ABSTRACT

In Europe the much-disputed policy of German integration into NATO eventually gave way before American pressure that was accompanied by the subsidization of European rearmament. As in the case of the 1951 conflict with Anglo-Iranian Oil Company (AIOC), the AIOC, whose nationalization exposed the cracks in Anglo-American solidarity, so the 1956 crisis over Suez and the Sinai invasion that followed exposed the administration's willingness to apply political as well as economic pressure on London. In early January, Dulles had considered applying economic pressure on the Egyptian regime, a recurring theme that was modulated at the time of the Suez crisis. The reaction in Washington was electric, as the administration immediately distanced itself from its allies, condemning the invasion and calling for a cease-fire, the position endorsed by the United Nations that called for the formation of an emergency force.