337. Telegram From the Embassy in the Soviet Union to the Department of State0

251. Bonn telegram to Department 284.1 This Embassy has been consistent supporter of allied action to prevent sale of wide diameter pipe to Soviets and believe success to date has been significant both in terms direct strategic objective and perhaps equally importantly as manifestation essential NATO solidarity (despite known British softness) in area where Soviets could have expected and probably did expect commercial profit motives to outweigh any other considerations.

From strategic standpoint pipe making machinery sales now seem differ from pipe itself in at least following ways:

1.
Lead time will probably be considerable—meantime existing pipe embargo will have continuing effect of slow down in pipe line installation.
2.
Wide pipe production Soviet Union even with imported plants will continue to require diversion Soviet investment and steel from other uses.

From political standpoint it would seem unwise to nail ourselves to mast of attempted embargo of pipe making machinery which is unlikely to be successful and would at least lead to public airing of differences and bitterness within alliance, thus negating sizable and positive results of successful pipe embargo.

It would seem to us that major effort within NATO which would be required could better be applied to the question of credits in its broadest aspects, which would appear likely be serious problem particularly if expectable tendency to euphoria follows on any East/West agreement such as test ban.

Kohler
  1. Source: Department of State, Central Files, STR 12-3 USSR. Secret; Limited Distribution; Noforn. Repeated to Bonn.
  2. Telegram 284, July 20, reported that the Federal Republic of Germany was unlikely to block the sale of pipe-making equipment to the Soviet bloc. (Ibid., STR 12-3 USSR-WGER)