225. Memorandum for the Record0

SUBJECT

  • Meeting in Secretary McElroy’s Office, 1700 hours, 30 July 1958

PRESENT

  • Defense
    • Secretary McElroy
    • Dep ASD Irwin
    • General Guthrie
  • State
    • Mr. Jandrey
    • Mr. McBride
    • Mr. Fenimore
  • Italians
    • Prime Minister Fanfani
    • Ambassador Brosio
    • General di Martino
    • General Santini
    • Mr. Manzini
[Page 482]

After exchange of pleasantries, Prime Minister Fanfani remarked that there might be an impression that the Italians had reduced their defense budget. This is true only in a relative sense. Certain other governmental expenses have increased which makes the defense budget decline percentagewise. Total defense expenditures are not cut.

Signor Fanfani accepts full responsibility for all details of the Italian Defense Department; due to his own military experiences, dating back to 1943, he is sympathetic to their needs.

Ambassador Brosio then reviewed a few items of Defense interest which the Prime Minister had asked him to introduce. These were briefly as follows:

1.

The Government has approved a reorganization plan for the Italian Armed Forces, copies of which have been submitted to the U.S. authorities in Rome. Purpose of the reorganization is to modernize the forces, and the Prime Minister hopes that the U.S. will look with favor on the plan, which will imply a degree of U.S. assistance.

Secretary McElroy answered that we would, in the future, as we have in the past, give support to the modernization of the forces of our Allies. He mentioned the difficulties which the Military Assistance legislation was now undergoing in Congress and cited the strong support lent the program by the President as evidence of our intention to continue to help our friends.

2.

The Italians feel that they have a definite capacity for the manufacture of modern missiles and would like to become the “pilot” country for European production.

The Secretary replied that this decision would have to be based upon the recommendations of Mr. Meili, and be arranged under the aegis of NATO, but that the U.S. will certainly support European production by furnishing designs and technical assistance and possibly with some financial help as well.

3.

Italy has offered the facilities of the port of La Spezia for an Antisubmarine Warfare Center, and hopes that the U.S. will look with favor on the establishment of the Center in La Spezia which is an excellent port, well suited for the purpose.

Secretary McElroy responded that while we appreciated the generous offer of La Spezia, there were several sites still under consideration. La Spezia was certainly one of the most likely alternatives.

4.

The Fiat G–91 airplane was tested and approved by NATO; the French, Italians and Germans have all agreed to equip certain forces with this airplane. The Prime Minister hopes that others, notably the Turkish Air Force, can likewise be equipped with the G–91, which he realizes implies a considerable measure of U.S. financial support.

[Page 483]

The Secretary replied that we are well aware of the capabilities of this plane and think highly of it. We are happy that the three countries have been able to pool their orders for a better product. We will give sympathetic consideration to assisting other countries to obtain the G–91.

In conclusion, Signor Fanfani pointed out as evidence of the solid friendship of Italy for the U.S., the Italian facilities provided for the recent airlift to Lebanon. The Secretary agreed that this was another outstanding example of the high measure of solidarity between our two countries.

John. S. Guthrie
Major General, USA
Director, European Region
  1. Source: Department of State, Conference Files: Lot 63 D 123, CF 1067. Secret.