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To the fullest extent possible, we are building the emergency structure up the established departments and agencies of the Government, thus avoidi duplication and unnecessary expense. We are endeavoring also to profit by t experience the mistakes and the successes-of the World War II mobilizatio Fortunately, many of the able and experienced men who planned and led t war mobilization are still in Government, and others have responded to t emergency call and returned to posts which, in many cases, are virtually t ones they left in 1945 and 1946.

In organizing for defense, the Office of Defense Mobilization has been esta lished as a small organization concerned with policy guidance and control at with settling interagency differences. The operating activities are distribut among the regular Government departments and the new emergency agencies, In developing the organization structure, six major areas of mobilizat activity have been identified and arrangements made in each area for coording ing the work of governmental agencies. The six areas and the organization arrangements are:

Stabilization.-The Economic Stabilization Agency advises on over-all stabi ization policy and supervises the operations of the Office of Price Stabilizati and the Wage Stabilization Board.

Production. The Defense Production Administration coordinates the indt trial production effort. Under its direction are the production activities several agencies-principally the National Production Authority in the [ partment of Commerce; the defense organizations for power, petroleum, sol fuels, minerals, and fisheries in the Department of the Interior; the Depar ment of Agriculture with respect to agriculture production for industrial use and the Defense Transport Administration.

Food production and distribution is the responsibility of the Department Agriculture.

Manpower. To provide coordination and advice in the broad field of ma power, a Committee on Manpower Policy has been established, headed by a ma power specialist in the Office of Defense Mobilization. A committee of repi sentatives of labor and management will also be established to make reco mendations on manpower policy matters.

The Secretary of Labor has established a Defense Manpower Administrati to coordinate the major operating responsibilities of the Department regardi recruitment, training, and utilization of manpower for defense production. Transportation.-A Committee on Defense Transportation and Stora chaired by the Undersecretary of Commerce, provides policy coordination a advice relating to all forms of transportation. Sea and air transportation a coordinated within the Department of Commerce; land transportation and st age by the Defense Transport Administration.

Foreign supplies and requirements.—A committee has been established, chair by the Economic Cooperation Administrator, to review and evaluate foreign quirements for supplies produced in the United States and our requirements 1 supplies from foreign sources.

Scientific research.-A committee on scientific research, headed by a st member of the Office of Defense Mobilization, will be set up to provide adv: and guidance on scientific research as a part of the defense mobilization progra Members will be drawn from both within and outside the Government.

Outside of Washington, 13 interagency regional committees have been esta lished, each cochaired by the regional directors of the Defense Production Adm istration and the Defense Manpower Administration, to coordinate the activit of the defense agencies in those regions. These committees have a special role steering the placement of military contracts in relation to manpower and p ductive facilities, and in aiding small-business participation in the program. The Defense Mobilization Board provides a means for coordinating the polic and activities of the principal departments and agencies participating in t defense program. It consists of the Secretaries of Treasury, Defense, Interi Agriculture, Commerce, and Labor; the Chairmen of the National Secur Resources Board, the Reconstruction Finance Corporation, and the Board Governors of the Federal Reserve System; and the Defense Production and E nomic Stabilization Administrators, with myself as chairman.

In addition, I meet bi-weekly with the Mobilization Executive Staff, made of the officials who head the mobilization agencies and the interagency comą tees that operate under the jurisdiction of ODM. Its members are the Adm istrators of the Defense Production Administration, the Economic Stabilizati Agency, the Housing and Home Finance Agency; and the Chairmen of the Cq

mittees on Foreign Supplies and Requirements, Manpower Policy, and Defense Transportation and Storage, and the Chairman of the Council of Economic Advisers in an ex officio capacity.

My participation, by invitation of the President, in meetings of the Cabinet and of the National Security Council assists in coordination of the defense mobiliza tion effort with the programs of the executive branch as a whole.

The National Advisory Board on Mobilization Policy, recently created by the President as an advisory group to him under my chairmanship, will be a means of bringing together citizens of outstanding experience and ability and making available their views to guide the Government's defense mobilization effort. Twelve of the sixteen members will be experienced in matters of business management, labor, and agriculture.

I believe we have the requisite organizational structure to do the job and that. we have applied the lessons of World War II in its building.

SECTION III. MEETING MILITARY REQUIREMENTS

Modern weapons and other requirements of war-for our forces in Korea and elsewhere, for our allies and for reserve supplies-are now being ordered at a rate of nearly a billion dollars a week.

