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Full text of "Department of State bulletin"

7 : ; 

1 ^ " : 





IHE DEPARTMENT OF STATE 




Vil. 2<P 



n^rf- 



INDEX 



VOLUME XXXVIII: Numbers 967-992 




HAL 


LY RECORD 


:d STATES 


GN POLICY 



Issue 




Number Date of Issue 


Pages 


967 


Jan. 6, 1958 


1- 44 


968 


Jan. 13, 1958 


45- 80 


969 


Jan. 20, 1958 


81- 112 


970 


Jan. 27, 1958 


113- 156 


971 


Feb. 3, 1958 


157- 200 


972 


Feb. 10, 1958 


201- 240 


973 


Feb. 17, 1958 


241- 280 


974 


Feb. 24, 1958 


281- 320 


975 


Mar. 3, 1958 


321- 364 


976 


Mar. 10, 1958 


365- 408 


977 


Mar. 17, 1958 


409- 448 


978 


Mar. 24, 1958 


449- 496 


979 


Mar. 31, 1958 


497- 540 


980 


Apr. 7, 1958 


541- 588 


981 


Apr. 14, 1958 


589- 636 


982 


Apr. 21, 1958 


637- 676 


983 


Apr. 28, 1958 


677- 712 


984 


May 5, 1958 


713- 752 


985 


May 12, 1958 


753- 796 


986 


May 19, 1958 


797- 846 


987 


May 26, 1958 


847- 892 


988 


June 2, 1958 


893- 936 


989 


June 9, 1958 


937- 984 


990 


June 16, 1958 


985-1032 


991 


June 23, 1958 


1033-1080 


992 


June 30, 1958 


1081-1128 


















Corrections for Volume XXXVIII 

The Editor of the Bulletin wishes to call attention 
to the following errors in volume XXXVIII : 

January 20, page JC P , footnote 3 : The author's name 
should read "Dante A. Caponera." 

March 24, page 470, table I : Delete Ethiopia from 
table I and adjust total columns accordingly. 



INDEX 

Volume XXXVIII, Numbers 967-992, January 6-June 30, 1958 



4 Forward Look, U.N. Technical Assistance Board re- 
port, 59, 63, 64 
^.brey, Richard H., 397 
Academy of Sciences, National, 533, 563 
Acosta H., Bduardo A., 951 
Adenauer, Konrad, 900 

Advertising materials and commercial samples, inter- 
national convention (1952) to facilitate importation 
of, 446, 634 
Advisory Committee on the Arts, 1st meeting, Department 

announcement and committee statement, 226 
lerial inspection. See under Inspection 
Lfghanistan : 
Ambassador to U.S., credentials, 961 
Investment guaranties, agreement with U.S., 154 
Prime Minister, invitation to visit U.S., 417 
Soviet aid, 470 
U.S. aid, 487 

Visit of Ambassador Lodge, 211 
Lfrica (see also individual countries) : 
Afro-Asian Solidarity Conference, Communist activities 

at meeting of, 260, 469, 470, 510, 997 
Cooperation with peoples of, NATO Heads of Govern- 
ment meeting communique regarding, 13 
Foreign Relations, volume on, published, 1126 
French interests and policy in, U.S. views, addresses: 

Dulles, 53 ; Holmes, 765 
Nationalism, development of, addresses : Jandrey, 865 ; 

Palmer, 824 
Pan-African Conference, U.S. views on, addresses, 
message, and statement : Dulles, 765 ; Holmes, 764, 
857; Rountree, 919 
Soviet-bloc program of aid and trade, 144, 205, 206, 207, 

470, 750, 997 
Trust territories in. See Trust territories 
U.K. policy toward African territories, address 

(Holmes), 766 
U.S. aid, 141 

U.S. policy and relations with, addresses and state- 
ments : Armstrong, 207 ; Dulles, 719 ; Holmes, 261, 
262, 764, 857, 1092 ; Palmer, 993 ; Rountree, 91S 
Visit of U.S. Foreign Service officers to, 982 
fro-Asian Solidarity Conference, Communist activities at 
meeting of, 260, 469, 470, 510, 997 

dex, January io June 7958 



Agricultural surpluses, U.S., use in overseas programs: 
Agreements with — 

Argentina, 890; Burma, 1065; China, Republic of, 
890 ; Colombia, 674, 842 ; Finland, 494 ; France, 269, 
270, 362, 538; Greece, 104, 794; Iceland, 934; In- 
dia, 397, 446; Indonesia, 1109; Israel, 586; Italy, 
154, 538 ; Korea, Republic of, 343, 362 ; Peru, 794 ; 
Philippines, 1110 ; Poland, 238, 349, 405 ; Spain, 104, 
362, 614, 842 ; Turkey, 278 ; United Kingdom, 405 ; 
Yugoslavia, 198, 362 
Agricultural Trade Development and Assistance Act, 
President's 7th semiannual report to Congress 
(July 1-Dec. 31, 1957) , 476 
Disposal program : 
Canadian views on, addresses (Merchant), 297, 1002 
FAO discussion and U.S. policy, article (Roberts), 

1067 
Importance of, statement (Dulles), 1039 
Effect on balance of payments with Latin America, 26 
Emergency relief aid to — 

Ceylon, 94, 426 ; Tunisia, 691 
Grants and sales in Far East, 222, 223, 224 
Loans from proceeds of sales, to — 
Latin America, 522, 610 
Less developed countries, 566, 567, 568, 569 
Mexico, 103 
Sales and credits to Poland, Department announcement, 
joint statement, and texts of agreement and notes, 
349 
Agricultural Trade Development and Assistance Act, 
President's 7th semiannual report to Congress (July 
1-Dec. 31, 1957), 476 
Agriculture (see also Food and Agriculture Organiza- 
tion) : 
EEC trade policies concerning, GATT consideration of, 

U.S. statement, 929 
Far East, U.S. technical aid , 225 
Ghana, request for U.S. technical aid, 663 
Latin American products, decrease in exports to U.S., 

24, 25, 26 
Raw-material-producing countries, U.S. aid in solving 

problems of, statement (Dulles), 1089 
State Department consultant on agricultural aspects of 
foreign economic programs, appointment and func- 
tions, 238 
U.S.-Soviet agreement on exchange of specialists in : 
address (Lacy), 324; text, 244 

1131 



Agriculture — Continued 
World food production, increase in, remarks (Wilcox), 
988 
Agriculture, Department of, joint statement with Depart- 
ments of Commerce and State on Danish relaxation 
of controls on dollar imports, 467 
Aid to foreign countries. See Economic and technical aid, 

Military assistance, and Mutual security 
Air Defense Command, North American, agreement with 
Canada on organization and operations of, 979 (text), 
981 
Air Force, U.S. : 

Crash of Air Force plane in Colombia, 662 
Meteorological sampling tests, agreement with Argen- 
tina for conduct of, S42, 981 
Military housing or community facilities, agreement 

with U.K. amending 1956 agreement, 494 
Strategic Air Command, 407, 729, 761, 1038 
Transportation of antieholera serum to Thailand, 1098 
Air navigation and transport. See Aviation 
Aircraft. See Aviation 
Airmail, universal postal convention (1952) provisions 

regarding, 362 
Akalin, Lt. Gen. Ekrem, 257 
Algerian question (see also Tunisian incident) : 

Government-in-exile, Tangier-meeting proposal, ques- 
tion on, statements (Dulles), 808, 809, 810 
Recent developments in, statement (Murphy), 959 
Relationship to French attack on Tunisia, statement 

(Dulles), 331 
Tunisian-Algerian border, problem of maintaining neu- 
trality of, statement (Dulles), 333 
U.S. position regarding, address and statements : 
Dulles, 332, 333, 607 ; Holmes, 860 ; State Depart- 
ment, 729 
Allen, George V., 278 
Allison, John M., 538 

American Doctrine, U.S. economic and military assistance 
to the Middle East as a means of combatting com- 
munism : 
Application to Lebanese situation, statement (Dulles), 

945 
Mansfield amendment, significance of, statement 

(Dulles), 946, 949 
President's 2d report to Congress on activities, 524 
Principles and objectives, address and statements : 
Dulles, 135 ; Kretzmann, 87, 88 ; Rountree, 920 
American International Institute for the Protection of 

Childhood. See Inter-American Child Institute 
American principles, foundations and promotion of, 

addresses (Dulles), 800, 847, 849, 850 
American Republics. See Latin America, and individual 

countries 
American States, Declaration of Solidarity, 716 
American States, Organization of. See Organization of 

American States 
Amerika magazine, agreement with Soviet Union regard- 
ing distribution, 324 
Anderson, Robert B., 183, 269, 273 

Anglo-American financial agreement (1945), agreement 
amending, 154 

1132 



Antarctica : 
Peaceful uses of, U.S. proposal for international con- 
ference on, statements (Dulles, Eisenhower), 910, 
1036, 1038 ; text of U.S. note, 911 
U.S. position regarding status of, address and state- 
ment : Becker, 966 ; Dulles, 849 
Antidumping Act of 1921, 234 
Aqaba, Gulf of : 

Status of, Saudi Arabia and U.S. positions regarding, 

statements: Dulles, 606; Rountree, 922 
U.N. aid in developing Port of Aqaba, address (Kotsch- 
nig), 309 
Arab-Israeli dispute (see also Suez Canal problem) : 
Egyptian-Israeli hostilities, U.N. role in halting, ad- 
dress, letter, and statement: Dulles, 407; Eisen- 
hower, 235, 236 ; Lodge, 345, 346 
Gulf of Aqaba. See Aqaba 

Jordan complaint against Israeli activities in area of 
Government House near Jerusalem, statement 
(Lodge) and Security Council resolution, 275, 276 
Palestine refugees. See under Refugees 
Status of, statement (Rountree), 919 
U.S. position, address (Kretzmann), 88 
United Arab Republic border dispute with Israel, state- 
ment (Dulles), 645 
Arab Republic, United. See United Arab Republic 
Arab States, unity of, address and statements: Dulles, 

332 ; Kretzmann, 86, 87 ; Rountree, 919 
Arab States Fundamental Education Center, U.N. aid, 

309 
Arab Union (see also Iraq and Jordan), U.S. recognition 

of, 992 
Arctic inspection proposal. See under Inspection 
Ardalan, Ali GhoU, 961 
Arey, Hawthorne, 464 
Argentina : 

Aviation Week, participation of U.S. Air Force, 467 
Treaties, agreements, etc. : 

Agricultural commodities, agreement amending 1954 

agreement with U.S., 890 
Copyright convention (1952), universal, protocols 1 

and 2, 103 
Duties and rights of states in event of civil strife 

convention and protocol, 41 
Educational exchange programs, agreement amend- 
ing the 1956 agreement with U.S., 362 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Opium, protocol (1953) regulating the production, 

trade, and use of, 749 
U.S. Air Force Mission, agreement with U.S. foi 
establishment to conduct meteorological tests, 842, 
981 
U.N. technical assistance program, suggestion 

regarding, 64 
Visit of Vice President Nixon, statements : Murphy 
955 ; Rubottom, 1105 
Armaments (see also Arms supply and Disarmament) 
French use of U.S. arms in Tunisia, question of, state- 
ment (Dulles), 331 
International traffic in arms, U.S. regulations amended 
text, 95 

Department of State Bulletin r: : 



rmaments — Continued 

Maintenance of, U.S. position, address and statement: 
Dillon, 779 ; Lodge, 761 

Missiles. See Missiles 

NATO weapons. See under Atomic energy, nuclear 
weapons 

Nuclear weapons. See Atomic energy, nuclear weapons 

Procurement, budget recommendations for, excerpt 
from President's message to Congress, 169, 170, 
171, 172, 173, 174, 175 

Soviet production of, address (Allen Dulles), 339, 340, 
341 

U.S. policy on means of retaliation in event of attack 
on West, statement (Dulles), 645 

U.S.-Soviet views regarding, letters and statements: 
Bulganin, 127, 128; Dulles, 162, 252; Eisenhower, 
124, 127 

:mand, Louis, 425, 583 

-med forces : 

Allied nations, importance to U.S. defense, address 
(Dulles), 416 

Free-world military strength, growth under U.S. mili- 
tary assistance program, President's message to 
Congress, 367 

Geneva conventions (1949) relative to treatment in 
time of war, 494 

Korea, comparison of withdrawals by U.N. and Com- 
munist sides from, statement (Dulles), 332 

NATO, determination and modernization of forces of, 
statement (Dulles) and text of NATO communique, 
9, 10, 729 

Reduction of foreign forces in Europe, Soviet proposal 
for, 124, 130, 377, 460 

SEATO, military preparedness of, report (Sarasin), 
512, 513 

U.N. Emergency Force. See United Nations Emergency 
Force 

-med forces, U.S. : 

Air Force. See Air Force 

American soldiers held captive in East Germany, ques- 
tion of obtaining release, statement (Dulles), 1087 

Armed forces stationed abroad, question of legal juris- 
diction over, address (Becker), 834 

Deterrent to aggression: statement (Herter), 732; 
President's message to Congress, 368 

Interservice rivalry, State of the union message, 118 

Military bases, overseas. Sec Military bases 

Military housing abroad, construction and procurement, 
478, 483, 488, 494 

Use in foreign countries, U.S. position, statement 
(Dulles), 947 

ins supply («ee also Armaments and Missiles) : 

Cuban request for U.S. arms, statement (Dulles), 688 

Indonesian Government request for U.S. arms, state- 
ment (Dulles), 6S5 

Soviet accusation regarding U.S. arms for Baghdad 
Pact members, 210 

Soviet program of arms assistance, address (Arm- 
strong), 206 

Tunisian request for U.S. arms, question of, statement 
(Dulles), 333 

U.S. policy, statement (Dulles), 684 

dex, January to June 7958 



Armstrong, Willis C, 203 

Arroyo y Marquez, Nicolas, 730 

Artistic works, inter-American convention concerning, 

withdrawal from Senate by President, 841 
Arts, Advisory Committee on the, 1st meeting, Depart- 
ment announcement and committee statement, 226 
Asia, South Asia, and Southeast Asia (see also individual 
countries) : 
Afro-Asian Solidarity Conference, Communist activities 

at meeting of, 260, 469, 470, 510, 997 
Collective security. See Collective security and South- 
east Asia Treaty Organization 
Colombo Plan, 10th annual meeting, selection of site 

for, 747 
Communist subversion in. See under Communism 
Economic assistance to, comparison of U.S. and Soviet 

bloc, chart, 473 
Export-Import Bank loans, 273 
Nationalism in, development of, address (Jandrey), 

865 
Refugees from, ICEM aid to, article (Warren), 75, 76 
Sino-Soviet bloc economic offensive in, addresses, re- 
marks, report, r£sume\ and statement : Armstrong. 
205, 206, 207; Department, 144; Dillon, 470. 599; 
Kotsehnig, 305, 306 ; Sarasin, 509, 510, 511 
U.N. Economic Commission for. See Economic Com- 
mission for Asia and the Far East 
U. S. aid, 141, 222, 916 
U.S. Ambassadors, regional meeting, 463 
U.S. policies, problems, and relations with, address and 
statements : Armstrong, 207 ; Robertson, 698, 914 ; 
Rountree, 918 
Asian Economic Development, President's Fund for, aid 

to Nepal, 149 
Atlantic Community (see also North Atlantic Treaty Or- 
ganization), addresses and statement: Armstrong, 
209 ; Eisenhower, 5, 8 
Atomic energy, nuclear weapons : 
Control and limitation, U.S. and Soviet positions, cor- 
respondence and report : Bulganin, 130, 652 ; Dulles, 
48, 292 ; Eisenhower, 124, 126 ; Soviet aide memoire. 
460 
Information, need for exchange with NATO allies, 

statements: Dulles, 740, 741, 742; Murphy, 312 
NATO stockpile, proposed, communique, report, and 
statements: Dulles, 8, 9, 11, 48, 49; Murphy, 313; 
NAC communique, 14 
Need for development, address (McKinney), 544 
Nuclear warheads for missiles, U.S. supply to U.K., 

agreement regarding, 418 
Rapaeki plan. See under Disarmament 
Stocks of, Soviet rejection of U.S. proposal of transfer 

for peaceful uses, 656 
Testing of : 

Cleaner and smaller weapons, U.S. program (see also 
Atomic energy, radioactive fallout), announcement 
and statements : Department, 763 ; Dulles, 640, 643, 
810; Eisenhower, 601 
Detection of violations, Geneva meeting of experts 
to study methods for. See Geneva meeting 

1133 



Atomic energy, nuclear weapons — Continued 
Testing of — Continued 

Japanese demonstration protesting U.S. tests, state- 
ment (Murphy), 961 
On high seas, U.S. position on and U.N. conference 
on law of the sea resolution concerning, 581, 1124 
Relationship to disarmament, statements (Dulles), 

806. 807 
Soviet testing in Communist China, question of, 

statement (Dulles), 1086 
Suspension and banning, U.S. and Soviet positions, 
addresses, correspondence, and statements : Bul- 
ganin, 130, 377 ; Department, 646, 647 ; Dulles, 136, 
453, 639, 640, 641, 642, 644, 646, 647, 6S2, 6S7, 688, 
723, 809, 946, 1088 ; Eisenhower, 17, 126, 374, 679 ; 
Khrushchev, 680, 812 ; Lodge, 348, 557 ; Soviet aide 
memoire, 460 
Atomic energy, peaceful uses (see also Atomic Energy 
Agency and European Atomic Energy Community) : 
Agreements with — 
Ecuador, 317; Italy, 794; Korea, Republic of, 538, 
981; Nicaragua, 494; Spain, 362; Sweden, 793, 
794, 1065 
Cobalt equipment for hospital, U.S. gift to Thailand, 

1051 
Development and control of, budget recommendations 
for, excerpts from President's message to Congress, 
169, 174, 175 
European Nuclear Energy Agency, U.S. support, ad- 
dress (Herter), 790 
Exhibits, exchange of, agreement with Soviet Union 

relating to, address (Lacy), 324 
FAO application to agriculture and food processing, 

article (Roberts), 1070 
Indian role, review of, address (Lodge), 557 
Inter-American Nuclear Energy Commission, Commit- 
tee of Presidential Representatives proposal for 
creation of, 518 
International developments, address (McKinney), 783 
Nuclear power plant development in EURATOM coun- 
tries, proposed, 425. 709 
Panel on the impact of, recommendations, address (Mc- 
Kinney), 548, 549 
Radioisotopes in scientific research, international con- 
ference on, article (Manov), 195 
Scientific cooperation between U.S. and NATO coun- 
tries, statement (Dulles), 11 
Thermonuclear reactions, U.S.-U.K. research on con- 
trolled, release of reports and statements (Eisen- 
hower, Strauss), 301 
U.S. proposals and views and Soviet position, address, 
letters, and statements : Dulles, 682, 683, 684, 1036. 
1037; Eisenhower, 680; Khrushchev, 815; Wilcox, 

Atomic energy, radioactive fallout : 

Need for program dealing with, address (McKinney), 
787 

Pollution of the high seas, U.N. conference on law of 
the sea resolution concerning, text, 1124 

U.S.-Soviet exchange of views regarding, letters (Eisen- 
hower, Khrushchev), 679, 680 

1134 



U.S. testing program for reduction of, 601, 763, 810 
Atomic Energy Act of 1954, proposed amendments to, 

statements : Dulles, 740 ; Murphy, 312 
Atomic Energy Agency, International : 

Functions and objectives, addresses (McKinney), 544, 

783 
Statute, current actions, 154, 277, 317, 710, 842 
U.S. offers of assistance, announced, 237 
U.S. representative and adviser, 238, 709 
Atomic Energy Commission, U.S. : 

Radioisotopes in scientific research, international con- 
ference, preparations for, 196 
Training assistance program for Latin American stu- 
dents, address ( Rubottom ) , 600 
Atomic Energy Community, European. See European 

Atomic Energy Community 
Atomic information, sharing of, address and statement: 

Dulles, 643 ; McKinney, 550 
Atomic Policy in the Space Age, address (McKinney), 543 
Atwood, Wallace W., 563 
Australia : 

Aid to SEATO, 505, 512, 513, 514 

Ambassador to U.S.. credentials, 620 

Antarctic station, joint announcement with U.S. to 

continue scientific work at, 912 
ICEM, membership on executive committee and work- 
ing group, 77, 78 
Treaties, agreements, etc. : 

GATT, 6th protocol of rectifications and modifications 

to texts of schedules. 198 
Industrial property, convention (1934), for protection 

of, 981 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Patent rights and technical information for defense 
purposes, agreement with U.S. to facilitate inter- 
change, 23S. 274 
Weather station on Nauru Island, agreement with 
U.S. for construction and operation, 538 
Austria : 
Ambassador to U.S., credentials, 
GATT, protocols to, 198 
Genocide, convention (1948) on the prevention anc 

punishment of the crime of, 710 
U.S. aid, 487 
Auto travel, international. See Travel 
Automobiles : 

Importation for show purposes, statement (Eisen 
hower) approving temporary duty-free entry, 73: 
U.S. exports and imports, statement (Dulles), 438 
Aviation : 

Aerial inspection. See under Inspection and control 



• 
■ 






Air communications. 



■ 
establishment in Iran, addres 1 1 
(Kotschnig), 309 
Air navigation over territorial seas, effect of extendft.- 

ing 3-mile limit on, statement (Dean), 579 
Civil Aviation Organization, International: 
Assistance to Iran, 309 

Protocol concerning meetings of the Assembly, 
Czechoslovak charges concerning Free Europe Commi 
tee balloons, U.S. replies to, 1010 



Department of Sfafe Bullet! \.. 



Aviation — Continued 
International cooperation through aviation, address 

(Dulles), 689 
Korean National Airlines plane incident in North 

Korea, U.S. statement of protest and concern, 462 
Soviet flights over Federal Republic of Germany, letter 

(Bruce) reaffirming West control of, 553 
Treaties, agreements, etc. : 
Air agreement of 1946, U.S.-French talks regarding, 

56 
Air flights between U.S. and Soviet Union, 243 (text), 

247, 324 
Air navigation services in Iceland, Greenland, and 

Faroe Islands, agreements on joint financing of, 

277, 538, 1109 
Air services transit agreement (1944), international, 

890 
Air transport, agreement with Iran, S42 
Air transport services, agreement with Ireland 

amending annex to agreement on, 586 
Airfield and facilities, U.S. aid for construction in 

Qazvin-Hamedan-Zenjan area, agreement with 

Iran, 1110 
Carriage by air, international, protocol amending 

1929 convention for unification of certain rules 

relating to, 238 
Civil aviation convention (1944), international, 710, 

890, 965, 966 
Naval aircraft, production and development in Japan, 

agreement with Japan relating to, 362 
North American Air Defense Command, agreement 

with Canada relating to, 979, 9S1 
U.S. air bases and air depot, agreement with Fed- 
eral Republic of Germany relating to transfer, 154 
U.S. Air Force. See Air Force 
U.S. military flights in Arctic region, Soviet charges 

and U.S. replies, statements (Lodge) and text of 

Department statement, 728, 760, 763m, 816 
U.S. regulations on international traflic in arms regard- 
ing aircraft, amended, 96, 101, 102 

acher, Robert F., 941 
$aghdad Pact : 
Functions of, address (Jandrey), 864 
Ministerial Council, 4th session : 
Statements (Dulles), 210, 250, 254 
Text of communique, 255 
U.S. observer delegation to, 52, 211 
U.S. support and views, statements : Department, 210 ; 

Dulles, 134, 135, 254, 255 ; Rountree, 919, 921 
ailey, K. H., 574re 
aker, John A., Jr., 1005 
alance of payments with Latin America, 1st half of 

1957, article (Culbertson, Lederer), 23 
allistic missiles. See Missiles 
:altic States : 

Anniversary of independence, statement (Dulles). 337 
Soviet aggression in, statement (Lodge), 106 
ank for Reconstruction and Development. See Interna- 
1 tional Bank 
arnes, Robert G., 538 



id 



ex, January to June 1958 



Barter, agricultural commodities, President's 7th semi- 
annual report of operations tinder Agricultural Trade 
Development and Assistance Act, 488 
Baruch plan for international control of the atom, 639, 

640, 655 
Bases, U.S., overseas. See Military bases 
Bataan, anniversary of fall of, message (Eisenhower), 

691 
Bates, William A., 537 
Beale, Howard, 620 
Beale, Wilson T. M., Jr., 350, 351 
Beaufort, C. de, 257 
Becker, Loftus, 832, 962 
Belcher, Taylor G., 750 
Belgian Congo, progress toward self-government, address 

(Holmes), 259 
Belgium : 

Brussels Universal and International Exhibition for 

195S, 179, 1046 
ICEM, membership on executive committee, 78 
Import controls against dollar goods, reduction of, 

statement (Weeks), 442 
Territories : 
Belgian Congo, promotion of self-government in, ad- 
dress (Holmes), 259 
Ruanda-Urundi, administration of and developments 
in, address and statement: Holmes, 259; Sears, 
403 
Treaties, agreements, etc. : 

Cape Spartel lighthouse, protocol terminating con- 
vention (1865) concerning, and transferring light- 
house to Morocco, 749 
Double taxation on income, convention (1948) for 
avoidance of, convention with U.S. supplementing 
and notification of extension to Belgian Congo and 
Ruanda-Urundi, 354 
IAEA, statute, 842 

Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Benson, Ezra Taft, 1066 
Berding, Andrew H., 1043 
Berlin : 

Congress Hall, U.S. representative to ceremonies trans- 
ferring title to Berlin Senat, announcement. 730 
The Lessons of Berlin, address (Dulles), 854 
Mayor, visit to U.S., 138, 329 
NATO concern over status of. 7, 12, 13 
Visit of Secretary Dulles, 730 
Betio Island, agreement with U.K. relating to weather 

station on. 278 
Bieniiller, Andrew J., 194 
Binational cultural centers, use of foreign currencies for 

expansion and improvement, 486 
Black, Cyril Edwin. 329 
Black, Eugene R., 257 
Bodfish, Morton, 1076 
Bolivia : 
Military assistance, agreement with U.S., S90 
U.S. aid, 528 

Visit of Vice President Nixon, statements : Murphy, 
956 ; Rubottom, 1106 

1135 



Bombing of American property in Ankara, letter (Dulles 

to Menderes), 257 
Bonds, German Dollar, 4th annual report of the Valida- 
tion Board for, 390 
Books and periodicals, translation, publication, and distri- 
bution of, use of fuuds from surplus agricultural 
commodities for, 486 
Boyer, Edward G., 889 
Braderman, Eugene M., 153 
Brandt, Willy, 138, 329, 730 
Brazil : 

ICEM, executive committee and working group, mem- 
bership, 77, 78 
International Bank, loan for electric power develop- 
ment, 262 
Soviet attempt to infiltrate, address (Rubottom), 181, 

182 
Treaties, agreements, etc. : 

GATT, agreement supplementing, terminated, 842 
Reciprocal trade, agreements with U.S., terminated, 

842 
Uranium prospecting, agreements with U.S. for co- 
operative program, 56. 7S 
Wheat agreement (1956), international, 103 
U.S. Air Force demonstration in, presentation of albums 

reporting on, 467 
Visit of Secretary Dulles, proposed, 1090 
Breadth of territorial sea. See Territorial waters 
Breithut, Richard C, 198 

British Cameroons, developments in, addresses and state- 
ment : Holmes, 765, 1093 ; Sears, 535 
British Commonwealth, Foreign Relations volume on, 

published, 1126 
British Guiana, agreement with U.S. for exchange of in- 
ternational money orders, 586 
Brode, Wallace R., 190 
Brown, Aaron S., 674 
Brussels Universal and International Exhibition for 1958, 

179, 1046 
Budget, U.S. fiscal year 1959, excerpts from messages to 

Congress (Eisenhower), 120, 169 
Bulganin, Nikolai, 92, 127, 211, 376, 648 
Bulgaria, U.S. reply to Bulgarian question regarding 

U.N. Special Fund, statement (Judd), 68 
Burgess, W. Randolph, 709 
Burma : 

Agricultural commodities, agreement with U.S., 1065 
Demonstration before U.S. Embassy, statement 

(Murphy), 960 
Maritime Consultative Organization, Intergovernmen- 
tal, convention, 749 
Telecommunication convention (1952), international, 

493 
U.S. aid, 222, 223 
Burney, Leroy E., 933 
Butterworth, W. Walton, 445, 494, 583 
Byington, Homer M., Jr., 278, 586 

Calendar of international meetings, 29, 192, 358, 572, 743, 
923 

1136 



701 



Cambodia : 

Foreign policy, address (Robertson) 

IAEA, statute of, 317 

Road traffic, convention (1949) on, with annexes and 

protocol, 538 
U.S. aid, 222, 223, 224 
Cameroons, British, developments in, addresses and state- 
ment : Holmes, 765, 1093 ; Sears, 535 
Cameroun, French, developments in, addresses and state- 
ment : Holmes, 765, 1093 ; Sears, 536 
Campbell, Maj. Gen. Daniel S., 257 
Camus, Albert, 108 



Fishing, joint proposal with U.S. at conference on law 

of the sea for abstention in, 708 
Great Lakes Fishery Commission, meeting, 697 
ICEM, membership on executive committee, 78 
Invitation to President and Secretary of State to visit, 

acceptance of, 900 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
North American Air Defense Command, agreement with 
U.S. on organization and operations of, texts of 
notes, 979, 9S1 
Oil exports to U.S., U.S. restrictions on, texts of notes, 

465 
St. Lawrence Seaway, completion of, proclamation cele- 
brating, 179 
Tariff concessions, Canadian proposal for renegotiation 

of, 838 
Tariff policy during 1930' s, address (Mann), 89€ 
Trade with U.S., remarks and statement (Dulles) 435, 

596 
Travel in, U.S. expenditures for, 523 
U.N. Special Fund, membership on preparatory com- 
mittee, 72» 
U.S. regulations on international traffic in arms, sec 

tion concerning Canada amended, 100 
U.S. relations with, address and statements: Dulles 

333, 645 ; Merchant, 294, 999 

Upper Columbia River, problem of development of, 

statement (McKay), 1062 

Canal Zone, U.S. 195S annuity payment to Panama foi 

rights in, 380 
Candau, Marcolino G., 989 
Cape Spartel lighthouse, convention (1865) concerning 
protocol terminating and transferring lighthouse t( 
Morocco, 749 
Capital, private, investment abroad. See Investment o: 

private capital abroad 
Capitalism, definition of, statement (Lodge), 107, 108 
Caracas resolution for the prevention of intervention o 
international communism in the American Republics 
statement (Rubottom), 182 
Caribbean Commission, 26th meeting, U.S. delegation 

1074 
Carr, Robert M., 538 
Case, Sen. Clifford, 730 
Catudal, Honor<§ M., 286 
Cavanaugh, Robert J., 538 

Department of Sfafe Bulleth 



Central America. See Inter-America, Latin America, 

Pan American, and individual countries 
Ceylon : 

DLF loan to, 1055 

Flood relief assistance, U.S., 94, 426 

GATT, protocols amending and proces verbal to, 198 

Independence, 10th anniversary, letter (Dulles), 311 

Opium, protocol (1953) regulating the production, 

trade, and use of, 154 
OTC, agreement on, 198 
Slavery convention (1926), as amended, 710 
Chaguarainas (Trinidad), Technical Joint Commission 
on, U.S. statement regarding report on relocation of 
U.S. naval base, 961 
Chapin, Selden, 794 
Charter of the United Nations. See United Nations 

Charter 
Chelf, Rep. Frank, 78 
Chemicals, U.S. imports and exports, 438 
Child-feeding program, agreement with Italy, 981 
Child Institute, Inter-American, appointment of U.S. rep- 
resentative to directing council, 492 
Children's Fund, U.N. : 
Aid to child welfare, U.S. proposal to broaden, state- 
ment (Oettinger), 584 
Executive board, appointment of U.S. representatives, 

585 
Programs in the Middle East, address (Kotschnig), 308 
Chile : 
Balance-of-payments position with U.S., 27 
Economy, effect of copper prices on, 521 
GATT, 6th protocol of supplementary concessions, 198 
U.N. Special Fund, membership on preparatory com- 
mittee, 72n 
U.S. Ambassador, confirmation, 794 

U.S. operations mission, appointment of director, 1126 
China, Communist (see also Soviet-bloc countries) : 
Economic offensive in Asia. See Less developed coun- 
tries : Economic offensive 
Foreign policy, effect of new foreign minister on, state- 
ment (Dulles), 331 
Inspection posts for nuclear-test suspension, question 

of stationing in, statements (Dulles), 1090 
Korea, armed forces in, and proposal for reunification 
by elections, Department announcement, letter 
(Lodge), statement (Dulles), and text of note, 332, 
734 
Meeting at summit with, U.S. position, statement 

(Dulles), 164 
Soviet testing of nuclear weapons in, question of, 

statement (Dulles), 1086 
Subversive activities in Asia, addresses and statement : 

Lodge, 105 ; Robertson, 698, 914 
Trade relations with Japan, cancellation of, statement 

(Dulles), 948 
U.S. policy toward, address and statements : Dulles, 164, 

165 ; Rankin, 90 
Visits to : 
Mothers of U.S. citizens imprisoned in, report on, 384 
U.S. citizens, U.S. cancellation of passports of, 22 



China, Republic of : 

Agricultural commodities, agreement with U.S., 890 

DLF loan to, 1055 

Money orders, international, agreement with U.S. for 

exchange, 104 
Progress in, address (Rankin), S9 

U.N. representation, U.S. position, statement (Wads- 
worth), 3.3 
U.S. aid, 57, 222, 223, 224, 225, 530 
U.S. Ambassador, confirmation, 406 
Cholera epidemic in Thailand, U.S. aid in combating, 1098 
Chou En-lai, 331 

Christmas tree, national, remarks (Eisenhower) at light- 
ing ceremony, 91 
Civil aviation. See Aviation 
Civil Aviation Organization, International : 
Civil aviation training program in Iran, 309 
Protocol concerning meetings of the Assembly, 740 
Civil liberties (see also Human rights), promoting prog- 
ress in, statement (Lord), 884 
Civil strife, duties and rights of states in event of, con- 
vention (1928) and protocol, 41, 749 
Civilian persons, Geneva convention (1949) relative to 

protection in time of war, 494 
Civilians, U.S. See U.S. citizens 
Claims : 

German Dollar Bonds, 4th annual report of the Valida- 
tion Board for, 390 
German Federal Republic, announcement and extension 
of date for filing claims against, and proposal sub- 
mitted to Congress for return of vested assets to, 
552, 671, 703 
Philippines, agreement with U.S. concerning claims 

arising from SEATO maneuvers, 41, 586, 674 
Poland, negotiations for settlement of U.S. property 
claims, 350 
Clark, Ellsworth E., 257 
Clemens, Walter, 391 

Clinical thermometers, increase in import duty, announce- 
ment and proclamation, 882 
Coal and Steel Community, European. See European 

Coal and Steel Community 
Cobalt, U.S. gift of cobalt equipment to Thai hospital, 1051 
Code of Federal Regulations, amendment to section deal- 
ing with international traffic in arms, 95 
Coffee, importance in U.S. relations with Latin America, 
addresses and statement (Rubottom), 212, 521, 609, 
611, 612 
Colby, Walter F, 563 

Collective security (see also Atlantic Community, De- 
fense, Mutual defense, Mutual security, and National 
security) : 
Europe. See European security and North Atlantic 

Treaty Organization 
Free-world collective-defense organizations, proposals 
for closer ties between : 
NATO Heads of Government meeting proposal, 51 
SEATO Council of Ministers meeting proposal, 505 
U.S. proposal, address (Dulles), 10 
Latin America (see also Organization of American 
States), address (Dulles), 716 



\lndex, January fo June 1958 



1137 



Collective security — Continued 
Near and Middle East. See American Doctrine and 

Baghdad Pact 
Relationship to nationalism, address (Jandrey), 863 
Southeast Asia. See Southeast Asia Treaty Or- 
ganization 
Soviet position regarding, letters (Eisenhower, Bul- 

ganin), 123, 128, 129 
U.N. role, assessment of future of, article (Sisco), 074 
U.S. policy and views, addresses, letter, and state- 
ments : Dillon, 501, 779 ; Dulles, 252, 428, 505, 623, 
625, 716, 740, 799, 800, 803, 848, 1039 ; Eisenhower, 
7, 116, 123 ; Herter, 732 ; Merchant, 298 ; Robertson, 
915 ; Rubottom, 183 
Colombia : 
Agricultural commodities, agreements with U.S., 674, 

842 
U.S. Air Force plane crash, aid to crew, 662 
U.S. relations with, statement (Rubottom), 519, 521 
Visit of Vice President Nixon, statements : Murphy, 
957 ; Rubottom, 1107 
Colombo Plan, 10th annual meeting, selection of site for, 

747 
Colonialism, benefits of, address (Holmes), 860 
Columbia River, problem of development, statement 

(McKay), 1062 
Combined Military Planning Staff, Baghdad Pact, 256 
Commerce. See Trade 
Commerce, Department of : 

Joint statement with Departments of Agriculture and 
State on Danish relaxation of controls on dollar 
imports, 467 
OTC, proposed advisory committee on, 442 
U.S. Investments in the Latin American Economy, 
published, 610n 
Commercial relations, U.S. and other countries. See 
Economic policy and relations, U.S.; Tariff policy, 
U.S. ; Tariffs and trade; and Trade 
Commercial samples and advertising material, interna- 
tional convention (1952) to facilitate importation of, 
446, 634 
Commercial treaties. See Trade: Treaties and Trade 

agreements 
Commercial vehicular traffic, international, proposed 
treaty to open Pan American Highway system to, 
article (Kelly), 1052 
Commission on the Status of Women, U.N., report on 

12th session, article (Hahn), 930 
Committee for Reciprocity Information, 286, 838 
Committee of Presidential Representatives, recommenda- 
tions, statement (Rubottom), 518 
Common Market, European. See European Economic 

Community 
Communications. See Telecommunications 
Communism (see also China. Communist; Soviet Union; 
and Soviet-bloc countries) : 
East Germany, labor rejection of communism in, ad- 
dress (Eleanor Dulles), 615 
Economic trade and aid offensive. See Less developed 
countries : Economic offensive 

1138 



Communism — Continued 
International communism : 

Lao view regarding dangers of, U.S.-Lao communique, 

168 
Manipulation of nationalism, address, article, and 
statement : Irwin, 87S ; Jandrey, 869 ; Rountree, 
918, 919 
Soviet control and support of, cause of world tension, 
address (Rubottom) and U.S. aide memoire, 180, 
181, 459 
Threat of, policy, and strategy, U.S. and free-world 
efforts to counter, addresses, article, letter, re- 
marks, report, and statements: Dillon, 597, 627, 
778; Dulles, 19, 20, 21, 91, 160, 251, 253, 254, 291, 
416, 427, 433, 507, 626, 1035, 1036, 1041; Eisen- 
hower, 115, 116, 593, 594; Herter, 731, 732; ICA 
report, 224, 225 ; Robertson, 770 
Negotiations with Communists. Sec Negotiations 
Soviet version of, address (Dulles), 755 
Subversive activities in — 
Africa, addresses: Palmer, 825, 826, 828, 997; 

Holmes, 1094, 1095 
Asia: 

Address and statement (Robertson), 698, 914 
SEATO communique and report, 504, 509, 510, 514 
Latin America, addresses: Dulles, 716; Rubottom, 

180 
Near and Middle East : 

Baghdad Pact communique, 255, 256 
President's report on American Doctrine, 524 
Weaknesses of, address and statement (Dulles), 160, 
167 
Conciliation treaty (1946), U.S.-Philippine, withdrawal 

from Senate by President, 841 
Conference on the foreign aspects of United States na- 
tional security, 502 
Conferences and organizations, international (see also 
subject), calendar of meetings, 29, 192, 358, 572, 743, 
923 
Congress, U.S. : 

Address by President of Federal Republic of Germany, 

1100 
Congressional visits to Canada, value to U.S.-Canadian 

relations, statement (Merchant), 1000 
Documents relating to foreign policy, lists of, 227, 264, 

357, 431, 490, 571, 702, 883, 967, 1004 
Legislation, payment to Denmark for ships requisi- 
tioned by U.S. in World War II, 1055 
Legislation, proposed : 
Antidumping Act (1921), amendments to, report 

(Eisenhower), 234 
Atomic Energy Act of 1954, amendments to, state- 
ment (Murphy), 312 
Export Control Act, extension of, report (Eisen- 
hower), 234 
Export-Import Bank, increase in lending authority, 

statement (Waugh), 398 
International development association, State Depart- 
ment's views on establishment of, statement ( Dil- 
lon), 564 



Department of State Bulletin 



it , 



I;... 



Congress, U.S. — Continued 

Legislation, proposed — Continued 

Mutual security and reciprocal trade agreements, 

importance of, address (Eisenhower), 414 
Space agency, establishment of, statement (Becker), 

967 
Tariff Act (1930), amendments to, report (Eisen- 
hower), 234 
Trade Agreements Act, extension of. See Trade 

agreements : Legislation authorizing 
U.S. claims against Germany, payment of, and re- 
turn of vested German assets, 703 
Presidential messages, reports, etc. See Eisenhower, 
Dwight D. : Messages, letter, and reports to 
Congress 
Role in negotiating exchange agreement with Soviet 

Union, address (Lacy), 326 
Support of U.S. position on proposed summit meeting, 
statement (Dulles), 721 
'Connally rider," U.S. reservation to statute of ICJ, 

address (Becker), 832 
Conservation, conventions on fishing and conservation of 
the living resources of the high seas, texts, 1118, 1124 
Consul, origin of, address (Rubottoni), 773 
Consular rights, friendship, and commerce, treaty with 

El Salvador, terminated, 238 
Consular service, U.S. See Foreign Service 
Consultative Committee on Cooperative Economic De- 
velopment in South and Southeast Asia (Colombo 
Plan), 10th annual meeting, selection of site for, 747 
Continental shelf, convention on the, text, 1121 
Coolidge, Harold J., 563 
Copyright convention (1952), universal, protocols 1 and 2, 

103 
orette, John E., 889 
Correspondents, news : 
Collection of news in State Department, statement 

(Dulles), 949 
Invitation to observe U.S. nuclear test explosion, 763 
U.S. correspondents arrested in Cuba, statement 
(Dulles), 687 
Costa Rica: 
Air services transit agreement (1944), international. 

Civil aviation convention (1944), international, 890 
President-elect, visit to U.S., 614 
U.S. Ambassador, confirmation, 794 
Visit of Milton Eisenhower, proposed, 663, 1042 
Jotton : 
Imports, President asks reexamination of quota on, 

"Short harsh cotton," import quota terminated, an- 
nouncement and proclamation, 303 
Textiles, U.S. exports and imports, statement (Dulles), 

439 
ughran, Tom B., 41, 278 
owles, Leon L., 674 
redentials Committee, 11th General Assembly, 32 



!-'*IJidex, January to June 1958 



Cuba: 

Ambassador to U.S., credentials, 730 
Treaties, agreements, etc. : 

Cultural property, convention and protocol (1954) 

for protection in event of armed conflict, 154 
Duties and rights of states in event of civil strife, 

protocol to convention on, 41 

GATT, 8th protocol of supplementary concessions, 198 

Postal Union of the Americas and Spain, convention 

and protocol, 277 

U.S. armaments, request for, statement (Dulles), 688 

U.S. news correspondents arrested in, statement 

(Dulles), 687 
U.S. regulations on export of arms, ammunition, and 
implements of war to, amended, 100 
Culbertson, Nancy F., 23 

Cultural, technical, and educational fields, agreement 
with Soviet Union on exchanges in : 
Addresses and statement regarding: Dulles, 138, 338; 

Eisenhower, 121 ; Lacy, 323 ; Merrill, 381 
Agreement, joint communique, letters of understand- 
ing, and statements, 243 
Current action, 278 
Exchanges regarding — 

Films, 248, 323, 328, 552, 830 
Medical delegations, 244, 324, 1049 
Mining experts, 1006 
Radio-TV programs, 244, 248, 323, 913 
Cultural property, convention (1954) and protocol for 
protection in event of armed conflict, 78, 154, 890, 
981, 1029, 1109 
Cultural relations (.see also Cultural, technical and edu- 
cational fields ; East- West contacts ; Educational ex- 
change ; and Exchange of persons) : 
Advisory Committee on the Arts, 1st meeting Depart- 
ment announcement and committee statement, 226 
International Cultural Exchange and Trade Fair Par- 
ticipation Act of 79.56, 226 
SEATO program for, 505, 513, 515, 748 
U.S. program in Europe, 1062 
U.S. projects in Israel, announcement of U.S. observer 

for, 961 
U.S. relations with Latin America, 182, 183, 656 
Customs (see also Tariff policy, U.S.) : 

Customs courtesies and free-entry privileges, agree- 
ment with Ecuador providing for reciprocity of, 41 
Road vehicles, private, convention (1954) on tempo- 
rary importation, 78, 238, 362, 446, 538, 634, 1065 
Tariff Act (1930), amendments to provisions concern- 
ing, proposed, 234 
Touring, convention (1954) concerning facilities for, 
238, 362, 446, 538, 634, 1065, 1109 
Cyprus : 
U.S. consulate at Nicosia, elevation to consulate gen- 
eral, 750 
U.S. position regarding, statement (Lodge), 31 
Czechoslovakia : 

Commercial attache in U.S. declared persona non grata, 

767 
Free Europe Committee balloons, U.S. replies to Czech- 
oslovak charges concerning, 1010 

1139 



Czechoslovakia — Continued 
Treaties, agreements, etc. : 

Carriage by air, international, protocol amending 
1929 convention for unification of certain rules re- 
lating to, 238 
Cultural property, convention and protocol (1954) 

for protection in event of armed conflict, 154 
GATT, protocol of organizational amendments to, 

493 
OTC, agreement on, 493 
U.S. Ambassador, confirmation, 538 
U.S. second secretary declared persona non grata, 767 

Daly, Marcus, 446 

Dammam, Port of, economic assistance agreement with 

Saudi Arabia for expansion of, 1030 
Daud, Mohammad Sardar, 417 
D&vila, Celeo, 517 
Davis, John H., 238 
Davydov, Aleksandr N., 552 
Dean, Arthur H., 404, 574, 1110 

Declaration of Solidarity of the American States, 716 
Defense (see also Mutual defense, Mutual security, and 
National security) : 
Canada-U.S. cooperation in matters relating to, state- 
ment (Merchant), 1000 
Cost of and need for. statement (Dullest. L'"iL' 
Military and nonmilitary aspects of, statement (El- 
brick), 1059, 1060 
North American Air Defense Command, agreement 
with Canada on organization and operations of, 
texts of notes, 979, 981 
U.S. program for, state of the Union message, 115 
Defense, Department of : 

Budget recommendation for, excerpts from President's 
message to Congress, 169, 170, 171, 172, 173, 174 
Proposed reorganization of, state of the Union message, 
118 
Defense Ministers' conference, NATO, text of final com- 
munique, 729 
Defense support: 

Aid to Far East countries, 222, 223, 224, 535 
Budget recommendations for fiscal 1959, address, mes- 
sages, statements: Dulles, 429; Eisenhower, 175, 
176, 370, 412 
Program with Spain for fiscal 195S, 614 
DeGaulle, Gen. Cbarles, 1090 
De la Guardia, Ernesto, Jr., 522 
DelliQuadri, P. Frederick, 492 
Denmark : 
Air navigation services in Greenland, Faroe Islands, 

and Iceland, agreements on joint financing, 277 
GATT, 6th protocol of rectifications and modifications 

to texts of schedules, 493 
Import quotas on dollar goods, reduction of, 442, 467 
Ships requisitioned by U.S. in World War II, legisla- 
tion authorizing payment for, statement (Eisen- 
hower), 1055 
U.N. Special Fund, membership on preparatory com- 
mittee, 12n 

1140 



Development association, international, proposal for, ad- 
dress and statement (Dillon), 564, 971 
Development fund, international, U.N., proposed estab- 
lishment, U.S. position, address (Kotschnig), 311 
Development Loan Fund : 

Budget recommendations for fiscal 1959, messages, re- 
port, and statement: Dulles, 430; Eisenhower, 178, 
235, 370 
Congressional support needed, address (Armstrong), 

207 
Functions and operations, addresses and statements : 
Dillon, 141, 142, 566, 738, 780, 970; Herter, 733; 
Judd, 61, 62 ; Smith, 533 
Haiti, negotiations with, 881 
Importance of, addresses and statement: Dillon, 502; 

Dulles, 624; John Lodge, 423; Robertson, 702 
Interest rates, announced, 222 

Loan applications from Latin American countries, 611 
Loans to — 
Ceylon, China, Republic of, 1055; Honduras, 981; 
India, 464; Israel, Pakistan, Turkey, 1055 
Manager, confirmation, 278 
Dictatorship governments, U.S. policy regarding, state- 
ment (Dulles), 944 
Dillon, C. Douglas : 

Addresses and statements : 

Foreign economic policy, U.S., 499 

French financial situation, U.S.-French discussions, 

273 
International development association, State Depart- 
ment views on proposal to establish, 564, 971 
Mutual security program, 736, 778 
Soviet-bloc economic offensive, 139, 265, 469, 750, 968 
Trade agreements program, 597, 626, 881 
Dimechkie. Xadim, 337 
Diplomacy {see also Foreign Service) : 

Classical, definition and usefulness of, address (Lacy), 

326 
Diplomatic negotiations, instrument in U.S. foreign 

policy, addresses: Dulles, 159; Kohler, 901 
Diplomatic relations, history of, address (Rubottom) 

773 
"People to people," operation in Africa, address (Palm- 
er), 997 
Practice inU.N., article (Sisco), 973 
Traditional, method of proceeding to reach agreement 
preferred over summit method, statement (Dulles) 
454 
Diplomatic representatives abroad, U.S. See under For 

eign Service 
Diplomatic representatives in the U.S. : 

Czechoslovak commercial attache declared persona nor, 

grata, 767 
Presentation of credentials: Afghanistan, 961; Aus- 
tralia, 620; Austria, Cuba, 730; Germany, Federal 
Republic of, 467 ; Haiti, 337 : Honduras, 517 ; Iran, 
961; Lebanon, 337; Norway, 620; Soviet Union, 
337 ; Venezuela, 620 
Soviet third secretary declared persona non grata, 1050 

Department of State Bulletin 



Disarmament (see also Armaments; Armed forces; 
Atomic energy, nuclear weapons ; Disarmament Com- 
mission ; Inspection and control ; Missiles ; and Outer 
space) : 
Agenda item at proposed summit meeting, U.S. and 
Soviet views: 
Exchange of correspondence (Eisenhower, Bulganin), 

374, 379 
Statements (Dulles), 454, 604 
Texts of aide memoire, 458, 459, 460 
General Assembly action : 
Approval of U.S. program, statement (Lodge), 31 
U.S. and Soviet positions, address (Lodge), 348 
Geneva meeting of technical experts. See Geneva 

meeting 
Indian appeal for, statement (Nehru) and letter 

(Eisenhower), 17, 18 
NATO meetings of Heads of Government and Minis- 
terial Council, proposals and views : 
Addresses (Eisenhower), 4, 6 
Communiques, 13, 851 

Report to Nation on, (Eisenhower, Dulles), 48, 49 
Negotiations for : 

Designation of U.S. representative for, announce- 
ment and letter (Eisenhower), 491, 492 
U.S. and Soviet views, communique and statement 
(Dulles), 654, 687 
Eapaeki plan for denuclearized zone in Central Europe : 
Texts of U.S. and Polish notes, 821 
U.S. and Soviet views, exchange of correspondence 
(Eisenhower, Bulganin), Soviet aide memoire, and 
statements (Dulles), 124, 130, 133, 134, 377, 460 
SEATO Council of Ministers meeting, views on, com- 
munique, 504 
Technical studies on (see also Geneva meeting), U.S. 
proposal for, letters (Eisenhower) and statement 
(Dulles), 126, 679, 682, 811 
U.S. and Soviet positions regarding, addresses, an- 
nouncement, articles, letters, report, and state- 
ments : Berding, 1047 ; Bulganin, 130 ; Department, 
491 ; Dulles, 48, 49, 133, 134, 136, 252, 292, 453, 687, 
742, 756, 1040, 1088 ; Eisenhower, 121, 124, 126, 811 ; 
Khrushchev, 812; Lodge, 557, 558; Murphy, 312; 
White House, 655, 656; Wilcox, 667, 668 
Disarmament Commission, U.N. 
Documents, list of, 1077 
Progress in field of disarmament, letter (Eisenhower), 

236 
Resumption of talks in, U.S. statement proposing, 516 
Soviet obstruction to work of, address (Wilcox), 668 
U.S. proposal for control of outer space for peaceful pur- 
poses, statement (Becker), 963 
fisplaced persons. See Refugees and displaced persons 
Msputes, compulsory settlement of, U.N. conference on 
law of the sea optional protocol of signature concern- 
ing, text, 1123 
,,, >LF. Sec Development Loan Fund 
f B j,i >o Amaral Peixoto, Ernani, 467 

>ollar Bonds, German, 4th annual report of Validation 
Board for, 390 

/ex, January to June 1958 



Dominican Republic: 

Geneva conventions (1949) on treatment of prisoners 

of war, wounded and sick, and civilians, 494 
Maritime Consultative Organization, Intergovernmen- 
tal, convention, 749 
Donovan, Hedley Williams, 329 
Double taxation on income : 

Conventions for avoidance of, with — 
Belgium, 354 ; U.K., 315, 316 (text) 
Treaties to avoid, incentive for private investment 
abroad, address (Dillon), 143 
Downey, Mrs. Mary V., 384 
Drugs, narcotic : 

Convention (1931) limiting manufacture and regulating 

distribution, and protocol amending, 794 
Opium, protocol (1953) regulating production, trade, 

and use of, 154, 317, 749, 981, 1030 
Protocol (1948) bringing under international control 
drugs outside scope of 1931 convention, as amended, 
1029 
Drumright, Everett F., 406 
Dulles, Allen W., 338 
Dulles, Eleanor Lansing, 615 
Dulles, John Foster : 
Addresses, remarks, and statements : 
Algerian question, 331, 332, 333, 607, 808, 809, 810 
American Doctrine, 135, 945, 946, 949 
American soldiers held captive in East Germany, ne- 
gotiations for release, 1087 
Arctic inspection zone, 802, 804, 805, 806, 807, 808, 

810, 849, 1038 
Arms supply, U.S. policy, 684 
Asia, Western interest in, 455 
Atomic Energy Act of 1954, importance of proposed 

amendments to, 740 
Aviation, international cooperation through, 689 
Baghdad Pact, 134, 135, 210, 250, 254, 255 
Baltic States, 40th anniversary of independence, 337 
Berlin, lessons to be learned from experiences of, 854 
Canadian-U.S. relations, 333, 435, 596, 645 
Change, dynamics of, 847 
Collection of news by newsmen in State Department, 

949 
Communism : 

Defect in system of, 160, 167 
Imperialistic policy of, 507, 508 
Theory of peace and world order, 942 
Communist China, 164, 165, 331, 1086, 1090 
Continuance as Secretary of State, question of, 135 
Cuban request for U.S. arms, 688 
Cultural exchange, negotiations with Soviet Union, 

138 
Dictatorship governments, U.S. policy regarding, 944 
Disarmament, 133, 134, 136, 453, 454, 604, 6S2, 687, 688, 

10S8 
Earth satellite, U.S., effect on U.S. world prestige, 

335 
Economic talks with Prime Minister Macmillan, 1086 
Egyptian funds in U.S., 723, 724, 807 
Egyptian-Syrian merger, 332, 335 
Eisenhower letter to Bulganin, drafting of, 165 

1141 



Dulles, John Foster — Continued 

Addresses, remarks, and statements — Continued 
Foreign policy, U.S., 942, 944, 1035. 
France, U. S. aid to, 136, 167 
General DeGaulle, question of invitation to visit U.S., 

1090 
Geneva meeting of technical experts, 945, 1085 
German Minister of Economy, discussions with, 600 
German reunification, 132, 164, 453, 645, 10S8 
Germany, East, change in Communist politburo in, 

335 
Germany, neutralization of, 133, 134 
Gulf of Aqaba, Saudi Arabia position on, 606 
Human liberty, U.S. experiment in promotion of, 755 
IMF and IBRD, question of increasing resources of. 

1087 
India, U.S. aid to, 135, 464 
Indonesia, U.S. views regarding developments in. 

334, 605, 606, 644, 685, 808, 946 
Inspection and control system, probability of detec- 
tion of atomic weapons tests under, 683, 684 
Israeli-United Arab Republic border dispute, 644 
Italy, membership in Security Council, 948 
Khrushchev's letter to Lord Russell, 725, 726 
Killian report on suspension of testing, 682, 683, 684 
Korea, withdrawal of forces from, 331, 332 
Latin America, U. S. policy and relations with, 135, 

136, 644, 715, 947, 1086 
Lebanese crisis, 946, 947, 948, 1089 
Mineral resources, U.S., proposed stabilization plan 

regarding, 810 
Missile bases, possible establishment in Italy, 640 
Mutual security program, 415, 427, 622 
Near and Middle East: 

American Doctrine, 135, 945, 946, 949 
Developments in, 606, 722 
Economic aid to, U.S. policy, 135 
Oil, problems related to, 807 
Soviet policy in, 251, 255 

Tripartite Declaration of 1950, application to, 948 
U.N. Emergency Force, use in, 607 
Negotiation, role of, 159 
New Tear (1958) statement, 56 
Noninterference, U.S. adherence to doctrine of, 944 
North Africa, U.S. policy for, 719 
North Atlantic Treaty Organization : 
Council of Ministers meeting, S09, 851 
Development of, 718 
Heads of Government meeting, 8, 16, 47 
Liaison with OAS, 605 

Sharing nuclear information with members of, 740 

Nuclear information, question of sharing, 643 

Nuclear testing, suspension and control of, 8, 9, 48, 

136, 453, 639, 640, 641, 642, 644, 682, 683, 684, 687, 

688, 723, 806, 807, 809, 946, 1086, 1088 

Nuclear weapons, development of smaller and cleaner, 

640, 643 
Nuclear weapons tests in Pacific, U.S. extends invi- 
tations to, 810 
Okinawa, review of U.S. policy on acquisition of 
land on, 723 

1142 



Dulles, John Foster — Continued 

Addresses, remarks, and statements — Continued 
Organization of American States : 
Attendance at meetings of, 330 
Liaison with NATO, proposed, 605 

Outer space, controlling use of, 166, 1037 

President Nasser, U.S. relations with, 684 

President Nasser, visit to Soviet Union, 949 

Propaganda programs, U.S. and Soviet, 137, 642, 685, 
686, 6S7, 725, 726 

Raw-material-producing countries, U.S. aid in solving 
problems of, 1089 

Saudi Arabia, U.S. relations with, 606 

Science-for-peace program, President's proposal, 134 

SEATO Council of Ministers meeting, 4th, 463, 506, 
SOS 

Soviet Union : 
Aid to Indonesia Central Government, 644, 645 
Earth satellite, efforts to launch third, 723 
Economic offensive, 133, 135, 1089 
Near East policy, 251, 255 
Negotiating with, 137, 138, 326, 336, 337 
Nuclear weapons, testing in Communist China, 1086 
Nuclear-weapons tests, announcement of ban on, 

723 
Summit conference proposal, 131, 132 
Travel by foreigners in, certain areas banned, 645 
U.N. speeches, satellite parroting of, 456 
U.S. trade policy toward, 336 

Spanish-U.S. relations, 16 

Stassen, Harold, question on future of, 167 

Strategy for peace and victory, 53, 799 

Suez Canal problem, U.S. position, 165 

Summit meeting, proposed. See Summit meeting 

Trade Agreements Act, 432, 595, 948 

Trade problems of free nations, 423 

Tribute to Lewis Strauss, 1089 

Tunisian incident, 331, 333, 334, 335, 336, 607, 719 

U.S. aid, purpose of, 726 

U.S. Armed Forces, introduction into foreign coun- 
tries, 947 

U.S. nationals in Lebanon, protection of, 947 

U.S. prestige abroad, status of, 165 

U.S. retaliatory policy in event of attack on West, 645 

United Arab Republic : 

Border dispute with Israel, 644 
Interference in Lebanon, 946, 948, 1089 
Expression of hostility against Jordan and Iraq, 

evaluation, 455 
U.S. relations with, sot 

Venezuela, U.S. relations with, 435, 597, 943 

Vice President's trip to Latin America, 943 

Yalta agreement, 163 

Yugoslavia, U.S. policy toward, 944 
Article and reports : 

Double taxation on income, supplementary protocol to 
convention (1945) with U.K., 315 

NATO Heads of Government meeting, 47 

"Our Cause Will Prevail," 19 

Tax convention with Belgium, 354 

Department of State Bulletin 



Dulles, John Foster — Continued 
Correspondence and messages : 

Ceylon, 10th anniversary of independence, greetings 

and best wishes, 311 
Exchange of greetings with Chancellor of German 

Federal Republic, 900 
Lord Russell's letter to President Eisenhower and 

Nikita Khrushchev, U.S. reply, 290 
NATO, 9th anniversary of, 646 
Pan-African Conference, 765 

The West Indies, investiture of Governor General, 
769 
Meetings and visits (see also subject) : 

Baghdad Pact ministerial meeting, 52, 210, 250, 254 

Field Marshal Sarit Thanarat of Thailand, 912 

German Minister of Economy, discussions with, 606 

Mayor of Berlin, 329 

NATO Foreign Ministers meeting, 809, 851 

NATO Heads of Government meeting, 8, 16, 47 

Prime Minister of Laos, 168 

SEATO Council of Ministers meeting, 4th, 463, 506, 

508 
Visits to: Berlin, 730; Brazil, 1090; Canada, 900; 
Spain, 51, 52 
News conferences, 131, 330, 451, 602, 639, 682, 719, 804, 
942, 1085 
Dunne, Irene, 35 

Duties and rights of states in event of civil strife, protocol 
and convention (1928), 41, 749 

Earth-circling satellites. See Satellites, earth-circling 
East-West contacts (see also Cultural, technical and edu- 
cational fields : Cultural relations, Educational ex- 
change; and Exchange of persons) : 
Contacts between leaders and statesmen, U.S. and 
Soviet views regarding; address and letters: Bul- 
ganin, 130, 376, 650, 651, 652 ; Eisenhower, 127, 376, 
414 
Increase in, U.S. views, article, messages, and state- 
ment: Dulles, 21; Eisenhower, 121, 178, 179; El- 
brick, 1057 
ECAFE. See Economic Commission for Asia and the Far 

East 
ECE. See Economic Commission for Europe 
Echandi Jimenez, Mario, 614 
Economic and Social Council, U.N. : 

Documents, lists of, 41, 277, 405, 586, 748, 889, 1077, 1126 
Economic Commission for Asia and the Far East. See 

Economic Commission for Asia 
Economic Commission for Europe. See Economic 

Commission for Europe 
Recommendations regarding expanded program of tech- 
nical assistance, statement ( Judd), 58 
U.S. representative, appointment and confirmation, 109, 
278 
Economic and technical aid to foreign countries (see also 
Agricultural surpluses, American Doctrine, Develop- 
ment Loan Fund, Export-Import Bank, International 
Bank, International Cooperation Administration, 
Mutual security, and United Nations : Technical 
assistance) : 



yi» 



ndex, January /o June 7958 



Economic and technical aid to foreign countries — Con. 

Addresses, article, and statement : Dillon, 502 ; Dulles, 
21, 726 ; Eisenhower, 117, 119, 413, 414 ; Foster, 221 

Aid to — 

Africa, 261, 920, 1095, 1096 ; Asia, 222, 916 ; Bolivia, 
528; China, Republic of, 530, 1055; France, 167 
Germany, Federal Republic of, 1100 ; Ghana, 663 
Haiti, 8S0; Iceland, 93; India, 337, 464; Iran, 1110 
Laos, 16S; Latin America, 184, 215, 947; Mexico, 
103: Middle East, 253, 525; Pakistan, 529; Saudi 
Arabia, 1030; SEATO, 505, 512, 514; Spain, 528, 
614 ; Sudan, 663, 710 ; Turkey, 529, 530 ; Viet-Nam, 
530 ; West Indies, Federation of The, 749 

Budget recommendations for fiscal 1959, Presidential 
messages to Congress and statement (Dulles), 178, 
371, 430 

Civil aviation, U.S. contribution to, address (Dulles), 
690 

France, U.S. position on aid to, statement (Dulles), 
136 

India, question of U.S. aid to, 135 

Latin America, U.S. policy and program, 135, 136, 611 

Panama, tribute to U.S. program in, 522 

Sino-Soviet bloc economic trade and aid offensive. See 
Less developed countries : Economic offensive 

U.S. policy regarding, addresses and statement : Judd, 
58, 60, 61 ; Kotschnig, 305 ; Lodge, 345, 348 

The West Indies, U.S. plans for aid to, 769 
Economic Commission for Asia and the Far East, U. N. : 

Committee on Industry and Natural Resources, U.S. 
delegation to 10th session, 361 

Committee on Trade, meeting and U.S. delegation, 152 

14th session, appointment of U.S. representative, 5S6 

3d Regional Technical Conference on Water Resources 
Development, article (McClellan) and U.S. delega- 
tion, 360, 361 
Economic Commission for Europe, U.N. : 

Electric Power Committee, 16th session, U.S. delegate, 
889 

Gas problems, 4th session of working party on, 889 

Housing committee, U. S. delegate to 16th session, 
1076 

Steel committee, U.S. delegate to 20th session, 1076 

13th session, U.S. delegation to, 710 

U.S. participation, statement (Heinz), 792 
Economic cooperation, arrangements for, between — 

Baghdad Pact members, 256 

NATO members, 14, 15, 850 

Latin America and U.S., 500 
Economic development (see also Colombo Plan, Develop- 
ment Loan Fund, Less developed countries, and, 
Special United Nations Fund) : 

Challenge of, U.S. response to, statement (Dulles), 
1036, 1037 

European efforts for, addresses: Herter, 700; Mann, 
283, 284 
• Relation to social progress in U.S., statement (Lord), 
887 

1143 



Economic development — Continued 
U.S. foreign currency loans promote development, 
address, announcement, report, and statements : 
Dillon, 566, 567, 568, 569; Eisenhower, 484; ICA 
announcement, 103 ; Rubottom, 522, 610 
Economic integration, European. See European Coal and 
Steel Community ; European Economic Community ; 
European Economic Cooperation, Organization for ; 
ami European free-trade area 
Economic opportunities for women, article (Hahn), 931 
Economic policy and relations, U.S. (see also individual 
countries) : 
Aid to foreign countries. See Economic and technical 

aid 
Domestic economy, addresses, report, and statements : 
Dillon, 736, 738; Dulles, 625; Eisenhower, 117, 
233 ; Heinz, 792 
Foreign economic policy : 

Addresses, message, and statement : Dillon, 139, 140, 
141, 499; Dulles, 253; Eisenhower, 176; John 
Lodge, 420 ; Mann, 895 
Africa, address (Holmes), 861, 862 
Latin America, addresses and statements : 

Dulles, 717, 718, 723 ; Murphy, 955 ; Rubottom, 608, 
1108 
Less developed countries. See under Less developed 

countries 
President's economic report to Congress, excerpts, 

228 
Soviet challenge to, addresses and statement : Dillon, 
968 ; Dulles, 161, 1039 
OTC. See Trade Cooperation, Organization for 
Tariff policy. See Tariff policy 
Trade. See Trade 
Economic problems, world, U.N. role in solving, article 

(Sisco), 977 
ECOSOC. See Economic and Social Council, U.N. 
ECSC. See European Coal and Steel Community 
Ecuador : 

Lend-lease account with U.S., payment, 571 
Treaties, agreements, etc. : 
Atomic energy, civil uses, agreement with U.S., 317 
Customs courtesies and free-entry privileges, agree- 
ment with U.S. regarding, 41 
IAEA, statute, 710 

Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Visit of Vice President Nixon, statements : 
Murphy, 956; Rubottom. 1107 
Edgar, Donald, 674 

Education (.sec also Educational exchange) : 
IAEA, U.S. fellowship program for. 237 
In U.S., objectives and programs, addresses and state- 
ments : Dulles, 757 ; Eisenhower, 120 ; Killian, 188, 
ISO. 190; Lord, S86 
NATO fellowship program, U.S. support, address 

(Dulles), 11 
Nigeria, U.S.-U.K. educational program for, 143 
OAS program in Latin America, address (Rubottom) 

660 
Overseas and U.S. universities, ICA program for, 531 



Education — Continued 
Relation to opinions on foreign policy, address (Fos- 
ter), 220, 221 
SEATO activities in, 505, 513, 515, 748 
Soviet education, challenge of, addresses and report: 
Allen Dulles, 342, 343; Department resume, 148; 
Wilcox, 665 
U.S. project in Israel, announcement of U.S. observer 

for, 961 
Women, access to higher education, article (Hahn), 930 
Educational, Scientific and Cultural Organization, U.N. : 
Aid to University College at Baghdad, Iraq, 309 
Atomic energy, peaceful uses of, program proposed for 

cooperation in, 195 
Constitution, 981 
Educational exchange program, international (see also 
Education ) : 
Africa, U.S. program with, 261 
Agreements with — 
Argentina, 362 ; Germany, Federal Republic of, 899, 
1065; Ireland, 278: Japan, 153, 27S; Panama, 523; 
Soviet Union, 243 (text), 278, 324 
Financing, use of foreign currencies for, 486 
High school students participation in, address (Fos- 
ter), 21S, 219 
Latin America, development of U.S. program, address 

(Rubottom), 65S 
Scientists, exchange of, 50, 563 

10th anniversary, Department announcement and re- 
marks (Eisenhower), 248, 249 
EEC. See European Economic Community 
Egypt (see also United Arab Republic) : 

Anglo-French-Israeli action in, U.N. role in halting, ad- 
dress, letter, and statement: Dulles, 607; Eisen- 
hower, 235, 236 ; Lodge, 345, 346 
Arab-Israeli dispute. See Arab-Israeli dispute 
Arab States Fundamental Education Center, U.N. aid, 

309 
Refugees from, ICEM aid to, 75, 77 
Suez Canal problem. See Suez Canal 
Territorial dispute with Sudan, 491, 669, 975 
U.S.-held Egyptian and Universal Suez Canal Co. 

funds, unblocking of, 723, 724, 807, 830 
Union with Syria, U.S. views, statements (Dulles), 332 
Eisenhower, Dwight D. : 

Addresses, remarks, and statements: 

Antarctica, proposal for international conference on, 

910 
Arctic inspection zone, 816 
Automobiles, approving temporary duty-free entry for II 

show purposes, 739 
Exchanges in cultural, technical, and educational' 

fields, agreement with Soviet Union, 248 
Freedom under law, 831 
German President, welcome to U.S. and exchange i, 

of toasts at state dinner, 1099 
Mutual security program, 411 

National Christmas Tree lighting ceremony, 91 It 
NATO, developing scope of, 718 
Peace, 105 



1144 



Department of State Bulletir 



Eisenhower, Dwight D. — Continued 
Addresses, remarks, and statements — Continued 

Radioactive fallout, reduction of, nuclear tests to 
demonstrate U.S. progress, 601 

Research on controlled thermonuclear reactions, con- 
gratulations to U.S.-U.K. scientists for con- 
tributions, 301 

Ships requisitioned by U.S. in World War II, ap- 
proval of legislation authorizing payment to Den- 
mark, 1055 

Trade agreements program, 591 

U.N. accomplishments, 974 

Vice President Nixon's welcome home from Latin 
America, 950 
Correspondence and messages : 

Arctic inspection zone, U.S. proposal, letter to Premier 
Khrushchev, 811 

Bataan, 16th anniversary of fall of, 691 

Cotton, request for reexamination of import quota 
on, 788 

Disarmament, U.S. position, letter to Prime Minister 
Nehru, 17 

Disarmament and reduction of international tensions, 
correspondence with Soviets on, 122, 165, 211, 373, 



independence, 1st anniversary of, 517 

Information program on foreign aspects of National 
security, aid on planning requested, 211 

Inter-American solidarity, reaffirmation of, corre- 
spondence with President of Brazil, 1090 

New Year greeting to Soviet people. 92 

Outer space, proposal for peaceful uses, letter to 
Premier Bulganin, 963 

Requests for investigations of effects on domestic 
industries of imports of : Tung nuts, 468 ; umbrella 
frames, 696 

Stainless-steel table flatware, postponement of use of 
escape-clause action on imports, 620 

Summit meeting, proposed. See Summit meeting 

Technical experts meeting to study methods of de- 
tecting violations of agreement on cessation of 
nuclear tests, U.S. proposals, correspondence with 
Premier Khrushchev, 939, 1083 

U.S. representative for disarmament negotiations, 
importance of task, 492 

WHO, 10th anniversary, 989 

Wool fabrics, determination of 1958 import quota, 
notification of, 672 
Executive orders. See Executive orders 
Invitation to Prime Minister of Afghanistan to visit 

U.S., 417 
Invitation to visit Canada, acceptance of, 900 
Meetings : 

Field Marshal Sarit Thanarat of Thailand, 912 

NATO Heads of Government, 3, 6, 15, 47 

Prime Minister of Laos, 168 
Messages, letter and reports to Congress : 

Agricultural Trade Development and Assistance Act, 
7th semiannual report, 476 

American Doctrine, 2d report on, 524 

Budget message, excerpts, 169 

fndex, January to June J 958 

486423—68 3 



Eisenhower, Dwight D. — Continued 
Messages, letter and reports to Congress — Continued 
Double taxation on income, convention (1945) for 
avoidance of, supplementary protocol with U.K. 
amending, transmitted for approval, 315 
Economic report to Congress, excerpts, 228 
International travel, report on, 922 
Lend-lease operations, 38th report on, 570 
Mutual security program, 226, 367 
State of the Union, excerpts, 115, 420, 421 
Tax convention with Belgium, transmitted for ap- 
proval, 354 
Trade agreements program, legislation for continua- 
tion requested, 263 
Treaties, list of treaties withdrawn from the Senate, 

841 
U.N., letter transmitting 11th report on U.S. partici- 
pation, 235 
Negotiation of trade agreements, congressional grant 

of authority to, article (Catudal), 286 
Proclamations: See Proclamations 
Eisenhower, Milton S., 183, 663, 933n, 989, 1042 
Eisenhower Doctrine. See American Doctrine 
El Salvador : 
Duties and rights of states in event of civil strife, pro- 
tocol to convention (1928) on, 749 
Friendship, commerce and consular rights, treaty with 

U.S., terminated 238 
U.S. Ambassador, confirmation, 278 
Visit of Milton Eisenhower, proposed 663, 1042 
Elbrick, C. Burke, 1056 
Elections : 
Canadian, effect on relations with U.S., statement 

(Dulles), 645 
Latin American, results, statement (Rubottom), 518, 

520 
Soviet, list of U.S. observers to, 329 
Soviet policy regarding, statement (Lodge), 108, 109 
Electric power, 16th session of ECE Committee on, U.S. 

delegate, 889 
Electric power development. International Bank loan to 

Brazil for, 262 
Emergency Force, U.N. See United Nations Emergency 

Force 
Emergency fund, President's, question of appropriation 

for, statement (Dulles), 430 
Emergency relief, operations under Agricultural Trade 
Development and Assistance Act, President's 7th 
semiannual report on, 487 
Employment Service, convention (1948) concerning the 
Organization of the, withdrawal from Senate by 
President, 841 
Epinat, Barthelemy Georges, 78 
EPU. See European Payments Union 
Erhard, Ludwig, 503, 606 
Estonia, 40th anniversary of independence, statement 

(Dulles), 337 
Ethiopia : 
Facilities assistance, special program of, agreement 
with U.S. relating to, 198 

1145 



Ethiopia — Continued 
Military equipment and materials, disposition of, agree- 
ment with U.S. relating to, 277 
Somali-Ethiopian boundary, arbitration recommended 
to fix, statement (Wells) and General Assembly 
resolution, 150 
EURATOM. See European Atomic Energy Community 
Europe (see also individual countries) : 
Atlantic Community, addresses and statement: Arm- 
strong, 209 ; Eisenhower, 5, 8 
Collective security. See European security and North 

Atlantic Treaty Organization 
Eastern Europe: 
Contacts with (see also East- West contacts), re- 
newal needed, President's budget message to Con- 
gress, 179 
Interference in internal affairs in, U.S. and Soviet 

positions, 459, 460, 461 
Right of self-determination in, U.S. and Soviet posi- 
tions, letters (Eisenhower, Bulganin), 125, 126, 
378, 379 
Soviet policy and position in, address and statement : 

Dulles, 54 ; Lodge, 106 
U.S. policy toward, address (Jandrey), 867 
Export-Import Bank loans in, 273 

Refugees. See Refugees and Intergovernmental Com- 
mittee for European Migration 
Soviet-bloc aid, table, 470 
Travel in, increase in, 523 

U.N. Economic Commission for. See Economic Com- 
mission for Europe 
Unity of, U.S. support and views, addresses and state- 
ments : Eisenhower, 4 ; Elbrick, 1060 ; Jandrey, 
385 ; John Lodge, 421 ; White House, 445 
Western Europe : 

Economic development. See European Atomic En- 
ergy Community ; European Coal and Steel Com- 
munity ; European Economic Community ; Euro- 
pean Economic Cooperation, Organization for; 
and European free-trade area 
Free Europe Committee balloons, U.S. replies to 
Czechoslovak charges concerning, Department an- 
nouncement and texts of notes, 1010 
Relationship to Africa, addresses Holmes, 259; 
Palmer, 825, 829, 993, 994 
U.S. policies and programs in, address and statement: 
Elbrick, 1056; Jandrey, 385, 386 
European Atomic Energy Community : 

Cooperation with U.S., proposed discussions, and visit 
of EURATOM president to U.S. : 
Announcement, 425 
Commission communique, 426 
Letter (Dulles), 426 
Functions of, address (Jandrey), 388 
Joint U.S.-EURATOM cooperative program, proposed : 
Address (McKinney), 549 
U.S. delegation, 583 
Working party, statement, 709 
U.S. representative, appointment, 445, 494 



European Coal and Steel Community : 
Achievements, address (Mann), 283 
Final report on establishment, GATT review, 925, 926 
Formation and functions, address (Jandrey), 388 
European Economic Community : 
Functions of, address and statement: Jandrey. 388: 

Monnet, 272 
GATT, report and discussions on, 193, 925 
Importance and relationship to U.S. foreign trade pol- 
icy, addresses, remark, and statement: Armstrong, 
209 ; Dillon, 599 ; Frank, 926 ; Mann, 283, 898 ; Jan- 
drey, 389 
NATO Heads of Government meeting, position regard- 
ing, communique, 14 
OEEC proposal for free-trade area with members of, 

address (Jandrey), 387 
Relationship to need for extension of trade agreements 
program, address and statements : Dillon, 268, 629 ; 
Dulles, 436; Eisenhower, 264, 594; Mann, 694; 
Weeks, 440, 443 
U.S. position regarding, address (Herter), 791 
U.S. representative, appointment, 445, 494 
European Economic Cooperation, Organization for: 
Achievements in Europe, address (Mann), 283 
Financial aid to France, discussions and announcement, 

269, 271 
Proposal for expansion of free-trade area with EEC, 

address (Jandrey), 387 
10th anniversary of, address (Herter), 789 
European free-trade area, proposed : 
OEEC proposal for expansion, address (Jandrey), 387 
U.S. views on, addresses: Herter, 791; Mann, 695 
European Migration, Intergovernmental Committee for. 
See Intergovernmental Committee for European Mi- 
gration 
European Nuclear Energy Agency, U.S. support, address 

(Herter), 790 
European Payments Union, financial aid to France, dis- 
cussions and announcement on, 269, 271 
European Productivity Agency, U.S. support, address 

(Herter), 790 
European security (see also North Atlantic Treaty Or- 
ganization) : 
Atlantic Community, addresses and statement: Arm- 
strong, 209 ; Eisenhower, 5, 8 
German reunification, relationship to, letter (Eisen- 
hower), 124, 125 
Rapacki plan, relationship to, U.S. views, 134, 821 
Soviet proposals for reduction of armed forces in 
Europe, letters (Eisenhower, Bulganin) and Soviet 
aide memoire, 124, 130, 377, 460 
Evans, Arthur B., 194 
Evans, Luther H., 195, 196 

Exchange of information. See Information, exchange of 
Exchange of persons (see also Cultural, technical, and 
educational ; Cultural relations ; East- West contacts ; 
and Educational exchange) : 
ICA program for, 531, 533 

Increase in program requested, excerpt from Presi- 
dent's budget message to Congress, 179 
Panama, program with, 523 



1146 



Department of State Bulletin 



exchange of persons — Continued 
People-to-i>eople program. See People-to-people 
Scientists, U.S. and free world, 50, 563 
Sxecutive orders: 
International Hydrographic Bureau, designation as 

public international organization, 1074 
Japanese war criminal cases, designation of Secretary 

of State to act for U.S., 94 
U.S. citizens employed by U.N., amendments to pro- 
cedures on, 840 
Export Control Act, proposed extension of, report (Eisen- 
hower), 234 
Cxport-Import Bank, U.S. : 
French financial situation, joint announcement with 
Treasury and State Departments on discussions 
with French mission, 269 
Lending authority, proposed increase in : 
Budget message to Congress, 176, 177 
Economic report to Congress, 235 
Statement (Waugh), 398 
Lending activities, report (July 1-Dec. 21, 1957), 273 
Loans to — 
Haiti, 880; Iceland, 93; India, 337, 464; Korea, Re- 
public of, 343 ; Latin America, 215, 521, 610 ; Mex- 
ico, 103 ; Poland, 349, 350, 351 
Exports, U.S. (see also Tariffs and trade, general agree- 
ment on ; and Trade) : 
Agricultural commodities. See Agricultural surpluses 
Applications for licenses for export of armaments, 

regulations amended, 98 
Importance of, addresses : Eisenhower, 592 ; Mann, 692 
Overseas restrictions against, reduction of, statement 

(Weeks), 441, 442 
Report on activities in, excerpts from President's eco- 
nomic report to Congress, 228 
Technical data, simplification of regulations covering, 

620 
Value of 1957 exports, statement (Weeks), 437, 438, 439 

facilities assistance, special program, agreement with 
Ethiopia relating to, 198 

Faisal, Prince, 606 

fAO. See Food and Agriculture Organization of the 
United Nations 

i'ar East. See Asia, Southeast Asia Treaty Organiza- 
tion, and individual countries 

Paroe Islands, agreement on joint financing of air navi- 
gation services in, 277, 538, 1109 

Pawzi, Mahmoud, 1097 

Pecteau, Mrs., trip to Communist China, 384 

federal Regulations, Code of, amendment to chapter I, 
subchapter M, title 22 dealing with international 
traffic in arms, 95 

? 6dCration Ae'ronautique Internationale, charter, state- 
ment (Dulles), 689, 691 

Pilms, agreement and negotiations with Soviet Union for 
exchange of, 245 (text), 248, 323, 328, 552, S30 

finance Corporation, International (see also Interna- 
tional Bank) : 
Articles of agreement, 674, 710 
Functions of, address (Kotschnig), 310 

ndex, January fo June J 958 



Financial agreement (1945), agreement with U.K. 

amending, 154 
Finland : 
Agricultural commodities, agreement with U.S., 494 
IAEA, statute, 154 
OTC, agreement on, 198 
Fish and fisheries : 

FAO activities relating to, 1068 

Great Lakes Fishery Commission, meeting, 697 

International Pacific Halibut Commission, appointment 

of U.S. member, 537 
International Pacific Salmon Fisheries Commission, 
U.S. member, appointment (Moore) and resignation 
(Schoettler), 109 
Northwest Atlantic Fisheries, international convention 

(1949), 981 
U.N. conference on law of the sea, relation to : 
Statements (Dean), 578, 1110 

Texts of conventions and resolutions, 1110, 1118, 1124 
U.S.-Canadian proposal, 708 
Fisk, James Brown, 941 
Fissionable material. See Atomic energy 
Fitzgerald, Rufus H., 226 
Flood relief, U.S. aid to Ceylon, 94 
Folsom, Marion B., 933 

Food and Agriculture Organization of the U.N. : 
Aid to locust control campaign in Middle East, 309 
Ninth session of Conference of, article (Roberts), 1066 
Food production, world, increase in, remarks (Wilcox), 

Foreign aid, U.S. See Economic and technical aid, Mutual 
security, and individual countries 

Foreign aspects of United States national security, con- 
ference on, 502 

Foreign currency, acquisition and use from sales of sur- 
plus agricultural commodities. See Agricultural sur- 



Foreign economic policy, U.S. See under Economic policy 

and relations 
Foreign policy, U.S. (see also individual countries and 
geographic areas) : 
Characteristics of, address and statement (Dulles), 

160, 942, 944 
Congressional documents relating to. See under 

Congress 
Implications of Soviet economic challenge for, address 

(Armstrong), 207 
Negotiation, effective instrument of, address (Kohler), 

901 
Objectives of, addresses, article, and statements : Dillon, 

500, 564; Dulles, 20, 56, 799; Eisenhower, 411; 

Judd, 60 ; Rountree, 920 
Outer space, problems relating to, statement (Becker), 

962 
People-to-people diplomacy, addresses: Rubottom, 661; 

Palmer, 997 
Philosphy and rationale underlying, address and state- 
ments : Dulles, 434, 850, 1035 ; Merchant, 298, 299, 

300 
Role of high school students in, address (Foster), 218 

1147 



Foreign policy, U.S. — Continued 
Use of U.N. to solve problems of, address (Lodge), 

344, 345, 346 
World opinion of, statement (Dulles), 165 
Foreign Relations of the United States, volumes pub- 
lished : 

1939, vol. V (American Republics), 890 

1940, vol. Ill (British Commonwealth, Soviet Union, 
Near East, and Africa), 1126 

Foreign Scholarships, President's Board of, 748 
Foreign Service (see also State Department) : 

Africa, proposed increase in staffs and additional diplo- 
matic and consular posts in, 261, 262 
Ambassadorial changes, statement (Dulles), 334 
Ambassadors, appointments and confirmations, 41, 109, 

278, 318, 406, 494, 538, 586, 634, 794 
Consul general at Geneva, Switzerland, designation, 674 
Consular officers and administrative personnel, agree- 
ment with Ecuador for reciprocal customs privi- 
leges for, 41 
Consulate at Nicosia, Cyprus, elevated to consulate gen- 
eral, 750 
Far East ambassadorial meeting, announcement, 463 
History and mission of, address (Rubottom), 772 
Representation in Canada, statement (Merchant), 1003, 

1004 
Science attaches, functions and announcement of assign- 
ment to overseas posts, 190 
Second secretary at Moscow declared persona non grata, 

1005 
Second secretary at Prague declared persona non grata, 

767 
Visit of Foreign Service officers to Africa, 982 
Foreign Service Institute : 

Deputy director, designation (Foster), 1126 
Seminar in Africa, 982 
Foreign trade. See Trade 
Forestry, FAO activity in matters relating to, article 

(Roberts), 1068 
Forestry Congress, World, 1068 
Formosa. See China, Republic of 
Fort Stotsenberg Military Reservation, 634 
Foster, H. Schuyler, 218 
Foster, Seaborn P., 1126 
Fouche, Luc, 337 
France : 

Aid to SEATO, 512, 513, 514 
Algerian question. See Algerian question 
Caribbean Commission, 26th meeting, 1074 
Financial situation : 
Discussions with U.S., EPU, and IMF relating to aid, 

announcements and statements, 270 
U.S. views of, statements (Dulles), 136, 167 
General DeGaulle, question of visit to U.S., statement 

(Dulles), 1090 
Germany, Federal Republic of, relations with, address 

(Jandrey), 387 
Import duties, decline in, statement (Weeks), 442 
Internal developments, U.S. views, statements: Dulles, 
942 ; Elbrick, 1061 



France — Continued 
Possessions and territories in Africa (see also indi- 
vidual subject) : 
Progress toward self-government in, addresses and 
statements : Holmes, 765, 859, 1093, 1094 ; Sears, 536 
U.S. policy regarding, statements (Dulles), 53, 719 
Suez Canal problem. See Suez Canal problem 
Summit meeting, proposed. See Summit meeting 
Treaties, agreements, etc. : 

Agricultural commodities, agreements with U.S., 362, 

538 
Cape Spartel lighthouse, protocol terminating conven- 
tion (1865) concerning, and transferring light- 
house to Morocco, 749 
Franco-American air agreement of 1946, talks with 

U.S. regarding, 56 
GATT, 6th protocol of rectifications and modifications 

to texts of schedules, 362 
Lend-lease and surplus property agreements, agree- 
ment with U.S. for postponement of installments 
on, 269, 278 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Military equipment, materials, and services, memo- 
randum of understanding with U.S. relating to sale 
of, 269, 270, 278 
Sugar, international agreement (1953), protocol 
amending, 405 
Whaling convention (1946), international, protocol 

amending, 749 
Tunisian incident. See Tunisian incident 
U.N. Special Fund, membership on preparatory commit- 
tee, 72n 
Francis, Clarence, 476 
Franco, Gen. Francisco, 16, 51, 52 
Frangois, J. P. A., 574» 
Frank, Isaiah, 925, 926n. 
Franklin, Benjamin, 661, 730 

Free Europe Committee balloons, U.S. replies to Czecho- 
slovak charges concerning, 1010 
Free-trade area, European, proposed, 387, 695, 791 
Free world, Africa's challenge to, address (Holmes), 1092 
Freedom, addresses, article, and statement regarding : 

Dulles, 19, 161; Eisenhower, 831; Robertson, 770 
Freedom of information, U.S. position regarding, state- II 

ment (Klutznick), 72 
Freedom of the seas : 

U.S. protest of Soviet closing of Peter the Great Bay, 

461 
U.S. views regarding, statement (Dean), 576 
French Cameroun, developments in, addresses and state- 
ment : Holmes, 765, 1093 ; Sears, 536 
French West Africa, political developments in, addresses 

(Holmes), 766, 859 
Friendship, commerce and consular rights, treaty witl 

El Salvador, terminated, 238 
Friendship, commerce and navigation treaties : 
Expansion and revision of, address (Dillon), 142 
Treaty with Nicaragua, 793, 842, 934 



1148 



Department of Sfafe Bvlletii 



"rondizi, Arturo, 1105 

'ruit and fruit products, sale for sterling, agreement with 
U.K. relating to, 405 

'ruits and vegetables, Canadian proposal for renegotia- 
tion of tariff concessions on, 838 

'ulbright, Sen. William, 248 

'ulbright Act. See Educational exchange program 

}arcfa, Carlos P., 506, 971 

las problems, 4th session of ECE working party on, 

U.S. delegate, 889 
fatewood, Richard D., 446 

rATT. See Tariffs and trade, general agreement on 
laza Strip, role of UNEF in maintaining peace in, state- 
ment (Dulles), 607 
teneral agreement on tariffs and trade. See Tariffs and 

trade, general agreement on 
[eneral Assembly, U.N. (see also United Nations) : 
Credentials Committee report on Hungary, approved, 32 
Documents, lists of, 277, 493, 1077, 1125 
Enforcement of peace, increased role in, address 

(Wilcox), 670 
Four major accomplishments, statement (Lodge), 31 
Hungarian question, efforts to resolve, addresses and 
letter : Eisenhower, 235, 236 ; Lodge, 345, 346, 556 
Moral influence of, article (Irwin), 875, 876 
Resolutions : 
Ethiopian-Somali boundary, arbitration recom- 
mended to fix, 152 
Palestine refugees, financing aid to, 40 
Peaceful and neighborly relations among states, 109n 
U.N. Special Fund, establishing, 71 
Suez Canal, recommendation for financing cost of 

clearing, 32n. 
U.S. proposal for extension of economic aid, approval, 
address (Lodge), 348 
leneva conventions (1949) on treatment of prisoners of 

war, wounded and sick, and civilians, 494 
Geneva Heads of Government meeting (1955), U.S. views 
on results in relation to proposed summit meeting, 
aide memoire, 458 
reneva meeting of technical experts to study methods of 
detecting violations of cessation of nuclear tests, 
U.S. proposal : 
Exchange of correspondence between President Eisen- 
hower and Premier Khrushchev, 939, 1083 
State Department announcement, 941 
Statements: Dulles, 945, 1085; Hagerty, 939 
reneva wool-fabric reservation, 671, 672 
renoeide, convention (1948) on the prevention and 

punishment of the crime of, 446, 710 
(eophysical Year, International: 

Antartica, cooperative scientific activities at, U.S. pro- 
posal for continuation, 910, 911, 912, 1038 
Outer-space activities, implications regarding rights in, 

statement (Becker), 965 
lerman Dollar Bonds, 4th annual report of the Validation 
Board for, 390 



Germany : 
Berlin. See Berlin 

Documents on German Foreign Policy, 1918-1945, Series 
O (1933-1937), The Third Reich: First Phase, Vol- 
ume I, January 30-Octooer 14, 1933, published, 318 
Neutralizing, question of, statement (Dulles), 133, 134 
Reduction of foreign forces in, Soviet proposal as 

agenda item for proposed summit meeting, 460 
Reunification : 
Effect of Rapacki plan on, texts of U.S. and Polish 

notes, 821 
NAC Ministerial Council meeting, views on, 850 
NATO Heads of Government meeting, views on, com- 
munique and statement (Eisenhower), 6, 12, 13 
U.S. and Soviet views on, addresses, correspondence, 
and statements: Bulganin, 130, 378, 649, 650; 
Dulles, 132, 164, 602, 603, 604, 645, 855, 1088 ; Eisen- 
hower, 124, 125 ; Jandrey, 386 ; Soviet aide memoire, 
460, 654 ; U.S. aide memoire, 458 
Germany, East: 
Communist politburo, reason for change in, statement 

(Dulles), 335 
Labor, rejection of communism, address (Eleanor 

Dulles), 615 
Refugees, significance of flight from, address (Dulles), 

855 
U.S. soldiers held captive in, question of dealing with 
German regime for release, statement (Dulles), 
1087 
Germany, Federal Republic of : 

Ambassador to U.S., credentials, 467 
Claims against : 

Deadline for filing, announcement and extension of 

552, 671 
U.S. proposal for payment of and return of vested 
German assets submitted to Congress, 703 
Developments since World War II in, address (Heuss), 

1100 
ICEM, membership on executive committee, 78 
Import restrictions, GATT consideration of, and state- 
ment (Weeks), 441, 926 
Minister of Economics, visit to U.S., 503, 606 
President, visit to U.S., 778, 1099 
Relations with France, address (Jandrey), 387 
Soviet flights over, 3-power control of, letter (Bruce), 

553 
Treaties, agreements, etc.: 
Educational exchange programs, agreements with 
U.S. renewing and amending 1952 agreement, 899, 
1065 
GATT, protocol of rectification to French text, 198 
U.S. air bases and depot, agreement with U.S. re- 
lating to transfer, 154 
U.S. agricultural exhibit at Cologne, 481 
Visit of Secretary Dulles, 900 
Ghana : 

FAO, membership, 1073 

IFO, articles of agreement, 710 

Independence, 1st anniversary of, letters (Eisenhower, 

Nkrumah), 517 
Prime Minister, visit to U.S., 1096 



ne/ex, January to June J 958 



1149 



Ghana — Continued 
Self-government in, British aid, address (Holmes), 259 
U.N. Special Fund, membership on preparatory commit- 
tee, 72»i 
UNESCO, constitution, 981 
U.S. operations mission : 
Appointment of U.S. director, 982 
Technical cooperation program, request for, 663 
Gibson, William M., 538 
Gilbert, Eugene, 220 
Girard, William S., 834 

Good-offices mission, U.S.-U.K. See tinder Tunisian in- 
cident 
Grant, Ben, 159 
Grant aid, U.S. : 

Emergency grant aid to Latin America, 611 
Foreign currency, President's semiannual report on 
Agricultural Trade Development and Assistance 
Act, 478, 483 
Great Britain. See United Kingdom 
Great Lakes Fishery Commission, meeting, 697 
Greece : 

Agricultural commodities, agreements with U.S., 104, 

794 
Cyprus question, U.S. position, statement (Lodge), 31 
Salonika trade fair, U.S. participation, 481 
U.S. aid, 412 

U.S. Ambassador, confirmation, 318 
Greenland, agreeemnt on joint financing of air navigation 

services in, 277. 538, 1109 
Grewe, Wilhelm, 467 
Gromyko, Andrei A., 728 
Gruenther, Alfred M„ 491 
Guatemala : 

Military assistance, agreement with U.S. relating to dis- 
position of equipment and materials, 104 
President-elect, visit to U.S., 417 
U.S. Ambassador, confirmation, 318 
Visit of Milton Eisenhower, proposed, 663, 1042 
Guiana, British, agreement with U.S. for exchange of in- 
ternational money orders, 586 
Guided missiles. See Missiles 
Gulf of Aqaba. See Aqaba, Gulf of 

Hagerty, James, 939 
Hahn, Mrs. Lorena B., 930 
Haiti : 

Ambassador to U.S., credentials, 337 
Financial discussions with U.S., 880 
Treaties, agreements, etc. : 

Commercial samples and advertising material, inter- 
national convention (1952) to facilitate importa- 
tion of, 446 
Industrial property, convention (1934) for protection 

of, 710 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Road traffic convention (1949), with annexes and pro- 
tocol, 446, 493 
Road vehicles, private, customs convention (1954) on 
temporary importation of, 446 



Haiti— Continued 
Treaties, agreements, etc. — Continued 

Sugar agreement (1953), international, protocol 

amending, with annex, 794 
Touring, convention (1954) concerning customs facili- 
ties for, 446 
Halibut, Pacific, appointment of U.S. member to Inter- 
national Commission on, 537 
Hamblin, F. N., 143 
Hammarskjold, Dag, 32, 745, 989 
Hammond, Merrill, M., 198 
Hanes, John W., Jr., 152 
Hare, Raymond A., 586 
Harrison, George R., 189 
Hart, Parker T., 318 
Hartman, Douglas W., 390, 391 

Heads of Government meeting at Geneva (1955), U.S. 
views on results in relation to proposed summit meet- 
ing, aide memoire, 45S 
Heads of government meetings. See North Atlantic 
Treaty Organization : Heads of Government meeting 
and Summit meeting, proposed 
Health and sanitation : 
Cobalt equipment for hospital, U.S. gift to Thailand, 

1051 
FAO activities in field of nutrition, article (Roberts), 

106S 
Malaria eradication : 

Inter- American program, statement (Rubottom), 518 
Invitation to Soviet Union to join in campaign for, 

address (Eisenhower), 121 
U.S. aid and support, 57, 58, 225 

WHO campaign, address (Milton Eisenhower), 991 
Medical cooperation, U.S.-Soviet, exchange of notes 

regarding, 1048 
U.S. invitation to Soviet Union to join fight against 

disease, address (Eisenhower), 121 
U.S. medical aid to Pakistan, 782 
Health Organization, World. -See World Health Organi- 
zation 
Heath, Donald R., 109, 278 
Heinz, Henry J., II, 194, 710, 792 
Henderson, Horace E., 1077 
Herfurt, Jack A., 198 
Herlands, William B., 397 
Herter, Christian A., 731, 789 
Heuss, Theodor, 778, 1099 
High seas, convention on the, text, 1115 
Highways : 

Honduras, loan agreement with Honduras for develop- 
ment, 981 
Inter-American, U.S. contribution, 611 
Nepal, cooperative agreement U.S.-India-Nepal for 

development, 149, 446 
Pan American, proposed treaty regarding commercial 

traffic on, 1052 
Turkey, U.S. aid for construction, 530 
Hillings, Rep. Patrick J., 78 
Historic waters, regime of, U.N. conference on law of 

sea resolution, text, 1125 
Hobbs, Willis, 462 



1150 



Department of Sfcrfe Bulletin 



Holland, Henry F., 380n 
Holmes, Julius C, 258, 764, 857, 1002 
Holmes, Oliver Wendell, 420, 425 

Holy See, convention (1954) and protocol for protection 
of cultural property in event of armed conflict, 1029 
Honduras : 

Ambassador to U.S., credentials, 517 

DLF loan for highway construction, 981 

Maritime Consultative Organization, Intergovernmen- 
tal, convention, 749 

U.S. Ambassador, confirmation, 634 

U.S. regulations on export of arms, ammunition, and 
implements of war to, amended, 100 

Visit of Milton Eisenhower, proposed, 663, 1042 
Hong Kong, designation of U.S. consul general to, 586 
'Hot pursuit" doctrine, definition of, statement (Dulles), 



[lousing. U.S. military, construction 
Agreement with U.K. amending 1956 agreement regard- 
ing, 494 
Use of proceeds from surplus agricultural commodities 
sales for, excerpt from Presidents report to Con- 
gress, 478, 483, 488 
Sousing Committee, ECE, U.S. delegate to 16th session, 

1076 
Howe, Walter, 794 
Human rights : 
Problems of discrimination. See Racial discrimina- 
tion 
Violations in Hungary, statement (Lodge), 33 
Women, U.N. promotion of equality for, article (Halm), 
930 
Human Rights, U.N. Commission : 
1st triennial report, statement (Lord), 884 
U.S. delegate, appointment of adviser to, 492 
Humane killing of marine life, U.N. conference on law 

of the sea resolution, text, 1124 
Humphrey, Sen. Hubert H., 684 
Hungarian uprising, 1956 : 
Report of Special Committee on the Problem of Hun- 
gary, statement (Lodge), 33. 34 
U.N. efforts to resolve, addresses and letter: Eisen- 
hower, 235, 236 ; Lodge, 345, 346, 556 
U.S. questions continuing prosecution of participants, 
exchange of letters with Hungary and U.S. state- 
ment, 581 
Views of, statements : Camus, 108 ; Dulles, 167 
Hungary : 
Developments in, statement (Lodge), 33 
Patriotic holiday, celebration of, 523 
Refugees : 

ICEM aid to, article (Warren), 75, 76, 77 
Termination of U.S. emergency program of aid to, 
announcement, 92 
Slavery convention (1926), protocol amending and an- 
nex, 586 
U.N. representatives, General Assembly decision re- 
garding credentials, statement (Wadsworth), 32 
Hyde, H. van Zile, 278 

Hydrographic Bureau, International, designation as pub- 
lic international organization, 1074 



IAEA. See Atomic Energy Agency 

IBRD. See International Bank for Reconstruction and 

Development 
ICA. See International Cooperation Administration 
ICAO. See International Civil Aviation Organization 
ICBM. See Missiles : Intercontinental ballistic 
Ice Patrol, North Atlantic, agreement (1956) regarding 

financial support of, 317, 362, 842 
Iceland : 

Agricultural commodities, agreement with U.S., 934 
Air navigation services, agreement on joint financing 

of, 277, 538, 1109 
U.S. loan to, announcement, 93 
ICEM. See Intergovernmental Committee for European 

Migration 
ICJ. See International Court of Justice 
IFC. See International Finance Corporation 
IGT. See International Geophysical Year 
Iliff, W. A. B., 257 

ILO. See International Labor Organization 
IMF. See International Monetary Fund 
Immigration into U.S. (see also Passports and Visas) : 
Increase in quota for The West Indies, 769 
U.S. policy, review of, address (O'Connor), 560 
Imperialism, Soviet policy, addresses: Eisenhower, 115, 
116; Dulles, 160, 802; Kretzmann, 87; John Lodge, 
420, 421 
Imports (see also Customs; Tariff policy, U.S.; Tariffs 
and trade; and Trade) : 
Armaments, applications for licenses for imports of, 

regulations amended, 98 
Commercial samples and advertising material, inter- 
national convention (1952) to facilitate importa- 
tion of, 446, 634 
Denmark, relaxation of restrictions against dollar 
goods, joint statement Departments of Agriculture, 
Commerce, and State, 467 
Importance to U.S., addresses: Eisenhower, 592; 

Mann, 692 
Oil, U.S. restrictions on. See Oil : Western Hemis- 
phere 
Private road vehicles, customs convention (1954) on 
temporary importation of, 78, 238, 362, 446, 538, 
634, 1065 
Report on activities in, excerpts from President's eco- 
nomic report to Congress, 228 
U.S. loans to finance imports into — Iceland, 93 ; India, 
464 
Income tax, conventions for avoidance of double taxa- 
tion. See Double taxation 
Independence, the interdependence of, address (Dulles), 

715 
India : 

Efforts to achieve peace among nations : 

Appeal for disarmament, statement (Nehru), 17 
U.S. tribute, address and statement (Lodge), 104, 554 
Free elections in, statement (Lodge), 108 
Soviet aid, statement (Dillon), 471 
Treaties, agreements, etc. : 

Agricultural commodities, agreement with U.S. 
amending 1956 agreement, 397, 446 



Index, January to June 1958 



1151 



India — Continued 

Treaties, agreements, etc. — Continued 

Customs facilities for touring, convention (1954), 

1065 
Private road vehicles, customs convention (1954) on 

temporary importation of, 1065 
Roadbuilding program for Nepal, cooperative agree- 
ment, U.S.-India-Nepal, 149, 446 
U.N. Special Fund, membership on preparatory com- 
mittee, 72» 
U.S. aid to, addresses, announcements, and statements : 
Dillon, 500; Dulles, 135, 464; Foster, 221; State 
Department, 337, 464 
Vice President, visit to U.S., 559 
Visit of Ambassador Lodge, 211 
Indonesia : 
Rebellion in : 
American soldiers of fortune in, statements (Dulles), 

808 
Arms supply, U.S. policy regarding, statements 

(Dulles), 684,685 
Communist charge of U.S. intervention in, statement 

(Murphy), 960 
NATO Heads of Government meeting, views on, 

communique, 13 
Soviet aid to Central Government, statements 

(Dulles), 644, 645 
U.S. views on, statements (Dulles), 334, 605, 606, 644, 
946 
Treaties, agreements, etc. : 

Agricultural commodities, agreement with U.S. 

amending 1956 agreement, 1109 
Economic aid, agreement with Soviet Union, 472 
GATT, 6th protocol of rectifications and modifications 

to tests of schedules, 198 
Narcotic drugs, convention (1931) limiting manufac- 
ture and regulating distribution, and protocol 
amending (1946), 794 
Sugar, international agreement (1953), with protocol 
and annex, 1109 
U.N. Special Fund, questions regarding, statement 

(Judd),67 
U.S. aid, 222, 223, 224 
U.S. Ambassador, confirmation, 406 
Industrial production, world, changes in, excerpts from 

President's economic report to Congress, 228, 229 
Industrial property, convention (1934) for protection of, 

103. 710, 842, 981 
Industry and Natural Resources, ECAFE Committee on, 

U.S. delegation to 10th session, 361 
Information, exchange of : 

Less developed countries, exchanges with U.S., address 

(Dillon), 140 
OAS exchanges with NATO and other non-Communist 
regional groups, address and statement: Dulles, 
718 ; Rubottom, 519 
Technical data, simplification of regulations covering 
exports of, Department of Commerce announce- 
ment regarding, 620 



Information, exchange of— Continued 

Technical information and patent rights for defense 
purposes, agreement with Australia to facilitate, 
238, 274 
Traffic in arms, amendments to Federal regulations re- 
garding transmission of information on, 102 
U.S. and free-world allies : 

Benefits of, address (McKinney), 550 
Need for, addresses, messages, report, and statement : 
Allen Dulles, 338; Dulles, 9, 10, 49, 643; Eisen- 
hower, 120, 171 
Proposed legislation for exchange, statements: 
Dulles, 740 ; Murphy, 312 
Information activities and programs : 

Europe, benefits of U.S. program in, statement (El- 
brick), 1062 
Exchange of information. See Information, exchange 

of 
FAO programs, article (Roberts), 1069 
Foreign affairs, State Department services to high 

school students, address (Foster), 219 
ICA, transfer to State Department of information ac- 
tivities related to mutual security program, 405 
Information and Educational Exchange Act of 1948, 

U.S., 248, 249 
Informational media guaranty program, U.S., agree- 
ments with — 
Israel, 961 ; Philippines, 494 ; Poland, 538 
National security, information program on foreign 

aspects of, letter (Eisenhower), 211 
SEATO, report on (Sarasin), 515 

U.N. proposal, U.S. position, statement (Klutznick), 72 
U.S. Information Agency. See Information Agency 
Information Agency, U.S. : 
African program, increase in activities of, 262 
Budget recommendation for, excerpt from President's 

message to Congress, 179 
Director, confirmation, 278 

Libraries, destruction in Algeria and Lebanon, state- 
ment (Murphy), 958, 959 
Translation, publication, and distribution of books and 

periodicals, program of, 486 
Voice of America, expenditures for, 1044 
Informational media guaranty program, agreements 
with— 
Israel, 961 ; Philippines, 494, Poland, 538 
Inspection and control systems (see also Disarmament) : 
Aerial inspection, U.S. proposal for, and Soviet rejec- 
tion, address, letters, and statements : Department, 
729 ; Dulles, 136, 691 ; Eisenhower, 680, 813, 814 ; 
Lodge, 762, 763 ; White House, 655 
Arctic inspection zone, U.S. proposal for: 

Address and statements : Dulles, 802, 804, 805, 806, 

807, 808, 810, 849, 1038; Lodge, 816, 819 
Exchange of correspondence (Eisenhower, Khru- 
shchev), 811, 941 
U.S. draft resolution, 820 
Geneva meeting of technical experts to study methods 

of. See Geneva meeting of technical experts 
Ground inspection posts, number and location of, state- 
ments (Dulles), 683, 684, 1090 



1152 



Department of State Bulletin 



Inspection and control systems — Continued 

IAEA provisions for, address (McKinney), 786 
Production of fissionable material, need for system for 

controlling, statements (Dulles), 682, 683 
Role of aviation in, address (Dulles), 691 
U.S. efforts, Soviet rejection of, White House state- 
ment, 655 
Interagency Technical Property Committee for Defense, 

274 
Inter-American Child Institute, appointment of U.S. rep- 
resentative to directing council, 492 
Inter-American convention on the rights of the author 
in literary, scientific, and artistic works, withdrawal 
from Senate by President, 841 
Inter-American cooperation, address (Rubottom), 656 
Inter-American economic conference, results of, address 

(Dillon), 500 
Inter-American Highway : 
International commercial travel on, draft agreement 

regarding, article (Kelly), 1052 
U.S. contributions to, address (Rubottom), 611 
Inter-American Nuclear Energy Commission, 518 
Inter- American problems. See Latin America 
Intercontinental ballistic missiles (see also Missiles), 
proposed ban on use of nuclear warheads in, letter 
(Bulganin), 379 
Interdepartmental Committee on Trade Agreements, func- 
tions, 286 
Interdependence, U.S. and free world, concept and impli- 
cations of, addresses, article, and statements : Dulles, 
21, 607, 622, 715 ; Palmer, 993 
Interest rates on DLF loans, ICA announcement, 222 
Intergovernmental Committee for European Migration: 
Council and executive committee, 7th and 9th sessions, 

article (Warren), 75 
Director, U.S. nomination submitted, 446 
Intergovernmental Maritime Consultative Organization, 

convention, 277, 710, 749, 1109 
Interhandel case, U.S. position regarding jurisdiction of 

ICJ in matter of, address (Becker), 833 
Intermediate-range ballistic missiles. See under Missiles 
International Atomic Energy Agency. See Atomic En- 
ergy Agency, International 
International Bank for Reconstruction and Development 
(see also International Finance Corporation and 
International Monetary Fund) : 
Articles of agreement, 537, 538, 749, 842 
Discussions with Suez Canal Co. stockholders and 
United Arab Republic regarding settlement of dis- 
pute, 257, 1097rt 
Expansion of resources, question of, statement 

(Dulles), 1087 
Financing of economic development, address (Kotsch- 

nig), 310 
Loans to — 
Brazil, 262; Pakistan Industrial Credit and Invest- 
ment Corporation, Ltd., 28 
Semiannual financial statement, 353 
U.S. executive director, appointment and confirmation, 
41, 278 



International Civil Aviation Organization : 
Civil aviation training program in Iran, 309 
Protocol concerning meetings of the Assembly, 749 
International conference on radioisotopes in scientific re- 
search, article (Manov), 195 
International Cooperation Administration (see also De- 
velopment Loan Fund, Economic and technical aid, 
and Mutual security) : 
Administration of programs, statement (Smith), 527 
Investment guaranty program, expansion of, address 

(Dillon), 142 
Loan to Iceland, 93 
Operations missions, appointment of directors to — 

Chile, 1126; Ghana, 663, 982; Sudan, 663 
Press and public information activities related to mu- 
tual security program, transfer to State Depart- 
ment, 405 
Report on obligations of mutual security funds in Far 
East, 222 
International Court of Justice: 

Compulsory jurisdiction, U.S. reservation, address 

(Becker), 832 
Statute, 362 
International Cultural Exchange and Trade Fair Par- 
ticipation Act of 1956, 226 
International development association, proposed estab- 
lishment, address and statement (Dillon), 564, 971 
International development fund, U.N., proposed estab- 
lishment, U.S. position, address (Kotschnig), 311 
International Finance Corporation (see also Interna- 
tional Bank) : 
Articles of agreement, 674, 710 
Functions of, address (Kotschnig), 310 
International fishery conservation conventions, U.N. con- 
ference on law of the sea resolution, text, 1124 
International Geophysical Tear: 

