MEMO FOR THE PRESIDENT FROM R.H. HILLENKOETTER RE REPORT FROM A USUALLY RELIABL

Created: 12/10/1948

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^ SECRET

The followIn* reportsually reliablerouinent dealer In oresorldwide basis, la evaluated as rrobibly try*.

Upeu days ago Indications uero that the Soviets would ecntlnue to export to the United States aansaneae *nd chrome "according to expected and agreed upon schedules." 7roand coiounlcation3 both in th- United States and abroad with the Soviets, ws now have the distinct ler-raaslon" thst nxTort3 of aan-ar>?s? and chroae will not tio exacted and agreed upon schedules ln tho"

Juit whithe Soviets will ship, we ar* unableas or to-iay (lol-tlons re unable to name .any eatia>ite of thebut cssuae- It would be zone percentage (andno idea whit cercenta-e} of 'expected and agreed

In our opinion, based on our talks with the 3oviots ovnr seven! lontha, weuddenin policy In retaliation for tho reluctance or refusal of tho United statesto *rantexport licenses to purchaoa In the United Statas the .aatprials and ac<ulr**nt which they deea essential for tholr eccnorry.

i. HiV-SKSOoTTSR. i'iear Admiral, USS Director of Cuntral

APPROVED FORl#ll*'TenCe

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