740.5/7–1353: Telegram
The Secretary of State to the Embassy in France 1
Edcol 10. Paris For Bruce and USRO.
- 1.
- Following is text Richards’ EDC
amendment as agreed in conference and released July 11:
“Provided, That of the equipment and materials made available under section 101 (a) (1) with funds appropriated pursuant to the authorization contained in this section, 50 per centum shall be transferred to the organization referred to in clause (c) of section 2 (b) or to the countries which become members thereof, unless the Congress, upon the recommendation of the President, shall hereafter otherwise provide.”
- 2.
- Conference report released July 11, after describing Senate and House versions of amendment, points out that agreed text “combines features both versions by requiring that 50 percent FY 1954 military assistance funds for Europe shall be used for equipment and materials to be transferred to EDC or to countries which become members thereof unless Congress upon Presidential recommendation otherwise provides. Thus, should the organization not come into being and should the President consider that conditions might nevertheless in his judgment warrant release of the funds, materials, and equipment earmarked for the organization, the Congress would reconsider the provision upon the recommendation of the President. The conference agreement expresses the importance Which the United States attaches to the European Defense Community and gives assurance that the formation of the organization will be followed by United States assistance in helping the EDC contribute to the collective security effort. Equipment and materials may be procured, but delivery of the assistance shall not take place until the organization is formed.”
- 3.
- Note amendment has effect of permitting procurement from FY 1954 funds, but prohibits actual delivery until after EDC has entered into effect. Because of lead-time, this means that amendment would probably not have appreciable effect on most items for from year to eighteen months. Also note that services (i.e., training) specifically excluded from the amendment, which applies only to equipment and materials.
- 4.
- FYI Phrase “or to the countries which become members thereof” may cause concern, since under treaty countries can receive aid only through EDC and phrase may be interpreted by Europeans as implying U.S. is contemplating direct bilateral military aid to EDC countries after treaty enters into effect. Actual purpose was to ensure maximum flexibility to meet future contingencies and to avoid tying us irrevocably and publicly to EDC. There was no intention of suggesting direct bilateral aid or possible alternatives to EDC.
- 5.
- Further telegram follows on interpretation of amendment and position to be taken in discussing with governments.2