Statement by the President Upon Signing Bills Authorizing Disposals From the Stockpiles of Platinum and Bauxite.

I HAVE SIGNED two measures which enable the Nation to once again reap new benefits from previous prudence.

Our national stockpile of strategic and critical materials now contains supplies of platinum and refractory bauxite in excess of our defense needs. Yet American industry, which has an urgent need for these materials, finds them increasingly hard to obtain. The bills I have just signed will permit us to make an orderly transfer to industry of the Government's excess holdings.

S. 1488 authorizes the disposal of 126,300 long tons of refractory grade bauxite, which are in excess of our strategic objectives for the stockpile. This bauxite is needed now by the manufacturers of furnace linings essential for the production of steel and other metals.

S. 2642 authorizes the disposal of 316,300 troy ounces of platinum which are also in excess of our strategic objectives. Platinum is in increasingly short supply in the chemical and electrical industries, and in the petroleum industry where the use of platinum is rising rapidly.

These disposals will be made at no loss to the taxpayers and in a manner which will protect producers, processors, and consumers against disruption of their usual markets.

As I observed last fall when taking similar action in regard to nickel and zinc, surplus materials in our stockpiles win no battles while they lie in storage bins. Nor do they play their proper role in helping our economy.

These valuable materials were originally acquired to prevent shortages in strategic materials in time of war or national emergency. When our supplies of these materials rise beyond any such foreseeable need, and when there is need for them in our current economy, they should be removed from the stockpiles and put to work for our Nation.

During the present session, we have sent to the Congress 24 bills authorizing disposal of such excess materials from our national stockpiles. The disposal plans were drawn up in close consultation with the affected industries.

I am pleased with the speed shown by the Congress in responding favorably to the platinum and refractory bauxite proposals. Eleven additional bills have already passed the House, and four more have been carefully examined by the House Armed Services Committee.

It is my hope and belief that the Congress will continue to act promptly and affirmatively on these disposal measures.

Each orderly disposal of surplus materials has an immediate effect on the national welfare. It helps to:

--maintain our defense production,

--sustain a healthy, growing economy without inflation,

--put the taxpayer's investment to work in the economy, and reduce the cost of maintaining unnecessary stockpiles.

The prompt action which the Congress has already taken toward accomplishing these objectives is a further demonstration of what can be accomplished through the dose partnership of the Congress, the executive branch, and American industry. This partnership safeguards and furthers our national interest and protects the rights of the American consumer.