SOVIET BLOC NEED FOR COPPER

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80R01443R000200370003-8
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 6
• Document Creation Date: December 14, 2016
• Document Release Date: July 16, 2003
• Sequence Number: 3
• Publication Date: July 22, 1954
• Content Type: BRIEF

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NSC BRIEFING 22 July 1954
1. Copper is metal most actively sought
in Soviet clandestine trade.
A. Shipment copper to Bloc embargoed
by COCOM 1951.
B. Clandestine efforts reached peak
1951-52, when world demand
highest (following Korea).
C. Efforts still at high level:
increasing Bloc interest wire,
electrolytic copper. Soviet now
attempting purchase in larger lots.
NSA review completed
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II. Copper essential to modern economy,
modern war. (Used in ammunition,
vehicles, artillery, aircraft, naval
vessels, communications and fire-control
equipment, etc.)
A. Bloc in 1953 produced 13% of world
copper; consumes 1&%. Gap requires
imports.
B. Example, Bloc requirement 1953
670,000 m.t.
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1. Bloc production - 422,000
2. Imports - 100,000
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3. Total - 522,000
4. Thus, deficit 148,000 m.t.,
despite imports.
C. Bloc 1953_use of copper:
1. Munitions, military
equipment - 20%
2. Direct support of
military - 17%
3. Stockpile - 10%
4. This roughly half total
available (say 250,000 m.t.).
III. Bloc copper production now hampered by
need advanced technology, lack natural
resources.
A. In USSR, rich Ural ores being
exhausted, new production in
Kazakhstan and Central Asia slow.
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metallurgical problems.
2. Kazakhstan has water shortage,
of y~ Central Asia ores present
harsh weather.
B.
However, gap narrowing.
(thousands m.t.) :
Example
1953
1954
1955 C
(Re
quire)
670
700
780
(Pr
oduce)
422
480
600
Def
icit:
248
220
180
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IV. Most free world controlling Bloc pur-
chases. However, problem complicated
by multiple trade transactions, lack
controls in "free ports."
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C. Same US analysis shows Bloc tried
get 192,000 tons more, maybe got
half. Other half stopped or
disrupted by COCOM.
D. Control problem aggravated by slump
in copper since early 1953, accu-
mulation large unsold stocks.
1. Chile situation especially
bad, by March 1954 total
175,000 tons unsold.
2. US then purchased 100,000 tons
from Chile.
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S "0 QAZ
E. At present, little copper on world
market (Chile even has unfilled
orders). Fact should eliminate
pressure for sales to Bloc.
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