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Soviets keen for U.S. chemical technology A U.S. delegation to the Soviet Union last July brought back a shopping list, of sorts, of 13 chemical technologies that the U.S.S.R. is seeking, C&EN has learned. What's more, the delega­tion's licensing experts have given some advice on how to deal with Soviet organizations in a just-released report from the Commerce Department, "U.S./U.S.S.R. Technology Licensing Prospects 1973."

The 11-man delegation—four from Government, six from industry, plus an interpreter—made the trip to gain a working familiarity with the mechanics of U.S.-U.S.S.R. technology transfer in light of the increasing prospects for trade between the two countries. Dr. Betsy Ancker-Johnson, assistant secre­tary of Commerce for science and tech­nology, headed the group. Among six private sector representatives were three chemical executives: John J. Hagan, manager of the patent law de­partment at American Cyanamid; David E. Dougherty, patent counsel at Carborundum Co.; and Peter F. Casel-la, director of patents and licensing at Hooker Chemical.

Dr. Ancker-Johnson is optimistic over trade prospects with the Soviet Union. "We sensed avid Soviet interest in acquiring U.S. technology," she says.

Similarly bullish on the chances for selling technology to the Soviets, sever­al of the chemical industry executives on the trip indicate that such trade isn't just one way. At least one such firm is looking closely at several Soviet technological developments.

The major flow in chemical technol­ogy, however, likely will be from the U.S. to the U.S.S.R. Indeed, the strong Soviet need for chemical technology is reflected in the makeup of the U.S. delegation. The only other private sec­tor representatives on the delegation were Aluminum Company of America, patent law firm Brooks, Haidt and Haffner, and Litton Industries. The chemical and other high technology firms in turn were visited by a Soviet delegation to the U.S. that concluded its trip in mid-October.

During the 17-day visit to the U.S.S.R., the U.S. delegation met with Dr. V. M. Zimin, head of the depart­ment of science and technology of the Ministry for Chemical Industry. In ad­dition to contacting U.S.S.R. foreign trade organizations, Dr. Zimin urged U.S. firms to write directly to his de­partment. He also presented a list of chemical technologies sought by his ministry. The complete list (the report cites only six areas), obtained by C&EN from the notes of several of the representatives, covers a wide variety of chemical products and processes.

Technology transfer agreements with the Soviets can take a number of forms, the report notes. There are pro­

tocol agreements, but generally these are reserved for use by large corpora­tions having technology and expertise in important areas of interest to the Soviets (at least eight such agreements have been concluded to date).

Licensing agreements may include patents, know-how, and equipment. Normally, straight patent licenses— those without accompanying know-how and equipment—are uncommon. Joint ventures where a westerner obtains a property right or percentage interest in a manufacturing enterprise in return for technology and/or patents with or without additional cash are not an es­tablished mode of operation in the So-

U.S.S.R. shopping list ranges from tapes to paint The U.S.S.R.'s Ministry for Chemi­cal Industry is interested in acquir­ing technology in 13 fields:

• Producing magnetic tape for color television.

• Preventing caking of ammo­nium nitrate.

• Producing vinyl acetate from ethylene.

• Making filters for enamel and lacquer.

• Treating sewage and sludges. • Improving compositions for

antirust/antifouling paints for ships. • Improving the process for pro­

ducing chlorine and potassium ni­trate from potassium chloride.

• Improving dispersion of pig­ments through additives.

• Making photoresistors. • Producing elastic containers. • Using plasticizers for molding

polymers. • Making polyacetal resins from

contact gases based on formalin. • Producing lubricants (release

agents) for casting or molding met­als.

viet Union. So far, cooperative R&D agreements have been explored and ne­gotiated with U.S. companies on a lim­ited basis.

Licensing agreements between U.S. firms and the U.S.S.R. generally have terms and conditions similar to those in agreements between two western parties, the report says. For example:

• Limiting territories and restricting exports are common.

• Granting rights to use the technol­ogy at specific plant locations or for limited volumes of production can be negotiated.

• Sublicensing rights or the right of restricting sublicensing privileges with­in the U.S.S.R. and the Comecon countries may be obtained.

These and other licensing conditions are, of course, subject to the antitrust laws of the U.S. and other countries.

12 C&EN Nov. 5, 1973

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