After the meeting this morning, Colonel Byroade sought me out to hand me the
attached memorandum which, you will note, contains a suggestion that General
Marshall be apprised of its contents before the meeting of the Committee of
Two82 on Monday, November 3.
[Annex]
Memorandum by Brigadier General C. V. R. Schuyler
83
of the Department of the Army, to the Under Secretary
of the Army (Draper)
[Washington,] 31 October 1947.
Subject: Transfer of Munitions to the Chinese.
In light of the recent increased concern on the Secretarial level over
the problem of the transfer of munitions to the Chinese, it is felt that
complete understanding should govern further considerations of the
disposition of surplus munitions in the Pacific, including the
“dangerous and unstable” factor.
[Page 903]
Excluding the Philippines, where current negotiations with that Republic
entail disposition of ammunition surpluses therein, there is an
estimated potential surplus of over 100,000 long tons of air and ground
ammunition in the Pacific. In the Marianas, there exists an estimated
surplus of 78,000 tons of bombs ranging in size from 100# to 2000#; an
undetermined quantity of 50 cal. ammunition is available with the extent
of ground ammunition also unknown. Ammunition surpluses elsewhere in the
Pacific and excluding the Philippines would not, in all probability,
exceed 50,000 tons. Undoubtedly, these stocks are somewhat unbalanced.
Considerable time, funds and personnel would have to be expended to make
a complete inventory. Conversely, should transfer of title as a future
course of action continue to be precluded, considerable funds and
personnel will also be required for the Army to dispose properly of
these stocks. Short of disposition by surplus declarations, the most
appropriate methods of liquidating these stocks would be by controlled
detonation, burning or dumping at sea. As a matter of fact, Pacific
overseas commanders are now disposing of ammunition surpluses in this
manner on a scale limited only by their meager capabilities.
The disposition of “dangerous and unstable” ammunition is governed by
Army Technical Regulations. These provide in general for the appropriate
certification by the local commanding officer as to quantity, location
and condition, recommended action and, normally, three successive
indorsements approving the action. Accompanying the report is a
statement by an officer witnessing the destruction which serves as the
property voucher completing the transaction. In cases, however, where
the stocks are extremely hazardous to life and property, the commander
on the spot may order immediate destruction and approve his own
action.
Any “abandonment” of “dangerous and unstable” ammunition is without
precedent in the Army and, it is feared, might lead to grave
repercussions. Moreover, it is felt that declaring ammunition “dangerous
and unstable” within range of the Chinese would, in effect, compound an
indefensible subterfuge. Army representatives would be required to act
against their better judgment and, in fact, their conscience in
compliance with the spirit of the requirement. In addition, some densely
populated port like Shanghai might become exposed to the risk of a
catastrophic explosion with the onus of the responsibility squarely on
the United States, and specifically on the Army. The Department of the
Army cannot concur in any such arrangements. The issue is not concerned
with the condition of the ammunition but rather with the principle of
transfer of usable ammunition to the Chinese. No less unsavory, but with
air of legality surrounding it,
[Page 904]
would be the negotiation by the FLC of a contract with the Chinese
providing for demilitarization by the Chinese of all ammunition
surpluses transferred to them.
Without additional enabling legislation, there exists no legal means
other than the Surplus Property Act by which the Army can transfer
ammunition to the Chinese through governmental channels. Under that Act,
the most expedient method would be a supplemental agreement to the
existing Bulk Sale Contract with China permitting the transfer of
munitions. Similar arrangements could be applied to the 8⅓ Group
program. FLC could also be legally empowered to write new contracts
specifically for the sale of munitions.
Chinese procurement through American industry of a limited amount of 50
cal ammunition has motivated the application by the Army, with the
sanction of the Department of State, of Public Law 703 which provides
for the exchange with a manufacturer of obsolescent or surplus etc.
munitions for other munitions of which there is a shortage.
Implementation has not yet reached the determination of time and place
of transfer since approval was only granted on 20 October. This method
of supply is, of course, limited by the financial capabilities of the
Chinese National Government.
The Department of the Army stands ready and willing, within the limits of
its capabilities and legal authority, to assist in the implementation of
programs of military assistance to the Chinese. It is felt that
ammunition transfer considerations at this time, pending development of
an overall policy toward China, should only include lifting of
restrictions on transfer of military type items as could be accomplished
by the FLC and continued facilitating of Chinese procurement through
American industry.
P&O Recommends
In view of the continued concern on high levels over the problem of the
transfer of munitions to the Chinese and to foster a more complete
understanding among the Secretaries that:
-
a.
- You present the above considerations to Mr. Lovett today with
the request that it be brought to the attention of the Secretary
of State prior to the meeting of the Secretaries on 3
November.
-
b.
- Unless the Secretary of State has indicated otherwise by 3
November, that the above be presented at the aforementioned
meeting of the Secretaries.
Coordination
General Lutes,84 SS&P.
