ECONOMIC DEFENSE INTELLIGENCE COMMITTEE SIXTH ANNUAL PROGRESS REPORT 1 JULY 1957 - 30 JUNE 1958

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP62-00328A000100510012-7
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 14
• Document Creation Date: December 9, 2016
• Document Release Date: February 13, 2001
• Sequence Number: 12
• Publication Date: July 28, 1958
• Content Type: REPORT

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NOFO_RN
WM Ma. Mai& BAKRT Z. Xi
saw muss 'mar NCB MUM
1 July 1957 - 30 June 1958
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I. Introduction
II, Summary' of Activitien
A. EDIC Reports
B. Planning for Ecc
U. Future Activities
c Warfare
MEL
3
4
5
A. latelligencs Documents and Reports Issued hi EDIC
(IWG) frun its Inception through Fr 1958 6
B. Cceipleted EDIC Intelligence Documents 1957 - 1958 10
C. SDIC Memoranda 1957 - 1958 11
D. EDIC Case Pending 12
c r_-"t
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"11241211.9.21.a.2211=21.
wig ANNUAL maws WORT
3. july 1957 30 June 1958
I. INTIM
The Economic Defense Into
of operations on 30 June 19511
se
Committee (EDIC) completed six years
Originally designated the Intelligence
Working Group (IG), WIC was set up in 1952 as a separate subcommittee
of the Intelligence Add Committee (IAC) to service the far-reaching
intelligence requirements of the newlp-coordinated inter-agency economic
defense program. According to its terms of reference, WIC (IWG) was
assigned the responsibility for (a) developing and furnishing of intelli
once to the Economic Defense Advisory Committee (EDAC) for policy making
and operations in the economic defense field included under the Mutual
Defense Assistance Control Act of 1951 and directives issued in connection
with ESC 152/3* and related documents, and (b) for developing closer
continuous relationships among the operational, policy-formulation, and
intelligence research elements engaged in the economic defense program.
The numerous =IC (IWG) reports and documents issued during the past
six years reflect in their variety the wide range of coordinated intelli-
gence support which has been rendered the EDAC community under the terms
* The
MC 1
reference document was MSC 104/2 whith was superseded by
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of the C/IWG charter. At the same time however, a listing of these
reports and the date of their issue (see Tab A) indicates that since its
period of most active participation in the economic defense program
(19524954), EDIC, in more recent years, has been primarily engaged in
furnishing coordinated intelligence support for special projects only,
while the more goneial, current intelligence requirementa of the EDAC
community were eerviced directly by the intelligence ocuponents of the
responsible departments and agencies directly concerned.
Operational urgency appears to dictate the continued need for such
direet agency support of economic defense intelligence requirements.
As a result, and consonant with the trend established in the past few
future EDIC activities are likely to be concentrated an the
support of specialised long-run intelligence requirements of the EDAC
community. As such EDIC activities would parallel, in the field of
economic defense intelligence, the activities of the different sub-
committees of the ISOCCMOiC IntelLigence Committee (iSIC) in the field
of general **most* intelligence.
In recognition of this reorientation of EDIC support activities,
CIA has recommended, subject to She approval of EDAC and of the intelli-
gence ccemunity, that EDIC remotions be transferred to a new subcommittee
to be establiehed under EIC to serve the continuing needs of the economic
defense program. This new subcommittee would retain the essential mission
and ha:laity/1s of EDIC, and, as an integrated member of SIC, could readily
call on the wider economic intelligence production and coordination
experience of the individual EIC subcommittees.
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ACTIVITIES
A.
gDI Worts
Wring the past year, the intelligence emmemnity devoted its
major effort in the eoonomic defense field to the preparation and
coordination of the intelligence support requested to advise EDAC in
fosinalating the United States position for the review of the CHINCOM
and COCOK lists. While the individual departments and agencies repre-
sented in EDIC made their contributions to the joint EDAC effort in
accordance with their respective production responsibilities for various
fields of economic intelligence, EDIC itself was not formally called upon
to coordinate the over-all intelLtgence support. However, EDIC has been
increasingly requested to provide coordinated intelligence studies on
specific facets of the Sino-Soviet Bloc economy for consideration by
the Advisory Committee on Export Policy (AP) and its Operating Committee
(0C) in advising the Secretary of Commerce on appropriate United States
export ;Glick Vill-&-Ti9 the communist countries. In response to Department
of Commerce requests for coordinated intelligence leapport, EDIC has pre-
pared reports on the "Availability of Diamonds in the USSR (revised),
*The Glass Fiber Industry in the Sino-Soviet Bloc,* *Sino-Soviet Bloc
Supply of and Requirements for Phthalic Anhydride,* and is currently
processing information an *Toe Tiro Industry in the Sino-Soviet Bloc*
and The Petrochemical Industry in the USSR.*
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report on
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ed by BDAC Working Group II -
rcement - EDIC prepared a coordinated intelligence
Significance of Sino-Soviet Bloc Imports of Cobalt from
the Free World" and is currently completing a report an "Sino-Soviet
Bloc Parohames of International List I Nickel." A study of "The
Strategic Importance of amain= and Its Source Materials (including
Bauxite) to the Sino-soviet Bloc," requested by CIA, and the "Report
of Combined EDIC Working Group and Technical Task Group on Radio and
V
Television Tranimitters," requested by the Department of Defense,
round out the written reports issued by EDIC during the year under review.*
B. tlanniujor Somocip Warfare
SDIC activity on emergency planning for econosic warfare
been carried on through the office of the Chairman in consultation with
several CIA consultants who have had active service in economic warfare
activities during wartime. The results of these consultations and
planning will be embodied in a draft proposal for conduct of intelligence
to support a program of economic warfare in an emergency. Because such
a draft must embrace the organization and administration of a large
intelligence collection and processing system as well as serious problems
in the evaluation and coordination of positive intelligences it is
anticipated that the subject draft will not be ready for review before
November 1958.
