 
action. The Inter-American Peace Committee 
established a Committee of Information, com- 
posed of representatives of Mexico, Cuba, Brazil, 
Argentina, and the United States, to obtain the 
facts to enable it to suggest the most effective 
methods for reaching a satisfactory' settlement. 
The Committee has kept the Security Council in- 
formed regarding its activities. Its fully docu- 
mented rei^ort has been transmitted to the Security 
Council.' In this manner this agency of the Or- 
ganization of American States has fulfilled its 
obligations under article 54 of keeping the Secu- 
rity Council informed. 

Prior to the advent of the new anti-Communist 
Government in Guatemala, the Council of the Or- 
ganization of American States had called for a 
consultative meeting of Foreign Ministers in Rio 
on July 7 to consider the Guatemalan situation. 
As a result of the change of government this 
meeting was jiostponed shie die, but it should be 
noted that the Organization of American States 
was prepared to see the matter through on the 
highest level. Thus, the Organization of Ameri- 
can States by its actions has demonstrated that, 
in the words of Secretary Dulles, "There was 
proof that our American organization is not just 
a pajier organization, but that it has vigor and 
vitality to act." 

Ambassador Gouthier of Brazil, speaking be- 
fore the Security Council at its second session, put 
it this way : "For more than 60 years the Organi- 
zation of the American States has been a useful 
and efficient instrument for the solution of con- 
flicts, disagreements, and strained situations con- 
fronting the American Republics. The Organiza- 
tion has adequate machinery, through the many 
organs and procedures established by it in order 
to solve such differences. The long record of 
achievement of the system of the Organization of 
American States is a striking demonstration of its 
capacity to deal with political situations similar to 
the one which confronts us. In the Organization 
of American States all the members have equal 
rights; whether a large nation or a small one, each 
has one vote on decisions, and the undemocratic 
l^rinciple of the veto is unknown.'" 



organization to apply its own resources in dealing 
with such a dispute. It was made possible also 
because the oldest and largest regional organiza- 
tion the world has ever known faced up to its re- 
sponsibilities squarely and undertook to carry 
them out. Fortunately, the circumstances which 
gave rise to the controversy were changed before 
action in either organization had been pushed to 
the ultimate limits. 

The actions of the Security Council and the Or- 
ganization of American States preserved the deli- 
cate balance between world and regional organi- 
zation which was written into the charter at San 
Francisco. A successful effort to destroy that 
balance b}' depriving the active regional organiza- 
tion of the Americas of its responsibilities under 
the charter would have had the most serious conse- 
quences for the United Nations and for the Or- 
ganization of Ajnerican States. It would have 
constituted a heavy blow at peaceful settlement 
procedures. 

The developments in the Guatemalan case broke 
new ground in the field of international action. 
It was new not only because it put the regional 
arrangements provisions of the charter to their 
firet real test. It was also new in that for the first 
time the inter-American system had to grapple 
with the insidious mechanisms of the Communist 
movement, cleverly worked out so as to confuse 
and hamper effective regional or United Nations 
action to preserve the inde])endence of Guatemala. 
The Conununist designs have been foiled. The 
principles of regional and multilateral action have 
been upheld. The devotion of the United States, 
whether it acts through the Oas or throuizh the 
United Nations, to the concept of the settlement 
of international disputes through joint action by 
peace-loving states remains unimpaired. New 
methods will undoubtedly have to be devised, new 
advances made, in the techniques and arrange- 
ments for attaining that objective. They must be 
adapted to the changing nature of the threat to 
international peace and justice. But the objective 
itself remains unchanged: to strengthen the com- 
munity of law-abiding states, in the regional sys- 
tem and in the United Nations system, so as to 
build up stronger and stronger barriers against 
aggression and tyranny. 



Guatemala, a Test Case 

'J'he l)alance between universality and regional- 
ism which was stinick at San Francisco was put to 
a severe test in the Guatemalan case. The out- 
come, however, proved that under the San Fran- 
cisco formula the Organization of American States 
could advance United Nations objectives by func- 
tioning effectively in a regional dispute. This 
was made possible because the Security Council 
recognized the right of a well-qualified regional 

' U.N. doc. S/3267, dated .July l;f. 



Recognition of Guatemala 

Press release 382 dated July 13 

The U.S. Ambassador. John E. Peurifoy, in 
Gualeinala City today informed the Foreign 
Minister of Guatemala, His Excellency Carlos 
Salazar, that the U.S. (loveriunent has recognized 
the new Government in Guatemala. 



118 



Department of State Bulletin 



U.S. Foreign Policy in Perspective 



hy Thmston B. Mortan 

Assistant Secretary for Congressional Relations ^ 



Columnists, lecturers on world affairs, and offi- 
cials of government as well are prone to discuss 
policy as though it were subject to precise geo- 
graphic divisions. You hear references made to 
our Latin American policy" or to "American 
policy toward the Middle East." The users un- 
doubtedly employ this regional approach for the 
sake of convenience. But, after hearing it for a 
while, some may be led to believe that there are 
basic differences in, for example, our Latin Ameri- 
can policy and our jiolicy toward the Middle East. 

That is not the fact. AVe have certain well-de- 
fined and universal objectives, and we have one 
policy — a global policy — which is designed to ad- 
vance us toward those objectives. 

At the root, the United States Government has 
as its i^riniary responsibility the security and wel- 
fare of the American people. The position of the 
Administration is that only through a durable and 
equitable world peace can these objectives be 
finally achieved. And the basic, global policy 
evolved is one which is shaped to move us toward 
this goal. 

I believe I am safe from challenge if I state that 
the peace just described is still over the horizon — 
far enough over to justify classifying it a long- 
range aim. That does not mean that we work for 
it with any less enthusiasm or that our efforts are 
diminishing in vigor. Quite the contrary. But it 
does mean that, while this Nation and its free 
allies go forward with the slow, arduous, costly, 
and infinitely worthwhile task of building a peace- 
ful international structure, we have a corollary 
responsibility in the interim. Concurrently, we 
must also prevent a tliird world war. 

Now most of us will promptly acknowledge the 
fundamental absurdity of talking of peace in re- 
gional terms. Europe and Asia may be completely 
tranquil, but if there is fighting in the Middle 

' Address made before the Colgate University Confer- 
ence on American Foreign Policy at Hamilton, N. Y., on 
July 11 (press release 378 dated July 10). 



East, there is no peace. And logically, we are 

willing to apply the same rationale to tlie interim 
objective of preventing war. We should then not 
fail to proceed on the assumption that, if an ob- 
jective is global, the policy formed to achieve it 
can be of no lesser dimensions. 

In theory, very few will dispute this logic. 
But somewhere along the line, as specific situations 
develop, it is forgotten or ignored in the tension 
and strain of the moment, and with it is lost all 
perspective — a loss which could well prove fatal 
to us and to our objectives. 

Let us consider a case in point. In the prov- 
ince of our interim objective of preventing war, 
we have to contend with one major element, the 
imperialist drive of the Communist conspiracy. 
In that conspiracy lies a continuing threat to the 
peace of the world. 

"What can be said of that threat? Is it focused 
on the Far East ? Does it loom more menacingly 
over Europe than over the Middle East? Are 
the regions of North Africa and the Western 
Hemisphere spared the attentions of the con- 
spirators? 

In each instance, the answer is no. The men in 
the Kremlin may have assigned a temporary prior- 
ity to their expansionist drive in the Far East, 
but they have not eased pressure on Western 
Europe. Although the tension in North Africa 
may not, at this moment, be making headlines, 
the agents of Communist imperialism are hard at 
work there trying to exploit the unrest which per- 
vades the area — trying to ])ervert the cause of 
nationalism to their own evil purpose. And we 
have just witnessed a near-miss by the Kremlin 
in an effort to penetrate and manipulate the gov- 
ernment of one of the American Republics, 
Guatemala. 

It is thus apparent that one of the major factors 
of the Communist threat — and, correspondingly, 
a major element of the policy we shape to cope 
with it — is its totality. Certainly, within tne 
limits of our capacity, we should endeavor to meet 



iuly 26, ?954 



119 



Communist moves wherever they occur. But we 
should be wary of being drawn into a concentrated 
effort in one localitj' to the neglect of another. 
Which brings us back to the matter of perspec- 
tive. To oversimplify — in international affairs 
it is poor policy to rob Peter to pay Paul. 

In these terms, I should like to take up with you 
four items of current interest which relate to the 
Communist offensive. They are also matters, 
with one exception, which have the strong emo- 
tional overtones which so often have an adverse 
effect on our vision and our judgment. 

Defense of Western Europe 

Item one deals with the vital problem of the 
defense of Western Europe and the participation 
of the Federal Republic of Germany in that de- 
fense. I believe that most of you are familiar 
with the conflict here — on the one hand the plain 
and practical necessity of West German partici- 
pation in an effective defense, and on the other the 
fears of France, and some of the other Western 
Powers, of German rearmament and a revival of 
German militarism. France, for example, has 
ample historical reason for her fears. Three 
times in less than a century, France has been 
attacked, overrun, and laid waste by a German 
army. And the last instance was accompanied by 
a temporary realization of the nightmare of 
Europe — an alliance between Germany and Eussia. 
Although we have good reason to believe that jires- 
ent circumstances eliminate any justification of 
these fears, for the people of France they ai-e none 
the less real. 

French leaders themselves advanced a proposal 
to re.solve this conflict. Under the European De- 
fense Community, the Federal Republic would 
make a substantial contribution to a European 
army which by its composition, and the nature of 
the German rearmament itself, would insure 
against a revival of militarism in Germany. 

Although it was initially a French proposal, it 
is France that has offered the main stumbling 
block to the adoption of the Defense Community 
treaty. Four of the six nations of the proposed 
Community have ratified, but the treaty has yet to 
reach the floor of the French Chamber of Deputies 
for debate. 

In turn, this presents the United States with a 
dilenmia. As previously mentioned, in the interest 
of American security we are convinced that West- 
ern Europe must have a defense that will deter 
Communist aggression and will be strong enough 
to deal with it should an attack occur. Through 
the Nortli Atlantic Alliance, we are committed to a 
participa( ion in this defense and have contributed 
four infantry divisions to the Nato army. We 
are also convinced that the defenses cannot reach 
the required level of efl'ectiveiiess without the 
inclusion of troop units from the Federal Republic 



of Germany. We have therefore strongly sup- 
ported the Defense Community project and have 
exerted all influence we could properly bring to 
bear on the French Govermnent to ratify the Edc 
treaty. 

But we cannot escape the obvious fact that the 
issue is solely a matter for the French to decide. 
If they decide to ratify, a great stride toward a 
secure Europe will have been made. If the French 
Chamber refuses, the United States, along with 
Great Britain and the other nations concerned, will 
have to adjust to this reality. 

It would be incongruous to have Germany make 
a contribution to the defense of Europe without 
at the same time restoring to her virtual sov- 
ereignty. Germany has ratified the Bonn treaties. 
Should she be penalized indefinitely for a delay 
which she has not caused ? If French ratification 
is therefore furtlier delayed, consideration will 
have to be given to finding means of breaking the 
present deadlock. 

In Europe, as elsewhere, the thesis on which we 
proceed is that collective action alone can check the 
spread of communism, prevent war, and secure 
real peace. And when free nations act in concert, 
they can do so only on a voluntary basis. That 
is a part of our great strength. Neither the United 
States, nor any other individual or combination of 
individual members, can expect to impose its views 
on the coalition. Persuasion is permissible ; coer- 
cion is ruled out. 

Thus, if the strong Europe which is so greatly 
to our interest is to be created, it cannot be manu- 
factured in the United States. It can onh' de- 
velop out of the determination of the nations of 
Europe to make the best collective use of their 
individual resources. Europe can be united by 
Europeans alone. 

/The Struggle in Indochina 

When considering the question of France and 
the European Defense Community, it is difficult to 
avoid being aware of another free world problem 
wherein France is also a pivotal factor. I refer 
to the struggle of the French Union forces in Indo- 
china against the rebel forces of the Viet ilinh — 
sponsored and supplied by Red China and other 
Soviet satellites. The covert participation of 
Peiping in this fight effectively removes it from 
the category of a revolt and classifies it as a stage 
of the Communist drive for control of Southeast 
Asia. 

As you know, this has been a cruel struggle. Ho 
Chi Minh, the Moscow-trained leader of the Viet 
Minh, lias masqueraded as the leader of the forces 
of freedom and independence. lie has also suc- 
ceeded to a degree in exploiting Vietnamese re- 
sentment of the colonial status in which they were 
so long held. This resentment contimies to be 
directed against the French despite the fact that 



120 



Deparfmenf of State Bulletin 



the indepi'iuleiR-e of the three Associiited States 
is now threatened only by the militant efforts of 
connnunisni to enslave them. 

In spite of substantial material assistance from 
the United States, the French niilitaiy position 
has worsened. .Vnd Premier Mendt's-Fraiice is 
now enjrajied in direct negotiation witii the Viet 
Minh in an etl'ort to reach an accei)table settlement. 
At this time, we have no way of knowing whether 
a settlement can be reached and, if one is reached, 
whether or not it will be acceptable. 

However, this much can be safely said. The 
United States will not become party to any agree- 
ment which smacks of appeasement. Nor will we 
acknowledge the legitimacy of Conununist control 
of any segment of Southeast Asia any more than 
we have recognized the Communist control of 
North Korea. 

In a lai'ger context — in the context of a threat 
to the independence of all the free nations of 
Southeast Asia — the Communist move on Indo- 
china has an even graver meaning. Thailand, 
alert to the danger of Conununist aggression, 
asked the Ignited Nations to send a peace observa- 
tion commission to the area to provide an impartial 
report on developments there.- This Government 
gave the motion its full support. When it came 
to a vote in the Security Council, the Soviet Union, , 
exercising the veto for the 59th time, prohibitedi 
action. 

'\\Tiile awaiting a decision by the General As- 
semblj', the United States is endeavoring to de- 
velop, as rapidly as circumstances permit, a col- 
lective security system to stem the spread of Com- 
numist forces into Southeast Asia. "We are also 
prepared to extend all practicable assistance to 
cooperating governments in defending the area 
against Communist infiltration and subversion. 

Without detracting from the importance of the 
Communist ofi'ensive against Southeast Asia, the 
region is only one of several in the Far East being 
subjected to Communist pressure. The Kepublic 
of Korea, Formosa, and Japan alike are receiving 
their share of Ked attention. United States policy 
is accordingly responsive. 

The Republic of Korea and Formosa face sub- 
stantial Communist military forces. It has been 
and is our policy to strengthen them militarily 
and economically. With Japan, the threat posed 
by Eed China's military power is less immediate — 
due, in part, to the security pact with this country. 
However, Japan faces grave economic difficulties 
which Japan's leaders may find difficult to resolve 
unaided. 

Their difliculties can be simply described. 
Eighty-six million i)eople live in an area the size 
of the State of ilontana. They have few natural 
resources and, despite intensive cultivation of 
arable land, cannot raise enough food to feed 

' For text of the Thai request, see Bdixetin of June 28, 
1954, p. 075. 



themselves. They are the most highly industrial- 
ized nation in the Far East and have ahvaj'S de- 
jiended on exports of nnmufactured products to 
pay for the food, i-aw materials, and consumer 
goods that they must import. 

.lapan must trade or starve. 

Trade in what markets^ Her observance of 
controls on trade with Conununist China rules out 
a region that formerly was a suljstantial customer. 
And nuirkets that Japan formerly had in South- 
east Asia before World War II have not been 
fully reopened. 

In the light of Japan's jjosition as a northern 
anchor of our West Pacific defense line — to say 
nothing of her position as the only industrialized 
country in the Far East — it is urgent that some- 
thing be done. The Administration is investigat- 
ing means to improve Japanese participation in 
free world markets, including our own. The Jap- 
anese themselves are working to reopen markets 
in Southeast Asia. Both moves are essential to 
the development of a self-sustaining and demo- 
cratic Japan. And if we object to the sacrifice 
that may oe involved, we might consider the alter- 
native — a weak and restive nation increasingly 
resentful of its dependence on American largesse, 
frighteningly vulnerable to Communist pressure. 

Chinese Representation in U. N. 

Still another phase of the Communist ofTensive 
in the Far East is the unremitting pressure of the 
Soviet bloc to gain admittance for Ked China to 
the United Nations. Although the outcry from 
various quarters in this country would lead some 
to believe otherwise, this is not a new Communist 
push, nor does the American Government believe 
its chances of success have substantially improved. 

In various agencies of the United Nations, 
members of the Soviet bloc have repeatedly tried 
to seat representatives of Eed China. The issue 
has been raised over 150 times. On one occasion 
was the Chinese Communist seated — only to be 
unseated shortly thereafter. 

Since the last rejection of a Eed Chinese dele- 
gate, tlie case against Communist China has been 
strengthened. To their guilt as a declared ag- 
gressor in Korea has been added their attempt to 
take over Indochina. They have refused to con- 
clude a peace in Korea and consequently are still 
at war with the United Nations. At Geneva, the 
representatives of Ked China denounced the 
United Nations — an action quite in character with 
their diplomatic deportment during the past 4 
years. 

As you know, the United States Government is 
unequivocally opposed to seating Communist 
China in the United Nations. To the argument 
that admitting Peiping to the United Nations will 
bring about a change of heart, we reply that the 
United N*i*30PJ8 is an international organization 



July 26, J 954 



121 



dedicated to world peace — and not a reform school. 
Further, our belief in the soundness of the case 
against Communist China is firm. As I have said, 
it is a good case and we believe that the member- 
ship of the United Nations will respond accord- 
ingly. 

Communist Tactics in Guatemala 

To complete tlie circle of Communist expansion, 
it is necessary to return to this hemisphere, to the 
Central American Eepublic of Guatemala, where 
the Communist conspirators attempted to set up a 
colony in the New World. Tlieir tactics there fol- 
lowed familiar lines: establishment of cells, gain- 
ing control of mass organizations as a prelude to 
infiltration of government. There was one excep- 
tion. Heretofore, the Communist strategists have 
confined their efforts at political takeover to areas 
within the radius of operation of the Red army. 
Force or the threat of force, as in the instance of 
the Czech coup, figured decisively. While, obvi- 
ously, in Guatemala, the Red army was not a 
factor, the element of force was introduced by a 
shipment of munitions from the Soviet sphere. 
Had the Communist imperialists succeeded, 
through purely political maneuvers, in gaining 
control of an independent government far removed 
from the center of Communist influence and power, 
they could rightly have claimed a spectacular 
triumph. 

The background of the attempt to establish a 
Conununist satellite in Guatemala is well known 
to most of you. Communist agents, under the 
guise of patriotic progressives, wormed their way 
into the administrative structure of the govern- 
ment. They were abetted to no small degree by a 
revolutionary situation which, in characteristic 
fasliion, they set out to corrupt. Although their 
numerical representation in the legislature was 
small, they controlled it by using the popular- 
front technique. In turn, legislative control en- 
abled the Communists to dominate the judiciary. 
From this position, they were able to further their 
inroads into the executive branch, establishing 
themselves as a kitchen cabinet and moving in on 
such mechanisms of government as the social secu- 
rity agency, the agrarian reform apparatus, and 
official press and radio — all of which were keys 
to public influence. As a means to this position of 
dominance, they infiltrated and won control of 
mass organizations such as labor unions and 
peasant groups. 

The Organization of American States met in 
Caracas last spring and took oflicial note of the 
Communist intervention and declared it a tlireat 



to the peace of the hemisphere. The tempo of the 
movement of the security machinery was acceler- 
ated by a move which shocked the hemisphere. 
Two thousand tons of arms from behind the Iron 
Curtain arrived on a freighter for the Communist- 
dominated regime. For all who would see, the 
Communist objective was clear. 

If any further evidence of aggressive Com- 
munist intentions was needed, the Kremlin's 
agents in Guatemala were not reluctant to provide 
it. A reign of terror against anti-Communist 
leaders and spokesmen in Guatemala was insti- 
tuted. 

In response, the Organization of American 
States voted to convene the foreign ministers of 
the Americas to discuss positive steps to wipe out 
the threat of Communist intervention. But, be- 
fore the discussions could take place, an army- 
supported revolt of the Guatemalan people led to 
the ovei'throw of the Communist-dominated 
regime. 

"\Yliile we can take comfort in the outcome, we 
ought also to have had our eyes opened. We like 
to think of this hemisphere as the well-spring of 
independence and self-government, as the pro- 
genitor of political societies that are the antithesis 
of Marxist dialectic. And yet we have been wit- 
ness to a Communist penetration that came peril- 
ously close to establishing a Soviet beachhead in 
our midst. 

It seems to me that this proximity of Com- 
munist aggression should exert a sobering in- 
fluence. It should fii-st of all persuade the doubt- 
ers among us that Communist imperialism is a 
universal force and that the steps we take to 
deal with it should be tailored to that pattern. 
It should also emphasize the harsh fact that no 
single non-Communist power has the capacity, of 
itself, to check Communist expansion. And it 
should engrave on our minds the reverse of the 
foregoing — that the resources of the free world 
are ample to turn back any Communist effort, pro- 
vided they are mobilized for the purpose. 

No more than that is needed. And it is likely 
that no less will suffice. 

I feel that it is particularly important that we as 
a people digest these facts. The responsibility of 
leadership is ours. This is not to say that if any- 
thing goes wrong anywhere in the world it is our 
fault — or that it is necessarily up to us to fix it. 
But it is to say that it is absolutely essential that 
we play the leader, that we do not let the heat of 
emotions rob us of our perspective or let im- 
patience force us to acting on inip\ilse. 

It may be a long and weary game, but we hold 
winning cards if we but play them right. 



122 



Department of Sfafe Bulletin 



Secretary Dulles' Trip to Paris 

Departure Statement by the Secretary 

rr.'ss nlcHse 380 ilntcil July 12 

I am leaving by plane for Paris, where I shall 
confor foiuoirow afternoon and eveninij; with the 
French Prime Minister, Mr. Mcndes-France, and 
with Mr. Eden, tlie British Foreign Secretary. 
This trip follows an exchange of views wliich took 
place at Geneva yesterday between the U.S. Am- 
bassador to France, Mr. Dillon, and the French 
Prime Minister, and an invitation which I re- 
ceived this morning from the French Prime 
Mini.ster. Witli President Eisenhower's warm 
approval I have gladly accepted this invitation. 

This trip will demonstrate anew the deep con- 
cern which the United States takes in develop- 
ments in both Indochina and in Enrope and our 
earnest desire to assui'e such coordinated action 
by France, Great Britain, and the United States 
as will best promote the attainment of those goals 
which we share together with free nations gen- 
erally. 

As regards Indochina, while our long-term in- 
terests are identical, there is superimposed upon 
France and the Associated States a special set of 
primary interests due to the cruel and costly war 
now in its eighth year which the Communists have 
waged against France and Viet-Nam and latterly 
against Laos and Cambodia. The United States 
is not itself a belligerent in Indochina, and it is 
not clear that the interests which we hold in com- 
mon with France and Viet-Nam, Laos, and Cam- 
bodia will necessarily be best served by identical 
action in all respects. Therefore, my trip to Paris 
is without prejudice to the previously expressed 
position that neither I nor Under Secretary Smith 
have at the present time any plans for going to 
Geneva, where the United States is presently 
maintaining contact with developments through 
Ambassador U. Alexis Johnson and his associates. 

My trip does show, I hope, that I wish to leave 
no stone unturned in seeking to find the course 
which will best serve the traditional friendship 
and cooperation of France and the United States 
and which will promote the goals of human jus- 
tice, welfare, and dignity to which our nations 
have always been dedicated. 

We al.«o attach great value to preserving the 
united front of France, Great Britain, and the 
United States which during this postwar period 
has so importantly served all three of us in our 
dealings with the Communists. 



Statement on Return 

Press release 387 dated July 15 

I return from consultations at Paris with the 
new French Prime Minister and Foreign Minister, 



M. Pierre Meiules- France. Tliese talks were also 
participated in by Anthony Eden, the British 
Foreign Secretary. 

These talks have brought about an understand- 
ing concerning Indochina much more complete 
tlian has heretofore existed. It enal)led us to 
demonstrate anew the solidarity of the Western 
powers in the face of Communist hostility and 
intrigue. 

The United States has been concerned to find a 
way whereby it could hel|) France, Viet-Nam, 
Laos, and Cambodia liiid acceptable settlements 
without in any way prejudicing l)asic ])riiiciples 
to which the United States must adhere if it is 
to be true to itself, and if tlie captive and en- 
dangered peoples of the world are to feel that the 
United States really believes in liberty. 

I had the opportunity in Paris fully to explain 
the United States position in this respect to M. 
Mendes-France, whom I had known before but 
whom I had not met since he assumed his new 
offices. 

Tlie conclusion was that we would ask the 
Under Secretary of State, Gen. Walter Bedell 
Smith, to return to Geneva at an early date to 
renew his participation in the Indochina phase of 
the Conference.' But this is on the understand- 
ing, to which both the French and British Min- 
isters expressly agreed, that renewed participa- 
tion by the United States at the ministerial level 
will be without departing from the U.S. principles 
which I had described. 

I believe that we have found a formula for 
constructive allied unity which will have a bene- 
ficial effect on the Geneva Conference. And it 
carries no danger that the United States will 
abandon its principles. 



Visit of President Rhee 

White House press release dated July 14 

President Eisenhower has invited President 
Rhee of the Eepublic of Korea to make a state 
visit to the United States. President Rhee has ac- 
cepted this invitation and is expected to arrive in 
Washington on July 26 accompanied by Mrs. Rhee. 
The pleasure of President Rhee's visit which has 
been under consideration for some time has been 
deferred until now because of the difficulty of ar- 
ranging a mutually satisfactory date. 

The visit of President Rhee to the United States 
will provide an occasion for the discussions which 
President Rhee and Secretary of State Dulles 
agreed upon in their joint statements of August 8, 
1953 ' in the event that the political conference on 



' General Smith left for Geneva on July 16. 
• Bri.r.ETi.N of Aug. 17, 19.'')3, p. 203. 



July 26, 1954 



123 



Korea provided for by article 60 of the Korean 
Armistice Agreement should fail. The relevant 
part of the joint statement read as follows : 

We will then consult further regarding the attainment 
of a unified, free, and independent Korea which is the 
postwar goal the United States set itself during World 
War II, which has been accepted by the United Nations as 
its goal and which will continue to be an object of concern 
of U.S. foreign policy. 

The political conference on Korea provided for 
by article 60 of the Armistice Agreement was held 
at Geneva from April 26 to June 15, 1954. The 16 
Allied participants found it impossible at that 
conference to secure Communist agreement to the 
unification of Korea. 

In addition to discussions on the problem of 
Korea's unification, President Rhee's visit will 
provide an opportunity for a full exchange of 
views on other problems of mutual concern to the 
United States and the Republic of Korea. 

The visit of President Rhee to Washington will 
be his first visit to the United States since 1947. 
It is also the first opportunity the two Chiefs of 
State have had for a personal and direct exchange 
of views since President Eisenhower visited Korea 
late in the winter of 1952 before the conclusion of 
the Armistice in Korea. 



Governors Report on Korea 

White House press release dated July 9 

Following is the text of a report delivered to the 
President on July 9 by Gov. Dan Thornton of Col- 
orado and Gov. John Fine of Pennsylvania. Gov. 
Allan Shivers of Texas, the third member of the 
committee which visited Korea, loas unable to 
accompany them to the White House. 

At the request of President Eisenhower, Gov. 
John Fine of Pennsylvania, Gov. Allan Shivers 
of Texas, and myself, as members of the Executive 
Committee of the Governors' Conference, visited 
Korea to evaluate the progress of United States 
programs aiding rehabilitation of our gallant war- 
ravaged ally in order to provide the public with 
the essential knowledge and broad understanding 
to which it is entitled.^ We are convinced of the 
simple and inescapable fact that Korea must be 
kept out of the Conununist camp. Moreover, 
Korea must be lielped in her efforts to become a 
strong self-supi)orting member of the free- world 
community. 'I'lie United States is now engaged in 
important programs to assist Korea to achieve 
the.se common objectives. 

Our mission, as directed by the President of the 
United States, was to observe conditions as they 
exist and to report to him and to the peoi)le of the 
United States, wlio, through their taxes, support 

' For background on the Governors' mission, see Bulle- 
tin of May 31, iy.")4, p. 836. 



the U.S. relief and rehabilitation program in 
Korea, the progress being made and any improve- 
ments we would recommend. We do not profess 
expert capacity on the technical aspects of the 
Korean problem as a result of our brief visit. But 
we can report with reasonable accuracy what we 
saw and to what extent the activities we observed 
are helping to solve the overall problem of Korean 
economic distress which America is anxious to 
relieve. 

It is our conclusion that a good job is being done 
in administering the United States aid program. 
The American and Korean people can be assured 
that operating overhead is being kept at a min- 
imum and that a full dollar value is being ex- 
tracted for every dollar spent. Measurable 
progress has been made toward repairing the 
devastation wrought by the Communist aggres- 
sion. We believe that this progress will quicken 
in the months ahead through the joint efforts of 
Koreans and Americans. Indeed, the United 
States can only supplement the vast efforts being 
made by the Korean people who have endured such 
bitter hardships. 

