Dwight D. Eisenhower photo

White House Statement Following Bipartisan Conference on Foreign Affairs, National Defense, and Mutual Security.

December 14, 1954

TODAY'S bi-partisan meeting of the leaders of both political parties in the Senate and the House of Representatives dealt with the problems of foreign affairs, national defense and mutual security.

At the start of the conference, the President thanked the leaders for accepting his invitation to discuss these subjects in advance of his submission of the State of the Union Message. He will present the State of the Union Message to the Congress on January 6th.

The Director of the Budget and the Secretary of the Treasury presented a review of the budget and the general fiscal situation, particularly as it will be affected by national defense expenditures and those for mutual assistance.

The Secretary of State recommended that the Senate give early consideration to the ratification of the Manila Pact and the Mutual Defense Treaty with the Republic of China, as well as those sections of the London Paris Agreements dealing with the restoration of German sovereignty and the admission of that country to the North Atlantic Treaty Organization. He also stressed the importance he and his Department attached to the economic aspects of our foreign policy, particularly in view of a stepped up campaign by the Soviet world in this regard.

Mr. Randall followed the Secretary of State and presented the recommendations which will be made to the Congress as a result of the study of the Randall Commission in this field. In general, these recommendations closely follow the proposals made by the President last year, with the addition of the establishment of an International Finance Corporation under the auspices of the World Bank which was endorsed at the recent Rio Conference of American Finance Ministers.

In a discussion of national defense, the President said that the security of the nation in this age of atomic bombs and long-range aircraft depended not only on a hard-hitting retaliatory combat force and an expanded reserve force but also on a strong and prosperous economy here at home. He emphasized that the decisions respecting the force levels of the military establishment will be designed to meet fully national needs in the light of continually developing new weapons and subsequent changes in military strategy.

Assistant Secretaries Burgess and McNeil discussed proposals to increase the reserve strength of the military forces, career incentive pay increases for military personnel and the defense budget. Under further discussion were other proposals to provide additional benefits for the military-increased medical care for dependents, survivors' benefits and better housing for their families.

The final topic of the meeting was the mutual security program for the coming fiscal year. The Director of Foreign Operations detailed the steps he believed were necessary to assist our friends and allies throughout the world to strengthen their own economy and to maintain their own adequate defense forces to help in the protection of the free world. Assistant Secretary Hensel gave a report of the military-aid program and prospective needs to carry on this part of the Administration's recommendations.

A general discussion was held on each subject as it was presented.

Dwight D. Eisenhower, White House Statement Following Bipartisan Conference on Foreign Affairs, National Defense, and Mutual Security. Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/233439

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