Documents / FOIA release
This Top Secret study by the Interdepartmental Coordinating Group on Germany and Berlin, dated July 12, 1961, and released by the Central Intelligence Agency, answers NSC Directive No. 58 of June 30, 1961. It sets out courses of action for the Berlin crisis but does not judge their merits. It covers imminent presidential decisions, a three-phase timetable running to January 1, military preparations and mobilization, covert action, economic sanctions, public information, negotiating positions and checkpoint procedures for East German personnel.
“Fuller”2 pages
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## SECRET Cutting off this import trade would obviously be the most important economic result of Treasury blocking action. The actual foreign exchange loss to Soviet Bloc countries of these import restrictions would depend on their ability to dispose of the products formerly exported to the United States in other foreign markets. ## 2. U. S. Subsidiaries Abroad American subsidiaries abroad have in the past been subjected to the same prohibitions on trade and financial transactions with blocked countries as American firms in the United States. It is assumed that, if general blocking controls were instituted, U. S. subsidiaries abroad would be treated the same as American firms in the United States and not be permitted to engage in trade or financial transactions with the affects Soviet Eloc countries. Moreover, if it is decided to tighten export controls before taking blocking action, Treasury could supplement the U. S. export controls by prohibiting American firms abroad from sailing to the Bloc any product which could not be exported to the Bloc from the United States if such action were considered desirable. ## 3. Transportation Orders Commerce transportation orders do not apply to foreign flag ships and registered planes which are owned or controlled by persons subject to the jurisdiction of the United States but only apply to American flag ships and U. S. registered planes. However, if Treasury imposed blocking regulations applicable to American subsidiaries abroad, such regulations would prohibit foreign ships and planes owned or controlled by Americans from making trips to Soviet Bloc countries affected by the Treasury blocking restrictions in the absence of a Treasury license. Even in the absence of blocking controls, Treasury could supplement commerce transportation orders by prohibiting Americans from permitting foreign flag ships and registered planes which are owned or controlled by them to make trips to Soviet Bloc countries. ## 4. Bunkering Controls - Foreign Subsidiaries Owned by American Companies Treasury could either independently or in connection with general blocking, prohibit American oil companies abroad from supplying ship bankers or lubes to any vessel engaged in Soviet Bloc trade regardless of whether the commodity carried was strategic or non-strategic. We could also advise the oil companies that similar restrictions applied to their furnishing fuel or lubes to planes engaged in the Soviet Bloc trade.
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FOIA release, from the cia-readingroom collection. The PDF is mirrored here; the original link is above. The text was read from the page images by GLM-OCR; expect the odd misread word. 163 pages are in the text index: search them above, or from the library's search.