CURRENT INTELLIGENCE BULLETIN - 1954/09/14

• Document Type: SPECIALCOLLECTION
• Collection: Current/Central Intelligence Bulletin Collection
• Document Number (FOIA) /ESDN (CREST): 03000940
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 5
• Document Creation Date: August 20, 2019
• Document Release Date: August 30, 2019
• Publication Date: September 14, 1954

pproved for Release: 2019/08/13 C03000940.
TOP SECRET f
Copy No.
8
CURRENT INTELLIGENCE BULLETIN
� DOCUMENT NO 33-
NO CHANGE IN CLASS pc
f :I DECLASSIFIED
CLASS. CHANGED TO: IS S
NEXT REVIEW DATE: 1010
AUTH: HR 70-2
DATE: 1 nairD REVIEWER;
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
(9-1=4--SECRE-F
14 September 1954 /
3 3(h)(2)
44/
3.5(c)
Approved for Release: 2019/08/13 C03000940
Approved for Release: 2019/08/13 003000940
`Voi NNW
SUMMARY
GENERAL
1. Comment on Molotov's bid to normalize relations with Japan (page 3).
FAR EAST
2. Overseas Chinese see "face--saving" attacks by Peiping possible
(page 3).
SOUTHEAST ASIA
3. Laotian premier working for defection of Pathet Lao leader (page 4).
WESTERN EUROPE
4. Comment on the Schleswig-Holstein state election in West Germany
(page 4).
* * * *
14 Sept 54
CURRENT INTELLIGENCE BULLETIN Page 2
Approved for Release: 2019/08/13 003000940
Approved for Release: 2019/08/13 C03000940
GENERAL
1. Comment on Molotov's bid to normalize relations with Japan:
Foreign Minister Molotov's statement of
11 September to a Japanese editor that the
time is ripe for a normalization of relations
with Japan is the highest-level move thus far in the current Commu-
nist psychological offensive aimed at reducing American influence in
Japan and bringing Tokyo into closer relations with the Orbit.
Initial Japanese Foreign Ministry reaction
to Molotov's statement has been one of skepticism. The government
has reiterated its position that Japan will respond to any Soviet pro-
posal only on the basis of the San Francisco Peace Treaty--a position
to which it is virtually bound, in any event, until April 1955.
Since the Geneva conference, however, Japan
has become increasingly vulnerable to the Communist overtures, which
have included diplomatic gestures, trade talks, trade concessions, and
the exchange of cultural delegations. The Communists are expected to
continue their campaign of friendly gestures toward Japan, but the USSR
probably does not have any serious intention to negotiate a peace treaty-
so long as the Yoshida government remains in power.
FAR EAST
2. Overseas Chinese see "face-saving" attacks by Peiping possible:
There is a growing feeling in the Chinese
community in Singapore that Chinese
Nationalist attacks on the Amoy area increase
the possibility of a Chinese Communist assault
"for face-saving reasons:'
'II �
Comment: Confronted with continued Nation-
alist air and naval retaliation, the Communists have reduced their
shelling of the Quemoys to about 100 rounds per day, as compared to
an estimated 6,000 rounds on 3 September when they began their bom-
bardment.
14 Sept 54
CURRENT INTELLIGENCE BULLETIN Page 3
ApproveCIOR-ele-: -2-619/08/13 C03000940
Approved for Release: 2019/08/13 C03000940
Several observers, both official and un-
official, have warned that Peiping may be forced into some face-
saving action. This could take the form of air and amphibious
attacks against any of the Nationalist-held offshore islands or air
attacks on Formosa.
SOUTHEAST ASIA
3� Laotian premier working for defection of Pathet Lao leader:
Crown Prince Savang of Laos told Ambassa-
dor Heath on 7 September that the premier,
Prince Souvanna Phouma, recently had a
day-long conference with his half-brother
Souphanouvong, titular head of the Viet
Minh-sponsored Pathet Lao. Souphanouvong
was said to have written a statement de-
claring his loyalty and submission to the
royal government and to have, convinced his brother that he is not a
Communist.
A French adviser to the Laotian government
later told the American embassy in Vientiane that Souphanouvong had
agreed to the absorption of his forces into the national army only if
Laos adopted complete neutrality and rid itself of French and American
Influence, The Laotian defense minister was said to favor this deal.
Comment: Souphanouvong has been collab-
orating with the Viet Minh since shortly after the end of World War II
and his entry into the government would involve considerable risk of
its being subverted by the Viet Minh,
WESTERN EUROPE
4. Comment on the Schleswig-Holstein state election in West Germany:
The relatively poor showing of the Christian
Democratic Union in the state elections in
Schleswig-Holstein on 12 September indicates
14 Sept 54
:CURRENT INTELLIGENCE BULLETIN Page 4
Approved for Release: 2019/08/13 C03000940
_
Approved for Release: --016.-/-08/13 C03000940
that Chancellor Adenauer's policies have lost some public support
in recent weeks. Other factors contributed to the Christian
Democrats' losses, however, principally the 14-percent drop in
voter participation and the fact that the campaign was fought largely
on local issues, including state government scandals.
The Christian Democrats and the opposition
Social Democrats won 32.2 and 32.3 percent of the vote respectively,
as compared to 47.1 and 26�5 percent in the national elections in
September 1953 and to 19.8 and 26.9 percent in the state elections
of 1950. The results indicate a return to a state voting pattern
more nearly normal than last year's. The Social Democrats' gain
can probably be attributed largely to opposition to Adenauer's for-
eign policies, but was not sufficient to indicate any great increase
in the appeal of Socialist policies on a national scale.
Present indications are that the Christian
Democrats, in coalition with either the Refugee Party or. Free
Democrats or both, will retain control of the state government and
its representation in the upper house of the federal parliament.
Adenauer can be expected, however, to use these election results
to buttress his demands in current negotiations with the Western
allies.
14 Sept 54
CURRENT INTELLIGENCE BULLETIN Page 5
-71-7
Approved for -Release: 2019/08/13 C03000940