460.509/5–2651: Telegram
The Secretary of State to the Embassy in Indonesia
1298. Deptcirtel 734 May 24.1 Dept believes that, under Kem Amendment only two obvious courses action open: 1) stop all types econ and fin asst to Indo; 2) attempt obtain NSC exception for Indo in US security interest.
On assumption that amendment will become law, Dept wld appreciate your views on: 1) consequences of fol either alternative above; 2) course we shld pursue; 3) our tentative estimate that: a) Indo is not at this time willing to cut off its current trade with Soviet bloc (particularly in view its trade agreements with Poland, Czechoslovakia and Hungary); b) even if Indo had no Soviet bloc and China trade or in event it willing cut off such trade, it wld be unable to make certification required particularly as wld have to be made matter public knowledge in NSC reports to Congress; c) Indo wld probably be reluctant to be only exception, or one of small nr of exceptions, but it might not have same feeling if member large nr countries for which NSC issued exceptions.
- Not here printed. The Kem Amendment was Section 1302(a) of the Third Supplemental Appropriations Act of 1951, which became law on June 2. The text is printed in 65 Stat. 63.↩