Examples of the progress made under this pro- 
gram are at every hand. For example, today 
there is adequate food in Korea while 18 months 
ago many people went hungry. This is due largely 
to the bountiful rice crop of last year, and to the 
substantial imports of food financed with foreign 
aid funds as well as with ROK funds. The large 
rice crop itself would have been impossible with- 
out the huge volume of fertilizer imports financed 
by the United States. Today there is an adequate 
amount of clothing in Korea while 18 months ago 
many people suffered from lack of essential cloth- 
ing. Today, epidemic diseases such as typhoid, 
typhus, and smallpox, once widespread, have been 
brought under control, and the incidence of these 
diseases is as low as it is in the United States. 
There are now adequate raw materials on hand for 
building purposes and for processing in existing 
Korean factories. Production, while still below 
desirable levels, has been improving steadily. For 
example, in 1953 as compared with 1952, cotton 
yarn production was up 36 percent, cotton sheet- 
ing up 40 percent, cement up 21 percent, anthra- 
cite coal up 51 percent, electric power up 16 per- 
cent. Tiiis same pattern is seen when the firet 
quarter of 1954 is compared with the first quarter 
of 1953. On this comparison cotton yarn is up 
36 percent, cotton sheeting up 17 percent, cement 
up 204 percent, anthracite coal up 9 jjercent, elec- 
tric power up 19 percent. Much of tlic credit for 
these improvements, of course, is attributable to 
the energies of the Korean people. Nevertheless, 
this progress would not have been possible without 
the iui])ortant contributions of tlie United States 
and Uuited Nations agencies under tlie general 
supervision of the Oilice of the Economic Coordi- 
nator in coopei'ation with members of the Armed 
Forces. 



124 



Department of State Bulletin 



These accomplishments liave been impressive. 

The needs of tlie situation are so preat. iiowcver, 
that we must press forward to continue and in- 
deed to accelerate this rate of rehabilitation. We 
were impressed by the sense of iir<rency manifested 
by tlie stall's of Americans ami Koreans worhin<; 
on this iirojfrani. Pi-esidont Rhce has expressed 
dissatisfaction with the rate at wiiich tlic aid pro- 
gram is moving. This impatience is umlerstaiul- 
able when we realize the tremendous task which 
faces the Government of the Republic of Korea 
in creating, with our help, a source of economic as 
well as military strength. 

The process of getting plants and factories back 
into operation is a slow one. Yet significant prog- 
ress is being made. Textile plants are being put 
into operation as fast as they can be rebiiilt and 
new sjiindles put into place. We were struck by 
the ingenuity and resourcefulness of the Koieans 
in rebuilding a large textile plant outside of Seoul 
which had recently been acquired by private busi- 
ness interests. Here we saw bombed-out machin- 
ery rejiaired and new spindles, imported under the 
aid programs, being installed. Electric power, of 
course, is basic to economic development in Korea. 
We visited the Hwachon reservoir and power sta- 
tion north of the 38th parallel which is being re- 
habilitated with United States assistance. A 
contract has been signed for the construction of 
three thermal plants which will add 100,000 kw. 
of vitally-needed power to the economy. In addi- 
tion, funds have been committed for the construc- 
tion of a fertilizer plant to aid the farmers of 
Korea in increasing their crop production. Fur- 
thermore, contracts will soon be concluded for a 
cement plant and a glass plant. 

Notwithstanding these favorable aspects, we be- 
lieve that additional efforts should be directed 
toward : 

(a) achieving still better coordination between 
the United States and the United Nations Koiean 
Reconstruction Agenc}' aid programs on the one 
hand and the Korean rehabilitation and import 
programs on the other hand ; 

(b) encouraging the Republic of Korea to in- 
crease efforts to stimulate private enterprise and 
private foreign investment through the establish- 
ment of sound monetary reforms; 

(c) considering further utilization within the 
progi-am of U.S. surplus agricultural commodi- 
ties; and 

(d) encouraging the Republic of Korea in tak- 
ing additional measures toward economic and fi- 
nancial stabilization to permit aid funds to be 
used to their maximum effectiveness. In this con- 
nection, full consideration nnist be given to the 
establishment of more adequate credit; controls as 
well as a sound overall monetai-y and fiscal policy. 

We are convinced that Korea and the United 
States are making measurable progress toward 



achieving their conmion objectives. We recog- 
nize that Korea is a vital partner of the free world 
in the Fai- P^ast. The accomi)lishments in Korea 
and the elfort that nnist be made to promote better 
cooperation between our Far Eastern allies and 
ourselves lead us to conclude that a better spirit of 
neighi)()i'iiness should be fostered l)etwe«'n those 
count I'ies n'(iuiring close economic ties. \S'e tlii-re- 
fore believe tliat efforts should be made to improve 
the relations between Korea antl ol her Far Eastern 
countries in order to facilitate the recovery of our 
gallant war-devastated ally, Korea. 



Increase in Military Aid 
To Thailand 

The Department of Defense on July 13 an- 
nounced a new program of increased military aid 
and technical assistance to the Government of 
Thailand. 

As a result of staff talks recently concluded be- 
tween Department of Defense officials and a Thai 
milit^iry mission headed by Gen. Srisdi Dhanara- 
jata, Dejiuty Defense Minister and Commander in 
Chief of the Royal Thai Army, a new and addi- 
tional military-assistance progi'am has been ap- 
proved for the Thais so as to increase the capability 
of the Thai armed forces to resist aggi'ession. 

Additional emphasis will also be placed on the 
accelerated development of junior officers, non- 
commissioned officers, and technical personnel, the 
announcement stated. The progi-am calls for 
additional support for Thai training activities, in- 
cluding the provision of weapons, equipment, and 
technical and training assistance in their use. 

In addition to the military-aid grant, the De- 
partment of Defense also announced that a]jprox- 
miately $3 million was being made available to 
the Thai Government for the construction of a 
highway from Saraburi, in Central Thailand, 
through Korat to Ban Phai, a distance of 297 
miles. 

Wliile this highway will be of strategic value in 
case of military operations in Thailand, its value 
to the economy of the country will be considerable, 
the announcement stated. 

The jirogram will be administered in Thailand 
by a Joint U. S. Military Aid Group headed by 
Maj. Gen. W. N. Gillmore, U. S. Army. 



Discussions Concerning 
St. Lawrence Seaway 

U.S.— CANADIAN COMMUNIQUE OF JULY 6 

Officials of the Canadian and United States Gov- 
ernments met on Monday and Tuesday, July 5-6, 



July 26, J954 



125 



in Ottawa to discuss the St. Lawrence Seaway.^ 
The meeting was held at the request of the I . S. 
Government in a note dated June 7, 1954,= follow- 
ino- passage by Congress of legislation authorizing 
the U. S. to participate in the seaway project by 
the construction of canals on the U. S. side of the 
International Rapids Section of the St. Lawrence 
Eiver. The meeting explored in a friendly and 
constructive manner the more important changes 
which might have to be made in the existing ar- 



rangements for the development of the St. Law- 
rence seawav and fixed a tentative agenda of the 
subjects which may require to be negotiated or de- 
cided subsequently by the two Governments. It 
is expected that a meeting for this purpose between 
representatives of the two Governments will be 
held later this month after both Governments have 
had an opportunity to consider these subjects in 
the light of the current discussions. 



Germany fVlakes Amends 



hy Margaret Rupli Woodward 



The Federal Republic of Germany has pledged 
approximately $2 billion in an effort to make par- 
tial amends for the persecution of minority groups 
under National Socialism. The programs under- 
taken rest upon the elementary principle that it 
is incumbent upon the new Germany to undo, in- 
sofar as possible, the wrongs inflicted upon minori- 
ties under National Socialism. Although con- 
ceived in part by the Western Allied occupation 
authorities, the compensation and restitution pro- 
gi-ams are German programs and have been car- 
ried out by the Federal Republic as a German 
responsibility. The German-Israel Agreement 

' Participants for the United States were : Ambassador 
R Douglas Stuart ; Deputy Secretary of Defense Robert 
T. Anderson ; Assistant Secretary of State Livingston T. 
Merchant; Assistant Attorney General .T. Lee Ranlvin; 
Wilbur M. Brucker, General Counsel, Department of De- 
fense- Ma.i. Gen. B. L. Robinson, Deputy Chief of Engi- 
neers for Construction ; Lewis G. Castle, Administrator of 
St. Lawrence Seaway Development Corporation ; Jerome 
K KuyUendall, Chairman, Federal Power Commission; 
Don 0. Bliss, Minister, U.S. Embassy, Ottawa; Tyler 
Thompson, Department of State; Outerbridge Horsey, 
Department of State ; Francis L. Adams, Federal Power 
Commission: Raymond T. Yingling, Department of State; 
Capt. Reynold llogle, U. S. Navy; George Vest, U.S. 
Embassy, Ottawa. 

Canadian participants were : R. B. Bryce, Clerk of Privy 
Council ; Lionel Cbevrler, President, St. Lawrence Seaway 
Authority; Max Wershof, Assistant Under-Secretary of 
State for External Affairs; R. A. C. Henry, Director, 
Special Projects Branch. Department of Transport; 
Charles West, Deputy Minister of the Department of 
Transport; J. F. Parliinson, Director of Domestic Econ- 
omy Policy Division, Department of I'inance; Ernest A. 
Cote, Chief, American Division, Department of External 
Affairs; Gordon Cox, Department of External Affairs; 
Sidney Freifeld, Department of External Affairs; Paul 
Pelletler, Assistant Secretary to the Cabinet, Privy 
Council. 

' Bulletin of July 12, 1954, p. 50. 

126 



of 1952 providing resettlement assistance to sur- 
viving Jews developed from a resolution intro- 
duced into the German Parliament by Chancellor 
Konrad xVdenauer recognizing Germany's obliga- 
tion to make moral and material amends to Jewish 
victims of Nazi persecution. 

The defeat of Germany laid open to the world 
the enormity of Nazi crimes against minority 
o-roups and particularly against persons of Jewish 
faith. The United States, British, and French 
occupation authorities recognized that reparation 
to those who had been injured or killed could not 
be made in full. But the Allies believed that 
those who had suffered should be afforded restitu- 
tion and indemnification for their injuries and 

IOSS6S. 

How could the new Germany make such 
amends? It could, if the victims were still alive, 
indemnify them for their time spent in concentra- 
tion camp. It could compensate them for per- 
sonal injury such as the loss of an eye or a limb. 
If their property had been looted or destroyed or 
had to be abandoned because flight to another 
country was the only course left open to a victim, 
compensation was again a partial solution. If a 
person had had his personal possessions seized, 
or had been dei)rived of his livelihood, or had had 
fines unjustly imposed on him because of his race, 
his faith, or his political convictions, amends could 
be made. If he could identify property ^yhlch 
had once been his, it could be returned to him. 

These amends could be made to the living, who 
could also be assisted to leave Germany and re- 
settle in Israel or elsewhere, and the new Germany 
has undertaken the rcsi)()nsibility to make tliem. 
No such amends could be made to the dead. Where 
there were surviving relatives, these could be 
helped by receiving the indemnity due a dead 

Department of Sfofe Bo//efin 



ivlntive. But often there were no relatives, for !i 
(uMinan Jewisli popiihition of over 900,000 persons 
had been reduced to 25,000. 

Indemnification to Victims of Nazi Persecution 

From the beginning of the occupation, U.S. pol- 
icy was to encourage the Cierman autliorities to 
provide compensation to those who liad sutTered 
injuries or material damages under National 
Socialism because of race, religion, ideology, or 
]H)litical opposition. In 1947 U.S. military gov- 
ermnent appointed a commission to meet with 
representatives of the four states in the U.S. Zf)ne 
to draw up a uniform indemnification law. This 
(leneral Claims Law was drafted by the German 
authorities in the U.S. Zone and became effective 
as of April 1, 1949. It provided compensation 
for (a) loss of life, (b) damage to limb or health, 
(c) deprivation of Hberty, (d) damage to property 
and possessions, and (e) damage to economic ad- 
vancement, to persons persecuted in Germany be- 
cause of political conviction, or on racial, religious, 
or ideological grounds. The problem of ade(|\iate 
financing was the principal problem in settling 
claims. Half of the claimants in the U.S. Zone 
lived in Bavaria, which lacked the economic re- 
sources of some of the other states less burdened 
with claimants. 

In the other zones, the situation was even more 
diflicult. There were no uniform laws in the 
British and French Zones, although legislation 
was enacted in certain localities. In the Soviet 
Zone, there were no compensation laws whatso- 
ever. 

On September 18, 1953, the Federal Republic of 
Germany broadened the state laws by enacting the 
''Supplementary Federal Law for the Compensa- 
tion of Victims of National-Socialist Persecution." 
The legislation covered the whole area of the Fed- 
eral Republic, as well as West Berlin, and brought 
order and uniformity to the program. It also 
brought the financial support of the Federal 
Republic into play. 

Eligibility requirements of the Federal law are 
patterned after those of the earlier state laws. 
The benefits vary according to the nature of the 
injury or damage. For example, in the case of a 
person killed or driven to death, payments are 
made to the widow or widower, minor children, 
and sometimes other relatives, the maximum 
amounts ranging from 50 to 200 Deutschemarks ' 
(DM) a month. Indemnification for damage to 
limb or health consists, in serious cases, of medical 
assistance and, if the earning capacity is reduced 
by over 30 percent, a minimum pension ranging 
from DM 100 to DM 250 a month. A person who 
■was arrested by the police or the Nazi party and 
interned in a concentration camp or who per- 

' The rate of conversion here used is DM 4.21=$!. 
July 26, 1954 



formed forced labor is to be indemnified by DM 
150 for each moiilh during whicli he was in 
custody. 

As of May 1954, about 500,000 petitions had 
been received for indemnification in the U.S. Zone 
of (lennany and in West Berlin, and DM 371 
million had been paid out as follows: 

DM In mllMoDg 
Wett Qermany Wett Berlin 

(a) Loss of life IS 10 

(b) Damage to liinl) or health- 19 18 

(c) Deprivation of lilierty 112 35 

(d) Damage to property and 

possessions 26 12 

(e) Damage to economic pros- 

pects 19 22 

(f) Hardship cases 9 

(g) Advance payments 48 23 

Total 2.51 120 



Restitution of Identifiable Property 

The early history of the occupation shows that 
the four Occupying Powers were in agreement 
that restitution of looted property was one of the 
main objectives of the occupation. However, 
there was a considerable delay in establishing a 
legal basis for the United States policy regarding 
the return of confiscated property. In April 1947 
the U.S. element proposed a uniform restitution 
law which had been prepared jointly by German 
and American authorities in the U.S. Zone. 
After 7 months of discussion, it became clear that 
quadripartite agreement was impossible. Efforts 
to reach agreement on a bizonal or trizonal basis 
were also unsuccessful, and the U.S. authorities 
found it necessary to proceed unilaterally. Mili- 
tary Government Law 59 was promulgated in the 
U.S. Zone on November 10, 1947.- 

The basic purpose of Law 59 is to return identifi- 
able property to the largest extent possible to 
those who were wrongfully deprived of it between 
January 30, 1933, and May 8, 1945, for reasons of 
race, religion, nationality, ideology, or political 
opposition to National Socialism. The restitution 
program is limited to property which can be lo- 
cated and identified. It is administered by Ger- 
man agencies created for the purpose. German 
courts adjudicate the claims. Appeals may be 
taken to the United States Court of Restitution 
Appeals, which is composed of three xVmerican 
judges whose decision is final. 

The last date for filing claims under the Resti- 
tution Law was December 31, 1948. The program 
in the U. S. Zone is over three-quarters completed, 
some 200.000 cases having come before the restitu- 
tion authorities, and 150,000 of them having been 
settled, dismissed, or withdrawn. The estimated 



- For a partial text of this law, see Ocrmany 19.'i1-lS!i9: 
The Story in Documents (Department of State publica- 
tion 3556), p. 434. 

127 



value of the property which liad been returned or 
compensated for as of May 1954 was DM 906 
million. 

A particular difficulty arises in the case of 
claims for restitution against the former Keich 
Government as contrasted with claims against in- 
dividuals. These have been adjudicated and 
judgments against the Reich have been awarded 
but not paid. However, the Federal Republic of 
Germany has given an undertaking in the Con- 
tractual Agreements ^ to insure the payment of 
these judgments up to the amount of DM one and 
a half billion. 

The British and French have enacted legisla- 
tion in their Zones substantially similar to that in 
the United States Zone, but there is no provision 
for restitution in the Soviet Zone. In Berlin 
Soviet intransigence delayed the adoption of resti- 
tution legislation. It was not until July 26, 1949, 
that the Allied Kommandatura for Berlin, the 
Soviet member having withdrawn, was in a posi- 
tion to enact a restitution law for "West Berlin. 

Problem of Heirless Assets 

To prevent the turning over to the state of prop- 
erty which once belonged to persons who lost 
their lives under Nazi pereecution, the occupation 
authorities provided for appropriate organiza- 
tions to succeed to heirless property. In the U.S. 
Zone, leading Jewish organizations organized the 
Jewish Restitution Successor Organization (Jrso) 
to succeed to heirless and unclaimed Jewish prop- 
erty. Although thousands of cases were amicably 
settled, Jrso believed that individual settlements 
would be too big and costly a process for it to 
handle. In 19.50, therefore, Jrso began negotia- 
tions with the German state governments, each 
of which agreed to make a negotiated bulk pay- 
ment to the Jrso and then to press claims itself 
against the present German holders. 

In all, the Jrso recovered approximately DM60 
million through such bulk settlements. Part of 
this money was used to assist surviving Germans 
of Jewish faith in the form of grants to the aged 
and sick and assistance to the new German Jewish 
communities. Refugees from East Germany were 
given care and assistance. The renuiining Jewish 
Dp camps were emptied as their occupants were 
absorbed into the German economy or helped to 
migrate overseas. The young State of Israel also 
needed help in absorbing its immigrants, and this 
was given in the form of money for hospitals and 

' These aKreements were sisned in May 19.52 between 
the Governments of the Unitod States, the Uuitwl KinR- 
(lom. and Fraiuc on the one hand and tlie German Federal 
R<'PMlilie on the other. When tliey enter int<i foree, 
tlie occupation will end ••uul the Federal Reii\il>lie of 
Germany will assume a position of sovereign equality 
with other free n.ations. For summaries of the agree- 
ments, see Bulletin of June 9, 19.52, p. 888. 

128 



schools and assistance to the new industrial and 
agricultural communities. 

No bulk settlement has yet been negotiated in 
West Berlin, where economic recovery lags behind 
that in the West Zone. Atteiupts to secure such 
a bulk settlement are continuing. 



German-Israel Agreement 

The principal step in resettlement assistance to 
Jewish victims was the signing of the agreement 
of September 10, 1952, between the Federal Re- 
pubhc of Germany and the State of Israel, A year 
earlier (September 27, 1951) the German Parlia- 
ment, on the motion of Chancellor Adenauer, 
adopted unanimously a resolution recognizing 
Germany's obligation to make moral and material 
amends to Jewish victims of Nazi persecution. 
From this resolution emerged the German-Israel 
Agreement, which provided for the delivery to 
Israel of DM 3 billion in German goods and serv- 
ices over a 12-year period. The first installment 
of DM 200 million was made available in May 
1952, and the first delivery of goods purchased 
with these funds reached Israel in August 1953. 
At the same time there was drawn up between 
the Federal Republic of Germany and the Con- 
ference on Jewish Material Claims against Ger- 
many, which consists of 23 international Jewish 
organizations, an agreement under which the Fed- 
eral Republic agreed to pay to the Conference 
the sum of DM 450 million to be used for reHef, 
rehabilitation, and resettlement. 

The German-Israel Agreement represented a 
milestone in Germany's international relations. 
By assisting Israel materially, Germany made its 
contribution to the resettlement of the remnant 
of (ierman and East European Jews and helped 
rebuild the lives which had been destroyed by the 
German Reich. In so doing, the Federal Repubhc 
took an important step forward in reestablishing 
itself in the communitv of nations. 



Costs to Federal Republic 

The total cost to Germany of the various forms 
of amends to the victims of Nazi persecution will 
be ajiproximately DM 7.950,000,000 (2 billion dol- 
lars), distributed as follows: 

Program : DM in billions 

1. Indemnification 3. 

2. Settlement of restitution claims against the 

former Reich 1. 5 

.■?. German-Israel Agreement 3.0 

4. Payments to Gonfer(>nce on Jewish Material 

Claims Against Germany . 45 

Total 7. 95 

These costs are to the Federal Rc])ublic and the 
German States and will be met out of German 
taxes. In addition, individual Germans are af- 
fected economicall\' by being required to sur- 

Department of State Bulletin 



render confiscated property even tliough as indi- 
viduals they may have been bona fide owners. 

Taking Funds Out of Germany 

At first, Nazi victims living outside Germany 
found it almost impossible actually to receive 
money from compensation or restitution awards 
since Deutschemarks could not be turned into 
foreign currencies. Within the last year, how- 
ever, there has been a progressive liberalization 
of currency regulations. At present a person who 
is awarded compensation may take all of his pay- 
ments out of (lermany. A person whose property 
has been restored to him may (1) take DAI 500 a 
nujuth of the proceeds out of Germany, (2) take 
the whole sum if it did not exceed DM 10,000 at 
the beginning of this year, (3) exchange his 
entire account for currencies other than still- 
scarce U.S. dollars and transfer the funds with the 
approval of the second country, or (4) by incur- 
ring only a slight loss, sell his DM account outside 
Germany. With these new provisions persons 
living outside Germany nuiy now have the use of 
the money awarded them. 

Future of Compensation and Restitution Programs 

Compensation, restitution of identifiable prop- 
erty, disposition of heirless property, and the 
agreement with Israel are all programs which 
represent a conscientious resolve by the new Ger- 
many to make amends for the sins of the old. 
They also represent a significant effort on Ger- 
many's part to reestablish itself as a responsible 
member of the family of nations. 

What of the future? As the time for German 
sovereignty approaches, can the Allies be sure 
that these programs will go forwai'd without 
interruption ? 

To assure such continuation, there were written 
into the Bonn Conventions between the Allies and 
the Federal Republic of Germany provisions for 
carrying on both the restitution and the compen- 
sation programs. The Federal Republic, in the 
Convention on the Settlement of Matters Arising 
Out of the War and the Occupation, acknowledges 
the need for and assumes the obligation to imple- 
ment the restitution program, "paying due regard 
to the provisions of tlie Basic Law." In the same 
convention, the Federal Republic acknowledges 
the obligation to assure adequate compensation to 
victims of Nazi persecution, and in fact the Com- 
pensation Law described above was passed to meet 
this provision of the convention. 

Thus, the new Germany has given its pledge 
that the programs to make amends to those perse- 
cuted under National Socialism will go forward 
uninterrupted until their completion. 

• Mrs. Woodward., author of the above article^ 
is a foreign-affairs officer in the Office of German 
Affairs. 

July 26, 1954 

30G933— 04 3 



Admission of Churchmen From 
Czechoslovakia and Hungary 

Press release 800 dated July 17 

Secretary Dulles has recommended to the At- 
torney General that 11 churchmen, official dele- 
gates to the Second Assembly of the World Coun- 
cil of Churclies from various churches in Czecho- 
slovakia and Hungary, be admitted to the United 
States for the sole purpose of jjarticipating in 
activities directly related to this and certain other 
churcii conferences and only for such time as is 
nece.ssary to attenil these conferences. 

During the coming summer there will take place 
in the United States several Protestant church 
gatherings of international significance. Among 
these are the Presbyterian Alliance Conference at 
Princeton University starting July 27, the World 
Lutheran Conference in Chicago beginning 
August 12, and the meeting of the World Council 
of Churches at Evanston, 111., from August 15 to 
31. 

The Department has been informed that Prot- 
estant laymen and clergy have been designated 
from their particular denominations in many 
countries as delegates to these international meet- 
ings. Among those indicating an intention to 
participate are certain Czechoslovak and Hun- 
garian Protestant churchmen who have applied 
for visas to enter this country. 

It is well known that for a number of years the 
Communist-dominated regimes of Eastern Europe 
have been engaged in a campaign of intimidation 
and persecution against all forms of religion. The 
purpose of this campaign is to undermine the re- 
ligious feelings of the peoples of tliese countries 
and to make religious groups and religious lead- 
ers subservient to the will of the Communist state. 
In spite of heroic resistance by the people and 
many of their religious leaders, in each of these 
countries there have been some churchmen of all 
faiths who have found it possible to reconcile their 
faith with public support of communism. Such 
may be the case wnth some or all of the clergymen 
from Czechoslovakia and Hungary who have now 
applied for admission to the United States to at- 
tend these church gatherings. 

It is felt that the importance of these forthcom- 
ing meetings, from a worldwide religious point of 
view, is so great that this Government should per- 
mit the attendance of all invited delegates who are 
admissible under the law, in the belief that they 
will give and receive a spiritual contribution which 
will serve the cause of worldwide Christianity. 
Freedom of religion has always been basic to our 
way of life. Clearly, the spiritual foundation on 
which this nation rests is too strong to be adversely 
affected by any pro-Communist activities in which 
this small group of delegates from Comnuinist- 
dominated areas might attempt to engage. The 

129 



other participants in these gatherings, as well as 
the American people in general, will be in a posi- 
tion to judge by the conduct of these delegates 
whether they come here as churchmen or as ])rop- 
agandists of an aggi-essive and materialistic 
philosophy fundamentally hostile to religious 
faith. 

The opportunities presented by these meetings 
for contacts with the spiritual life of America 
could have a beneficial effect upon these delegates, 
and thus perhaps make them more aware of their 
true responsibilities to the peoples of the countries 
from which they come. Out of this experience 
could come a spiritual strengthening of the 
churches in Czechoslovakia and Hungary in the 
face of the constant and ruthless pressure to which 
they are subjected. 



U. S. Applications in C-47 Case 
Removed from Calendar of iCJ 

Press release 388 dated July 16 

The Department of State has been informed that 
the International Court of Justice has directed 
that the applications filed by the U.S. Government 
against the Governments of the Soviet Union and 
Hungary be removed from the General List, or 
calendar, of the Court. 

These applications were filed with the Court on 
March 3, 19.54.^ They sought damages from the 
Soviet and Hungarian Governments in the amount 
of $637,894.11 on account of the actions of these 
Governments in connection with the seizure and 
detention of a U.S. Air Force C-47 aircraft and 
crew which came down over Hungarian territory 
on November 19, 1951, after having been blown 
off their course and becoming lost while engaged in 
an innocent flight from Germany to Belgrade, 
Yugoslavia. The damages included the sum of 
$123,605.15, representing the fines against the four 
airmen which the U.S. Government paid to the 
Hungarian Government under protest in order to 
effect their release from Hungary. 

The Court gave as the sole reason for the re- 
moval of the applications the refusal of the Soviet 
and Hungarian Governments to take tlie necessary 
action to submit themselves to the Court's jurisdic- 
tion. The Court did not raise any question with 
respect to its own competence, had the respondent 
Governments acceded to the Court's jurisdiction, 
to hear and determine the questions of fact and 
law which the U.S. Government's applications 
against the Soviet and Hungarian Governments 
raised. 

.\.s set fortli in the applications which these 
Governments have refused to answer, the charges 
against them were, in substance, 

' Bulletin of Mar. 22, 1954, p. 449. 

130 



1. that the two Governments had violated inter- 
national law in bringing down and detaining the 
C-47 aircraft and its crew; 

2. tliat they had mistreated tlie crew and liad 
been guilty of flagrant and manifest denials of 
justice in indicting and trying the crew for alleged 
crimes they had never committed, denying tliem 
counsel and other riglits to fair trial and imposing 
on them arbitrary and unlawful punisliments; 

3. that the fines against the crew members, 
whicli the U.S. Government paid under protest, 
were an extortion of ransom ; and 

4. that the entire action was planned and con- 
ducted in concert by the two Governments for tlie 
purpose of extorting the money and converting 
the aircraft to their own use and in order to pro- 
vide a false excuse for a propaganda campaign in 
the General Assembly of the United Nations meet- 
ing in Paris in December 1951, that these airmen 
were engaged in espionage activities even though 
the Soviet and Hungarian Governments had, by 
their own investigations, established the innocence 
of tlie flight. 

The U.S. Government filed its applications in 
the International Court of Justice after having 
exhausted all diplomatic attempts to obtain justice 
in this matter from the Soviet and Hungarian 
Govenunents. It did so in the hope that the Gov- 
ernments might at least be willing, in the interest 
of the administration of justice and the develop- 
ment of international law, to permit the Interna- 
tional Court of Justice to pass upon the questions 
of fact and law which they professed to dispute. 

Their i-efusal to submit to the jurisdiction of the 
Court and the consequent action of the Interna- 
tional Court of Justice come as no surprise. The 
Soviet and Hungarian Governments' communica- 
tions to the Court, in reply to the applications 
which were duly delivered by the Court to these 
Governments, were not responsive to the applica- 
tions. The refusal of the Soviet and Hungarian 
Governments to permit the Court to determine 
the merits of the controversy points to their 
awareness of the validity of the U.S. charges of 
illegal actions of the Soviet and Hungarian Gov- 
ernments. 

This conduct on the part of the two defendant 
Governments merely demonstrates again that, like 
other governments in the Soviet orbit, they have 
no compunctions in publicly asserting principles 
of international law and order but in then refus- 
ing to permit those principles to be applied to 
their own conduct. 

The U.S. Government must of course accept the 
decision of the International Court of Justice. 
Nevertheless, the charges brouglit by the United 
States and the refusal of the Soviet and Huno;ar- 
ian Governments to meet these charges before 
the International Court of Justice are now a mat- 
ter of public and permanent record in the world's 

Department of State Bulletin 



higliest judiciiil tribiimil. The refusal of the de- 
fendant Governments to permit a judicial exami- 
nation of their conduct in these cases does not 
give them any absolution for the wrongs they 
committed, either to the U.S. Government or to the 
individual U.S. airmen. 



Second Soviet Protest 
Concerning "Tuapse" 

U.S. Noteof July 4 

Press release 364 dated July 6 

Following is the text of a note delivered on July 
li to the Soviet Foreign Office hy the Americcm 
Embassy at Moscow: 

The United States Government refers to the 
Soviet Government's note of July 2 with further 
reference to the Soviet tanker J'uapse. 