Antarctica, cooperative scientific activities at, U.S. pro- 
posal for continuation, 910, 911, 912, 1038 
Outer-space activities, implications regarding rights 
in, statement (Becker), 965 
International Hydrographic Bureau, designation as 

public international organization, 1074 
International Joint Commission (U.S.-Canada), role in 
development of Upper Columbia River, statement 
(McKay), 1062 
International Labor Conference : 
42d session, U.S. delegation to, 1075 
Maritime session, 41st, U.S. delegation to, 888 
International Labor Organization : 
International Labor Conference : 
42d session, U.S. delegation to, 1075 
Maritime session, 41st, U.S. delegation to, 888 
Reports on economic opportunities for women, article 

(Hahn), 931 
Withdrawal from Senate by President Eisenhower of 
certain conventions and understanding adopted by, 
841 
International law : 

Development of, statement (Eisenhower), 831 



Index, January to June 1958 



1153 



International law — Continued 
International Law Commission : 

Decisions regarding breadth of territorial sea, state- 
ment (Dean), 579, 5S0 
Tribute to, U.N. conference on law of the sea resolu- 
tion, text, 1125 
Outer-space developments, relation to, statement 

(Becker), 965 
Political problems of, address (Becker), 832 
Soviet closing of Peter the Great Bay, texts of U.S. 

and Soviet notes, 461 
Territorial waters, question of rights in and breadth 

of. See Territorial waters 
U.N. conference on law of the sea. See Law of the sea 
International Monetary Fund (see also International 
Bank) : 
Articles of agreement, 537, 538, 749, 842 
French financial discussions, participation in, announce- 
ment, 269, 271, 272 
Resources, question of expansion, statement (Dulles), 

1087 
Role in promoting international financial stability, ad- 
dress ( Dillon ) , 971 
Stabilization credits to less developed countries, U.S. 
participation in, address (Rubottom), 610, 613 
International organizations (see also subject) : 

Calendar of international conferences and meetings, 

29, 192, 35S, 572, 743, 923 
U.S. representative to, designation, 674 
Works of, protocol concerning application of universal 
copyright convention (1952) to, 103 
International Organizations Immunities Act (1945), pro- 
visions, 1074 
International Pacific Halibut Commission, appointment 

of U.S. member, 537 
International Pacific Salmon Fisheries Commission, ap- 
pointment of U.S. member, 109 
International Radio Consultative Committee, 9th plenary 

assembly of, S41 
International tensions, reduction of : 

Summit meeting, proposed. See Summit meeting 
U.N. efforts toward, letter (Eisenhower), 235 
U.S. and Soviet views, address and exchanges of cor- 
respondence : Dulles, 162 ; Eisenhower, Bulganin, 
122, 373 
Investment of private capital abroad : 

Africa, addresses : Holmes, 801 ; Palmer, 998 

Canada, U.S. investment in, addresses (Merchant), 296, 

1002 
Europe, common market effect on, address (Mann), 2S5 
Export-Import Bank aid to, statement (Waugh), 399 
Investment guaranty program : 

Agreements with : Afghanistan, 154 ; Jordan, 674 
Expansion of, address (Dillon), 142 
Latin America, U.S. investment in, addresses and ar- 
ticle: Culbertson, Lederer, 23, 26, 27; Rubottom, 
520, 521, 609, 1108 ; Smith, 528 
Pakistan, promotion of private industry in, 28 
U.S. policy regarding, address, message, and statement : 
Dillon, 971 ; Eisenhower, 176 ; Judd, 60, 62, 6S 

1154 



Iran: 

Air communications, establishment of, 309 

Ambassador to U.S., credentials, 961 

Economic development, use of income from oil industry 

for, address (Kretzmann), 85 
Treaties, agreements, etc. : 

Air transport, agreement with U.S., 842 
Airfield and facilities, construction in Qazvin- 
Harnedan-Zenjan area, agreement with U.S. for 
aid in, 1110 
Maritime Consultative Organization, Intergovern- 
mental, convention, 277, 749 
U.S. aid, 413 

Visit of Ambassador Lodge, 211 
Visit of Secretary Dulles, 210 
Iraq: 

Economic development, use of income from oil industry 

for, address (Kretzmann), 85 
Union with Jordan, U.S. recognition of, 992 
University College, UNESCO aid to, 309 
Ireland : 
Air transport services, agreement amending annex to 

agreement with U.S., 586 
Educational exchange programs, agreement with U.S. 

for financing, 278 
Industrial property, convention (1934) for protection 

of, 842 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Iron and steel-mill products, U.S. exports and imports, 

43S 
Irwin, Wallace, Jr., 872 
Israel : 
Arab-Israeli dispute. See Arab-Israeli dispute 
DLF loan to, 1055 

Oil industry, development of, address (Kretzmann), 84 
Palestine refugees. See Palestine refugees 
Treaties, agreements, etc. : 

Agricultural commodities, agreement amending 1957 

agreement with U.S., 5S6 
Cultural property, protocol (1954) for protection in 

event of armed conflict, 981 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Private road vehicles, customs convention (1954) on 
temporary importation, 78 
U.S. educational, cultural, and scientific projects in, 
U.S. observer for, announcement, 961 
Italy : 
ICEM, membership on working group and executive 

committee, 77, 78 
Import controls against dollar goods, reduction of, 

statement (Weeks), 442 
Missile bases, U.S. intermediate, proposed establish- 
ment in, statement (Dulles), 640 
Security Council membership, U.S. views on question 

of, statement (Dulles) 948 
Tariff policy during 1930's, address (Mann), 896 



Department of Sfofe Bulletin 






Italy — Continued 
Treaties, agreements, etc. : 

Agricultural commodities, agreements with U.S.. 154, 
53S 

Air navigation services in Iceland, Greenland, and 
Faroe Islands, agreements on joint financing of, 
53S 

Atomic energy, civil uses of, agreements with U.S., 794 

Cape Spartel lighthouse, protocol terminating conven- 
tion (1S65) concerning, and transferring light- 
house to Morocco, 749 

Child-feeding program, agreement with U.S. relating 
to improvement of, 981 

Civil aviation convention (1944), international, pro- 
tocol amending, 749 

Commercial samples and advertising material, inter- 
national convention (1952) to facilitate importa- 
tion, 634 

Cultural property, convention (1954) and protocol 
for protection in event of armed conflict, 1109 

GATT, protocols amending and proces verbal of recti- 
fication, 362, 493 

Maritime Consultative Organization, Intergovern- 
mental, convention, 749 

North Atlantic ocean stations, agreement (1954) on, 
538 

Road vehicles, private, customs convention (1954) 
on temporary importation, 538 

Touring, convention (1954) concerning customs facili- 
ties for, 538 
Trust Territory of Somaliland : 

Boundary dispute with Ethiopia, arbitration recom- 
mended, statement (Wells) and General Assembly 
resolution, 150 

Progress toward independence, addresses (Holmes). 
764, 1093 

Jacobsen, Pierre, 75, 78 

Jacobsson, Per, 272 

Jacoby, Neil EL 109 

Jacyno, Joseph R., 767 

Jandrey, Frederick W., 385, 768, 863 

Japan : 

Demonstration protesting U.S. nuclear weapons tests, 

statement (Murphy), 961 
Economic position in Far East, significance of, state- 
ment (Robertson), 917 
Exports of cotton textiles and table flatware to U.S., 

voluntary reduction in, 439, 620, 621 
Girard case, U.S. position regarding legal jurisdiction 

in, address (Becker), 834 
Trade relations with Communist China, statement 

(Dulles), 948 
Trade relations with U.S., addresses, remarks, and 
statement : Dillon, 781 ; Dulles, 435, 596 ; Herter, 734 
Treaties, agreements, etc. : 

Charter of lease of U.S. vessels, agreement extending 

1952 agreement with U.S. relating to, 278 
Educational exchange program, agreements with U.S. 
relating to, 153 

Index, January to June 7958 



Japan — Continued 
Treaties, agreements, etc. — Continued 

Fishing agreements (1928, 1944) with Soviet Union, 

461, 462 
Maritime Consultative Organization, Intergovern- 
mental, convention, 710, 749 
Military equipment and materials, agreement clarify- 
ing 1955 agreement with U.S. relating to transfer, 
41 
Mutual defense assistance agreement (1954), agree- 
ment with U.S. relating to Japan's financial con- 
tribution during fiscal 1958 under, 934 
Naval aircraft, production and development in Japan, 
agreement with U.S. relating to, 362 
U.N. Special Fund : 
Membership on preparatory committee, 72» 
Role of, Japanese questions on, 65, 66 
U.S. aid, 222, 223, 224, 225 
War crimes cases : 

Designation of Secretary of State to act for U.S. in, 

Executive order, 94 
Parolees, life sentences reduced to time served, 
announcement, 736 
Jenter, Harry L., 1076 
Jewish nationalism, conflict with Arab nationalism, 

address (Kretzmann), 86 
Johns Hopkins University, relationship with WHO, 990 
Johnson, Lyndon B., 962, 967 
Johnson, U. Alexis, 278 
Johnston, Eric A., 211, 248, 328, 411m, 552 
Joint Commission on Rural Reconstruction (U.S.-China), 

57, 225, 530 
Jones, G. Lewis, Jr., 333 
Jones, Howard P., 406, 684 
Jones, John Wesley, 318 
Jordan : 

Aqaba, Gulf of. See Aqaba 

Israeli activities in area of Government House near 
Jerusalem, complaint against, statement (Lodge) 
and Security Council resolution, 275, 276 
Participation in exploitation of Middle East oil, 84 
Treaties, agreements, etc. : 

Drugs, protocol (1948) bringing under international 
control drugs outside scope of 1931 convention, as 
amended, 1029 
Investment guaranty program, agreement amending 

1956 agreement with U.S. relating to, 674 
Opium, protocol (1953) regulating production, trade, 

and use of, 1030 
Road vehicles, private, customs convention (1954) on 

temporary importation of, 238 
Touring, convention (1954) concerning customs facil- 
ities for, 238 
U.S. Ambassador, confirmation, 318 
Union with Iraq, U.S. recognition of, 992 
Jordan, Augustin, 56 
Joyce, Robert P., 153 
Judd, Walter H., 57, 60, 65, 69, 70 
Justice, International Court of: 

Compulsory jurisdiction, U.S. reservation, address 

(Becker), 832 
Statute, 362 

1155 



Kalijarvi, Thorsten V., 278 
Katzen, Bernard, 961 
Keenleyside, Hugh L., 58 
Kelly, H. H., 1052 

Kenya, developments in, address (Holmes), 1094 
Khan, Maj. Gen. M. Habibullah, 257 
Khrushchev, Nikita : 
Correspondence : 
Geneva meeting of technical experts. See Geneva 

meeting of technical experts 
International tensions, reduction of, letter to Presi- 
dent Eisenhower, 812 
New Year greetings to President Eisenhower, 92 
Nuclear weapons testing, proposals for cessation, 

680, 940 
Reply to Lord Russell letter, 290, 725 
Statements : 

Soviet economic offensive and challenge, 265, 475, 970 
Summit meeting, distortion of U.S. proposals, 249, 
373, 374, 375 
Killian, James R., Jr., 186, 682, 683, 684 
Kitchen, Robert W., Jr., 663 
Klutznick, Philip, 72 
Knight, Frances G., 191 
Kocher, Erie, 278 
Kohler, Foy D., 406, 901 
Kohnstamm, Max, 583 
Koht, Paul Gruda, 620 
Kopacsi, Sandor, 33 

Koranic laws regarding water, address (Kretzmann), 85 
Korea : 

Reunification of, reply to Chinese Communist statement 
regarding, announcement, letter (Lodge), and text 
of note, 734 
Withdrawal of forces from, statements (Dulles), 331, 

Korea, north, kidnapping of Korean National Airlines 
plane and U.S. citizens, U.S. statement of protest 
and concern, text, 462 
Korea, Republic of : 

Korean National Airlines plane incident in north Korea, 

462 
Treaties, agreements, etc. : 
Agricultural commodities, agreement with U.S. for 

purchase, 343, 362 
Atomic energy, civil uses of, agreement with U.S. 

amending 1956 agreement, 538, 981 
Opium, protocol (1953) regulating production, trade, 
and use of, 981 
U.N. effort for defense of, address (Lodge), 556 
U.N. membership, U.S. support, 237 
U.S. aid, 222, 223, 224, 527 
Koretsky, Vladimir, 574n 
Kossuth, Louis, 523 
Kotschnig, Walter M„ 304, 361 
Kovacs, Gen. Istvan, 33 
Kretzmann, Edwin M. J., 83 
Kubitschek, Juscelino, 1090 
Kurochkin, Nikolai, I., 1050 
Kuwait, importance of oil to economic development of, 

address (Kretzmann), 84 
Kuznetsov, V. V., 105, 106 

1156 



Labor : 

East German, rejection of communism by, address 

(Eleanor Dulles), 615 
Productivity of free labor, address (Dulles), 757 
SEATO committee on labor, information, cultural, and 
education activities, 515 
Labor Conference, International : 
42d session, U.S. delegation to, 1075 
Maritime session, 41st, U.S. delegation to, 888 
Labor Organization, International. See International 

Labor Organization 
Labouisse, Henry R., 34, 39 
Lacy, William S. B., 323 
Laidig, Donald R., 749 
Lall, Arthur, 554 
Laos: 
Political situation in, address (Robertson), 701 
U.S. aid, 222, 223, 224 
U.S. Ambassador, confirmation, 634 
Visit of Prime Minister to U.S., 56, 168 
Latin America (see also Inter-American, Organization of 
American States, Pan American, and individual coun- 
tries) : 
Central America, proposed visit of Milton Eisenhower, 

663, 1042 
Collective security in (see also Organization of Ameri- 
can States), address (Dulles), 716 
Communist activities in, addresses: Dulles, 716; Ru- 

bottom, 180 
Economic and trade relations with U.S., addresses, 
article, and statements : Armstrong, 207 ; Culbert- 
son, Lederer, 23 ; Dulles, 135, 136, 643, 644, 717, 718, 
722, 723 ; Rubottom, 212, 608, 1108 
Economic conference, inter-American, results of, ad- 
dress (Dillon), 500 
Education, U.S. aid to, 249 
Export-Import Bank loans, 273, 401 
Foreign Relations of the United States, 1939, Volume 

V, The American Republics, published, 890 
Inter-American solidarity, reaffirmation of, exchange 
of correspondence between President Eisenhower 
and President Kubitschek of Brazil, 1090 
Internal affairs, U.S. noninterference in, statement 

(Dulles), 944 
Soviet program of aid and trade, 133, 206, 470 
Travel in, U.S. expenditures in 1957, 523 
U.S. aid, 184, 215 
U.S. relations with, addresses and statements: Dulles, 

947, 1086 ; Rubottom, 518, 656 
Visit of Vice President Nixon. See Nixon, Richard M. 
Latvia, 40th anniversary of declaration of independence, 

statement (Dulles), 337 
Law, international. See International law 
Law Day, 1958, proclamation and statement (Eisen- 
hower), 293, 831 
Law of the sea, U.N. conference on (see also International 
law) : 
Abstention in fishing, U.S. delegation statement regard- 
ing U.S.-Canadian proposal, 708 
Breadth of territorial sea, question of, U.S. proposal 
and views, address and statement : Dean, 1110 ; 
Becker, 834 

Department of Sfafe Bulletin 



Law of the sea, U.N. conference on — Continued 
Conventions adopted, texts, 1111 
Problems confronting, statement (Dean), 574 
Protocol adopted, text, 1123 
Resolutions adopted, texts, 1124 
U.S. delegation, listed, 404 
Lawrence, Ernest O., 941 

League of Nations, defects of and objections to, ad- 
dresses : Jandrey, 863 ; Lodge, 347 
Lebanon : 

Ambassador to U.S., credentials, 337 
Application of American Doctrine to situation in, state- 
ment (Dulles), 945 
Political developments in, statement (Murphy), 958 
U.N. action in 1946 regarding withdrawal of foreign 

forces from, address (Lodge), 556 
U.S. Ambassador, appointment and confirmation, 109, 

278 
U.S. nationals in, protection of, statement (Dulles), 

947 
United Arab Republic interference in, statements : 
Dulles, 946, 948, 1089 ; Murphy, 959 
Lederer, Walther, 23 

Legal Adviser of the State Department, political prob- 
lems of, address (Becker) , 832 
Legislation. See under Congress 
Lemus, Jose Maria, 182 

Lend-lease, agreement with France for postponement of 
installment payments under 1946 agreement, 269, 270, 
278 
Lend-lease operations, transmittal of President's 38th 

report to Congress on, 570 
Lennox-Boyd, Alan T., 746 

Less developed countries (see also Development Loan 
Fund, International Bank, Investment of private cap- 
ital, and Special United Nations Fund) : 
Appeals of communism to, statement (Robertson), 915 
Atomic energy programs in, IAEA assistance to, ad- 
dresses (McKinney), 547, 784 
Economic offensive of Soviet Union and Soviet-bloc 
countries in, and U.S. programs and policies to 
counter, addresses, messages, remarks, reports, and 
statements : Armstrong, 203, 205, 206, 207 ; Depart- 
ment resume, 144; Dillon, 139, 140, 265, 266, 469, 
471, 472, 473, 474, 501, 502, 503, 564, 597, 598, 627, 
737, 739, 750, 779, 780, 881, 969, 970 ; Allen Dulles, 
341 ; Dulles, 50, 133, 135, 161, 427, 429, 430, 433, 507, 
596, 622, 623, 624, 948, 1040, 1089 ; Eisenhower, 7, 8, 
50, 117, 170, 175, 176, 177, 178, 263, 368, 413, 414, 
593, 594; Herter, 732, 733, 791; Judd, 58, 60, 61; 
Kotschnig, 305, 306, 307; Lodge, 345, 348; Mann, 
899; Palmer, 997; Robertson, 699, 700, 701, 916; 
Rubottom, 184, 522, 613; Sarasin, 509, 510, 511; 
Smith, 532, 533 ; Weeks, 436, 444 
Industrial countries, aid to, statement (Dillon), 565 
International development association, proposed estab- 
lishment, address and statement (Dillon), 564, 971 
International organizations, contributions to, address 

(Kotschnig), 304 
NATO Heads of Government views on aid to, 8, 15, 50 

Index, January to June J 958 



Less developed countries — Continued 
U.N. technical assistance program. See under United 

Nations 
WHO assistance to, remarks (Wilcox), 987 
Libby, Willard F., 197 
Liberia : 

North Atlantic Ice Patrol, agreement (1956) regard- 
ing financial support of, 842 
U.S. assistance to, address ( Palmer) , 998 
Liberty, American experiment in, address (Dulles), 755 
Libya : 

Cultural property, convention (1954) and protocol for 

protection in event of armed conflict, 78 
U.S. Ambassador, confirmation, 318 
Lighthouse, Cape Spartel, convention (1865) concerning, 
protocol terminating, and transferring lighthouse to 
Morocco, 749 
Lillieo, Stuart, 729 
Lincoln, Abraham, 417 
Literary works, inter-American convention concerning, 

withdrawal from Senate by President, 841 
Lithuania, 40th anniversary of declaration of independ- 
ence, statement (Dulles), 337 
Loan Fund, Development. See Development Loan Fund 
Loans, U.N. See International Bank 
Loans, U.S. (see also Development Loan Fund and Ex- 
port-Import Bank) : 
Latin American countries, 26, 610 
Policy regarding, address (Eisenhower), 119 
Proceeds from surplus agricultural commodities sales, 

use for loans, 478, 483, 484, 566, 567, 568, 610 
Raw-material-producing countries, credits to, statement 
(Dulles), 1089 
Locust control, U.N. aid to Middle East campaign, ad- 
dress (Kotschnig), 309 
Lodge, Henry Cabot : 

Addresses and statements : 

Arctic inspection zone, U.S. proposal, 816, 819 

Cyprus question, U.S. position, 31 

General Assembly, 12th, four major accomplishments 

of, 31 
Hungary, developments in, 33 
India and U.S. efforts for peace, 554 
Jordan complaint against Israeli activities in area 
of Government House near Jerusalem, U.S.-U.K. 
proposal for settlement, 275 
Peaceful and neighborly relations among states, 3- 

power draft resolution, U.S. support, 104 
U.S. and the U.N., 344 

U.S. military flights in Arctic region, Soviet com- 
plaint in Security Council regarding, 760, 763n 
Correspondence : 

Hungarian patriots, continuing prosecution of, letter 
to Hungarian U.N. representative requesting reply 
to U.S. letter concerning, 582 
Korea, reunification of, transmittal to U.N. of Uni- 
fied Command reply to Communist China proposal 
regarding, 735 
Visit to Middle East, announcement, 211 

1157 



Lodge, John Davis, 420 
Lombardo Toledano, Vincente, 181 
Lord, Mrs. Oswald B., 492, 884 
Lott, Gen. Henrique Teixeira, 182 
Lovett, Robert A., 491 
Lutkins. LaRue R., 109 
Luxembourg : 

GATT, 6th protocol of rectifications and modifications 
to texts of schedules, 198 

IAEA, statute, 277 

Import duties, reduction of, statement (Weeks), 442 
Lychowski, Tadeusz, 350, 351 
Lynch, Edward S., 464 

Macmillan, Harold, 1086 

Macomber, William B., Jr., 520, 703 

Madagascar, progress toward self-government in, address 

(Holmes), 1094 
Magsaysay, Ramon, 506 
Maiwandwal, Mohammad Hashim, 961 
Malaria eradication. See under Health and sanitation 
Malaya, Federation of : 

Independence of, statement (Dulles), 506 
Treaties, agreements, etc. : 

Civil aviation convention (1944), international, 710 

IFC, articles of agreement, 674 

IMF, articles of agreement, 537, 538 

International Bank, articles of agreement, 537, 538 

Telecommunication convention (1952), international, 
493 

Universal postal convention (1952), 302 

WHO, constitution, 934 

WMO, convention, 981 
U.S. Ambassador, confirmation, 278 
Maleter, Gen. Pal, 33 
Mallory, Lester D., 318 
Manila Air Station, agreement with Philippines relating 

to relinquishment of, 362 
Manila Pact. See Southeast Asia Treaty Organization 
Manley, John Henry, 709 
Mann, Thomas C, 278, 283, 692, 895 
Manning, Lester W., 1126 
Manov, George G., 195 
Mansfield amendment to American Doctrine, significance 

of, statement (Dulles), 946, 949 
Marine life, humane killing of, U.N. conference on law 

of the sea resolution, text, 1124 
Maritime Consultative Organization, Intergovernmental, 

convention, 277, 710, 749, 1109 
Maritime law. See Law of the sea 
Marshall plan, significance of, address (Herter), 789 
Martin, Kingsley, 290 
Masani, M. R., 68 
McCarthy, William J., 391 
McClellan, Lt. Col. Howard, 462 
McClellan, Leslie N., 360 
McClintock, Robert, 109, 278 
McCloy, John J., 491 
McCollum, Robert S., 152 
Mcintosh, Dempster, 278, 464 
McKay, Douglas, 1062 

1158 



McKinney, Robert M., 237, 238, 543, 783 
Medical supplies, U.S. emergency aid to Pakistan, 782 
Medicine, U.S.-Soviet agreement and negotiations for ex- 
change of group specialists in, 244, 324, 1049 
Mediterranean development project, FAO proposal for, 

1070 
Mendenhall, J. W., 537 
Menon, Krishna, 108, 554 
Menshikov, Mikhail Alekseevich, 337 
Merchant, Livingston T., 294, 999 
Merrill, Frederick T., 381 

Meteorological Organization, World. See World Meteor- 
ological Organization 
Meteorology. See Weather 
Mexico : 

Pan American Highway system, reservation to draft 
treaty relating to international commercial vehicu- 
lar traffic, article (Kelly), 1053 
Travel in, increase in, 523 
Treaties, agreements, etc. : 

Economic development loan, agreement with U.S., 103 
IAEA, statute, 710 

Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
U.N. Special Fund, membership on preparatory com- 
mittee, 72n 
Middle East. See Near and Middle East 
Military aspects of SEATO, 4th Council meeting commu- 
nique on, 505 
Military assistance (see also Military missions, Mutual 
defense, and Mutual security) : 
Address and message (Eisenhower), 367, 368, 412, 413 
Agreements regarding, with — 
Bolivia, 890, Philippines, 842 
Budget request for fiscal 1959, 370, 429 
Expenditures, effect on U.S. economy, address (Dillon), 

738 
NATO, U.S. aid to, 8, 9, 10, 11 
Near and Middle East. See American Doctrine 
SEATO area, report (Sarasin), 512 
Soviet-bloc countries activities, 147 
Military aviation. See Aviation and Air Force 
Military bases, U.S., overseas (see also Missiles: Bases, 
U.S.) : 
Germany, Federal Republic of, agreement relating to 

transfer of U.S. air bases and air depot to, 154 
Importance of , address (Dulles), 416 
Philippines, agreements relating to: 

Assignment of Philippine liaison officers, 913, 983 
Fort Stotsenberg, exploitation of mineral resources 

in, 634 
Manila Air Station, relinquishment of, 362 
Soviet position regarding, aide memoire and letters 

(Khrushchev), 460, 814, 941 
Trinidad naval base, U.S. statement regarding location 
of, 961 
Military equipment, materials, facilities, and services, use 

of foreign currencies for procurement abroad, 482 
Military equipment, U.S. regulations regarding interna- 
tional traffic in, amended, text, 95 

Department of State Bulletin 



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Military goals and power, comparison of U.S. and Soviet, 
address, message, and statement : Dulles, 756, 1038 ; 
Eisenhower, 110 
Military housing, U.S., construction abroad : 

Agreement with U.K. amending 1956 agreement regard- 
ing, 494 
Use of proceeds from surplus agricultural commodities 
sales for, excerpt from President's report to Con- 
gress, 478, 483, 488 
Military mission, agreement with Argentina for estab- 
lishment of Air Force mission in, 842, 981 
Military planning staff, combined, Baghdad Pact, 256 
Military program, U.S. See Defense, Mutual defense, 

Mutual security, and National security 
Mineral resources, U.S., proposed stabilization plan for, 

statement (Dulles), 810 
Mining experts, U.S., visit to Soviet Union, delegation, 

1006 
Missiles (see also Outer space, and Satellites, earth-cir- 
cling) : 
Application of atomic energy to, U.S. policy, address 

(McKinney), 544 
Intercontinental ballistic missiles, proposed ban on use 

of nuclear warheads in, letter (Bulganin), 379 
Intermediate-range ballistic missiles : 

Agreement with U.K. relating to supply by U.S., 418, 

419, 446 
Bases, U.S. : 

Baghdad Pact countries, Soviet charge of forcing 

on, Department statement, 210 
Italy, possible establishment in, statement 
(Dulles), 540 
U.S. offer and NATO acceptance of, report and state- 
ment (Dulles), 9,48,49 
NATO Missile Training Center Project, 8 
Research and development, need for cooperation by 

free world, article (Dulles), 21 
Soviet capability, challenge to U.S., address (Allen 

Dulles), 339, 340, 341 
U.S. program: 
Budget request for, President's message to Congress, 

169, 170, 171, 172, 173, 174, 176 
Progress in developing, address (Eisenhower), 116 
Testing failures of, understanding, address (Killian), 
189 
Uses of, Soviet views on, letter (Bulganin), 128 
Missionary activities in Africa, American, address 

(Palmer), 997 
Mod, Peter, 582, 583 
Moffat, Abbot Low, 982 
Monaco, convention and protocol (1954) for protection 

of cultural property in event of armed conflict, 154 
Monetary Fund, International. See International Mon- 
etary Fund 
Money orders, international, agreements for exchange, 
with— 
British Guiana, 586 ; Republic of China, 104 
Monnet, Jean, 271 
Monroe Doctrine, concept of interdependence principle, 

address (Dulles), 716 
Moore, Milo, 109 



Hljn Index, January to June ?958 



Moore, Virgil L., 152 
Moose, James S., Jr., 109, 634 
Mora, Jose, 718 
Morocco : 

Cape Spartel lighthouse, protocol terminating conven- 
tion (1865) concerning, and transferring lighthouse 
to Morocco, 749 
Genocide, convention (194S) on the prevention and 

punishment of the crime of, 446 
IMF, articles of agreement, 842 
International Bank, articles of agreement, S42 
Visit of Secretary Dulles, 210 
Moscow ambassadorial meeting. See -under Summit 

meeting 
Motion picture films, agreement and negotiations with 
Soviet Union for exchange of, 245 (text), 248, 323, 
324, 328, 552, 830 
Mundt, Sen. Karl, 248, 249 
Murphy, Father Anthony, 3S4 
Murphy, Robert, 312, 372, 607, 952 

Mutual defense. See Baghdad Pact, Collective security, 
Defense, Mutual security, National security, North 
Atlantic Treaty Organization, and Southeast Asia 
Treaty Organization 
Mutual defense assistance (see also Mutual security), 
U.S. program in Far East, statement (Robertson), 
915 
Mutual defense assistance agreements with — 
Ethiopia : 

Disposition of equipment and materials, 277 
Special program of facilities assistance, 198 
France, for sale of equipment, materials, and services, 

269, 270, 27S 
Guatemala, for disposition of equipment and materials, 

104 
Japan : 

Providing for financial contribution for U.S. admin- 
istrative and related expenses, 934 
Transfer of military equipment and materials to 
Japan, 41 
Philippines, for establishment of Mutual Defense Board 
and assignment of Philippine liaison officers to 
U.S. bases in, 913, 982 
Mutual Defense Board, U.S.-Philippine, 913, 9S2 
Mutual security and other assistance programs (.see also 
Agricultural surpluses, Collective security, Economic 
and technical aid, Military assistance, and Mutual 
defense) : 
Addresses, article, message, and statement: Douglas, 
778 ; Dulles, 21, 799, 848 ; Eisenhower, 226, 234, 411 ; 
Herter, 732, 733 ; John Lodge, 422 ; Robertson, 916 ; 
Wilcox, 666 
Appropriation request for, excerpts from President's 

messages to Congress, 175, 370 
Continuation of, recommendations for, addresses, mes- 
sage, and statement: Dulles, 415, 427, 622; Eisen- 
hower, 367 ; Robertson, 698 
Coordination of program : 

Responsibility for, address (Dillon), 502 
Special assistant for, confirmation, 538 
Defense support. See Defense support 

1159 



Mutual security and other assistance programs — Con. 
Development Loan Fund. See Development Loan Fund 
Economic aspects of, address and statement: Dillon, 

736 ; Smith, 527 
Information activities related to, transfer from ICA to 

State Department, 405 
Nonmilitary program, financial summaries, 222, 534, 535 
Mutual understanding and cooperation, treaty with Pan- 
ama, annuity payment by U.S. under provisions of, 



NAC. See North Atlantic Council 
Narcotic drugs. See Drugs, narcotic 
Nasser, Gamal Abdul, 684, 949 
NAT. See North Atlantic Treaty 
National Academy of Sciences, 533, 563 
National Olympic Week, 1958, proclamation, 1084 
National security, U.S. {see also Defense, Collective se- 
curity, Mutual defense, and Mutual security) : 
Conference on foreign aspects of : 
Addresses : Dillon, 502, Dulles, 415 ; Eisenhower, 411 
Request to convene, letter ( Eisenhower ) , 211 
Interdependence of U.S. and Latin American security, 

statement (Rubottom), 1108 
Major objectives of U.S. program, President's message 

to Congress, 368 
Relationship to trade policy, addresses and remarks: 
Dillon, 597 ; Dulles, 595 ; Eisenhower, 591 ; Herter, 
731 
U.S. budget, national security considerations in formu- 
lation of, President's message to Congress, 169 
National War College, designation of Deputy Commandant 

for Foreign Affairs, 794 
Nationalism : 

Collective security and nationalism, relationship of, 

address (Jandrey), 863, 870 
Communist manipulation of, addresses and statement: 
Murphy, 953, 959, 960; Rountree, 918; Rubottom, 
181, 185 
Development and problems in : 
Africa, addresses: Holmes, 259, 764, 859, 1092; 

Palmer, 824, 993 
Canada, address (Merchant), 1000 
Middle East, address and statements: Dulles, 1089; 
Kretzmann, 86, 87 ; Murphy, 959 
United Nations and nationalism, relationship of, arti- 
cle (Irwin), 872 
NATO. See North Atlantic Treaty Organization 
Natural Resources and Industry, ECAFE Committee on, 

U.S. delegation to 10th session, 361 
Nauru Island, agreement with Australia for construc- 
tion and operation of weather station on, 538 
Naval base, U.S., at Trinidad, U.S. statement regarding 

location of, 961 
Naval vessels and equipment : 

Missile-guided and nuclear-powered ships, program for 
development and construction and proposed legisla- 
tion for cooperation with allies, 169, 173, 313 
Lease of U.S. vessels, agreement with Japan extend- 
ing 1952 agreement relating to, 278 



1160 



Naval vessels and equipment — Continued 
Lend-lease naval vessels, destruction of U.S. vessels 

loaned to Soviet Union, 570 
U.S. regulations on international traffic in arms re- 
garding, amended, 96, 97 
Navigation, friendship, and commerce treaties: 

Expansion and revision of, address (Dillon), 142 
Treaty with Nicaragua, 793, 842, 934 
Near and Middle East (see also individual countries) : 
Aid from : 

Soviet-bloc countries, 144, 470, 473, 750 
United Nations, 308, 309 
United States, 135, 141 
American Doctrine. See American Doctrine 
Arab States. See Arab States 
Collective security. See Baghdad Pact 
Foreign Relations, volume on, published, 1126 
Gulf of Aqaba. See Aqaba 
Independence and sovereignty of : 
NATO Heads of Government meeting communique re- 
garding, 13 
Tripartite Declaration on, statement (Dulles), 948 
Oil resources in, problems relative to, statement 

(Dulles), 807 
Political changes and unrest in, statements (Dulles), 

606,722 
Refugee problem. See under Refugees 
Soviet policy in, correspondence and statements: Bul- 
ganin, 130 ; Dulles, 251, 255 ; Eisenhower, 123, 124 ; 
Soviet aide memoire, 460 
Suez Canal problem. See Suez Canal 
U.N. efforts in solving problems of, letter (Eisenhower), 

235,236 
U.S. policy in (see also American Doctrine), addresses 
and statements: Dulles, 251, 684; Kotschnig, 304; 
Kretzmann, 83, 87, 88, Rountree, 918 
UNEF. See United Nations Emergency Force 
Visit of Secretary Dulles, 210 
Negotiations, diplomatic : 
Role in conduct of foreign relations, addresses : Dulles, 

159 ; Kohler, 901 
With Soviet Union, U.S. views on, addresses and state- 
ments: Dulles, 20, 21, 132, 137, 138, 336, 337, 801, 
802, 855, 1040; Elbrick, 1058: Lacy, 326, 327; Mer- 
chant 299 
Negroes in U.S., progress in civil liberties of, address and 

statement : Lodge, 558 ; Lord, 886 
Nehru, B. K., 464 
Nehru, Jawaharlal, 17, 18 
Nepal : 

Roadbuilding program in, U.S.-India-Nepal cooperative 

agreement for, 149, 446 
Telecommunication convention (1952), international, 
with annexes, 103 
Netherlands : 

Caribbean Commission, 26th meeting, 1074 
ICEM, membership on executive committee and work- 
ing group, 77, 78 
Lend-lease account with U.S., payment on, 570 
Quota restrictions on dollar goods, reduction of, state- 
ment (Weeks), 442 

Department of State Bulletin 



Netherlands — Continued 
Treaties, agreements, etc. : 

Cape Spartel lighthouse, protocol terminating con- 
vention (1865) concerning, and transferring light- 
house to Morocco, 749 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Road vehicles, private, customs convention (1954) on 

temporary importation, 634 
Touring, convention (1954) concerning customs 

facilities for, 634 
Whaling convention (1946), international, protocol 
amending, 78 
Neutralism : 

Arab States policy, address (Kretzmann), 86 
Communist campaign to promote in Asia, statement 

(Robertson), 914 
Polish plan to neutralize Central Europe. See Dis- 
armament : Rapacki plan 
New Year greetings, exchanged with Soviet Union, 92 
New Zealand: 

Aid to SEATO, 512, 513, 514 

GATT, 6th protocol of rectifications and modifications 

to texts of schedules, 198 
Import policy, GATT consideration of, 926 
Road traffic, convention (1949), with annexes, 538 
SEATO Council, Wellington selected as site for 5th 

meeting, 506 
Visas, fees and related matters, agreement with U.S., 
982 
Newbegin, Robert, 634 
News correspondents. Sec Correspondents 
Nicaragua : 

Treaties, agreements, etc. : 

Friendship, commerce and navigation, treaty and 

protocol with U.S., 793, 842, 934 
GATT, 4th protocol of rectifications and modifications 

to annexes and texts of schedules, 198 
Research reactor, agreement with U.S. concerning 

civil uses of atomic energy of, 494 
Telecommunication convention (1952), international, 
with annexes and final protocol, 103 
U.S. regulations on exports of arms, ammunition, and 

implements of war, amended, 100 
Visit of Milton Eisenhower, proposed, 663, 1042 
Nicolson, Sir Harold, 325, 327 
Nigeria, Federation of : 

Educational program, U.S.-U.K. sponsored, 143 
Progress toward independence, addresses (Holmes), 
766, 1093 
Nixon, Richard M., visit to Latin America : 
Accomplishments and benefits, statement (Rubottom), 

1104 
Briefing prior to and purpose of trip, statement (Mur- 
phy), 952, 954 
Caracas incident : 

Statement (Dulles), 943 
Venezuelan note, text, 951 
Views of President of Brazil, letter, 1091 
Welcome home ceremony, remarks and statement 
(Eisenhower, Nixon), 950 



8ii!leli»l' nc ' ex ' January to June 1958 



Nkrumah, Kwame, 517, 1096 

Noninterference, doctrine of, U.S. adherence to, statement 

(Dulles) ,944 
Non-self-governing territories (see also Self-determina- 
tion and Trust territories) : 
Africa, development of nationalism in, and trend to- 
ward self-government, addresses : Holmes, 258, 259, 
858, 1092 ; Jandrey, 865 ; Palmer, 824, 994 
EEC trade with, U.S. statement regarding, 929 
Relations with Europe, U.S. views, address and state- 
ment : Elbrick, 1060 ; Palmer, 994 
North American Air Defense Command, agreement with 
Canada on organization and operations of, texts of 
notes, 979, 981 
North Atlantic Council : 

Meetings, purpose of, statement (Dulles), 809 
Ministerial meeting: 
Statement (Dulles), 851 
Text of communique, 850 
U.S. delegation, 851 
North Atlantic Ice Patrol, agreement (1956) regarding 

financial support of, 317, 362, 842 
North Atlantic ocean stations, agreement (1954) on, 538 
North Atlantic Treaty, 9th anniversary of signing, mes- 
sage (Dulles), 645 
North Atlantic Treaty Organization (see also Atlantic 
Community and North Atlantic Council ) : 
Defense Ministers' conference, text of final communique, 

729 
Developing the scope of, address and statement: 

Dulles, 718 ; Elbrick, 1060 
Functions and purpose of, addresses and remarks: 

Eisenhower, 91 ; Jandrey, 385, 864 
Heads of Government Meeting : 
Address and statements: Dulles, 16; Eisenhower, 3, 

15 
Declaration and communique, text, 12 
Results of, address and report to Nation on (Eisen- 
hower, Dulles), 47, 53 
Soviet views on, letter (Bulganin), 380 
U.S. delegation, 16 
Liaison with OAS, proposed, statement (Dulles), 605 
Member countries, participation in proposed summit 
meeting, Soviet proposal regarding, aide memoire, 
460 
Nuclear information, U.S., proposed legislation for 
sharing with NATO allies, statements: Dulles, 740; 
Murphy, 312 
Science Committee, 11, 14, 359 
Secretary General, appointment of scientific adviser 

to, 359m 
Soviet proposal for nonaggression agreement with War- 
saw Pact members, exchange of views regarding, 
letters (Eisenhower, Bulganin), 124, 130 
Strengthening, proposals for: 
Heads of Government meeting, communique, 13, 

14, 15 
Soviet views on, letters (Bulganin), 127, 128, 651 
U.S. proposals and views, statement (Dulles), 8 
U.S. representative, Washington consultations, 709 
"Northern tier" pact. See Baghdad Pact 

1161 



Northwest Atlantic fisheries, international convention 

(1949) on, 981 
Norway : 

Ambassador to U.S., credentials, 620 
Quota restrictions on dollar goods, reduction of, state- 
ment (Weeks), 442 
Nuclear energy. See Atomic energy 
Nutrition, FAO accomplishments in matters relating to, 

1068 
Nyasaland. Sec Rhodesia and Nyasaland, Federation of 

OAS. See Organization of American States 
Ocean stations, North Atlantic, agreement (1954) on, 538 
O'Connor, Roderic L., 22, T8, 560 

OBEC. See European Economic Cooperation, Organiza- 
tion for 
Oettinger, Mrs. Katberine Brownell, 584, 585 
Ohio University, teacher training program contract in 

Nigeria, 143 
Oil: 

Middle East : 

Importance to economic development, address (Kretz- 

mann), 83, 84 
Marketing problems, statement (Dulles), 807 
Venezuelan, U.S. investment in, 24, 26, 27 
Western Hemisphere, production and marketing prob- 
lems, U.S. policy regarding, addresses, correspond- 
ence, and statements : Mann, 695 ; Merchant, 1002 ; 
Murphy, 958 ; Rubottom, 520, 612 ; texts of notes, 
465 
Okinawa, review of U.S. policy on acquisition of land on, 

statement (Dulles), 723 
Olympic Week, National, 1958, proclamation, 10S4 
"Open-skies" proposals of President Eisenhower. See 

Inspection and control : Aerial inspection 
"Operation Albatross," SEATO documentary film, 515 
"Operation Long Legs," report on U.S. Strategic Air 

Command flights to Argentina and Brazil, 467 
Opium, protocol (1953) regulating the production, trade, 

and use of, 154, 317, 749 
Organization for European Economic Cooperation. See 

European Economic Cooperation 
Organization for Trade Cooperation. See Trade Co- 
operation, Organization for 
Organization of American States : 

Accomplishments during past year, statement (Rubot- 
tom), 518 
Cultural activities, address (Rubottom), 659 
Functions and purpose of, addresses : Dulles, 715, 716 ; 

Jandrey, 864 
Inter-American Child Institute, appointment of U.S. 

representative to directing council, 492 
Interchange of information with NATO, statements 

(Dulles), 605, 718 
Meetings, question of Secretary Dulles attending, state- 
ments i Dulles), 330 
U.S. contribution, President's budget message to Con- 
gress, 371 
Organization of the Employment Service, convention 
(1948) concerning, withdrawal from Senate by Presi- 
dent, 841 

1162 



OTC. See Trade Cooperation, Organization for 
Outer space (see also Missiles and Satellites, earth- 
circling) : 
Atomic Policy in the Space Age, address (MeKinney), 

543 
Free-world research and cooperation in, need for, 

article (Dulles), 21 
Introduction to Outer Space, report released, 976w 
Peaceful uses of, U.S. proposal for, and Soviet views, 
addresses, article, correspondence, and statements : 
Bulganin, 379; Dulles, 166, 252, 292, 849, 1037; 
Eisenhower, 126, 373 ; Khrushchev, 814 ; Sisco, 976, 
977 ; Soviet aide memoire, 460 ; White House, 655 ; 
Wilcox, 666 
Problems of, relationship to U.S. foreign policy, state- 
ments : Becker, 962 ; Dulles, 1036 
Technology, need for fundamental research in, address 

(Killian), 186 
U.N. role in control of, statements (Dulles), 166, 604 
Overby, Andrew N., 41 

Pacific Halibut Commission, International, appointment 

of U.S. member, 537 
Pacific Salmon Fisheries Commission, International, ap- 
pointment of U.S. member, 109 
Pact of mutual cooperation. See Baghdad Pact 
Pakistan : 
Communist efforts in, suppression of, SEATO report, 

511 
DLF loan, 1055 
GATT, 6th protocol of rectifications and modifications 

to texts of schedules, 198 
International Bank loan, 28 
Tax treaty with U.S., proposed, 143 
U.N. Special Fund, membership on preparatory com- 
mittee, 72(t 
U.N. technical assistance program, comment on, 64 
U.S. aid, 487, 512, 513, 514, 529, 782 
Visit of Ambassador Lodge, 211 
Palestine (see also Arab-Israeli dispute) : 
Refugees. See under Refugees 
U.N. accomplishments in. address (Lodge), 556 
Palmer, Joseph, 2d, 824, 993 

Pan-African conference, U.S. views on, addresses, mes- 
sage, and statement: Dulles, 765; Holmes, 764, 857; 
Rountree, 919 
Pan American Day and Pan American Week, 1958, proc- 
lamation and address (Dulles), 217, 715 
Pan American coffee conferences, 213 
Pan American Highway, 611, 1052 



Annuity payment by U.S., 380 
Point Four Week, proclamation, 522 
Visit of Milton Eisenhower, proposed, 663, 1042 
Pandit, Madame, 554 
Panel on the Impact of the Peaceful Uses of Atomic 

Energy, recommendations of, 548 
Paper and paper products, U.S. exports and imports, 438 
Paraguay, visit of Vice President Nixon to, statements: 
Murphy, 955; Rubottom, 1105 



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Department of State Bulletin % , >,. 



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stateuients 



Paris agreements (1954), purpose of, address (Jandrey), 

387 
Parity, Soviet principle of, address and statements : 

Dulles, 456, 602 ; Kohler, 906 
Parran, Thomas, 934 
Passports (see also Visas) : 
Cancellation of passports of Americans who visited 

Communist China, 22 
Photographs, acceptance of color photographs for, an- 
nouncement, 191 
Patent rights and technical information for defense pur- 
poses, agreement with Australia to facilitate inter- 
change, 238, 274 
Peace : 

Addresses, correspondence, remarks, and statements : 

Berding, 1045 ; Bulganin, 129, 130 ; Eisenhower, 3, 

4, 15, 16, 115, 122; Dulles, 799, 1037, 1038; Lodge, 

109 

Contribution of trade to cause of, address (Dillon), 881 

Mutual security program, relationship to, address 

(Eisenhower), 411 
Peaceful and neighborly relations among states, Gen- 
eral Assembly resolution calling for, statement 
(Lodge), 104 
"Peaceful coexistence" principle, statement (Lodge), 

107 
U.N. role in peaceful settlement of disputes, article 

(Sisco), 974 
U.S.-Indian efforts for, address (Lodge), 554 
WHO contribution to, remarks and address : Milton 
Eisenhower, 990 ; Wilcox, 988 
Pearson, Lester, 603 
"People to people" diplomacy : 

Contribution to U.S.-Latin American understanding, 

address (Rubottom), 601 
Operation in Africa, address (Palmer), 997 
Perez Jimenez, Gen. Marcos, 943 
"Peril points," definition of, article (Catudal), 286 
Periodicals and books, use of funds from surplus agri- 
cultural commodities for translation, publication, and 
distribution of, 486 
Persons, exchange of. See Cultural relations, Educa- 
tional exchange, and Exchange of persons 
Peru : 

Agricultural commodities, agreement with U.S., 794 
GATT, 6th protocol of rectifications and modifications 

to texts of schedules, 362 
U.N. Special Fund, membership on preparatory commit- 
tee, 72w 
Visit of Vice President Nixon, statements : Murphy, 956 ; 
Rubottom, 1106 
Peter the Great Bay, U.S. protest of Soviet closing, texts 

of U.S. and Soviet notes, 461 
Petroleum. See Oil 
Philippines: 
Bataan, 16th anniversary of fall of, message (Eisen- 
hower), 691 
Communist activities in, suppression of, SEATO report, 

511 
Defense college, U.S.-Philippine proposal for establish- 
ment in, 505 



ml ndex, January to June 7958 



Philippines — Continued 
President, visit to U.S., proposed, 971 
Treaties, agreements, etc. : 

Agricultural commodities, agreement with U.S., 1110 
Claims, agreement with U.S. concerning claims from 

SEATO maneuvers, 41, 586, 674 
Conciliation treaty (1946) with U.S., withdrawal by 

President from U.S. Senate, 841 
Informational media guaranty program, agreement 

amending 1955 agreement with U.S., 494 
Manila Air Station, agreement with U.S. relating to 

relinquishment of, 362 
Military assistance, agreements supplementing and 

amending 1955 agreement with U.S., 842 
Mineral resources within Fort Stotsenberg Military 
Reservation, interim arrangement with U.S. for ex- 
ploitation of, 634 
Mutual Defense Board, agreement with U.S. for es- 
tablishment of, and assignment of liaison officers 
to U.S. bases in, 913 
U.S. aid, 222, 223, 224, 225, 512, 513, 514 
Phillips, Christopher H., 109, 278, 745 
Photographs, color, announcement of acceptance for use 

in passports, 191 
Phouma, Prince Souvanna, 56 
Pilcher, James Byrd, 586 
Platzer, Wilfried, 730 
Plowden, Sir Edwin, 301, 302 
Point Four Week, Panamanian proclamation, 522 
Poland : 

Economic discussions with U.S., Department announce- 
ment, joint statement, and texts of agreement and 
notes, 349, 350, 351, 353 
FAO membership, 1073 

Lend-lease account with U.S., settlement of, 570, 571 
Rapacki plan. See under Disarmament 
Treaties, agreements, etc. : 

Agricultural commodities, agreements with U.S., 238, 

351, 405 
Informational media guaranty program, agreement 

with U.S. providing for, 538 
U.S. Polish-language magazine, agreement with U.S. 
relating to distribution of, 1050, 1110 
U.S. aid, address (Dillon), 499 
Political consultations, expansion within NATO, address, 
report, and statements (Dulles, Eisenhower), 7, 10, 
50, 51, 55 ; texts of communiques, 13, 850 
Political rights of women, U.N. Commission on the Status 

of Women consideration of, article (Hahn), 930 
Pollution of the high seas by radioactive materials, U.N. 

conference on law of the sea resolution, text, 1124 
Popper, David H., 152 

"Popular fronts," Communist use for subversive inter- 
vention, address (Rubottom), 180 
Population, world, challenge of meeting increase in. re- 
marks (Wilcox), 988 
Portugal : 

Cape Spartel lighthouse, protocol terminating conven- 
tion (1865) concerning, and transferring lighthouse 
to Morocco, 749 
Road traffic, convention (1949) with annexes and pro- 
tocol, 538 

1163 



Postal convention (1952), universal, current action, 362 
Postal Union of the Americas and Spain, convention, 

final protocol, and regulations of execution, 277 
Pote Sarasin, Nai, 504, 508, 509 
Potsdam agreements (1945), Soviet evasion of. address 

(Dulles), 855 
Prado, Manuel, 182 
Prasad. P. S. N., 257 

Presidential Representatives, Committee of, recommenda- 
tions regarding OAS, address (Rubottom), 518 
President's Board of Foreign Scholarships, 748 
President's Fund for Asian Economic Development, grant 

to Nepal, 149 
President's Science Advisory Committee, 1S6, 976 
Press, the, Soviet use of, remarks (Berding), 1044 
Press, U.S., role in negotiating exchange agreement with 

Soviet Union, address (Lacy ) , 325 
"Preventive war," idea of, Soviet charges against U.S. 

regarding, letter (Bulganin), 652 
Prisoners of war, Geneva convention (1949) relative to 

treatment of, 494 
Proclamations by the President : 

Clinical thermometers, increase in import duty on, 882 

Cotton, short harsh, termination of import quota on, 303 

Law Day, 195S, 293 

National Olympic Week, 1958, 1084 

Pan American Day and Pan American Week, 1958, 217 

St. Lawrence Seaway, celebration of completion of, 179 

Tung nuts, imposition of import quota on, 837 

Woolen and worsted fabrics, determination of import 

quota on, 673 
World Trade Fair, U.S., 2d annual, 696 
World Trade Week, 1958, 695 
Propaganda : 

Advantages, operations, and techniques of, comparison 
of U.S. and Soviet, addresses, remarks, and state- 
ments: Berding, 1043: Dulles, 131, 137, 455, 642, 
685, 686, 687, 725, 726, 856, 857; Kohler, 903, 906, 
907 ; Lodge, 105, 106, 763 ; Murphy, 953, 955, 959, 
960 
Expenditures for, question of value of, statement 

(Dulles), 726 
Free Europe Committee balloons, Czechoslovak charges 

regarding, 1010 
Initiative in the propaganda field, question of free world 

taking, statement (Dulles), 686 
Middle East, evaluating propaganda in, statement 

(Dulles), 455 
Soviet use of U.N. for purposes of, article (Sisco), 977 
War propaganda, proposal for discussion at summit 
meeting for cessation of, 4(i0 
Property, cultural, convention (1954) and protocol for 
protection in event of armed conflict, 78, 154, 890, 981, 
1029, 1109 
Property, industrial, convention (1934) for protection of, 

103, 710, 842, 981 
Property, surplus, agreement with France for postpone- 
ment of installments on 1946 agreement relating to, 
269, 270, 278 

1164 



Psychological warfare. See Propaganda 
Public health, WHO activities in field of, remarks (Wil- 
cox ) , 987 
Publications : 

Commerce, Department of, U.S. Investments in the 

Latin American Economy, published, 610n 
Congressional documents relating to foreign policy, lists 

of, 227, 264, 357, 431, 490, 571, 702, 883, 967, 1004 
State Department : 
Documents on German Foreign Policy, 1918-1945, 
Series C (1933-1937), The Third Reich: First 
Phase, Volume I, January SO-October 11,, 1933, pub- 
lished, 318 
Foreign Relations of the United States, volumes pub- 
lished : 

1939, vol. V (American Republics), 890 

1940, vol. Ill (British Commonwealth, Soviet 
Union, Near East, and Africa), 1126 

Lists of recent releases, 41, 110, 154, 406, 494, 634, 

674, 750, 890, 982, 1030, 1077, 1126 

Translation, publication, and distribution of, use of 

funds from surplus agricultural commodities, 486 

U.S. Polish-language magazine, agreement with Poland 

for distribution, 1050, 1110 
U.S.-Soviet Union, agreement to promote exchange of, 

246, 324 
United Nations, lists of current documents, 41, 277, 
405, 493, 537, 585, 748, 889, 1077, 1125 
Puerto Rico, welcome to Vice President Nixon, 952 
Puhan, Alfred, 109 

Rabi. I. I., 359 
Racial discrimination : 
Decline in U.S., address and statement: Lodge, 558; 

Lord, 886 
Problems in Africa, addresses-: Holmes, 259, 860, 861, 
1094 ; Palmer, 829, 996 
Radhakrishnan, Sarvapalli, 559 

Radiation, atomic. See Atomic energy, radioactive fall- 
out 
Radio. See Telecommunications 
Radio Consultative Committee, International, 9th plenary 

assembly of, 841 
Radioisotopes in scientific research, international confer- 
ence on, article (Manov), 195 
Ramsey, Norman F., 309m. 
Rankin, Karl L., 41, 89, 278 
Rapacki plan. See under Disarmament 
Reap, Joseph W., 728 

Reciprocal Trade Agreements Act. See Trade agree- 
ments: Legislation authorizing 
Reciprocity Information, Committee for, 286, 838 
Reconstruction and Development, International Bank for. 

See International Bank 
Redmond, Mrs. Ruth, 384 

Refugees and displaced persons (see also Intergovern- 
mental Committee for European Migration) : 
Copyright convention (1952), universal, protocol 1 con- 
cerning application of convention to works of state- 
less persons and refugees, 103 

Department of State Bulletin 



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Refugees and displaced persons — Continued 
East German, significance of flight to West, address 

(Dulles), 855 
Hungarian refugees : 
ICEM aid to, article (Warren), 75, 76, 77 
Termination of U.S. emergency program of aid, an- 
nouncement, 92 
Palestine refugees : 

Financing aid to, U.S. position, statements (Washing- 
ton) and General Assembly resolution, 34, 40 
UNWRA, aid to, 36, 236, 308 
Political refugees, U.S. acceptance of, address (O'Con- 
nor), 561 
U.N. Refugee Fund : 

Executive committee, U.S. delegation to 7th session, 

152 
Standing program subcommittee, U.S. representative 
to 6th session, 152 
U.S. aid to Viet-Nam for resettlement of refugees from 
north Viet-Nam, 530 
Regime of historic waters, U.N. conference on law of 

the sea resolution, text, 1125 
Relief and rehabilitation. See Agricultural surpluses, 
Economic and technical aid. Refugees, and individual 
countries. 
Rhodesia and Nyasaland, Federation of: 
Developments in, statement (Holmes), 766 
GATT, 7th protocol of rectifications and modifications 

to texts of schedules of, 981 
OTC, agreement on, 198 

Protection of industrial property, convention (1934) 
for, 103 
Riddleberger, James W., 41, 318 

Rights and duties of states in event of civil strife, pro- 
tocol to 1928 convention on, 749 
Rio Treaty (Inter-American Treaty of Reciprocal Assist- 
ance), 183, 718 
Road construction. See Highways. 
Road traffic, convention (1949) on, with annexes and 

protocol, 446, 493, 538 
Road vehicles, private, customs convention (1954) on tem- 
porary importation, 78, 238, 362, 446, 538, 634, 1065 
Roberts, Ralph S., 1066 
Robertson, Walter S., 384, 698, 770, 914 
Rome Treaty. See European Economic Community 
Romulo, Carlos, 770 
Roosevelt, Theodore, 445 
Rountree, William M., 918 

Etuanda-Urundi, Trust Territory of, report on conditions 
in, statement ( Sears) , 403 
r * Ruark, Arthur E., 301, 303 

Rubottom, Roy R., Jr., 180, 212, 518, 608, 656, 772, 1104 
iumania : 
Cultural property, convention (1954) for protection in 
event of armed conflict, and regulations of execu- 
tion, and protocol, 890 
Independence of, 81st anniversary, 853 
U.S. Minister, confirmation, 318 
iKoiiftural aid programs in Far East, U.S., 225 
jjdfstatl iural Reconstruction, Joint Commission (U.S.-China) on, 
57, 225, 530 

jullefiij idex, January to June 1958 



;:■:!» : 



Russell, Lord Bertrand, 290 
Ryerson, Edward, 1006 

Safety at Sea : 
North Atlantic Ice Patrol, agreement (1956) regard- 
ing financial support, 317, 362, 842 
North Atlantic ocean stations, agreement (1954) on, 
538 
St. Lawrence Seaway, proclamation celebrating comple- 
tion of, 179 
Sakiet Sidi Youssef, Tunisia, U.S. concern over incident 

at, 293 
Sanitation. See Health and sanitation. 
Santaella, Hector, 620 
Santos, Brig. Gen. Alfredo M., 505, 513 
Sarasin, Pote, 504, 508, 509 
Sarit Thanarat, Field Marshal, 912 
Satellite nations. See Soviet-bloc countries 
Satellites, earth-circling (see also Outer space) : 
Information and benefits from, article (Sisco), 976 
International Geophysical Tear, agreement regarding, 

statement (Becker), 965 
Soviet satellites : 

Impact and implications of, addresses : 
Allen Dulles, 340; Dulles, 159; Killian, 187; 
McKinney, 543 
3d satellite, Soviet efforts to launch, question on, 
statement (Dulles), 723 
U.S. satellites: 

Successful launching of, effect on U.S. world prestige, 

statement (Dulles), 335 
Testing and development failures, understanding, 
address (Killian), 189 
Satterthwaite, Livingston, 56 
Saudi Arabia : 
Economic development, importance of oil to, address 

(Kretzmann), 84 
Gulf of Aqaba, position on, statement (Dulles), 606 
Economic assistance, agreement with U.S. for expan- 
sion of Port of Dammam, 1030 
U.S. Ambassador, confirmation, 278 
U.S. relations with, statement (Dulles), 606 
Scammon, Richard, 329 
Scandinavia, attributes of peoples of, address (Dulles), 

847 
Schoettler, Robert J., 109 

Scholarships, President's Board of Foreign, 748 
Schuman, Robert, 388 

Science (see also International Geophysical Year) : 
Adviser and attaches, State Department, announce- 
ment concerning, 190 
Cooperation in science : 

Baghdad Pact views on, 256 

Free world need for, address, article, and statement : 

Dulles, 21 ; Eisenhower, 120 ; Murphy, 314 
NATO Heads of Government meeting proposal for, 
9, 10, 11, 14 
Education, scientific, U.S. program : 

Exchange program for scientists, 50, 563 
Federal aid for, recommended, address (Eisenhower), 
120 

1165 



Science — Continued 
Information, exchange of. See Information, exchange 

of 
NATO Science Committee, 11, 14, 359 
President's Science Advisory Committee, composition 

and functions, 1S6 
Research and development : 

Budget requests for, messages to Congress (Eisen- 
hower), 120, 109, 170, 172, 173, 174, 175 
National Academy of Sciences, research program, 533, 

563 
Radioisotopes in scientific research, international 

conference on, article (Manov), 195 
Research reactor agreements concerning civil uses 
of atomic energy, U.S. with: Ecuador, 317; Italy, 
794 ; Korea, Republic of, 538, 981 ; Nicaragua, 494 ; 
Spain, 362 ; Sweden, 793, 794, 1065 
Scienee-for-peace, President's proposal, statement 

(Dulles), 134 
Scientific and technological advancements, U.N. role 
regarding, address and article : Sisco, 972 ; Wilcox, 
664, 666 
Scientific works, inter-American convention concerning, 

withdrawal from Senate by President, 841 
Soviet capabilities and goals in field of, addresses : 

Allen Dulles, 338 ; Dulles, 756 
Technical consultants, U.S. offer of services to IAEA, 

237 
Technological leadership, U.S., maintenance of, ad- 
dresses : Killian, 186 ; McKinney, 548 
U.S. scientific projects in Israel, announcement regard- 
ing, 961 
U.S.-Soviet agreement on exchanges of scientists. See 
Cultural, technical, and educational fields, agree- 
ment with Soviet Union on exchanges in 
Scott, Walter K., 406 

Sea, U.N. conference on law of the. See Law of the sea 
Seafarers : 
Problems relating to, U.S. delegation to 41st maritime 
session of International Labor Conference on, 888 
Welfare of, withdrawal from Senate by President of 
conventions concerning, 841 
Sears, Mason, 403, 535, 537. 746 
Seas, high, convention on the, text, 1115 
SEATO. See Southeast Asia Treaty Organization 
Seattle. Washington, selected as site for 10th meeting of 

Colombo Plan, 747 
Secretariat, U.N., document, 41 
Secretary of State, designated to act for U.S. in Japanese 

war criminal cases, Executive order, 94 
Security, national. Sec Defense and National security 
Security Council, U.N. (see also United Nations) : 
Arctic inspection zone, Soviet veto of U.S. draft resolu- 
tion proposing, 816, 820 
Disarmament, U.S. views on Council's responsibility for, 

516 
Documents, lists of, 537, 585, 1077, 1125 
Egyptian-Sudanese border dispute, efforts for peaceful 

settlement, 491, 669 
Italian membership in, U.S. views on question of, state- 
ment (Dulles), 948 

1166 



Security Council, U.N. — Continued 
Maintenance of peace and security, U.S. and Soviet 
views on, letters: Eisenhower, 123; Khrushchev, 
941, 942 
Resolution on Jordan complaint against Israeli activities 
in area of Government House near Jerusalem, 276 
Tunisian incident, efforts for peaceful settlement, ad- 
dress and article : Sisco, 975 ; Wilcox, 669 
Veto power in : 

Baghdad Pact views on, communique, 256 
Limitation on, U.S. proposal for, and Soviet rejec- 
tion, address, correspondence, and statement : Bul- 
ganin, 378, 650; Eisenhower, 125, 373; U.S. state- 
ment, 656 ; Wilcox, 670 
Necessity for, address (Lodge) , 347 
Soviet abuse of, address ( Jandrey), 864 
Self-determination : 
Application to Cyprus question, Greek resolution pro- 
posing, 32»j. 
Colonial peoples, evolution toward, statements (Dulles), 

427, 626 
Development and challenge of, statement (Dulles) , 1036, 

1037 
Eastern European countries, U.S. proposal for discus- 
sion with Soviet Union, letter (Eisenhower), 125, 
126 
U.N. accomplishments, letter (Eisenhower), 237 
U.S. policy regarding, addresses and statement : Dulles, 
337 ; Jandrey, 768, 866 
Settlement of disputes, compulsory, U.N. conference on law 
of the sea optional protocol of signature concerning, 
text, 1123 
Sharm-el-Sheikh, role of UNEF in maintaining peace in, 

statement (Dulles), 607 
Shelton, Turner, B., 328, 552 
Ships and shipping (sec also Law of the sea) : 
Conventions relating to seamen, withdrawal from Sen- 
ate by President, 841 
Danish ships requisitioned in World War II, legislation 

authorizing U.S. payment for, 1055 
Intergovernmental Maritime Consultative Organization, 

convention, 277, 710, 749, 1109 
International Labor Conference on problems relating to 

seamen, 888 
Naval vessels. See Naval vessels 
North Atlantic Ice Patrol, agreement (1956) regarding 

financial support, 317, 362, 842 
North Atlantic ocean stations, agreement on, 53S 
Simon, Mrs. Caroline Klein, 492 
Simonpietri, Andre C, 563 
Sisco, Joseph J., 972 
Skaupy, Walther, 390, 391 
Skokan, Roman, 768 
Slavery convention (1926), and protocol amending and 

annex, 5S6, 710 
Slavnov, Aleksandr A., 552 
Smith, Sen. Alexander, 248, 249 
Smith, Gerard C, 278 
Smith, Horace H., 634 
Smith, James H., Jr., 527 
Smith, Walter Bedell, 491 

Department of State Bulletin 



i 



' 






::h"t>, 



. !.:2J*" 



Smith-Mundt Act, 10th anniversary of, 24S, 249 
•Snioot-Hawley Tariff Act (1930), effect on world trade, 

address (Mann), S95 
Soares, Jose Carlos de Macedo, 182 
Social problems, world, U.N. role in solving, article 

(Sisco),977 
Social security for seafarers, convention concerning, with- 
drawal from Senate by President, 841 
Socialism, definition of, statement (Lodge), 107, 108 
Somaliland, Trust Territory of : 

Boundary dispute with Ethiopia, arbitration recom- 
mended, statement (Wells) and General Assembly 
resolution, 150 
Progress toward independence, addresses (Holmes), 764, 
1093 
South Africa, Union of, agreement with U.S. supplement- 
ing 1956 passport visas agreement, 710 
South America. See Latin America 
South and Southeast Asia. See Asia 
Southeast Asia Treaty Organization : 
Council of Ministers, 4th meeting : 
Pinal communique, 504 
Statements (Dulles), 463, 506, 508 
U.S. delegation, 463 
Development of SEATO in Its Third Year, report 

(Sarasin), 509 
Functions of, address (Jandrey), 864 
Military maneuvers in Philippines, agreement between 
U.S. and Philippines regarding claims from, 41, 



Research fellowship program, 748 

Western concern for problems of, statement (Dulles), 

455 
ouvanna Phouma, Prince, 16S 

overeignty, national, question of upper limits of, state- 
ment (Becker), 965 
loviet-bloc countries (see also Communism, Soviet Union, 
and individual countries) : 
Arms shipments to Indonesia, statement (Dulles), 685 
Demand for more independence from Communist rule, 
address, article, declaration, and statement : 
Dulles, 20, 626, 803 ; NAC declaration, 12 
Economic aid and trade offensive. See Less developed 

countries : Economic offensive 
Industrial capacity, address (Jandrey), 389 
Propaganda, use of U.N. for, article (Sisco), 977 
Self-determination by peoples of, U.S. request for, letter 

(Eisenhower), 125, 126 
Soviet activities and position in: address (Dulles), 

54 ; SEATO report, 510 ; U.S. aide memoire, 459 
Support of Soviet line in U.N., statement (Dulles), 456 
U.N. Special Fund, policy regarding, address (Kotseh- 

nig), 310 
U.S. relations and policies, statement (Elbrick), 1056 
rviet Union (see also Communism, East- West contacts, 

and Soviet-bloc countries) : 
Africa, Soviet policy toward, address (Holmes), 260 
Aggressive policies, statement (Lodge), 761 
Aid to Indonesia, statements (Dulles), 644, 645 
to U.S., credentials, 337 



, Bull* 



dex, January to June 7958 



Soviet Union — Continued 

Anti- Americanism, efforts to foster, statement (Mur- 
phy), 953 

Arctic inspection zone, Soviet views on U.S. proposal. 
See Inspection and control : Arctic inspection zone 

Armaments. See Armaments 

Atomic energy, peaceful uses of, and radioactive fall- 
out, Soviet views on. See Atomic energy 

Baltic States, incorporation by Soviet Union, U.S. de- 
nunciation of, statement (Dulles), 337 

Bulganin, Nikolai. 92, 127, 211, 376, 648 

Collective security, Soviet views regarding, 123, 128, 
129 

Cultural, technical, and educational fields, agreement 
with U.S. on exchanges in. See Cultural, technical, 
and educational fields. 

Disarmament. See Disarmament and Disarmament 
Commission 

Economic aid and trade offensive. See Less developed 
countries : Economic offensive 

Economic policy, addresses: Dillon, 969, 970; Eisen- 
hower, 6 

Education in, addresses and report : Allen Dulles, 342, 
343; Department resume, 148; Wilcox, 665 

Elections : 
Free elections, Soviet policy toward, statement 

(Lodge), 108, 109 
Soviet, list of U.S. observers to, 329 

Flights over Federal Republic of Germany, reaffirmation 
of West control over airspace above, letter (Bruce), 
553 

Foreign policy, development in, statement (Dulles), 
1042 

Foreign Relations, volume on, published, 1126 

German reunification, Soviet position. See under 
Germany 

Goals of, address and article (Dulles), 20, 755 

Hungary, Soviet activities in, correspondence and state- 
ment : Eisenhower, 235, 236 ; Lodge, 33 

Imperialism, Soviet policy of, addresses : 
Dulles, 160, 802; Eisenhower, 115, 116; Kretzmann. 
87 ; John Lodge, 420, 421 

Internal developments in, address (Dulles), S03 

International tensions, proposals for reduction of. 
See International tensions 

Khrushchev, Nikita. See Khrushchev 

Middle East policy. See under Near and Middle East 

Missiles, Soviet views regarding. See under Missiles 

Naval vessels, U.S. lend-lease, destruction of, 570 

Negotiations with. See Negotiations 

New Tear greetings, exchange with U.S., 92 

Nuclear weapons, Soviet views on control and testing 
of. See Atomic energy, nuclear weapons 

Outer space, peaceful uses of, Soviet views on U.S. 
proposal. See under Outer space 

"Peaceful coexistence," Soviet views regarding, state- 
ment (Lodge), 104, 105, 107 

Peter the Great Bay, closing of, U.S. and Soviet notes, 
461 

Propaganda techniques. See Propaganda 

Satellite program. See under Satellites, earth-circling 

1167 



Soviet Union — Continued 
Scientific and technological capabilities and goals, ad- 
dresses: Allen Dulles, 338; Dulles, 756; Killian, 
187 
Strength and weaknesses of, address (Dulles), 53, 54, 

55 
Summit meeting, proposed. See Summit meeting 
Syrian security, Soviet charges against U.S. regarding, 

address and statement (Lodge), 31, 348 
Theory of peace and world order, statement (Dulles), 

942 
Third secretary in U.S. Embassy declared persona non 

grata, 1050 
Travel restrictions, U.S. proposal for reciprocal eas- 
ing of, 636, 1006 
Treaties, agreements, etc. : 
Direct air flights, reciprocal, agreement with U.S. 

for establishment of, proposed, 247, 324 
Exchange agreement with U.S. See Cultural, tech- 
nical, and educational fields 
Northwest Atlantic fisheries, international conven- 
tion (1949), 081 
Yalta agreement, statement (Dulles), 163 
U.N., Soviet influence in, article (Irwin), 875 
U.N. Emergency Force, Soviet position on financing, 

348 
U.N. Special Fund : 

Preparatory committee, membership, 72« 
Soviet questions regarding, 66 
U.N. specialized agencies, Soviet policy toward, address 

(Kotschnig), 306, 307 
U.S. military flights in Arctic region, Soviet charges 
regarding, statements: Department 728; Lodge, 
760, 763n, 816 
U.S. proposal for cooperation on works of peace, mes- 
sage (Eisenhower), 121 
U.S. second secretary declared persona non grata, 

U.S. protest of Soviet action, 1005 
U.S.-Soviet relations, addresses, letters, and state- 
ments: Bulganin, 377, 651, 652; Elbrick, 1056, 
1057, 1058 : Dulles, 336 ; Eisenhower, 375, 376, 414 ; 
Foster, 220 
Veto power in Security Council, Soviet abuse of, and 
rejection of U.S. proposal regarding. See under 
Security Council 
Visit of President Nasser, statement (Dulles), 949 
World domination, Soviet efforts and policies for, ad- 
dresses and communique : Eisenhower, 4 ; Kohler, 
908 ; NAC communique, 12 
Space, outer. See Outer space 
Space agencies, national and international, U.S. proposals 

regarding, statement (Becker), 964, 967 
Space law, U.S. position on codification of, statement 

(Becker), 966 
Spain : 

Importance to Western European unity, address (John 

Lodge), 421 
Tariff policy during 1930's, address (Mann), 896 
Treaties, agreements, etc. : 

Agricultural commodities, agreements with U.S., 104, 
362, 842 

1168 



Spain — Continued 
Treaties, agreements, etc. — Continued 
Atomic energy, civil uses, agreements with U.S. con- 
cerning research and power reactors, 362 
Cape Spartel lighthouse, protocol terminating conven- 
tion (1865) concerning, and transferring lighthouse 
to Morocco, 749 
North Atlantic Ice Patrol, agreement (1956) regard- 
ing financial support, 317 
Postal Union of the Americas and Spain, convention 

and protocol, 277 
Road traffic, convention (1949) on, with annexes, 446, 
538 
U.S. aid, 528, 614 

U.S. relations with, statement (Dulles), 16 
Visit of Secretary Dulles, report on, 51, 52 
Sparks, Edward J., 318 

Special assistance, mutual security programs. See Mu- 
tual security 
Special Commission on Coffee, 214 

Special United Nations Fund for Economic Development 
General Assembly resolution establishing, 71 
U.S. proposal and support for, addresses and state- 
ments : Judd, 60, 62, 63, 64, 65, 66, 67, 68, 69, 70 ; 
Kotschnig, 310 ; Lodge, 557 ; Phillips, 745 
Specialized agencies, U.N. (see also name of agency) : 
Effectiveness and importance of, letter (Eisenhower). 

237 
Soviet policy toward, address (Kotschnig), 306, 307 
U.S. participation in programs of, statement (Judd), 61 
Spitzer, Lyman, Jr., 301 
Sprague, Mansfield D., 738 

Sputnik, Soviet (see also Satellites, earth-circling), im- 
pact and implications of, addresses : Allen Dulles, 340 
Dulles, 159 ; Killian, 187 ; McKinney, 543 
Stainless-steel flatware, use of escape-clause action or 
imports postponed, letters (Eisenhower) and Whitt 
House announcement, 620 
Stassen, Harold, 132, 133, 167, 453 
State Department (see also Foreign Service) : 
African Affairs, Bureau of, proposed establishment, 26] 
Appointments and designations, 109, 153, 190, 198, 238 

278, 372, 406, 446, 491, 538, 674, 794, 1077, 1126 
Assistant Secretaries of State, confirmations : Mann 

278 ; Scott, 406 ; Smith, 278 
Collection of news by correspondents in, statemen 

(Dulles), 949 
Consultants : 

Appointment and functions of consultant on agricul 

tural aspects of foreign economic programs, 238 

Employment of Adlai Stevenson, question of, state 

ment (Dulles), 334 

Deputy Under Secretary of State for Economic Affairs 

functions, 499 
Information services to high schools on foreign affairs 

219 
Legal Adviser, political problems of, address (Becker] 

832 
Mutual Security Coordination, Special Assistant fo) 

confirmation (Barnes), 538 
Organization and functions of, address (Rubottom), 77 



Department of State Bulleti 



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State Department — Continued 
Press and public information activities related to mu- 
tual security program, transfer from ICA, 405 
Publications. See under Publications 
Regulations on international traffic in arms, amended, 

text, 95 
Science Adviser, appointment and functions (Brode), 

190 
Secretary of State : 
Designated to act for U.S. in Japanese war criminal 

cases, Executive order, 94 
Question of Secretary Dulles continuing as, state- 
ment (Dulles), 94 
State of the Union message, excerpts, 115 
Stateless persons and refugees, protocol 1 concerning ap- 
plication of universal copyright convention (1952) to 
works of, 103 
Statistics of wages and hours of work in the principal 
mining and manufacturing industries, including build- 
ing and construction, and in agriculture, withdrawal 
from Senate by President of convention (1938) and 
understanding concerning, 941 
Steel and Coal Community, European. See European 

Coal and Steel Community 
Steel Committee (ECE), U.S. delegate to 20th : 

1076 
Stephens, John A., 1006 

Strategic Air Command, U.S., 467, 729, 761, 1038 
Strategic materials, use of proceeds from sales of i 

agricultural commodities for purchase, 481 
Strauss, Lewis, L.,301, 1089 
Stretch, David A., 391 
Stroessner, Alfredo, 1106 
Stubbins, Hugh, 730 
Student-exchange program. See Educational exchange 



rplus 



Sudan: 



Economic assistance mission, agreement with U.S., 663, 
710 

ICJ, statute of, 362 

Territorial dispute with Egypt, 491, 669, 975 

U.S. Ambassador, confirmation, 634 
Suez Canal problem (see also Arab-Israeli dispute and 
United Nations Emergency Force) : 

Clearing of canal : 
U.N. efforts toward, address (Lodge), 346 
U.S. position on financing, statement (Wadsworth), 



Collection of canal tolls, relationship to U.S. blocking 

of Egyptian funds, statement (Dulles), 807 
Nationalization of canal, problems arising from, ad- 
dress (Kretzmann), 87 
Stockholders compensation : 
Negotiations, International Bank participation, an- 
nouncement, 257 
United Arab Republic-stockholders agreement on 
compensation terms, Department statement, letter 
(Pawzi), and text of agreement, 830, 1097 
U.N. role in solving, address and letter : 

Eisenhower, 235, 236 ; Lodge, 345, 346 
U.S. position regarding, statement (Dulles), 165 



, e BulM]nc/ex, January fo June 7958 



,110 ', 



Sugar agreement (1953), international, with protocol 

amending and annex, 405, 794, 1109 
Summit meeting, proposed : 
Addresses, announcement, and statements: Department, 
551, 648; Dulles, 131, 132, 162, 163, 164, 330, 451, 
452, 453, 454, 455, 456, 602, 603, 604, 605, 641, 719, 
720, 721, 722, 724, 804, 805, 806, 944; Kohler, 902, 
906; Merchant, 300; Three-Power, 727, 759, 852; 
U.S. statement, 516; White, 249; White House, 293, 
727 ; Wilcox, 668, 669 
Correspondence exchanged, U.S. and Soviet Union, 
aide memoire and letters : Bulganin, 127, 376, 648 ; 
Eisenhower, 122, 373; Soviet aide memoire, 459, 
652, 728 ; U.S. aide memoire, 457 
Agenda, composition of, U.S. and Soviet proposals and 
views on, correspondence and statements: Bul- 
ganin, 127, 376, 648 ; Dulles, 131, 164, 453, 455, 456, 
602, 603, 604, 605, 720, 804, 805 806; Eisenhower, 
122, 374; Soviet aide memoire, 460, 654; U.S. aide 
memoire, 458 ; White House, 293 
Agreements and decisions of prior summit meeting, 

relationship to, statements (Dulles), 132, 164 
Communist China, question of attendance at, statement 

(Dulles), 164 
Congressional support of U.S. position, statement 

(Dulles), 721 
NATO Ministerial Council views on, text of communi- 
que, 850 
NATO representative to, Lester Pearson proposes U.S. 

to act as, statement (Dulles), 603 
Preparatory work: 
Ambassadorial meeting, U.S. and Soviet proposals 
and views, address, correspondence, and state- 
ments: Bulganin, 650; Dulles, 163, 164, 454, 603, 
604, 641, 719, 720, 721, 722, 724 : Merchant, 300 
Foreign Ministers meeting, U.S. and Soviet proposals 
and views, correspondence and statements: Bul- 
ganin, 650; Dulles, 132, 330, 451, 452, 454, 641; 
Soviet aide memoire, 459, 655; U.S. aide memoire, 
457 
Moscow ambassadorial talks, exchange of views with 
Soviet Union, correspondence and statements: 
Soviet Union, 728, 852 ; Three-Power, 648, 727, 759, 
852 ; White House, 727 
U.S. and Soviet positions, address, correspondence, 
and statements: Bulganin, 648; Department, 551; 
Dulles, 162, 163, 164, 602, 603, 721, 804, 805, 806; 
Soviet aide memoire, 652 
Psychological effect of, statement (Dulles), 164 
Purposes of and prospects for, address, correspondence, 
and statements: Bulganin, 127; Dulles, 163, 452, 
457, 944 ; Eisenhower, 122 ; Wilcox, 668, 669 
Soviet distortion of U.S. proposals on, statement 

(White), 249 
Soviet parity proposal, address and statements : Dulles, 
456, 602 ; Kohler, 906 
SUNFED. See Special United Nations Fund for Eco- 
nomic Development 
Surplus agricultural commodities. See Agricultural sur- 
pluses 

1169 



Surplus property, agreement with France for postpone- 
ment of installments on 1946 agreement relating to, 
269, 270, 278 
Sweden : 
Arctic inspection zone, Swedish amendment to U.S. 

proposal for, statement (Lodge), 819 
Import controls against dollar goods, reduction of, state- 
ment (Weeks), 442 
Treaties, agreements, etc. : 
Atomic energy, civil uses of, agreements with U.S., 

793, 794, 1065 
Cape Spartel lighthouse, protocol terminating con- 
vention (1865) concerning, and transferring light- 
house to Morocco, 749 
GATT, proces verbal of rectification concerning, 198 
GATT, protocol of organizational amendments, 198 
GATT, 7th protocol of rectifications and modifica- 
tions to texts of schedules, 981 
Opium, protocol (1953) regulating the production, 

trade, and use of, 317 
OTC, agreement on, 198 
Switzerland : 
Air navigation services in Faroe Islands, Greenland, 
and Iceland, agreements on joint financing, 1109 
Interhandel case, U.S. position regarding jurisdiction of 

ICJ in matter of, address (Becker), 833 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Tariff policy during 1930' s, address (Mann), S97 
U.S. consul general at Geneva, designation, 674 
Syria i see also United Arab Republic) : 
Cultural property, convention (1954) and protocol for 

protection in event of armed conflict, 1029 
Security of. Soviet allegations against U.S. regarding, 

address and statement (Lodge), 31, 348 
Soviet aid, 472 
U.S. Ambassador, appointment and confirmation, 109, 

278 
Union with Egypt, U.S. views, statements (Dulles), 
332 

Taiwan. See China, Republic of 

Tanganyika. Trust Territory of, progress toward inde- 
pendence, address and statement: Holmes, 1093: 
Sears, 746 
Tariff Commission, U.S., responsibility regarding escape- 
clause actions, statement (Weeks), 444 
Tariff policy, U.S. (see also Customs; Tariffs and trade, 
general agreement on: and Trade agreements) : 
Automobiles, approval of temporary duty-free entry 

for show purposes, 739 
Canadian reactions to, 1002, 1003 
Clinical thermometers, increase in duty on, 882 
Cotton, long staple, request for reexamination of im- 
port quota on, 788 
Cotton, short harsh, import quota terminated, 303 
Legislation proposed regarding, excerpts from Presi- 
dent's economic report to Congress, 234 
Minerals, effect of proposed policy, statement (Dulles), 

810 
Peruvian criticism of, statement (Murphy), 956 

1170 



Tariff policy, U.S.— Continued 

Smoot-Hawley Tariff Act (1930), effect on world trade, 

address (Mann), 895 
Stainless-steel flatware, announcement of decision 
postponing use of escape-clause action on imports, 
020 
Tariff Act (1930), proposed amendments to, report 

(Eisenhower), 234 
Tariffs, customs. See Customs 

Tung nuts, request for investigation of effect on do- 
mestic price-support program and establishment 
of import quota, 468, 837 
Umbrella frames, request for additional data of effect 

of imports on domestic industry, 696 
Woolen and worsted fabrics, determination of import 
quota for 195S, 671, 672, 673 
Tariffs and trade, general agreement on (see also Trade 
agreements and Trade Cooperation, Organization 
for) : 
Brazil, notice of termination of 1948 supplementary 

agreement to, 842 
Canada, proposal for renegotiation of tariff concessions 

on fruits and vegetables, 83S 
Contracting parties : 

Intersessional Committee, review of meeting and 

U.S. statement on EEC, 925, 926 
12th session, nongovernmental advisers to U.S. dele- 
gation report, 193 
Importance of, statement (Weeks), 442 
Organizational amendments to, protocol of, 198 
Part I and articles XXIX and XXX, protocol amending, 

198 
Preamble and parts II and III, protocol amending, 198 
Proces verbal of rectification concerning the protocols 
amending part I and articles XXIX and XXX, the 
preamble and parts II and III, and the protocol of 
organizational amendments, 198, 493 
Protocols amending, 493 

Rectification to French text, protocol of, 198 
Rectifications and modifications to texts of schedules 
protocols of: 
4th protocol, 198 
6th protocol, 198, 362, 493 
7th protocol, 981 
Relationship to European Common Market, addresses 

Jandrey, 389 : Mann, 2S4, 285, S98 
Supplementary concessions, protocols of: 
6th protocol, 198, 362 
8th protocol, 198 
U.S. participation and negotiations within GATT, ad- 
dress (Catudal), 290 
Taubman, Elizabeth Clare, 585 
Taxation, double. See Double taxation 
Technical aid to foreign countries. See Economic anc 

technical aid and Mutual security 
Technical assistance, U.N. See under United Nations 
Technical Assistance Board, U.N., 59, 63 
Technical information, exchange of. See under Informa 

tion, exchange of 
Technical Joint Commission on Chaguaramas, U.S. state 
ment regarding report of, 961 



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Technical Property Committee for Defense, Interagency, 

274 
Technology. See Science 
Telecommunications : 

International Radio Consultative Committee, 9th ple- 
nary assembly of, 841 
International telecommunication convention (1952), 

103, 493 
News-media representatives invited to observe U.S. 

nuclear test explosion, 763 
Radio, Soviet use for propaganda purposes, statement 

(Murphy), 955, 959, 960 
Radio-TV exchange agreement with Soviet Union. See 
Cultural, technical, and educational fields 
Territorial waters : 

Convention on territorial sea and the contiguous zone, 

text, 1111 
Gulf of Aqaba, Saudi Arabia and U.S. positions regard- 
ing, statements : Dulles, 006 ; Rountree, 922 
Near and Middle East, disputes concerning, U.S. posi- 
tion, statement (Rountree), 922 
Peter the Great Bay, question of Soviet right to close, 

texts of U.S. and Soviet notes, 461 
Question of breadth of territorial seas, U.S. proposal 
and position regarding, address and statements : 
Becker, 834 ; Dean, 574, 1110 ; Dulles, 606 
U.S.-Canadian, relations regarding joint waters, 1001 
Thailand : 
Cholera epidemic, U.S. aid in combatting, 1098 
Cobalt equipment for hospital, U.S. gift of, 1051 
Communist activities in. suppression of, 511 
Cultural property, convention (1954) and protocol for 

protection in event of armed conflict, 1109 
Field Marshal Sarit Thanarat. meetings with President 

Eisenhower and Secretary Dulles, 912 
SEATO Graduate School of Engineering, proposed 

establishment at Bangkok, 505 
U.S. aid, 222, 223, 512, 513, 514 
U.S. Ambassador, confirmation, 278 
Thebaud, Fritz, 880 
Thompson, Llewellyn E., 330 
Tittman, Harold H., Jr., 75, 446 

Tobacco, sale of, and construction of military housing, 
agreement with U.K. amending 1956 agreement as 
amended regarding, 494 
Togo, Trust Territory of, progress toward independence, 
addresses (Holmes), 765, 1093 
See Travel 
Trade (see also Agricultural surpluses; Customs; Eco- 
nomic policy ; Exports ; Imports ; Tariff policy ; Tar- 
iffs and trade, general agreement on ; and Trade 
fairs) : 
Africa. U.S. trade with, address (Holmes), 261 
Canada, U.S. trade with, address, remarks, statements, 
and notes: Dulles, 435, 596; Merchant, 295, 1001, 
1002 : texts of U.S. and Canadian notes, 465 
ECAFE Committee on Trade for Asia and Far East, 

U.S. delegation to 1st meeting, 152 
Europe, Western. See European Economic Commu- 
nity ; European Economic Cooperation, Organiza- 
tion for ; and European free-trade area, proposed 






jjijjlii idex, January to June 1958 



Trade — Continued 

Foreign trade policy, U.S., addresses, report, and state- 
ment: Dillon, 140, 265; Eisenhower, 233; John 
Lodge, 420 ; Mann, 283, 895 ; Robertson, 917 
Importance to U.S. and free world, addresses, article, 
message, and statements : Dillon, 500 ; 8S1 ; Doug- 
las, 778 ; Dulles, 21, 800, 1039 ; Eisenhower, 119, 120, 
263 ; Herter, 731 ; Weeks, 437 
Japan, trade relations with : 
Communist China, statement (Dulles), 948 
U.S., addresses, remarks and statement : Dillon, 781 ; 
Dulles, 435, 596 ; Herter, 734 
Latin America, U.S. trade with, addresses, article, and 
statements: Culbertson, Lederer, 23; Dulles, 643, 
644, 717, 718, 722, 723 ; Rubottom, 212, 522, 609, 1108 
Polish-U.S. trade, proposed expansion of, 350 
Soviet Union and Soviet-bloc countries. See Less de- 
veloped countries : Economic offensive 
Treaties, agreements, etc. : 

Commercial samples and advertising material, inter- 
national convention (1952) to facilitate importa- 
tion, 446, 634 
Friendship, commerce and consular rights, treaty with 

El Salvador, terminated, 238 
Friendship, commerce and navigation treaties : 
Expansion and revision of, address (Dillon), 142 
Treaty with Nicaragua, 793, 842, 934 
Trade agreements. See Trade agreements 
U.S.-Soviet trade relations, letters and statements: 
Bulganin, 130; Eisenhower, 124; Dulles, 336, 1089 
World trade, changes in, excerpts from President's 

economic report to Congress, 230 
World trade, expansion and promotion of : 
Soviet views, 460 
U.S. efforts and proposals for, addresses: 

Armstrong, 209 ; Dillon, 501 
U.S.-U.K. talks regarding, statement (Dulles), 1086 
Trade Agreements, Interdepartmental Committee on, 

functions, 286 
Trade Agreements Act. See Trade agreements program : 

Legislation authorizing 
Trade agreements program, U.S. : 
How a Trade Agreement Is Made, article (Catudal), 

286 
Importance of, addresses: Dillon, 267, 501, 781, 782, 
881 ; Dulles, 849, 1039 ; Herter, 733, 734 ; Mann, 692, 
895, 898, 899 
Legislation authorizing: 
Need for extension of : 

Addresses, messages, report, and statements : 
Armstrong, 209; Dillon, 140, 267, 268, 597, 971; 
Dulles, 432, 595, 800; Eisenhower, 119, 176, 177, 
234, 263, 414, 591 ; Jandrey, 389 ; John Lodge, 422 ; 
Mann, 285 ; Merchant, 1003, 1004 ; Rubottom, 609 
Statements before Congressional committees: 

Dillon, 626 ; Dulles, 432 ; Weeks, 436 
12th session of contracting parties to GATT views 
on, report by nongovernmental advisers, 194 
Status of, statement (Dulles), 948, 949 
Reciprocal trade agreement (1935) with Brazil and 
agreement supplementing, terminated, 842 

1171 



Trade Cooperation, Organization for : 
Agreement on, 198, 493 
U.S. membership, recommended : 
Nongovernmental advisers report on 12th session of 

Contracting Parties to GATT, 194 
Report and statement : Eisenhower, 234 ; Weeks. 442 
Trade fairs : 

Importance of, address (Herter), 731 
International Cultural Exchange and Trade Fair Par- 
ticipation Act of 1956, 226 
U.S. use of agricultural exhibits for market promotion, 

report, 481 
U.S. world trade fair, 2d annual, proclamation, 696 
Trade Policy Committee, establishment, functions, and 

membership, 233, 234, 264, 287, 288, 437 
Trade Week, 1958 world, proclamation, 695 
Travel, international (see also Highways) : 
Air travel. See Aviation 

American travelers to Communist China, 22, 384 
Arctic regions, U.S. view on travel in, address (Dulles), 

849 
Barriers to and promotion of. President's report to 

Congress on, 922 
Benefits resulting from, address (Dulles), 689 
Latin America, U.S. travel in, 26, 662 
Road traffic, convention (1949) on, with annexes and 

protocol, 446, 493, 538 
Road vehicles, private, customs convention (1954) on 
temporary importation of, 78, 238, 362, 446, 538, 
634, 1065 
Touring, convention (1954) concerning customs facili- 
ties for, 238, 362, 446, 538, 634, 1065, 1109 
U.S. expenditures in 1957 for, 523 

U.S.-Soviet travel restrictions, U.S. proposal for re- 
ciprocal easing, 656, 1006 
Treasury, Department of, participation in French finan- 
cial discussions and joint announcement with State 
Department and Export-Import Bank regarding, 269 
Treaties, agreements, etc., international (for specific 
treaty, see country or subject) : 
Current actions on, 41, 78, 103, 104, 154, 198, 238, 277, 
317, 362, 405, 446, 493, 538, 586, 634, 674, 710, 749, 
794, 842, S90, 934, 981, 1029, 1065, 1109 
Withdrawal of certain treaties by the President from 
Senate, list of, 841 
Tribal rivalries in Africa, problem of, addresses : Holmes, 

1094 ; Palmer, 900 
Trinidad : 

U.S. naval base on, U.S. statement regarding location 

of, 961 
U.S. technical cooperation program, agreement U.S.- 
Federation of The West Indies regarding, 749 
Tripartite Declaration, 1950, applicability to Middle East, 

statement (Dulles), 948 
Troops, U.S. Sec Armed forces, U.S. 
Trust territories, U.N. : 

British Cameroons and French Cameroun, future status 
of, addresses and statements : Holmes, 765, 1093 : 
Scars. 535, 530 

1172 



Trust territories, U.X.— Continued 
Progress toward self-government in, U.N. and U.S. 
roles, addresses: Holmes, 858, 859, 860; Palmer, 
826 
Ruanda-Urundi, developments in, address and state- 
ment : Holmes, 1093 ; Sears, 403 
Somaliland : 
Boundary dispute with Ethiopia, statement (Wells) 

and General Assembly resolution, 150 
Progress in, review of, addresses (Holmes), 764, 
1093 
Tanganyika, developments in, address and statement : 

Holmes, 1093 ; Sears, 746 
Togo, elections to determine status, addresses 
(Holmes), 765, 1093 
Trusteeship Council, U.N. : 
Documents, lists of, 405, 585, 1077, 1126 
United Arab Republic membership, statement (Sears), 
537 
Trytten, M. H, 563 
Tuck, J. L., 301 
Tung nuts, imports of : 

Effects on domestic price-support program, request for 

investigation of, letter (Eisenhower), 468 
Imposition of import quota on, announcement and 
proclamation, 837 
Tunisia : 

French bombing of. See Tunisian incident 
IMF, articles of agreement, 749 
International Bank, articles of agreement, 749 
U.S. aid, 691 
Tunisian incident (see also Algerian question) : 

French use of American arms in, question of, state- 
ment (Dulles), 331 
French views and position, 333, 372n 
Good-oflices mission, U.S.-U.K. : 

Acceptance of U.S.-U.K. offer of, announcement and 

statement (Wadsworth), 372 
Designation of U.S. representative, 372 
Progress and prospects for success, statements 
(Dulles), 607, 719 
Relation to Algerian question, statements (Dulles) 331 



Security Council role in, address, article, and state- 
ments : Dulles, 331, 335, 336 ; Sisco, 975 ; Wilcox, 669 
Tunisian request for arms, question of, statement 

(Dulles), 331 
U.S. position and views, statements: Department, 293 
Dulles, 332, 334, 335, 719 
Turkey : 

Bombing of U.S. property at Ankara, letter (Dulles) 

257 
DLF loan to, 1055 
Treaties, agreements, etc. : 
Agricultural commodities, agreement with U.S., 27f 
GATT, 4th protocol of rectifications and modifica- 
tions to annexes and texts of schedules, 198 
GATT, proces verbal of rectification concerning, 19f 
GATT, protocols amending, 19S 
OTC, agreement on, 198 
U.S. agricultural exhibit at Izmir, 481 
U.S. aid, 529, 530 



Department of State Bulletir ^ Js 



Beseatd 
II 

! -- - 



Turnbull, Sir Richard, 747 
Twining, Sir Edward, 747 
Twining, Gen. Nathan, 738 






: ' '« 



Umbrella frames, request for additional data of effect of 
imports on domestic industry, announcement and let- 
ters (Eisenhower), 696 
Underdeveloped countries. See Less developed countries 
UNEF. See United Nations Emergency Force 
UNESCO. See Educational, Scientific and Cultural Or- 
ganization, U.N. 
UNICEF. See United Nations Children's Fund. 
Union of South Africa, agreement with U.S. supplementing 

1956 passport visas agreement, 710 
United Arab Republic (see also Egypt and Syria) : 
Border dispute with Israel, statement (Dulles), 645 
Interference in Lebanon, question of, statements : 

Dulles, 946, 948, 1089 ; Murpby, 959 
Maritime Consultative Organization, Intergovernmental, 

convention, 749 
President Nasser, visit to Soviet Union, statement 

(Dulles), 949 
Propaganda campaign against Iraq and Jordan, evalua- 
tion of, statement (Dulles), 455 
U.N. representation, 335, 537 
U.S. Ambassador, confirmation, 586 
U.S. recognition, 418 
U.S. relations with, statements: Dulles, 332, 335, 807; 

Rountree, 919 
Universal Suez Canal Co., agreement for settlement with 
shareholders, 830, 1097 
t( United Kingdom : 

African territories, progress toward independence, ad- 
dresses and statements : 

Holmes, 766, 1093, 1094; Sears, 535, 766 
Aid to SEATO countries, 512, 513, 514 
British Commonwealth, Foreign Relations volume on, 

published, 1126 
Caribbean Commission, 26th meeting, 1074 
Exchange of information and scientific cooperation with 
U.S., proposed legislation to remove barriers to, 
statements : 

Dulles, 741 ; Murphy, 314 
Import duties, reduction of, statement (Weeks), 442 
Jordan complaint against Israeli activities in area of 
Government House near Jerusalem, U.S.-U.K. pro- 
posal regarding, 275, 276 
Korea, reunification of, transmittal of Unified Com- 
mand note to Communist China replying to Com- 
munist proposal regarding, 735 
Lend-lease account with U.S., payment on, 570 
Meeting of Prime Minister and Secretary Dulles, state- 
ment (Dulles), 1086 
Nigeria, U.S.-U.K. educational program for, 143 
Research on controlled thermonuclear reactions, U.S.- 
U.K., statements (Eisenhower, Strauss), 301 
Suez Canal problem. See Suez Canal problem 
Summit meeting, proposed. Sec Summit meeting 
Tariff policy during 1930's, address (Mann), 897 



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j^ljllndex, January to June J 958 



United Kingdom — Continued 
Treaties, agreements, etc. : 

Cape Spartel lighthouse, protocol terminating con- 
vention (1865) concerning, and transferring light- 
house to Morocco, 749 
Double taxation on income, convention (1945) for 
avoidance of, supplementary protocol with U.S. 
amending, 315, 316 
Financial agreement (1945), agreement with U.S. 

amending, 154 
Fruit and fruit products, agreement with U.S. relating 

to purchased by U.K. for sterling, 405 
GATT, 6th protocol of rectifications and modifications 

to texts of schedules, 198 
Maritime Consultative Organization, Intergovern- 
mental, convention, 749 
Missiles, intermediate-range ballistic, agreement with 

U.S. relating to supply to U.K., 418, 419, 446 
Road traffic, convention (1949) with annexes, notifi- 
cation of application to Isle of Man, 493 
Road vehicles, private, customs convention (1954) 
on temporary importation, notification of extension 
to possessions, 362 
Tobacco, sale of, and construction of military housing 
or community facilities for use of USAF in U.K., 
agreement with U.S. amending 1956 agreement as 
amended, 494 
Touring, convention (1954) concerning customs facili- 
ties for, notification of extension to possessions, 
362, 446, 1109 
Weather station on Betio Island, agreement with U.S. 
relating to, 278 
Tunisian incident, good-offices mission. See under 

Tunisian incident 
U.N. Special Fund, membership on preparatory com- 
mittee, 72» 
U.S. consulate at Nicosia, elevation to consulate general, 

750 
U.S.-U.K. trade relations, remarks and statement 

(Dulles), 435, 597 
West Indies. See West Indies 
United Nations : 

Addresses and articles : 

A Fresh Look at the United Nations (Sisco), 972 
Nationalism and the United Nations (Irwin), 872 
The U.N. : Challenges of a New Age (Wilcox), 664 
The United States and the United Nations (Lodge), 
344 
Africa, U.N. role in promotion of self-government, ad- 
dresses : Holmes, 859, 1092 : Jandrey, 863 ; Palmer, 
826, 995 
Aid to underdeveloped countries : 

U.N. programs for, address (Kotschnig), 307 
U.S. participation and proposal for expansion, ad- 
dress and statements: Judd, 61; Lodge, 31, 348 
Charter. See United Nations Charter 
Disarmament, actions regarding. See under Disarma- 
ment and also Disarmament Commission 
Documents, lists of, 41, 277, 405, 493, 537, 585, 748, 
889, 1077, 1125 

1173 



United Nations — Continued 
Employment of U.S. citizens, U.S. procedures relating 

to, amended, 840 
General Assembly. See General Assembly 
Hungarian question, consideration of. See under Hun- 
garian uprising 
Maintenance of peace and order, achievements and 
limitations, addresses and statement: Dulles, 801, 
848, 1038 ; Jandrey, 864 ; Lodge, 555 
Middle East, actions regarding. See under Near and 

Middle East 
Outer space, U.N. role in control of, statements 

(Dulles), 166, 604 
Representation in : 

Egyptian-Syrian merger, effect on, statement (Dul- 
les), 335 
U.S. views on, letter and statement : Eisenhower, 237 ; 
Wadsworth, 33 
Secretariat, document, 41 
Security Council. See Security Council 
Specialized Agencies. See Specialized agencies and 

name of agency 
Technical assistance: 

Expanded Program of Technical Assistance: 
Address ( Kotschnig ) , 308, 309 
FAO activities under, article (Roberts), 1070 
U.S. proposal for expansion, statements (Judd), 

60, 62, 63, 64, 65 
U.S. support and contributions, message and state- 
ments : Eisenhower, 371 ; Judd, 57, 66, 67 
Special U.N. Fund for Economic Development: 
General Assembly resolution establishing, 71 
U.S. position, addresses and statements: Judd, 60, 
62, 63, 64, 65, 66, 67, 68, 69, 70 ; Kotschnig, 310 ; 
Lodge, 557 ; Phillips, 745 
Trust territories. See Trust territories and Trusteeship 

Council 
U.S. assessment, reduction of, address and statement 

(Lodge), 31, 348 
U.S.-Laos exchange of views regarding, 168 
U.S. participation during 1956, 11th annual report, 
letter of transmittal to Congress (Eisenhower), 235 
U.S. proposal to strengthen, Soviet rejection of, address, 
correspondence, and statement : Bulganin, 378, 650 ; 
Eisenhower, 125, 373 ; U.S. statement, 656 ; Wilcox, 
670 
United Nations Charter : 
Article 51, application to outer space problems, state- 
ment (Becker), 965 
Guide for African nations, address (Palmer), 995 
Limitations on U.N. action, address (Irwin), S76 
Obligations under, letter (Eisenhower), 123, 124 
United Nations Children's Fund: 
Aid to child welfare, U.S. proposal to broaden, state- 
ment (Oettinger), 584 
Executive board, appointment of U.S. representatives, 

585 
Programs in Middle East, address (Kotschnig), 308 
United Nations Command (Korea), reply to Communist 
Chinese statement regarding reunification of Korea, 
text, 735 

1174 



United Nations Commission on Human Rights 
1st triennial report, statement (Lord), 884 
U.S. delegate, appointment of adviser to, 492 
United Nations Commission on the Status of 
port on 12th session, article (Hahn), 930 
United Nations conference on law of the sea. See Law of 

the sea, U.N. conference on 
United Nations Disarmament Commission. See Disarma- 
ment Commission 
United Nations Economic and Social Council. See Eco- 
nomic and Social Council 
United Nations Economic Commission for Europe. See 

Economic Commission for Europe 
United Nations Economic Commission for Asia and the 

Far East. See Economic Commission for Asia 
United Nations Educational, Scientific and Cultural Or- 
ganization. See Educational, Scientific, and Cultural 
Organization 
United Nations Emergency Force (see also Suez Canal) : 
Baghdad Pact views of, 256 
Role of, statement (Dulles), 607 
Soviet lack of support of, address (Lodge), 348 
U.S. contribution to, President's report to Congress, 526 
United Nations Food and Agricultural Organization : 
Aid to locust control campaign in Middle East, 309 
9th session of Conference of, article ( Roberts ) , 1066 
United Nations Fund for Economic Development. See 

Special United Nations Fund 
United Nations Refugee Fund : 
Executive Committee, U.S. delegation to 7th session, 

152 
Standing Program Subcommittee, U.S. representative to 
6th session, 152 
United Nations Relief and Works Agency for Palestine 
Refugees, aid programs, U.S. views and General As- 
sembly resolution, 34, 40, 237, 308 
United Nations Special Committee on the Problem of 

Hungary, 33, 34 
United Nations Special Fund. See Special United Na- 
tions Fund 
United Nations Trusteeship Council : 
Documents, lists of, 405, 585, 1077, 1126 
United Arab Republic membership, statement (Sears) 
537 
United States citizens and nationals : 
Civil liberties of, address and statement: Lodge, 558; 

Lord, 885, 886 
Claims. See Claims 
Employment by U.N., procedures amended relating to 

840 
Protection of: 

Bombing of U.S. Embassy in Ankara, letter (Dulles), 

257 
Communist China, U.S. assurance of continued effort 

to obtain release of Americans imprisoned 
Cuba, U.S. correspondents arrested in, statement 

(Dulles), 687 
Detention by foreign country, procedure for obtain- 
ing release, statement (Dulles), 1087 
Girard case, application of international law to, ad- 
dress (Becker), 834 



Department of State Bulletin k> j„ f 



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United States citizens and nationals — Continued 
Protection of — Continued 
North Korea, detention and release of 2 U.S. citizens 

in, U.S. statement of protest and concern, 462 
Overseas, U.S. policy regarding, statements (Dulles), 

945, 947 
Violators of rules on travel to Communist China, 
passports cancelled, 22 
Role in "cold war," remarks (Berding), 1048 
Support of U.N., article (Sisco), 974 
United States Information Agency. See Information 
Agency 

. Investments in the Latin American Economy, ar- 
ticle published, 610w 
United States nationals. See United States citizens and 

nationals 
Universal copyright convention (1952), protocols 1 and 

103 
Universal postal convention (1952), 362 
University College, Baghdad, Iraq, UNESCO aid to, 309 
QNRWA. See United Nations Relief and Works Agency 
Uranium prospecting, agreements with Brazil for a co- 
operative program, 56, 78 
Uruguay : 
U.S. Ambasador, confirmation, 634 

Visit of Vice President Nixon, statements : Murphy, 
955; Rubottom, 1104 

Validation Board for German Dollar Bonds, 4th annual 
report, 390 

Van Atta, Chester, 301 

Vatican City, convention (1954) and protocol for protec- 
tion of cultural property in event of armed conflict, 

1029 
>r Palestine 
. , is Vegetables and fruits, Canadian proposal for renegotia- 
tion of tariff concessions on, 838 
NJeD) Venezuela: 

Ambassador to U.S., credentials, 620 
ICEM, membership on executive committee, 7S 
Junta of government, U.S. recognition, 257 
U.S. Ambassador, confirmation, 318 
U.S. relations and trade with, article, remarks, and 
statements : Culbertson, Lederer, 24, 26, 28 ; Dulles, 
435, 597, 943 ; Rubottom, 520 
Visit of Vice President Nixon : 

Statements: Dulles, 943; Murphy, 957; Rubottom, 

1107 
Venezuelan note, text, 951 
eto power in Security Council. See under Security 

Council 
iet-Nam : 
Civil aviation convention (1944), international, protocol 

amending, 749 
U.N. membership, U.S. support, 237 
*1 U.S. aid, 222, 223, 224, 225, 413 
& " illard, Henry S., 674 

isas (see also Passports) : 

Passport visas, agreement supplementing agreement 

with Union of South Africa, 710 
Visa fees and related matters, agreement with New 
Zealand, 982 



:i * v '"' 



Vladimirov, Gavriil G., 552 

Voice of America, U.S. expenditures for, comparison 

with Soviet jamming expense, 1044 
Voroshilov, Klimenti E., 92 



; 



dex, January to June 1958 



Wadsworth, James J., 32, 372, 491, 492, 581 

Walker, Ralph, 730 

Wan Waithayakon, Prince, 34 

War assets, German, proposal for return submitted to 

Congress, 703 
War crimes cases, Japanese : 

Designation of Secretary of State to act for U.S. in, 

Executive order, 94 
Parolees, life sentences reduced to time served, an- 
nouncement, 736 
War victims, Geneva conventions (1949) for protection 

of, 494 
Warsaw Pact, 124, 130, 460 
Washington, Genoa S., 34 
Washington, George, 417 
Water, relationship to problem of economic development 

of Middle East, address (Kretzmann), 85, 86 
Water resources development for Asia and Far East, 
ECAPE 3d regional technical conference on, article 
(McClellan), 360 
AVaugh, Samuel C, 269, 273, 398 

Weather (see also World Meteorological Organization) : 
Meteorological tests, agreement with Argentina for 
establishment of U.S. Air Force mission to con- 
duct, 842, 981 
North Atlantic ocean stations, agreement (1954) on, 

538 
Weather stations, agreements for establishment and 
operation, with — 
Australia, 538 ; U.K., 278 
Weeks, Sinclair, 436 
Wells, Herman, 150 
West Indies, Federation of The : 
Technical cooperation, agreements with U.S., 749 
U.S. naval base at Trinidad, location of, U.S. statement, 

961 
U.S. policy toward, address (Jandrey), 768 
Whaling convention (1946), international, protocol 

amending, 78, 749 
Wharton, Clifton R., 318 
Wheat, U.S. surplus : 
Disposal policy : 

Address (Merchant), 297, 298 
Canadian views on, statement (Merchant), 1002 
U.S. grant to Tunisia, 691 
Wheat agreement (1956), international, 103 
Wheeler, Gen. Raymond, 346 
White, Lincoln, 249, 684 
WHO. See World Health Organization 
Wilcox, Francis O., 664, 987 
Wilkes Station, Antarctica, 912 
Willauer, Whiting, 794 
Women, United Nations Commission on the Status of, 

report on 12th session, article (Hahn), 930 
Woods, George D., 28, 257 
Woodward, Robert F., 634 

1175 



Woolen and worsted fabrics, determination of 1958 im- 
port quota, announcement, letters, and proclamation, 
671 
World Bank. See International Bank 
World Forestry Congress, 1068 

World Health Assembly. See under World Health Or- 
ganization. 
World Health Organization : 
Assembly, U.S. delegation to 11th session, 933 
Constitution, 935 

Executive board, U.S. representative, confirmation, 278 
Participation in program for malaria eradication, 

statement (Judd), 57, 58 
10th anniversary commemorative session : 
Address, message, remarks : Milton Eisenhower, 

President Eisenhower, 989 ; Wilcox, 987 
U.S. delegation, 933 
U.S. proposal for international cooperative research 
program, 9S9, 1049 
World Meteorological Organization : 
Convention, 981 

Participation in programs for economic development in 
less developed areas, statement (Judd), 58 
World trade fairs. See Trade fairs 
World Trade Week, 1958, proclamation, 695 



Worth, William, 515 

Wounded and sick, Geneva conventions (1949) on treat 
ment in time of war, 494 

Yadarola, Mauricio L., 467 

Yalta agreement, Russian nonfulfillment of, statement 

(Dulles), 163 
Ydigoras Puentes, Miguel, 417 
Y'emen, confirmation of U.S. Minister to, 278 
Yost, Charles W., 109, 278 
Yugoslavia : 
Agricultural commodities, agreements with U.S., 198, 

362 
North Atlantic Ice Patrol, agreement (1956) regarding 

financial support, 362 
U.N. Special Fund, membership on preparatory com- 
mittee, 72n. 
U.N. technical assistance program, views on, 64 
U.S. Ambassador : 
Appointment and confirmation (Rankin), 41, 278 
Resignation (Riddleberger), 41 
U.S. policy toward, statement (Dulles), 944 
U.S. supermarket exhibit at Zagreb, 481 

Zaroubin, Georgi, 328 






DEPARTMENT OF STATE 

Publication 6719 

Released December 1958 






THE DEPARTMENT OF STATE 




RIAL 
[KLY RECOR 



' 



|ed states 
Ign policy 



Vol. XXXVIII, No. 967 



January 6, 1958 



MEETING OF HEADS OF GOVERNMENT OF NATO 
COUNTRIES 

Opening Address by President Eisenhower 3 

Statements by President Eisenhotver and Secretary Dulles . . 6 

Declaration and Final Communique 12 

PRESIDENT REPLIES TO INDIAN APPEAL ON DIS- 
ARMAMENT 17 

OUR CAUSE WILL PREVAIL • Article by Secretary Dulles . 19 

QUESTION OF FINANCING AID TO PALESTINE 

REFUGEES • Statements by Genoa S. Washington and 
Text of V.N. Resolution 34 

UNITED STATES BALANCE OF PAYMENTS WITH 
LATIN AMERICA DURING THE FIRST HALF OF 

1957 • Article by Walther Lederer and Nancy F. Culbertson . 23 



For index see inside back cover 






THE DEPARTMENT OF STATE 




Boston Public Library 
Superintendent of Documents 

JAN 2 4 1958 



Vol. XXXVIII, No. 967 • Pcblication 6581 
January 6, 1958 



For sale by the Superintendent of Documents 

U.S. Government Printing Office 

Washington 25, D.O. 

