Office of the Historian

DMS files, lot W–1444, “France”

No. 568
Memorandum by the Director for Mutual Security (Stassen) to the Secretary of State1

secret
Washington, February 26, 1953.
  • Subject: In re French Allocations
1.
It is my view that France is currently over-extended.
2.
There are many reasons why we should move promptly to ease the situation.
3.
Some disagreement exists within the present personnel of our Government and with the French Government over a balance of [Page 1301] $125 million of the total of all types of defense and economic help other than end items which France was to receive in the current fiscal year. The difference arises out of a Lisbon talk with the French by Harriman and Acheson, in which the figure arrived at was a $650 million total and the allocations thus far total $525 million.
4.
By the use of certain discretionary authority, additional funds could now be made available to France in the current fiscal year.
5.
In view of the entire circumstances I am inclined to recommend to you, and if you both concur, recommend to the President, that an additional $140 million in aid be made available to France in the current fiscal year through the means of paying for certain of the French military and production expenses on a special procurement basis. I have selected this amount because it seems that the need and desirability is clear and, therefore, I do not wish to place it on the limited foundation of making good a disputed commitment of the former Administration. I believe much more good will and constructive direct results can be accomplished by action of this nature.
6.
It is further recommended that the allocation of these additional funds be concluded in relation to Premier Mayer’s visit to Washington.
7.
It is suggested that at the same time we should develop a friendly understanding as to the anticipated program of the French Government itself in certain of the more important non-financial items, such as the governmental positions of communist trade union leaders, the clearance for our gasoline pipeline across France for the NATO forces, perhaps the EDC timetable, etc., etc.
  1. A copy of this memorandum was also sent to the Secretary of Defense.↩