During the 3 months from January through March, the Department of Defense obligated over $12 billion for procurement, construction, and facilities expansion, including procurement for the mutual defense aid program. For the 9-month period since the Korean attack, the Department has obligated over $23 billion, out of a total of $32 billion thus far made available for these purposes in the fiscal year which ends June 30. More than $1 billion, in addition, was obligated in the January-March quarter for stockpiling of strategic materials and for projects of the Atomic Energy Commission.

Deliveries to the Armed Forces are not, of course, being made at a rate anywhere near the rate of placing orders. Complex modern war equipment has a long "lead time"-most of the heavy items require months between the date of placing an order and the date of delivery, and some require 2 to 3 years. But deliveries, too, will rise steadily in the coming months.

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WEAPONS HAVE CHANGED SINCE WORLD WAR II

The weapons being ordered are not the same weapons used in World War II. When we demobilized our Army, Navy, and Air Force after that war, we maintained at a high level the programs of research and development carried on by the military and by civilian agencies. The advances growing out of these 5 years of research are incorporated in the new equipment being ordered.

In World War II, the B-17 was the standard heavy bomber flying over Germany. It weighed 24,700 pounds and had a range of 1,750 miles. The B-17 is now obsolete and out of production. Our present intercontinental strategic bomber, the B-36, weighs 102,500 pounds and has a range of up to 10,000 miles. The B-17, the first all-jet strategic bomber to go into quantity production, is in the 600-mile-per-hour class.

Of all the fighter planes produced in World War II, the F4U Corsair is the only one still in production-in fact, the only piston-engined fighter now produced in this country. The two latest types of jet aircraft in use in Korea are the F-84 and F-86, and designs superior even to these are now in various stages of development.

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The new planes fly at speeds and altitudes hardly known 5 years ago. At these speeds, human reflexes have proved too slow, and highly complex electronic fire controls have had to be substituted for manual controls. weather performance for the new aircraft also depends on electronics, as does the detection of enemy aircraft and the accuracy of antiaircraft fire.

The new tanks are 60 percent more powerful and 50 percent faster than their World War II predecessors. They mount more powerful and more accurate guns. Such features as traction, ability to ford streams, and all-weather 'operation are all improved, and gear shifts have been simplified to the point where a touch of the control stick will switch the tank from top forward speed directly to reverse or back again.

Some of the most sensational developments in ground equipment have been made in the field of antitank weapons. The new 3.5-inch rocket launcher-the modern version of the World War II bazooka-has proved amazingly effective against Russian-built medium tanks in Korea. This weapon has been moved from the hand-tool stage to mass production and use only since the Korean campaign began-another miracle of production ingenuity and determination. A brand-new addition to infantry firepower is the 105-millimeter recoilless rifle. Mounted on a jeep, it can fire 10 aimed shots per minute, with a range of 8,500 yards, and places unprecedented hitting power in the hands of small infantry units. The 40-millimeter antiaircraft gun of World War II is being replaced by the new 75-millimeter Skysweeper. New ammunition used by all services is more effective in the penetration of heavy armor,

The revolution in design of naval aircraft has been comparable to that of land-based aircraft. Fighters now being procured are predominantly jetpropelled, and carrier-based bombers capable of carrying the atomic bomb have been developed. The decks of aircraft carriers have been strengthened to accommodate heavier aircraft.

Surface vessels are being equipped with improved fire-control equipment and with detection devices 10 times as effective as those used in World War II. New high-speed torpedoes have been developed which can be fired from surface ves sels, aircraft, or submarine and which constitute a very real threat to any known submarine.

Our surface fleet has been augmented, for the most part, by returning to service the surplus vessels laid aside in 1945. Yet a new program of construction has now been authorized by the Congress, emphasizing ships designed for antisubmarine warfare and the construction and conversion of carriers to handle faster and heavier aircraft.

The guided missile, scarcely out of the experimental stage at the close of World War II, is reaching the production stage and, before long, will take its place as one of the most important of our modern weapons.

Still in the research and development stage are atomic-powered submarines and aircraft, atomic shells which can be fired by conventional artillery, rockets with atomic warheads, and rockets of far greater range and accuracy than now exist.

MAXIMUM PRODUCTION IMPACT WILL COME EARLY IN 1952

Of the total value of orders placed since the beginning of the defense program, 75 to 80 percent has been for aircraft, tanks, automotive vehicles, ammunition and guided missiles, electronics and communications equipment, and construetion of military and industrial facilities.

This general pattern should continue in the months ahead. Developments in Korea can, however, affect the procurement program and as research progresses new items may be put into quantity production. In certain areas, our goals will be reached sooner and procurement programs level off.

For the program as a whole, the maximum production impact, as measured by requirements for raw materials, will occur early in 1952. Deliveries of military equipment will, of course, rise for some months thereafter before reaching a level that will suffice to maintain our armed might.

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