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MEMORANDUM FOR THE SECRETARIES OF STATE AMD DEFENSE

FROM: Southeast Asia Aid Policy Committee

The Committee is, submitting for approval by higher authority, the attached draft joint memorandum to the National Security Council on Indochina. This draft joint memorandum contains a statement of U.S. policy with, respect to Indochina. It is the Committee's view that the U.S. Government should decide, in principle, to contribute, in whatever ways are feasible and desirable, to the formation of national armies in Indochina. Such a contribution appears to the Committee as the most effective method by which the U.S. can, at present, strengthen the security of Indochina and add to its stabilization.

The Committee would like to point out that the extent and character of the contribution which the U.S. might consider furnishing for the formation of national armies in Indochina can only be determined by negotiations between officials of the French and U.S. Governments, on a ministerial level. During the course of those negotiations French officials may be expected to present, for the first time, detailed information on their plans for the formation of these armies. Approval of the draft joint memorandum would provide the authorization from the President for U.S. representatives to consider and act with full Knowledge of the plans of the French.

It is recommended that, if negotiations are conducted with representatives of the French Government, U.S. representatives secure French acceptance of the following conditions which shall attach to the extension of U.S. assistance in the formation of national armies in Indochina: (1) French Union forces would not be withdrawn from Indochina until such Associated States armies were fully trained and ready to act effectively in replacement; (2) France would not decrease its outlays for Indochina below the 1950 rate during the period of the American military aid requested; (3) the national armies projects would have the approval of the three Associated States governments; (4) the High Commissioner for Indochina, the French Command, and the three Associated States would maintain full consultative relations with the Legation and MAAG during the period of the formation of the armies.

If approved, this joint memorandum would provide the measures called for by NSC 64 - "Position of the U.S. with Respect to Indochina", approved by the President on 23 April 1950. It is understood that the draft of this joint memo will be reviewed by the JCS before it is finally approved by the Secretary of Defense. Rh Rh