305. Memorandum From Acting Secretary of State Christopher to President Carter1

Pakistan. We have completed Congressional consultations on resumption of economic aid and arms sales to Pakistan now that the French reprocessing deal is off. We told the Members that the proliferation problem with Pakistan has not been completely resolved but that we believe a restoration of normal relations would best serve both our non-proliferation objectives and our interest in regional stability.2 There were no objections to resumption of economic aid. Although some concern was expressed about arms sales, we found a general willingness not to oppose them.

Recent intelligence suggests that Pakistan is exploring other means of completing the reprocessing plant or otherwise acquiring a nuclear option.3 However, the French cancellation will prevent any rapid progress by Pakistan towards this objective and gives us time to work at deterring the Pakistanis from acquiring a nuclear option. We will carefully monitor Pakistan’s activities and are working with other suppliers to inhibit the acquisition of sensitive equipment or materials. Should Pakistan develop an indigenous nuclear explosive capacity, or acquire reprocessing or enrichment equipment or technology from some other country,4 we would have to review immediately our overall relationship.5

When Cy met with Pakistani Minister of State Agha Shahi yesterday,6 we made clear our continuing concern over Pakistani nuclear [Page 717] intentions and reminded him of U.S. legislation and Administration policy on non-proliferation. Agha Shahi asked for a clarification of our policy with respect to A–7 sales in light of India’s intention to buy 200 deep penetration strike aircraft.7 Cy replied he had told the Indian Foreign Minister that we saw no reason for the Indian purchase and warned that it could create a new spiral of arms acquisitions in the region. Cy agreed that if the Indians go forward, we would have to review our policy. Agha Shahi was informed that we would have no objection to a sale of F–5Es, subject to Congressional review.

[Omitted here is material unrelated to Pakistan.]

  1. Source: Carter Library, Plains File, Subject File, Box 39, State Department Evening Reports, 10/78. Secret. Carter wrote “Warren, J” at the top of the memorandum.
  2. Telegram 235372 to Vienna, September 15, transmitted the talking points that Newsom, Nye, and Hummel planned to use in order to argue for the resumption of aid and arms sales to Pakistan. (National Archives, RG 59, Central Foreign Policy File, P840156–2175, N780007–0554)
  3. See Document 306.
  4. Giscard’s staff informed Embassy officials that they had information that Pakistan had initiated inquiries in Rome, Tokyo, and Madrid for help with completing the reprocessing plant. (Telegram 31540 from Paris, September 23; National Archives, RG 59, Central Foreign Policy File, P850103–2235)
  5. In the left-hand margin next to this paragraph, Carter wrote: “Hold firm on this.”
  6. In telegram 252370 to multiple posts, October 4, the Department reported on Vance’s October 2 meeting in New York with Shahi in more detail. Vance “informed Agha Shahi that we were prepared to resume our aid programs, including 37 million dollars of FY–77 aid which could be released immediately. We had completed the consultations with Members of Congress and had their concurrence to proceed with our normal programs.” Concerning military sales, Vance informed Shahi that “we are also prepared to consider military sales but would need to wait until January before submitting notification on specific items to Congress.” (National Archives, RG 59, Central Foreign Policy File, D780406–0359)
  7. See footnote 3, Document 141.