The Soviet (iovernment is well aware that the 
vessel in question was not seized by the naval 
forces of the United States and that it has not 
been detained by United States authorities. The 
United States Government therefore has nothing 
further to add to its note of June 26 ^ rejecting the 
unfounded charges of the Soviet Government in 
this matter. 



Soviet Note of July 2 

[Unofficial translatloQ] 

In connection with the note of June 26, 1954, of the 
Government of the United States of America regarding 
the seizure of the Soviet tanlver Tuapse by a naval vessel 
south of the Island of Taiwan, the Soviet Government 
considers it necessary to state that it cannot consider as 
satisfactory the U.S. Government's answer to the Soviet 
Government's note of .Tune 24.' 

As already stated, the tanker Tuapse was seized by a 
naval vessel of the destroyer type June 23 in the open 
sea south of the Island of Taiwan. In its note of June 
26, the Government of the USA disputes neither the fact 
of seizure of the tanker Tuapxc by a naval vessel nor the 
fact that the rcKion of open sea in which the seizure took 
place is under the control of the naval fleet of the USA. 
The Government of the USA in its note merely denied 
participation of naval forces of the USA in this illegal 
act, without adducini; any proof. 

However, it is obvious to all that the seizure of a Soviet 
tanker in waters controlled by the fleet and patrolled by 
military airplanes of the U.S. could be carried out only 
by naval forces of the USA, under whatever flas they 
may have acted. 

In view of the above, all responsibility for the seizure 
of the Soviet tanker Tuapse and also for guaranteeing 
the safety of its crew and for safekeeping of the tanker 
and cargo lies in the Government of the USA. 

The Soviet Government, confirming its note of June 24, 
protests to the Government of the USA in connection 



with the continued (Iclcntlnn cjf ilie Soviet tanker Tuapse 
and insists on the taking; of imniediate measures for the 
llliiratiiiii of the iibipve-mcnliiiiii'd tanker, its crew, and 
car;;o. The Soviet (iovernment expects that the Govern- 
ment of the US.\ will lal;e !i|ppropriate measures for the 
prevention in future <il' similar illegal actions, which 
crudely violate the freediini of navigutiim in the open sea. 
.Moreover, the Soviet (iovernment retains the right to 
demand of the Government of the USA compensation for 
damages caused to the Soviet Union in connection with 
the seizure of the tanker Tuapse. 



U. S.-Greel< Offshore Procurement 

Address by Cavendish W. Cannon 
Ambassador to Greece ' 



I am very happy to be here today to participate 
in tlie inauguration of the plant — the newest 
source of strength of the common defense effort 
in which the nations of the free world are engaged. 
As you all know, the opening of this plant is 
closely associated with the Offshore Procurement 
Program, which was conceived as a means of 
broadening the military-production base of the 
free nations and thus bolstering their capacity 
to ward off aggression. 

It has always seemed to me that tlie Offshore 
Procurement Program has a special character, 
combining as it does so many of the basic precepts 
of sound international cooperation. Unilateral 
in origin, the program is bilatenil in operation 
and multilateral in effect. The United States pur- 
chases ammunition produced in Greece with joint 
assistance, for delivery to any of the Nato coun- 
tries. Equally significant is the fact that the pro- 
gram provides employment for several thousand 
workers and will earn substantial foreign ex- 
change as the orders, totaling about $35 million, 
are filled. It is the kind of joint venture that 
offers hope and strength to the free world. It 
lias, I believe, many of the elements of collective 
and individual action which His Majesty person- 
ally, and the Greek Government, have urged the 
Greek people and all free men to support. 

The Offshore Procurement Program, however, 
represents only one phase of our overall common 
defense effort. Another phase, one of the very 
highest importance, was entered last October with 
the signing here in Athens of the Greek-U.S. 
Military Facilities Agreement.^ I wish to express 
the appreciation of my Government and the 
American people for the splendid cooperation of 
the Greek Government and the Greek xVrmed 



' BULLETIN of July 12, 1954, p. 51. 
"/6id. 



* Made at inaugural ceremony of Hymettus plant of 
Greek Powder and Cartridge Co. at Athens on June 10. 

' For test of agreement see Bulletin of Dec. 21, 1953, 
p. 863. 



Ju/y 26, 1954 



131 



Forces in making possible the realization of the 
program provided for under this agreement. 
This joint effort, together with the Offshore Pro- 
curement and other multilateral programs in 
which our two countries participate, will 
strengthen this area and other areas of the free 
world and will thereby contribute significantly to 
our mutual efforts to maintain the peace by deter- 
ring potential aggressors. 

An agi-eement such as the IMilitary Facilities 
Agreement can be successfully implemented only 
where a special relationship of confidence, mutual 
understanding of each other's problems, and the 
will to solve them exists. Such a relationship 
most certainly exists between the people of Greece 
and of the United States. When practical prob- 
lems do arise, whether they are of a military, eco- 
nomic, or even juridical character, we shall con- 
sult with each other and find solutions which 
serve the national interests of both countries. 

A spirit of close and friendly cooperation per- 
meates all activities under this program. Facili- 
ties for U.S. Forces will be provided on Greek 
bases. To the maximum extent feasible, Greek 
labor, technicians, and materials will be employed 
in the construction of these facilities, which are 
being built at the expense of the United States. 
It is the essence of this program that it be con- 
ducted in the closest kind of partnership — it can- 
not be otherwise. 



Eric Johnston Reports Agreement 
on Sharing of Jordan Waters 

Press release 309 dated July 6. 

Ambassador Eric Johnston has informed the 
President and the Secretary of State that Syria, 
Lebanon, Jordan, and Israel have accepted the 
principle of international sharing of the contested 
waters of the Jordan River and are prepared to co- 
operate with the U.S. Government in working out 
details of a mutually acceptable program for de- 
veloping the irrigation and power potentials of 
the river system. 

On his return from a 4-week visit to the area 
for discussion with Arab and Israeli representa- 
tives, Mr. .lohnston said that the attitudes of the 
interested states clearly indicated a desire to evolve 
a workable ])lan for economic development of the 
Jordan Valley despite the difficult ])()lifical issues 
outstanding Jaetween Israel and the Arab coun- 
tries. Progress made during tlie negotiations just 
concluded has encouraged him to believe that an 
early understanding on all aspects of such a plan 
is now a possibility. Mr. Johnston stated th:it the 
plan involved acceptance by the Arab countries 
and Israel of the following principles: 

1. The limited waters of the Jordan River sys- 
tem should be shared equitably by the four states 

132 



in which they rise and flow. This principle was 
implicit in the valley plans put forward respec- 
tively by the Arab states and Israel, both of which 
clearly recognized the right of the other states to 
a share of the available waters. It was affirmed by 
both sides during the recent conversations with 
Mr. Johnston. 

2. A neutral impartial authority should be cre- 
ated to supervise withdrawals of water from the 
river system in accordance with the division ulti- 
mately accepted by all parties. The precise nature 
of such an authority remains to be determined. 

3. Amelioration of the condition of the Arab 
refugees from Palestine should be a principal ob- 
jective of the irrigation program for the Jordan 
Valley. 

4. Broad lines of understanding as to the total 
program should be reached at the earliest possible 
time, not only in the interest of the refugees but 
in the interests of economic progress and stability 
in the area. 

5. Storage of irrigation waters for the valley in 
Lake Tiberias (Sea of Galilee) will be considered 
open-mindedly by all parties, when progress in 
developing the valley indicates the necessity of 
using the lake as a princii^al reservoir. 

Mr. Johnston made it clear that while the fore- 
going principles form a solid basis for further 
negotiations, there remain a number of specific 
points on which differences must be reconciled be- 
fore the valley project can be realized. All of the 
states concerned have requested that the Govern- 
ment of the United States continue to exercise its 
good offices in reconciling these outstanding dif- 
ferences. 

Ambassador Johnston's mission in the Near East 
began last October when the President asked him 
to lay before the Governments of Syria, Jordan, 
Lebanon, and Israel a report on unified develop- 
ment of the Jordan Valley prepared by an Ameri- 
can engineering firm at the request of the U.N. 
Relief and Works Agency for Palestine Refugees. 
On his first visit to the area, the states concerned 
agreed to consider the suggestions contained in the 
Unrwa report. The Arab countries later sub- 
mitted a plan for the valley's development and 
Israel also jjut forward a plan to Mr. Johnston. 
These three j^lans formed the basis of the recent 
discussions. 



importation of Jerlted Beef 

A PROCLAMATION' 

Whkueas I'rodaiiuitioii No. L'.">4.") of April 1, l!)-ti;, issued 
inuU'i- swtion ;{1S of the Tariff Act of U«() (4(5 Stnt. (lilt! ; 
1!) U. S. C. 131S), jMithorizes tlio Secrelary of llio Treasury 
to permit, uiKier such regulations ami subject to such con- 



" No. 3061 ; 19 Fed. Rrg. 4397. 

Department of State Bulletin 



ililiiiiis ns till' Secretary may deem necessary, the luipor- 
tatiiin (if Jerked lieef free of duly for distribiitiun or sale 
to ooiisiiiiiers in Puerto Uieo: and 

WiiKUKAS it now aiipeiirs that it would be in the imbllc 
interest to terminate sueli proclamation as hereinafter 
provided : 

-Now, THEREFORE. I, DWIGHT D. EISENHOWER. I'res- 
ident of I he United States of America, under and by 
virtue of the autliority vested in me by section .'US of the 
said Tariff Act of 1!V!(), and as President of the United 
States, do hereby terminate the said Proclamation No. 
'_'.">4.">, such termination to become effective on the thirty- 
fifth day following the date of this proclamation. 

I.N- wiTiNKSs WHEREOF I huve hereunto set my hand ^nd 



(luisi'd llie Seal of the United States of America to be 
alllsed. 

Done at the City of Washington this twelfth day of July 

In the year of our Lord nineteen Imndred and 
[seal] flfty-four, and of the Independence of the United 

States of America, the one hundred and seventy- 



ninth. 



X-' (-JL>-^ i-'i'Z^ Lj-iLu^^ A-^-t--^^ 



Dy the President 

John Foster Oulleb 

Secretary of State. 



The United States and the World Economic Situation 



Statement hy Preston Hotchkis 
UjS. Representative in the U.N. 



Economic and Social Council^ 



(U.S./D.N. press release 1935 dated Jul.v 12) 

Althoufih I ant no longer a newcomer to this 
fonim. tins is the first time it has become my pleas- 
ant duty to participate in one of the Councirs 
annual discussions on the world economic situa- 
tion. Tiiis agenda item affords us an opportunity 
to exchange views about world economic condi- 
tions generally before we proceed to the considera- 
tion of recommendations lor dealing with particu- 
lar economic problems. The item also enables each 
of us to review recent economic developments in 
his own country which merit the attention of other 
members of the Council and to appraise the sig- 
nificance of these developments in a broad perspec- 
tive. In this discussion we are, I believe, engaged 
in an important and challenging task. I am happy 
to be able to share in it. 

To assist us, we have again been [provided with 
an impressive body of documents designed to serve 
not only the needs of the Council and other organs 
of the United Nations but also the needs of inter- 
ested members of the general public. Our thanks 
are once more due to the secretariats of the re- 
gional economic commissions for the economic sur- 
veys of their respective geographical areas and to 
the Secretariat of the United Nations for its com- 
prehensive review of world economic conditions 
and the supplements dealing with areas not within 
the purview of the regional commissions.- 

During the past decade the world has had to 
face a series of difficult readjustments. 

' Made before the Council at Geneva, Switzerland, on 
July 7. 

' Eeonomic Surveu of Europe in 1953, U.N. doc. E/ECE/ 
174; Economic Survey of Latin America, in.jS, U. N. doc. 
E/CN.12/358; Economic Survey of Asia and the Far East, 
195S (printed in the Economic Bulletin for Axin and the 
Far East, February, 19.o4, Vol. V, No. 4) ; World Economic 
Report I952-195S, U. N. doc. E/2560. 



By 1950 the basic tasks of postwar reconstruc- 
tion had largely been accomplished. Western 
Europe, through its own strenuous efforts and the 
help extended through the foreign-aid programs 
of the United States, had gone far toward recov- 
ery from the shattering blow which war had dealt 
to its economy. Industrial production in this area 
as a whole had risen above the prewar level. The 
trade balances of the region and of its component 
countries generally had greatly improved. The 
deficits with the United States, which had been 
covered largely by our grants and loans, had sub- 
stantially diminished. On the other side of the 
world, in Japan and the wai'-devastated areas of 
Asia, considerable economic recuperation had also 
been achieved. 

The success achieved within a few short years 
in restoring economies impoverished and dis- 
rupted by the most devastating war in recorded 
history bears witness to the strength and resil- 
iency of the human spirit. Magnificent though 
the effort was, it had to be devoted largely to re- 
building what had previously been destroyed. 
However, the foundation was laid upon which 
mankind could construct a healthy and steadily 
expanding world economy. There was hope that 
men might now be free to devote their energies and 
resources to this purpose without again feeling 
the comjnilsion to divert them in part to the multi- 
plication of weapons of destruction. 



Growing Soviet Military Might 

This hope was not to be realized. Although 
Soviet Russia did not disarm after the war, as did 
the Western Powers, not until the aggression on 
Korea did it become apparent that the free world 
coukl no longer face complacently the growing 



July 26, 1954 



133 



military might of the totalitarian powers. For its 
own defense it had to rearm. Since then the free 
world economj' has had to adjust and readjust it- 
self to the varying impacts of that cruel need. 
This recent experience was characterized by a 
sharp rise and subsequent fall in raw material 
prices and other short-term fluctuations in rela- 
tion to {production and international payments. 

By 1[)53, however, as the Wo)'/d Economic Re- 
port notes, the force of these movements seemed 
to have been spent. World production and con- 
sumption had risen to record levels; unemploy- 
ment was in most coimtries relatively low, while 
in many countries inflationary pressures had been 
eliminated or checked. By and large, the world 
economy was in the most satisfactory condition 
it had enjoyed since the beginning of World War 
II. 

Despite the taxing demands imposed by defense 
requirements, the free-world economy has con- 
tinued to progress toward higher living standards. 
If so much could be accomplished under the handi- 
cap of rearmament programs, how much more 
might be achieved if mankind were freed from 
its heavy load! The U.S.S.R., however, has 
proved unreceptive to all our proposals for the 
reduction or control of armaments. Conference 
after conference designed to ease the international 
tension and remove the fear of armed aggression 
has ended in virtual failure. We in the free world 
must and will maintain whatever military 
strength may be needed for our effective defense. 
Nevertheless, we shall continue to explore every 
avenue that gives promise of leading to a more 
peaceful world. Assurance that this is our in- 
tention may be found in the joint declaration is- 
sued by President Eisenhower and Prime Minister 
Churchill at the conclusion of their conversations 
in Washington.^ 

In this connection, I should like also to remind 
the Council of the vital importance of the proposal 
advanced by President Eisenhower in his historic 
address before the United Nations General Assem- 
bly last December S.* In that address President 
Eisenhower discussed at length the tremendous 
new force of atomic energy which seems to so 
many to be merely a force for destruction. The 
President stated that "if the fearful trend of 
atomic military buildup can be reversed, this 
greatest of destructive forces can be developed into 
a great boon, for the benefit of all mankind.'" 

The President, as we all know, then proposed 
the creation of an international atomic energy 
agency to which nations could contribute from 
their stockpiles of normal uranium and fissionable 
materials. This agency would have the power to 
allocate these materials to serve the peaceful {pur- 
suits of numkind. The President continued: "A 



special purpose would be to provide abundant elec- 
trical energy in the pov.er-starved areas of the 
world. Thus the contributing powers would be 
dedicating some of their strength to serve the 
needs rather than the fears of mankind." 

In March of this year the United States pro- 
vided the Soviet Union with an outline for a pro- 
posed international atomic energy agency. In 
April a reply was received which was, to say the 
least, disappointing. I believe that all the coun- 
tries of the world — particularly the underde- 
veloped countries to which power from atomic 
energy would be such a boon — would find it hard 
to forgive the recalcitrance of a country which, 
by refusing to join the agency, would prevent or 
delay the setting up of an agency. 

At present the United States Congress is en- 
gaged in amending the Atomic Energy Act to 
permit the United States to cooperate with 
friendly foreign countries in the atomic energy 
field. ^ By these proposed amendments the 
groundwork is being laid for a future era of peace 
when atomic energy will be doing constructive 
work in the world. 

U. S. Economic Situation 

I turn now to the current economic situation 
in the United States. Although 1953 as a whole 
was in many respects a record year for our econ- 
omy, economic activity, after rising to a peak at 
the midpoint, subsequently turned downward. 
This decline has caused the entire free world some 
anxiety and the near-term outlook for the Ameri- 
can economy is therefore a matter of great and 
immediate interest abroad as well as at home. The 
evidence shows that, hitherto at least, the decline 
has been moderate and that it has probably been 
halted. 

In assessing the nature and significance of the 
downturn it is important, in order to maintain 
some perspective, to bear in mind that it followed 
upon almost a decade of steady postwar expansion 
with virtually no interruption, other than the brief 
recession of 1949. It is not altogether surpris- 
ing that, under these circumstances, there should 
be another dip in business activity. There is, 
though, no reason to assume, as some do, that the 
current downturn must nece.ssarily project us into 
a severe and prolonged recession. 

The main facts as to our recent experience are 
briefly these. Our gross national product, which 
expresses the market value of all the goods pro- 
duced and services rendered, averaged during the 
first quarter of this year about 4 percent less than 
it did during the second quarter of 1953, when an 
all-time record was set. The most significant 



' P.ui.i.ETiN of July 12, 1954, p. 49. 
• Ihid., Dec. 21, 1903, p. 847. 



' For the views of tlie I'lt'sidcnl and of Secretary Dulles 
on these anicndnionts, see ihii., Mar. 1, 19.54, p. 303, and 
June 14, 1054, p. 926. 



134 



Department of State Bulletin 



clianf;e has been in iiuhistrial pruihutioii, wliich 
fell diiiinu; the second half of last year but has 
Icept fairly steady over recent months at a level 
roufjiilv 10 percent below the peak of a year ago. 
The ^fay 11154 fiirnres show that nneniploynient 
rosi' in the conrse of a year from 1.3 million to 3.3 
million, or from "2 percent to 5 percent of the 
civilian labor force. 

A private enterprise economy, an economy of 
free o|)portunity, permits its workers and em- 
ployers to make their own choice as to where they 
shall work and wliat they shall produce. In the 
exercise of this freedom of decision some unem- 
ployment of a frictional and temporary nature 
resiilts. AA'e are at present concerned because mi- 
employment is currently somewhat above the level 
which can be attributed' to this cause. We should 
not, however, lose sight of the fact that tlie total 
civilian labor force has been expanded by over a 
million during the past year, with the result that 
the number of persons actually employed declined 
by only 600,000. In May of this year we had 61.1 
million people holding civilian jobs as compared 
with Cl.( million the previous May. 

The confidence of businessmen and investors has 
not been shaken during the past year but on the 
other liand has been maintained. Outlays for 
plant and equipment and for housing have re- 
mained virtually at 1953 levels. Expenditures 
for personal consumption have also kept up well. 
Tax reductions and unemployment compensation 
have helped to sustain the disposable income of 
individuals. Price supports have propped up 
farm income. TSliile consumers have spent less 
for goods, they have spent more for services. Cuts 
in federal expenditures have been partly offset 
by an increase in state and local government out- 
lays. In short, aggregate expenditure for fixed 
investment and consumption has been well main- 
tained although there have been shifts in the rela- 
tive importance of the different kinds of outlays 
that make up the total. 

The types of government and consumer out- 
lays which have fallen have been those for the 
products of manufacturing industries. In addi- 
tion, there has been a very marked reduction in 
the rate of business inventory investment — also 
chiefly in goods produced in the manufacturing 
sector of the economy. 

These two considerations account for the much 
sharper decline in industrial production than in 
other components of output. I shall explain them 
more fully in a moment. 

First, however, let me digress briefly to point 
out the gratifying fact that the decline in our eco- 
nomic activity has not been accompanied by any 
substantial net reduction in the outflow of Amer- 
ican dollars. Our merchandise imports, it is true, 
have declined by about one-tenth — or at the rate 
of around $1 billion a year — from the high level of 
the first part of 1953, but dollar outpayments for 
other purposes have held up and in some instances 



have been increased. Our tourists have been 
flocking abroad in increasing nuiuber.s and, as is 
well known, they do not watch every nickel they 
spend. Dollar payments for military goods pro- 
cured outside the United States have increased. 

Wliile we have rediued total foreign aid, 1 am 
happy to say thai we have increased assistance to 
underdeveloped countries. Notwithstanding a 
substantial reduction in aid to Western Europe, 
its economies generally have expanded their pro- 
duction, improved their fiscal and monetary posi- 
tions, and develoiied and diversified their inter- 
national trade. It is a welcome fact that Western 
European countries are maintaining a high level 
of economic activity and that they have been ex- 
periencing no counterpart of our own recession. 

Explanation of Recession 

I return now to the explanation of this reces- 
sion. Since the Korean Armistice, our Govern- 
ment has curtailed its defense production pro- 
gram, and cutbacks in defense orders have con- 
tributed to the decline in production and rise in 
unemployment. Let no one doubt that the people 
of the United States are heartily in favor of any 
reduction in defense expenditure which can be 
made without impairing their national security. 
But, flexible though our economy is, it can hardly 
be expected to readjust itself immediately and 
painlessly to a cut in programed national se- 
curity expenditures of about $5 billion a year. 
There is no great backlog of deferred civilian de- 
mand, as there was at the end of the war, to enable 
the transition from military to civilian production 
to be accomplished as it was then, and on a vastly 
greater scale, with a speed and smoothness which 
astonished the world and confounded the prophets 
of gloom. 

A major part of the decline in industrial pro- 
duction, however, has been attributable to the 
substantial shift in the views of businessmen — 
including manufacturers, wholesalei'S, and re- 
tailers — as to the size of the stocks of goods which 
they wished to hold in inventory. For a year 
prior to the middle of 1953, although sales of 
goods for final use were rising, production was 
growing still more rapidly. As a consequence, 
inventories were being accumulated. By the 
second quarter of 1953 they were piling up at the 
annual rate of $6 billion. Businessmen became 
concerned about this situation, particularly when 
sales, instead of advancing, began to fall off. 
They therefore took steps to reduce iiiA-entories 
by allowing them to be worked off without equiva- 
lent replacements. Production for inventory was 
cut, workers were laid off, and the effects of the 
adjustment tended to spread through the economy. 

In the first quarter of 1954 inventories, instead 
of accumulating, were shrinking at the rate of 
$5 billion a year. We may attribute to this 



July 26, 1954 



135 



drastic shift from inventory accumulation to in- 
ventory liquidation over four-fifths of the con- 
current decline in total production. 

The decline in production has shown no tend- 
ency to gather momentum. The industrial pro- 
duction index remained steady in March and 
April and in May rose slightly. Prices have re- 
mained fairly stable. There is evidence that con- 
sumer outlays for durables have been tending to 
rise again. Defense expenditures have been re- 
duced to approximately the level to be sustained 
under present programing. These circumstances 
warrant the expectation that businessmen will 
soon feel that inventory liquidation has proceeded 
far enough and even that they may venture upon 
some cautious rebuilding of stocks. 

In appraising the near-term outlook for the 
United States economy, we must bear in mind the 
many factors that strengthen its ability to resist 
depression. These include the large volume of 
savings which our people have accumulated and 
hold, to a large extent, in fairly liquid form; our 
system of unemployment insurance ; our numerous 
pi-ivate and public pension programs, including 
social security ; and our Federal bank deposit and 
mortgage guarantee insurance sj'stems. Large 
corporations in the United States are, to an in- 
creasing degree, establishing long-range capital 
budgets for the expansion of plant and equipment, 
and there has been no indication of any loss of 
confidence which would induce them to contract 
these budgets. 

Beyond these sustaining forces is the determi- 
nation of our Government to take whatever steps 
may be required to maintain the health of our 
economy, should the readjustment process which 
now seems under way show any tendency to falter. 
Although ours is a free enterprise economy, gov- 
ernment activities play a large role in our eco- 
nomic lite, and whenever it may become necessary 
for the Government to supplement the efforts of 
private business to keep the economy operating 
at a healthy level, it stands ready to do so. 

As to wliat the Government can do, let me quote 
President Eisenhower. In his letter to the Con- 
gress of the United States transmitting his eco- 
nomic report in January of this year," the Presi- 
dent made the following statement : 

The arsenal of weapons at the disposal of Government 
for maintaining economic stability is formidable. It in- 
cludes credit controls administered by the Federal Re- 
serve System ; the debt management policies of the 
Treasury; authority of the President to vary the terms 
of mortgages carrying Federal insurance; flexibility in 
administration of the budget; agricultural suiiports; 
modification of the tax structure; and public works. We 
shall not hesitate to use any or all of these \veaiK)ns as 
the situation may require. 

The I 'nited States is determined to keep its own 
economy strong and sound. Our success in this 
determination will, we believe, not only insure the 

' II. Doc. 289, 83d Cong., 2d sess. 

136 



material well-being of our own people but make a 
major contribution to world economic stability. 
While we cannot be absolutelj' certain that eco- 
nomic activity in the United States will expand in 
the near future, we can be confident that the long- 
term outlook for our economy is bright. Let me 
mention briefly some of the considerations on 
which this confidence rests. 

(1) Our population is growing at a rapid rate. 
It has risen by about 20 million since the end of the 
war — an increase in the space of less tlian a decade 
of no less than one-seventh. It is estimated that 
by 1960 our population will have increased from 
the 161 million at which it stood at the end of 
1953 to between 175 and 180 million. A growing 
population will mean a constant increase in the 
demand for goods and services. 

(2) To meet growing consumer requirements, 
there will be a continuous need for new construc- 
tion of all kinds, including not only houses and 
apartments but factories, office buildings, hospi- 
tals, streets, highwa3-s, and other structures. 

(3) The American people are firm believers in 
the value of scientific and industrial research. 
Expenditures for this purpose in the United 
States have grown fourfold since 1941 and in 
1953 totaled approximately $4 billion. Of this 
siun, our Government contributed no less than $2.5 
billion, $1.4 billion being provided by industry 
and the balance by nonprofit institutions. Re- 
search leads to invention, to the development of 
new raw materials, new uses for existing raw 
materials, new products and new processes. The 
fruits of research, supplementing imagination 
and enterprise from outside the laboratory, are 
embodied in a wide range of products that were 
virtually unknown a decade or so ago but are 
now enjoyed bj' the mass of our people. I need 
only mention sucli items as air-conditioning, 
plastics, and television. This research results in 
rapid technological clianges, accelerates the obso- 
lescence of machinery and equipment, and jiro- 
vides constantly growing opportunities for capital 
investment. 

(4) The American economy is highly flexible 
as well as djniamic. The never-ceasing develop- 
ments in industry necessitate readjustments of 
many kinds to whicli our people adapt themselves 
witli great facility and willingness. 

(5) American businessmen are constantly striv- 
ing to find cheaper and better ways of producing 
goods and j^erforming services; labor, as well as 
management, has no fear of labor-saving devices. 
"We have learned well the elementary economic 
lesson tliat, tliougli these devices may cause some 
temporary dislocation, in the end they help to ex- 
])an(l employment, to increase its rewards, and to 
raise living standards. 

(6) Finally, the competitive free enterprise 
system, as it operates in my country, provides in- 
centives t« our people, in whatever walk of life 

Department of State Bulletin 



tlii'v iw.xy bf, to put forward tlu'ir ln'st offorts, 
knowiiifr tl>;it opixuliuiitics are availalilc for tliose 
wlio liave tlie will ami aliility to seizo thi'in, that 
wi'JI-iliroctod etforts briufr worthwhiK' rewards, 
and tiiat the fruits of ^jreater and cheaper produc- 
tion will Ih' shared by all in the form of hijjjher 
livin<r standarils and increased leisure. 

I lio not wish to su<r<iest, Mr. President, that our 
et'onomie nro<xress, assured thonirh I believe it is, 
will be unl)roken. The <j;rowth of new industries, 
the contraction of old ones, and changes in the 
tastes and habits of consumers necessitate a shift- 
inj: and readjustment of resources which cannot 
be accomplished without occasionally haltin<i or 
even reversinj; for a short time tlie forward niarcli 
of the economy. The American economy, too, can- 
not remain unaffectetl by developments abroad. 
The reiiercussions of tliese, we must in all fairness 
recojxnize, may sometimes be adverse as well as 
beneficial. 

I repeat. Mr. President, we are confident that 
our country has before it a great future. We are 
convinced also that our economic pro<ri-ess will 
contribute not only to the raising of the living 
standards of our own people but to the strengthen- 
ing of the entire world economy. 



area in wliicli atomic tests had already been held. 
Hence, from the very outset, it was clear that the 
right to close areas for security reasons anticipated 
closing them for atomic tests, and the United 
Nations was so notified; such tests were conducted 
in 1!)4S, inni, 1952. as well as in 1954. 

As to the (piestion of continuing these experi- 
ments, which is also raised in the jietition, the 
facts are uidiappily clear. \o one could reason- 
ably contend that the Soviets should be the only 
nation to conduct nucleai- experiments. At issue 
therefore is not the right to conduct these experi- 
ments. The question is whether the United States 
authorities in charge have exercised due pre- 
caution in looking after the safety and welfare of 
the Islanders involved. That is the essence of 
their petition, and it is entirely justified. 

In reply, it can be categorically stated that no 
stone will be left unturned to safeguard the 
present and future well-being of the Islanders. 
The United States Government is confident that 
future tests can be conducted without any un- 
toward incident. And, finally, the United States 
delegation is glad to report that all Marshall 
Islandere and the American military personnel 
who were exposed have now recovered. 