Price: 

52 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 19, 1955). 

Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Department 
or State Bulletin as the source will be 
appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the 
Department of State and the Foreign 
Service. The BULLETIN includes 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 
tlie Secretary of State and other 
officers of the Department, as well as 
special articles on various phases of 
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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. 
United Nations documents, and legis- 
lative material in the field of inter- 
national relations are listed currently. 



Meeting of Heads of Government of NATO Countries 



,«»■ 



Following are texts of an address made by Pres- 
ident Eisenhower on December 16 at the opening 
session of the Heads of Government meeting of 
the North Atlantic Council held at Paris Decem- 
ber 16-19, and statements made on the same day 
by the President and Secretary Dulles, together 
with the declaration and communique issmd on 
December 19 at the conclusion of the meeting. 
Also included are texts of remarks made by Presi- 
dent Eisenhower at Orly Airfield, Paris, at the 
time of his arrival on December H and his depar- 
ture on December 19, a statement by Secretary 
Dulles on his return to Washington on December 
21, and a White House announcement of the U.S. 
delegation. 

OPENING ADDRESS BY PRESIDENT EISEN- 
HOWER, DECEMBER 16 

I am here to continue, with you, NATO's work 
for a just peace. 

I meet with you in Paris — my friends of many 
years, colleagues in sharing heavy responsibilities 
and bright opportunity. 

This meeting is unique in NATO history. For 
the first time it is attended by Heads of Govern- 
ments. 

e meet, not under a chilling fear that each na- 
tion among us, acting separately and alone, might 
fail to match the aggressive power that could be 
Drought against any. 

That was once true. 

We meet, not in any dreadful knowledge that 
)ur cities are again, by conflict, scarred and pain- 
rully marked, our economies strained, our peoples 
vorn from a war against totalitarianism. 

Again, that was once true. 

Most certainly, we do not meet in a mood of na- 
ionalistic self-assertion, pursuing selfish interests 
,t the expense of our sister nations. 

That has never been true of NATO. 

anuary 6, 1950 



We are here to rededicate ourselves to the task 
of dispelling the shadows that are being cast upon 
the free world. We are here to take store of our 
great assets — in men, in minds, and in materials. 
We are here to find ways and means to apply our 
undoubted strengths to the building of an ample 
and safer home for mankind here on earth. 

This is a time for greatness. 

We pray for greatness in courage of will to ex- 
plore every path of common enterprise that may 
advance the cause of justice and freedom. 

We pray for greatness in sympathy and com- 
radeship that we may labor together to end the 
mutual differences that hamper our forward 
march within a mutual destiny. 

We pray for greatness in the spirit of self- 
sacrifice, so that we may forsake lesser objec- 
tives and interests to devote ourselves wholly to 
the well-being of all of us. 

We pray for greatness of wisdom and faith that 
will create in all of us the resolve that whatever 
measures we take will be measures for peace. 

By peace, I do not mean the barren concept of 
a world where open war for a time is put off be- 
cause the competitive war machines, which hu- 
mans build, tend mutually to neutralize the terrors 
they create. 

Nor by peace do I mean an uneasy absence of 
strife bought at the price of cowardly surrender 
of principle. We cannot have peace and ignore 
righteous aspirations and noble heritages. 

The peace we do seek is an expanding state of 
justice and understanding. It is a peace within 
which men and women can freely exercise their 
inalienable rights to life, liberty, and the pursuit 
of happiness. 

In it mankind can produce freely, trade freely, 
travel freely, think freely, pray freely. 

The peace we seek is a creative and dynamic 
state of flourishing institutions, of prosperous 



economies, of deeper spiritual insight for all na- 
tions and all men. 

NATO was born nearly 10 years ago. Eight 
European nations had then come under Soviet 
domination, and there was clear danger that the 
rest of Europe might, nation by nation, fall before 
the powerful military and political influence of 
the Soviet Union. 

NATO has proved itself as an agency of peace. 
Since it came into being, no further nation of 
Europe has been lost to Communist aggression. 
Behind the barrier of NATO's deterrent power, 
conventional and nuclear, the peoples of the West 
have made great advances. 

Progress Toward Unity 

Here on the continent of Europe there has 
been achieved a progress toward unity, in terms 
of the Coal and Steel Community, EURATOM, 
and the Common Market. Thus it justified the 
vision of statesmen and provided a new stim- 
ulus to vast creative forces long enfeebled by ir- 
rational divisions. Everywhere the people of 
the West have attained new levels of economic 
prosperity. 

We see in Europe and in America the vitality 
of our factories and mills and shipping, of our 
trading centers, our farms, our little businesses, 
and our vast industrial complexities. And above 
and beyond these material values are those moral 
and spiritual strengths which cannot be gaged by 
finite measurement. 

We can take satisfaction from the past but 
no complacency in the present. The Soviet state 
daily increases its military and economic power, 
and its rulers make clear their purpose to use 
that power to dominate the world. 

To this end the Soviet system imposes upon 
the great mass of its workers a harsh discipline. 
Their lot is of forced labor and production, which 
is as abhorrent as it is menacing, for it provides 
the despotic state with vast resources produced 
out of serfdom. 

Thus there is emphasized the production of new 
weapons, including atomic warheads and rocketry. 

The Communists likewise have enlarged their 
industrial capacity. They challenge us to a world 
contest in the economic field, seeking by economic 
penetrations to gain the mastery of still more 
human and material resources. 

These are some of the problems that confront 



us. The presence here of Heads of Governments 
proves that we recognize the magnitude of the 
challenge. 

At a later meeting this Council will consider 
proposals for specific measures for raising the 
level of our collective effort. But I repeat that 
whatever measures we take will be measures for 
peace. 

The Price of Peace 

This peace we seek will not be had for nothing. 
Indeed, its price will be high. But it need not 
dismay us. Our free peoples possess ample re- 
sources wherewith to meet every threat. 

The only question is, will we do so? Will we, 
in freedom, pay the price necessary to preserve 
freedom ? 

Let us glance at our resources. The 15 NATO 
countries comprise nearly 500 million people. 
These people have a per capita productivity about 
three times that of the Soviet Union. Our scien- 
tists and technicians were the inventors of what 
now revolutionizes the arts both of war and of 
peace. We possess what is, today, the most power- 
ful military establishment in the world. 

These are some of our material assets. Even 
more important are the political and moral assets 
that are national heritages. 

We have a demonstrated will for world dis- 
armament and the peace that all men want. 

Following World War II, the free nations, 
without awaiting disarmament agreements, vol- 
untarily disarmed themselves. 

When the West possessed an atomic monopoly, 
we offered to dedicate it to international control, 
so that the fearsome power could never be used - 
for war. 

We conceived and developed the concept of fm 



"atoms for peace." The International Atomic 
Energy Agency, now functioning at Vienna 
is a product of our imagination and persistence. 

Western nations proposed "open skies," so thai pother 
no nation coidd mount a massive surprise attach J »«t.W 
against another. 






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At London last summer 1 we proposed that there <i:,^^ 



should be an end to the manufacture of fissionable 
material for weapons purposes, that therefore nu 
clear weapons should no longer be tested, and tha 



Bulletin of Sept. 16, 1957, p. 451. 

Department of Sfofe Bulletii ,, 



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existing nuclear-weapons stockpiles should be 
reduced by transfers to peaceful purposes. 

We have demonstrated a will for the spreading 
of the blessings of liberty. Within the last 15 years 
our nations have freely granted political independ- 
ence to 20 countries with populations totaling 800 
million peoples. 

Within our societies we manifest, so that all can 
see, the good fruits of freedom. Those fruits do 
not consist of materialistic monuments, which 
despots have always been able to exhibit. They 
consist of providing the simple things all men 
want — the opportunity to think and worship as 
their conscience and reason dictate; to live in their 
homes without fear; to draw together in the inti- 
macies of family life; to work in congenial tasks 
of their own choice; and to enjoy the fruits of 
their labor. 

These are the most precious manifestations of 
freedom. And we have the power to defend and 
spread that freedom. 

Freedom has not failed us! Surely, we shall 
not fail freedom ! 

We shall be successful. But the task will not be 
easy or short. Accomplishment will prove to be 
a journey, not a destination. 

We who inherit and share the humane and reli- 
gious culture of Europe must examine our collec- 
tive conscience to determine if we are doing our 
to meet the grave threat to our free in- 
stitutions. 



monopol; 
al control 



Misconceptions 

I believe that we must rid ourselves of certain 
lse habits of thought of which we have all been 



Among our misconceptions has been the belief 

, ;hat our free system was inherently more pro- 

c . ^ luctive in all fields than the totalitarian system. 

-. , Another has been that time was always on our 

! ide, irrespective of what we do with that time. 

' Uu Another has been that our nations, merely be- 

! f y ause they arc sovereign, can each lead a separate, 

elfish national life, without coordination of plan- 

. t u ling and of effort. 

e . y Another is the assumption that the triumph 

J "", Jf freedom over despotism is inevitable. As a 

ae uiJountryman of mine once observed, "It takes a lot 

■■f hard work and sacrifice by a lot of people to 

ing about the inevitable." 



It is imperative that, while the margin of 
power is still ours, we should make sure of policies 
and efforts that will always keep it so. 

We are moving into an era in which vast physi- 
cal forces cast a pall over our world. I believe 
our NATO governments stand ready to concert 
our efforts with each other — and with other na- 
tions, including, of course, the Soviet Union if it 
were willing — to bring these forces under rational 
control in the common interest of all humanity. 
Until that can be done, we must continue to create 
and sustain within the free world the necessary 
strength to make certain of the common security. 
And all of us must have the assurance that that 
strength will be used to sustain peace and 
freedom. 

We are in a fast-running current of the great 
stream of history. Heroic efforts will long be 
needed to steer the world toward true peace. 

This is a high endeavor. But it is one which 
the free nations of the world can accomplish. 

We of the Atlantic Community are not alone. 
In other parts of the world many free nations 
have banded together in the exercise of their in- 
herent right to collective security. Other free na- 
tions, relying on individual rather than collective 
security efforts, nevertheless share our purposes 
and our goals of freedom. A special responsi- 
bility does, however, rest upon the Atlantic Com- 
munity. Within our lands freedom first had its 
birth. It still waxes strong. 

The members of our Community need to feel an 
increasing responsibility to help other free peoples 
to attain for themselves relief from what has been 
for them an age-old blight of direst poverty. We 
have, as I have recalled, been parties to the grant 
of political liberty to hundreds of millions of 
people. But that bestowal could be a barren gift, 
and indeed one which could recoil against us, un- 
less ways are found to help less developed coun- 
tries to achieve an increasing welfare. 

All of us have a vital stake in this sense of in- 
creasing sacrifice. None of us must shirk any 
needed sacrifice to make it possible. 

The forces arrayed against us are formidable 
but not irresistible. 

The captive peoples of Eastern Europe have 
made it evident that patriotism survives and that 
they continue to live in the hope of recovering 
their proud and honorable traditions of national 
independence. 



BulWwi uary 6, J 958 



Some Soviet "Contradictions" 

The Kremlin has publicly recognized the "con- 
tradictions" between the desires of the workers for 
better standards of living and the utilization by 
the state of colossal sums for military and capital 
developments. The Soviet current 5-year plan 
has had to be abandoned. There is in process a 
decentralization of industry which will inevitably 
bring with it a decentralization of power and of 
opinion. 

With the passage of time, despotic government 
historically has suffered internal decay before it 
is apparent on the surface. Beneath a hard 
governmental exterior, love of freedom among all 
peoples still persists. It is a force that has never 
been indefinitely suppressed. 

The industrial plans of the Soviet rulers re- 
quire an ever-increasing number of finely trained 
minds. Such minds cannot be indefinitely sub- 
jected to thought control and to conformity by the 
Communist or any other party. 

Freer access to knowledge and fuller under- 
standing are the internal forces that will more 
and more require recognition. Their effect will 
be the more noticeable if the existing order can- 
not feed on what appear to be external successes 
and thus distract mass attention from the obvious 
failures of despotic rule. 

There lies before the free nations a clear pos- 
sibility of peaceful triumph. There is a noble 
strategy of victory — not victory over any peoples 
but victory for all peoples. 

This is no reason for complacency ; it is a rea- 
son why we should confidently and hopefully do 
what is required to carry out that strategy. 

I have known the comradeship of men in arms 
from many nations joined in the defense of free- 
dom. The sense of sharing moments of crisis and 
decision is a moving and a lasting one. Too often 
those moments come only in time of war. It 
would indeed be a tragedy if we could not, in 
waging peace, share the joy of common decision, 
common effort, and common sacrifice. There is 
no task so difficult, yet so imperative and so hon- 
orable. 

It is in that spirit that we have come here, so 
that out of the reconciling and joining of our 
wills we shall renew our strength and press on to 
that peace, in freedom, which is our rightful her- 
itage. 



STATEMENT BY PRESIDENT EISENHOWER, 
DECEMBER 16 

It is a pleasure to meet with you again after 
our impressive opening ceremony earlier today. 
I shall not repeat here what I then said as to the 
spirit that should move us. I shall now seek to 
be somewhat more specific as to means for trans- 
lating that spirit into positive action. 

Disarmament 

The North Atlantic Treaty, as originally con- 
ceived, was essentially a collective-defense organ- 
ization, and defense must under present circum- 
stances continue to be a major aspect of our ac- 
tivities. We ought, however, always to make it 
abundantly evident that we will seek patiently 
and everlastingly to end the need for great mili- 
tary establishments. Our resolve will be to re- 
lease large resources for the greater welfare of 
mankind. 

We continue to consider our disarmament pro- 
posals of August 29 as sound and fair. They 
were, as you know, developed after the fullest 
consultation in this Council and prolonged negoti- 
ation with the Soviet Union. They have now 
received the overwhelming stamp of approval of 
the United Nations General Assembly. 2 

We should leave no stone unturned in our 
search for an agreement that would end this ap- 
palling armaments race and at the same time 
assure the security of the free world. We should 
be flexible within limits fixed by prudence and 
self-preservation. 

I suggest that our Council might establish a 
technical advisory group to keep these matters 
under continuous study. It seems to me inevitable 
that the Soviet Union will itself come to realize 
the importance of stopping the nuclear arms race. 
This means stopping the production of nuclear 
weapons material as well as stopping nuclear ex- 
periments — all under re] 

establishing a system which would exclude the risk 
of massive surprise attack. 

German Reunification and Berlin 

While we- can hope for progress and while our 
London first-step disarmament proposals were 
offered without political conditions, we cannot 



iable safeguards— and* 0Cs ^ 

«tes or 

! 



Xbid., Dec. 16, 1957, p. 961. 

Department of State Bulletin 



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ignore the fact that arms reduction has rarely 
occurred in the face of acute political tensions and 
of grave international injustices. 

One such injustice afflicts deeply one of our 
NATO members, the Federal Republic of Ger- 
many. I should like to reiterate most solemnly 
our abiding determination that Germany shall be 
peacefully reunited in freedom. At the summit 
conference over 2 years ago this was formally and 
solemnly promised to us by Mr. Khrushchev and 
Mr. Bulganin. Unhappily, that promise has been 
repudiated at the cost of the international confi- 
dence which the Soviet rulers profess to desire. 
Likewise, I cannot let this occasion pass without 
recalling our common concern over the status of 
Berlin. The clear rights there of the Western 
Powers must be maintained. Any sign of Western 
weakness at this forward position could be misin- 
terpreted with grievous consequences. 

Our Defense Posture 

If we are to be prepared for collective self-de- 
fense, we must, of course, do an adequate job. This 
will be difficult in a period of rapid scientific and 
technological advance which the Soviet Union is 
well prepared for. I consider, however, that, in 
its principles, NATO's defense planning con- 
tinues to be valid. That, of course, must be under 
continuing study and review. Yet one indispen- 
sable element must be constant — that is our resolu- 
tion to use force, if necessary, for our self-defense. 

This is our resolve: Speaking for my own 
country, I assure you in the most solemn terms that 
the United States would come, at once and with 
all appropriate force, to the assistance of any 
NATO nation subjected to armed attack. This is 



of nuclea 



Iriileft 



:eaizi the resolve of the United States — of all parts and 

of all parties. 

Equally, I do not doubt that each of your na- 

11 1! tions would similarly respond should the United 

i« I(iHt States or another NATO member be attacked. 

'" This, then, is the core of our partnership — an at- 

ack against one is an attack against all. In order 

o live in peace together, we are resolved to defend 

aurselves together if need be. 



olitical Consultation 

The United States shares the view that political 
consultation should be developed and broadened 

lanuary 6, 7958 



in this Council. The United States supports the 
principles embodied in the Committee of Three 
report 3 adopted a year ago. Since then the prac- 
tice of political consultation has made marked 
progress. 

Yet the record can and must be improved. The 
United States, for its part, intends to do that. 
We expect to keep our Permanent Representative 
fully informed of all of our policies which could 
materially affect our associates here. When in the 
United States, he will attend and participate in 
meetings of our Cabinet and of the National 
Security Council. He will be privy to all the pur- 
poses of our Government. 

It is, I think, generally accepted that the man- 
date to consult must be applied in accordance with 
a rule of reason. It is not necessarily the case that 
differences between two or three member states 
are always more readily resolved if debated 
around this council table. Sometimes more in- 
timate and restricted negotiations and quicker 
responses will produce better results. 

Also, there must be a capacity to react, within 
the limits of known policy, to what may be prob- 
ing operations from the outside. If reaction is 
delayed, the consequences could be serious. 

Nevertheless, there should be consultations ha- 
bitually, within all practical limits. This will 
prevent, except in the most extreme emergency, 
any nation from being surprised. Fear of any 
nation becoming involved in great risks without 
notice will be minimized if consultation becomes 
an accepted and growing habit. 

Economic Cooperation in NATO 

The Soviet challenge is economic as well as 
military. They seek adherents to communism 
through an intensive and effective campaign of 
trade and financial assistance. This campaign is 
directed against selected less developed countries 
of key political importance. They use all eco- 
nomic means to penetrate these countries and sub- 
due their freedom. 

This is the challenge — now what do we do? 

It is true that many NATO countries have long 
been at work in this area, individually and jointly, 
through international organizations. Yet there is 
more to be done if we are to save our less for- 



1 For text, see ibid., Jan. 7, 1957, p. 18. 



tunate friends from Soviet penetration and domi- 
nation by these means. The time has come for an 
enlarged individual and cooperative effort to ad- 
vance the development, trade, and well-being of 
the less developed countries of the free world. 

It is my earnest hope that NATO governments 
and other free governments will enlarge their 
efforts and cooperate in this important task. The 
United States is prepared to consider sympatheti- 
cally proposals in this sense. The United States 
itself proposes to increase the economic resources 
which we can make available to the less developed 
countries of the free world and to improve trade 
and financial conditions. We will propose to our 
Congress that our Development Loan Fund be 
increased from the present $300 million by an ad- 
ditional $625 million. We will ask the Congress 
to increase the lending authority of the Export- 
Import Bank by an additional $2 billion. We 
proposed and will participate in the expanded 
technical assistance program of the United Na- 
tions. We will also propose that the Congress 
extend our reciprocal trade agreements legislation 
for 5 years. 

Together we of the free world will wage and 
win this struggle on the frontiers of human 
progress. 

Enduring Nature of Atlantic Community 

The North Atlantic Treaty Organization was 
created in response to a military threat. Yet 
NATO should not for all time be primarily a col- 
lective-defense organization. We hope and be- 
lieve that the time will come when its defense 
aspect will be minor and perhaps even unnec- 



It has demonstrated, and we believe will increas- 
ingly demonstrate, the importance of the closest 
association between the members of the Atlantic 
Community. This association is a natural one. 
We have common traditions which have been 
passed on from generation to generation. We 
should continue to work together as a growing com- 
munity and with increasing intimacy. We should 
so shape this association, and our respective parts 
in it, that it permanently serves to promote har- 
mony not only between us but also between our- 
selves and other people and areas of the world. 

I should now like to ask the Secretary of State 
to complete our presentation. 



STATEMENT BY SECRETARY DULLES, 
DECEMBER 16 

Our purpose is peace and justice. But never 
have these been achieved anywhere without power 
to deter lawless persons who would violate the 
rights of others in order to enrich themselves. 
Today, in the society of nations, there is special 
need for deterrent power as against the So- 
viet Union, whose rulers have repeatedly made 
manifest their willingness to resort to force and 
the threat of force to achieve their goal of world- 
wide domination. 

NATO Atomic Stockpile System 

The major deterrent to Soviet aggression against 
NATO is the maintenance of a retaliatory power 
of such capacity as to convince the Soviets that 
such aggression would result in their own destruc- 
tion. This power rests in the United States Strate- 
gic Air Command and in other nuclear striking 
forces. In this respect we have superiority over 
the Soviet Union. As long-range missiles become 
available, they will play their part in maintaining 
the deterrent. 

The shield of NATO ground, sea, and air for- 
ces is also an integral part of the deterrent. 
Therefore, NATO should continue its efforts to 
strengthen the shield, which should increasingly 
include a nuclear capability. United States forces 
in Europe — ground, sea, and air — now have such 
a capability, and this capability is being extended 
to other NATO forces. 

The United States has already programed ap- 
proximately three-quarters of a billion dollars 
for modern weapons — most short-range missiles 
and aircraft — for forces of our NATO allies. 
Personnel of several NATO countries are increas- 
ingly being trained in the maintenance, operation, 
and deployment of these weapons systems. Ini| 
this connection we endorse the NATO Missile Europe 
Training Center Project. 

It remains to assure that nuclear warheads will 
be readily available to NATO forces in event of 
hostilities. We have considered this subject most 
carefully since it was first proposed by the French 
Foreign Minister at Bonn last May. 4 



' For text of communique issued at Bonn on May 3 at 
the close of the 2-day meeting of the NATO Ministerial 
Council, see ibid., May 27, 1957, p. 840. 



Podea - 

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The United States is prepared, if this Council 
so wishes, to participate in a NATO atomic stock- 
pile. Within this stockpile system, nuclear war- 
heads would be deployed under United States cus- 
tody in accordance with NATO defensive 
planning and in agreement with the nations di- 
rectly concerned. In the event of hostilities, nu- 
clear warheads would be released to the 
appropriate NATO Supreme Allied Commander 
for employment by nuclear-capable NATO forces. 

We believe that this arrangement meets NATO 
military requirements and insures that nuclear 
weapons can be employed promptly when needed. 

Intermediate-Range Ballistic Missiles 

If this Council so desires, and in order to 
strengthen NATO's deterrent power, the United 
States is prepared to make available to other 
NATO countries intermediate-range ballistic mis- 
siles, for deployment in accordance with the 
plans of SACEUR. Nuclear warheads for these 
IRBM's will become a part of the NATO atomic 
stockpile system. 

Such IRBM deployment would be subject to 
agreement between SACEUR and the countries 
directly concerned and to agreement between each 
such country and the United States with respect 
to materiel, training, and other necessary arrange- 
ments. 

We expect to be able to deliver intermediate- 
range missiles as soon as the NATO nations in 
which they would be deployed are ready to receive 
them. 



Coordinated Production of Modern Weapons Systems 

Several NATO nations have stressed the need 
for further cooperation in the field of develop- 
ment and production of modern weapons. We 
suggest that the Council may desire to initiate in 
I )[i«ii Europe a coordinated program of research, de- 
velopment, and production of a selected group of 
modern weapons systems, including intermediate- 
range ballistic missiles. 

We envisage the prompt initiation of such a 
program through a temporary NATO ad hoc 
group, consisting of highly qualified scientists, en- 
gineers, and production experts who, in con j mic- 
tion with NATO military authorities, would be 
responsible to the North Atlantic Council for: 

January 6, 7958 



1. Recommending an initial group of modern 
weapons or weapons systems suitable under 
NATO military planning for production in 
Europe. 

2. Recommending in which countries should 
be the responsibility for development and produc- 
tion of specific weapons, through principal man- 
ufacturers and subcontractors of critical com- 
ponents. Thus, later improvement in the initial 
designs could be developed and produced in Eu- 
rope under NATO supervision. 

3. Recommending measures to provide a mar- 
ket for the weapons produced. 

In this endeavor, appropriate pooling of talent, 
combining of resources, and sharing of research 
and development information should be selectively 
arranged. NATO nations having available tech- 
nical data relating to the manufacture of such 
weapons systems could make such data available 
to other nations as required. The United States 
is willing to assist these endeavors and utilize its 
mutual weapons development program, sample 
weapons program, and facilities assistance pro- 
gram to support this effort more directly. While 
we plan to maintain our modern weapons produc- 
tion base in the United States, the United States 
would seek ways of supporting the weapons base 
in Europe by procurement for our own forces as 
well as for our military assistance programs. 

In order to assure adequate studies and plan- 
ning in the field of weapons systems and to relate 
this program closely to our scientific endeavor in 
the military field, the United States supports the 
establishment of an appropriate permanent 
NATO mechanism for this purpose. This mech- 
anism would operate in conjunction with NATO 
military authorities and the proposed NATO 
Science Committee. 

Force Contributions 

Force contributions are a critical factor in 
carrying out the defensive strategy upon which 
we agreed last December in the political di- 
rective. 5 NATO is now in the process of de- 
termining its force requirements to insure the 
capability to implement the approved strategic 
concept. It is clear that the defensive and re- 



° For text of communique issued at the close of the 
North Atlantic Council meeting at Paris Dec. 11-14, 1956, 
see ibid., Dec. 24 and 31, 1956, p. 981. 



taliatory power of the NATO forces must be 
established at a level sufficient to meet the grow- 
ing power of international communism. 

There is need that each NATO partner do its 
utmost to meet the established NATO force re- 
quirements, including frontline divisions. United 
States policy in this respect continues to be as 
stated by President Eisenhower on March 10, 
1955. 6 We will continue to contribute a fair 
share in maintaining and strengthening the col- 
lective forces of the Atlantic Community. 

The United States also expects to continue its 
military assistance program. 

We are prepared, as I have stated, to work 
with our allies to develop the capability for the 
employment of nuclear weapons. Within this 
approach, we believe that a mixed nuclear-con- 
ventional force is NATO's best posture. 

Another ingredient of an effective NATO 
nuclear force should be a common body of 
knowledge about nuclear weapons and military 
doctrine for their employment to permit their 
confident and responsible use. 

We believe that our NATO allies should share 
more information as to military nuclear matters. 
Broader understanding is needed as to the 
weapons themselves, their effects, and the present 
and prospective state of this still new military 
science. The legislative changes we are proposing 
to the United States Congress would permit the 
exchanges of information needed to accomplish 
this. 

If we work from a common fund of knowledge 
and a common set of assumptions about the tre- 
mendous military force now available for our de- 
fense, we should be able better to develop plans 
for effective and discriminating use of nuclear 
weapons and will be more likely, in an emergency, 
to be of one mind as to the employment of this 
force. 

Liaison Among Various Alliances 

The challenge to which NATO responds is not 
confined to any particular area. It is worldwide. 
And NATO is not the only collective response. 
There are the Organization of American States 
and the Southeast Asia Treaty Organization and 
the Baghdad Pact. There are also important bi- 
lateral and trilateral arrangements. The pacts 
reinforce each other. For if war came in any 



• Ibid., Mar. 21, 1955, p. 464. 
10 



area, it might not be possible to confine it to that 
area. 

Each of these other associations has its own dis- 
tinctive characteristics and origins. However, all 
of them constitute an exercise of what the United 
Nations Charter calls the inherent right of collec- 
tive self-defense. The purpose is to help to es- 
tablish security against aggression and harmony 
as between nations. They are also designed to 
promote the economic, social, and cultural welfare 
of their peoples. 

The United States considers that it would be 
useful if these various regional groups should 
gain a better understanding of the problems and 
situations faced by each other. An exchange of 
experience and of appreciation on the world po- 
litical situation might be a first step. Accord- 
ingly, we suggest that the Secretary General of 
the North Atlantic Council should explore devel- 
oping closer ties between the various collective- 
defense organizations, if this is agreeable to all 
concerned. 

We are not suggesting any merger of existing 
organizations or any extension of the North At- 
lantic Treaty area. We merely propose that we 
explore ways whereby each nation that has in- 
voked the collective-defense principle should get 
the maximum information to enable it to con- 
tribute better to the common goal of global peace. 

Special Briefings by Foreign Ministers 

The President has spoken of the importance 
which we attach to political consultations in 
NATO. Obviously these consultations ought to 
take place primarily and regularly here in Paris 
within our duly constituted Council. There may, 
however, exceptionally be circumstances where the 
NATO governments could be more quickly and 
more fully informed if the foreign minister at 
one or another of our capital cities were to ex- 
plain his government's policy or actions to the 
NATO ambassadors there. This could provide a 
useful background for further discussion in the 
permanent Council. 

So far as the United States is concerned, we 
would be ready in Washington to meet with the 
NATO ambassadors there with respect to any sit- 
uation which seemed to lend itself best to that 
type of exceptional treatment as a supplement to, 
but not in derogation of, the functioning of the 
Permanent Kepresentatives here in Paris. 

Department of Sfafe Bulletin 



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Scientific Cooperation 

Europe and the Atlantic Community have been 
pioneers both in pure scientific research and in the 
application of the results of research to practical 
use. Continued vigorous growth of science and 
technology in our Community is essential for our 
cultural and economic health and for our military 
strength. It is also the basis for the technical as- 
sistance for which other areas of the world look 
to us. 

We believe that cooperation and a pooling of 
efforts are the keys to the vitality and expansion 
of scientific activity. At this meeting we recom- 
mend that NATO formally recognize the im- 
portant role that it must play on behalf of the 
Atlantic Community and the free world in stim- 
ulating the necessary cooperation and support of 
science. To this end, we support the establishment 
of an overall NATO Science Committee, responsi- 
ble to the Council, to commence its work as soon as 
•possible. We urge also the appointment of a 
science adviser to the Secretary General. 

Many valuable proposals for specific actions 
have been made by our various delegations. In ad- 
dition, the reports of the NATO Parliamentary 
Conference and of the NATO Scientific Task 
Force contain a number of well-thought-out rec- 
ommendations. The urgent task of the Science 
Committee and of the science adviser would be to 
review these many ideas and to make specific rec- 
ommendations to the North Atlantic Council for 
action to increase scientific manpower and facili- 
tate cooperation in research and exchange of mili- 
' IjllJtary and civilian scientific personnel. Wherever 
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e, of course, actions would be carried out 
through the mechanism of existing organizations 
l iere tli( such as the OEEC [Organization for European 
-jejuni Economic Cooperation]. 

While formal action should, perhaps, await 

o es- above review and recommendations of the proposed 

jnu to tk NATO Science Committee, I can give several ex- 

j ^dei amples of programs the United States is prepared 

,,;,„ in tin to support. We would be prepared to participate 

in, and contribute to, an annual talent-develop- 

noernedj ^ nen t program for 500 predoctoral and postdoc- 

jflfhla toral scientific fellowships (as recommended by 

jnjsit the NATO Parliamentary Conference). We 

, t0 tlvi would also assist in an expanded program of sum- 

jgjjjt |l ner study institutes in Europe — perhaps with the 

' : oftli participation of teachers and students from 



January 6, 1958 



are also ready to join in expanded programs for 
exchange and translation of scientific information. 
This is a field where cooperation can surely 
bring rich rewards. 

Atomic Energy 

Atomic energy is one scientific area where the 
basis for cooperation is already built. I am grati- 
fied that the United States has agreements for co- 
operation with all interested NATO members. 
New institutions to promote peaceful uses of 
atomic energy are coming into being. I refer to 
the European Atomic Energy Community (known 
as EURATOM), to the European Nuclear Energy 
Agency of the OEEC, and, of course, the Inter- 
national Atomic Energy Agency. We look for- 
ward to cooperation with these agencies. 

In one important new area we are planning to 
seek necessary legislative authority to permit co- 
operation. I refer to the atomic submarine, which 
has proven its tremendous capabilities over 
thousands of miles of operation by the Nautilus 
and Seawolf. If the necessary legislation is ob- 
tained, we will be able to cooperate with interested 
members of NATO in the development, produc- 
tion, and fueling of nuclear propulsion and power 
plants for submarines and other military purposes. 
This action will also greatly facilitate cooperation 
in the promising field of nuclear merchant-ship 
propulsion. 

Conclusion 

Mr. President, in making this United States 
presentation, we have inevitably spoken primarily 
of the contribution which the United States can 
make to the common effort. We do not, however, 
wish to close without expressing our appreciation 
for the contributions others are making. These 
we know involve sacrifice and, to some, seem to 
involve risk. In certain fields the contributions 
made by a small country are as important as those 
made by the largest. 

In NATO, each of our nations makes its secur- 
ity dependent upon the effort of others. This 
creates a high responsibility of honor as between 
us. We can show that, however high the price we 
pay under these conditions, it is a less price than 
we would have to pay if we each stood alone. 

We are faced by those who, possessed of great 
power, seek by every means to divide us. They 
would like to be able to deal with us separately. 



11 



So they use every means, whether it be inducement 
or threat, to disrupt our fellowship. 

We are confident however that these disrup- 
tive efforts will fail and that we shall achieve, not 
only for ourselves but for all posterity, the im- 
mense gains which will flow from establishing, 
within the family of nations, the principle and 
practice of collective security. 



TEXT OF DECLARATION AND COMMUNIQUE, 
DECEMBER 19 

I. Declabation 

We, the representatives of fifteen nations of the North 
Atlantic Alliance, believing in the sanctity of those human 
rights which are guaranteed to all men of free nations 
by their constitutions, laws and customs, re-dedicate our- 
selves and our nations to the principles and purposes of 
the North Atlantic Treaty. This Treaty has been in effect 
for nearly nine years. It was founded to protect the 
right of our peoples to live in peace and freedom under 
governments of their own choice. It has succeeded in 
protecting this right. Building on our experience and 
confident in the success already obtained, we have agreed 
together upon means to give added strength to our Al- 
liance. 

At the end of the Second World War, the armies of 
the West were largely disbanded. The Soviet Union did 
not demobilise. Its expansionist policy impelled us to 
establish our Treaty and to build up our armed forces. 

We are an organization of free countries. We have 
learned to live and work together in the firm conviction 
that our fundamental unity and our combined strength 
are indispensable to our own security and to the peace of 
the world. 

The meaning of our Alliance is clear. We have given 
a solemn guarantee, each to the other, to regard an 
attack upon one as an attack upon all, to be resisted 
with all the forces at our command. Faithful to the 
Charter of the United Nations we reaffirm that our Alli- 
ance will never be used for aggressive purposes. We are 
always ready to settle international problems by negoti- 
ation, taking into account the legitimate interests of all. 
We seek an end to world tension, and intend to promote 
peace, economic prosperity and social progress through- 
out the world. 

We continue firmly to stand for comprehensive and con- 
trolled disarmament, which we believe can be reached 
by stages. In spite of disappointments, we remain ready 
to discuss any reasonable proposal to reach this goal 
and to lay a solid foundation for a durable peace. This 
is the only way to dispel the anxieties arising from the 
armaments race. 

The free world faces the mounting challenge of inter- 
national Communism backed by Soviet power. Only last 
month in Moscow the Communist rulers again gave clear 
warning of their determination to press on to domination 
over the entire world, if possible by subversion, if neces- 
sary by violence. Within the North Atlantic Treaty 



12 



there is no place for the concept of world domination. 
Firmly believing in peaceful change through democratic 
means, cherishing the character of our peoples and vig- 
ilant to safeguard their freedom, we will never yield to 
such a threat 

For the entire world it is both a tragedy and a great 
danger that the peoples under international Communist 
rule — their national independence, human liberties and 
their standard of living as well as their scientific and 
technological achievements — have been sacrificed to the 
purposes of world domination and military power. The 
suppression of their liberty will not last for ever. Al- 
ready in these countries there is evidence of the growing 
desire for intellectual and economic freedom. If the free 
nations are steadfast, the totalitarian menace that now 
confronts them will eventually recede. 

Established to defend the peace, our Alliance will also 
enable us to reach our objectives of economic and social 
progress. For this purpose we have agreed to cooperate 
closely to enable us to carry the necessary burden of de- 
fence without sacrificing the individual liberties or the 
welfare of our peoples. We shall reach this goal only by 
recognising our interdependence and by combining our 
efforts and skills in order to make better use of our re- 
sources. Such efforts will now be applied particularly to 
the peaceful use of atomic energy and to the development 
and better organization of scientific cooperation. 

To the many nations which have gained their independ- 
ence since the end of the Second World War and to all 
other peoples, who like ourselves, are dedicated to freedom 
in peace, we offer our cooperation on a basis of complete 
equality and in a spirit of fraternity. 

Conscious of our intellectual and material resources, 
convinced of the value of our principles and of our way 
of life, without provocation but equally without fear, we 
have taken decisions to promote greater unity, greater 
strength and greater security not only for our own na- 
tions but also, we believe, for the world at large. 

II. Communique 

International Situation 

1. The aim of the Soviet bloc is to weaken and disrupt 
the free world. Its instruments are military, political and 
economic : and its activities are world wide. To meet 
this challenge the free world must organize its resources- 
moral, military, political and economic — and be ready tc 
deploy them wherever the situation demands. Our Alii 
ance cannot therefore be concerned only with the North: 
Atlantic area or only with military defence. It must also 
organize its political and economic strength on the prrn 
ciple of interdependence, and must take account of de-i 
velopments outside its own area. 

2. In the course of our meeting we have therefore re 
viewed the international situation and, in particular, th< 
dangers to world peace arising from Soviet actions anc 
threats. In spite of the dangers of the situation whicr 
are obvious to all, the Soviet Union has made no real con 
tribution to the solution of major problems causing inter 
national tension. We have especially in mind the prob 
lems of the reunification of Germany in freedom, and thi 
continuing anomaly of the isolation of Berlin — the capita 

Department of State Bulletii 



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of Germany. We renew and reaffirm our declaration of 
23rd October, 1954 which had in view the establishment 
on a firm basis of the security and freedom of Berlin. 
The perpetuation of injustice to the German people un- 
dermines international confidence and endangers peace. 
At the Geneva Conference of Heads of Government in 
July, 1955, the Soviet leaders took a solemn commitment 
that "the reunification of Germany by means of free elec- 
tions shall be carried out in conformity with the national 
interests of the German people and the interests of Euro- 
pean security". We call upon the Soviet Government to 
honour this pledge. 

3. We have reviewed the situation in the Middle East. 
In line with the peaceful aims of our Alliance, we con- 
firm the support of our Governments for the independ- 
ence and sovereignty of the states in this region, and our 
interest in the economic well-being of their peoples. We 
believe that the stability of this important area is vital 
to world peace. 

4. We express our interest in the maintenance of peace 
and the development of conditions of stability and eco- 
nomic and political well-being in the vitally important 
continent of Africa. We hope that the countries and peo- 
ples of that continent who are disposed to do so will co- 
operate within the free world in efforts to promote these 
purposes. We affirm the readiness of our countries to co- 
operate for our part with the countries and peoples of 
Africa to further these ends. Historic, economic and 
other friendly ties between certain European countries 
and Africa would make such co-operation particularly de- 
sirable and effective. 

5. In the course of our review of the international 
situation we have given consideration to recent serious 
events in Indonesia. We view them with concern. 

The Working of the Alliance 



6. The strength of our Alliance, freely concluded be- 
tween independent nations, lies in our fundamental unity 

the face of the danger which threatens us. Thanks to 
this fundamental unity, we can overcome our difficulties 
and bring into harmony our individual points of view. 
In contrast, as events in Hungary have shown, the Soviet 
bloc is held together only by political and military 
coercion. 

7. Although progress has been made, further improve- 
ment is needed in our political consultation. We are re- 
solved to bring this about. Our Permanent Representa- 
tives will be kept fully informed of all government poli- 
cies which materially affect the Alliance and its mem- 
bers. In this way, we shall be able to draw fully on each 
other's political experience and to ensure a broad co- 
ordination of our policies in the interest, not only of the 
Alliance, but of the free world as a whole. 

In addition, to strengthen the cohesion of the Alliance, 
the Permanent Council and the Secretary General should 
ensure effective consultation, including, where necessary, 
procedures of conciliation at an early stage. 



n ; l0 Disarmament 

8. We recall that in the course of this year, the Western 
■$$P countries taking part in the London Disarmament talks 
.^nari'fput forward to the Soviet Union, with the unanimous 






lanuary 6, 7958 



agreement of NATO, a series of concrete proposals pro- 
viding, subject to effective controls : 

— for reduction of all armaments and military forces ; 

— for the cessation of the production of fissionable ma- 
terial for weapons purposes ; 

— for the reduction of existing stocks of nuclear weapons ; 

— for the suspension of nuclear weapons tests ; 

—for measures to guard against the risk of surprise 
attack. 

9. We note with regret that these various proposals, 
which would halt the armaments race and add to world 
security if they were accepted, were rejected en bloc by 
the Soviet Union, although they had been approved by 
56 members of the United Nations. 

10. We regret that the Soviet Union has brought about 
a deadlock in the disarmament negotiations by declaring 
their intention to boycott the United Nations Disarma- 
ment Commission which had been extended, by a strong 
majority of the General Assembly, to include 25 nations. 

11. We denounce Soviet tactics of alternating between 
peace propaganda statements and attempted intimida- 
tion by the threat of nuclear attack. 

12. We deplore, also, that the leaders of the U.S.S.R. 
do not allow the Soviet populations to be impartially in- 
formed and enlightened by the services of the United 
Nations at the same time as the populations of other 
member countries, as to the danger of destruction to 
which all peoples would be exposed in the event of gen- 
eral war. A resolution to this effect was adopted in 
November, 1957, by the General Assembly of the United 
Nations by 71 nations against 9 nations of the Soviet 
bloc. 

13. We emphasise that, in order to be effective, any 
disarmament agreement implies adequate international 
control, that the acceptance of such control is the test 
of a true desire for peace and that the Soviet Union 
refuses to put this principle into practice. 

14. We have decided to establish a Technical Group 
to advise on problems of arms control arising out of new 
technical developments. 

15. In spite of the successive setbacks given by the 
Soviet Union to the cause of controlled disarmament and 
of peace, the NATO Council will neglect no possibility 
of restricting armaments within the limits imposed by 
security and will take all necessary action to this end. 

16. We state our willingness to promote, preferably 
within~the framework of the United Nations, any ne- 
gotiations with the U.S.S.R. likely to lead to the im- 
plementation of the proposals recalled above. 

We are also prepared to examine any proposal, from 
whatever source, for general or partial disarmament, 
and any proposal enabling agreement to be reached on 
the controlled reduction of armaments of all types. 

17. Should the Soviet government refuse to participate 
in the work of the new Disarmament Commission, we 
would welcome a meeting at Foreign Ministers' level to 
resolve the deadlock. 

NATO Defence 

18. The Soviet leaders, while preventing a general 
disarmament agreement, have made it clear that the 



13 



most modern and destructive weapons, including missiles 
of all kinds, are being introduced in the Soviet armed 
forces. In the Soviet view, all European nations except 
the U.S.S.R. should, without waiting for general dis- 
armament, renounce nuclear weapons and missiles and 
rely on arms of the pre-atomic age. 

19. As long as the Soviet Union persists in this atti- 
tude, we have no alternative but to remain vigilant and 
to look to our defences. We are therefore resolved to 
achieve the most effective pattern of NATO military de- 
fensive strength, taking into account the most recent 
developments in weapons and techniques. 

20. To this end, NATO has decided to establish stocks 
of nuclear warheads, which will be readily available for 
the defence of the Alliance in case of need. In view of 
the present Soviet policies in the field of new weapons, 
the Council has also decided that intermediate range 
ballistic missiles will have to be put at the disposal of 
the Supreme Allied Commander Europe. 

21. The deployment of these stocks and missiles and 
arrangements for their use will accordingly be decided 
in conformity with NATO defence plans and in agree- 
ment with the states directly concerned. The NATO mil- 
itary authorities have been requested to submit to the 
Council at an early date their recommendations on the 
introduction of these weapons in the common defence. 
The Council in permanent session will consider the var- 
ious questions involved. 

22. Recognising the rapidly growing interdependence 
of the nations of the free world, we have, in organizing 
our forces, decided to bring about closer co-ordination 
with a view to ensuring that each NATO member country 
makes its most effective contribution to the requirements 
established by the Alliance. Better use of the resources 
of the Alliance and greater efficiency for its forces will 
be obtained through as high a degree of standardisation 
and integration as possible in all fields, particularly in 
certain aspects of air and naval defence, of logistic sup- 
port and of the composition and equipment of forces. We 
have agreed that a military conference should be held at 
Ministerial level in the early months of 1958 to discuss 
progress made in these fields in the light, in particular, 
of the results of the 1957 Annual Review. 

23. As regards defence production, we have decided, in 
view of the progress already made, to take further 
measures within NATO to promote the co-ordination of 
research, development and manufacture of modern weap- 
ons including intermediate range ballistic missiles. 

24. The best means of achieving co-ordinated produc- 
tion of advanced weapons needed by our forces will be 
studied as a matter of urgency. Those NATO countries 
whose programmes have already reached a very ad- 
vanced stage have offered to share with their allies 
significant production techniques and results of their 
research work in order to stimulate a truly productive 
effort in the defence production field. 

Scientific and Technical Co-operation 

25. We recognise that in most of our countries more 
should be done to increase the supply of trained men in 
many branches of science and technology. The full de- 
velopment of our science and technology is essential to 



14 



the culture, to the economy and to the political and mili- 
tary strength of the Atlantic Community. 

26. We realise that progress will depend on vigorous 
action within individual states and in particular on the 
devoted contribution of teachers and scientists. We must 
increase the provision for the training of young people 
in scientific and technical subjects and must also ensure 
that the free pursuit of fundamental research continues 
to flourish. Each of our governments will therefore 
reappraise the support being given to scientific and tech- 
nical education and to fundamental research. 

27. We seek to increase the effectiveness of national 
efforts through the pooling of scientific facilities and 
information and the sharing of tasks. We must build 
on the established tradition of the universality of true 
science. Our governments will support the international 
organizations doing work in this field. 

28. We have decided to establish forthwith a Science 
Committee on which all of the NATO countries will be 
represented by men highly qualified to speak authorita- 
tively on scientific policy. In addition, a scientist of 
outstanding qualifications will be appointed as Science 
Adviser to the Secretary General of NATO. 

29. The Science Committee will be responsible in par- 
ticular for making specific recommendations to the Coun- 
cil for action on a proposal by the French Government 
for a Western Foundation for Scientific Research and on 
the many other valuable proposals which have been put 
forward by the NATO Task Force on Scientific and Tech- 
nical Co-operation and by the NATO Parliamentarians 
Conference. 

Economic Co-operation 

30. We are united in our common purpose to promote 
the economic and social development of our peoples and to 
assist the peoples of other countries to achieve the same 
objective. We consider that the purpose of government in 
a free society is to enlarge the opportunity of the indi- 
vidual rather than to subordinate him to the state. 

31. We will co-operate among ourselves and with other 
free governments to further the achievement of economic 
stability, a steady rate of economic growth, and the expan- 
sion of international trade through the further reduction 
of exchange and trade barriers. 

32. We reaffirm the desirability of a closer economic 
association between the countries of Western Europe, 
which we deem to be in the interest of all countries, and 
we will accordingly lend encouragement to the successful 
development of the European Economic Community and of 
a European Free Trade Area in which full account would 
be taken of the interests of the less developed member 
countries. We attach particular importance to these 
initiatives being worked out in such a way as to strengthen 
not only the participating countries but also the relations 
within the Atlantic Community and the free world 



as a 



viii'lc. 



economies of the members of NATO and of the other coun- 
tries of the free world. 

33. We affirm the interest of our governments in an 
enlargement of the resources, both public and private, 

Department of State Bulletin 






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available for the purpose of accelerating the economic 
advancement of the less developed areas of the free world. 

34. We have decided that the North Atlantic Council, 
without duplicating the work of other agencies, shall from 
time to time, and in the spirit of Article 2 of the Treaty, 
review economic trends and assess economic progress, and 
may make suggestions for improvements either through 
existing organizations or by the efforts of individual coun- 
tries, or in special cases by new initiatives. 

35. Under present circumstances, our defensive Al- 
liance takes on a new significance. Only an intensified 
collective effort can safeguard our peoples and their lib- 
erties. We have, together, ample capacity in freedom to 
defend freedom. 

36. We have taken a series of decisions which will pro- 
mote greater strength and greater security not only for 
our own nations but also for the world at large. 



ARRIVAL STATEMENT BY 

PRESIDENT EISENHOWER, DECEMBER 14 



After an absence of more than 5 years, once again 
I step on the soil of France. At this moment I 
am stirred and inspired by the memories of the 
great personalities and dramatic events of French 
history. From the beginning of America's na- 
tional existence France has had a large and special 
place in the affections of my countrymen. 

Wisdom, gallantry, and honor have enriched 

and embellished France's success in war and peace. 

And, through faith and greatness of heart, she 

71 has always emerged from every test, no matter 

[km how stern, a brilliant and strong leader of Western 

remmeni i« culture and civilization. 

iftbeiifli Of the many great days of France, the one that 

! state lives brightest in my heart, and will remain for- 

1 ever indelible in my life, was that August day in 

1944, when, after 4 long years, Paris again knew 

jjjudU freedom and the joy that freedom brings. 

That day is now more than 13 years in France's 

H economl past. The record of France's accomplishment 

em W since the liberation of Paris is signalized by her 

" visible progress in culture, in art, and in produc- 

j0 tivity. Above all else, it is signalized by her in- 

' (flu! destructible sense of destiny and her readiness to 

j »>*! meet the present and the future. 

nee to* Today we live in one of those periods of test 

to**"*! iot only for France but all of France's friends and 

j dlies, my country among them. It is for us, 

' [Jtt f it together, to determine whether men shall continue 

he other hub o live in freedom and in dignity or whether they 

ire to become mere vassals of an all-powerful 

iM itate. 

lanuary 6, 1958 



France was one of the first to have the imagina- 
tion and courage and wisdom which led to the 
founding of the defensive shield we know as 
NATO. She recognized that only in true part- 
nership could the free nations develop and main- 
tain the spiritual, economic, and military strength 
needed to neutralize the continuing threat from 
the East. 

The heads of NATO are meeting in this beauti- 
ful Paris to consider new elements in the chal- 
lenge we now face. We shall meet it effectively. 
We shall meet it in unity. 

We shall be striving not only to strengthen the 
NATO shield, but we shall also address ourselves 
to other aspects of our alliance. We all are confi- 
dent that in the supreme strength of balanced 
unity we can move together toward security and 
peace. 

In these days of trial, it is good not only to 
think seriously but to think gallantly, to think in 
faith. 

So, I salute once more all the people of France. 
I bring my personal greetings to my French 
friends — tested and true friends who have been 
my comrades in war and in peace. I have for 
them, and for all France, that profound feeling 
of gratitude that comes from sharing with them 
the crises of war, the problems of peace. 

All nations have their own great words, their 
great mottoes, words that are timeless and a sym- 
bol of a nation's destiny. As we begin our NATO 
deliberations tomorrow I shall be thinking of 
France's greatest words — liberty, equality, and 
brotherhood. They have as much meaning today 
as they had at the founding of the Republic. 

These three words could fittingly be emblazoned 
on the shield of NATO. It is the liberty of all 
of us that NATO is pledged to defend. It is a 
pledge made among equals. It is a pledge made 
in the spirit of that true brotherhood which sealed 
an alliance unique in history. 

That alliance forever seeks the security of each 
of its nations and of all the free world. Above 
all, it seeks peace — peace with justice and with 
honor. 



DEPARTURE STATEMENT BY 
PRESIDENT EISENHOWER, DECEMBER 19 



It is always, for me, a moment of sadness when 
I say goodbye to Paris and to France. This 



15 



country and its people have meant very much to 
me, and it is always a matter of regret when I 
must leave them. 

In the past few days, my associates and I have 
been working very hard — the Heads of Govern- 
ment and their staffs, and Foreign Ministers of 15 
governments — all of us working for this ideal of 
peace, for which all people, even all the masses be- 
hind the iron curtain, have the same feelings in 
their hearts. 

We are working to try to make this ideal a 
little bit closer to practicality, and I think that 
this group has done something to make the ideal 
of peace just a little bit closer — certainly the 
chances of war more remote. 

So as I say goodbye to Paris and to France 
again, I do it with a very great deal of hope for 
all of these people of the world that are believing, 
like the rest of us, that peace is the only solution 
for humankind. 



STATEMENT BY SECRETARY DULLES, 
DECEMBER 21 



Press release 675 dated December 23 

President Eisenhower yesterday, and I today, 
return from a meeting of the North Atlantic 
Treaty Council. The Council took all of the es- 
sential decisions that we had hoped for. These 
were not merely military decisions, but they 
covered political and economic matters as well. 
Also they reemphasized our strong desire to 
bring the Soviets into disarmament negotiations 
which they now say they have abandoned. 

I expect to join President Eisenhower on Mon- 
day night in a report to our people about what 
took place. There is, however, one aspect of the 
Council meeting which I would like to emphasize 
at once. It strengthened the spirit of cooperation 
and mutual trust and confidence on which NATO 
was founded. It reaffirmed our determination to 
remain united in confronting a common threat. 
All of the other Heads of Government paid spe- 
cial tribute to President Eisenhower's contribu- 
tion in this respect. As one Prime Minister 
remarked to me, "It is unbelievable the influence 
that his presence exerts." 

I return a day later than President Eisenhower 
because I accepted General Franco's invitation to 



16 



stop off at Madrid. Spanish-United States rela- p rei 
tions are close, and they make an important con- 
tribution to the defense of the free world. It was m 
therefore appropriate that I should talk over 
with General Franco the actions of the North 
Atlantic Council, actions which Spanish-United 
States efforts importantly reinforce. We had a 
highly useful and satisfactory conversation. 

All that we have done during this past week 
adds up to another chapter in the waging of 
peace. And, as President Eisenhower said when 
he left Paris, what has happened means that we I 
can now feel that peace is somewhat more secure. I Jl ; ' 
But. continuing efforts and sacrifice are required. |- 



U.S. DELEGATION 

Mrs. Anne Wheaton, Associate Press Secretary 
to the President, on December 11 announced the 
following official U.S. delegation to the North 
Atlantic Treaty Organization meeting at Paris 
December 16-19: 
President Dwight D. Eisenhower 
John Foster Dulles, Secretary of State 
Robert B. Anderson, Secretary of the Treasury 
Neil H. McEIroy, Secretary of Defense 
Lewis L. Strauss, Chairman, Atomic Energy Commis- 
sion 
Andrew H. Berding, Assistant Secretary of State for 

Public Affairs 
W. Randolph Burgess, U.S. Permanent Representative 

on the Council of NATO 
Tom B. Coughran, Assistant Secretary of the Treasury la!b:i';, 
Philip K. Crowe, Special Assistant to the Secretary of hf./r. 

State 
Robert Cutler, Special Assistant to the President I ' 

Douglas Dillon, Deputy Under Secretary of State for I , 

Economic Affairs 
C. Burke Elbrick, Assistant Secretary of State for Euro- ISM flu 

pean Affairs pri j; i] 



Andrew J. Goodpaster, Staff Secretary to the President 
James C. Hagerty, Press Secretary to the President 
Amory Houghton, U.S. Ambassador to France 
James R. Killian, Jr., Special Assistant to the President 
for Science and Technology 



threaten r 

teliere ft 
I 



Leon W. Johnson, U.S. Representative to the Military L - 
Committee of NATO 

Donald A. Quarles, Deputy Secretary of Defense 

G. Frederick Reinhardt, Counselor, Department of State of,.. 

Gerard C. Smith, Assistant Secretary of State for Policy i 
Planning 

Mansfield D. Sprague, Assistant Secretary of Defense, 
International Security Affairs 

Nathan F. Twining, Chairman, Joint Chiefs of Staff, De- 
partment of Defense 



Department of State Bulletin I 






E-: C; 



President Replies to Indian Appeal 
on Disarmament 

At the close of a press conference at Neio Delhi 
on November 28, Jaivaharlal Nehru, Prime Minis- 
ter of India, read a prepared statement in which 
he appealed to the leaders of the United States and 
the Soviet Union u to stop all nuclear test explo- 
sions" and to proceed "to bring about effective dis- 
armament" Following is the text of a reply of 
December 15 from President Eisenhower to Prime 
Minister Nehru, together with the text of Mr. 
Nehru's statement. 



Letter From President Eisenhower to Prime 
Minister Nehru, December 15 

Deae Prime Minister: I have read with great 
sympathy your earnest and eloquent public ap- 
peal of November 28 on disarmament. This is a 
matter which has also concerned me deeply for a 
very long time. 

In the days immediately following the end of 
World War II, the United States proposed that 
the dreadful power of the atomic bomb, which 
we alone then possessed, be forever denied all 
nations. We hoped, instead, that the wonders 
of the nuclear age could be devoted wholly 
to the uses of peace. This plan was refused and 
we were left with no choice but to maintain our 
armed strength. Since this time the United States 
has continued an unremitting effort to achieve a 
just system of disarmament and a secure peace for 
all nations. We have repeatedly stated our readi- 
ness, indeed our anxiety, to reduce the possibility 
of war through arms regulation and control, to 
stop tests of nuclear weapons, and to devote a part 
of our huge expenditures for armaments to the 
great causes of mankind's welfare. Our only con- 
cern is that these measures be accomplished in a 
way that will not increase the risk of war or 
threaten the security of any nation. We earnestly 
believe that the plan which we joined with the 
pre* United Kingdom, France and Canada in suggest- 
ing at the London disarmament talks on August 
29 1 offers a meaningful opportunity for removing 
fear and gaining international trust. It is a source 
. of stat )f great personal regret to me that these proposals 
te for Folic aave not so far been found acceptable by the Soviet 
[Jnion even as a basis for negotiations. 

In these circumstances, I have been : 



saw k 



eior&t" 



, Pre*' 
,e!lde&i 






able to reach 



1 Bulletin of Sept. 16, 1957, p. 451. 
, Julian uary 6, J 958 

450798—58 3 



no other conclusion than that, for the time being, 
our security must continue to depend to a great 
degree on our making sure that the quality and 
quantity of our military weapons are such as to 
dissuade any other nation from the temptation of 
aggression. The United States, I can assure you 
unequivocally, will never use its armed might for 
any purpose other than defense. 

I know that the subject of testing of nuclear 
weapons is of understandable concern to many. I 
have given this matter long and prayerful thought. 
I am convinced that a cessation of nuclear weapons 
tests, if it is to alleviate rather than merely to 
conceal the threat of nuclear war, should be under- 
taken as a part of a meaningful program to reduce 
that threat. We are prepared to stop nuclear tests 
immediately in this context. However, I do not 
believe that we can accept a proposal to stop 
nuclear experiments as an isolated step, unaccom- 
panied by any assurances that other measures — 
which would go to the heart of the problem — 
would follow. We are at a stage when testing is 
required particularly for the development of im- 
portant defensive uses of these weapons. To stop 
these tests at this time, in the absence of knowl- 
edge that we can go on and achieve effective limi- 
tations on nuclear weapons production and on 
other elements of armed strength, as well as a 
measure of assurance against surprise attack, is 
a sacrifice which we could not in prudence accept. 
To do so could increase rather than diminish the 
threat of aggression and war. I believe that bolder 
and more far-reaching measures are required. 
Specifically, I believe that any government which 
declares its desire to agree not to use nuclear 
weapons should, if they are sincere, be prepared 
to agree to bring an end to their production. 
Agreement to devote all future production of 
fissionable material to peaceful uses is, as I see it, 
the most important step that can be taken. To- 
gether with this we have proposed that we begin 
to transfer to peaceful uses, on a fair and equit- 
able basis, fissionable material presently tied up 
in stocks of nuclear weapons. We believe this is 
the way to a true reduction of the nuclear threat 
and to an increase in confidence among nations. 
So far we have not had a reasoned explanation 
from the Soviet Union of whatever objections it 
might have to this program. 

I agree that it is in the power of my country 
along with those others who possess nuclear 



17 



weapons to put an end to the fear and horror which 
the possibility of their use imposes. I want to 
assure you with all the sincerity of which I am 
capable that we stand ready, unbound by the past, 
to continue our efforts to seek a disarmament 
agreement, including the cessation of nuclear test- 
ing, that will promote trust, security and under- 
standing among all people. 
Sincerely, 

Dwight D. Eisenhower 



Prit 



Minister 



s Statement, November 28 



I venture to appeal to the great leaders of the United 
States of America and the Soviet Union. I do so in all 
humility, but with great earnestness. We in India have 
grave problems to face, but I am overwhelmed by the 
thought of the crisis in civilization which the world is 
facing today, the like of which it has not known ever be- 
fore. I believe that it is in the power of America and 
Russia to solve this crisis and save humanity from the 
ultimate disaster which faces it. 

Our earth has become too small for the new weapons 
of the atomic age. While man, in the pride of his intellect 
and knowledge, forces his way into space and pierces the 
heavens, the very existence of the human race is threat- 
ened. There are enough weapons of mass destruction 
already to put an end to life on earth. Today, America 
and Russia possess them in abundance, and England also 
has them. Tomorrow, it may be that other countries will 
possess them, and even the capacity to control them will 
become outside the range of human power. Nuclear test 
explosions take place, contaminating air and water and 
food, as well as directly injuring the present and future 
generations of mankind. 

No country, no people, however powerful they might be, 
are safe from destruction if this competition in weapons of 
mass destruction and cold war continues. 

Apart from these dangers ahead, the civilization which 



thousands of years of human effort have built up, is being 
corroded and undermined by fear and hatred, and will 
progressively wither away if these trends continue. All 
the peoples of the world have a right to life and progress 
and fulfillment of their destiny. They have the right to 
peace and security. They can only preserve these rights 
now by living peacefully together and by solving their 
problems by peaceful methods. They differ in their creeds 
and beliefs and ideologies. They cannot convert each 
other by force or threats of force, for any such attempt 
will lead to catastrophe for all. The only way is to exist 
peacefully together in spite of differences and to give up 
the policy of hatred and violence. 

The moral and the ethical approaches demand this. 
But even more so, practical common sense points this way. 

I have no doubt that this can be done. I have no doubt 
that America and Russia have it in their power to put an 
end to this horror that is enveloping the world and dark- 
ening our minds and our future. 

Millions of people believe in what is called Western 
capitalism; millions also believe in Communism. But, 
there are many millions who are not committed to either 
of these ideologies, and yet seek, in friendship with others, 
a better life and a more hopeful future. 

I speak for myself, but I believe that I speak the 
thoughts of vast numbers of people in my country as well 
as in other countries of the world. I venture, therefore, to 
make this appeal to the great leaders, more especially of 
America and Russia, in whose hands fate and destiny 
have placed such tremendous power today to mould this 
world and either to raise it to great heights or to hurl it 
to the pit of disaster. I appeal to them to stop all 
nuclear test explosions and thus to show to the world 
that they are determined to end this menace, and to 
proceed also to bring about effective disarmament. The 
moment this is done, a great weight will be lifted from 
the mind of man. But it is not merely a physical change 
that is necessary, but an attempt to remove fear and 
reverse the perilous trend which threatens the continued 
existence of the human race. It is only by direct ap- 
proaches and agreements through peaceful methods that 
these problems can be solved. 



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18 



Department of State Bulletin 



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Our Cause Will Prevail 



by Secretary Dulles : 



I 

We live in exciting times. Each of us plays 
a part in the world's greatest peacetime drama. 
I say "each of us" because, in our country, every 
citizen helps to determine our role in the world. 
I say "peacetime" because, if we wage peace 
stanchly, the outcome will be peace, not war. I 
call it the "greatest" drama ever, because never 
has freedom been so tested. A unified despotic 
will directs one billion people and their vast re- 
sources into efforts to destroy freedom on the 
earth. The means are flexible. Open war, 
violent insurrection, military support of puppet 
regimes, threats, penetration by economic and mil- 
itary "aid," the lure of false promises — these are 
the instruments with which the arsenals of inter- 
national communism are bulging. 

Of course the material aspects of this threat 
could be dwarfed if the free nations adopted the 
totalitarian pattern of communism. It regiments 
labor and industry ; it controls wages and prices ; 
it requires, of the workers, long hours and gives 
most of them only a bare survival living; it chan- 
nels productivity into instruments of potential ag- 
gression ; it assures that education shall serve ma- 
terialistic goals. To illustrate : If you divide the 
Soviet gross national product into halves, you will 
find that more than half goes for military pur- 
poses and for capital investment and less than 
half for all consumption, the total consumption of 
200 million people. By contrast, two-thirds of 
the U.S. national product goes for consumption 
by our 172 million people and only one-third for 
all other purposes, including defense. This 
why, with a productive base little more 



'Article prepared for publication in the Dec. 23 issue 
of Life magazine (press release 670 dated Dec. 17). 



than one-third that of the United States, the 
Soviet Union can put into its military establish- 
ment and so-called "aid" to satellites efforts com- 
parable to those of the United States for defense 
and mutual security purposes. 

If the United States were to adopt the Soviet 
pattern of regimentation of industry and labor 
and the use of production primarily for military 
and "cold war" purposes, we could have a military 
effort so vast as to make the Soviet military es- 
tablishment look very inferior indeed. And we 
could have resources for constructive use abroad 
which would dwarf those used by international 
communism for subversive and predatory 
purposes. 

So the issue we face is not whether we have the 
material means to surpass the materialism of 
Communist despotism. We clearly have that ca- 
pacity. The question is whether we can and will 
surmount the danger while still retaining freedom. 

II 

Already, in freedom, we have done much to 
preserve freedom. We have the most powerful 
military establishment in the world. We have 
helped to build a sound worldwide defensive sys- 
tem which deters armed aggression by assurances 
that each will come to the aid of any which is 
attacked. We are helping in military and eco- 
nomic ways to develop and sustain a resistance to 
communism. We maintain a community of spirit 
with the captive peoples, so that they continue to 
hope and know that they are not forgotten. 

This has been done with a now balanced budget, 
no runaway inflation, and no regimenting controls. 
These efforts have had major results. For 7 years 
the geographical onrush of communism has been 
checked. I recall the gloating editorial of Isves- 



, Bullet'-. I January 6, J 958 



19 



tia of January 1, 1950, which listed the countries 
then composing "the camp of democracy and so- 
cialism" and boasted that "the forces of this camp 
are multiplying day by day." But nearly 3,000 
days have passed with no appreciable additions to 
their 1950 list. And they have taken some set- 
backs at home and abroad. 

Their material power has grown. But so also 
has grown internal unrest. The East German re- 
volts of June 1953, the Polish outbreaks of June 
1956, and the Hungarian revolt of October-Novem- 
ber 1956 show that Soviet communism has not won 
acceptance. No longer can the Soviet Union derive 
military and economic strength from the satellites ; 
they are becoming liabilities. Within the Soviet 
Union there is a growing class of scientists, techni- 
cians, and managers who will not indefinitely 
accept thought control by the party. There has 
been a succession of political crises marked by the 
defamation of Stalin, the killing of Beria, the 
purging of Malenkov, Molotov, Kaganovich, and 
Shepilov, and the demotion of Zhukov. The cur- 
rent Soviet Five- Year Plan had to be abandoned as 
beyond the economic capabilities. There is wide- 
spread unrest in Communist China. 

Despite the brilliant achievements of Soviet 
scientists and the abnormally rapid expansion of 
the Soviet industrial base, the "dictatorship of the 
proletariat" faces growing and unsolved political, 
social, and economic problems. 

Ill 

At this juncture, the Communist rulers want, 
most of all. to achieve a success by diplomatic 
means. This would require no added burden on 
their already overstrained economy and might give 
them fresh resources that they badly need. They 
feel that their prestige is now at a high point, as a 
result of Sputniks, and that we may be wearying 
of a struggle that seems now to be moving into 
what may be a new prolonged and more intensive 
phase. Also the Soviet rulers know that we 
Americans are prone to forget and forgive. 

The Soviets now seek : 

Acceptance of Soviet domination of the Euro- 
pean satellites; 

Acceptance of the reunification of Germany, 
Korea, and Viet-Nam under conditions which 
would give the Communist Party a position of 
power ; 



20 



Acceptance by the United States of a major So- 
viet role in the Middle East such as Stalin sought 
from Hitler; 

The liquidation of such collective defense pacts 
as NATO, SEATO, and Baghdad, and the liqui- 
dation of all United States overseas bases; 

Diplomatic recognition by the United States of 
the Chinese Communist regime, its seating in the 
various organs of the United Nations (including 
veto-wielding membership in the Security Coun- 
cil), and acceptance of the Chinese Communist 
claim to Taiwan (Formosa) ; 

The dropping of present restrictions on supply- 
ing the Sino-Soviet bloc with goods of military 
significance ; 

Demotion of our allies to an inferior status 
which would require them to accept anything upon 
which the Soviet Union and the United States 
agreed. 

Communist propaganda suggests that these So- 
viet demands reflect the "inevitable" and that it is 
better to concede them now and thereby quickly 
gain the promised land of "peaceful coexistence" 
and "relaxation" from tension. 

IV 

The American people and their Government 
ardently desire to reduce the danger of war, to 
end the costs of defense and collective security, 
and to have good relations with the Russian and 
Chinese people and with governments genuinely 
representing them. But we recall our past ef- 
forts to achieve good relations with the Soviet 
Union on the basis of its promises. For example : 

In 1933, when the United States gave diplo- 
matic recognition to the Soviet Government, it 
agreed to cooperate with the United States "for 
their mutual benefit and for the preservation of 
the peace of the world." It gave explicit promises, 
all of which were repudiated once recognition was 
obtained. And the Soviet rulers shortly alined 
themselves with Hitler in an effort to divide the 
world. 

In 1945, at Yalta, the Soviet Union undertook, 
with the United States and the United Kingdom, 
"to maintain and strengthen in the peace to come 
that unity of purpose and of action which has 
made victory possible." In this connection much 
was conceded to the Soviets in Europe and in Asia 
and they gave explicit promises in return. The 

Department of State Bulletin 



undertook, 
Kingdom, 

lC e to come 
whicli has 

(tinnH^ 

:■■■ 



I'-i 



Soviets repudiated all of their promises and used 
their gains to threaten further the Western allies. 

In 1955, at the summit conference at Geneva, 
the Soviet Union pledged itself, with the United 
States, the United Kingdom, and France, to a 
"relaxation of international tension and to the 
consolidation of confidence between states." The 
foundation was the agreement of Messrs. Khrush- 
chev and Bulganin to "the re-unification of 
Germany by means of free elections." But now 
they totally repudiate their agreement. 

Our experience, which merely confirms that of 
others, demonstrates that the governments dom- 
inated by international communism practice 
Lenin's dictum, "Promises are like pie crusts, made 
to be broken." 



We should not let hatred, prejudice, or past mis- 
adventures lead us to refuse all association with 
the Communists and to have no agreements with 
their governments. Nor should we refuse to do 
what is sound merely because the Communists 
want it. The United States, with our allies, has 
made far-reaching disarmament proposals, predi- 
cated on dependable verification. We are nego- 
tiating now for radio, cultural, and technical 
exchange with the Soviet Union, on a basis of 
reciprocity. We must keep on trying, again and 
again, to make them realize that a world of "peace- 
ful coexistence," which they profess to desire, re- 
quires that international engagements be honored. 

We have an armistice agreement with the Com- 
munists in Korea. But it is worthy of note that 
the Communist side violates every provision of 
that agreement except the one provision that we 
enforce; namely, that they shall not advance mili- 
tarily beyond the armistice line. 

There is a lesson to be drawn from this. We 
cannot rely on a worldwide "armistice" agreement 
except as we can enforce it. If the terms of 
such an agreement diminish our will or capacity 
to stop international communism, or increase the 
assets which it could use against us, then it in- 
creases our peril. Surely, we should not seriously 
weaken our position in reliance of new promises of 
the Soviet Union while it is gravely in default on 
its present promises. 

If the Soviets get what they now demand, that 
could be catastrophic to freedom. The United 
States would be subject to ever closer encircle- 

January 6, 1958 

450798—58—4 



ment and strangulation and a final struggle where 
our chances would be desperate. 

VI 

So long as international communism pursues 
its predatory purposes, by evil means, the United 
States has no honorable or prudent course but to 
continue to combat it by peaceful means in all of 
the farflung areas of the globe. Indeed, some 
further efforts are called for to take account of 
growing Soviet scientific and technical achieve- 
ments and industrial and military power. 

1. There should be a stepping up of our efforts 
in the outer-space and missile fields. The free na- 
tions are up against 12 years of concentrated So- 
viet educational and military-technical efforts in 
these new fields. One way in which we can offset 
this concentrated effort is through better use of 
free-world scientific resources, as by a pool of re- 
search brains and programs as proposed at 
NATO. 

2. There should be an intensification of United 
States mutual security programs, both military 
and economic. Economic programs are fully as 
important as the military. The strains on other 
free nations are great. Also those peoples who 
have recently gained political independence will 
not retain the ways of freedom, and resist Com- 
munist subversion, unless it is demonstrated that 
freedom includes the possibility of lifting up their 
hundreds of millions of people from age-old pov- 
erty to the active sharing of economic progress 
and the prospect of a better, fuller life. 

3. We must increasingly accept interdependence 
with other free nations in military, scientific, and 
trade matters. There is much that they can 
contribute to us, just as there is much that we 
can contribute to them. One of the most impor- 
tant implications of interdependence is trade. It 
is absolutely essential that the United States, as 
the greatest economic producer and exporter in 
the world, be a dependable international market. 

All of these steps can be taken without turning 
ourselves into a regimented society or a garrison 
state. It will require going without, or deferring, 
some desirable, but nonvital, domestic projects. 

VII 

We shall need to be steadfast. That does not 
mean being obstinate or being brittle. Our minds 



should be flexible, constantly striving for the poli- 
cies that will best serve the cause of peace, justice, 
and human liberty. But nothing could be more 
dangerous for us than to operate on the premise 
that, if hostile, evil forces do not quickly or read- 
ily change, then it is we who must change to get 
agreement with them. If communism is stubborn 
for the wrong, let us be even more steadfast for 
the right. There is no more, indeed far less, in- 
evitability about Soviet goals than freedom's 
goals. 

A capacity to change is indispensable, but so is 
the capacity to "run with perseverance the race 
that is set before us." 

VIII 

Many will, I hope, agree generally with the 
foregoing presentation. But many of these may 
feel that it is enougli for them passively to agree. 
That would be false to our national ideals. 

Our nation was founded by those who felt it 
their personal mission to help change the world. 
That derived largely from their religious faith. 
Our Declaration of Independence meant, as Lin- 
coln said, "liberty not alone to the people of this 
country, but hope to all the world, for all future 
time." Our founders and their successors saw a 
great prospect and were filled with a great pur- 
pose. In order better to fulfill that purpose they 
practiced simple virtues — hard work, frugality, 
personal charity, the exercise of self-discipline and 
self-control. 

Under the impulsion of their faith and works 
there developed here an area of great spiritual, 
intellectual, and economic vigor. It was no ex- 
clusive preserve; indeed, sharing was a central 
theme. Through missionary activities, the estab- 
lishment of schools and colleges, trade, travel, and 
benefactions, American ideals and the good fruits 
of our freedom were carried throughout the 
world. What we did became known as "the Great 
American Experiment." The tide of despotism 
which was high when our nation was founded 
receded largely under the impact of such ideas as 
we professed and practiced. 

Today, when despotism again rides high and 
when there are many "uncommitted" peoples, our 
society is closely observed. Many are trying to 
judge whether this freedom, of which we talk 
so much, is really a product that they want to im- 
port. Some see our freedom as license, and the 



22 



using of our productive power for frivolities 
rather than filling vital human needs. 

That is where the individual must feel respon- 
sibility. In a struggle where freedom is the issue,, 
the only adequate exponents of freedom are free 
people. Only individuals can have a personal 
faith and can demonstrate freedom. Such faith 
and works are what we need today. They are 
more important than material things. And they 
can be provided only by individuals, not by gov- 
ernment. So your Government appeals for your 
individual demonstration, at home and abroad, 
of freedom so significant, so dynamic, so pene- 
trating that it will be for all men a symbol of 
hope. 

Given that, I am confident that our cause will 
prevail and that we shall indeed assure for our- 
selves and our posterity the blessings of liberty. 



U.S. To Cancel Passports of Americans 
Who Visited Communist China 

Press release 672 dated December 18 

The Department of State announced on Decem- 
ber 18 that it had issued instructions to its mis- 
sions abroad to cancel the passports of those who 
traveled to Communist China in violation of the 
restrictions placed in their passports after attend- 
ing the Moscow Youth Festival. Henceforth, 
their passports are restricted to direct and im- 
mediate return to the United States. The appro- 
priate governments are being so notified. 

The Department's action applies to 24 of the 
original group. Sixteen have returned to the 
United States, and one is in transit home. This 
action was taken after a 60-day period within 
which members of the group could, while still 
abroad, appeal the Department's tentative invali- 
dation of their passports. Only one member of 
the group took advantage of this offer. Eoderic 
L. O'Connor, Administrator of the Bureau of 
Security and Consular Affairs, announced in a 
speech on September 25, 1957, 1 that the Depart- 
ment would notify each citizen at his first point 
of exit that his passport had been tentatively re- 
stricted but that, if he wished to remain abroad, 
he would have 60 days within which to request a 
hearing to review this tentative decision. 



Bulletin of Oct. 14, 1957, p. 604. 

Department of State Bulletin 



• frivol^ 



■ They me 

■ Wthej 

:■ : :, 

i symbol of 
ircMseml) 

:• <<\ liberty. 



Americans 

fia 

Henceforth, 

eriod <* 

tative iavali- 

e member of 

lW # esta 
ion- 



;•:« i 



I The Department completed notification to mem- 
bers of the group on October 18. In some cases 
the Department's attempts to effect notice were 
rebuffed or ignored. However, in every case a 
■ reasonable effort was made to give due notice to 
I each individual of the Department's tentative ac- 



tion and his right to contest that action. Each 
member of the group had previously been put on 
notice, by Under Secretary Herter's published 
letter of August 12, 1957, 2 that his contemplated 
travel to Communist China would be in violation 
of passport restrictions. 



United States Balance of Payments With Latin America 
During the First Half of 1957 



Walther Lederer and Nancy F. Culbertson 



Transactions between the Latin American Be- 
publics and the United States during the first 
half of 1957 reflected the continued expansion in 
the economies of our southern neighbors. Both 
U.S. investments and exports of capital goods 
reached the highest rate of the postwar period. 

Payments by the United States increased, after 
allowing for seasonal changes, from $3.1 billion in 
the second half of 1956 to $3.3 billion in the first 
half of 1957. The $165 million increase in U.S. 
payments followed a rise of about $370 million 
during the second half of 1956. Higher invest- 
ment by U.S. enterprises in their Latin American 
branches and subsidiaries was the principal factor 

the rise in the first half of 1957. U.S. merchan- 
dise imports and payments for services, however, 
were relatively stationary during this period. 

U.S. receipts from Latin America, after sea- 
sonal adjustment, advanced from $2.9 billion in 
the last half of 1956 to $3.3 billion. Approxi- 
mately $360 million of the rise in U.S. receipts 
from the second half of 1956 to the first half of 
1957 was due to higher merchandise exports, 
mainly of capital equipment. Finished consumer 
;oods comprised only a very small part of this 
dvance. 

From the first half of 1956 to the first half of 
1957, U.S. payments to the Latin American Re- 
publics rose relatively more than U.S. payments 



to all other foreign countries — 21 percent as 
against 10 percent. U.S. receipts from Latin 
America advanced by about 19 percent, the same 
proportionate increase as from all other foreign 
countries. 

Although net receipts of the Latin American 
Eepublics from the United States during the 
first half of 1957 were about $70 million in excess 
of those during the comparable period a year 
earlier, total gold and dollar assets held by these 
countries increased by about $220 million more 
than in the first half of 1956. This suggests a 
substantial increase in gold and dollar receipts 



2 Ibid., Sept. 2, 1957, p. 392. 
January 6, 7958 



• This article is the fourth in a series on 
the balance of payments between the United 
States and the Latin American Eepublics. 
The first three articles appeared in the 
Bulletin of March 26, 1956, p. 521; Decem- 
ber 24 and 31, 1956, p. 983; and July 8, 1957, 
p. 79. The authors are members of the Bal- 
ance of Payments Division, Office of Busi- 
ness Economics, U.S. Department of Com- 
merce. The data on which this article is 
based xoere prepared by the Balance of Pay- 
ments Division and published in the Septem- 
ber and December 1957 issues of the Survey 
of Current Business, the monthly periodical 
of the Office of Business Economics. 



23 



through transactions with other countries than 
the United States. At the end of June 1957, total 
gold and liquid dollar assets of the Latin Ameri- 
can Republics amounted to about $4,670 million. 
In the middle of 1956 these holdings were $4,150 
million. 

Although these data indicate an impressive 
expansion in the transactions between the United 
States and Latin America and an equally favor- 
able development of the gold and dollar resources 
of the area, they hide substantial differences be- 
tween the various countries and some of the 
strains which have developed in their economies. 

Of the $540 million increase from the first half 
of 1956 in the net outflow of capital through 
direct investment, about $270 million consisted of 
payments for oil concessions in Venezuela. The 
rise in the net outflow of funds for other direct 
investments was also about $270 million. 

Merchandise imports advanced over the same 
period by about $20 million. This includes, how- 
ever, an increase in petroleum imports of about 
$115 million and a decline in all other imports by 
nearly $100 million. 

In the rise of U.S. receipts, Venezuela 
accounted for a much smaller proportion, how- 
ever, than in the rise in U.S. payments. Mer- 
chandise exports to Venezuela increased by about 
$140 million ; those to the other republics by about 
$285 million. 

Notable differences existed between Venezuela 
and the other republics also in the movement in 
their total gold and liquid dollar assets. Vene- 
zuela's increased during the first half of 1957 by 
about $400 million, as against $66 million during 
the first 6 months of 1956. Gold and liquid dol- 
lar assets of all the other Latin American Repub- 
lics showed little change during the first half of 
this year despite drawings of $80 million from 
the International Monetary Fund, while during 
the first half of 1956 the same countries added 
about $100 million to their gold and liquid dollar 
assets. (Transactions with the Monetary Fund 
during this period were negligible.) 

Balance-of-Payments Difficulties 

The balance-of-payments difficulties which have 
developed or have become intensified for some 
of the republics in recent months are due to the 
continued large demand in their economies for 
capital equipment while the market situations for 



24 



some of their major export products showed a 
tendency to soften. In some countries the im- 
balance in their international transactions was 
aggravated by inflationary credit expansion which 
increased the domestic demand and thus stimu- 
lated imports and sometimes made production for 
export less attractive. 

Most important among the agricultural prod- 
ucts imported from Latin America for which 
weaknesses developed in world markets were cof- 
fee and wool ; among the metals they were copper, 
tin, lead, zinc, and more recently the ferrous met- 
als and alloys. With the restoration of the trans- 
port facilities in the Middle East the supply 
situation for petroleum also eased considerably. 

A faster increase in production than in demand 
for many of these commodities, rather than a de- 
cline in consumption, was the major factor in this 
change in the supply and demand relationship. 
For some of these commodities, however, the rise 
in world consumption slowed down, or even de- 
clined slightly, as the United States and other 
industrial countries attempted to keep the total 
demand in their economies within the limit re- 
quired to prevent prices from rising or to main- 
tain an equilibrium in their balance of interna- 
tional payments. 

The weakness in the market situations for cer- 
tain commodities was indicated by declining 
prices, for others by declining purchases — some- 
times in anticipation of price reductions. 

Agricultural Imports From Latin America 

Imports of coffee from Latin America during 
the first half of 1957 were $65 million smaller than 
a year earlier. The average import price for 
Latin American coffee during the first half of 
this year was 53.3 cents a pounds while a year 
earlier it was not quite 50 cents. This higher 
price, however, did not offset the 15 percent drop 
in the import volume. In part, this decline was 
due to larger purchases from other areas — the 
value of imports from these areas rose during the 
same period by about $22 million, or 40 percent. 

Reduced purchases at a time when supplies were 
expected to rise may indicate an anticipation of 
lower prices. The recent agreement among Latin 
American coffee producers to limit exports may 
for some time offset the effect on the market of 
the rising production, but in the longer run it may 
also encourage economies in the use of coffee as 
well as stimulate a further rise in worldwide pro- 

Department of State Bulletin 



I 

) 

■■ 



JKoveradsm 
to Wax* 

T 

\ 



i thus 

■roduction foi 



ultvral prod 

a for whitl 

3 of the trans 
" Ik suppl 
considerably. 

r factor in the 



wever t the 

:.. or even t 
itea and otha 

■ 



duction and shifts to imports from other areas. 

Imports of wool had a similar pattern. Aver- 
age prices rose from 86 cents a pound during the 
first half of 1956 to 93 cents during the first half 
of this year. The volume of imports dropped, 
however, to such an extent that the value of im- 
ports from Latin America was $17 million or 
nearly 30 percent smaller than a year earlier. 
This decline was larger than the decline from 
other areas, so that the share of Latin America 
in U.S. wool imports, measured in dollars, 
dropped to 32 percent from about 35 percent a 
year earlier. The drop in wool imports from all 
areas from the first half of 1956 to the first half 
of 1957 corresponded approximately to the de- 
cline in domestic wool consumption. During the 
second half of 1956 wool imports from all sources 
were substantially below consumption, however, 
,1 with the result that inventories were relatively 
low at the beginning of the 1957 season. The 
prospects for another rise in imports appear, 
therefore, relatively favorable, although wool 
consumption after the middle of 1957 continued 
smaller than a year earlier and prices continued 
to weaken. 

Among the other major agricultural commodi- 
ties, imports of sugar were nearly the same in 
value during the first halves of 1956 and 1957, al- 
though prices during the latter period were some- 
what higher. World market prices for sugar 
rose substantially more than U.S. prices during 
this period but declined sharply after the middle 
of 1957. While this decline is likely to have only 

minor effect on Latin American exports to the 
United States, it may reduce export incomes from 
other areas. 

Cocoa imports declined in quantity and, with 
lower prices, even more in value. However, prices 
recovered somewhat in recent weeks. 

On balance, it appears that the decline in U.S. 
imports of agricultural goods from Latin America 
has gone farther than was warranted by the basic 
market situation and some reversal of the down- 
ward movement may thus be expected. 



,nm: 

- 

te areas- 

ros daring' 1 






, SHU I 



]}«W Wetal ,m P° rts 



The market situation for the principal metals 
. /riartet "lobtained from Latin America resulted in a some- 
. .... L :t maj what different import pattern. 

Imports of all metals advanced, in volume, 
jjfjdepitj about 7 percent from the first to the second half 



Major Commodities Imported From Latin America, 
1956 and First Half of 1957 

(Millions of dollars) 





1956 


1957 




First 

half 


Second 
half 


First 
half 


Coffee 


693 
179 

31 
142 
155 
316 

51 
415 


609 
152 

36 
140 
162 
348 

22 
324 


627 




182 


Cocoa and cocoa beans .... 

Copper 

Other metals and manufactures . 
Petroleum and products .... 

Wool unmanufactured 

Other 


25 
116 
184 
432 

39 
396 


Total imports * 

Seasonally adjusted. . . 


1,982 
1,887 


1,793 
1,888 


2,001 
1,906 



1 Total imports represent general imports adjusted to 
balance-of-payments concepts. Commodity data repre- 
sent imports for consumption. 



of 1956, and during the first half of 1957 were 13 
percent higher than a year earlier. This rise in 
imports was considerably more than the rise in the 
output of domestic metal fabricating industries, 
which increased about 4 percent from the first to 
the second half of 1956 and by another 1% per- 
cent to the first half of 1957. In value, however, 
imports of all metals remained unchanged at about 
$300 million during each of the three half-year 
periods under consideration. Within this total, 
imports of iron ore, zinc, manganese, and nickel 
increased while the value of copper imports de- 
clined. 

The continued expansion of metal imports, 
while the rise in the output of consuming in- 
dustries slowed down, resulted in an increase in 
inventories. Stocks held by domestic producers 
more than tripled between the middle of 1956 and 
the middle of 1957 in the case of copper; stocks 
of zinc nearly doubled, and stocks of lead ad- 
vanced by about 45 percent. After the middle of 
1957, inventories continued to expand. 

The excess of supply in the United States as 
well as in other major markets depressed prices. 
Copper prices began to decline in March 1956 and 
in recent weeks reached the lowest point since early 
1953. Lead and zinc prices started to decline in 
May 1957, too late to have a substantial effect 
on import values during the first half of the year. 

It appears, therefore, that during the first half 
of the year imports of metals from Latin America 



January 6, 1958 



Major United States Exports to Latin America 
and the First Half of 1957 

(Millions of dollars) 





1956 


1957 




First 
half 


Second 
half 


First 

half 




461 
107 

40 

180 
203 
65 
83 
214 
511 


494 
118 

63 

199 
198 
52 
91 
198 
553 




Trucks and buses 

Railroad equipment, aircraft, 


151 
101 


Iron and steel mill products and 
metal manufactures .... 


259 


Passenger cars, new 

Textile manufactures 


78 
83 


Other 








Total exports ' 

Seasonally adjusted . . . 


1,864 
1,907 


1,966 
1,923 


2,241 
2,284 



1 The total represents general exports adjusted for 
balance-of-payments purposes and includes "special cate- 
gory" items which for security reasons are excluded from 
commodity data. 



have not fully reflected the changes in the market 
situation. As these changes become more effective 
and are further intensified by the decline in the 
output of U.S. metal-fabricating industries during 
the second half of 1957, the value of metal imports 
from Latin America is likely to fall off. 

These changes in the commodity markets are 
reflected in the country breakdown of imports. 
Imports from Venezuela increased by $130 million 
from the first half of 1956 to the first half of 
1957. Imports from the other 19 republics de- 
clined by about $100 million. The largest de- 
clines were in imports from Colombia and Brazil, 
but there were also substantial reductions in im- 
ports from Chile, Uruguay, and Bolivia. Pur- 
chases from most of the other countries were 
approximately the same as a year earlier. 

Among the service transactions which are major 
sources of dollar income for Latin America, ex- 
penditures by U.S. tourists declined slightly 
during the first half of 1957 after allowing for 
the usual seasonal changes. The political insta- 
bility in certain Caribbean countries appears to 
have been the major factor in this interruption of 
the upward trend during recent years. 

U. S. Government credits — net of repayments — 
and grants were nearly $100 million during the 
first half of 1957, approximately the same as 

26 



during the two preceding 6-month periods. 
Grants were somewhat higher, but the net out- 
flow of Government capital was less. The de- 
cline was mainly in short-term capital movements, 
resulting from the accumulation of local cur- 
rencies obtained through the sale of agricultural 
commodities. The net movement of funds 
through long-term Government loans changed 
from a net inflow of $7 million during the second 
half of 1956 to a net outflow of $30 million during 
the first half of 1957. The backlog of unutilized 
long-term loans to Latin America at the end of 
the latter period was about $850 million, about 
the same as at the end of 1956 but more than $400 
million higher than a year earlier. This large 
amount of undisbursed loans should provide a con- 
siderable support to Latin American dollar re- 
sources even if the proceeds from U.S. merchan- 
dise imports should temporarily decline. 



Outflow of U.S. Capital 

The net outflow of U.S. capital for direct in- L, 
vestments, even omitting the payments for oil jL,; 
concessions in Venezuela, was about $415 million, J ^ ., 



facilities. 



: 






or $160 million more than in the second half of 
1956 and about $270 million more than a year 
earlier. The net capital outflow during the first 
half of 1957 was at a higher rate than in any pre- 
vious period for which data are available. 

Actual expansion of Latin American enter- 
prises under the influence of U.S. entrepreneur- 
si lip was considerably larger than is indicated by 
the net outflow of capital. Investments of funds 
derived from other sources, including reinvested 
earnings of subsidiaries and depreciation reserves, 
should be added to the net capital outflow. In 
some instances local capital may also have been 
used for the expansion of these enterprises, or 
American and other foreign capital may have 
joined in the financing of new investments. Data 
on reinvested earnings by subsidiaries are not 
available for half-year periods. In 1956, how- 
ever, they amounted to over $200 million, and 
the rate during the first half of 1957 may be as- 
sumed to be at least as high. Charges for depre- 
ciation by U.S. companies in Latin America were 
estimated for 1955 in a special study of the Office 
of Business Economics, published in the middle 
of December 1957 (preliminary data were pub- 
lished in the January 1957 issue of the Survey of 
Current Business). In that year the amounts 

Department of State Bulletin 









I 



"Hi poiJ 
'- net (c-I 
•s. Tin J 






:::.:!:! 



t the aid o 



lb gjjgg half of 1957 (excluding the payments for Vene- 



■ ,,,S)i, 



set aside by the reporting companies for this 
purpose were about $260 million. As this 
amount can be expected to increase with expand- 
ing facilities, funds available in 1957 from this 
source for reinvestment should be about 10 per- 
cent higher. Thus it may be estimated that gross 
direct investments by U.S. companies in Latin 
America during the first half of 1957 may have 
been approximately $G50 million (even omitting 
the purchases of Venezuelan oil concessions). 

Of the rise in the net capital outflow for direct 
investments from the first half of 1956 to the first 



United States Balance of Payments With the Latin 
American Republics 

(Millions of dollars) 



■ ■■ fur o- 

pfc&smilW 

. Dd half oj 

inilible. 
. ■ |j ated b; 



zuelan oil concessions), about one-third was due 
to higher investments in the mining industry; 
about one-fourth went into manufacturing enter- 
I prises. Within the remainder, most important 
were investments in the petroleum industry, in 
public utilities, and in trading enterprises. 
These investments reflect mainly long-run antici- 
pations of rising demands and are not likely to be 
affected by relatively short-run fluctuations in the 
market situation for the products they are set up 
to produce. 

The outflow of U.S. short- and medium-term 
private capital during the first half of 1957 was 
somewhat higher than during the corresponding 
period of 1956 but slightly less than in the last 
half of 1956. The direction and size of the move- 
ment of U.S. short-term claims against Latin 
America varied significantly among the individ- 
ual countries, however. The principal countries 
whose short-term indebtedness to the United 
States increased during the first half of 1957 were 
Argentina, Chile, and Venezuela. For Vene- 






, g* 



;.';" 





1956 


1957 




First 


Second 


First 




half 


half 


half 


United States payments: 








Merchandise 


1, 982 


1,793 


2,001 


Services, including invest- 






ment income 


475 


537 


492 


Remittances 


15 


16 


18 


Government grants and other 








transfers > 


47 


43 


61 


Direct investments (net) . . 


141 


471 


683 


Oil concessions in Vene- 










( — ) 


(220) 


(270) 


Other private United States 






capital 


92 


122 


10S 


Government capital (net) . . 


49 


48 


36 


Total United States pay- 








ments 


2,801 


3,030 


3,399 


(Seasonally adjusted) . . 


(2,730) 


(3, 100) 


(3,309) 


United States receipts: 








Merchandise ' 


1, 864 


1,966 


2,241 


Income on investments . . . 


433 


485 


519 


Services 


392 


442 


450 


Long-term investments in the 








United States 


9 


24 


15 


Total United States re- 








ceipts 


2,698 


2,917 


3,225 


(Seasonally adjusted) . . 


(2, 760) 


(2, 850) 


(3, 290) 


Balance (net payments by the 








United States) 


103 


113 


174 


(Seasonally adjusted) .... 


(-30) 


(250) 


(19) 


Net gold and dollar receipts by 








Latin America from unre- 








corded transactions with the 








United States and from trans- 








actions with other countries 








and international institutions. 


76 


40 


228 


Increase or decrease ( — ) in 








Latin American gold and 








liquid dollar holdings .... 


179 


153 


402 



rentes zuela, this increase continued a trend started sev- i Excluding military supplies and services under grant- 

li eral years earlier and partly offset the very much aid programs, 
rise in gold and dollar reserves. In the 
of Argentina and Chile, however, the rise 
in short-term indebtedness is an indication of 
pit- balance-of-payments difficulties. Without the 
rise in short-term loans, however, purchases by 
these countries would have had to be smaller or 
the losses in reserves even larger. 

In contrast, Colombia's short-term indebtedness 
declined by about $20 million, partly due to re- 
payments, partly as a result of conversions into 
longer-term obligations. At the same time Co- 
ombia's reserves increased by about $50 million. 
The improvement in that country's solvency was 
P achieved by a very drastic restriction of its im- 



have beei larger 



^ the i^l 



ports. Mexico's short-term indebtedness, which 
January 6, 7958 



had risen by about $60 million during 1956, re- 
mained stable after the end of that year. 

Rise in U.S. Receipts 

U.S. receipts from Latin America rose from 
the first half of 1956 to the first half of 1957 by 
about $530 million. After allowing for normal 
seasonal changes, it appears that $440 million of 
this rise occurred during the first half of 1957. 

Merchandise exports accounted for $360 million 
of the rise and investment incomes for about $70 
million. As indicated above, capital goods and 
materials used in further production or in con- 



27 



struction accounted for most of the rise in exports. 
The larger investment incomes were mainly due 
to the increased shipments and rising prices of 
oil following the closure of the Suez Canal. 

The largest increase in U.S. merchandise sales 
during the first half of 1957 was to Venezuela. 
These sales may well be sustained or even ex- 
panded because of Venezuela's increased receipts 
from exports and foreign investments. Relatively 
large increases took place also in U.S. exports 
to Brazil, Argentina, Chile, and Uruguay — which 
experienced significant balance-of-payments diffi- 
culties. Sales to Colombia declined, as indicated 
above, as a result of that country's attempts to 
repay debts incurred earlier and to rebuild its 



World Bank To Lend $4.2 Million 
to Pakistan Corporation 

The International Bank for Reconstruction and 
Development announced on December 18 that it 
has entered into a formal agreement to lend $4.2 
million to a new corporation which has been 
formed by Pakistani, British, American, and Jap- 
anese private investors to promote the growth of 
private industry in Pakistan. 

The borrower is the Pakistan Industrial Credit 
and Investment Corporation Limited. The prin- 
cipal objectives of the corporation are to assist in 
the expansion or modernization of small- and 
medium-sized industries and to help create new 
ones. To achieve these objectives, the corporation 
will make loans and equity investments and under- 
write and distribute securities. It will also help 
private industries to obtain managerial, technical, 
and administrative services and advice. As 
rapidly as is prudent, the corporation will sell its 
loans and share holdings to other investors to re- 
cover its own capital for further investment. 

The main outlines of the corporation were 
drawn up in April 1956, when George "Woods, 
chairman of The First Boston Corporation, and 
bank officials visited Pakistan to explore the pos- 
sibilities of industrial development and to study 
ways in which an industrial finance institution 
could be established. At that time a steering com- 
mittee of prominent Pakistani industrialists and 
financiers was formed to carry out the prepara- 



tory work necessary to the establishment of the 
corporation. British, American, and Japanese 
investors agreed to join with Pakistani investors 
to provide equity capital for the new institution, 
and in September 1957, the bank announced that it 
would make a loan of $4.2 million to the corpora- 
tion after it had been established. The corpora- 
tion was established under Pakistani law on 
October 2, 1957, and was given authority to com- 
mence business on November 26, 1957. 

The corporation's initial share capital amounts 
to 20 million rupees ($4.2 million). Pakistani 
investors hold shares amounting to 12 million 
rupees, of which 8 million rupees was privately 
placed; the remainder was sold on November 4, 
1957, through a public offering. British investors 
have subscribed 3 million rupees of the corpora- 
tion's share capital. American investors have 
subscribed another 3 million rupees. A Japanese 
investing group, consisting of the 12 Japanese 
foreign exchange banks, has subscribed 2 million 
rupees. In addition, the Government of Pakistan 
has made a 30-year interest-free advance of 30' 
million rupees to the corporation. The capital 
resources initially available to the corporation 
from capital subscriptions, the Government ad- 
vance, and the bank loan are 70 million rupees 
($14.7 million). 

The Pakistan Industrial Credit and Investment 
Corporation is the fourth privately owned de- 
velopment corporation which has been formed 
with financial or technical assistance from the 
World Bank. The others were the Industrial 
Development Bank of Turkey, which was estab- 
lished in 1950 and has received $18 million in 
loans from the World Bank ; the Industrial Credit 
and Investment Corporation of India, to which 
the World Bank lent $10 million when it was 
established in 1955; and the Development Fi- 
nance Corporation of Ceylon, which was formed 
in 1956. 

The loan documents for the Pakistan corpora- 
tion were signed on December 17 by Mohammed 
Ali, Ambassador of Pakistan in the United States, 
on behalf of the Government of Pakistan; by 
N. M. Uquaili, Deputy Controller, Foreign Ex- 
change, State Bank of Pakistan, on behalf of the 
Pakistan Industrial Credit and Investment Cor- 
poration Limited; and by W. A. B. Iliff, vice 
president, on behalf of the World Bank. 



28 



Department of State Bulletin 



' 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



mcedftalj 

Calendar of International Conferences and Meetings 

Riecorpon 



ini la 



Adjourned During December 1957 



itil 

'I! 

■ [invateli 
: 

A 

l.y nijiil: 



been ffflfl 
ice from til 

[ndnstril 

MM'* 

;■ million it 
when it H 

■ 
vMol 









U.N. General Assembly: 12th Session 

GATT Article XXVIII Tariff Negotiations 

UNESCO Executive Board: 49th Session 

9th Pacific Science Congress 

ILO Technical Tripartite Meeting on Mines Other Than Coal 
Mines. 

FAO Coconut and Coconut Products Study Group 

ILO Meeting of Experts on Radiation Protection 

FAO/ECE Working Party on Forestry Statistics 

FAO Plant Protection Committee for Southeast Asia and Pacific 
Region: 2d Meeting. 

ITU International Telephone and Telegraph Consultative Com- 
mittee (CCITT) : Study Group 2/1— Revision of the Telegraph 
Regulations. 

3d U.N. ECAFE Regional Technical Conference on Water Re- 
sources Development. 

WMO Regional Association III (South America): 2d Session. . . 

U.N. ECE Inland Transport Committee: 17th Session 

U.N.ECE Conference of European Statisticians: Working Group on 
Censuses of Population and Housing. 

U.N. ECAFE Inland Transport Committee: 5th Session of Rail- 
way Subcommittee. 

ILO Meeting of Experts on Workers' Education 

ILO Committee of Experts on Social Policy in Nonmetropolitan 
Territories: 6th Session. 

U.N. ECOSOC: 24th (Resumed) Session 

IAEA Board of Governors 

NATO Council: 20th Ministerial Session 

U.N. ECE Coal Committee: 43d Session and Related Meetings. . 

U.N. ECE Agricultural Problems Committee: 9th Meeting . . . . 



Scheduled January 1-March 31, 1958 

WHO Standing Committee on Administration and Finance . . . . 

U.N. ECAFE Subcommittee on Electric Power: 6th Session . . . 

UNREF Standing Program Subcommittee: 6th Meeting .... 

IAEA Board of Governors 

International Conference on Restrictive Business Practices . . . 

North Pacific Fur Seal Commission: 1st Meeting 

U.N. ECOSOC Subcommission on the Prevention of Discrimina- 
tion and Protection of Minorities: 10th Session. 

UNREF Executive Committee: 7th Session 

WHO Executive Board: 21st Session 

U.N. ECAFE Committee on Trade: 1st Session 

WMO Commission for Synoptic Meteorology: 2d Session . . . . 

4th ICAO European-Mediterranean Regional Air Navigation Meet- 
ing. 

Inter-American Cultural Council: Committee for Cultural Action . 

U.N. ECE Meeting of Working Party on River Law 

ICEM Working Group 

Inter-American Travel Congresses: Technical Committee of Ex- 
perts on the Removal of Travel Barriers. 



New York Sept. 17-Dec. 14 

Geneva Oct. 1-Dec. 7 

Paris Nov. 18-Dec. 6 

Bangkok Nov. 18-Dec. 9 

Geneva Nov. 25-Dec. 2 

Rome Nov. 25-Dec. 4 

Geneva Nov. 25-Dec. 7 

Geneva Dec. 2-6 

Peradeniya, Ceylon Dec. 2-7 

Geneva Dec. 2-17 

Manila Dec. 4-10 

Caracas Dec. 4-21 

Geneva Dec. 9-13 

Geneva Dec. 9-13 

Bangkok Dec. 9-14 

Geneva Dec. 9-14 

Geneva, Dec. 9-20 

New York Dec. 10, 13 

Vienna Dec. 16-20 

Paris Dec. 16-19 

Geneva Dec. 16-18 

Geneva Dec. 16-20 



Geneva Jan. 6- 

Bangkok Jan. 6- 

Geneva Jan. 9- 

Vienna Jan. 13- 

Chicago Jan. 13- 

Washington Jan. 13- 

New York Jan. 13- 

Geneva Jan. 13- 

Geneva Jan. 14— 

Bangkok Jan. 20- 

New Delhi Jan. 21- 

Geneva Jan. 28- 

Mgxico, D. F January 

Geneva Feb. 3- 

Washington Feb. 3- 

Buenos Aires Feb. 5- 



1 Prepared in the Office of International Conferences, Dee. 19, 1957. Asterisks indicate tentative dates. Following 
is a list of abbreviations: U.N., United Nations; GATT, General Agreement on Tariffs and Trade; UNESCO, United 
Nations Educational, Scientific and Cultural Organization; ILO, International Labor Organization; FAO, Food and 
Agriculture Organization; ECE, Economic Commission for Europe; ITU, International Telecommunication Union; 
('or i CCITT, International Telephone and Telegraph Consultative Committee (formerly CCIT and CCIF) ; ECAFE, Economic 
Commission for Asia and the Far East; WMO, World Meterological Organization; ECOSOC, Economic and Social 
Council; IAEA, International Atomic Energy Agency; NATO, North Atlantic Treaty Organization; WHO World 
Health Organization; UNREF, United Nations Refugee Fund; ICAO, International Civil Aviation Organization'; ICEM 
Intergovernmental Committee for European Migration; PAIGH, Pan American Institute of Geography and History; 
UNICEF. United Nations Children's Fund ; ECLA, Economic Commission for Latin America ; SEATO, Southeast Asia 
Treaty Organization. 



^, January 6, 1958 



Calendar of International Conferences and Meetings— Continued 

Scheduled January 1-March 31, 1958 — Continued 

ILO Chemical Industries Committee: 5th Session 

U.N. ECE Ad Hoc Group of Experts To Examine the Conditions 
of Sale for Solid Fuels. 

U.N. ECAFE Inland Transport Committee: 7th Session .... 

FAO Committee on Commodity Problems: Working Group of Ex- 
perts on Rice Grading and "Standardization, Consultative Sub- 
committee on Rice. 

PAIGH: 8th Pan American Consultation on Cartography .... 

FAO Committee on Commodity Problems: 2d Session of 'Consulta- 
tive Subcommittee on the Economic Aspects of Rice. 

U.N. ECE Working Group on the Statistical Unit in Economic Sta- 
tistics. 

U.N. ECE Working Party on Prevention of Road Traffic Accidents . 

ICAO/WMO Special Joint Meteorological Telecommunications 
Meeting for Europe. 

U.N. Conference on the Law of the Sea 

2d Central American and Caribbean Bibliographic Seminar . . . 

U.N. ECAFE Committee on Industry and Natural Resources: 1st 
Session. 

ILO Governing Body: 138th Session (and Committees) 

Inter- American Travel Congresses: Technical Committee of Ex- 
perts on Tourist Travel Promotion. 

Inter- American Travel Congresses: Technical Committee of 
Experts on Research and Organization. 

Inter-American Travel Congresses: Technical Committee of 
Experts on Travel Plant. 

PAIGH: 5th Pan American Consultation on Geography .... 

PAIGH: 4th Pan American Consultation on History 

ICAO Map Panel: 1st Meeting 

U.N. ECOSOC Committee on Nongovernmental Organizations . . 

U.N. ECE Working Party on Transport of Dangerous Goods . . 

UNICEF Executive Board and Program Committee 

U.N. Economic Commission for Asia and the Far East: 14th 
Session. 

Inter-American Institute of Agricultural Sciences: 3d Meeting of 
Technical Advisory Council. 

IAEA Board of Governors 

U.N. Trusteeship Council: 21st Session 

U.N. ECE Working Party on Construction of Road Vehicles. . . 

U.N. ECOSOC Commission on Human Rights: 14th Session. . . 

U.N. ECE Working Group on Short-Term Indicators 

U.N. ECOS( )C Commission on the Status of Women: 12th Session . 

U.N. ECE Coal Trade Subcommittee 

U.N. ECE Coal Committee 

ICAO Conference on Charges for Route Air Navigation Facilities 
and Services. 

WMO Regional Association IV (North and Central America): 2d 
Session. 

U.N. ECLA Committee of the Whole: 6th Meeting 

U.N. ECE Working Party on Coal Statistics 

U.N. ECE Experts on Energy Problems: Special Meeting .... 

Inter-Parliamentary Union: Council Meeting 

Conference on Prevention of Oil Pollution of the Seas 

Inter- American Travel Congresses: Permanent Executive Com- 
mittee. 

International Sugar Council: 15th Session 

SEATO: 4th Ministerial Meeting of the Council 



Geneva 

Geneva 


. Feb. 
. Feb. 


10- 
10- 


Bangkok 


. Feb. 
. Feb. 


11- 
12- 


Habana 

Washington 


. Feb. 
. Feb. 


12- 

17- 


Geneva 


. Feb. 


17- 




. Feb. 


17- 

24- 


Geneva 


. Feb. 


Geneva 

Panama City 

Kuala Lumpur, Malaya. . 


. Feb. 
. Feb. 
. Feb. 


24- 
24- 
24- 


Geneva 

Mexico, D. F 


. Feb. 26- 
February 


Lima 


February 


Washington 


February 


Quito 




mry* 
lary* 

3- 

3- 

3- 

3- 

5- 


Cuenca, Ecuador 

Montreal 


. Febr 
. Mar 


Geneva 


Mar. 


Kuala Lumpur, Malaya . . 


. Mar. 


Santiago 


. Mar. 


10- 


Vienna 

New York 

Geneva 


. Mar 

. Mar 

Mar 

. Mar 


10- 
10- 
10- 
10- 
10- 

!?: 

18- 
18- 






Geneva 

Geneva 

Geneva 

Montreal 


Mar 

Mar 

Mar 

. Mar 




. Mar. 


19- 


Santiago 

Geneva 


Mar. 
Mar. 


19- 

20- 

31* 

h 

h* 

h 


Geneva 


Man 








. Marc 


h 
h 


Southeast Asia 


Marc 



30 



Department of Sfafe Bulletin 



Four Major Accomplishments 
of 12th General Assembly 

Statement by Henry Cabot Lodge 

U.S. Representative to the General Assembly 1 

From a United States standpoint here are four 
imajor accomplishments of the 12th General 
Assembly : 

1. Stripping away the sham and insincerity of 
the Soviet war scare that the United States was 
masterminding a threat to the security of Syria. 
This cleared the air considerably in that part of 
the world. 

2. Approval of the new proposal by the United 
States for extending economic aid under the aus- 
pices of the United Nations. This provides a 
new way to strengthen underdeveloped countries 
against subversion from abroad. It coidd greatly 
improve prospects for solving big political prob- 
lems. It created and will create new good will 
for the United States. 

Reduction in the share of the United Nations 
assessment which the United States pays from 
33% percent to 32% and later on to 30 percent. 

4. Overwhelming endorsement of our disarma- 
ment program. 

All these things were done in the midst of the 
Sputnik blitz. 



The Cyprus Question 

Statement by Henry Cabot Lodge 
U.S. Representative to the General 



For more than 3 years the question of Cyprus 
las been before this Assembly. The United States 
las made clear on each occasion its conviction that 
hose directly concerned must themselves work out 
he eventual settlement. We do not think that 

yprus presents the kind of problem which can be 
olved by United Nations deliberations in the 
bsence of agreement among the parties. But this 
oes not mean that our discussion here cannot be 
lelpful. 



Released to the press on Dec. 14 (U.S. delegation 
ress release 2849). 

Made in Committee I (Political and Security) on Dec. 
(U.S. delegation press release 2842) . 

anuary 6, 1958 



As we completed our consideration of this item 
last February, 3 we had high hopes that those most 
directly concerned would be able to enter into 
fruitful negotiations. It was generally recognized 
that no settlement was possible that did not take 
full account of all pertinent interests. These inter- 
ests involve three of our closest allies and the people 
of this troubled island. It is because of the very 
character and divergency of the interests of those 
involved that the United States has constantly 
maintained — and still believes — that "quiet diplo- 
macy" held the greatest promise for the develop- 
ment of a solution. 

