East-West Trade and Technology Transfer: Toward a Policy of Nonmilitary Free Trade

Abstract

U'nited States policy governing East-West trade and technology transfer is in need of a major overhaul. The policies of both the Carter and Reagan administrations have been spasmodic, ad hoc, and incoherent. These policies have aggravated tensions with our adversaries and strained relations with our allies. Lamenting the impact of our policies on the latter, French Minister of Foreign Affairs Claude Cheysson stated in 1982 that a "progressive divorce is taking place." The American inclination toward a policy of economic warfare has resulted in precipitous declines in U.S. exports to the East, loss of credibility globally as a reliable trade partner, and worsening East-West and West-West political relations. Unless we come to a better understanding of the realities surrounding East-West trade and technology transfer, and develop a more rational policy based upon realistic assumptions and principles, we will continue to damage our economic and political relationships with allies and adversaries alike.