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B-163869 1 (1971-05-17)

handle is hein.gao/gaobaafkj0001 and id is 1 raw text is: 






                 COMPTROLLER GENERAL OF THE UNITED STATES
                           WASHINGTON, D.C. 20548





B-163869

                                                      III III  IIIIII II 11111IN

Dear Mr. Chamberlain:                                     LM095655

     In May 1968, you expressed concern at the use of foreign-made
motor vehicles abroad by the Department of Defense because of the
detrime--n-tal-effects this might have on federal expenditures and the
Unitred States balance-of-payments position. You asked this Office
to Ty-esi-uation.

     We issued two reports to the Congress--one in February 1970 on
the use of foreign buses and another in February 1971 on the use of
foreign trucks. Both reports concluded that significant cost and
balance-of-payments advantages could be realized by our military
forces, at some overseas locations, if they were to use more American
vehicles instead of relying so heavily on contractors who used mostly
foreign-made vehicles.

     The Department of Defense has recently furnished us information
indicating that the Army has taken steps to significantly increase the
use of American buses abroad. The current status in Pacific area
countries commented on in our February 1970 report follows:

          FY 1972 Bus
          Requirement            Sources of buses to be used

Japan           55     32 American buses are being phased-in as replace-
                      ments for foreign buses. Fiscal year 1973 require-
                      ments are to be satisfied with American buses.
Korea          132     100 American buses were delivered and 32 additional
                       American buses currently are planned for delivery.

Thailand        44     44 American buses are to be delivered as replace-
                       ments for foreign buses.
Okinawa        143     A determination was made that it would be more
                       economical to continue to lease foreign buses.
Vietnam        334     153 American buses are scheduled for delivery in
                       June 1971. An additional III American buses now
                       are on hand. 70 foreign buses will be leased
                       during fiscal year 1972.







                     50TH ANNIVERSARY 1921-1971