Iran's Policy Towards the United States - Part 4 and Final
The epoch of Reza Shah the Great - The history of this period testifies to the immense debt of gratitude which the Iranian nation owes to the memory of Reza Shah the Great for the momentous services he rendered Iran. He unified and saved a splintered, down-trodden nation. He strengthened and consolidated the armed forces, established central government authority throughout the country, and terminated feudal and tribal anarchy. He cancelled the unequal treaties, agreements and concessions, and abrogated extra-territorial rights and capitulatory privileges. He pursued a realistic foreign policy, nationalist in character and commensurate with the objectives and capabilities of the nation. In giving Iran a sense of purpose and self-respect, he personified the nation's historic recuperative powers which have manifested themselves on several desperate occasions in its long history.
During this period, Iran, in pursuit of its traditional third-power policy, made efforts to gain the support of the United States in two ways: acquisition of administrative and technical know-how through the employment of American advisers; and financial assistance through loans. The United States enjoyed the goodwill which had been created by its support of Iran at the Paris Peace Conference and by its opposition to the Anglo-Persian Agreement of 1919. Above all, the United States had become interested in the possibilities for the exploitation of oil resources in Iran.
Negotiations with American oil companies for a possible concession in north Iran did not materialize. However, employment of American advisers proved successful. During 1922- 27, Dr. Arthur C. Millspaugh, the American financial adviser, was able to increase national revenues, control expenditures, and improve the credit position of the government. This was made possible because, for the first time in centuries, Reza Shah had been able to extend the authority of the central government throughout Iran. Taxes were collected, primarily from landlords with minimum difficulties and red tape.
After the expiry of the Millspaugh mission, the Iranian government continued its administrative, judicial, financial, and educational reforms and the establishment of needed institutions. Iran achieved unprecedented ec~ nomic progress. The Trans-Iranian Railway, which proved indispensable for the Allies during the Second World War, was constructed without foreign loans and with little oil income. These were the early foundations for the development of the nation.
Presenty bilateral relations - In the past quarter of a century, relations with the United States have assumed a primary place in the foreign policy of Iran. During the Second World War, as earlier, Iran favored the United States as the third power. In November 1943, His Imperial Majesty enunciated the policy that continued and growing American interests in Iran would be in the best interest of the nation and that three powers were better than two. The basic aim was to counterbalance Anglo-Russian pressures and strengthen the security of the country through American support, and to remedy the socio~econornic ills of the country with the assistance of American aid and know-how.
National independence remained the cornerstone of Iranian foreign policy. History had given ample evidence that, without national strength and security. it was impossihle to attain true national independence and to acchieve politicai. economic, and social development. The experience of Iran during the two world wars had shown that mere declarations of neutrality, without commensurate national strength, could not guarantee the territorial integrity of the nation. This was the inexorable lesson of the turbulent history of Iran.
After the start of the cold war and bipolarity of post-war power politics which gravitated around the two superpowers, Iran could not pursue a neutralist course or third-power diplomacy in world affairs. The only realistic choice was the adoption of "positive nationalism" to safeguard national mdcpendence through strength and cooperation with the West led by the United Statcs. Therefore, soon after I 953 Iran abandoned the third-power policy and aligned itself formally with the United States through agreements.
Middle East Treaty Organization (The Baghdad Pact) - On 11 Octohcr 1955. for considerations of national security, Iran joined the Baghdad P~ct. a mutual secLirity organi?ation. established in consistence with Article 51 of the U.N. Charter. whose members already included three neighboring ~1uslim countries (Turkey, Iraq, and Pakistan) in addition to Britain, with the United States as an observer. Iran's accession completed the Middle Last alignment of the so- called "northern tier," linking it to NATO through Turkey and to SLATO through Pakistan. The United States joined the military cominittee of the Baghdad Pact and expressed willingness to provide military and economic support.