Marshall Islanders' Petition 
to Trusteeship Council 

U.S./U.X. pri'ss rploase lfi.S2 dated .luly 7 

STATEMENT BY MASON SEARS 

U. S. REPRESENTATIVE IN THE TRUSTEESHIP 

COUNCIL 

The fact that anyone was injured by the recent 
nuclear tests in the Pacific has caused the Amer- 
ican people genuine and deep regret. The United 
States Government considers the resulting petition 
of the Marshall Islanders to be both reasonable 
and helpful.* 

Why — it may be asked — should the homes of 
these people, so far removed from international 
politics and the cold war, become the site for such 
exi)eriments? The answer is that the Marshall 
Islands were selected only after the most careful 
examination of every possible alternative site. 
The United States Government found that there 
is no other place in the world over which the 
United States has jurisdiction where experiments 
of this nature could be successfully conducted with 
less danger. 

The question may also be asked whether the 
United States has the right to conduct such ex- 
periments in this area. The Trusteeship Agree- 
ment of 1047 which covers the Marshall Islands 
was predicated upon the fact that the United Na- 
tions clearly approved these islands as a strategic 



' For text, see Buixetin of June 7, 1954, p. 887. 
July 26, T954 



STATEMENT BY FRANK E. MIDKIFF 
HIGH COMMISSIONER, PACIFIC TRUST 
TERRITORY 

As Mr. Mason Sears has pointed out, there are 
good and sufficient reasons why the atolls of Eni- 
wetok and Bikini were selected by the United 
States for some of her experiments with atomic 
weapons and for learning of the potentialities of 
nuclear fission. Also he has explained why such 
experimentation must continue. He has stressed 
the fact that the Administering Authority has now 
been able to set up revised specifications for the 
tests on the basis of experience whereby the safety, 
economy, and comfort of the Marshallese can be 
effectively preserved in the future. Guaranties 
are given the Marshallese for fair and just com- 
pensation for losses of all sorts. 

No further atolls are believed to be required for 
these tests. The Uterik people already have been 
returned to their atoll; the Rongelap people will 
be delayed on Ejit Island in the Majuro Atoll for 
possibly another year. During their absence from 
their home atolls the Rongela]) and Uterik people 
have been given the best of care by top experts in 
various fields. 

Reassurance that these Marshallese will not lose 
title to and ownership of their lands is one of their 
major concerns. It is difficult to say when the 
people of Eniwetok and Bikini will be returned to 
their atolls. Meanwhile the Eniwetok people are 
making a very good adjustment on their new atoll, 
Ujelang. The Bikini people are established on 

137 



the Island of Kill, which they unfortunately have 
not found entirely suitable. They come across to 
Jaliut Atoll to raise their pigs on that atoll and to 
fish in its lagoon. 

In the meanwhile, special assistance now is being 
given the people of Eniwetok and Bikini; their 
conditions are bein^ improved, and their just 
claims will be met. It is believed that within the 
space of another year, with all working coopera- 
tively, these people will have made a good adjust- 
ment in every reasonable respect. Their health is 
good, and they are increasing in number and in 
skills to deal with their new environments. 

During the time they are away from their atolls, 
they will retain title to their lands, which gives 
tliem a rental income and also preserves their 
status in the social hierarchy. 

I have with me Mr. Dwight Heine, who was one 
of the principal draftsmen of the petition by the 
Marshall Islands people to the Trusteeship Coun- 
cil. He has been invited to come here as a member 
of the United States delegation in order to be 
available to answer questions so that the Trustee- 
ship Council may have first-hand infoi-mation on 
the petition. His presence will also enable him 
to follow through to its conclusion the petition 
which he helped to originate. 

STATEMENT BY DWIGHT HEINE 
SPOKESMAN FOR MARSHALL ISLANDS 
PETITIONERS 

I was born on October 12, 1919, in the Marshall 
Islands. 

My early schooling was at home. My parents 
were my tirst teachers. At 14 years of age I 
attended a mission school where Americans (mis- 
sionaries), Japanese, and Marshallese teachers 
were the instructors. The language used as the 
medium of instruction was Marshallese, but 
English and Japanese were also taught as foreign 
languages. This school was located on Jabwar 
Island, which was the seat of the Japanese ad- 
ministration for the Marshall Islands. The sub- 
jects were about the same as those that are taught 
in the American elementary-school level ; but un- 
like the American schools the ages of the students 
varied from the early teens to the late twenties. 
Students' promotion from a lower grade to a 
higher one depended entirely on their speeds. 
Those who finished the school on Jabwar Island 
satisfactorily were eligible to go on to the ad- 
vanced school on Kusaie Island, which is in the 
Caroline group. Kusaie Island is about ?M0 miles 
west from the Marshall Islands. 

I went to the school on Kusaie in 1936 and 
finished it in 1938. It was probably the most ad- 
vanced educational institution in the former 
Japanese Mandated Islands, now the present 

138 



Trust Territory of the Pacific Islands. But it 
was only equal to the American junior high school, 
plus a few theological courses. The purposes and 
aims of this school wei'e to train future native 
ministers. Upon finishing this school I was sent 
back to the Marshalls to teach in the school there, 
the one I previously attended. My teaching 
career was interrupted after one year when I was 
recruited by the Japanese to work in a phosphate 
pit. I spent almost all the war years digging 
phos])hate rocks with picks and shovels. 

After the war I received a Navy (U.S.) scholar- 
ship and was sent to the University of Hawaii for 
2 years. Recently, I received a U.N. fellowship, 
and I went to New Zealand, Samoa, and Fiji to 
study public-school administration. 

I have travelled throughout most of the trust 
territory, which comprises the Marshalls, the 
Carolines, and the ]\Iarianas, an area larger than 
the United States, but they say that if you take 
away all the water from the land area the remain- 
der will be smaller than Rhode Island. Beside 
traveling throughout the trust territory, I have 
also been to Hawaii and Japan, as well as New 
Zealand, Samoa, Fiji, and now the United States 
of America. Coming to America is a dream come 
true. I have always wanted to see the United 
States since I was a young boy. I read about it, 
saw pictures of it, studied about it, was taught by 
people from it, and dreamed that some day I 
would see it. 

I am married and have four children, a boy, 
14 years old, and three girls 6, 4, and 2 yeare old. 

Immediately after the ]\Iarshalls were captured 
by the American armed forces, I went to work for 
the United States Navy Military Government as 
an interpreter and guide. I was among several 
other Marshallese young men who served in this 
capacity. Our main task was to translate the 
proclamations, ordinances, and other literary ma- 
terials, issued by the Navy, into IMarshallese. 
Every now and then we also did intelligence work 
by going into areas still held by the enemy. 

We were under Japanese ruling for over 30 
years, and the reason we turned against them was 
because after 30 years of peaceful living and obey- 
ing their rules they paid us back by treating us 
badly, even killing many of our people. 

The Marshallese ])eople were a very warlike 
people less tlian a hundred years ago. b>it since 
tlien — after Cliristianized and educated by Amer- 
ican missionaries — we have laid down our arms 
and never picked them up since. During all this 
time, we have known of only one murder case and 
tliat was over 30 years ago. 

I have come here as a guest of tlie State Depart- 
ment to answer questions that may arise wjien 
the Marshallese ])etition to the United Nations 
regarding the last H-bomb test comes u]) before 
the Trusteeshi]} Council for discussion. Some of 

Department of Slate Bulletin 



t)iir peoi)le weii' hint during; tlio ri-ci-iit nucli'ar 
to.st, aiul we Imvo uskpd the aid (if the Ignited Na- 
tions, of wliicii the United States is a member and 
to wliich it is answerable for its administration 
of the trust territory, to stop the experiments 
tiiere. Or, if tiiis is not possible, then to be a little 
more careful. I have noticed that it is illegal to 
set olT fire-crackers in New York to celebrate the 
Fourth of July. I read in the paper that several 
people were arrested for violatiufj this safety rule. 
The H-bomb is a "super-fire-cracker" which needs 
"super safety rules'" in its handlin<;. 

I have preat faith in the American ])eople*s 
sense of justice, and I have preat liope that I will 
be able to fjo back and report to tlie Marsliallese 
people favorable answers resultin;^ from this 
meeting which I have kindly been invited to par- 
ticipate in by the United States Govermiient as 
a representative of the Marsliallese people. 



XJ.S./U.N. press release 1937 dated Jul.v 13 
STATEMENT BY MR. SEARS' 

Sometimes the Soviet propag:anda line presents 
real elements of skill. Bat not this time — and I 
am at a loss to explain it. For tlie Soviet repre- 
sentative to base his speech on so many evident 
misstatements of fact, which no one including 
himself believes, is truly puzzling. 

In contrast, the Indian position is plausible. 
Tliey are simply using events in the Marshall 
Islands as background to reemphasize their well- 
known belief in a neutralist foreign policy. AVe 
do not question their sincerity, although we fear 
they are burying their heads in the sand and are 
perhaps oveizealous in presenting legal arguments 
on issues which do not exist. 

On the other hand, the Soviet position does 
not hold water. 

Let's trace the sequence of events which led up 
to the present situation. In the spring of 1946 
the United States conducted its first nuclear test 
in the Pacific. In 1947 the trusteeship agreement, 
covering the Marshall Islands, was negotiated be- 
tween the United States and the Security Coun- 
cil — -with the Soviet member in complete accord. 

This agreement was predicated on the fact — 
and do not forget this — that the United Nations 
clearly approved those islands as a strategic area 
in which atomic tests had already been held a few 
months previously. Accordingly, from the very 
outset, it was clear that the right to close ai-eas 
for security reasons anticipated closing them for 
atomic tests — and the United Nations was so noti- 
fied on pertinent occasions. 



Text of Resolution on 
Marshall Islands Petition' 

TuK Tblstkkshii' Councii., 

Having examined the petlllon from the Mar.shal- 
Inse people coneerninK the Trust Territory of the 
Pacific Islands under United States administration 
in consultation with the Uniteil States as the Ad- 
ministering Authority concerned (T/PET.10/28, 
T/OBS.10/3) ; 

1. Expresses its deep renret tiiat a nunil)er of 
inhabitants of two atolls in the Maishall Islands 
suffered ill-effects as a conseciuencc of the recent 
series of nuclear tests coriducted by the Administer- 
ing Authority in the Territory, that these two atolls 
suffered damage, and that tlie inhiibitaiits of one 
of them will be unable to return to their homes for 
about a year ; 

2. Kotcs the measures taken by the Administering 
Authority to provide the necessary medical atten- 
tion and care for the inhabitants affecte<l ; 

3. 'Notes with satisjuetion that the good health 
of those affected is now reported to be completely 
restored, that the inhabitants of Uterik, the lartier 
of the two atolls, have l)een returned to their homes 
where new housing and other facilities have been 
provided them, and that provision has been made 
for the payment of any justilied claims that may 
he submitted by the inhabitants of the two atolls 
affected ; 

4. Welcomes the assurance of the Administering 
Authority that there will be no ijermanent displace- 
ment of inhabitants from their homes; 

5. Urges the .Administering Authority to return 
the inhabitants of Rougelap to their homes as soon 
as the condition of the atoll permits and to provide 
all possible assistance for them in their re- 
settlement ; 

6. Urges that prompt and sympathetic attention 
be given to all claims for damages submitted by 
the inhabitants concerned ; 

7. Recommends that if the Administering Au- 
thority considers it necessary in the interests of 
world peace and security to conduct further nuclear 
experiments in the Territory, it take such precau- 
tions as will ensure that no inhabitants of the Ter- 
ritory are again endangered, including those pre- 
cautionary measures requested by the petitioners. 

'U.N. doc. T/L. 504 dated July 13. The resolu- 
tion, sponsored by Belgium, France, and the United 
Kingdom, was adopted by the Trusteeship Council 
on July 15 by a vote of 9 to 3 (India, Syria, 
U.S.S.R.). 



'Made in the Trusteeship Council on July 13. 



A year later, in 1948, an area was closed for a 
second time for atomic tests, official notice of 
which was accepted by the Security Council as a 
matter of course. Nuclear tests were held again 
in 1951 and again in 1952, again with the acquies- 
cence of the United Nations. It is only today, 
after 8 years of testing, that the Soviets have de- 
cided to reverse their previous position. 

To sum it up, Mr. President, the Soviet state- 
ment is full of holes. 

As we have repeatedly stated, the facts are as 
follows : 



Jo/y 26, J 954 



139 



All Marshallese and Americans who were ex- 
posed to radiation are now, fortunately, restored 
to health. 

No person has ever been lost, or even seriously 
injured. 

No homes have ever been destroyed. 

And — mark tliis well — no island has ever been 
blown up. 

Prime Minister Nehru of India has been misin- 
formed on this score if the press reports him cor- 
rectly. Wliat has resulted from our tests is that 
one natural sand spit, uninhabitable for man or 
beast and without vegetation, and one manmade 
sand spit were destroyed — and that is all. Let us 
get that straight. 

And now for the question of continuing our nu- 
clear tests in the Marshall Islands, which were 
selected only because there is no other place in 
the world over which the United States has juris- 
diction where certain experiments could be suc- 
cessfully conducted with less danger. 

The truth is that we cannot stop until the Rus- 
sians stop theirs. But there doesn't seem much 
chance of this, according to recent Soviet state- 
ments. Speaking before a mass meeting in Prague 
4 weeks ago today, Nikita Khrushchev, who may 
soon become the Number One man in Russia, had 
the following to say: "We have forestalled the 
capitalists and developed the hydrogen bomb be- 
fore them. The capitalists will not fight now." 
That is Mr. Khrushchev speaking. 

And the Chairman of our own Atomic Energy 
Commission, in a White House statement on March 
31, has said : "There is good reason to believe that 
they [meaning the Russians] had begun work on 
this weapon substantially before we did." ^ 

Under the circumstances, it must be clear to all 
except those who wish to curry favor with the 
Communists that we have no choice. We must 
continue to do our best to produce devices which 
will prevent the free world from being overrun 
by the Communists. 

In conclusion, Mr. President, I fear that the 
Soviets, by their lack of regard for the power of 
the truth, have put themselves into an untenable 
propaganda position. 

Tor text of Lewis Strauss' statement, see Bulletin 
of Apr. 12, 10.54, p. 548. 



U.S./U.N. press release 1938 dated July 15 



STATEMENT BY MR. SEARS * 

Everyone knows that the American people have 
a genuine and deep regret for the events which 
gave rise to this petition. But the true interests 
of the Marshallese people are rapidly getting side- 
tracked by Communist tactics. 

If anyone takes the trouble to examine Commu- 
nist propaganda and how it is constructed, he will 
find that it is built up mainly of a misstatement of 
facts which have been dressed up to fit the propa- 
ganda line wliich the Moscow Govermnent forces 
on its representatives abroad. These unhappy 
men are the only real exponents in the world today 
of the living lie. 

Now, Mr. President, no matter how hard the 
Soviet rej^resentative may try to make propaganda 
capital out of the Marshall Islanders' petition, he 
will not succeed in driving a wedge between the 
American and the Marshallese people. Eloquent 
proof of this is found in a remarkable letter which 
the petitioners themselves have transmitted to 
Senator Lodge. The letter states, and I quote: 

The Marshallese people appreciate the spirit in which 
the United States Government has received our petition. 
Your approval and commendation of our petition rein- 
force our faith in the United States Administration. 

In conclusion we would like to make it clear that in no 
way should our petition — direct to the United Nations — be 
interpreted as a sign of our lack of confidence in the offi- 
cials of the Trust Territory. On the contrary, we have 
found them competent and trustworthy. 

JNIr. President, these words speak for themselves. 

In the meantime, I have only one more thing to 
say. During the past few weeks I have had ac^^ess 
to certain security information pertaining to the 
nuclear tests which are the subject of this petition. 
As a result I would like to say to those of you who 
are friendly in this Council and who I know will 
trust m}' motives that it is my personal belief that 
there is no chance at all that the mishap of last 
March will ever be repeated. 



' Made in the Trusteeship Council on July 15. 



140 



Deparimenf of State Bulletin 



Problems of the Pacific Trust Territory 

Statement hy Frank E. Midkiff 

High Commmioner of the Ti^st Territory ^ 



Again this year, as was the case last year, it has 
been a most lielpful and <ri'atifying experience to 
be able to participate in the Conncil's consitlera- 
tion of onr report on the Trust Territory of the 
Pacific Islands. - 

It seems to me that the members of the Council 
have been exceedingly kind in their approval of 
many of the things we are trying to do and of our 
programs and policies in administering the trust 
territory. It has been helpful to receive the opin- 
ions ofexperienced and thoughtful members of 
the Council as to the problem of the rate at which 
change should occur in these islands. I believe 
that the consensus favors the idea that building in 
an evolutionary manner upon the customs and 
culture of the people is tne correct approach. 
This, the members I think have noted, is the con- 
clusion I believe to be sound for the Trust Terri- 
tory of the Pacific Islands. The representatives 
of New Zealand and Haiti and others have cor- 
rectly ])ointed out that in some areas and problems 
tactful pressure and encouragement are needed 
but that this need not conflict with the preserva- 
tion of and building upon the best and soundest 
features of the Micronesian system and way of life. 
These policies, therefore, we shall keep in effect. 
We do not desire that the people of Micronesia 
should stand still but neither do we desire that by 
hasty uprooting of fundamental and proved so- 
cial customs the Micronesians be cast into a state 
of confusion and personal insecurity. As is so 
often the case, the middle ground between the two 
extremes apparently has been rated to be the wisest 
course for a soundly based program by the major- 
ity of this Council. 

Political Development 

Our program of political development carries 
out this concept because of a firm policy of build- 
ing from the bottom up. The local unit, usually 
the municipality or the extended family or the 
clan, is the customary unit of organization in the 
trust territory. It is on this level that new con- 

' Made in the U.N. Trusteeship Council on .July 13 ( U.S./ 
U.N. press release 1936). Mr. Midkiff is special U.S. rep- 
resentative to the Council. 

• U.N. doe. T/1118. For Mr. Midkiff's opening statement 
on the report, see Bui.UiTi.v of July 19, 1!).j4, p. 96. 



cepts best can be worked out and modified to meet 
and carefully and favorably to modify the tradi- 
tional system. I am grateful that the concept of 
courteous consideration has been stressed. We 
have i)rogressed in several cases beyond the munic- 
il)alities to establish district organizations with 
Micronesian particij^ation in the advisory bodies. 
This concept, however, is still a somewhat strange 
one in most districts, and the organs have not yet 
advanced in their experience and concept to be ac- 
corded legislative powers. 

The Visiting Mission last year discerningly 
jiointed out that much progress will have to be 
made before a sufficient degree of advancement is 
reached to enable political affairs to be discussed 
on a basis broader than the district. After a fur- 
ther year's study of the situation I feel in all 
fairness this condition well may be reemphasized. 
Any territorial legislative body is still some time 
away. This is dictated by language, nroblems, by 
distances, by cultural diversity, and the conse- 
quent lack of sufficient community of interest. To 
crowd it now would do more harm than good. It 
will come easily and naturally in due time and 
when it is needed. 

On this subject, Mr. President, I have been en- 
deavoring to reconcile the problem raised by the 
clelegate of India as to the date of the abolition 
of the Legislative Advisory Committee. As best 
I can make the situation out, I believe there must 
have been some confusion in the information 
passed on to the Visiting Mission. Members of 
the Mission may recall that the former High Com- 
missioner, Senator Thomas, ])afised away just be- 
fore the Mission arrived in Honolulu. Perhaps 
this fact resulted in the Mission's not having been 
properly informed as to the status of the Advisory 
Conuuittee. In any event I believe it should be 
realized that the Committee was composed en- 
tirely of American personnel on the High Com- 
missioner's staff and its chief concern was the 
])rcparation of a Code of Laws and aid in the draft- 
in <r of an Organic Act. At any rate, when these 
jobs were done the Committee ceased to function 
and just disappeared by not meeting. At such 
time as the situation may seem appropriate the 
Committee or a similar organization can readily 
be reestablished. Wliat we now have in place of 
this Legislative Committee at the High Commis- 



Ju/y 26, J 954 



141 



sioner's staff level are Advisory Committees, or 
Hold Over Committees composed of Micronesians, 
■workinof with the American personnel in each dis- 
trict. This is doing well and will continue. 

I very much regret that I did not bring with me 
a list of the positions in the administration of the 
territory occupied by Micronesians. It very defi- 
nitely is our policy to utilize the Micronesians just 
as soon as they are qualified. Here again, how- 
ever, time is a factor. I think in some cases we 
have put some Micronesians in jobs somewhat 
before they had qualified and their production may 
not have been too excellent for awhile. Educa- 
tion and experience must be acquired. I pointed 
out the other day that three of the principals in 
our intermediate schools, at Yap, Ponape, and 
Majuro, wlio were previously Americans have been 
replaced by Micronesians. We now have two 
superintendents of elementary education who are 
Micronesians. Also, in Saipan a Micronesian 
has replaced an American as the agi'icultural ex- 
tension agent in the district. Also, with the ex- 
ception of the Chief Justice and the Associate Jus- 
tice of the High Court, at present all judges and 
magistrates of the districts and municipalities are 
Micronesian, and each district has a Micronesian 
public defender. 

These are indicative of the steps being taken in 
accordance with our policy to utilize tlie Microne- 
sians in all positions for which they are qualified. 
It is to be expected that this policj', already fully 
operative on the municipal level, will be imple- 
mented on the district level steadily, and it is also 
to be expected that some time will be required be- 
fore the experience and knowledge thus gained 
will qualify Micronesians for work on the High 
Commissioner's staff. It will be recalled that 
there are 100 young men and women abroad in 
Guam, Manila, Honolulu, and the American Main- 
land pursuing advanced studies. It is believed 
that from amongst these several will qualify for 
enti'ance into the higher level posts in all phases 
of administration and government services. Also, 
many of the number now serving in the lower 
grades up to and including grade VIII are mak- 
ing good records, getting good training and ex- 
perience, and are expected to qualify for higher 
responsibilitias and job classification as the months 
go by. Since the period of the report, 30 Micro- 
nesians have been advanced to positions in grades 
IX, X, and XL 

Economic Development 

Members of the Council have very rightly 
stressed the importance of agriculture as the eco- 
nomic base for the territory and have urged con- 
tinued search for new and improved crops to 
bolster the trade and the monetary income of the 
area. This, fortunately, is our program. How- 
ever, unfortunately, it is a program in which 



spectacular results cannot be achieved quickly. 
Experimentation with the proper crops must take 
place and be followed by ex])eriments to find the 
most satisfactory species and strains of these most 
promising crops. Such things as coconut and 
cacao trees require some years to come into bearing. 
In some areas such as the Marianas, crops hav- 
ing a quick turnover, such as vegetables, can be 
successfully grown and already considerable quan- 
tities are being sold on Guam. 

We are thus pressing forward with our agricul- 
tural program, not only on the experimental side 
but also on the practical side through agricultural 
extension agents. Here, however, it takes per- 
suasion and demonstration to convince many of 
the Micronesians of the value of adopting scien- 
tific means such as tlie proper spacing and selec- 
tion of trees. It is in this manner that we are 
applying scientific knowledge to agriculture. 

MODERN FARM IMPLEMENTS 

Science does not lie entirely in the use of mod- 
ern equipment that some would have us use. 
Modern farm implements are not advantageous 
on low coral islands covered with coconuts, and 
are only of value on very limited flat areas on the 
high islands. There just isn't much flat area on 
the high islands. INIost such equipment, because 
of the slope of the land, the thin soils, and erosion 
problems, therefore, would be entirely unsatis- 
factory and actually dangerous for use in most 
parts of the trust territory. Moreover, sucli ma- 
chinery, even in the limited areas where it might 
be satisfactory, would present to its owners very 
serious and expensive maintenance problems be- 
cause of climatic and other conditions. 

ISLAND TRADING COMPANY 

Practically all members of the Council liave 
commented upon the closing of the Island Trading 
Company. I do not pretend that the end of this 
company will not present some problems in parts 
of the territory. I have confidence, however, that 
the local Micronesian companies will meet the 
situation and will grow rapidly to bear the re- 
sponsibilities and opportunities thus placed u]ion 
them. The growth of these local comi)anies will, 
I think, result in a healthier economic situation 
for all concerned. Neither self-government nor 
self-sup])ort can be attained through long and 
continued dependence upon others. 

I also have confidence that we shall be able to 
place in effect a satisfactory copra marketing 
situation. I believe that it will be possible under 
this ari'angemciit to continue tlie copra stabiliza- 
tion fund. We certainly sliall not give this u.p 
if it can be avoided in any way and we feel certain 
that this problem can be solved. It is obvious, 
however, that the complexities of selling copra on 
the world markets will necessitate some outside 



142 



Department of State Bulletin 



nssistanoe. This, I boliovp, wo shall lio able to 
work out to the best intt>ri'sts of all c-omcitiu'iI. 

FISHING INDUSTRY 

I share tiie hope expressed by several members 
that it will be possible to open a fishiiiu pro<j;iam 
in the territory. Commercial (ishinji; is as yet a 
relatively undeveloped activity in the territory. 
The reasons for this are the lack of both the capi- 
tal and the specialized knowledjie required for the 
operation. It is my hope that we shall be able to 
make an arranfiement which will hrin<i in to the 
territory this t'apital and knowloclire and whicli 
will also provide training and participation by 
the Micronesians. We are working with the Fed- 
eral Pacific Ocean Fisheries Investigation Organi- 
ziition on this problem. 

PAY SCALES 

Attention lias been drawn to differences between 
the pay scales of Microncsian and American per- 
sonnel. There is in fact a considerable difference 
between the two pay scales. The reason for this 
probably is more or less self-evident ; certainly the 
difference is necessary. The Micronesian pay 
scale is geared to the normal range of income for 
pereons engaged in other local pursuits such as 
copra production, local shipping enterprises, and 
so forth. In short, it is tied to the economy of 
the area in which the employees must live among 
their fellow ilicronesians. It is adjusted so that 
the local economy will not become disrupted and 
so that the economy and income levels will be such 
as can be sustained bj' local resources. 

The American pay scale is determined by what 
is required to attract qualified people to leave the 
advantages of their life in the United States and 
to accept employment in a remote area away from 
their homes. The.se people are needed to help the 
Micronesians advance and must be offered a salary 
that will be attractive to secure their services in 
the first instance and then to hold them for a good 
long period of understanding service. As a rule 
American employees lose .seniority in similar work 
and organizations wliere they formerly had been 
employed in their home states. 

The subsistence economy of the territory and the 
"extended family" system mean that Micronesian 
employees and individuals do not live on their 
salaries. They purchase some imported foods not 
because of necessity but because of desire. Their 
salaries, therefore, cannot be used as a yardstick 
to measure their standards of living. 

SETTLEMENT OF LAND PROBLEMS 

Wo are most anxious, as are many members of 
the Council who have commented on the subject, 



to settle as expeditiously as possible the land dis- 
putes in the ten'itory. This is one of the pi'oblems 
which, upon taking oflice a year and a half ago, 
I decided required greater emphasis. 

Accordingly, whereas the work was previously 
centered in Sai]ian, we now have Land Offices in 
each of the districts, as well as Land Advisoi-y 
Boards composed of Micronesians. The emphasis 
upon land settlement will be continued and in- 
creased during this coming year. I cannot, how- 
evei', iJroniise si)ee(ly settlement of the problem. 
As those familiar with land cases are aware, when 
records are inadequate and boundaries are un- 
marked, considerable effort is required in sui-vey- 
ing antl inquiry in order that the settlement ar- 
rived at may be a just and lasting one. I believe, 
however, that I may be able to give the delegate of 
India some definite reassurances concerning ihe 
Saipan situation where he rightly pointed out the 
retarding effect on agriculture of the revocable 
permits. It is hoped that all title determinations 
in Saipan will be completed by December of ihis 
year. 

LAND OWNERSHIP 

The greater percentage of the public domain is 
hilly slopes suited to water sheds and forest I'e- 
serves and only veiy slightly used even though 
owned by the Micronesians. We are laying out 
some of these less steep areas as homesteads as 
they become necessary and are saving the re- 
mainder as forests. 

I hope I have made clear in my replies to ques- 
tions on this subject that the present public do- 
main was acquired from former Japanese holdings 
and that it is not the desire of the trust territory 
to retain any more of this land than is required for 
administrative facilities, for water shed, forest re- 
serves and similar public needs, and for security 
requirements. With the settlement of land claims 
and with the continuation of our homesteading 
program, the amount of the public domain should 
be steadily reduced. In the meantime land is be- 
ing made available to all Micronesians requir 
ing it. 

YEN AND OTHER CLAIMS 

Several membei-s of the Council have urged that 
we should be making more rapid progress in the 
settlement of yen claims and claims for postal sav- 
ings, bonds, etc., against the Japanese. ()n the yen 
claims I have previously indicated that payment 
has be^un in the Saipan District in settlement of 
these claims. We intend to proceed with comple- 
tion of yen claim settlements in all districts. On 
the claims against Japan, the United States has 
initiated steps with the Japanese Government 
looking toward the negotiation of a settlement. I 



July 26, J 954 



143 



hope that next year it will be possible to report 
even greater progress. 



Health Conditions 

We uppreL'iate the expressions that have been 
made with respect to the adequacy of medical 
services in the territory. Our American doctor's 
supported by the Micronesian medical personnel 
are providing relatively good service. The 25 
new men trained in medicine and dentistry at 
Suva will be added to our force in December 1954. 
The Micronesian medical personnel are constantly 
receiving added training both at the local hos- 
pitals and also in Honolulu and elsewhere and 
are developing very capably. The incidence of 
tuberculosis is perhaps our biggest problem at 
this time, and hospitalization of all cases would 
require more facilities than are available. We 
are, however, experimenting with local rest facili- 
ties for recuperating cases and are hopeful that 
this will be an aid in the solution to the problem, 
which chiefly depends upon drug therapy, rest, 
and good food. I am sure that our doctors in 
considering the tuberculosis problem are con- 
sidering the dietary problem raised by the dele- 
gate from Haiti. Nutrition is good in the hos- 
pitals and we are teaching it in the schools and 
through the agricultural extension agents. At 
any rate I sliall he. happy to bring the suggestion 
to tlie attention of our medical men. 

