THE PRESIDENCY: Trade & Aid

Since last June, five U.S. allies in Europe have shipped strategic material worth some $6,000,000 to Communist countries, President Eisenhower told Congress last week. Under the Battle Act, the President could have cut off U.S. aid to all five nations—Denmark, France. Italy, Norway and Great Britain. He decided not to do so. Reasons: 1) many of the shipments were contracted before the Battle law went into effect, and 2) cutting off U.S. aid would "clearly be detrimental to the security of the U.S."

The President also:

¶Turned down Tariff Commission recommendations to raise the tariff on foreign wool. Instead, said the President, he will wait for congressional action on a plan to aid domestic wool producers under the agricultural price-support program.

¶51gned without comment a bill liberalizing pensions for Congressmen and their employees—providing for retirement at 60 after ten years of service. Pension rates will be slightly less than under the present law, which allows retirement at 62 after six years' service.

¶Reported to Congress that in the last four years the U.S. gave its allies $7.7 billion in military aid, including 30,792 tanks and combat vehicles, 5,340 aircraft, 601 Navy vessels, 2,000,000 machine guns and small arms.