112. Letter From the Minister in Japan (Horsey) to the Director of the Office of Northeast Asian Affairs (Parsons)1

Dear Howard: The enclosed papers2 will supplement, for the present until we can make a more detailed report by despatch, the cables on the defense share negotiations.

The comments in the stories from Washington on the reaction there have been most helpful and pitched exactly right. To try to assess the gains and losses, certainly there is a slow down in the defense program, but it is useless to hammer them over the head for the sake of getting the appearance of a slightly increased program. If they have not got the will to step it up we shall have to wait until they do. The prime Japanese argument is that the elimination of the carryover and the “qualitative” approach, i.e., postponing the 10,000 man increase in the ground forces, are essential to gain the confidence of the people in the defense effort. We are not sure how much there is to [Page 253] this argument since the Government has made very little attempt in the past year or two to gain the confidence of the people for the defense build–up. We shall, in any case, have to wait until after the elections to see what course they take. On the positive side, there is the important dividend, foreseen in the nature of the agreement made last year, that this year it is their budget and not something forced on them by the U.S. There is growing recognition of this result and even a little bewilderment. Some of the Japanese press are still under the weight of the old attitudes. We understand the Socialists are dismayed at seeing such a hardy perennial in the way of issues on which to criticize the Government taken away from them.

MAAG is studying the revised program to see whether it will mean a slow down or postponement in the delivery of equipment included in the 1957 MDA program and we shall report on this aspect in due course.

Once again let me thank you for your prompt replies to our cables.

With all best wishes.

Very sincerely yours,

Outer
  1. Source: Department of State, Central Files, 794.5/1–2257. Confidential; Official–Informal.
  2. Not found.