ft (A complete listing of EDIC intelligence documents and memoranda issued
during 1937-1958 is attaChed as TABS B and C. A list of EDIC cases
still pending is attached as TAB D.)
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ANIt
organizational structure under which MIC
will eperate mar be, its mission and functions will remain such the same
as they have been up to new. WIC (or its successor) will continue to
rve the intelligence needs of the economic defense program essentially
as outlined in its terms of reference. Requests for intelligence support
for BDLC and its subcommittees Ley be am:acted* for the reasons already
indicated, to continue at the rather lower level pre/ailing during the
past few years. However, in view if the currenttrend towards expanding
trade with theSine-Soviet Bloc in "peaceful geode! and the imminent
relaxation of COCOM controls resulting from the recent review of the
International Lists, the Department of Commerce =Floc structure may
be expected to face increasing pressure to relax US controls eorrespondingly.
Under these circumstances, EDIC (or its successor) Bey reasonably expect
to continue to receive requests for intelligence support for Acslybc
policy determinations..
Nerecreer, =IC will continue to carry out the planning necessary
to sure- intelligence support and coordination in the field of economic
warfare under wartime emergency operations.
Chairman
25X1A9a
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25X6
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-6-
IALAL
IfTILI4GENCit DOMENTSAND EEPORTS*
ISSUE B DIq (An) FROM ITS ItiCEFTICf
THUM rr 1958
-1953
of New Construction in Hand and on Order in
Merchant Fleet - June 1952
Item IL 1727
or Belting and It 310b - Power Driven Ccci
tarn Countries for
ng Equirment
Utilisattoit of Soviet Bloc Merchant Shipping Intelligence by the United
States Coast Guard:
ONI Report an Western Shipyard Services to Soviet Merchant Fleet,
1 January - 30 June. 1952
Soviet Metallurgical Techniques
Chronology of COCOM Transit Trade Discussions
to COMS Questions Regarding Sovi.t Bloc Cobalt Position
25X6A
Mivement of Scrap Metals fr. the Middle at - 1952
Strategic Importance of Dichlorodifluoromethane (FREON 12) to the SoTio
Alieged Refuelling of Polieh Ships with Iranian Oil
Communist China a Imports of Amnaniun Sulfate
Report on =OM Statistical Reporting
Material for Use in the China Committee
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* This lieling does not inclodkriieRgdissemination of uncoordinated
SEC IL 1
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19Y4
Soviet Bloc
The Tractor Situation in the Soviet Bloc
Strategic Importance of Magnetic Recorders and/or Rsproducer8 to the
Soviet Bloc
Komamient of Scrap Metal from the Middle Bast 952
Soviet Bloc Position in Steel Wire, Strand, Cable, and Rope
Appraisal of Soviet Offer* of Chrome, Maganese, Platinum, and Palladium
to the United States
Indications of Soviet Bloc Vulnerability to Western Controls on Primary
Aluminum
Jail Report and Recommendations of the IWO Subgroup on External Financing
Operatione of the Soviet Bloc
Strategic and Security implications Involved in the Proposed
the USSR at Mancei Television Transmitter
Strategic Importance of Magnesium to the Soviet Bloc
COCOK Review of IL-II Items: Information on Part A Chemicals
Indications of Soviet Bloc Venerability to Controls of Wist-East
Nevammnt of Boron Compounds
Soviet Bloc Exports of Petroleum and Petroleum Products to the Free World
Intelligence Collection and Analysis Required for a Study of the Soviet
Automotive Situation
Draft Transmittal to the US= for Uee in COCOKof CIA Paper on The
Strategic Use Pattern of load in the Soviet Bloc
The Problem of Providing Intelligence for Licensing Consumer Goods to
European Satellites
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-11A
1954 - 1955
C/A/AFOIR/OIR Statement of "3
Soviet Bloc
West Mrop.an Exports of Copper Wire and Cable to the Soviet Bloc
Exports of Capital Equipmsnt and Industrial Materials from the Sovie
Soviet Trade Trends and Tactics: *Soviet Bloc Exportation of Potroleum"
1955 -,192A
Sino.Saviet Bloc Exports of Machinory and
Free World, 1952 - 1954
Ad Hoc Working Group Report "Intelligence Relating to the Use of Boron
Substances as Fuels"
Fre. World Deliveries of New and Used Ships to the Sino-Soviet Bloc in
1954 and Proposed Construction as of 1 July 1955
