ECONOMIC AND MILITARY RECONSTRUCTION IN NORTH VIETNAM DURING MARCH 1970

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP82S00205R000100190017-6
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 6
• Document Creation Date: December 15, 2016
• Document Release Date: April 1, 2004
• Sequence Number: 17
• Publication Date: April 20, 1970
• Content Type: PERRPT

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Approved For Release 29
20 April 1970
Project No. 51.5567
Economic and Military Reconstruction in North Vietnam
During March 1970
Introduction
The pace of reconstruction of fixed military facilities and
industrial plants and other economic developments in North Vietnam
provide an indication of the regime's current policies towards sup-
port for the war in the South. This monthly report summarizes
.._ -?n fi vcl opr!=_t+ in onnnnm n and mf 1 ita.rv r-,nnst.r17ctlon that
might be relevant to an analysis of change in the North Vietnamese
position.
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GI ,1"!P1u0ad (r iU?915 IC
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Military Construction
1. Two construction projects in the Southern Panhandle of North
Vietnam, active since at least August 1969, seem to be shaping into
permanent military training and supply facilities. One site located
within five miles of Quang Khe -- a major transshipment point in the
Panhandle -- and adjacent to an infiltration route to Laos, now contains
several billets, storage buildings The
second site is located near Dong Hoi, along another infiltration route
suggest that this project will
also be used for military purposes. Some agricultural reclamation
activities are taking place in fields adjacent to the latter site,
however, and it is possicie 'WILLU' ~i,, c,nz;tru_cticn pro; Pct is actually
a civilian resettlement effort.
2. Hanoi continues to work on the new petroleum pipeline into
southern Laos, along Route 1039 and 1036. When completed, the pipeline
will provide a more reliable source of POL products in the Tchepone
area. The new pipeline will probably connect Tchepone with either
Quang Khe or Dong Hoi or both, and will probably be separate from the
existing pipeline system emanating from Vinh. However, Vinh would
probably be the major storage area for POL ultimately destined for
base areas in southern Laos; additions to the storage capacity in
the Vinh area have recently been observed.
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Economic Reconstruction
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of industrial construction. A smal..l assenioiy-i;ype biluN a,i,i.di 1 .~ been completed at the Hanoi Machine Tool and Engineering Plant, the
most important facility of its kind in the country. Foundations also
are being constructed for a large unidentified structure in the plant
grounds. Clearing activity around the Haiphong East Powerplant indicates
possible restoration plans. The powerplant has been dormant since the
severe bomb damage inflicted three years ago.
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Conclusions
11. Recently available evidence provides indications of continued
efforts by North Vietnam to support the war in the South. Two military
training and supply facilities appear to be under construction deep in
the North Vietnamese Panhandle, some 50 to 60 miles from the Demili-
tarized Zone. Work continues on the new pipeline into southern Laos,
apparently designed to connect the Tchepone area with Quang Khe and/
or Dong Hoi.
12. The industrial picture is-again one of slight progress amid
unsolved problems of distribution and labor efficiency. The coal and
apatite industries continue beset with difficulties -- particularly a
shortage of transport facilities. Industrial construction maintained
a moderate pace, while limited reconstruction efforts continued to
focus upon the electric power sector.
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