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was ready to move ahead with the European Pay-
ments Union in an attempt to reconcile the re-
quirements of their own position with the need
for substantial progress in the liberalization of
trade and payments among the European
countries.

U.S. Concern in European Affairs

During these meetings, the continuing interest
of the United States in European affairs was ex-
pressed to the other governments and also our
genuine desire to work on the economic problems
ahead in cooperation with Canada and the West-
ern European countries. There has been some
concern in Western Europe that, despite the North
Atlantic Treaty, the concern of this coimtry with
European affairs would slacken after 19.52.

Various projects related to these problems have
been going forward on both sides of the Atlantic.
In this country, as you know, the President has
appointed Mr. Gordon Gray to study what adjust-
ments this country needs to make if it is to achieve
a balance in its international accounts at high and
stable levels of trade. The Canadian Govern-
ment has been actively considering these problems
from its point of view, and the Oeec countries
have been steadily working on this same range of
problems in their organization.

After discussions with Mr. Pearson of Canada
and Mr. Stikker, the Chairman of the Oeec, it
' was thought that a new working relationship be-
tween Canada, the United States, and the Oeec
would be a desirable means for working out solu-
tions of common economic problems. We are
hopeful that the Oejx) will issue an invitation to
establish this relationship.

We can no longer afford the luxury of regarding
these problems as purely national in character.
The additional economic strength which will flow
from a cooperative approach is required to meet
the cost of defense, to maintain and improve
standards of living, and to provide essential as-
sistance to other free nations of the world in their
development. A new attitude is required of each
of us, for we must work out solutions to these
problems which will strengthen the community as
a whole and advance the welfare of us all.

Success in this venture will be of the greatest
practical significance, both for the economic bene-
fits it can bring to every one of us and because the
security of free institutions is directly related to
their economic health and vitality.



June 12, J 950



933



There were many other evidences of the neces-
sity of avoiding purely unihiteral treatment of
problems which affect more than one state even
though one may have a jjrimary concern in their
solution.

Meeting Security Problems of Asia and Near East

In Paris, there was a most satisfactory discus-
sion with Mr. Schuman on the situation in Indo-
china. Mr. Schuman recognized that the problem
of meeting the threat to the security of Vietnam,
Cambodia, and Laos is primarily the responsibility
of France and the Govei-nments and peoples of
Indochina. On our part, I was able to inform Mr.
Schuman of the assistance which the United States
could provide toward the achievement of security
and the development of a healthy nationalism in
these associated states of Indochina.

In London, the initiative of the C'ommonwealtli
conference at Sydney for a program of economic
development in South and Southeast Asia was dis-
cussed, and Mr. Bevin was informed that this
Government will attempt to coordinate its etlorts
in that area with the efforts of the Commonwealth,
in order that our actions will be mutually
supporting.

By strengthening the economy and the defenses
of the Atlantic connnunity. we believe that we are
making a direct contribution to the security and
welfare of all free nations.

Mr. Bevin and I reaffirmed the concern of our
Governments with the security and welfare of
Greece, Turkey, and Iran.

Together with Mr. Schuman we agreed on a
firm policy toward arms shipments and security
for the Arab States and Israel which should
greatly assist in promoting peace and stability in
that important area.'

In South and Southeast Asia, a great develop-
ment has been taking place; never before in his-
tory have so many peoples acquired national
independence in so short a period of time. The
United States and ntlici- members of the Atlantic
comiiuiiiity were glad to see this happen; we
worked for it, we assisted it, and. in our meetings,
we recognized our large responsildlity for heljjing
it succeed. The great need of these newly in-
dej)endcnt peoples is for a period of peace and
quiet in which they can concentrate on (he difficult
problems of establisliing llieir political and eco-



' I!ri,i.i;TlN of June 5, 1050, p. 880.
934



noniic institutions. The success of our efforts in '
the Atlantic community will greatly assist in giv-
ing them this opportunity.

Time does not permit me to discuss in detail any
of these matters or the other issues we considered.
I do wish to emphasize the basic understanding on
objectives, of the dangers and threats which con-
front us. and of the requirements for action, and
the businesslike atmosphere of the meetings.
These may not at first glance appear dramatic,
but this is. in my opinion, the most di-amatic fact
that could be reported. It is news of a quiet, prac-
tical, and immense significance.

Defending North Atlantic Area

Finally, there is the problem of defending the
North Atlantic area, which was the subject of the
meeting of the North Atlantic Treaty Council.
The 1'2 member countries had previously recog-
nized the need for a common defense against a
common threat. The North Atlantic Treaty had
its origins in this realization.

First of all, it should be made plain that there
was nothing which any of the 12 Foreign Min-
isters had to say which indicated that there is
any immediate threat of war.

It was our unanimous view that this is not the
problem. The problem is to meet a threat which, in
view of the known program of the Kremlin, will
exist unless we act now to prejDare our defenses
against aggression.

It was made unmistakably clear in all our dis-
cussions that our common purpose in preparing
our common defenses is a peaceful one. We hope
never to need them. But so long as any dictator-
ship builds powerful armed forces, so long must
democracies, if they are to be left in peace, evidence
their determination to defend themselves by main-
taining adequate forces in being and an adequate
state of preparedness. Mr. Lange, the Foreign
Minister of Norway, summed u]) tliis thought when
he said: "Peace will never lie secure in a world
wlifi'c democracies are weak and dictatorships
alone aie strong."

The work of the North .Vllaiuic Treaty Or-
ganization in the first year of its existence has
shown thai the task of defense is so large, its cost
in ]al>or and material resources so high, and the
problem of security so indivisible that onh^ a com-
bined effort will be adecpiate.

