810.113/10–2747

The Secretary of State to the Secretary of the Army ( Royall )

confidential

My Dear Mr. Secretary: The question of the position to be taken with respect to requests which may be made by the other American Republics for assistance in establishing arms manufacturing plants has been considered in the Department of State. There is enclosed for your information policy and procedure which has been approved with respect to this subject.

You will note that the wording of this policy and procedure prescribes that each request for assistance will be handled separately.

Sincerely yours,

For the Secretary of State:
Charles E. Saltzman

Assistant Secretary
[Enclosure]

Statement by the Policy Committee on Arms and Armaments

confidential

Subject: U.S. Policy in the Establishment of Arms Manufacturing Plants in Latin America

The Department of State is in favor of cooperation with the other American Republics for the purpose of assuring that any facilities established in Latin America for the manufacture of arms be equipped to produce arms of United States type. This cooperation should be limited to technical assistance by this Government and its consent to procurement of manufacturing equipment from the United States. Each request, however, should be forwarded to the Munitions Division of the Department of State, which will obtain clearance with the Departments of the Army, Navy or Air Force, whichever is appropriate. In the State Department the Munitions Division will clear with the Division of Commercial Policy and the Office of American Republic Affairs. The Policy Committee on Arms and Armaments shall be kept informed of the extent of such cooperation and where deemed advisable by the Munitions Division requests will be referred to the Policy Committee on Arms and Armaments for decision.