Dear George: Thank you for your letter telling me of your plans to attend the forthcoming meeting of businessmen in Vienna.1 I hope this meeting will prove productive in the interest of widening and deepening the flow of international commerce.
This is a vital project, if the free world is to develop the economic underpinnings adequate to sustain our common defense and a rising standard of life for our people.
Here, as you know, the Administration is asking for a breathing space in trade and tariff policy revision for one year while a thoroughgoing investigation of our whole foreign economic policy is undertaken by a bipartisan commission. I expect to get a one-year extension of the present Reciprocal Trade Agreements Act from the Congress without crippling amendments.
I note by the newspapers that the form of the commission--three members appointed by the Vice President, three by the Speaker of the House, and five by the President--has come under some criticism.2 It is argued that protectionist elements in the Congress will have too great a voice.
My own view is that in a matter of this sort, where Congress feels it has a paramount responsibility, there is much merit in including major Congressional participation in a presidential commission. This means that the controversy among various points of view can come to a head in the commission and that final recommendations will have a much better chance of success in the Congress. We have had too many studies which were presented to Congress only to gather dust. Needless to say, this is not our purpose.
Another point about which some unfortunate publicity has arisen relates to the rejection of all bids for transformers and generators for the Chief Joseph Dam currently under construction by the Army Corps of Engineers.3 The Secretary of Defense took the action he did because of some doubts as to the precision of the specifications. Invitations for new bids were issued last April twenty-seventh and will be opened May twenty-seventh. There is every indication that the English Electric Export and Trading Company will again submit bids for both generators and transformers. You can be assured that foreign bidders will receive fair treatment in the judging of bids.
It is our aim and intention to work steadily for a commercial policy that holds promise of balancing our trade at the highest possible level. This Administration is not going to take any radical steps or move suddenly on a large scale. That would be unwise in every respect. But it is our purpose to help other nations earn their way and in return we will expect them to conduct their affairs so as to maximize world trade.
With best regard,4 Sincerely
