CENTRAL INTELLIGENCE BULLETIN

• Document Type: SPECIALCOLLECTION
• Collection: Tet Declassified
• Document Number (FOIA) /ESDN (CREST): 03186512
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 13
• Document Creation Date: April 27, 2019
• Document Release Date: April 30, 2019
• Publication Date: February 7, 1968

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DIRECTORATE OF
INTELLIGENCE
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Central Intelligence Bulletin
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7 February 1968
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The CENTRAL INTELLIGENCE BULLETIN is produced by the
Director of Central Intelligence to meet his responsibilities for providing
current intelligence bearing on issues of national security to the President,
the National Security Council, and other senior government officials. It
is produced in consultation with the Departments of State and Defense.
When, because of the time factor, adequate consultation with the depart-
ment of primary concern is not feasible, items or portions thereof are pro-
duced by CIA and marked with an asterisk.
Interpretations of intelligence information in this publication represent
immediate and preliminary views which are subject to modification in the
light of further information and more complete analysis.
Certain intelligence items in this publication may be designated specifically
for no further dissemination. Other intelligence items may be disseminated
further, but only on a need-to-know basis.
WARNING
This document contains classified information affecting the national security
of the United States within the meaning of the espionage laws, US Code
Title 1.8, Sections 793, 794, and 798.
�Tap-Seer-et-
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7 February 1968
Central Intelligence Bulletin
CONTENTS
Vietnam: Situation report. (Page 1)
Chile: President Frei's political isolation is
frustrating attempts to deal with chronic economic
problems. (Page 5)
Latin America - USSR: Four more nations may estab-
lish diplomatic and commercial relations with the USSR.
(Page 6)
Laos: Military situation (Page 7)
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*Vietnam:
South Vietnam: North Vietnamese regulars, spear-
headed by nine armored vehicles believed to be Soviet-
built T-34 tanks, attacked the Lang Vei Special Forces
camp near Khe Sanh late yesterday but were unsuccessful
in capturing the strategic outpost.
The night-long assault, timed to coincide with a
heavy artillery, rocket, and mortar bombardment of the
Khe Sanh base and a light ground attack on US Marine de-
fensive positions atop nearby Hill 861, was repulsed
shortly after daybreak. By midday the action was settling
down with heavy air attacks being directed at the withdraw-
ing Communist force. The Khe Sanh airfield was cratered
but is now fully operational.
Meanwhile, fighting continues in Hue with allied
forces making slow progress in their bitter block-by-
block clearing operations. Saigon was relatively quiet
during the night, but 16 allied soldiers and 120 Commu-
nists;were killed in a sharp firefight just north of the
capital. Throughout the rest of the country no new large-
scale attacks were reported yesterday or early this
morning.
Several members of the assembly's Upper House
continue to criticize the government and appear to be de-
laying early passage of a resolution of full support in the
7 Feb 68
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present crisis. During a heated session on 6 February,
there were charges that the government, or at least some
key commanders, failed to act on warnings from the se-
curity services of impending Viet Cong attacks during the
Tet holidays. One senator called for the resignation of
the military commanders.
Others are reportedly urging the arming of civilians
and a complete revamp of the pacification program to
restore the Diem government's strategic hamlet concept.
Lower House deputies are so far proving much more co-
operative with the government and have set up a special
aid committee to work with the government's task force.
North Vietnam: Indications of unusual air activity--
possibly directed against allied operations near the De-
militarized Zone--have been increasingly evident
A flight of three IL-28 twin-jet bombers moved to
Phuc Yen airfield near Hanoi yesterday from a base in
southwestern China where the entire North Vietnamese
inventory of eight IL-28s had been located since last
spring. North Vietnam's small force of AN-2 transport
planes--which reportedly have been adapted for a ground
attack role--have also been active and may be deploying
to southern North Vietnam.
There have been a number of reports of the use of
supporting aircraft by the Communists in their current
offensive in northern South Vietnam. The recent unpre-
cedented movements of transports and bombers in the
North lends some credence to these reports.
7 Feb 68
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Chile: President Frei's increasing political iso-
lation is frustrating his efforts to deal with the coun-
try's economic and political problems.
Last week, unable to rally support outside his
own party, Frei withdrew his crucial wage readjust-
ment bill, which would have provided for needed de-
velopment projects. Opposition parties, including
the strong Communist Party, refuse to deal with the
country's serious economic problems because such
action might strengthen Frei's party in the 1970 presi-
dential election. In addition, Frei is faced with open
rebellion by the far left wing of his own party and may
have to make extensive changes to strengthen the cabi-
net within a few months.
As the government searches for a new way to
stop Chile's chronic inflation, pressure will build up
to tap the profits of the US-based copper companies.
Such action would violate present investment agree-
ments and discourage new foreign investment. I
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Latin America - USSR: Four more countries
may establish diplomatic and formal commercial re-
lations with the USSR during 1968.
Venezuela, Ecuador, Peru, and Bolivia are influenced
by the reasoning of the other members of the regional
economic "Andean group." Chile and Colombia re-
stored relations with the USSR in November 1964 and
January 1968 respectively. All these countries are
seeking, perhaps with undue optimism, expanded mar-
kets for hard-to-sell commodities in order to ease
growing economic difficulties.
Several believe that expanding relations with the
USSR will further strain the Soviet-Cuban relationship.
the Andean countries may
also have the naive hope that through recognition of
the USSR as a group they could persuade the USSR to
put pressure on Cuba to halt intervention in South
America.
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LAOS PANHANDLE
NORTH
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VIETNAM('
Enemy Controlled
Territory
7 25
0 25 50
5p 7,5 Miles
75 Kilometers
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DEMILITARIZED ZONE
Savannakhet
*Khe Sanh
THAILAND
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NOTE
Laos: The Communists appear to be preparing for
a new offensive in the northern portion of the Bolovens
Plateau, North Vietnamese troops have reduced the
government's defensive perimeter around the provin-
cial capital of Saravane and have seized a number of
villages astride Route 16, the key overland route into
the lightly defended town. A North Vietnamese
deserter claims the Communists intend to occupy
Saravane before moving on to hit more important
government base camps at Lao Ngam and Ban Thateng.
Although Saravane does not play an important mili-
tary role in the area, its loss would have a Serious
psychological impact on an already nervous leader-
ship in Vientiane.
7 Feb 68
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