223. Editorial Note

On January 6, 1964, spokesmen for Leyland Motors Ltd. in the United Kingdom and the Cuban Government in Havana announced the conclusion of a contract for the sale of 400 passenger buses and spare parts, for approximately $11 million, to be delivered to Cuba over the course of the year on 5–year credit terms, with an option for Cuba to buy 1,000 more.

During a telephone conversation with McGeorge Bundy on January 7, President Johnson asked about British trade with Cuba and whether President Kennedy had objected to it in his meetings with the British Prime Minister. Bundy replied, “Well, I think you better say we raised it with them because they would be in position to say no formal objection was made, and the reason, as I say, was that they would have come back, O.K. you sell wheat [the United States had sold wheat to the Soviet Union in 1963], what the hell you talking about?” After a long pause, Johnson asked, “Well, what is the difference?” Bundy replied: “We maintain that Cuba should be isolated because itʼs exporting subversion. They would maintain that Cuba is no worse than the Soviet Union and that we greatly exaggerate this, and in their public, theyʼd be right. I mean thatʼs their politics. The British man on the street thinks weʼve got a neurosis on Cuba. Heʼs not like the German whoʼs willing to play it our way.” (Johnson Library, Recordings and Transcripts, Recording of telephone conversation between President Johnson and McGeorge Bundy, January 7, 1964, 12:16 p.m., Tape F64.03, Side B, PNO 6)

In a meeting the following day, Director of Central Intelligence McCone briefed the President on the status of Cuban economic developments, among a number of other subjects. He reviewed with the President Current Intelligence Memorandum SC No. 03151/64, dated January 8, which included the following report: “Cuban sugar and tobacco exports for more than a year have been building up a favorable hard currency surplus for Cuban trade with Western European countries and Japan. The current balance is probably near $100 million, the highest level since 1960.”

McCone also reviewed with the President reports of increasing Spanish exports, British and Dutch tire and bus parts sales, and Soviet arms shipments to Cuba. (Current Intelligence Memorandum No. 03151/64, January 8; Central Intelligence Agency, DCI (McCone) Files, Job 80–B01285A, Box 6, Folder 7, DCI Mtgs with the Pres., Jan–Apr 1964)