The distinguished representative from India 
commented very favorably upon the public-health 
situation in the territory but indicated his concern 
over an apparent decline over the past 3 years in 
budgetary expenditures on health programs. A 
further inspection of the comparative tables shows 
that there has actually been an increase during the 
period under review, rather than a decrease, in 
these expenditures. In the two tables at the top 
of page 28 of the annual report, for the fiscal year 

1952 the figure in the first table is complete for the 
entire territory. However, for the year 1953 that 
table contains only 6 months of the expenditure 
in the Saipan District, and for 1954: contains no 
expenditure in the Saipan District. These figures 
for Saipan are obtained from the second table and 
when added to the 1953 figures in the first table, 
give tlie totals, for 1953, $823,561 and the total for 
1954, $792,818, as compared with $041,329 in 1952. 
In comparison with the 1952 and 1954 figures, the 

1953 figure is larger even than for the later year. 
The reason for this, however, was princijially the 
purchase in 1953 of very substantial amounts of 
drugs and medical supplies; since tlie jjreceding 
year we had considerable remaining ''surplus" 
stocks from the Nsivy, very few such purchases 
had been made in 1952 and stocks were quite low. 
I am, therefore, pleased to be able to reassure the 
delegate of India regarding his concern over our 
medical expenditures. 



Education 

ELEMENTARY SCHOOLS 

Almost without exception members of the Coun- 
cil have shown concern regarding our program of 
placing education, particularly on the elementary 
level, in the hands of the people, as a responsibility 
of the local communities. In this connection, sug- 
gestions have been made that we study closely the 
problems of adequate salaries to the elementary 
schoolteachers and of aiding financially in the 
construction of schools. 

I would like first to comment upon the philos- 
ophy which prompts us to encourage the local 
municipalities to be responsible for their elemen- 
tary schools. I believe it is universal human na- 
ture to appreciate and value more highly that to 
which a person contributes his time and money 
than that which is forced upon him or given to him 
without effort on his part. It is in the American 
tradition to place a high value upon education. 
Nevertheless, the i\jnerican people have paid for 
the education of their cliildren and in many cases 
young people who secure advanced education work 
their way through college. 

In administering the trust territory we cannot 
divest ourselves of this high regard for education. 
In fact, we have felt that the best way to instill 
a similar high regard on tlie part of the Micro- 
nesians and to bring about a universal support 
of and feeling for education is to create a greater 
community interest in the local school. If the 
people can feel that the school belongs to them 
and is a product of their effort, their interest and 
support of it will be greater than if it is placed 
there by the administration and they are told to 
send their children to it regardless of the wishes 
of the people. 

This is one factor in our approach. One other 
is the belief that it contributes definitely to the 
moral fiber and advancement of a people to ])ro- 
vide their own services and facilities where they 
see a genuine need for them. 

I do not, however, wish the Council to conclude 
that in adopting this approach the administration 
is washing its hands, so to speak, of the elementary 
school program. On the contrary, the educational 
supervisors in each district whose salaries are paid 
from trust territory funds — in large part Federal 
grants — make frequent trips to keep in touch with 
the work and develo])ment of these schools. The 
educators work closely with the municipal officials 
to insure the satisfactory support of the school 
and its teacher. Last January the administration 
made a $4,000 loan to the Truk District to pay the 
salaries of its elementary schoolteachei-s. A new 
tax was instituted in this district and in the Mar- 
shal Is, in consultation with the appropriate local 
bodies and officials, in order to insure the payment 
of the teachers' salaries. Through such encourage- 
ment, supervision, and cooperative effort I believe 



144 



Department of State Bulletin 



that in tho loiip run it will be jtossiblo to instill 
a reul sense of eonniiunity responsibility uiul snp- 
poit for the elementaiy schools. 

Thus, during the past year we liave aided three 
districts to work out i)ractical systems of tuxes 
which can be used to increase the salaries of ele- 
mentary schoolteachers as well as to increase the 
materials needed for instruction. At the same 
time, we are patiently, and as forcefully as we 
believe wise, urgin<r an undei-standing of the value 
of formal schoolinrr, including nnistery of read- 
ing, writing, and skill in use of inunbers and a 
wider knowledge of applied .science. 

1 should point out that on the intermediate and 
Pacific Island Central School level the schools are 
entirely sujiported by the administration. 

EXPENDITURES 

Attention has been drawn, by the representative 
of India and others, to an apjjarent decrease over 
the past 3 years in the expenditures on education. 
I use the word ''apparent'' because I believe that, 
here again as in the case of medical services, due to 
a measure of difficulty in interpreting the tables 
on page 28 of the report, there has been a misun- 
derstanding. The figure of $437,888 for the fiscal 
year 1952 in the table at the top of the page in- 
cludes a full year's expenditure in the Saijian Dis- 
trict. The figure in the same table for 195:'., 
$.3i)0,540, contains expenditures for only 6 months 
in the Saipan District. The figure for 1954 con- 
tains no expenditure for Saipan. Therefore, for 
1953 and 1954 additions must be made for the 
Saipan District. These figures are found in the 
second table on that page, page 28. and when added 
to the previous figures give a total of $435,440 for 
1953 and $476,901 for 1954. This latter figure is 
well above the 1952 total of $437,888 and we find 
that, rather than a decrease, there has actually 
been an increase in expenditures on education over 
the 3-year period. 

The unusualh' high school enrollment figures 
for early years around 1948 are due to having 
many overage enrollments because during war 
years education in the schools was at a standstill. 
Normal enrollments are increasing along with 
child i)oi)ulation year by year. Enrollment is 
compulsory' for cei'tain ages and attendance is 
around 90 percent of enrollment. 

ADVANCED STUDIES 

The representative of India has asked whether 
facilities for higher education will become open to 
trust territory students in their own territory. I 
must say, in all honesty, that I cannot foresee the 
day when an institution on the college or univer- 
sity level will be a probability. This does not 
mean, however, that an opportunity for higher 



education in the area will not exist. 1 have in 
mind the Territorial College which has been 
opened by the (iovernmeut of (Juain. At present 
this college does not oiler a full college course. 
However, the time will come when it may do so 
and since CJuam is in a very central locati(jn with 
respect to the trust territory, its college would be 
as convenient, if not more convenient, to all sec- 
tions of (he trust territory as an institutiini located 
in one or the other of its districts. 

Provisions for increased enrollment in secondary 
education, and improved standards of education 
at the secondary as well as at all other levels, will 
eventuate gradually and in response to genuine 
needs and desires of the people. 



Conclusion 

Mr. President, the opportunity to appear before 
the Trusteeship Council again has proved to be a 
stimulus and a source of strength to this present 
special representative who is entrusted -with the 
administration of the Trust Territory of the 
Pacific Islands. 

The problems confronting us are by no means 
nominal ones. We have had the temerity to lay 
them frankly before this Trusteeship Council and 
to ask for suggestions and advice in solving them. 

Our appearance has been met with a sympathetic 
understanding and interest. Suggestions out of 
long experience as well as out of theory have been 
made to aid us in our tasks. Encouragement has 
been afforded. 

Although the writer feels that such commenda- 
tion has hardly been deserved, he nevertheless is 
sincerely appreciative of the kind words that have 
been spoken. He feels that the distinguished mem- 
bers of the Trusteeship Council have contributed 
to the well-being of the Trust Territory of the 
Pacific Islands. The High Commissioner and staff 
of this organization in carrying out their responsi- 
bilities will benefit by this year's session. 

For this, Mr. President, I am deeply and grate- 
fully indebted. 

Advancement in Trust Territory 
of Western Samoa 

Statement hy Robert R. Robbing ^ 

r.S./U.N. press release 1930 dated July 2 

The U.S. delegation desires to express its appre- 
ciation of New Zealand as the Administering Au- 
thority and the people of the Trust Territory of 

' Made in the Trusteeship Council on July 2. Mr. Kob- 
bins. Deputy Director of the Office of Dependent Area 
Aflfair.s, Department of State, is a member of the U.S. 
delegation to the Council. 



July 26, 1954 



145 



Western Samoa for the advancement which has 
been indicated as the result of the Council's exami- 
nation of the 1953 report, the special representa- 
tive's statements, and his very full replies to our 
questions. We express our warm thanks to him. 

We are sure that this is a cooperative develop- 
ment in which the people of Samoa are having the 
opportunity to play their full part. 

We trust, according to the proverb given to us 
here, tliat when the "crab has completed the con- 
templation of his toes," in regard to the 1953 De- 
velopment Plan pointing to the ultimate estab- 
lishment of a regime of full self-govermnent, the 
Constitutional Convention will be held on sched- 
ule. We also hope that the people of Western 
Samoa will grasp firmly the opportunities offered 
to move rapidly in the direction of a greater meas- 
ure of self-government and assume the resultant 
responsibilities with earnestness and wisdom. In 
doing this we trust that they will be able to main- 
tain their present tranquillity and happy adjust- 
ment to their environment. 

This will depend in large measure, in our view, 
on whether the Samoan people will fully realize 
the significance to their future of their phenome- 
nal increase in population and take steps in their 
planning to meet this increasingly grave problem. 
They must realize that the cultivation of taro 
patches higher and higlier upon the slopes of their 
islands with resultant erosion in a country where 
the annual rainfall in some places is measured in 
yards rather than in inches is not the answer to 
this problem. On the otlier hand, we believe that 
the increase in general education will help im- 
measurably in meeting what lies ahead. 

We wish to commend the Administering Au- 
thority and tlie people of Western Samoa for the 
efforts which have been made to assess the overall 
problems of the Territory. Illustrative of this 
broad effort, we would mention the Economic Sur- 
vey by Mr. V. D. Stace, the Study of Labor Con- 
ditions by Mr. H. G. Duncan, and the Report on 
Education by Mr. C. E. Beeby. Such basic studies 
are essential, in our view, to the progressive de- 
velopment of programs for the Territory. 

Similarly we want to commend the jjractice of 
enlistment by the Administering Authority of the 
cooperation of outside agencies, such as the spe- 
cialized agencies of the United Nations and the 
South Pacific Commission. Not only should this 
type of cooperation be useful to Samoa, but peo- 
ples elsewhere can profit from such combined en- 
deavor. I have in mind examples of mutual bene- 
fit derived from work now underway to bring the 
rhinoceros beetle under '•ontrol and the develop- 
ment and exchange of strong strains of tropical 



plants calculated to increase the yield of cash 
crops. 

We wish also to note with satisfaction such re- 
cent developments as (a) the establishment of the 
Executive Coimcil in March 1953; (b) the opening 
of Samoa College which we hope will lead, among 
other things, to the appointment of additional 
Samoans to the government service at higher levels 
in the near future; (c) the passage of the District 
and Village Board Ordinance; and (d) the steps 
taken to date toward fulfilling the proposal to 
transfer to Samoan hands of the New Zealand 
Eeparations Estates. 

The Trusteeship Council is interested in being 
apprised of progress wherever it takes place in 
regard to the territories under U.N. trusteeship. 
In the South Pacific area there are four trust ter- 
ritories which along with other territories had 
limited relationships with one another through 
marriage and through certain technical services 
which, in addition to those provided by the metro- 
politan governments, emanated from Fiji and 
benefited those territories under British Com- 
monwealth administration. More recently, how- 
ever, particularly since World War II, existing 
relationships have been greatly expanded and new 
ones added. One of the most important contri- 
butions to this development was the establishment 
of the South Pacific Commission. Government 
administrators, technicians, and I'epresentatives of 
the peoples now meet together on an area-wide 
basis periodically and discuss their common in- 
terests and problems. What is more important, 
the results of their deliberations are brought to 
bear directly upon the daily lives of the people of 
the islands. Although somewhat intangible, a 
very real and significant result has been the de- 
velopment of a degree of friendship and neighbor- 
liness among South Pacific territories and peoples 
hitherto unknown. 

This widening of the horizon of the peoples 
of the area bej'ond the confines of their own islands 
has prompted one Samoan leader to say recently 
that there was in process of development a South 
Pacific family. 

The mutual effort in establishing an organiza- 
tion to focus attention upon the economic and so- 
cial problems of the peoples of the South Pacific 
area was taken by the Governments of Australia 
and New Zealand. Those Governments can take 
pride in launching and giving sustained support 
to an arrangement for the peoples of the area 
which translates into action the principles of the 
United Nations, particularly the objectives of the 
trusteeship system, as well as the principle of good- 
neigliborliness set forth in the somewhat neglected 
article 74 of the charter. 



146 



Department of State Bulletin 



Conference on American Studies 
To Be Held in Great Britain 

Press release 870 dated July 7 

Eleven Aiiieiicaiis will leave this month to par- 
ticipate in the tiiird Confeieiue on Aiiieiican 
Studies to be held in Great Britain under the De- 

gartinent's International Educational Exchange 
'roiirain. Tlie conferences, on tlie theme "Tho 
United States in the Atlantic Community," are 
held alternately at Cambridge and Oxford Uni- 
versities. This year's conference will be held at 
Cambrid-ie from' July 12 to August li. 

The conferences bring together British students, 
teachers, and university faculty members to hear 
lectures and participate in discussions with dis- 
tinguished American professors and public speak- 
ers. They are held under the auspices of the U.S. 
Educatioiial Commission, the binational organi- 
zation in London which has responsibility for ad- 
ministering the program authorized by the Ful- 
bright Act in the United Kingdom. 

The American lecturers, all of whom were se- 
lected by the President's Board of Foreign Schol- 
arships, and the general subjects which they will 
discuss are as follows : 

Virginiiis Dabnoy, Editor. Richmond Times-Despatch, 
Richmond, Va., journalism ; 

Clarence II. Klliutt, City Manager, Kalamazoo, Mich., 
municipal administration ; 

Denna F. Fleming, Professor of Political Science, Vander- 
bilt University, Nashville, Term., American foreign 
policy ; 

John II. Franklin. Professor of American History, Howard 
L'niversity, Washington, U. C, American history ; 

C. Lowell Harriss, Professor of Economics, Columbia 
University, New York, N.Y., economics ; 

Arthur M. Mizener, Professor of English, Cornell Univer- 
sity, Ithaca, N.Y., American literature; 

C. Easton Rothwell, Vice-Chairman, Hoover Institute and 
Library, Stanford University, Palo Alto, Calif., Ameri- 
can foreign policy ; 

George D. Stoddard, Office of Institutional Research and 
Educational Planning, New York University, New 
York, N.Y., American education ; 

Robert L. Sutherland, Director, Hogg Foundation, Univer- 
sity of Texas, Austin, Tex., sociology ; 

David Truman, Professor of Political Science, Columbia 
University, New Yorl^, N.Y., American government; 

Eudora Welty, novelist and short story writer, Jackson, 
Miss., creative writing. 



U. S. Delegations to 
International Conferences 

Trade Negotiations With Philippines 

Tlie Department of State announced on July 14 
(press release 384) that the U.S. Government will 
be represented by the following delegation in the 
negotiations with the Philippines regarding pos- 



sible revision of the 1946 Agreement on Trade and 
Related Matters between tlie two countries: 

Chairman 

James M. Langley, Editor and Publisher, Concord Daily 
Monitor, Concord, N. H. 

Dcptili/ Chairman 

Charle.s F. Baldwin, Economic Coordinator for the Far 
East, Hureau of Far Eastern Affairs, Department of 
State. 

Daniel M. Braddock, Counselor of Embassy for Economic 
Affairs, American Embassy, Manila. 

Delegates 

William L. Hebbard, Assistant Director, Office of Interna- 
tional Finance, Treasury Department. 

Willielm Anderson, Chief, International Agreements 
Branch, Foreign Agricultural Service, Department of 
Agriculture. 

Eugene M. Braderman, Director of l'"ar Eastern Division, 
Department of Commerce. 

Orville J. McDiarmid, Regional Economist, Office of Far 
Eastern Operations, Foreign Operations Administra- 
tion. 

Ben Dorfman, Chief Economist, Tariff Commission. 

Paul D. Dickens of the Treasury Department, 
A. Richard DeFelice and Edward J. Bsll of the 
Department of Agriculture, and G. Anton Burgers 
of the Foreign Operations Administration will 
serve as alternates to the delegates representing 
their respective agencies. 

Liaison will be maintained with the U.S. Gov- 
ernment departments and agencies having an in- 
terest in these negotiations, and full opportunity 
will be provided for interested American business 
firms and individuals to make known their views 
regarding possible modifications of the agreement. 
To this end the holding of public hearings and an 
invitation for the submission of written briefs 
will be announced in due course. 

The discussions with the Philippine delegation 
will commence upon its arrival in this country, 
probably in the latter part of August or early 
September. 



International Union of Crystallography 

The Department of State announced on July 15 
(press release 385) that the Third General Assem- 
bly of the International Union of Crystallogra- 
phy will be held at Paris July 21-28, 1954. The 
U.S. Government will be represented at the As- 
sembly by the following delegates : 

Lawrence O. Brockway, Ph.D., Chairman, Professor of 
Chemistry, University of Michigan, Ann Arbor, Mich. 

Arthur L. Patterson, Ph.D., Institute for Cancer Research, 
Philadelphia, Pa. 

Bertram E. Warren, Professor of Physics, Massachusetts 
Institute of Technology, Cambridge, Mass. 

Ralph W. G. WyckofC, Ph.D., Director, Division of Physi- 
cal Biology, National Institutes of Health, (Currently 
Scientific Attache, American Emhassy, London). 

William H. Zacharia.sen, I'h.D., Professor of Physics, 
University of Chicago, Chicago, 111. 

The Union of Crystallography, proposed at the 
International Conference on Crystallography held 



July 26, 1954 



147 



at London, July 1946. was formally recoOTiized 
by the International Council of Scientific I nions 
on April 7, 1947. The provisional statutes were 
ratified at the First General Assembly held at 
Harvard University, July 28-August 3, 1948. 
The Second General Assembly was held at Stock- 
holm, June 27-July 3, 1951. 

Aniono; the items on the agenda for the Third 
General Assembly are (1) reports of Commissions 
and Joint Commissions; (2) election of Commis- 
sions and of representatives on other bodies, and 
determination of their terms of reference; (3) 
election of an Advisory Board for "Acta Crystal- 
lographica," a bimonthly periodical; and (4) clar- 
ification of the position and powers of delegates. 



THE CONGRESS 



Problem of Restoring 
West German Sovereignty 

Following is the text of a letter from Secretary 
Dulles to Senator Alexander Wiley, chairman of 
the Senate Com/mittee on Foreign Relations. An 
identical letter loas sent to Representative Robert 
B. Chi-perfield, chairman of the House Foreign 
Affairs Committee. 

July 12, 1954 
Dear Mr. Chairman : 

For over two years it has been the policy of 
the United States, Great Britain, and France to 
improve the international status of the Federal 
Republic and to enable the Germans to make tbeir 
proper contribution to the common defense of the 
free world. These objectives were to be accom- 
plished by certain agreements with which you are 
already familiar. The conventions signed at 
Bonn on May 26, 1952 (the Convention on Rela- 
tions between the Three Powers and the Federal 
Republic of Germany and the related conven- 
tions) ^ would terminate the occupation regime 
and establish sovereign equality for the Federal 
Rejiublic (subject only to certain rights retained 
by the occupying powers because of the division of 
Germany and tlie pi'esence of Soviet forces there). 
At the same time, the Treaty on tlie Establishment 
of the European Defense Comiininity, signed at 
Paris on May 27, 1952, would bring into being an 
international body thi-oiuih wliicii tlie FecU-ral 
Republic could make an enective detVnse contribu- 
tion witliout creating a national military estab- 
lishment for that purpose. 



' See p. 128, footnote 3. 
148 



The conventions and the Treaty are connected 
by a provision in the conventions that they will 
become effective upon the entry into force of the 
Treaty. However, since the French Government 
has not ratified the conventions and neither it nor 
the Italian Government has ratified the Treaty, 
none of the agreements has yet entered into force. 
There is still an opportunity for the French As- 
sembly to approve the Treaty (which is the princi- 
pal source of difficulty to the French) before the 
close of its session this summer, now scheduled for 
August 15 or thereabouts, and, if it should do this, 
I believe that further necessary action would fol- 
low and the agreements would all become effective 
without too great an additional delay. It is my 
earnest hope that events will take this course, and 
the Administration is doing all it can to bring tliis 
about. 

On the other hand, we must be prepared for the 
situation that would arise if the French Assembly 
should reject the Treaty or adjourn without having 
voted on it. I know you fully appreciate what 
serious consequences any further delay in the 
application of these agreements might have. A 
continued denial of sovereignty for the Federal 
Republic would bring a risk of political develop- 
ments within that country which could cause ap- 
prehension to other nations as well, while a con- 
tinued failure to include the Federal Republic in 
the common defense arrangements would ijrolong 
the danger to Germanj' and to the free woi'ld as 
a whole. 

Because of these possibilities, the question of 
what measures should be taken with respect to the 
Federal Republic in the event of failure to ratify 
the present agreements has been the subject of 
urgent attention. It was discussed during Prime 
Minister Churchill's recent visit and has been 
further considered during the past week in Lon- 
don by representatives of the Department and the 
British Foreigii Office. As a result of these talks, 
it has been recommended on both sides that, if the 
French Assembly adjourns without taking action 
on the European Defense Community Treaty, the 
French Government should, as a first step, be 
asked to join with the United States, the United 
Kingdom, and the Federal Re]iublic in bringing 
the Bonn conventions into force in the absence 
of the Treat}-. If tlie four ])artips will consent 
to this move, it could be accomplished by agree- 
ment among thcni in the relatively neai' future, 
and the Federal Republic would acquire the status 
it has been ex])ecting for more than two years. 
Provision would also be made that German finan- 
cial sujiporl of the Allied forces in Germany would 
contiinie and that (icrnian I'earmauuuit would be 
defen-ed for (lie time being. Tliis would afford 
an o]>])ort unity to com])](-te arrangements for a 
(lernian defense contribution. 

This course slu)uld make possible an inqiortant 
measure of realization of what we have been try- 
ing to achieve in the Federal Republic of Germany. 

Department of State Bulletin 



The Britisli Psu-liamont aiul tlip Fihmu-Ii Govcni- 
nu'iit arc to ln' iiiforini'il of tlioso iiitiMilioiis with- 
in tlu> next (lay or two. 

1 am seiuliii;!; ii simihir letter to the Chainuim 
of the House Foreifxu Affairs Committee. There 
is enclosed, for your convenience, a cojiy of the 
statement on this subject issued by the President 
and Prime Minister Churi'hill at the I'onclusion 
of their recent talks in Washington.- 
Sincerely yours, 

John Foster Ddxles 



TREATY INFORfVIATION 



Recommendations Concerning 
Air Agreement With Spain 

Press release 386 dated July 15 

Recommendations for an exchannre of notes 
between the Governments of the United States 
and Spain which would amend the United States- 
Spain .Vir Transport A<rreement to provide for a 
Spani.sh route to Xew York were made July 14 
to their respective Governments by U.S. and 
Spanish delejiations which have been holding con- 
sultations intermittently during May, June, and 
July. The original U.S. -Spain Air Agreement 
which was signed in lO-tt was the first such bi- 
lateral air agreement entered into by either coun- 
try providing for postwar operations. Oswald 
Ryan, member of the Civil Aeronautics Board, is 
chairman of the U.S. delegation. Don Jaime de 
Pinies of the Spanish Embassy in Washington is 
chairman of the Spanish delegation. 

Under the present agreement Spanish carriers 
may operate over two routes to the United States — 
one to Miami and beyond to (a) Mexico and (b) 
Habana and points in the Caribbean and West 
Coast of ."^outh America and the other to San Juan 
and Caracas. The delegations have reconunended 
that the Spain-Xew York route requested by the 
.•"Spanish be substituted for their route to Miami 
and Mexico and that that part of the route beyond 
Miami to the Caril)bean and West Coast South 
American points be added to the San Juan route. 

If accepted ijy their Governments, the delega- 
tions" recommendations will be incorporated into 
the Air Transport Agreement by an exchange of 
notes between the Governments. The new Span- 
iel i route description would read as follows: 

Koute 1 — a route fi-diii Spain to New York via Lisbon 
a lid the Azores in both directions. 

Route 2 — a route from Spain to San .Tuan. Puerto Rico, 
via Lisbon, the .-Vzores and Bermuda, and Caracas in 



both directions and from San Juan to points beyond In 
the ("iiribbean area and tlie West Coast of Soiilli America 
ill both directions. 



Current Actions 



MULTILATERAL 



Finance 



Articles of AKrei'meiit of the Internal ional Monetary 
Fund. Opened for signature at Wasliiiinlon December 
27, 194.5. Entered into force December 27, 1945. TIAS 
1501. 
Siffiiaturc and accvptance: Israel, July 12, lf).")4. 

Articles of Agreement of the International Bank for Re- 
construition and Development. Opened for signature 
at Washiiiu'tnn l>eeember 27, 104.5. Entered into force 
Dec'ember 27, 1945. TIAS 1502. 
Signature and acceptance: Israel, July 12, 1954. 



International Court of Justice 

Statute of the International Court of Justice (part of the 
Charter of the United Nations sifnied at San Francisco 
June 2(i, 1945). .■.!) Stat. 10.55; T. S. 1)9.3. 
Declaration, under Article 36, recognizing compulsory 
jurisdiction : 

Rnicwdl deposited: Turkey, June 8, 1954. (Renewal 
effective for five years from May 22, 1952.) 



Shipping 

Convention on safety of life at sea. Signed at London 

June 10, 194S. Entered into force November 19, 1952. 

TIAS 2495. 

Acct plnneea deposited: Cambodia, March 2. 1954; 

U. S. S. It., May 10, 1934; Switzerland, May 19, 1954; 

Haiti, May 2G, 19.54. 
International load line convention. Signed at London 

July 5. 19;{0. Entered into force January 1, 1933. 47 

Stat. 222S. 

Accession deposited: Switzerland, May 19, 1954. 



Trade and Commerce 

Declaration regulatiu); the commercial relations between 
certain contracting parties to the General Agreement 
on Tariffs and Trade and Japan. Done at Geneva 
October 24, 1953. Entered into force November 23, 
19.53 for the United States. TL\S 2917. 
Acceptance deposited: Canada, June 9, 1954. 



United Nations 

Constitution of the United Nations Educational, Scientific 
and Cultural Organization. Concluded at London No- 
vember 10, 1945. Entered into force November 4, 1946. 
TIAS 15S0. 

Si'liiatiire: Byelorussian S.S.R. and Ukrainian S.S.R., 
May 12. 1954. 

Acceptance deposited: Byelorussian S.S.R. and Ukrain- 
ian S.S.R., May 12, 1954. 



France 



BILATERAL 



' Bri.LETix of .Inly 12, 1954. p. 49. 
Jo/y 26, J 954 



Agreement amending Article 9 of the Educational Ex- 
change Agreement of October 22, 1948 (TL\S 1S77). 
Effected by exchange of notes at Paris June 18 and 30, 
1954. Entered into force June 30, 1954. 



149 



Jordan 

Agreement relating to duty-free entry and defrayment 
of inland transportation charges for relief supplies of 
United States voluntary agencies. Effected by exchange 
of notes at Amman May 1 and June 29, 1954. Entered 
into force June 29, 1954. 



DEPARTMENT 



Appointment 

Christian A. Herter, Jr., to the Policy Planning Staff, 
effective July 19 (press release 389 dated July 16). 



Current U.N. Documents: 
A Selected Bibliography ^ 

General Assembly 

Information from Non-Self-Governing Territories : Sum- 
mary and Analysis of Information Transmitted Under 
Article 73e of "the Charter : Report of the Secretary- 
General. Summary of information transmitted by 
the Government of New Zealand. A/2056. June 10. 
1954. 16 pp. mimeo. 

Economic and Social Council 

Economic Commission for Europe. Annual Report (19 
March 1953-25 March 1954). Supplement No. 3. 
E/2556, E/ECE/187. 44 pp. printed. 

16th Report of the Administrative Committee on Co-Ordi- 
nation to the Economic and Social Council. E/2607. 
May 17, 1954. 18 pp. mimeo. 

Commission on Narcotic Drugs. Report on the Ninth 
Session ( 19 April to 14 May 1954 ) . E/2606, E/CN.7/- 
283. June 2, 1954. 54 pp. mimeo. 

Techniques of Evaluation of the Expanded Programme 
of Technical Assistance. E/TAC/41. June 4, 1954. 
45 pp. mimeo. 

United Nations Conference on Customs Formalities for 
the Temporary Importation of Private Road Vehicles 
and for Tourism. Final Act. E/CONF.16/19. June 
7, 19.54. 13 pp. mimeo. 

United Nations Conference on Customs Formalities for 
the Temporary Importation of Private Road Vehicles 
and for Tourism. Additional Protocol to the Con- 
vention Concerning Customs Facilities for Touring, 
Relating to the Importation of Tourist Publicity Doc- 
uments and Material. E/CONF.16/21. June 7, 
1954. 11 pp. mimeo. 

Transfer to the United Nations of the Functions and 
Assets of the Central Bureau, International One-Mil- 



' Printed materials may be secured in the United States 
from the International Documents Service, Columbia 
University Press, 2!H)0 P.roadway, New York 27, N. Y. 
Other materials (mimeographed or iM-ocesseii documents) 
may bo consulted at certain designated libraries in the 
United States. 



lionth Map of the World on the Millionth Scale. Final 
Report by the Secretary-General. E/2619. June 14, 
19.54. 3 pp. mimeo. 
Customs Convention on the Temporary Importation of 
Private Road Vehicles. E/CONF.16/22. June 7, 
1954. 34 pp. mimeo. 



