5-7 de DEPARTMENT OF STATE DEPUTY UNDER SECRETARY L1 10m Kr Tyler x f M t Thur Twading th s memo kn rt tge v secs yau He wnulo - - like to gran your attentLon f talc-gram Tab A at-fr ched from imb Thompson this is a new elenent -- gun DECLASSIFIED Authority mam CONFIDENTIAL T0 -Mr mm EUR - Mr Elbr-iay SUBJECT Austrian Interest in Selection of Vienna as Permanent Site for IAEA Ambassador Gruber requested an appointment to see the Secretary to present the Austrian case for location of the permanent site of the Intel national Atomic Energy Agency in Vienna In view of the Secretary's departure this week arrangements have been made for the Ambassador 00 see you at 3 15 P M May 25 Since March of this year the Austrians have been soliciting the support of UN members for locating the pemanent headquarters of the organization in Vienna They have specifically requested in approaches made both in Vienna and Washington that the U S - as the originator of the Atoms for Peace idea - give this proposal its support which the Austrians feel is of prime importance They desim to mark their newly won independence and UN membership by the establishment of a maJ or international agency in Vienna It has become apparent from reports from USUN and other sources that the Austrians have enerated wide su port for this project including that of the Afro-Asians especially India the Soviet bloc eSpecially the USSR and many Western European countries to a point where Vienna is far in the lead for the site 'Jhe Latin Americans are a rentl awai the U S lead on this question and the only other cigg'amentigned ati l favorably is Geneva which seems also to be acceptable to the U S S R U S consideration of this question has led to no final decision with the choice apparently narrowed to one betseen Vienna and Geneva Although a number of considerations such as the technical facilities available have been adduced in favor of Geneva it is recognized that there are significant political factors which favor active U S support for Vierma and would make it extremely difficult to oppose Vienna probably unsuccessfully in the face of the strong campaign which is being waged in its behalf 7 97m ay 35 Ambassador Gruber has been infomed that this question is currently receiving high lavel consideration in the U S Government which fact together with further instructions from his Government has resulted in his re st for an interview at the highest level in the Department At this timeqL19 the Ambassador is likely to put forward the following points 1 Austria though militarily neutral has demonstrated by its irit 11 is hpat 11 go 0 and national elections the most recent being May 13 1956 of such CONFIDENTIAL CONFIDENTIAL -2- of such a move and charges that it was urmeutral Austria already in OEEC and EPU Joined the Council of Europe last month 2 It is in the 11 3 interest to demonstrate that it continues to regard Austria as a part of the Western world and to support Austrian political and economic deve10pment in which the U S has already invested over a billion dollars since the war Establishment of the site in Austria might even help to preserve its independence 3 In view of the wideSpread support for Vienna by a majority of the countries concerned 11 3 support would have the additional advantage of expediting international agreement build public goodwill and pemit the 11 3 to reserve for more troublesome questions firm disagreement with the Soviets Indians and others on the working group U S Opposition to Vienna would not only result in the loss of the foregoing advantages but would not be understood in Austria and would undoubtedly be exploited by the Soviets as an indication that Austria has been abandoned by the West and adopted by the met 5 Austria - not Switzerland - is in the UN 6 The Austrian Government is so keen to have the IAEA located in Vienna that it is prepared to spare no effort to make available all facilities desired Its low cost accessibility and long widely respected history of scientific achievement may also be adduced to favor Vienna from the technical point or view Ihe attached telegram has Just been received from Ambassador Thompson lab A in response to the Department's latest canmunication on the subject Tab B indicating certain reservations about Vienna expressed during your meeting with the Secretary on this question Recommendation In the light of Ambassador Thompson's comments and in view of the political advantages which would accme to the U S the wideSpread inter- national support and the interest of the Austrian Government in U S agreement to locating the permanent site of the IAEA in Vienna as well as the considerable political damage which would result from U S opposition to such a move it is recomended that you indicate to Ambassador Gruber our recognition of the validity of many of his points and undertake to discuss the matter with the Secretary on the basis of the views the Ambassador expresses Attachments Tab A - Vienna's 2722 May 214 1956 - DEPTEL to Geneva 2010 Vienna 3231 May 18 1956 EUR am at ptonzmabzee Clearances - Hr Spiersv A11 in draft RA - Mr Ungerf s m - Mr Far ey                     National Security Archive    Suite 701  Gelman Library  The George Washington University    2130 H Street  NW  Washington  D C  20037    Phone  202 994‐7000  Fax  202 994‐7005  nsarchiv@gwu edu