As a matter of fact, the United Nations Charter 
in article 33 emphasizes that the parties to any 
dispute "shall, first of all, seek a solution by nego- 
tiation, enquiry, mediation, conciliation, arbitra- 
tion, judicial settlement, resort to regional 
agencies or arrangements, or other peaceful means 
of their own choice." Now, Mr. Chairman, the 
United States does not believe that all of these 
avenues have been exhausted. Indeed, there has 
been some progress during the past year toward 
improving the circumstances in which any one or 
more of these avenues might be followed. In these 
circumstances, it would be a mistake for us at this 
time here in this General Assembly to endorse any 
specific solution. 

All of us here in the General Assembly should 
be moderate and avoid actions and statements 
which might make a solution harder. We hope 
also that those directly concerned will seek to 
create an atmosphere more conducive to further 
negotiations. Each of them can make their own 
special contribution. This includes the people of 
the island of Cyprus, who must also have an op- 
portunity at an ap£>ropriate point to make their 
views known. No lasting settlement can be made 
which does not have their full cooperation. 

We hope also that on the island of Cyprus itself 
there will be stability and tranquillity. We said 
last February that "violence or any external in- 
terference will only heighten tension and lead to 
more violence." 

We intend to apply one standard to any pro- 
posals made in this debate: Will they help to 
create conditions which will facilitate an eventual 
solution? 

For our part we have assisted the governments 
and peoples concerned in getting together for fur- 



3 Bulletin of Mar. 25, 1957, p. 507. 



ther discussions during the past year. We stand 
ready to do so again when circumstances will 
make it useful. 4 



Clearance of Suez Canal 

Statement by James J. Wadsworth 

U.S. Representative to the General Assembly 1 

The United States delegation wishes to join in 
congratulating the Secretary-General on the mag- 
nificent accomplishment of clearing the Suez 
Canal and opening up that waterway once again 
to international traffic. We wish also to extend 
our congratulations to those individuals who 
played outstanding roles in connection with this 
clearance operation. 

When we considered this problem at the last 
session and authorized the Secretary- General to 
enter into arrangements for clearing the canal, we 
all thought that the clearance process would take 
a very long period of time and involve a huge 
expenditure. Nevertheless, we authorized the 
Secretary-General to go ahead. Now we are all 
grateful that clearance work was completed so 
expeditiously and at a so much lower cost than 
any of us had imagined. This is but another 
example of the way in which this organization 
can perform important and constructive tasks 
under the leadership of the Secretary-General. 

We must now take action to finance the clear- 
ance costs to discharge an obligation. We know 
that the Secretary-General and many governments 
have explored all possible alternative methods of 
financing. It has now become clear that the Sec- 
retary-General has laid before us the most equi- 
table and feasible method of financing, namely to 
raise the necessary funds by establishing a sur- 
charge on canal tolls. 

4 On Dec. 14, in plenary session, a resolution sponsored 
by Greece (U.N. doc. A/C.1/L.197, as amended), express- 
ing the "earnest hope that further negotiations and dis- 
cussions will be undertaken in a spirit of co-operation 
with a view to having the right of self-determination 
applied in the case of the people of Cyprus" received 31 
votes in favor, 23 against, and 24 abstentions (U.S.). 
It was therefore not adopted, having failed to receive the 
required two-thirds majority. 

"Made in plenary session on Dec. 14 (U.S. delegation 
press release 2847). 



32 



lej 

In pu 

foil'-'- 



The surcharge method is equitable because it 
places the burden of financing upon those who have 
been the primary beneficiaries of the clearance of 
the canal. The method is feasible since the pro- 
posed surcharge is so small that it will have 
virtually no economic impact and because, as we 
understand, the governments which are primarily 
interested in traffic through the canal have indi- 
cated their support for the proposal. With such 
support, there can be little doubt that the proposal 
can be successfully carried through. 

Accordingly, Mr. President, the United States 
delegation will vote for the draft resolution which 
is before us. 2 We feel sure that all members will 
cooperate in implementing the proposal. Thus 
will we bring to a successful conclusion a construc- 
tive chapter in the history of the United Nations. 3 



U.N. Agrees To Take No Decision 
on Hungarian Credentials 

Statement by James J. Wadsworth 

U.S. Representative to the General Assembly 1 

When the Credentials Committee of the 11th 
General Assembly met in February of this year, it 
had very much in mind, as we have today, the tragic 
situation caused by the brutal armed intervention 
of the Soviet Union in the domestic affairs of Hun- 
gary. At that time it will be recalled that the 
Credentials Committee and later the General As- 
sembly decided to take no action on the credentials 
of the representatives of the present Hungarian 
regime. The passage of time from that day to 
this has amply demonstrated the correctness of 
this decision. 

At the reconvened session of the 11th General 
Assembly last September, the situation in Hun- 
gary was once more considered, and on the basis men 
of the thorough and objective report of its Special 
Committee, the General Assembly passed by an J year, 1 , 
overwhelming vote resolution 1133 (XI) dated S] 



As! 
Commit 
lime ■ :' 
Bents 
Bui ■ 
orede I 



8 U.N. doc. A/L. 238. 

3 On Dec. 14 the General Assembly recommended, 54 to 
0, with 19 abstentions, that the $8,376,042 cost for clearing 
the Suez Canal last year be repaid by means of a 3 percent 
levy on canal tolls. It was estimated that at this rate of 
surcharge the cost could be repaid within 3 years. 

'Made in plenary session on Dec. 10 (U.S. delegation 
press release 2840). 



Department of State Bulletin 



k 

Commits 



f •■,- 
tot,o 

He Get 

Iff: ;. ; . 



•'I September 14, 1957, 2 condemning the actions of 
the U.S.S.R. and its puppet regime in Hungary. 
In paragraph 4(5) of this resolution we find the 
following : 

The present Hungarian regime has been imposed on 
the Hungarian people by the armed intervention of the 
Union of Soviet Socialist Republics. 



. 
feraitio: 
rsofHae 

; u i 



tiiGsner. 
o in & 
ntiiebas 

its Specii 
ssedbj 

XI » 



ended- 
f a 3 perce 

; tlllS* 



ears- 



This means, Mr. President, that the Assembly 

:elf has cast serious doubt upon the delegation 
which claims to represent the Hungarian people, 
and in the view of my delegation it does not repre- 
sent them. I know of no action from that time 
to this taken by Soviet or Hungarian authorities 
which should cause us to alter our judgment as 
to the representative character of the Hungarian 
regime. The fact that this regime has been kept 
in power by force or the threat of force for over 
a year does not alter the circumstances. Indeed, 
it makes them more acute. 

It is therefore clear that we cannot accept the 
credentials being offered to us by the Budapest 
regime. At the same time, we must not be led by 
indignation in this matter to take what might be 
construed as punitive action against the Hun- 
garian nation or against the Hungarian people. 

For this reason the Credentials Committee, as 
we have just heard, decided to take no decision 
regarding the credentials submitted on behalf of 
the representatives of Hungary. 

As to the other matter before the Credentials 
^fjljj Committee, Mr. President, I shall not take the 
credential time of the Assembly to reply to any of the state- 
Huniranar ments made by the representative of the Soviet 
hat dav t' Union in the committee on the question of the 
credentials of China. The position of the United 
States has been made clear time and time again in 
this matter. We firmly support approval of the 
jredentials of the representatives of the Govern- 
ment of the Republic of China, and, in accordance 
with the decision taken in September of this 
year, 3 we feel that the Assembly has already 
spoken on this matter. 

I sincerely trust that this Assembly, as did the 
last, will approve the report of its Credentials 
Committee. 4 



l'.i.vr 



r,24. 



2 For text, see Bulletin of Sept. 

s Ibid., Oct. 21, 1957, p. 658. 

' The General Assembly, in plenary session on Dec. 10, 
ipproved the report of the Credentials Committee 77 to 1 
(Hungary). 



Developments in Hungary Brought 
to Attention of United Nations 

Statement by Henry Cabot Lodge 

U.S. Representative to the General Assembly 1 

Resolutions of the General Assembly adopted 
during the past year under the most tragic cir- 
cumstances are being at this very moment will- 
fully and grossly violated by certain governments 
or regimes whose representatives are seated in 
this hall today. As recently as September 14, 
1957, the 11th General Assembly, by a vote of 60 
to 10, passed resolution 1133, 2 which, in para- 
graph 8, calls upon the Union of Soviet Socialist 
Republics and the present authorities in Hungary 
to desist from repressive measures against the 
Hungarian people. It further calls upon them to 
respect the liberty and political independence of 
Hungary and the Hungarian people's enjoyment 
of fundamental human rights and freedoms. 
Those are the resolutions that we adopted here 
by overwhelming votes. 

Reports have been received that General Pal 
Maleter, General Istvan Kovacs, and Sandor Ko- 
pacsi have now been brought to trial by the Soviet 
puppet regime in Budapest. When General Male- 
ter and General Kovacs were arrested, they were 
carrying out the orders of their government, of 
which the present Premier of Hungary, Janos 
Kadar, was a member. Part of their heroic story 
has been documented in the Report of the United 
Nations Special Committee on the Problem of 
Hungary. 3 We all recall with loathing the treach- 
erous arrest of General Maleter and his aides. At 
the very moment when, at the invitation of the 
Soviets, these men were negotiating with the occu- 
pation authorities for the withdrawal of the So- 
viet Army from Hungarian soil, they were seized 
and taken away by Soviet secret police. General 
Maleter and the others to whom I have referred 
were arrested solely because of their patriotic ac- 
tions on behalf of their fellow countrymen. 

Mr. President, I need not dwell on the shock 
and indignation which the people of the world feel 
concerning these and other recent reports of bru- 



lanuary 6, 7958 



'Made in plenary session on Dee. 14 (U.S. delegation 
press release 2851). 

2 For text, see Bulletin of Sept. 30, 1957, p. 524. 

3 U.N. doc. A/3592. For text of final chapter of report, 
see Bulletin of July 8, 1957, p. 62. 



33 



tality and inhumanity reaching us from Hungary. 
Let me recall some of these reports : 

On November 19, 1957, the regime announced 
that the Workers' Councils in the factories had 
been abolished. This action was in direct viola- 
tion of Mr. Kadar's official pledge given a year 
earlier. 

Intellectuals in Hungary have become the par- 
ticular targets of official persecution. Prominent 
Hungarian writers, including Tibor Dery, have 
been arrested and sentenced to inhumanly long 
terms of imprisonment. 

More and more information has become avail- 
able about the arrest, trial, and execution of prom- 
inent civil and military leaders of the people's 
uprising. On December 10 it was officially an- 
nounced that Major Antal Palinkas had been exe- 
cuted for participating in the freeing of Cardinal 
Mindzenty from his detention. 

The simple enumeration of these reports is 
sufficient to expose to everyone the contrast be- 
tween such actions and the words we heard yes- 
terday and today from the Soviet representative 
during the debate on the so-called "peaceful co- 
existence" item. 

I only wish to add this: The people of the 
United States protest with all the vigor at their 
command against what the Soviet Union and its 
puppets are doing in Hungary today. 

At this time it is fortunate that we have at 
hand the report, document A/3744, of Prince 
Wan, the distinguished Foreign Minister of Thai- 
land, who under the resolution I have already 
mentioned was appointed as Special Representa- 
tive of the Assembly to take appropriate steps 
to achieve the objectives of the United Nations 
as expressed in its resolution on the Hungarian 
question. I note that in spite of the callousness 
and indifference with which the Soviet and Hun- 
garian authorities repulsed his efforts to carry 
out his humanitarian functions, Prince Wan will 
continue to seek the opportunity to assist in es- 
tablishing full international cooperation in pro- 
moting respect for human rights and fundamental 
freedoms in Hungary. The United States has 
every confidence that Prince Wan will undertake 
every feasible humanitarian step on behalf of 
these individuals as a matter of urgency. 

Mr. President, I note also that the United Na- 
tions Special Committee on the Problem of Hun- 
gary is to meet again in the early part of next 



34 



week. This distinguished group of men can do 
important work in examining the tragic events 
now taking place in Hungary. The United States 
Government is prepared to cooperate with them 
in any way possible. 

Now, Mr. President, in conclusion let me make ffl 
this one observation. In view of these recent de- 
velopments in Hungary, I hereby serve notice 
that the United States Government will request 
the convening of a special session of the General 
Assembly on the Hungarian question should the 
circumstances warrant it. On the basis of fur- 
ther information about developments in Hungary, 
we could then determine what further steps 
should be taken to help the people of Hungary. 



Question of Financing Aid 
to Palestine Refugees 

Following are four statements made in the 
Special Political Committee by Genoa S. Wash- ''. 
ington, U.S. Representative to the U.N. General 
Assembly, together with the text of a resolution 
adopted by the committee on December 6. , 

■■ 

fittUl 
:MBER 19 tleas 

U.S. delegation press release 2817 

I wish to make a special statement at this time | 
on the financial situation, in response to the Secre- 
tary-General's appeal of November 6. 

The United States delegation was greatly im- , ■ 
pressed by the statement made in this committee - 
yesterday afternoon by Mr. [Henry R.] L*-J- . ' 
bouisse. 1 We are indeed fortunate that the 
United Nations Relief and Works Agency fori," 
Palestine Refugees is so ably directed. I hope 
that we can now concentrate our energies on our 
responsibility to support in a practical and con- 
crete manner the efforts he is making at our be- 
hest, to examine the agency's problems, and tot '' 
consider how best we can maintain the program- 
on which so many depend. Mr. Labouisse putista nt 
the problem squarely when he said yesterday. 
"How much is the General Assembly prepared tc 
pay this coming year for the agency it has 
created?" 



*!;■; 



\k: 



U.N. doc. A/SPC/20/Rev. 1. 



Department of State Bulletit Jom c , 



lb "Or, 

a*, m 



mil 

rolac 

wli 

i 



In addition to the annual report of the Director 
of UNRWA, we have all received a letter dated 
November 6 from the Secretary-General point- 
ing out the extent to which pledges for UNRWA 
have fallen short of the agency's projected budget 
and a new letter from the Director dated Novem- 
ber 12. The Secretary-General has invited us to 
announce during the present session of the Sj)ecial 
Political Committee new or additional contribu- 
tions that our governments would be prepared 
to make toward the agency's programs for 1958. 
The Secretary-General has very rightly pointed 
out that the response to his appeal would have 
stela direct bearing on the discussion, particularly on 
kjarjwhat elements in the agency's 1958 program 
ight have to be eliminated if sufficient contri- 
utions are not forthcoming. 
Mr. Chairman, I therefore suggest that the 
members of this committee should consider the 
Secretary-General's appeal and respond to it. 
Certainly, we shall be in a much better position 
;o deal with the problem of the continued oper- 
ition of UNRWA if we have before us the most 
* ap-to-date information on the extent to which the 
'"' relief and rehabilitation budgets of UNRWA will 
)e met by possible further pledges to the agency's 
operations. The United States Government feels 
hat this should be the first order of business. If 
;he agency is to continue its operations effectively, 
ye must know as soon as possible whether the 
tgency's budgets can be met by further pledges 
tr whether it will become our unhappy task to 
' ie,ei consider the ways and means whereby the agency 
nay most effectively cope with the continuing 
fugee problem in reduced circumstances. 
Mr. Chairman, you will recall, I believe, that 
uring the pledging session held on October 4, 
iss [Irene] Dunne [U.S. Representative to the 
eneral Assembly] made the following pledge on 
half of the United States: 



k a il 
N 



;t!;i>ti: 



;ie:it!v 



e (tat t 
.. 

A lH 
rgies on oi 

-at our I 



I am happy to be able to say that I am authorized to 
ledge for the United States $17,500,000 for the continua- 
on of UNRWA's relief operations. I am also author- 



.n ;, and ;ed to pledge $4 million for the rehabilitation program. 

tcpw? 11 
abonissf^ 
i yesterdi 

i prep*' 



'hese pledges are for the United States fiscal year which 
irted last July and will end June 30, 1958. 
The United States will make payments on these pledges 

p to 70 percent of the total contributions from all coun- 
This applies to both the relief and rehabilitation 



jjjcJ >' ' rograms. 

The United States already has made a substan- 
al contribution against those pledges. 



■ 



nuary 6, 7958 



During the pledging session the United States 
delegation also announced that the United States 
Government would hold available to the Director 
of the agency $300,000 for planning or carrying 
out plans for the transfer of the administration of 
refugee relief to the host governments, as may be 
arranged between them and the Director in 1958. 
This offer still is open. 

In response to the Secretary-General's appeal, 
I am authorized to pledge for the United States 
an additional $500,000 toward the agency's relief 
program and $1 million toward its rehabilitation 
program. This brings the United States pledges 
to $18 million for the relief program and $5 mil- 
lion for the rehabilitation program. These 
pledges amount to 70 percent of the agency's 
relief budget and 70 percent of the "reduced reha- 
bilitation program"' indicated in the Secretary- 
General's letter. These increased pledges are 
made under the same conditions as for our earlier 
pledges. They are for the United States fiscal 
year ending June 30, 1958. Payments on them 
will be made up to 70 percent of total contribu- 
tions from all countries to the relief program and 
to the rehabilitation program. 

In making these increased pledges the United 
States delegation earnestly hopes that others may 
now find it possible to indicate new or additional 
contributions that their governments may be pre- 
pared to make. Two things are clear. First, 
greater pledges and contributions must be made 
also by other countries for the budget to be met 
and for the total United States pledge to be con- 
tributed. Second, unless we have indications of 
further contributions, the agency will be unable 
to continue even its presently reduced level of 
operations and the Special Political Committee 
will have to act accordingly. 

We have, Mr. Chairman, a problem of grave, 
practical importance before us. Our decisions 
reach far beyond the confines of this room into 
the present and future lives of over 900,000 refu- 
gees. We owe the agency — whose existence is de- 
pendent upon the action of the Assembly — a full 
measure of thoughtful cooperation, including the 
indispensable element of financial support. We 
hope that the committee will address itself now 
largely to the budgetary problems with which we 
are faced. I feel certain that members will want 
to make every effort to overcome them. 



35 



STATEMENT OF NOVEMBER 27 

U.S. delegation press release 2820 

We have before us the annual report of the 
Director of the United Nations Relief and Works 
Agency for Palestine Refugees in the Near East. 2 
The report covers the operations of that agency 
for the period July 1, 1956, to June 30, 1957, and 
projects a budget for the agency's operations dur- 
ing the calendar year 1958. The report is a record 
of achievement by the Director and his staff dur- 
ing a period of unusual tensions and difficulties. 
It is also a record of inadequate support for 
UNRWA on the part of the international com- 
munity. As a result of this inadequate support 
the agency has regrettably already had to curtail 
its rehabilitation operations, including those pro- 
grams that serve to reduce the relief rolls by pro- 
viding refugees with the means of self-support. 
Yet, unless UNRWA is given far greater support, 
not only will these curtailed operations have to 
be abandoned but retrenchments will have to be 
made in other services that have a direct bearing 
on the refugees' immediate welfare. As the Di- 
rector so clearly has warned in his report, unless 
UNRWA has adequate funds for its work, there 
will be no other alternative than to curtail further 
the agency's basic services to the refugees with the 
result that great suffering will come to them and 
increased tension and instability will come to the 
area. 

We cannot ignore that warning; neither can 
the members of this body ignore their respon- 
sibility to face up to it. 

While the Director's annual report deals with a 
number of other issues, some of which I shall 
refer to later, the central problem is that the 
agency does not have enough money to get it 
through its next year. In a way, we thought we 
had anticipated this situation. On the recom- 
mendation of the Negotiating Committee for 
Extra-Budgetary Funds, the 11th General Assem- 
bly called for a special pledging session for 
UNRWA, which was held on October 4 during 
the early course of the General Assembly. It 
had thus been hoped that the financial problems 
facing UNRWA would be made sufficiently clear 
so that various nations would come forward and 
give their support to the agency. However, dur- 
ing that pledging session only 21 nations out of a 



' U.N. doc. A/3686. 



total of the 82 member nations made pledges 
amounting to only a little over $25.5 million. 
This contrasts with a total UNRWA budget of 
$40.7 million. It was not enough even to meet 
the relief needs of the refugees. 

Since then, some additional pledges, including . 
another by my Government, have been made. | 
Out of this total of $27 million, the United States, i . 
for its fiscal year, will be able to contribute 70 per- 
cent of the total contributions made toward the 
agency's relief and reduced rehabilitation budgets. 
This is the maximum limit that the United States 
feels it can contribute. As the United States dele- 
gate explained during the 11th General Assem- 
bly on this same problem, the very health and - 
moral fiber of the organization are not served by 
contributions from a limited number of nations. 
I think that it might be useful at this stage 
if we were briefly to consider the nature of the 
responsibility that the United Nations members 
bear toward the Palestine refugees. The primary 
responsibility for working out a solution of the 
refugee problem rests with Israel and the Arab 
states. The resolutions of the General Assembly jL 
are on the record for their guidance. They should 
always be guided by them. This responsibility is 
a continuing one that the passage of nearly 1C 
years since the problem arose does not lessen. I ^ 

Beyond its political content, the problem ha; 
humanitarian aspects which affect the world com- ^ 
munity and as such are a responsibility of aDJ^ 
member states. A number of nations have recog- , 
nized their responsibility toward the humanitar 
ian problem by helping to alleviate the plighl ! . 
of the refugees pending a political settlement 
However, as the years go by without any settle 
ment in sight, support for the refugees ha: 
dwindled to the point where it may soon be in 
sufficient to meet their needs. 

Humanitarian responsibility toward the ref 
ugees must be predicated on the assumption tha A 
all member states, and particularly those mosflfete 
directly involved, will join in doing their utmos : 
to provide for a sound future for these unfortuJ! B- . 
nate people. We shall do our part, but we canHLi 
not— and there is no reason why we should- -k, ., 
maintain the refugees indefinitely if Israel anuff,, 
the Arab states, with the necessary assistance 0<L ... 

k i 



other interested nations, do not take positive step 
to solve the problem permanently. 

The United States consistently has pointed or 



top 



36 



the need for planning against the day in 196 ^ 
Department of State Bulleti 



when UNRWA's mandate runs out. In view of 
the drastic financial situation confronting the 
agency, I suggest to the committee that it be- 
comes increasingly important to make such plans. 
In this particular connection I would like once 
again to point out that the United States is hold- 
ing available to the Director of the agency 
$300,000 for planning or carrying out plans for 
the transfer of the administration of such l-elief 
or rehabilitation functions to any of the host 
governments, as may be arranged between them 
and the Director during my Government's fiscal 
year. We earnestly hope these governments and 
the Director will keep this offer in mind. They 
will find us most sympathetic in our desire to as- 
sist them. 

In the meantime, however, my delegation is 
pleased to note that the Director has reported 
a considerable improvement in his dealings with 
the countries of the area and a fuller recognition 
of the agency's status as a public international 
organization. We would all agree, I believe, that 
our whole purpose in meeting here is to consider 
and ways of assisting the refugees, for 
™- their sake, for the sake of the countries immedi- 
ately concerned, and by reason of the obligations 
undertaken by the United Nations under the pur- 
poses of the charter. Local cooperation is, of 
course, essential if the Director is to carry out the 
responsibilities with which he is charged. It is 
heering that at least in this respect the Director's 
Durdens are eased, assisted as he has also been by 
She noteworthy contributions of the Arab states 
n money, goods, and services. 

The Director has made certain specific recom- 
nendations in his report. These include specific 
requests for approval of his proposed budgets, 
[n the event that the programs provided for in the 
Dudget are not in keeping with the wishes of the 
Assembly, he has requested that the Assembly in- 

,j H , r iicate what changes are desired and that it ap- 
>rove a budget consistent therewith. 
liri fei Because of the shortfall of pledges of funds to- 

. , n pard meeting the agency's budgets, it is obvious 



i!;;iiiiiin 
! nearly : 
lessen, 

pjiiieni ■ 

wnrliift- 

havew 

iiSIElK 
tbl M 



id ft" * 

ption 



hat this committee cannot recommend approval 
>f the agency's budgets for 1958. If pledges indi- 
ated the possibility that sufficient funds might be 
assured to enable the carrying out of the projected 
>rograms, that would be another matter. How- 
; pointed ; ver, in the absence of such support we cannot, in 
ijv in '■' 11 fairness, approve the budgets. In the present 

.,,lj BulW anuary 6, 7958 



circumstances, to do so would be both unrealistic 
and misleading. 

Having said this we must also face the Direc- 
tor's alternative request and indicate what priori- 
ties should be placed on the functions of 
UNRWA. The Director's report reveals the ex- 
tent to which services performed by the agency 
are interdependent. Those who are expert in 
such matters and have had experience with the 
administrative problems of the agency doubtlessly 
can determine services that could be reduced or 
discontinued without vitally affecting the services 
that are essential to the refugees' survival. On 
such a determination the financial experts could 
doubtlessly make a fairly accurate estimate of the 
savings that would follow. However, I seriously 
question that we here could do this. The best we 
can do, and what I believe we have to do, is to 
indicate to the Director that he is to carry on his 
services to the extent allowed by actual or antici- 
pated contributions and that he must cut back the 
agency's programs to fit the agency's income. In 
this we should give the Director guidelines to the 
extent of indicating those essential services that 
should be the last to be cut due to the importance 
they bear on the welfare of the refugees. 

As far as the Director's request for an increased 
working capital fund is concerned, I believe that 
we can all agree with the proposal that the agency 
should have at hand at all times sufficient liquid 
capital to permit it to plan its operations in as effi- 
cient and orderly a way as possible. However, in 
the absence of enough funds to enable the agency 
to continue to operate at even its present level, I 
wonder if it would be wise for us to divert atten- 
tion to the question of an increased working capi- 
tal fund. First and foremost we must provide the 
agency with the means to do its job. Once we 
have done that, we can consider the matter of a 
greater working capital fund. I believe the mem- 
bers of the committee will agree on the necessity 
of recognizing circumstances as they exist. Need- 
less to say, we deplore having to say it, but we 
would only be deluding ourselves and doing a dis- 
service to the refugees if we were to give our ap- 
proval to the recommendations made in the Direc- 
tor's report at a time the financial support to carry 
out those recommendations is not forthcoming. 

In closing these somber remarks on the situation 
confronting the agency, it might be well to remind 
ourselves again that what is important here in our 



37 



discussions is the welfare of nearly a million peo- 
ple — and the peace and security of the area of 
their present location and of their origin. "We 
shall all, ultimately, either share the consequences 
of failure or benefit according to the degree of our 
success in resolving these problems. The United 
States will certainly do its part to achieve that 
success. Israel and the Arab states — and all be- 
lievers in peace, freedom, and the dignity and 
worth of man — must do theirs ! 



STATEMENT OF DECEMBER 4 

U.S. delegation press release 2832 

The Special Political Committee now has be- 
fore it a draft resolution cosponsored by the 
Netherlands, New Zealand, the Philippines, the 
United Kingdom, and the United States, 3 relating 
to the annual report of the Director of the United 
Nations Belief and Works Agency for Palestine 
Bef ugees in the Near East. 

In fairness to this committee, to the Arab gov- 
ernments directly involved, and to the cosponsors, 
I must point out that the draft resolution now be- 
fore this committee is not, regrettably, a resolu- 
tion upon which agreement has been reached. 
Despite the most cordial discussions and efforts, 
the cosponsors have not been able to reach full 
agreement with the interested Arab governments 
on methods to secure funds above those already 
pledged and which are necessary to continue 
UNRWA's full operation. Through our pledges 
and efforts and through the proposals we have put 
forward in this resolution we are taking what we 
consider to be the most practical actions toward 
this end. We have the fullest sympathy with the 
objective desired by the interested governments, 
and in tabling this draft resolution we do not, of 
course, preclude other suggestions that may prove 
acceptable to the committee. 

Since the wording of the resolution is in many 
ways familiar to delegations who are acquainted 
with UNEWA's problems and activities, I do not 
feel that it is necessary to comment at length on it. 

The primary change between the resolution 
introduced this year and the one the General 
Assembly adopted last year 4 is the added stress 
upon efforts to obtain further contributions. 



3 U.N. doc. A/SPC/L. 21. 

* For text of resolution adopted by the 11th General 
Assemhjy, see Bulletin of Apr. 8, 1957, p. 589. 



Attention has been drawn to the serious finan- 
cial situation of the agency in numerous speeches. I 
Efforts have already been made this year to in- 
crease the level of contributions. Because further I 
funds are still needed, the resolution calls for spe- , 
cial efforts to be made by the Secretary-General. J 
and it contains a forthright appeal for more | 
contributions from governments. 

The fourth paragraph of the preamble estab- ' 
lishes the basis for these efforts. It notes witl I 
grave concern that contributions to the agency's | 
programs are not sufficient, that the financial sit- | 
uation of the agency is serious, and that cuts al- | 
ready have had to be made in the rehabilitatior I 
program. The committee should take careful note 
of these facts, because in doing so it can mosl I 
clearly comprehend the problem with which tht 
members of the United Nations, and particularlj 
Israel and the Arab states, are confronted. These ; 
facts indicate that the refugee problem is not be 
ing resolved and that, while the number o: I 
refugees is increasing, it is becoming difficult t( 
obtain enough money to take care of them. 

The specific suggestions of the cosponsors di 
rected toward overcoming the monetary asped 
of this problem are found in the fifth and sixtl 
operative paragraphs. The fifth paragraph draw; • 
to the attention of governments the agency's crit | 
ical financial situation and urges them to makt 
new contributions or to increase their contribu 
tions. The sixth operative paragraph request! i ; 
the Secretary-General, in light of the critical fi 
nancial condition of the agency, to make specia 
efforts to secure the additional financial assistance I ; 
needed, as a matter of urgent concern. 

The cosponsors believe that these two para j j 
graphs provide the most feasible means of secur , 
ing the necessary funds. They stem from thu E 
concern we share with the host governments abou : .; 
the financial problem. We are confident that thi i L 
Secretary-General will be in a position to under U 
take the task envisaged with his customary vigo: k 
and effectiveness. We urge that governments givi I 
prompt and favorable consideration to the ap L 
peal to them for new or increased financial conj. r 
tributions. 

I would like to recall, in this connection, tha 
the United States Government has already takei ;„ fi , 
an initiative in this direction by authorizing th jj r 
increased pledge which I made on November 1£ 
I hope that this will help in making a practica 

Department of Sfafe Bullet'n 



start toward making greatly increased contribu- 
tions possible. 

Most of the rest of the resolution is familiar to 
members of the committee inasmuch as it is closely 
patterned after previous decisions of the As- 
sembly. 

Paragraph five of the preamble addresses itself 
to the fact that, despite the years that have passed 
since the adoption of the 1948 resolution, repatri- 
ation or compensation of the refugees has not been 
effected and no substantial progress has been made 
on the program for the reintegration of refugees. 

I can only repeat what I said the other day in 
this regard. The primary responsibility for work- 
ng out a solution of the refugee problem rests 
with Israel and the Arab states. The resolutions 
)f the General Assembly are on the record for 
heir guidance. We hope they will heed them. 



hit l"ll; 



careful: 



j-ariichj 



iteJ. h rh e i r responsibility is a continuing one that the 



11, h m 



E them. 



of nearly 10 years since the problem arose 
loes not lessen. As members of the United Na- 
ions, Israel and the Arab states have a responsi- 
bility, along with the rest of us, to seek a settle- 
nent of such problems as this one. It is obvious 
hat, if Israel and the Arab states do not take 
ill mil s ,teps to resolve this problem, it will prove difficult 
graph din | obtain the continued financial assistance from 
isency's ti ither states necessary to assure the future welfare 
f the refugees. 

I should like next to draw your attention to the 
ixth preambular and second operative para- 
aphs. These deal with cooperation between the 
i iiakesf* tost governments and the agency. The cospon- 
rs welcome the cooperation which has been 
anifest, particularly during the past year, and 
fact that the host governments indicate they 
re desirous of continuing this commendable rela- 
onship. The second operative paragraph states 
le desire of the General Assembly that this co- 
in peration should be continued and that the agency 
ion to undi aould be extended every appropriate assistance 
i carrying out its functions. 
I have been particularly impressed with the 
teem and genuine affection which the host gov- 
sl tl|rnments have indicated toward the Director, Mr. 
iabouisse. It is a high regard and affection, I 
an assure you, which the United States is privi- 
jreadv tai iged to share. 

n'^ Mr. Chairman, I have already dealt with sev- 
\,>vtinber '■ pal of the operative paragraphs in relationship 
iii^p paragraphs in the preamble with which they 

. ( ., e guile* onuary 6, 7958 



ve:'.rj< 



to the 



necW, 



are connected. I would like to turn now to opera- 
tive paragraph one. 

Paragraph one is identical with the first para- 
graph of the resolution adopted by the General 
Assembly last year. Under it the Assembly di- 
rects the agency to pursue its programs for the 
relief and rehabilitation of the refugees. This 
is, of course, basic. It dh-ects the agency to do 
so bearing in mind the limitations imposed upon 
it by the extent of contributions for the fiscal year. 
This is a qualification we might all have wished 
would not be necessary. The cosponsors fervently 
hope that present and future contributions, with 
the fullest cooperation of all interested states and 
the energies of the Secretary-General, will in fact 
meet the indicated levels. This is one of the mam 
purposes of the resolution. 

But the General Assembly would be less than 
fair if it did not face the fact that at present there 
remains a deficit between the indicated budgets 
for relief and rehabilitation and the existing 
pledges. While one of the main objectives of the 
resolution is to prevent the contingency from 
arising, the General Assembly must be prudent 
in its approach. If the full budget levels are not 
achieved, the Director of the agency will of neces- 
sity have to operate within the limits of available 
funds. 

Operative paragraph three also appeared in 
last year's resolution. The resolution again urges 
the governments of the area, without prejudice 
to the rights of repatriation or compensation and 
in cooperation with the Director of the agency, to 
plan and carry out projects capable of supporting 
substantial numbers of refugees. The United 
States Government remains ready to give sympa- 
thetic consideration to requests for assistance 
which it may receive in connection with such 
projects. 

Operative paragraph four is also identical 
with a paragraph in last year's resolution. 

In conclusion, the draft resolution expresses its 
thanks to the Director and the staff of the agency 
for their continued faithful efforts to carry out 
its mandate and to the specialized agencies and the 
many private organizations for their valuable and 
continuing work in assisting the refugees. This 
is the very least we can do in response to faithful 
and vital services in what remains an efficient and 
too little noticed humanitarian achievement, the 
continuing care of the Arab refugees. 



39 



Mr. Chairman, I hope that this body will adopt 
this resolution with the same full degree of sup- 
port which it gave to the work of the agency and 
to the resolution on the work of the agency at the 
last General . 



STATEMENT OF DECEMBER 6 

U.S. delegation press release 2834 

I regret that it again proved desirable for the 
committee to postpone its discussions yesterday 
while further consultations were held. I believe, 
however, that the work of the committee was ex- 
pedited thereby. 

The cosponsors have circulated a revised draft 
of the resolution 5 which states even more posi- 
tively than the previous one what their intention is. 
I do not believe it is necessary to go over it. 

The revised draft does not change the volun- 
tary character of contributions to the program. 
This principle governs both paragraphs one and 
two. What we have tried to do is to bring the 
problem of raising these contributions further to 
the forefront by a reordering of the paragraphs 
and by a few alterations in the language. In con- 
sequence, a change was also made in what is now 
paragraph three. 

We hope that the committee will give the resolu- 
tion careful attention and that we can proceed 
expeditiously to the vote. 



TEXT OF RESOLUTION' 

The General Assembly, 

Recalling its resolution 194 (III) of 11 December 1948, 
302 (IV) of 8 December 1949, 393 (V) of 2 December 
1950, 513 (VI) of 26 January 1952, 614 (VII) of 6 No- 
vember 1952, 720 (VIII) of 27 November 1953, 818 (IX) of 
4 December 1954, 916 (X) of 3 December 1955, and 1018 
(XI) of 28 February 1957, 

Noting the annual report of the Director of the United 
Nations Relief and Works Agency for Palestine Refugees 
in the Near East and the report of the Advisory Com- 
mission of the Agency, 

Having reviewed the budgets for relief and rehabilita- 
tion prepared by the Director of the Agency, and having 



5 U.N. doc. A/SPC/L. 21/Rev. 1. 

• U.N. doc. A/SPC/22, adopted by the Special Political 
Committee on Dec. 6 by a vote of 49 to with 21 
abstentions and in plenary session on Dec. 12 by a vote 
of 52-0-19. 



40 



ASele 



noted the comment of the Advisory Commission to the i u. J ( 
effect that they are minimal, 

Noting with grave concern that contributions to the W l 
budgets are not yet sufficient, that the financial situation 
of the Agency is serious, and that cuts already have had 
to be made in the rehabilitation programme, 

Noting that repatriation or compensation of the refu- 
gees, as provided for in paragraph 11 of resolution 194 
(III), has not been effected, that no substantial progress 
has been made in the programme endorsed in paragraph 
2 of the resolution 513 (VI) for the reintegration of 
refugees and that, therefore, the situation of the refugees 
continues to be a matter of serious concern, 

Noting that the host Governments have expressed the fuffd 
wish that the Agency continue to carry out its mandate 
in their respective countries or territories and have ex- 
pressed their wish to co-operate fully with the Agency 
and to extend to it every appropriate assistance in car- r 
rying out its functions, in accordance with the provisions 
of Articles 104 and 105 of the Charter of the United ; 
Nations, the terms of the Convention on the Privileges 
and Immunities of the United Nations, the contents of I & f 
paragraph 17 of resolution 302 (IV) and the terms ol 
the agreements with the host Governments, 

1. Draws the attention of the Governments to the criti- 
cal financial position of the United Nations Relief and I i M : 
Works Agency for Palestine Refugees in the Near East ■ ET.li' 
and urges them to consider to what extent they can 
contribute or increase their contributions in order that 'Secretari 
the Agency may carry out its budgeted relief and reha- -i 
bilitation programmes and that cuts in services may be | » ' ( . 
avoided ; 

2. Requests the Secretary-General, in view of the criti- 
cal financial position of the Agency, to make, as a matter 
of urgent concern, special efforts to secure the additional ! 
financial assistance needed to meet the Agency's budgets 
and to provide adequate working capital ; 

3. Directs the Agency to pursue its programme for the < 
relief and rehabilitation of refugees, bearing in mind the ! 
response to paragraphs 1 and 2 above ; 

4. Requests the host Governments to co-operate fully 
with the Agency and with its personnel and to extend 
to the Agency every appropriate assistance in carrying 
out its functions ; 

5. Requests the Governments of the area, without preju- 
dice to paragraph 11 of General Assembly resolution 194 ' 
(III) of 11 December 1948, in co-operation with thei 
Director of the Agency, to plan and carry out projects lL v „ 
capable of supporting substantial numbers of refugees ; i .;-. 

6. Requests the Agency to continue its consultations.il:-: 
with the United Nations Conciliation Commission for I™' 
Palestine in the best interests of their respective tasks, r 
with particular reference to paragraph 11 of resolution J: 
194 (III) ; 

7. Expresses its thanks to the Director and the staff oil 

the Agency for their continued faithful efforts to carry -p.. 
out its mandate, and to the specialized agencies and the. 
many private organizations for their valuable and con- ■ ^ ..,_'" 



tor,. 



tinuing work in assisting the refugees ; and 



Requests the Director of the Agency to continue tc ^ 



submit the reports referred to in paragraph 12 of General 
Assembly resolution 1018 (XI) of 28 February 1957. 



Department of State Bulleti: ^ 



V 



hi:. 



iflr. Coughran Named U.S. Executive 
director of International Bank 

The White House announced on December 13 
jhe recess appointment by the President of Tom 
[J. Coughran as U.S. Executive Director of the 
International Bank for Reconstruction and De- 
jelopment for a term of 2 years, vice Andrew N. 
)verby, resigned. 



Current U. N. Documents: 



conomic and Social Council 

conomic Commission for Latin America. Summary of 
the Pulp and Paper Situation in Argentina : Develop- 
ment Possibilities and Economic Aspects. E/CN.12/- 
485, FAO/STAP No. 711, August 30, 1957. 28 pp. 
mimeo. 

jchnical Assistance Committee. Expanded Programme 
of Technical Assistance. Budget Estimates for the 
Secretariat of the Technical Assistance Board for the 
Tear 1058. Report of the Technical Assistance Board. 
E/TAC/68, October 31, 1957. 35 pp. 



..pfliel'- 



Selected Bibliography 



GO World Population Census Programme. Sampling 
Methods and Population Censuses. ST/STAT/P/L. 
14/Rev.l, November 8, 1957. 112 pp. mimeo. 



TREATY INFORMATION 



Current Actions 



in OB! I 
iftootm I 



MULTILATERAL 



without pK I 

' ;' ities and Rights of States 

ra l J nvention on duties and rights of states in the event of 
civil strife. Signed at Habana February 20, 1928. En- 
ured into force May 21, 1929. 46 Stat. 2749. 
Ratification deposited: Argentina, October 24, 1957. 
tocol to the convention on duties and rights of states 
l the event of civil strife, signed at Habana February 
-« g0, 1928 (46 Stat. 2749). Opened for signature at the 
an American Union May 1, 195' 
D j the staf ' 

i«i>H 

.(tries'^ 



,rf«W 



,. a« : 



:.-• 



Printed materials may be secured in the United States 
m the International Documents Service, Columbia 
iversity Press, 2960 Broadway, New York 27, N. Y. 
ler materials (mimeographed or processed documents) 
Y be consulted at certain designated libraries in the 
, ; ; of Os#ted States. 



Not in force for the United States. 



0$iuary 6, 1958 



Rati fieri t ion* deposited: Argentina, October 24, 1957; 

Cuba, December 9, 1957. 
Entered into force: December 9, 1957. 



BILATERAL 

Ecuador 

Agreement providing for certain customs courtesies and 
free entry privileges for consular officers and adminis- 
trative personnel on a reciprocal basis. Effected by 
exchange of notes at Quito October 22 and November 6 
and 11, 1957. Entered into force November 11, 1957. 

Japan 

Agreement clarifying the meaning of the agreement of 
January 7, 1955, relating to transfer of military equip- 
ment and materials to Japan (TIAS 3161). Effected 
by exchange of notes at Tokyo November 25, 1957. En- 
tered into force November 25, 1957. 

Philippines 

Agreement concerning claims arising in connection with 
SEATO maneuvers and training exercises conducted in 
the Philippines during November and December 1957. 
Effected by exchange of aide memoire dated at Manila 
November 1, 1957. Entered into force November 1, 1957. 



DEPARTMENT AND FOREIGN SERVICE 



Recess Appointments 

The President on December 13 appointed Karl L. 
Rankin to be Ambassador to Yugoslavia, vice James W. 
Riddleberger. (For biographic details, see press release 
667 dated December 16.) 




Recent Releases 

For sale by the Superintendent of Documents, U.S. Gov- 
ernment Printing Office, Washington 25, D.C. Address 
requests direct to the Superintendent of Documents, ex- 
cept in the case of free publications, which may be 
obtained from the Department of State. 

Aerial Mapping, Cooperative Photographing and Map- 
ping Project. TIAS 3915. 5 pp. 5<*. 

Agreement between the United States of America and 
Venezuela. Exchange of notes — Signed at Caracas Au- 
gust 23 and September 24, 1957. Entered into force Sep- 
tember 24, 1957. 



Double Taxation, Taxes on Income. 

lOtf. 



TIAS 3916. 7 pp. 
Convention between the United States of America and 



Canada, modifying and supplementing convention of 

March 4, 1942, as modified and supplemented. Signed at 

Ottawa August 8, 1956. Entered into force September 26, 

1957. 

Extension of Assignment of Adviser to the Minister of 

Foreign Affairs of Panama. TIAS 3917. 3 pp. 5<f. 

Agreement between the United States of America and 
Panama, extending agreement of July 7, 1942, as ex- 
tended. Exchange of notes — Sigued at Washington July 
25 and October 2, 1957. Entered into force October 2, 
1957 ; operative retroactively July 7, 1957. 

Surplus Agricultural Commodities. TIAS 3918. 3 pp. 
5*. 

Agreement between the United States of America and 
Colombia, amending section II, paragraph 1, of memo- 
randum of understanding accompanying agreement of 
April 16, 1957. Exchange of notes — Dated at Bogota 
September 6 and 30, 1957. Entered into force September 
30, 1957. 

United States Educational Foundation in Pakistan. TIAS 
3919. 3 pp. 5tf 

Agreement between the United States of America and 
Pakistan, modifying agreement of September 23, 1950. 
Exchange of notes — Dated at Karachi September 16 and 
October 5, 1957. Entered into force October 5, 1957. 

Surplus Agricultural Commodities. TIAS 3921. 4 pp. 
5*. 

Agreement between the United States of America and 



Ecuador, amending agreement of February 15, 1957. Ex- 
change of notes — Signed at Washington September 9 and 
10, 1957. Entered into force September 10, 1957. 



Check List of Department of State 
Press Releases: December 16-22 

Releases may be obtained from the News Divi- 
sion, Department of State, Washington 25, D. C. 
Subject 

Recess appointment of Rankin (bio- 
graphic details). 

President of Burma in U.S. on pri- 
vate medical visit. 

Delegation to inaugural ceremonies 
of President of Honduras. 

Dulles: "Our Cause Will Prevail." 

Ambassadorial nominations : Hart, 
Jones, Mallory, Sparks (biographic 
details). 

Cancellation of passports. 

Award of Legion of Merit to Prince 
Wan. 

Air agreement talks with France. 



•Not printed. 

fHeld for a later issue of the Bulletin. 



No. 
*667 


Date 
12/16 


*668 


12/16 


*669 


12/17 


670 
*671 


12/17 
12/18 


672 
*673 


12/18 
12/19 


t674 


12/20 



I-*--': 



42 



Department of Sfofe Bo/.' H 



anuary 6, 1958 

\merican Principles. Our Cause Will Prevail 

(Dulles) 

American Republics. United States Balance of 
Payments With Latin America During the First 

Half of 1957 (Lederer, Culbertson) 

Uomic Energy. President Replies to Indian Ap- 
peal on Disarmament (Eisenhower, Nehru) . . 
;,'. ^hina, Communist. U.S. To Cancel Passports of 
Americans Who Visited Communist China . . 
imunism. Our Cause Will Prevail (Dulles) . 
prus. The Cyprus Question (Lodge) .... 

•epartment and Foreign Service. Recess Appoint- 
ments (Rankin) 

•isarmament. President Replies to Indian Appeal 
on Disarmament (Eisenhower, Nehru) . . . . 

Iconomic Affairs 

[r. Coughran Named U.S. Executive Director of 

International Bank 

nited States Balance of Payments With Latin 
America During the First Half of 1957 (Lederer, 
Culbertson) 

forld Bank To Lend $4.2 Million to Pakistan Cor- 
poration 

gypt. Clearance of Suez Canal (Wadsworth) . 

ungary 

evelopments in Hungary Brought to Attention of 

United Nations (Lodge) 

.N. Agrees To Take No Decision on Hungarian 
Credentials (Wadsworth) 

idia. President Replies to Indian Appeal on Dis- 
armament (Eisenhower, Nehru) 

iternational Organizations and Conferences 

alendar of International Conferences and 

Meetings 

'r. Coughran Named U.S. Executive Director of 

International Bank 

eeting of Heads of Government of NATO Coun- 
tries (Eisenhower, Dulles, texts of declaration 
and communique) 

iddle East. Question of Financing Aid to Pales- 
tine Refugees (Washington, text of resolution) . 



Index Vol. XXXVIII, No. 967 

North Atlantic Treaty Organization. Meeting of 
19 Heads of Government of NATO Countries (Eisen- 
hower, Dulles, texts of declaration and com- 
munique) 3 

23 Pakistan. World Bank To Lend $4.2 Million to 

Pakistan Corporation 28 

17 Presidential Documents 

Meeting of Heads of Government of NATO Coun- 
22 tries 3 

President Replies to Indian Appeal on Disarma- 
!9 ment 17 

31 Publications. Recent Releases 41 

Refugees. Question of Financing Aid to Palestine 

41 Refugees (Washington, text of resolution) . . 34 

Treaty Information. Current Actions .... 41 
U.S.S.R. Meeting of Heads of Government of 
NATO Countries (Eisenhower, Dulles, texts of 

declaration and communique) 3 

41 

United Nations 

Clearance of Suez Canal (Wadsworth) .... 32 

22 Current U.N. Documents 41 

The Cyprus Question (Lodge) 31 

2g Developments in Hungary Brought to Attention of 

United Nations (Lodge) 33 

32 Four Major Accomplishments of 12th General As- 

sembly (Lodge) 31 

Question of Financing Aid to Palestine Refugees 

33 (Washington, text of resolution) 34 

U.N. Agrees To Take No Decision on Hungarian 

g 2 Credentials (Wadsworth) 32 

Yugoslavia. Rankin appointed as Ambassador . 41 

Name Index 

Coughran, Tom B 41 

Culbertson, Nancy F 23 

Dulles, Secretary 8, 19 

Eisenhower, President 3, 15, 17 

41 Lederer, Walther 23 

Lodge, Henry Cabot 31, 33 

Nehru, Jawaharlal 18 

Rankin, Karl L 41 

Wadsworth, James J 32 

34 Washington, Genoa S 34 




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Together We Are Strong 



With all of our natural wealth and our high degree of skill, the 
United States must look outside its own frontiers for many of its 
most essential needs. And, in order to sustain the high productivity 
of our ever-expanding economy, we must sell a portion of the goods 
we produce to people of other nations. 

Our friends in the free world are even more dependent on trade. 
Many of them must import a large part of their essential needs. 
And they must export in order to earn the foreign currency to pay 
for their imports. 

This inescapable fact of the mutual need of the nations of the 
free world for one another is one of the most important considera- 
tions underlying U.S. foreign policy. 

How would you be affected if the United States stopped trading 
with other nations? The effects of imports and exports on food sup- 
plies, on manufactured products, on jobs, on the American economy, 
and on free-world security are outlined in the 1958 edition of To- 
gether We Are Strong, a 37-page illustrated pampldet. 

Copies of the pamphlet may be purchased from the Superintend- 
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THE DEPARTMENT OF STATE 




IAL 

LY RECORD 

EO STATES 
KIN POLICY 



Vol. XXXVIII, No. 968 January 13 , 1958 

THE NATO CONFERENCE AT PARIS • Report by President 

Eisenhower and Secretary Dulles 47 

THE STRATEGY OF VICTORY • Address by Secretary 

Dull *° 53 

ECONOMIC DEVELOPMENT OF UNDERDEVELOPED 

COUNTRIES • Statements by Representative Walter H.Judd 
and Text of U.N. Resolution 57 

PROBLEMS OF EUROPEAN MIGRATION • Article by 

George L. Warren ». 



For index see inside back 



r 




»ton Public Library 
intcndent of Documents 

JAN 2 4 1958 



Vol. XXXVIII, No. 968 • Publication 6583 
January 13, 1958 



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Washington 26, D.O. 

Price: 

52 Issues, domestic $7.50, foreign $10.25 

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The printing of this publication has been 
approved by the Director of the Bureau of 
the Budget (January 19, 1955). 
Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Depaetment 
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appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the 
Department of State and the Foreign 
Service. The BULLETIN includes 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 
officers of the Department, as well as 
special articles on various phases of 
international affairs and the func- 
tions of the Department. Informa- 
tion is included concerning treaties 
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which the United States is or may 
become a party and treaties of gen- 
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Publications of the Department, 
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The NATO Conference at Paris 



Report by President Eisenhower and Secretary Dulles '■ 



The President: Good evening, nay friends. 

For the fifth time within the past 5 years, the 
Secretary of State and I have, together, returned 
to Washington after international conferences on 
foreign soil. This time we have just come from 
the Paris meeting with Heads of Government of 
the 14 other NATO nations. 2 

In addition to the scheduled NATO meetings 
last week, I had individual conferences with most 
of the Heads of Government. In these more was 
involved than mere expression of mutual good 
will. In each, the purpose was to discuss frankly 
our viewpoints about problems of common in- 
terest, to remove obstacles to mutual under- 
standing. 

In the debates of the full conference there were 
thoroughly discussed specific problems of every 
conceivable nature so as to eliminate deficiencies 
in our collective arrangements. 

It was an inspiring experience to watch in these 
meetings common policies take shape affecting the 
great questions of peace, security, and unity. 
Planning for carrying into effect these policies 

Pras likewise necessary. In this work all of us 
ound a special advantage which came out of 
jthe bringing together of Heads of Government. 
Jin this way there was placed behind NATO's 
future programs the authority and influence 
(Which these leaders hold. 

There was one basic purpose implicit in every 
iiscussion and debate of the conference. That 



Made to the Nation over radio and television from 
he White House on Dec. 23. 

2 For statements made by President Eisenhower and 
Secretary Dulles at the Paris meeting, together with 
:exts of the declaration and final communique, see Bul- 
n of Jan. 6, 1958, p. 3. 

January 73, 1958 



was the pursuit of a just peace. Not once dur- 
ing the week did I hear any slightest hint of 
saber-rattling or of aggressive intent. 

Of course, all of us were concerned with de- 
veloping the necessary spiritual, economic, and 
military strength of our defensive alliance. We 
are determined that there must be no war. But 
we never lost sight of our hope that the men in 
the Kremlin would themselves come to under- 
stand their own need for peace as well as our 
sincerity in desiring a just composition of differ- 
ences between West and East. 

At the end, the conference unanimously adopted 
a declaration of principles 3 to guide future 
NATO efforts and plans. Measures were adopted 
for effective scientific and economic cooperation 
and coordination. 

We arranged for procedures to insure timely 
and close political consultations among ourselves 
with respect to any problem that might arise. A 
large list of other matters engaged our attention. 

To discuss a few of these in some detail, I have 
asked the Secretary of State to make a brief re- 
port, as well as to give now some of his reactions 
and impressions of the conference. 

Secretary Dulles: As you say, Mr. President, 
every thought, every action taken at that NATO 
Council meeting was in terms of peace. How 
would it be possible to achieve a just and a dura- 
ble peace ? 

We did not think that such a peace could be 
achieved through weakness. Time after time des- 
pots have struck when they thought they had a 
clear military advantage. 

We did not think that such a peace could be 



Ibid., p. 12. 



47 



achieved in disunity. Time after time, peaceful 
nations have succumbed because they stood alone. 

We did accept the view that peace requires an 
accommodation of viewpoints, and that no nation 
or group of nations, however right they may feel 
they are, can expect to have their way one hundred 
percent. 

These three themes, unity, strength, and flexibil- 
ity, were the background for the decisions of this 
NATO Council meeting of last week. 

The North Atlantic Council has always had a 
December meeting at which it took major deci- 
sions for the coming year or years, and this year 
the matters up for decision were of unusually 
great importance. And by that I do not mean to 
suggest that we had in mind anything that was 
surprising or spectacular. Indeed, we delib- 
erately avoided the spectacular. 

All of the decisions were what you might call 
commonsense decisions, but common sense, unfor- 
tunately, is not always common. And it is a trib- 
ute to NATO that it has demonstrated a capacity 
to act in accordance with what is logical and 
sensible. 

Decisions on Nuclear Weapons and Missiles 

Now the decisions that attracted the most atten- 
tion were, of course, those that dealt with nuclear 
weapons and missiles. 

The NATO countries, including the United 
States, have long and earnestly studied the need 
of making these weapons available on the conti- 
nent of Europe. Our purpose has been to be 
strong but not to be provocative, and we all had 
been hopeful that the Soviet Union would agree 
to the Western proposals for a worldwide ending 
of the production of nuclear weapons and the 
gradual absorption of existing nuclear material 
into peaceful-purpose stocks. 

That Western proposal, which could be re- 
capitulated, perhaps, in terms of the slogan "Stop 
Making Bombs," has been overwhelmingly en- 
dorsed by the United Nations, and the only votes 
in opposition to that "Stop Making Bombs" pro- 
posal were the Soviet bloc. 

But that opposition was violent. The Soviet 
rulers seemed stubbornly determined to go on 
building up nuclear weapons and missiles, appar- 
ently clinging to the hope that they may yet, 
through power, dominate the world. And in the 



face of that stubborn persistence it would be folly, 
as the NATO Council said, to accept the Soviet 
view that the Soviet Union should have nuclear 
weapons and missiles with which to threaten 
Western Europe while Western Europe itself 
should have for its defense only weapons of the 
preatomic age. 

So the Council decided to establish stocks of nu- 
clear warheads to be readily available in case of 1 
need. The NATO Council also decided that in- 
termediate-range ballistic missiles should be put 
at the disposal of the Supreme Allied Commander 
for Europe. 

And these decisions, of course, Mr. President, 
were unanimous decisions, because the Council 
only acts through unanimity. 

It will be some little time before the intermediate 
missiles can actually be put in place on the conti- 
nent of Europe. And if in the meantime there 
should be a disarmament agreement, obviously 
that disarmament agreement would take priority. 



Efforts To Break Deadlock on Disarmament 

We all hope that there will be such an agree- . 
ment, and we shall try in all realistic ways tc 
bring it about. The Council certainly made that , 
clear. 

Now, the difficulties in the way have, unhappily. ,, 
been compounded by the Soviets. For now they f, 
don't merely reject the substance of our proposals : 
the Western proposals to stop making bombs, tc . . 
stop testing bombs, and to have inspection as j 
against surprise attack. They not only reject the 
substance of these matters, but now they also reject , s , 
any procedure even for discussing them. 

For several years now they have been negoti- 
ating through the procedure established througr 
the United Nations. The Soviet Union says it n( 
longer will take part in any discussions of the 
United Nations Disarmament Commission. Jusi 
a few days ago the United Nations, in an effort 
to meet the Soviet viewpoint, reconstituted thii 
Disarmament Commission, in accordance witl 
the proposal that was made by India, Sweden, anc 
Japan, among others. 4 That was thought to be i 
conciliatory gesture toward the Soviet Union, bu 
that gesture also has now been rebuffed. 

Today the Soviets talk vaguely about turning 



Ibid., Dee. lt>, l'J.77. p. !i(',l. 



Department of State Bulleti. %» 



Hreai 
loir, 

• 

pi 

■ ... 



I,,:, I the whole matter over to the United Nations. 
jJI But, of course, 82 nations obviously can't be a ne- 
Mgotiating body. What they can do is to pro- 
fjjnounce on general principles. But that the 
.,. i :United Nations has already done. It has endorsed 
,,j. \ (the Western proposals by an overwhelming vote 
with the Soviet bloc being absolutely alone in 
5j ^opposition. 

Another thing that 82 nations can do is to set 
, (up a committee or a subcommittee to negotiate. 
That also the General Assembly has done. But 
,„':,|Mie Soviets refuse to negotiate in that way. 
1 Well, at NATO, in order to break the impasse, 
..{to see if we could find some way to proceed, we 
|?xpressed there the willingness to accept any pro- 
cedures that would promote the implementation 
, pf the disarmament proposals that the United 
i Nations had approved or to examine any other 
j proposals that might lead to a controlled reduction 
. m >f armaments. 
J And also, as a matter of procedure, the Council 
suggested a meeting with the Soviets at the 
foreign-minister level in order to try to break 
he procedural deadlock. We suggested a meeting 
:ur Kt the foreign-minister level because earlier this 
^ rear the Soviet Union had indicated that they 
a* I- 1 night be interested in that way of procedure. 

The NATO Council and all of its members are 

n deadly earnest about this matter. As weapons 

''- 'eeome more powerful, more destructive, it be- 

[*-<omes more urgent to find reliable ways to curb 

liat destructive power. 

The NATO Council made clear its determina- 

ion to continue probing to find some evidence that 

"'■': here is within the Soviet Union the good will to 

Bsume serious efforts to achieve nuclear peace and 

'-■'■ 5 put behind us the horrible prospect of nuclear 

r ar. 

; ; 1J And, Mr. President, I can and I do pledge that 

>H5 of very resource of the Department of State and 

>-:.. '« the Foreign Service of the United States is 

'"■ ping to be dedicated to that great endeavor under 

bJI ; Dur high direction. 

■creasing Weapons Production in Western Europe 

f' : "-'JjNow, of course, we are trying thus to get a 

! f|sarmament agreement. But until there is a dis- 

irmament agreement, and while the Soviets go 

-•IJi piling up their armaments, our own arma- 

jent must proceed. 



And if we are going to have armament, we 
surely ought to have it in the most efficient way 
that is practical. And so another decision taken 
by the NATO Council was to seek to use to a 
greater degree the capacity of our European 
allies to produce modern weapons delivery sys- 
tems. The nuclear part of the warhead will, as 
a matter of simple efficiency and economy, con- 
tinue, I suppose, for a considerable time to be 
made primarily by the United States. But the 
weapons themselves, including the intermediate- 
range ballistic missiles, can usefully come to be 
manufactured in Western Europe. And thus the 
very great scientific, technological, and industrial 
capabilities of our European allies can be co- 
ordinated with our own to serve more effectively 
the defensive arsenals of the free world. 

This is going to require us to supply some 
nuclear data which, so far, we have kept closely 
restricted. That secretive policy of ours goes 
back to the days when we had a monopoly of 
atomic weapons and we hoped to dedicate that 
monopoly to the service of all humanity, the 
peaceful service of all humanity. 

The Soviets, as everyone will recall, rejected 
that gesture, which was unique, I suppose, in 
the annals of all history. 

Under the circumstances, it certaiidy is futile 
to deny to our allies information which they 
could use for our common good and information 
which the Soviets already 



Pooling Scientific Facilities 

Now, another matter which we took up in 
Paris was the making of a greater effort to in- 
crease the number of people trained in science 
and technology, and also we agreed to an in- 
creased pooling of scientific facilities and in- 
formation and the sharing of tasks. Most of the 
great technological developments of modern 
times, both military and nonmilitary, derive 
from a scientific genius which is not the monop- 
oly of any one nationality. We all recall, I sup- 
pose, that we drew very heavily upon the talent 
of our European friends when it came to pro- 
ducing the first atomic weapon. 

There is obvious need today to combine our 
talents so as to achieve and maintain the leader- 
ship in the new fields of limitless possibilities 
which open up before us. 



inuary 13, 1958 



49 



6,108 Scientists Exchanged 
in 5- Year Period 

According to the International Educational Ex- 
change Service of the Department of State, 6,108 
scientists took part in the Department's interna- 
tional educational exchange program during the 
5-year period from July 1, 1951, to June 30, 1956. 
They constitute approximately one-fifth, or 21 per- 
cent, of the total number of persons exchanged 
during that period. More than half of these ex- 
changes were between the United States and other 
NATO countries. 

About 60 percent of the scientists came from 
other countries to the United States, primarily for 
advanced study or research. Medical scientists ac- 
count for the largest number, with engineering, 
chemistry, physics, mathematics, and biochemistry 
ranking next. 

More than 1,200 American scientists went abroad 
to lecture, study, or conduct advanced research. 
While there is less concentration among their fields 
of specialization as compared to foreign partici- 
pants, it is noteworthy that the largest groups of 
American scientists included physicists, chemists, 
engineers, and mathematicians. 

The range of scientific pursuits which relate to 
peaceful uses of atomic energy has grown tre- 
mendously in the last few years. During 1956, 1S3 
exchanges under the Department's program were 
related to such endeavors. 



Problems of Economic Development 

The Council gave much attention to economic 
matters. We all felt that there was a great danger 
lest we overconcentrate on military matters and 
ignore the economic warf are — and the word "war- 
fare" is the very word used by Khrushchev — 
economic warfare that the Soviets have declared 
on us. The Soviet-Chinese Communist bloc ex- 
ploits their vast population to develop) an expand- 
ing industrial base which not only supports a 
great military machine but also supplies the rulers 
with the possibility of making attractive-sounding 
economic offers to non-Communist countries. By 
these means they try to create a dependence upon 
the Communist world and to penetrate into, and 
finally to take over, the political and economic 
system of the now free nations. 

That is particularly the case with the less de- 
veloped countries of Asia and Africa, which, 
having newly gained political independence, seek 
urgently to find ways to lift their people out of 
that state of stagnant poverty which freedom can- 

50 



not tolerate. It is essential that the free-world 
nations which have amassed capital shovdd in- ! 
creasingly put this to work in the capital-hungry 
free-world nations. Otherwise they may feel 
forced to turn to the Communist bloc for aid at a 
price which may be their freedom. 

At the Paris meeting we decided that the NATO 1 
nations should seek more efficient means to advance 
the less developed areas of the free world. And I 
I recall, Mr. President, that you told the. NATO I I 
meeting of your proposals to ask the Congress for ij 
additional resources for this purpose. This is as I 
necessary as the provision of additional funds for J 
military purposes. I think, Mr. President, that 
you would gladly confirm that that is your cleai j 
opinion. 

The President: With that I emphatically I 
agree. I have said so. 

Secretary Dulles : Well, we should, as you dc i 
and I do, take seriously this political-economic 
warfare that is being waged by the Soviet Union 
Unless we do take it seriously, we can lose thi 1 1 
struggle without ever a shot being fired. Tin t 
Soviets by their economic offensive could taki 
over the underdeveloped countries one by one 
They would thereby increase their own resource ~ 
in terms of manpower and natural resources an< 
strategic locations, and by the same token th 
United States and its remaining friends woulc 
become ever more closely encircled, until final! 
we face strangulation. 

Political Consultations 

Now, my time on this report is running out, Mi 
President, so I shall further mention only th 
matter of developing the habit of NATO politica 
consultations. 

This is needed to preserve the spirit of unity. 

Now, last week's meeting was, as you pointe 
out, particularly significant because it gave th 
Heads of Government, as well as the Foreign :;i 
Ministers, opportunity to talk together, 
merely around a big conference table but in i 
formal conversations. In that way it was possihH i; 
to clear up a lot of misunderstandings and to d ■ 
away with suspicions that in some way we wei i fl 
trying to work against each other in differer 
parts of the world. And at the Council meetin fi 
we decided to put forth in the future every 
fort to carry forward that type of consultatio: 

Department of State Bullet< 






through the regular contacts in Paris of our Per- 
il . manent Representatives. 

iimjjj These representatives meet in Paris on prac- 
tically a day-to-day basis, and each of our nations 
;::.-! has promised to keep its representative fully in- 
formed as to national policies which might have 
■ \\\ in impact, of an important nature upon any other 
irj-j of the allies so that we can keep each other in- 
,[ \- formed and achieve a greater cooperation, not 
\\]i i merely in the interests of the Atlantic Com- 
nunity but in the interests of all the free world. 
;; ; Now I think it is probably important to note 
. he fact that of course NATO doesn't try to run 
he world, or even all the free world, or to rule 
0Drc yj>ver the destinies of other countries who are not 
represented in NATO. 
I might recall, for the benefit of any who have 
■■iny fears on this score, that, when the United 
■States Senate ratified the North Atlantic Treaty, 
[W t did so in reliance of a unanimous report of the 
- "oreign Relations Committee which said, and I 
a Cnii juote, 

It would be particularly unfortunate if our Govern- 

■M- 4(3ent took part in "exclusive" consultations with At- 

untic Pact members over situations of deep concern to 

. i v J riendly states in Asia, Africa, Latin America, or the 

; : Middle East. 

)ms That principle is as sound today as it ever was. 

. . . t would be disruptive of the unity which is es- 

lential within the free world if free-world 

, Countries who are not members of NATO felt 

hat their fate was being determined by members 

:>f the NATO Council in their absence. 

That, it can be said with absolute confidence, is 
:ot going to happen. There was no evidence of 
esire on the part of the NATO Council or any 
f the members to attempt to set itself up as 
upreme over other free- world countries or other 
■ree- world organizations. 
. One evidence of that fact — concrete evidence — is 
hat NATO now has the desire to explore on a 
'„ . lasis of mutuality a possibility of liaison with 
' ther collective-defense organizations of a re- 
' Jional character, such as the Organization of 
onerican States, the Southeast Asia Treaty Or- 
anization, and the Baghdad Pact. 
. The fact is that the peace of any part of the 
'orld can be put in jeopardy by what goes on in 
no ther part of the world. So it is in the com- 
mon interest that there should be efforts to create 
rl 1 sense of cohesion and of confident interde- 
endence as between the free- world nations every - 



Jornuary 13, 1958 

ale !«'"■ 



where. The final declaration to which you al- 
luded, Mr. President, is categoric in this respect. 
It says, and again I quote, 

... to all other peoples who, like ourselves, are 
dedicated to freedom in peace, we offer our cooperation 
on a basis of complete equality and in a spirit of 
fraternity. 

Well, Mr. President, these decisions I have 
referred to are, I think you would agree, the 
most important of the decisions in which we par- 
ticipated. And indeed those decisions add up to 
quite a lot, assuming, of course, that they are 
carried out with vigor. That is going to require 
sustained effort and sacrifice, perhaps a good 
deal of sacrifice, on the part of all of us. But the 
fact that the decisions were taken under these 
solemn circumstances by the Heads of Govern- 
ment goes far to assure that these decisions will 
in fact be carried out. 

And if they are carried out, it is going to give 
NATO a growing capacity to defend and to 
nurture the rich heritage of the Atlantic 
Community. 

The President: Now, on his way back from 
Paris, Secretary Dulles briefly visited in Spain. 
He conferred with General Franco and others in 
the Spanish Government. I know you would like 
him to take a minute to give you a brief sum- 
mary of that visit. 

Secretary Dulles: Well, Mr. President, I was 
just saying that there are many strands in the 
fabric of the free world. NATO doesn't repre- 
sent them all, and they all have to be carefully 
nurtured because, combined, they make the 
strength which is going to make the free world 
safe. My stopover at Madrid illustrates, I think, 
that point, because Spain is not itself a member 
of NATO. 

On the other hand, we do have with Spain im- 
portant arrangements which contribute very 
greatly to the strength and defense of the free 
world and of the NATO area. 

We have, as a result of agreements which we 
made about 4 years ago, arrangements for build- 
ing there a series of airbases, and also a naval 
base, for the joint use of Spain and the United 
States. The Spanish authorities, when they heard 
I had accepted their invitation, were gracious 
enough to suggest that my plane should come 
down at one of these new bases that we had jointly 



51 



built, so that I could be welcomed ou this new 
base by the Spanish Foreign Minister and other 
Spanish officials. Indeed it is really a wonderful 
airbase, perhaps the finest I have ever been on. 
The runway, I understand, is one of the longest 
in the whole world. 

From that airfield I went on to the Pardo 
Palace, where I had a really good talk with 
General Franco, the Chief of State. We were 
together for about 3 hours. 

I told him about what had been happening at 
the NATO Council meeting and of the basic poli- 
cies and the strategies that were being followed. 

I felt that General Franco, by the contribution 
that his Government was making to the defense 
of Europe, had clearly entitled himself to that 
kind of information. In turn, the Spanish Chief 
of State gave me his estimate of the Soviet threat, 
and, incidentally, his estimate and that of the 
NATO Council were in very close agreement. 

Then General Franco and I discussed other 
problems that were more especially of Spanish 
and United States concern. 

I felt there a very genuine spirit of friendship 
and cordiality, as indeed had been the case when 
I was in Spain the previous time, in November 
1955. 

It is ties like this that hold the free world to- 
gether, and they provide a striking contrast to 
the military coercion which alone holds together 
the countries of the Soviet bloc. 

Now, of course, as between free nations there 
are from time to time differences and dissatisfac- 
tions. That is inevitable, however hard or skill- 
fully we strive. But surmounting all is the sense 
of fellowship which unites those who are dedicated 
to a common cause and who sacrifice and risk that 
that cause may prevail. 

And I should like, Mr. President, to express 
also our satisfaction that there is unity at home 
on the essentials. For example, the ideas which 
we took with us to Paris derived from a broad, 
nonpartisan base, and we are appreciative of such 
cooperation, as I am sure is the whole Nation. 

Oftentimes, the dominant mood seems to be one 
of dissension and perplexity and discouragement. 
But that impression may well be superficial. Be- 
neath the ruffled surface there can be a great body 
of good will, confidence, and resolution. It is 
particularly appropriate that at this time of the 
year we should recognize and pay tribute to those 



52 



sentiments, for they are the stuff out of which s 
better future can be built. 

The President: To summarize: The Heads o: 
the NATO Governments and their associates la 
bored earnestly during the week to continue tht 
strengthening of our common security. We al 
realize that adequate free-world strength, moral 
economic, and military, is, under present circum 
stances, our most effective deterrent to war. 

Moreover, it provides the basis for our best hopi 
for progressive disarmament and improved under 
standing between East and West. Every Ameri 
can shares this hope with our NATO partners. 

Beyond any doubt, we all are prepared to mak 
any necessary sacrifice to sustain and advance tha 
hope. 

At the end of the conference, I expressed one 
more, as I have so often before, a constant readi 
ness on the part of Secretary Dulles and mysel 
personally to make any conceivable effort tha 
might realistically help to reduce world tensions 

Unfortunately, the attitude of the Soviets tc 
ward the free world has, for years, alternate' 
between threat and blandishment. Their word; 
their pretentions, their actions have all faile> 
to inspire confidence in free men. 

To bring about such an easing of tension, w 
believe that clear evidence of Communist integrit 
and sincerity in negotiation and in action is al' 
that is required. Only with such evidence o 
integrity and sincerity and witli the spirit of cor 
ciliation on both sides can there be achieved 
definite beginning of progress toward universe 
security and peace, which the world so earnestl i 
seeks. 

For no nation, for no individual among ui; 
could there be a finer Christmas present nor a bet 
tor New Year. 

Good night. 



[he 



Secretary Dulles To Attend 
Baghdad Pact Session 

The Department of State announced on Dti ffcf, 
cember 29 (press release 683 dated December 28' v.: 
that the Secretary General of the Baghdad Pa< 
had been informed that Secretary Dulles will hea 
the U.S. observer delegation to the fourth Bagl 
dad Pact Ministerial Council session, which wi 
be held January 27-30, 1958, at Ankara, Turke; 

Department of State Bullet' 



Heads 



I, 
it circa 
nr, 
1 besthoj 

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IT 

[artrs! 
tfto: 



The Strategy of Victory 



Address by Secretary Dulles ' 



My friend, President Bidault, it is indeed a 
very great pleasure to meet here with those who 
support good relations with the United States and 
development of the Atlantic Community. As 
you, President Bidault, have said, there is no use 
disguising the fact that our unity is not always 
perfect and that at times we seem to be working 
at cross-purposes. My experience has been that, 
when those who are on the whole reasonable — and 
we certainly are disposed to be friends — when they 
disagree, it is very largely because of misunder- 
standing. Now we have ambassadors who, using 
ito the full the facilities that are given to them, 
try to eliminate those causes of misunderstand- 
ing. But unfortunately their cables have never 
yet served to replace the personal contacts and 
:onversations of Heads of Government with each 
ather. And so it is that this meeting here of the 
Heads of Government has served a very valuable 
purpose. We have taken decisions, decisions of 
najor import, the full significance of which may 
aot be apparent for some months or even years 
to come. 

But perhaps most important of all, there have 
;aken place conversations between the Heads of 
Government which, I think, have gone far to 
eliminate misapprehensions, misunderstandings 
vhich are at the root of seeming divergencies in 
)ur policies. For example, President Eisenhower 
learned, completely to his surprise, that it was 
widely felt in France that the United States was 
(eeking to undermine the natural position of 
france in North Africa in order that we might 

place French interests with American commer- 



Made before the Frimee-Etats Unis Association and 
French National Association for the Atlantic Com- 
1 '■:■. tnunity at a luncheon in his honor at Paris on Dec. 19. 



: 



anuary 13, 1958 



cial interests. When he heard that, I think I can 
say that he was both amazed and indeed indignant 
that any such rumors had gained a foothold. 
And I am sure that he made it quite apparent 
that the United States has no intention or desire 
whatsoever to interfere in the slightest with the 
normal relationships of France to North Africa, 
relationships which seem to be entirely consistent 
with the full independence of the new states of 
that area. Indeed, I think we all feel that a 
healthy relationship between Western Europe and 
Africa is of the utmost importance, and indeed 
that will figure in the communique which is being 
issued this afternoon by the heads of the NATO 
alliance. 2 

I might speak briefly about the tasks that we 
face, taking perhaps as my text a phrase from 
President Eisenhower's opening address 3 in 
which he said, "There is a strategy of victory." 
Now, what is that strategy of victory? It re- 
quires first of all that we take account of the 
strength of our adversary and also that we take 
account of the weaknesses of our adversary. 

The Strength of the Adversary 

Now what are these strengths? They are very 
considerable indeed. When you have a totalitar- 
ianism which disposes of the human effort and of 
the material resources of people who comprise ap- 
proximately one-third or more of the entire popu- 
lation of the earth, nearly one billion people, they 
can and do create an instrumentality of tremen- 
dous power. Their people operate as domestic 
animals would operate, getting enough to main- 



! For text, see Bulletin of Jan. 6, 1958, p. 12. 
1 Ibid., p. 3. 



53 



tain their physical existence, enough in the way 
of food, clothing, and shelter to be able to work 
efficiently. Otherwise, all that they produce is 
taken by the state to build up a material monu- 
ment in terms of heavy industries, a great war 
machine, including the latest and most modern 
instruments of warfare. 

And there is, of course, a special-privilege class 
in this supposedly classless society — a special class 
of those who because of their particular abilities 
in the way of science and technical applications 
can make a special contribution to building up 
this great machine. The education of their people 
is organized so as to produce the largest possible 
number of scientists and technicians. When you 
see this great mass of people being organized, 
being exploited, merely to produce a great machine 
which is designed to enable this materialistic, 
atheistic despotism to dominate the world, that is 
indeed a very formidable challenge. It would 
indeed be very reckless of us to underestimate that 
challenge and not to prepare adequately to meet it. 
Because we see this challenge assuming steadily 
mounting proportions, we have had this meeting 
here of this North Atlantic Council to help pre- 
pare the answer. 

The Weakness of the Adversary 

Now, what is that answer to be? It must be an 
answer which takes account not merely of the 
strength of our adversaries but also of their weak- 
ness. What are their weaknesses? Well, of 
course, the basic and central weakness is the fact 
that they attempt to repress what in the long run 
is irrepressible, that is, the desire and longing of 
human beings for a measure of individual liberty 
and opportunity, to have a certain freedom to 
think and to believe, to have security in their own 
homes and to develop a family life, to have a 
choice as to the kind of work that they will do, and 
to have the opportunity to enjoy a fair proportion 
of the fruits of their labor. These are things that 
human beings have wanted from time immemo- 
rial, and they are the things that are wanted by 
the people of Russia. The repression of that is a 
weakness. Another weakness is the position of 
the Soviet Union in Eastern Europe — the parti- 
tion of Germany, a great people who belong to- 
gether. The forceable partition in Germany is 
again an effort to do what in the long run cannot 
be done : the repression of the independence of the 



54 



people, the nations of Eastern Europe. In the 
long run these people will regain their independ- 
ence. How many times has Poland been overrun, 
divided ? Always it comes back, and surely it 
will come back again. In Hungary the love of 
their people for independence is something which 
cannot be indefinitely repressed. These are some 
of the weaknesses in the position of the Sot 
rulers. Our response — our strategy of victory — 
must be a program which takes account both of 
the formidable strength that is arrayed against us 
and also which is calculated to exploit the weak- 
nesses of those who are arrayed against us. 

Now, of course, if we only thought in terms oJ 
developing enough material power to match the 
material power arrayed against us, that would be a 
relatively easy task. Our total populations have £ 
productive capacity on the average of three times 
as great per capita as that of the Soviet Union 
If the United States were to dedicate to its mili 
tary purposes the same percentage of its grosi i 
national production as is the case with the Sovie < 
Union, we would have a military budget approxi 
mately three times our present budget. It woulc 
be a budget of around $120 billion, instead o: 
$40 billion. And if we were to triple our mili 
tary expenditures, we could very quickly put thi 
military establishment of the Soviet Union int< 
a position of great inferiority. But, if all we d< i . 
is to try to match the material effort of the Sovie 
Union, there is danger that we will destroy tfo-d r „_ 1 
qualities which enable us to take advantage of th 
weaknesses within the Soviet Union. We couImI^,:..' 
not do what I describe without turning ourselves ^, 
into a highly regimented society. We would hav. fc r „ r 
to control wages, hours of labor, prices. Wl 54.. 
would have to direct people as to what they dic\ iv iy- 
where they worked, what they studied. W' seir!.* 
would make ourselves over in the image of wha£ mi* ■::■■, 
we want to change; and we would have destroyer :; •';■ 
the example of freedom and liberty which is | "speopl 
tremendous stimulant to those who, within th 
Soviet orbit, would themselves regain f reedoi ! 
and liberty. It is the contrasting example tha| «tkew 
we present which is one of our great assets i| "fatpw 
this struggle. To destroy that would be reall| H'bi: 
to give up the hope of ultimate victory. Therr 
fore, we must find a strategy here which, on th 
one hand, will enable us to be sufficiently stron 
to meet the menace of the Soviet threat, which 
both military and also economic, in the way c 

Department of State Bulleth .«n Uor ,. 






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subversion, penetration, and do so without our- 
selves destroying the freedoms and liberties which 
we want to defend and the existence of which be- 
comes a force in the world which is so apparent, 
so penetrating, that it encourages the people 
within the Soviet orbit to want themselves to 
strive more to get such freedoms and liberties, 
opportunities and enjoyments, as we ourselves — 
our peoples themselves — possess. 

Working Together as Free People 

Now we can do all of that very easily if we 
work together. We cannot do it at all if we work 
independently. Our combined strengths can 
readily be made sufficient to meet the menace 
without destroying our basic liberties. If each of 
us works separately, the only hope we will have 
of meeting that menace will be to destroy our 
liberties and consequently to destroy really the 
hope of ultimately bringing to an end this terri- 
ble, inhumane despotism. Now that does not 
mean we may not have to make more sacrifices 
than we are now making. But it does mean 
that by concerting our efforts, by pooling our 
resources, by combining our military, economic, 
and moral assets we shall be able on the one hand 
to meet the Soviet strength and on the other hand 
to set an example which will exploit to the full 
the Soviet weaknesses. And I remain absolutely 
confident that, if we follow in this course, the 
time will come — I do not say when it will come, 
1 year, 5 years, 10 years, 20 years, I do not know — 
but the time will come when inevitably the Soviet 
rulers will have to change their attitude toward 
their own people, toward the rest of the world. 
So long as we on the one hand are strong enough so 
that they do not win great successes abroad and 
strengthen their position at home, and also if we 
b,t the same time make our own freedom and lib- 
erty such a flaming example in the world that 
those people behind the iron curtain will feel it 
and sense it and demand more of it for them- 
selves — that is the strategy of victory. 

The heart of it is that we must work together, 
the free peoples, the free nations together. Only 
through unity and cooperation can we forge the 
plements that are needed to make us not merely 
safe but to create a force which is going to end at 



some time the menace which today threatens us. 
Surely that must be our great objective. To live 
in a world where we perhaps are safe from de- 
struction because we balance material power with 
material power, balance weapons of destruction 
with weapons of destruction — if that was all we 
could look forward to down the long range of his- 
tory, during the years, the decades, the generations 
to come, that would be an intolerable situation. 
We have got to be able to look forward to an end- 
ing of this menace. The way to do it involves 
strength, yes, but strength which, because we work 
together, can be combined with freedom, so that 
we present both strength and freedom ; strength to 
protect ourselves, freedom as the offensive, moral 
force which is going to bring this threat to an end. 
Here at this meeting we have gone a long way, 
in my opinion, to accept that strategy of victory 
and to take steps to implement it. There is going 
to be greatly increased unity — political, economic, 
military — a greatly increased pooling and coordi- 
nation of our resources, greater consultation to 
assure greater unity of policy. By doing that to- 
gether we shall also be able to preserve our liber- 
ties and not be forced to make ourselves over in 
the image of that which we hate and which we 
want to change. 

I believe that this meeting will prove historic 
in that sense. It has not done anything sensa- 
tional. The kind of thing I am talking about 
doesn't make headlines; but, nevertheless, the kind 
of things that I am talking about, the things that 
have been talked about at this conference, and the 
unity of purpose which has been created — or, if 
you will, re-created at this conference in terms of 
a definite strategy to be carried on not just within 
ourselves but with other free countries during the 
years to come — that, I think, will make this con- 
ference significant and historic. 

It is appropriate that this great forward step 
in establishing and preparing to implement the 
strategy of victory should have taken place in this 
city of Paris, which has for so long been identified 
in the minds of all peoples as the home of freedom, 
the dignity of man. We rejoice that we came here. 
We rejoice that perhaps we have been able while 
here to add one more chapter to the long history 
of the glorious contribution which France has 
made to the benefit of mankind. 



January 13, 1958 



55 



The Strength of Free Men 

Statement by Secretary Dulles 1 

As 1957 draws to a close, there is much for 
which we can be thankful. The free world has 
stayed united in the face of many threats and al- 
lurements. Within the Sino-Soviet world there 
is ample evidence of discontent and of a desire of 
the peoples for more independence and the enjoy- 
ment of freedom. 

Although there is no warrant for complacency, 
we can look forward to the New Year with con- 
fidence in ourselves and our allies, and in the 
course we are following together. The future will 
not be without difficulties, but with faith in God 
and with the strength of free men, we shall attain 
our objective — a just and enduring peace for 
mankind. 



U.S.-French Air Agreement Talks 

The Department of State announced on Decem- 
ber 21 (press release 674 dated December 20) that 
conversations had taken place at Washington 
from December 10 to 20, at the request of the Gov- 
ernment of France, between a French delegation 
and representatives of the American Government 
in order to bring about a certain number of modi- 
fications of the schedules of routes annexed to the 
Franco-American Air Agreement of 1946, of 
which article 13 (b) envisages that either party 
may at any time request consultation with the 
other with a view to initiating any amendments 
of the agreement or its annex which may be desir- 
able in the light of experience. 

The two delegations, after having carried out a 
wide exchange of views in a spirit of mutual 
understanding, were unable to arrive at an agree- 
ment. Under these conditions they have agreed 
to consult their respective governments and solicit 
new instructions. 

The United States delegation was headed by 
Livingston Satterthwaite, former director of the 
Office of Transport and Communications, Depart- 



1 Issued to the New York Telegram and Sun (press re- 
lease 682 dated Dec. 28). 



Ec; - 



ment of State. The French delegation was headed 
by Augustin Jordan of the Ministry of Foreign 
Affairs. 2 



Uranium Prospecting in Brazil 

Press release 680 dated December 26 

The Governments of the United States of 
America and the United States of Brazil on 
December 26 exchanged notes concluding an 
agreement on a 2-year joint cooperative pro- 
gram for the reconnaissance and investigation 
of the uranium resources of Brazil. This 
agreement replaces an earlier one of August 3, 
1955, 3 and provides for the continued coopera- 
tion of United States geologists with the Brazil- 
ian Government for the purpose of discovering, 
appraising, and evaluating uranium resources in 
Brazil. 

This agreement represents further evidence of 
the continuing close cooperation between the 
United States and Brazil, the largest nation in 
Latin America, for the mutual development of | 
the free world's resources. It complements other 
agreements between the two countries designed to 
promote the development of atomic energy for 
peaceful uses. 

The notes were exchanged by Assistant Secre- 
tary of State for Inter-American Affairs Roy E. 
Rubottom, Jr., and Ambassador Ernani d< 
Amaral Peixoto of Brazil. 



Prime Minister of Laos 
To Visit United States 

Press release 676 dated December 23 

Prince Souvanna Phouma, Prime Minister of tioc-]; v 
the Kingdom of Laos, is expected to arrive at " 
Washington on January 13, 1958, for a 3-day j be. m r! 
informal visit. 

is-- 

signifies 

ial o' 

myall 

jfteclajej] 

»ii 

** Doti 
medicine [ 
»'oppor 



While in Washington the Prime Minister willl 
have discussions with officials of the U.S. Govern- 
ment on problems of mutual interest to the two L t ;. 
countries. 



2 For names of members of U.S. and French delegation 
see Bulletin of Dec. 30, 1957, p. 1037. 

3 Treaties and Other International Acts Series 3385. 



Department of State Bulletin 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Economic Development of Underdeveloped Countries 



Following are three statements made in Com- 
nittee II {Economic and Financial) and one made 
n the plenary session of the U.N. General Assem- 
bly by Walter H. Judd, U.S. Representative, to- 
tether with a press statement released by Mr. Judd 
ind the text of a resolution on economic develop- 
nent adopted unanimously on December 14- 



iTATEMENT OF NOVEMBER 5 






J.S. delegation press release 2793 

Let me say at the outset that the United States 
jovernment remains firmly committed to the sup- 
port of the Expanded Program of Technical As- 
;e. It is also convinced that the program 
should continue to grow. In this connection may 

point out that, although the United States Con- 

•ess this year substantially reduced its appropria- 
ions for several of the items in the various aid 
)rograms being carried on by my country, it ap- 
propriated the whole of the amount requested for 
he United States contribution to the United Na- 
ions Expanded Program. 

No one who has listened to the statements made 
ere, particularly by those countries which are 
enefiting directly from the work of the technical 
ssistance program, could fail to be impressed with 
he significant achievements and the still greater 
Potential of this international undertaking. I 
ave, myself, long been convinced that the sharing 
f technical skills and knowledge on a worldwide 
asis is a vital and indispensable element in the 
conomic development of the less advanced coun- 
ries. During the 10 years I lived and practiced 
ledicine in rural areas in the Far East, I had 
lany opportunities to observe at first hand the 

anuary 13, 7958 



great need of peoples in the economically less ad- 
vanced countries for knowledge of modern tech- 
niques to help them in their struggle against pov- 
erty, illiteracy, and disease. 

It was because of that personal experience that 
I proposed the first program of technical assist- 
ance that my Government established anywhere 
outside Latin America. In 1948, a year before the 
point 4 program, my proposal was enacted into 
law as the Joint Commission on Rural Reconstruc- 
tion in China. Unfortunately it had only a few 
months to operate on the mainland of China, but it 
was transferred to Taiwan, where spectacular re- 
sults have been accomplished in improving the 
well-being of the people in health, education, land 
reform, agricultural and industrial development, 
and public administration. 

As a physician I am perhaps particularly sensi- 
tive to the inroads which disease makes upon the 
economic capabilities of the individual. I am, at 
the same time, keenly aware of the miracles that 
modern medical science can perform and of the 
fundamental changes which it can make in people's 
lives, if only the knowledge and skills which exist 
today can be made available to those who need 
them. I have been greatly impressed by what has 
been achieved to this end through the participation 
of the World Health Organization in the Ex- 
panded Program. Obviously even greater oppor- 
tunities lie ahead of us for bringing to all peoples 
the benefits of modern medical and health 
practices. 

For example, perhaps the greatest single eco- 
nomic burden which the world must bear is the 
many millions of people who are unable to work 
for months out of a year because of malaria. Con- 
trol and eradication of this disease is one of our 



57 



brightest hopes in the field of public health, pro- 
vided peoples get together and act rapidly enough. 
The development of resistance to insecticides by 
malaria-carrying mosquitoes, however, has made 
it urgent that the world eradicate malaria com- 
pletely within the next few years, if it is to be done 
at all with existing techniques. For this reason 
my country has joined to help develop and finance 
a worldwide attack on this problem in concert with 
the World Health Organization and the Pan 
American Sanitary Organization. 

I hope this committee will forgive me if I have 
tended to concentrate my attention on the impor- 
tance of technical assistance in the field of health. 
Not for one moment would I wish to imply that 
technical assistance in other fields is not equally 
essential and valuable. 

Take, for example, the work being done under 
the Expanded Program by the World Meteoro- 
logical Organization. Most of us think of meteor- 
ology only when we read the weather forecast in 
our daily newspapers. Yet the very direct bearing 
which that science may have on the economic de- 
velopment of underdeveloped areas was impressed 
upon me when I read, in the eighth annual report 
of the Technical Assistance Board, 1 of the work 
which the World Meteorological Organization is 
doing on the potato blight in Chile. It is a fasci- 
nating story of how man's increased knowledge of 
climatic influences can be used to control plant dis- 
eases which, at one time in the last century, caused 
devastation and widespread famine. I cite this 
account as an example of the many projects being 
carried on throughout the world by the Expanded 
Technical Assistance Program which never reach 
the headlines but which are significant in raising 
the standards of living in areas where such im- 
provement is most urgently needed. 

This is equally the case with projects being car- 
ried on in the field of public administration, on 
which the Director General of the Technical As- 
sistance Administration has reported to this com- 
mittee. The United States was one of the govern- 
ments that supported further work in this field, 
which is of particular importance to countries 
which have recently become independent. We are 
gratified that such good use has been made of ad- 
ditional funds which were voted for this purpose 
last year by the General Assembly. 



ECOSOC Recommendations 

May I turn now to some of the actions taken last 
summer in Geneva by the Economic and Social 
Council which directly affect the future of this 
program. The Economic and Social Council 
adopted, among others, a resolution dealing with 
the importance of coordinating the U.N. Ex- 
panded Program with other programs of technical 
and economic assistance. It also adopted a reso- 
lution requesting the Technical Assistance Board 
to examine the provision of technical assistance 
under the Expanded Program on a payment basis, 
as a supplement to the assistance normally ren- 
dered under the program. 

Because both the financial and the technical re- 
sources available to governments for carrying on 
programs of economic development are obviously 
limited, the United States has always encouraged 
full cooperation among the various programs of 
economic and technical assistance now being car- 
ried on both through and outside the United Na- 
tions. It has stressed particularly the role of the 
recipient country in coordinating the different pro- 
grams from which it receives assistance, so as to 
make the best possible use of the resources avail- 
able to it, both domestically and from foreign 
sources. My Government is convinced that the 
resolution adopted by the Economic and Social 
Council places no undue burden on recipient gov- 
ernments. On the contrary, it simply encourages 
them to continue essential efforts in this direction 
in order to derive the greatest possible benefit from 
the use of all the available resources. 

The idea of providing technical assistance to 
governments on a payment basis, upon request by 
the government concerned, in order to spread tech- 
nical skills more rapidly than would be possible 
solely on the basis of the financial resources of the 
Expanded Program is not new. This arrange- 
ment has already been utilized by some of the 
agencies participating in the Expanded Technical 
Assistance Program, as has been mentioned by Mr. 
Keenleyside 2 in his opening statement to this com- 
mittee. We congratulate those governments which 
have sought in this way to supplement the techni- 
cal assistance otherwise available to them. My 
delegation believes that this type of arrangement 



'U.N. doc. E/2842 (E/TAC/Rep/66), E/TAC/Rep/68. 



2 Hugh L. Keenleyside, Director General of the U.N. 
Technical Assistance Administration. 

Department of Sfofe Bulletin 



J 



s susceptible to substantial enlargement — and this 
s important — without detracting from the prin- 
:iples on which the Expanded Program now op- 
jrates. Extension of assistance on a payment basis 
vould not be designed to exclude countries from 
echnical assistance, financed under the Expanded 
Program. Eather, it would be additional to such 
ance. 

We think, therefore, that the adoption by the 
Economic and Social Council of the resolution 
mi this subject was a constructive step, opening 
lp possibilities of still greater contributions to 
iconomic development by the technical services of 
he program. We hope that participating agen- 
ies and governments alike will give earnest 
study to this method of accelerating economic de- 
velopment. We look forward to the report re- 
quested of the Technical Assistance Board by 
3COSOC with interest and anticipation. 

Question of Priorities 

I also wish to emphasize once again the im- 
portance which my Government attaches to the 
efforts by the Technical Assistance Board to make 
;he most efficient use of the resources of the Ex- 
panded Program by giving priority to the most 
irgent requirements. The question raised by the 
Technical Assistance Board in its eighth annual 
report with respect to the policy of concentrating 
Kuture program developments on the neediest 
iountries and territories is an important one. In 
;he view of my delegation the answer to this 
mestion by any responsible body could hardly be 
otherwise than affirmative, particularly in view 
)f the special needs of those countries which have 
recently achieved independence. 

If the financial and technical resources of the 
Expanded Program were unlimited, the respon- 
sibility, which falls in the first instance on the 
Technical Assistance Board, of allocating re- 
sources where the needs and opportunities are 
greatest would not exist. That situation would, 
)f course, constitute the millennium, short of 
which this responsibility, while it may be pain- 
ful, cannot be avoided. 

It is, of course, as clear to this committee as it 
was to the Economic and Social Council that the 
3rogram's technical capabilities are greater thaai 
ts present financial resources. For this reason 
;he resolution on the possibility of increasing the 
financial resources of the Expanded Program, 

January 13, 1958 



which was adopted at the last session of the Eco- 
nomic and Social Council in connection with its 
consideration of the report on A Forward Look 3 
merits our study and support. 

In the Expanded Program we have, on the one 
hand, a proven instrument of economic and social 
progress. On the other hand, there is a demon- 
strated need for additional financial resources. 
My Government shares the hope, implicit in the 
resolution of the Economic and Social Council, 
that the resources annually available to the Ex- 
panded Program can be increased to $50 million. 
Even this amount would, we realize, not exhaust 
the possibilities of making available to under- 
developed countries what has been described as 
"technical assistance in depth." If we look be- 
yond the level of $50 million, we can see possi- 
bilities for expanding the scope of United Nations 
technical assistance into areas where further and 
very important contributions could be made to 
economic development. Such an expansion of 
the program would, of course, require a relatively 
large outlay for supplies and equipment and 
would raise new problems of financing and oper- 
ation. My delegation will take up this issue and 
make concrete proposals for this committee's con- 
sideration at a later stage in this session. 

So far as the present program is concerned, 
it is not my intention to suggest to any other 
country represented here what it should do with 
respect to contributions to the Expanded Pro- 
gram. I should, however, like to suggest that 
the success of this or any other program under- 
taken by the United Nations in the field of eco- 
nomic development depends upon adequate finan- 
cial support by all countries. The United States 
will continue to do its part, but a failure to 
achieve growth of the Expanded Program on a 
truly multilateral basis will not, in my opinion, 
augur well for any new multilateral efforts in the 
economic field. 

We were pleased to note that, at the eighth 
pledging conference on October 10, 21 govern- 
ments increased their pledged contributions for 
1958 over those of 1957. This was a heartening 
demonstration of the support which the program 
enjoys in those countries. It is this kind of sup- 
port which will make it clear that the Expanded 
Program is not in fact a program of any one 



U.N. doe. H/2.NN.-, (IO/TAC/1!)). 



59 



country or of a special group of countries but a 
worldwide United Nations program in the truest 
sense. It is only in this way that the program 
will be able to develop its maximum potential 
not only for economic advancement but also for 
human understanding and genuinely cooperative 
international relations. This challenge can and 
must be met. 



STATEMENT OF NOVEMBER 18 

U.S. delegation press release 2813 

For the last several years the United Nations 
has been studying the question of whether, and 
imder what conditions, it should establish a new 
United Nations fund to help finance economic de- 
velopment. I intend to direct my statement to 
this proposal and, in this connection, to make com- 
pletely clear the position of my Government on 
the question of economic assistance to under- 
developed countries. 

The first point I want to make is this : It is an 
essential element of the foreign policy of the 
United States, affirmed both by the President and 
by the Congress, to assist the economic develop- 
ment of the less developed countries. What we 
want is simply to make the most constructive and 
effective contribution that we can to the efforts of 
the people of these countries to achieve rapid so- 
cial and economic progress. This desire reflects, 
in part, the natural impulse of all decent human 
beings to help others. In part, it represents the 
traditional response of the American people to 
the needs of nations that have long striven for and 
recently won their independence — a response 
whose roots run back to the begimiings of our 
own history as an independent country. Beyond 
this we hold that our support for the economic 
development of the less developed countries is in 
our own national interest. 

I am firmly convinced that the basic interests 
of the peoples of both the developed and under- 
developed countries are essentially the same. It 
is clearly in the interest of the United States, as 
well as that of the underdeveloped countries them- 
selves, that weak or unstable economies grow into 
societies self-reliant and sturdy enough to raise 
their standard of living, promote human welfare, 
and make their full contribution to the mainte- 
nance of freedom and 



60 



In I I 

JAPsfti 

PU'._:t - ' - 
kken 

}[ 

WM t 

M 



To the extent that we can help the underde- 
veloped countries achieve their objective through 
our contributions to their efforts, whether these 
contributions are made through the United Na- 
tions or directly, our own objectives are achieved 
and our own interests fully served. This was rec- 
ognized by the Congress when it declared : "The 
Congress of the United States recognizes that the 
progress of free peoples in their efforts to fur- 
ther their economic development and thus to 
strengthen their freedom is important to the se- 
curity and general welfare of the United States." 

U.S. Bilateral Programs 

My second point: No one will deny that the 
Government and people of the United States have 
lived up to their convictions. We have, since the 
end of World War II, endeavored to accomplish 
these foreign-policy objectives by making assist- 
ance available to underdeveloped coun tries in 
substantial amounts and in many forms. 

We have engaged in an extensive program of 
technical cooperation. 

We have provided loan capital through our Ex- 
port-Import Bank for agriculture, industry, and 
basic public works to help provide the foundation 
for increasing national wealth and welfare in 
many countries. 

For the last 5 years the Congress has appro- 
priated several hundred million dollars each year 
to finance development projects in underdeveloped 
countries that could not be financed from private 
sources or by normal banking institutions. 

We have tried to use our surplus agricultural 
commodities constructively in ways that would 
help to promote economic development without 
interfering with normal marketings of the United 
States or of other countries. 

We have taken measures to encourage private 
capital to flow into productive investment over- 
seas. 

Through our atoms-for-peace program we are 
helping to finance research reactors and provide' 
scientific training to enable less developed coun- 
tries to enjoy the benefits of nuclear science. 

These are the so-called bilateral programs in 
which, at the request of other countries, we have 1 
engaged and which we are prepared to continue. 
Perhaps it is in order to point out that, in the 
long list of coimtries to which these programs ft 
have been extended, there are manv which do not 

S |J, 



Department of State Bulletin 



bforp 



j necessarily share our views on political issues or 
, "lion economic philosophy. 
j, I We are also participating in regional programs 

:.".'! to help promote economic development — specifi- 
' Jcally the Organization of American States and 

,. r j' the Colombo Plan. 

tat tii 

tnfp U.S. Participation in Multilateral Programs 

ins ! We have also given full support to multilateral 
the* programs in the economic and social fields under- 
lets taken under the auspices of the United Nations. 

More than 10 years ago we joined with other 

countries to establish at Bretton Woods the Inter- 

jjsttl national Bank and the International Monetary 

Fund. 
.jjjjjj We are members of and strongly support the 
omnli; F°°d anc ^ Agriculture Organization, the World 
„ lss jj Health Organization, the International Labor 
jjjp Organization, UNESCO, and the other special- 
ized agencies whose work is of great value to the 
underdeveloped countries. 
In 1949 we took the initiative in promoting the 
mr j. United Nations Expanded Technical Assistance 
try,d Program. 

,,'],,; More recently we helped to establish the Inter- 
,i( m aational Finance Corporation to promote private 

nvestment in underdeveloped countries. 
. . r ,, : We look forward to and will fully support the 
■ constructive work of the International Atomic 
„ : ; •. Energy Agency, which President Eisenhower first 
"- proposed to the General Assembly 4 years ago. 
These aid programs — bilateral, regional, and 
Multilateral — are an integral part of the fabric 
jf our international relations. In addition 
;o more than $3 billion contributed to interna- 
ional organizations working in the economic field, 
ve have made available as economic aid to under- 
■: developed countries over $11 billion since the end 
- '■ ■ j)f World War II. This assistance has been given 
lespite the heavy burden of defense which our 
i j people were compelled to assume when the Soviet 
[•: "■ I Jnion failed to reduce its armaments, as my coun- 
ry did, at the end of the last World War and, 
instead, supported aggressive action against the 
:':■ independence of a series of sovereign nations. 
phis amount does not include aid which we have 
• pven for postwar reconstruction or for military 
it, :: «ssistance to countries requesting it. That mili- 
P^Jjary assistance has also brought substantial eco- 
nomic benefits. It has given to the countries thus 

.•.January 13, 1958 

451286—58 3 



assisted a measure of security and assurances of 
peaceful development which are enabling them to 
build up and develop their economies in freedom 
and without fear that they will become victims 
of military aggression. 

The third point I wish to make is this: The 
United States Government is searching continu- 
ously for additional effective ways and means to 
achieve our common goal of economic progress. 
We are always prepared to consider favorably 
new ways which give real promise of assisting 
the development of underdeveloped countries. 
In the United Nations we have joined in ex- 
ploring the problems of financing economic 
development and the possibilities of establishing 
new institutions in this field. Last year the Con- 
gress invited groups of distinguished private citi- 
zens to consider ways in which the United States 
might make more effective its economic aid to the 
vast underdeveloped areas of the world. The Con- 
gress studied their reports and made significant 
modifications in various United States aid 
programs. 

U.S. Development Loan Fund 

The most important of these modifications was 
the establishment by the last session of Congress 
of a new element in our program of assistance to 
underdeveloped countries, namely, the Develop- 
ment Loan Fund. It is designed to be the princi- 
pal bilateral means by which the United States 
can help finance development projects that can- 
not be financed from such sources as private in- 
vestment, our Export-Import Bank, the Interna- 
tional Bank, or the International Finance Corpo- 
ration. I should, therefore, like to describe briefly 
how this fund will be used to supplement the 
efforts of the underdeveloped countries. 

The Development Loan Fund has for its initial 
operations an appropriation of $300 million to 
establish a revolving loan fund. In addition, the 
Congress has authorized the appropriation for 
fiscal year 1959 of an additional $625 million for 
use by the fund to help meet the continuing re- 
quirements of economic development. The fund 
is now ready to consider proposals for specific 
projects in the less developed countries. The fund 
will consider not only projects that will contribute 
directly to increased production in such fields as 
agriculture, manufacturing, or mining but also 
such basic facilities as highways, power, and 



61 



transportation, ■which frequently constitute the 
limiting factors for sound development. Loans 
from the fund will generally be extended on more 
flexible terms than those of existing lending in- 
stitutions, for example, loans repayable over a 
longer period of time or repayable in local cur- 
rency, should the circumstances so warrant. 

The fund will, of course, work closely with ex- 
isting financial institutions to help meet the needs 
of underdeveloped countries. 

To help promote private investment, the fund 
is authorized to guarantee loans from private 
sources for economic development purposes. It 
may also associate itself with private investors in 
financing specific projects. It may help finance 
local development banks which would make loans 
to private enterprises. We feel this aspect of the 
fund's operations is to be particularly important 
in the light of the fact that the funds available 
from the tax revenues of capital-exporting coun- 
tries can meet only a fraction of the local re- 
quirements of economic development around the 
world. 

The Development Loan Fund does not, of 
course, have unlimited funds at its disposal. The 
future of the fund will largely depend on the ex- 
tent to which sound projects will in fact be forth- 
coming for which other sources of finance are un- 
available. As a member of the United States Con- 
gress, I venture to predict that the question of its 
appropriating additional resources for the fund 
will be determined in large part by the kind of op- 
portunities for their constructive use that develop 
in the future. 

U.S. Views on U.N. Economic Development Fund 

Mr. Chairman, the United States has given 
much thought to the possibility of a new United 
Nations fund for economic development. As the 
members of this committee know, the United 
States has for several years consistently supported 
the idea of an international development fund 
whenever circumstances will make it, in fact, 
practicable. Our support was made clear in reso- 
lution 724 of the Eighth General Assembly, which 
was adopted on the initiative of the United States 
delegation. My Government continues to stand by 
the pledge embodied in that resolution. 

It remains our considered view, however, that 
present circumstances are not such as to make it 
practicable, useful, or wise to attempt to establish 



62 



such a multilateral fund at this time. The re- 
sources that countries are now prepared to make 
available would be totally inadequate to establish 
a fund of sufficient size to do the job intended for 
it. To establish an international economic de- 
velopment fund now would be to create structure 
without substance. It would raise hopes among 
the peoples of the underdeveloped countries that 
could not be fulfilled. The limited resources that 
the fund could command under existing condi- 
tions would inevitably be scattered and, to a con- i . 
siderable extent, dissipated on relatively minor 
projects everywhere in the world without real im- p^,^ 



hi 1 

(lit-! "' 
- 

rati;! 



pact on the development process anywhere. 

There is no magic in a new name or new ma- 
chinery. What is needed is additional substance. 
The time to establish a new international capital 
fund to help provide large additional financing 
for strengthening the economic and social struc- 
ture of the less developed countries is when many 
nations are able to commit themselves to provide 
substantial, usable resources on a continuing basis, 
for a continuing and long-term job. To establish 
a new international development fund which we 
know at the start would be inadequate to do its 
global job would neither add to the strength or 
prestige of the United Nations nor add appreci- 
ably to the economic strength and vitality of its 
member nations. 

Because it touches intimately upon problems of 
human suffering and human happiness, the pro- 
posal for a great new program of action through 
the United Nations must naturally arouse the en- 
thusiasm of anyone sensitive to human misery. 
But if the vision of a great new effort by thei 
United Nations to aid the underdeveloped coun- 



Pro: — ^ 

ingonl 
Web 

more p.' 

BOlJlgl 

.%.'■:■ 

lift"' 

W ii ■ 
Eipaiided 

1- 



■ 

te unable- 

Sir. r 



'■■''■ 



tries with capital investment funds is to be more 
than unfulfilled promise, it cannot disregard the 
economic and political realities out of which it is %;,, , 
to be born and in which it must live. For this! 
reason, difficult though the decision has been for 
us and disappointing as I know it is for others, 
my Government continues to be convinced that,! 2j,r ([l ,. h 
under existing conditions, it must oppose this pro-i jp rKl ,, . 
posal. To adopt it at this time, we believe, would) ICAFEly 
be both self-deceiving and self-defeating. 

Let me make it completely clear that the '.,'%,,,■ 
United States is not prepared at this time to sup-' ^k't'. 
port the establishment of a special United Na- 1$%' 
tions capital fund. The United States will vote ji< ffrn 
against any resolution introduced at this session If^j "[ 

Kiln 



Department of State Bulletin 



5 Ijto establish such a fund, and we shall not partici- 

5a lpate in any preparatory commission that might be 

* established now to draft the charter of such a 

■ fifund. I state the United States position on this 

•■question as clearly as possible so that members of 

• "((this committee will not consider this issue under 

Kthe impression that the United States position is 

--■uncertain or wavering. Our position flows logi- 

' -Jcally from our considered view that a United Na- 

; -Ipons capital fund could not now fulfill its promise 

or begin to do the job envisaged for it. 



Proposal To Enlarge U.N. Technical Assistance 
Program 

i This is not, however, the sum total of our think- 
ing on this subject. 

We believe that a more realistic, and therefore 
more constructive, approach to the problem of pro- 
•'■ | moting economic development through the United 
(Nations would be to use the additional resources 
hat countries may be prepared to make available 
: it this time to support a substantial enlargement, 
joth in size and in scope, of the United Nations 
Expanded Technical Assistance Program. 
The Expanded Technical Assistance Program 
- s doing an important job well, but it is hampered 
i" iy a shortage of funds. It tries to be responsive 
7 ; o reasonable government requests over the whole 
range of economic and social activities, and it 
! ' indoubtedly has greatly contributed to economic 
levelopment. However, its efforts have been scat- 
ered and not sufficiently supported by basic pro- 
"»!::>£ rrams essential for economic progress. It has 
*en unable — for lack of funds — to do a concen- 
rated, systematic, and sustained job in such basic 
ields as survey of natural resources, industrial re- 
..: earch, and training essential to economic growth. 
Countries everywhere are making plans for 
conomic development, but all too often they do 
r r \ [lot yet know just what their resources are, what 
minerals lie in the ground, what are their water Te- 
rr ,<U'|burces, their industrial potential, or even their 
.„, Y ji ; .jian power resources. When the United States 
,]:;]>' ppresentative returned this past summer from an 
, , e ,t.; )CAFE Working Party on Assessment of Hydro- 
ectric Potential, he reported that a recurring 
r .-,,; ieme at the meeting was the fact that many of the 
. Duntries of the ECAFE region were hampered 
, ..:.,,;,;;. y the paucity of basic data on rainfall, runoff, 



id topography; they were handicapped by lack 
funds for investigations and still further hand- 
in uary ?3, J 958 



icapped by lack of trained and experienced tech- 
nical personnel. The report of the Technical As- 
sistance Board on A Forward Look recognizes the 
same problem. I quote from this report: "Few 
underdeveloped countries have inventories of their 
natural resources or the institutions necessary to 
develop these inventories." Surely, concentrated 
and systematic aid in surveying basic resources is 
of first importance to economic development. 

Even where countries know what their resources 
are, they need help in determining the best uses 
to make of these resources. Research and experi- 
mentation in new and effective ways to use the ma- 
terials at hand are the essence of economic develop- 
ment — how to use indigenous products for new 
industries; how to convert sugarcane bagasse into 
building board of high tensile strength; how 
to turn waste products to economic use. Indus- 
trial research and productivity centers can help 
countries make effective use of the resources at 
hand. 

We believe it is possible to achieve rapid in- 
creases in agricultural productivity by the use of 
relatively simple and inexpensive technological 
improvements. Stepped-up agricultural research 
and demonstration projects and associated ex- 
tension services are fundamental to economic 
development. 

Of particular importance is the preparation of 
technical personnel. Greatly enlarged facilities 
are required for technological education, voca- 
tional training, and advances in basic literacy. 
Where we now train hundreds, we should train 
thousands. With technology making great strides 
forward, all countries must give more and more 
stress to making educational facilities available 
on the widest possible basis. 

Other fields of fundamental importance to sound 
economic planning and development, such as pub- 
lic administration and basic statistics, are sug- 
gested in chapter III of the report of TAB, A 
Forward Look. 