Security Council 

Letter Dated 14 June 1954 from the Representative of 
Thailand Addressed to the President of the Security 
Council. S/3228. June 14, 19.54. 1 p. mimeo. 

Letter Dated 17 June 1954 from the Representative of 
Syria to the President of the Security Council. 
S/3231. June IS, 1954. 8 pp. mimeo. 

Cablegram Dated 19 June 1954 from the Minister for Ex- 
ternal Relations of Guatemala Addressed to the Presi- 
dent of the Security Council. S/3232. June 19, 1954. 
4 pp. mimeo. 

Letter Dated 20 June 1954 from the Representative of 
Cuba Addressed to the President of the Security 
Council. S/3235/Rev. 1. June 21, ia54. 1 p. mimeo. 

Cablegram Dated 20 June 1954 from the Minister for 
External Relations of Guatemala Addressed to the 
President of the Security Council. S/3238. June 
21, 1954. 3 pp. mimeo. 

Cablegram Dated 20 June 1954 from the Minister of 
Foreign Affairs of Honduras Addressed to the Presi- 
dent of the Security Council. S/3239. June 21, 1954. 

1 p. mimeo. 

Letter Dated 22 June 1954 from the Representative of 
Guatemala Addressed to the Secretary-General. 
S/3241. June 23, 1954. 3 pp. mimeo. 

Cablegram Dated 22 June 1954 from the Minister of 
Foreign Affairs of Nicaragua Addressed to the Presi- 
dent of the Security Council. S/3242. June 23, 1954. 

2 pp. mimeo. 

Cablegram Dated 23 .Tune 1954 from the Secretary of State 
for External Relations of Honduras Addressed to the 
President of the Security Council. S/3243. June 24, 
1954. 1 p. mimeo. 

Cablegram Dated 23 June 1954 from the Representative of 
Guatemala Addressed to the Secretary-General. 
S/3244. June 24, 1954. 1 p. mimeo. 

Cablegram Dated 23 June 1954 from the Chairman of the 
Inter-American Peace Commission Addressed to the 
Secretary-General. S/3245. June 24, 1954. 2 pp. 
mimeo. 

Cablegram Dated 23 June 1954 from the Minister for Ex- 
ternal Relations of Guatemala Addressed to the Sec- 
retary-General. S/3246. June 24, 1954. 3 pp. 
mimeo. 

Letter Dated 24 June 1954 from the Representative of the 
Union of Soviet Socialist Republics Addressed to the 
Secretary-General. S/3247. June 24, 1954. 1 p. 
mimeo. 

Cablegram Dated 23 June 1954 from the Minister for Ex- 
ternal Relations of Guatemala Addressed to the Secre- 
tary-General. S/3248. June 24, 1954. 1 p. mimeo. 



Trusteeship Council 

General Assembly Resolution 7.52 (VIII) and Trusteeship 
Council Resolution SlUi (XIII): Attainment by the 
Trust Territories of Self-Government or Independ- 
ence. Addendum to the report of the Secretary- 
General. T/L.464/Add.l. June 2;i, 1954. 15 pp. 
mimeo. 

General .\ssembly Resolution 750 (VIII). The Togoland 
Unilication Problem. Note by the Secretary-General. 
T/ll.'50. June 23, 1954. 20 pp. mimeo. 

Provision of Information to the Peoples of Trust Terri- 
tories. Report of the Secretary-General. T/1121. 
June 24, 1954. 17 pp. mimeo. 



150 



Department of Slate Bulletin 



July 26, 1954 



Index 



Vol. XXXI, No. 787 



American Principle*. D.S. Foreign Policy In Perspective 
(Miirtiin) 

Amrrirnn Krpiiblies. Tile OrRtinlzatlun of Aniericnn States 
aiiil the United Nations : Rlruls or Partners? (Key) . 

Atomic Encrry. Mnrslmll Islanders' Petition to Trustce- 
slil|) Council (stntemenis and text of resolution) . . 

Canada. Discussions Concerning St. Lawrence Seaway 
(text of coniniunliiue) 

Concrrsa, The. Problem of Restoring West German 
Sovereignty (Dulles) 

CirchosloTakia. Admission of Churchmen From Czecho- 
slovakia and Hungary 

Economic Affairs 

Eric Johnston Reports .\greement on Sharing of Jordan 
Waters 

Importation of Jerked Beef (proclamation) 

Reconinieudations Concerning Air Agreement With Spain . 

The United States and the World Economic Situation 
(Hotchkis) 

Edncational Exchange. Conference on American Studies 
To lie Ueld in Great Britain 

Germanr 

Germany Makes Amends (Woodward) 

Problem of Restoring West German Sovereignty (Dulles) . 

Greece. U.S. -Greek Offshore Procurement (Cannon) . . 

Guatemala 

The Organization of .\merican States and the United 

Nations: Rivals or Partners? (Key) 

Recognition of Guatemala 

Hungary 

Admission of Churchmen From Czechoslovakia and 
Hungary 

U.S. Applications in C-47 Case Removed From Calendar 
of ICJ 

Indochina. Secretary Dulles' Trip to Paris (statements) . 

International Organizations and Meetings. U.S. Delegations 

to International Conferences 

Korea 

Governors Report on Korea 

Visit of President Rhee 



Mutual Security 

Increase in Military Aid to Thailand 

U.S.-Greek Offshore Procurement (Cannon) 

Near East. Eric Johnston Reports Agreement on Sharing 
of Jordan Waters 

Non-Self-Goveming Territories 

Advancement In Trust Territory of Western Samoa 
(Robblns) 

Marshall Islanders' Petition to Trusteeship Council (state- 
ments and text of resolution) 

Problems of the Pacific Trust Territory (Midkiff) . . . 

Philippines. U.S. Delegations to International Con- 
ferences 

Presidential Documents. Importation of Jerked Beef 
( proclamation ) 

Protection of Nationals and Property. U.S. Applications in 

C-47 Ca.-iie Removed From Calendar of ICJ . . . 

Publications. Current U.N. Documents 

Spain. Recommendations Concerning Air Agreement With 
Spain 

State, Department of. Appointment (Herter) .... 

Thailand. Increase in Military Aid to Thailand . . . 



119 
115 

137 
125 
148 
129 



132 
132 
149 

133 

147 

126 
148 

131 



115 

118 



129 

130 
123 

147 

124 
123 

125 
131 

132 



145 

137 
141 

147 

132 

130 

150 

149 
150 
125 



Treaty Information 

Current Actions 149 

Iteconimendallons Concerning Air Agreement With Spain . 149 

U.S.S.R. 

Second Soviet Protest Concerning "Tuapse" (texts of 

notes) 131 

U.S. Aiipllcations in C-47 Case Removed From Calendar 

of ICJ 130 

United Kingdom. Conference on American Studies To Be 

Ilild in Great Britain 147 

United Nations 

Advancement in Trust Territory of Western Samoa 

(Robhins) 145 

Current U.N. Documents 150 

Marsliall Islanders' Petition to Trusteeship Council (state- 
ments and text of resolution) 137 

Tlie Orcnnizntlon of -Americon States and the United 

Nations: Rivals or Partners? (Key) 115 

Problems of the Pacllic Trust Territory (Midkiff) . . . 141 

The United States and the World Economic Situation 

(Hotchkis) 133 

U.S. .Applications in C-47 Case Removed From Calendar 

of ICJ 130 

Name Index 

Cannon, Cavendish W 131 

Dulles. Secretary 123, 129, 148 

Eisenhower. President 123. 132 

Heine, Dwight 138 

Herter, Christian A., Jr 150 

Hotchkis, Preston 133 

Johnston, Eric 132 

Key, David McK 115 

Midkiff, Frank E 137, 141 

Morton, Thruston B 119 

Peurifoy. John E 118 

Rhee, I'resident 123 

Robblns, Robert R 145 

Salazar, Carlos 118 

Sears, Mason 137, 139, 140 

Thornton, Dan 124 

Woodward, Mrs. Margaret Kupli 126 



Check List of Department of State 
Press Releases: July 12-17 

Releases may be obtained from the News Divi- 
sion, Department of State, Washington '25, D.C. 

Press releases issued prior to July 12 which ap- 
pear in this is.sue of the 15ui.i.eti.\ are Nns. 364 of 
July 5, 369 of July 6, 370 of July 7, 377 of July 9, 
and 378 of July 10 . 

No. Date Subject 

380 7/12 Dulles : Departure for Paris. 
*381 7/13 I'adio diseussions with Mexico. 

382 7/13 Recognition of Guatemala. 

I'.erry appointment to Singapore. 

Philippine trade talk delegation. 

Crystallography conference. 

Air transport talks with Spain. 

Dulles: Return from Paris. 

Hungarian plane case. 

Herter appointment (re-write). 

Admission of foreign churchmen. 



383 


7A4 


384 


7/14 


38.5 


7/15 


386 


7/15 


387 


7/15 


388 


7/16 


389 


7/16 


390 


7/17 


*Not 


printed 




the 
Department 







State 



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United States 
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Washington 25, D. C. 



PENALTY FOR PRIVATE USE TO AVCII 

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Foreign Relations of the United States . . . 

the basic source of information on U.S. diplomatic history 

1937, Volume II, The British Commonwealth, 
Europe, Near East and Africa 



Prominent among the subjects treated in this volume are the 
efforts of the Department of State to promote more liberal 
trade policies by discussions looking to the conclusion of recip- 
rocal trade agreements and representations against discrimi- 
nating practices damaging to American commerce. Secretary 
of State Cordell Hull conceived his trade agreements program 
not merely as a means for promoting American business but as 
one important instrument that would help maintain interna- 
tional peace. 

A number of issues tended to strain relations with the Nazi 
Government of Germany in 1937. Persecution of the Jews 
continued with additional restrictive measures being applied. 
Trade relations were unsatisfactory. The German Govern- 
ment made representations against derogatory remarks by 
Mayor La Guardia of New York about Hitler. 

Among many matters of diplomatic concern in the Near East 
recorded in this volume were the Montreux Conference for the 
abolition of capitulations in Egypt, the withdrawal of Ameri- 
can diplomatic and consular representatives from Ethiopia 
which was under Italian occupation, the grant of an oil con- 
cession by the Iranian Government to the Amiranian Oil Com- 
pany, proposed abolition of capitulatory rights of the United 
States in the French Zone of Morocco, and interest of the 
United States in British proposals for the partition of Pales- 
tine between Arabs and Jews. 

Copies of this volume may be purchased from the Superin- 
tendent of Documents, Government Printing Office, Washing- 
ton 25, D. C, for $4.25 each. 



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Govt. Printing Office - " " — - 

Washington 25, D.C. „, , • c r • n , m- . .i. t, -, j 

Please send me copies of foreign Relations of the United 

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Vol. XXXI, No. 788 
August 2, 1954 




BUILDING AN ENDURING PEACE • by Assistant Secre- 
tary Morton 155 

A REVIEW OF AMERICAN POLICY TOWARD 

EUROPE • by Ambassador Douglas Dillon 159 

RESULTS OF LONDON TALKS ON DISARMAMENT 

Statemt-at by Morehead Patterson 171 

Report of the Subcommittee of the Disarmament Commis' 

177 
sion '■' ' 

GENEVA CONFERENCE ON INDOCHINA CON- 
CLUDED 162 



For index see inside back cover 



Boston Public Library 
•uperintcndent of Documents 

SEP 7 -1954 




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^ne z/^e/vct')il^e'nl^ cl^ t/tcite 



bulletin 



Vol. XXXI, No. 788 • Publication 5555 
August 2, 1954 



For sale by the Superintendent of Documents 

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Price: 

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The printing of this publication bus 
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Note: Contents of this publication are not 
copyrighted and Items contained herein may 
be reprinted. Citation of the Departme.nt 
OF State Bcli.etin as the source will bo 
appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of the 
Government ujith 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 
well as special articles on various 
pluises of international affairs and the 
functions of the Department. Infor- 
mation is included concerning treaties 
and international agreentents to 
which 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 inleriuitional relations, are listed 
curren tly. 



Building an Enduring Peace 



by Thniston B. Morton 

Assistant Secretary for Congressional Relations ' 



As citizens and veterans, you are keenly aware 
tliat we live in a shrinking world. And as the 
operating range of the bomber lengthens and the 
lethal radius of nuclear weapons extends, you 
cannot fail to recognize that this country's deal- 
ings with other nations are progressively more 
directly and intimately linked with our personal 
welfare, present and future. And if I stated this 
more specifically — to the effect that the interna- 
tional policies pursued by this Administration 
might be a matter of life or death for eacli of us 
here — I would be doing no more than stating fact. 

While this can hardly come to you as news, you 
will grant that it is important enough to stand 
frequent repetition. And it certainly demon- 
strates the patriotic commonsense behind the 
Legion's concern with foreign affairs. 

American foreign policy has a single and basic 
aim to which all other objectives are subordinate: 
the security of the American people. Tlie Ad- 
ministration is convinced that this aim can be 
finally and permanently realized only by estab- 
lishing a just and enduring world peace. Now, as 
veterans of one world war and, in many instances, 
two world wars, we know enough of war to be 
convinced of the flat and unrelieved necessity of 
peace. 

At this point, I think it important to nail down 
what we mean by peace. We don't mean a phony 
peace which amounts to no more than the absence 
of open hostilities at a particular time. And we 
do not mean the fraudulent peace which is pur- 
chased from an international gangster by pay- 
ments in honor and principle. We mean the kind 
of peace which develops out of the recognition by 
nations that the use of military force as an in- 
strument of foreign policy spells disaster. 

From the cynics' corner, you may hear this thesis 
brushed oflf as the stuff of which dreams are 
made — that we have always had wars and we will 
always have wars; that human nature does not 



' Address made before the American Lesion State Con- 
vention at Knoxville, Tenn., on July 20 (press release 392). 



change. I submit to you that the supposedly 
hardheaded cynic is the victim of a massive and 
a dangerous delusion. Basically he argues that 
man, in this 20th century, lacks the wit to prevent 
his own destruction, although the means to do so 
lie readily at hand. And inferentially, he offers 
the ultimate in defeatism by a cowardly accept- 
ance of an inevitable and horrible doom for civili- 
zation as we know it. 

I submit to you that the realist, the man of guts 
and stamina, the man with an unshakable faith in 
the ideals which have made this Republic great 
is the man who is convinced that a real peace can 
be built. He is the man who accepts the fact that 
constructing a peace will be a long and difficult 
project. And he is the man who is willing to get 
on with the construction, brick by painful brick. 

In the first place, this Government has proceeded 
on the premise that the individual American is 
basically a realist, a person with the courage, the 
determination, and the spiritual strength to tackle 
a job that may require sacrifice and a generation 
of steady effort to complete. For one, I believe 
that the premise is fully justified. 

The Interim Requirement 

Now, it is all very well to work and plan for a 
future peace provided, at the same time, today, to- 
morrow, and the next day are not neglected. Obvi- 
ously, any policy evolved by this country designed 
to produce an eventual peace had also to meet an 
interim requirement. It had to contain the in- 
gredients which would prevent the outbreak of 
World War III. And any informed survey of this 
troubled globe would uncover a variety of disputes 
and controversies — any one of which, out of con- 
trol, could touch off general hostilities. "^^Hiether 
these quarrels were centuries old or whether they 
developed as a result of World War II is of little 
consequence. A concerted effort had to be made 
either to settle them or to hold their temperature 
below the boiling point. 

Coincidental with the foregoing type of trouble 



August 2, ?954 



155 



was the huge, the total, menace to peace and se- 
curity offered by the aggressive and imperialist 
policy of the international Communist conspiracy. 
This had to be effectively countered, the spread 
of communism checked, and the hope of liberation 
kept alive in the hearts of men in all the areas now 
in the Soviet grip. 

I have presented what might be described as 
regional difficulties on the one hand and the prob- 
lem of international communism on the other as 
separate and distinct. As you well know, they 
were and are encountered all too often in evil 
combination. The Communist liking for fishing in 
troubled waters is well known. And they have 
overlooked no opportunity to indulge it. 

In general terms, then, these were the objec- 
tives. The particular programs set in motion to 
move us in the direction of these objectives had, 
of necessity, to take into account certain rock-solid 
facts. First of all, the Communist offensive is 
economic and psychological as well as political 
and military. Secondly, it is concentrated in no 
particular geographic area — to the exclusion of 
any other area. 

Related to these first two points is a third point. 
Although the U.S. capacity to act is great, it is 
by no means infinite. We have immense economic 
power, but it is limited. Our manpower is sizable 
but not inexhaustible. Our military force is im- 
pressive, but subject to restrictions imposed by 
the size of our population, the extent and avail- 
ability of our natural resources, and the ability 
of our industrial plant to produce. And if we fail 
to keep our commitments and our policies within 
these bounds, we court disaster. 

Thus, in dealing with the Communist adver- 
sary, we must achieve and maintain a global ap- 
proach wherein our commitments are consistent 
with our capacity and apportioned in proper bal- 
ance. To use a baseball analogy, we don't get 
anywhere by throwing a man out stealing second, 
if the runner on third scores on the play. 

The matter of U.S. capacity leads to still another 
point which has an all-pervasive and fundamental 
impact on American policy. The military and 
economic power of the Communist bloc is such 
that no single nation — and I include the United 
States — can be sure of its ability to stand against 
it. And if we were to add to the capacity of the 
Communist bloc the skilled manpower, the re- 
sources, and the industrial plant of, for example. 
Western Europe, the Soviet sphere would hold a 
decisive advantage over the United States. In 
other words, any addition to Soviet capacity — 
particularly industrial capacity — is an equivalent 
loss to the free world. More tragic still, with any 
such loss free men are driven into slavery. 

Principle of Collective Security 

Now, let us look at the reverse of this coin. The 
manpower, technical skills, resources, industrial 

156 



I^lant, and military potential of the United States 
and Western Europe top that of the Communist 
sphere by a substantial margin — one wliich it is 
doubtful that the Communists can ever make up. 
And it is this vital fact which underpins the 
principle of collective security upon which Ameri- 
can policy is based. It is true that our allies need 
our support and, should emergency arise, need it 
desperately. But our need of them is just as great. 

Some Americans find this situation unpalatable. 
They cling persistently to the illusion that our 
free-world associates are a luxury that we can 
forego at any time — that if need be we can go it 
alone. They resolutely shut their eyes to the re- 
alities of the mid-twentieth century and cry for 
a return to policies which were developed when 
the Atlantic and the Pacific Oceans were barriers 
instead of highways. 

I suspect, as well, that it is from this group that 
we hear demands that, as they descrioe it, this 
"nonsense'- — of talking things over with our allies, 
of giving consideration to their interests and their 
needs, and of obtaining agreement on a course of 
action — be brought to an end. According to them, 
we should crack down, tell our associates that they 
were going to do what we told them to do or take 
the consequences. 

My fellow Legionnaires — how foolish can a 
man, or a nation, get? 

We are a meniber — the leader, in fact — of a 
coalition of free peoples who have joined forces 
voluntarily in defense of our freedoms. A coali- 
tion of this nature derives its strength from its 
voluntary character and the fact that the mem- 
bers are coequals. Sliould the United States or 
any other party to it attempt to wield the big 
stick — to club the rest in line — the coalition would 
quickly disintegi-ate. And ironically enough, the 
advocates of a dictatorial stand on the part of the 
United States are precisely the people wlio would 
scream the loudest should any one of our allies 
give the least appearance of trying to dictate to us. 

It behooves us, then, to keep in mind that what 
is required of us is leadership and to leave coer- 
cion and enforced uniformity to the Communists. 

Fundamentally, I think, most Americans accept 
this as reasonable and right. But it hasn't al- 
ways been easy to apply the principle to the par- 
ticular situation. 



Status of Forces Agreement 

A specific example that comes to mind is the so- 
called Status of Forces Agreement.' This agree- 
ment defines the riglits and duties of the forces of 
Nato when stationed in a country other than their 
own. Because movement of Nato forces from one 
country to anotiier was a matter of military neces- 



' For background, see Buixetiw of Apr. 27, 1953, p. 628. 
Department of State Bulletin 



sity, it was essential to arrive at a uniform proce- 
dure witli respect to the rights of the liost govern- 
ment and those of the military command. 

Tlius, representatives of the Naix) nations nego- 
tiated an ajrrcement in the spring of 1951 which 
was sifjiu'd in London in June of that year. The 
United States was affected both as a "sending"' and 
a "receiving" nation, because wo have troops sta- 
tioned abroad and there are troops of other na- 
tions in this country. Among the more important 
rights guaranteed us as a ''sending" state were 
freedom from passport and visa requirements and 
immigiation inspection. We obtained certain tax 
and customs concessions, and our troops were ac- 
corded the right to carry arms under orders. As 
were other sending states, we were also given cer- 
tain rights with respect to the exercise of criminal 
jurisdiction over our troops. As a receiving state, 
we also granted similar rights that, except for 
criminal jurisdiction, i-epresent little in the way 
of concessions because they were already standard 
practice under existing U.S. law or administrative 
procedures. 

However, it was article VII of the agreement, 
dealing with criminal jurisdiction, which stirred 
up a fuss in some quarters here. This article 
aimed at reconciling the principle of territorial 
sovereignty and the legitimate interest of the send- 
ing state in the discipline, welfare, and morale of 
its troops. 

The way the matter was handled seems emi- 
nently fair and reasonable. The military jurisdic- 
tion of the sending state was recognized as 
coexistent with the territorial jurisdiction of the 
receiving state. For example, in France the U.S. 
forces are permitted to exercise the jurisdiction 
gi-anted by Congress in the Uniform Code of Mili- 
tary Justice. This military jurisdiction is made 
exclusive of the French jurisdiction in crimes pun- 
ishable by the Uniform Code, but not by French 
law. Conver-sely, French jurisdiction is exclusive 
when the crime is punishable only under French 
law. All other crimes are within concurrent juris- 
diction of both. 

However, U.S. military authorities have pri- 
mary jurisdiction when the offense is solely against 
the property or security of the United States ; or 
solely against the person or property of another 
member of the United States forces, a civilian in 
their employ, or a dependent of either. 

Finally, the United States takes jurisdiction 
where the offense arose out of any act or omission 
occurring in the performance of official duty. In 
other ca.ses, such as assault and battery while of 
dnf?/, the jurisdiction is French. 

United States negotiators also took care to have 
written into the agreement guaranties that the 
basic judicial safeguards given the defendant in an 
American court would apply to a sending state 
defendant on trial before a receiving state court. 

Now, contrary to what you may have heard, 
there is no principle of international law which 



f rants to troops stationed on foreign soil immunity 
roiii the criminal jurisdiction of the courts of the 
nation in which they are stationed. I will not offer 
here the legal arguments which establish that fact. 
But if you want an authority, I can offer you the 
Attorney (Jeneral of the United States, who has so 
testified, or John Foster Uulles, who besides being 
Secretary of State is one of the Nation's leading 
legal minds in matters of international law. 

But to give you an idea of the concessions ob- 
tained by the American negotiators, let me cite to 
you the agreement on the same subject reached by 
the Brussels Treaty Powers in December lf)4!). 
Each of tliese powers, France, Belgium, the Neth- 
erlands, Luxembourg, and the United Kingdom 
signed the Nato Status of Forces Agreement. 
Tliey agreed that members of a foreign force who 
commit an offense in the receiving state which 
violates its laws can be prosecuted in its courts. 
And there are no exceptions to this provision. But 
the Nato agreement grants U.S. forces extensive 
immunity. In effect, they can only be tried in a 
foreign court for offenses committed while off duty 
against persons not U.S. nationals or not in U.S. 
employ. 

Those in this country who have opposed the 
Status of Forces Agreement have attempted to 
make capital out of the case of Private Richard 
Keefe, who was tried and convicted by a French 
court and sentenced to 5 years' imprisonment. 
One American newspaper represented Keefe's 
case as a tragedy traceable to the Status of Forces 
Agreement. The paper termed Keefe's offense as 
"some high jinks in the course of which he moved 
off in a taxi cab that did not belong to him." 

Let me give you the facts of the Keefe case, and 
then you can form your own opinion. Private 
Keefe and a companion were in Orleans, without 
permission. They hired a cab driven by a 65- 
year-old Frenchman. After driving some miles, 
they assaulted the driver in what the newspaper, 
I suppose, would describe as merely a fit of youth- 
ful exuberance. They beat the old man, strangled 
him, and threw him out of the cab. They left him 
on the roadside in serious condition and drove on 
to Paris, where they abandoned the cab. They 
were arrested there several days later and 
charged with theft with violence. 

Now, let's put the shoe on the other foot. How 
would you feel if a French soldier doing the town 
here in Knoxville mugged and robbed a Knoxville 
cab driver? I think you'd want to see him stand 
trial before an American court. 

In the opinion of the French Ministry of Jus- 
tice, Keefe and his companion committed an 
offense serious enough to have warranted a charge 
of attempted murder accompanied by theft, which 
carries a penalty of capital punishment. The 
average sentence for French nationals convicted 
of the crime with which Keefe and his companion 
were charged is in excess of 10 years. But Keefe's 
sentence was held to the minimum of 5 years — and 



August 2, 1954 



157 



not at hard labor. It is doubtful that he would 
have gotten off so lightly had he been given a 
general court martial. 

The lenient treatment given Keefe has been 
duplicated in many other instances. From Au- 
gust 23 to November 30, 1953, 2'2 members of the 
U.S. Armed Forces were tried in foreign courts. 
Ten of these were acquitted. Of the 12 convicted, 
5 received suspended sentences and the other 7 
received ligliter sentences than they could have 
expected had action been brought against them 
in U.S. military or civil courts. 

So instead of the dire predictions made by 
opponents of the agreement coming true, the re- 
verse is the case. That, to me, is evidence that it 
is a fair agreement which is being fairly applied. 

Question of Red China in U.N. 

I would like to take up briefly another matter 
about which there has been a flurry of alarm — the 
possibility of Red China being seated in the 
United Nations. I will deal with that possibility 
in a few minutes, but first I want to comment on 
the proposal that, if Red China is admitted, the 
United States should pull out. 

In my opinion to do so would be a complete and 
unjustified surrender to the Soviet Union — a sur- 
render as abject and as unwarranted as any the 
men in the Kremlin could dream up. If we should 
quit in a pet and sulk on the sidelines because we 
lost a decision, the Communists would be handed, 
without cost or sacrifice to themselves, a golden 
chance to achieve a dominant position m the 
United Nations and to make it a creature of Soviet 
policy. 

As the United Nations now stands, the organi- 
zation is a troublesome jsroblem for the Kremlin. 
They don't dare walk out. They can't break it up. 
So far, they've been unable to take it over. And 
on more occasions than not, when they've tried to 
use it as a sounding board for Communist propa- 
ganda, their fictions and their lies have been ex- 
posed for the whole world to see — right on the 
floor of the Assembly. And much of their trouble 
stems from countermoves organized and led by the 
United States Mission. 

Moreover, the actions of the Kremlin indicate 
that the Communists now realize that a change in 
strategy is indicated. And what is this change? 
Are they quitting? Certainly not. Their move- 
ment is in the other direction. Take Unesco, for 
example. Since its inception, the Soviet Union has 



refused to have anything to do with this specialized 
agency, and the several satellites who were mem- 
bers resigned several years ago. But recently the 
Soviet has displayed interest in membership in 
UNESCO. The Communist bloc has also shown 
signs of joining the Ilo and several of the other 
U.N. agencies. 

To me, that strategy is too obvious for anyone to 
overlook. They are trying to move in. And it is 
entirely possible that the attempt to seat Red China 
fits into this pattern. 

So now we hear that we can combat this strategy 
by abandoning the U.N. without a fight — by mak- 
ing the exact move that the Kremlin would like to 
see us make. My fellow Legionnaires, I am forced 
to disagree. I am convinced that it is to the inter- 
est of the United States and to the interest of the 
anti-Communist nations to resist — as we have — 
the entry of Red China into the United Nations. 
And I am further convinced that we should stay 
in and fight the Communist purpose inside the 
United Nations as hard and with the same firm 
purpose that we are fighting it on the outside. 

But for now, at least, I believe the question of 
Red Chinese membership in the United Nations is 
something of a tempest in a teapot. In one way or 
another, there have been more than 150 attempts to 
seat representatives of Red China in the U.N. or 
its agencies. And as of tonight not one member 
of that bandit government has U.N. credentials. 

They have been stopped before, and I am sure 
they can and will be stopped again. The case 
against the Peiping regime has been constantly 
strengthened. They are a declared aggressor in 
Korea — an indictment of which they have not 
purged themselves. Their crime in Korea they 
have compounded by their attempt to take over 
Indochina through their creature, Ho Chi INfinh. 
At Geneva, Peiping's representatives denounced 
the United Nations and excoriated the organiza- 
tion's representatives there. 

In brief, the case against them is open and shut. 
I am confident the membership of the United Na- 
tions will respond to it — and find against them. 

Here the transition to the crisis in Indochina 
becomes almost automatic. Today is the day of 
decision at Geneva — whether a cease-fire agree- 
ment will be reached before the midnight deadline 
set by the French Premier, Pierre Mendes-France, 
who promised to resign his office in case of failure.* 



' From this point on, Mr. Morton spoke extempo- 
raneously. 



158 



Department of State Bulletin 



A Review of American Policy Toward Europe 



hy Douglas DlUon 
A7nbassador to France ' 



I am very pleased to be here among you today 
and to have this opportunity to talk with you. I 
think you will agree, you who follow political 
developments with a professional eye and car, that 
we are nearing a time of critical decision. I feel 
therefore that it would be appropriate, and useful, 
to review briefly with you the evolution of United 
States policy toward Europe from the end of the 
war to the present day and to draw certain conclu- 
sions for the future. 

