UNITED STATES ACTS TO STOP FREE WORLD TRADE WITH NORTH VIETNAM

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March 8, 1966
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[Value in thousands of U.S. dollars] Approved For ~ ~ ~ 3 6 [F67 R9 Wt 00040005000Var'ch 8, 1966 Exports of free world countries to North Vietnam, January-June 1965-Continued Total to Percent North Total to Percent North Exporting country Total to Sine- of total Viet- Exporting country Total to Sino- of total Viet- world Soviet value nam world Soviet value nam bloc bloc LATIN AMERICA LATIN AMERICA-centinned Argentina_____________________________ ____________________________ Brazil 731,295 648,000 60,168 37,947 8.2 5.9 (1) (1 ) Peru (January-February) -------------- 96,136 1,079 1.1 ( ) _____ Chile--------------------------------- 352,009 329 0.1 P Uruguay--------________-_-_---------- 01,400 - 6,388 5.9 Colombia _-------------------------- __________ _ Jamaica 257, 983 119,228 8,119 1 _2.0 _ (1) (0 Cocomcountries, total 53,328,021 - 1,611,739 3.0 4,559 _ ___ Mexico_________________ 665,200 38,559 6.9 p) European Cocom countries, total__ 32,4 83, 727 1, 240, 559 3.8 2, 532 The ACTING PRESIDENT pro tem- pore. The time of the Senator has ex- pired. Mr. JAVITS. Madam President, I ask unanimous consent to proceed for 2 additional minutes. The ACTING PRESIDENT pro tem- pore. Without objection, it is so ordered. EDUCATORS OPPOSE ADMINISTRA- TION PROPOSAL TO CUT BACK NDEA STUDENT LOANS Mr. JAVITS. Madam President, on February 23 I inserted into the CON- GRESSIONAL RECORD-page 3712-the ob- jections registered by the banking community through the American Bankers Association to the administra- tion proposals to shift the National De- fense Education Act student loan program to the newly authorized subsi- dized loan guarantee program enacted as title IV, part B, of the Higher Education Act of 1965. As I Indicated in my remarks, bankers and educators stand together in their opposition to this proposal. Opposition was also most recently voiced by a num- ber of my colleagues on the Senate Edu- cation Committee who on March 2 joined in a colloquy on the Senate floor in which we expressed our reservations to this and other parts of the adminis- tration's fiscal year 1967 education program. I have received many letters from New York and other educators expressing their views. Most recently, Dr. Clifford Lord, president of Hofstra University, Hempstead, N.Y., wrote me setting forth his views and detailing how the admin- istration's proposal would adversely affect both students and the college. I ask unanimous consent to include President Lord's letter with my remarks in the RECORD. There being no objection, the letter was ordered to be printed in the RECORD, as follows: HOFSTRA UNIVERSITY, Hempstead, N.Y., March 3,1966. Hon. JACOB JAVrrs, U.S. Senate, Washington, D.C. DEAR SENATOR JAVITS: Serving on the Edu- cation Subcommittee of the Senate, I know you are aware of some of the problems being encountered by colleges and universities as a result of proposed cutbacks in the Na- tional Defense Education Act loan fund pro- gram. Permit me to describe the situation as it affects this university. During the current academic year we have received and distributed approximately $500,000 In national defense loan funds to 561 students. More than half of this money ($289,000) has been directed toward students who are preparing for teaching careers. As you know, the National Defense Education Act program provides that if these students teach for 5 years after graduation, up to 50 percent of the sum borrowed would be for- given. Therefore, many of the Hofstra stu- dents intending to enter teaching, view the National Defense Education Act loans as equivalent to a half scholarship. Our request for the academic year 1966-67, submitted on January 17, 1966, called for an increase to $600,000 in National Defense Edu- cation Act funds. This was based on an expanding student population and a growing tendency among students to regard educa- tion as an investment justifying borrowing. Information now at hand indicates that President Johnson has asked the Congress to reduce the budget for these loans from $180 million to $30 million. This is a drastic cut especially when growing college enrollments would argue for greater sums to be made available. In place of these Federal funds the President has recommended the creation of State-sponsored federally guaranteed loans which would duplicate the program already in existence in New York, under the New York Higher Education Assistance Corp. Many Hofstra students, where their financial need is great, already have both National Defense Education Act and New York Higher Education Assistance Corp. loans. The consequence of this change in policy would in our judgment be disastrous. Hof- stra's financial aid officer estimates a loss of over 80 percent of the National Defense Edu- cation Act funds received in 1965-66, and an inability on our part to meet more than a handful of the requests to renew National Defense Education Act loans for our stu- dents who are using them to meet educa- tional expenses. This would compel many undergraduates currently receiving national defense student loans, and other students planning to attend Hofstra who require financial assistance, to turn to the New York Higher Education Assistance Corp. for aid. However, loans from this agency, though they carry the same interest rate, lack several advantages of the National Defense Educa- tion loans: 1. They are not available to out-of-State residents; 2. They have no provision for forgiveness; hence the full amount would have to be repaid by those preparing to teach; 3. The university has no control over,these loans, as they must be forwarded to Albany for clearance; the normal time for process- ing is 4 to 6 weeks. With National Defense Education Act loan assistance can be imme- diately provided; 4. Time for processing the loans will be considerably increased since they will have In short, the change in the national stu- dent loan funds largely cancels out a valu- able program of financial assistance which the Congress and administration have evolved, and will adversely affect the educa- tional opportunity of hundreds of our stu- dents especially those preparing for teaching careers. We ask your help in restoring the national defense loan funds available to students with due recognition of the increased needs of students for this type of assistance. May I take this opportunity to refer to a second aspect of Federal aid to education which has created some concern; namely, the delay in formulating and announcing guide- lines to govern applications under the Higher Education Act of 1965. The Congress and administration deserve much credit for de- signing this act intended to benefit colleges and universities throughout the Nation. Title II of the act covering libraries is still unfounded, and I hope that the Congress will appropriate funds for this title during the present session. However, my chief concern is with the considerable delay on the part of the De- partment of Health, Education, and Welfare in furnishing guidelines to colleges and uni- versities for the funded portions of the act. Only 4 months.of fiscal 1966 remain, but we do not yet have the criteria and format for titles I; III, and VI. Briefing sessions on the guidelines were held last October by HEW, the State of New York has had committees formulating in-State policy for the various titles, various program have been submitted to Albany, but no Federal guidelines are available. The State of New York and its in- stitutions have settled down to exasperated waiting. A recent report on title VI prepared by the New York State Education Depart- ment calling for the State's colleges and universities to bear with us. Title IV guidelines have been issued and Hofstra applied for economic opportunity loans on January 17, 1966. However, no word has been received. This is distressing be- cause commitments must be made to bright but needy students in the spring for the fol- lowing academic year. Until we hear from HEW, we cannot make these commitments. I recognize that the Federal Government fears that rising expenditures for the Viet- nam war, coming at a time of high spending by consumers and business, may create a dangerously inflationary situation. Under the circumstances the Federal Government may indeed wish to slow down many of the Great Society programs so recently enacted by the Congress. This may account for the delays in processing applications, the delays in issuing guidelines, the cutbacks in pro- grams. But education is not the logical field to by a local bank; mindful of the great dependence of this Na- 5. The university has no control over the tion upon its colleges and universities and New York Higher Education Assistance the men and women they educate, and I hope Corp. loans, and cannot offer the student a that you will not allow the needed stream financial aid package to meet his needs, of Federal aid to education to be damned or to attract students to our campus, as was or diverted. possible when working with the National Sincerely, Defense Education Act loans for both in- and out-of-State students. Approved For Release 2005/07/13 : CIA-RDP67B00446R000400050003-0 CLIFFORD LORD, President. pproved For Release 2005/07/13 : CIA-RDP67B00446R000400050003-0 141ai?nh 8, 196 CONGRESSIONAL RECORD --SENATE 'I'ntel of listed'nnni.rles_ _ ("n il.ed "Ailtes____..