FOREIGN. RELATIONS, 1946. VOLUME I



SWITCC Files
The Secretary of War (Patterson) and the Secretary of Navy (For-
  regta1) to the Cha'irman of the State-damr--Navy Coordinating
  C onmmittee (Hilidrivg)

CONFIDENTIAL                          [WASHINGTON,] July 1, 1946.
SWNCC 314
FORMULATION OF NATIONAL POLICY WITH RESPECT TO FOREIGN TRADE
               IN RELATION TO NATIONAL SECURITY
  1. On 28 November 1945, the Joint Chiefs of Staff made recom-
mendations to the War and Navy Departments that the subject of the
export of critical materiel be studied with a view towards the estab-
lishment-of a system of control that would prevent the diminishing
of our own war potential or the increase of the war potential of possi-
ble enemies.
  2. A thorough study of the subject reveals the necessity for the
formulation of a national policy that: will insure that critical materiel
is conserved for our own use; prevent possible enemies from augment-
ing their war potential by virtue of our exports; and prevent the ex-
portation of technological information and inventions to possible
enemies.
  3. In order to implement such a program it is requested that, the
State-War-Navy Coordinating Committee initiate early action to:
(1) formulate and recommend to us means and methods of insuring
proper consideration of military (national security) interest in the
formulation of national policy with respect to foreign trade; (2)
recommend means and methods of implementation of the national
policy, including need for legislation; (3) recommend representation
with the appropriate civilian agencies by the Army and Navy Muni-
tions Board, which is being charged with the duty of presenting the
military interest.
  4. It is also requested that your committee study the question If the
export control of technological information and invention insofar as
military interestsrequire that such information or inventions not
fall into the hands of possible enemies.
  5. Upon the completion of the studies detailed above, please
prepare for our signatures a joint letter to the Secretary of State
requesting his cooperative action in securing appropriate legislation
covering the legal handling of the entire question of export control



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