Document Number (FOIA) /ESDN (CREST):
CIA-RDP72-00337R000200190020-5
Body:
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8 September 1970
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MEMORANDUM FOR: Office of Legislative Counsel
ATTENTION Mr. George Cary
SUBJECT Material for Joint Committee on Atomic
Energy Staff
1. Responsive to your request of last Thursday,
3 September, we are enclosing brief pieces on the sub-
jects raised by the Joint Committee on Atomic Energy
staff.
2. The political and economic impact on the parti-
cipants and other countries of the West German-Soviet
treaty is still under study. The attached recent
analyses indicate the types of developments which are
expected to stem from the pact and the wide range of
concern shown both in the Communist and non-Communist
world.
4. The conclusion of scientific and technical
cooperation pacts have been testimony to the desire of
both Communist and Free World countries to find areas
where contact can be expanded. Under them there have
been numerous conferences in the past year, some exchange
of information and personnel. The pacts continue to
have more potential for cooperation than actual achieve-
ment. They are characterized by cautious implementation
with the French considerably more active than the British,
as can be noted in the attached Business Week article.
5. The article on the Soviet reactor center at
Serpukhov also helps explain Moscow's need to procure
large scientific computers currently embargoed by
COCOM. Also included in the attached package is a
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Approved Fo
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statement concerning the equipment involved in the
proposed UP; computer sale to the USSR and the conditions
required to protect US national security should such a
sale take place.
25X1A
EDWARD L. ALLEN
Director
Economic Research
Attachments:
As stated (2 sets)
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_ ^'1w _.a+r .. "mot
West Germany - USSR: The two countries are
following up their recent treaty signature with
technical, economic, and political contacts.
West German Minister of Economics Schiller is
planning a short visit to Moscow, to begin. on 24
September. He will probably discuss sympathetically
the projected agreement to build.a truck plant for
the Soviets at Kama, although the actual negotiations
are principally between Daimler-Benz and the Soviets.
The...SQviet +Minister of Automobile Industry, A.M.
Taresm in the near future to lead a delega-
tion to visit the Daimler-Benz plant near Stuttgart.
Following a scientific-technical agreement con-
cluded at the time of the signature of the West
.German - Soviet treaty, Bonn's Minister of Science
Leussink will visit Soviet scientific and nuclear
energy facilities from 17 to 29 September.. A top
Soviet nuclear energy official is to return this
visit.
Yuri Zhukov, an authoritative Soviet commen-
tatom lecture in Bonn and Munich during a ten-
day trip in late September. Zhukov is a member of
the Supreme Soviet and will doubtless try to use his,
position to facilitate wide contacts with West German
parliamentarians.
Expectations of a possible commercial agreement
between Bonn and Moscow are spurring other European
Community countries to seek bilateral agreements with
the Soviets. Belgian officials state that Benelux
.will send a delegation to Moscow in October "to pro-
tect its own interests." They note that the compe-
tition for bilateral agreements may create diffi-
culties in the next few years for the development of
a common Community commercial policy toward Eastern
Europe. As one official points out, however, East-
West trade will still be inhibited by the difficulty
of finding markets for stern products in Western
Europe.
4 Sep 70
COti
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3.. SOVIET - FREE WORLD TECHNICAL COOPERATION
Although scientific and technical cooperation
between the East and West is still in its infancy,
developments under the Soviet-French and the Soviet-
.fit from the exchange.
The UK signed a five-year scientific'and tech-
nical cooperation agreement with the USSR in January 1968
that provides for far-reaching technical cooperation
in several. industrial fields, and French-Soviet
scientific: and technical cooperation has expanded
since Kosygin's visit to Paris in December 1966. As
much US technology is shared with Western Europe or
incorporated into West European industry, the Soviets
indirectly will also receive the benefits of this
technology. Apart from the political considerations
involved, both France and the UK hope these agree-
ments with Moscow will improve their access to So-
viet markets and result in benefits in trade.
France and the USSR have agreed, albeit slowly,.
on several specific ventures under their joint pro-
gram, including Soviet adoption of the French SECAM
color TV system, joint space programs, and atomic
.energy research. Both the French and British stand
'to gain from recent Soviet industrial developments,
such as the construction of hi e transmission
lines in the power industry.
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UK agreements indicate that both partners will bene-
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