Foreign Relations of the United States, 1958–1960, Western European Integration and Security, Canada, Volume VII, Part 1

287. Memorandum of Conversation⁰

PVC/MC–7a

Ottawa, July 10, 1958, 3 p.m.

PRESIDENT’S VISIT TO CANADA

Ottawa, Ontario, Canada, July 8–11, 1958

PARTICIPANTS

• United States
  • The Secretary
  • Tyler Thompson, Minister, Embassy
  • Joseph N. Greene, Jr.
• Canada
  • The Secretary of State for External Affairs Sidney Smith
  • The Minister of National Defence George Pearkes
  • The Minister of Defence Production J. Raymond O’Hurley
  • The Chairman of the Chiefs of Staff Committee General Charles Foulkes
  • The Chief of the Air Staff, Air Marshall Hugh L. Campbell
  • The Undersecretary of State for External Affairs Jules Léger
  • The Deputy Minister of Defence Production D. A. Golden
  • Assistant Undersecretary of State for External Affairs D. V. LePan
  • The Clerk of the Privy Council, Robert Bryce The Canadian Ambassador to Washington Norman Robertson
  • David Lundy, Department of Defence Production

SUBJECT

• Canadian-United States Defense Problems

Mr. Smith opened the meeting with a few introductory remarks.

Mr. Pearkes spoke on the major defense problems facing Canada and followed closely the attached Aide-Mémoire¹ prepared for his use. The highlights of his statement follow.

He stated that the problem of developing a defense against missiles while at the same time completing and rounding out defense measures against manned bombers posed a serious problem for Canada from the point of view of expense. He emphasized the need for a wider application of cost sharing arrangements with the United States for projects located in Canada for the defense of the North American continent. He also stressed that these heavy additional defense burdens were placed on Canada because of its geographic position. Canada cannot afford to develop further complicated weapons and weapons systems for use in Canada only. He stressed that joint Canadian-United States development and production were essential as was participation by Canadian industry. Mr. Pearkes’ summary was: “The number of projects of joint interest to both countries for defense of North America include the CF105, SAGE, Radar Improvement, Bomarc and Ballistic Missile Defense. Two mutual problems are involved: (1) cost sharing, (2) sharing of development and production tasks. It is recommended that joint Ministerial consideration be given to these problem areas with a view to arriving at solutions which will make the most effective utilization of the combined resources of the two countries.”

The Secretary thanked the Minister of National Defence for the great cooperation of Canada in the defense field which he characterized as unique. He stated that the United States has the same problems with respect to mounting costs as Canada and noted that a plane which formerly cost a hundred thousand dollars now might cost as much as fifteen million dollars. He added that this very problem had been raised at a recent NATO meeting but was not aware that much progress had been made in reaching a solution.

The Secretary referred to the fact that the Minister of National Defence had been invited by Secretary of Defense McElroy to talk with him in Washington. He expressed the hope that Mr. Pearkes could accept. He emphasized that the essential solution to this problem before everyone goes bankrupt had to be found in the field of limitation of armaments.

The Secretary mentioned that the free world has three times the industrial base of the Soviet bloc but that the latter cut down this advantage through imposed austerity which our peoples would not accept in a cold war, although they would in a fighting war.

He stated that a system of inspection of northern areas against surprise attack would be a great step forward. He considered the latest Soviet note² as a possible advance but noted that the Soviets had stopped talking about the Arctic Zone. The Secretary considered that a system of inspection against surprise attack was the real solution to the disarmament impasse. He had hoped that the proposal made by the United States to the Security Council³ could have been accepted and was disappointed that it was not. Every possibility, no matter how unpromising, which would serve to relieve the growing problem of armaments must be pursued.

Mr. Pearkes stated that it would not be possible to drop present defense efforts before effective substitutes were worked out.

The Secretary stated that both Canada and the United States must fully explore all possibilities of reducing unit costs and promised to bring to the attention of the Department of Defense the points raised by Mr. Pearkes. He again expressed the hope that Mr. Pearkes would accept Secretary McElroy’s invitation to Washington. He also proposed that the new Canada-United States Committee on Joint Defense might look into those parts of the problem which were appropriate for its consideration. He concluded by assuring the meeting that high level consideration would be given by the United States Government to the problems raised by Mr. Pearkes.

Mr. O’Hurley stated that it was important to know what future there was for installations and projects now in operation or under way.

Mr. Smith emphasized that Canada was not asking for mutual aid.

Mr. Pearkes concluded his remarks by reemphasizing the importance to Canada of being included by the United States in early stages of weapons development.

The Secretary concluded his remarks by pointing out that missiles which were now becoming available would be obsolete in a few years and that they were merely a stop-gap until much improved missiles were available. He also thoughts it might be well for the military people on both sides to exchange views on Soviet bomber capabilities, as one way of assessing the need for the fighter plane production effort which Mr. Pearkes had discussed.

General Foulkes ended the discussion of defense matters by stating that Canada’s main emphasis in the defense field was on air defense.

0. Source: Eisenhower Library, Staff Secretary Records, DDE Canada Memcons. Confidential. Prepared by Thompson. PVC/MC–7 and PVC/MC–7a are identical except for the list of participants. The meeting was held at the Department of External Affairs.
1. Not printed. This five-page document reviewed Canadian defense preparations and budgetary needs. The conclusion of the aide-mémoire is quoted in the following paragraph of the memorandum.
2. For text of Khrushchev’s July 2 letter to President Eisenhower, see Department of State Bulletin, August 18, 1958, pp. 279–281.
3. For text of the U.S. draft resolution, dated April 28, see ibid., pp. 77–78.