Ike Lauds British Arms Cutback Despite United NATO Opposition; Allies May Reopen China Trade

WASHINGTON, April 10--Great Britain's decision to reduce and streamline its far-flying armed forces was applauded by President Eisenhower today as an example of "courage and nerve."

He made clear he was not alarmed at the drastic defense cutbacks even though he acknowledged they have "disturbed some of our NATO partners."

Eisenhower told a news conference British leaders in effect had no alternative but to slash defense spending in view of Britain's post-war economic problems.

British manpower is to be cut by almost 50 per cent, down to 375,000 men, within the next five years under the plan which includes reduction of troops in Korea, Libya and West Germany.

The remaining forces will be geared to atomic-hydrogen warfare with piloted aircraft eventually replaced by guided missles.

U.S. Curbs Remain

WASHINGTON, April 10--President Eisenhower gave a sympathetic boost today to allies who want to relax curbs on trade with Red China--especially the Japanese.

Britain and Japan, both in economic straits and hungry for trade, have been casting an eye at the Red China market. The United States' policy, banning all American trade with Red China and keeping pressure on its allies to withhold from Red China any goods which could be used for war, remains unchanged.