Special Projects Fund 

What, then, do we propose? We propose that 
the United Nations Expanded Technical Assist- 
ance Program be substantially increased, that it 
be enlarged from its present level of about $30 
million up to $100 million a year. Part of the in- 
crease would be used to continue and extend exist- 
ing types of programs, particularly in the newly 

63 



established countries. With the remainder we 
would suggest that a Special Projects Fund be 
established as an integral part of the Expanded 
Program and earmarked for such technical de- 
velopment projects as will provide concentration 
in depth on surveys, research, and training proj- 
ects of basic importance to successful economic 
growth. This Special Projects Fund would help 
finance systematic surveys of basic resources, the 
equipping and staffing of regional technological 
institutes, research and productivity centers, and 
agricultural research projects. While the United 
Nations Technical Assistance Program operates 
in these fields in a limited and piecemeal way, this 
new fund would enable the United Nations to give 
systematic assistance in these fields, to support 
projects that are more costly and require more sus- 
tained assistance. Such a fund could well give 
priority to projects within these basic fields that 
would have the widest impact, to regional insti- 
tutes and training facilities of a permanent nature 
from which several neighboring countries could 
benefit, to surveys of water resources affecting sev- 
eral countries. 

The enlarged fund would be financed by vol- 
untary contributions on a matching basis. A 
congressional mandate adopted this year requires 
that the United States share in the Expanded 
Program be reduced from its present level of 45 
percent to 38 percent next year and 33!/3 percent 
thereafter. I cannot speak for the United States 
Congress any more than most of you can speak 
for your legislative bodies. But I can speak in 
my personal capacity as an elected representative 
of the American people, and I believe this en- 
larged fund can be of such benefit to my own 
country, as well as to all other countries that are 
striving to maintain their independence and to 
improve the well-being of their peoples, that I am 
prepared to go before the Congress and urge that 
it stabilize the percentage of our contribution at 
40 percent for at least several years. My col- 
leagues in the Congress know that this represents 
a reversal of my previous position. I believe that, 
together with like-minded Members, we can show 
the Congress why it would be wise to adopt such 
a proposal. 

Such an enlarged technical assistance program, 
even with its Special Projects Fund, would not 
do the job envisaged for an international capital 
fund such as that proposed in the draft resolu- 



BOp 



tori ' : 

to' HI 

pM'sr 

h ; - 

«h 



tion contained in document L.331. 4 It would not 
build bridges, dams, roads, powerplants, 
houses; the capital required for that kind of job 
far exceeds the resources governments are now 
prepared or able to make available. Nor would it 
do a blueprinting and engineering job. Rather, 
it would do the more basic work of helping coun- 
tries in a sustained and systematic way to train 
their manpower and assess and use their resources 
more productively. 

The United States is not alone in regarding 
this basic work as a project of first priority. The ' 
replies of many countries which have commented 
on A Forward Look deplore the inadequate finan- 
cial resources of the United Nations technical as- 
sistance program and emphasize the importance 
of concentrating on certain fundamental fields of 
activity. In its reply the Government of Paki- 
stan observed, "The technical assistance needs fax 
exceed the financial resources." They "are not I 
commensurate with the magnitude of the 
problem." 

The Government of Yugoslavia in its reply 
said: "It is a well-known fact that underdevel- 
oped countries are greatly in need of surveys oi I 
basic resources, of industrial training and pro- 
ductivity centres, of agricultural research and 
demonstration projects, as well as of wide-spreac 
development of technological training institu- I 
tions; in fact such projects are essential elements 
of development plans and are in many cases pre- 
liminary steps upon which the successful carry- 
ing out of productive investments depends. Such I fc 
expansion of United Nations assistance shoulc 
therefore be one of the next important steps ii 
the field of United Nations economic activities.' j pear m } t 

The Government of Argentina at a recent sesa areral :- 
sion of the Economic and Social Council sug: jr.-. . 
gested that emphasis should be put on the estab i\k. . 
lishment of regional technological institutes anci kk^-r 
on surveys of basic resources. This is the typw i& x c v 
of constructive suggestion to which we feel thi 
United Nations should give effect at this time. 

In the light of these considerations my Gov< 
eminent is convinced that a substantial and rapk 
enlargement of both the financial resources an( 



I' 






' U.N. doe. A/C. 2/L.331, a draft resolution establii 
ing a U.N. Economic Development Fund, sponsc 
Argentina, Ceylon, Chile, Egypt, Greece, India, Indones 
Mexico, the Netherlands, Venezuela, and Yugoslavia. 



v 



64 



Department of State Bulleti, I 



id 



scope of the Expanded Program of Technical As- 
sistance would constitute the most constructive 
step possible today to provide, within the frame- 
work of the United Nations, greater assistance to 
the less developed countries. 

We have, therefore, submitted a draft resolu- 
tion ° under which this Assembly would appoint 
a preparatory committee charged with the follow- 
ing tasks: first, to define the basic fields and 
within these fields the types of projects to be eli- 
gible for assistance from the Special Projects 
Fund ; second, to consider the changes which may 
need to be made in the present administration and 
machinery of the technical assistance program to 
assure speedy and effective use of this fund ; third, 
to ascertain the extent to which governments would 
be willing to contribute to the enlarged tech- 
nical assistance program, with an indication of the 
amount they would be prepared to earmark, 
should they so desire, specifically for the Special 
Projects Fund out of their increased contribu- 
tions; and, finally, to prepare the necessary 
imendments to the legislation and procedures 
which currently govern the Expanded Program 
)f Technical Assistance. In all this work we 
lope that the committee will be able to benefit 
:rom the expert advice of consultants made avail- 
ible by the Secretary-General and the specialized 
igenck-s. The preparatory committee would 
tubmit its report and recommendations to the 26th 
ession of ECOSOC and, through ECOSOC, to 
he 13th session of the General Assembly in 1958 
or final action. 

In the view of my Government this proposal is 
•oth realistic and constructive. Its dimensions 
re realistic in terms of what countries would ap- 
pear to be able to make available over the next 
everal years; and the job can be undertaken 
argely within the framework of existing United 
ijTations machinery. The task itself is basic and 
undamental to economic growth. It is the hope 
£ my Government that other member nations will 
in with us to cany it out. 

In conclusion, let me say a word to those of our 
ends who have put so much thought and effort 
to plans for the establishment of an interna- 
onal capital investment fund, whether it is called 
FED or something else. I know that what 
am proposing falls short of your hopes and de- 



5 IT. N. doe. A/C.2/L. 354 
muary 13, 1958 



sires. I submit, however, that, even if it were 
possible to establish SUNFED immediately, it 
would be necessary in many countries first of all 
to undertake the kind of projects which we envis- 
age under our proposal. What is more, the pro- 
gram I have outlined for you, if accepted by this 
General Assembly, will, I am convinced, facili- 
tate in the years to come new capital investments 
of all types — private and public, national and in- 
ternational — by creating conditions which will 
make such investments either feasible or more ef- 
fective. It will thus help to increase the flow of 
capital resources to the underdeveloped countries, 
the need for which we are the first to recognize. 
For all these reasons I commend the United 
States proposal to you for your sympathetic con- 
sideration. We believe that, in the words of Am- 
bassador Lodge, "War can be deterred for periods 
of time by military strength. Peace can be built 
only by nonmilitary means." We believe this is 
a sound and workable program to help build 
peace. It is within the realm of practicability 
and would be of great benefit to all. 



STATEMENT OF NOVEMBER 27 

U.S. delegation press release 2824 

I am grateful for this opportunity to intervene 
in order to answer questions raised thus far in our 
debate regarding the United States proposal in 
draft resolution L. 354. 

Two significant questions were raised by the 
distinguished representative of Japan. First, 
what role, if any, would the Special Projects Fund 
play in the middle ground between basic research 
into the natural resources of underdeveloped coun- 
tries and the actual beginning of economic de- 
velopment projects. He recognized, for example, 
that in connection with a water resource survey 
the fund's experts would obviously not be au- 
thorized to prepare blueprints for an individual 
dam to be constructed ; but, he asked, would they 
be able to put forward a general plan for de- 
velopment on the basis of which investment pos- 
sibilities could be studied, even though the fund 
itself would not participate in the financing of 
the project? 

Under our resolution, Mr. Chairman, it would 
be the job of the Preparatory Committee to de- 
termine how far such surveys will go. Moreover, 



65 



even after general determinations have been made 
by the committee, specific decisions as to the pre- 
cise content of each project will have to be made 
on a case-by -case basis. Nevertheless, I can state 
that, in the view of our delegation, the answer to 
the question is, yes. We think that basic surveys 
might properly include general plans or sugges- 
tions for development, while not going into 
specific blueprints for individual construction 
projects nor into the financing of such projects. 
The second question raised by the distinguished 
delegate of Japan concerned what expenditures by 
a receiving country are to be counted as contribu- 
tions to the proposed fund. The United States 
view is that these should be on the same basis 
as contributions to the present Expanded Pro- 
gram of Technical Assistance. As is known, local 
costs paid by recipient governments amount to 
about two and one-half times as much as the for- 
eign-exchange contributions of contributing gov- 
ernments. It is difficult to foresee at this time 
whether local costs under the Special Projects 
Fund will be proportionately greater or less than 
under the present program. For such projects as 
research institutes involving the contribution of 
very expensive equipment, it may be that the pro- 
portion of local costs will be less than under the 
present program. On other projects the pro- 
portion might be more. In these circumstances, 
the United States believes the present formula 
should be retained, and our proposal is offered on 
that basis. 

Reply to Soviet Questions 

Let me turn now to the questions raised by the 
distinguished representative of the Soviet Union. 
First, he asked whether the United States would 
contribute to the fund if other countries do not. 
Mr. Chairman, what we have proposed is a mul- 
tilateral United Nations fund. Obviously such a 
fund can be successful only if the members of 
the United Nations and of the specialized agen- 
cies support it. The United States is only one 
member. As clearly stated in our proposal, we are 
prepared to do our part provided other members 
join us in assuring the success of this proposal. 
No one who knows the record of United States 
support for United Nations institutions can doubt 
our sincerity in this. May I refer this committee 
to pages 46 and 47 of document E/3047 concern- 
ing contributions of governments to United Na- 



66 



tions technical assistance and relief agencies 
during the period 1954-1956. You will see that 
the United States contributed $164 million out of 
a total of $280 million. The Soviet Union, I note, 
contributed about $6 million during this period, 
roughly the same as Australia. 

Incidentally, Mr. Chairman, document E/3047 
gives no information about bilateral assistancetiy 
programs of the Soviet Union although it appears 
to discuss virtually all other bilateral economic- 
assistance programs of any significance. I should 
appreciate information from the Secretariat as to 
the reasons for this omission. 

Secondly, the Soviet representative asked what 
basis there is for the United States to assume that I 
other countries are prepared to contribute more| 
funds and to bring the total up to $100 million 
Mr. Chairman, this target figure was established 
in the light of sums that countries have indicated 
they would be willing to make available for othei 
United Nations assistance programs. It is impos- 
sible to tell at this time how big the fund will be 
That is why our draft resolution would instruc 
the Preparatory Committee to determine ho- 
much the interested governments would be abL 
and willing to contribute. On a preliminary basil 
we have been most encouraged in this respect ty ' 
the statements of the Danish, French, and othe 
representatives before this committee. TheUnitei ! 
States hopes that the total amount of $100 millioi j 
may be attained in 1959, and it is prepared to con 
tribute to a fund of such size in its just propor 
tion. But we will, of course, contribute to • 
smaller fund, for example, $75 million, if that i 
the maximum that can be supported in any give: 
year on a multilateral basis. Any substantial ir. 
crease, even though it fell short of $100 million pe 
year, would make a constructive and importarii 
contribution to economic development in the " 
developed countries. Let no one doubt, there torn 
that in advancing this proposal the United State! k$y, , 
is completely sincere both as to its aims and to :' 
target. 

Thirdly, the Soviet representative asked w] 
the fund proposed in the 11-power draft resol 
tion 6 and that proposed by the United Stati 
could not develop in parallel. Theoretically then $r, ir 
would be no obstacle to such parallel developmei 
if sufficient funds were available to do both. Bu 



HI ! I 
b 
fetal 
am: 
progn 
colties 
assist 
relopi 

he k 

port ii 
ft I 
18]: 1 

» : 

,1 ;. . , 



U.N. doc. A/C. 2/L. 331. 



Department of State Bullet 



f Unfed 






r 



I since we know that is not the case, it seems to us 
Iwise to concentrate on what appears to be a realis- 
tic goal for the immediate future. We note that 
Ithis viewpoint has also been expressed by other 
►jdelegations in this debate. This does not mean 
that our proposal is an alternative to SUNFED 
lor the economic development fund proposed in 
[draft resolution L. 331. As I said in my initial 
\ statement, the United States is convinced that wi- 
lder existing circumstances the difficulties in the 
Way of establishing an adequate capital develop- 
| :nent fund on the basis of fairly proportioned con- 
ributions by member nations appear to be insur- 
mountable. In the United States view, a realistic 
urogram for the United Nations until these diffi- 
•ulties are overcome is to undertake the technical 
issistance in depth which is basic to economic de- 
velopment. We are convinced that this job can 
je done successfully if the member nations sup- 
port it fully. If I may repeat, Mr. Chairman, 
[•tvhat I said in my initial statement [November 
I L8] : "The program I have outlined for you, if 
iccepted by this General Assembly, will, I am con- 
vinced, facilitate in the years to come new capi- 
al investments of all types — private and public, 
lational and international — by creating condi- 
ions which will make such investments either 
easible or more effective. It will thus help to 
ncrease the flow of capital resources to under- 
leveloped countries, the need for which we are the 
irst to recognize." 

The fourth question asked by the Soviet repre- 
entative was whether it was true that the United 
States would decrease its contribution from 60 per- 
ent to 33 percent at present. Putting the ques- 
ion in this form is a complete distortion of the 
: .{acts. In fact, the initial United States contribu- 
ion to the Expanded Program in 1950 was $12 
lillion, which amounted at that time to 60 per- 
ent of the total. Let us recall that this was at a 
ime when most other major industrial countries 
'ere still recovering from the effects of the war. 
'he United States contribution offered this year 
as increased to $15% million, subject to the pro- 
iso that this shall not exceed 45 percent of the 
atal program. Under existing legislation of the 
I.S. Congress, this percentage contribution to the 
Ixpanded Program would decline to 38 percent 
a. 1959 and 33y 3 percent thereafter. It is difficult 
) understand the reason for the Soviet represent- 
tive's question, since I set this all out clearly in 



my initial statement. I also said the following: 
"I believe this enlarged fund can be of such bene- 
fit to my own country, as well as to all other coun- 
tries that are striving to maintain their independ- 
ence and to improve the well-being of their peo- 
ples, that I am prepared to go before the Congress 
and urge that it stabilize the percentage of our 
contribution at 40 percent for at least several years. 
My colleagues in the Congress know that this rep- 
resents a reversal of my previous position. I be- 
lieve that, together with many like-minded Mem- 
bers, we can show the Congress why it would be 
wise to adopt such a proposal." 

Reply to Indonesian Questions 

I should next like to refer to the significant 
questions raised by the distinguished representa- 
tive of Indonesia. He asked whether the United 
States refusal to support the 11-power draft res- 
olution meant that our proposal was considered 
to be a substitute for SUNFED. I want to reit- 
erate that such is definitely not the case. Regard- 
less of the decision taken by this committee on the 
United States proposal, my Government would 
find it impossible to support the establishment of 
a capital development fund at this time. We con- 
tinue to support the principle of the establish- 
ment of such a fund when circumstances give 
promise of its attaining a meaningful size in 
terms of the capital needs of the less developed 
countries. We cannot anticipate exactly when 
this time will come. Consequently, rather than 
fold our hands and give a solemn but meaningless 
blessing, we have made a proposal which we con- 
sider both constructive and important to the eco- 
nomic development of less developed countries. 
It is not a substitute for SUNFED. It is not an 
alternative to SUNFED. It is not an attempt 
to exclude the future development of SUNFED. 
What happens to SUNFED depends on future 
circumstances which we cannot foresee or control. 
We make our proposal on its own merits, in the 
belief that it offers reasonable hope of making an 
effective contribution now to economic develop- 
ment. 

The Indonesian representative also asked 
whether the figure of $100 million is to be con- 
sidered a minimum. The answer is definitely no. 
The United States considers such a target feasible 
and desirable but will support on a matching 
basis any increase in funds for technical assist- 



onuary ?3, 7958 



67 



ance and technical development. We recognize 
that, if at first the figure might be perhaps only 
$75 million, still a great amount of good would be 
accomplished. 

The representative of Indonesia pointed out 
that under part C of the annex to draft resolution 
L.331 recipient countries would pay part of the 
cost of projects undertaken. As he justly em- 
phasized, this greatly increases the potential im- 
pact of any such fund. I should therefore like 
to note that such participation by beneficiary 
countries would also be an integral part of the 
United States proposal. 

May I express to the distinguished representa- 
tive of Indonesia, which is one of the sponsors of 
L.331, my sincere appreciation for the open- 
minded and cooperative spirit in which he has 
examined the United States proposal. My dele- 
gation has been pleased to notice a similarly sym- 
pathetic attitude on the part of the Yugoslav 
delegation and other cosponsors of draft resolu- 
tion L.331. This gives us the hope that before 
our deliberations are finished this committee will 
be able to agree on a constructive program for 
effective action in this field. 

Reply to Bulgarian Questions 

Finally I should like to comment briefly on the 
intervention of the Bulgarian representative. 
He alleged that the enlargement of technical as- 
sistance and technical development envisaged in 
the United States proposal is illusory. This 
charge follows the line suggested bj' the questions 
of the Soviet representative, a coincidence which 
is not altogether surprising. Since I have al- 
ready replied to the Soviet question, there is ob- 
viously no need to discuss the Bulgarian allega- 
tion. As to the good faith of the United States 
in supporting multilateral development programs 
under the United Nations, I refer the Bulgarian 
representative to pages 46 and 47 of document 
E/3047. I do not note there any contribution 
from Bulgaria. I hope this is merely the re- 
sult of the newness of the Bulgarian membership 
in the United Nations. Perhaps such newness 
also explains the apparent unfamiliarity of the 
Bulgarian representative with the history of pre- 
vious initiatives taken by the United States in the 
economic field in the United Nations. 

Somehow the Bulgarian representative has 
also read into my remarks the notion that the 



63 



: 
loin tie 



H! :.:. 

i eqiiiti 

■:' 
Ik bet 



United States wants all investment to be private. 
A reading of my statement would certainly con- 
tradict most emphatically any such assertion. I 
pointed out that the United States, since the end 
of the last war, has contributed more than $3 bil- 
lion to international organizations working in the 
economic field and has made available as direct»|!f, 
economic aid to the governments of the less de- 
veloped countries over $11 billion during that umi 
period. I think there are few countries repre- 
sented here which would not acknowledge that the 
United States has made by far the largest contri- 
bution in economic aid on a government-to-gov- 
ernment basis of any country in the world. I 
also pointed out that the Congress has continued 
to appropriate hundreds of millions of dollars 
each year to finance development projects in un- 
developed countries that could not be financed 
from private sources or by normal banking insti- 
tutions. Moreover, the Congress at its last ses- 
sion established the Development Loan Fund t( 
finance just this type of project. If any repre- 
sentative here wishes further information or 
United States performance in the field of govern- 
ment economic assistance, he has only to refei 
to document E/3047. 

I would be the first to emphasize, however, tha- 
my Government is convinced that a much greate; 
role could be played by private capital in th< 
financing of economic development. The repre 
sentative of Mexico on Monday stressed the pre 
dominant role played by private capital in tin 
rapid development of the Mexican economy. M? 
own country owes its economic growth princi 
pally to the dynamic power of free enterprise an< 
private capital; so naturally we believe in it; 
though we have always recognized at the sam I ! 
time the role of the government in developin,- 
infrastructure and in assisting private enterprise 



It is the combination that has worked so success 
fully with us; so of course we i-ecommend that t 
our friends 



% (lfle ; 
feionsof 
igite 



In this connection I should like to quote brief!,] . Jr ' 



istrial Development Confei 
rable M. E. Masani, Membe 



from the remarks made October 18, 1957, at th'l 

International Industri 

ence by the Honorable 

of Parliament of the Government of India. Afte: 

outlining the role of government financing | 

promoting economic development, Mr. Masar 

declared : 



I should be failing in frankness if I were not to 
with you my own feeling that, of all the forms of foreig 



Department of State Bulleti 



ring, ; 



*»y 13 



investment, equity capital will go the farthest as a factor 
suited to rectify the balance of our mixed economy and 
mhe processes of our economic thought. Private capital 
|may not only serve as a bridge between the resources 
of the West and the needs of the East, but may help in 
bringing economic stability and progress to underdevel- 
oped countries, immunize them from slogans and ideolo- 
gies which promise much and deliver little and save them 
from these terribly costly and painful experiments of 
totalitarian States. 

I It is to be hoped that, as the quantum of foreign in- 
vestment in our part of the world increases, the predomi- 
nant and indeed the normal shape it takes will be that 
of equity capital being invested in the normal course 
I Df business. Both because such a development would 
tpe free from political "strings" and Government inter- 
| rention and because it will bring with it the maximum 
I amount of people-to-people contact, an enlightened ap- 
1 iroaeh to labor know-how and managerial and technical 
skills, there can be no question that — other things being 
?qual — such investment would be the most fruitful. 

As I said in my initial statement on this sub- 
ect, one of the primary aims of the United States 
proposal is to facilitate in the years to come new 
capital investments of all types, private and pub- 
ic, national and international. In our view the 
Optimum development of the less developed coun- 
ries will be promoted by encouraging and using 
ill of these types of investment, not just one of 
, jhem. It is in this spirit and with this aim, Mr. 
Chairman, that my delegation has put forth its 
H'oposal and believes it worthy of the support of 
ither member governments. 



TATEMENT IN PLENARY, DECEMBER 14 

'.S. delegation press release 2848 

My delegation will, of course, vote in favor of 
his resolution, which we had the honor of 
osponsoring. 

My delegation worked hard during the dis- 
cissions of this item in the committee to achieve 
lip agreement on the present resolution because 
1 achieves two extremely important objectives. 
First, it initiates further constructive action 
esigned to assist the less developed countries 
•i their striving for economic and social develop- 
ment and the achievement of improved standards 
t living. It adopts the United States proposal 
or establishment of a Special Fund by the 
[nited Nations for a new and different approach 
j) technical assistance and technical develop- 
lent to help meet the basic needs of less devel- 



oped countries. In this connection I should like 
to recall that, while the United States proposal 
for a Special Fund has not envisaged that the 
fund would be subordinated to the present ma- 
chinery of the Expanded Program of Technical 
Assistance — and in that sense would have an 
identity of its own — we have always made it clear, 
and so does the resolution, that the fund would 
be integrally related to the existing United Na- 
tions programs of technical assistance and would 
make the fullest possible use of the existing tech- 
nical assistance machinery. 

Second, the resolution clearly recognizes the 
need of th& less developed countries for larger 
amounts of capital investment. In the preamble 
it makes this point by emphasizing the impor- 
tance of an increased flow of capital to the less 
developed countries from all sources — private and 
public, national and international. Moreover, in 
section C the resolution leaves open the possibil- 
ity of later action by the United Nations with 
respect to capital investment in the less developed 
countries as and when sufficient resources become 
prospectively available to enable it to enter into 
this field. As the delegates of the United King- 
dom and the Soviet Union have pointed out, sec- 
tion C properly reserves until that time any deci- 
sion by the General Assembly to enter into the 
field of capital development. Likewise, it re- 
serves until that time the question of any com- 
mitment on the part of any government to that 
decision. 

It should be pointed out also that nothing in 
this resolution authorizes the transformation into 
a capital development fund of the Special Fund 
established by the resolution for expanding exist- 
ing technical assistance activities of the United 
Nations. 

The decision by this Assembly to consider the 
question of what action might be appropriate with 
respect to a United Nations capital development 
fund only when sufficient resources become avail- 
able is, in the view of my delegation, a reasonable, 
realistic, and wise decision. It is a frank recog- 
nition of the plain fact that sufficient funds are 
not now available, or in prospect, to establish a 
fund that would do more than raise hopes that 
could not be fulfilled. That would not be of serv- 
ice to anyone. 

It is therefore clear that adoption of this resolu- 
tion does not mean, or even suggest, any change in 



anuary 13, 1958 



the United States position of opposition to the 
establishment of a United Nations capital devel- 
opment fund at this time. That position of my 
Government has been made plain in my statements 
in the Second Committee during our discussion of 
this agenda item. It will continue to be the posi- 
tion of my Government as long as the conditions 
on which the position is based remain unchanged. 
We feel that for the United Nations to act on any 
less realistic basis would only lead to disappoint- 
ment and disillusionment and would be a disserv- 
ice to the less developed countries which are look- 
ing to the United Nations for aid. 

So far as my own Government is concerned, 
and as my delegation has indicated repeatedly to 
other delegations during our prolonged discus- 
sions on this resolution, it is my Government's 
view that sufficient resources would be in prospect 
only when there is dependable evidence that finan- 
cial support in the neighborhood of $400 million 
to $500 million in generally usable currencies will 
be available on an annual basis. As my delega- 
tion has previously indicated, and others have con- 
firmed, this amount for capital development would 
have to be in addition to the sums provided for 
United Nations programs of technical assistance, 
including the Special Fund envisaged in this res- 
olution. 

It should also be made quite clear that, as and 
when voluntary contributions by governments be- 
come prospectively available in such amounts to 
make possible a multilateral fund for financing 
economic development, it would in the case of the 
United States in all likelihood involve some shift- 
ing of funds from contributions now being made 
for similar purposes on a bilateral basis. 

We note with satisfaction the last paragraph 
of the preamble of the resolution which recognizes 
the fact that some governments are not in a posi- 
tion to make commitments to United Nations pro- 
grams without the consent of their legislatures or 
on other than an annual basis. As is well known 
to all, I think, that is the situation in my own 
country. 

Our support for the resolution was made pos- 
sible by an agreement that the annex to the res- 
olution would not be specifically voted upon or 
approved by the General Assembly, just as it was 
not specifically voted upon or approved by the 
Second Committee. As the resolution itself 
makes clear, the annex will have no special stand- 
ing different from or superior to the views and 



suggestions to be forwarded by governments to the 
Preparatory Committee for its consideration ir 
recommending appropriate arrangements for th< 
Special Fimd. Neither the Preparatory Commit 
tee nor any member of it or of the United Nations I. 
is in any way bound by the principles set fortl 
in the annex. |$c 

On the basis of these understandings, Mr. Pres 
ident, my delegation is happy to vote for the res - 
olution, much of which reflects principles origi '•' 
nally proposed by the United States. The fina 
form was arrived at after long discussions h 
which there was displayed a fine spirit of f airnes j ■;,:,;.. 
and conciliation in reaching agreement to g<| tali- 
ahead with all that the United Nations is now ii 
a position to do in this exceedingly importan j | v. : 
field. Adoption of the resolution, we believe, wil I y 
be a real milestone in the development of soun< I 
programs of assistance to the less developed coun | 
tries which need such assistance most, Th I TWT ' 
United States will do its best in cooperation witi 
others to translate the decisions embodied in thi 
resolution into concrete actions which, we deepl; j >a :• 
hope and believe, will contribute substantially t 
helping the less developed countries achieve fol ,M 
their people a better life in greater freedom ann ..". 
thereby contribute also to the well-being of al 
peoples and the peace of the world. 



PRESS STATEMENT, DECEMBER 13 



U.S. delegation press release 2846 

It is a noteworthy and dual achievement tha 
the United Nations has unanimously accepted th i 
United States proposal for a new and enlarges 
technical assistance program. 

On the one hand, we are adopting a prograr j 
that is within reach and will do great good ail 
basic tasks. The United States is anxious to hel; | 
the underdeveloped countries in their forwarij 
economic progress. No country has helped mor 
in securing political independence for nation 
We are equally concerned over the economic 
terment of people in other countries, and pa 
ticularly the new nations, because improved livinf 
conditions are essential if people are to be cor 
tented and able to maintain their political ind( L 
pendence. ^ ' ■ •. 

At the same time the Assembly in the resolutio 
passed [by Committee II] last night (L. 331/Ee 1 rv 
1) has accepted the United States view that it : 



Department of State Bullet ; , 0s 



or H; 



Iimvise to create a multimillion-dollar capital de- 
velopment fund at this time. Sufficient contribu- 
tions simply are not available to secure the success 
hi such a project. The Assembly has recognized 
Ihat it would be illusory to establish an interna- 
tional economic development fund now whose re- 
.ources would be entirely inadequate to do the job 
i/t was intended to do; this would be creating 
Structure without substance. 
I What we have set up is a fund of limited objec- 

ives but one that is directed toward doing an im- 
portant and vital job in paving the way for eco- 
nomic development which can come through capi- 
tal from all sources — private and public, national 
l.nd international. The unanimous vote augurs 
I rell for the success of this new initiative. Let us 

;et on with the job. 



• I' EXT OF RESOLUTION ' 



The General Assembly, 

In conformity with the determination of the United 
ations, as expressed in its Charter, to promote social 
rogress and better standards of life in larger freedom, 
ad for these ends, to employ international machinery 
>r the promotion of the economic and social advance- 
ment of all peoples, 

Conscious of the particular needs of the less developed 
>untries for international aid in achieving accelerated 
evelopment of their economic and social infrastructure, 

Recalling its resolutions on the establishment of an 
iternational fund for economic development within the 
•amework of the United Nations and, in particular, re- 
[firming its unanimously adopted resolution 724 A and 
t (VIII) of 7 December 1953, 

Noting the recommendation of the Economic and Social 
ouncil in its resolution 662 B (XXIV), 

Recognizing that the United Nations Expanded Tech- 
ical Assistance Programme is of proven effectiveness in 
Icomoting the economic development of the less de- 
isloped countries, 

Recognizing, however, that neither the Expanded 

ichnieal Assistance Programme nor other existing pro- 

s of the United Nations or the specialized agen- 

can now meet certain urgent needs which, if met, 



u; to i- 

Ijifiii ould advance the processes of technical, economic and 



cial development of the less developed countries, and, 
particular, would facilitate new capital investments of 
types — private and public, national and international — 
creating conditions which will make such investments 
ther feasible or more effective, 

{Convinced that a rapidly achieved enlargement in the 
lancial resources and scope of technical assistance ren- 
ted by the United Nations and the specialized agencies 



fU.N. doc. A/Res/1219 ((XII) A/C. 2/L. 331/Rev. 1, 
I amended) ; adopted unanimously in Committee II on 
fee. 12 and in plenary on Dec. 14. 



to the less developed countries would constitute a con- 
structive advance in United Nations assistance and would 
be of immediate significance in accelerating their eco- 
nomic development, 

Recognizing that, while long-term pledges are desirable, 
some Governments are unable to make financial com- 
mitments except with the approval of their legislatures 
and on an annual basis, 



Commends the Ad Hoc Committee on the Question of 
the Establishment of a Special United Nations Fund for 
Economic Development for the work embodied in its 
final and supplementary reports prepared in accordance 
with General Assembly resolutions 923 (X) of 9 Decem- 
ber 1955 and 1030 (XI) of 26 February 1957 ; 



1. Decides that, subject to the conditions prescribed 
hereunder, there shall be established as an expansion of 
existing technical assistance and development activities 
of the United Nations and the specialized agencies a 
separate Special Fund which would provide systematic 
and sustained assistance in fields essential to the inte- 
grated technical, economic and social development of the 
less developed countries ; 

2. Decides further that, in view of the resources pros- 
pectively available at this time, which are not likely to 
exceed one hundred million dollars annually, the opera- 
tions of the Fund shall be directed towards enlarging the 
scope of the United Nations programmes of technical 
assistance so as to include special projects in certain 
basic fields to be defined by the Preparatory Committee 
provided for in paragraph 4 below, for example, inten- 
sive surveys of water, mineral and potential power 
resources ; the establishment, including staffing and 
equipping, of training institutes in public administration, 
statistics and technology, and of agricultural and indus- 
trial research and productivity centres ; 

3. Considers that while, without impairing the sepa- 
rate identity of the Special Fund, the fullest possible 
use should be made of the existing machinery of the 
United Nations, the specialized agencies (including the 
existing international financial institutions) and the Ex- 
panded Programme of Technical Assistance, the Special 
Fund will require some new administrative and opera- 
tional machinery ; 

4. Decides to establish a Preparatory Committee com- 
posed of representatives of sixteen Governments to do the 
following, taking into account the principles set out in 
the annex and the views and suggestions forwarded by 
governments pursuant to paragraph 7 below : 

(a) define the basic fields of assistance which the 
Special Fund should encompass and. within these fields, 
the types of projects which should be eligible for 
assistance ; 

(b) define in the light of paragraph 3 above, the ad- 
ministrative and operational machinery to be recom- 
mended for the Special Fund, including such changes 
as may be required in the present legislation and pro- 
cedures of the Expanded Programme of Technical 
Assistance: 



'inuary 73, 1958 



71 



(c) ascertain the extent to which Governments would 
be willing to contribute to the Special Fund ; 

5. Requests the President of the General Assembly to 
appoint the members of the Preparatory Committee : s 

6. Invites the Secretary-General to provide the Prepar- 
atory Committee with all the necessary facilities, in- 
cluding the provision of such expert consultants as might 
be required ; 

7. Requests Governments to assist the Preparatory 
Committee in its work by forwarding their views and 
suggestions to the Preparatory Committee through the 
Secretary-General and, in particular, by indicating the 
extent to which they would be willing to contribute to 
the Special Fund ; 

8. Invites the Secretary-General, the executive heads 
of the specialized agencies and the Executive Chairman 
of the Technical Assistance Board to forward their 
views and suggestions to the Preparatory Committee ; 

9. Requests the Preparatory Committee to submit the 
results of its work in the form of a report and recom- 
mendations to the twenty-sixth session of the Economic 
and Social Council ; 

10. Rrqnests the Economic and Social Council to trans- 
mit the Preparatory Committee's Report, together with 
its own comments, to the thirteenth session of the Gen- 
eral Assembly for final action : 

11. Looks forward to the establishment of the Special 
Fund as of 1 January 1959 : 

12. Appeals to all States Members of the United Na- 
tions, in a spirit of co-operation and solidarity, to give 
the greatest possible assistance to the Special Fund; 



Derides that as and when the resources prospectively 
available are considered by the General Assembly to be 
sufficient to enter into the field of capital development, 
principally the development of the economic and social 
infrastructure of the less developed countries, the Gen- 
eral Assembly shall review the scope and future activi- 
ties of the Fund and take such action as it may deem 
appropriate. 

Annex 

I. The Special Fund shall be a multilateral fund of 
the United Nations, with financial resources principally 
derived from voluntary annual contributions of Govern- 
ments and others in (or transferable into) currency 
usable by it and as much as possible pledged or indicated 
for a number of years. 

II. Assistance from the Special Fund shall be given 
only to projects which would make a contribution to the 
economic development of the requesting country or coun- 
tries. The operations of the Special Fund shall be in 
conformity with the principles of the Charter of the 
United Nations and shall not be influenced by political 
considerations. 



The President appointed Canada, Chile, Denmark, 
Egypt, France, Ghana, India, Japan, Mexico, the Nether- 
lands, Pakistan, Peru, the Union of Soviet Socialist Re- 
publics, the United Kingdom, the United States, and 



III. The Special Fund shall be administered by a chief 
executive officer under policies established by an execu- 
tive body in accordance with such rules and principles 
as may be laid down by the General Assembly and the 
Economic and Social Council. The membership of the 
executive body shall be equally distributed between two 
groups, one consisting mainly of major contributing 
countries and the other consisting mainly of less devel- 
oped countries. Each member of the executive body 
shall have one vote. Decisions of the executive body 
on questions of policy, including the allocation of funds, 
shall require a qualified majority vote. 



U.N. CaHs for Further Study 
on Freedom of Information 

Statement by Philip Klutznieh 

U.S. Representative to the General Assembly 1 

The debates on the subject of freedom of infor 
mation held in the United Nations during the pas 
9 years indicate that there are in general thre> 
points of view on the subject of freedom o 
information. 

One point of view is that information shou 
be controlled by the state. Those who hold 
view recognize, either through their words oi 
through their actions, that information deter 
mines opinions, and opinions in turn are a vita 
element in state power, and, therefore, by control 
ling information, opinions of citizens can codi 
sciously be set to serve goals determined by thos 
in power. Control of information is then i | 
the hands of the same few who control other con 
ponents of state power. From such a point 
view, freedom of information as a practical 
posal is dangerous and a threat to their contin 
ance in authority. 

The second point of view is that freedom 
information is valuable and is important as i 
means by which individual citizens may seek tl , 
truth. At the same time those holding this secon j \ 
point of view are strongly impressed with whs( 



they consider to be the "abuses'' of freedom < 



information. They are more concerned wilj ' 
such "abuses" than they are with the danger fro ! ■., 
barriers to the free flow of information. Fd ." 



those who hold this view the fundamental pro: . 
lem is where and how to strike the balance betwei 

paitjl 



freedom and control of information. 



'Made in Committee III (Social, Humanitarian 
Cultural) on Dec. 6 (U.S. delegation press release 



eri.irr.re 



72 



Department of State Bulle 



The third group holds that freedom of infor- 
mation is essential, admits that abuses can occur, 
but believes that the way to cure abuses is to 
increase the opportunities for men to seek more 
complete information. For this group the fun- 
damental objective is to remove obstacles to the 
free flow of information. 

I With these three different points of view it is 
;lear that the search for greater freedom of in- 
"ornmtion takes us in many different directions, 
sometimes in opposite directions. 

The United States takes, of course, this third 
Hew. The freest and fullest flow of information 
s basic to a democratic system of government. 

This is true, first, because there has never been 
, way devised to control news and information 
vithout opening the way to abuse in the form of 
hought control. In time of peace it is never safe 
f ,:|0 trust any men or institution of men with the 
lower to decide for others what is good and 
,'hat is bad information. To do so leads inevita- 
ly to a form of totalitarianism. 

There is a second way in which the United 
states believes that freedom of information is 
asic to a democratic government. Democracy 
; based on the capacity of individual citizens to 
lake intelligent and rational judgments if given 
ccess to the facts. There may be times when the 
lajority will be mistaken and when rational 
rocesses will break down. But these will be ex- 
ertional, and in a sound democracy based on a 
ill, free flow of information the truth eventually 
3comes apparent and right judgments will be 
lade. 

Those who stress restrictions on freedom of 
[formation do not believe that their citizens can 
I trusted. It isn't wise, in such a view, to let 
idividuals judge for themselves what they should 
fclieve and what they should discard as un- 
sund. From such a point of view, if individual 
irors in information or individual cases of de- 
berate misrepresentation can be discovered, they 
'«e evidence of the need for restrictions in some 
3'rm. 

In the United States we have found that, while 
ij a free society with unhampered flow of infor- 
Ution there may be some distortion, errors, and 
lisrepresentation, these are simply the chaff 
i ound the kernels of truth which are also present, 
'iie important thing is the total information 
■salable to the individual. We believe that 

Jnuory 73, 1958 



when information flows unhampered the total 
impact will be to create sound opinions. We 
believe individual citizens are able to decide what 
to keep and what to discard. 

It is because freedom of information is so fun- 
damental to our system of government and our 
society that we have incorporated freedom of the 
press as one of the basic and inviolate freedoms 
in our Constitution's Bill of Rights. It is for this 
reason that the U.S. is opposed to the so-called 
Convention on Freedom of Information. 

The United States is opposed to the draft Con- 
vention on Freedom of Information. We oppose 
this convention because it has become in effect a 
proposal to limit and restrict the basic human 
rights of freedom of speech and of the press. As 
such, it is in direct contradiction to the principles 
and objectives of the U.N. and UNESCO and 
should be rejected by this body. 

These views are not new. In commenting on 
this text in 1951, the United States Government 
pointed out that the proposed draft is not con- 
sistent with long-established and deeply cherished 
principles of freedom of speech and freedom of 
the press as understood in the United States and 
that, in fact, certain provisions expressly violate 
these principles. For example, article 2 would 
permit objectionable and unnecessary limitations 
on freedom of expression, together with other re- 
strictions which, while perhaps not objectionable 
in principle, are so formulated as to lead to the 
probability of their abuse by governments so in- 
clined. They provide not a curb on obstacles to 
freedom of information but an invitation to re- 
strictions. Article 2, taken together with article 5, 
provides a full basis on which information can 
be controlled, and information control is the same 
as thought control. 

Enumeration of such specific limitations on 
freedom of information is probably inevitable in 
a convention on freedom of information and like- 
wise inevitably vitiates what should be our pri- 
mary purpose of promoting greater freedom of 
information. The United States joined in early 
efforts to draft this convention. We have come 
to the conclusion, however, that it is impractical 
to attempt a convention on this subject and that 
further work along this line is a waste of United 
Nations time and resources. We should not rec- 
ommend United Nations approval of an agree- 
ment embodying the lowest common denominator 



73 



of freedom of information; the potential of the 
United Nations should be devoted to safeguard- 
ing and promoting the maximum of freedom in 
this as in other human rights. 

It is important that we keep our objective 
clearly in mind. Our aim is to promote freedom 
of information. We must be very careful that, in 
selecting the means by which we seek to achieve 
this objective, we do not create obstacles in the 
way of its realization. Freedom of information is 
in great danger these days. Freedom of speech 
and of the press is severely restricted in many 
parts of the world. Unless we keep our objec- 
tive very clearly in mind, therefore, we may end 
by imposing further restrictions on that freedom. 
This is the real danger in the present convention. 

There is one aspect of the position of my Gov- 
ernment which I wish to state as clearly and as 
strongly as I can. When the press and the Gov- 
ernment of the United States speak out against 
this convention, it is, of course, with the intent 
of protecting and safeguarding our own freedom, 
which we regard as priceless and indispensable. 
But in a sense we are speaking even more in be- 
half of freedom for all people. As a matter of 
fact, under our Constitution the Government of 
the United States could not impose the kind of 
restrictions we are now discussing even if it were 
to become a party to a convention which sets them 
forth as permissible. The prohibition against any 
law abridging the freedom of the press contained 
in the Bill of Bights, which is part of the Consti- 
tution of the United States, cannot be superseded 
by a treaty. 

But my Government objects to this convention 
because we do not want to see any people sub- 
jected to such limitations. We have long since 
learned that our freedom is strengthened to the 
extent that the freedom of others is protected. 
The press and the people of the United States are 
convinced on this point. 

Can it be that the free press in any free country 
feels differently from ours? We do not think so. 
On the contrary, we believe that the profession of 
journalism shares certain basic principles and 
ideals in common, irrespective of nationality. We 
believe that the great majority of editors and 
journalists, whether in France or the United 
States, in India or Egypt, would not approve of 
such restrictions. In short, we are convinced that 
these proposals do not have the backing of the 
free press in any free country. 



Fortunately, during recent years we have f ound 
ways to promote freedom of information. I arc 
thinking particularly of the United Nations ad- 
visory services and program of fellowships foi 
news personnel organized in the summer of 195( 
in Geneva; the UNESCO studies of mass com 
munication, including transmission of news; ancj 
other studies and discussions in the Commissioi 
on Human Rights and the Economic and Socia 
Council. As we have heard, the Human Right 
Commission has appointed a committee compose* 
of representatives of France, India, Lebanon, Mex 
ico, and Poland, for the purpose of examining an< 
reviewing decisions on freedom of informatio: 
made by the various organs of the United Nation 
and the work done in the field by the specialize' 
agencies, and to make recommendations to the Hi 
man Rights Commission for further action. 2 Alsc 
the Economic and Social Council in its 23d sessio 
invited the Secretary- General to analyze informs 
tion received from governments and specialize 
agencies on media of information in undei 
developed countries, 3 taking into account an 
recommendations the Human Rights Commissic | 
might make. The Council also urged goven 
ments to take advantage of the United Natioi | 
and the specialized agencies programs of techn 
cal assistance and advisory services for the pr 
motion of freedom of information. These pr ' 
grams have the particular virtue of flexibility ar 
can be adapted to the needs of any area for whii 
a government requests assistance in improvir 
freedom of information and therefore offer gre 
possibilities for practical use. 

For these reasons we need not regard the co 
vention as our only avenue to promote freedom 

information. On the contrary, since this dra -» 

was prepared in 1951 the United Nations pr - : : 
gram on freedom of information has come a Ion 1 r u ,.,-,. 
way into more dynamic and effective methods 
work. This leads us to the challenge facing tl ) ;,•,._ 
committee. In our view the committee shou _. , 



seek forms of United Nations action which 
leave behind the deadlock of the proposed cc 
vention and will enable us to move forward or 
again in the promotion of freedom of infonr 
tion. 4 



■ 



2 U.N. doe. E/CN. 4/751 or E/2970, par. 205. 

3 U.N. doc. E/Res/643 (XXIII). 

4 The General Assembly on Dec. 13 adopted 
resolutions calling for further study and consultation 
freedom of information. 

Department of State Bulle 




J 



of i 



'roblems of European Migration 



NINTH SESSION OF EXECUTIVE COMMITTEE AND SEVENTH SESSION OF COUNCIL 
OF INTERGOVERNMENTAL COMMITTEE FOR EUROPEAN MIGRATION 



i So 

Hi 

m,li 
ring 

OIK 

INatii ty George L. Warren 



otkl 

t: a: 

: 7 The Intergovernmental Committee for Euro- 

' pan Migration, consisting of 27 member govern- 

" lents, was organized in 1951 on U.S. initiative 

/t move out of Europe migrants and refugees 

■>ho would not otherwise be moved. The Council 

<' ICEM met at Geneva in its seventh session 

" 1'tween October 7 and 12, 1957, with all 27 mem- 

, l)r governments represented. 1 Gust van Werveke 

'' , ' Luxembourg) presided as chairman. 

The Executive Committee had met in its eighth 
™f special) session August 12-14, 1957, to consider 
stion necessitated by the untimely death in an 
atomobile accident in July of ICEM's Deputy 
lirector, Pierre Jacobsen, and his able staff assist- 
at, Koberto Rossi-Longhi. The ninth session of 
te Executive Committee was held between Sep- 
tmber 26 and October 12 in meetings interspersed 
(ith those of the Council. 

The important problems facing the Council 
vsre the continuing overseas movement of Hun- 
grian refugees from Austria and Yugoslavia, the 
imediate need for additional funds to maintain 
ta high rate of movement of European refugees 
fc>m mainland China through Hong Kong, the 
cward movement from Europe of refugees ar- 
i r ing from Egypt, the substantial increase of 
r'ugees arriving in Austria and Italy from Yugo- 
s.via, the election of a new Deputy Director, and 



Ser . 



For an announcement of the U.S. delegation, see Bul- 
n of Oct. 21, 1957, p. 6G1. For an article by Mr. 
Wrren on the sixth session of the Council and the 
, seuth session of the Executive Committee, see Hid., 
H. 19, 1957, p. 329. 



the still unresolved problem of securing sufficient 
annual income for operations to meet operational 
expenditures. During the course of the session 
Harold H. Tittmann, Director of ICEM since 
1955, announced his intention to retire in 1958 at 
such time as the Council might be in a position to 
elect his successor. 

Pattern of Movements in 1957 

The revised budget and plan of expenditure 
for 1957 presented an estimate of 208,125 for total 
movements of persons for the year, broken down 
as follows: normal movements, 124,360; Hun- 
garian movements overseas, 49,520; intra-Euro- 
pean Hungarian movements, 8,370 ; movements of 
refugees from Egypt, 15,150; Hungarian refugees 
from Yugoslavia, 7,925 ; and refugees from Hong 
Kong and miscellaneous movements, 2,800. Fi- 
nancial income for 1957 was estimated at 
$63,204,316— $60,408,127 for operations and 
$2,796,189 for administration. Of this total the 
program for movement of Hungarian refugees 
from all areas was expected to account for 



• Mr. Warren, author of the above arti- 
cle, is Adviser on Refugees and Displaced 
Persons, Department of State. He served as 
acting U.S. representative at the ninth ses- 
sion of the ICEM Executive Committee and 
principal adviser to the U.S. delegation at 
the seventh session of the ICEM Council. 



loary 13, 7958 



$13,652,736. Government contributions to the 
Special Fund were estimated at $1,673,879, income 
from migrant reimbursements for movements in 
previous years at $1,700,000, and miscellaneous 
income at $701,111, bringing the total income of 
the Special Fund to $-1,074,990. On balance, the 
pattern of movements in 1957 appeared to be 
working out favorably in so far as the income of 
the Committee for the year was concerned. Sub- 
stantial deficits, anticipated earlier in the year, 
had not developed. The only two programs re- 
quiring additional income before the end of the 
year were those for refugees from the Middle 
East and the Far East. 

Although some government members challenged 
the estimates of certain movements in the general 
discussion on the revision of the budget for 1957, 
the overall total remained unchanged and the 
Council accepted the proposed revisions. The 
cumulative total of all Hungarian refugees moved 
out of Europe by ICEM from November 6, 1956, 
through September 30, 1957, was 88,452. The 
number remaining in Austria at the end of the 
year was estimated at 18,000. 

Refugees From Far East 

The Director's report on refugees from the Far 
East indicated that movements from Hong Kong 
had been higher than anticipated during 1957 and 
that a total movement of 2,700 for the year would 
be possible provided additional funds were forth- 
coming. The discussion during the Council ses- 
sion produced a total of pledges of $207,800 in 
additional funds. Much larger sums would, how- 
ever, be needed if some 1,000 European refugees 
already in Hong Kong and 800 additional in 
China, who were in possession of Hong Kong 
transit visas, were to be moved before the end of 
the year. There would still remain over 12,000 
refugees on mainland China for whose movement 
between $6 million and $8 million would be re- 
quired over the next 3 years. 

On the advice of the Executive Committee, the 
Council decided that the administration should 
continue to move European refugees from Hong 
Kong to the extent that contributions especially 
earmaz-ked for this purpose were received but that, 
in the light of the exhaustion of funds available 
to ICEM for this purpose and the current inade- 
quate response of governments to ICEM's appeals 
for the Far Eastern movement, no special appeals 



76 



liiM- 



procft 

b'pracl 

Thi 



for funds in the magnitude required would be 
made in 1958. The Council recognized that 
ICEM's regular funds coidd not be allocated foi i "" 
this purpose and that ICEM's contribution to the 
further movement of European refugees from 
Hong Kong would depend solely upon the funds 
made available to it for such movements in the 
future on the initiative of interested governments. 
ICEM's organization and facilities in transporta- 
tion would remain available for such services as 
might be required. 

In the discussion on the Director's progress re- 
port, the Italian representative reminded the 
Council of the need for concentrating attention 
on ways and means of developing increased move- 
ments of normal migrants from Southern Europe 
to Latin America. The representative of Greece 
deplored the fact that current emigration from 
Greece was proving disappointing to his Govern- 
ment. Other comments of a general nature were 
to the effect that ICEM had more than justified 
its existence in organizing and achieving the 
movement of over 150,000 Hungarian refugees in 
the short period since the revolution and that 
ICEM's organization and machinery should there- 
fore be maintained as an assurance of similar 
effective action in emergencies that might arise 
in the future. 

During the year ICEM had maintained experi- 
mental efforts in the application of technical serv- 
ices to the selection, processing, reception, and | 
placement of migrants and refugees. Two model 
processing centers, one in Austria and one in Italy, 
were now in operation, and certain trust funds 
contributed by specially interested governments, | 
Chile and Italy, were being devoted to the place- 
ment of worker immigrants in Latin xVmerican 
countries. 

Budget for 1958 

After revising the Director's original estimat 
as overoptimistic, the Executive Committee recom-i 
mended and the Council finally adopted a budg 
and plan of operations for 1958 based on a to 
estimated movement of 157,270 and income 
$40,632,482— $37,390,070 for operations and 
242,412 for administration. The moveme 
estimate was lower by 50,000 than the previous 
adopted figure for 1957, and the estimate of totai 
income was reduced still further by the elimina- . 
tion from the 1958 budget of book credits anc - 

pments 
Department of State Bulletit , 



bits of some $10 million in recognition of gov- 
nment services performed directly in the migra- 
mi process which, on experience, had proved of 

practical value in previous budget presenta- 
ans. This latter action had no effect on the cou- 
nting requirements of government contributions. 
The breakdown of the movement estimate is as 

ows: normal migrants and refugees, 135,530; 
ungarian refugees overseas from all areas in 
urope, 11,550; refugees arriving in Europe from 
»ypt, 10,120; miscellaneous movements, 70; 
pal, 157,270. It appeared to be the general sense 

the Council, in accepting the foregoing 
iimates, that, apart from the lower movement of 
ungarian refugees overseas in 1958, the general 
md of movements of normal migrants out of 
irope would be downward. Movements of all 
tegories of migrants and refugees under the 
)mmittee's auspices had been unusually high in 
57; barring unusual developments, it was not 
pected that this experience would be repeated in 
58. However, the continuing necessity of main- 
ning the flow of refugees overseas and of stim- 
iting further movement from the southern 
Iiropean countries was recognized. The sug- 

Istion developed in the discussion that one of the 
>st important factors affecting the volume of 
>vement out of Europe in 1958 would be the re- 
prts in letters received in Europe from migrants 
ad refugees who had moved in immediately pre- 
" ( ling years on their experiences in securing im- 
0L i tdiate employment, housing, and acceptable 
11 ' i iges after arrival in the countries of immigra- 

Dn the recommendations of the Director and the 

e I ! ] tecutive Committee, the Council adopted a se- 

iK i b of amendments affecting staff benefits and 

( oluments which brought ICEM's salary scales 

a ii staff provisions approximately into line with 

t se provided by the United Nations and its 

«r-i ited international agencies. 

end 

rking Group Suggestions 

1 Irhe Working Group of five governments — 

- Jstralia, Brazil, Italy, the Netherlands, and the 

Dited States — which was set up at the fifth ses- 

i "'■■'■ sfti of the Council in October 1956, had held two 

ratings in January and August 1957, and they 

Pftorted to the Council. 

The suggestions of the Working Group that the 

'■ g^ernments cooperate more closely with the ad- 



ministration in constructing better estimates of 
movements and that the administration improve 
the presentation of requirements to the Council by 
achieving brevity and conciseness in the texts and 
a progressive reduction in the number and volume 
of the documents issued were accepted readily by 
the Executive Committee and the Council. 

A more specific suggestion of the Working- 
Group was that the Council establish a new sec- 
tion in the budget for 1959 to include expenditures 
for international activities performed by ICEM 
which are necessary to, and in fact do, increase 
the volume of migration, are apart from actual 
transport services, and are not normally per- 
formed either by the emigration or the immigra- 
tion country. The Working Group identified and 
listed such services presently being performed 
and determined that their total cost was approxi- 
mately $1,500,000 annually. The Working Group 
assumed that these services should be of common 
interest to all governments, as they serve the main 
purpose of the organization, and that they should 
be supported by voluntary contributions from all 
members based on an agreed-upon percentage 
scale, in a manner similar to that in which the 
budget for the administrative expenditures is 
presently met. Experience has shown that in 
varying degrees all the member governments have 
required and benefited directly from these activi- 
ties in the carrying out of their own emigration 
or immigration programs. 

A fourth suggestion of the Working Group 
was that the Council progressively adopt a series 
of policy statements or directives to the adminis- 
tration as a guide in its negotiations with govern- 
ments with respect to the particular movements 
which ICEM might undertake and the amounts 
of ICEM's free funds which might be applied to 
such movements. The Working Group pointed 
out that the only present statement of policies or 
directives supplied by the Council was the con- 
stitution adopted in 1953. The constitution, which 
is drawn in very general terms, is an inadequate 
guide to the administration in the constantly 
changing political and economic situation in Eu- 
rope in which ICEM conducts its operations. The 
adoption of specific policies, as soon as they have 
crystallized from experience or general agreement 
by member governments, would give more posi- 
tive direction to ICEM's operations in the future 
and would serve as a public statement of ICEM's 
functions and objectives. 



Jhuary J 3, J 958 



77 



Although some member governments i 
preliminary reservations with respect to future 
contributions to the operational part of the budget, 
the report of the Working Group was generally 
well received by the Council. The Council then 
directed that copies of the report and the record 
of the discussion thereon be transmitted to the 
governments immediately for consideration and 
comment in anticipation that the Working Group 
would meet again in February 1958 to formulate 
proposals based on the comments received for pres- 
entation to the Council at the April session in 
1958. Should the governments finally adopt the 
budget proposal of the Working Group, a sub- 
stantial part of the problem of the annual short- 
fall in operational income, now met by the de- 
vice of the Special Fund, would be resolved. 

Election of Deputy Director 

The election of a Deputy Director to succeed 
Pierre Jacobsen (France) raised questions of pro- 
cedure for the Council. While a majority of gov- 
ernments desired to proceed to an election im- 
mediately, others urged delay in order that a 
Deputy Director might be finally chosen whose 
qualifications and experience would complement 
those of the Director to be elected to succeed Mr. 
Tittmann, who had announced his intention to re- 
tire. The view of the majority finally prevailed, 
and Barthelemy Georges Epinat (France) was 
unanimously elected to the post of Deputy Di- 
rector. 

Representatives Frank Chelf and Patrick J. 
Hillings, congressional advisers to the U.S. rep- 
resentative to the Council, and Eoderic L. O'Con- 
nor, Administrator, Bureau of Security and Con- 
sular Affairs, Department of State, and head of 
the U.S. delegation, addressed the Council during 
the course of the session. Representative Chelf 
outlined the provisions of legislation recently 
adopted by the last Congress providing for the 
reunion of families in the United States and the 
admission of parents of U.S. citizens and of cer- 
tain categories of refugees on a nonquota basis. 

Australia, Belgium, Brazil, Canada, Germany, 
Italy, the Netherlands, the United States, and 
Venezuela were elected by the Council to constitute 
the Executive Committee to serve during 1958. 
Baron van Boetzelaer (Netherlands) was elected 
chairman. 



Since it began operations hi February 1952 
ICEM had moved a total of 729,218 migrants am 
refugees to countries of permanent resettlement (,« 
Based on this record of past performance, a gen 
eral spirit of optimism prevailed with respect t 
ICEM's future operations. 



aouary K 

Em 

ration, t 
toil, trs 



TREATY INFORMATION 



Current Actions 



MUTILATERAL 



Automotive Traffic 

Customs convention on temporary importation of priva 
road vehicles. Done at New York June 4, 1954 
tered into force December 15, 1957. TIAS 3943. 
Accession deposited (with reservations) : Israel, Augi 
1, 1957. 

Cultural Property 

Convention for the protection of cultural property in £ 
event of armed conflict, and regulations of executic 
Done at The Hague May 14, 1954. Entered into for 
August 7, 1956. 1 
Ratification deposited: Libya, November 19, 1957. 

Protocol for the protection of cultural property in t 
event of armed conflict. Done at The Hague May i 
1954. Entered into force August 7, 1956. 1 
Ratification deposited: Libya, November 19, 1957. 

Whaling 

Protocol amending the international whaling convi 
of 1946 (TIAS 1849). Done at Washington Nove 
ber 19, 1956.' 

Ratification deposited: Netherlands, December 23, 19 



nirra: 
Stajj 

mm i, . 
k WO 









BILATERAL 



Brazil 

Agreement providing for a cooperative program for 
connaissance and investigation of the uranium 
sources of Brazil. Effected by exchange of notes 
Washington December 26, 1957. Entered into foi 
December 26, 1957. 

Agreement providing for a cooperative program for 
connaissance of the uranium resources of Brazil, 
extended. Effected by exchange of notes at Rio 
Janeiro August 3, 1955. Entered into force Augusi 
1955. TIAS 3385. 

Terminated: December 26, 1957 (replaced by agreem 
of December 26, 1957, supra). 



1 Not in force for the United States. 
5 Not in force. 



Department of State Bull\ 






'IPiris . 






anuary 13, 1958 

tomic Energy. Uranium Prospecting in Brazil . 
viation. U.S.-French Air Agreement Talks . . 
razil. Uranium Prospecting in Brazil .... 
conomic Affairs 

conomic Development of Underdeveloped Coun- 
tries (Judd, text of resolution) 

S.-French Air Agreement Talks 

,108 Scientists Exchanged 



iucational Exchange. 

in 5-Year Period . 



tirope. The Strategy of Victory (Dulles) . . . 
■ance 

le Strategy of Victory (Dulles) 

IS.-French Air Agreement Talks 

Jternational Information. U.N. Calls for Further 
Study on Freedom of Information (Klutznick) . 
Iternational Organizations and Conferences 

tie NATO Conference at Paris (Eisenhower, 

I Dulles) 

Eoblems of European Migration (Warren) . . 
Secretary Dulles To Attend Baghdad Pact Session . 

I os. Prime Minister of Laos To Visit United 
States 

Addle East. Secretary Dulles To Attend Baghdad 
['act Session 

IVitual Security 

fte Strategy of Victory (Dulles) 

Te Strength of Free Men (Dulles) 

I>rth Atlantic Treaty Organization 

Te NATO Conference at Paris (Eisenhower, 

t'Oulles) 

T2 Strategy of Victory (Dulles) 



P;sidential Documents. The NATO Conference 
' t Paris 

Rfugees. Problems of European Migration ( War- 
en) 

Sience. 6,108 Scientists Exchanged in 5- Year 



c 



Index Vol. XXXVIII, No. 968 

56 Treaty Information 

56 Current Actions 78 

56 U.S.-French Air Agreement Talks 56 

Uranium Prospecting in Brazil 56 

United Nations 

57 

„„ Economic Development of Underdeveloped Coun- 
tries (Judd, text of resolution) 57 

U.N. Calls for Further Study on Freedom of Infor- 
mation (Klutznick) 72 

53 

Name Index 

53 Dulles, Secretary 47,52,53,56 

56 Eisenhower, President 47 

Judd, Walter H 57 

'" Klutznick, Philip 72 

Souvanna Phouma, Prince 56 

47 Warren, George L 75 

75 
52 



Check List of Department of State 
Press Releases: December 23-29 

Releases may be obtained from the News Divi- 
sion, Department of State, Washington 25, D.C. 

Press release issued prior to December 23 which 
appears in this issue of the Bulletin is No. 674 
of December 20. 

Subject 
Dulles : return from NATO meeting 

(printed in Bulletin of Jan. 6). 
Visit of Prime Minister of Laos. 
Herter : Christmas message. 
McClintock appointed Ambassador to 

Lebanon (biographic details). 
Yost appointed Ambassador to Syria 

(biographic details). 
Uranium prospecting in Brazil. 
William J. Kelly retirement. 
Dulles : year-end statement. 
Secretary Dulles to attend Baghdad 
Pact session. 



No. 



*679 
680 



Date 

12/23 

12/23 
12/23 
12/23 

12/26 

12/26 
12/27 

12/28 
12/28 



,j|^ 




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Together We Are Strong 



With all of our natural wealth and our high degree of skill, the 
United States must look outside its own frontiers for many of its 
most essential needs. And, in order to sustain the high productivity 
of our ever-expanding economy, we must sell a portion of the goods 
we produce to people of other nations. 

Our friends in the free world are even more dependent on trade. 
Many of them must import a large part of their essential needs. 
And they must export in order to earn the foreign currency to pay 
for their imports. 

This inescapable fact of the mutual need of the nations of the 
free world for one another is one of the most important considera- 
tions underlying U.S. foreign policy. 

How would you be affected if the United States stopped trading 
with other nations? The effects of imports and exports on food sup- 
plies, on manufactured products, on jobs, on the American economy, 
and on free-world security are outlined in the 1958 edition of To- 
gether We Are Strong, a 37-page illustrated pamphlet. 

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THE DEPARTMENT OF STATE 




IAL 

LY RECORD 

:d STATES 
6N POLICY 



Vol. XXXVIII, No. 969 January 20, 1958 

OIL, WATER, AND NATIONALISM IN THE MIDDLE 

EAST • by Edwin M. J. Kretzrnann 83 

PROGRESS IN THE REPUBLIC OF CHINA • 

by Ambassador Karl L. Rankin 89 

THE BROTHERHOOD OF CHRISTMAS • Remarks 

by President Eisenhower 91 

UNITED STATES AMENDS REGULATIONS ON IN- 
TERNATIONAL TRAFFIC IN ARMS • Text of 

Chapter J, Subchapter M, Title 22, Code of Federal Regu- 
lations 95 

PEACEFUL AND NEIGHBORLY RELATIONS AMONG 

STATES © Statement by Ambassador Henry Cabot Lodge . 104 



For index see inside back cover 



Boston Public Library 
SuperintPT-->-nt f Documents 

MAR 1 1958 



THE DEPARTMENT OF STATE 




Vol. XXXVIII, No. 969 • Publication 6584 
January 20, 1958 



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Oil y Water, and Nationalism in the Middle East 



by Edwin M. J. Kretzmann 

Public Affairs Adviser, Bureau of Near Eastern, South Asian and African Affairs ' 



It seems particularly appropriate that we 
should discuss the region of the Middle East here 
n southern California. The experts tell me that 
i n area and climatic regime the eastern Mediter- 
ranean is comparable to coastal southern Cali- 
fornia with the important difference that the 
Mediterranean area is hotter and has no snow- 
;apped mountains to supply snowmelt waters for 
IU rrigation. In both areas the natural low-level 
* andscape is a semidesert with much more desola- 
i* ion in the eastern Mediterranean due to defor- 
s «| station, serious overgrazing, and soil erosion. 
«i on The ruins of ancient towns in what is now desert 
ra> • nd the evidence of former agriculture in areas 
f lb ow desolate suggest cyclic changes in rainfall, 
»«(• ut there is no positive evidence to demonstrate 
'«* lat the average temperature and rainfall 
jolft rroughout Biblical times were materially differ- 
idtki at from today. It is probable that some of the 
M lowing accounts of agriculture recorded in lit- 
nidl? 'ature available from the pre-Christian era were 
o*' :.erely in contrast to the surrounding desert. 
irrf« .rcheological evidence points to the fact that 
osw'l .lined cities of the interior were all provided with 
, /««• [ r g e reservoirs or catch basins, which would lead 
if" r "" 1 the conclusion that the storage of water was 
<"° l " i essential then as now. Minor changes in the 
"" mount of precipitation, some of them extending 
; rhaps over a century, may have occurred, but 
"' <e longtime average probably has remained 
( iithin narrow limits. Rough correlations be- 
" ,. tjeen the growth rate of the sequoias and moun- 
( m rainfall in Jerusalem and in central 

of '"' 

Ulifornia suggest that both areas underwent 



Address made before the Institute of World Affairs 
Pasadena, Calif., on Dee. 11. 



parallel fluctuations. Thus, the aridity which 
sent Joseph's brothers into Egypt is recorded in 
the California sequoias. 

Oil 

The modern history of oil development in this 
region begins with an obscure discovery made in 
Egypt in 1869. The location was near Gemsa on 
the Red Sea coast just south of the Gulf of Suez. 
During the next 40 years intermittent mining and 
drilling was carried out, and in 1909 oil was first 
produced in commercial quantities. The Gemsa 
field proved to be of minor extent but attracted 
outside attention to Egypt's petroleum possibil- 
ities and in time led to the explorations which un- 
covered the much vaster and more accessible oil 
fields to the east and north. 

Today the oilfields of the Middle East contain 
more than two-thirds of the free world's reserve 
of crude oil. Already they are producing one- 
fourth of the free world's supply. The spectacu- 
lar increase in the Middle East's reserve and pro- 
duction has taken place since the end of World 
War II. In the postwar decade the estimated re- 
serves in the Middle East have increased from 19 
billion barrels, or 38 percent of the free world's 
total at the end of 1945, to 126 billion barrels, or 
71 percent at the end of 1955. Some of the oilfields 
there rank among the world's largest known fields 
to date. Kuwait, Saudi Arabia, Iraq, and Iran 
rank after the United States and Venezuela as the 
free world's largest producing countries. 

During the past 10 years Middle East oil has 
practically replaced the Western Hemisphere in 
the markets of Europe and countries east of 
Suez. The Middle East now provides 90 percent 



nuary 20, 1958 



83 



of the crude oil imported into Europe, which has 
become virtually self-sufficient in refining 
capacity. 

The oil industry has brought a new source of 
income to the governments and peoples of the 
Middle East. The annual income of these states 
from oil operations has increased from about 
$100 million in 1948 to close to $1 billion today. 
The local governments have used these funds to 
expand local services, to build schools and hos- 
pitals, to carry out development projects, and to 
encourage the investment of local and foreign 
capital in industrial expansion. The increasing 
oil revenues have materially raised the standard of 
life of millions of people. In addition, the oil in- 
dustry directly employs tens of thousands of Arab 
nationals, and allied industries provide a liveli- 
hood for many thousands more. 

The principal oil-producing countries in the 
Middle East today are, in order of magnitude of 
production: the Sheikhdom of Kuwait on the 
Persian Gulf, the Kingdom of Saudi Arabia, the 
Empire of Iran, and the Kingdom of Iraq. How- 
ever, none of the other countries in the area of 
similar geographical formation has given up 
hope of also finding oil. Less important finds 
have been made in Turkey, Egypt, and Israel. 
But almost all of the Middle Eastern states 
have a stake in the oil industry, since many of 
those who do not produce it in large quantities 
have become important factors in the industry 
because of the pipelines and other transit routes 
which cross their territory. Thus, Egypt's Suez 
Canal has become one of the larger arteries for 
oil delivery to Europe, as was evidenced by the 
crisis which developed when the flow was inter- 
rupted last fall. Similarly Syria, which until 
now has not discovered oil in exploitable quanti- 
ties, plays a larger role through the several pipe- 
lines which transit its territory to the Mediter- 
ranean coast. Jordan and Lebanon also partici- 
pate in the income from the oil industry through 
pipelines and, in the case of the latter, through 
terminal facilities at its ports. Most recently 
Israel has supplemented its oil-producing in- 
dustry with the installation of a pipeline from 
the port of Elath on the Gulf of Aqaba to facili- 
tate the transfer of oil to the Mediterranean, but 
up until now the pipeline capacity is limited to 
quantities which are not in excess of Israel's own 



Let us take a quick look at four countries in 
the area to see what the discovery of oil in large 
quantities has meant to their economies and to ,, 
their social development. The most fabulous ex- 
ample is the one of Kuwait, a tiny Sheikhdom on 
the Persian Gulf with a total population not in 
excess of 200,000, whose previous income was 
from boatbuilding, trading, and pearl fishing. 
It is estimated that today Kuwait has a per capita 
production of 200,000 barrels of oil a year. As a 
result of the expansion of the oil industry, Ku- 
wait's economy has made spectacular progress. 
The Kuwait Oil Company has built a port and 
facilities for the export of petroleum, and boat 
traffic has continuously expanded. It has 
built an entire new inland town with housing 
accommodations for its employees, a tank fa 
and industrial buildings, administrative 
paved roads, public utilities, shopping centers, 
mosques, schools, and other facilities. Health 
and sanitation programs have greatly improved 
the life expectancy of the inhabitants, and tech- 
nical training is provided for the local employees. 
An interesting sidelight is the construction of a 
sea-water distillation plant whose daily produc- 
tion of close to a million gallons of fresh water, I 
while uneconomical as a water-producing in- 
dustry, does supply a need which cannot be filled 






to place a 

!: 
- 

industry, i 

b 



- 

ii time wl 

overall r 



Wit« 












from other sources and thus furnishes the most 
needed commodity of the Middle East — water, 
Exploration for oil has also brought in suppli 
of brackish water which can be used for indus- 
trial and sanitation purposes and the irrigation!) 
of gardens and roadside trees. 

Saudi Arabia offers a more violent contras! 
between the old and new. Until recently thid 
only wheels in the country were those on thd j , 
primitive rigs over the water wells where donkey" 
and camels go around and around to haul up s 
bags of the precious fluid. Now Arabs are driv « 
ing 30-ton semitrailers with 15 gears, and Arab 
are riding planes over deserts that not long agik 
could be crossed only by weeks of travel on camel 
back. The. palace at Riyadh lies in the middle o L" 
this desert with complete air conditioning, elec ; . 
tricity, and telephone. The concept of wester L,' 1 
modernization has found acceptance, and there i L,. ' 
great desire for still faster development. Tb 
most spectacular project has been the Saudi An 
bian Government railway, stretching 351 mile 
from Riyadh to a deep-water port at Damman o 

Department of State Bullet* 






eluding port facilities, was approximately $70 



the Persian Gulf 
eikhdomn 



"' and the project was turned over to the Govern- 



The cost of construction, in- 

ties, was approximately $70 

The first train reached Eiyadh in 1951, 



ment on January 1, 1953. 

In Iraq and Iran the Governments have decided 
to place a large portion of the income from oil 
production into planned development funds. In 
' Iraq the new 5-year $852-million program went 
■ into effect on April 1, 1956, and will include ex- 
• Ipenditures for irrigation, flood control, and drain- 
's™ kge (36 percent) ; roads and bridges (19 percent) ; 
rt: industry, mining, and electricity (14 percent) ; 
" railways (5 percent); and housing and miscel- 
laneous projects (11 percent). 2 Several of the 
"' major dams have already been placed in opera- 
! ' 1 tion. In Iran similar development plans are in 
process but have been delayed due to the interrup- 
tion in the flow of funds caused by Premier Mos- 
sadegh's attempt to nationalize the oil industry at 
a time when the country was not prepared to 
nanage it efficiently and economically. Iran's 
seven-Year Plan envisages similar projects to 
;hose being activated in Iraq and will result in an 
>verall raising of standards of living in Iran. 

Water 

Perhaps the problems of the Middle East would 
>e less difficult to cope with if water were found 
in the same abundance as oil is in certain areas. 
Jertainly, the entire area suffers from a preoccu- 
pation with the question of an adequate supply of 
rater, and the cutting up of the area into various 
-mall states, which the available sources of water 
raverse internationally, greatly complicates the 
■roblems of applying regional development 
lahemes which must be based in the first instance 
!'n political agreement to share the available 
resources. 

|| Throughout the area life has to be planned 
ii -ound water — its absence and its rare presence. 



Jut not I" 1 ? 



- 



,,1.!.' 



;':''" 



'""-' 



gift of water appeared to Mohammed as a 
; mve loii9flbligious charity and later became a legal obliga- 
ihdoitf on. Free access to water was always the right 
the Muslim community in the areas conquered 
the followers of Mohammed. It was Moham- 
d's thesis that no Muslim should ever want for 



Iraq, Department of State publication 6514, November 

57, p. 10 ; for sale by the Superintendent of Documents, 

Government Printing Office, Washington 25, D. C, 



paUF ice 15 cents. 

jjieSi inuary 20, 7958 



water, and he made of water the perfect, indis- 
pensable, and priceless element of purification to 
obtain a state of grace. The Koranic traditions 
are replete with examples of the special considera- 
tion given to water. One of its dicta runs: "No 
one can refuse surplus water without sinning 
against Allah and against man." Among the 
persons whom Allah will ignore on the day of 
resurrection is the man who having water in 
excess of his needs refuses it to a traveler. The 
Koranic tradition also established the priority in 
the use of wells as follows: "First, the person 
suffering most from the lack of water ; second, the 
person who had dug the well ; third, the traveler 
who is also entitled to ask the well-digger to sup- 
ply him with cords and a bucket to draw the 
water ; fourth, the local inhabitants ; fifth, the ani- 
mals of the person who dug the well; sixth, the 
animals of the traveler; and seventh, the animals 
of the inhabitants of the region." 3 

Under the Ottoman Empire water laws were 
codified according to varying political situations. 
In Egypt, for example, the control of water was 
brought under municipal law on the theory that 
water belongs to the state and its distribution is to 
be regulated in strict rotational turn. In other of 
the Arab States we still have traces in the modern 
law of the traditions deriving from the Koran . In 
desert areas land titles are generally valueless, 
but water is bought, sold, and allocated sometimes 
quite independently of the land that it irrigates. 
Water rights are inherited in the same way as real 
estate. 

This preoccupation with the problems of water 
is a natural limitation upon the development of 
many of these countries, and it also serves to ex- 
plain some of the difficulties which we en- 
counter in dealing with political problems in the 
area which involve the use of water in one form or 
another. It is quite possible, therefore, that 
Nasser's violent reaction to what he considered to 
be our withdrawal of a possible controlled water 
supply to be provided through the Aswan Dam 
was to some extent the traditional reaction of the 
area. In fact, some people go so far as to assume 
that his nationalization of the Suez Canal Com- 
pany, by which he assumed sole control of that 



3 Water Laxvs in Moslem Countries, Dauk A. Ceponera, 
ed., Food and Agriculture Organization of the United 
Nations, Development Paper 43, March 1954, p. 20. 



85 



waterway, was designed to reciprocate in kind by 
depriving the West of its water. 

Viewed from an objective, scientific point of 
view, the answer to this problem in the Middle 
East would seem to be a coordinated, integrated 
development program to make the maximum and 
most efficient use of the available sources of water. 
A number of plans have been put forward which 
would combine the resources of the Jordan, the 
Yarmuk, the Dan, the Banias, and the Hasbani 
Rivers, and some of the natural reservoirs of the 
eastern Mediterranean shore, such as Lake Ti- 
berias, to provide controlled supply and storage 
facilities to furnish adequate amounts of water for 
seasonal irrigation and to build dams for the devel- 
opment of electric power which would promote the 
industrialization of the states in the area. None 
of these plans has been able to be brought to 
fruition because they all run into political prob- 
lems which require cooperative relationships be- 
tween the states in the area — relationships which 
are as yet nonexistent. The chief obstacles to these 
relationships are the basic Arab-Israel dispute 
and the varying concepts of nationalism which 
provide the dominating political theme in the 
area. 

Nationalism 

Two characteristics are common to all of the 
states in the area : an intensely jealous guarding 
of their newly acquired sovereignty and a passion- 
ate desire to improve and develop their economies 
in the shortest possible time. 

Most of the states in the area have acquired their 
independence and sovereignty within the last 25 
years, and, like other states which have recently 
been liberated from former colonial domination, 
they are extremely sensitive to any actions of 
policy which seem to infringe upon their sover- 
eignty. The leaders of these states are intent upon 
consolidating their political independence even to 
the point of exercising their right to make their 
own mistakes. While most of their suspicion is 
directed against the former colonial powers, this 
very tangible attitude affects their relations with 
all of the great powers. 

Concomitantly, these governments are attempt- 
ing to telescope progress and developments of the 
last century, which led to the industrialization and 
social organization of the developed countries, into 
as short a time as possible. Unfortunately, they 



lack the resources and in many cases the most 
elementary technical know-how to achieve this 
objective. 

A basic conflict arises from the clash of these 
two desires. In order to achieve the kind of eco- 
nomic development and progress which they so 
intensely desh*e, they are forced to seek assistance 
from more highly developed countries whose re- 
sources in money, capital, goods, and technical 
skills are essential to facilitate economic progress 
for these countries, at least for the foreseeable 
future. On the other hand, their requests for as- 
sistance from the great powers, particularly the 
U.S. and U.S.S.R., inevitably associate them to 
some extent with the current struggle between the 
power blocs. 

The official position of the Arab States in this 
power struggle is that they wish to maintain an 
attitude of "positive neutrality." However, in the 
light of the considerations set forth above and the 
great skill which is required to maintain this free- 
dom of action between the two great powers, the 
states of the area have experienced great difficulty 
in successfully maintaining this neutral position. 

A further complicating fact is the clash within 
the area of two conflicting types of nationalism. 
Jewish nationalism, which began as a movement 
in Europe to provide a safe haven for Jewish 
people who were being subjected from time to 
time to persecution and which reached its cres- 
cendo during the pogroms of Hilter and lesser 
dictators, has resulted in the establishment of an 
aggressively national Jewish state within the area 
traditionally inhabited over the last 2,000 years 
by Arabs. In fact, the establishment of the State 
of Israel was achieved at the expense of dispos- 
sessing close to a million Arabs from the area of 
Palestine which they had previously inhabited. 
Jewish nationalism is completely exclusive and 
has produced a vigorous forward-looking state 
which by the skills and zeal of its immigrants has 
created an economic and social structure which is 
both a challenge and an irritant to the area as a 
whole. 

Arab nationalism, on the other hand, has had 
both a slower and more diffuse development. The 
former oneness of the Arab world furnishes a 
basic belief in Arab unity. But through the cut- 
ting up of portions of this area as mandates of the 
colonial powers, certain vested interests in the pres- 
ervation of national entities have been created. 
Despite the conflict between the various persisting 



; "M:.... 



86 



Department of State Bulletin 



national units, the touchstone of political activity 
in the area is a tendency on the part of the Arabs 
to make common cause and bury their own differ- 
ences whenever they are confronted by Israel or 
any of the outside powers. 

Today the Arab States are still groping toward 

common method and an agreed goal to achieve 

their objective of uniting the Arab peoples. Some 

id technical of the leaders, particularly in Syria and Egypt, 

lie progress seem to be heading toward a complete union. 

foreseeable Leaders in other Arab States seem more inclined 

nestoforaj 



8 the most 
chieve this 

sh of tb 
iind of eco- 
ich they so 
k assistance 
8 whose r* 



ate them to 



, : :;.-'i:!:;i: 



oveindtn 
ak this free- 
t powers, tie 

:ral positi 



from time 



sliment of an 

ithintheaw 



eicteto ®l 



to work gradually and responsibly toward a fed- 
dark the eration which in time would create a common 
Arab unit. At the moment, however, the Arab 
States seem capable of making common cause only 
on negative issues, such as opposition to Israel and 
jtjijj actions designed to demonstrate their control over 
resources essential to the security and economic 



!),{ well-being of other parts of the world. 



The events of last year, beginning with the 
Egyptian nationalization of the Suez Canal Com- 
pany and resulting in the eventual closing of the 
sanal for several months and the further inter- 
ruption of the flow of oil to Europe by the sabo- 
■(4 within t a g e or the pipelines in Syria, resulted in great 
damage not only to the economies of Europe but 
to the economies of Egypt and Syria as well 
is to the economies of the underdeveloped states 
iast of Suez, which, in general, had condoned 
President Nasser's action. Similarly, Premier 



I | pK ,, Mossadegh's efforts in Iran to bring the British to 



terms on the oil dispute resulted in a setback to 
;he development plans of Iran, and only now, 3 
pears after an agreement was reached, is the oil 
the State production of Iran returning to the level which 
use of dispos- t had reached in the early fifties. These events 
nj de area ol Iramatize the need for developing a new type of 
s ly inhabited, relationship to replace the old colonial ties. In 
mr judgment the best possible future for the area 



looking 8 * )f the Middle East lies in continued association 



,, f ^ 



with the free world, economically and politically, 
hi a basis of mutual, and equal, interest and re 
the area as jpg^. -po that end we have been advocating the 
!, »ncept of interdependence. 

lopment. i" 
14 furnishes 

„ndat*H 

"' j sally vital to the security interests of the United 

rion^ 

January 20, J 958 

f Stole r™ 



United States Policies in the Middle East 

United States policy for the Middle East is 

sed upon the assumption that the area as a 

jriiole is strategically, economically, and politi- 



States and of the free world. Conversely, we be- 



lieve that the states of the area can best achieve 
their objectives of remaining politically independ- 
ent and developing economically in association 
with the free world. 

Strategically, the area constitutes the land- 
bridge between the two continents of Eurasia and 
Africa and controls the sea and air routes to the 
subcontinent and the Indian Ocean. Economi- 
cally, the oil resources of the Middle East are es- 
sential to the continued economic and military 
strength of our European NATO partners, and 
continued mutually profitable trade in oil and 
other commodities is also essential to provide the 
Middle East with the financial and economic re- 
sources it so desperately requires to promote its 
development. Politically, it would be a great 
tragedy for the free world if the Arab-Muslim 
states felt that they could achieve their national 
destiny in association with international commu- 
nism because the consequences of such a develop- 
ment would be felt among the 300 million Mus- 
lims in the world all the way to the ends of Indo- 
nesia. 

Negatively, we are alert to the continuing desire 
of the Soviet Union, inherited from the days of 
imperialist Eussia, to extend its domination over 
the area. With the failure of the postwar at- 
tempts to pursue this objective by military means, 
such as pressures on the northern province of 
Azerbaijan in Iran, the prosecution of the Com- 
munist guerrilla war in Greece, the continuing 
pressures on Turkey and the Straits, and the at- 
tempts to achieve a mandate in Libya, the Soviet 
Union has, since Stalin's death, turned to the more 
subtle, and more successful, means of political, 
cultural, and economic penetration. To meet this 
change in tactics, but not in objectives, by the So- 
viet Union, we have kept our Middle Eastern poli- 
cies under continuing review to enable both the 
United States and the Middle Eastern states to 
achieve what we believe to be our common objec- 
tives of independence and economic progress. 

To meet the threat of Soviet domination to the 
area as a whole, we have devised the American 
Policy for the Middle East, more popularly 
known as the Eisenhower Doctrine, which was 
presented to Congress last January 5 and passed 
as a joint resolution on March 9, 1957. 4 The un- 
derlying principle of the doctrine is a cooperative, 
voluntary association to achieve common objec- 



For text, see Bulletin of Mar. 25, 1957, p. 481. 



87 



tives. If any state, or group of states, in the gen- 
eral area of the Middle East desires it, we are 
prepared to use United States military power to 
protect them from overt aggression by forces con- 
trolled by international communism. This will 
prevent Soviet miscalculation if they should de- 
cide to revert to the policy of direct military pres- 
sure. 

More importantly, we are prepared to extend 
economic and military assistance to help the states 
of the area achieve their objectives of developing 
their economy and of maintaining their internal 
security and national self-defense. The objective 
is to help provide greater political stability in the 
area and to help satisfy the growing demands for 
higher standards of living and greater participa- 
tion in the social and economic benefits derived 
from national resources. The amounts of money 
involved in terms of past aid programs are not 
large, but they provide the essential margin be- 
tween success and failure of our policies. In the 
countries with large revenues from oil, technical 
guidance and advice are sometimes the only requi- 
sites; in countries with lesser resources, the 
amounts are limited by the capacity to absorb aid 
efficiently and effectively. 

We are well aware that the effectiveness of this 
program of assistance is limited by the internal 
dissensions and political differences which beset 
the area. The American Policy for the Middle 
East was not designed to address itself to the in- 
ternal problems of the area, even though we are 
convinced that in the long run it will help to 
achieve settlement of these issues also. Soviet, 
Syrian, and Egyptian propaganda has achieved 
a measure of success in distortedly portraying the 
American Policy for the Middle East as an instru- 
ment for dividing the Arabs among themselves, 
but the real purpose of our efforts was to demon- 
strate to the Middle Eastern states that, when they 
are prepared to unite on constructive objectives 
for their common benefit, the American Policy for 



the Middle East is designed to help promote these 
ends. 

We continue to believe that the United Nations 
provides the best forum and the best means to pro- 
mote settlements of the troublesome internal prob- 
lems of the area. Certainly such issues as the prob- 
lem of the Arab refugees, the fixing of the final 
boundaries of the State of Israel, the relationship 
between the Arab States and Israel, and the de- 
velopment of regional water projects are all mat- 
ters with which the United Nations, either in the 
Security Council or the General Assembly, has 
been seized since their very inception. Although 
the lack of prospect of early solutions to any of 
these problems may seem discouraging, the record 
of the United Nations in maintaining control of 
the situation at various critical junctures is good. 
We shall continue with all our power and influence 
to support efforts in the United Nations to findl 
constructive solutions. 

But here again, the basic principles of United 
States foreign policy come into play. The official 
United States attitude toward the Arab-Israel 
dispute is one of "sympathetic impartiality," 
which means we are neutral. We continue to 
hope that the newly sovereign states of the Mid- 
dle East will recognize that the stubborn pursuit 
of conflicting national objectives will, in the long 
run, act to the detriment of the area as a whole 
and provide opportunity for those who have' 
selfish objectives of their own to take advantage 
of this division and conflict to preclude the 
achievement of the national objectives of any 
one of them. This realization of the interdepend- 
ence of the area, in itself and, in turn, with the 
rest of the free world where its cultural, spiritual, 
economic, and political ties are anchored, could 
be the beginning of an agreement to agree by the 
parties directly involved in the disputes. At that 



Progress i 



tyA 



i 

tore 

" 

! 
1 






" than i vear 
point the great influence and means of the United ^ 
States could be effectively used to facilitate the 
complicated and difficult arrangements which ff i 
would undoubtedly be necessary to reach solutions. 



88 



Department of State Bulletin 






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Progress in the Republic of China 



by Karl L. Rankin 
Ambassador to China ] 



Just over a year ago I had the privilege of 
addressing this distinguished body of Chinese 
and Americans who have shared the benefits of 
education at more than 100 colleges and univer- 
sities in the United States. At that time the 
entire world had been watching events in Hun- 
gary. The magnificent effort of the Hungarian 
people to regain their freedom had been ruth- 
lessly suppressed by Russian troops. Yet we had 
seen new and unmistakable evidence of highly 
significant ferment behind the iron curtain. 
Here was reason for new hope that the evil power 
intlieloH of international communism was indeed weak- 
wbo ening from within. I concluded my remarks of 
November by pointing out the overriding ad- 
vantage enjoyed by China as compared to Hun- 
gary. That is, of course, the existence on this 
ves of ai? great island of Taiwan of a strong and progres- 
nterdepend- sive government, dedicated to bringing all of 
China, united in freedom, back into the family of 



.;,, inn- free nations. 

iored, coul' My time in China is coming to an end. It is 
igreebytl nearly 8y 2 years since I went to Canton and more 
[es, AttliJ than 7 years since I arrived in Taiwan. It has 
ftheW been a period of trial but also a time of accom- 
ijitet* plishment and hope. At the risk of repeating 
Kills *l*l what is generally known, I shall review certain 
itiois najor achievements of this period. Then I shall 
venture to speak of the future. 

The successful transfer of the Chinese Gov- 
ernment and a substantial part of its military 
establishment to Taiwan was in itself a notable 
fiiccomplishment. Today, among the members of 



Address made at Taipei on Dec. 18 at a farewell din- 
ler given by the American University Club in honor of 
Embassador and Mrs. Rankin. On Dec. 13 Mr. Rankin 
tvas appointed Ambassador to Yugoslavia. 

lanuary 20, 1958 



the United Nations listed in order of population 
or other major resources, Free China stands in 
the upper half. Prior to my arrival in 1950 the 
Chinese had done wonders in repairing war dam- 
age to industry and transport on this island and 
in consolidating the numerous military units 
which had come from the mainland. But inevi- 
tably much military equipment had been left be- 
hind, and modernization was necessary in any 
case. Moreover, the burden of maintaining a 
substantial military establishment and absorbing 
more than a million civilian refugees on a 
densely populated island was beyond Taiwan's 
current economic capacity. Free China's lim- 
ited reserves of gold and foreign exchange were 
dwindling rapidly, with the prospect of exhaus- 
tion some time in 1951. 

Role of U.S. Aid 

At that point the United States was able to 
initiate its present program of military aid and 
financial support which has permitted Free 
China to achieve the dynamic progress we see on 
Taiwan today. The Chinese military establish- 
ment has been reequipped and modernized, to 
make it one of the most effective and one of the 
two largest among the free countries of Asia. 
Meanwhile the volume of agricultural produc- 
tion has risen by 30 percent since 1951, and in- 
dustrial output has doubled. Aided also by a 
successful program of land reform, living stand- 
ards on Taiwan have risen, despite the rapid nat- 
ural increase in population, to a level higher than 
almost anywhere else in Asia. All of this has 
been accomplished mainly and indispensably by 
Chinese efforts. It is profoundly satisfying to 
me that American aid has supported these ef- 



forts and that I have been privileged to partici- 
pate, however modestly, in these achievements. 

Social and political progress also has been 
notable on Taiwan during the past 7 years. In 
these fields the American contribution has been a 
relatively minor one, and properly so. In certain 
kinds of social and educational work, citizens of 
the United States have been active in China for 
generations. But in the broader mission of de- 
veloping the social and political philosophy best 
suited to the Chinese people, no foreigner can 
assume responsibility. In the sphere of local self- 
government and in the control of subversion while 
maintaining a large measure of individual liberty, 
Free China is displaying a keen awareness of 
today's political needs. I look for continued ad- 
vances in these fields and in the social conscious- 
ness which is already so much in evidence. 

But the accomplishments of Free China are by 
no means limited to the domestic sphere. Under 
the great leadership of President Chiang Kai-shek 
and his gifted Foreign Minister, the international 
position of the Bepublic of China is far stronger 
today than it was 7 years ago. The treaty of peace 
with Japan in 1952 and the treaty of mutual de- 
fense with the United States, signed in 1954, 2 are 
but two examples of the worldwide and largely 
successful efforts of the Chinese Government in 
developing its relations with free countries every- 
where. Meanwhile, China has continued to play 
a prominent part in the constructive work of the 
United Nations. 

Today the Bepublic of China has come a long 
way from the dark days of 1950. Some mistakes 
were inevitable, both by Chinese and by their 
American friends and allies. But on balance we 
may take pride in what has been done in this great 
cooperative effort. I question whether, in general 
terms, a greater or more rapid advance in military, 
economic, social, political, and international fields 
would have been humanly possible. The task 
ahead is to make the best use of this sound base to 
which so much effort has been devoted. 

Now, let me say a few words about the future. 
For those whose interests are not directly involved 
there is always an attraction in accepting the 
status quo. It suggests peace or, at least, the in- 
definite postponement of conflict. Many people 
ask, therefore, that we be "realistic" and "face the 
facts of life" by recognizing the Peiping regime. 



2 For text, see Bulletin of Dec. 13, 1954, p. 
90 



My reply to such proposals is that they overlook 
the real facts. Honest acceptance of the "two 
Chinas" concept is a political impossibility for 
any Chinese regime, whatever its political com- 
plexion. A great people like the Chinese will 
never acquiesce in the permanent dismemberment 
of their country, witness the history of Manchuria. 
But for the sake of argument, let us suppose that 
Peiping, nevertheless, should seem to agree to the 
existence of two Chinas. The Government on 
Taiwan could only regard this as further evidence 
of Communist duplicity, a move to gain tactical 
advantage in preparation for ultimate conquest. 
In any case, the Government of the Bepublic of 
China cannot break faith with the Chinese people 
in such fashion. 

Question of Return to the Mainland 

Another question frequently asked in the name 
of "realism" is whether the Government of the 
Bepublic of China genuinely believes in a "return 
to the mainland." My answer is "yes." Since 
the conception of two Chinas in permanence must 
be excluded, there is no substantial alternative to 
reunion. However, many people both in China 
and abroad tend to regard this problem in purely 
military terms. They picture a huge amphibious 
operation, a great armed assault, with banners 
flying and bugles blowing. Now it might happen 
that way, but I would hope not. Military strength 
is essential in any event, but its optimum employ- 
ment is to bring victory with a minimum of actual 
fighting. I need not describe the truly horrible 
character of full-scale modern war, for military 
and civilians on both sides. The Chinese people 
will fight for freedom if need be, no matter what 
the cost, but how much better if they can be spared 
at least some of the sufferings with which they 
are all too familiar ! 

I am confident that the Chinese Armed Forces 
will play a vital part in the eventual liberation 
of China, whether as a military force in being, or 
on the field of battle, or as forces of reoccupation 
and reconstruction. I believe also that political, 
economic, and social developments on Taiwan 
will be equally important with military strength 
in the redemption of China. And I am sure that 
the continued success of the Chinese Government 
in maintaining friendships throughout the free 
world will contribute no less significantly to the 
same end. In these several ways, Free China to- 

Department of Slate Bulletin 



fie* 

: 



L msurethat 

Governm* 31 ' 

antly to tbo 
ee Ctin at0 ' 



day leads a crusade against the malignant influ- 
ence of international communism which far 
transcends the conception of a purely military 
counterattack against the mainland. 

In his speech at San Francisco last June 28, 3 
Secretary Dulles predicted : 

We can confidently assume that international com- 
munism's rule of strict conformity is, in China as else- 
where, a passing and not a perpetual phase. We owe 
it to ourselves, our allies, and the Chinese people to do 
all that we can to contribute to that passing. 

And in conclusion he said : 

The capacity to change is an indispensable capacity. 
Equally indispensable is the capacity to hold fast that 
which is good. Given those qualities, we can hope- 
fully look forward to the day when those in Asia who 
are yet free can confidently remain free and when the 
people of China [ — he referred, of course, to all Chinese — ] 
and the people of America can resume their long his- 
tory of cooperative friendship. 

Free China is rich in leadership, in intelli- 
gence, in capacity for hard work, in patience, in 
determination, and in the capacity to hold fast 
that which is good. The Chinese Government 
and people are engaged in an epic struggle to re- 
store freedom and union in their country. The 
tyrants in Peiping leave no alternative to Free 
China but a policy of "we or they." All of the 
great qualities of the Chinese people are needed 
to bring success, and among these patience and 
determination are indispensable. Persisting in 
the efforts which have accomplished so much, and 
never doubting the righteousness of Free China's 
cause, must lead to victory. 

I leave with confidence in that victory. 



The Brotherhood of Christmas 

Remarks by President Eisenhower 1 

As once again we meet in this annual ceremony, 
we count ourselves a very fortunate people. In a 
land at peace, we are gathered about the National 
Christmas Tree to set its lights aglow with their 
symbolic message of peace and good will to men. 

The custom we now observe brings us together 
for a few minutes on this one night. But this 



'Ibid., July 15, 1957, p. 91. 

"Made at the lighting of the National Christmas Tree 
at Washington, D.C., on Dec. 23 (White House press 
release ) . 

January 20, J958 



brief ceremony is warm in a spirit that gives mean- 
ing to all our days and all our labors. 

For you and I, here, are not alone in a world in- 
different and cold. We are part of a numerous 
company — united in the brotherhood of Christmas. 
And, as a brotherhood, we remember, with special 
concern, the weak, the helpless, the hungry. And 
beyond this tree that towers above us in the dusk, 
beyond the shadows and limits of this place, a 
mighty host of men and women and children are 
one great family in the spirit of Christmastide. 

Tens of millions of them are fellow Americans. 
At this moment they are sitting in safe and cheer- 
ful homes. They visit among themselves in the 
lighted squares of small towns. They hurry along 
the crowded streets of busy cities. Freely they 
drive and fly and ride the transport lanes of the 
Nation. They are at work, at work of their own 
choosing, in shops and factories and fields. They 
are on distant posts and stations, and on the ap- 
proaches to the South Pole and to Greenland, on 
every continent and on many islands, doing their 
tasks far from home for the peace and well-being of 
all of us at home. 

All are united in the renewed hope which we feel 
at Christmas time, that the world will somehow be 
a better place for all of us. 

In the days just preceding our holiday season, I 
had the opportunity to work closely with the lead- 
ers of our NATO allies. Later this evening, the 
Secretary of State and I shall report to America 
on that meeting. 2 But here let me say that, in 
dedication to peace, in our determination and 
readiness collectively to sustain that peace, we are 
firmly joined with our NATO partners — as indeed 
we are with other friendly nations around the 
world. 

And across national boundaries, and the moun- 
tains and oceans of the earth, hundreds of mil- 
lions more are one with us. They speak in many 
tongues. They walk by many paths. They wor- 
ship through many rites and, in some lands, ob- 
serve different holy days. But by the good cheer 
they spread, the fellowship they express, the 
prayers that each makes to his own Heaven — they 
are all akin and like to us. 

The spirit of Christmas helps bridge any dif- 
ferences among us. Faith and hope and charity 
are its universal countersigns. Peace and good 
will are its universal message. But these noble 



■ Bulletin of Jan. 13, 1957, p. 47. 



words will be words only, hollow and empty, unless 
we confirm them: 

— in sweat and toil that translate good in- 
tentions into fruitful action; 

— in courage that does not hesitate because the 
risk is great or the odds immeasurable ; 

— in patience that does not quit because the road 
is hard or the goal far off; 

— in self-sacrifice that does not dodge a heavy 
duty because the cost is high or the reward unsure. 

And so we confirm our faith that men may walk 
one day unafraid under the Christmas light, at 
peace with themselves and their fellows. 

To all peoples who prize liberty, who seek justice 
and peace for their fellowmen, even to those who 
in the climate of this era may fear or suspect us, 
I speak for all Americans in a heartfelt message 
that happiness may belong to all men at this 
Christmastide. 

Now, as I turn on the lights of our National 
Christmas Tree, Mrs. Eisenhower joins me in the 
wish to all of you, our fellow countrymen, that 
God will keep you and bless you and give you a 
merry Christmas. 



President Eisenhower Replies 
to Soviet New Year Greeting 

White House (Gettysburg, Pa.) press release dated January 1 

The White House on January 1 made public the 
following exchange of cables between President 
Eisenhower and the Soviet leaders. 

THE PRESIDENT'S MESSAGE 

December 31, 1957 
His Excellency Klimenti Efeemovich Voro- 

shilov 
Chairman of the Presidium of the Supreme Soviet 

of the Union of Soviet Socialist Republics 
Moscow 

In behalf of the American people, I reciprocate 
the greetings of yourself, Prime Minister Bulganin 
and Mr. Khrushchev. I hope that the peoples of 
the Soviet Union throughout the coming year may 
enjoy peace and those fundamentals of a more 
abundant life which are the aspirations of all 
mankind. I earnestly trust that the New Year will 
bring a firmer and better understanding between 



the citizens of the Soviet Union, the American 
people and those of other nations. You may be 
assured that the government of the United States 
will extend every effort to that end. 

Dwigiit D. Eisenhower 



THE SOVIET MESSAGE > 



President Dwkht D. Eisenhower 

White House 

Washington 

On the eve of the New Year, we ask you, Mr. President, 
to accept personally and to transmit to the people of 
the United States of America best wishes from the peoples 
of the Soviet Union and from us personally. 

We express the hope that the forthcoming year will be 
a year of strengthening of friendship and cooperation be- 
tween the peoples of the Soviet Union and of the United 
States of America, a year when the great principles of 
peaceful coexistence, receiving ever greater international 
recognition, will become the basis of mutual relations 
between our states. 

Dedicating our activities to the attainment of this noble 
goal, we wish to express our firm conviction that, uniting 
the strength of our states together with other countries, 
there is the possibility to realize the great, ardent dream 
of humanity — to create a firm peace on earth, to create 
such conditions under which people would live in freedom 
from fear for their future, for the future of coming 
generations. 

K. Voroshilov 
N. Khrushchev 
N. Bulganin 
Kbemlin, Moscow 

December 30 



U.S. To End Emergency Program 
for Hungarian Refugees 

White House (Gettysburg, Pa.) press release dated December 28 

The President announced on December 28 that 
effective December 31, 1957, the emergency pro- 
gram for Hungarian refugees coming to the 
United States will be discontinued. 

Termination of the emergency aspects of the 
United States program to assist Hungarian refu- 
gees who fled from Hungary is made possible as 
a direct result of the effective work performed by 
the international agencies directly concerned, the 
efforts of the other 35 countries which granted 
asylum to the refugees, and the assistance provided 

1 Received at the White House on Dec. 31. 



Department of State Bulletin 






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by various religious, nationality, and other private 
groups. Under this program a total of 38,000 
refugees have come to this country. 

The recently enacted immigration law, P. L. 
85-316, 1 will permit some additional Hungarian 
refugees to come to this country under normal 
immigration procedures. The services of the 
United States escapee program remain available to 
facilitate their resettlement to constructive life 
in the free world. 

The emergency program of assistance to Hun- 
garian escapees began a little over a year ago, fol- 
lowing decisions of the President to render relief 
and peaceful assistance to the Hungarian people 
and to aid refugees fleeing from Hungary in the 
face of the Soviet military offensive aimed at 
crushing the Hungarians' struggle for freedom 
and national independence. 2 

More than 200,000 Hungarians fled from their 
native land. The majority fled to Austria, and 
after the Austrian frontier became sealed others 
fled to Yugoslavia. The first escapees reaching 
Austria were aided by the Austrian people and 
their Government with some limited assistance 
from the United States escapee program. It soon 
became clear, however, that additional assistance 
would be needed. Free-world response to this 
need was enthusiastic and immediate. The 
United States responded with a major emergency 
refugee assistance program employing U.S. Gov- 
ernment, voluntary agency, and private resources. 3 

To date a total of $71,075,000 has been made 
available by the United States to meet the imme- 
diate needs of the escapees ; to provide food, cloth- 
ing, and shelter; to relieve suffering inside Hun- 
gary ; to process for resettlement ; and to transport 
them to receiving countries. Of this sum almost 
$20 million in refugee assistance was furnished 
from American private sources, donated through 
18 religious, nationality, and other voluntary 
agencies. 

The vessels of the U.S. Military Sea Transport 
Service and planes of the Military Air Transport 
Service were utilized to bring some of the refugees 



ngarian 

lepos.*f 
performed by 

:ancepro« di 



"For a statement by President Eisenhower made on 
Sept. 11, 1957, on the occasion of his approval of the bill 
amending the Immigration and Nationality Act, see 
Bulletin of Sept. 30, 1957, p. 543. 

2 For a statement by President Eisenhower, see ibid., 
Nov. 19, 1956, p. 807. 

3 For a report made to President Eisenhower by Vice 
President Nixon on Jan. 1, 1957, see ibid., Jan. 21, 1957, 
p. 94. 



to this country. In other instances they came on 
planes chartered by the Intergovernmental Com- 
mittee for European Migration. 

Of the approximately 38,000 Hungarian refu- 
gees coming to this country, 6,130 received immi- 
gration visas in the closing days of the Refugee 
Relief Act. The remainder were admitted into 
the United States under the parole provisions of 
the Immigration and Nationality Act (McCarran- 
Walter act). 

Over 32,000 of the Hungarian refugees were 
processed through the reception center at Camp 
Kilmer, N. J., speedily reactivated for this purpose 
by the Army. The President's Committee for 
Hungarian Refugee Relief, under the direction 
of Tracy Voorhees, coordinated the activities of 
the numerous Government and private agencies 
which assisted in the placement of the Hungarians 
in hundreds of communities throughout the 
Nation, where they have the advantages offered 
to free men in a free society. 

With the closing of Camp Kilmer and the dis- 
solution of the committee, 4 the reception center 
was transferred to the Saint George Hotel in 
Brooklyn, N. Y., operated by the Immigration 
and Naturalization Service. 

The President pointed out that during the period 
when these Hungarian escapees were being re- 
ceived in this country under the emergency pro- 
gram the United States admitted over 300,000 
other immigrants, a substantial number of whom 
were escapees from Soviet-dominated Eastern 
Europe. 

The success of the United States emergency 
program of assistance to Hungarian refugees stems 
basically from three factors: America's tradi- 
tional humanitarian spirit, the dedicated work of 
the religious and other agencies which transformed 
that spirit into action, and, finally, the quality of 
the refugees themselves. 



Loan to Iceland To Help 
Finance Essential Imports 

The International Cooperation Administration 
announced on December 31 a $5 million loan to 
the Iceland Bank of Development to finance es- 
sential general imports into Iceland from world- 
wide sources. 



1 For text of the committee's final report, 
17, 1957, p. 984. 



S|s ,8 0>" January 20, 



1958 



June 



93 



The loan, which was made in order to continue 
Iceland's economic development program, is guar- 
anteed by the Government of Iceland. The loan 
was made from ICA funds and is to be admin- 
istered by the Export-Import Bank. 

The loan is for a period of 20 years and is re- 
payable in dollars at 4 percent interest. 



U.S. Sends Flour To Aid 
Flood Victims in Ceylon 

The United States will send 10,000 tons of wheat 
flour to Ceylon for relief and rehabilitation pur- 
poses needed as a result of recent disastrous floods 
in Ceylon, the International Cooperation Admin- 
istration announced on January 2. The flour will 
be a gift from the people of the United States to 
the people of Ceylon and will be supplied under 
provisions of title II of the Agricultural Trade 
Development and Assistance Act (Public Law 
480). This title authorizes the use of surplus 
U.S. agricultural commodities for emergency re- 
lief purposes. 

Arrangements are now being made for shipment 
of the flour to Ceylon as soon as possible. .Mean- 
time, existing stocks already on hand will be di- 
verted immediately for relief purposes, and these 
stocks will be replaced by subsequent shipments 
from the United States. Including transportation 
costs, the gift has a U.S. value of $1.9 million. 

The American gift of flour may either be used 
for direct feeding of the flood victims or be sold 
and the proceeds be used by the Government of 
Ceylon for flood relief or as payment for work 
relief. 

The gift is in addition to emergency action 
taken by the United States to alleviate initial suf- 
fering caused by continuous rains and the result- 
ing floods and landslides. Ships and planes, in- 
cluding the U.S. aircraft carrier Princeton, rushed 
emergency supplies to the country, and 20 helicop- 
ters are currently flying U.S. relief supplies to 
marooned refugees in various remote sections of 
the country. 

The continuous and heavy rains, unprecedented 
in the recent history of Ceylon, caused the death 
of several hundred persons, rendered hundreds of 
thousands homeless, and destroyed crops, build- 



94 



ings, highways, railroads, irrigation works, and 
other property for a total estimated loss of more 
than $105 million. 



Secretary of State To Act for U.S. 
in Japanese War Criminal Cases 

Executive Order 10747 ' 

Designating the Secretary of State To Act fob the 
United States in Certain Matters Pertaining to 
Japanese War Criminals 

By virtue of the authority vested in me by the Consti- 
tution and the Statutes, and as President of the United 
States and as Commander in Chief of the Armed Forces 
of the United States, it is ordered as follows : 

1. The Secretary of State, or his designee, is hereby 
designated and empowered, without the approval, ratifica- 
tion, or other action of the President, to make on behalf 
of the Government of the United States of America the 
decision required by Article 11 of the Treaty of Peace 
with Japan 2 in those cases in which the Government of 
Japan has submitted recommendations for reduction of 
sentence or parole with respect to sentences imposed on 
Japanese war criminals by tribunals established by the 
Government of the United States or by the International 
Military Tribunal for the Far East. 

2. In exercising the authority vested in him by para- 
graph 1 hereof, the Secretary of State, in general, shall 
accept the recommendations of the Government of Japan 
if they are accompanied by findings made by a responsible 
nonpolitical board, and if he is satisfied that the board has 
considered all the pertinent matters in each case under 
consideration, including the trial record, in arriving at its' 
conclusion. 

3. Executive Order No. 10393 of September 4, 1952," 
establishing the Clemency and Parole Board for Wai 
Criminals, and Executive Order No. 10613 of May 16, 1955,' 
amending that order, are hereby revoked ; and th* 
Clemency and Parole Board for War Criminals is herebj 
abolished. The records of the said Board shall be turnec 
over to the Department of State on the date of this order 



United! 



. 



/(_) (_jLS-y^(Z-JO-<^^. Ask^s^ 



The White House 
December 31, 1957. 



1 23 Fed. Reg. 43. 

1 For text, see Bulletin of Aug. 27, 1951, p. 350. 

3 Hid., Sept. 15, 1952, p. 409. 

4 Ibid., June 20, 1955, p. 998. 



Department of State Bulleti 



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United States Amends Regulations on International Traffic in Arms 



Following is the amended text of chapter I, subchapter 
M, of title 22 of the Code of Federal Regulations. 

TITLE 22— FOREIGN RELATIONS * 

Chapter I — Department of State 

Subchapter M — International Traffic in Arms 

[Departmental Reg. 108.354] 

Miscellaneous Amendments 

The regulations of the Secretary of State, issued August 

26, 1955, as amended May 24, 1956, November 14, 1956, 

August 30, 1957, September 30, 1957, November 29, 1957, 

and December 27, 1957, are amended as follows : 

Part 121 — Arms, Ammunition, and Implements op Was 

1. Section 121.21 is amended to read: 

§ 121.21 United States Munitions List. Pursuant to the 
authority cited supra the following articles are hereby 
designated as arms, ammunition, and implements of war. 

CATEGORY I SMALL ARMS AND MACHINE GDNS 

(a) Rifles, carbines, revolvers, pistols, machine pistols and 
machine guns using ammunition of caliber .22 or over, except 
weapons using only caliber .22 rim-flre ammunition. (See also 
§ 121.23.) 

(b) All components and parts for machine guns and fully 
automatic rifles. Barrels and breech mechanisms for rifles, 
carbines, pistols and revolvers. 

(c) Ammunition belting machines for machine guns. 

(d) Firearm silencers. 



CATEGORY II- 



PROJECTORS 



(a) Guns, howitzers, cannon, mortars, tank destroyers, rocket 
launchers, military flame throwers, military smoke projectors, and 
recoilless rifles. 

(b) Components and parts, including but not limited to mounts 
and carriers. 

CATEGORY III AMMUNITION 

(a) Ammunition of caliber .22 or over for the arms enumerated 
in Categories 1 and II hereof, except caliber .22 rim-flre ammuni- 
tion. 

(b) The following components, parts, accessories, and attach- 
ments : cartridge oases, powder ba^s, bullets, jackets, cores, shells 
(excluding shotgun), projectiles, boosters, percussion caps, fuses 
or fuzes and components thereof, primers, and other detonating 
devices for such ammunition. 

CATEGORY IV BOMBS, TORPEDOES, ROCKETS, MINES, AND 

GUIDED MISSILES 

(a) Bombs, torpedoes, grenades (Including smoke grenades), 
smoke canisters, rockets, guided missiles, depth charges, chem- 
ical and incendiary bombs. 



1 22 Fed. Reg. 11017. 
;i e liip January 20, 1958 



(b) Apparatus and devices for the handling, control, activa- 
tion, discharge, detonation or detection of items enumerated in 
paragraph (a) of this category, Including inter alia the following 
components and parts : fuses or fuzes and components thereof ; 
bomb racks and shackles ; bomb shackle release units ; bomb 
ejectors ; torpedo tubes ; torpedo and guided missile boosters ; 
launching racks and projectors ; control mechanisms and control 
systems; pistols (exploders); igniters, fuze or fuse arming 
devices ; and the following items related thereto : intervalometera 
and components thereof ; bomb lift tracks ; bomb and torpedo 
handling trucks ; trailers, hoists, and skids for handling bombs ; 
guided missile launchers, and specialized handling equipment. 