The work of this meeting of the Council, which
grew out of its review and full approval of the

Department of State Bulletin



work of the Defense Ministers and the Finance
Ministers and of tlieir pro>;ress to date in planning
a combined effort, was twofold. It was necessary,
first, to establish the principles which will guide
our conuiion defense effort. Secondly, the Council
conclutled that the requirements of the combined
effort were such that additional control machinery
was needed to enable the Council to do its job
efliciently and effectively.

Council Tasks To Be Undertaken by Deputies

The job is a full-time one and requires on a
full-time basis the services of the best men that
the members can assign to it. The Council there-
fore decided that each Government should appoint
a deputy to its representative on the Council in
order that the Council can function continuously
in giving direction to the work of the Organiza-
tion. The deputies are to select from among them-
selves an outstanding man as Permanent Chair-
man, who, in addition to presiding at meetings of
the deputies, will be responsible for directing the
Council's work.

The Council decided that the following five tasks
should be undertaken by the deputies :

( 1 ) to coordinate the various planning activi-
ties related to defense;

(2) to recommend the measures necessary to
carry out these plans;

(3) to consider common political problems re-
lated to the objectives of the Treaty;

(4) to promote and coordinate public infor-
mation on Treaty questions;

(5) to consider the development of political
and economic cooperation as contemplated in arti-
cle 2 of the Treaty.

This list of tasks is worth citing in full in order
to emphasize the importance of the work which
is to be undertaken by the deputies and the need
of securing from each country a man of the high-
est qualifications who will have the complete con-
fidence of his own and other Governments. The
ability of the Organization to get on with its job
will very largely depend on the calibre of the men
who are appointed as deputies. It will equally
depend on the support they receive from all
branches of their Governments and their peoples.

Principle of Balanced Collective Forces

Perhaps, the most important action of the
Council was the recommendation of a principle



to governments to guide the development of the
common defense. This principle is the creation of
balanced collective forces, rather than the dupli-
cation by each nation in a large or small way of
wiiat every other nation was doing. After a care-
ful review of the plans which have been prepared,
it became evident to each of us that the principle
of balanced collective forces was the only principle
wliich could reconcile the resources available with
the demands upon them. It is the only way in
which forces can be developed to meet successfully
any initial attack and to carry through to a suc-
cessful conclusion any war that is forced upon us.
For the task of providing an adequate common
defense and adequate standards of living is so
large that waste and unnecessary duplication will
prevent its accomplishment.

Also, this principle, more than any other, recon-
ciled the security needs of each member counti-y
with the security needs of the community as a
whole.

This principle of balanced collective forces is
of great and perhaps revolutionary significance.
It has its legislative origin, so far as this Govern-
ment is concerned, in the Mutual Defense Assist-
ance Act of 1949 which stipulated that the
assistance to be granted by the United States to
other North Atlantic Treaty countries, should be
used to promote "the integrated defense of the
North Atlantic area." It demonstrates that each
country will rely on every other member of the
community and that the community will look to
each country to contribute what it is best able to
contribute to the common defense in accordance
with a common plan. It demonstrates that each
country recognizes that its own security is no bet-
ter than the security of the community as a whole.
It will give tangible proof to an aggressor that he
must face the combined resources of the com-
munity, that there will not be opportunities to pick
off one member at a time.

The United States, as the most populous member
of the North Atlantic community and the one with
the largest and most productive plant, has neces-
sarily a leading role in building balanced collec-
tive forces. If we faithfully obsen^e this principle
and direct our energies to the creation of such
forces, we will find a corresponding response from
the other Treaty members.

The President has authorized me to say that he
supports Secretary Johnson and me in our view



June 72, 1950



935



that we must make this principle woi'k, for we can
see no other way to accomplish the job of defense
and at the same time to get ahead with the con-
structive task of building a successfully function-
ing economy in the free world.

The job cannot be done unless we do our full
part which includes the provision of mutual de-
fense assistance. If we and our Atlantic com-
munity partners each take our respective share of
the common burden, the goal can be attained. I
am confining my present remarks on this vital
point to this reference since, within the week, I
shall appear before the apjiropriate Congressional
committees in support of the Mutual Defense As-
sistance Program when I shall discuss this problem
in full.

If we ])ut this principle into practice, it fol-
lows that the members of the Atlantic comnuinity
will have to intensify their practice of developing
common policies on the major problems of common
concern in the field of foreign affairs and that they
must also develop even closer and more cohesive
economic policies.

It is in these corollaries of the principle of bal-
anced collective forces that its implications become
clear. It is because of these implications, as well
as for the progress on other matters, that this con-
ference marks the beginning of greater unity of
thought and action among the free countries of the
Atlantic connuunity.

At the conclusion of our Council meeting, we
made a statement of our principles, our determina-
tion, and our faith. That statement has been pub-
lished, but I wish in closing to cite a part of it
because I believe it expresses well the purpose that
guides us: "They are determined that freedom,
which is the common basis of their institutions,
shall be defended against every threat of aggres-
sion or subversion, direct or indirect. Freedom
means the independence of nations, the respect for
spiritual values, and tlie dignity of man. Only a
free society can guarantee the indixidiial tlie liene-
fits of economic and social betterment.

. . . Tothe inunense i-esourcesof tile free \v



Online LibraryUnited States. Dept. of State. Office of Public CoDepartment of State bulletin (Volume v. 22, Apr- Jun 1950) → online text (page 84 of 116)