-. _______-___-- (';111,4(1:1 _ I nrop(an t I KC 1) countries, ,.01:11 -'-- ------------ Austria Ile Igiuor I,mtxt uilu>urg Ur ra unark-__ I Lally Nc( h(rl ends Norway Tu rk,y. F:URfI r`, nTnFIR J 'inland .__ _--__-- i9rl'n~irLyl:l__._____. ypnls (ord:nr Libya_. _.-- C>4?1 la (J:)iuiary-March) udan (January-April) _. ----_- 1ited Arab -li.npub' 1r t b;gppt) 7anu- '1'111,;.} of Iisted countries_ ______.. 1ailed NLttos r'nnnda I urupean II'II I) countries, lul aL_- _ _ Aui.ria 13.IginIn Li i ,ccnlbouq? (h'ninark r r:Lnre a iree!?e ... . 9+.rla ld IC_'I:111f1 _. It (IS' N '1 hcdand., orwav nair~ -;w edten l' Irk cy IIII('d King(jom ;nilOPM f~T11 I.;R in Enid. Ira^ 1rur?I .. Aardtul l.leya 1,nduu (J an u;trv-Apri3)___----_- initod Arab R.epubl[e (!'gypt) (Jan uar1'-91. arch). ___ 1'`nutnotes at end of table. (niports of free world countries from North. Vietnam', January-June 1965 i arall v In thousand.s of Ti.9. dollars') l'ntal from world 10, 102, 593 3, 77:3, 324 979,528 3,080,67 1, 431,149 4, 884, 462 8,496,468 542, 862 65, (15.5 T38, 915 3, 552, 27) :3, 556, 547 11 097, 409,3M 1,415,4(11 :',165,1 15 1,817,157 281, 1)20 7, 996, 086 826, 264 6201 968 66, 703 439,121 414, 587 72, 821) 144, 3161 22, 96(1 fit, 254 100, RIM) ]:1, 195, 932 724,' 78 :37..125, 082 755, 148 3,117,248 1, 099,456 4,884,462 8 806,425 1.-6,193 (17, 029 5,9163 3 156, 699 :?.'157, 098 703,004 347, 384 436, 532 1'(15,371. l 41)1, 961) SU5, 1,46 6. 749,'218 24, fr .9 642, 000 "4,3,9151 9, (5)3 359, 849 64,413 86, 400 Total from Sino-Soviet bloc 6115, 942 21, 146 1.687, 498 101, 996 (i2, (1'23 Ell, 488 15(I, (A35 405, 922 49,197 9, 073 '044 221', ,906 81, 568 32', 820 6, 825 29, 4:10 04,504 38,207 26, (019 301,460 151,645 168,423 4,199 20, 736 7,000 7, 190 9,276 1,380 6,218 14,900 3,107,310 (i4, 313 05,"30.9 1,190,179 113,356 50,'73 49, 78.5 174,590 433,:J95 45,304 7,1157 1 765 187, 08:3 52,010 30, 011 2, 483 9, 11714 83,446 42,410 34, 670 180, 257 044, 956 132, 256 380, 837 197,051 4,392 23,810 8,332 752 215 8,770 36,100 Percent North of total Vietnam value 10. 4 2. 0 4.2 :3. 1. 4.9 9. 1 13.8 1.7 6.4 2.3 :3 0 1. 7 2. 1 4.4 2.1 9. 3 :1 8 I8 4 ?7 1 15.0 1.15 11. 5 :S. 6i 9 211. 6 14. 0 . (t 5. 4 1.7 4.3 1. 2, 2 44 3.0 lr,. 9 27 20. 5 410 12.7 3.7 3.4 7.8 .l 13.6 40.6 0.7 (1; .6 1 (S 24 423 2,261 97 (I) 6 3 4. 7 1 ---- 1 7, (1) 9.9 (i.4 (I) (1) 6.0 1 0.2 4.7 (1) 1 1181 68 1, 2(18 45 (1) 11)____ M) 68 (1) 2 69 137 Irnport:rig country A 61,ICA ------------------- ------------------- Kenya ---- --- -.. - --- ---- Malagasy Repubie------------------- Wall- -- _ ----_ . ----- M Oro' co__.____ -------------------- Niger ._.__.----- --------- Nig(r1:L.__ ---- I _---- 61todosia (South, n)_ ------------------- Sierra T,CnirO---- _----- (J----------- South Africa, Rcl?nblle of anuary- Itpril)-------- ------------------ Tanzaala_.---- -._---------------- Tunisia ___ __ (lg;lnda____.._ Fqi:. FAST 13urnua_ __..___-_-____- r i,uubud'ua.. --------------- Long Kong _____ ---------------- ---------------- - mlin--- --------------- 11:1alagu;tnd Singnorc_____----- P'akist: ul... _.. _-- 'Paitvau _-_-___-___-_ 'C bailand___.._--_ -._____------ ----Australia- n ANIA 'T I1ll L1a- - . ------ 1 ?)7nia ''/,ambta...__ - .__..______________ 'NMV zetl:ail,t_ ------------------ 1,ATIf? 1 MFRICA Argeril ina_ ___ _____.---- ,_------ )[raeil .. ._ _ Hril,ish Guiana (Issizary-February)___ I tiln_..____..__. _...__-- 9'Iexic0 - -_ ------------ - Plat (. anuary-F.',rnary)__________ _ 'Trinidad and Tol,.I )) -------------- ____ i.: ruguay._ ----- i'ocorn countries, I? Ltd _____________... 1:uroie an IJOmrn nmtries, total______ A?' -I!IA Augw:j --------- --. ----------- hanu _.__-__-_ (J Ti nya.. ------------------ ----------------- , M11Li1a::yltepubL' __ __ MA1I . ----- N1no co___- -- __ ------_-- Nt enn. _ ItLodr'si, (Southen.l_----------------- 8011th --- - - - -Africa, RePIiblic of (January- , APTH) . -- ----- --anzania___ ----- ----------------- ----------------- ----------------- ----------------- PAR EAST Afghairistan------ -------- ................. liurnta.__________ Cfluthodia---------- Ue.ylon _--____ Hong Kong-- ----- ------------------- Tndia___---- _----- __......_______----_ Japan---------- ---------------- Alalaya and Singap,ro-------------- _, Pakistarl--------- 'Chailan l._...._ ------------------ ------ OCP:r NIA Australia------ -------------------- NowLealand._---.. ------------------ Total from world 78, 221 183, 765 121,755 66,295 19,297 200,558 18, 480 .381:300 164, 716 89, 276 52,200 826, 800 63, 531 23, 622 120, 620 58,256 140, 244 126, 800 48,100 166, 830 786, 159 1, 351, 582 4,145,455 758, 006 578,280 257, 781 339, 300 583,164 514, 091 14, 083 247, 775 237,314 147, 544 741, 162 1)3, 720 240,253 93, 700 .53, 348, 633 33, 327, 261 urce: (T., . Del, rlment of Cornmcrcc. 1 tr pports of free world co)Irat rir.4 to North Vietnam, .1 lteuary-June 11)55 f 1r+.iur In Ihoi ,..,Ln(LC of (1.54. dol}:Lrs) T o a world t l 95, 642 179,830 76, 771 39, 225 9, 411 236,477 377, 500 169,400 484, 400 83,679 14, 933 613, 259 95, 467 248, 822 35, 300 114, 100 56, 500 195, 382 419,421 817,258 3. 923, 584 668, 232 262, 839 297, 600 1,499,613 576, 318 98:3 36, 657 2,811 718 1195 '23, 425 17:400 1, 494 300 5,1-27 61)0 4,182 11,098 ,5, 4.12 11, 500 20,80n 6, 401) 36,701 1, 972 147:929 211, 562 64, 379 34:616 2,900 159, 051 91623 Approved For Release 2005/07/13 CIA-RDP67B00446R000400050003-0 Percent of total valuo 1.0 20. 4 3.7 1.8 6.3 9.9 4.6 .9 .1 6.1 4.0 6. 6 11.6 2. 2 32.6 18.2 9. 6 18.8 .5 18.1 5. 4 9.6 13.2 1. I) 10.11 1.7 N, rrl It rlartt '(27 1,659 (') (' 1 14 Total from Percent Kurth Sino-Soviet bloc of total vaL1o V ialnani 230 41, 532 22. 6 2, 1(15 2.4 1,267 1.9 7.782 40.3 12, 229 1,154 li. 2 16, 000 4.2 456 1,604 1.8 2, 800 514 2, 800 .3 2, 268 3.6 973 4.1 5, 033 3.9 1,605 2.8 232 .2 25, 000 19.7 13,200 27.4 1,200 41, 1(12 24. 0 (1) 202, 930 25.9 1, 311 [39, 361 10.3 252:844 6. 1 Ii, 466 54, 395 7.2 1)06 28, 957 5. 0 349 .1 3,9()o 1. 1 (1I 18,54[ 3. 2 341544 6.7 3(ili 2. 6 617 .3 4, .552 1.9 49 ---------- 2, 551 .3 281 .3 3:13 .1 1, 421 1.5 1.745 , 176 3. 3 820 1, 405, 244 410 3. 354 5008 Approved For eW%?gP6*YL3R RBP67 00040005000 rch 8, 1966 There being no objection, the letters very much that there will be further reduc- munist country and that the owner is not and schedule were ordered to be printed tions. able to prevent. During 1965 free world countries having With respect to your suggestion that the in the RECORD, as follows: ships in the North Vietnam trade were: ships of those nations continuing in trade DEPARTMENT OF STATE, Cyprus, France, Great Britain, Greece, Italy, with North Vietnam be blacklisted, I would Washington, D.C., March 4, 1966. Japan, Lebanon, Liberia, Malta, the Nether- call your attention to the announcement by Hon. JACOB K. JAVrrs, lands, Norway, and Panama. During the last the Maritime Administration on February 12 sident h P re e U.S. Senate. 