460.509/7–1151: Telegram
The Ambassador in the United Kingdom (Gifford) to the Secretary of State
priority
217. Verbatim text. Excon. From Linder. Ref Embtel 139, July 8, rptd Paris 501 and Deptel 6286 June 30, rptd Paris 7218.2
Fol is Tri drafting group text of “directive for the disposal and treatment of items on Intl List II” which we expect will be approved later today by Tri working group and eventually by heads of dels for submission to govts. USDel comments in separate tel.3
Begin Text.
A. General principles.
1. Exports to Sov bloc of items on List II shld be limited with full regard to strategic importance of item and to objective of preventing any increase in Sov war potential, it being understood that strategic character these items is directly related to quantities which may be exported to Sov bloc. (This reaffirms principles already agreed in COCOM.)
2. Exports of List II goods shld not exceed the minimum quantities which exporting country finds to be required in order to ensure continued importation from Sov bloc of goods which are essential to its basic economy.
B. Procedure.
1. Any items on List II which on basis of latest info available meet agreed embargo criteria (Annex l)1 will be placed on List II.
2. Any items on List II which on basis of latest info available do not meet criteria agreed for List II (Annex 1) will be placed on List III for continued exchange of info and prevention of excessive shipments.
3. Items remaining on List II thereafter, or subsequently placed on List II, will be treated as fols:
- (a)
- Quantitative limits will be set for individual items wherever available info permits a reasonably accurate and defensible judgment from security viewpoint. These limits will be apportioned among PC’s in relation to their exports to Sov bloc in the postwar period.
- (b)
- In accordance with existing practice, where it is agreed that the item may be comparable in strategic importance to items already on List I, no exports will be permitted until strategic rating of item may be clarified.
- (c)
- Where it is agreed that recent exports have been above the estimated critical level to such an extent that any further exports in near future can reasonably be expected to contribute directly to an [Page 1147] increase in war potential of Sov bloc, no exports will be permitted until new decision has been made.
- (d)
- Where latest available info does not permit agreement on reasonably accurate and defensible quantitative limits from a security viewpoint, the items will be controlled with full regard to their strategic importance, as revealed by discussion in COCOM, and in keeping with principle that exports will be permitted only to extent required in order obtain imports from Sov bloc which are essential to sustain basic economy and promote defense effort. Exports of these items will not be permitted for purpose of maintaining or developing export markets in Sov bloc or for similar purposes. Where trade agrmts exist governing exchange of goods between particular countries, exports of these items will not be permitted outside framework of trade agrmts, except in case of officially-approved barter or compensation arrangements.
4. Quantitative limits may be revised or reapportioned among PC’s by agreement in COCOM.
5. Exports by any country in excess of limits agreed shall only be permitted in accordance with principles governing exceptions to security controls as set out in COCOM document number (blank).
6. Each govt will submit to COCOM, in addition to monthly statistics on all List II exports in accordance with existing arrangements, a semi-annual statement setting forth export policies which it is following with respect to individual List II items in its trade with individual countries of Sov bloc. Any major changes in export policies will be reported without delay.
End Text.
Annex 1 will contain criteria for Lists I and II as already agreed in COCOM. COCOM doc referred to in para 5 will be Tri proposal on exceptions, reported in separate tel.4
Sent Department 217, repeated information Paris 72. [Linder.]