700.00(S)/4–1350: Circular telegram

The Secretary of State to Certain Diplomatic Offices 1

top secret

Infotel. At recent Atlantic Pact meetings2 The Hague important first steps were taken with view to moving forward far as possible on both military and financial planning fronts. On military side necessary instructions have been given to obtain heretofore unavailable basic data. Regional Planning groups have been ordered compile net equipment deficiencies for scheduled 1951 forces and communicate these to Military Production and Supply Board for costing and recommendations as to production. Individual countries have been requested to supply same info for their national forces directly to their own reps on Military Production and Supply Board. Request was sent to Finance Mins to study immed available capabilities for additional military expenditures. On financial side Finance Mins sent request to [Page 50] Finance Committee for detailed estimate of finances, setting forth priorities requested for defense of North Atlantic countries. While they did not commit themselves as to possibilities additional defense expenditures, general disagreement at meeting with Cripps3 attitude of “economy and finance first” clearly indicated recognition that additional financial effort for military purposes was necessary but without any implication that Finance Mins would be obliged to meet whatever total might be supplied by military planners. At meeting there appeared be general desire to de-emphasize slightly econ recovery with corresponding slightly greater emphasis on strictly mil security. France and Italy gave strong support to Harriman’s statement that Finance Mins had not yet really faced problem of financing strategically adequate defense plan, with implication that they were ready to face consequences. As regards UK, sharp contrast was apparent between attitudes of Cripps who gave absolute priority to econ recovery and favored establishment financial ceiling for mil planning and that of Defense Min Shinwell4 who placed mil preparedness and econ recovery on same basis. In view Norway’s courageous record on Atlantic Pact, Norwegian Defense Min Hauge’s5 extreme caution was disappointing. At Defense Committee meeting he alone followed line somewhat similar to that of Cripps.

Acheson
  1. Sent to Brussels, Copenhagen, The Hague, Lisbon, London, Moscow, Oslo, Paris, and Rome.
  2. Meetings of the Defense Committee, the Military Committee, and the MPSB. See circular telegram, March 10, p. 28.
  3. Sir Stafford Cripps, British Chancellor of the Exchequer.
  4. Emanuel Shinwell, British Minister of Defense.
  5. Jens Chr. Hauge.