6 months of 1965, no Italian, Japanese, in the Federal Register that t DEAR SENATOR JAVIT5: We appreciate hav- Lebanese, Netherlands, or Panamanian ships had approved a policy of barring U.S. Lov- ing a copy of your speech to the Freight called at North Vietnamese ports. During ernment financed cargoes shipped from the i 1 fla shi s calling n- p f Forwarders and Brokers Association in New this latter period France and Liberia each York, on January 26, which you enclosed with had a ship making one call. you letter of February 14 to the Secretary. With respect to the question of existing or You said you would be interested in the proposed legislation to terminate aid to coun- administration's position concerning your tries still engaged in trade and shipping with proposal that we vigorously press our allies North Vietnam, I should like to point out and other nations to eliminate their trading that only four aid-recipient countries had with North Vietnam. ships calling at North Vietnam ports during We have been giving continuing attention the last 6 months of 1965; namely Cyprus, to the problem of both trade and shipping Greece, Liberia, and Norway. Some of the by the free world with North Vietnam. As ships of these countries were under long- you noted in your speech, the volume of the term charters to Communist countries and trade is small. It amounts to only 15 per- not under control of their owners. However, cent of North Vietnam's total trade, and is we have already had assurances in some cases nonstrategic in nature. It is, furthermore, that once these charters expire, the ships subject to the strategic embargo restrictions will be removed from the North Vietnam of the Coordinating Committee (Cocom) trade. All of the four aid-recipient coun- countries. Free world exports to North tries are taking steps to remove their ships Vietnam consist mostly of textiles, food- from the trade in order to continue to qualify stuffs, and fertilizer. Imports from North for United States aid. For example in the Vietnam are mainly anthracite, apatite, rat- case of Liberia the Government has issued tanware, fruits, and vegetables. Enclosed are regulations making it unlawful for its ships lists of free world imports and exports to to carry cargo to or from North Vietnam. North Vietnam for 1963, 1964, and the first We will, of course, keep the effectiveness of 6 months of 1965 that were prepared by the these measures under continuing review. It Department of Commerce. Although we do should be pointed out that Great Britain, not yet have data on free world trade with which has by far the largest number of free North Vietnam for the last half of 1965, we world vessels in the North Vietnam trade, is believe that there will be a decrease in that not an aid recipient. trade in view of the sharp drop in free world The problem is particularly complex with shipping to North Vietnam during the last respect to ships under British registry. The half of 1965. majority of these vessels in the North Viet- Since free world trade moves almost en- nam trade are small coastal vessels owned tirely by sea, we have approached other coun- and registered in Hong Kong by Chinese tries on this problem in terms of controlling Communist operators, yet by virtue of their this shipping. (Such an approach is con- registry are entitled to fly the British flag. sistent with relevant legislation and has They are on time charters to Communist been remarkably successful.) Furthermore, China and normally ply in trade only be- it is a more constructive approach to coun- tween mainland China and North Vietnam. tries which would find it difficult to support Secretary Rusk took up the problem of our Vietnam policy if we attempted to per- British-flag shipping in the North Vietnam suade them to impose an embargo on all trade with Foreign Secretary Stewart in trade with North Vietnam. January. Under Secretary Mann discussed As the Secretary indicated in his testi- the problem with British Ambassador Dean mony before the Foreign Relations Com- in December and again in January, Subse- mittee on February 18, we have made vigor- quently, during the week of February 1 copy of this speech is enclosed for your in- ous representations to those free world coun- Assistant Secretary Solomon discussed the formation. d tries whose nationals have been engaged in problem with the Foreign Secretary an I would be interested to kwhat the shipping with North Vietnam. other responsible British officials in London. administration' d be s position is know o this trade, As a result of these representations and If British-flag vessels could be removed from what Navdone it eliminate is n this issue, continued followup efforts, the number of the North Vietnam trade, we would have and what this trade amounts to currently ships involved in the trade has declined arrived at the virtually irreducible minimum including the countries, number of vessels, sharply. For the last 6 months the monthly of free world involvement in North Vietnam and products iIn this taverage of calls by free world vessels at Hai- shipping. There still might be an occasional suds involved ol response will trade. a reclated phong has dropped to 14 as compared with free world ship calling in North Vietnam as Your pp 34 per month in 1964. We are still working there will also remain the possibility of an With warm regards. lts from an un- Sincerely h t , resu a hard on the problem of bringing these voy- occasional voyage t ages down as far as possible, and we hope expired time charter contract held by a Com- Free world countries trading with North Vietnam, 1963 and 1964 [Value in thousands of U.S. dollars] Countries 1964 exports to North Vietnam 19641m- ports from North Vietnam 1063 exports to North Vietnam 1963 Im- ports from North Vietnam Countries 1964 exports to North Vietnam 1964 im- ports from North Vietnam 1963 exports to North Vietnam 1963 Im- ports from North Vietnam - 58 -------- 28 Cambodia ------------------------- 1,188 1,266 580 1,409 Austria---------------------------- Belgium-Luxembourg ---------- -- --------- 2 767 ---- 2 1,514 5 Ceylon---------------------------- Tunisia ------ 59 ------ ----- ----------- ------------ ------------ ------------ ------------ Dcnmark------------------------- - 12 551 2 10 740 3 41 542 2 3,600 -------------------- Hong Kong ----------------------- - 88 3,729 162 3,304 France---------------------------- lederalltepublioofOermany_____ , 1,108 , 236 , 322 191 3 India______________________________ Japan ------------------------- 12 3,372 --------- - -- 9,842 8 4,316 ------------ 10,235 Ireland---------------------------- ------------ 274 1 --------- -- 278 ------------ 2,207 593 --- Malaya and Singapore ------------ 1 . ,288 1-434 ,296 163 1,434 Italy______________________________ Netherlands----------------------- , 144 1,312 167 167 2,276 2 Pakistan -------------------------- New Zealand --------------------- ------------ 24 ----- 1 ----------- 27 ------------ ------------ Sweden ---------------------------- _______________________ Switzerland ------------ 79 7 69 72 102 70 73 - Senegal--__-______-_______-_------- Argentina ---------------------- ----------- 606 ----------- ------------ ------------ - ----------- Kingdom __________________ 101 165 --- Mexico --------------------------- 95 - 3 Finand---------- ------------- d 6 ---- ------------ 4 27 - Australia----------_-_---?-------- --?-------- 350 - - Jor an-------------.----?--- ----- United Arab Repubhe (Egypt)-- -------- 200 386 140 11 9 3 ---_______------------ Total 12,221 - 12,761 - 24,800 Morocco--------------------------- 12 ------ 1105 --- 1 -- Ivory Coast ------ ------------ 1 ----- I January-October. Source: Department of Commerce. g rom ore g United States at North Vietnam on or after January 25, 1966. This announcement contained a list of five free world ships which have recently visited North Vietnam and which are there- fore barred from the carriage of U.S.-financed goods from U.S. ports. Further lists will be published at frequent intervals. The policy directive barring U.S. Govern- ment financed cargoes to ships calling at North Vietnam was calculated to supplement our diplomatic approaches and the action taken against recipients of U.S. aid. It is be- lieved that these measures will be adequate to remove practically all the remaining free world shipping from the North Vietnam trade. If, however, these measures are not successful further action will have to be con- sidered. I hope that this information will be help- ful to you, and I trust that you will let me know if there are further questions. Sincerely, DOUGLAS MAcARTHUR IT, Assistant Secretary for Congressional Relations. Hon. DEAN RUSK, Secretary of State, Washington, D.C. DEAR DEAN: On January 26 I made a speech to the Freight Forwarders Association in New York City on the subject of East-West trade. In that speech, among others, I recom- mended that the United States vigorously press our allies and other nations trading with North Vietnam to eliminate this trade in view of the situation in that part of south- east Asia. I also recommended that, should this effort fail, we should cut off economic and military assistance to countries continu- ing this trade and that at some point put Approved For Release 2005/07/13 : CIA-RDP67B00446R000400050003-0 llr rx) c dt h', / !)