American policy toward Europe has two 
sources : one, which we may call our positive 
normal policy, draws its substance from our 
traditional feeling of friendship toward Europe; 
the second springs from our desire to protect our- 
selves from tlie menace of aggressive boviet com- 
munism. This latter source, of course, is of recent 
development and is solely defensive in character. 
In many cases, as might be expected, these two 
prime movers of American foreign policy become 
fused into one. 

In line with our traditional foreign policy to- 
ward Europe, the historic Marshall plan was an- 
nounced by Secretary of State George Marshall on 
June 5, 1947, at Harvard University. The purpose 
of this far-reaching program was to provide eco- 
nomic assistance to the countries of Europe so that 
they could reorganize their shattered economies 
and again stand on their own feet. As was said at 
that time: to help others to help themselves. It 
was felt that this economic strength would give to 
the people of Europe full freedom of action and a 
revitalized outlook on the future. In this program 
some 14 billions of dollars have been contributed 
by the United States to help rebuild the war-torn 
countries of Western Europe and to prime the eco- 
nomic pumps. France's share, as you know, has 
been nearly one-quarter of the total. 

The Marshall plan, let me point out, was not 
offered only to a selected group of nations. It was 
offered to all European countries. And it was the 



' Address made before the Anglo-American Press As- 
sociation at Paris, France, on June 29. 



Soviets, you will recall, who prevented the Czechs 
and other East European countries from partici- 
pating in the program. 

Now, turning to the defensive aspect of our 
foreign policy, we find that this policy, in the 
face of changing conditions, has been remarkably 
clear and constant for the last 7 years. Immedi- 
ately after the end of the war, counting on the 
good faith of our Allies, including the Soviet 
Union, the United States rapidly dismantled 
what was then the most powerful military machine 
that had ever been assembled. In accordance with 
our American tradition, millions of men were 
rapidly demobilized and returned to their homes. 
At that moment the outlook for the world was 
bright, but we were soon to be sorely disap- 
pointed. The Soviet Union, as is well known, 
did not follow our example. The Soviets did not 
disarm and, instead, continued to maintain huge 
armies in being — far larger than were necessary 
for their own defense. They tore up their pledges 
made at Yalta to allow free elections in Poland, 
Hungary, Rumania, and Bulgaria and instead put 
into power in those countries puppets of their 
own choosing — and, in many cases, of their own 
training — men who were willing to bind their 
nations forcibly to the chariot of Soviet imperial- 
ism. They also began an insidious campaign of 
discord and distrust throughout Western Europe, 
then struggling to rise out of the confusion and 
chaos of war. They played on the misery of the 
masses, and they strove by subversion and the 
threat of armed might to dominate all Europe. 

The Soviet-engineered coup in Prague forcibly 
carried Czechoslovakia behind the Iron Curtain. 
Together with the Berlin blockade, this action 
revealed the intent of the Soviet Union to expand 
its control to all Europe. 

Despite almost total disarmament by the 
United States, the Soviets continued to strengthen 
their military and air forces, and built up a pow- 
erful navy. Moreover, in utter disregard of 
treaty obligations, they built up military forces in 
the countries of central and southeastern Europe 



August 2, 1954 



159 



and, more recently, developed a strong paramili- 
tary force in Eastern Germany. These satellite 
military machines were trained, equipped, and 
closely linked to the high command of the Soviet 
armed forces. 

These actions made it clear to the West that if 
freedom were to survive it would be necessary to 
create in Western Europe a military counterbal- 
ance and deterrent to Soviet military might. 



North Atlantic Treaty 

The nations of Western Europe consulted to- 
gether with the United States and Canada and 
the result was the North Atlantic Treaty alli- 
ance, which was signed in April 1949. Here for 
the first time in peacetime the United States un- 
dertook military commitments to nations across 
the waters from our continent. The American 
people took this grave step willingly and with 
their eyes open, because they knew that, if the 
cause of liberty in Western Europe were lost, it 
would be the beginning of the end for liberty 
throughout the world. 

To implement the North Atlantic Treaty the 
United States undertook a second tremendous ef- 
fort — assisting in the rearmament of the Nato 
countries and re-creating a strong American de- 
fensive force. Today this effort is on the way to 
being accomplished and the Soviet and satellite 
armed foi-ces face a Western Europe which is not 
without means of defending itself. 

However, in 1950 a new element entered the 
situation. Following the withdrawal of the 
United States Army from the Republic of South 
Korea, the North Korean puppets, reinforced by 
the full strength of the Chinese Communists, 
engineered and launched a military assault upon 
that free Republic. The United Nations con- 
demned this aggression, and 15 member states 
joined with the United States in resisting the Com- 
munist onslaught. This willingness on the part of 
Soviet communism to use naked military force to 
reach its objective forced the nations in the North 
Atlantic alliance to take a new look at their defen- 
sive capabilities. 

By that time it had become crystal clear to all 
of the countries of the Nato alliance that, if ade- 
quate strength was to be created in AVestern 
Europe to make possible a successful bulwark 
against the Soviet and satellite armies, the military 
support of the Federal Republic of Germany was 
needed. The necessity for the rearmament of 
Western Germany understandably caused deep 
misgivings in the countries of Europe who had 
suffered so recently from Nazi aggression. The 
United States quite properly left the decision as to 
how the rearmament of Western Gci-iuany was to 
be effected to the countries of Western Europe. 
And France took the lead in making this decision. 



160 



European Defense Community 

The result was the European Defense Commu- 
nity Treaty, providing for a common army and for 
a common defense within Nato among France, 
Italy, the Benelux countries, and Western Ger- 
many. This treaty was signed in Paris in May 
1952. Hand in hand with this treaty went the 
decision to grant the Federal Republic of Germany 
the attributes of full sovereignty. This second 
treaty — known as the Contractual Agreement — 
was signed in Bonn also in May 1952. Since that 
date the Treaty of Bonn has been ratified by three 
of the four signatories: the Federal Republic of 
Germany, the United Kingdom, and the United 
States. Only ratification by France remains. The 
treaty establishing the European Defense Com- 
munity has also been ratified by Belgium, Luxem- 
bourg, the Netherlands, and the Federal Republic, 
while ratification by France and Italy is still 
awaited. 

The United States has supported and continues 
to support the European Defense Community 
Treaty for two basic reasons. 

First, through this treaty will be created ade- 
quate military strength to achieve an effective 
Nato strategy for the forward defense of Western 
Europe. Furthermore, one cannot expect the 
present Nato armies to continue indefinitely to 
bear the burden of defending Western Germany, 
unless Western Germany contributes her full share 
to the common defense. 

Secondly, the United States supports the Eu- 
ropean Defense Community because it sees in this 
pooling of defense the mechanism by which the 
defensive character of German rearmament can 
best be guaranteed. Twice in 25 years we have 
had to fight against German aggression. Tlie 
cemeteries here in France of our soldier dead of 
two wars are evidence of our determination to 
preserve freedom and liberty against the forces 
of totalitarian aggression. We therefore wish to 
see Germany tied so closely to the Western com- 
munity that history cannot repeat itself. 

In a final effort to overcome the fears and mis- 
understandings of our European friends regard- 
ing United States policy toward Europe, Presi- 
dent Eisenhower this spring took the step of 
clarifying in very important respects the policy 
the United States would pursue in the event that 
the European Defense Community should come 
into being, thus creating the strength required to 
make jjossible and ])racticable the forward de- 
fense of Western Europe. This clarification took 
the form of a letter sent last April l(i to the Prime 
Ministers of the six countries which had signed 
the pjuropean Defense Community Treaty.^ En- 
gagements taken b}' the United States in this let- 
ter — engagements conditioned on Edc coming into 



' Bulletin of Apr. 26, 1954, p. 619. 

Department of State Bulletin 



force — are of great importance for several 
reasons. 

In the first place, they were carefully coordi- 
nated by the President witli tlie leaders of both 
political parties in the Con<;ress and can Ik; taken 
to represent the joint, bipartisan views of the 
American people. 

Secondly, the assurances contained en<!;afie- 
ments going well beyond those required of the 
United States by the North Atlantic Treaty. 
Only the coming into being of the European De- 
fense Community can provide a reason for the 
United States to take on these additional com- 
mitments. 

The President's letter included the pledge, 

Tln> I'niti'd States will continue to mnintnin in Europe, 
including Germany, such units of its armed forces as may 
be necessary and appropriate to contribute its fair share 
of the forces needed for the joint defense of the North 
Atlantic area while a threat to that area exists, and will 
continue to deploy such forces in accordance with agreed 
North Atlantic strategy for the defense of this area. 

As you all know, the North Atlantic strategy 
for the safeguarding of the area is a forward de- 
fense covering all the territory of Western Eu- 
rope. In addition, the United States agreed. 

The United States will consult with its fellow signa- 
tories to the North Atlantic Treaty and with the European 
Defense Community on questions of mutual concern, in- 
cluding the levels of the respective armed forces of the 
European Defense Community, the United States and 
other North Atlantic Treaty countries to be placed at the 
disposal of the Supreme Commander in Europe. 

This is a pledge to consult with our Allies be- 
fore making any changes in the strength of our 
forces assigned to Europe. 

In addition, the United States agreed to en- 
courage close integration between American and 
European Defense Community forces and to seek 
means of granting to the Atlantic Community 
greater information regarding the militai-y utili- 
zation of new weapons. Finally, the United States 
again stated it would regard any action which 
threatened the integrity or unity of the European 
Defense Community as a threat to the security 
of the United States itself. This clearly refers 
not only to aggression from without but to rup- 
ture fi'om within. The President added — and this 
also is of capital importance — that the United 
States will regard the North Atlantic Treaty as 
of indefinite duration. He said that it would ap- 
pear quite contrary to our security interests for 
us to cease to be a party to the North Atlantic 
Treaty when there was established on the con- 
tinent of Europe the solid core of unity which the 
European Defense Community will provide. 

I want to make it very clear, however, that, 
while it will not be possible for the United States 
to undertake these substantial additional commit- 
ments until Edc comes into being, the North At- 
lantic Treaty itself — and in any event — remains a 
basic part of United States foreign policy. 



Western Germany 

During the 2 years since the signature of the 
treaties of Bonn and Paris we have seen a great 
resurgence in the Federal Republic of Western 
(Germany. This resurgence has manifested itself 
both on the political and economic level. Politi- 
cally, by the elections last fall, the people of West 
(Jermany chose to throw in their lot with the free- 
dom-loving peoples of Western Europe and to 
support a policy of European cooperation and 
eventual European unity. Extremist elements, 
both of the riglit and the left, were vigorously 
rejected. This evidence of political maturity on 
the part of the (Jerman people was welcomed by 
all peace-loving people everywhere. 

To acknowledge and to encourage that favorable 
development in (icrmany, which constitutes a 
unique opportunity in the history of Europe, we 
feel it is not only fair but also necessary to restore 
sovereignty to the Germans. That sovereignty 
was promised 2 years ago and is now bein^ de- 
layed by the difficulties which our French friends 
are encountering in making up their minds re- 
garding the European Defense Community. 

I am sure it must be clear to all of you that, 
should we have to renegotiate a peace treaty with 
West Germany today, we could not possibly ex- 
jject to achieve the favorable conditions of the 
Edc and the contractual agreements which were 
worked out over 2 years ago. It must be equally 
clear that, just as Germany's strength is required 
to complete tlie for\\'ard defense of Nato, so we 
cannot expect the other Nato members to continue 
to defend Germany without a proportionate Ger- 
man contribution. The Germans, having shown 
their political maturity, should now assume their 
share of the common defense alongside the other 
nations that today are carrying the load in men 
and arms. 

The real question of the day which France must 
now answer for herself and before history is this : 
Shall the inevitable rearmament of Germany be a 
controlled rearmament within a European De- 
fense Community or shall there be recreated once 
again an independent German National Army? 

In this connection, I would like to read you a 
brief excerpt from a declaration signed at Royau- 
mont 2 weeks ago by some very eminent French- 
men: 

France .should not imagine that in saying no to the 
European Defense Community Treaty she would prevent 
the rearming of Germany. She would simply remove 
the rearming of Germany from all control and render it 
more massive. In causing the failure of the Edc, France 
would set aside the proffered opportunity to bring Franco- 
German antagonism to an end, an antagonism which has 
cost the two countries, Euroi)e, and the world, so much 
in the past. She would also run the danger of throwing 
a disappointed Germany toward the East. It would 
greatly endanger the future of western civilization as a 
whole. What is urgently required of us is a hearty and 
sincere adhesion to a constructive work of which we have 
been the promoters; an adhesion following which it will 



August 2, 1954 



161 



be possible to make improvements in details, but in the 
absence of which the whole structure will collapse. 

I can find nothing to add to this extraordinarily 
forthright and lucid interpretation of the situation 
today. 

I have spoken to you about our policy toward 
Europe, about our help for its shattered economies 
and our desire to help in its defense. I have had 
to dwell at greater length on the defense aspects 
of cooperation between America and Europe, not 
because defense is the most important ultimate 
objective but because it is the precondition, the es- 
sential precondition, for everything else that 
either America or Europe may wish to do. If we 
cannot defend ourselves, if we cannot create the 
conditions of balance in the world that give us a 
minimum of security, then the really important 
and worthwhile things cannot be done either. Our 
fundamental objective is, of course, the well-being 
of the world in an atmosphere of peace, prosperity, 
and freedom. 

Bearing in mind that an effective defense is the 



essential precondition, I want to emphasize that 
our activities are not confined to that sphere alone. 
Unity is important not only because it makes de- 
fense more effective but also because it helps us 
to move in the direction of greater prosperity and 
allows us to be better prepared for that future 
time when our resources and energies need no 
longer be devoted so largely to military defense. 
We must plan for the time, as President Eisen- 
hower told the U.N. General Assembly last De- 
cember, when the genius of our scientists and 
technicians can be wholly applied to raising the 
living standards of mankind. 

In the meantime, the Marshall plan of which I 
have spoken, the point 4 program, the American 
support for the Coal and Steel Community and 
for the principle of a European Political Com- 
munity, our cooperation with the Organization 
for European Economic Cooperation and our en- 
couragement of all other efforts toward unity and 
economic advancement — these are concrete evi- 
dence that we have not lost sight of the ultimate 
objective. 



Geneva Conference on Indochina Concluded 



U.S. DECLARATION ON INDOCHINA 

Press release 394 dated July 21 

Follotomg is the text of a statement made iy 
Under Seeretary Walter B. Smith at the conclud- 
ing Indochina plenary session at Geneva on July 
U. 

As I stated on July 18,^ my Government is not 
prepared to join in a declaration by the Conference 
such as is submitted. However, the United States 
makes this unilateral declaration of its position 
in these matters : 

Declaration 

The Government of the United States being re- 
solved to devote its efforts to the strengthening of 
peace in accordance with the principles and pur- 
poses of the United Nations takes note of the 
agreements concluded at Geneva on July 20 and 
2i, 1954 between (a) the Franco-Laotian Com- 
mand and the Conunand of the Peoples Army of 
Viet-Nam ; (b) the Royal Khmer Army Command 
and the Command of the Peoples Army of Viet- 
Nam; (c) Franco-Vietnamese Command and the 
Command of the Peoples Army of Viet-Nam and 



of paragraphs 1 to 12 inclusive of the declaration 
presented to the Geneva Conference on July 21, 
1954 declares with regard to the aforesaid agree- 
ments and paragraphs that (i) it will refrain from 
the threat or the use of force to disturb them, in 
accordance with Article 2 (4) of the Charter of 
the United Nations dealing with the obligation of 
members to refrain in their international relations 
from the threat or use of force; and (ii) it would 
view any renewal of the aggression in violation 
of the aforesaid agreements with grave concern 
and as seriously threatening international peace 
and security. 

In connection with the statement in the declara- 
tion concerning free elections in Viet-Nam my 
Government wishes to make clear its position which 
it has expressed in a declaration made in Wash- 
ington on June 29, 1954,^ as follows : 

In the case of nations now divided against their will, 
we shall continue to seelc to achieve unity through free 
elections supervised by the United Nations to insure that 
they are conducted fairly. 

With re^spect to the statement made by the rep- 
resentative of the State of Viet-Nam, tiie United 
States reiterates its traditional position that peo- 
ples are entitled to determine their own future and 



" Not printed. 



162 



' Bulletin of July 12, 19.")4. 

Deparfmenf of Sfafe hvWiWn 



that it will not join in an arranp^emont which would 
hinder this. Notliing in iti? declaration just made 
is intended to or does indicate any departure from 
this traditional position. 

We share the hope tiiat the agreements will per- 
mit Cainbotlia, Laos and Viet-Nani to play their 
part, in full independence and soveieignly, in the 
peaceful conununity of nations, and will enable 
the peoples of that area to determine their own 
future. 



NEWS CONFERENCE STATEMENT 
BY THE PRESIDENT 

White House press release dated Jnly 21 

I am glad, of course, that agreement has been 
reached at Geneva to stop the bloodshed in Indo- 
china. 

The United States has not been a belligerent in 
the war. The primary responsibility for the settle- 
ment in Indochina rested with those nations which 
participated in the fighting. Our role at (leneva 
has been at all times to try to be helpful where 
desired and to aid France and Cambodia, Laos, 
and Viet-Nam to obtain a just and honorable set- 
tlement which will take into account the needs of 
the interested people. Accordingly, the United 
States has not itself been party to or bound by the 
decisions taken by the Cfonference, but it is our 
hope that it will lead to the establishment of peace 
consistent with the rights and the needs of the 
coimtries concerned. The agreement contains fea- 
tures which we do not like, but a great deal depends 
on how they work in practice. 

The United States is issuing at Geneva a state- 
ment to the effect that it is not prepared to join 
in the Conference declaration, but, as loyal mem- 
bers of the United Nations, we also say that, in 
compliance with the obligations and principles 
contained in article 2 of the United Nations Char- 
ter, the United States will not use force to disturb 
the settlement. We also say that any renewal of 
Communist aggression would be viewed by us as 
a matter of grave concern. 

As evidence of our resolve to assist Cambodia 
and Laos to play their part, in full independence 
and sovereignty, in the peaceful community of 
free nations, we are requesting the agreement of 
the Governments of Cambodia and Laos to our 
appointment of an Ambassador or Minister to be 
resident at their respective capitals (Phnom Penh 
and Vientiane) . We already have a Chief of Mis- 
sion at Saigon, the capital of Viet-Nam, and this 
Embas-sy will, of course, be maintained. 

The United States is actively pursuing discus- 
sions with other free nations with a view to the 
rapid organization of a collective defense in South- 
east Asia in order to prevent further direct or 
indirect Communist aggression in that general 
area. 



NEWS CONFERENCE STATEMENT 
BY SECRETARY DULLES 

Press release 400 dated July 23 

The Geneva negotiations reflected the military 
developments in Indochina. After nearly 8 years 
of war the forces of tJie French Union had lost 
control of neai'ly one-lialf of Viet-Nam, their hold 
on the balance was precarious, and the French 
people did not desire to prolong the war. 

These basic facts inevitably dominated the In- 
dochina phase of the Geneva Conference and led 
to settlements which, as President Eiseniiower 
said, contain many features which we do not like. 

Since this was so, and since the United States 
itself was neither a belligerent in Indochina nor 
subject to compulsions which applied to others, we 
did not become a party to the Conference results. 
We merely noted them and said that, in accord- 
ance with the United Nations Charter, we would 
not seek by force to overthrow the settlement. We 
went on to affirm our dedication to the principle 
of self-determination of peoples and our hope that 
the agreements would permit Cambodia, Laos, 
and Viet-Nam to be really sovereign and inde- 
pendent nations. 

The important thing from now on is not to 
mourn the past but to seize the future opportunity 
to prevent the loss in northern Viet-Nam from 
leading to the extension of communism through- 
out Southeast Asia and the Southwest Pacific. In 
this effort all of the free nations concerned should 
profit by the lessons of the past. 

One lesson is that resistance to communism 
needs popular support, and this in turn means 
that the people should feel that they are defending 
their own national institutions. One of the good 
aspects of the Geneva Conference is that it ad- 
vances the truly independent status of Cambodia, 
Laos, and southern Viet-Nam. Prime Minister 
Mendes-France said yesterday that instructions 
had been given to the French representatives in 
Viet-Nam to complete by July 30 precise projects 
for the transfers of authority which will give real- 
ity to the independence which France had prom- 
ised. This independence is already a fact in Laos 
and Cambodia, and it was demonstrated at Geneva, 
notably by the Government of Cambodia. The 
evolution from colonialism to national independ- 
ence is thus about to be completed in Indochina, 
and the free governments of this area should from 
now on be able to enlist the loyalty of their people 
to maintain their independence as against Com- 
munist colonialism. 

A second lesson which should be learned is that 
arrangements for collective defense need to be 
made in advance of aggression, not after it is 
under way. The United States for over a year ad- 
vocated united action in the area, but this proved 
not to be practical under the conditions which 
existed. We believe, however, that now it will be 



August 2, 1954 



163 



practical to bring about collective arrangements 
to promote tlie security of the free peoples of 
Southeast Asia. Prompt steps will be taken in 
this direction. In this connection we should bear 
in mind that the problem is not merely one of 
deterring open armed aggression but of prevent- 
ing Communist subversion which, taking advan- 
tage of economic dislocations and social injustice, 
might weaken and finally overthrow the non- 
Communist governments. 

If the free nations which have a stake in this 
area will now work together to avail of present 
opportunities in the light of past experience, then 
the loss of the present may lead to a gain for the 
future. 



TEXT OF FINAL DECLARATION 



[Dnofflclal translation] 

Final declaration, dated July 21, 1954, of the Geneva 
Conference on the problem of restoring peace in Indochina, 
in which the representatives of Cambodia, the Democratic 
Republic of Viet-Nam, France, Laos, the People's Republic 
of China, the State of Viet-Nam, the Union of Soviet 
Socialist Republics, the United Kingdom and the United 
States of America took part. 

1. The Conference takes note of the agreements ending 
hostilities in Cambodia, Laos, and Viet-Nam and organ- 
izing international control and the supervision of the exe- 
cution of the provisions of these agreements. 

2. The Conference expresses satisfaction at the ending 
of hostilities in Cambodia, Laos, and Viet-Nam. The Con- 
ference expresses its conviction that the execution of the 
provisions set out in the present declaration and in the 
agreements on the cessation of hostilities will permit Cam- 
bodia, Laos, and Viet-Nam henceforth to play their part, 
in full independence and sovereignty, in the peaceful 
community of nations. 

.3. The Conference takes note of the declarations made 
by the Governments of Cambodia and of Laos of their 
intention to adopt measures permitting all citizens to take 
their place in the national community, in particular by 
participating in the next general elections, which, in con- 
formity with the constitution of each of these countries, 
shall take place in the course of the year lOrio, by secret 
ballot and in conditions of respect for fundamental 
freedoms. 

4. The Conference takes note of tlie clauses in the agree- 
ment on the cessation of hostilities in Viet-Nam prohibit- 
ing the introduction into Viet-Nam of foreign troops and 
military personnel as well as of all kinds of arms and 
munitions. The Conference also takes note of the declara- 
tions made by the Governments of Camlwdia and Laos of 
their resolution not to request foreign aid, whether in war 
material, in personnel, or in instructors except for the pur- 
pose of effective defense of their territory and, in the case 
of Laos, to the extent defined by the agreements on the 
cessation of hostilities in Laos. 

n. The Conference takes note of the clauses in the 
agreement on the cessation of hostilities in Viet-Nam to 
the effect that no military base at the disposition of a 
foreign state may be established in the regrouping zones 
of the two parties, the latter having tlie obligation to see 
that the zones allotted to tlieni shall not constitute part of 
any military alliance and shall not be utilized for the 
resumption of hostilities or in tlie .service of an aggressive 
iwliey. The Conference al.so takes note of the declarations 
of the Governments of Cambodia and Laos to the effect 



\ 



that they will not join in any agreement with other states 
if this agreement includes the obligation to participate in 
a military alliance not in conformity with the principles 
of the charter of the I'nited Nations or, in the case of 
Laos, with the principles of the agreement on the cessation 
of hostilities in Laos or, so long as their security is not 
threatened, the obligation to establish bases on Cambodian 
or Laotian territory for the military forces of foreign 
powers. 

6. The Conference recognizes that the essential purpose 
of the agreement relating to Viet-Nam is to settle military 
questions with a view to ending hostilities and that the 
militar.v demarcation line should not in any way be in- 
terpreted as constituting a political or territorial bound- 
ar.v. The Conference expresses its conviction that the 
execution of the provisions set out in the present declara- 
tion and in the agreement on the cessation of hostilities 
creates the necessary basis for the achievement in the 
near future of a political settlement in Viet-Nam. 

7. The Conference declares that, so far as Viet-Nam 
is concerned, the settlement of political problems, effected 
on the basis of respect for the principles of independence, 
unity, and territorial integrity, shall permit the Viet- 
namese people to enjoy the fundamental freedoms, guar- 
anteed by democratic institutions established as a result 
of free general elections by secret ballot. 

In order to insure that sufficient progress in the restora- 
tion of peace has been made, and that all the necessary 
conditions obtain for free expression of the national will, 
general elections shall be held in July 1956, under the 
supervision of an international commission composed of 
representatives of the member states of the International 
Supervisory Commission referred to in the agreement 
on the cessation of hostilities. Consultations will be held 
on this subject between the competent representative 
authorities of the two zones from April 20. 1955, onwards. 

8. The provisions of the agreements on the cessation of 
hostilities intended to insure the protection of individuals 
and of property must be most strictly applied and must, 
in particular, allow every one in Viet-Nam to decide freely 
in which zone he wishes to live. 

9. The competent representative authorities of the north- 
ern and southern zones of Viet-Nam. as well as the authori- 
ties of Laos and Cambodia, must not permit any individual 
or collective reprisals against persons who have collab- 
orated in any way with one of the parties during the war, 
or against members of such persons' families. 

10. The Conference takes note of the declaration of the 
French Government to the effect that it is ready to with- 
draw its troops from the territory of Cambodia, Laos, 
and Viet-Nam, at the request of the governments concerned 
and within a period which shall be fixed by agreement 
between the parties except in the cases where, by agree- 
ment between the two parties, a certain number of French 
troops shall remain at specified points and for a specified 
time. 

11. The Conference takes note of the declaration of the 
French Government to the effect that for the settlement 
of all the problems connected with the reestablishment 
and consolidation of peace in Cambodia, Laos, and Viet- 
Nam, the French Government will proceed from the prin- 
ciple of respect for the independence and sovereignty, 
unity, and territorial integrity of Cambodia, Laos, and 
Viet-Nam. 

12. In their relations with Cambodia, Laos, and Viet- 
Nam, each member of the Geneva Conference undertakes 
to respect tlie sovereignty, the independence, the unity, 
and the territorial integrity of the above-mentioned states, 
and to refrain from any interference in their internal 
atTairs. 

IS. The members of the Conference agree to consult one 
another on any question which may be referred to them 
l)y the International SujH'rvisory Commission, in order 
to study such measures as may prove necessary to insure 
that tlie agreements on the cessation of hostilities in 
Cambodia, Laos, and Viet-Nam are respected. 



164 



Department of State Bulletin 



U.S. Airlift of French Union 
Forces Wounded in Indochina 

Press release 3!)1 dated July 19 

Upon completion of the airlift by the United 
States Air Force from Indochina to Finance of 
French I'nion forces icounded at Dicn Bien Phu, 
Pierre Mcndes-F ranee sent the following message 
to Secretary Dulles : 

Mr. Secretary, 

At the time when the repatriation of 500 
•wounded from Indochina is being completed, I 
■wish to express to you the gratitude of the French 
(iovernnieiit and of the peoples of the French 
Union for tlie humanitarian and generous deed 
performed by your country. Thanks to the United 
btates, our wounded have not only been brought 
back to their families under the best conditions 
of comfort and speed but they have also been 
throughout their trip the object of devoted care 
and of marks of friendship which will long live 
in their memoi'ies. 

Pierre Mendes-France 



Chinese Communist Attack 
on British Airliner 

Statement by Secretary Dulles 

Press release 404 dated July 24 

This Government has been informed by Consul 
General Julian F. Harrington at Hong Kong that 
a Cathay Pacific commercial airliner on a routine 
flight from Bangkok to Hong Kong was deliber- 
ately shot down by two Chinese Communist based 
fighter aircraft about 30 miles south of Hainan 
Island at 6:45 a. m. July 23 local time or 6:45 
p. m., E. D. T. July 22. 

The passengers included six American citizens 
of whom three perished and three were rescued by 
a relief operation in which the United States, 
French, and British planes cooperated. The Sec- 
retar}' of Defense has issued orders directing two 
U.S. aircraft carriers to proceed to the scene and 
to cover and protect further rescue and search 
operations by U.S. ships and aircraft in the vicin- 
ity of the spot. 

So far as is known, there are 8 survivors out of 
a total of 17 passengers and 4 crew. The Ameri- 
cans lost were Leonard Lee Parish of Iowa Park, 
Tex., and his two sons, Laurence, age 4, and Phil- 
lip, age 2. Mrs. L. L. Parisli and her daughter 
Valerie, age 6, survived. Peter S. Thacher of 
Stonington, Conn., also survived. Mrs. Parish, 
her daughter, and Mr. Thacher were among sur- 
vivors brought to Hong Kong by an amphibious 
U.S. Air Force plane based at Clark Field, P.I. 
The loss of life among passengers and crew of a 



civilian plane proceeding on a normal, scheduled 
flight elicits our deepest feelings of sympathy. 

The U.S. Government takes tlie gravest view of 
this act of further l)arbarity for which the Chinese 
Communist regime must be held responsible. The 
action to be taken by the United States will be 
subsequently announced. 

The British Government has advi.sed us that it 
has instructed its diplomatic representative at 
Peiping to lodge a strong protest against this 
wanton attack on a civilian aircraft. 