(c) Land and naval mines and equipment for the laying, de- 
tection, detonation, and sweeping of mines. Components, parts, 
attachments, and accessories specifically designed for mine lay- 
ing, mine detection and detonation, and mine sweeping equipment. 

(d) Missile power plants and components and parts specifically 
designed therefor. 

CATEGORY V FIRE CONTROL EQUIPMENT AND RANGE FINDERS 

(a) Fire control, gun and missile tracking and guidance, in- 
frared, and other nightsighting equipment : range, position, and 
height finders, and spotting instruments ; aiming devices (elec- 
tronic, gyroscopic, optic, and acoustic) ; bomb sights; bombing 
computers, military television sighting units, inertial platforms ; 
gun sights, and periscopes for the articles enumerated throughout 
this List. 

(b) Components, parts, accessories, and attachments specif- 
ically designed for the articles enumerated in paragraph (a) of 
this category. 

CATEGORY VI TANKS AND ORDNANCE VEHICLES 

(a) Tanks; 

(b) Military type armed or armored vehicles, and vehicles 
fitted with mountings for arms and other specifically designed 
military vehicles ; 

(c) Military half tracks; 

(d) Military type tank recovery vehicles; 

(e) Gun carriers ; 

(f) Trailers specifically designed to carry ammunition; 

(g) Amphibious vehicles (See § 121.24) ; 

(h) All specifically designed components, parts and attach- 
ments for the foregoing ; 

(i) Military mobile repair shops specifically designed to service 
military equipment. 

CATEGORY VII TOXICOLOGICAL AGENTS 

(a) Chemical agents, including tear gas (See § 121.25) ; 

(b) Biological agents adapted for use in war to produce death 
or disablement in human beings or animals or to damage crops ; 

(c) Equipment for the dissemination, detection, and identifica- 
tion of, and defense against, the items in paragraphs (a) and 
(b) of this category ; 

(d) Components, parts, attachments, and accessories specif- 
ically designed for the equipment described in paragraph (c) 

CATEGORY VIII PROPELLANTS, EXPLOSIVES AND INCENDIARY AGENTS 

(a) Propellants for the articles enumerated in Categories III 
and IV hereof (See § 121.26) ; 



95 



(b) Military high explosives (See § 121.26) ; 

(c) Military fuel thickeners (See § 121.26) ; 

(d Military pyrotechnics, including projectors therefor. 

CATEGORY IX VESSELS OF WAE AND SPECIAL NAVAL EQUIPMENT 

(a) Warships, amphibious warfare vessels, landing craft, mine 
warfare vessels, patrol vessels, auxiliary vessels, service craft, 
floating dry docks, and experimental types of naval ships. Tur- 
rets and gun mounts, missile systems, arresting gear, special 
weapons systems, protective systems, submarine storage batteries, 
catapults and other components, parts, attachments and acces- 
sories specifically designed for the following types of combatant 
vessels : battle ships, command ships, guided missile ships, 
cruisers, aircraft carriers, destroyers, frigates, escorts, and sub- 
marines. (See § 121.27) 

(b) Submarine and torpedo nets. Components, parts, attach- 
ments and accessories specifically designed for these articles. 

(c) Harbor entrance magnetic pressure acoustic detection de- 
vices, controls and components thereof. 

CATEGORY X AIRCRAFT 

(a) Aircraft and airborne equipment (See § 121.5) ; 

(b) All components, parts and accessories for aircraft. This 
does not include ground handling and maintenance equipment or 
bulk materials, such as dopes, paints, oils, cable, wire, tubing, hose, 
and aluminum sheets. 

(c) Miscellaneous equipment used with aircraft, as follows: 

(1) Catapults and cartridge-actuated devices utilized in emer- 
gency escape of personnel from aircraft ; 

(2) Pressurized breathing equipment and partial pressure suits 
for use in aircraft, anti "G" suits, military crash helmets, aircraft 
liquid oxygen converters, complete parachutes utilized for per- 
sonnel, cargo, or deceleration purposes and complete harnesses 
and platforms therefor. Components and parts specifically de- 
signed for such articles. 

(3) Aircraft landing mats, launching and recovery equipment. 

CATEGORY XI — MILITARY ELECTRONICS 

(a) Electronics equipment specially designed for military use, 
including equipment specially designed for altitudes above 50,000 
feet or at temperatures of 500° centigrade or above ; 

(b) Radar of all types ; 

(c) Electronic countermeasure and jamming equipment ; 

(d) Military underwater sound equipment ; 

(e) Military communications-electronics equipment bearing a 
military designation ; 

(f) Electronic navigation and location-finding aids (see 
§ 121.28) ; 

(g) Radio distance measuring systems such as Shoran ; and 
hyperbolic grid systems, such as Raydist, Loran, and Decca ; 

(h) Components, parts, accessories and attachments specifically 
designed for use with equipment enumerated above (see also 
§ 121.29). 

CATEGORY XII PHOTOGRAPHIC EQUIPMENT 

Aerial cameras and special purpose military cameras and 
specialized processing equipment therefor ; military photointer- 
pretation, stereoscopic plotting and photogrammetry equipment. 

CATEGORY XIII SPECIAL ARMORED EQUIPMENT 

(a) Armor plate ; 

(b) Armored railway trains ; 

(c) Military steel and nylon helmets ; 

(d) Body armor and flak suits, and components and parts 
specifically designed for such articles. 

CATEGORY XIV SPECIALIZED MILITARY TRAINING EQUIPMENT 

(a) Specialized military training equipment (See § 121.30) ; 

(b) Components, parts, attachments, and accessories specifically 
designed for such equipment. 

CATEGORY XV HELIUM GAS 

CATEGORY XVI MISCELLANEOUS ARTICLES 

(a) Cryptographic devices (encoding and decoding) ; 

(b) Self-contained diving and underwater swimming apparatus 



and components and auxiliary equipment specifically designed 
therefor ; 

(c) Protective clothing for guided missile f 



CATEGORY XVII CLASSIFIED MATERIAL 

All material not enumerated herein which is classified from 
the standpoint of military security. 

CATEGORY XVIII TECHNICAL DATA 

Unclassified technical data relating to the articles herein 
designated as arms, ammunition, and implements of war. 

2. Sections 121.22 through 121.28 are deleted and re- 
placed by the following sections : 

INTERPRETATIONS 

Sec. 

121.22 Forgings, castings, and machine bodies. 

121.24 Amphibious vehicles. 

121.25 Chemical agents. 

121.26 Propellants, explosives, and incendiary agents. 

121.27 Vessels of war and special naval equipment. 

121.28 Electronic navigation and location-findings aids. 

121.29 Cathode ray tubes — quartz crystals. 

121.30 Specialized military training equipment. 
Authority: §§121.22 to 121.30 issued under sec. 414, 68 

Stat. 848, 22 D. S. C. 1934 ; sec. 103, E. O. 10575, 19 F. R. 7251, 
3 CFR, 1954 Supp. 

INTERPRETATIONS 

§121.22 Forgings, castings, and machine todies. Items 
in a partially completed state, such as forgings, castings, 
extrusions, and machined bodies of any of the articles 
enumerated in the United States Munitions List which 
have reached a stage in manufacture where they are 
clearly identifiable as arms, ammunition, and implements 
of war are so considered for the purposes of Section 414 
of the Mutual Security Act. 

§ 121.23 Small arms. Category I does not include 
shotguns, air-rifles or muzzle-loading guns, blunderbusses 
and stud drivers. 

§ 121.24 Amphibious vehicles. As used in Category 
VI (g), the term "amphibious vehicles" includes but is 
not limited to, automotive vehicles or chassis embodying 
all-wheel drive and equipped to meet special military re- 
quirements, with adaptation features for deep-water ford- 
ing and sealed electrical systems. 

§121.25 Chemical agents. (See Category VII.) The 
term "chemical agents" includes but is not limited to : 
cyanogen chloride, hydrogen cyanide, diphosgene, fluorine 
(but not fluorene), Lewisite gas, mustard gas (dicbloro- 
diethyl sulfide), phenylcarbylamine chloride, phosgene, 
ehloracetophenone, phenyl chlomethyl hetone, adamsite 
(dipheuylaminochloroarsine), dibromodimethyl ether, 
dichlorodimethyl ether, diphenylchloroarsine, diphenyl- 
cyanarsine, ethyldibromoarsine, ethyldichloroarsine, meth- 
yldichloroarsine, phenyldibromoarsine, phenyldiehloro- 
arsine, cyanodimethylaminoethyloxyphosphine oxide, fluo- 
roisopropoxymethylphosphine oxide, fluoromethylpinaeoly- 
loxyphosphine oxide, and related compounds. 

§ 121.20 Propellants, explosives, and incendiary agents. 
(See Category VIII.) 

(a) The term "propellants" includes but is not limited 
to the following: 

Hydrazine. 

Cn.s.vmmetrical dimethylhydrazine. 

Hydrogen peroxide over 83 percent concentration. 



Department of State Bulletin 



Nitroguanadine or picrite. 

Nitrocellulose with nitrogen content of over 12.20 percent. 
Other solid propellant compositions, including but not limited 
to the following : 

(1) Single base (nitrocellulose). 

(2) Double base (nitrocellulose, nitroglycerin). 

(3) Triple base (nitrocellulose, nitroglycerin, nitroguanadine). 

(4) Composite (nitroglycerin, ammonium perchlorate, nitro- 
cellulose with plastics or rubbers added). 

(5) Special purpose chemical base high energy solid military 
fuels. 

Other liquid propellant compositions, including but not limited 
to the following : 

(1) Mono-propellants (hydrazine, nitrate, and water). 

(2) Bi-propellants (hydrazine-fuming nitric acid (HNO a )). 

(3) Special purpose chemical base high energy liquid military 
fuels. 

(b) The term "military high explosives" includes but is 
not limited to one or more of the following materials or 
mixtures with various powdered metals : ammonium 
picrate, black soda powder, potassium nitrate powder, 
hexanitrodiphenylamine, ammonium perchlorate, nitro- 
cellulose, nitrostarch, nitroglycerin, pentaerythritol tetra- 
nitrate, (penthrite, pentrite or PETN), trinitrophenyl- 
methyl-nitramine (tetryl), trinitrophenol (picric acid), 
ethylenedinitramine, cyclotrimethylene - trinitramine 
(RDX, Cyclonite, Hexogen or T4), cyclotetramethylene- 
tetranitramine (HMX), hexanitrodiphenylamine, trinitro- 
anisol, trinitronaphthalene, dinitronaphthaleue, tetranitro- 
naphthalene, trinitrotoluene (TNT), and trinitroxylene. 
Explosive mixtures or devices which are not listed above 
but which contain minor quantities of the types of explo- 
sives listed here are not considered to be arms, ammuni- 
tion, and implements of war. 

(c) The term "military fuel thickeners" includes: com- 
pounds (e. g., octal) or mixtures of such compounds (e. g., 
napalm) specifically formulated for the purpose of pro- 
ducing materials which, when added to petroleum products, 
provide a jell-type incendiary material for use in bombs, 
projectiles, flame throwers or other implements of war. 

§ 121.27 Vessels of tear and special naval equipment. 
( See Category IX ) . The term "vessels of war" includes 
but is not limited to the following : 

(a) Combatant vessels and craft. 

(1) Warships. 
Battleships (BB, BBG). 
Command ships (CBC, CLC). 

Cruisers (CA, CAG, CB, CL, CLAA, CLG, CG, CG (N)). 
Aircraft carriers (CVA, CVA (N), CVE, CVHE, CVL, CVS). 
Destroyers (DD, DDC, DDE, DDG, DDR, DL, DLG). 
Submarines (SS, SS (N), SSG, SSK, SSR, SSR (N), SST, 
ASSA.ASSP.AK (SS).AP (SS)). 

(2) Amphibious warfare vessels. 
Amphibious force flagship (AGC). 
Attack cargo ship (AKA). 
Transports (APA, APD). 

Assault helicopter aircraft carrier (CVHA). 
Control escort vessel (DEC). 
Inshore fire support ship (IPS). 

Landing ships (LSSL, LSD, LSM, LSMR, LST, LSFF, LSIL, 
LSV). 

Amphibious assault ship (LPH). 

(3) Landing craft. (LCI, LCT-A, LCC, LCM, LCU, LCVP, LVT, 
LVT-A, LCPL, LCPR). 

(4) Mine warfare vessels. 

Minelayers (DM, MMF, MMA, MMC, MM). 
Minesweepers (IMS, MSA, MSC (O), MSC, MSF, MSO). 
Mine warfare command and support ship (MCS). 
Mine hunter (MRC). 



(5) Patrol vessels. 

Escort vessels (DE, DEC, DER, PCE, PCER, PCEC, PF). 

Submarine chasers (PC, PCE, SC). 

Gunboats (PR, PGM). 

Converted yachts (PY). 

Motor torpedo boat (PT). 

(b) Naval auxiliary and service vessels and craft. 

(1) Tenders (AD, AGP, ARST, AS, AV, AVP, YDT). 

(2) Logistic support ships (AB, AF, AK, AKS, AO, AOG, AOR, 
AO (SS), AVS). 

(3) Repair, salvage and rescue vessels (AR, ARB, ARG, ARH, 
ARI, ARS, ARSD, ARV, ARVA, ARVE, ASR). 

(4) Floating dry docks, cranes, and associated workshops and 
lighters (AB, AFDB, AFDL, AFDM, ARD, YD, YFD, YFMD, YR, 
YRDM, YRDM, YRL, YSD). 

(5) Degaussing vessel (ADG). 

(6) Icebreaker (AGB). 

(7) Survey ships (AGS, AGSC). 

(8) Cable repairing or laying ship (ARC). 

(9) Tugs (ATA, ATF, ATR, YTB, YTL, YTM). 

(10) Net laying and tending ships (AKN, AN, YNG). 

(11) Transports and barracks vessels (AP, APB, APC, APL, 
YHB, YRB, YRBM). 

(12) Miscellaneous cargo ships (AKD, AKL, AKV). 

(13) Auxiliary submarine (AG (SS)). 

(14) Distilling ship (AW). 

(15) Utility aircraft carrier (OVD). 

(16) Minecraft (MSB, MSI, XMAP, YMP, YMS). 

(17) Patrol craft (PT, YP, PYC). 
(IS) Ocean radar station ship (YAGR). 

(19) Advanced base aviation ship (AVB). 

(20) Guided missile ship (AVM). 

(21) Naval barpres and lighters (AVC, YC, YCF, YCK, YCV, 
YF, YFN, YFNB. YFNG, YFNX, YFP, YFR, YFRN, YFRT, YFT, 
YG, YGN, YO, YOG, YOGN, YON, YOS, YPK, YRL, YSR, YTT, 
YVC, YW, YWN, YFB). 

(22) Target and Training Submarine (SST). 

(23) Submersible craft (X). 

(24) Naval dredge (YM). 

(25) Floating pile drive (YPD). 

(26) Drone aircraft catapult control craft (YV). 

(27) Miscellaneous auxiliary (AG, IX, YAG). 

(c) Coast Guard patrol and service vessels and craft. 

(1) Submarine repair and berthing barge (YRB). 

(2) Labor transportation barracks ship (APL). 

(3) Coast Guard cutter (CGC). 

(4) Gun boat (WPG). 

(5) Patrol craft (WPC, WSC, WPG). 

(6) Sea plane tender (WAVP). 

(7) Ice breaker (WAGB). 

(8) Cargo ship (WAK). 

(9) Buoy tenders and boats (WAGL, WD). 

(10) Cable layer (WARC). 

(11) Lightship (WAL). 

(12) CG tugs (WAT, WXT). 

(13) Radio ship (WAGR). 

(14) Special vessel (WIX). 

(15) Auxiliary vessels (WAG, WAGE). 

(16) Other Coast Guard patrol or rescue craft over 300 horse- 
power capacity. 

(d) Air Force craft. Air Force crash rescue boat. 

(e) Army vessels and craft. 

(1) Transportation Corps tug-100 ft. (LT), 65 ft. (ST), 
T-boat, Q-boat, J-boat, B-boat. 

(2) Barges (BG, BC, BR, BK, BSP, BSPI, BKI, BCF, BBL, 
BARC). 

(3) Cranes, floating (BD). 

(4) Dry dock, floating (FDD. 

(5) Repair ship, floating (FMS). 

(6) Trainer, amphibious 20 ton wheeled tow boat, inland 
waterway (LTI, STI). 

§ 121.28 Electronic navigation and location-finding aids. 



January 20, 1958 



In Category XI (f), the term "electronic navigation and 
location-finding aids" includes but is not limited to mili- 
tary radio direction-finding and doppler navigational 
equipment, gyro-magnetic and slaved-gyro compasses and 
heading reference systems ; automatic astro compasses ; 
star trackers; and remote sighting and photoelectric 
sextants. 

§ 121.29 Cathode ray tubes — quarts crystals. Cathode 
ray tubes or quartz crystals are subject to the licensing 
jurisdiction of the Secretary of State only when intended 
for use with military electronics equipment and shipped 
with such items. 

§121.30 Specialized military training equipment. (See 
Category XIV.) The term "specialized military training 
equipment" includes but is not limited to, link type train- 
ers, attack trainers, operational flight trainers, radar 
target trainers, radar target generators, gunnery training 
devices, anti-submarine warfare trainers, flight simu- 
lators, radar trainers, instrument flight trainers, naviga- 
tion trainers, target equipment, drones and drone power 
plants, armament trainers, pilotless aircraft trainers, and 
mobile training units. 



Sec. 

123.1 

123.2 

123.3 

123.4 

123.5 

123.6 

123.7 

123.8 

123.9 

123.11 
123.12 
123.13 



123.21 
123.22 
123.23 

123.24 



Part 123 — Licensing Controls 
123 is revised to read as follows : 

LICENSE PROCEDURES 

Application for license. 

Export licenses. 

Import licenses. 

Intransit licenses. 

Validity and terms of licenses. 

Amendments and alterations. 

Ports of exit or entry. 

Licenses filed with collectors of customs. 

Shipper's export declaration. 

Shipment by mail. 

Foreign trade zones. 

Export of vessels of war. 

Repairs or alterations of vessels. 

COUNTRY OF DESTINATION 

Country of ultimate destination. 

Shipments to or from certain countries. 

Canadian shipments. 

Exportation of arms, ammunition, and implements of 

war to Cuba. 
Exportation of arms, ammunition, and implements of war 

to Honduras and Nicaragua. 
United States territories. 
Declaration of Destination. 



SHIPMEN 



TOR THE UNITED STATES GOVERNMENT 



123.40 Shipment by or to the United States Government. 

123.41 Aircraft parts and components to Armed Services. 



EXEMPTIONS FOR ARMS 



tMUNITION SHU 



123.51 
123.52 
123.53 
123.54 



Antique arms and implements of war. 
Arms carried on person or in baggage. 
Ammunition for personal use of consignee. 
Arms for the individual use of members of the Armed 
Forces. 

EXEMPTIONS FOR AIRCRAFT SHIPMENTS 

United States scheduled transports. 
Aircraft of foreign registry entering the United States. 
Return of small United States civil aircraft for repair 
and reconditioning. 



123.64 United States aircraft on temporary sojourn abroad. 

MISCELLANEOUS EXEMPTIONS 

123.71 Articles returned to the United States for repair or over- 

haul and re-export. 

123.72 Certain helium gas exports. 

MISCELLANEOUS PROVISIONS 

123.81 Articles manufactured with Government-owned equip- 

123.82 National Firearms Act ; Federal Firearms Act ; Federal 

Explosives Act. 

Authority: §§ 123.1 to 123.82 issued under sec. 414, 68 Stat. 
848, 22 U. S. C. 1934 ; sec. 103, E. O. 10575, 19 F. R. 7251, 3 CFR, 
1954 Supp. 

LICENSE PROCEDURES 

§ 123.1 Application for license. Persons who intend to 
export from or import into the United States, its territories 
or possessions any of the articles enumerated in the United 
States Munitions List shall make application for license to 
the Department of State on the forms prescribed by it un- 
less an exemption from these requirements is authorized 
by this part. No such exports or imports shall be made 
until the application has been approved and the license 
issued. Applications for license to export helium gas 
should show the quantity to be exported in terms of cubic 
feet ; the approximate net value of the helium gas ; the 
number and type of containers and the approximate gross 
weight. Applications for written authorization from the 
Department of State to export technical data are required 
in accordance with the provisions of §§ 125.1-125.4 of this 
chapter. 

§ 123.2 Export licenses. Licenses to export articles on 
the United States Munitions List including helium gas and 
related unclassified technical data must be applied for on 
form DSP-5. The Department of State will not issue ex- 
port licenses if a proposed exportation is not considered to 
be in furtherance of the security and foreign policy of the 
United States. Prior to the issuance of an export license, 
the Department of State may also require documentary 
evidence pertinent to the proposed transaction. Licenses 
are applicable only to articles physically within the terri- 
torial jurisdiction of the United States. 

§ 123.3 Import licenses. Licenses to import articles on 
the United States Munitions List must be applied for on 
form DSP-38. The Department of State will not issue 
import licenses if a proposed importation is not considered 
to be in furtherance of the security and foreign policy of 
the United States. Prior to the issuance of an import 
license, the Department of State may also require docu- 
mentary evidence pertinent to the proposed transaction. 

§123.4 Intransit licenses, (a) When articles are to 
be moved in transit through the United States, its terri- 
tories or possessions, an intransit license must be obtained, 
except as provided in paragraphs (b) and (c) of this sec- 
tion, and an application for license must be submitted on 
form DSP-61. The Department of State will not issue 
intransit licenses if the proposed shipment is not consid- 
ered to be in furtherance of the security and foreign policy 
of the United States. 

(b) Collectors of customs are authorized on presenta- 
tion of satisfactory evidence, to permit arms, ammuni- 
tion, and implements of war to enter or leave the United 



98 



Department of State Bulletin 



States without the presentation of an import, export or 
intransit license if such articles are consigned from any 
place in a foreign country whose territory is contiguous 
to that of the United States to any other place in the 
same country. 

(c) Collectors of customs may permit intransit ship- 
ments of sporting arms and ammunition, and of pistols 
and revolvers not larger than caliber .38, to enter and 
leave the United States without a license if such ship- 
ments are valued at not more than $300. 

§ 123.5 Validity and terms of licenses. Licenses are 
valid for six months from the date of issuance unless a 
different period of validity is stated thereon. No exten- 
sions may be granted on licenses which have expired or 
are about to expire. If shipment cannot be made during 
the period of validity of a license, a new license may be 
applied for to authorize its exportation or importation 
Licenses are not transferable and are subject to revoca 
tion, suspension or revision without notice. Licenses 
which have expired or have been revoked must be re 
turned immediately to the Department of State. 

§ 123.6 Amendments and alterations. No amendmen 
or alteration of a license may be made except by the De- 
partment of State, or by collectors of customs or post 
masters when specifically authorized to do so by the De 
partment of State. 

§ 123.7 Ports of exit or entry. Applications for license 
should show the proposed port or ports of exit or entry 
In the United States. If, subsequent to the issuance of a 
license, shipping arrangements necessitate a change of 
port, no amendment of the license is necessary but the 
Department of State should be notified of the change. 

§ 123. S Licenses filed with collectors of customs, (a) 
Prior to exportation or importation, export or import li- 
censes shall be filed with the collector of customs at the 
port through which the shipment is being made. Shipper's 
export declarations (United States Department of Com- 
merce Form 7525-V) must also be filed with and authenti- 
cated by the collector before the commodities are exported. 
(See also §123.10.) 

(b) Photostatic copies of licenses shall not be made 
unless specifically authorized by the Department of State 
on the face of the license or in a letter. 

§ 123.9 Shipper's export declaration. The shipper's 
export declaration (United States Department of Com- 
merce Form 7525-V), covering arms, ammunition, and 
implements of war for which an export license is required, 
must contain the same information in regard to the de- 
scription, destination, and value of the articles to be ex- 
ported as that which appears on the application for li- 
cense. If the person designated on the export declaration 
as the actual shipper of the goods is not the person to 
whom the export license has been issued by the Depart- 
ment of State, the name of this shipper should appear on 
the export license as that of the consignor in the United 
States. 

§123.10 Shipment by mail. Export licenses for articles 
which are being transported by mail shall be filed with 
the postmaster at the post office where the article is mailed. 
Import licenses shall be filed with the collector of customs 
at the port of entry. (See also § 123.8.) 

January 20, 7958 



§ 123.11 Foreign trade zones. For the purpose of this 
part, a foreign trade zone of the United States is con- 
sidered an integral part of the United States. Accord- 
ingly, persons who intend to ship articles into a foreign 
trade zone of the United States, established pursuant to 
the Foreign Trade Zones Act (48 Stat. 998-1003 ; 19 U.S.C. 
81a-Slu, as amended) shall submit an application for im- 
port license described in § 123.1 and obtain a license prior 
to the entry of such articles into the zone. Persons who 
intend to ship such articles from a foreign trade zone to a 
foreign destination, shall submit an application for export 
license, as described in § 123.1 and obtain a license prior 
to shipment. The provision of § 123.4 with respect to in- 
transit licenses are applicable to intransit shipments 
through a foreign trade zone. 

§123.12 Export of vesssels of war. (a) The transfer 
of a vessel of war, as defined in § 121.27 of this chapter, 
from United States registry to foreign registry or the 
registration of an undocumented vessel of war under a 
foreign flag is considered an exportation for which an 
approval or license from the Secretary of State is required. 
If the vessel to be exported Is physically located in the 
United States, an export license must be obtained. If the 
vessel is located abroad, the Department's written ap- 
proval in the form of a letter must be obtained prior to its 
transfer of registry. 

(b) The provisions of this part shall be considered as 
binding in addition to the provisions of the United States 
Shipping Act of 1916, as amended (46 U.S.C. 835) . United 
States Maritime Administration approval is required prior 
to the sale and/or transfer to alien ownership, registry, 
and/or flag of vessels of war. United States registry of 
a documented vessel is cancelled under the regulations of 
the United States Maritime Administration where such 
vessel is sold to a purchaser for use under foreign registry. 

§ 123.13 Repairs or alterations of vessels. Operators 
of foreign vessels entering the territorial waters of the 
United States for repairs or alterations shall obtain an 
export license for articles enumerated in the United States 
Munitions List, which are required in connection with such 
repairs or alterations. 

COUNTRY OP DESTINATION 

§123.21 Country of ultimate destination, (a) The 
country designated on an application for export license as 
the country of ultimate destination must be the country 
wherein the articles being exported are to be used or con- 
sumed, not a country receiving the shipment in transit. 
If it is the intention of the exporter that the articles being 
exported and consigned to one country are to be trans- 
shipped to another country or to pass through the hands 
of an intermediate consignee, all facts relevant to such 
action must be clearly indicated on the license application. 

(b) United States Munitions List articles which have 
been exported from the United States may not be sold, di- 
verted, transferred, transshipped, reshipped or re-exported 
to, or used in, any of the countries named in § 123.22 with- 
out the specific prior approval of the Department of 
State. 

§ 123.22 Shipments to or from certain countries. The 
exemptions provided by §§ 123.51 to 123.72 do not apply 



99 



to shipments destined for or originating in the Soviet 
Union, Soviet bloc countries, Communist China, North 
Korea, and that part of Viet-Nam which lies north of 
the 17th parallel and any of the territories of free Viet- 
Nam or Laos which are under de facto control of the 
Communists, or any other area that may come under 
Communist control. 

§123.23 Canadian shipments, (a) Collectors of cus- 
toms may release shipments of arms, ammunition, and 
implements of war to or from Canada without a license 
or UAC Release Certificate. 

(b) The provisions of paragraph (a) of this section 
do not apply to intransit shipments through the United 
States to or from Canada or to intransit shipments 
through Canada to or from the United States. 

(c) The provisions of paragraph (a) of this section 
do not apply to shipments of helium gas. Applications 
for license to export helium gas to Canada shall be made 
in accordance with the provisions of §§ 123.1 and 123.2. 

§123.2-1 Exportation Of arms, ammunition, ami imple- 
ments of war to Cuba. In the case of a proposed export 
of United States Munitions List articles to Cuba, the 
application for license should be transmitted to the 
Cuban Embassy in Washington by the applicant. If 
the Cuban Embassy approves of the proposed export, it 
will place a stamp of approval thereon and forward it 
to the Department of State. 

§123.25 Exportation of arms, ammunition, ami imple- 
ments of tear to Honduras and Nicaragua. In the case 
of a proposed export of United States Munitions List 
articles to Honduras or Nicaragua, the applicant should 
transmit the application to the Department of State. 
Prior to or coincident with the submission of the appli- 
cation, the applicant should advise the Honduran or 
Nicaraguan Embassy in Washington as the case may 
be that such an exportation is proposed. 

§ 123.26 United States territories. The territories 
of the United States (Alaska, Hawaii, Puerto Rico, and 
the Virgin Islands) are considered an integral part of 
the United States and, therefore, export and import 
licensing controls do not apply to shipments between 
those territories and the Continental United States. 
Licenses are required on shipments between the terri- 
tories and foreign countries. 

§ 123.27 Declaration of Destination. Some countries 
require the United States importer to produce evidence 
that the importation has been approved by the United 
States Government and that the shipment will not be 
diverted to a different country. The Declaration of 
Destination on Foreign Exports of Munitions Items to 
the United States, Form DSP-53, may be used to provide 
the exporting country with such evidence. When signed 
by an officer of the Department of State and bearing the 
Department's seal impression, the Declaration may be 
used as evidence to the exporting country that the United 
States importer has advised the United States Government 
under warranty of his intention of effecting the proposed 
importation into the United States and of not diverting 
or transshipping the material en route to the United 
States. Since it is the practice of the Department of 
State not to endorse the Declaration form until a United 
States import license is issued, the completed Declaration 



100 



could also serve as evidence to the exporting country 
that the United States Government has approved the 
proposed importation. 

SHIPMENTS FOB THE UNITED STATES GOVERNMENT 

§ 123.40 Shipment by or to the United States Gov- 
ernment. The exportation or importation of arms, am- 
munition, and implements of war by the United States 
Government is not subject to the provisions of section 
414 of the Mutual Security Act. A license to import 
and export such articles is not required, therefore, when 
all aspects of the transaction are handled by a United 
States Government agency. A license is ordinarily re- 
quired, however, when a private individual or firm is 
involved in any aspect of the transaction. 

§ 123.41 Aircraft parts and components to Armed 
Services. Collectors of customs are authorized to per- 
mit the exportation of aircraft spare parts and com- 
ponents without a license on presentation of satisfac- 
tory evidence that the shipment is being made to the 
United States Armed Services abroad. 

EXEMPTIONS FOB ABMS AND AMMUNITION SHIPMENTS 

§ 123.51 Antique arms and implements of war. Col- 
lectors of customs are authorized on presentation of sat- 
isfactory evidence to permit the entry or departure with- 
out a license of antique arms and implements of war, 
components, parts, accessories, and attachments there- 
for, which are over one hundred years old (subject to 
the provisions of § 123.22). 

§ 123.52 Arms carried on person or in baggage. Col- 
lectors of customs are authorized to permit rifles, car- 
bines, revolvers, pistols, and ammunition therefor, to 
enter the United States or depart therefrom without a 
license (subject to the provisions of § 123.22) when these 
articles are on the person of an individual or in his 
baggage, and are intended exclusively for his personal 
use for sporting or scientific purposes or for personal 
protection. No more than three arms and no more than 
five hundred cartridges shall in any case be carried by 
an individual under the provisions of this section. 

§ 123.53 Ammunition for personal use of consignee. 
Licenses will not be required for the exportation or im- 
portation of ammunition for rifles, carbines, revolvers, 
or pistols, provided the quantity does not exceed five 
hundred rounds in any shipment and the ammunition 
is for the personal use of the consignee and not for 
resale (subject to the provisions of §123.22). A license 
is required however, for the exportation of such ammu- 
nition to Bahrein, Kuwait, Qatar, the Trucial States, and 
Muscat-and-Oman. 

§ 123.54 Arms for the individual use of members of 
the Armed Forces, (a) Collectors of customs are au- 
thorized to permit members of the United States Armed 
Forces or United States civilian personnel employed by 
those Forces, presenting written authorization from 
their commanding oflicers to ship or bring into the 
United States without license, war trophies and souve- 
nirs consisting of rifles, carbines, revolvers, pistols, and 
ammunition therefor. 

(b) Collectors of customs are authorized to permit 
rifles, carbines, revolvers, pistols, and parts of such 

Deoariment of Stale Bulletin 



5 Of 

t to import 
Are, win 



|l weapons to leave the United States without a license, 
|| provided they are consigned to servicemen's clubs over- 
seas or to individual members of the Armed Forces of 
the United States, are accompanied by a written author- 
ization from the commanding officer, and the parcel is 
plainly marked as to content. 

(c) Collectors of customs are authorized to permit 
parts, components, and accessories of rifles, carbines, 
pistols, and revolvers to enter or leave the United States 
without a license when the shipment does not exceed 
$25.00 in value, is consigned to individual members of 
the Armed Forces of the United States, is for the con- 
signee's own use and not for resale, and the parcel is 
plainly marked as to content. 

EXEMPTIONS FOE AIRCRAFT SHIPMENTS 

§ 123.61 United States scheduled transports. Customs 
officers are authorized to permit civil aircraft operated by 
commercial airlines and used on regular schedules be- 
tween the United States and foreign countries under cer- 
tificates of public convenience and necessity to depart 
from and enter into the United States without a license. 

§123.62 Aircraft of foreign registry entering the 
United States, (a) Collectors of customs are authorized 
to permit aircraft of foreign registry to enter and depart 
from the United States without requiring the presentation 
of an individual license, provided it is established to their 
satisfaction that the country of ultimate destination is 
the same as the country of origin, that the airplane will 
not be sold or disposed of in the United States, and that 
it will not remain in the United States longer than six 



(b) This section does not apply to aircraft returning 
to the United States for major overhaul or the installa- 
tion of major components and re-export. The provisions 
of § 123.71 (b) are applicable to such aircraft. 

§ 123.63 Return of small United States civil aircraft 
for repair and reconditioning. Collectors of customs are 
authorized to permit the importation without a license of 
personal or executive type civil aircraft with a seating 
capacity of no more than five passengers, and components 
thereof, if they were previously exported under license 
from the United States. An export license will, however, 
be required if the equipment is subsequently to be re- 
exported. 

§ 123.64 United States aircraft on temporary sojourn 
abroad, (a) Collectors of customs may permit the de- 
parture from the United States without a license of air- 
craft, except military aircraft, such as fighters and 
bombers, which are flown or shipped from the United 
States for a temporary sojourn abroad of not to exceed 
six months' duration, provided the collector of customs 
is satisfied that the conditions set forth in paragraph (b) 
of this section have been met. 

(b) Owners or operators of aircraft departing from 
the United States for temporary sojourn abroad under 
the provisions of paragraph (a) of this section shall 
certify by written declaration submitted in duplicate in 
a form acceptable to the collectors of customs that (1) 
the aircraft will not be disposed of; (2) the aircraft will 
be returned to the United States within six months; (3) 
it will be operated only by a U. S. licensed pilot, except on 



( l e(l(1 January 20, 7958 



demonstration flights; and (4) it will remain under 
U. S. registry while abroad. The provisions of § 126.2 of 
this chapter shall apply to such a written declaration. 

(c) When a written declaration setting forth an in- 
tention to comply with the above provisions is accepted 
by a customs officer at the port of departure, he shall en- 
dorse it, return it to the owner or operator prior to the de- 
parture of the aircraft, and retain a copy for his records. 
Upon the return of the aircraft to the United States, the 
endorsed copy of the declaration must be surrendered to 
the collector of customs at the port of entry. If the port 
of entry is not the same as that from which the aircraft 
departed, the customs officer at the port of entry shall 
forward the surrendered copy of the declaration to the 
customs authorities at the port from which the aircraft 
originally departed, noting thereon the date of entry. 

(d) Collectors of customs may permit an aircraft to 
make a series of flights to and from the United States 
under a temporary sojourn authorization not to exceed 
six months, provided a written declaration in duplicate 
is submitted to and endorsed by a customs officer certify- 
ing that the conditions set forth in paragraph (b) of this 
section will be observed. The provisions of § 126.2 of this 
chapter shall also apply to such a written declaration. A 
copy of the declaration shall be retained by the customs 
officer endorsing the original. In the case of an aircraft 
making a series of flights over a six months' period, the 
endorsed declaration shall be carried on the aircraft as 
evidence of the fact that the required permission has been 
granted. At the end of the six-month period, the declara- 
tion shall be surrendered to the customs office which 
granted the permission. 

(e) If, at the end of the six-month period, a temporary 
sojourn permit remains outstanding, the collector of cus- 
toms at the port of exit should submit the matter to 
the Customs Agency Service for investigation. 

(f ) The collector of customs at the port of departure 
is authorized in appropriate instances, to grant one six- 
month extension in temporary sojourn cases. Requests 
for extensions beyond a year should be referred to the 
Department of State for comment. 

MISCELLANEOUS EXEMPTIONS 

§ 123.71 Articles returned to the United States for re- 
pair or overhaul and re-export, (a) Collectors of cus- 
toms are authorized on presentation of satisfactory evi- 
dence to permit the entry into the United States without 
an import license of arms, ammunition, and implements 
of war which have been legally exported from the United 
States and which are being returned to the United States 
for repair and re-export to the country of origin (subject 
to the provisions of §123.22). An individual export li- 
cense, however, is required before such articles may be 
re-exported; for civil aircraft, see paragraph (b) of this 
section. 

(b) The re-export of civil aircraft returned for repair 
is subject to the requirement of an export license only 
when it has undergone a major overhaul or when major 
components were installed therein during its stay in the 
United States. Major components of aircraft are de- 
fined in § 121.6 of this chapter. 

§ 123.72 Certain helium gas exports. Collectors of 



101 



customs are authorized to permit the export without a 
license of miniature cylinders containing helium gas in 
fractional cubic foot quantities mixed with other gases, 
provided : 

(a) The gas is destined for medical use : 

(b) The shipment to any consignee does not exceed 
ten cubic feet of "contained helium", as defined in § 121.7 
of this chapter ; 

(c) The ultimate destination is not a country named 
in § 123.22 ; and 

(d) The company has arranged to furnish the Depart- 
ment of State with periodic reports of such shipments. 

MISCELLANEOUS PROVISIONS 

§123.81 Articles manufactured with Government- 
owned equipment. It is the responsibility of the ex- 
porter of United States Munitions List articles to obtain 
the advance approval of the appropriate defense agency 
for the exportation of articles manufactured with equip- 
ment owned by the United States Government. If the 
exporter has failed to obtain such approval prior to the 
submission of an application for license to export, he 
must indicate this fact on his application for license to 
export. 

§123.82 National Firearms Act; Federal Firearms 
Act; Federal Explosives Art. (a) The provisions of this 
subchapter shall be considered as binding in addition to 
and not in lieu of those established under the provisions 
of the National Firearms Act, approved by the President 
June 26, 1934, as amended, now known as ch. 53, Internal 
Revenue Code of 1954 (26 U. S. C. 5801-5862) ; under the 
provisions of the Federal Firearms Act, approved by the 
President June 30, 1958 (52 Stat. 1250; 15 U. S. C. sec- 
tions 901-909), as amended March 10, 1947 (61 Stat. 11), 
August 6, 1939 (53 Stat. 1222), and February 7, 1950 (64 
Stat. 3) ; and under the provisions of the Federal Explo- 
sives Act, approved by the President October 6, 1917 (40 
Stat. 3S5; 50 U. S. C. ch. S), as amended December 26, 
1941 (55 Stat. 863 ; 50 U. S. C. ch. 8). 

(b) The National Firearms Act imposes certain taxes 
upon manufacturers, importers, and dealers in certain fire- 
arms ; taxes upon the making of certain firearms, and 
taxes on transfers of certain firearms. The term "fire- 
arm", as used in this act, includes "a shotgun or rifle 
having a barrel of less than eighteen inches in length, or 
any other weapon, except a pistol or revolver, from which 
a shot is discharged by an explosive if such weapon is 
capable of being concealed on the person, or a machine 
gun, and includes a muffler or silencer for any firearms 
whether or not such firearm is included within the fore- 
going definition, but does not include any rifle which is 
within the foregoing provisions solely by reason of the 
length of its barrel if the caliber of such rifle is .22 or 
smaller and if its barrel is sixteen inches or more in 
length." 

(c) The Federal Firearms Act applies to manufac- 
turers and dealers who are engaged in interstate or for- 
eign commerce in firearms and ammunition. The term 
"firearm", as used in this Act, means "any weapon, by 
whatever name known, which is designed to expel a pro- 
jectile or projectiles by the action of an explosive and a 
firearm muffler or firearm silencer, or any part or parts 



of such weapon" ; and the term "ammunition" includes 
"all pistol or revolver ammunition. It shall not include 
shotgun shells, metallic ammunition suitable for use only 
in rifles, or any .22 caliber rim fire ammunition." 

(d) The Federal Explosives Act is applicable to the 
manufacture, distribution, storage, use, and possession of 
explosives in time of war. The term "explosives", as used 
in this Act, means "gunpowders, powders used for blast- 
ing, all forms of high explosives, blasting materials, fuzes 
(other than electric circuit breakers), detonators, and 
other detonating agents, smokeless powders, and any 
chemical compounds or mechanical mixture that contains 
any oxidizing and combustible units, or other ingredients, 
in such proportions, quantities, or packing that ignition 
by fire, by friction, by concussion, by percussion, or by 
detonation of the compound or mixture or any part thereof 
may cause an explosion." 

(e) Rules and regulations for the enforcement of the 
National Firearms Act and Federal Firearms Act are 
prescribed by the Commissioner of Internal Revenue, with 
the approval of the Secretary of the Treasury. Rules and 
regulations for the enforcement of the Federal Explosives 
Act are prescribed by the Director of the Bureau of Mines, 
Department of the Interior. 



Part 124 — Licensing Agreements, Tiiansmission of 
Information 
Section 124.3 (b) is amended as follows: 

(b) Licensing agreements will be written in such a way 
that (1) the licensor may not include as a cost factor to 
the licensee a charge for technical data furnished or 
developed at the expense of the United States Government, 
(2) the licensee may not include as a cost factor in the sale 
of articles produced under the agreement a charge for 
technical data furnished or developed at the expense of 
the United States Government, and (3) new designs, proc- 
esses or manufacturing techniques derived from such 
data will be made available on an unrestricted basis to 
the United States Government at reasonable cost by the 
licensee. 

(Sec. 414, 68 Stat. 848, 22 U. S. C. 1934; sec. 103, E. O. 
10575, 19 F. R. 7251, 3 CFR, 1954 Supp.) 



Part 127 — Foreign Military Aircraft Flights 
Sections 127.1 through 127.3 are deleted and replaced 
by the following sections : 

§ 127.1 Foreign military flight clearances. Foreign 
governments desiring to overfly or land on United States 
territory are required to obtain written authorization to 
do so in advance from the Department of State. Such a 
request normally is made by the appropriate foreign gov- 
ernment embassy in Washington in the form of a diplo- 
matic note. The request should reach the Department no 
later than 72 hours before the overflight is to take place. 

§ 127.2 Use of military installations. Requests by for- 
eign governments for authorization to land their military 
aircraft at United States military installations should 
have the approval of the defense agency owning or leasing 
the military installations in addition to the required au- 



102 



Department of State Bulletin 



si bio 

**((llt sh 
".usisll §1 



tborization of the Secretary of State for overflight of 
Waited States territory (See §127.1). Requests for au- 
thorization to visit a military installation should be made 

the defense agency concerned as far in advance as pos- 
and no later than 72 hours before the arrival date. 

should contain information outlined in § 127.3. 

equired Information. In regard to the in- 
formation required in connection with §§ 127.1 and 127.2, 
foreign governments requesting permission for military 
aircraft to overfly and land should support the request 
with the following information : 

(a) The purpose of the flight; 

(b) The type and identity of the aircraft; 

(c) Names of crew; 

(d) Names and nationality of passengers; 

(e) Dates of arrival and departure at each point ; 

(f ) Special services and facilities desired. 

(See. 414, G8 Stat. 848, 22 U. S. C. 1934; sec. 103, E. O. 
10575, 19 F. R. 7251, 3 CFR, 1954 Supp.) 



jns,pw 



Part 128 — Administrative Procedures 
Section 12S.1 is amended as follows : 
§ 12S.1 Administrative Procedures Act. (a) The func- 
tions conferred by section 414 of the Mutual Security Act 
of 1954 are excluded from the operation of the Adminis- 
trative Procedures Act (60 Stat. 237), as contemplated by 
sections 1003 and 1004 thereof. 

(b) The functions conferred by section 6A of the Air 
Commerce Act of 1926 as amended are excluded from the 
operations of the Administrative Procedures Act as con- 
templated by sections 1003 and 1004 thereof. 
(Sec. 414, 68 Stat. 848, 22 U. S. C. 1934; sec. 103, E. O. 
10575, 19 F. R. 7251, 3 CFR, 1954 Supp.) 
Dated : December 24, 1957. 
For the Secretary of State. 

Roderic L. O'Connor, 

Administrator, 

Bureau of Security 

and Consular Affairs. 



TREATY INFORMATION 



United States and IVlexico Sign 
Development Loan Agreement 

The International Cooperation Administration 
announced on December 30 that the United States 
and Mexican Governments had that day entered 
into a loan agreement whereby the equivalent of 
$13.6 million in Mexican pesos will be made avail- 
able to Mexico for economic development 
purposes. 

January 20, 1958 



The pesos involved represent partial local-cur- 
rency proceeds of the sale of agricultural commod- 
ities under Public Law 480, the Agricultural 
Trade Development and Assistance Act. Last 
October 23 the United States sold Mexico 
$26.6 million worth of corn (ocean transportation 
added an additional $1.6 million), for which 
Mexico will pay in pesos. 

Under provisions of P.L. 480, loans may be 
made from such local-currency proceeds for de- 
velopment purposes as agreed on by a foreign 
government and the United States, represented 
by the International Cooperation Administration. 
The loan is for a period of 20 years, at four percent 
interest, and is repayable in dollars. 

The loan agreement, signed at the Export-Im- 
port Bank of Washington, is between Nacional 
Financiera, S.A., Mexican Government corpora- 
tion, and the Export-Import Bank, which will 
administer the loan for the United States. 



Current Actions 



MULTILATERAL 

Copyright 

Protocol 1 to the universal copyright convention concern- 
ing application of the convention to the works of state- 
less persons and refugees. Done at Geneva September 
6, 1952. Entered into force September 16, 1955. TIAS 
3324. 
Ratification deposited: Argentina, November 13, 1957. 

Protocol 2 to the universal copyright convention concerning 
application of the convention to the works of certain 
international organizations. Done at Geneva September 
6, 1952. Entered into force September 16, 1955. TIAS 
3324. 
Ratification deposited: Argentina, November 13, 1957. 

Property 

Convention for the protection of industrial property. 
Signed at London June 2, 1934. Entered into force 
August 1, 1938. 53 Stat. 1748. 

Adherence effective: Federation of Rhodesia and Nyasa- 
land, April 1, 1958. 

Telecommunications 

International telecommunication convention and six an- 
nexes. Signed at Buenos Aires December 22, 1952. 
Entered into force January 1, 1954. TIAS 3266. 
Ratification deposited : Nicaragua, November S, 1957. 
Accession deposited: Nepal, December 5, 1957. 

Final protocol to the international telecommunication 
convention. Signed at Buenos Aires December 22, 1952. 
Entered into force January 1, 1954. TIAS 3266. 
Ratification deposited: Nicaragua, November 8, 1957. 

Wheat 

International wheat agreement, 1956. Open for signature 
at Washington through May IS, 1956. Entered into force 
July 16, 1956, for parts 1, 3, 4, and 5, and August 1, 1956, 
for part 2. TIAS 3709. 
Acceptance deposited: Brazil, December 31, 1957. 



103 



BILATERAL 
China 

Agreement for the exchange of international money orders. 
Signed at Taipei October S and at Washington November 
14, 1957. Enters into force on a date to be agreed upon 
by the contracting parties. 

Approved and ratified by the President: December 24, 
1957. 

Greece 

Agricultural commodities agreement under title I of the 
Agricultural Trade Development and Assistance Act of 
1954, as amended (68 Stat. 454, 455; 69 Stat. 44, 721; 
71 Stat. 345), with memorandum of understanding and 



related note. Signed at Athens December IS, 1957. En- 
tered into force December IS, 1957. 

Guatemala 

Agreement relating to the disposition of equipment and 
materials no longer required in the furtherance of the 
mutual defense assistance program. Effected by ex- 
change of notes at Guatemala December 16, 1957. 
Entered into force December 16, 1957. 

Spain 

Agreement amending the agricultural commodities agree- 
ment of April 20, 1955 (TIAS 3246). Effected by ex- 
change of notes at Madrid November 27 and December 
7, 1957. Entered into force December 7, 1957. 



1 

\ 

,"'■' 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Peaceful and Neighborly Relations Among States 



■ 



Statement by Henry Cabot Lodge 

U.S. Representative to the General Assembly '■ 



It seems fitting to begin our discussion of this 
subject with a tribute to the delegation of India, 
whose initiative, along with that of Sweden and 
Yugoslavia, has considerably brightened the out- 
look for this debate. 

It must frankly be stated that last September, 
when the Soviet Union submitted its explanatory 
memorandum and the draft resolution at that 
time, 2 the outlook was for a disagreeable debate in 
which some useful hard truths might perhaps be 
stated but which gave little promise of a positive 
or harmonious outcome. 

The introduction of the three-power resolution * 
has changed that. The United States welcomes 
that resolution and warmly supports it. We sup- 
port it because it addresses itself seriously, and 
without trick phrases, to the subject before us. 
The United States views that subject as simply 
this: the problem of building peaceful relations 

1 Made in Committee I (Political and Security) on Dec. 
13 (U.S. delegation press release 2S43). 

2 U.N. doc. A/3673. 

8 U.N. doc. A/O.l/L.198. 



among states, based not on words alone but on 
peaceful behavior. 

There are times — and this may well be such a 
time — when peace and justice are well served by 
reaffirming old principles in a new form. Resolu- 
tions which do this can serve to create a good 
atmosphere and to shape world opinion construc- 
t i vel y. We think, for instance, of the declarations 
which have been made since the charter itself was 
written: notably the principles stated in the 
charter of the Organization of American States 
in 19-17 and important declarations by the Council 
of Europe, the Bandung conference of 1955, and 
many other international bodies. 

We are bound to recall, Mr. Chairman, that the 
charter of the United Nations is, for the states 
assembled here, a fundamental statement of the 
principles of international conduct. All that is 
really required is for these basic principles to be 
fully carried out. We have got plenty of state- 
ments of principles; if that is all we needed to 
guarantee peace, we would have had peace long 
ago. 






Y 

- 
I 



fie 



104 



Department of State Bulletin 



be such 

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;. Resoli 
1 goo 
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rations 

i„ Hi 
d States 

efouacL 

,,«* 
the * 
nl of thf 
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ol state- 
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> long 



Nevertheless, we believe that the three-power 
draft resolution can exert a good effect by re- 
affirming the positive and hopeful principles for 
"the maintenance of international peace and secu- 
rity and friendly cooperation among States." 
Thereby we can rededicate ourselves to the idea 
which lies at the heart of the United Nations — 
that sovereign nations need not benefit at one an- 
other's expense but can benefit most by helping 
one another. 

This resolution is directed only to states. I 
trust, however, that the injunction toward peace- 
able behavior will be heeded also by those 
Communist regimes which have heretofore been 
conspicuous for lawless behavior. The Communist 
regime on the mainland of China has lived by 
violence. It has engaged in successive armed 
aggressions. It took Tibet by force and has sup- 
ported and fomented Communist rebellion or 
insurrections in neighboring countries. It has 
•engaged in war in Korea against the United 
Nations itself. This war is not yet concluded but 
remains suspended by an armistice. The North 
Korean and Viet Minh regimes have likewise 
preyed upon their neighbors and sought to create 
international discord and confusion. We hope 
that these regimes will be influenced by the views 
expressed in this resolution to abandon their 
lawless conduct and to direct their policies toward 
peaceful paths. 

Comments on Soviet Statement 

Now let me comment on the statement which Mr. 
[V.V.] Kuznetsov [Soviet representative] made 
last night in opening the debate on this subject. 

We have listened to it carefully, including his 
specific proposals. His speech contained a num- 
ber of observations with which we agree. 

For example, he spoke of scientific and technical 
contacts between countries, which is something we 
have long believed in and sought to practice to- 
gether with other nations. We hope the Soviet 
Union will widen its cooperation with the rest of 
the world in the International Atomic Energy 
Agency and in next year's International Scienti- 
fic Conference on the Peaceful Uses of Atomic 
Energy. 

Mr. Kuznetsov spoke also of extending economic 
aid and cooperation with other countries. The 
United States welcomes this idea. We believe 
further that the new economic and technical pro- 
January 20, J 958 



gram of the United Nations, which I understand 
was ratified by the Second Committee yesterday, 4 
will have a most valuable part to play, especially 
since it will be insulated from any possible use 
for big-power politics. So that is the way we like 
to have it. 

Mr. Kuznetsov also spoke of disarmament. We 
sincerely hope that this means that the Soviet 
Union will retract its threat not to cooperate with 
the Disarmament Commission so that we can begin 
fruitful discussions. 

Mr. Chairman, it cannot be stated too often that 
the American people, and the Government which 
they have freely chosen, want peace. The words 
which President Eisenhower used once here in the 
United Nations remain true today : 

My country [he said] wants to be constructive, not 
destructive. It wants agreements, not wars, among na- 
tions. It wants itself to live in freedom, and in the 
confidence that the people of every other nation enjoy 
equally the right of choosing their own way of life. 

In our search for peace we welcome any hopeful 
sign from the Soviet Union. Mr. Kuznetsov's 
speech was milder than the very rough speeches 
which Mr. [Andrei] Gromyko [Soviet Foreign 
Minister] made here a few weeks ago on the Syrian 
item and on the disarmament question, and we 
welcome the difference in tone. But, Mr. Chair- 
man, peace in the world cannot be built simply and 
solely on the mild tone of speeches. Peace must 
also be built on actions. There is really quite a 
gap between what Mr. Kuznetsov says and what 
the Soviet Union does. We cannot believe that 
any of us would contribute to peace by ignoring 
that gap. 

Mr. Kuznetsov's speech did unfortunately con- 
tain many unfair criticisms and innuendoes di- 
rected against the United States. I will not 
mention them all, but I will give a few examples. 

First, he deplored "propaganda in the press and 
over the radio, engendering feelings of mutual dis- 
trust, suspicion, and malevolence." Yet, Mr. 
Chairman, his country is the greatest single source 
of such propaganda and is also in the best position 
to stop it, since it maintains a monopoly over both 
press and radio, whereas we have no government 
press, no government radio in our country. 

He complains of "a gigantic race in the produc- 
tion of mass destruction weapons," yet his country 
devotes a larger part of its national energies to the 
arms race than perhaps any other country in the 

4 Bulletin of Jan. 13, 1958, p. 71. 



world and now says it will boycott the United Na- 
tions Disarmament Commission. 

He claims that the Soviet Union has "no classes 
or groups interested in seizing foreign territory," 
and he insists that "nobody can or should seek to 
demand privileges for himself in relations with 
any state to the detriment of the interests of the 
other countries." Yet, Mr. Chairman, the Soviet 
Union, since 1939, has included within its own 
borders 264,000 square miles inhabited by over 
24 million people, including the entire nations of 
Latvia, Lithuania, and Estonia, and has acquired 
for itself the "privilege" of governing the affairs 
of other sovereign countries in a very large part 
of Eastern Europe. He complains of plans "to 
restore the colonial regime in free countries," and 
yet Soviet imperialism has done just this in East- 
ern Europe over the past decade and did it all 
over again in Hungary just a year ago. 

Mr. Kuznetsov complains of "a tendency to solve 
differences ... by means of force and threat of 
force, and by imposing one's will on other coun- 
tries," but what he complains of is just what the 
Soviet Union did in the case of Hungary. And 
as for the threat of force, there are 22 countries, 
my own included, which have been threatened 
during 1957 by the Soviet Union with atomic 
devastation for daring to join together in common 
defense against Soviet pressures. 

Now those are all facts. 

Mr. Kuznetsov insists that "war propaganda" 
must be stopped, but it was the Soviet Union 
which promoted the leading war scare of 1957 
right here in the United Nations when it alleged 
falsely that the United States was masterminding 
an attack on Syria. 

Mr. Kuznetsov urges all states to promise "not 
to attack one another," but it was the Soviet forces 
which attacked Hungary last year and those 
forces are still in occupation of Hungary to insure 
that that nation shall not enjoy its sovereign 
rights. . 

, Mr. Kuznetsov complains of "subversive acts" 
and "interference in internal affairs," and yet 
the Soviet Communist Party took the lead 
among Communist parties in Moscow on Novem- 
ber 21, only 3 weeks ago, in issuing a communique 
which gave their agents the task of "overthrowing 
the rule" in non-Soviet countries and told them to 
use both "peaceful" and "nonpeaceful" means. 

Mr. Kuznetsov says the "collision of ideas" is 



106 



better than that of armies — and I agree — but, 
within the whole area which the Soviet Union 
dominates, no collision of ideas is permitted 
except among a handful of rulers at the top. 

Importance of Establishing Confidence 

I cite these facts not in order to rake up the past 
but because we really would like to know how 
much of the fine words — and they were fine words 
— which we heard last night are really true. How 
much can we believe ? 

Much has already been said in this debate about 
the importance of establishing confidence. In the 
United States we yearn for such confidence. 
Much has been said also in this debate about de- 
fensive alliances, but we cannot lose sight of the 
fact that those alliances were called into being by 
actions of the Soviet Union which inspired the 
very opposite of trust. 

In this connection I would like to recall what Hie 
representative of Burma [U Thant] said in his 
speech last night, with a great deal of which we 
can agree. He said that mistrust begets mistrust 
and that steps must be taken to eliminate fear. 
That is certainly true, but the key to this lies in 
actions, not in words. We would be delighted to 
be able to believe that one speech here at the United 
Nations, delivered by coincidence on the eve of the 
NATO meetings, means that the trend which has 
been building up for 40 years has been suddenly 
reversed. We would like to think that. None 
would be happier than the people and the Gov- K W 
ernment of the United States to see this Soviet k 11 
speech followed by a real change in Soviet be- 
havior. That would just suit us right down to 
the ground. 

But, of course, we want to be shown, and so does 
the rest of the world. When it comes to such a 
sudden change as this, we are, in the American L 
slang phrase, "from Missouri." 

Mr. Chairman, the United States wants to workiT 
with the Soviet Union for peace. In spite of our ' , 
memories, so many of them recent, we continue 
to try. Yet we cannot pretend that what did j« 
happen did not happen. If we indulged in thia 
pretense, we would but be building a house oil 
cards because we would be ignoring the principles 
of justice. 

We must, therefore, consider how the Soviet 
Union has actually in fact interpreted "peacefu 
coexistence" in the past and see whether there i: 



His 
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lany outlook — not for a change in speech 
i true change in conduct. 



but for 



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Jistory of "Peaceful Coexistence" 

I had thought, Mr. Chairman, that the first use 
f the phrase "peaceful coexistence" was by Mr. 
i* Vfolotov, when he described the Hitler-Stalin pact 
1101 )f 1939, which freed Hitler for his attack on 
'' ?oland and "Western Europe as "in accord with 
jur principle of peaceful coexistence." But 
; urther study showed me that the idea was de- 
eloped long before that by Lenin and Stalin. 
The original doctrine of Karl Marx was that 
he Communist revolution would occur more or less 
limultaneously throughout the world. Lenin, 
ivho was a more practical politician than Marx, 
evised this doctrine to fit the facts. He said that 
' ,!: i Communist regime could be established success- 
! ully in one country — meaning the Eussian Em- 
aitii ,i re — anc } that it necessarily would have to "co- 
U! '' Jxist" side-by-side with non-Communist countries 
or a certain period of time. 

That was an obvious fact, and all that Lenin and 
5talin did by coining the "coexistence" idea was to 
,dapt their world revolutionary program to the 
hvious facts. But this is the crucial point : They 
lever renounced — and Mr. Khrushchev certainly 
ppears never to have renounced — their basic hos- 
ility to the non-Communist world and their belief 
hat the rest of the world should and would be 
trought under Soviet Communist rule. These 
j. i^ logmatic Soviet beliefs have been expressed at 
; 0T ; ft (,{ aany different times and in many different state- 
tdoniti aents, and there can be no doubt about their 
uthenticity. 

In these statements, three of which I shall now 
uote, it must be borne in mind that the word 
socialism" is not used in its beneficent sense but 
leans a device for domination; and the word 
lovfori capitalism" is not used in its modern competitive 
rise but refers to a bygone era of monopoly. 
Let me give you this illustration. In a speech 
what w a Moscow in 1920, Lenin said : 

As long as capitalism and socialism exist, we cannot 
.ve in peace ; in the end, one or the other will triumph — 
.principle* funeral dirge will be sung over the Soviet Republic or 

ver world capitalism. 
,i lf Soviet n the same speech Lenin made clear whose funeral 
-peaceful irge it would be when he said : 

*•' As soon as we are strong enough to defeat capitalism 

anuary 20, 1958 



as a whole, we shall immediately take it by the scruff of 
the neck. 

Stalin, in the same vein, said in 1925 : 

A certain temporary equilibrium of forces has been 
established between our country . . . and the countries 
of the capitalist world, an equilibrium which has deter- 
mined the present period of "peaceful coexistence." 

Then Stalin added that this was "a period in 
which the proletariat is mustering its forces . . . 
for future revolutionary actions." 

Thus, you see, Mr. Chairman, even in that early 
period, a generation ago, the idea of "peaceful co- 
existence" was presented as a phase in the Com- 
munist revolutionary struggle to conquer the 
world. 

Even today the phrase "peaceful coexistence," 
in the Soviet view, appears to be nothing more 
nor less than a phase in the Soviet Communist 
struggle for world conquest. And my authority 
for that statement is Mr. Khrushchev himself. 
Only 2 months ago, in his interview with Mr. 
James Keston of the New York Times, Mr. 
Khrushchev said : 

We are convinced that, in the present competition of 
socialism and capitalism, victory will be on the side of 
socialism, while capitalism will inevitably vanish from 
the historical arena. 

Meaning of "Socialism" and "Capitalism" 

Now, it may well be asked what sort of philos- 
ophy this is which insists on world conquest as an 
article of faith. Perhaps one answer to the ques- 
tion is found in examining the meaning of the 
terms "socialism" and "capitalism" as used by 
Soviet speakers, including Mr. Kuznetsov last 
night. 

I really think it might be illuminating if we 
just took one or two minutes to try to define our 
terms because we use these words here so often. 

The system of life in the Soviet Union is, as I 
understand it, called in the Russian language 
sotsializm, by those who manage it. But I very 
much doubt whether the Russian word sotsializm 
is correctly translated into English by using the 
word "socialism." I feel sure that in French it 
should not be translated as socialisme. Unhappily 
for me, I am not proficient in Spanish, much as 
I would like to be, but I would be surprised if 
sotsializm were correctly translated into Spanish 
by the word socialismo. If sotsializm in Russian 
means national socialism as practiced in Germany 



in the late thirties and early forties, in which the 
economic resources of the country are brought 
under the control of a ruling group for the pur- 
pose of guaranteeing total domination of the coun- 
try, then of course all who prize human dignity 
must reject it. 

"We remember in this connection what the great 
French intellectual, Albert Camus, who recently 
won the Nobel prize for literature, said recently in 
a statement which voiced the views of so many 
students, intellectuals, workers, and former Com- 
munists. He said : 

The Hungarian revolt blew to bits the biggest lie of 
the century: a lie that tried to pass off a regime of police 
tyranny as a proletarian revolution. I do not believe there 
can be any arrangement . . . with a regime of terror 
which has as much right to call itself socialism as the 
hangmen of the Inquisition had to call themselves 
Christians. 

However, if by the word sotsidlizm is meant 
"social consciousness" and "social welfare," if it 
means that those things are done by governments 
which the citizens cannot do, or cannot do as well 
by themselves, if it means a well-run program to 
increase the living standards of the masses of the 
people and to increase the share which they get 
out of the total effort of the community, then that, 
of course, is what America stands for, believes in, 
and has put into practice — as have many of the 
other non-Soviet countries of the world, which I 
see around me represented here in this room. 

If by "capitalism" is meant the old-fashioned 
monopoly capitalism for a few, which began to dis- 
appear in the United States in 1905, when Theo- 
dore Eoosevelt set about busting the trusts, then 
we are against that and we have laws against that 
which our Attorney General vigorously enforces. 
And you read about it frequently in the press. 
We have compulsory competition in America, 
which I think is to be contrasted with the state 
monopolies of the Soviet Union. 

But if by the word "capitalism" is meant modern 
competitive capitalism under vigilant government 
regulations with profits for huge masses of people, 
then we say that is one of the best systems for 
rapidly spreading and increasing the material 
well-being of people which the world has ever seen. 

Surely such a free and successful system does 
not deserve to be attacked. Indeed, many might 
say that it should be more widely emulated. 
Many might even suggest that, if the Soviet Union 
were to adopt such a free system, the living stand- 



108 



ards of its people would rise and would stand on a 
par with its scientific achievements for which it is " 
receiving such well-deserved congratulations. 

Now, the United States does not offer these facts * r * 
in any mood of national vanity. The system of ®} 
modern capitalism, regulated by government and 
depending for its success on efficient production, inyS 
high wages, and expanding markets, is working not 
only for our people but also for the peoples of j - 
many other countries. 

But what has Mr. Khrushchev to say about this u 
modern, competitive, regulated capitalism with 
large profits for the majority of the people? 
Either he does not understand it, or, if he does, 
he cannot achnit it because to do so would shattei 
the 40-year-old mythology on which Soviet propa- 
ganda is based. He can think whatever he want.' 
to about capitalism, but here is the point: Hf to ioJii. 
does not hesitate to demand that capitalism be de 
stroyed — and look at that in human terms — thai 
the system whereby uncounted millions of peopli 
in this world earn their living, bring up theii . 
children, and provide for their old age, b* <PP r( " 
destroyed. 

I just ask you all this question 
peaceful coexistence is that? 






[ 

What kind o: V. 

Morse ra 



"Peaceful Coexistence" and Free Elections 

Now, let us consider "peaceful coexistence" h 
connection with free elections. It is somewhat o 
an irony that Soviet communism, which permit 
no free elections in its own empire, claims for it :Sr 
agents the right to compete in free elections wher 
ever they take place — all in the name of "peacefu ''■■ 
coexistence" ! 

In September I listened, as we all did, with grea 
attention to the speech in the general debate by th 
distinguished representative of India, Mr. Krishn ' 
Menon. He had something to say about free elec ,;,i 
tions in India which is worth quoting here : 

A few months ago [he said] 121 million people rej 
istered their opinion as to who should constitute the Pai 
liament of India. On our electoral rolls today an 
193,429,004 people. That number is larger than the popv 
lation of the United States. 

We take legitimate pride in the fact that this demt 
cratic exercise has proceeded peacefully. Whether or 
political parties be of one type or another, whether they K 
Liberal, Constitutional, Congress, Communist, Socialist ( 
all the other things there are — and we have 14 parties i 
opposition to the Government, and what opposition! — n< 
one of them has complained about stifling of opinion 
rigging of elections. 

Department of State Bo//eti '"*, ; 



if peopli 
i! lie (k 
ukl shi 
vift ]iro[ 
ihe ' 
■lit 



1 " tii'i 



".■''!:a: 



■■;v'.: 



itan'donj Now, by contrast, let us look in the area con- 
rtitiiitij rolled by the Soviet Union for the facts about free 
1! ion>. (lections in that area. In 1945 at the Potsdam 
'■Mi .-;, :onference, during a discussion of free elections in 
M he Balkan States which had been liberated from 
Hitler, Stalin said : 

Any freely elected government in these countries will be 
n anti-Soviet government and we cannot allow that. 

Stalin's candor on that occasion was matched a 
rear ago by the ineffable Janos Kadar of Hungary, 
uu - vho really let the cat out of the bag when he said 
o a visiting delegation on November 15, 1956 : 

The workers' power can be destroyed not only by 
ullets but also by ballots. We must reckon with the fact 
hat we might be thoroughly beaten at the electii 

To that I must add that the elections which Mr. 

vadar feared, but which he nevertheless promised 

o hold, have never taken place. 

Now, Mr. Chairman, to the whole non-Soviet 

- vorld this is an attitude which would be humorous 

ofpeoj aid ridiculous if its consequences were not 

up tli ragic. Because you might lose the election, you 

ij age, I uppress it. But the free man asks : "If you are 

loing all these fine things for the people which you 

ay you are doing, why do you not trust them to 

ndorse you?" 



I True Peace 

So now I come to my conclusion. 
Mr. Chairman, the nations of the world must 
en j how some purpose to live together in peace. A 
lims for : aere "coexistence" while one side prepares to bury 
he other is not the answer. We need peaceful 
>ehavior; we need a true peace. "Peace" is the 
rord. And there is no use in trying to get around 
t with artful phrases. 
I We here at the United Nations are a center, in 
llr Krish ' ie charter's own words, "for harmonizing the 
r trefe lii ctions of nations." We have often fallen far 
hort of our goal, but that is no reason to despair. 
Just as, 12 years ago, the founding of the United 
*'Jjpj stations expressed the hopes of men and women 
,,!.,, j hroughout the world, so today we have the duty 
bantbepoi o express those hopes again and to show that we 
atend to be faithful to them. 
The resolution offered by India, Sweden, and 
ffte ' Jugoslavia is such an expression. As I said at 
J socialist he outset, it is a serious resolution, without hick 
y partiesi jhrases. It is a worthy vehicle for our hopes. We 
hould adopt it. Not only should we adopt it, but 
of op* 1 ye should do so unanimously and with sincerity, 



and then, Mr. Chairman, we should all set about 
carrying it out. 5 



Christopher H. Phillips Named 
U.S. Representative to ECOSOC 

The White House announced on December 24 
the recess appointment by the President of Chris- 
topher H. Phillips to be Representative of the 
United States on the Economic and Social Council 
of the United Nations, vice Neil H. Jacoby, 
resigned. 

President Appoints Milo Moore 

to International Salmon Commission 

The White House announced on December 23 
that President Eisenhower had appointed Milo 
Moore to be a member, on the part of the United 
States, of the International Pacific Salmon Fish- 
eries Commission, vice Robert J. Schoettler, 



DEPARTMENT AND FOREIGN SERVICE 



Recess Appointments 

The President on December 23 appointed Robert Mc- 
Clintock to be Ambassador to the Republic of Lebanon, 
vice Donald R. Heath, reassigned. (For biographic de- 
tails, see press release GTS dated December 23.) 

The President on December 24 appointed Charles W. 
Yost to be Ambassador to the Republic of Syria, vice 
James S. Moose, Jr. (For biographic details, see press 
release 679 dated December 26.) 



Designations 

Alfred Puhan as Deputy Director, Office of Inter- 
national Administration, effective December 1. 

LaRue R. Lutkins as Deputy Director, Office of Chinese 
Affairs, effective December 16. 



gji'anuary 20, 7958 



On Dec. 14 the three-power draft resolution calling 
upon all states "to make every effort to strengthen 
international peace, and to develop friendly and coopera- 
tive relations and settle disputes by peaceful means" was 
adopted in Committee I by a vote of 75 to with 1 absten- 
tion (China) and in plenary session by a vote of 77-0-1. 



109 



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Department of State Bulletin 



January 20, 1958 Index 



Vol. XXXVIII, No. 969 



sti i ; 
March ^ 






American Principles. The Brotherhood of Christ- 
mas (Eisenhower) 91 

Ceylon. U.S. Sends Flour To Aid Flood Victims 
in Ceylon 94 

China, Republic of. Progress in the Republic of 
China (Rankin) 89 

Communism. Peaceful and Neighborly Relations 
Among States (Lodge) 104 

Department and Foreign Service 

Designations (Lutkins, Puhan) 109 

Recess Appointments ( McClintock, Yost ) . . . . 109 

Economic Affairs 

Christopher H. Phillips Named U.S. Representa- 
tive to ECOSOC 109 

Loan to Iceland To Help Finance Essential 
Imports 93 

Dil, Water, and Nationalism in the Middle East 

(Kretzmann) 83 

President Appoints Milo Moore to International 
Salmon Commission 109 

United States and Mexico Sign Development Loan 
Agreement 103 

Hungary. U.S. To End Emergency Program for 
Hungarian Refugees 92 

Iceland. Loan to Iceland To Help Finance Essen- 
tial Imports 93 

Immigration and Naturalization. U.S. To End 
Emergency Program for Hungarian Refugees . . 92 

nternational Organizations and Conferences 

Christopher H. Phillips Named U.S. Representative 
to ECOSOC 109 

President Appoints Milo Moore to International 
Salmon Commission 109 

Japan. Secretary of State To Act for U.S. in 
Japanese War Criminal Cases (text of Executive 
order) 94 

Lebanon. McClintock appointed as ambassador . 109 

Mexico. United States and Mexico Sign Develop- 
ment Loan Agreement 103 

Middle East. Oil, Water, and Nationalism in the 
Middle East (Kretzmann) 83 

Military Affairs. United States Amends Regula- 
tions on International Traffic in Arms .... 95 

Mutual Security 

Loan to Iceland To Help Finance Essential 
Imports 93 

United States and Mexico Sign Development Loan 
Agreement 103 



U.S. Sends Flour To Aid Flood Victims in Ceylon . 94 

Presidential Documents 

President Eisenhower Replies to Soviet New Year 

Greeting 92 

Secretary of State To Act for U.S. in Japanese War 

Criminal Cases 94 

Publications. Recent Releases 110 

Refugees. U.S. To End Emergency Program for 

Hungarian Refugees 92 

Syria. Yost appointed as ambassador 109 

Treaty Information 

Current Actions 103 

United States and Mexico Sign Development Loan 

Agreement 103 

U.S.S.R. 

Peaceful and Neighborly Relations Among States 

(Lodge) 104 

President Eisenhower Replies to Soviet New Year 

Greeting (texts of messages) 92 

United Nations. Peaceful and Neighborly Rela- 
tions Among States (Lodge) 104 

Name Index 

Rulganin, Nikolai 92 

Eisenhower, President 91, 92, 94 

Khrushchev, Nikita 92 

Kretzmann, Edwin M. J 83 

Lodge, Henry Cabot 104 

Lutkins, LaRue R 109 

McClintock, Robert 109 

Moore, Milo 109 

Phillips, Christopher H 109 

Puhan, Alfred 109 

Rankin, Karl L 89 

Voroshilov, Kliment Efremovich 92 

Yost, Charles W 109 



Check List of Department of State 
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A new release the the popular Background series . 

Three New African Nations 
MOROCCO • TUNISIA • LIBYA 



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State's most recent Background publication. 

The 32-page pamphlet describes the geography, the govern- 
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torical sketches are also included, together with discussions of 
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Vol. XXXVIII, No. 970 January 27, 1958 

THE STATE OF THE UNION • Address by President 

Eisenhower 115 

PRESIDENT EISENHOWER AND PREMIER BULGANIN 
EXCHANGE CORRESPONDENCE ON PROPOSALS 
FOR REDUCING INTERNATIONAL TENSIONS . . 122 

SECRETARY DULLES' NEWS CONFERENCE OF 

JANUARY 10 131 

FOREIGN INVESTMENT AND ECONOMIC DEVELOP- 
MENT • by Deputy Under Secretary Dillon 139 



For index see inside back cover 



ARTMENT OF S 




Vol. XXXVIII, No. 970 • Publication 6585 
January 27, 1958 



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'he State of the Union 



Address by President Eisenhower^ 



Mr. President, Mr. Speaker, Members of the 
85th Congress : It is again my high privilege to ex- 
tend personal greetings to the Members of the 85th 
Congress. 

All of us realize that, as this new session begins, 
many Americans are troubled about recent world 
developments which they believe may threaten our 
Nation's safety. Honest men differ in their ap- 
praisal of America's material and intellectual 
strength, and the dangers that confront us. But 
ill know these dangers are real. 

The purpose of this message is to outline the 

easures that can give the American people a 
confidence — just as real — in their own security. 

I am not here to justify the past, gloss over the 
problems of the present, or propose easy solutions 
for the future. 

I am here to state what I believe to be right and 
what I believe to be wrong; and to propose action 
for correcting what I think wrong. 



There are two tasks confronting us that so far 
ratweigh all others that I shall devote this year's 
entirely to them. 

The first is to insure our safety through 
strength. 

As to our strength, I have repeatedly voiced this 
conviction : We now have a broadly based and effi- 
cient defensive strength, including a great deter- 
ment power, which is, for the present, our main 
guaranty against war; but, unless we act wisely 



Delivered before a joint session of the Senate and the 
House of Representatives on Jan. 9 (H. Doe. 251, 85th 
3ong., 2d sess.). 



lanuary 27, 1958 



and promptly, we could lose that capacity to deter 
attack or defend ourselves. 

My profoundest conviction is that the American 
people will say, as one man : No matter what the 
exertions or sacrifices, we shall maintain that 
necessary strength. 

But we could make no more tragic mistake than 
merely to concentrate on military strength. 

For if we did only this, the future would hold 
nothing for the world but an age of terror. 

And so our second task is to do the constructive 
work of building a genuine peace. We must never 
become so preoccupied with our desire for military 
strength that we neglect those areas of economic 
development, trade, diplomacy, education, ideas, 
and principles where the foundations of real peace 
must be laid. 

II 

The threat to our safety, and to the hope of a 
peaceful world, can be simply stated. It is Com- 
munist imperialism. 

This threat is not something imagined by critics 
of the Soviets. Soviet spokesmen, from the begin- 
ning, have publicly and frequently declared their 
aim to expand their power, one way or another, 
throughout the world. 

The threat has become increasingly serious as 
this expansionist aim has been reinforced by an 
advancing industrial, military, and scientific estab- 
lishment. 

But what makes the Soviet threat unique in his- 
tory is its all-inclusiveness. Every human activity 
is pressed into service as a weapon of expansion. 
Trade, economic development, military power, 



115 



arts, science, education, the whole world of ideas- 
all are harnessed to this same chariot of expansion. 
The Soviets are, in short, waging total cold war. 
The only answer to a regime that wages total 
cold war is to wage total peace. 

This means bringing to bear every asset of our 
personal and national lives upon the task of build- 
ing the conditions in which security and peace can 
grow. 

Ill 
Among our assets, let us first briefly glance at 
our military power. 

Military power serves the cause of security by 
making prohibitive the cost of any aggressive 
attack. 

It serves the cause of peace by holding up a 
shield behind which the patient constructive work 
of peace can go on. 

But it can serve neither cause if we make either 
of two mistakes. The one would be to overesti- 
mate our strength, and thus neglect crucially im- 
portant actions in the period just ahead. The 
other would be to underestimate our strength. 
Thereby we might be tempted to become irresolute 
in our foreign relations, to dishearten our friends, 
and to lose our national poise and perspective in 
approaching the complex problems ahead. 

Any orderly balance sheet of military strength 
must be in two parts. The first is the position 
as of today. The second is the position in the 
period ahead. 

As of today : our defensive shield comprehends 
a vast complex of ground, sea, and air units, 
superbly equipped and strategically deployed 
around the world. The most powerful deterrent 
to war in the world today lies in the retaliatory 
power of our Strategic Air Command and the air- 
craft of our Navy. They present to any potential 
attacker who would unleash war upon the world 
the prospect of virtual annihilation of his own 
country. 

Even if we assume a surprise attack on our 
bases, with a marked reduction in our striking 
power, our bombers would immediately be on their 
way hi sufficient strength to accomplish this mis- 
sion of retaliation. Every informed government 
knows this. It is no secret. 

Since the Korean armistice, the American 
people have spent $225 billion in maintaining and 
strengthening this overall defensive shield. 

116 



^creased 

B] 

track in!! 
the H . 

$1 tarns 
He wo 



This is the position as of today. 
Now as to the period ahead : Every part of our 
Military Establishment must and will be equipped 
to do its defensive job with the most modern 
weapons and methods. But it is particularly im- 
portant to our planning that we make a candid 
estimate of the effect of long-range ballistic mis- 
siles on the present deterrent power I have de- 
scribed. 

At this moment, the consensus of opinion is that feioni'. 
we are probably somewhat behind the Soviets in Lids 
some areas of long-range ballistic missile develop- Waved 
ment. But it is my conviction, based on close juane :: 
study of all relevant intelligence, that if we make iideal;. v 
the necessary effort, we will have the missiles, in i 
the needed quantity and in time, to sustain and ■ 
strengthen the deterrent power of our increasinglj 
efficient bombers. One encouraging fact evidenc- 
ing this ability is the rate of progress we have 
achieved since we began to concentrate on thest 
missiles. ' : 

The intermediate ballistic missiles, Thor anc liar? 
Jupiter, have already been ordered into produc j, 
tion. The parallel progress in the intercontinenta 
ballistic missile effort will be advanced by on 
plans for acceleration. The development of tb 
submarine-based Polaris missile system has pro; 
gressed so well that its future procurement sched ^ 
ules are being moved forward markedly. 

When it is remembered that our country ha I 
concentrated on the development of ballistic mis P 
siles for only about a third as long as the Soviets \\ 
these achievements show a rate of progress thajj^ 
speaks for itself. Only a brief time back, we wer 
spending at the rate of only about $1 million 
year on long-range ballistic missiles. In 1957 w 
spent more than $1 billion on the Atlas, Titar 
Thor, Jupiter, and Polaris programs alone. 

But I repeat, gratifying though this rate o 
progress is, we must still do more. 

Our real problem, then, is not our strength to ^ 
day ; it is rather the vital necessity of action toda; 
to insure our strength tomorrow, 

fail to 
What I have just said applies to our strengt' J -' 
as a single country. But we are not alone. Wmj 
have returned from the recent NATO meeting •; 
with renewed conviction that, because we are 
part of a worldwide community of free and peace Ite 



fet ■ 
Beans 



! Bulletin of Jan. 6, 1958, p. 3, and Jan. 13, 1958, p. 4 1 
Deparfment of Sfate Bulleti 



ful nations, our own security is immeasurably 
inn Increased. 
I By contrast, the Soviet Union has surrounded 
tself with captive and sullen nations. Like a 
:rack in the crust of an uneasily sleeping volcano, 
he Hungarian uprising revealed the depth and 
ntensity of the patriotic longing for liberty that 
;till burns within these countries. 

^The world thinks of us as a country which is 
rong, but which will never start a war. The 
' vorld also thinks of us as a land which has never 
nslaved anyone and which is animated by hu- 
11 i; laane ideals. This friendship, based on common 
deals, is one of our greatest sources of strength. 
It cements into a cohesive security arrangement 
he aggregate of the spiritual, military, and eco- 
omic strength of all those nations which, with us, 
re allied by treaties and agreements. 



pro. 



Up to this point, I have talked solely about our 
Flior i Jiilitary strength to deter a possible future war. 
I now want to talk about the strength we need 
win a different kind of war — one that has al- 
1 . eady been launched against us. 

It is the massive economic offensive that has been 
lounted by the Communist imperialists against 
ee nations. 3 

The Communist imperialist regimes have for 
Dme time been largely frustrated in their attempts 
It expansion based directly on force. As a re- 
Lilt, they have begun to concentrate heavily on 
conomic penetration, particularly of newly de- 
veloping countries, as a preliminary to political 
omination. 

This nonmilitary drive, if underestimated, could 
efeat the free world regardless of our military 
length. This danger is all the greater precisely 
ecause many of us fail or refuse to recognize it. 
fhus, some people may be tempted to finance 
ur extra military effort by cutting economic 
ksistance. But at the very time when the eco- 
lomic threat is assuming menacing proportions, 
fail to strengthen our own effort would be noth- 
g less than reckless folly. 

Admittedly, most of us did not anticipate the 
ychological impact upon the world of the 
[lunching of the first earth satellite. Let us not 
lake the same kind of mistake in another field, 



m . : L 



: 



3 For background, see p. 144. 
27, J 958 



by failing to anticipate the much more serious im- 
pact of the Soviet economic offensive. 

As with our military potential, our economic 
assets are more than equal to the task. Our inde- 
pendent farmers produce an abundance of food 
and fiber. Our free workers are versatile, intelli- 
gent, and hard working. Our businessmen are 
imaginative and resourceful. The productivity, 
the adaptability of the American economy is the 
solid foundation stone of our security structure. 

We have just concluded another prosperous 
year. Our output was once more the greatest 
in the Nation's history. In the latter part of 
the year, some decline in employment and output 
occurred, following the exceptionally rapid ex- 
pansion of recent years. In a free economy, re- 
flecting as it does the independent judgments of 
millions of people, growth typically moves for- 
ward unevenly. But the basic forces of growth 
remain unimpaired. There are solid grounds for 
confidence that economic growth will be resumed 
without an extended interruption. Moreover, the 
Federal Government, constantly alert to signs of 
weakening in any part of our economy, always 
stands ready, with its full power, to take any ap- 
propriate further action to promote renewed busi- 
ness expansion. 

If our history teaches us anything, it is this les- 
son : so far as the economic potential of our Nation 
is concerned, the believers in the future of America 
have always been the realists. 

I count myself as one of this company. 

Our long-range problem, then, is not the stam- 
ina of our enormous engine of production. Our 
problem is to make sure that we use these vast 
economic forces confidently and creatively, not 
only in direct military defense efforts, but like- 
wise in our foreign policy, through such activities 
as mutual economic aid and foreign trade. 

In much the same way, we have tremendous po- 
tential resources on other nonmilitary fronts to 
help in countering the Soviet threat: education, 
science, research, and, not least, the ideas and prin- 
ciples by which we live. And in all these cases the 
task ahead is to bring these resources more sharply 
to bear upon the new tasks of security and peace in 
a swiftly changing world. 

IV 

There are many items in the administration's 
program, of a kind frequently included in a state 



muary 



of the Union message, with which I am not dealing 
today. They are important to us and to our pros- 
perity. But I am reserving them for treatment in 
separate communications because of my purpose 
today of speaking only about matters bearing di- 
rectly upon our security and peace. 

I now place before you an outline of action de- 
signed to focus our resources upon the two tasks of 
security and peace. 

In this special category I list eight items requir- 
ing action. They are not merely desirable. They 
are imperative. 

1. Defense Reorganization 

The first need is to assure ourselves that military 
organization facilitates rather than hinders the 
functioning of the Military Establishment in 
maintaining the security of the Nation. 

Since World War II, the purpose of achieving 
maximum organizational efficiency in a modern de- 
fense establishment has several times occasioned 
action by the Congress and by the executive. 

The advent of revolutionary new devices, bring- 
ing with them the problem of overall continental 
defense, creates new difficulties, reminiscent of 
those attending the advent of the airplane half a 
century ago. 

Some of the important new weapons which tech- 
nology has produced do not fit into any existing 
service pattern. They cut across all services, in- 
volve all services, and transcend all services, at 
every stage from development to operation. In 
some instances they defy classification according 
to branch of service. 

Unfortunately, the uncertainties resulting from 
such a situation, and the jurisdictional disputes 
attending upon it, tend to bewilder and confuse the 
public and create the impression that service differ- 
ences are damaging the national interest. 

Let us proudly remember that the members of the 
Armed Forces give their basic allegiance solely to 
the United States. Of that fact all of us are cer- 
tain. But pride of service and mistaken zeal in 
promoting particular doctrine has more than once 
occasioned the kind of difficulty of which I have 
just spoken. 

I am not attempting today to pass judgment on 
the charge of harmful service rivalries. But one 
thing is sure. Whatever they are, America wants 
them stopped. 



h 
torn 1 1 
period 

se. 

i,y i n 
Went 



Recently I have had under special study the 
never-ending problem of efficient organization, 
complicated as it is by new weapons. Soon my 
own conclusions will be finalized. I shall prompt- 
ly take such executive action as is necessary and. 
in a separate message, I shall present appropriate 
recommendations to the Congress. 

Meanwhile, without anticipating the detailed 
form that a reorganization should take, I can state 
its main lines in terms of objectives : 

A major purpose of military organization is tc 
achieve real unity in the Defense Establishment ir 
all the principal features of military activity. Oi Tb' 
all these, one of the most important to our Na- range n 
tion's security is strategic planning and control fe 
This work must be done under unified direction. 

The defense structure must be one which, as i 
whole, can assume, with top efficiency and withou 
friction, the defense of America. The Defens 
Establishment must therefore plan for a better in fe 
tegration of its defensive resources, particular!; 1\ 
with respect to the newer weapons now buildinj 
and under development. These obviously requir ' 
full coordination in their development, produc 
tion, and use. Good organization can help assur 
this coordination. 

In recognition of the need for single control i 
some of our most advanced development projects 
the Secretary of Defense has already decided I 
concentrate into one organization all the antimis 
sile and satellite technology undertaken within tb 
Department of Defense. 

Another requirement of military organization : 
a clear subordination of the military services t 
duly constituted civilian authority. This contrc 
must be real ; not merely on the surface. 

Next there must be assurance that an excess! 
number of compartments in organization will nc 
create costly and confusing compartments in o 
scientific and industrial effort. 



T. 



Tb] 

is!. 
lb 

b 



Finally, to end interservice disputes requir. ^ 
clear organization and decisive central directioi fc| 
supported by the unstinted cooperation of evei ^ 
individual in the Defense Establishment, civilia . 
and military. Wldbe 

is for 
2. Accelerated Defense Effort 

The second major action item is the accelerate * 
of the defense effort in particular areas affect* 
by the fast pace of scientific and technological a. | 
vance. 

Department of State Bullet 



Some of the points at which improved and in- 
jreased effort are most essential are these: 

We must have sure warning in case of attack. 
The improvement of warning equipment is be- 
soming increasingly important as we approach the 
period when long-range missiles will come into 
lse. 

We must protect and disperse our striking 
forces and increase their readiness for instant re- 
Lction. This means more base facilities and stand- 
»y crews. 

We must maintain deterrent retaliatory power. 
This means, among other things, stepped-up long- 
ange missile programs; accelerated programs for 
ther effective missile systems ; and, for some years, 
lore advanced aircraft. 
We must maintain freedom of the seas. This 
I rtlt jreans nuclear submarines and cruisers ; improved 
IMt. Intisubmarine weapons; missile ships; and the 
better 

tici' We must maintain all necessary types of mobile 
bill arces to deal with local conflicts, should there 1 
yreif; eed. This means further improvements in 
lent, mobility, tactics, and firepower. 
Through increases in pay and incentive, we must 
laintain in the Armed Forces the skilled man- 
ontir |ower modern military forces require. 

We must be forward looking in our research and 
velopment to anticipate and achieve the un- 
lagined weapons of the future. 
With these and other improvements, we intend 
» assure that our vigilance, power, and technical 
lizatit; ccellence keep abreast of any realistic threat we 
ice. 



Mutual Aid 

Third : We must continue to strengthen our mu- 
ll security efforts. 

Most people now realize that our programs of 
ilitary aid and defense support are an integral 
wf irt of our own defense effort. If the foundations 
iM ! the free world structure were progressively al- 
wed to crumble under the pressure of Commu- 
st imperialism, the entire house of freedom 
ould be in danger of collapse. 
As for the mutual economic assistance program, 
e benefit to us is threefold. First, the countries 
ceiving this aid become bulwarks against Com- 
unist encroachment as their military defenses 
d economies are strengthened. Nations that are 
nscious of a steady improvement in their in- 



a= ail* 
lojialf; 

... 



dustry, education, health, and standard of living 
are not apt to fall prey to the blandishments of 
Communist imperialists. 

Second, these countries are helped to reach the 
point where mutually profitable trade can expand 
between them and us. 

Third, the mutual confidence that comes from 
working together on constructive projects creates 
an atmosphere in which real understanding and 
peace can flourish. 

To help bring these multiple benefits, our eco- 
nomic aid effort should be made more effective. 

In proposals for future economic aid, I am 
stressing a greater use of repayable loans, through 
the development loan fund, through funds gen- 
erated by sale of surplus farm products, and 
through the Export-Import Bank. 

While some increase in Government funds will 
be required, it remains our objective to encourage 
shifting to the use of private capital sources as 
rapidly as possible. 

One great obstacle to the economic aid program 
in the past has been, not a rational argument 
against it on the merits, but a catchword: "give- 
away program." 

The real fact is that no investment we make 
in our own security and peace can pay us greater 
dividends than necessary amounts of economic aid 
to friendly nations. 

This is no "giveaway." 

Let's stick to facts. 

We cannot afford to have one of our most es- 
sential security programs shot down with a slogan. 

4. Mutual Trade 

Fourth: Both in our national interest, and in 
the interest of world peace, we must have a 5-year 
extension of the Trade Agreements Act with broad- 
ened authority to negotiate. 

World trade supports a significant segment of 
American industry and agriculture. It provides 
employment for 4*4 million American workers. 
It helps supply our ever-increasing demand for 
raw materials. It provides the opportunity for 
American free enterprise to develop on a world- 
wide scale. It strengthens our friends and in- 
creases their desire to be friends. World trade 
helps to lay the groundwork for peace by making 
all free nations of the world stronger and more 
self-reliant. 



nuary 27, J 958 



America is today the world's greatest trading 
nation. If we use this great asset wisely to meet 
the expanding demands of the world, we shall 
not only provide future opportunities for our own 
business, agriculture, and labor, but in the process 
strengthen our security posture and other pros- 
pects for a prosperous, harmonious world. 

As President McKinley said, as long ago as 
1901: "Isolation is no longer possible or desir- 
able .... The period of exclusiveness is past." 

5. Scientific Cooperation With Our Allies 

Fifth : It is of the highest importance that the 
Congress enact the necessary legislation to enable 
us to exchange appropriate scientific and technical 
information with friendly countries as part of 
our effort to achieve effective scientific cooper- 
ation. 

It is wasteful in the extreme for friendly allies 
to consume talent and money in solving problems 
that their friends have already solved — all be- 
cause of artificial barriers to sharing. We cannot 
afford to cut ourselves off from the brilliant talents 
and minds of scientists in friendly countries. The 
task ahead will be hard enough without handcuffs 
of our own making. 

The groundwork for this kind of cooperation 
has already been laid in discussions among NATO 
countries. Promptness in following through 
with legislation will be the best possible evidence 
of American unity of purpose in cooperating with 
our friends. 

6. Education and Research 

Sixth : In the area of education and research, I 
recommend a balanced program to improve our 
resources, involving an investment of about a 
billion dollars over a 4-year period. This in- 
volves new activities by the Department of Health, 
Education, and Welfare designed principally to 
encourage improved teaching quality and student 
opportunities in the interests of national security. 
It also provides a fivefold increase in sums avail- 
able to the National Science Foundation for its 
special activities in stimulating and improving 
science education. 

Scrupulous attention has been paid to maintain- 
ing local control of educational policy, spurring 
the maximum amount of local effort, and to avoid- 
ing undue stress on the physical sciences at the 
expense of other branches of learning. 

120 



In the field of research, I am asking for sub- 
stantial increases in basic research funds, includ 
ing a doubling of the funds available to thi^ 
National Science Foundation for this purpose 

But Federal action can do only a part of th< 
job. In both education and research, redoublec 
exertions will be necessary on the part of al 
Americans if we are to rise to the demands of oui States 
times. This means hard work on the part of Stafc if 
and local governments, private industry, school iali 
and colleges, private organizations and founda 
tions, teachers, parents, and — perhaps most im 
portant of all — the student himself, with his ba. 
of books and his homework. 

With this kind of all-inclusive campaign, I havl orf 
no doubt that we can create the intellectual capifa mi 
we need for the years ahead, invest it in the rigb ^ n: 
places — and do all this, not as regimented pawn I ,;q, 
but as free men and women. ^ ^ 

tare 
7. Spending and Saving »j] lt 

Seventh: To provide for this extra effort f< -' 
security, we must apply stern tests of priority i 
other expenditures, both military and civilian. 

This extra effort involves, most immediately, tl 
need for a supplemental defense appropriation i B ,:.; 
$1.3 billion for fiscal year 1958. 

In the 1959 budget, increased expenditures f 
missiles, nuclear ships, atomic energy, resean 
and development, science and education, a speci 
contingency fund to deal with possible new tec 
nological discoveries, and increases in pay ai 
incentives to obtain and retain competent ma km 
power add up to a total increase over the coi 
parable figures in the 1957 budget of about 
billion. 

I believe that, in spite of these necessary i 
creases, we should strive to finance the 1959 ! 
curity effort out of expected revenues. While 
now believe that expected revenues and expem 
tures will roughly balance, our real purpose v> ' 
be to achieve adequate security, but always w: i' 
the utmost regard for efficiency and care: 
management. 

This purpose will require the cooperation y 
Congress in making careful analysis of estima ;. 
presented, reducing expenditure on less essent U 
military programs and installations, postponi ^ 
some new civilian programs, transferring some ]i. : ., 
the States, and curtailing or eliminating others n^ 

Department of State Bulle toot) v 



■t:.- 



fa 
& i • 
gtor 

tatei 



.1 
be ; 



I Such related matters as the national debt ceiling 
kliipnd tax revenues will be dealt with in later 
to 

orpis 

1 . Works of Peace 

*oli My last call for action is not primarily ad 

[ressed to the Congress and people of the United 

States. Rather, it is a message from the people 

f the United States to all other peoples, espe- 

ially those of the Soviet Union. 

This is the spirit of what we would like to say : 

"In the last analysis, there is only one solution 

) the grim problems that lie ahead. The world 

lust stop the present plunge toward more and 

lore destructive weapons of war, and turn the 

arner that will start our steps firmly on the path 

jward lasting peace. 

"Our greatest hope for success lies in a univer- 
il fact : the people of the world, as people, have 
Iways wanted peace and want peace now. 
The problem, then, is to find a way of translat- 
tiortfig this universal desire into action. 

"This will require more than words of peace, 
requires works of peace." 

Now, may I try to give you some concrete ex- 
»|r±ples of the kind of works of peace that might 
ake a beginning in the new direction. 
For a start our people should learn to know 
iwlch other better. Recent negotiations in Wash- 
m gton have provided a basis in principle for 
aewto -eater freedom of communication and exchange 
people. I urge the Soviet Government to co- 
at Mfcerate in turning principle into practice by 
the o "ompt and tangible actions that will break 
>wn the unnatural barriers that have blocked 
e flow of thought and understanding between 
ir people. 

Another kind of work of peace is cooperation 
projects of human welfare. For example, we 
iw have it within our power to eradicate from 
1 '"" e face of the earth that age-old scourge of man- 
rid: malaria. We are embarking with other 
tions in an all-out 5-year campaign to blot out 
cSR is curse forever. We invite the Soviets to join 
th us in this great work of humanity. 
Indeed, we would be willing to pool our efforts 
estim th the Soviets in other campaigns against the 
sd seases that are the common enemy of all mor- 
Qjipot Is — such as cancer and heart disease. 

If people can get together on such projects, is 
ot i;as not possible that we could then go on to a full- 

>(0 nuory 27, 1958 



jk: 



scale cooperative program of science for peace? 
We have as a guide and inspiration the success 
of our atoms-for-peace proposal, which in only a 
few years, under United Nations auspices, became 
a reality in the International Atomic Energy 
Agency. 

A program of science for peace might provide 
a means of funneling into one place the results of 
research from scientists everywhere and from 
there making it available to all parts of the 
world. 

There is almost no limit to the human better- 
ment that could result from such cooperation. 
Hunger and disease could increasingly be driven 
from the earth. The age-old dream of a good life 
for all could, at long last, be translated into 
reality. 

But of all the works of peace, none is more 
needed now than a real first step toward dis- 
armament. 

Last August [November] the United Nations 
General Assembly, by an overwhelming vote, ap- 
proved a disarmament plan that we and our allies 
sincerely believed to be fair and practical. 4 The 
Soviets have rejected both the plan, and the nego- 
tiating procedure set up by the United Nations. 
As a result, negotiation on this supremely im- 
portant issue is now at a standstill. 

But the world cannot afford to stand still on 
disarmament. We must never give up the search 
for a basis of agreement. 

Our allies from time to time develop differing 
ideas on how to proceed. We must concert these 
convictions among ourselves. Thereafter, any 
reasonable proposal that holds promise for dis- 
armament and reduction of tension must be heard, 
discussed, and, if possible, negotiated. 

But a disarmament proposal, to hold real prom- 
ise, must at the minimum have one feature : reli- 
able means to insure compliance by all. It takes 
actions and demonstrated integrity on both sides 
to create and sustain confidence. And confidence 
in a genuine disarmament agreement is vital, not 
only to the signers of the agreement, but also to 
the millions of people all over the world who are 
weary of tensions and armaments. 

I say once more, to all peoples, that we will al- 
ways go the extra mile with anyone on earth if it 
will bring us nearer a genuine peace. 



' Bulletin of Dec. 16, 1957, p. 961. 



121 



Conclusion 

These, then, are the ways in which we must fun- 
nel our energies more efficiently into the task of 
advancing security and peace. 

These actions demand and expect two things of 
the American people : sacrifice, and a high degree 
of understanding. For sacrifice to be effective it 
must be intelligent. Sacrifice must be made for 
the right purpose and in the right place — even if 
that place happens to come close to home. 

After all, it is no good demanding sacrifice in 
general terms one day, and the next day, for local 
reasons, opposing the elimination of some un- 
needed Federal facility. 

It is pointless to condemn Federal spending in 
general, and the next moment condemn just as 
strongly an effort to reduce the particular Federal 
grant that touches one's own interest. 

And it makes no sense whatever to spend addi- 
tional billions on military strength to deter a 



F' 
T 

ml: 
•7- 



potential danger, and then, by cutting aid and* i$^ 
trade programs, let the world succumb to a pres- 
ent danger in economic guise. 

My friends of the Congress : The world is wait- 
ing to see how wisely and decisively a free repre- 
sentative government will now act. 

I believe that this Congress possesses and will > f 
display the wisdom promptly to do its part in f 
translating into law the actions demanded by our r 
Nation's interests. But, to make law effective, our f 
kind of government needs the full voluntary sup- ! ' 
port of millions of Americans for these actions. 

I am fully confident that the response of tht 
Congress and of the American people will makt 
this time of test a time of honor. Mankind ther 
will see more clearly than ever that the futun t i (11 
belongs, not to the concept of the regimentec j r i 
atheistic state, but to the people — the God-fearinj <, ;i ,. 
peace-loving people of all the world. 



President Eisenhower and Premier Bulganin Exchange Correspondence 
on Proposals for Reducing International Tensions 



THE PRESIDENT TO PREMIER BULGANIN 

The President on January 12 made public the 
following letter to Nikolai Bulganin, Chairman 
of the Council of Ministers of the Union of Soviet 
Socialist Republics (White House press release 
dated January 12) . 

January 12, 1958 
Dear Mr. Chairman : When on December 10 
I received your communication, I promptly ac- 
knowledged it with the promise that I would in 
due course give you a considered reply. I now 
do so. 

Your communication seems to fall into three 
parts: the need for peace; your contention that 
peace is endangered by the collective self-defense 
efforts of free world nations; and your specific 
proposals. I shall respond in that same order 
and make my own proposals. 



Peace and good will among men have been the 
heartfelt desire of peoples since time immemorial. 
But professions of peace by governmental leaders 



122 



have not always been a dependable guide to thei 
actual intentions. Moreover, it seems to me to b 
profitless for us to debate the question of whic 
of our two governments wants peace the mon 
Both of us have asserted that our respective pec 
pies ardently desire peace and perhaps you an 
I feel this same urge equally. The heart of tli y e 
matter becomes the determination of the terms o 
which the maintenance of peace can be assure< ; 
and the confidence that each of us can justifiabl ^.^ 
feel that these terms will be respected. \ ( , 

In the United States the people and their goi fc ,.. 
ernment desire peace and in this country the pec wp,. 
pie exert such constitutional control over goverr \ f| ~.; 
ment that no government could possibly initial 1 m; ; 
aggressive war. Under authority already give< ^.j r 
by our Congress, the United States can and woul ;{ j 
respond at once if we or any of our allies wer ^,. .:, 
attacked. But the United States cannot initiau (IE , i, 
war without the prior approval of the people ] tl , . 
representatives in the Congress. This process r] ^ 
quires time and public debate. Not only wouJ: j^ 
our people repudiate any effort to begin an attaci ^ 
but the element of surprise, so important in ar Wp t 

Department of State Bullet,,^ 



Kgressive move, would be wholly lacking. Ag- 
gressive war by us is not only abhorrent; it is im- 
practical and impossible. 

The past forty years provide an opportunity to 
judge the comparative peace records of our two 
lystems. We gladly submit our national record 
lor respecting peace to the impartial judgment of 
pankind. I can assure you, Mr. Chairman, that 
pi the United States the waging of peace has 
priority in every aspect, and every element, of our 
Rational life. 

II. 

You argue that the danger of war is increased 

ecause the United States and other free world 

ations seek security on a collective basis and on 

he basis of military preparedness. Three times 

a this century wars have occurred under circum- 

tances which strongly suggest, if indeed they do 

ot prove, that war would not have occurred had 

he United States been militarily strong and com- 

litted in advance to the defense of nations that 

rere attacked. 

On each of these three occasions when war came, 

ae United States was militarily unprepared, or 

1-prepared, and it was not known that the United 

tates would go to the aid of those subjected to 

to tl: rmed aggression. Yet now it appears, Mr. Chair- 

meto ian, that you contend that weakness and disunity 

)f o r ould make war less likely. 

he m«j I ma y be permitted perhaps to recall that in 
tin J larch 1939, when the Soviet Union felt relatively 
you • reak and threatened by Fascist aggression, it con- 
rtof: snded that aggression was rife because "the ma- 
)rity of the non-aggressive countries, particularly 
mgland and France, have rejected the policy of 
Dllective security", and Stalin went on to say that 
he policy of "Let each country defend itself as it 
(kes and as best it can . . . means conniving at 
ession, giving free rein to war." 
Now the Soviet Union is no longer weak or con- 
nted by powerful aggressive forces. The vast 
no-Soviet bloc embraces nearly one billion people 
d large resources. Such a bloc would of course 
dominant in the world were the free world na- 
ions to be disunited. 

I It is natural that any who want to impose their 
pstem on the world should prefer that those out- 
ide that system should be weak and divided. But 
pat expansionist policy cannot be sanctified by 
rotestations of peace. 



Of course the United States would greatly prefer 
it if collective security could be obtained on a uni- 
versal basis through the United Nations. 

This was the hope when in 1945 our two govern- 
ments and others signed the Charter of the United 
Nations, conferring upon its Security Council pri- 
mary responsibility for the maintenance of inter- 
national peace and security. Also, by that Charter 
we agreed to make available to the Security Coun- 
cil armed forces, assistance and facilities so that the 
Council could maintain and restore international 
peace and security. 

The Soviet Union has persistently prevented the 
establishment of such a universal collective secur- 
ity system and has, by its use of the veto — now 82 
times — made the Security Council undependable 
as a protector of the peace. 

The possibility that the Security Council might 
become undependable was feared at the San Fran- 
cisco Conference on World Organization, and ac- 
cordingly the Charter recognized that, in addition 
to reliance on the Security Council, the nations 
possessed and might exercise an inherent right of 
collective self-defense. It has therefore been found 
not only desirable but necessary, if the free nations 
are to be secure and safe, to concert their defensive 
measures. 

I can and do give you, Mr. Chairman, two solemn 
and categorical assurances. 

(1) Never will the United States lend its sup- 
port to any aggressive action by any collective de- 
fense organization or any member thereof ; 

(2) Always will the United States be ready to 
move toward the development of effective United 
Nations collective security measures in replace- 
ment of regional collective defense measures. 

I turn now to consider your specific proposals. 
III. 

I am compelled to conclude after the most care- 
ful study of your proposals that they seem to be 
unfortunately inexact or incomplete in their 
meaning and inadequate as a program for pro- 
ductive negotiations for peace. 

You first seem to assume that the obligations of 
the Charter are non-existent and that the voice of 
the United Nations is nothing that we need to 
heed. 

You suggest that we should agree to respect the 
independence of the countries of the Near and 



wary 27, 1958 



123 



Middle East and renounce the use of force in 
the settlement of questions relating to the Near 
and Middle East. But by the Charter of the 
United Nations we have already taken precisely 
those obligations as regards all countries, includ- 
ing those of the Near and Middle East. Our pro- 
found hope is that the Soviets feel themselves as 
bound by the provisions of the Charter as, I assure 
you, we feel bound. 

You also suggest submitting to the member 
states of NATO and the Warsaw Pact some form 
of non-aggression agreement. But all of the mem- 
bers of NATO are already bound to the United 
Nations Charter provision against aggression. 

You suggest that the United States, the United 
Kingdom and the Soviet Union should undertake 
not to use nuclear weapons. But our three nations 
and others have already undertaken, by the 
Charter, not to use any weapons against the terri- 
torial integrity or political independence of any 
state. Our profound hope is that no weapons will 
be used by any country for such an indefensible 
purpose and that the Soviet Union will feel a 
similar aversion to any kind of aggression. 

You suggest that we should proclaim our in- 
tention to develop between us relations of friend- 
ship and peaceful cooperation. Such an intention 
is indeed already proclaimed as between ourselves 
and others by the Charter of the United Nations 
to which we have subscribed. The need is, not 
to repeat what we already proclaim, but, Mr. 
Chairman, to take concrete steps under the present 
terms of the Charter, that will bring about these 
relations of friendship and peaceful cooperation. 
As recently as last November, the Commimist 
Party of the Soviet Union signed and proclaimed 
to the world a declaration which was designed 
to promote the triumph of Communism through- 
out the world by every means not excluding 
violence, and which contained many slanderous 
references to the United States. I am bound to 
point out that such a declaration is difficult to 
reconcile with professions of a desire for friend- 
ship or indeed of peaceful coexistence. This 
declaration makes clear where responsibility for 
the "Cold War" lies. 

You propose that we broaden the ties between 
us of a "scientific, cultural and athletic" character. 
But already our two countries are negotiating for 
peaceful contacts even broader than "scientific, 
cultural and athletic". We hope for a positive re- 



sult, even though in 1955, after the Summit Con-| f;;r .. 
f erence, when negotiations for such contacts were ^ t ..., : 
pressed by our Foreign Ministers at Geneva, the 
accomplishments were zero. It is above all im- )K 
portant that our peoples should learn the true 
facts about each other. An informed public 
opinion in both our countries is essential to the (|' 
proper understanding of our discussions. '»' 

You propose that we develop "normal" trade T 
relations as part of the "peaceful cooperation" oi 
which you speak. We welcome trade that car-** 
ries no political or warlike implications. We dc \ 
have restrictions on dealings in goods which are 
of war significance, but we impose no obstacles tc 
peaceful trade. 

Your remaining proposals relate to armament 
In this connection, I note with deep satisfactioi i 
that you oppose "competition in the production o 
ever newer types of weapons". When I read thai I J,. 
statement I expected to go on to read proposal! ij I m 
to stop such production. But I was disappointed M, r 

You renew the oft-repeated Soviet proposa h 
that the United States, the United Kingdom anc fay-. 
the Soviet Union should cease for two or tlue 
years to test nuclear weapons ; and you sugges 
that nuclear weapons should not be stationed o L 
produced in Germany. You add the possibilit; L 
that Poland and Czechoslovakia might be addec L, 
to this non-nuclear weapons area. 

These proposals do not serve to meet the rea 
problem of armament. The heart of that prob n[r 
lem is, as you say, the mounting production 
primarily by the Soviet Union and the Unite* 
States, of new types of weapons. 

Your proposal regarding Central Europe wil 
of course be studied by NATO and the NAT( 
countries directly involved from the standpom 
of its military and political implications. Bui 
there cannot be great significance in de-nucleariz 
ing a small area when, as you say, "the range o 
modern types of weapons does not know of an; 
geographical limit", and when you defer to tho 
indefinite future any measures to stop the produc* 
tion of such weapons. 

I note, furthermore, that your proposal o: 
Germany is in no way related to the ending o 
the division of that country but would, in fad 
tend to perpetuate that division. It is unrealisti 
thus to ignore the basic link between political sc « 
lutions and security arrangements. 

Surely, Mr. Chairman, at a time when we shar 
great responsibility for shaping the developmen 

Department of State Bulleth 



It!-; 

m 

€ ■ 

•'! 
ll • 

: 

':■:• 

1 

>:..■ 
I red 



if the international situation, we can and must 
llo better than what you propose. 
In this spirit, I submit some proposals of my 



tol (1) I pr 

nations. 
I; 1 This org; 
lor ' lers emboc 
11 :i ler" 
•t 

! 



IV. 

propose that we strengthen the United 



organization and the pledges of its mem- 
embodied in the Charter constitute man's 
est hope for peace and justice. The United 
>tates feels bound by its solemn undertaking to 
t in accordance with the Principles of the 
k ftharter. Will not the Soviet Union clear away 
e doubt that it also feels bound by its Charter 
ndertakings? And may we not perhaps go 
urther and build up the authority of the United 
Tations ? 

