611.74/11–1052
No. 1031
The Secretary of
State to the Secretary of Defense (Lovet)1
My Dear Mr. Secretary: The situation in Egypt has now developed to a point which makes it necessary for the United States to define more specifically the measures it is prepared to take to assist in promoting a favorable settlement of the Anglo-Egyptian dispute.
You will recall that in mid-September representatives of General Naguib, in a secret approach to the United States Embassy Cairo, stated the willingness of the Egyptian Government to cooperate with the United States and to undertake certain commitments, including participation in a Middle East Defense Organization, in return for military and economic assistance. In replying to this overture, the United States declared its willingness to enter into discussions to determine the scope and nature of cooperation between the two Governments and requested the Egyptian Government to define more clearly its views concerning military and economic assistance. We emphasized the importance we attach to Egyptian willingness to participate with the United States, United Kingdom and other free world powers in planning for the common defense of the area and to a settlement of the Canal Zone problem on a basis that would assure the effective maintenance of strategic facilities in the Zone.
While the Egyptians were formulating their reply to this message, we carried on an exchange of views with the United Kingdom concerning the problem of the Egyptian settlement in relation to the establishment of the Middle East Defense Organization. In an aide-mémoire presented to the British Ambassador November 5, 1952,2 we urged that the United Kingdom Government formulate the terms of a base settlement which would be strategically acceptable to the Western powers and at the same time stand a chance of [Page 1890] acceptance by the Egyptian Government. We proposed that when this had been done the United States should approach General Naguib and suggest that the United States, the United Kingdom and Egypt work out in secret a base settlement and Egypt’s adherence to a common defense plan. We also stated our conviction that material assistance by the United States and United Kingdom, including the provision of military equipment, would be essential to the successful conclusion of the proposed negotiations.
We have now received a reply from the Egyptian and the United Kingdom Governments respectively to the messages cited above. In its reply handed to the Department of State November 10, 1952 (Attachment A),3 the United Kingdom welcomed our offer of assistance and undertook to produce as soon as possible proposals for a settlement of the Anglo-Egyptian dispute which they would discuss with us. The reply of the Egyptian Government is contained in Cairo’s telegram 1167 November 10 (Attachment B).4 Although it is not as forthcoming as we might have wished, this Department considers that it provides a basis for continuing discussions. Annex I, mentioned in paragraph C of this message, sets forth a detailed list of the military equipment which the Egyptian Government desires to secure. This list, together with analyses and comments by the United States Service Attachés in Cairo, forms Attachment C of this letter.5 The Egyptian reply will be completed by a second annex providing details of the economic assistance desired, which is expected shortly.
As the Department of Defense is aware, this Department considers that a satisfactory settlement of the Anglo-Egyptian dispute will make it possible to secure the participation of the Arab States in the Middle East Defense Organization and that from such a beginning more favorable developments in the entire Near East area might reasonably be expected to flow. This Department is convinced, therefore, that everything possible should be done to assure such a settlement. When the proposed United States-United Kingdom-Egyptian conversations begin, the United States and United Kingdom, ideally, should have their positions fully prepared on three points: 1) the elements of a Suez settlement strategically satisfactory to the West, which would have a reasonable chance of acceptance by Egypt; 2) the mutual defense arrangements and other possible commitments to which it is desired that Egypt should agree; 3) details as to the military and economic assistance which [Page 1891] the United States and the United Kingdom would be prepared to provide to Egypt.
As indicated in their note at Attachment A, the British are now studying the first problem, and we are hopeful that they will inform us of their conclusions at an early date. The general form and structure of a Middle East Defense Organization has been the subject of an exchange of views among the sponsoring powers and a position on the second point can be readily prepared. The remaining problem—the military and economic assistance to be provided to Egypt—requires urgent consideration by the United States and the United Kingdom.
The Department of Defense has several times stated its willingness to consider favorably a program of military assistance to Egypt, if this were an element in a generally satisfactory solution of the Suez base problem and would assist in the establishment of cooperative defense arrangements in the Middle East. At the same time, the Department of Defense has made clear the difficulties involved in considering any specific program of assistance in the absence of an approved strategic plan and force requirements for the area.
The Department of State fully appreciates these difficulties. Nevertheless, this Department is convinced that it will be essential to develop for negotiating purposes some estimate of the general character and dimensions of a program of military aid the United States would undertake to supply Egypt in the event satisfactory general arrangements for area defense can be worked out. As a basis for these estimates, we now have not only the statement of Egyptian requirements (Attachment C), but studies of strength and equipment requirements of the Egyptian Armed Forces prepared by the United States Service Attachés in Cairo during October 1952.
The Department of State would appreciate the Department of Defense undertaking promptly a study of the problems involved in preparing a program of military aid for Egypt, with a view to determining what can reasonably be done in preparation for the United States-United Kingdom-Egyptian negotiations now foreseen. I suggest that after preliminary consideration of these problems within the Department of Defense it would be desirable for representatives of the Department of State, the Department of Defense and the Office of the Director for Mutual Security to discuss the matter informally with a view to deciding upon the most promising course open to us, given the various complicating factors involved. It is our hope that it may be possible through this means of procedure to work out some action that may be taken on the list of requirements at a fairly early date. For example, while a conclusive [Page 1892] answer to the total list of requirements should be reached as soon as possible, the time element may dictate accepting a portion of the requirements which appear most reasonable and proceeding upon that portion of their request without completion of the final detailed analysis.
In this connection, the Department of State invites attention to the reported availability of approximately $45,000,000 of military aid funds found excess to the requirements of the approved programs for Greece, Turkey and Iran. In the view of this Department, serious consideration should be given to the possibility of tentatively programming some portion of these funds for Egypt, on the assumption that negotiations will develop sufficiently rapidly to make definite action possible in the course of this year’s operations. In any event, given the prospects in Egypt described above, it would appear desirable to maintain flexibility with respect to the final use of those funds for the maximum period consistent with efficient operations.
The limited amount of equipment intended for special Egyptian police units, which was authorized under the terms of Section 408(e) of the Mutual Defense Assistance Act of 1949, as amended, and which is now awaiting shipment, was of course programmed prior to the developments described in this letter. It is now contemplated that upon signature by the Egyptian Government of the appropritae agreement, this equipment will be made available to the Egyptian Army. Most of the items in this program are included by the Egyptian Government in its official request for military assistance mentioned above. Thus, deliveries of this equipment will in effect constitute a part of any general program of military assistance to Egypt which may be authorized. As the Department of Defense is aware, the Department of State considers that the early delivery of this equipment would demonstrate the confidence of the United States in, and its desire to cooperate with the Naguib Government, and would improve the atmosphere within which the proposed three-power negotiations take place.
I am forwarding a copy of this letter and its attachments to the Director for Mutual Security.6
Sincerely yours,
Deputy Under Secretary
- Drafted by Alex B. Daspit, Politico-Military Adviser in the Bureau of Near Eastern, South Asian, and African Affairs.↩
- For text, see Document 105.↩
- Not printed, but see footnote 7, Document 1029.↩
- For text, see Document 1024.↩
- Not printed.↩
- Under Secretary of State Matthews transmitted a copy of this letter to Averell Harriman, Director for Mutual Security, that same day, Nov. 21. (611.74/11–1052)↩