CURRENT INTELLIGENCE BULLETIN - 1954/07/28

Document Type: 
Document Number (FOIA) /ESDN (CREST): 
03017426
Release Decision: 
RIPPUB
Original Classification: 
U
Document Page Count: 
6
Document Creation Date: 
August 20, 2019
Document Release Date: 
August 30, 2019
Sequence Number: 
Case Number: 
Publication Date: 
July 28, 1954
File: 
AttachmentSize
PDF icon CURRENT INTELLIGENCE BULL[15706799].pdf174.64 KB
Body: 
pproved for Release: 2019/08/13 C03017426' r"z 28 July 1954 3.5(c) 3.3(h)(2) copy No. CURRENT INTELLIGENCE BULLETIN � DOCUMENT NO -55- NO CHANGE IN CLASS. Li DECLASSIFIED CLASS. CHANGED TO: TS S C . NEXT REVIEW DATE: 2o LO AUTH: HE 70-2 DATE- -1///8,9 REVIEWER: Office of Current Intelligence CENTRAL INTELLIGENCE AGENCY TO )?ET Approved for Release: 2019/08/13 C03017426 80 Approved for Release: 2019/08/13 C03017426 I. SUMMARY GENERAL 1. French premier admits vulnerability to any conciliatory Soviet offer (page 3). FAR EAST 2. Two Soviet bloc vessels escorted past Hainan Island (page 3). SOUTHEAST ASIA 3. Burma reported considering recognition of Laos and Cambodia (page 4). SOUTH ASIA 4. Afghan prime minister threatens to turn to USSR (page 5). NEAR EAST - AFRICA 5. Comment on Suez base settlement (page 5). 28 July 54 CURRENT INTELLIGENCE BULLETIN Page 2 in SF C.-R vi Approved for Release: 2019/08/13 C03017426 Approved for Release: 2019/08/13 C03017426 1/4.J or,L,Nr, GENERAL French premier admits vulnerability to any conciliatory Soviet offer: Premier Mendes- France told Ambassador Dillon on 26 July that he had expected and feared a Soviet proposal for a European security system that "would have required ser ous consi � era ion." He said he had not had time to study the latest Soviet note thoroughly, but that he was surprised the proposal for a European conference was so devoid of new ideas. A Foreign Ministry official told Dillon on the same day that the offer should not be flatly rejected since the subject was of "prime interest, at least to France." He agreed with other officials and the premier, however, that the note would give little encouragement to neutralist circles and that France must go ahead with plans to reach a decision on EDC. Comment: Mendes- France has told Dillon that his talk with Molotov on 21 July was inconclusive. He said Molotov simply repeated clich�and his standard attack on EDC and did not mention the proposal--put forward since--for a European conference, While French press comment on the Soviet security proposal agrees with Mendes-France's views, the premier's statements to Dillon clearly indicate his realization that he cannot flatly reject four-power talks. A Soviet offer involving some con- cession such as free all-German elections would considerably strengthen the hand of those hoping to block German rearmament. FAR EAST 2. Two Soviet bloc vessels escorted past Hainan Island: On 26 July American planes sighted the Polish cargo ship Braterstwo and an un- identified merchant ship being escorted by a Chinese Communist gunboat just off the 28 July 54 CUR NT INTELLIGENCE BULLETIN Page 3 TOP SF1PT Approved for Release: 2019/08/13 C03017426 Approved for Release: 2019/08/13 C03017426 1,ts1k.it" t 1 northeast coast of Hainan, heading for the Pearl River. The merchant ships are believed to have picked up the gunboat escort at Yulin on the southern coast of Hainan. Comment: The Chinese Communists are now apparently giving Orbit shipping combined air-sea escort over the entire 400 miles between the southern tip of Hainan and Whampoa. The unidentified ship may be the Polish cargo ship Bytom, which has been accompanying the Braterstwo. The arrival of these two vessels will make a total of at least eight--including two Russian tankers�with European cargoes to have crowded into the small port of Whampoa since '10 July. SOUTHEAST ASIA 3. Burma reported considering recognition of Laos and Cambodia: The Burmese government is considering recognition of the governments of Laos and Cambodia as a step toward stemming Communist advances in Southeast Asia, accor ng Foreign Office, The British are discreetly encouraging this line of thinking and believe it is a good indication that Chou En-lai's recent visit to Rangoon was harmful to Communist Interests. Comment: Burmese leaders have become well aware that Communist control of Indochina would threaten Burma's security and have been seeking means of strengthening their country's position without antagonizing Communist China. They probably feel that the de facto recognition given by the Communists at Gpneva to the royal governments of Laos and Cambodia makes it safe for Burma to recognize them also. 28 July 54 CURRENT INTELLIGENCE BULLETIN TOS-FsCr :RFT Approved for Release: 2019/08/13 C03017426 Page 4 Approved for Release: 2019/08/13 C03017426 CLAVG 1 ulPf The Philippine government announced publicly on 24 July that it is considering recognition of Laos and Cambodia. Thailand is the only Southeast Asian country which now recognizes these two Associated States. SOUTH ASIA 4. Afghan prime minister threatens to turn to USSR: Comment: In the past few months, Afghan- istan has made new approaches to the United States, Turkey, Saudi Arabia and India seeking their support on the long-standing Pushtoon- istan question, apparently using whatever arguments seemed most appropriate in each instance. The Afghan rulers are acutely aware of the dangers of closer relations with the Soviet Union,' NEAR EAST - AFRICA 5. Comment on Suez base settlement: Formal settlement of the Suez base question marks the beginning of a new era in Egyptian relations with the West. Agreement on the present terms will have the immediate result of strengthening the position of the Nasr regime, both domestically and among the other Arab states. 28 July 54 CURRT INTELLIGENCE BULLETIN Page 5 TC)1) SZRET Approved for Release: 2019/08/13 C03017426 Approved for Release: 2019/08/13 C03017426 %awl k.../E Egypt may now adopt a more constructive attitude on such issues as alignments within the Arab League, regional defense, and co-operation with the West. As the recognized Arab leader, Egypt is in a position to influence other Arab states, Domestically the regime must now face up to the problem of implementing its much-publicized economic development program. Here, at best, only limited achievements are possible because of ER�vpt's basic problems of overpopulation and lack of resources. 28 July 54 CURRENT INTELLIGENCE BULLETIN Page 6 TOP S , Approved for Release: 2019/08/13 C03017426