NIC

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP84B00049R000501320007-9
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 4
• Document Creation Date: December 20, 2016
• Sequence Number: 7
• Content Type: MEMO

Approved For Release 2008/03/06: CIA-RDP84B00049R000501320007-9
DDI# 6302-82
30 July 1982
MEMORANDUM FOR: Director of Central Intelligence .
Deputy Director of Central Intelligence
FROM : Henry S. Rowen
Chairman, NIC
SUBJECT : Report on SIG-IEP Meeting Friday, 30 July
1. Present were Regan, Baldridge, Weinberger, Stockman, Buckley,
Adm. Murphy, MacDonald, Leland, Niskanen, Bailey, Nau, Schneider, Porter,
Rowen.
2. After a brief discussion on grain sales, Regan raised some points on
pipeline sanctions: Shouldn't we have an alternative or fallback position;
We need a legal opinion in view of the European's response; our "net" seems
to be catching firms we didn't intend to catch. Weinberger agreed that we
need to review our definition of high technology, need to find another
argument than Poland (because the Polish government may ease up further), and
do more to develop energy alternatives. Buckley said there weren't any
applicable to the 1980s (except perhaps more gas from the Dutch and a small
Norwegian field). Baldridge then reported on a conversation
had with the Soviet Deputy Trade Minister (attached) to the effect that the
Soviets would deliver the contracted gas. I commented that while the details
sounded exaggerated the basic claim was probably right.
3. On credits to the USSR. There was agreement that although the French
protocol with the Soviets (which we haven't seen in full) seems to constrain
the terms on which the French sell, they can limit the number of transactions
or the value of sales. Weinberger said that we should shift our arguments to
the strengthening of Soviet military power; Baldridge replied that that would
be economic warfare; a charge leveled against us by the Europeans anyway.
4. On "extraterritorialty," Weinberger said that this is a bad term, we
simply want to see contracts honored. This produced a general discussion on
the legal status of foreign subsidiaries, sub-contractors, etc.
5. On steel, Baldridge said that he was trying to get the EC to agree to
a Community-wide quota as an alternative to countervailing duties in order to
avoid redirection of steel from the UK, France, Italy and Belgium to other
European markets (which would be divisive and damaging in Europe and also to
avoid diversion to uncovered items which would hurt us. This policy was
Not referred to DOI. Waiver applies.
NSC HAS REVIEWED
STAT
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challenged on the ground that the use of duties would do less damage to the US
economv than would strengthening the European cartel. Stockman asked if we
wanted to keep out European subsidies or European steel.
6. Regan said that State's judgment on European political aspects of our
handling of steel were needed.
7. The SIG will return to this subject next week.
Henry S. Bowen
Attachment: a/s
Approved For Release 2008/03/06: CIA-RDP84B00049R000501320007-9
 Approved For Release 2008/03/06: CIA-RDP84B00049R000501320007-9
DDI# 6301-82
30 July 1982
MEMORANDUM OF CONVERSATION
1. Secretary of Interior Baldridge tells me that
has told him of a conversation he had with Vlad kov, the Soviet
Deputy Minister of Trade, about the Yamal pipeline, had asked whether
it would be completed in 1984? Sushkov said yes and the ni ed States had
spurred on Europeans with its actions; the French and the Germans have told
them they would not abide by our sanctions. He was also told that well
pressure is so high in the gas field that they don't need many compressors in
order to move the contracted for gas to Western Europe anyway. Also, the
Soviet internal gas grid at its nearest point is within 60 miles of a possible
connection to Western Europe and that if the Yamal line is delayed they could
tap into this domestic grid.
2. In short they will deliver on time.
Henfy S. Rowen
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SA/IA
C/NIC
FORM NO. 24 1 REPLACES FORM 36-8
1
FEB 55 WHICH MAY BE USED.
Approved For Release 2008/03/06: CIA-RDP84B00049R000501320007-9