Too often its recommendations go unheeded. 
j I propose, Mr. Chairman, that we should re- 
pdicate ourselves to the United Nations, its 
frinciples and Purposes and to our Charter ob- 
Igations. But I would do more. 
Too often the Security Council is prevented, by 
feto, from discharging the primary responsibility 
le have given it for the maintenance of interna- 
lonal peace and security. This prevention even 
ktends to proposing procedures for the pacific 
Ittlement of disputes. 
I propose that we should make it the policy of 
; P r '|ir two governments at least not to use veto 
to prevent the Security Council from pro- 
ttl!i;; )sm g methods for the pacific settlement of dis- 
ltes pursuant to Chapter VI. 
Nothing, I am convinced, would give the world 
justifiable hope than the conviction that 



standpo: ^ Q f Qur g 0vernmen tg are genuinely deter- 
ined to make the United Nations the effective 

M* strument of peace and justice that was the orig- 

* range ( al design. 

11 ". (2) If confidence is to be restored, there needs, 
10 " love all, to be confidence in the pledged word. 



iielffll'. 



topoal 

i <■•/;:■: 

; unreali* 
political 






us it appears that such confidence is lamen- 
bly lacking. That is conspicuously so in regard 

two areas where the situation is a cause of 
'ave international concern. 

I refer first of all to Germany. This was the 
•incipal topic of our meeting of July 1955 and 
only substantive agreement which was re- 
rded in our agreed Directive 1 was this: 



1 But-letin of Aug. 1, 1955, p. 17G. 



lole*» ;l linuory 27, 1958 



The Heads of Government, recognizing their common 
responsibility for the settlement of the German question 
and the re-unification of Germany, have agreed the set- 
tlement of the German question and the re-unification of 
Germany by means of free elections shall be carried out 
in conformity with the national interests of the German 
people and the interests of European security. 

In spite of our urging, your government has, 
for now two and one half years, taken no steps 
to carry out that agreement or to discharge that 
recognized responsibility. Germany remains for- 
cibly divided. 

This constitutes a great error, incompatible 
with European security. It also undermines con- 
fidence in the sanctity of our international agree- 
ments. 

I therefore urge that we now proceed vigor- 
ously to bring about the reunification of Germany 
by free elections, as we agreed, and as the situa- 
tion urgently demands. 

I assure you that this act of simple justice and 
of good faith need not lead to any increased jeop- 
ardy of your nation. The consequences would be 
just the opposite and woidd surely lead to greater 
security. In connection with the reunification of 
Germany, the United States is prepared, along 
with others, to negotiate specific arrangements re- 
garding force levels and deployments, and broad 
treaty undertakings, not merely against aggres- 
sion but assuring positive reaction should aggres- 
sion occur in Europe. 

The second situation to which I refer is that of 
the countries of Eastern Europe. The Heads of 
our two Governments, together with the Prime 
Minister of the United Kingdom, agreed in 1945 
that the peoples of these countries should have the 
right to choose the form of government under 
which they would live, and that our three coun- 
tries had a responsibility in this respect. The 
three of us agreed to foster the conditions under 
which these peoples could exercise their right of 
free choice. 

That agreement has not as yet been fulfilled. 

I know that your government is reluctant to dis- 
cuss these matters or to treat them as a matter of 
international concern. But the Heads of Govern- 
ments did agree at Yalta in 1945 that these mat- 
ters were of international concern and we specifi- 
cally agreed that there could appropriately be 
international consultation with reference to them. 
This was another matter taken up at our meet- 
ing in Geneva in 1955. You then took the position 

125 



that there were no grounds for discussing this 
question at our conference and that it would in- 
volve interference in the internal affairs of the 
Eastern European states. 

But have not subsequent developments shown 
that I was justified in my appeal to you for con- 
sideration of these matters? Surely the Hun- 
garian developments and the virtually unanimous 
action of the United Nations General Assembly in 
relation thereto show that conditions in Eastern 
Europe are regarded throughout the world as 
much more than a matter of purely domestic scope. 

I propose that we should now discuss this mat- 
ter. There is an intrinsic need of this in the in- 
terest of peace and justice, which seems to me 
compelling. 

(3) I now make, Mr. Chairman, a proposal to 
solve what I consider to be the most important 
problem which faces the world today. 

(a) I propose that we agree that outer space 
should be used only for peaceful purposes. We 
face a decisive moment in history in relation to 
this matter. Both the Soviet Union and the 
United States are now using outer space for the 
testing of missiles designed for military pur- 
poses. The time to stop is now. 

I recall to you that a decade ago, when the 
United States had a monopoly of atomic weapons 
and of atomic experience, we offered to renounce 
the making of atomic weapons and to make the 
use of atomic energy an international asset for 
peaceful purposes only. If only that offer had 
been accepted by the Soviet Union, there would 
not now be the danger from nuclear weapons 
which you describe. 

The nations of the world face today another 
choice perhaps even more momentous than that of 
1948. That relates to the use of outer space. Let 
us this time, and in time, make the right choice, 
the peaceful choice. 

There are about to be perfected and produced 
powerful new weapons which, availing of outer 
space, will greatly increase the capacity of the 
human race to destroy itself. If indeed it be the 
view of the Soviet Union that we should not go 
on producing ever newer types of weapons, can we 
not stop the production of such weapons which 
would use or, more accurately, misuse, outer space, 
now for the first time opening up as a field for 
man's exploration? Should not outer space be 
dedicated to the peaceful uses of mankind and de- 



126 



nied to the purposes of war? That is my proposal. 

(b) Let us also end the now unrestrained pro- 
duction of nuclear weapons. This too would be : 
responsive to your urging against "the production 

of ever newer types of weapons". It is possible to 
assure that newly produced fissionable material I' 3 ' 
should not be used for weapons purposes. Also h"' 
existing weapons stocks can be steadily reduced act * ! 
by ascertainable transfers to peaceful purposes. f0 ^ ; 
Since our existing weapons stocks are doubtless m "'- [ 
larger than yours we would expect to make a top r0 ' 
greater transfer than you to peaceful purpose. J 1 ™'-' 
stocks. I should be glad to receive your sugges- I tw 
tion as to what you consider to be an equitabl halm 
ratio in this respect. 

(c) I propose that, as part of such a progran tkt 
which will reliably check and reverse the accumu cause o 
lation of nuclear weapons, we stop the testing 03 Em 
nuclear weapons, not just for two or three years rodon 
but indefinitely. So long as the accumulation oi ood iri 
these weapons continues unchecked, it is bette: fa lei 
that we should be able to devise weapons whicl 
will be primarily significant from a military an( olve a 
defensive standpoint and progressively eliminat 
weapons which could destroy, through fall-oul 
vast segments of human life. But if the produc 
tion is to be stopped and the trend reversed, a .! 

I propose, then testing is no longer so necessary. (J^ 

(d) Let us at the same time take steps to begi 



i- 



the controlled and progressive reduction of con 
ventional weapons and military manpower. 

(e) I also renew my proposal that we begi 
progressively to take measures to guaram 
against the possibility of surprise attack. I recal ecogimi 
Mr. Chairman, that we began to discuss this a oother of 
our personal meeting two and a half years ag< e ess 
but nothing has happened although there is opeijmrj,,, 
a wide range of choices as to where to begin 

The capacity to verify the fulfillment of con fai 
mitments is of the essence in all these matter flttmsuita 
including the reduction of conventional forces an 
weapons, and it would surely be useful for 
study together through technical groups what ai Nee 
the possibilities in this respect upon which \t noldal; 
could build if we then decide to do so. The; fc 
technical studies could, if you wish, be undertake 
without commitment as to ultimate acceptance, ( 
as to the interdependence, of the propositions M 
volved. It is such technical studies of the poss 
bilities of verification and supervision that tl 
United Nations has proposed as a first step. I b 



Department of State Bullet 



' 



|h 



■ 
tat i 



-, ieve that this is a first step that would promote 
aiope in both of our countries and in the world, 
irherefore I urge that this first step be undertaken. 

V. 

I have noted your conclusion, Mr. Chairman, 
hat you attach great importance to personal con- 
act between statesmen and that you for your part 
vould be prepared to come to an agreement on a 
ersonal meeting of state leaders to discuss both 
he problems mentioned in your letter and other 
roblems. 

I too believe that such personal contacts can be 
f value. I showed that by coming to Geneva in 
he summer of 1955. I have repeatedly stated that 
lere is nothing I would not do to advance the 
ause of a just and durable peace. 
But meetings between us do not automatically 
roduce good results. Preparatory work, with 
ood will on both sides, is a prerequisite to success, 
ligh level meetings, in which we both participate, 
reate great expectations and for that reason in- 
lve a danger of disillusionment, dejection and 
limi licreased distrust if in fact the meetings are ill- 
fall-! repared, if they evade the root causes of danger, 
prod; : they are used primarily for propaganda, or if 
*reements arrived at are not fulfilled. 
Consequently, Mr. Chairman, this is my pro- 
osal : 
f i I am ready to meet with the Soviet leaders to dis- 
ss the proposals mentioned in your letter and the 
oposals which I make, with the attendance as ap- 
opriate of leaders of other states which have 
icognized responsibilities in relation to one or 
lother of the subjects we are to discuss. It would 
id > essential that prior to such a meeting these 
is os mplex matters should be worked on in advance 
rough diplomatic channels and by our Foreign 
ffj Ministers, so that the issues can be presented in 
J rm suitable for our decisions and so that it can 
ascertained that such a top-level meeting would, 
fact, hold good hope of advancing the cause of 
w ],jrftace and justice in the world. Arrangements 



l til 



-0i 



ould also be made for the appropriate inclusion, 
the preparatory work, of other governments to 
liich I allude. 

I have made proposals which seem to me to be 
orthy of our attention and which correspond to 
e gravity of our times. They deal with the basic 
•oblems which press upon us and which if un- 
solved would make it ever more difficult to main- 



nua 'Y 27 > ,958 



tain the peace. The Soviet leaders by giving evi- 
dence of a genuine intention to resolve these basic 
problems can make an indispensable contribution 
to clearing away the obstacles to those friendly 
relations and peaceful pursuits which the peoples 
of all the world demand. 
Sincerely, 

Dwight D. Eisenhower 



PREMIER BULGANIN TO THE PRESIDENT 

December 10, 1957 

Deak Me. Peesident: I am addressing this letter to you 
in order to share with you certain thoughts regarding the 
international situation which is developing at the present 
time. The Soviet Government has recently examined the 
international situation in all its aspects. In doing so, 
we could not of course fail to give serious attention to the 
fact that at the initiative of the United States of America 
and Great Britain measures are now being developed the 
purpose of which is a sharp intensification of the military 
preparations of the NATO members, and that specific 
plans are being considered in connection with the forth- 
coming session of the NATO Council. 

It is already evident that these measures in their es- 
sence amount to the mobilization of all the resources of 
the member states of NATO for the purpose of intensifying 
the production of armaments and for preparations in gen- 
eral for war. The NATO leaders openly state that at the 
forthcoming session military and strategic plans providing 
for extensive use of atomic and hydrogen weapons will be 
considered. 

It is also very obvious that all such activity is taking 
place in an atmosphere of artificially created nervousness 
and fear with respect to the imaginary "threat" from the 
U.S.S.R., and, in the effort to create such an atmosphere, 
particularly wide use is being made of references to the 
latest scientific and technical achievements of the Soviet 
Union. 

In our view there is serious danger that, as a result 
of such actions, international developments may take a 
direction other than that required in the interest of the 
strengthening of peace. 

On the other hand, in all states of the world there is 
a growing and spreading movement for a termination of 
the armaments race, and for averting the threat of an 
outbreak of a new war. Peoples are demanding that a 
policy be followed whereby states may live in peace, 
respecting mutual rights and interests and deriving ad- 
vantage from cooperation with one another, instead of 
sharpening their knives against one another. 

All of this leads us to the conviction that in the develop- 
ment of the international situation a moment of great 
responsibility has arrived. 

We feel that in this situation the responsibility that 
rests upon the government of every state in determining 
its future foreign policy is greater than ever before. 
Especially great is the responsibility of the governments 
of the great powers. 

127 



I must frankly say to you, Mr. President, that the re- 
action of certain circles in your country and in certain 
other NATO countries regarding the recent accomplish- 
ments of the U.S.S.R. in the scientific and technical field, 
and regarding the launching, in connection with the pro- 
gram of the International Geophysical Tear, of the Soviet 
artificial earth satellites in particular, appears to us a 
great mistake. 

Of course, the launching of artificial earth satellites 
bears witness to the great achievements of the U.S.S.R., 
both in the field of peaceful scientific research and in the 
field of military technology. However, it is well known 
that the U.S.S.R. has insisted and still insists that neither 
ballistic missiles nor hydrogen and atomic bombs should 
ever be used for purposes of destruction, and that so 
great an achievement of the human mind as the dis- 
covery of atomic energy should be put to use entirely 
for the peaceful development of society. The Soviet 
Union has no intention of attacking either the U.S.A. or 
any other country. It is calling for agreement and for 
peaceful coexistence. The same position is held by many 
states, including the Chinese People's Republic and other 
socialist countries. 

On the other hand, in the present situation the govern- 
ments of the Western powers are making the decision 
to step up the armaments race still further and are 
following the line of intensifying the "cold war." It is 
our deep conviction that nothing could be more danger- 
ous to the cause of world peace. 

First of all, who can guarantee, if the present com- 
petition in the production of ever newer types of weapons 
is continued and assumes still greater proportions, that 
it will be the NATO members who are the winners in 
such a competition? I do not even mention the fact that 
the armaments race in itself is not only becoming an 
increasingly heavy burden on the shoulders of peoples 
but is also still further magnifying the danger of an 
outbreak of war. 

Let us suppose that, in calling for further development 
of military preparations with special emphasis on the 
creation of new types of weapons of mass destruction, 
the American military leaders expect to achieve some 
success. But nothing can change the fact that even 
with the present status of military technology a situa- 
tion has developed for the first time in history where in 
the event of war the territory of none of the great powers 
will any longer be in a privileged position that would 
spare it from becoming one of the theaters of war from 
the very beginning of the conflict. Nothing is changed in 
this respect, even by the fact that the U.S.A. has a net- 
work of far advanced military bases, nor by plans to 
use territories and military potential of Western Euro- 
pean allies. 

At the present time in the United States of America 
there has been proclaimed the thesis of "interdependence" 
of the countries members of NATO. A new and increased 
contribution to the military preparations of this alliance 
is expected of them. No little pressure is being exerted 
upon them to obtain consent for the stationing of nuclear 
and rocket weapons in their territory. 

Apparently for the purpose of reducing the dangers 
which are fully understandable and are caused in these 



128 



v r : 



countries by the prospect of having nuclear weapons sta- 
tioned in their territory, military circles in the West are l 
attempting to implant the idea that the so-called "tac- 
tical" atomic weapons are not very different from con- 
ventional types of weapons and that their use would not !aB 
entail as destructive results as that of atomic and hydro- 
gen bombs. One cannot fail to see that such reasoning, 
designed to mislead public opinion, constitutes a danger- ail '" 
ous attempt to justify preparation for unleashing an 
atomic war. 

Where can all this lead? 

The military situation of the U.S.A. itself, in our opin- F 
ion, will in no way improve as a result of this ; the U.S.A P 
will become no less vulnerable, while the danger of war r 
will increase still further. 

It is doubtful that such a policy would even lead to a r 
strengthening of relations between the U.S.A. and its Eu- :: 
ropean allies. The contrary might be true, for in the 
last analysis no country can be content with a situation • 
where it is compelled to sacrifice its independence for the " : 
sake of strategic plans that are alien to its national in- 
terests and to risk receiving a blow because of the fact bm 
that foreign military bases are situated in its territory titer 

As for plans to transfer nuclear weapons to allies ol tf« 
the U.S.A. in Europe, such a step can only further aggra w n 
vate an already complicated situation on that continent p littif 
initiating a race in atomic armaments among Europeai p*' : 
states. f '-• 

One likewise cannot fail to take into account, for ex t--'--- 
ample, the fact that the placing of nuclear weapons a 7 ■ 
the disposal of the Federal Republic of Germany may se *•-'.. ■ 
in motion such forces in Europe and entail such conse !■-• 
quences as even the NATO members may not contem I-: 
plate. kit) t 

One of the arguments advanced in military circles iph;;- 
the West to justify the demand for expanding militar 
preparations is the so-called theory of "local w 
must be most strongly emphasized that this "theory' 
not only absolutely invalid from the military standpoii 
but is also extremely dangerous politically. In the pas eM r 
too, as we all know, global wars have been set off b Ur \.. 
"local" wars. Is it possible to count seriously on tb - 
possibility of "localizing" wars in our time when the] m; < 
exist military groupings opposing one another in tl p 3s , . 
world and including dozens of states in various parts of tt j t 
world, and when the range of modern types of weapoi ,„,, 
does not know any geographic limits? msb-,, 

One's attention is also attracted by reports regardii j fIlv . 
the existence of plans for combining in some form tl 
military blocs created by the Western powers in varion ^j,. 
parts of the world— NATO, SEATO, and the Baghds m \ 
Pact. I cannot but say to you, Mr. President, that v m , 
evaluate the development of such plans as a trend c ... 
rectly opposed to the principles of a joint strengthen!! ' 
of international peace and security, in the name of whi: j 
the U.N. was created with the active participation of m 
two countries. In fact, if even now the existence of s 
called military blocs exerts a baneful influence on t 
entire international situation, then it is completely c 



mar --- 

■"■■]h 

ry I Jtallf.r 



vious that an attempt to bring states together, to inclu i: - 



those of several continents 



program which in 



sence amounts to joint preparation for a new war, wot' *8| t 



Department of State Bullet 



. 



uii,, 



ffl, ;- 



lean undermining the U.N. and would inflict irreparable 
'-• ., j aniage upon it. 

I We are of course aware that the plans for further iuten- 
ification of military preparations are represented as 
...: lans directed toward insuring the security of the West- 
iU Jrn powers and toward the strengthening of peace. How- 
la jver, the leaders of such countries as the United States 
fc: nd the Soviet Union bear too great a responsibility not to 
■kit: ttenipt to approach the evaluation of this or that course 
f foreign policy without prejudice, objectively, and tak- 
ag into consideration the facts as they actually exist, and 
Ml J istorie experience. After all, does not the whole experi- 
len nee of the development of international relations during 
rof: he past decade indicate that the thesis that peace and 
he security of nations can be insured by means of in- 
p ;]( ]., ensified armament and of "cold war" or through a 
jltj| brink of war" policy has absolutely no basis? 

The last ten years have been characterized by the policy 
f "a position of strength" and "cold war" proclaimed by 
ertain circles In the West. 
During all these years the minds of men in the West 
ave been poisoned by intensive propaganda, which, day 
fter day, has implanted the thought of the inevitability 
f a new war and the necessity of intensified preparations 
or war. This propaganda for war, which contributed not 
little toward aggravating the international situation and 
mdermining confidence in the relations between states, 
3 one of the chief elements of the policy of "a position of 
trength." 

Today the entire world is witness to the fact that this 
idicy has not produced any positive results, even for those 
towers which have for such a long time and so insistently 
een following it, and which have confronted mankind 
rith the threat of a new war, the terrible consequences of 
fhich would exceed anything that can be pictured by the 
uman imagination. 

It is not by accident that the voices in the world which 
all for an end to propaganda for war, an end to the "cold 
?ar," an end to the unrestrained armaments race and an 
ntry upon the path of peaceful coexistence of all states 
re becoming louder and louder. The idea of peaceful eo- 
xistence is becoming more and more an imperative de- 
land of the historical moment through which we are 
assing. 

It is well known that the most rabid champions of the 
cold war" are trying to picture this demand as "Com- 
mnist propaganda." We Communists do not of course 
fffl'ifleny that we stand wholeheartedly for a program of 
aceful coexistence, for a program of peaceful and 
!>]" riendly cooperation among all countries, and we are 
Fii roud of it. But are we the only ones with such a pro- 
ram? Are all those statesmen and public figures of 
ndia, Indonesia, Great Britain, France, and other coun- 
Mtli» ries wno insistently and ardently call for the renuncia- 
" !lI ;pon of the "policy of strength" for peaceful coexistence 
Iso Communists? And do not their voices express the 
ttitude and the will of millions and millions of people? 
It seems to us that at the present time the international 
ituation has become such that the actions taken by 
tates in the very near future, and primarily by the great 
owers, will to a considerable extent determine the an- 



I/IM 



#i ronuary 27, 1958 



swer to the main question which so deeply concerns all 
mankind, namely : 

Will the movement in the direction of a war catastro- 
phe continue, and with ever-increasing velocity, or will 
those who are responsible for the policy of states enter 
upon the only sensible path of peaceful coexistence and 
cooperation between all states? 

After all, for this it is necessary only to cast a sober 
look at the present situation ; to recognize in fact that 
every country has the right to choose its own form of 
government and its own economic system ; to renounce 
any attempt to settle international questions by force ; to 
renounce war once and for all as a means of solving 
international disputes ; and to build relations between 
states on the basis of equality, respect for the independ- 
ence of each state, and noninterference in the internal 
affairs of one another, on the basis of mutual benefit. 

If one proceeds from the premise of insuring universal 
peace, it is necessary, in our opinion, to recognize quite 
definitely the situation that has developed in the world 
where capitalist and socialist states exist. None of us 
can fail to take into account the fact that any attempts 
to change this situation by external force, and to upset 
the status quo, or any attempts to impose any territorial 
changes, would lead to catastrophic consequences. 

I am well aware, Mr. President, that in your statements 
you have repeatedly expressed the thought that no dur- 
able peace can be based on an armaments race and that 
you strongly desire peace and cooperation with other 
countries, including the Soviet Union. This was also 
stated in your conversations with N. S. Khrushchev and 
myself during the Geneva Conference of the Heads of 
Government of the Four Powers in the summer of 1955. 
Unfortunately, however, it must be said that in practice 
all the steps taken by the Soviet Government to improve 
relations with the United States have not up to now 
met with a positive response on the part of the Government 
of the United States of America. 

Meanwhile, the present state of Soviet-American re- 
lations cannot give any satisfaction either to the Soviet 
people or, it seems to us, to the American people. The 
tense and even almost hostile character which these re- 
lations very often assume cannot be justified from a 
political, economic, or moral viewpoint. It is an in- 
herently absurd situation when two gigantic countries 
which have at their disposal everything that is necessary 
for their economic development, which have repeatedly 
and successfully cooperated in the past, and which, we are 
convinced, even now have no irreconcilable conflicts of 
interest, have been as yet unable to normalize their mutual 
relations. 

This problem is all the more significant because the fate 
of universal peace depends to a high — probably even 
decisive — degree on the state of mutual relations between 
our countries under present conditions. For this very 
reason, it is especially important that our two countries 
display initiative and take the step which peoples have 
already been awaiting for a long time, namely, breaking 
the ice of the "cold war." 

For this the necessary prerequisites exist. I have no 
doubt that the American people do not want a new war 
any more than the Soviet people do. Our countries, in 



129 



close cooperation, achieved victory in the struggle against 
Hitlerite aggression. Is it possible that now, when 
prevention of the universal calamity of a new war de- 
pends to such an enormous degree upon our countries, 
we should fail to find within ourselves the courage to 
face the facts clearly and be able to unite our efforts in 
the interests of peace? 

A consciousness of the gravity of the present situation 
and a deep concern for the preservation of peace prompts 
us to address to you, Mr. President, an appeal to under- 
take joint efforts to put an end to the "cold war," to 
terminate the armaments race, and to enter resolutely 
upon the path of peaceful coexistence. 

Allow me to set forth what exactly, in our opinion, 
might be done in this respect. 

We regret that, because of the position taken by the 
Western powers, the disarmament negotiations did not 
bring about successful results. The Soviet Union is, as 
before, prepared to come to an agreement concerning ef- 
fective disarmament measures. It depends on the 
Western powers whether the disarmament negotiations 
will be directed into the proper channel or whether this 
problem will remain in a deadlock. 

We must recognize that the achievement of an agree- 
ment on disarmament is hindered by the fact that the 
sides which take part in the negotiations lack the neces- 
sary confidence in each other. Is it possible to do some- 
thing to create such confidence? Of course it is possible. 

We propose the following things. Let us jointly, with 
the Government of Great Britain, undertake for the 
present only an obligation not to use nuclear weapons, 
and let us announce the cessation, as of January 1, 1958, 
of test explosions of all types of such weapons, at the 
beginning at least for two or three years. 

Let us jointly, with the Government of Great Britain, 
agree to refrain from stationing any kind of nuclear 
weapons whatsoever within the territory of Germany — 
West Germany as well as East Germany. If this agree- 
ment is supplemented by an agreement between the Fed- 
eral Republic of Germany and the German Democratic 
Republic on renunciation of the production of nuclear 
weapons and on the nonstationing of such weapons in 
Germany, then, as has already been officially declared by 
the Governments of Poland and Czechoslovakia, these 
states likewise will not produce or station nuclear weapons 
in their territories. Thus would be formed in Central 
Europe a vast zone with a population of over one hundred 
million people excluded from the sphere of atomic arma- 
ments — a zone where the risk of atomic warfare would be 
reduced to a minimum. Let us develop and submit to the 
member states of NATO and the Warsaw Pact for consid- 
eration a joint proposal for the conclusion of some form of 
nonaggression agreement between these two groupings of 
states. 

In order to normalize the situation in the Near and 
Middle East, let us agree not to undertake any steps that 
violate the independence of the countries of this area, and 
let us renounce the use of force in the settlement of ques- 
tions relating to the Near and Middle East. 

Let us conclude an agreement that would proclaim the 
firm intention of our two states to develop between them 



130 



relations of friendship and peaceful cooperation. It isl 
time to take measures to halt the present propaganda in 
the press and on the radio which generates feelings of 
mutual distrust, suspicion, and ill will. 

It is also necessary to reestablish the conditions for a 
normal development of trade relations between our coun- 
tries, since mutually advantageous trade is the best foun- Jjcfet 
dation for the development of relations between states and 
the establishment of confidence between them. 

Let us do everything possible to broaden scientific, cul- 
tural, and athletic ties between our two countries. One 
can imagine what fruitful results might follow, foi 
example, from the cooperation between Soviet and Ameri- 
can scientists in the matter of further harnessing the ele- 1 ; 
ruental powers of nature in the interest of man. 

There is no doubt whatsoever that the implementation . 
of the above-mentioned measures, which would in no waj 
harm either the security or the other interests of any state, " 
would be of enormous significance to the promotion of a I , . 
wholesome atmosphere in the entire international situa 
tion and to the creation of a climate of trust betweei 
states, without which one cannot even speak of insuring J . 

rio:i-.' 



a lasting peace among peoples. 

The creation of the necessary trust in relations betweei L 
states would then make it possible to proceed with the im 
plementation of such radical measures as a substantia 
reduction in armed forces and armaments, the coinpleti^hd a I 
prohibition of nuclear weapons, the cessation of their pro on jt ,.[ 
duetion and the destruction of stockpiles, the withdrawa a 
of foreign armed forces from the territories of all state* . "" ' 
including the member states of NATO and of the Warsav ™' 
Pact, and replacement of the existing military grouping 
of states with a collective security system. teen m: 

The critical period in the development of internationa p 
relations in which we are now living makes it necessary jjj p,, 
perhaps as never before, to adopt realistic decisions tha ,, 
would be in accord with the vital interests and the will o: 
peoples. The experience of the past tells us how mucl ™'' 
can be done for the benefit of peoples by statesmen wbj tk sob 
correctly understand the demands of the historic momeni htsi&a 
and act in accordance with those demands. [. 

Knowing you, Mr. President, as a man of great breadtl 
of vision and peace-loving convictions, I hope that yo 
will correctly understand this message and, conscious oi ffi 
the responsibility which rests with the leaders of tin P°* 
United States of America and the Soviet Union in th 
present situation, will manifest a readiness to combin 
the efforts of our two countries for the noble purpose <> - 
turning the course of events in the direction of a durabl -■ 
peace and friendly cooperation among nations. jlii, ■ 

Attaching great importance to personal contacts be | 
tween statesmen, which facilitate finding a common poiD 
of view on important international problems, we, for ou 
part, would be prepared to come to an agreement on 
personal meeting of state leaders to discuss both the prob 
lems mentioned in this letter and other problems. Tty A. So 
participants in the meeting could agree upon these othe' samcir 
subjects that might need to be discussed. 
Respectfully, 

N. Bulganin 



Department of Sfofe Bol/efii 



' 



Secretary Dulles' News Conference of January 10 



p War; I s 
:r.«i['- |1 



ress release 7 dated January 10 

Secretary Dulles : I am ready for questions. 

Q. Mr. Secretary, did you read Premier Bul- 
janin's newest note as meaning that the Soviet 
Union intends to call a summit conference whether 
■>r not the United States or other countries agree 
'n advance? 

A. I do not so interpret the Soviet note. Ob- 
viously I have not had time to study it very care- 
fully. It was received in translation form by me 
;his morning about 9 or 10 o'clock, and then I have 
lad a Cabinet meeting. I have had the reports 
m it of some of my associates who have studied 
he matter rather carefully, and their conclusion 
is that there is really nothing in this message but 
massive repetition of prior proposals which have 
jen made at one time or another by the Soviet 
JUnion and the bulk of which are contained in 
JMr. Bulganin's communication of December. It 
jwould seem that the principal significance that at- 
taches to the present note is the timing rather than 
Ithe substance. It was timed to coincide with 
i president Eisenhower's state of the Union message 
Lf yesterday 1 and the concluding consultations on 
Ithe reply to the earlier Bulganin letter of last De- 
jcember. That suggests that there may be a pur- 
pose to use the channels of communication between 
pleads of Government as a means of what might 
me called propaganda techniques rather than ac- 
tually to use them seriously, as it seems to us be- 
■'Ifits messages between Heads of Government, given 
Ithe serious state of international affairs. 

Q. Mr. Secretary, do you believe that a summit 
meeting with the Russians should be held within 2 
to 3 months? 

A. No, I do not think that there should be a 
, Jjsummit meeting unless there is adequate prepara- 
tion for it and a reasonable assurance that it will 



See p. 115. 
January 27, 7958 



accomplish some desirable result. A meeting 
which faced the participants with the choice of 
either seeming to break off without agreement or 
to reach an agreement which would be an agree- 
ment in words only and not of substance Mould be 
a very undesirable meeting and, under either al- 
ternative, would have very undesirable conse- 
quences. Therefore, I think it is extremely impor- 
tant that, before Heads of Government get 
together, there should be sufficient advance ex- 
ploration of the subjects to be discussed to be 
sure that the discussions will really relate to sig- 
nificant matters and also that there is a prospect of 
agreement in some worthwhile form so that, as I 
say, the unfortunate alternatives which I have 
described would not face the participants at the 
meeting. 

Q. Mr. Secretary, have you suggested to our 
Ambassador in Moscow or to our associate in 
NATO that there be any advance exploration 
through diplomatic channels with the Soviet 
Union of any of the subjects that might be dis- 
cussed? 

A. I think that all I can say properly in answer 
to that question is this, that the subject of a pos- 
sible meeting was raised by Mr. Bulganin in his 
December communication and will be dealt with 
by the reply which President Eisenhower will 
make 2 and possibly by other replies to that letter. 
Also, we have communicated on that subject mat- 
ter with our Ambassador in Moscow. I can't go 
properly beyond that at this time. 

Q. Mr. Secretary, will this second letter delay 
this answer to the first letter? 

A. I see no reason why it should. Perhaps that 
was its purpose, to delay it and to confuse the sit- 
uation. But I do not think it will be allowed to 



For texts of U.S. ami Soviet notes, see p. 122. 



131 



have that result. It is, I believe, President Eisen- 
hower's intention to proceed promptly with an 
answer to the prior communication, an answer 
which the Soviets knew was in the course of prep- 
aration. The fact that the present letter seems to 
add nothing of substance, as far as the substance 
of the proposals go, to the prior communications 
we have received makes it the less necessary to 
hold up the pending reply to the middle-of-De- 
cember message. 

Q. Mr. Secretary, what are your views on pos- 
sibly holding a Foreign Ministers meeting as a 
means of making advance 'preparation for a sum- 
mit conference? 

A. Well, that is one possible way; diplomatic 
conversations are another possible way. You 
could use either or a combination of both. 

Defining an Act of Good Faith 

Q. Mr. Secretary, you and the President have 
emphasized on a number of occasions the need for 
an act of good faith on the part of the Russians as 
a prerequisite for some NATO negotiation, sum- 
mit meeting, or something of that hind. Could 
you give us your most realistic definition of tohat 
you would consider an act of good faith on the 
part of the Russians? 

A. The most realistic and encouraging act 
would be the carrying out of some of the prior 
agreements that have been made, and most par- 
ticularly, I would say, the agreement which was 
arrived at at the last summit meeting with the 
Soviets. There it was stated that the Four Powers 
recognize their common responsibility for the Ger- 
man problem and the reunification of Germany 
and agree that Germany shall be reunified by free 
elections. 3 That agreement was the principal 
product of the Geneva summit meeting. Since 
then the Soviet Union has taken the position that 
it had no further responsibility for the reunifica- 
tion of Germany and that in any event that re- 
unification by free elections was not an acceptable 
method. Now that certainly throws doubt upon 
the worthwhileness of these meetings. You may 
recall that that summit meeting was preceded by 
the consummation of the Austrian state treaty, a 
matter where the Soviet Union had been seriously 



3 For text of the directive to foreign ministers issued 
at the conclusion of the summit conference at Geneva in 
July 1955, see Bulletin of Aug. 1, 1955, p. 176. 



in default. Finally, as a result of many meetings' 
that we had on the subject, it finally agreed to the 
state treaty, and that was consummated on the 
15th of May 1955. That created a condition which 
made it seem worth while to have a summit meet- 
ing. It was in that environment that the July 
meeting was held. But that July meeting in turn 
produced agreement which apparently has, so far, 
certainly been repudiated by the Soviets, and lL,| 
would think that at least one possible act of good „>, 
faith would be to indicate a willingness to carry !,, 
through on the prior agreement. I don't want to | 
suggest that that is an absolute condition prece- 
dent. But you asked me for what might be an act I 
which would make another summit meeting seeing 
worth while. Certainly that would be such an act] 

Q. If I might follow up just one point, sir, is it 
the position of this Government officially thai I 
Russia, has repudiated, as you indicated a momem I 
ago. the Gt in va Summit Conference in terms 0)i 
an agreement on Germany? I ask that for th\ 
specific reason that there seems to have been m 
great deal of lack of unanimity of interpretation 
as tn whether indeed the Four Powers did agret 
at Geneva to a workable reunification of Germanyd 

A. "Well, the Four Powers agreed to what I 
said — I think I quoted it almost verbatim — agreed 
that the reunification of Germany by free elec 
tions shall be carried out in conformity with thH 
national interests of the German people and thi^ 
interests of European security. That is a quotn 
of the agreement. Now, following that and in-J 
deed including recent times, not only at tin 
Foreign Ministers meeting which shortly foW 
lowed the Summit Conference, but in a rnont 
recent press conference that Mr. Gromyko held h | 
Mc >scow just before he came to the United Nations 
the Soviet Union asserted that it had no respon | 
sibility for the reunification of Germany, and the; , 
earlier had said that reunification by means o m 
free elections was an artificial, mechanistic wa; ±,r 
which would not preserve the "social gains" thl 
had been attained in East Germany and therefore 
was unacceptable. 



Q. Mr. Secretary, President Eisenhower yes 
terday placed a good deal of stress on the need fo 
works of peace and especially on the need for 
suing the disarmament discussion. In light o 
that could you tell us whether Mr. Stassen i> 
going to leave his job and, if he does leave, whethe 
you will fill that disarmament adviser's job? 



Department of Sfafe Bulletii 



ha 



1 1 A. I cannot answer that question because I do 
ot know the answer. I imagine the answer is 
etween President Eisenhower and Governor 



tthej; 

in? 

id of 

sstoca H 

ntwani 



oviet Economic Offensive 

Q. Mr. Secretary. President Eisenhower 



yes- 

irday characterized the Soviet economic ojfen- 

Ive as being at least as dangerous to the free 

ts technological advances.* He did not 

lention any target area for this economic offen- 

. j, but the statement coincides with reports in 

ani ur p ress that many Latin American countries are 

ietag- 

v'ini;, 



tion pre 



liming to the Soviet Union because of lack of 
issistance from the United States. Do you think 
ir.i! \hat Latin America has become a potential target 
or this type of economic penetration? 



\i\wm 

i< term 

trpettii 

< i'i m 

<(i..:wi 



l.l wiisi 



s::.li! 



\o<M 



A. It is certainly a target ; whether or not it is a 

arget that will be hit is another matter. Now, of 

ourse, always when there is a business recession 

nd when the prices of raw materials sharply 

rop, and where the market for such raw mate- 

ials tends to contract, that creates problems for 

ur friends to the south because they are primarily 

>roducers of raw materials, agricultural and min- 

-agre ral. We are having such a period at the present 

free el ime ; it is not serious, we do not think it will be 

with i >rolonged, but there has been, as you know, a 

harp break in the prices of many of the com- 

nodities which are the product of Latin American 

ud ountries and upon which their economies largely 

ily it I lepend. That tends to create an economic depres- 

lortly fi ion for them with a measure of unemployment 

nd declining ability to buy the imports which 

hey need. It is quite natural that at such a time 

fatiu he Soviet Communists, who always like to fish in 

;v .]i Iroubled waters, should try to do some fishing in 

jatin America. I don't think they will catch very 

nuch, but certainly it is a situation from which 

nistieifl hey will try to reap some benefit. 

Q. Mr. Secretary, on Germany, I believe Sena- 
or Green asked you to give tJie Foreign Rela- 
ions Committee your thinking on the neutraliz- 
ttf tig of Germany. Would you tell us what you 
•/(Hi jave the Foreign Relations Committee? 

A. "Well, I am afraid that I would not enjoy 
;he same privilege of talking in executive session 



For 
p. 144. 



summary of the Soviet economic offensive, see 



here as I did yesterday with the Foreign Rela- 
tions Committee, and in view of the fact that that 
is a topic which is being currently discussed at the 
NATO conference I would not want to anticipate 
the conclusions that may be arrived at jointly and 
which have not yet been definitely formulated so 
far as I am aware. 

Question of Resuming Disarmament Talks 

Q. Mr. Secretary, could you tell us, sir, whether 
you anticipate early negotiations with the Soviet 
Union on the question of disarmament and, if so, 
xohether the proposals which toe will advance at 
such a meeting will be much different from the 
proposals that we had put forward before/ 

A. The first question was whether I thought 
there would be a resumption of disarmament talks. 
I would think it was highly likely despite the fact 
that at the moment the Soviet Union has broken 
all lines of communication in that respect. They 
have refused to continue with the work of the Dis- 
armament Subcommittee of the United Nations. 
They have said they would not participate in the 
work of the newly constituted Disarmament Com- 
mission of the United Nations. They have said 
they would not seek or accept a Foreign Minis- 
ters conference in order to break the deadlock. 
Any effective means of communication, particu- 
larly in terms of the channels which the United 
Nations has established, seem at the moment to be 
broken. However, I do not accept that as defini- 
tive. I believe that the desire of the peoples of the 
world to see this problem explored with a view of 
arriving, if at all possible, at some agreement — ■ 
that pressure is so great that it will become ir- 
resistible and that talks will be resumed. 

You asked whether, if they are resumed, our 
proposals would be substantially different from 
what they are now. I would say the answer to 
that question is probably "no" and for this reason : 
It was not easy to arrive at the present disarma- 
ment proposals, representing an agreement, as 
they did, among 15 countries. 5 Many of these 
countries had different viewpoints, different inter- 
ests, and different concerns. It was a task of very 
great difficulty to bring about agreement, and that 
agreement is a delicate and fragile one. 



January 27, 1958 



D For text of Western disarmament proposals of 
Aug. 29, 1957, see Bulletin of Sept. 16, 1957, p. 451. 



133 



There are aspects of those proposals that were 
not very happily received by some that went 
along in the interests of achieving unanimity. 
Now, to break that unanimity and to try to find 
new unanimity or new proposals without any 
knowledge in advance as to whether that would be 
acceptable or not to the Soviet Union would seem 
to me to be a futile and indeed reckless effort to 
make. 

What we have done is to say — and we said at 
the NATO conference, and expressed in the com- 
munique 6 our position — that we were prepared to 
negotiate on the basis of these proposals or we 
would be prepared to consider any alternative 
proposals that the Soviets want to make. But, as 
I say, to reopen the common position which we 
found with great difficulty on the mere specula- 
tion that we might be proceeding along a new 
course which might, of course, be acceptable to 
the Soviet Union, that, I think, would not be a 
course to recommend. 

Q. Mr. Secretary, to continue on that, are you 
ruling out a change in position, even if it isn't a 
substantial one on our behalf, prior to the resump- 
tion of such talks? 

A. Do you mean whether we unilaterally would 
change our position without regard to our allies ? 

Q. No, a change that would be discussed and 
approved by allied governments. 

A. I know of no change in those proposals 
wmich could be made without reopening a lot of 
other questions, and I think it would be impru- 
dent to do that unless we had some indication at 
least from the Soviet Union that would be a profit- 
able line to pursue. 

Q. Mr. Secretary, on the German question, a 
while back you tvere asked about the proposal, to 
neutralise Germany, and your answer, if I under- 
stood you, was that this was a topic currently 
under discussion at the NA TO conference. Would 
you expand on that? Are you referring to the 
so-called Polish plan for a nuclear-free zone, or 
to some other measure, or do you consider the 
Polish plan itself to be neutralization? 

A. I assume the question related, as indeed my 
reply related, primarily to the Polish proposal, 
which was repeated more or less in the Bulganin 



' Ibid., Jan. 6, 1958, p. 12. 
134 



letter. As you point out, that was not a proposal 
for total neutralization but partial neutraliza- 
tion, you might say, in the terms of the elimina- 
tion from the area of nuclear weapons, missiles, 
and the like. 

I might add, however, that it seems to be the 
opinion of some, at least, of our allies that such 
a step would in practice be indistinguishable from 
an almost total neutralization of the area because, 
if it is not possible to have in the area modern 
weapons, then it might be imprudent to maintain 
any forces in the area at all because they would 
be in a very exposed position. 

Science-for-Peace Program 

Q. Mr. Secretary, in the state of the Union 
message President Eisenhower spoke for a science- 
for-peace program. Haven't we already initiated 
this by the International Geophysical Year in 
which GJ f mi f tons are cooperating in gathering 
scientific knowledge for the benefit of all man- 
kind? 

A. That is certainly a partial science-for-peace 
effort. I think the President had, however, more 
in mind the kind of thing he spoke about when 
he spoke about the application of science to hu- 
man welfare. The efforts of the International 
Geophysical Year are more abstract. That may 
lead, as abstract knowledge often does, to practi- 
cal applications in terms of human welfare. But 
I think there are ways whereby we can promote 
human welfare more immediately than by the fk 



L. 

fi t 

mi 

a- 1 
i 

tb: ' 
ir.v ■.■ 
1 



Geophysical Yeai 



U.S. Position on Baghdad Pact 



Q. Mr. Secretary, could you give us your think- 
ing on the forthcoming Baghdad Pact or treaty in \ 
which you propose to participate? 

A. The United States now takes a more active: 



part in the Baghdad Pact because of the fact that I W:: 



the joint resolution of Congress which was 



adopted last March 7 authorizes the United States J lr 



to participate in defense efforts with countries on 
groups of countries who are seeking to defend 
themselves in that area. That phrase "group of 
nations" was designed, as pointed out at the hear 
ings, to cover such efforts as are represented by the 
Baghdad Pact. 



' Ibid., Mar. 23, 1957, p. 480. 



Department or State Bulletin 






just 
I 

prn'. 

iri 

IT, 



pr.., 



mem I 

tana,! 

Bl) J 



In view of the fact that we are taking a more 
lively interest in the activities of the Pact, not only 
* • military but also economic, it seemed appropriate, 
as evidence of our interest in the Pact, that I 
should personally go there. That is something 
that is desired by the Pact members. It does not 
involve any change of our legal relationship to the 
Pact, but it will be a further demonstration of 
our interest in the efforts of the Pact nations to 
maintain themselves through collective-defense 
efforts against any Communist-inspired threat and 
also to improve the economic status of their people. 

Q. Mr. Secretary, does that rule out the United 
States joining the Pact at this time? 

A. We have no present intention of joining the 
Pact. I think I have explained a number of times 
reasons why it seems undesirable and, indeed, un- 
to join the Pact. The Middle East reso- 
lution was proposed, in part at least, as an 
alternative to joining the Pact, and it seems to us 
to be adequate in that respect although we never 
slam the door as to what we might do in the future. 
I will say there is no present plan for changing 
our relationship. 

Prospects for U.S. Economic Aid to India 

Q. Mr. Secretary, would you say what the pros- 
pects are for United States economic assistance to 
irf " jj India? I believe it has been under consideration 
proms f or a good many months now. Could you say 
|,v it lohat might be done about that? 

A. I cannot go into details in terms of dollars or 
just how aid will be given. I think that I can say 
tthat the United States does favor giving support 
to the second Indian Five-Year Plan, and we do 
ftmif propose to do something about it. Probably it 
will not be as much as the Indians would like. 
We hope some other countries will participate 
with us in the effort. It will probably need ap- 
m propriation by the Congress of the authorization 
, gjjj already made in favor of the economic develop- 
8I ment fund. But, given that, I think we can, 
through that source, perhaps through the Export- 
Import Bank and perhaps through the World 
Bank and perhaps through credits extended by 
pome other countries who are trading largely with 
India and from whom India is buying for the 
second Five- Year Plan, we hope we can give that 
[plan enough foreign aid so it will be possible for 



it to continue in adequate form although not the 
full form the Indians originally projected and 
would like to have. 

Q. I believe there have been reports you have 
reached a decision on your willingness to con- 
tinue as Secretary of State. If so, would you tell 
us your position? 

A. Let me say that it is not a question of reach- 
ing a decision to continue. It would be a decision 
to discontinue, a decision either by the President 
or me. And there has not been such a decision in 
either quarter that I am aware of. 

Q. In the Middle East generally do you have in 
mind any expansion of the existing economic-aid 
activities? You spoke of India. I wondered if 
you had any such plans with respect to the Middle 
East generally. 

A. We are carrying on in the Middle East along 
the general lines that were laid out last year when 
Ambassador Richards went to the area and 
mapped out certain programs supporting the Mid- 
dle East resolution. There are certain situations 
where somewhat more aid is called for, in such a 
place as Jordan, for example. But, in the main, 
the order of magnitude we contemplate is along 
the lines laid out by Ambassador Richards when 
he went out following the adoption of the Middle 
East resolution last year. 

Q. Mr. Secretary, does that mean you are not 
planning a big response immediately to the Soviet 
economic offensive of extending credit? 

A. We do not plan any response which is be- 
yond the magnitude of what was indicated by the 
President in his state of the Union message and 
which will be indicated by the budget message 
which will be going up next week. 

Now, how we use the funds — and of course there 
will be, we hope, some emergency funds — is a mat- 
ter of some flexibility. But, in the main, we be- 
lieve that the program that we mapped out last 
year, if we can get the appropriations to make 
good on it, will be adequate to carry us along. 

Q. Mr. Secretary, you said before that the Latin 
American countries are contemplating a recession. 
Do these economic plans of ours envisage some as- 
sistance to them in this time of an economic re- 
cession because of the commodity prices, or are we 



January 17, 1958 



going to let the laws of supply and demand with 
Russian assistance, perhaps, take over? 

A. We maintain, primarily through the contacts 
with the Export-Import Bank, very close relations 
with these countries and we have in that way, and 
to some lesser extent in the form of technical as- 
sistance and otherwise, given a very substantial 
degree of assistance to Latin American countries. 
Of course, as their need grows, our desire to meet 
that need will correspondingly grow. 

Q. Mr. Secretary, as long as you are talking 
about economic aid, could you give us the United 
States Governments thinking on a French desire 
to get economic loans or other assistance from this 
country and international organizations? 

A. We understand that Mr. Monnet will prob- 
ably be coming over here shortly, primarily to 
deal with the Monetary Fund and draw down 
money from that source. The money that they 
would thus draw down would in large part, of 
course, have to be supplied by the United States. 

We are also sympathetic to direct participation 
in a program which seemed to be soundly based 
and designed to bring about more healthy finan- 
cial conditions in France. The economy of 
France is strong and vigorous. I have been told, 
I think reliably, that the per capita production 
in France is the highest of any country on the 
continent of Europe, higher even than the per 
capita production in the Federal Republic of Ger- 
many. They are basically high in France because, 
as I say, the economy is sound, productive, the 
French people are thrifty and are working. The 
troubles are primarily governmental and fiscal, 
and it should be possible to overcome them. If 
there is an adequate program for overcoming 
those difficulties, we would certainly be sympa- 
thetic to cooperating in such a program. 

U.S. Initiative on Disarmament 

Q. Mr. Dulles, your critics on Capitol Hill and 
also in the foreign press have been saying that we 
have been reacting to the Russians in this drive 
for peace rather than causing them to react to us. 
Do we have any plans to take the initiative? 

A. I believe that the program which we pre- 
sented in London represented very much of an 
initiative. The Soviet proposal seems to boil 
down to saying : Stop testing. That is not mov- 

136 



ing forward a single inch in terms of limitation 
of armaments, not an inch! All it would mean 
would be that you would go on piling up nuclear 
weapons and that these nuclear weapons, instead 
of being weapons which were tested to make them 
relatively clean weapons, relatively small weap- 
ons, would continue to be weapons of a highly 
devastating character. That is the Soviet pro- 
posal. 

We have proposed to cut off the use of newly 
produced nuclear and fissionable material for 
weapons purpose. That is a real limitation-of- 
armaments proposal. 

And we agreed, if that was adopted, it would 
be accompanied by the progressive reduction of 
stocks by the Soviet Union and the United States 
by putting weapons material into a peaceful fund. 
That is again a step on limitation of armaments. 

We have proposed inspection to prevent sur- 
prise attack or at least to make it unlikely that a 
surprise attack would be started without detec- 
tion, which is probably the most important safety 
measure that could possibly be taken. We have 
offered to do that in a vast area or in a smaller 
area. Any reasonable areas that the Soviets want 
to seriously put up for discussion we certainly 
would consider. We have invited their further 
suggestions along those lines. 

We have also made proposals for reduction of 
conventional weapons. 

It seems to me that it's the Soviet proposals that 
are utterly barren and that our proposals are the 
ones which really have substance in them and will 
do something positive in the way of the limitation 
of armament and in the way of reducing the 
danger of war. I think that their proposals are 
the ones which are without substance ; ours have 
substance and represent the initiative. And I 
think we will continue to carry the initiative 

I think we will always be ready and willing to | 
do more in the way of real limitation of arma- , 
ments than the Soviet Union will be willing to: ^ 
do. They use a lot of words. They talk morel J' 



frequently and more eloquently, perhaps, and , 
more passionately about "peace." But when it( 
comes to doin 



the things that are going to bring: ^ 






about peace, then you find a vacuum. They cover 



up that vacuum by being emphatic, shouting about ' 
how "we love peace." They may have what youi ( L * 
call initiative in terms of using words which are i \ 
really meaningless unless you give them a content, j 

Department of State Bulletin 



We have initiative in terms of giving content 
which alone gives meaning to the talk about peace 
and limitation of armament. 

Soviet Propaganda Techniques 

Q. Mr. Secretary, are you then saying that the 
Soviet Union is articulating a bad policy better 
than toe are articulating a good policy? 

A. That could very well be. They have devel- 
oped their propaganda to a much higher degree 
ul for than we have done it. Probably that is because 

i-o: of the fact that they do everything through gov- 
ernment. They don't have any free press and so 

ili| forth. They can say one thing here and another 
thing there. I was noticing, for instance, the fact 

tabs that at the Cairo conference the most sweeping 

nd offers were made of economic assistance to the 
Asian and African countries. They just said, 
"Tell us what you want and we will give it to you 
without conditions." But when they repeated 
that in their own press — Pravda and Izvestia — 
they were careful to leave that out because they 
did not want to let their own people know what 

a ]] ( , propaganda they were carrying out abroad. That 
might be bad propaganda in the Soviet Union. 
They have the capacity to speak in different voices 
in different places, and in that respect they be- 
come more persuasive. 

They are telling the French that Soviet help 
would give them everything that they want in 
North Africa. And in North Africa they are tell- 
ing the people there they should accept Soviet 
help to get rid of all French influence. They have 
a capacity to speak with different voices in differ- 
ent places which we don't possess, and I do not 
think that we would feel free to use that facility 
if we had it because I think we are too honorable 
to do it. 

And also — I will give them credit for it — just 
is they have developed certain techniques in the 
field of science and so forth to a higher degree 
than we have, I think they have developed propa- 
ganda techniques to a greater extent than we have. 
'Take, for instance, this technique of Bulganin's, 
•shooting this letter in to blanket the President's 
|speech of yesterday and to try to discombobulate 
(the efforts of the NATO Council to work out a 
coordinated answer to the earlier letter. That 
is an illustration of a technique. It's a technique 
of smartness. But I think in the long run these 
are not times that call for that kind of smartness, 



-•■ w 
ertaii! 
furthi 

iction (' 

falsi 
s are ft 
andwil 
jnitatio 



and I believe in the end those who are really sin- 
cere will be recognized and respected as such 
rather than those who temporarily gain propa- 
ganda victories through that type of smartness. 

Question of Talks With the Russians 

Q. From what you say, Mr. Secretary, is it 
fair to assume that you have little enthusiasm for 
talks with the Russians on any level? {Laughter) 

A. I think that I have had more talks with the 
Russians than perhaps any other American of 
any comparable position. Going back to 1945, ex- 
cluding the meetings at the United Nations, 
which have often involved pretty much negotia- 
tions with the Russians, but eliminating those, I 
think I have been to about 15 major conferences 
with the Russians on one subject or another. 
Now, sometimes we have got agreements — rarely ; 
sometimes those agreements have been lived up 
to — rarely ; and sometimes they have been totally 
futile. But I'm not opposed to going on and hav- 
ing more meetings with the Russians. You have 
got to keep trying and trying. 

There are areas, I believe, where we have a com- 
mon interest. I don't think either the Russians 
or ourselves want to live in a world where we 
could all be destroyed because the possibilities of 
destruction have been refined to a point where al- 
most accidentally you could set off a series of 
events that would destroy us all. I don't think 
the Russians want that, and we don't want it. 

You can find areas of common interest. The 
problem then is, how do you develop, from an 
area of common interest, something that is de- 
pendable ? 

They say, "Let us ban the use of nuclear weap- 
ons." Well, that is again one of these slogans 
which doesn't mean very much. If you have nu- 
clear weapons and you get into a war and your 
national existence seemed to depend upon it, I 
have a notion that, whatever the ban-the-weapons 
may have been, if you have the nuclear weapons 
there and in your stockpile, they are going to be 
used. That is an utterly undependable agree- 
ment. 

They say in effect, "We recognize that it is not 
possible to verify the destruction of weapons." 
And they said in their May 10th, 1955, note on 
disarmament 8 that they recognized that any ef- 



'Ilid., May 30, 1955, p. 900. 



January 27, J 958 



fort to do away with bombs could not be surely 
carried out and that peace-loving nations that re- 
lied upon that might suffer very seriously in con- 
sequence. Well, that is very true. That's one 
time they did speak out what the truth on that 
matter is. Nevertheless, they say we should rely 
upon their promises in that respect. 

Well, nations that have relied for their exist- 
ence on Soviet promises have almost uniformly 
lost it. And, until there is a better record than 
that, I don't believe that the safety, perhaps the 
veiy existence, of the United States ought to be 
put at the hazard of a Soviet promise. 

Q. On the question, Mr. Secretary, of areas of 
negotiation where we have common interests, the 
President said yesterday that agreement in prin- 
ciple had been reached on peoples-to-peoples, on 
the Bill Lacy-Zaroubin discussions. 9 Would you 
spell that out for us, please? 

A. The negotiations are proceeding and pro- 
ceeding in a way which holds out promise of prac- 
tical results. Now, we have agreed on certain top- 
ics which we are both willing to explore, and we 
try to put down concretely just exactly what each 
of us will do. That process is still continuing, 
and I don't want to take anything for granted by 
assuming that it will all go through smoothly. 
All I can say is that it has moved along rather 
well on a quiet, unheralded basis without lime- 
light on it, a very good way to negotiate. That 
has been going on here now for several weeks. 
Something may come out. There again is an area 
where there may be a common interest in certain 
types of exchanges — exchanges of information, 
exchanges of technical people, exchanges of stu- 
dents, and things of that sort. As I say, the top- 
ics have been agreed upon; the language of im- 
plementation is being agreed upon. That is a 
useful kind of an agreement. We don't jeop- 
ardize the safety of the United States on such an 
agreement. It's an agreement where both sides 
have to move almost in parallel, concurrent steps. 
If they don't carry out their part of the agree- 
ment, we don't carry out ours. So there is no 



'IMd., Nov. 18, 1957, p. 



138 



great risk involved. That is the type of agree- 
ment which can usefully be carried out. 

I have been a very interested participant, not 
personally participating but through guiding di- 
rectives, in that negotiation with the Soviets. 

I don't think for a minute that there are not 
areas where you can usefully reach agreement, 
and I am quite prepared to go on trying to reach 
agreements in those areas. I don't want to try to 
reach an agreement which is merely an agreement 
in words and which puts the vital interests and 
security of the United States at what, so far at 
least, is demonstrably a very great hazard. 

Q. Thanh you, sir. 

Mayor of Berlin To Visit U.S. 

Press release 6 dated January 10 

The State Department announced on January 
10 that it was participating in arrangements, in 
conjunction with the German Embassy and the 
American Council for Germany in New York, for 
the forthcoming visit by the Governing Mayor of 
Berlin, Willy Brandt, to the United States. 

Mayor Brandt will arrive in New York on Feb- 
ruary 7 and remain in this country approxi- 
mately 2 weeks. During his stay he will confer 
with high officials in Washington, will receive an 
honorary degree from the University of Pennsyl- 
vania, and will be received by the mayors of Phil- 
adelphia, New York, and Boston. He will de- 
liver the convocation address at the midterm J 
graduation ceremonies of the University of' I 
Pennsylvania and will make a number of infor- I 
mal speeches at Washington, New York, and 



Fort 



Boston. 

Mayor Brandt, 



the devel 
rho assumed his present office < 



in October 1957, was previously President of the 
House of Representatives of the City of Berlin 
for a number of years. In addition to being; 
Mayor of Berlin, he is also President of the Fed- 
eral Bundesrat and as such is Acting President 
of the Federal Republic at times when President 
Heuss is absent from Germany. Mayor Brandt 
is a member of the German Social Democrat! 
Party. 



Department of State Bulletir 






"•Witt 
Jonuory 2; 



Pre* 
Preside: 
r 



Foreign Investment and Economic Development 



by Douglas Dillon 

Deputy Under Secretary for Economic Affairs 



It is a characteristic of our times that public 
attention is largely monopolized by the dramatic 
events which seem continually to occur on the 
world stage. Yet these dramatic events are al- 
most always the result of a chain of unspectacular 
happenings which are either overlooked or over- 
shadowed by the headlines of the day. For ex- 
ample, not until the Sputniks flashed across our 
sky did the American people become aware of 
the strides made by Soviet scientists and engi- 
neers — although these strides had taken place over 
a long period of time and had been manifested 
from time to time in less spectacular ways. 

This conference is one of a series of annual fore- 
casting conferences, which reflect your desire to 
look ahead and plan your activities in the light 
of the best judgment you can get as to future 
trends and developments. Likewise, those of us 
who are charged with the conduct of our foreign 
policy must endeavor to identify as early as pos- 
sible basic trends in world affairs so as to forestall 
the development of explosive situations which can 
only be dealt with on the basis of their visible 
effects and not of their fundamental causes. 
Clearly, this is a difficult and complex task, since 
differences of opinion are much more likely in the 
the F«j period before a potentially explosive force be- 
comes clearly visible. 

There is no doubt in my mind about one such 

potentially explosive situation, a situation that 

mocff could be of the greatest import in determining 

our future way of life and yet a situation of which 

the American people as a whole are only dimly 



1 Address made before the 11th Annual Forecasting 
Conference of the Chamber of Commerce of Greater 
Philadelphia at Philadelphia, Pa., on Jan. 8 (press release 
5 dated Jan. 7). 

January 27, 1958 



aware. On our awakening to the importance of 
this issue may well depend the fate of free govern- 
ment in the world and with it the future of the 
free-enterprise system which has given us our 
strength and which we all here tonight take for 
granted as an essential attribute of freedom. I 
refer to the determination of vast sections of the 
world to rise above their traditional illiteracy, 
poverty, and disease. As a member of the Indian 
Parliament said recently in an address in San 
Francisco : 

The drive for economic development is on in the under- 
industrialized regions. The question is not whether this 
transformation will occur but at what rate and how, and 
whether or not these peoples will do the job in associa- 
tion with the rest of the free world. 

The United States, in its own interest, must 
recognize and try to understand this great move- 
ment. More than that, we must search for prac- 
tical ways of identifying ourselves with the aspira- 
tions of these free peoples. This should not be 
difficult, for the forces which motivate them are 
very much the same as those which inspired the 
growth of our own country. This, as I see it, 
is one of the most urgent tasks facing us today 
if we are to preserve political freedom in the 
world and strengthen the system of free enter- 
prise which has nourished it. 



Soviet Challenge in the Economic Area 

The Soviet leaders have shown that they are 
fully aware of this situation. Today the Soviet 
challenge to our way of life in this economic area 
is perhaps even more real and active than it is in 
the sphere of military and scientific technology. 
It was only 2 months ago that Khrushchev, in an 



139 



interview with a prominent American editor, said, 
"We will make war on you through peaceful trade 
to see which system is the best." The Soviets to- 
day are pouring great efforts in money and man- 
power into their drive to take the uncommitted 
nations by economic assault. To carry on this 
offensive they have already sent forth over 2,000 
technicians and granted over $1 .5 billion of credit 
in the past 3 years. And last week in Cairo they 
seemingly opened wide the door of economic assist- 
ance to all the countries of Asia and Africa. 

What should be our answer to this great chal- 
lenge? One answer, of course, is grant assistance 
through governmental channels, such as we con- 
tributed to the European recovery program. But, 
although some grant assistance will be necessary, 
our experience with the Marshall plan is not a good 
guide for our relations with the underdeveloped 
regions. In Western Europe the objective was 
quite specific — to rebuild shattered economies 
where the principal problem was a temporary 
shortage of equipment and goods. In the under- 
developed world, however, a great many things are 
lacking — basic facilities, skilled labor, experienced 
management, both basic and technical education, 
strong traditions of individual initiative — all of 
these as well as capital are lacking. This is a far 
different situation than faced us in Western 
Europe in 1948 — and requires quite different poli- 
cies and approaches. Financial assistance is not 
the only need and, if offered alone or in too large 
amounts, may even supplant the very initiative 
and resourcefulness which must be stimulated if 
progress is to be maintained. 

The Framework for Economic Progress 

We must, instead, help provide the framework 
in which economic progress can take place at a 
steady and acceptable rate. If we expect immedi- 
ate and spectacular results, the chances are that 
we will be disillusioned. For this is a long-range 
risk. We must therefore pursue sound and con- 
sistent policies which will demonstrate to the less 
developed areas of the free world that our way of 
life, our free-enterprise system, can meet the chal- 
lenge of their problems and their aspirations. 
And we must make it clear to all that we are pre- 
pared to stay the course. 

What are some of the elements in this frame- 
work? They include: 

1. A forward-looking and consistent trade pol- 
icy. This means that we should continue our 



140 



efforts to remove artificial restraints upon world 
trade — our own and those imposed by others. 
Markets must be assured for the surplus produc- 
tion of all countries of the free world. Develop- 
ing countries need to sell their products in order 
to obtain industrial equipment needed for their 
development. All countries must expand their 
trade with each other so that each can secure the 
advantages of the special talents and resources of 
the other. Moreover, as strong commercial ties 
are developed, a greater identity of political and 
social interests is likely to emerge. This interde- 
pendence is a source of strength, not of weakness, 
but it requires a continuity of leadership and ac- 
tion. Specifically, it requires that the trade- 
agreement authority of the President be extended 
for an adequate period and with sufficient power 
to make meaningful tariff reductions. It also re- 
quires that we continue working with other coun- 
tries to expand trade through the General Agree- 
ment on Tariffs and Trade and that we join in 
the proposed Organization for Trade Cooperation 
to make the general agreement operate more 
effectively. 

The movement of goods is, of course, closely re- 
lated to the movement of capital. Not only are 
today's traders frequently tomorrow's investors, 
but those of us who invest abroad must market 
our products too. Our foreign investments exceed 
those of any other nation, and our ability to get 
returns on these investments depends on trade. 
Not only must we import in order to export; we 
must import to keep investment flowing overseas, 
for without the prospect of returns an expanding 
flow of private investment is impossible. 

2. Secondly, we must share our technical knowl- 
edge with the less developed countries. This 
means more than "know how" in the sense of in- 
dustrial technology. In many foreign countries 
it also means technical assistance in such fields as 
basic education, public health, agriculture, and 
governmental administration. In productive en- 
terprise private investment is obviously the most 
effective purveyor of technical assistance, as well 
as capital, for economic development overseas. 
The two go hand in hand. But in countries where 
the flow of foreign private investment is limited 
or lacking, or in areas of endeavor in which for- 
eign investment does not usually enter, the gov- 
ernment can and should help. The technical as- 
sistance programs in which the United States par- 
ticipates, either directly with foreign governments 

Department of State Bulletin 



>r through the United Nations, must continue to 
>e a vital element in our efforts to promote eco- 
lomic progress in the less developed areas of the 
free world. We have recently agreed in the 
Jnited Nations 2 that an expanded program of 
;echnical assistance would be desirable, and we 
lope that Congress will appropriate the relatively 
nodest additional sums that will be necessary if 
;he United States is to contribute its share of this 
lew and enlarged program. 

The third element in the framework for eco- 
nomic development is the provision of financial 
assistance to help the underdeveloped countries 
gain momentum in their efforts to develop them- 
[ves. 

Development capital for the less developed 
countries of the free world can be promoted either 
by the government or by private enterprise. All 
of us are aware of the great advantages of private 
foreign investment. However, the fact must be 
faced that private capital has not yet proved will- 
ing or able to do the job in the areas of greatest 
need where the combat for men's minds and souls, 
the combat between freedom and tyranny, is today 
at its fiercest. These are the heavily populated 
areas of Asia and Africa where living standards 
are the lowest and the challenge of communism is 
the greatest. 

Let us look at the record. American private 
foreign investment (long-term) has reached the 
impressive total of around $33 billion. However, 
of total new investment in 1956 of about $2% bil- 
lion, the less developed countries of Asia and 
Africa received only $342 million — about one dol- 
lar out of eight. Furthermore, the great bulk of 
this $342 million was concentrated in the oil-pro- 
ducing countries of the Middle East, leaving very 
little for the rest of Asia and Africa. 

These statistics mean that we must do two 
things : search out every way to promote a greater 
flow of private investment and, until we are suc- 
cessful in this endeavor, provide a reasonable 
amount of capital through governmental loans. 

The World Bank is today doing a wonderful 
and important work. But because of its very 
nature the World Bank alone cannot provide 
enough capital to maintain a satisfactory rate of 
progress throughout the less developed areas. Its 
loans must be repaid within a reasonable period 
of time in dollars or in other hard currencies. 



2 Bulletin of Jan. 13, 1958, p. 57. 
January 27, 7958 



It is the very essence of economic development 
under our system of free enterprise that develop- 
ing countries or areas must during the period of 
their development receive more than they can 
give. Until private capital investment from the 
more fortunate areas of the world is able to fill 
the gap, the wealthier governments of the free 
world must help to do the job. For the less de- 
veloped lands the alternative to the receipt of for- 
eign capital is the adoption of tyrannical methods 
that would enable their leaders to sweat the re- 
quired results out of the labor of their enslaved 
peoples. 

This they are only too likely to do if no other 
course is open to them. And if we Americans 
permit this to happen, permit the countries of 
Asia and Africa to be picked off one by one by 
the Soviet economic offensive, we can say good- 
by forever to our own liberties. We can lose the 
war for the preservation of freedom just as surely 
in this fashion as through a nuclear blitz. This is 
a basic truth of the world today, one which we as 
a people must learn in time if the way of life we 
all hold so dear is to survive. 

Providing Needed Capital 

Now what are we as a government doing to pro- 
vide this needed capital ? 

Through the Export-Import Bank we are mak- 
ing substantial funds available which are helpful 
to foreign development projects utilizing Ameri- 
can exports. But again, as in the case of the 
World Bank, these loans must be repaid in dollars 
over a relatively short period of time. Therefore, 
the Export-Import Bank has been most active in 
those areas, such as Latin America, where de- 
velopment is further advanced, where there is 
considerable attraction for private investment, 
and where repayment prospects warrant substan- 
tial dollar loans. 

To meet the problem of those countries just 
entering on their programs of development, other 
mechanics are required. For this purpose the 
Development Loan Fund has been established as 
part of the mutual security program. It is au- 
thorized to provide loans repayable in local cur- 
rencies as well as dollars and to lend over longer 
periods of time than would be possible through 
conventional financing. We hope the Congress 
will give the fund additional resources so that it 

141 



may operate on a continuing basis without the 
uncertainties of yearly appropriations. 

The Development Loan Fund is prepared to 
finance projects which contribute to development 
and cannot be financed otherwise. Many of the 
basic projects in the less developed countries lie 
in the fields of transportation, power, and irriga- 
tion and are government-operated. But in addi- 
tion to these basic projects we expect the fund to 
assist private projects too and thereby promote 
the growth of healthy private enterprise in co- 
operating countries. The fund will collaborate 
with local investment institutions so as to reach 
the small private enterprise whose growth is so 
important to sustained economic progress. The 
Development Loan Fund is to stimulate, not re- 
place, other investment; under no circumstances 
is it to be a substitute for other sources of capital — 
public or private, local or foreign. 

The "Open Door" for Trade and Investment 

Here, then, is the starting point for our own 
foreign economic drive : more trade and more in- 
vestment. It is not dramatic in an eye-catching 
way, but if pursued steadily and consistently its 
cumulative impact can be tremendous. The basic 
strength is that it depends upon individual ini- 
tiative and enterprise. There is nothing incon- 
sistent between these policies and the interests of 
American business. Your constant search for 
new products and larger markets will be facili- 
tated by measures to expand trade and encourage 
economic development. Consider, for example, 
the markets that would be created by greater em- 
ployment among the teeming millions of Asia and 
Africa and by a modest increase in their pur- 
chasing power. 

American business can participate in these ex- 
panding markets providing it supports the prin- 
ciple of the "open door" for trade and 
investment and demonstrates a willingness to en- 
ter and grow with the markets. In so doing, the 
strength and vitality of the free-enterprise system 
will be clearly demonstrated, as well as its ability 
to meet the drive for economic betterment that is 
today the dominant force throughout the non- 
industrialized regions of the world. 

This must be our answer to the Communist 
challenge. We in government hope that trade 
will be accompanied by private investment and 
that you will establish industrial and manufac- 

142 



leditfori' 
Code, the l" 



I 



le 



turing plants, joining when you can with local | 
businessmen or extending them credit to purchase 
needed plants and equipment. The funds you in- 
vest will only be part of the picture; the skills 
you introduce, the training you provide, the or- 
ganizations you help establish, and, above all, 
the example of your initiative will make the 
greatest impact. 

Against this background, let me sketch very usitioc 
briefly some of the steps we are taking to en- 
courage more private investment overseas: 

1. The Government maintains very extensive 
information and counseling services designed to 
provide up-to-date data and advice to traders andj 
investors, actual or potential. We have i>n- 
deavored to improve the situation which gave rise 
to complaints that our diplomatic and consular 
establishments were not interested in assisting 
American businessmen. We are strengthening 
the economic staffs of our overseas establishments, 
establishing more commercial-officer positions, and 
making sure that all our personnel understand the 
important contribution of American foreign trad< 
and investment to the achievement of our foreign 
policy objectives. 

2. Our network of friendship, commerce, and 
navigation treaties — or FCN treaties, as they are 
usually called — is being steadily expanded. These 
treaties, as you doubtless know, provide a legal 
basis for the entry and protection of individuals 
and corporations in the signatory countries. 
These treaties have a long history. Since the war 
extensive revisions have been introduced, designed 
specifically to encourage and protect more ade- 
quately the interests of private investors. We 
have concluded 16 modern treaties since the war, 
and others are in various stages of negotiation. 
I might add that the negotiating process itself 
provides a useful opportunity for a full review 
of all matters affecting investment, whether of 
a legislative, administrative, institutional, or po- 
litical character. 

3. The investment guaranty program of the In- 
ternational Cooperation Administration has been 
steadily expanding. This program offers insur- 
ance, for a fee, against risks of loss arising from 
inconvertibility of local -currency earnings, expro- 
priation or nationalization, and war. The pro- 
gram is now operative in 37 countries, and guar- 
anty contracts totaling nearly $200 million have 
been issued. More important, however, is the fact 

Department of State Bulletin 



hat interest in this program on the part of pri- 
ate investors has been growing steadily. ICA has 
n hand guaranty applications amounting to 
early $600 million. 

4. Through tax treaties, through our system of 
redit for foreign income taxes paid, and through 
ertain special provisions of the Internal Eevenue 
}ode, the United States endeavors to avoid double 
axation and thus facilitate American investment 
broad. There is now pending before the Senate 
he tax treaty with Pakistan which, for the first 
ime, contains a so-called tax-sparing provision 3 
vhereby American investors will be granted by 
heir Government the full advantage of special 
ax incentives offered by a foreign government to 
mcourage new, productive investment — a device 
frequently used by States and municipalities in 
the United States. 

We recognize that there is more to be done in 
this field. Tax incentives to overcome the risks 
involved in investing abroad are one of the most 
affective and practical ways to stimulate foreign 
investment. This matter is under intensive study. 
We must find a solution, fair to all, for only 
through a great increase in private investment 
abroad can we hope to reduce the demands on 
government financing. 

To sum up: The Soviet economic challenge is 
serious and menacing. It cannot be brushed aside 
but must be met head-on by the nations of the free 
world if our way of life is to remain the continu- 
ing choice of the great mass of the world's popu- 
lation. 

I have outlined today the major foreign eco- 
nomic programs which the administration consid- 
ers essential if the United States is to exercise the 
responsibility which falls to it as the strongest 
member of the free world. It remains for Con- 
gress and the people to decide whether these pro- 
grams will in fact be carried through and whether 
the challenge will in fact be met. 



Educational Program in Nigeria 
Sponsored by U.S. and U.K. 

The International Cooperation Administration 
announced on January 3 that on January 1 a new 
relationship, sponsored by the United States and 
the United Kingdom, began between an Ameri- 



* For background, see ibid., Aug. 26, 1957, p. 
January 27, 7958 



can university and a soon-to-become-independent 
country of Africa. 

To help Nigeria prepare to become an independ- 
ent nation in 1961, Ohio University of Athens, 
Ohio, in accordance with an International Cooper- 
ation Administration contract, will send 10 mem- 
bers of its College of Education to Africa to assist 
the Government of the Western Region of Nigeria 
develop and carry on programs to train ele- 
mentary school teachers and instructors in com- 
mercial skills needed in business and industry. 

Dean F. N. Hamblin of the College of Educa- 
tion of Ohio University, who made a preliminary 
survey of education in Nigeria, reports "39.4 per- 
cent of the recurrent expenditure and approxi- 
mately 23 percent of the capital expenditure of the 
Western Region for the financial year 1957-58 was 
allocated to education, a truly remarkable level of 
effort.'' Because of the rapid expansion of ele- 
mentary education, Nigeria has had to use teach- 
ers who are not fully qualified and teacher-trainers 
who need help in upgrading their knowledge and 
skills. 

The ICA contract is for a 3-year period and 
calls for Ohio University to help the Government 
of Western Nigeria by carrying on the following 
activities : 

(a) Development of the equipment and mate- 
rial requirements of the two programs. 

(b) Advice on teaching methods, materials, 
and curriculum. 

(c) Demonstration of teaching methods, ma- 
terials, and techniques. 

(d) Training of Nigerian counterparts who will 
be capable of continuing the program by the time 
the contract expires. 

(e) Advice and participation in education ex- 
tension work. 

(f) Assistance in the selection of qualified par- 
ticipants to be trained in the United States, who 
will be utilized in the teacher-training program 
upon their return to Western Nigeria. 

Of the 10 U.S. teacher-trainers who will travel 
almost 8,000 miles to work in the program, 3 will 
teach business skills such as office management, 
typing? and shorthand; 7 will train Nigerian 
teachers in elementary education, including 2 who 
will give special courses in various Nigerian 
schools for teachers. 



Both the United States and the United Kingdom 
are cooperating in financing this project. U S. 
technical cooperation funds will pay for the sala- 
ries of the Ohio University professors and other 
dollar costs not to exceed $632,662 during the 
3-year period, and the U.K. is putting up an 
equivalent amount of money to pay the cost of 
international travel, local allowances, and hous- 
ing in Nigeria. 

With the addition of this contract between Ohio 
University and Nigeria, the total number of such 
ICA-financed contracts now amounts to 80 con- 
tracts with 55 U.S. universities in 36 countries 
and two regional contracts. 



Soviet Bloc Economic Offensive 
in Less Developed Areas 

The following summary of the Soviet economic 
offensive in recent months lias been prepared in 
answer to press inquiries on the subject. It is a 
staff resume compiled from many sources and is 
not a formal policy paper. 

January 3, 1958 
Background 

In recent years the Sino-Soviet bloc has added 
another dimension to its conflict with the free 
world by the use of economic programs to support 
the expansionist aims of international com- 
munism. Faced with the unfavorable prospects 
for conquest in Europe, and having been frus- 
trated in their reliance upon force and direct 
subversion to expand their influence over other 
areas, Soviet leaders began to place new emphasis 
on another approach to advance their overall 
foreign-policy objectives. 

The bloc began in about 1953 to use economic 
programs for gaining greater influence in the less 
developed countries, particularly in the vast areas 
of Asia and Africa. In these regions new nations 
are struggling for national identification and eco- 
nomic improvement. Through offers of aid and 
increased trade to less developed countries, which 
have become an integral part of its diplomacy, the 
bloc is seeking to promote its political objectives — 
to reduce the influence of the United States and 
its allies, disrupt free-world defensive alliances, 
and increase its own prestige and power. The 



economic offensive has been, and will probably 
continue to be, directed primarily toward coun- 
tries in which, for various reasons, the bloc hopes 
that its political objectives can be advanced and 
the way paved for subversion. 

Throughout 1957 the bloc has pressed its eco- 
nomic offensive by the implementation of earlier 
credit agreements, the expansion of its technical 
assistance measures, and intensive efforts to stimu- 
late even further the rising level of trade. 



THE BLOC AID PROGRAM 

Magnitude and Recipients 

By December 30, 1957, bloc agreements to pro- 
vide assistance to the less developed countries 
totaled $1.9 billion. A significant portion of this 
assistance was for military aid. Substantial offers 
of additional assistance have been made but have 
not been accepted to date. The continuation of 
bloc offers of economic aid is illustrated by the 
extension of up to $170 million in Soviet economic 
aid to Syria in October 1957 and the recent prom- 
ise of some $230 million for Egyptian economic 
development in addition to the sizable military 
aid already provided. 

Of the $1.9 billion in bloc agreements to provide 
assistance, the U.S.S.K. is providing over $1 bil- 
lion, and the European satellites, particularly 
Czechoslovakia, are at least nominally supplying 
most of the remainder. The satellite share may, 
in fact, be somewhat less since satellite countries 
have in some cases probably acted as "brokers" for 
the U.S.S.R. 

Practically all bloc aid has been offered in the 
form of easy credits. The most significant excep- 
tions are grants aggregating about $55 million 
made by Communist China to Ceylon, Egypt, 
Cambodia, and Nepal. In pursuance of bloc poli- 
tical objectives the credits have been concentrated 
in a few key countries. Thus, only six coun- 
tries — Yugoslavia, Afghanistan, India, Indonesia, 
Egypt, and Syria — account for 95 percent of the 
total credits. Even countries allied with the West 
have been continuing targets for attractive bloc 
offers, the most notable cases being Iran, Turkey, 
and Iceland. Increasing Soviet attention is also 
being directed to the newly independent countries 
of Africa, although with the exception of Egypt 
efforts to date in these countries have featured 
trade deals more than aid, which has generally 



144 



Department of Sfofe Bulletin 



been offered in rather vague terms. The distribu- 
tion of assistance under existing agreements be- 
tween the bloc and free-world countries is shown 
below. 

Estimated Sino-Soviet Bloc Aid to Less Developed 
Countries, 1955-57 1 



Country 
Afghanistan- 
Cambodia 



As of December 30, 1957 
(Millions of U.S. dollar equivalents) 



Egypt 

tndia 

[ndonesia. 



■Syria 

STemen 

i'ugoslavia_. 



Total 
$145 



■ISO 
270 
110 

13 
280 

10 



!:::]b 
Egj-pt. 
; 

tnb 



1,885 
1 Credits except for grants of $22 million to Cambodia, 
513 million to Nepal, $16 million to Ceylon, and $5 million 
;o Egypt. Burma is receiving several "gift" projects but 
vill make a return gift of rice to the U.S.S.B. over an ex- 
;ended period. 

The acceptance of Soviet credits carries with 
:t certain implications of which the recipient 
jountries are not always clearly aware. The 
Soviets certainly are not motivated by any altru- 
istic desire to aid economic progress. They look 
upon aid as an investment to secure changes in the 
Soviet interest, hoping to influence recipient coun- 
tries to adopt or maintain policies consistent with 
Soviet objectives. Furthermore, even when there 
s no evidence that such aid is used directly to 
benefit local Communist parties, the gain in Soviet 
'respectability" and prestige probably serves to 
strengthen the position of local parties and front 
groups in their bid for power. This can only 
vork against the interest of democratic govern- 
nents. 



): '""" 



erms and Implementation 

Practically all bloc assistance provides for the 
mrchase of goods and services only from bloc 
f tttfoun tries. Prices quoted for goods and services 
rdinarily seem to have been at levels competitive 
rith those of Western suppliers. However, there 
lave been a few exceptions where the bloc bid was 
ower, and recently some complaints have been 
made that bloc surveys proposed projects at exces- 
ive costs. However, the credits generally appear 
o carry favorable terms. Interest is commonly 



anuary 27, 7958 



2.5 percent, with repayment on the major eco- 
nomic credits scheduled over periods of 12 years 
or more. Some of the satellite credits carry 
higher interest rates and are for shorter periods. 
Most of the agreements provide for at least par- 
tial repayment in commodities or local currencies. 
Such provisions are considered highly desirable 
by the less developed countries, but the extent to 
which they will ultimately benefit remains to be 
seen since prices or quantities are not always 
stipulated for the goods which will be acceptable 
as repayment. In some cases repayments will 
probably constitute a far greater burden than 
recipient countries anticipate. 

In negotiating agreements the bloc gives no evi- 
dence of requiring economic justification for the 
projects involved. With a few exceptions im- 
plementation of agreements has usually been 
started with considerable dispatch although most 
of the development projects are not yet in the 
construction stage. It is estimated that as of 
November 30, 1957, about half of the bloc aid for 
economic development purposes had been obli- 
gated or covered by specific contracts. However, 
probably onlyl0-15 percent had been actually ex- 
pended. In the case of military assistance pro- 
grams, by contrast, drawings on the credits have 
proceeded much more rapidly. 

Types of Projects 

Bloc credits for economic development cover a 
wide range of fields, with an obvious effort made 
to select projects which will have an important 
psychological impact in the recipient country and 
can hence be exploited by bloc propaganda organs 
seeking to make political capital. Since most of 
the less developed countries place a high priority 
on industrialization, the bloc has concentrated its 
efforts in the industrial field. The most spectacu- 
lar example is a steel mill in India which will 
have a capacity of one million ingot tons and for 
which the Soviets are providing $115 million 
in machinery, materials, and tecluiical services. 
Other projects include a $l75-million aluminum 
plant in Yugoslavia, a $10-million petroleum re- 
finery which Czechoslovakia has contracted to 
build in Syria, a sugar refinery being construc- 
ted by East Germany in Indonesia, and a large 
flour mill-bakery installation in Afghanistan. 
However, the bloc has been active in other fields, 



145 



notably transport and communications, power, 
irrigation, and mineral development. Agricul- 
ture, health, and education projects, while im- 
portant in some countries, constitute a small part 
of the overall bloc effort. 



Bloc Capability 

It is clear that despite the recent economic dif- 
ficulties within the bloc the Soviet and other bloc 
governments have decided they can impose on 
their people whatever burdens are involved in 
carrying out a foreign credit program of the 
present magnitude to support foreign-policy ob- 
jectives. It is even probable that the program 
could and would be expanded in various types of 
projects if opportunities for sufficient political 
gains were to develop. 

The gross national product of the Soviet Union 
and the European satellites in 1957 is on the order 
of $235 billion. It is projected that over the next 
few years total output will increase by about 5 
percent per year and that the GNP will reach 
nearly $350 billion by 1965. Industrial produc- 
tion in these countries in 1957 totaled about $100 
billion and is projected to increase at a rate of 
about 6V2 percent per year over the period through 
1965, reaching a total of about $160 billion. 

These estimates, of themselves, do not point up 
the capability of the Soviet Union and its satel- 
lites to carry out any particular programs as part 
of their economic diplomacy. However, they do 
indicate the substantial economic and industrial 
base of the Soviets and the growth that can be 
foreseen. When compared to the relatively small 
amounts that have been going into the bloc's aid 
program it is apparent that the overall drain on 
bloc resources is not of great importance. For ex- 
ample, if the Soviets and the European satellites 
over the next 8 years increased aid shipments to 
double the presently indicated level, they would 
have to draw on less than 5 percent of the pro- 
jected increase in their output over this period. 

However, it is significant that the Soviet press 
has carefully avoided mentioning in domestic pub- 
lications the amount of aid being channeled out- 
side the orbit. The reluctance of the U.S.S.R. to 
tell its own people of the magnitude of the pro- 
gram is understandable in view of the slowdown 
in the rate of economic growth and the low con- 
sumption levels prevailing in the U.S.S.R. as 
well as in other parts of the bloc and the recently 



146 



increased burden on the U.S.S.R. from new assist 
ance programs for the satellites. 

Since 1945 Soviet economic credits to its Euro 
pean satellites and its allies in Asia have totalei 
some $7 billion. While the U.S.S.R. in earlie 
periods systematically looted the European satel 
lites, in the 12 months alone following the Hun 
garian uprisings U.S.S.R. assistance has amountec 
to at least $1 billion to other members of th< 
bloc in new credits and additional relief has beei 
provided in the form of debt cancellation totaling 
about $1.5 billion as well as reduction of occupa 
tion costs. 



BLOC TECHNICAL ASSISTANCE 

Size of Programs and Major Recipients 

Since Soviet technical personnel were first in- 
troduced into Afghanistan on a small scale ir 
1953, the bloc's technical assistance program has 
expanded rapidly and continuously. During the 
first 6 months of 1957, more than 2,000 Sino-So- 
viet bloc technicians worked for 1 month or longei 
in 19 underdeveloped countries of the free world 

Bloc technical assistance, like bloc credits, is 
concentrated in certain key countries, particu- 
larly Egypt, Syria, India, and Afghanistan, 
which have received more than 80 percent of all 
bloc technicians. Additional specialists have gone 
to Burma, Cambodia, Indonesia, and Yemen. Al- 
though a number of technical-aid offers have been 
extended to Latin American countries, they have 
relatively few bloc technicians. 



:is c 

ma* 



of I 



The U.S.S.R. has the largest concentration of nor: 
its personnel in Afghanistan and India, and sub- capaciti 
stantial additional numbers are expected soon in mats 
Egypt and Syria. Technicians from the Euro-' my-, 
pean satellites, particularly East Germany. 
Czechoslovakia, and Poland, are concentrated in 
Egypt and Syria. Communist China has small 
numbers of personnel in Cambodia, Burma, and ; e 
Egypt- 
Technical assistance offers the bloc a particu- 
larly valuable means for promoting closer ties pro 
with less developed countries. Those technicians 
sent abroad to date appear to have been regarded 
as competent, and their behavior so far has given 
rise to few complaints. As the implementation 
of bloc programs progresses, the number of these T 
technicians will probably expand further al- 
though certain of the less developed countries 

Department of State Bulletin 



TO?: ■ 



c 



lave so far been wary of accepting any large 
lumber of bloc — particularly Soviet — personnel, 
ince they recognize the potential for subversive 
ctivities. 
Technicians supplied in connection with proj- 
ts do not have to engage in direct subversion to 
romote Communist objectives, particularly the 
elling of the propaganda theme of Soviet "peace- 
Wk (;• ul" intentions. They are also able to influence 
in- he organization and character of the local devel- 
<iii tot pment program in the Soviet model, which is not 
i? onsistent with democratic institutions and val- 
es. The impact of such technicians is magnified 
1 countries which are in the early stages of tech- 
ological development. 



•e I m 
tie En 

tntrated 
lias a 
lunna, 

a partio 
closer 



Types of Technical Assistance 

About a third of the Soviet-bloc advisers and 

^clinicians sent abroad are involved in military 

ance activities, principally in Syria and 

m "« ^gypt- Some are assembling equipment pur- 

hased from the bloc; some are training local 

; ! roops in the use and maintenance of equipment 

(: - 'anging from small arms to jet aircraft; others 

re giving instruction in military tactics. Tech- 

ical assistance is also being given in constructing 

<"■ pal! Military installations. In addition to these pro- 

foknisl ^rams a substantial number of military person- 

ol ^el have been sent to the bloc from a few of the 

developed countries that have accepted equip- 

"emen. . ^ent credits. 

Industrial, agricultural, or other professional 
personnel account for approximately two-thirds 
f the bloc specialists sent abroad. Some of the 
ion lonmilitary specialists are engaged in advisory 
ida capacities with ministries of the recipient govern- 
nents or in mineral surveys and various other 
ervices, but the majority are attached to specific 
industrial or technical projects being undertaken 
>y bloc countries in recipient countries. 

The employment of the 300-400 bloc techni- 
cians in India in early 1957 illustrates the em- 
ihasis on industrial projects. They are assisting 
n technical education, steel mill construction, oil 
>rospecting, coal and lignite development, instal- 
ation of farm machinery, construction of a ce- 
^p), nent plant, fertilizer production, raw-film manu- 
vjjjju 'acturing, automobile assembly, and the develop- 
nent of lieavy-machinery plants. 
The field of agriculture appears to have been 
,. r ; argely neglected by the bloc in its offers of tech- 
^ deal assistance. With the exception of the East 

0» lanuary 27, JS 



German agricultural advisers in Egypt and those 
of the U.S.S.R. in Burma, efforts in this sector 
have been relatively minor, although most of the 
less developed countries greatly need agricultural 
development and have given it a prominent place 
in their plans. 

In addition to supplying the services of techni- 
cians for a wide range of industries, the bloc has 
also supplied a limited number of scientific spe- 
cialists. The U.S.S.R. is providing specialists for 
nuclear-energy projects in Yugoslavia and Egypt 
and will send 15 professors to the technological 
institute being erected in India. There are al- 
ready indications that Soviet assistance in the 
scientific field will expand. 

Bloc technicians usually operate in teams as- 
signed to specific projects. Most technicians go 
abroad only long enough to carry out brief sur- 
veys, to supervise construction, or to service 
equipment of bloc origin, although a few agree- 
ments provide for technical supervision of the 
plants after operations begin. In Afghanistan, 
for example, the Soviet specialists who put the 
flour mill-bakery installation into operation are 
staying to operate the plant for 2 years. 

The bloc technical-training programs for the 
less developed countries are carried on through 
training connected with the operation of projects 
constructed and equipped by bloc countries, 
through bilateral scholarships, and, to some ex- 
tent, through the United Nations. It should be 
noted that the bloc contributions to the U.N. pro- 
gram have been in nonconvertible currency and 
can thus be used only for bloc technical services 
and supplies. The major technical-training pro- 
grams abroad involve the technological institutes 
in India and one to be established in Burma as well 
as nuclear-energy laboratories in Egypt and 
Yugoslavia. 

Training in the Soviet Bloc 

In the past year well over 2,000 technicians, pro- 
fessionals, and students from the less developed 
countries have gone to the bloc for special courses 
of study or for observation of bloc techniques of 
planning and production. Five hundred have en- 
rolled in universities or other high-level educa- 
tional institutions. India has sent 125 nationals to 
the U.S.S.R. for training in connection with the 
Bhilai steel mill, and the total training program 
in both the U.S.S.R. and India for this project 
will involve 5,000 Indians during 1957-58. 



147 



Czechoslovakia, Poland, and East Germany 
have been the most active of the satellites in ex- 
tending scholarships to students and technicians 
for technical training. Indonesia has sent 45 stu- 
dents to these countries, while Syria will send stu- 
dents to Czechoslovakia and Poland. It is esti- 
mated that overseas Chinese go to Communist 
China for their education at the rate of 4,000 a 
year; however, most of them remain there. 

Bloc Ability To Supply Technical Assistance 

The ability of the bloc to supply technical-as- 
sistance personnel of the type and in the numbers 
needed for programs in the less developed coun- 
tries is primarily dependent on the growth of tech- 
nology in the Soviet Union and the most highly 
industrialized satellites. It is not possible to esti- 
mate precisely the number of technicians that 
could be sent out of the bloc. However, on the 
basis of the reservoirs of trained manpower in the 
U.S.S.R. and technical training taking place, and 
particularly considering that in the Communist 
bloc the assignment of people to support foreign 
programs does not involve a recruitment problem, 
it cannot be doubted that the bloc is capable of a 
substantial increase in the current technical-as- 
sistance effort. 

In the U.S.S.E. official figures show that, at the 
end of 1956, 720,900 engineers, 179,500 agrono- 
mists, veterinarians, and foresters, and 130,200 
economists, statisticians, and commodity experts 
were employed in nonteaching jobs. To this 
group of 1,030,600 trained in higher educational 
institutions may be added 1,550,000 persons with 
specialized secondary education in the same cate- 
gories. Plans for 1956-60 indicate that the num- 
ber of "specialists" with secondary or higher edu- 
cation in industry, agriculture, construction, and 
transportation will increase by an amount double 
the (unspecified) number trained in 1951-55, 
which could raise the total number employed by 
30-50 percent. 

It is known that the U.S.S.E. is currently 
graduating more engineers and scientists than the 
United States, although there is reason to ques- 
tion the breadth of education and training in 
Soviet institutions compared to their Western 
counterparts. Some of these graduates may be in- 
ferior to the average product of U.S. training in 
adapting to unfamiliar conditions such as those in 
less developed countries. Nevertheless, the Soviet 
Union and the satellite countries, as well, certainly 



148 



have a large number of qualified men who coulc 
be selected to serve outside the bloc if their govern- 
ments decide it is politically desirable for them tc j 
do so. 

Trade as Part of the Economic Offensive 

The role of trade in bloc economic diplomacy is 
clearly indicated by Khrushchev's admission to a - 
congressional delegation that the U.S.S.R. values f 
trade more for political purposes than for any- ; 
thing else. This is particularly true of bloc trade * 
with the less developed countries, which rose by 70 I' 
percent from 1954 to 1956. In the latter year, the ! 
bloc accounted for over 10 percent of the total 
trade of seven free-world less developed countries. 
More than 20 percent of the total trade of Afghan- 
istan, Iceland, Egypt, Yugoslavia, and Burma was 
with bloc countries ; about 17 percent of Turkey's 
trade; and 12 percent of Iran's trade. The bloc 
share of trade with these countries has remained 
significant in 1957 with the exception of Burma, 
where there is a considerable decline. 

The number of bilateral trade agreements under 
which the bidk of this trade occurs also increased - 
rapidly, and trade promotion efforts through 
greater participation in trade fairs have been ex- 
panded. The European satellites have played an 
important role in the trade offensive, accounting 
for 50 percent of bloc trade with the less developed |' 
areas in 1956 while the remainder is divided about | : 
equally between the U.S.S.R. and Communist 
China. 

Foreign trade is conducted as a state monopoly 
in bloc countries. This enables trade to be directly 
and easily tied to overall government policy with- 
out regard to ordinary commercial considerations. 
At the same time the bloc is pursuing broad politi- 
cal objectives, it is in a position to combine busi- 
ness with politics. Industrial development in the 
Soviet bloc, expanded capital-goods production, 
and the demand for food and raw materials pro- 
vide an economic basis for trade with less de- 
veloped countries. The ability of the Soviet bloc 
to absorb some increase in imports from these 
countries can yield economic benefits or at the least 
may mean that the bloc can pursue its programs 
without serious economic loss. This is particu- 
larly true for the European satellites. 

Bloc offers to expand trade have met a favorable 
reaction in many of the less developed countries, 
particularly in cases where primary producers 
were finding it increasingly difficult to dispose of 

Department of State Bulletin 



in '., 

Uoc m ■ 

pun 

dtv. 

kft] 



ommodities in normal cash markets. Thus Ice- 
md's fish-marketing problem opened the door for 
le negotiations of large-scale trade agreements 
dth the bloc. Burma, which had a rice export 
roblem, turned to bloc markets for relief, al- 
aough with the improvement in the free-world 
ice market the importance of exports to the bloc 
as declined and Burma has complained about the 
rices of European-bloc goods. Cotton marketing 
roblems were a factor in closer bloc economic 
elations with Egypt, and the bloc recently sought 

exploit cotton problems in the Sudan. 

The bloc's heavily propagandized trade cam- 
paign lias in exaggerated fashion held out the 

ospect for expanded markets to countries highly 
lependent upon exports, and the receptivity in 
aany of these countries to closer economic rela- 
ions with the bloc varies directly with the market 
utlook for basic commodities. Despite general 
ecognition of the advantages of trading for casli 
n free-world markets and some apprehension 
>ver the rigidities and other disadvantages of 
>arter trade, the less developed countries are 
ikely to be receptive to bloc offers in the absence 
f alternative cash markets or when bloc prices 
ppear to be favorable. 

There is, however, increasing awareness in some 
:ountries that Soviet promises of increased trade 
an change with political winds and that trade 
led to political motivation rather than commer- 
ial considerations is inherently unstable and un- 
promising as a long-term proposition. The bloc 
san, if it considers such moves expedient, reexport 
roods which it imported and thus compete with 
;he original sellers in their traditional markets. 
Additionally, past experience raises questions as 
o the willingness and possibly the ability of the 
)loc to supply in large quantities some of the 
jarticular types of goods most needed in the less 
leveloped countries or to provide unlimited mar- 
kets for their exports. 

As shipments dispatched under bloc aid pro- 
grams accelerate and as repayments take place, 
;rade with the bloc will probably show a further 
•ise. Bloc trade missions are pursuing the offen- 
sive with vigor, and such promotional activities 
is participation in trade fairs are receiving im- 



portant attention. Most of the trade agreements 
concluded this year anticipate increases in ex- 
changes with the bloc. Actual trade may, as in 
the past, fall short of the levels stated in the agree- 
ments, but most signs point to a continued increase 
in the trade of the less developed countries with 
the bloc. 



Agreement With India and Nepal 
for Roadbuilding Program 

The International Cooperation Administration 
announced on January 9 that the United States 
share in a three-nation roadbuilding program de- 
signed to stimulate the flow of trade to, from, and 
within Nepal, mountain kingdom on the northern 
border of India, will total $5 million over the next 
3 years. 

The agreement is among the United States, 
Nepal, and India and became effective January 6 
when Ellsworth Bunker, U.S. Ambassador to 
India and Nepal, signed the agreement in New 
Delhi, the Indian capital. Nepalese and Indian 
representatives had signed earlier in Katmandu, 
Nepal's capital. 

India's share over the 3-year period covered by 
the agi-eement will be the equivalent of $1,875 
million, while Nepal will provide the equivalent 
of $525 thousand. 

The U.S. funds, a grant from the President's 
Fund for Asian Economic Development, will be 
used mainly for the purchase of roadbuilding 
equipment and vehicles, steel for construction, and 
fuel for operating the equipment. Some technical 
assistance also will be supplied. 

Nepal, which is about the size of the State of 
Wisconsin and in large part mountainous, has un- 
til recently had only about 300 miles of roads of 
all types. 

The three-nation cooperative arrangement is 
part of a 5-year program now being planned in 
Nepal to build 900 miles of roads— hard-surfaced, 
unsurfaced, and tracks that can be traveled by 
jeeps. Many of these roads will be new or im- 
proved connections leading out of Nepal into 
India. 



lanuary 27, 1958 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Uresis 

I loirab* 

[tie** 1 

S] 
hould k k 

maintain close and cordial relations based oi 
mutual respect and esteem. And finally, to ware ^P''"' 
the Somali people and Government, I think oui W : 
sincere friendship and consistent support for theij ^P m 
welfare and development, ever since the trusteed ="" 
ship agreement for Somaliland became effective 
in 1950, have been clearly manifested. 

Our policy is the same now and will continue 
be the same in the years ahead. We are p 
ticularly looking toward the emergence of a fullj 
sovereign and independent Somaliland in 196C 
and will be happy to witness its entry into the 
international community of states as the child 
the United Nations. Furthermore, we are con- 
fident that its territorial integrity and future po- 
litical, economic, and social development will bw " ieon '. v 
realized and safeguarded under the beneficent* e P c - ; * 
aegis of the principles elaborated in the Unitecfl ra) " ri( ' 1 
Nations Charter. « n 

Against this background one can readily under- or s 
stand our great interest in seeing that a solution! 
to the border problem be found without delay Ifm;: 
and certainly in advance of 1960, when Somalia- ^ 
will achieve its independence. For, to have thia ^ SC0 F* i: 
problem remain unsettled would only place an ;0Vi 
obstacle in the way of peaceful and harmonious 1;,! 
relations between Ethiopia and Somalia. We K;i 
know that the Ethiopian and Somali peoples, who ' m; - 
by the circumstances of geography and history i e '' '- 11 '' 
dwell side by side, will not wish, nor indeed can - m 
they afford, to live in a situation characterized i m 
by the difficulties and uncertainties which flow Iri; : 
from the undelimited state of this border. On i ^ 
the contrary, we are convinced that they earnestly ' It - 
desire to live in an atmosphere of concord andj'finl 
mutual good will toward each other. renti 

From a study of the reports and the statements ; 
of the parties— although both recognize that the ■ and I 
possibilities offered by direct negotiations have mi 
now been fully exhausted — there is obviously a hi 
divergence of views between them as to what the eBptto 
next step should be. The Ethiopian delegate has fee]-' 
emphasized his Government's view that the mat- i n 
ter should now be settled through a juridical »d_v t. 
process while the Italian and Somali representa- rbach yJ 



U.N. Recommends Arbitration To Fix 
Ethiopian-Somali Boundary 

Following is a statement by Herman Wells, 
U.S. Representative to the General Assembly, 
made in Committee IV (Trusteeship) on Decem- 
ber 12, together with the text of a 7-power reso- 
lution unanimously adopted in plenary session on 
December 14-. 

STATEMENT BY MR. WELLS 

U.S. delegation press release 2844 

My delegation has listened carefully to the 
opening and subsequent statements by the dis- 
tinguished delegates of Ethiopia and Italy relat- 
ing to the detailed reports submitted by their 
respective Governments on the progress of the 
direct negotiations between them concerning the 
delimitation of the frontier between Ethiopia and 
the Trust Territory of Somaliland under Italian 
Administration. 1 We have also heard with great 
interest the views of the Government of Somalia 
as set forth by the distinguished Finance Minister 
of Somaliland, Mr. Haji Farah. 

Mr. Chairman, we all know that what this com- 
mittee decides with regard to finding a solution 
to this important question will have a great bear- 
ing on the future good relations between the Ethi- 
opian and Somali peoples. In the case of my own 
Government, we have nothing but the greatest 
good will and friendship toward all the parties 
concerned. We have for long enjoyed close and 
friendly relations with the Ethiopian Govern- 
ment and people based on mutual respect for each 
other's traditions, regard for the rule of law, and 
support of the charter. With Italy, which has 
so faithfully, generously, and efficiently dis- 
charged its trust as Administering Authority in 
advancing the people of Somalia to the virtual 
threshold of full self-government and independ- 
ence, in accordance with the best traditions of the 
international trusteeship system, we also happily 



1 U.N. docs. A/3753 and Corr. 1 ; A/3754 and Add. 1. 
150 



>ar- 

•11} 
96CI 



Department of State Bulletin 



■ 
We. 

House- ' 

tii ir i 



"I :• 



Ives have called for resort to the procedures laid 
own by this Assembly in its resolution 392 of the 
jfth session and later reiterated in resolution 1068 
the eleventh session. 

Specifically, they believe that the next step 
ould be mediation. Since, however, the Ethi- 
jian delegation has stated that mediation is un- 
ceptable to it, it would seem to my delegation 
Lat it might be better to pass over mediation 
id proceed on to the next stage. For, without 
jreement by both parties to accept the outcome 
mediatory efforts, there would be no promise 
success for it and valuable time would be lost. 
Te, of course, fully recognize that willingness to 
over mediation by the Somali representatives 
ould be an important concession on their part. 
i„ |i [owever, we feel persuaded that in the interest 
i :v j |l(o f settling this important problem it will be pos- 
ble for the Somali representatives unselfishly to 
e their way to do so. 

What possibilities for settlement then remain? 
he only two alternatives which would appear to 



« effea 
i 

ilfoniini; 
We 
ire of a f; 



tMiH 



id future f 
lent will 



» beneficq B possible to my delegation would be arbitration 



t!;t Fii:' 



:4ilyii 



r a juridical determination. It is, therefore, im- 
ortant to decide at this juncture upon a method 
or settling this dispute which can be recom- 



p earnest! 



■: :Mnei ' 



'r-'l' 1 ' ' l! 



,,, lended to both parti 

If arbitration is called for, as envisaged in 

w fesolution 392 (V), there must be agreement on 

to have tie ie SC0 P e an( i terms of reference which would 

] y p] MI overn a procedure of arbitration. On the one 

r and, the Ethiopians have suggested a strictly 

ij. j iridical application of the convention of 1908 

l e , w j irough judicial methods and procedures and have 

and histoi ^ tnat tne s °l u ti° n must be found within the 

"■ u s Jrms of that treaty. On the other hand, the 

omalis apparently desire a solution on a much 

"l roader basis, for example, one in which ethnic 

I,, nd related considerations would have a part. 

It seems to my delegation that the differences 

f interpretation of the articles of the 1908 con- 

ention which have emerged in the bilateral ne- 

otiations between the Governments of Ethiopia 

nd Italy provide much on which an arbitral tri- 

unal could proceed. My delegation considers 

| m0 , 13 lyi lat the General Assembly should not itself at- 

o what th * m pt to lay down, or define, the borderline but 

Is that this determination must be left to a body 

well-chosen and qualified arbitrators. That 

i i ody would arrive at a definition of the border 

wtfM fhich would enable Ethiopia and Somalia to es- 

anvary 27, 1958 



tablish their future relations on an assured basis of 
harmony and good will. Such a settlement, we 
believe, would provide a solid basis for detailed 
arrangements in protecting interests of the popu- 
lations living along the border. 

The problem therefore has been to find the 
words which will set forth the terms of reference 
or powers of the arbitration tribunal. Various 
suggestions for an agreed form of words to cover 
this crucial point have been discussed privately 
with the parties concerned during the past sev- 
eral days, but without, we are sorry to say, posi- 
tive result. Although a draft resolution 2 has 
been introduced by five powers proposing a for- 
mula for handling the matter by judicial settle- 
ment, it still appears to our delegation, if we are 
informed correctly, that the sought-after agree- 
ment by the parties has not yet been achieved. 

In the interests of effecting a compromise, 
therefore, my delegation, together with that of the 
U.K., has tabled a resolution 3 before you which 
has already been explained, simply recommend- 
ing that the parties establish an arbitration tri- 
bunal. According to this formula, such a tribunal 
would, within a fairly brief, specified time period, 
delimit the frontier in accordance with terms of 
reference consistent with the Italo-Ethiopian con- 
vention of 16 May 1908, to be agreed between 
them with the assistance of an independent person 
to be nominated by the President of the General 
Assembly. This resolution, if adopted, would 
provide for arbitration of the question but would 
leave to a later date the fixing of the exact terms 
of reference governing such arbitration. 

We feel that the important points in the oper- 
ative paragraph of this resolution are : 

(1) There will be assistance by an independent 
person nominated by the President of the As- 
sembly. This procedure takes into account U.N. 
interest and responsibility in the problem, that 
is, in assisting the parties to agree on terms of 
reference. 

(2) The terms of reference which might be 
agreed upon with the assistance of the third party 
must not be inconsistent with the 1908 convention. 
We are not, at this stage in this resolution, pre- 
judging what the exact terms of reference will be. 
In any case, whatever terms of reference are 



' U.N. doc. A/C.4/L.528. 
' U.N. doc. A/C.4/L.529. 



framed will, of course, require agreement by both 
parties before becoming operative. 

Mr. Chairman, the U. S. delegation, therefore, 
feels that this resolution will commend itself — 
we trust unanimously — to the members of this 
committee. We are persuaded that, if adopted, 
it will afford the parties a means by which to 
settle the border problem and that they will ac- 
cord it their support and cooperation. 



TEXT OF RESOLUTION ' 

The General Assembly, 

Recalling its resolutions 392 (V) of 15 December 1950, 
854 (IX) of 14 December 1954, 947 (X) of 15 De- 
cember 1955 and 1068 (XI) of 26 February 1957, 

Having taken note of the reports transmitted to the 
General Assembly by the Governments of Ethiopia 
(A/3753 and Corr. 1) and Italy (A/3754 and Add. 1) 
in accordance with the recommendation contained in 
resolution 1068 (XI), 

Having heard the statements made by the delegations 
of Ethiopia and Italy, including that of the representative 
of the Government of Somalia, 

Noting the efforts made by the Governments of Ethiopia 
and Italy in negotiations to reach a solution of the ques- 
tion of the frontier between the Trust Territory of 
Somaliland under Italian administration and Ethiopia, 

Noting that, although some progress was made during 
the discussions direct negotiations have not resolved some 
of the main differences between the parties, 

Considering that it is in the common interest of Ethio- 
pia and the Trust Territory that there should be a final 
settlement of the question of the frontier between them 
before the Territory becomes an independent sovereign 
State in 1960, 

Having regard to the urgency of the matter, 

1. Expresses the opinion that a final settlement can be 
achieved most expeditiously by a procedure of arbitration ; 

2. Recommends the parties to establish, if possible 
within three months, an arbitration tribunal — consisting 
of three jurists, one to be appointed by Ethiopia, one by 
Italy and one by agreement between the jurists so ap- 
pointed or, failing agreement between them, by His Ma- 
jesty the King of Norway — to delimit the frontier in 
accordance with terms of reference to be agreed between 
the two Governments, with the assistance of an independ- 
ent person to be appointed by agreement between them ; 

3. Requests the Governments of Ethiopia and Italy to 
report to the General Assembly at its thirteenth session 
on the measures taken by them to give effect to the 
present resolution. 



*U.N. doc. A/Res/1213 (XII), sponsored by Ceylon, 
Greece, Indonesia, Liberia, Sudan, the United Kingdom, 
and the U.S. (A/C. 4/L. 529/Rev. 1, as amended) ; unani- 
mously adopted in plenary session on Dee. 14. 



152 



U.S. Delegations to 
International Conferences 



fct E* 

■«■ East i E 

I 



m ' 
Barm i I 



U.N. Refugee Fund 

The Department of State announced on Janu 
ary 6 (press release 2) the members of the U.S 
delegations to meetings of the U.N. Refugee Func 
(UNREF) which will be held at Geneva, Switzer 
land, January 9-17, 1958. 

John W. Hanes, Jr., Deputy Assistant Secre 

tary for International Organization Affairs, will w " r " 

be the U.S. Representative to the seventh sessioB "' 

of the Executive Committee. Robert S. McCol' ,,, 

lum, Deputy Administrator, Bureau of Security mtil , t p 

and Considar Affairs (Refugee Programs), wil 

be the Alternate U.S. Representative. Their ad 

visers will be David H. Popper, Deputy U. S 

Representative for International Organizations a |We K 

Geneva, and Virgil L. Moore, Conference Office: [ lan 
. ~ ^ e ' tot U 

at Geneva. 

The Executive Committee will meet from Janu Ifc i \ 
ary 13 to 17. 

Mr. Popper will be the U.S. Representative tt4 ECAJ'E 
the sixth session of the UNREF Standing Pro- licli kli 
gram Subcommittee, which will meet January ! imittty - 
and 10. Mr. Moore will serve as his adviser. rade,> 

The Standing Program Subcommittee will con* »nof!L 
sider the UNREF progress report for the perio( he Fi: I 
up to September 30, 1957, a preliminary repor lation of 
on a survey of the nonsettled refugee populatioi ion 
in various countries, and the revised plan o 
operations for 1958. T. 

The Executive Committee will examine the re ludes: 
port of the Standing Program Subcommittee anc rade 
consider such matters as a reappraisal of th 
UNREF program and reports and further recom whni 
mendations on the problems of Hungarian refu ng a 
gees and of refugees in the Far East. Jde-pto 

At the conclusion of the UNREF Executivr 
Committee session, Mr. Hanes will fly to North 
Africa, where, from January 18 to 25, he will ob- 
serve the operations of the U.N. Expanded Techi 
nical Assistance Program (ETAP) in Libya anc 
Tunisia. 