(;(,Approved For l a 9 7(I3fto 67 000400050003-0 :;un Ibat we as>umed the labor safeguard and the don :it of equal status to immigrants goods to North Vietnam. As a result, rxriil.aiued in the 1952 ace was fulfilling its born in two of our American Ri' ublics. the number of ships involved in the trade intended purpose. These irritants were removed by the act of What ir; Liai essential. difference between October 3, 1)65, :and this is one reason why, has declined sharply. For the fast by Lee labor provision enacted in 1952 and the when we appraise that act in term, of all months, the monthly average of calls by more restrictive provision contained in Pub- its provisions, the conclusion is inescapable free world vessels to the port of Ilai;rhong lie Law 89-236? Prior to December 1, 1965, that the immigration law today is infinitely has dropped to 14 as compared with 34 hi' responsibility for taking the initiative to more equitt Ole than at any Lime in our per month in 1964. establish displacement of American workers history. Second. Among the countries with or adverse effect on wages and working con- r ships calling on North Vietnam +Iitfun.; devolved upon the Secretary of La- Mi. WILLIAMS of Delrawale. Madam ports, her. The labor restriction Shad ecretary no force in President, 1. suggest the absence: of a four are U.S. aid. recipients: Cyprus, hie absence of a certification and, as a mat quorum. Greece, Liberia, and Norway. All of the for of tact, the provisions of section 212(a) The ACTING PRESIDENT pro tem- four aid recipient countries are taking (14) were completely dormant for 41,~, years pore. The clerk will call the roll steps to remove their ships from the er the Mc(. irran-Walter Act came into The lcgis',ative clerk proceeded to call trade in order to continue to qualify for force. The preamendment certifications of the roll. U.S. aid. Liao Secretary of Labor had the effect of ex- M. JAVITS. Madam President. I ask Third. Great Britain, which has by eluding any intending immigrant whom the far the largest number of free world c'insular officer found to be within the sco unanimous consent that the order 3 or the of tree certification. Now under the amend` quorums cal. be rescinded. vessels in North Vietnam trade is not an I'd provisions of section 212(a) (14) a labor The ACTING PRESIDENT pro tem- aid recipient. Secretary Rusk and Un- certiiication has the effect of admitting the pore. Without, objection, it is so der Secretary Mann. are in touch with the particular immigrant or immigrants for ordered, Government of the United Kingdom to whom, it is granted, and the burden of prov- Mr?. JAVITS. I ask for recognition. deal with the rather complex problems fog nondisplicement of American workers Tlit: ACTING PRESIDENT prim tern- involved in removing British-flag vessels and till adverse effect has been transferred from this trade. Many of these ships to Lhe Anleric an employer. There are other pore. line ihenator from New Yorke are small coastal vessels owned and reg- ismpiirtant dnterences. The labor certifica- --- ~-. - ~~! istered in Hong Kong by Chinese Com- Lions under the former law were directed a;ainst specific employers in this country UNITED :'PATES ACTS TO STOP munist operators, yet by virtue of their or against designated geographical areas and FREE WORLD TRADE WITH NORTH registry are entitled to fly the British were issued on a selective basis. They were. VIETNAM flag. There is no indication in tilt let-? in other word: , limited in scope as con- ter of the progress being made iii our tasted with the recently published sched- I'vIr. JAVITS. Ma,da.ln Presid: ut, I talks with the United Kingdom. tale 13 (occupations in oversupply) which has call the attention of the Senate to one Fourth. On February 12 the Maritime nationwide application. We appreciate the of the most nettling problems that faces Administration announced in the Fed- problem inherent in any listing of the sched- us in North Vietnam. It is a fact that eral Register that the President has ap- oleB necupations onran earea-by-area bathsis. a great deal of the supplies to North proved a policy of barring U.S. Govern--ren Ltngaage of seos, to ion, but 212(a) (14) clearly cone Vietnam is coming by sea. Thou' h, of meat financed cargoes from foreign-flag lasnpiaLes a dectionnation (shortage of able, course, the Soviet Union or other Com- ships calling at North Vietnam on or willing, and qualified workers) with respect inmlist states are shipping supplies into after January 26. Five free world ships an "the place to which the alien is destined." Vietnam, I again call attention to the were involved i:n this first announce- +;o:agreesman Fitt:auAw emphasized this point fact that goods are being shipped to meat-three British, one Cypriot, and during the debate on H.R. 2580 when he said North Vietnam from countries in the one Greek-and they will be barred from the following: 'New labor controls are es- free world, by some of Our stoutest al- carrying U.S. financed cargoes from U.S. ialrlished to govern the admission of all lies, including Japan and France. Ports. These ships will be able to visit wo'nigr;ant worker classes. 7t is true that ships engaged ill this U.S. "i'hct,e new controls require the Secretary traffic flying the flags of Great Britain ports cdtc, however, and carry privuiely of 1abobor to make in affirmative finding on in , financeargo. ,ite labor case, basis that, with respect to Cyprus, Greece, Liberia, and Norway, are It is my understanding that as it re- Lie job the immigrant worker is to fill in not always under the direct control of sult of these actions, there was a sharp the: locality to winch he is destined, there their governments. Nevertheless, gov- drop in free world trade with North Viet- i.,,. :ao able, wafting, gwalrfled and available ernment,s ca. a deny rcr,,istration, and can nam during the second half of 1965. anterican worker Ii-, till that lob." persuade th't owners of these ships to During the first half of 1965, free world Ica conclusion, I can assure you that the withdraw tieir vessel,,; from the trade. exports to North Vietnam totaled $7.2 oufminrtrative officials who share response- '[t would hall) ifs if they would stop million, with Japan, Malaysia, France, rartity tar enton,ement of the irnmigra.tion supplying that country with those sup- and the Benelux being principal export- ,.1w have been remarkably flexible in their plies. ers. Free world imports from North r.,'h:,lru .tion al 11 application of the new t anor safeguard Particularly commendable In addition, one of the countries with Vietnam in this same period totaled the action of the Secretary of Labor in the most ships flying its flag, Great $13.3 million with Japan, France, Hong i:'iog a blank at certification for some Britain, is a .r,ref,t friend of ours. I say Kong, and Cambodia being the principal 1.51) P? lfsh unnutirants who, short of that with no sarcasm, but with the importers. Imports from North Vietnam tic>. e si lg petal', . ts. had qualified for greatest conviction. We should Co all involved principally anthracite coal; as r all re re is when the new law came ve can to ge!, the British to call off these while exports involved mostly textiles, tun) toree, l 1st ally commendable was his r!llillg that hips foodstuffs, and fertilizers, c ul am p Lrolees in the United 'lit s a fact that the trade is mall The State Department's actions to date ;tte, ..re not Slibl"et, to the labor eerti ica- r?n when they aoply for lmnugrant visas land does not involve strategic goods. It have been effective and I hope that its t;r;>nd. A blanket, certification has been seems to me our people should recognize further efforts will result in the chin ina- :+)for per o?