Foreign Relations of the United States, 1955–1957, Near East: Jordan-Yemen, Volume XIII

244. Telegram From the Department of State to the Embassy in Saudi Arabia¹

Washington, August 8, 1956.

83. Embtel 46.² Department’s comments as follows:

1. We are surprised at Yusuf’s remark about Jewish influence. You may in your discretion when next you talk with Yusuf state that Department fully approves your earlier remarks. (Have you any idea of what Yusuf had in mind?)³

2. We are not willing agree at this stage release letters of offer covering $35 million reimbursable arms aid requested by SAG. We consider our action on this request an essential element of our bargaining capability in regard extension of DAF Agreement. Meanwhile we look upon 1951 agreement as having been extended without terminal date for period of negotiation.

3. We are working with other Government agencies on package offer which we believe may include construction new airport terminal Dhahran (at cost not exceeding $5 million) and a modest air training program. Inclusion of first item should not be construed as willingness to extend grant economic aid. If Department able make firm offer on airport terminal, this would be extent of our ability to give economic aid as element DAF offer.

4. We suggest no further reference be made to possibility our construction air terminal and providing air training program. While we may be in position make firm offer on both points we feel premature discussion will diminish appreciably Saudi receptivity later.

5. Department believes consultation with Hancock would be useful.⁴

6. If it is necessary to discuss any of the foregoing points with SAG and it appears an answer is expected you may respond as indicated above.

Dulles

1. Source: Department of State, Central Files, 611.86A/7–3156. Secret. The time of transmission is illegible on the source text. Drafted by Fritzlan and Newsom and approved by Allen.
2. Telegram 46 from Jidda, July 31, conveyed the highlights of a 21/2–hour conversation between Wadsworth and Yasin. The Ambassador informed the Department that Yasin had remarked that there was “Jewish influence” behind certain parts of the recent message the United States had given to the King. Yasin also noted that “legally” the Dhahran agreement had expired, yet the King had not asked the Americans to leave. As a result, Yasin continued, the United States should reciprocate by agreeing to ship the present order of $35 million in arms without demanding immediate payment. According to Wadsworth, discussion also touched on the possibilities of U.S. economic assistance, including the possible construction of an air terminal at Dhahran and a port at Damman. (Ibid.)
3. In a memorandum entitled “Comments on Deptel 83, August 8, re DAF Negotiations,” dated August 11 and drafted by Wadsworth, the Ambassador noted, inter alia, that Yasin’s remarks concerning Jewish influence are “typical of the man and should not cause surprise.” (Ibid., 711.56386A/8–1156) The memorandum was delivered to the Department by William Hancock who had recently returned from Saudi Arabia.
4. According to Wadsworth, both he and Yasin agreed that Hancock might be more useful if he returned to Washington to participate in talks concerning the U.S. preparation of a counterproposal—which Saud believed necessary. (Telegram 46)