CFM Files: Lot M–88: Box 152: SFM Documents 1–40
Draft of an Agreed Minute on East–West Trade1
New York, September 13, 1950.
- The mutual security interest of the Western Allies in the present world situation requires that their joint efforts to increase Western military preparedness be accompanied by the prompt adoption of effective export controls to limit the short-term striking power of the Soviet Bloc and to retard the development of its war potential in the longer term. This policy is consistent with the general objective of strengthening the West relative to the East.
- In addition to the embargo of exports of direct military significance (such as military end-products and the materials or equipment needed to produce them), it is essential to restrict exports to the Soviet Bloc of selected items, such as those on the US 1–B list, which are required in key industrial areas that contribute substantially to war potential.
- Strategic considerations should be predominant in selecting items for international export control, and the opinion of military and intelligence advisers should be sought if there is doubt concerning the strategic importance of items recommended for control.
- For items placed on International List II, strategic considerations require a reduction in the current rate of shipments to the Soviet Bloc. In cases where it is strategically important to restrict shipments of items to very small quantities (e.g., Group I of the US 1–B list), each participating country should allow only minimum “token” exports and should make known the economic necessity for permitting them in individual cases. In cases where quota control is feasible (e.g., Group II of the U.S. 1–B list), each country should limit shipments in this category on average to one-half of the average [Page 1286] 1947–1949 level and should provide information as to the extent of limitation being imposed. There should be exchange of information regarding exports of the foregoing and of any other items on the agreed list.
- Representatives of the three Governments in Paris will urge other participating countries to act promptly to expand the coverage and determine the levels and methods of international export control as indicated above. These actions should be reviewed as soon as sufficient time has passed to test the adequacy of the foregoing principles.