321. Letter From the President’s Special Assistant and Chairman of the Council on Foreign Economic Policy (Randall) to Secretary of State Dulles0
Dear Foster is with respect to the proposal of the British that the trade controls with the Sino-Soviet bloc be once more sharply reduced.
Some two weeks ago, when I first heard of this matter, I asked Douglas Dillon to send me a letter framing the issue, so that I might put in motion the procedures of the Council on Foreign Economic Policy. Sensing urgency, I then had in mind appointing a small committee at the Assistant-Secretary level from the sensitive departments to review the matter on about a five-day crash basis.
Soon after I received an urgent letter from Bobby Cutler,1 asking me to start.
The letter from Douglas did not come, however, and last Saturday he telephoned me,2 asking me not to initiate these proceedings, and explaining that you preferred to bring the matter directly to the President in a meeting in which Secretary McElroy, myself, and others would participate.
Without disclosing that this was your purpose, I therefore informed Bobby Cutler, and others, that you had asked that the matter be deferred until your return, saying that I felt this was an altogether reasonable request.
Because I leave tomorrow afternoon for a short vacation in Arizona with my wife, and because of your indisposition today, I thought you would not mind if I put my ideas on paper.
On the main substantive question, I am a liberal. I hold the strong conviction that this matter must not be allowed to disrupt NATO unity. I think we should bargain out the best deal we can with the British, holding the maximum degree of control that good negotiation will produce, but I would be prepared to go the whole distance to meet their viewpoint rather than risk the serious consequences of an open rupture.
I am sure that you understand how deep the differences are within our Government on this subject. It is one of the most difficult problems I have had to handle since I have been here.
[Page 692]For myself, I accept readily your taking the question directly to the President, but there are many who will be disturbed at this. Their grievances would be mitigated were they to be overruled after the matter had gone through the regular procedures.
Since I will not be available next week, when no doubt you will be moving on this, I shall appreciate it if you or Doug will let me have a memorandum as to what policy is established.
As I have said to Doug, the activities of the Council on Foreign Economic Policy will not be suspended because of my absence. Colonel Cullen can initiate any matter. If it deals with an economic question, Gabe Hauge will chair a meeting. If it is a security matter, Bobby Cutler will chair a meeting.
- Source: Department of State, Central Files, 460.509/2–558. Secret. Handwritten notes on the source text indicate that Dulles and Herter saw it.↩
- Reference is presumably to the memorandum from Cutler cited in footnote 3, Document 320.↩
- No other record of this February 1 telephone conversation has been found.↩