289. Telegram From the Department of State to the Embassy in Yugoslavia1
282. This telegram solely for your information except as otherwise indicated. Following general discussion subject with President, Secretary has sent to White House suggested finding and report to Congress re Section 143. At news conference Oct 112 President stated he would make decision at last minute on basis latest data but that some announcement would be made on issue Oct 16. In brief, proposed text refers to Congressional criteria and then states that “I (President) hereby find and report to Congress affirmatively with respect [Page 750] to the three matters”. First reason given for President’s decision is that our Yugoslav policy has been based not on approval of or affinity with internal policies of regime but on our decision that US interests required support for independence Yugoslavia in face Soviet threat. Balance available evidence indicates that Yugoslavia still independent of Soviet control and wishes remain so, that Soviets still trying compromise that independence, and that some American aid still needed and wanted by Yugoslavs. This is true despite fact that Soviet designs against Yugoslavia are now more subtle and perhaps not adequately appreciated or defended against by Yugoslavia.
Second reason relates to finding that ideology and doctrine of Yugoslav Communist Party seem to follow concept that each nation should decide for self nature of own society and that there should not be interference by one nation in affairs of other. Third reason states that there is danger that without US aid Yugoslavia will be unable maintain independence. Moreover US policies begun 1949 to enable maintenance independence remain valid.
Report then notes that President’s action while meeting statutory requirement will have primary immediate effect of clearing way for conversations with Yugoslavs to examine various possibilities for bilateral cooperation in economic field. In military field US has since enactment Section 143 followed policy of permitting only small, routine and long-planned deliveries of equipment. “I (President) intend that this attitude, which implies non-delivery of jet planes and other items of heavy equipment, shall be maintained until situation can be more accurately appraised during days to come.” However it is now prudent and wise proceed with economic aid for people of Yugoslavia primarily in form foodstuffs.
Paper concludes with acknowledgement that it does not definitely settle US-Yugoslav relations which will remain under constant review with periodic reference to criteria of Section 143 to ensure present decision remains justified in future. Furthermore this determination is not mandate for expenditure of funds but restores discretion to Executive Branch to act in accord with national policy and interest. This approach will serve foreign policy interests and simultaneously protect against unwise expenditure public funds. (End of summary of report)
Preliminary work already underway prepare framework and negotiating position for PL 480 program with aim of being ready for early approach to Yugoslavs. Subsequent to Oct 16 announcement, provided President approves Secretary’s recommendation, you may state to Yugoslavs that we expect be ready discuss foodstuffs problems [Page 751] with them shortly. No study yet undertaken on other economic questions.
[2 paragraphs (1 page of source text) not declassified]
- Source: Department of State, Central Files, 768.5–MSP/10–1256. Secret; Priority; Limit Distribution. Repeated to USUN in New York for Secretary Dulles who was attending the U.N. Security Council debate on Suez.↩
- For transcript of the news conference, see Public Papers of the Presidents of the United States: Dwight D. Eisenhower, 1956, p. 88.↩