No. 780

740.5/6–1451: Telegram

The United States Deputy Representative on the North Atlantic Council ( Spofford) to the Secretary of State 1

[Extract]
secret
priority

Depto 1123. Deputies 47th mtg June 13.

. . . . . . .

2. Began discussion econ conditions USSR. Fr found industrial potential increasing and thought econ planning indicated preparation for war. Commented on continuing dispersal of industry despite econ disadvantages, UK emphasized wealth of natural resources, self-sufficiency of economy, and growing industrial capacity although still far below western levels. Transport generally considered greatest weakness. UK and Neth emphasized steady improvement in industry, and Ital pointed out production and consumption levels generally above 1940. Fr noted standards of living supported by imports from satellites.

UK said collectivization, which largely completed 1950, and amalgamation, which reduced number of collectives by half last year, and establishment agri towns have as first purpose creation of agricultural proletariat at all cost. Fr and Neth expressed similar views. Neth felt pressure recently relaxed because of peasant resistance.

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WG to compare detailed info and deps discussion to be resumed next mtg.

3. UK circulated reply to UN on uniting for peace.

4. Next mtg June 19.

Spofford
  1. Repeated to all the other NATO capitals and to Frankfurt, Heidelberg, and Wiesbaden.