> in the service of reli_ the fact tha, 'it is small. Nevertheless, tion of this trade in the near future. ..ms dr nomin t n,i;. there is general agree- it is nettling to us while we expend rrreat Once the Vietnam conflict has been ,'n, that the lchiic provision applies only amounts of human and material re- terminated, with a just solution, it has ,ttr ,aeon of the gamily and not to his sources in Vietnam, and it seems to me already been made clear that we wr)tlld r .arrd children; also, that it does not we should do all we can to get (:'great be willing to reconsider our policy' ppty to tie self employed, or to those who olicy t.o- vi i 1 not he g Britain, as well as other countries, to ward trade with North Vietnam and to nn11 u1 1v employed in this ceun- a,cy. iS t.here will be other rulings cut that trade materially, consider seriously the inclusion of a trade a Like nature. I think they reflect a On February it I wrote Secretary Rusk agreement between the United States and i.;position nn 1 ,he r.,r., of Government, to be and asked him to state the administra- North Vietnam as part of the Ov , as we strive to carry nut tion's position an this question and to settlement in Vietnam. toe will of Congress ?rhe secretary of State describe U.S. actions currently underway I ask unanimous consent that a letter to d last 2 }fir:; made four appearances to eliminate this trade. sent to me by the State Department, i the ional l ion refornin. committees thnesup- of he On March 4 I received a reply from together with my letter to the Secretary port h ."i.ntca three leat,xres of the former law the Department. The key points in this of State, and tables indicating the value wt,i,"h were adversely affecting nor foreign letter are as follows: and countries involved in this trade, may 'k.ations; namely, tlae national origins quota First. We have approached several be printed in the RECORD as a part of my iv:aem, the A i a-Paoilic triangle restriction, Countries involved in shipping these remarks. Approved For Release 2005/07/13 : CIA-RDP67B00446R000400050003-0 Approved For Release 2005/07/13 : CIA-RDP67B00446R000400050003-0 CONGRESSIONAL RECORD - SENATE March 8, 1966 one such expert has put it: "All the indi- cations are that Peiping will only decide on direct military involvement if it believes that the United States has mounted a Yalu River-type escalation directly threatening the security of China Itself." In a word, China's actual military posture in Vietnam remains essentially defensive. China's goal is to see the United States defeated by the Vietcong and to avoid itself being drawn directly into the conflict. What in the past was based largely on ed- ucated guesswork can now be supported by an extremely significant, and largely un- noted, recent statement of China's Premier Chou En-lai. Chou, in a December 20 speech in Peiping celebrating the fifth anniversary of the founding of the National Liberation Front, outlined a number of actions the United States is preparing to take in Vietnam including the following: Bombing Haiphong and Hanoi; harassing and blockading the Bac Bo Gulf to cut the sea communications to Hanoi; bombing the Communist-held cen- tral and southern parts of Laos; dispatching United States, Thai, and Loatian Government troops to occupy this area; and instigating the Thai and South Vietnamese Governments to seal the border between Cambodia and South Vietnam. Chou said nothing about possible Chinese responses to such action. Rather he said that if all these actions failed to save the United States from defeat in Vietnam, as he predicted they would, it is possible that the United States would "go a step further and extend its war of aggression to the whole of Indochina and to China." He strongly sug- gested that only at this point would China enter the war. Similarly, Foreign Minister Chen Yi, in a December 30 interview with a Japanese Communist correspondent, said in reply to a question about how China would cope with American escalation in Indochina: "If U.S. imperialism insists on extending the war to China, we cannot but resolutely take up the challenge and we will not call off the battle until complete victory." Why should the Chinese tip their hand in this fashion? One reason might be a desire to draw the line sharply between what the United States can and cannot do In Vietnam so as to deter a premature U.S. attack on Chinese territory. Another might be to pre- pare the NLF for the failure of the Chinese to respond should the United States under- take the lower level actions mentioned by Chou. These actions, Chou implied, could be dealt with by the Vietnamese people themselves. Obviously no one can be absolutely sure what U.S. actions in Vietnam might trigger a war with China. But available evidence suggests that Peiping Is just as anxious to avoid a larger war as Is the United States. Such a war, In which China would be ex- tremely vulnerable to American air power, would serve no rational purpose either for China or the United States. This is not to say it could not happen, Nations have blun- dered into war before. The point is that both China and the United States have very strong reasons to avoid a direct confronta- tion in Vietnam and there Is a reasonable chance that they can do so. This does not mean that escalation carries no risk or is desirable. But It does suggest that the apocalyptic view taken by some ad- ministration critics is not appropriate to the situation. Moreover, this view hampers real- istic consideration of American options. THE MERRIMACK II STORY Mr. COTTON. Madam President, It is an unhappy fact of life that every hair-brained scheme bearing the bless- ing of Government planners and bureau- crats receives front page attention, regardless of merit or return to the tax- payer, while the contributions of private investment to the growth of our econ- omy are accepted as a matter of course, with little notice and faint praise. We are confronted with a classic example of this in northern New Eng- land where much has been made of a proposed hydroelectric project on the St. John River. In the midst of all the clamor attending this determined effort to bring public power to my section of the country, wanted or not, needed or not, economic or not, the Public Service Co. of New Hampshire is quietly pro- ceeding with the construction of a $37 million extension of its Bow, N.H., plant, designed to bring needed power to our State, at reduced cost to the consumer, without expense to the rest of the Na- tion, and with the payment of additional taxes to community and State. As is pointed out in an excellent edi- torial appearing in the Manchester Union Leader for Friday, February 25, this provides a textbook lesson in the benefits of free enterprise as opposed to Government control, and I ask that the full editorial be printed at the conclu- sion of my remarks. I, for one, am delighted to help tell the "Merrimack II Story" and invite to the attention of the Senate that private initiative has not yet been stifled by big Government, at least in New Hampshire. There being no objection, the editorial was ordered to be printed in the RECORD, as follows: [From the Manchester (N.H.) Union Leader, Feb. 25,19661 WHO WILL TELL THE MERRIMACK II STORY? Construction of a $35 million addition to the Public Service Co,'s generating plant in Bow, with an anticipated drop of between 30 and 40 percent in electricity bills, not only will provide a textbook lesson in the benefits of free enterprise as opposed to Government control, but also it will bring that lesson home with dramatic impact. William C. Tallman, president of the firm, described this dramatic success story without need to resort to overstatement during his remarks at the recent ground-breaking cere- mony. When the new addition-to be known as Merrimack II-becomes operational in the spring of 1968, Tallman said, New Hamp- shire will have the lowest electric power cost of any thermal unit In the six New England States. The 350,000-kilowatt unit at Bow will cause power costs to drop from 71/,z to 4.9 mills per kilowatt-hour. Thus, in the short space of one decade, the cost will have dropped from more than a cent per kilowatt- hour to less than one-half a cent. The addition to the existing plant, 6-year- old Merrimack I, will produce a total gen- erating capacity of 476,000 kilowatts and also will result in the employment of hundreds of New Hampshire men at the construction site. The company's investment is a commit- ment not only in terms of dollars and cents, It is also an affirmation of the Public Service Co.'s confidence in the future of the Granite State. To illustrate that confidence the firm is spending $37 million on Merri- mack II, the largest investment in a single factory ever made by a New Hampshire in- dustry, and $8 million for new transmission lines. Vice President Eliot Priest estimates that some $11 million will be spent in New Hampshire for wages and materials for the construction project. Out-of-State readers of this newspaper can breathe a sigh of relief. This is not a TVA- type project. The