Aid for Flood Victims 
in Austria 

Press release .397 dated July 22 

Unusual rain and melting of snow has caused 
hea^'y floods in the Danube River Basin. Lives 
have been lost and thousands have been made 
homeless or destitute by the unprecedented floods. 
Resources were mobilized immediately to prevent 
further damage and to provide for the inunediate 
relief of the sufferers. The Department is pleased 
to note that members of the American Forces in 
Austria and Western Germany and representa- 
tives of other American agencies in the Danube 
area have been and are continuing to assist in this 
work. 

Now the immediate danger seems to have passed 
but there remains a great work still to be done to 
repair the damage left in the wake of the floods. 
Homes have to be rebuilt and the destitute have to 
be assisted to get back on their feet again. In 
order to assist in this work in Austria a committee 
has been formed under the auspices of CARE. 
Sen. Robert C. Hendrickson (Rep. N. J.), former 
Deputy Military Governor of Upper Austria with 
headquarters in Linz, has accepted the chairman- 
ship of this CARE Committee for Austrian Flood 
Relief and Rehabilitation. Knowing of the fun- 
damental sympathy which the American people 
have always held for the Austrian people in their 
long struggle for freedom, the Department is con- 
fident that there w'ill be generous response to the 
appeal of Senator Hendrickson's Committee. 



Agricultural Trade Act Signed 

Statement by the President 

White House press release dated July 10 

I am happy to sign today the Agricultural 
Trade and Development Act of 1954.^ It is an 
essential part of the comprehensive agricultural 
program which I recommended to the Congress on 



' Public Law 480, 83d Cong. 



Augosf 2, 1954 



165 



January 11, 1954. In the face of burdensome and 
growing stocks of agricultural products, the ad- 
ministration urged the enactment of legislation 
providing for flexible price supports and other 
measures designed to check the accunmlation of 
surpluses. We recommended that the burdensome 
stocks which had already accumulated be liqui- 
dated over a period of time, through disposal 
programs that would create new mai'kets for 
United States products and assist friendly 
countries. 

The Agricultural Trade and Development Act 
is well designed for its purpose of ''providing a 
means whereby surplus agricultural commodities 
in excess of the usual marketings of such commod- 
ities may be sold." It will lay the basis for a 
permanent expansion of our exports of agricul- 
tural products, with lasting benefits to ourselves 
and peoples in other lands. The act also provides 
authority to give surpluses to meet famine and 
other emergency requirements, thus enabling us 
to maintain our American tradition of generous 
help in time of need. 

The act wisely sets forth the intention of the 
Congress that it shall expand world trade on a 
sound basis, and not disrupt it. I am glad that 
this makes it possible for me to assure normal 
suppliers to commercial markets at home and 
abroad that the act will be administered so that 
the United States will not be engaging in unfair 
competition or in other practices which would 
disturb world markets. Such disturbance to mar- 
kets would not only cause serious harm to other 
countries but would harm us most of all, since 
we are the world's largest exporter. Thus, in fol- 
lowing our own broad interests, we shall be re- 
flecting our responsibilities as a member of the 
family of nations. 



President Decides Against 
Restricting Fish Imports 

Wlilte House press release dated July 2 

The President on July 2 declined to accept the 
recommendations of the United States Tariff Com- 
mission for an increase in the duty on imported 
groundfish fillets and for a quota on imports in 
any one year. 

The Tarifl^ Commission had made an investi- 
gation of the effect of a trade agreement conces- 
sion on the domestic groundfish fillets industry, 
under Section 7 of the Trade Agreements Exten- 
sion Act of 1951.' 

The President, in identical letters to Senator 
Eugene D. Millikin, Chairman of the Senate Fi- 



nance Committee, and Representative Daniel A. 
Reed, Chairman of the House Ways and Means 
Committee, outlined certain of the problems con- 
fronting the domestic industry in recent years 
apart from the threat of imports from abroad. 
The President then pointed out that the recent in- 
troduction of a new product, fish sticks, demand 
for which has increased markedly even since the 
Tariff Commission prepared its report, leads him 
to believe that consumption of groundfish fillets 
promises to increase substantially within the next 
few years. 

The President stated his conviction that "it 
would be a disservice to the long-run interests of 
the entire groundfish industry to limit the im- 
ports of groundfish fillets in these circumstances." 

"It would," the President said, "hamper and 
limit the development of the market for the prod- 
uct and jeopardize present prospects for the in- 
crease in per capita consumption of fish which is 
the key to a real solution of the industry's 
problem." 



Text of President's Letter 



July 2, 1954 



' Copies of the Tariff Coniinission's report may be ob- 
tained from the U.S. Tariff Commission, Washing- 
ton 25, D. 0. 



Dear ]\Ie. Chaikman: On May 7, 1954, the 
United States Tariff Commission, pursuant to an 
investigation under Section 7 of the Trade Agree- 
ments Extension Act of 1951, recommended re- 
strictive action with regard to imports of frozen 
groundfish fillets, that is fillets of cod, haddock, 
pollock, cusk and rosefish. 

The action recommended by three of the six 
commissioners was that the tariff on a certain part 
of our imports of groundfish fillets should be 
raised from 1% cents per pound to 2i^ cents per 
pound and further that the imports in any one 
year should be limited to a quota of 37 percent of 
the average annual consumption of groundfish 
fillets during the immediately preceding five years. 
Two commissioners recommended against this 
action. One commissioner did not participate in 
the decision because of a death in his family. 

The basic issue that the commissioners had to 
determine was whether serious injui-y is being 
threatened or caused by increased imports at a 
rate of duty reflecting a concession made in a trade 
agreement with a foreign country. The conces- 
sion in question was made originally to Canada in 
the Trade Agreement of 1938 and renewed in 1947 
in the General Agreement on Tariffs and Trade. 
The concession consists of an undertaking by our 
government not to charge a rate of duty higher 
than 1% cents per pound on the first 15 million 
])Ounds of groundfish fillets imported in any year. 
A rate of 2i/2 cents applies under the concession to 
imports in excess of this figure. The concession 
also provides that, whenever the average consump- 
tion in the United States during the immediately 
preceding three years exceeds 100 million pounds. 



166 



Department of State Bulletin 



the lower duty woiiKl iqiply to 15 percent of this 
averafje consumption liiruiv. On the basis of 
1053 imports, tlie reconuuentU'Ll artiun woiikl raise 
the duty on M million pounds of lillets and reduce 
tlie total quantity of imports by 13 million pounds. 

The lishino; industry of New Enfjland, which 
l)roduces most of the domestic <rroundfish fillets, 
has not had an easy time over tlio years. It has 
lieen plaufued with a numl)er of dillicuh problems 
which have been the subject of extensive study, 
(iroundfish of certain species have become scarcer 
on the nearby banks. This has meant lon{2;er 
voyages, hinrher costs and a need to fish more in- 
tensively. There have been labor-ni:ina<zement 
(liiliculties and competition from imports have 
been stiff in the face of a market which has not 
been jjrowinj^ adequately. 

The great nnsohed problem of this industry has 
been how to expand its markets. Per capita con- 
sumption of fisli in the United States, particularly 
in the Middle West, has remained relatively low. 
To increase consumption, the industry has sought 
ways to put fresh or frozen fish more frequently 
into everybody's diet. It has sought better pack- 
aging, better marketing, better advertising, and 
waj's to make fish easier for the housewife to pre- 
pare. These efforts cannot, of coui'se, succeed 
without at the same time keeping prices of fish in 
line with other products competing for the con- 
smner's taste. 

Recent developments have brought another 
great forward step in the introduction of a new 
product, fish sticks. Even at the time when the 
Tariff Commission prepared its report, there was 
some evidence that fish sticks might bring about a 
substantial increase in total groundfish consump- 
tion. Events have moved so rapidly since then 
that it now appears the industry's major problem 
is going to be to keep pace with demand, which this 
Tear is expected to be four or five times larger than 
it was last year. Fish fillets have always offered a 
relatively inexpensive source of protein. Fish 
sticks now appear to offer this advantage combined 
with ease of preparation. That being the case, it 
seems likely that fish sticks may finally bring about 
an increase in consimiption of fish, which has held 
steady at between 10 and 12 pounds per capita 
annually for almost fifty years. Conceivably, 
consumption may increase by almost 50 percent 
within a few years as a result of the new product. 

Thus it appears that the industry is on the way 
to solving an important part of its problem by 
tapping a new mass market. It seems particularly 
important not to interfere with that development 
but to give it fullest scope and encouragement. I 
have tried to measure the proposed import restric- 
tion in the light of this basic need. I am firmly 
convinced that it would be a disservice to the long- 
run interests of the entire groundfish industry to 
limit the imports of groundfish fillets in these 
circumstances. Such action would reduce the raw 
material supplies of the processors of fish sticks. 



It would create an artificial scarcity and tend to 
increase the price. At the same time it would 
hamper and limit the development of the market 
for tlie product and jeopardize present prospects 
for the increase in per capita consumption of fish 
which is the key to a real solution of the industry's 
problem. I have, therefore, after full considera- 
tion of the mattJer, decided against restrictive 
action. 

The solution which apjaears to hold the best 
])rospect for a vigorous, healthy domestic industry 
also best serves to strengthen the economies of 
several friendly nations. Although most of our 
groundfish fillets come from Canada, a substantial 
part come from Iceland, as well as such other 
countries as Norway, Denmark, the United King- 
dom, West Germany and the Netherlands. 

I am fully aware that the industry's problems 
have not all been solved. Further research in 
fishing technology, in conservation, and in knowl- 
edge of development and movement of the fish is 
needed. Fish processing, packaging and market- 
ing and consumer education all present additional 
fields for further work. 

The Federal Government has an important role 
to play in furthering these objectives. Accord- 
ingly, I have recently signed S. 2802, which sets 
aside certain revenues from fishing products for a 
special fund to be administered by the Secretary 
of the Interior, the purpose of which shall be to 
carry on such research and market development 
as I have just outlined. The Federal Government 
will also be alert to find additional ways in which 
appropriate assistance can be rendered. An addi- 
tional restriction on imports, however, would not, 
in my opinion, help in the overall task, but would 
hamper developments which now promise a 
brighter future, both for the industry and for the 
consumer. 

Sincerely, 

DwiGHT D. Eisenhower 



Change in Rate of Duty 
on Clover Seed Imports 

White House Announcement 

White House press release dated June 30 

The President on June 30 issued a proclamation 
putting into effect certain recommendations of the 
U. S. Tariff Commission, made under section 7 of 
the Trade Agreements Extension Act, with respect 
to the rate of duty on imports of alsike clover seed. 

The proclamation, which modifies the Tariff 
Commission's recommendations, retains the pres- 
ent duty of 2 cents per pound for the first 1.500,000 
pounds of alsike clover imports. For imports 
above that amount, the fi cents rate recommended 
by the Commission would be put into effect. The 
proclamation is limited to 1 year. 



August 2, J 954 



167 



Alsike clover, which is grown for seed in rota- 
tion with barley and potatoes on acreage generally 
unsuitable for other crops because of climatic con- 
ditions, is produced largely in Oregon, Idaho, and 
California, while imports of alsike clover in recent 
years have been wholly from Canada. Imports 
have increased sharply from 1,157,000 pounds in 
1947 to 4,652,000 pounds in the firet 10 months of 
the 1953-54 crop year. During this period follow- 
ing the withdrawal of price support, the domestic 
price dropped from about 32 cents a pound to less 
than half that amount. The limitation of 1,500,000 
pounds, to which the 2 cent duty rate applies, 
represents a figure slightly above the average im- 
ports for the 1947-51 period. 



Text of Proclamation 3059 ■ 

1. Whereas, pursuant to the authority vested in the 
President by the Constitution and the statutes including 
section 350 (a) of the Tariff Act of 1930, as amended, on 
October 30, 1947 he entered into a trade agreement with 
certain foreign countries, which trade agreement consists 
of the General Agreement on Tariffs and Trade and the 
related Protocol of Provisional Application thereof, to- 
gether with the Final Act Adopted at the Conclusion of 
the Second Session of the Preparatory Committee of the 
United Nations Conference on Trade and Employment 
(61 Stat. (Parts 5 and 6) A7, All, and A2050) ; 

2. Whekeas item 763 in Part I of Geneva-Schedule XX 
annexed to the said General Agreement reads in part as 
follows : 



Tariff 
Act of 
1930, 
para- 
graph 


Description of Products 


Rate of 
Duty 


763 


Grass seeds and other forage crop seeds: 


2«perlb. 




• • • • • 



3. Wheeeas, in accordance with Article II of the said 
General Agreement and by virtue of Proclamation No. 
2761A of December 16, 1947 (61 Stat. 1103), the United 
States customs treatment of alsike clover seed described 
in the said item 763 is the application of duty at the rate 
of 2 cents per pound, which treatment reflects the con- 
cession granted in the said General Agreement with re- 
spect to such product ; 

4. Whekeas the United States Tariff Commission has 
submitted to me its report of an investigation, including a 
hearing, under section 7 of the Trade Agreements Exten- 
sion Act of 1951, as amended, as a result of which the 
Commission has found that alsike clover seed described in 
the said item 763 is, as a result in part of the customs 
treatment reflecting the concession granted with respect 
to such product In the said General Agreement, being 
imported into the United States in such increased quanti- 



ties as to cause serious injury to the domestic industry 
producing like or directly competitive products; 

5. WHEaiEAs section 350 (a) (2) of the Tariff Act of 
1930, as amended (48 Stat. 943), authorizes the President 
to proclaim such modification of existing duties and such 
additional Import restrictions as are required or appro- 
priate to carry out any foreign trade agreement that the 
President has entered into under the said section 350 (a) ; 
and 

6. Whereas I find that the modification of the concession 
granted in the said General Agreement with respect to 
alsike clover seed described in the said item 763 to permit 
the application to such seed of the duties hereinafter pro- 
claimed is necessary to remedy the serious injury to the 
domestic industry producing the like or directly competi- 
tive product, and that upon such modification of the con- 
cession it will be appropriate to carry out the said Gen- 
eral Agreement to apply to alsike clover seed the rates of 
duty hereinafter proclaimed : 

Now, THEREFORE, I, DWIGHT D. EISENHOWER, 
President of the United States of America, acting under 
the authority vested in me by section 350 of the Tariff Act 
of 1930, as amended, and by section 7 (c) of the Trade 
Agreements Extension Act of 1951, as amended, and in 
accordance with the provisions of the said General Agree- 
ment, do proclaim — 

(a) That the provision in the said item 763 with respect 
to alsike clover seed, referred to in the second recital of 
this proclamation, shall be modified, during the 12-month 
period beginning on July 1, 1954, to read as follows : 



Tariff 
Act of 
1930, 
para- 
graph 


Description of Products 


Rate of 
Duty 


763 


Grass seeds and other forage crop seeds: 

• • • • • 
Alsike clover 


2i per lb. 




Promded, That not more than 1,600,000 pounds of 
such seed entered during the 12-month period 
beginning on July 1, 1954, shall be dutuible at 
2 cents per pound. Any such seed not subject 
to the rate of 2 cents per pound shall be dutl- 


6^ per lb. 




* • • • « 





' 19 Fed. Reg. 4103. 



(b) That, during the 12-month period beginning on July 
1, 1954, alsike clover seed described in the said item 763 
as modified by paragraph (a) above, shall be subject to 
the rates of duty specified in such modified item 763. 

Proclamation No. 2716A of December 16, 1947, as 
amended and supplemented, is modified accordingly dur- 
ing the 12-month period beginning on July 1, 1954. 

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 30th day of June 
in the year of our Lord nineteen hundred and fif ty- 
[seal] four, and of the Independence of the United 
States of America, the one hundred and seventy- 
eighth. 

X^ t-«. T y L'fAU U-iuu^ X<*<J^ 

By the President : 

John Foster Dulles, 

Secretary of State. 



168 



Department of Slate Bulletin 



International Organizations and Conferences 



Calendar of Meetings' 

Adjourned During July 1954 

Geneva Conference Geneva Apr. 26- July 21 

r.N. Trusteeship Council: 14th Session New York June 2-July 16 

IcAO Meteorology Division: 4th Session Montreal June 15-July 13 

Wmo Aeronautical Meteorology Commission: 1st Session Montreal June 15-July 15 

I'xEsco Seminar on Educational and Cultural Television Program London June 27-July 17 

Production. 

Itu International Telegraph Consultative Committee: Studv Group Geneva June 30-Julv 10 

XI. 

8th International Congress of Botany Paris July 2-14 

Inter-American Technical Cacao Committee: 5th Meeting Turrialba (Costa Rica) . . . July 4-10 

17th Conference on Public Education (jointly with Unesco) .... Geneva July 5-13 

International Union of Pure and Applied Physics: 8th General London July 6-10 

Assembly. 

Ic.\o Informal South American Regional Communications Meeting Lima July 6-13 

on Aeronautical Fixed Services. 

International Sugar Council: Executive Committee Meeting .... London July 7 

6th Pan American Highway Congress Caracas July 11-21 

UNESCO Executive Board: 38th Session Venice July 14—28 

International Whaling Commission: 6th Annual Meeting Tokyo July 19-23 

International Union of Crystallography: 3d General Assembly . . . Paris July 21-28 

In Session as of July 31, 1954 

XXVIIth Art Biennale Venice June- 

U.\. Economic and Social Council (Ecosoc): 18th Session .... Geneva June 29- 

XV'th International Exhibition of Cinematographic Art Venice July 6- 

International Exposition and Trade Fair Sao Paulo July 9- 

World Power Conference: Sectional Meeting Rio de Janeiro July 25- 

G.\TT Ad Hoc Committee for Agenda and Intersessional Business . . Geneva July 26- 

Scheduled August 1-October 31, 1954 

3d Inter-American Indian Conference La Paz Aug. 2- 

Fao Caribbean Agricultural Extension Development Center .... Jamaica Aug. 5- 

Bogoti International Exposition Bogotd Aug. 6- 

Inter-American Tropical Tuna Commission San Jos6 Aug. 11- 

10th World's Poultry Congress Edinburgh Aug. 13- 

Unesco International Seminar on Adult Education in Rural Areas . . Denmark Aug. 14- 

International Congress on Folklore Sao Paulo Aug. 16- 

International Congress of Soil Science: 5th Congress Leopoldville (Belgian Congo) Aug. 16- 

U.N. Committee on Information from Non-Self-Governing Terri- New York Aug. 20- 

tories: 5th Session. 

8th Edinburgh Film Festival Edinburgh Aug. 22- 

31st International Congress of Americanists Sao Paulo Aug. 23- 

2d International Congress of Classical Studies Copenhagen Aug. 23- 

International Scientific Radio Union: Uth General Assembly . . . Amsterdam Aug. 23- 

Congress of the Life-Saving Federation Algiers Aug. 24- 

Wmo Executive Committee: 5th Session Geneva Aug. 25- 

Interparliamentary Union: 43d Conference Vienna Aug. 27- 

U.vEsco Regional Seminar on the Arts and Crafts in General Educa- Tokyo Aug. 28- 

tion and Community Life. 

U.X. World Conference on Population Rome Aug. 30- 

International Mathematical Union: 2d General Assembly The Hague Aug. 31- 

International Society of Cell Biology: 8th International Congress . . Leiden Sept. 1- 

' Prepared in the3Division of International Conferences July 23, 1954. Following is a list of abbreviations: U.N., 
United Nations; Icao, International Civil Aviation Organization; Wmo, World Meteorological Organization; Unesco, 
United Nations Educational, Scientific and Cultural Organization; Itu, International Telecommunication I'nion; Ecosoc, 
Economic and Social Council; Gatt, General Agreement on Tariffs and Trade; Fao, Food and Agriculture Organization; 
Paso, Pan American Sanitary Organization; Who, World Health Organization; Ii,o, International Labor Organization. 

August 2, 1954 169 

307704 — 54- 3 



Calendar of Meetings — Continued 



Scheduled August 1-October 31, 1954 — Continued 

Fao Latin American Regional Meeting on Food and Agricultural 
Programs and Outlook. 

International Electrotechnical Commission: 50th Anniversary Meet- 
ing. 

International Sugar Council: Executive Committee Meeting .... 

IcAO Legal Committee: 10th Session 

International Sugar Council: Statistical Committee Meeting .... 

International Sugar Council: 1st Meeting of Second Session .... 

Itu International Radio Consultative Committee: Study Group IX. 

2d International Seminar on the Role of Museums in Education 

(UNESCO). 

International Scientific Committee for Trypanosomiasis Research: 
5th Meeting. 

International Union of Geodesy and Geophysics: 10th General 
Assembly. 

International Technical Committee for the Prevention and Extin- 
guishing of Fire: Meeting of Permanent Council. 

International Federation for Documentation: 21st Conference . . . 

Consultative Committee on Economic Development in South and 
Southeast Asia ("Colombo Plan"). 

Fao Committee on Commodity Problems: 24th Session 

U. N. General A.ssembly: 9th Se.ssion 

International Bank for Reconstruction and Development and Inter- 
national Monetary Fund: 9th Annual Meeting of Boards of 
Governors. 

4th International Exposition of Cotton, Rayon, Textile Chemistry 
and Machinery. 

Fao Council: 20th Session 

IcAO Council: 23d Session 

International Committee on Weights and Measures 

International Congress of Chronometry 

International Philatelic and Postal Exhiljition 

Fao Working Party on Fertilizers: 4th Meeting 

Fao Working Partj' on Rice Breeding: 5th Meeting 

Paso Executive Committee: 23d Meeting 

International Council for the Exploration of the Sea: Annual Meeting . 

Itu International Telephone Consultative Committee; XVII Plenary 
Assembly. 

IcAO North Atlantic Regional Air Navigation Meeting: 3d Session . . 

10th General Conference on Weights and Measures 

14th Pan American Sanitary Conference and 6th Meeting of the 
Regional Committee of Who. 

General Assembly of the Internationa! Commission of Criminal Police: 
23d Session. 

Ilo Iron and Steel Committee: 5th Session 

South Pacific Commission: 13th Session 

Fao International Rice Commission: 4th Session 

General Agreement on Tariffs and Trade: 9th Session of Contracting 
Parties. 

Paso Executive Committee: 24tli Meeting 

Inter-American Cultural Council: 2d Meeting 

International North Pacific Fisheries Commission: 2d Meeting . . . 

Ilo Metal Trades Committee: 5th Session 

International Wheat Council: 16th Session 



Buenos Aires Sept. 1- 

Philadelphia Sept. 1- 

London Sept. 6- 

Montreal Sept. 7- 

London Sept. 7- 

London Sept. 8- 

Geneva Sept. 10- 

Athens Sept. 12- 

Pretoria (South Africa) . . . Sept. 13- 

Rome Sept. 14- 

Rouen Sept. 16- 

Belgrade Sept. 19- 

Ottawa Sept. 20- 

Rome Sept. 20- 

New York Sept. 21- 

Washington Sept. 24- 



Busto Arsizio (Italy) 

Rome 

Montreal 

Sevres 

Paris 

New Delhi .... 

Tokyo 

Tokyo 

Santiago 

Paris 

Geneva 



Sept. 26- 



Montreal 
Paris . . 
Santiago 

Rome . . 



Geneva 

Noumea (New Caledonia). 

Tokyo 

Geneva 



Santiago . 
Sao Paulo . 
Vancouver 
Geneva . . 
London . . 



Sept 


. 27- 


Sept 


. 28- 


Sept 


. 28- 


Oct. 


1- 


Oct. 


1- 


Oct. 


4- 


Oct. 


4- 


Oct. 


4- 


Oct. 


4- 


Oct. 


4- 


Oct. 


5- 


Oct. 


5- 


Oct. 


7- 


Oct. 


^ 


Oct. 


11- 


Oct. 


11- 


Oct. 


12- 


Oct. 


14- 


Oct. 


23- 


Oct. 


25- 


Oct. 


25- 


Oct. 


2.5- 


October- 



170 



Deparfment of Sfafe Bulletin 



Results of London Talks on Disarmament 



Following is the text of a statement made in the 
V.N. Dixartnainent Commission on July 20 by 
Morehead Patterson, U.S. representative to the 
Commission, together with the text of a report on 
the meetings held by the Svhcommittee of the Dis- 
armament Commission at London May 13-Jvne 22. 



STATEMENT BY MR. PATTERSON 

U.S./C.N. press release 1941/A dated July 20 

The objective of the Subcommittee meetings un- 
der the General Assembly resolution of last 
November ' was "to seek in private an acceptable 
solution." As Ambassador Lodge pointed out to 
the Disarmament Commission in April,- "an ac- 
ceptable sohition" meant one that was acceptable 
to all five states members of the Subcommittee. 
If any one state failed to agree with the proposed 
solution, it was not an "acceptable solution." 

The meetings in London did not result in the 
discovery of an "acceptable solution" of the prob- 
lems of disarmament, and in this sense they were 
unsuccessful. I^ evertheless, in our view they 
served several useful and constructive purposes. 

First, the A\'estern Powers reached general 
agreement on two elements of a comprehensive 
disarmament program which had never previously 
received extended treatment during disarmament 
discussions — first, the detailed picture of an inter- 
national control organ, and second, the phasing 
and timing of the various elements of a disarma- 
ment program. These are necessary ingredients 
of any disarmament program. 

Second, the talks served to give a clear indica- 
tion of the present direction of Soviet thinking 
in the field of disarmament, (a) The Soviet 
Union took more rigid positions than ever before, 
making it completely clear, where formerly there 
might have been a doubt, that it will not permit 
a control organ to have power to take effective 
action in case of violation of a disarmament agi'ee- 
ment. The all-important powers for dealing with 
violations would be vested in the Security Council 
subject to Soviet veto, (b) It also became com- 



' BuiJjmN of Dec. 14, 1953, p. 838. 
'/fiW., May3, 1&54, p. 689. 



pletely clear, where formerly there might have 
been a doubt, that the Soviet Union would not 
permit a control organ to have the authority to 
deal vigorously with clandestine violations of a 
disarmament program. To use the precise ex- 
ample which appeared during the meetings, the 
control organ could not investigate a tractor fac- 
tory suspected of producing munitions, (c) Also, 
the Soviets showed clearly that a practical and 
functioning control organ would not be established 
until long after the binding treaty of prohibition. 
In other words, the Soviet Union has made it clear 
that it will not permit adequate safeguards to 
insure the observance of a disarmament program. 

Third, it appeared that the Soviet Union was 
less interested in negotiating on disarmament than 
in launching a large-scale propaganda campaign. 
For example, Mr. Moch ^ had suggested that the 
Soviet demand for an unconditional prohibition 
of atomic weapons, if construed literally, would 
prevent the use of atomic weapons even in retalia- 
tion against atomic attack by another state. Mr. 
Malik ■• replied that even if attacked with atomic 
weapons, the Soviet Union would not retaliate with 
atomic weapons. 

This Soviet position is simply ridiculous. If 
the attack took place before the complete elimina- 
tion of atomic weapons, it is more than anyone can 
expect that the country attacked would not defend 
itself and retaliate in kind. The Soviet represent- 
ative in taking a position of this kind is not talk- 
ing to the Subcommittee of the Disarmament Com- 
mission, he is not talking to the Disarmament 
Commission, he is not talking to the United Na- 
tions at all. He is moving into the field of propa- 
ganda slogans. 

Just one more example of the same tendency. In 
tlie 19th meeting the Soviet representative after 
considerable discussion of the Soviet budget made 
this statement : "The Soviet Union budget does not 
allocate a single kopek to propaganda." This is 
not an important matter but the statement is ob- 
viously sheer nonsense and will be recognized as 
such by all thinking people. 

Witii this brief introduction let us now proceed 
to summarize in rather broad terms the chief de- 
velopments in these meetings in London and to 

' .lules Moch of France. 

' .lacob Malik, the Soviet representative. 



August 2, ?954 



171 



attempt to indicate just where we stand today. We 
must empliasize, however, that in passing judg- 
ment on the meetings in London there is really no 
substitute for a study of the verbatim records. 
Even though these records are lengthy and in- 
volved, a careful study of them is rewarding since 
the discussions in London clarified better than ever 
before the issues whicli divide the Soviet Union 
and tlie free world. They show in clear, unmis- 
takable fashion why, under existing policy of the 
Soviet Union, it is impossible to reach agreement 
on a genuine disarmament program. 



Basic U.S. Policies 

At the very outset of the meetings we reempha- 
sized a number of fundamental ideas which the 
United States has voiced again and again. First, 
the United States does not want war. War, and 
especially 20th century war, brings with it the 
type of reginientation which destroys the very 
freedom of the individual which is America's 
trademark. 

The instincts of our people in relation to war 
were shown in the rapid demobilization of our 
magnificent military forces at the end of the 
Second World War. Six million men returned to 
their homes in less than 10 months. Has tliere ever 
in history been a comparable mass migi'ation to- 
ward peace ? Has there ever before been sucli dis- 
armament? If all other states had done the same 
we should have a different world today. 

Second, never forget that the United States has 
pledged itself under the Charter of the United Na- 
tions not to commit aggression : i. e., not to start a 
war. 

Third, the people of the United States and their 
Government want the maximum disarmament con- 
sistent with world security. The President of the 
United States has made this amply clear time and 
again. In his Inaugural Address he said : 

. . . We stand ready to engase with any and all others 
in joint effort to remove the causes of mutual fear and dis- 
trust among nations, so as to make possible drastic re- 
duction of armaments. The sole requisites for undertak- 
ing such effort are that — in their purpose — they be aimed 
logically and honestly toward .secure peace for all ; and 
that — in their result — they provide methods by which 
every participating nation will prove good faith in carry- 
ing out its pledge. 

Fourth, we do not like the atomic bomb, the 
hydrogen bomb, or any other such weapons. We 
want to eliminate them and the threat of them. 
We have supported all the resolutions of the Gen- 
eral Assembly which had the object of eliminating 
their u.se. We have solemnly pledged under the 
charter that we will not use any weapons except 
in defense against aggression, and this includes 
nuclear weapons. But we must insist, as did our 
President,