Eisenhower Doctrine - On 21 January 1957, the governments.of Iran. Turkey. Pakistan, and Iraq expressed their support for the U.S. joint congressional resolution (known as the Eisenhower Doctrine) whereby the president was authonzed to employ American forces to protect the independeuce and integrity of any nation in the Middle East requesting such aid aeainst "overt armed aggression from any nation controlled by international communism." Appropriation of additional funds for military and economic aid in the Middle Last region was also authorized.
CENTO - One of the results of the Iraqi revolution of 14 July 1958 was the withdrawal of Iraq from the Baghdad Pact and the renaming of the pact as the Central Treaty Organization. The United States became a member of CENTO's ~iI'itary, economic, and counter-subversion committees and signed bilateral agreements of military and economic cooperation with Iran, Pakistan, and Turkey. In terms of foreign policy, U.S.-lranian relations were subjected to a thorough reassessment. On 28 July 1958 the declaration of the CENTO ministerial meeting in London affirmed the determination of the members "to maintain their collective security and to resist aggression, direct or indirect," The latter phrase carried special significance concerning the problem of subversion. Under the declaration, the United States agreed to cooperate with the member nations of CE NTO for their security and defense and to enter promptly into agreements designed to effect their cooperation.
Defense Agreement of 1959 - Pursuant to the declaration of 28 July 1958 the governments of Iran and the United States concluded an agreement of 5 March 1959. By the agreement, the United States regarded as "vital to its national interest" the independence and integrity of Iran. Under the agre~ ment, the United States provided Iran with increasing military and economic aid. Previously, American aid had been based on the agreements on 1943 and 1947 as confirmed by the Mutual Defense Agreement of 1950. Prior to 1947, all American a~d had been technical and advisory in nature. Since then Iran has received rnilitary equipment as well.
From 1953 onward Iran received substantial amounts of assistance from the United States. Between 1949-52, total American assistance had amounted to $l6.7 million in military and $16.5 million in economic aid. However, between 1953 and 1961, military aid rose to $463 million, and economic aid totalled $611 million; of the latter, $345 million was in outright grants.
Treaty of Amity and Economic Relations and Consular Rights - Iran and the United States signed the treaty on 15 August 1955 and it entered into force on 16 June 1957. The treaty deals with foreign investments and enterprises, and its provisions are designed to encourage American investments in Iran. The treaty replaced the provisional agreement of 11 July 1928, related to personal status and family law, and it confirmed the trade agreement of 18 April1943.
After 1953 commercial and economic relations between Iran and the United States expanded rapidly. These were principally tn the petroleum sector through the participation of the American oil companies in the consortium and arrangements with the National Iranian Oil Company.
The hallmarks of present policy - Today, U.S.-Iranian relations are characterized by enlightened self-interest and interdependence in both regional and global spheres. The enormous magnitude of this relationship is partially indicated by the presence of several thousand Americans in Iran engaged in military, industrial, advisory, and training programs. The cumulative bilateral trade between the two countries is expected to reach upwards of $60 billion during the next three years.
An important objective in the relationship is to maintain the security of the region as a whole and the freedom of the sea lanes in order to ensure the uninterrupted transport of Iran's key imports as well as oil to the United States, Western Europe, and Japan. The contribution made by Iran towards the maintenance of security in the Persian Gulf region has already been mentioned briefly. A related consideration is Iran's dependence upon American cooperation in regional security programs and for the economic and industrial development of the nation. All these factors coincide and combine with the desire and determination of both Iran and the United States to contribute towards the maintenance of stability in the region and of a peaceful international order.
This paper has given some indication of the small beginnings, slow development, and rapid expansion of U.S.-Iranian relations, especially since the Second World War. Though it seems futile to predict foreign policy in these days of r3?~id international development and change, it is reasonable to assume that U.S.-Iranian relations will further develop and strengthen, given the nationalist direction of Iran's foreign policy and the global involvement of both Iran and the United States in the maintenance of international peace and security. ---- The End - October 1977