lowering of electricity costs here is not being accomplished at the expense of the rest of the Nation. Since all private utilities are watched closely by the Internal Revenue Service and are forbidden to deduct the cost of certain institutional advertisements from their taxable incomes-i.e., they may not indicate a preference for investor-owned utility com- panies as against Government-owned plants which are the beneficiaries of tax favoritism and vast public appropriations-it is to be hoped that New Hampshire's congressional delegation will use their positions to lavish the kind of praise on Merrimack II that is lavished on public power projects. There's no law against that-so far. FIRST LADY'S SPEECH AT THE UNI- VERSITY OF ALABAMA Mr, ERVIN. Madam President, on February 25, 1966, our First Lady, Mrs. Lyndon B. Johnson, addressed the Uni- versity of Alabama and American As- sociation of University Women Leader- ship Conference at Tuscaloosa, Ala. In returning to her native Alabama to speak at the university which she once attended, Mrs. Johnson alluded to the early history of the university and em- phasized the role of women in the uni- versity's development. Mrs. Johnson indicated several areas in national life in which women are making an outstanding contribution and correctly opined "when women get be- hind a project, things happen." The First Lady did not confine her praise to the ladies. Indeed, she right- fully lauded Alabama's two distinguished U.S. Senators. No one knows better than their Senate colleagues how right Mrs. Lyndon Johnson was when she said "there are two men who stand tall in the Nation's Capital." I would like to identify myself with Mrs. Johnson's tribute to two of the Senate's most able Members. The First Lady discussed, in an en- gaging manner, a number of the admin- istration's programs. I call to my col- leagues' attention this very interesting and charming speech of a very lovely lady. Madam President, I ask unanimous consent that Mrs. Johnson's speech be printed in the RECORD. There being no objection, the speech was ordered to be printed in the RECORD, as follows: REMARKS BY MRS. LYNDON B. JOHNSON, UNI- VERSITY'OF ALABAMA AND AMERICAN Asso- CIATION or UNIVERSITY WOMEN LEADERSHIP CONFERENCE, TUSCALOOSA, ALA., FEBRUARY 25, 1966 Dr. Rose, friends, coming home Is always a nostalgic experience and Alabama is second home to me. But my nostalgia is mixed with pride today as we gather at this great uni- versity. Back in the summer of 1931, 1 was enrolled here for 6 short weeks. Over the years, this campus has lived in my mind as the perfect setting for a college. It seemed to come right out of a novel, with all the romance and beauty that implies. I remem- ber the patrician president's mansion and the quadrangle with its great old trees, offering welcomed shade and that comfortable feeling of deep roots. There was a marvelous swim- ming hole off the campus that must by now be lost to the forces of progress. But the center of life was the Union Building. We Approved For Release 2005/07/13 : CIA-RDP67B00446R000400050003-0 March 8, 196Approved For .t1qMMNW k~3 -f f4 oRDP676FNATE000400050003-0 than regret. It, passed a. resolution, the first in its kind, calling on him to reconsider. "'t'he general welfare of the entire United Males and Virginia demands his continued service," the resolution concluded. Byrd, bearing his promise in mind, went to Mrs. Byrd with the assembly's request. She herself wrote a. letter to the assembly: "I. have looked forward to my hlrsband's re- tirement, but I do not, feel that my hope should obstruct the judgment of those better informed. than I who think he can render a public service in these trying days." So Byrd ran again for the U.S. Senate. His .'avoriie corner there is the finance rore- inil,tee of which he is chairman. He fig hts a cheerful but endless rearguard action against ten, much spending, too much foreign eco- nomic aid, too much intrusion by the Fed- eral power. His arguments, in brief, almost oiihanrl speeches, are never stilled. Ifiundreds of major legislative actions in 1,i>' liisral field over the years have borne the iinprint of Byrd'5 thrifty hand. The sound- ne,:is of the social security system, for one, represents an enduring Byrd victory. From ttnl enactment of the law in 1935 Byrd was for the beautiful tributes that have been sion in the National Park System. This coil.- paid to him this morning, and for the tains the magnificent Gold BluH"s se lshnr?, magnificent plaque which was worded with numerous waterfalls dropping ciow> and approved by the Committee on Fi- the face of Gold Bluff from the forest, above, nanee, on which he served so long as the unbelievably beautiful Fern Cant us, the chairman, world's tallest trees, and a far greatr '. riet', Those SEn:a,tOF5 who served wi!,Yl him of scenic features than are found in any of know how deeply he revered the Senate v the ariety other wildlife cispec es, incluci rr ~* the of the United States. I believe that all Roosevelt elk are to be found in t.h?a pro- Senators know how much he mis;e's the posal and the area is especially important many wont!?1?ful and warm friendships for its ecological value. It's recre:.tional he enjoyed for so many years w1 h his facilities are far better than those n the l co leagiies 1n the Senate. Speaking from my own point of view, it was; an ilispifing, wonderful thing to- day to sit in the Senate Chamber that he loved so mveh and to hear so many dis- tiinguislied U.S, Senators pay If,) my father such wonderful tributes. Madam President, on behalf :f my father and myself, I express ms deep appreciatioi_. Bluff Beach would afford unequalledop- portunities to the public for the enjoyment and use of a seashore area. In additin*i. the Prairie and Redwood Creek areas are better suited to absorb an increasing visitor load, without impairment, than are any r>f the other possible national park proposals. Of greatest importance is the fact that the Prairie Creek-Lost Man Creek-I.erl wood Creek Valley contains a wider swe,?p cif primeval redwood forest than is to be mound in any other sectJon of the redwood r ? r dissatisfied with. it because it promised bil- REDWOOD NATIONAL PARK lions of dollars in pensions but offered no !r,o:iranl,eed means for paying the bill. He Mr. METCALF. Madadn President, on wanted nothing lass than a. pay-as-YOU-go February 23 when I introduced alnend- plan--and 4 years later, in 1939, Congress ;meat 487 to S. 2962, to establish a Red- accepted a Byrd amendment for pay as you wood National Park, I listed the follow- 0>. pig organizations which support ainend- .?eventeer, years later, when the Eisenhower lnent 437: Sierra Club, the Wildlife cctministration proposed the vast, multibil- lion-collar hi~bw:c Management Institute, the Wilderness R y program now i.n the :, process or lacing this country, Byrd returned Society, the ';, ensComitlittee 011 Nat- Nat- 's t at ion ,i, K,e ail Humphrey, theca Secretary of the Treasury, wanted to finance the system with it bored issue which would augment the al- ready mountainous Federal debt. Byrd told diem, "Roads, Yes, gentlemen. Tionds, no, rentlemen." When the Federal Highway Act of 1956 wa. finally adopted, it carried Ilyrd's pa.y-as-you-go financing plan. 1Ie fights doggedly even on small items. When in. 1945 the time came for President Franklin D. Roosevelt :s fourth innnguration, Byrd was chairman of the inaugural commit- f,ee. Congress appropriated for the occasion $25,000, to Byrd an ample sum. F.D.R., who had conducted polite but relen.iless warfare for year:; with the Senator, observed one night to friends: "Old Harry is so worried about money, I think I shall simply an- tiounce that I want; nothing from him for the inauguration--not, even his precious $25,000." llyrd calmly took the President at his word. le issued orders to the inaugural committee in return the $25,000 to the Federal 'Treasury. Roosevelt paid t'or the chicken a, la king naugural luncheon out or regular White Ilnnse funds. Ilyrd has always assumed that. because he means a thing when he says it, other pub- lic men mean what they say. Demagoguery a utterly foreign to him; he never hides his Riotives or, apolol',izcs for his actions, "I Just go nn my regular course," Byrd was quoted by Time. "I don't claim to have any special virtues at a.ll I jest vote for 'what I think is right." Truman once sa.irl that there were "too many Byrds" In the Senate. But there is only one i.