ECAFE Committee on Trade 

The Department of State announced on Jan- 
uary 9 (press release 4) that the United States 
will be represented by the following delegation a< 



Department of Sfofe Bulletin ^^ 



D-F:v 



feu 



i of the r 



first meeting of the Committee on Trade of 
U.N. Economic Commission for Asia and the 
ar East (ECAFE), which is scheduled to be 
Id at Bangkok, January 20-27, 1958 : 

. Representative 

M. Bradernian, Director, Far Eastern Division, 
Bureau of Foreign Commerce, Department of Com- 



vemli ffi 
] of Seen 



ternate U.S. Representatives 



;orge li. Jacobs, First Secretary and U.S. Liaison Of- 
ficer to ECAFE, American Embassy, Bangkok, Thai- 
land 

Imund F. Becker, Deputy Director, Office of Trade Pro- 
motion, Bureau of Foreign Commerce, Department of 

»),' Commerce 

i Their 

deputy TJ, 

race 01 



inters 



yde R. McAvoy, Assistant U.S. Liaison Officer to 
ECAFE, American Embassy, Bangkok, Thailand 
ubert M. Curry, First Secretary and Commercial At- 
tach£, American Embassy, Karachi, Pakistan 
etfwmJii§ielina E. Vettel, Bureau of Far Eastern Affairs, De- 
partment of State 

i" ECAFE's principal organ in the field of trade, 
fending fl hich held meetings in 1955 and 1956 as a sub- 
st Jami; immittee of the Committee on Industry and 
his adviser, rade, was elevated to a full committee at the last 
■,m will ssion of the Economic Commission for Asia and 
l6 Far East (Bangkok, March 1957). The for- 
ation of the Committee on Trade is an expres- 
on of the interest of the countries of 
e ECAFE region in trade problems. 
The agenda for the forthcoming meeting in- 
udes : consideration of current developments in 
ade and trade policies, a proposal on intra re- 
onal trade-promotion talks, export-promotion 
thtr reco: chniques and practices, simplification of licen- 
„,,.;,;, 1V ; Qg and other trade procedures, and training of 
jade-promotion personnel. 

EF E»'"J' 
; flj to No 
25, be will 
rpanded Te 

!'!«'. DEPARTMENT AND FOREIGN SERVICE 



v,r th,i per 

imrj rop 
riad plan 

saminethe! 

mmitteeij 

nissl 



unced on J^ 



esignations 

Robert P. Joyce as Deputy Director, Office of Intelli- 
[Jnited m nee Research and Analysis, Bureau of Intelligence and 
, deletion isearch, effective January 6. 

aj|nuary 27, J 958 



TREATY INFORMATION 



Educational Exchange Agreement 
Signed With Japan 

Press release 8 dated January 11 

An exchange of notes at Tokyo on January 11 
between the Japanese and U.S. Governments 
makes possible a new program of educational ex- 
changes to be carried out under the Fulbright Act. 
The executive agreement was signed at the Min- 
istry of Foreign Affairs by Japanese Foreign 
Minister Aiichiro Fujiyama for his country and 
Ambassador Douglas MacArthur II for the 
United States. 

The new agreement authorizes the expenditure 
of Japanese currency equivalent to $750,000 over a 
3-year period. This amount is expected to pro- 
vide opportunities for more than 700 Japanese 
university graduates to be awarded travel grants 
enabling them to undertake further study and re- 
search in the United States and for approximately 
100 American graduate students, lecturers, teach- 
ers, and research scholars to visit Japan. The 
funds have been derived from the sale of surplus 
agricultural commodities by the U.S. Government 
to the Government of Japan. 

At the ceremony Ambassador MacArthur told 
the Japanese Foreign Minister that he took great 
pride in joining with him to sign the new educa- 
tional exchange agreement. "Our action," he said, 
"provides tangible evidence of a mutual realiza- 
tion that the continuing exchange of scholars be- 
tween Japan and the United States is one of the 
most effective avenues for achieving greater un- 
derstanding between the peoples of our two 
countries." 

Foreign Minister Fujiyama expressed his great 
pleasure over continuation of a program initiated 
"by the good will of the American people." He 
called it a truly significant factor in the strength- 
ening of the friendly ties that exist between the 
peoples of the United States and of Japan. 

The original agreement authorizing educational 
exchange between Japan and the United States 
under the Fulbright Act was signed in 1951. Ap- 
proximately 1,600 Japanese have come to the 



153 



United States and 315 Americans have gone 
to Japan under the program. The earlier agree- 
ment provided for the establishment of a bi- 
national United States Educational Commission 
in Japan to assist the American Embassy in ad- 
ministering the program in that country. The 
membership of the Commission's board of direc- 
tors is equally divided between Japanese and 
American citizens, and the American Ambassador 
serves as its honorary chairman. 



Current Actions 



MULTILATERAL 

Atomic Energy 

Statute of the International Atomic Energy Agency. Done 
at New York October 26, 1956. Entered into force 
July 29, 1957. TIAS 3873. 
Acceptance deposited: Finland, January 7, 1958. 

Cultural Property 

Convention for the protection of cultural property in the 
event of armed conflict, and regulations of execution. 
Done at The Hague May 14, 1954. Entered into force 
August 7, 1956. 1 
Ratifications deposited: Cuba, November 26, 1957; 

Czechoslovakia, December (!, 1957 ; Monaco, December 

10, 1957. 
Protocol for the protection of cultural property in the 
event of armed conflict. Done at The Hague May 14, 
1954. Entered into force August 7, 1956.' 
Ratifications deposited: Cuba, November 26, 1957; 

Czechoslovakia, December 6, 1957 ; Monaco, December 

10, 1957. 

Narcotic Drugs 

Protocol for limiting and regulating the cultivation of the 
poppy plant, the production of, international and whole- 
sale trade in, and use of opium. Dated at New York 
June 23, 1953. 2 
Accession deposited: Ceylon, December 4, 1957. 



BILATERAL 
Afghanistan 

Agreement relating to investment guaranties under sec- 
tion 413 (b) (4) of the Mutual Security Act of 1954, as 
amended (68 Stat. 832, 847 ; 22 U. S. C. 1933). Effected 
by exchange of notes at Kabul June 5 and 9, 1957. En- 
tered into force June 9, 1957. 

Germany 

Agreement relating to the transfer to the Federal Republic 
of Germany of the air bases at Landsberg, Kaufbeuren, 
and Fuerstenfeldbruck and the air depot at Erding. 
Effected by exchange of notes at Bonn December 10, 
1957. Entered into force December 10, 1957. 

Italy 

Agreement amending the agricultural commodities agree- 
ment of May 23, 1955 (TIAS 3249). Effected by ex- 
change of notes at Rome December 2 and 11, 1957. 
Entered into force December 11, 1957. 



Not in force for the United States. 
Not in force. 



United Kingdom 

Agreement amending sections 5 and 6 of the financi 
agreement of December 6, 1945 (TIAS 1545), by provi 
ing for the conditions under which annual installmen 
may be deferred. Signed at Washington March 6, 19c 
Entered into force April 25, 1957 (date each governme 
notified the other that it had approved the agreement 



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For sale by the Superintendent of Documents, U.S. Ch 
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requests direct to the Superintendent of Documents, i 
cept in the case of free publications, which may be 
taincd from the Department of State. 



Commodities. TIAS 



Surplus Agricultural 

pp. 50. 

Agreement between the United States of America and 
Republic of Korea, amending agreement of January 
1957. Exchange of notes — Signed at Washington Aug 
16, 1957. Entered into force August 16, 1957 ; operat fiiopi; 
retroactively January 30, 1957 



Parcel Post. TIAS ! 



12 pp. lOtf. 



Agreement between the United States of America : 
China— Signed at Taipei July 30, 1957, and at Washing 
August 19, 1957. Entered into force November 1, 195' 



it: ; . ■ 
life. 



Whaling — Amendments to the Schedule to the Int ^ r( . 
national Whaling Convention signed at Washington 
December 2, 1946. TIAS 3944. 2 pp. 54. 

Adopted at the Ninth Meeting of the Internatioi 1^ 
Whaling Commission, London, June 24-28, 1957. Entei j j ,,■ 
into force October 4, 1957. 

k ' 
Surplus Agricultural Commodities. TIAS 3945. 
pp. 100. 

Agreement, with agreed minute and memorandum of 
derstanding, between the United States of America £ E.. 
Israel — Signed at Washington November 7, 1957. Entei I; 1 ? 



into force November 7, 1957. 

Mutual Defense Assistance. TIAS 3946. 3 pp. 54. 



y: 



Agreement between the United States of America 
Norway, amending annex C to agreement of January 
1950. Exchange of notes— Dated at Oslo October 24 
November 4, 1957. Entered into force November 4 

Defense— Use of Facilities in the Azores. TIAS SS/tjfk 
3 pp. 50. 

Agreement between the United States of America f 
Portugal, supplementing agreement of September 6, 195: 
Signed at Lisbon November 15, 1957. Entered into fo 
November 15, 1957. 



Department of Sfafe Buf/e; 






'>«.-:• 



o; tv i 



■atb 



mary 27, 1958 I n d 

rica 

ucational Program in Nigeria Sponsored by 

J.S. and U.K 143 

k-eigu Investment and Economic Development 

(Dillon) 139 

Aierican Republics. Secretary Dulles' News Con- 
erence of January 10 131 



r \ 



Vol. XXXVIII, No. 970 



■ HAFE Committee on Trade (delegation) . . . 

Sj-eign Investment and Economic Development 

Dillon) 

Cngress, The. The State of the Union (Eisen- 
hower) 

Ipartment and Foreign Service. Designations 
(Joyce) 

Isarmament 

lesident Eisenhower and Premier Bulganin Ex- 
change Correspondence on Proposals for Reduc- 

. ng International Tensions 

S -retary Dulles' News Conference of January 10 . 
fcinomic Affairs 

lAFE Committee on Trade (delegation) . . . 
Breign Investment and Economic Development 

V, Dillon) 

itiet Bloc Economic Offensive in Less Devel- 

1 ped Areas 

i ucational Exchange 

E ucational Exchange Agreement Signed With 

apan 

retary Dulles' News Conference of January 10 . 

U.N. Recommends Arbitration To Fix 

thiopian-Somali Boundary (Wells, text of reso- 

Jtion) 

mce. Secretary Dulles' News Conference of 
anuary 10 

, many, Federal Republic of 

w * yor of Berlin To Visit U.S 

11; |(retary Dulles' News Conference of January 10 . 
ia 
i :. i" » < reement With India and Nepal for Roadbuilding 

Washingtoi r0 gram 

retary Dulles' News Conference of January 10 . 
rnational Organizations and Conferences 
•.- i:''- ; lAFE Committee on Trade (delegation) . . . 
. EH T. Refugee Fund ( delegation ) 

y. U.N. Recommends Arbitration To Fix 
thiopian-Somali Boundary (Wells, text of reso- 



15. 



Hi. .11) 



. ■:■::: 



o; ;! ;?■ 



. November 

7U ; 



!Mel* r6 '"L 



rf* 1 



an. Educational Exchange Agreement Signed 
Pith Japan 



Idle East. Secretary Dulles' News Conference 



1,1*1. H f January 10 

itary Affairs. The State of the Union (Eisen- 
ower) 

tual Security 

inierM eement With India and Nepal for Roadbuilding 

, ' rogram 

: OOoberJJUgational Program in Nigeria Sponsored by U.S. 



nd U.K 

•eign Investment and Economi 

Dillon) 

; State of the Union (Eisenhower) 



Development 



152 
139 
115 
153 



152 
139 
144 



150 
131 



149 
131 



152 

152 



Nepal. Agreement With India and Nepal for 
Roadbuilding Program 149 

Non-Self-Governing Territories. U.N. Recom- 
mends Arbitration To Fix Ethiopian-Somali 
Boundary (Wells, text of resolution) .... 150 

Presidential Documents 

President Eisenhower and Premier Bulganin Ex- 
change Correspondence on Proposals for Reduc- 
ing International Tensions 122 

The State of the Union 115 

Publications. Recent Releases 154 

Refugees. U.N. Refugee Fund (delegation) . . . 152 

Treaty Information 

Current Actions 154 

Educational Exchange Agreement Signed With 
Japan 153 

U.S.S.R. 

Foreign Investment and Economic Development 

(Dillon) 139 

President Eisenhower and Premier Bulganin Ex- 
change Correspondence on Proposals for Reduc- 
ing International Tensions 122 

Secretary Dulles' News Conference of January 10 . 131 
Soviet Bloc Economic Offensive in Less Devel- 
oped Areas 144 

The State of the Union (Eisenhower) 115 

United Nations. U.N. Recommends Arbitration To 
Fix Ethiopian-Somali Boundary (Wells, text of 
resolution) 150 

Name Index 

Brandt, Willy 138 

Bulganin, Nikolai 127 

Dillon, Douglas 139 

Dulles, Secretary 131 

Eisenhower, President 115, 122 

Joyce, Robert P 153 

Wells, Herman 150 



Check List of Department of State 


Press Releases: January 6-12 


Releases 


may be obtained from the News Division, 


Department of State, Washington 25, D. C. 


No. Date 


Subject 


2 1/0 


Delegation to U.N. Refugee Fund meet- 




ings (rewrite). 


*3 1/6 


Educational exchange. 


4 1/9 


Delegation to ECAFE Committee on 




Trade (rewrite). 


5 1/7 


Dillon : "Foreign Investment and Eco- 




nomic Development." 


6 1/10 


Visit of Mayor of Berlin. 


7 1/10 


Dulles : news conference. 


8 1/11 


Educational exchange agreement with 




Japan. 


t9 1/11 


Rubottom: "A Quarter-Century of 




Inter-American Cooperation on 




Coffee." 
ted. 


♦Not prin 


fHeld foi 


a later issue of the Bulletin. 




the 

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THE DEPARTMENT OF STATE 




DIAL 

ay recc 






ED STATES 
IGN POLICY 



Vol. XXXVIII, No. 971 February 3, 1958 

THE ROLE OF NEGOTIATION • Address by Secretary 

Dulles 159 

BUDGET MESSAGE OF THE PRESIDENT (Excerpts) . 169 

COMMUNISM IN THE AMERICAS • by Assistant Secretary 

Rubottom 180 

RADIOISOTOPES IN SCIENTIFIC RESEARCH • Article 

by George G. Manov 195 



For index see inside back cover 



THE DEPARTMENT OF STATE 




Vol. XXXVIII, No. 971 • Publication 6590 
February 3, 1958 



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U.S. Government Printing Office 

Washington 25, D.C. 

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the Budget (January 20, 1958). 
Note: Contents of this publication are not 
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a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
tlie Government tcith information on 
developments in the field of foreign 
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Department of State and the Foreign 
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BUIffl.V, 
ui bv tie 



Deoiuille 

tkntondby 

ami ollw 
t,mirf« 
: j phases 0/ 
I the K 



, is or mV 
,li««/J* 



The Role of Negotiation 



Following is the text of an address made by 
\ecretary Dulles before the National Press Club 
't Washington, D. C, on January 16, together with 
itroductory remarks by Ben Grant, president of 
\e club, opening remarks by Mr. Dulles, and ques- 
'ons and answers that followed the Secretary^ 
idress. 



PRODUCTION BY MR. GRANT 

If it's true, as reported, that John Foster Dulles 
rew up with an ambition to be Secretary of State, 
lere must have been many times in the last 5 
;sars when he wondered why. It's a difficult job 
1 best, and the present Secretary never had a 
aance to see it at its best. Not long ago some- 
Ddy wrote, "Any American boy has a chance to 
acome President, but he also runs the risk of be- 
ig appointed Secretary of State." 

Eight now the American Secretary of State is 
subject of debate all over the world. Yesterday, 
:. strong language, President Eisenhower made it 
i«ar once more where he stands on the Dulles issue, 
'his much is beyond debate. Here is one of the 
liost important men on earth. When he speaks, 
e whole world listens. All of us are pleased to 

ve him speak to the world from the National 

■ess Club. 

Gentlemen, the Secretary of State, the Hon- 

able John Foster Dulles. 



IPENING REMARKS BY SECRETARY DULLES 

Mr. President and members of the National 
ess Club, I think that the last time I met here 
the Press Club was in 1953, but it should not be 
ferred from that fact that in the interval I have 
oided the press or that the press has avoided me. 
Actually, I think the number of my meetings 
th the press — regular press conferences in the 

bruary 3, 1958 



State Department and press conferences abroad 
which I generally have on my travels, background 
press conferences at home and abroad — run the 
figure of my meetings with the press up to well 
toward 200, 1 would suppose. And at least it can 
be said that I have survived those multiple con- 
tacts although some would say that I have not 
survived them unscathed. But I can say this, that 
I am unscathed in the sense that there has been 
nothing that has taken place which has shaken 
my faith in the press, my desire to have close and 
intimate relations with the press, and even though 
we at times disagree — and indeed we sometimes 
do — the operation of the free press is one of the 
great bulwarks of our society. I welcome all of 
the contacts which I have had with the press and 
which I hope to have in the future which will 
occur while I am in this job. 



TEXT OF ADDRESS 

Press release 18 dated January 16 

I shall speak first about Sputnik. The launch- 
ing of an earth satellite by the Soviets may mark 
a decisive turn in the worldwide struggle between 
Communist imperialism and the free world. 

No doubt the Communist rulers gained a suc- 
cess. They have an opportunity to gloat, an op- 
portunity that they have not neglected. But 
Sputnik, mocking the American people with its 
"beep-beep," may go down in history as Mr. 
Khrushchev's boomerang. 

It jolted the American people and produced a 
reaction which was healthy, the kind of reaction 
that has, in the past, served freedom well. A 
wave of mortification, anger, and fresh deter- 
mination swept the country. Out of that mood 
is coming a more serious appraisal of the strug- 
gle in which we are engaged and an increasing 
willingness to make the kind of efforts and sacri- 
fices needed to win that struggle. 

159 



It is, of course, essential that our Nation should 
react in the right ways. If we act like a bull in 
the arena which puts down its head and blindly 
charges the matador's red cape, that could be our 
undoing. Our response must be a "heads up" not 
a "heads down" response. We must see clearly 
and think straight. We must appraise accurately 
the strength of our adversary and also his weak- 
nesses. We must design our own strategy to 
parry his strength and to exploit his weaknesses. 

Elements of Strength in Communist Imperialism 

Communist imperialism has elements of 
strength that make it formidable. 

The rulers have an iron grip upon the people — 
nearly one billion of them — and subject them to 
a harsh discipline of work and sacrifice. Thus 
they abstract vast sums for military establish- 
ments and for implementing political-economic 
offensives. 

The directing forces of Communist imperialism 
have from the beginning seen the struggle as a 
long one, lasting, as Lenin and Stalin used to put 
it, "for an entire historical era." Accordingly, 
they have engaged in long-range planning and 
have not relied upon quick successes, as has been 
the undoing of so many militaristic dictators. 
This planning now shows results in a large and 
ever-growing corps of scientists and technicians 
who, as a special privileged class, serve the state 
and party at home and abroad. 

At home they have enabled the Soviets to de- 
velop a military establishment equipped with the 
most modern weapons, both conventional and 
nuclear. It must, I think, be conceded that the 
Soviets, by concentrating on missiles for the past 
12 years, have been more imaginative and more 
daring than we have been over the same period. 

The steady buildup of Soviet industrial power 
now makes it possible for the Soviet bloc to con- 
duct economic warfare to gain control of newly 
independent and newly developing countries. It 
loans large sums as "aid" and makes attractive 
"barter" deals whereby it absorbs raw materials 
in exchange for its manufactured products. 

Communist propaganda is highly developed 
and particularly effective. Its effectiveness is at 
least superficially augmented by the fact that 
those who direct the Communist propaganda feel 
no obligation to speak the truth or to tell in one 



160 



ffiiH 

fit • 

■ 

IVr 

jit; i 



part of the world the same story that they tell in 
another. 

Communist Weaknesses 

The assets of Communist imperialism are surely 
formidable. But there is no reason for us to be 
discouraged or to think that those assets enable 
it to dominate the world. Communist imperial- 
ism has its weakness as well as its strength. Foi 
example : 

(1) Even the most potent despotism is bound 
to pay some attention to the mounting demands 
of the people for more consumers goods. The 
spectacular shifts which have occurred in Soviel 
leadership over the last 5 years are not merely 
personal struggles for power but struggles be 
tween the adherents of different policies. W< 
need not exclude the possibility of there comin. 
into power those who will primarily seek th 
welfare of the Soviet people and not continue t 
keep them impaled on the sickle of Communis 
imperialism. 

(2) Minds that are fine enough to deal witl 
modern scientific and technical problems cam 
be kept from coming to independent conclusi 
about other matters. The growth within 
Soviet Union of a new intelligentsia is bound 
affect Soviet policies. 

(3) The leaders of the newly independent cour 
tries seek jealously to safeguard their indepenc 



lions within the Sino-Soviet bloc who desperatel . !'•' 
need better living conditions and that consequent] 
the Communist rulers would not deny bettermei 
at home and confer it abroad except to mal - 
major political gains. Therefore the goven . 
ments of the newly independent countries an 
wary and look for safe alternatives to Communi 
aid and trade. 

(4) Perhaps the greatest weakness of the Sovi '" 
position is that it does not seem able to disengaji , ■ 
itself from the partition of Germany and the su] lr ' 
pression of the independence of the nations i ' e ' 
Eastern Europe. 



Will! 



United States Policies 

I now speak of United States policies, 
are compounded of confidence plus realization 
how formidable are the resources of those wi 
seek world domination. 



Department of State Bullet el ri .. 



at i 

km 



United States peaceful policies, coordinated 
ith the policies of dependable allies, have both 
defensive and an affirmative character. 

(1) We will maintain a strong, balanced mili- 
., ry posture, including enough ever-present and 

er-alert retaliatory power to deter Soviet ag- 
The President's state of the Union mes- 
made clear that need. There seems little 
ubt that the Congress will respond. 

(2) We propose to counter the economic threat, 
will be harder for us to get the resources to do 

at. But unless we wage successfully the polit- 
vl-economic war that is now being fought, 
>mmunist imperialism can win without ever a 
me ji being fired. It is vital that the newly inde- 
ndent and newly developing countries should 
ilicies, iid in freedom the way to lift up their own peo- 
|3. It is vital that the United States continue 
be a dependable market where other free-world 
tions can sell what they produce and buy what 
y need. Without assurances in these two re- 
ects, Communist imperialism would gain con- 
)1 of many lands with their human, material, 
d strategic values; and in the end our own 
Dnomy would be strangled by lack of the exports 
d imports which are essential to our economic 
alth. 

(3) We must see to it that our freedom is a 
, Inamic force. That is not just a task of gov- 

ir IMP!"' 1 

i j iment but even more of our free citizenry. 
Today there is a challenge to liberty more for- 
dable than any in recent times. Powerful men 
fanatically teaching that human diversity and 
man dignity are false ideals and that human 
eds can best be satisfied by a materialistic, 
leistic society which imposes conformity and 
ats human beings as cogs in a great economic 
ichine. 

In the face of that challenge our own society is 
sely observed. We are widely regarded as the 
incipal exponents of freedom and as leaders of 
free world. Many are trying to judge 
tether this freedom of ours is really a product 
sy want to import. It is up to us to make our 
sedom so rich, so dynamic, so self-disciplined 
it its values will be beyond dispute and its in- 
ence become so penetrating as to shorten the 
e expectancy of Communist imperialism. 



er.'ier.t; 



J»i- ni 
i despcrs 

mm 

y better: 
ept to i 
the * 
■oat* 
n ComK'- 

ioftheS 
todia 
mud the 
k nationi 



lues, 
of those 



President Eisenhower, in his last month's 
speech at NATO, 2 said that "there is a noble 
strategy of victory — not victory over any peoples 
but victory for all peoples." That strategy can 
be, and I am confident will be, implemented by 
such policies as I describe. 

The Place for Negotiation 

Given the intensive nature of the present strug- 
gle, what place is there for negotiation? First 
of all, let me say emphatically that there is a 
place for negotiation. Negotiation is one of the 
major tools of diplomacy. It would be the height 
of folly to renounce the use of this tool. This 
administration has not done that in the past and 
does not intend to do it for the future. 

We must, on the basis of past experience, as- 
sume that negotiation with the Communists, if 
it is to bring acceptable results, will be a long, 
hard task. I have often engaged in that work 
and have spent many days personally participat- 
ing in high-level face-to-face negotiations with 
the Soviets. I have had considerable education 
as to their methods. 

Whenever negotiations involve matters of real 
substance, the Communists go at them in a tough, 
hard way. They are highly legalistic and seek 
to devise hidden loopholes through which they 
can subsequently escape from what seem to be 
their obligations. They practice inexhaustible 
patience, withholding what they may be prepared 
to give until the last moment in the hope that 
they can get what they want without giving as 
much as they are ready to give. They astutely 
take into account any weaknesses of their oppo- 
nents such as impatience to get the negotiation 
over or willingness to treat any "agreement" as 
a success, without regard to the contents or de- 
pendability. Furthermore, the scope of possible 
agreement is limited by the fact that the Com- 
munist record of performance is so poor that never 
ought the United States rely on any promises by 
the Communists which depend merely upon fu- 
ture good faith. 

The negotiations which ended the Korean fight- 
ing took 2 years and involved 575 meetings. 
Many of the armistice provisions were quickly 
violated by the Communist side, but the essen- 



Buixetin of Jan. 27, 1958, p. 115. 



' Ibid., Jan. 6, 1958, p. 3. 



|, ifaruary 3, 7958 



161 



tial — the abstention from warfare — has stuck, be- 
cause it was in the mutual interest. 

The negotiations for the state treaty which gave 
Austria her liberty took approximately 8 years 
and involved some 400 meetings. This treaty has 
been lived up to by the Communist side. 

The negotiations for the International Atomic 
Energy Agency, which were finally concluded in 
1956, took almost 3 years. 

The negotiations with the Soviet Union for 
"cultural contacts" upon which we are now en- 
gaged here at Washington began 2y 2 years ago 
at the Geneva Summit Conference. 

Our negotiations at Geneva with the Chinese 
Communists have been going on for over 2 years. 
We got an agreement for the release of the Ameri- 
can civilian captives. But that agreement re- 
mains partially dishonored. 

I do not suggest that negotiations must be so 
prolonged. With good will there is no need that 
they be so prolonged. But always, the past rec- 
ord is, if the negotiations involved real matters 
of substance, the Communists have proceeded 
very carefully and with a design to gain every 
possible advantage. 

I believe that there should be, and will be, fur- 
ther negotiations with the Soviet Union. There 
are many areas where there could be dependable 
agreement in the common interest. Also I be- 
lieve that the Soviet rulers, and I know that we, 
do not want our two nations to drift so far apart 
that there is increased danger that the cold war 
will turn into a hot war. 

President Eisenhower, in his reply of last Mon- 
day to Chairman Bulganin, 3 took a major step 
looking to what could be further negotiations and 
agreements of exceptional importance. 

He proposed strengthening the United Nations 
by reducing the use of the veto power. 

He proposed proceeding with the reunification 
of Germany as agreed at Geneva in 1955. 

He proposed considering how to give the peo- 
ples of Eastern Europe their promised, and long 
overdue, opportunity to have governments of 
their own choosing. 

In the field of armament he advanced the most 
significant proposal that could be made at this 
time to assure human survival, namely, that outer 
space should be used only for peaceful purposes. 



3 Ibid., Jan. 27, 1958, p. 122. 
162 



ave IK-- 
bj 



It is unhappily too late now to assure fully what 
the United States proposed in 1947 — that all fis- P 
sionable material should be used only for peace- 
ful purposes — although we still can, and should, 
do that for newly produced fissionable material. 
But it fa possible now to assure that outer space- 
all of it — should be dedicated to peace and not 
to war. I might add at this point that we have 
been much interested in the suggestions made 
Senator Lyndon Johnson in this field. 

And finally President Eisenhower proposed 
that, since ability to supervise fulfillment <rf|ia:.' 
agreements is at the heart of all armament pro- 1 ?" r ' 
posals, joint technical study groups should bf j E*:. 
established at once to explore the technical prob | ou» 
lems involved in supervision. He said that, s< j !■■ i 
far as we were concerned, this could be dom | sk ' 
without any prior Soviet acceptance of any dis \ Mil l, 
armament proposal. It could also be done with •- 
out any Soviet commitment to the possible inter I 
dependence of the various proposals. 

President Eisenhower's letter to Chairman Bui I ""'•-' 
ganin should dissipate once and for all any im 
pression that the United States does not want 1 1 fe' 
negotiate or is afraid to negotiate with the SmF" 
viet rulers. The truth is quite the contrary. W ''■-' 
do want a summit meeting, provided the prope , 
conditions obtain. We do not however want jl 
summit meeting which merely represents anothe < ^ m 
episode in the cold war and which would be hel | 
under circumstances that would carry great per 
to the free world. 

There are, I know, many who feel that tH *|?"' 
cold war could be ended and the need for sacr* ^''"J 
ficial effort removed by the stroke of a pen at tH *' f! / 
summit. That is the kind of illusion that hsi g^ 
plagued mankind for a long time. Actuall;! j^;, 
peace is never achieved in that way, and ther |] f j ; 
could be no greater folly for us than to act on tl 
belief that all our danger could be ended I 
peaceful platitudes proclaimed from the summ 
by Heads of Government. A. I 

The expansionist goals of the Communist Pa i Dm 
ties and the exploitation of the subject peopk ": , 
for military and economic aggressive purpos ;•? 
will not be altered by one iota by generalities u tt the 
tered at a summit conference. But with the f r ;:■■•■ 
peoples it is different. Their governments ca:t I if 
not make the necessary efforts except as the pe Wing 
pie themselves feel the need to work and sacrifi 
for the security of their nations and of the 1 ifl , , 



Department of State Bullet 






leals. A summit conference which diverted the 
:ee nations from doing what is necessary for 
leir security, without any comparable change in 
le Sino-Soviet bloc, could be a great, indeed a 
tal, disaster. 

Equally, it could be a disaster if the free- world 
aders at such a conference felt that, to avoid the 
uiger inherent in a platitudinous declaration of 
sace, they had to go to the other extreme and 
eak off in an atmosphere of hostility. That 
mid intensify the cold war and make more likely 
tat it would turn into a hot war. 
For these reasons it is essential, as President 
isenhower pointed out and as Mr. Khrushchev 
kicalpn ice himself agreed, that any summit meeting 
■siil tk lould be well prepared. There should be as- 
ulJ be c irance that significant topics will be discussed 
of an; id that there is a good prospect of arriving at 
e doner gnificant agreements which will be fulfilled. 

The way to such a meeting was clearly pointed 

it by President Eisenhower in his last week's 

to Chairman Bulganin. It is now for 

e Soviet rulers to make clear whether or not 



■ all mj 



rtlitiie 



id the pro 



■:, great [ 



snot rat wy want a summit conference which wil 



nuinely promote the cause of peace and justice 
the world. We do. 



-;■-;'.' UESTIONS AND ANSWERS 

v.* 

ess release 1!) dated January 16 

Q. Somebody asked: A congressional committee 
coted you as saying there was nothing wrong 
Ith the Yalta agreement except that the Russians 
oke it. Is this your view? 



feel that 
eed for 9 
f a pen at 



ijontiut. | Secretary Dulles: I would say that the last 
ie, Actefilf of what I said is at least correct. (Laughter) 
Russians broke it. 



ay, and 

i to act on 
be ended 

in tie -W- 



Jtlil "' 



Q. What does Khrushchev hope to gain from 
summit conference? 

A. I hope that the remarks I already made 

iiunistPi row light on what are probably, I fear, his in- 

I „, ntions, although those intentions will be tested 

' what goes on in the coming weeks and months. 

it the great gain, as I pointed out, that they 

, , t :i uld get — and which certainly they will try to 

[ S it if we let them — the great gain is to have a 

t | ie j)i eeting which, as I say, will utter platitudes 

?" 1^ >out peaces — "we are going to work together, we 



e all going to be friends, we are going to end 



jj, efaruary 3, 7958 



all world tensions" — with the implication that 
there is no need any more to have this military 
preparation, to pay taxes in order to have a 
mutual security program, and the like. If 
Khrushchev can get that, that would be the great- 
est triumph of his career or indeed the career of 
almost anyone, because then we would come back 
here and the other free-world leaders would go 
back to countries where the people would no 
longer be willing to support the military pro- 
grams, the economic assistance programs, the in- 
conveniences of alliances which require people to 
coordinate their policies with each other. All 
those things, it would be believed, could be thrown 
away because peace has been proclaimed. But 
the Communist Parties will go right on. 

One point that always needs to be borne in 
mind is that, when you negotiate with the leaders 
of Communist-controlled states, you are not ne- 
gotiating with the principals; you're negotiating 
with the second-class people, because the govern- 
ments of these countries are all run by the Com- 
munist Party and, unless you bind that party, you 
haven't got an agreement which, as to broad 
policy, has any significance at all. I recall very 
well the Litvinov agreement, which we made at 
the time when we recognized the Soviet Union. 
The Soviet Government agreed that it would not 
tolerate the establishment on its soil of any group 
which was seeking to carry on subversive activi- 
ties in the United States. Of course the subver- 
sive activities went on just the same, indeed were 
intensified. And we asked the Soviets "how 
come," and they said, "Oh, those are being carried 
on by the party. The state is not carrying those 
on. Therefore, what we are doing is entirely con- 
sistent with our agreement." That is the kind of 
thing you are up against. 

Question of Summit Conference 

Q. Mr. Secretary, that leads to another ques- 
tion, which says: What can be accomplished at a 
summit conference that can't be accomplished at 
a lower-level conference? 

A. I think that it is essential that at a lower- 
level conference or through diplomatic channels, 
which are equally, perhaps even more, useful in 
this connection, it be found out, as I said, whether 
there can be a possibility of agreement on signifi- 
cant matters in ways which will assure perform- 



163 



ance. Now, sometimes in the course of these nego- 
tiations everything seems to be settled except one 
or two points, and the element of decision on these 
points is, of course, made by the Heads of State. 
And if there is going to be a worthwhile agreement, 
it may be useful to have it sanctified somewhat by 
a meeting of the Heads of Government. I won't 
say that there is inherently any possibility in a 
Heads of Government meeting that is not equally 
present in the diplomatic intercourse or meetings 
at a lower level, foreign ministers and the like. 
You have a choice of a whole lot of methods, and 
it's impossible to say that you can achieve some- 
thing by one method that you can't achieve by the 
other. They are different means that are em- 
ployed. Sometimes it may be that a Heads of 
Government meeting is useful, although I would 
not say there is any inherent reason why you can- 
not also work at a lower level, because actually, of 
course, the Heads of Government direct what goes 
on. If negotiations are conducted through diplo- 
macy, President Eisenhower has just as much a 
part in that as he would have if he were personally 
meeting with Chairman Bulganin. It's just a ques- 
tion of variety, choice, and I would not think there 
was inherently any advantage in one as against 
another. 



Q. Somebody asks: Isn't a summit conference 
worth while if only from the viewpoint of psy- 
chological warfare, that is, its impact on the 
public opinion of neutral countries? 

A. I suppose that a meeting of Heads of Gov- 
ernment has a certain psychological advantage 
in the sense that it is probably interpreted, at 
least, as indicative of a greater desire, a greater 
effort to get together. And perhaps in that sense, 
I think, undoubtedly in that sense, there is a cer- 
tain magic that seems to attach to it in the minds 
of many people, particularly in the noncommit- 
ted countries. That is one of the advantages. 

Of course, there are other serious disadvan- 
tages of the kind I pointed out. When you get 
the Heads of Government together, you have 
either got to come out with something or have a 
break. And it puts a terrific pressure on the 
Heads of Government to do what may be improvi- 
dent just to avoid the alternative of seeming to 
have a break. And that is the reason why, in 
my opinion, they ought not to put themselves in 
that position until it is pretty sure that some 
worthwhile agreement can be arrived at. 



0J 



Q. Will the United States insist that the prob- 
lem of German unification be at least fully dis- 
cussed at any future summit meeting, even if 
chances for real progress are dim? 

A. I can't conceive of there being another 
summit meeting which regarded as entirely 
washed out the agreements and decisions taken 
at the last summit conference. If that is going 
to happen, it would be much better not to have the 
conference at all, in my opinion. As the Presi- 
dent pointed out in his letter to Chairman Bul- 
ganin, the one agreement that was arrived at and 
expressed in terms of an agreement, and the only 
one, related to Germany. And if another summit 
conference is to be held and not even discuss the 
one subject that was agreed on at the last summit 
meeting and treat that as washed up, then I think 
that of itself showed that a subsequent meeting 
was a mistake. If we treat agreements at the 
summit as of no future significance, and their 
only purpose is to have a meeting to seem to agree, 
have the agreement violated, and then start an- 
other meeting on another topic, I can't imagine 
a worse course of procedure or one that would be 
more disastrous. 



Q. You say the free nations must not modify 
their security precautions without any compara- 
ble change in the Sino-Soviet bloc. Do you en- 
visage meeting the Chinese Communists at thtt 
summit? 

A. I do not think there is any occasion at thfr 
present time to meet with the Chinese Com- 
munists at the summit. The problems that de- 
mand treatment are not primarily problems when 
the Chinese Communists are indispensable parties- 
or indeed, in my opinion, proper parties. Nowi 
of course, I say this : If peace can be really gainec 
by meeting with the Chinese Communists, w< 
don't let the fact that we don't recognize then 
stand in the way. We met with the Chinese Com r! 

"" ■'.■ 






iill h ;. 

lifer: 
tawican P 



munists at the foreign-ministers level at Genevi 
in 1954, I think it was. We have been meeting .1 
with them at the ambassadorial level at Genev: j t i, . 
for the past 2 years and more. We dealt wit! $ ,, 
them at the Korean armistice negotiations. 

The policy of nonrecognition has no necessar; i£. 
relationship at all as to willingness to meet t' ',.-. 
accomplish results. But I cannot see the likeli tt^i 
hood that any question would now come up fo ^,, 

Department of Sfofe Bulletii 



discussion where they would be, in the words of 
President Eisenhower, one of the nations having 
a recognized responsibility in relation to the 
subject matter. 

Q. Also on the subject of Communist China, 
what are the objectives of our present policy to- 
\ ward Communist China, and do you feel a new 
I approach might be wise? 

A. The objectives of our policy toward Com- 
;. munist China are the same as our objectives in 
respect to other aspects of our foreign policy, and 
[that is to serve the enlightened interest of the 
United States. So long as the Communist regime 
is dedicated to opposing by all possible means the 
things which we believe to be in our interest, we 
do not see that there is any advantage to be gained 
by increasing its authority, its influence and pres- 
: :ige to be used against us. In every way — except 
ciow by open force where they are restrained by 
; Diir own security treaties — in every way they are 
: seeking to destroy the band of free nations which 
Still exist and which keep the Pacific a body of 
water controlled by the free nations. They are try- 
ng to do that in an avowed spirit of hostility to 
:he United States. 

Any time it will serve the interests of the United 
States to recognize the Chinese Communist re- 
gime, we will do it. We are not controlled by 
logma or anything of that sort. It's a very 
simple question: Will it serve our interests and 
.he interests of the free world and our allies to 
' vhom we are committed to grant recognition ? If 
I (he answer to that is that it will help it, then we 
vill recognize. If the answer is that it will not 
i it, then we will not recognize, and the answer 
oday is "no." 



'tines 
>een meeti 



::"' 



• Jiii'i'i:" 
rtiea » 

• American Prestige Abroad 

Q. So far as world prestige is concerned, how 
h you think America stands today as compared 
oith 5 years ago? 

A. I can hardly answer that question perhaps 
.jjtGenf without a certain amount of bias. (Laughter) I 
B djjlt rt rould say, to try to be as candid as possible, that 
, r : he United States stands higher than ever before 
c0 jpffsji nth the governments of the free-world countries. 



cannot say the same as regards public opinion, 



jjugi! fliere I think public opinion may perhaps have 
f up t >een somewhat misled, but perhaps you gentlemen 

I,)* February 3, J 958 



have a very different view of that. The fact is, 
I believe, that the United States is respected more 
than it has ever been before. Now, there is a 
difference between being respected and being 
liked. We do not run the foreign policy of the 
United States with a view to winning a popularity 
contest. And we have to do tilings which we 
know are not going to be popular. But we have 
not done, in my opinion, anything for which we 
are not respected, and I prefer being respected to 
being popular. 

Q. Mr. Secretary, several of our members are 
interested in a certain paragraph in a letter from 
the President which was deleted. One question 
said, "Who deleted the paragraph from the Presi- 
dent's letter to Bulganin?" and somebody else 
said, "Do you think the portion of President 
Eisenhower's letter to Bulganin dealing with its 
wide publication in Russia should have been 
deleted?'" 

A. As the President said, the draft of his 
letter to Bulganin went through many, many 
changes and revisions. It would be almost super- 
human for anyone to remember offhand what was 
in the last draft as against what was in the next 
to the last draft and what was in the draft that 
preceded that, and so on down through about 10 
drafts. As to whether it should or should not 
have been deleted, there are reasons for it, some 
of which I would think it inadvisable to state 
here. But I think the way it has worked out is 
perfect, because far more attention now is going 
to be focused on whether it is going to be pub- 
lished than if that paragraph had been in the 
letter. (Laughter) 

Q. If you had it to do over again, would you 
support England, France, and Israel in a Sues 
Canal dispute with Egypt? 

A. I suppose the question means in a military 
action. 

Mr. Grant: As far as I know. 

A. Because, of course, we did support the 
position of those three governments as to their 
rights in relation to the Suez Canal. We always 
took the position that Israeli ships and cargoes 
were entitled to go through the canal under the 
Treaty of Constantinople. We also took the po- 
sition that the action taken by Egypt in terminat- 
ing the concession which provided for inter- 



165 



national operation of the canal, in terminating 
that prior to the agreed date, was an improper 
act. But if the question goes to whether or not 
we would, if we had to do it over again, have sup- 
ported the military effort that was launched, I 
would have to say that I would not today take 
any action other than that which I advised to the 
President when it happened. I do not think that 
it is profitable to get into discussions as to why 
and wherefore. That was a very tragic affair. 

As I was saying to someone who spoke to me 
about it just before we came in here, it was in 
many ways the hardest decision, I think, that the 
President and I ever had to take. And when I 
went up that night at the United Nations and 
went up to the rostrum, I said, "I come here with 
a very heavy heart," and that was a very true 
statement. But I have never yet in public of- 
fice — and I do not think I ever shall — try to ex- 
plain the reason or to defend myself for that, 
because I cannot do that without reopening old 
wounds, old controversies, which we are trying to 
heal and which, in my opinion, have been healed, 
for which I thank God. 

Controlling Use of Outer Space 

Q. What steps does the United States plan to 
achieve the President's proposal to halt work on 
space weapons and dedicate outer space to peace- 
ful purposes? 

A. The kind of instruments that are used now, 
at least, to penetrate the world atmosphere and 
to reach outer space are large, cumbersome, re- 
quire a large array of auxiliary equipment, require 
long preparation, and they could not be concealed 
from even the most superficial form of inspection 
if it were from the air. Therefore, at the present 
stage of the art, you might say, we have something 
which is readily subject to being controlled. And 
the important thing, perhaps the vital thing, is to 
get into this control business while that is still 
the case. 

I recall the fact that back in '47-'48, when the 
making of atomic weapons was still a process in 
its infancy, when we had a monopoly of the know- 
how, we offered to internationalize that at that 
time. I think perhaps never in history has as 
great and generous a gesture been made by a 
great country. The Soviets turned it down. 
Now the art has developed to such a point that it 
>le — it is, I guess, absolutely 



166 



impossible — to keep track of the fissionable mate- 
rial that has already been created, that may be 
secreted, and which cannot be accounted for. So 
while something can be done in this atomic field 
and we believe something should be done to prevent 
the spreading of these weapons throughout the 
world, increasing the piling up of these nuclear 
weapons, it is not possible to accomplish at this 
stage the great humanitarian results which could 
have been accomplished if the United States offer 
had been accepted in '47-48. 

Now we are at the opening stage of a new, great 
development, a development which can now readily 
be controlled, but we cannot say with certainty, 
if it goes uncontrolled for 10 years, that perhaps 
by that time the mechanics of penetrating outei 
space will have been so refined and improved upor 
that we will not be up against the same kind oi i 
impossibility and of great difficulty that we aro 
at the present time with regard to nuclear weapons 
So the time to move is now, in the infancy of thil i 
art of penetrating the atmosphere and reaching | 
outer space. And, as I say, it can be done no?! 
very readily because of the fact that the mechanic 
of this thing at the present time are so cumber |i 
some, so obvious, that they can readily be detectec , 
and controlled. There would, I suppose, need ti I 
be some kind of an international commission prei 
sumably, and preferably, under the auspices of th 
United Nations, which would have the task, per 
haps comparable to the task of the Internationa I 
Atomic Energy Agency, which has a task of as ' 
suring that the nuclear materials that it dispose t 
of, at least, shall be used only for peacefi 
purposes. 

Now I see no political or material obstacles v Hariri n 
the way of establishing an effective, all-inclusiv' ,ee » 
dependable system of supervision and whic* " 
would assure that, if anyone makes an instrumei 
to use outer space, it can be detected, can be knowi 
and it can be assured that the objects to be set w 
will be in the interests of science and humanil : ' 
and not in the interests of war. I think there 
an opportunity here which is almost staggerir 
in its possible implications — its implications if 
do it, and its tragic implications if we do not do 

And I certainly hope from the depth of my liea I . 
that the emphasis which President Eisenhow 
put upon this in his letter to Chairman Bulgan 
will find a response. I know it is said, it will 
said, that this is "sour grapes" because the Sovie 



Department of Sfofe Bullet 



1 



Sl pifit 



US'; ] 



re a bit ahead of us now perhaps in this field, 

hat we are just trying to stop them when they 

re ahead. Well, I think I can assure you with 

omplete integrity that there was not a vestige of 

hat thinking when we made this proposal. And 

obody knows really, when it comes to missiles, 

hat our relative positions are. They are ahead 

dien it comes to satellites at the moment. But, 

hen it comes to the missiles, the relative status of 

ur arts is a good deal of an enigma. But what- 

ver it may be, it can, I think, be taken as absolutely 

rtain that the advances that will be made by both 

1 us in this field will be such that a decade from 

ow we will both have such a power that the ques- 

on of our relative power becomes quite unim- 

'■' ortant. Therefore, the fact that the Russians 

itovedi: iav think themselves a little bit ahead at the mo- 

lent should not deter them any more than we were 

eterred at a time when we were well ahead of 

le Soviets in atomic weapons in 1947. I believe 

fancy of ti iat, if they are at all sincere in their professions 

peace and if, when Chairman Bulganin decried 

hat he called the "production of ever-more- 

cbilowerful weapons" — if that was a sincere utter- 



jid read 

r ikillr 



r so CUM' 

y be detec 



Lets!;. 



nee on his part, he will jump at this chance. 



Q. Somebody asks, "What future does Harold 
tassen have in the /State Department?" 
Laughter) 

A. Mr. Stassen is a gentleman of very great 
Internaticlbility and whom I admire. The question is, 
jtuskoi What future does he have in the State Depart - 
i;1 ;itaif lent?" It is quite true that he has an office in 

e State Department, but it is also true that he 

a Special Assistant to the President, and, as I 
^ marked once before, I think his future lies be- 
' !];;„; feen Harold Stassen and President Eisenhower, 

>tme. 



i and ™ 

■ts to be set 
and hiunan 
think ther 



illations i' 
™donotd 



nificance of Hungarian Revoiution 

Q. At the time of the Hungarian revolution one 



ago you expressed the opinion that this meant 

e beginning of the end for Soviet Russia and 

„ jrld commmdsm. With the advent of Sputnik, 
oststagget 



d so on, is this still your opinion? 

A. That is my opinion. But I don't think at 
tiyiif e time I made the remark that you referred to 
r , gisenho put a date on when the end would be. But the 
rBiaI1 Biilr* ost significant development I think that has 
-iiitnil curred in recent times has been the proof given 
iia the Soti • the Hungarian people that, even though they 

S|0 i e j«lli bruary 3, 7958 



had been under Soviet Communist rule and, above 
all, indoctrination, subjected through their schools, 
their radio, and their press to all of the influences 
that communism could exert, yet, in the face of 
having been subjected to that for well over a 
decade, what was the end result? The end re- 
sult was thousands upon thousands of people who 
were ready to die rather than continue subject to 
that kind of a system. 

Well, as I say, when that has been demon- 
strated, that demonstrates that there is a fatal 
defect. The Communists had the opportunity — 
how long was it? — from '45 to '56 — 11 years — to 
teach the young people, to have their ear exclu- 
sively from that period, say from the time when 
they were in their early teens until the time when 
they were in their middle twenties. The fact was 
that the revolt came primarily out of the young 
people who never had known anything in the way 
of education during that decade except what they 
got from the Communists. If communism can't 
win the hearts and the minds of the people under 
those conditions, then I say that that is proof that 
it is never going to go on indefinitely ruling the 
people of their world. 

Now they can, as they have, gain successes. 
And as they continue to be ruthless, they can con- 
tinue this suppression. But the significant fact 
was that it brought to light that there is, in my 
opinion, a fatal defect in that system, a defect 
which in the end is going to lead to their undoing. 
Now, how quickly does that happen? I think I 
have always avoided trying to put a date on it. 
I have sometimes said a decade, or generation — ■ 
phrases to indicate an indefinite time. But it is 
silly to try to put dates on these things. It could 
happen quickly, or it could be prolonged, depend- 
ing on circumstances that nobody can foresee, that 
nobody can estimate. But that the event in Hun- 
gary demonstrated something which in the end 
is going to be their undoing, about that I have no 
doubt whatsoever. 

Q. Our time has about expired, but I do want 
to ask you one remaining question: Do you believe 
that the United States Government can do much 
at this time to help the French solve their eco- 
nomic problems? 

A. I think that there is no doubt but what the 
United States, and perhaps other countries in the 
European Payments Union, can help the French 
to solve the external aspects of their financial 

167 



problem provided they have, as I think they have 
or will have, an adequate program at home. The 
French economy is one of the most vigorous and 
strong economies in the world. I think I noted 
in my last State Department press conference 4 
that it is reported that there is the largest per 
capita productivity in France of any country in 
Europe. There is no reason at all why the 
French should not have a good, sound, healthy 
economy if they can get their house in order at 
home. Now because their foreign assets have 
been largely dissipated and because the French 
people have not had great confidence in their own 
government, there are some immediate problems 
that would confront them even though they now 
adopted the most perfect domestic program that 
could be conceived. I believe that France has 
enough friends, among whom it can count the 
United States, that will help the French to help 
themselves. 

Mr. Grant: Thank you, Mr. Secretary. It will 
be of interest to know that this is one of the larg- 
est crowds ever gathered in this room. 

I want to present to you this certificate of ap- 
preciation from the National Press Club for your 
appearance here. 

Secretary Dulles: Thank you. It has been 
very nice to be here and meet with you. 



United States and Laos 
Reaffirm Friendly Ties 

Folloiving is the text of a joint communique re- 
leased at the close of the 3-day informal visit to 
Washington of Prime Minister Souvanna Phouma 
of Laos. 

Press release 14 dated January 15 

Communique 
During the course of an informal visit to Wash- 
ington from January 13 to 15, 1958, His High- 
ness Prince Souvanna Phouma, Prime Minister of 
the Kingdom of Laos, conferred with the Presi- 
dent of the United States and the Secretary of 
State on problems of mutual interest to the two 
countries. These discussions were supplemented 



'Ibid., p. 131. 
168 



of • ■ - 

in- 



by meetings between Prince Souvanna Phoum£ 
and his advisers and the Vice President, tb 
Secretai-y of Defense and other American officials 
From these conversations the two government! . , 
gained increased understanding on matters o: Wo 
common concern. 

Prime Minister Souvanna Phouma expresse( 
pleasure that after more than three years of divi 
sion the Kingdom of Laos had been reunifiec r 
through a political settlement concluded with tbll ^'- - 
Pathet Lao. He pointed out that the sovereignt; Ka&-" 
recognized at the Geneva Conference of July 195' *& 
could now be exercised throughout all of Laos> ^e live, 
territory, and that henceforth any Lao not recog f^! 
nizing the authority of the Royal Governmeu> ^ v - 
would be considered a rebel and prosecuted as 
common traitor to the nation. 

Reaffirming Laos' membership in the Frt I [' 
World and its traditional friendly ties with tt 
West, the Prime Minister declared that his Got 
ernment would continue vigilant and strong in il 
determination to defend Laos' independ 
against any attempted alien domination. Pri 
Souvanna Phouma recognized that the Coi 
nist ideology is a danger to the Free World, 
stressed that any system which throttled the d 
nity and freedom of the individual could have 
appeal for the Lao people. 

President Eisenhower confirmed the willingnajW: c 
of the United States to offer, within the limitatioi te 
of Constitutional processes, its moral and m "mil ,: , 
terial support to the Kingdom of Laos so long ffl J: a r 
such support could assist the Government of La or 
in its effort to maintain its independence. Prir :t ? 
Minister Souvanna Phouma declared his det€ ^ 




mination to insure that American aid would 
used for the enduring benefit of the Lao peop 
and the true national interest of the Kingdon 
Experts of the two Governments will meet 
Washington within a week to develop specii 
measures for carrying out agreement reached 
principle on certain aspects of the administratii 
of the Mutual Security program in Laos. 



D li 

ndi 
Toi 

'orl-i 
hicl 
icoi 

1 

il -T,' 



'ili 



President Eisenhower and Prince Souvan 'I' 
Phouma agreed that any aggression threateni ' 
the political independence of the Kingdom 
Laos would endanger peace and stability. Be 
Governments reaffirmed their faith in the Unit 
Nations as the instrument of peaceful and ji S, c 
settlement of international disputes. 



Department of Slate Bulle 



*o«ry J 



iludget Message of the President (Excerpts) 1 



bnreJ o the Congress of the United States: 
.uded witt- jThe budget for the fiscal year 1959 which I am 
iie awm; jansmitting with this message reflects the 
» of July] riftly moving character of the time in which 
tall of li |b live. It is clearly a time of growing oppor- 
Laonotrs: pity as technology and science almost daily 
; Govern: »en wholly new vistas to all mankind. Yet it 
rim t e ,l also a time of growing danger. The progress 
' the Soviets in long-range missiles and other 
Tensive weapons, together with their continu- 
.., .g rejection of a workable disarmament, com- 



"H»l 



;ls us to increase certain of our defense activi- 
which we have only recently expanded many 



in lepd 
on. Pi 



f SUH i 



>ld. 

We know that we are sturdy today in the many 

rengths that keep the peace. This budget re- 



C™ 1 5cts our determination to remain so in the 
World, iiture. 

ottled the i This budget reflects another determination- 
could haw .at of adhering to those principles of govern- 
mental and fiscal soundness that have always 
. r r|i|! I; ir aided this administration — economy in expend- 
tlielimitat ures ? efficiency in operations, promotion of 
oral and : ' owtn an( l stability in a free-enterprise econ- 
[ 0D! ny, a vigorous Federal-State system, concern 
. ,i r human well-being, priority of national secu- 

p ty over lesser needs, revenues adequate to cover 
wen* n . — „„j,.„j.- „ j : 



penditures and permit debt reduction during 

sriods of high business activity, and revision 

'* id reduction of taxes when 



hi; •■■ 



ieI*P M -po meet the responsibilities imposed on us by 
the Km? 1 ^j^ C on<litions and by the fiscal principles to 
3 will meet ^^ we adhere? the budget for 1959 contains 
eiekip sp et commendations to provide : 

1 (1) An immediate increase for 1958 of $1.3 

llion in spending authority for the Department 

Defense, and a further increase of $2.5 billion 

1959 over 1958, to be applied principally to 



administrai 

LlOi 

iDce So» Ti 

on tare* 

I Kills""" 1 i H Doc 266, 85th Cong., 2d sess. ; transmitted on Jan. 

jjbililj. " . The message, together with summary budget state- 
in the fni ents, is for sale by the Superintendent of Documents, 
". ",' ] S. Government Printing Office, Washington 25, D.C. ; 

iceful ana ] 



ice $1.75. 
bruary 3, 7958 



accelerate missile procurement, to strengthen our 
nuclear retaliatory power, and to spur military 
research and development programs; 

(2) A resulting increase of $2.8 billion in es- 
timated 1959 expenditures over 1957 for missiles, 
nuclear armed or powered ships, atomic energy, 
research and development, science and education, 
plus a further provision of $0.5 billion for de- 
fense purposes, if needed; in addition, authority 
to transfer up to $2 billion between military ap- 
propriations, in order to take prompt advantage 
of new developments ; 

(3) A decrease of $1.5 billion in 1959 expendi- 
tures below 1957 for other military arms and 
equipment and aircraft of declining importance, 
in favor of the newer weapons ; 

(4) Curtailments, revisions, or eliminations of 
certain present civil programs, and deferments 
of previously recommended new programs, in or- 
der to restrain nonmilitary spending in 1959 and 
to provide the basis for budgetary savings of sev- 
eral billion dollars annually within a few years; 

(5) Continuation of present tax rates to help 
achieve a balanced budget in 1959. 

I believe that this budget adequately provides 
for our Federal responsibilities in the year ahead. 

The estimated budget totals for the current fis- 
cal year and for the fiscal year 1959 are compared 
with actual results of earlier years in the follow- 
ing table : 

Budget Totals 

[Fiscal years. In billions] 





1956 
actual 


19S7 
actual 


1958 


1959 
esti- 


Budget receipts 

Budget expenditures 


$68. 1 
66.5 


$71.0 
69.4 


$72.4 
72.8 


$74.4 
73. 9 


Budget surplus ( + ) or 


+ 1.6 


+ 1.6 


— . 4 


+. 5 






New obligational authority. 


63.2 


70.2 


'74.4 


72. 5 



1 Includes $6.6 billion of anticipated supplemental 
requests. 



DEFENSE, SCIENCE, AND THE BUDGET 

Americans are determined to maintain our 
ability to deter war and to repel and decisively 
counter any possible attack. Today we possess 
military superiority over any potential aggressor 
or aggressors. Every American should clearly 
understand that the vast defense programs under- 
taken during the past several years have greatly 
advanced our military preparedness and developed 
and harnessed impressive new scientific achieve- 
ments. We have sharply increased the numbers 
of scientists and engineers assigned to top priority 
defense programs. We have expanded many fold 
the expenditures for the development of missiles, 
both defensive and counteroffensive. We have ac- 
celerated development of advanced guidance sys- 
tems, new fuels, and heat-resistant materials. We 
have greatly enlarged our network of warning 
devices and communications. 

Our longer-range ballistic missile development, 
in particular, has long had the highest national 
priority. The result is striking. Whereas in 
1953 we spent only $1 million on these programs, 
we spent $1 billion in 1957 and will spend more 
in 1958 and still more in 1959. 

Our defenses are strong today, both as a deter- 
rent to war and for use as a crushing response to 
any attack. Now our concern is for the future. 
Certain elements of our defense program have 
reached the point where they can be further ac- 
celerated. I will transmit to the Congress, imme- 
diately, a supplemental appropriation request of 
$1.3 billion for the Department of Defense for the 
fiscal year 1958. Further increases in new obliga- 
tional authority are requested for the fiscal year 
1959. The recommended authority for the mili- 
tary functions of the Department of Defense is 
$39.1 billion, which is $0.6 billion more than was 
requested in last year's budget for 1958 and $3.8 
billion more, than the amount the Congress has 
thus far enacted for 1958. Spending for military 
functions of the Department of Defense in 1959 is 
estimated to total $39.8 billion. 

The development of longer-range ballistic mis- 
siles, construction of missile sites and detection 
systems, and other missile programs including 
guided missile ships will be substantially aug- 
mented. The total expenditures for missile re- 
search, development and procurement, for guided 
missile ships, and for missile-related construction 
will be $4.3 billion in 1958 and $5.3 billion in 



170 



1959, compared with $3 billion spent in 1957, $1.7 
billion in 1956, and $1.2 billion in 1955. Com- 
mencing in 1958, we will procure a number of new tto 
missiles which have been recently developed and 
have now become operational. 

As an indispensable part of our efforts to main- 
tain an adequate defense, the budget recommenda- » 
tions for 1959 call for continued contributions to 
the efforts of free world nations to promote the 
collective defense and economic growth. The So- 
viet threat to freedom is far more than military 
power alone. Poverty and ignorance, and the de- 
spair, fear, and unrest that flow from them, have 
always been enemies to liberty. The Communists 
well know this and unceasingly exploit these fac- 
tors to extend their influence and control. This 
Soviet economic assault on freedom is rapidly 
growing. Conquest by this route is no less menac- 
ing to us and other free nations than conquest 
by military force. We must, accordingly, vig- 
orously advance our programs to assist other peo- 
ples in their efforts to remove poverty andl 
ignorance. As we succeed in these military and 
economic efforts, our own freedom and security 
are strengthened, and the prospects for peace are 
improved. 

Scientific and research efforts throughout the 
Nation must be expanded. This is a task not only 
for the Government but also for private industry, 
foundations, and educational institutions. The» 
Government, on its part, will increase its efforts sod, 
in this area. Supplemental appropriations foa utegorieo: 
1958 will be requested for the National Advisory p (a \ ,, 
Committee for Aeronautics and the National £ SW[;I ]. 
Science Foundation, as well as the Departmenll for interna: 
of Defense. For 1959, new programs to promote jefe:, , 
education in science are being recommended anct t^ m ,; ; - 
basic research activities are being generally ex> p^ ■ . 
paneled. f 

tan 

CHANGES IN EMPHASIS A 

Total Government expenditures (1) for all pro< 1958 «•;; ... 
curement to equip our forces and those of oui prre 
allies with weapons, ships, planes, and missiles an] , • 
(2) for atomic energy, and (3) for all scientific 
research and education will be approximately rv 
$21.1 billion in 1958 and $21.6 billion in 1959, com ilf : 
pared with $20.5 billion in 1957. 

Within these totals for procurement an( he 
science, we have gradually but substantially 1 
changed our emphasis. This administration' j>; 



of -i 



confli 

:ure::.r".'- 

iea 

Tv : 
v.;.- i 

tory pen 

Ofa 

lids ' : 



Analysis of 
*nd Budgel 



Department of State Bulleth 



J ='< : 



ontinuing attention in recent years to new con- 
epts of defense is shown by the fact that more 
han 75% of the total funds for procurement in 
lie 1959 budget and 1958 supplemental requests 
is programed for new types of equipment which 
aad not been developed in the fiscal year 1955 or 
were not being bought in production quantities in 
liat year — the first full year following the Ko- 
conflict. In 1953, missiles alone took less 
;han 2 cents of each dollar spent for major pro- 
nirement; in 1957, missiles took about 15 cents 
>f every procurement dollar; and in 1959 will 
ake about 24 cents. 

The greatly increased firepower of modern 
weapons and the continuing increase in efficiency 
permit a further reduction in the numbers of mili- 
h ary personnel. Procurement of older types of 
weapons and equipment is also being reduced. 
3ther defense expenditures will be reduced by 
losing installations that are outmoded or are of 
imited use, and by tightening maintenance stand- 
,rds, procurement practices, and supply manage- 
nent. 



Xnalysis of Major Programs 
ind Budgetary Issues 



For purposes of summarization and discus- 
it? effor- >ion, budget expenditures are grouped into the 
run; ; categories of protection, civil benefits, interest and 
idviaj general government. 

Expenditures for major national security and 

! or international affairs and finance, which to- 

mmj jether make up the category of "protection," will 

tendril -equire 64% of estimated total 1959 budget ex- 

Dffll? ispenditures. The $47.1 billion estimated to be 

pent on protection in the fiscal year 1959 is more 

han in any year since 1955. 

An estimated 22% of budget expenditures in 

for all pi -959 will be for civil benefit programs. These 

, e f o )rograms are grouped under the headings : Labor 

jjuissili md welfare; commerce and housing; veterans 

;f ; f jii: .ervices and benefits ; agriculture and agricultural 

urces; and natural resources. The estimated 

i ff r 516.4 billion to be spent on civil benefits in 1959 is 

50.6 billion less than the comparable amount for 

,t J he current year. 

The estimate of 1959 expenditures for interest 
nistrati<« s $^ -9 billion, the same as in 1958. Expenditures 

'ebruary 3, 1958 



for general government will require an estimated 

$1.4 billion in 1959, also about the same as in 1958. 

Budget Expenditures and Authorizations by Purpose 

[Fiscal years. In billions] 





Budget expenditures 


Recom- 


Purpose 


1957 
actual 


1968 

esti- 


1959 
esti- 
mate 


new obll- 
gatlonal 

authority 
for 1959 




$45. 2 

15. 1 
7.3 

1. 8 


$46. 3 
17.0 
7. 9 
1. 4 

0.2 


$47. 1 
16. 4 
7.9 
1. 4 

1. 1 




Civil benefits j. 

Interest 

General government 

Allowance for proposed 
legislation and contin- 


16.0 
7.9 
1.4 

1.3 








Total. __ 


69.4 


72. 8 


73. 9 


1 72.5 



1 Compares with new obligational authority of $70.2 
billion for 1957 and $74.4 billion for 1958. 

The budget also includes estimated expenditures 
of $1.1 billion for the fiscal year 1959 as an allow- 
ance for proposed legislation and contingencies 
not included in the categories above. Within this 
allowance $500 million is estimated specifically 
for defense contingencies, $339 million is estimated 
for proposed pay adjustments for postal and other 
civilian employees not in the Department of De- 
fense, and $300 million is for other contingencies. 
The cost of proposed pay adjustments for military 
and civilian personnel of the Department of De- 
fense is included in the estimates for that Depart- 
ment. 



PROTECTION 

Our security is an integral part of the security 
of the entire free world. In addition to strength- 
ening our own defenses, we must improve the ef- 
fectiveness of our partnership with our allies. 
This requires a greater pooling of scientific re- 
sources, a freer exchange of technological informa- 
tion, and closer military cooperation. Prelimi- 
nary steps to accomplish these objectives were 
taken at the recent Paris meeting of the North 
Atlantic Treaty Organization. 

This budget reflects coordinated plans for 
strengthening our own and allied defenses. The 
composition of free world forces, and the equip- 
ment with which they are provided, must be de- 
signed for the needs of an era of increasingly 
destructive weapons with far-reaching range. Our 



171 



Government's research and development will be 
generally expanded with particular emphasis on 
developing and improving missiles both for de- 
fensive and for counteroffensive purposes. 

An effective system of military security requires 
closer economic cooperation through trade, invest- 
ment, loans, and technical assistance with nations 
throughout the free world so that they can develop 
their resources and raise their living standards. 
To the degree that this economic cooperation 
strengthens the internal stability and ability of 
those nations to preserve their independence, the 
cause of a just and lasting peace will be advanced. 

Protection, Including Collective Security 

[Fiscal years. In billions) 





Budget expenditures 


Eecom- 

mended 


Function 


1957 
actual 


1958 
estimate 


estimate 


new obli- 
gational 

UUTlloritV 

for 1959 


Major national security 
programs 

International affairs and 
finance 


$44. 4 
0.8 


$44.9 
1.5 


$45. 8 
1.3 


$44. 3 
1.6 


Total 


45. 2 


46.3 


47. 1 


45. 9 



Major National Security 

New obligational authority recommended for 
major national security programs for 1959 is 
$44.3 billion, compared to $41.0 billion estimated 
for 1958 and $41.3 billion enacted for 1957. 

Expenditures for these programs are estimated 
to be $45.8 billion in the fiscal year 1959, $1 bil- 
lion more than in 1958 and $1.4 billion more than 
in 1957. Increases are anticipated for the mili- 
tary functions of the Department of Defense and 
for atomic energy development. Expenditures 
for military assistance and defense support will 
be about the same as in the current year, but ap- 
propriations will increase to finance the lead-time 
for newer-type weapons. Expenditures for the 
stockpiling of strategic and critical materials and 
for the defense production expansion program will 
decline. 

DEPARTMENT OF DEFENSE, MILITARY FUNCTIONS 

To accelerate the adaptation of our defenses to 
changing conditions, a request for supplemental 
appropriations of $1.3 billion for the Department 
of Defense in the fiscal year 1958 is being trans- 
mitted to the Congress. The result will be to in- 



172 



crease total new obligational authority for 1958 
for the military functions of the Department of 
Defense to $36.6 billion. A further increase of 
$2.5 billion is recommended for the fiscal year 
1959, bringing the total for that year to $39.1 
billion. 

It is essential that we be able promptly to 
modify and accelerate programs when and as im- 
portant discoveries or technological developments 
in weapons indicate such action to be desirable. 
To accomplish this end, the budget includes a con- 
tingency reserve of $500 million for defense pur- 
poses only. It also proposes that the Congress 
authorize the President to transfer up to $2 bil- 
lion between appropriations available for military 
functions of the Department of Defense. This 
transfer authority is important and I will not 
hesitate to use it. 

I have already discussed the urgent problem of 
reorganization of the Department of Defense in 
the State of the Union message. In the interest 
of the taxpayer, improved operating and fiscal 
controls must accompany larger appropriations. 

Expenditures in 1958 are now estimated to be 
$38.9 billion compared with the original 1958 
budget estimate of $38 billion. Estimated ex- 
penditures for 1959 are $39.8 billion, an increase 
of $0.9 billion over the current estimate for 1958, 
$1.3 billion higher than in 1957, and $4 billion 
more than in 1956. 

These increased appropriations and expendi- 
tures are necessary for a speedup in the adjust- 
ment of military strategy, forces, techniques, and 
organization to keep pace with the rapid strides 
in science and technology. Since the end of the 
Korean conflict, new weapons systems of vastly 
increased combat effectiveness have been provided 
for our military forces, while numbers of military 
units and personnel have been gradually reduced. 
We can expect new developments at an ever-in- 
creasing pace. 

The rapidly changing character of the military 
program is strikingly evident when the weapons 
and equipment we proposed to buy in 1959 are 
compared with those bought as recently as 1955 — 
the first full fiscal year after the Korean conflict. 

There is hardly a production model aircraft on 
the Air Force's proposed list for procurement 
with 1959 funds that was included in its 1955 
program. All the fighters and bombers proposed 
for procurement with 1959 appropriations will 
be capable of supersonic speeds and of using 

Department of State Bulletin 












'(kr, ] ■ 



guided missiles find nuclear weapons. Of the $1.5 
billion of aircraft, engines, and aeronautical 
equipment proposed to be bought by the Navy in 
1959, about 80% will be for models which had not 
reached the point of being bought in production 
Quantities in 1955. 

Even in the new field of missile technology, 
there will be a very marked shift of emphasis 
from the earlier, initial weapons systems to the 
much more advanced systems of the future. The 
onger range ballistic missiles — Atlas, Titan, Thor, 



Jupiter, Polaris — only one of which was beyond 
the technical study stage 2% years ago, will ac- 
count for nearly half of the missile program for 
1959. For the total missile program, about 90% 
of the dollars planned for procurement in 1959 
are for weapons which were not in production in 
operational quantities in 1955. 

Most of the ships in the proposed 1959 con- 
struction program are entirely new types not to 
be found in the 1955 shipbuilding list. These in- 
clude guided missile destroyers and the first nu- 



Major National Security 

[Fiscal years. In millions] 



Program or agency 



'Cttl 

ated to 

:::;a; li 
mated f 
i! im, 
?kW 
Si 

I espe: 
lie aJj'J' 
dques,_ 
pid stridf 

end of 



•epartment of Defense — Military Functions: 

Direction and coordination of defense 

Army : 

Present programs 

Proposed legislation: 

Military pay adjustment 

Military construction 

Navy: 

Present programs 

Proposed legislation: 

Military pay adjustment 

Military construction 

Air Force: 

Present programs 

Proposed legislation: 

Military pay adjustment 

Military construction 

Other central defense activities: 

Present programs 

Proposed legislation (military coi 

struction) 

Proposed civilian pay adjustment 



Subtotal. 



of vast! -tomic energy: 

Present programs 

Proposed legislation (plant acquisition 
construction) 



p MnT/a 

-,; aii'.iw 
Irmlr." 
merer' 

iiemilita 

;■ Ml[in 
n \<& 1 

? as 1955- 

: , ri fori. 
aircraft 

roan* 
to its IS 



Subtotal. 



tockpiling and expansion of defense production, 

dutual security, military: 
Military assistance: 

Present program 

Proposed legislation 

Defense support: 



Present program 

Proposed legislation . 

Subtotal 

Total 



New obligatioual authority 



$15 
7,672 



10, 220 



255 
1,962 



962 



41, 344 



estimate 1959 estimate 



2, 362 



40, 995 



$356 
3,532 



2, 298 
120 



2,418 
70 



44, 298 



Budget expenditures 



l'.i?,7 actual 1958estimate 1959 estimate 



18, 363 



38, 439 



3,495 
44, 414 



$21 
9,043 



10, 640 



38, 861 
2, 300 



2, :;m> 



$215 
8,663 



142 
47 



20 
205 



2,530 
20 



2,550 
422 



1,846 
354 



spropos 
itiona 



1 Includes -SI, 270 million of anticipated supplemental requests. 

2 Does not include $500 million for defense purposes shown in the budget under allowance for proposed legislation and 
n )ntingencies. 



ebruary 3, 7958 

453172 — 58 1 



clear-powered frigate. The first three ballistic 
missile submarines for the fleet are included in the 
1958 supplemental request. 

Fully half of the proposed 1959 program of 
military construction is for facilities for the Stra- 
tegic Air Command and for weapons systems and 
equipment which will have been brought into op- 
erational use since 1955. 

Research and the operation of facilities for re- 
search, development, and testing of missiles will 
take a much greater proportion of the research 
and development budget in 1959 than in 1955. In 
the 4 fiscal years 1956-59, roughly $20 billion of 
research and development, procurement, military 
personnel, and construction funds will have been 
programed for the research, development, test, 
and evaluation of new weapons systems to bring 
them to operational status. 

Programs requiring greater emphasis. — The 
budget provides funds for a still greater expansion 
of the swiftly progressing intercontinental and 
intermediate range ballistic missile programs. 
The Jupiter and Thor intermediate range ballistic 
missiles are being placed in production. Work 
on the Atlas intercontinental ballistic missile will 
be accelerated. 

Funds are also provided to speed up the oper- 
ational availability of the Polaris intermediate 
range ballistic missile and the first three subma- 
rines designed to employ this weapon. 

Expansion and further improvement of the 
continental defense early warning network will 
be undertaken and construction of a new ballistic 
missile detection system started, including the 
necessary facilities for communication with the 
North American Defense Command and the Stra- 
tegic Air Command. 

This budget includes funds for accelerating the 
dispersal of Strategic Air Command aircraft to 
additional bases and for the construction of 
"alert" facilities. The readiness of these retali- 
atory forces must be measured in minutes. Not 
only must planes be kept constantly in the air, 
but also additional combat air crews must be able 
to take off almost instantly upon receipt of warn- 
ing of an impending enemy attack. Takeoff time 
will be appreciably shortened by constructing ad- 
ditional runways, fueling stations, and quarters 
for the crews at the runway. Within the total 
appropriations for the fiscal years 1958 and 1959, 
about $0.5 billion is provided for the dispersal 

174 



and increased readiness of the Strategic Air 
Command. 

Funds are provided for an expanded research 
and development effort on military satellites and 
other outer space vehicles, and on antimissile 
missile systems, to be carried out directly under 
the Secretary of Defense. An increase is also in- 
cluded for basic and applied research in other 
areas. 

Antisubmarine warfare capabilities will be 
increased to counter potential enemy submarine 
threats. 

While greater attention is given in this budget 
to the foregoing areas, conventional warfare ca 
pabilities of all the military services are also I 
being improved. For example, funds are pro- 
vided to initiate production of new models of 
small arms and ammunition, standardized for use I 
by all members of the North Atlantic Treaty 
Organization. ., . 

. j 

DEVELOPMENT AND CONTROL OF ATOMIC ENERGY 

Expenditures by the Atomic Energy Connnis- I 
sion in the fiscal year 1959 will increase to $2,550 - 
million, $250 million more than estimated for . 
1958, which in turn was $310 million over 1957. | ti 
These increases reflect our determination both to I 
increase the tempo of progress in achieving a 



aspects 

proi '■■ 



greater nuclear military capability and to 
ahead in our successful development of the peace- 
ful applications of atomic energy. 

From year to year we have hoped that 
would finally crown our efforts to reach an inter 
national agreement which would permit, if not 
general disarmament, at least some reduction in, 
the production of nuclear armaments. Again we i - 
find ourselves in a situation that leaves us noi 
choice but to test and produce further quantities; fl^ „' - 
of such armaments for the defense of the freel ij]] crr , 
world. The substantial increase in the avails 
bility of uranium concentrates and the expanded 
capacity of the Atomic Energy Commission's pro 
duction plants will result in greater production fe..' 
and larger operating expenditures in 1959. 

During the last several years, the Atomic En- 
ergy Commission's research and development in 
both peaceful and military applications of atomic 
energy have grown rapidly to the highest levels 
ever attained. Continuing emphasis will be 
given to basic research, and construction will con 



Department of State Bulletin }^ 



fancd u 
Ibdsti 



WTDAISK, 

8 






riare 
m :. 
are p: 
!i»lek 
si fort 



■ Conn 
a to§2, 
mated 
over 1! 
onbotib 
Leving 
J 10 
t'ae 



tinue on four additional high-energy particle ac- 
celerators in the multibillion electron-volt range. 
Applied research and development activities will 
be increased in 1959 and concentrated on those 
aspects which appear most likely to result in 
reaching technical goals. In particular, there will 
be continuing emphasis on naval and other mili- 
tary nuclear propulsion reactors, and on the more 
promising approaches to development of reactors 
to produce safe and economic electrical energy 
for civilian use. 



STOCKPILING AND DEFENSE PRODUCTION EXPANSION 

Expenditures for stockpiling and expansion of 
defense production are estimated to be $565 million 
in 1958 and $422 million in 1959. The stock-pile 
objectives on all but a few scarce materials will be 
substantially completed under contracts now in 
force. In October 1957, an advisory committee 
was established to work with the Office of Defense 
Mobilization on a study of stockpiling policies and 
programs in the light of current concepts of war 
and defense. 

The Defense Production Act of 1950 has pro- 
vided much of the basic authority required to bring 
about needed expansion of production capacity, 
to provide controls over the use of scarce materials, 
and to initiate other measures essential to en- 
hance our military strength. It should be ex- 
tended another 2 years beyond its present expira- 
tion date of June 30, 1958. I do not now anticipate 
•any specific new programs which will require 
financial assistance under this legislation, but ac- 
celerated research and development in certain mili- 
tary programs may require further expansion of 
production potentials for key materials. The au- 
thority to set priorities and allocate materials, 
currently being used for critical materials for 

njuari direct military and atomic energy procurement, 

of tie fit ! will continue to be needed. 

tie avail 

. | MUTUAL SECURITY PROGRAM 

ission's pn Soviet ambition poses a threat to the free coun- 
tries that takes several forms : open armed attack, 
internal subversion, and economic domination. 

Vtomie E Mutual security helps to meet all forms of this 
threat. For the fiscal year 1959, 1 am recommend- 
ing new obligational authority of $3,940 million 



Mli 

i: 
.pn 

pes 



aaaint 

IP.it. if I 

fclrtioi 
Again 
ires is 



■ jjgtlefl for the mutual security program. Expenditures 






are estimated to be $3,868 million. 
Two portions of the mutual security program- 



military assistance and defense support — are pri- 
marily related to our military defense effort and, 
therefore, are discussed in this section of the mes- 
sage. The other portions of the mutual security 
program, while they contribute to security and de- 
fensive strength, are primarily designed to pro- 
mote the economic development and political sta- 
bility of less developed countries. They are 
discussed in the international affairs and finance 
section of this message. The two parts of the 
mutual security program are combined in the 
following table : 

Mutual Security Program 

[Fiscal years. In millons] 





Budget expenditures 


Recom- 
mended 


Function and program 


1957 
actual 


1958 
esti- 
mate 


esti- 


oMimitionil 
autlmritv 
for 1959 


Major national security: 
Military assistance: 

Present program 

Proposed legisla- 


$2, 352 


$2, 200 


$1, 846 
354 
575 
310 


$1, 800 


Defense support: 

Present program 

Proposed legisla- 


1, 143 


945 


865 










Subtotal 


3,495 


3, 145 


3,085 


2, 665 


International affairs and 

finance: 
Development loan fund. 
Technical cooperation: 

Present program 


114 


20 
136 


174 

103 

47 

266 
193 


625 
"""164 


Special and other assist- 
ance: 
Present program. 


341 


448 


"""486 












455 


604 


783 


1,275 






Total, mutual se- 


3,950 


3,749 


3,868 


' 3, 940 







February 3, 1958 



1 Compares with new obligational authority of $3,807 
million for 1957 and $2,764 million for 1958. 

Mutual security, military assistance. — The na- 
ture of military assistance varies by country and 
area, taking into account military need, techno- 
logical abilities, and division of defense respon- 
sibility among the United States and other coun- 
tries. Countries which have received military 
assistance maintain for the common defense of the 
free world the equivalent of 200 army divisions, 
and some 23,000 aircraft and 2,300 naval vessels. 
From 1950 through 1957 our assistance has aug- 
mented by about 17% the total defense expendi- 
tures of these countries. 



175 



In Europe, this assistance is programed accord- 
ing to the defensive strategy for the whole North 
Atlantic Treaty Organization. 

Military assistance for certain other countries, 
particularly in the Middle East and Asia, will con- 
tinue to give special emphasis to the threat of in- 
ternal subversion while also contributing to the 
deterrence of foreign attack. 

In addition to missiles and other advanced 
weapons, the military assistance program provides 
for necessary conventional equipment, supplies, 
construction, and training for ground, sea, and air 
defense of friendly countries. 

Continuing efforts are being made to maintain 
the forces needed for international defense pur- 
poses at the lowest possible cost. The strength of 
forces in assisted countries has been and will con- 
tinue to be reviewed to insure that our support is 
related to current military requirements and tech- 
nology. We are financing military equipment 
wherever possible on a basis of sales for cash and 
credit rather than by grants. 

Recommended new obligational authority for 
military assistance in the fiscal year 1959 is 
$1,800 million. To fulfill probable needs growing 
out of agreements at the recent NATO meetings, 
an additional amount of up to $200 million for 
procurement of more missiles and other new equip- 
ment is covered by the allowance for proposed 
legislation and contingencies for the fiscal year 

1958. Expenditures for military assistance in 

1959, which will be made primarily from obliga- 
tional authority enacted in previous years, are 
estimated to be $2,200 million, the same amount 
estimated for 1958. 

I firmly believe that the current United States 
outlay for protection would have to be substan- 
tially larger were it not for the military assistance 
program which enables other countries to con- 
tribute more to collective defense. Without our 
military assistance program the same degree of 
protection might not be obtainable at any cost. 

Mutual security, defense support. — Our military 
assistance is extended to many countries that are 
maintaining collective defense forces beyond their 
economic means. Therefore, we supply economic 
assistance under the appropriations for defense 
support so that these countries can provide for 
their defense forces and at the same time main- 
tain economic and political stability. 



New obligational authority of $865 million is 
requested for defense support. Expenditures in 
1959 are estimated at $8S5 million or $60 million 
below the estimate for 1958. 

In determining these amounts, account has been 
taken of the most effective use of local currencies 
obtained as counterpart for assistance dollars and 
from sales of surplus United States farm products. 
The local currencies, which are in addition to 
dollar grants, are used to help channel the coun- 
tries' own economic resources to the most desirable 
objectives. However, these currencies cannot re- 
place the dollars needed for materials and equip- 
ment that must be imported, mainly from the 
United States. 

International Affairs and Finance 

The major objective of our international eco- 
nomic policies and programs is to help build the 
free world's economic strength in the interest of 
mutual well-being and the maintenance of peace. 
Expanded production, improved efficiency, and 
greater economic progress for ourselves and other 
peoples of the free world will depend to a con- 
siderable extent on an increase in the flow of inter- 
national trade and investment. To aid in this 
worldwide objective and at the same time to ex- 
pand our markets abroad and thus create new 
jobs at home, I am recommending the extension 
with broadened authority of the Reciprocal Trade 
Agreements program. I am also recommending 
an expansion of the lending authority of the Ex- 
port-Import Bank, an increase in new obligational 
authority for developmental and technical assist- 
ance under the mutual security program, and the 
authorization of funds to assist in the completion 
of the Inter- American Highway. 

International affairs and finance are estimated 
to require $1.3 billion of expenditures in the fiscal 
year 1959, $156 million less than in 1958. The de- 
cline reflects primarily the fact that in 1958 the 
Export-Import Bank has made a substantial dis- 
bursement under a previously authorized loan to 
the United Kingdom. 

Reciprocal trade. — In order to pay for imports 
of goods and services from the United States 
other countries must be able to export to us. 



Progress for them and for us will receive its ! ® m ib 



greatest impetus by development of the most 
favorable fields of production coupled with a 
gradual but steady reduction of unjustifiable 

Department of State Bulletin 



ft ■ 



Otto.., 



far, 



fees] 
f S 3, 



International Affairs and Finance 
[Fiscal years. In millions] 







Budget expenditures 


Recom- 
mended 


iKfet Y 








new obli- 




Program or agency 


1957 


1958 


1959 


gational 






actual 


esti- 


esti- 


authority 








mate 


mate 


for 1959 














its ■■ 


Economic and technical 












development: 










Export-Import Bank___ 


-$100 


$393 


$51 




l»?:r; 


Nonmilitary mutual 










security program: 










niiot : 


Development loan 










'1 equii 


fund 




20 


174 


$625 


Technical coopera- 










torn : 


tion: 












Present program... 
Proposed legisla- 


114 


136 


103 






















47 


164 




Special and other 










assistance: 










d (, 


Present program... 
Proposed legisla- 


341 


448 


266 












rnildtl 


tion 






193 


486 




Other: 










teres! 


Present programs 










•i pes 


(primarily reim- 










bursement to De- 










;i'j. a: 


partment of Agri- 










miiotb 


culture for com- 
modities shipped 










o a co: 


abroad) 


187 


136 


139 


9 


(ifilltf 


Proposed legislation 
(Inter-American 










1 HI 11: 


Highway) 








10 


ne to (! 


Foreign information and 
exchange activities: 


















'ite ii( 


United States Informa- 










tfensit 


tion Agency 


108 


100 


108 


110 


Department of State, 










al Trad 


exchange of persons.. 


18 


26 


21 


21 


illicit 


President's special in- 










ternational program.. 


7 


15 


11 


8 


f.yEs 


Conduct of foreign affairs: 










ioiiot 


Department of State 

Other 


155 
2 


192 
2 


199 
2 


181 

2 


■;i! id 

, and ti 


Total 




832 


1,468 


1,312 


1 1,615 






ii;pte 


1 Compares with new obligational authority of $1,131 




million for 1957 and $3,292 million (including $2 billion of 


,tiL3K 

tl.L'fi.-- 

The (If 


anticipated supplemental authorizations for Export-Im- 
port Bank) for 1958. 


itrade barriers. We welcome the proposed Euro- 


r.tisl J: 
j loan ' : 


pean common market and free trade area as steps 


toward these broad goals. 


We live in a world of economic, no less than 


political, interdependence. As the greatest pro- 


fiinpori 


ducer, consumer, and exporter in the world, the 


United States must be a dependable market for 


eJ ?:s' r 


foreign goods if mutually beneficial trade is to 


it to ' ;: 


grow and prosper. The Reciprocal Trade Agree- 


(ceive j 


ments Act should be extended for 5 years beyond 


tie t' ,: 
i «iti 

toils' 


its expiration date of June 30, 1958, with certain 


new authority for the President to negotiate 


gradual and selective tariff reductions. Legisla- 


,a*' 


February 3, 1958 



tion should also be enacted to authorize United 
States membership in the Organization for Trade 
Cooperation to improve the administrative effi- 
ciency of our trade agreements with other 
countries. To provide coordinated Cabinet level 
direction of this program at home, I have recently 
established the Trade Policy Committee under 
the chairmanship of the Secretary of Commerce. 

In addition, I recommend that the Congress 
delete a rider which in past years has been at- 
tached to the Defense Appropriation Act and 
which virtually prohibits normal competitive 
bidding by other countries on many defense con- 
tracts. The rider is clearly inconsistent with 
policies designed to expand international trade 
and makes our heavy defense costs even more 
burdensome. 

Export-Import Bank.— The Export-Import 
Bank has had a steadily increasing role in pro- 
moting United States exports and imports and 
in financing economic development projects 
abroad through loans to United States and 
foreign firms and to foreign countries. Since the 
Bank requires repayment in dollars, its loans for 
economic development are made for projects that 
will earn or save dollars for the borrowing coun- 
try, or for projects in countries with adequate 
prospects of earning dollars from other sources. 
It is now estimated that the lending authority pro- 
vided the Bank in 1955 will be entirely committed 
sometime during 1959. To assure continuity in 
the Bank's operation and to provide for possible 
emergencies, I am requesting $2 billion in new 
obligational authority to expand the Bank's 
lending capacity. This new authorization should 
be made available before the end of the current 
fiscal year. 

Nonmilitary mutual security. — -While strength- 
ened trade legislation and additional lending 
authority for the Export-Import Bank will help 
substantially in promoting world commerce and 
economic development, these actions are insuffi- 
cient in themselves to accomplish our inter- 
national objectives. 

Few national desires are stronger today than 
the wish of the peoples of less developed coun- 
tries to improve their living standards. It is our 
national policy to encourage and assist this as- 
piration. As a country blessed with great natural 
resources, modern industry, and high produc- 
tivity, we recognize the compelling humanitarian 



177 



reasons for helping less fortunate people abroad 
as we help them at home. 

The progress of some less developed countries 
will be dangerously slow without outside help, 
despite their best efforts. The people of these 
countries are conscious of the technological ad- 
vances made and the levels of living enjoyed be- 
yond their borders, and are understandably 
impatient for similar achievements. If Western 
help is unavailable or inadequate, these countries 
may become dependent upon the Communist bloc. 
We are concerned that they strengthen their in- 
dependence and find prospects for improved liv- 
ing standards within a free society. It is my 
earnest hope that other free governments will 
also enlarge their efforts in advancing the de- 
velopment, trade, and well-being of less developed 
countries. 

In addition, without economic progress, mili- 
tary security may prove illusory. People who see 
little improvement in their economic conditions 
may question the value of the freedom that our 
mutual defense efforts are intended to preserve. 
The events of the cold war reemphasize the im- 
portance of our helping to insure that peoples of 
less developed countries have faith in their future. 

For these various reasons, it is critically neces- 
sary to carry forward our development loans, 
technical assistance, and other special types of 
assistance under the mutual security program. 

Mutual security, development loan fund. — In 
many cases, urgent needs for economic develop- 
ment in less developed countries cannot be fi- 
nanced by the Export-Import Bank or by other 
sources such as the International Bank for 
Eeconstruction and Development or private in- 
stitutions. To meet such needs for financing 
economically and technically sound projects, the 
development loan fund was authorized in the 
Mutual Security Act of 1957. Loans from this 
fund may be made on less stringent terms than 
Export-Import Bank or other such loans, with 
repayments in local currencies as well as dollars. 

Projects are now being considered and negoti- 
ations are being started with a number of coun- 
tries which will result in the commitment of an 
appreciable volume of loans by the end of the 
fiscal year 1958. To make possible the continu- 
ation and expansion of such development loans, I 
am requesting provision of $625 million in new 



178 



obligational authority for 1959, as authorized by 
the Congress in basic legislation last year. 

Mutual security, technical cooperation. — Be- 
cause of technical assistance extended under the 
mutual security program, millions of people to- 
day are better off than before and productivity 
has been significantly increased. For example, 
disease has been lessened in many countries as 
people have been taught water purification tech- 
niques. Illiteracy has been greatly reduced. 
Farmers in many countries have learned how to 



; 

?::. '■ 
tail] ; 
Wiois. 

I: 



I 

viv 



diversify crops and improve livestock strains. 

This budget requests $164 million of new obli- 
gational authority in 1959 to carry forward the 
United States program of technical assistance 
and also to provide for our joining with other 
nations to increase the financial resources of the 
United Nations program of technical assistance. 
This increase will help to broaden the scope of 
multilateral cooperation through a new program 
for regional surveys of resources and for regional i 
training institutes approved last December by the I 
United Nations General Assembly. I am con- I 
vinced of the need for our own technical assist- 
ance program and I am equally convinced of the 
need for multilateral technical assistance pro- i 
grams, in which our contribution is multiplied by 
the funds and experts of many nations. 

Mutual security, special and other assistance. — 
The budget for the mutual security program pro- 
vides for certain additional special activities, such 
as support vital to the stability of a number of 
friendly countries not covered by other categories 
of aid, our contributions to the United Nations 
International Children's Fund, and our refugee 
programs. 

It is obviously impossible to predict today all 
of the problems which the free world will face 
during 1959. In order to help meet the emergen- 
cies that experience shows inevitably arise, I be- 
lieve it necessary that a special contingency fund 
again be provided in the mutual security 
appropriation. For this purpose, $200 million is< 
recommended for 1959. 

Diplomacy, informational and cultural pro- 
grams, and exchange of persons. — Greater under- 
standing among nations, on a people-to-people as 



ai.V. 
it, ai 

mm 8 



:: ;: i ■ 
Ik, I 



" 

] 

tior '. • | 

to ;t 



well as a government-to-government basis, is a 
necessary part of our efforts to remove the mis- 
understandings that hinder disarmament, the 
building of a safeguarded peace, and the strength- 

Department of State Bulletin 



•Hffieat. 



;;: rein: 



• tf.lay 



ening of freedom. It is especially important that 
Americans and peoples who have recently gained, 
or are approaching, independence come to ap- 
preciate each other's problems and aspirations. It 
is similarly important that Americans and East- 
ern Europeans renew the contacts that once were 
an important strand in friendly international re- 
lations. 

The budget recommends $183 million in new ob- 
ligational authority in 1959 for the conduct of 
foreign affairs, primarily for the operation of the 
Department of State. This amount includes pro- 
vision for additional foreign service posts in Af- 
rica and for the strengthening of consular, 
economic, and political work in the Middle East 
and the Far East. New obligational authority re- 
quested for the United States Information Agen- 
cy, and for exchange of persons, cultural pre- 
sentations, and international trade fairs amounts 
to $139 million; within this total, there is pro- 
vision for more exchanges of leaders, scientists, 
and students with Eastern Europe and other areas. 

I wish here to call attention specifically to the 
need for a supplemental appropriation for the 
Brussels Fair. Congressional action on this im- 
portant activity last year left United States par- 
ticipation badly hampered in comparison with 
programs of other nations, especially the Soviet 
Union. I consider this item of particular impor- 
tance to our country and urge the Congress to ex- 
pedite its approval. 



Americans have a tradition of uniting in action 
'when their freedoms and welfare are threatened. 
We do not shirk our clear responsibilities when 
1 f: new challenges arise. 

I feel confident that this budget expresses the 
arise,! b way in which the American people will want to 
jer/y fa respond to the promises and dangers of the dawn- 
; ; scuff ing age of space conquest. New dimensions must 
■ million be added to our defenses, and outmoded activities 
must be discarded. Closer international coopera- 
i jfl tion is vital in a world where great distances are 
-jnji losing their meaning. As we devote more of our 
, lWO ple) Bfforts and resources to these compelling tasks, we 
y & is will have to limit our demands for less essential 
,l, f mi services and benefits provided by the Federal Gov- 



ernment. 

Our response must rise above personal selfish- 



ness, above sectional interests, above political par- 
tisanship. The goal of lasting peace with justice, 
difficult though it may be to achieve, is worth all 
of our efforts. "We must make the necessary sac- 
rifices to attain it. Our own people demand it and 
the nations of the world look to us for leadership. 
Dwight D. Eisenhower. 
January 13, 1958. 



Saint Lawrence Seaway Celebration 

A PROCLAMATION 1 

Whereas the completion of the Saint Lawrence Seaway 
in 1959 will mark the inauguration of a new era of direct 
transoceanic water-borne commerce between inland ports 
of the Great Lakes of North America and the far-flung 
ports of the world ; and 

Whereas, from January 1 to December 31, 1959, the 
City of Chicago in the State of Illinois will celebrate the 
completion of the Saint Lawrence Seaway inviting atten- 
tion to the importance of the Seaway and the North 
American ports that it will serve ; 

Whereas the program of the Saint Lawrence Seaway 
Celebration at Chicago will include the Pan American 
Games of 1959, a Festival of the Americas, and an Inter- 
national Fair and Exposition which have for their purpose 
the promotion of international understanding and the 
display of the products of the world ; and 

Whereas the Congress, by a joint resolution approved 
August 30, 1957, 71 Stat. 512, authorized the President of 
the United States, by proclamation or in such other manner 
as he might deem proper, to invite the States of the Union 
and foreign countries to participate in the Saint Lawrence 
Seaway Celebration to be held at Chicago during 1959 for 
the purpose of promoting foreign and domestic commerce 
and fostering good will among nations : 

Now, therefore, I, Dwight D. Eisenhower, President 
of the United States of America, do hereby invite the 
States of the Union and foreign countries to participate in 
the programs of the Saint Lawrence Seaway Celebration 
to be held at Chicago, Illinois, in 1959. 

In witness whereof, I have hereunto set my hand and 
caused the Seal of the United States of America to be 
affixed. 

Done at the City of Washington this fifteenth day of 

January in the year of our Lord nineteen hun- 

[seal] dred and fifty-eight, and of the Independence 

of the United States of America the one hundred 

and eighty-second. 



/j U^y-L^tZjU-I^L^ /Cw^s^ 



By the President: 
John Foster Dulles 
Secretary of State 



1 No. 3217 ; 23 Fed. Rcy. 379. 



|jte 0, If ebruary 3, 7958 



179 



Communism in the Americas 



by Roy R. Rubottom, Jr. 

Assistant Secretary for Inter-American Affairs 1 






Today I want to talk to you about the role of 
communism in the Americas. It is a thoroughly 
sinister role. It is the same role in North Amer- 
ica, Central America, and South America, or else- 
where in the world. It is unchanged. It may 
have taken on a new coloration, protective to the 
Communists themselves but always destructive 
to the rest of us. 

This role involves both aspects of the interna- 
tional Communist movement, the ideology of the 
party line held out by Communists and, even 
worse, their subversive intervention in the inter- 
nal affairs of other states and peoples. This, of 
course, is utterly contrary to our way of life in 
the Americas and will never succeed. The basic 
task of Communist Parties all over the world in 
trying to carry out both aspects is, in the words 
of Lenin, to combine the strictest loyalty to the 
ideas of communism with an ability to make all 
the necessary practical compromises. In the 
thirties, with the Communist Parties then only 
small minorities, one of the compromises which 
was developed to establish contact with the 
masses, either through collaboration with the 
leaders of non-Communist organizations or 
through appealing to the masses over the heads 
of their leaders, was the so-called "popular 
front." 

Especially in times when Communists wish to 
lull others into complacency and relaxation such 
as the present, the "popular front" tactic is ap- 
plied through the development and infiltration of 



1 Address made before a joint meeting of the Miami- 
*Dade County Chamber of Commerce and the United 
Nations Association of Greater Miami at Miami, Fla., 
on Jan. 14 (press release 10 dated Jan. 13). 



180 



organizations, often having objectives or appeals 
which appear to coincide with the legitimate as- 
pirations of a group — the technique of the sopo- 
rific — which are then used to achieve Communist 
objectives. In this way hundreds of thousands 
of people are made the innocent tools of the Com- 
munist conspiracy. We have had this problem 
of "fronts" in the United States; it is particu- 
larly serious in Latin America. 

The Soviets now control 13 major international 
front organizations, each with dozens of subsid- 
iary organizations all over the world. Each is 
a huge "interlocking directorate" linking the 
Kremlin to a vast network of national organi- 
zations operated by local Communists or dupes. 
All have a common purpose — to draw as many 
social groups as possible closer to communism 
and to make amenable to them the global aims 
of the Communist Party of the Soviet Union. 

These fronts are divided, one from another, 
on functional lines so that, despite their similar 
operational patterns, they can "offer all things to 
all men." There is a front for "peace," perhaps 
the cruelest of all, since all mankind yearns for 
that; there are others for youth, women, labor, in- 
ternational traders, journalists, intellectuals, and 
professionals. Each has a theme designed to at- 
tract a following from the particular target 
group. They have several things in common: 
They are all controlled at the top by Communists, 
directly or indirectly; they engage in vast prop- 
aganda activities; today they emphasize "na- 
tional liberation" and, particularly in Latin 
America, "economic independence." Through 
these fronts, and with Soviet financial support 
when required, local, national, and international 



UDderi :.;• 
Jv 

bid 

•u 

offers of si( 
ib Brazil 

fflitr ;,,.., 

Coj.:., 

UllL- 

h 

pUSfs ,v. 



re: 



Eli; 



Mddle4 
P, 

N,ooo, 



Department of State Bulletin 



neetings are organized; travel to the Communist 
linterland is arranged and financed ; selected can- 
lidates are trained and indoctrinated; and an in- 
'inite variety of propaganda publications in all 
anguages is distributed. 

- Sometimes some of the machinations of the 
Soviet "front men" in Latin America get unex- 
pected publicity. You have undoubtedly read, as 
have recently, about how the number-one Com- 
nunist labor leader of Latin America, Vicente 
ombardo Toledano of Mexico, has been busy de- 
lying the authenticity of a letter attributed to 
dm by the Government of Ecuador. In the let- 
described as a copy of a circular he is sup- 
>osed to have sent to all affiliates of the Com- 
nunist-dominated union he heads — the Confedera- 
ion of Latin American Workers — Lombardo 
Toledano calls on Ids lieutenants to furnish him 
vith the answers to a long list of questions bear- 
ng on the military and general security status of 
heir respective countries to be used in connection 
vith a Communist offensive in Latin America in 
958. To those of us conversant with Communist 
echniques and tactics, it is not surprising to find 
i foreign Communist leader calling on his various 
inderlings to betray their own countries. 

Just a week ago the Associated Press carried 
i dispatch from Kio de Janeiro concerning a re- 
port prepared by the Brazilian Foreign Office. 
According to the A. P., the Brazilian Govern- 
nent has copies of minutes of meetings held in 
Moscow last November by Latin American Com- 
nunist leaders when it was decided to use Soviet 
»ffers of aid to Brazil as part of a campaign to 
nake Brazil a spearhead of Latin American hos- 
ility to the United States. 
Behind the "front" organizations we find the 
Wmunist Party proper. Nominally, the Com- 
nunist Party is legal in only five Latin American 
Republics — Argentina, Bolivia, Ecuador, Mexico, 
,nd Uruguay — but in almost all of them Com- 
nunists are trying to play their kind of sub- 
versive game. Party membership apparently 
ilar tar? rar i es f rom a f ew d ozen Communists in several of 
com* he Middle American countries to around 50,000 
oniEiiuiiS ind 80?000 ^ Brazil and Argentina, respectively. 
vast P r0 F Jrhe grand total has been calculated at little more 
han 200,000, but numbers do not necessarily de- 
k^cribe their influence. 

The Communists have both immediate and long- 
lal ;'#] -ange objectives in Latin America, as elsewhere. 
iternatioi 11 

ebruary 3, 7958 



>r :t[ip- 



the -« 



or kf. 



lobal ain 
: Union. 

a aiiotte 
eir iimil 

HI 5 

;," peril-! 
yearns f" 
i. labor, 
ictuals, an 
raedto 



Ultimately, of course, they would like to seize 
power and try to set up "popular democratic" 
regimes in which communism would reign. That 
being out of the question, they are attempting 
a gradual approach, minimizing their difference 
with the non-Communist left, playing clown their 
ties with international communism, and, in gen- 
eral, seeking to gain some degree of respectability 
and acceptance. In this, they have been notably 
unsuccessful. The Communists concentrate on 
trying to infiltrate as best they can into intel- 
lectual circles and also into key positions in gov- 
ernment, organized labor, student groups, and 
public-opinion media. They then attempt to 
sow the seeds of chaos, disunity, and other con- 
ditions designed to break down the normal demo- 
cratic functions. 

Appraisal of Forces Combating Communism 

In appraising communism's chances in the 
Americas, there are, it seems to me, certain funda- 
mental points to be recognized. I outline them, 
with the sober reminder that neither we nor our 
friends to the south can ever be complacent in the 
face of communism's eternal threat to man's 
freedom and welfare. 

The first and foremost point to remember is 
that the Communists by themselves represent no 
immediate threat to the Latin American coun- 
tries themselves nor to United States national 
security, for they are in no position anywhere in 
the hemisphere to gain power through legitimate 
means. This is not to say that, even though they 
are by themselves a minority, the Communists do 
not represent a constant danger. With their 
underground cadres ever alert to take advantage 
of popular discontent arising out of turbulent 
political conditions or widespread economic 
crisis, the Communist apparatus requires con- 
tinued vigilance. To gain power through the 
ballot, Communist agents masquerade as super- 
nationalists, hoping to penetrate behind the scenes 
where they can effectively work for a foreign 
principal. The example of the Arbenz regime's 
betrayal of national interests in favor of alien 
ideology and its subsequent overthrow at the 
hands of the very Guatemalan people it sought to 
defraud is too fresh in memory to be forgotten 
throughout the hemisphere. 

It was because of the events in Guatemala fol- 
lowing the election of President Arbenz that the 



181 



Tenth Inter- American Conference (the pro- 
Communist Foreign Minister of Guatemala dis- 
senting) approved at Caracas in March 1954 a 
resolution on the "Intervention of International 
Communism in the American Republics." 
Known as resolution 93, it declares that, if the 
international Connmmist movement should come 
to dominate the political institutions of any 
American state, that would be a threat to the 
sovereignty and political independence of us all, 
endangering the peace of America and calling 
for immediate consultations regarding appro- 
priate action to be taken. On a permanent basis, 
it further calls for continuing disclosures and 
exchanges of information between the various 
American Republics which would counteract the 
subversive activities of the international Com- 
munist conspiracy. 

In line with this resolution, there is a new 
vigilance and awareness on the part of virtually 
all the signatories to the so-called Caracas resolu- 
tion of the need to identify those who spread 
the propaganda or who travel in the interests of 
international communism. There is an awareness 
of the need to ascertain the source of their funds 
and the identity of their agents. Nevertheless, 
there is much more to be done as the Communist 
web of intrigue and subversion continues to spin 
itself out under ever-changing guises. 

The second encouraging factor I would em- 
phasize is that behind this shield of organized 
governmental anti-Communist effort stands an 
equally individual but nonetheless potent defense. 
I refer to the fact that atheistic communism is an 
anathema to the deeply religious Latin American 
people. For, if the continent to the south of us 
is blessed with a rich storehouse of still-buried 
raw materials, its inhabitants are endowed with 
a profound belief in God and the spiritual treas- 
ures of free men. I am convinced that those Latin 
Americans who enjoy personal liberty and social 
justice, along with others who still aspire to reach 
the eternal goals of all really democratic societies, 
will not sell their precious birthrights for a mess 
of Soviet totalitarian pottage, no matter how 
alluring its description or how deceptive its 
package. 

The third factor to be counted on to work 
against the Communist cause is the very nature of 
human intelligence, as keen and perceptive in the 
Americas as anywhere. The "cult of personality" 

182 



in the Soviet Union, theoretically banished after 
the end of Stalinism's bloody tyranny, again raises | 
its head on the shoulders of a Khrushchev, as the | 
Molotovs and Zhukovs suddenly fall at his feet. 
American public opinion was deeply shocked 
when the Soviet overlords crushed a valiant 
unarmed Hungarian people by brute force. It is 
to the everlasting credit of the peoples of America 
that their appointed representatives to the United 
Nations last month, in the name of human rights 
and the very dignity of man, sought to save the T 
lives of Hungarian freedom fighters arrested 
because they had sought to liberate their home- 
land from Communist oppression. Soviet propa- 
ganda boasts following the Sputnik launchings 
conveyed veiled military threats against the free 
world. These attempts at intimidation were not 
lost upon the American Republics. 

Symptomatic of this recognition in Latin 
America of the Communist danger was the forth- 
right order of the day issued last November 27, 
anniversary of Brazil's abortive Communist up- 
rising of 1935, by the Brazilian Minister of War, 
General Henrique Teixeira Lott. General Lott 
likened communism to a "venomous serpent seek- 
ing to poison all humanity," said its "materialistic 
and brutish philosophy" was repugnant to 
Brazilian sentiments, and reaffirmed "with con 
viction our decision to remain faithful to the 
sacred principles which govern the Brazilian 
nation." 

I could also cite here such recent public an 
nouncements as that of President Manuel Prado lit 
of Peru in favor of closer cooperation between 
the countries of Latin America and the North 



Latin -In 



If- 



dfgiees 

iter] 

ml I 

SOL.",-. 

3:. -' I 
BminjAi 

vi.:! •■■ 

id mom 



Atlantic Treaty Organization in the struggle* &!«':• 



against, as he very well put it, "Marxist im 
perialism"; or the address of President Jos< 
Maria Lemus of El Salvador in which he warned 
of the existence of a Communist threat aimed at 
gaining control of local labor unions and poli 
tical parties; or the newspaper interview ol| 
Brazilian Foreign Minister Jose Carlos dei 
Macedo Soares in which he said that, despite cul 
tural and sports missions and offers of economic rl, 
and technical assistance, the Soviet Union's !o 
attempts to divide Brazil from the United States let 
and to win new converts for its ideology in Latin ieii > 
America had achieved no noticeable success. 

The fourth point to be made in this summary lei 
review of basic forces working in the hemisphere by >. 

Department of State Bulletin 'tkros-y ; 



- 
- 






■ 
agab 

- 






against communism is the ever- increasing cultural 
exchange and cooperation between the various 
American Republics, based on century-old ties. 
Our official programs, important as they are, form 
only a small part of the overall picture. Of the 
Latin Americans who study abroad, over 75 per- 
pent come to the United States. As more of our 
tin American neighbors visit here as tourists, 
ore United States citizens are going to live in 
tin America, while Latin Americans, unre- 
ricted by quota visa regulations, are relatively 
to take up permanent residence in this country, 
f Spanish is becoming the second language of 
United States, so English is rapidly on its way 
o similar status in Latin America. As the Pres- 
ident's brother, Dr. Milton Eisenhower, has so 
succinctly pointed out: Fortunately, while there 
are wide variations in the types of institutions and 
degrees of democracy among the American nations, 
their peoples are all motivated by deep underlying 
spiritual forces. They desire independence; they 
want to live in peace and to work for rising eco- 
nomic, educational, and social levels. Such is our 
fTC common cultural heritage. Such are our com- 
:eral I mon aspirations. 

Mt r 

■- Growing Awareness in U.S. Business Community 

nmuut L e t us turn for a moment to the United States 
flitli o companies doing business in Latin America. More 
iful to ' and more they have come to realize that public re- 
Lzili lations is a vital part of the substance of their op- 
rations. They recognize that the American busi- 
ic li ness community abroad is just as much a target of 
nnel Pro the agents of international communism as is the 
an betwer United States Government itself. Communist 
the Nor agents seek to discredit American businessmen, to 
.,„,„, lisparage American products, to stir up criticism 
of American financial methods, to invite labor 



difficulties. Even though American industrial 
:oncerns abroad are in the vanguard of those who 



" i practice modern industrial relations, Communist 
at aimed; t g en ts are always trying to promote strikes or vio- 
and poi ence against them. It is reassuring to note 
-:'« greater awareness in the United States business 
Carlos i community of the need for their representatives to 
despite cj possess a breadth of culture and a perceptiveness 
( l econ omi which will enable them to quickly understand and 
rjjot ;o adjust themselves to the atmosphere in which 
gtjl ;hey are working abroad. Of equal value is an in- 
yj ©lligent curiosity and a human approach ex- 
through a genuine, sympathetic, and active 
„ interest in the welfare of the communities when 
, 1 1 ;hey are stationed. American private enterpris 

ai(0 ,}ebruary 3, 1958 



has much of which to be proud, including its role 
in the vanguard against communism in America 
and elsewhere. Indeed, its best reference is the 
high level of our own economy and the lasting con- 
tributions to other nations the world over which 
have flowed from our system of the "people's 
capitalism." 

If the foregoing are perhaps the most obvious 
factors successfully at work combating com- 
munism in Latin America, there is one rather new 
development which may well portend what could 
be a real revolutionary contribution on the side of 
democratic social betterment and civic progress 
in the hemisphere. You will recall that at the 
Buenos Aires Economic Conference last August 
Secretary of the Treasury Anderson raised the 
question as to whether excessive military expend- 
itures on the part of many Latin American Re- 
publics were not in fact draining their national 
resources and impeding highest living standards 
for their populations. 2 Now we recognize the 
need to maintain forces adequate to provide in- 
ternal security and for the mutual defense of the 
hemisphere. The problem for any country, of 
course, is to determine how much is necessary to 
spend for these purposes. It might be argued 
that unnecessary expenditures play into the hands 
of Communist propagandists. Conversely, there- 
fore, spending on productive private industrial 
capacity or public works would improve stand- 
ards of living, thereby helping to develop a fun- 
damental and lasting immunity to Communist 
subversion. Hemisphere reaction to Secretary 
Anderson's query has reflected, in my judg- 
ment, a widespread readiness to study this ques- 
tion further, and it is my hope that in 1958 some 
constructive action along these lines may be 
achieved. 

The most persuasive reason to question the 
need for large and expensive military estab- 
lishments arises out of the realization that in 
the Americas we have developed a hemispheric 
approach to security which is sealed in the Rio 
treaty. We have unanimously agreed that an 
attack on any one state would be considered as an 
attack on all. This concept of collective security 
has served as a pattern for the stren