-VcOal
lin
of Jeeps"
c Sifficance of Iudi to the
pment to the
Proposal for' Revision of Foreign Servico Instructions for Reporting
Economic Relations with the Sino-Soviet Bloc
Soviet gold Solos in Free World Markets, January - June 1955
Sine-Soviet Bloc Shipbelding - Bibliography
Availability of Diamonds in. the USSR
A,56 1957
Soviet Gold Solos 5
Chock Inability to Provids Catalytic Cracking Squijnt for Syrian Re
Free world Deliveries of Ships to the Sino-Soviet Bloc in 1955 and Proposed
Construction as of 1 January 1956
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?9--
1,-14 June 1956 Liquid Fropellante (vith
riu.s]y Unpublished Proceedings Solid Propellants)
oviet Bloc Construction and Procurement of Merchant
Supply and Use of Ion Exchange Resins in the .tno.-avtet Bloc
1957 -198
Availability of Diamonds in the USSR (revised)
The Significance of Sino-Soviet Bloc Imports of Cobalt fr the Free World
Report of CoMbined EDIC Working Group and Technical Task
and Television Transmitters
The MASS Fiber Industry in the Sine-Soviet Bloc
Sino-Soviet Sloc-Stipply of and Requirements for Ththslic Anhydride
The Strategic Importance of Aluminum and Its Source Materials (including
Bauxite) to the Sino-Soviet Bloc
X958 - )1959'
The Tire Industry in the Sine-Soviet Bloc
The Petrochemical Industry in the USSR
Sine-Soviet Bloc Purchases of International List I Mickel
p on Radio
1959 listing represents reports in progress and is necessarily
SECRET
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ORN
ou.
MDIC/R4
(1AC-D-53/9)
EDIC/1D-24
IDIC/ID-32
EDIC/ID-33
WIC
EDI C/ID-36
ZIELIL
Cogpleted MAC Intellisence Documsnp
1 July 1957 - 30 June 1958
Titke
Filth Annual Progress Report of the
Economic Defense Intelligence Committee
Availebility of Diamonds in the USSR
(Revised). (In response to EDIC Caee No. 21)
The Significamce of Sino-Zoviet Bloc Imports
ef CObalt fro* the Free World. (In response
to ED1C Case Mo. 25)
Report of Colbined EDIC Working Group and
Tethnicel Thek Group on Radio and Tele-
vision Transmitters. (In response to
EIC Case No. 22)
The Glass Fiber Industry in the Sino-Soviet
Bloc. (In response to ED1C Casa Mo. 28)
Sino-Soviet Bloc Supply of and Requirements
far FhtbAlic Axltydrlde. (In response to
ED1C Case No.
The Strategic Importance of AlUltiffMR and
Its Source Materials (incInding bauxite)
to the Sine-Soviet Bloc. (In response. to
MDIC Case No. 18)
- Report lantelal)
--tAt
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Date Ispuett
25 October 1957
27 May 1958
11 July 1958
t 1957
9 April 195a
1958
28 April 19
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3. July 1957 - 30 June 1958
EDICA14-28 Designation of Acting
DIC/A)4-29 Trememittal of MC Milbership List
EDIC/A1-10 ED1C Activities - April 1958
DIC/AJ(-31 Correction to EDIC/ID-24 (revised
EDICA1I-32 EDIC Activities mo 1958
tar" 22 1t1y L95'T
EDIC 9 September 1957
9 October 1957
5 May 1758
4. June 1958
5 June 1958
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17011,
PIndiv. 30 June 1956
pesisnation
DIC Case 6* rtedly Purchasing art Oporattng Z1
for Communist China
EDIC Cass 7* Export of Ortho-Toluidine ta Comumnist China
EDIC Case 10* ' Pattern of Soviet Bloc Strategic: Exports to the West
WIC Cans 33** Possible Soviet Bloc Uee of Magnesium as-Fuel
EDIC Case 15** Soviet Bloc Position and Use of Perchloric Acid
&TIC Case 16** Soviet Attempts to Procure Collogylin
WIC Case 20* Borax Discovdgy in Tibet
IDIC Case 23* Review of Sim-Soviet Bloc Supply, Technology, and
Possible Military Applications of Polyethylene
IDIC Case 24*** Sino-Soviet Bloc Purchases of International List I
Nickel
EDIC Case 29*** lbe Sino-Baviet Bloc Tire Industry
EDIC Case 30*** lbe USSR Petrochemical Industry
It is recommended that this case be dropped since th information
requested has been provided through other
intelligence Channels. Unless any objections - are transmitted to the
Executive Secretary by 30 September 1958, these cases will be coo-
slowed closed.
** The EDIC Working Group on Propellants and Fuel Additives recommends
cancellation of these cases because the required information is not
available. Unless any objections are transmitted to the Executive
Secretary by 34 September 1958, these eases will be considered closed.
itit* These cases were chmpleted in July - August 1958 end distributed as
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