{arry Flood Byrd of Virginia; and there will not sons if ever, he another. l:;sues are endlessly debatable; but cha.rac- i?ar is not.. And Harry Byrd symbolizes it vanishing era of public men who stood to the , ore in awareness that their true and nit3.- inate responsibility was to country and history. Mr. BYRD of Virginia. Madam Presi- dent, on behalf of the former senior Sen- ator from Virginia, as well as on behalf of the present junior Senator from Vir- !tnia, I express my deep appreciation to the former colleagues of Senator Byrd this sweep of forest extends from the-near rain forest grooves in the present Prairie Creek State Park southeastward acrr ? the width of the redwood belt. Within thi:. pro- posal there are also a number of unaltered tributary streams to Redwood Creek. 'these are practically the only streams in the red- wood region today, the watersheds of cehich are still untouched by man. With some 12,000 to 15,000 acres o: the redwoods being logged each year it i: the understat>'me?t -- - urge estanlin fi- doors Clubs, the Izaak Walton Lrague, meat of a Redwood National Park of apl,rox- the Public Affairs Institute, Trout Un- imatly 90,oro acres, believe the Prairie Creek- limited, the Audubon Society, and Citi- Lost Man Creek-Red red for wood such a zens for a Redwood Park. Amendment pray that the first act of the next park, 487 is also su;)ported by thr' Garden Chub f ica went on record at a hearing before the Department of the Interior last No- vember. I ask unanimous consent to in- sert in the RL:COR;I the statement at that November 22, 1965, hearing by Mrs. Thomas M. Waller, president of the Gar- den Club of America. There being no objection, the resolu- tion was ord-ared to be printed in the RECORD, as fol.ows: (For presentition at a meeting to review and di::cuss proposals for a Redwoods Na- tional Park in California---U.S. Department of the Interior, Washington, D.C., November 22', 1965. I am Mrs. Th,mae, Waller of Bedford Bills, N.Y., president of the Garden CluL of America, a nati.na] organi:aation with mem- ber clubs from mast, to coast and in Hawaii. I greatly appreciate this opportunity to pro- se;at our views on this important issue. The concern of the Garden Club of America for the Sequoia Sempervirens is a long serial which commenced in the 1920's. In 1931 we presented 2,552 acres on the south fork of the Eel River to the California State Park system and since then have added 1,565 acres to our grove. Our interest and concern for the preservation of the Redwoods has mover lessened. We strongly idvoaate the establisher ent now of a Redwoods National Park of apprxi- mately 90,000 acres, a park which would include about 45,000 acres of Virgin trees, the most significant area of primeval red- woods, and other related natural features. In considering the total acreage to be en- compassed in a 1ledwoods National Park we are mindful of tae fact that the entire area was, once a virgin forest of close to 2 mil- lion acres. We believe that Prairie Creek- Lost Man Creek-Redwood Creek Valley is he most important and suitable area for inclu- N THE SITUATION IN VIETNAIV1 Mr. McGEE, Madam President, re- garding the situation in Vietnam and the reasoned, careful escalation of American military activity there, I have said on several occasions that these are steps we must take,' realizing the risk of provok- ing mainland China. Some critics of the Government's policies seem sure that we are bound to provoke China into massive intervention in Indochina. This, they say, is a risk we cannot take. It is, however, a risk we must take. Today's Washington Post, Madam Presi- dent, treats this question with an edi- torial which gives little weight to he apocalyptic view of the critics I hav e mentioned. i ask unanimous consent that this editorial be printed in the R ECORD . There bein g no objection thdti ,e eiora. was ordered to be printed in the RECo,:n, as follows: [From the Washington Post, Mar. It, 791;6 J WAR WITH CHINA? Many recent critics of American policy in Vietnam fear that this policy is increasing the risk of war with China. They expect early Chinese intervention In the Vietnam: ye war. There is reason to believe that th'ir expectation is ill founded. Some American specialists on China --- amiliar with her conduct in past crises lave long ' elieved that she would intervene assively in the Vietnam war only if she ere attacked or if American troops invaded orth Vietnam with the intention of ove,r- hrowing the Communist regime there. \s CPYRGH Approved For Release 2005/07/13 : CIA-RDP67BQ0446R000400050003-0 CPYRGHT 5030 Approved For 67B Q00400050003March 8, 1966 member-for I have enjoyed membership in Our maritime industry should be a major the Propeller Club. and vibrant part of our economy-it is es- It is something more than simply a very sential not only to our national defense- genuine pleasure for me to address you as the Vietnam conflict has once again today. proved-but to our commerce. If properly The broadly based objectives of the Pro- promoted, the merchant marine could by peller Club of the United States to promote, itself overcome our adverse balance of inter- further and support an American merchant national payments. marine adequate to meet the requirements Let us look at a few facts: of national security and economic welfare of It is indeed ironic that the present budget the United States apply to all of the 50 mem- calls for only 13 new vessels during the her ports within and without the United fiscal year 1966. In 1964, when 100 new States and to the 15 student ports. They merchant vessels were delivered to the Soviet are the objectives sought to be fostered by Union, only 16 new vessels were delivered the more than 10,000 dedicated individuals for U.S. registry. interim coalition government into which the Vietcong could be incorporated along with the many other elements that make up the variegated political life of South Vietnam. It goes without saying that the projected program of social reform emphasized at the recent Honolulu meeting is essential to any long-term solution in South Vietnam. If vigorously pursued, it would strengthen sup- port for the Saigon Government and, in fact, aid it in negotiations with the Communists and in the inevitable postwar political con- flict. But the trouble is that statements of South Vietnamese leaders give the impres- sion that they have not much faith, or are not particularly interested in pushing this vital program. Such attitudes need drastic revision. This newspaper believes that these modi- fications in present policy could conceivably lead to the beginning of a beginning of an end to the war. They may not work; but it is our belief that they offer a far greater hope of achieving an honorable peace and a far smaller risk of an "open ended" war than faces the embattled and bewildered American people today. The ultimate Amer- ican objective must be to leave South Viet- nam honorably and to leave it in condition freely to choose its own government and de- tarmin, its nwn nolicV. MERCHANT MARINE POLICY Mr. BREWSTER. Madam President, a respected Member of Congress from Maryland, Representative EDWARD A. GARMATZ, chairman of the House Com- mittee on Merchant Marine and Fish- eries, delivered a speech on merchant marine policy at the end of last month before the Propeller Club of the Port of Washington. Representative GARMATZ' speech pin- points the needs of our declining mer- chant marine. It deserves to be called to the attention of the Senate. I agree with Representative GARMATZ that the time is ripe for us to develop a realistic, positive, maritime program based on the framework of the Merchant Marine Act of 1936. I also agree with Representative GAR- MATZ that such a program should include the second phase of our nuclear pro- pelled commercial vessel development scheme. In general, shipbuilders need the same sort of assistance in vessel re- search that has already been granted to the aircraft industry. Madam President, I ask unanimous consent that the speech of Representa- tive GARMATZ to the Propeller Club on February 23, 1966, be printed in the RECORD. There being no objection, the speech was ordered to be printed in the RECORD, as follows: REMARKS OF HON. EDWARD A. GARMATZ, DEMOCRAT, OF MARYLAND, CHAIRMAN, COM- MITTEE ON MERCHANT MARINE AND FISH- ERIES, HOUSE OF REPRESENTATIVES, AT THE PROPELLER CLUB, PORT OF WASHINGTON, LUNCHEON, WEDNESDAY, FEBRUARY 23, 1966, AT THE MAYFLOWER HOTEL, WASHINGTON, D.C. Mr. Clark, members of the Propeller Club, Port of Washington, distinguished