890F.24/7–545: Telegram

The Secretary of State to the Minister in Saudi Arabia ( Eddy )

187. Suggested text joint communication to Ibn Saud by American-Brit Ministers regarding commodity content Saudi Arabian 1945 joint supply program follows. Please wire comments.

Begin text. 1. The Government of the United States, of America and His Majesty’s Government in the United Kingdom have given careful consideration to the question of their assistance to the Saudi Arabian Government during 1945. They have come to the conclusion that this assistance can best be provided by making available certain quantities of essential supplies either on a subsidy basis (in the case of the U.K.) or on Lend-Lease terms (in the case of the U.S.) as was done last year.

2. As the Saudi Arabian Government has undoubtedly been aware, it has for some time been the intention of the two friendly governments to aid Saudi Arabia in this way during the current year. The delivery during the first half of 1945 of substantial quantities of tires, trucks and cereals, in addition to certain remaining balances which the two governments agreed to deliver as part of their assistance with respect to the year 1944, has been evidence of their intention to continue this program during 1945.

3. To enable the Saudi Arabian Government to plot its financial course and to plan and budget its future expenditures with full knowledge of the assistance it can expect from the U.S. and the U.K. Governments during 1945, the two governments now wish to inform the Saudi Arabian Government that they propose to deliver, in addition to supplies delivered in 1945 in fulfillment of the 1944 joint supply program as set forth in their communications of July 30 and September 18, 1944, the following supplies in respect to the entire year 1945:

Item Quantity
a. Cereals 50,000 tons
b. Textiles 6,871,000 yards
c. Tires 8,500 units
d. Automotive replacement parts for trucks and cars of U.S. Manufacture Requirements of government owned trucks and cars; estimated value, $114,000
e. Sugar 3,000 tons
f. Tea 120 tons
g. Expenses of diplomatic missions £120,000 (sterling)

As in 1944, the contributions of the U.S. and U.K. governments to this 1945 joint supply program, which it is estimated will cost $10,000,000 (£2,500,000), will be of equal value.

5. It should be understood that wartime supply and shipping stringencies may make it impossible to deliver all of the commodities listed above in full quantity before December 31, 1945, but the two [Page 922] governments will endeavor to make full deliveries by this date, and to the extent that this cannot be done will endeavor to complete deliveries as early in 1946 as possible. It is planned to time deliveries so as to keep a reasonable supply of the foodstuffs contemplated in this program on hand in Saudi Arabia this year if possible.

6. The assistance provided by the joint supply program set forth above does not preclude either of the two governments, individually, from furnishing further aid to the Saudi Arabian government by making available additional commodities or by assisting in connection with particular activities or projects. Any assistance provided outside the 1945 joint supply program will be the subject of separate communications to the Saudi Arabian Government. End text.

Brit have sent this text to London for discussion there and in Cairo.

Do not deliver this to King or SA Govt until informed that Lend-Lease budget has been passed.

Sent Jidda repeated Cairo via Diplomatic pouch.

Byrnes