183. Memorandum of a Conversation Between the President and the Secretary of State, White House, Washington, August 5, 1955, 12:30 p.m.1

SUBJECT

  • Centurion Tanks for Iraq

I discussed the matter of Eden’s proposal for the offshore procurement of Centurion Tanks for Iraq. The President said that he had been impressed by Eden’s representation, that if we were going to go ahead with Alpha we would have to give Nuri something to prevent his overthrow and to keep momentum behind the Northern tier concept.

I said that we did not view Nuri’s situation as so precarious, but that no doubt it would be useful to do something to sweeten, for Nuri, a proposal which the Arabs might consider as a pro-Israel move—even though the Israeli would consider it a pro-Arab move.

I mentioned to the President that our Israeli relations would not be improved if we gave on a grant basis heavy items such as Centurion Tanks to Iraq.

I gave to the President, and he read, Deputy Secretary Anderson’s letter of August 3.2

[Page 340]

After discussions, the President called up Mr.Anderson and the following program was agreed to:

(a)
We would advise the British that we would use, of this year’s budget, funds to provide for the offshore procurement of ten Centurion Tanks to cost about a million and a quarter dollars. This was on the assumption that the British would contribute two. We would explain to the British the loss of MDA funds as a result of the cut in this year’s appropriation.
(b)
We would indicate an intention to seek funds for the offshore procurement of about 40 more Centurion Tanks for Iraq in the next fiscal year with a comparable UK matching.
(c)
We would accelerate deliveries under our present Iraq program.
(d)
We would find some additional scout cars and the like which, being in an obsolete or used condition, could sweeten the present pot without any appreciably additional charge against MDA funds.

JFD
  1. Source: Department of State,S/SNEA Files: Lot 61 D 417, Alpha Volume 6. Top Secret; Alpha. Drafted by Dulles.
  2. On August 3, Deputy Secretary of Defense Robert B. Anderson asked Secretary Dulles to transmit to President Eisenhower a letter enclosing a memorandum that outlined the Department of Defense’s objections to Eden’s proposal. (Ibid., 787.5–MSP/8–355) The arguments in the memorandum were substantially the same as those presented at the July 27 meeting summarized in Document 172.