guests, ladies and gentlemen, it is a pleasure for me to appear before the Propeller Club of the Port of Washington. . The Propeller Club was founded to pre- serve the maritime heritage of our Nation and it is a symbol of our maritime industry and the American merchant marine. I am proud to say that I appear before you as a who make up our national membership. Interest in the furtherance of these objec- tives is at a high level in all of the constitu- ent ports. And I wish to compliment the national and local leadership that is presently exert- ing itself to make the Propeller Club an effective force in the vital maritime affairs of our country. But there is something special about this club-not that there is any greater interest or dedication to our objectives than t}Iere is elsewhere. The something special is due to the unique concentration of representatives here in Washington of virtually every element that goes to make up the great complex of Ameri- can maritime policy and all of its contribut- ing components. Just a quick look at a roster of the mem- bership of the Port of Washington bears this out. From the Government you have many members from most of the executive depart- ments, including, of course, the numer- ous bureaus and agencies within such departments. You have vice presidents and other high officials of most of the leading shipping and shipbuilding companies. The major maritime trade associations are well represented. Maritime labor is widely represented. There are naval architects, steamship agents, leading manufacturers' representa- tives, and lawyers galore. You have beau- teous lady members, Madeleine Carroll and Congresswoman LEONOR SULLIVAN. So, it is a special privilege, and I believe very fitting, that I should appear before you today to make what is virtually my maiden speech since election to the chairmanship of the Committee on Merchant Marine and Fisheries. I am greatly pleased to see so many members of the committee here today. I am looking forward to the coming years, and I am here to give you my pledge that I will do all in my power to carry out our national maritime policy and vigorously fos- ter the objectives of the Propeller Club of the United States. Although I have seen written reports that I am slanted in one way or another, I can promise you that my efforts will be directed in behalf of the overall good for the Ameri- can merchant marine. A little over a year ago, the Soviet Union had 464 merchant vessels under contract in shipyards, including 111 tankers. As of the same date, the United States had only 39 new vessels under contract, including 1 tanker. At the present time, the United States- the major power of the world and by far the world's major trading nation-ranks 12th in new vessel construction. We rank behind such countries as Argen- tina, Brazil, Finland, and Peru. For a nation whose growth and greatness have come from seapower, can these facts be other than alarming? I have always considered that our basic maritime policy is sound. Under the Merchant Marine Act of 1936, we have developed the world's most efficient and most modern liner fleet-even though inadequate in numbers. The detailed pro- visions of the act, however, have not been adequate to promote strong bulk carrier and tanker segments of our merchant marine. Succeeding administrations have failed to seek the necessary implementing legislation or administer that which has been provided. I would not attempt to contend that any statute, in the face of changing times, should remain unaltered for 30 years. And we can have a more realistic program for assisting American-flag bulk carriers and tankers, without at the same time destroying that part of the act which has been success- ful. Some new legislation may be needed. Let us have it and we will act on it. At a time when we should be considering a positive program for broadening the Mer- chant Marine Act of 1936 to extend its bene- fits to all segments of the American mer- chant marine, we are floundering on the sea of uncertainty. At a time when our domestic shipbuilding program should be at its peak, the present budget proposes a program that is the all- time low. I am tired of reading analyses of the In- teragency Maritime Task Force report, or of the report of the President's Maritime Ad- visory Committee. The business of our com- mittee is legislation, and without a legisla- tive program to consider, we are left to theorize like everyone else. I am confident that President Johnson aims to dispel the atmosphere of despair that now prevails in our maritime program, as he other areas. The picture is not has done in witnessed a period when our national marl- entirely bleak. time policy has been the subject of so much Our country has the world's only nuclear- uncertainty and confusion. Not withstand- powered merchant vessel, the NS Savannah. ing a a clear statutory statement of policy, with a full set of implementing guidelines, We are on the verge of technological break- we seem to be not only without a propeller, through in the field of nuclear propelled but apparently without rudder and helms- commercial vessels, and the time is ripe for man as well. us to begin the second phase of our nuclear At a time when the Soviet Union is ex- ship program. panding the size of its merchant fleet at a The United States has the world's best, the faster rate than any other nation in the most modern and most productive liner world, the American merchant marine is ex- fleet-but we need more such vessels in pri- periencing a record decline. vate ownership to serve our complex society I am concerned about- the confusion and and the uncertain but demanding needs of uncertainty that exists and I am concerned war. about the steady decline of this country as With assistance in vessel research similar a maritime power. to that of the American aircraft industry, I It seems to me extremely shortsighted for am convinced that our domestic shipyards this country to allow such a situation to could become competitive with foreign ship- exist and continue. builders. Approved For Release 2005/07/13 : CIA-RDP67B00446R000400050003-0 larch 8, 1966 Approved Fo EM CPYRGI-ETe Armed Forces, "The world has lost a C Ply 1i.tutguished citizen whose energies and siemo were devoted without stint to a long l.retime of service to free men everywhere." li''rom the tlonotutu Star-Bulletin, Mar. 19(361 1;::1..1,0 F :CII'QOCATED '[diE'i'OR, THE STAR-BULLETIN: Last week the United States paused to honor the memory of Fleet Adm. Chester W. 'ianitz. Many of us who had the privilege of serving under his command during World War II recalled anecdotes which illustrated :,lie brillance a.nd simultaneously the hurnan- .y of hs leadership. Use such anecdotes stands out in my rnernory_ It involves an incident here in rnnolucu in the full of 1945. An Hawaiian society, the Sons and Daughters of Hawaiian Warriors, decided to confer a rare honor on :are famous admiral. They wanted to make ,.:inn a "high alit 'which honor had only been be:aowcd on one or two other haoles in re- a:nrcicd history. Admiral Nimitz was in- inrtned and replied that he would be pleased Lo accept the honor. The ceremony was held on a Saturday morning and the locale was. naturally. the niakat steps of lolani Palace. Several thou- :::i.i.id people, including representatives of timing Hawaiian societies gathered to observe Llie impressive ceremony. After the conch. :.hells were blown, an Hawaiian chant re- cited, two spears were crossed over the Ad- ,.4u''}s head and the traditional yellow feath- R%Df Fllpe was draped over the shoulders of his sparkling white dress uniform- At that point, Admiral Nimitz responded in a, Cashion as exquisitely appropriate as T have ever witne''iii. He accepted the honor in a. hr'ef speech in Hawaiian. In spite of what must have been crushing demands on his intents and energy, he had taken time to phrase and then memorize his remarks in Ii:awaii's own language. ti' l can imagine the reaction of the crowd. Deep emotion was openly expressed and I roc:Ill that many senior Hawaiian ladies and ;;cntlemen wept without reserve. t awa.i has honored Admiral. Nimitz In many ways. On that day in October 1945, the ni.rirniral honored Hawaii with a simple yet lirorouncl gesture; that was typical of his true Yea tnei;s. Vi e 'NAIV - WE ARE THERE Mr. VIcCARTIIY. Madam President. T sholild like to rail to the attention of the 8,cllate. and to the country as a whole. the editorial in the New York Times on Sun- t]