1952 PRODUCTION SCHEDULES IN EAST GERMANY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP82-00457R013000090006-6
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 2
• Document Creation Date: December 14, 2016
• Document Release Date: July 22, 2002
• Sequence Number: 6
• Publication Date: August 1, 1952
• Content Type: REPORT

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East Germany
1952 Production
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Schedules in East Germany
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1. The negotiations by the foreign trade offices of the Soviet Zone of Germany
to obtain rolled steel from foreign countries indicated that the Soviet Zone
requirements for 1952 for imports of rolled material could not be met. The
shipments of rolled material from the U.S.S.R. to the Soviet Zone of Germany
are substantially smaller than expected and the restrictions imposed by western
countries have prevented obtaining sizable supplies from the That. The existing
shortage of rolled material cannot be remedied through black market deals in the
West.
2. At a meeting of the State Planning Commission, held in mid-December 1951 under
the direction of BrunoLeuschnei the deputy chairman of the State Planning
Conmiosion, this situation was discussed. It was decided to reduce the Productior
schedules of those items in the 1952 Economic Flan (Volkswirtschaftsplan 1952)
which require large quantities of material and are not of vital importance to the
realization of the Five-Year Plan, such as light and medium type machine tools,
and ordinary railroad freight cars.
3. At first the production schedules of all those items which will be hard to sellv
and especaally difficult to export in 1952, were reduced. In addition, all
exports which had no special political significance were curtailed, as well as
exports which, although desirable are not absolutely necessary. However, because
of organizational weaknesses within the Planning Organization, and the arbitrary
working methods of the SAOs which do not coordinate their plans with those of
the nationalized plants, and because of the vagueness of existing export and
reparations orders, it is not sufficiently clear which products can be curtailed
without jeopardizing the fulfillment of CXlStjflL contracts. The reductions in
the machine construction industry were to amount to about 60,000,000 eastmarks
or about 10 percent of the quota, and about 30,000,000 eastmarks or 5 percent
of the quota in the electrical engineering industry. Only small reductions were
made in the schedules of the precision mechanical and optical industries.
It later became evident that it would not be possible to make reductions
involving export obligations because the U.S.S.R. insisted upon the fulfillment
of export orders regardless of the shortage of materials in the Soviet Zone.
It has not yet been determined how the materials required to meet these export
obligations can be obtained.*
Convent. This report confirms previous reports that the shortage of steel
le most critical bottleneck of the Soviet Zone economy. In 1936: the dmosti(1
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steel production of the Soviet Zone of Germany as 1,2000000 tons, noot of
the additional 2,000,000 tons of steel required was supplied frau the Ruhr
district in the form of rolled steel?. The 1952 schedule calls for production
of /06000000 tons of ingot steel and 972,000 tons of rolled steel in the Soviet
Zone. Even if this production quota is met, about 1,000.0000 tons of rolled steel
would still have to he imported to achieve the Soviet Zone procran for the
production of all kinds of machinery and vehicles.
SECRET/
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