II.

Our country has come through a painful period of trial and disillusionment

since the victory of 1945. We anticipated a world of peace and cooperation.

The calculated pressures of aggressive communism have forced us, instead,

to live in a world of turmoil.

From this costly experience we have learned one clear lesson. We have

learned that the free world cannot indefinitely remain in a posture of

paralyzed tension, leaving forever to the aggressor the choice of time and

place and means to cause greatest hurt to us at least cost to himself.

This administration has, therefore, begun the definition of a new, positive

foreign policy. This policy will be governed by certain fixed ideas. They

are these:

(1) Our foreign policy must be clear, consistent, and confident. This means

that it must be the product of genuine, continuous cooperation between the

executive and the legislative branches of this Government. It must be

developed and directed in the spirit of true bipartisanship.

(2) The policy we embrace must be a coherent global policy. The freedom we

cherish and defend in Europe and in the Americas is no different from the

freedom that is imperiled in Asia.

(3) Our policy, dedicated to making the free world secure, will envision

all peaceful methods and devices--except breaking faith with our friends.

We shall never acquiesce in the enslavement of any people in order to

purchase fancied gain for ourselves. I shall ask the Congress at a later

date to join in an appropriate resolution making clear that this Government

recognizes no kind of commitment contained in secret understandings of the

past with foreign governments which permit this kind of enslavement.

(4) The policy we pursue will recognize the truth that no single country,

even one so powerful as ours, can alone defend the liberty of all nations

threatened by Communist aggression from without or subversion within.

Mutual security means effective mutual cooperation. For the United States,

this means that, as a matter of common sense and national interest, we

shall give help to other nations in the measure that they strive earnestly

to do their full share of the common task. No wealth of aid could

compensate for poverty of spirit. The heart of every free nation must be

honestly dedicated to the preserving of its own independence and security.

(5) Our policy will be designed to foster the advent of practical unity in

Western Europe. The nations of that region have contributed notably to the

effort of sustaining the security of the free world. From the jungles of

Indochina and Malaya to the northern shores of Europe, they have vastly

improved their defensive strength. Where called upon to do so, they have

made costly and bitter sacrifices to hold the line of freedom.

But the problem of security demands closer cooperation among the nations of

Europe than has been known to date. Only a more closely integrated economic

and political system can provide the greatly increased economic strength

needed to maintain both necessary military readiness and respectable living

standards.

Europe's enlightened leaders have long been aware of these facts. All the

devoted work that has gone into the Schuman plan, the European Army, and

the Strasbourg Conference has testified to their vision and determination.

These achievements are the more remarkable when we realize that each of

them has marked a victory--for France and for Germany alike over the

divisions that in the past have brought such tragedy to these two great

nations and to the world.

The needed unity of Western Europe manifestly cannot be manufactured from

without; it can only be created from within. But it is right and necessary

that we encourage Europe's leaders by informing them of the high value we

place upon the earnestness of their efforts toward this goal. Real progress

will be conclusive evidence to the American people that our material

sacrifices in the cause of collective security are matched by essential

political, economic, and military accomplishments in Western Europe.

(6) Our foreign policy will recognize the importance of profitable and

equitable world trade.

A substantial beginning can and should be made by our friends themselves.

Europe, for example, is now marked by checkered areas of labor surplus and

labor shortage, of agricultural areas needing machines and industrial areas

needing food. Here and elsewhere we can hope that our friends will take the

initiative in creating broader markets and more dependable currencies, to

allow greater exchange of goods and services among themselves.

Action along these lines can create an economic environment that will

invite vital help from us.

This help includes:

First: Revising our customs regulations to remove procedural obstacles to

profitable trade. I further recommend that the Congress take the Reciprocal

Trade Agreements Act under immediate study and extend it by appropriate

legislation. This objective must not ignore legitimate safeguarding of

domestic industries, agriculture, and labor standards. In all executive

study and recommendations on this problem labor and management and farmers

alike will be earnestly consulted.

Second: Doing whatever Government properly can to encourage the flow of

private American investment abroad. This involves, as a serious and

explicit purpose of our foreign policy, the encouragement of a hospitable

climate for such investment in foreign nations.

Third: Availing ourselves of facilities overseas for the economical

production of manufactured articles which are needed for mutual defense and

which are not seriously competitive with our own normal peacetime

production.

Fourth: Receiving from the rest of the world, in equitable exchange for

what we supply, greater amounts of important raw materials which we do not

ourselves possess in adequate quantities.

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