Document Number (FOIA) /ESDN (CREST):
CIA-RDP79T00975A000900120001-8
Body:
Approved For W,pkleaT P/ 942E AeET0975Afl0900120001-8
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24 October 1952
D
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DOS REVIEW
COMPLETED
Copy No.
7
CURRENT INTELLIGENCE BULLETIN
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DOCUMENT NO.
NO CHANGE IN LASS-
0 DECLASSIFIED
CLASS. CHANGED TO: TS E C 25X1
NEXT REVIEW DATE: 2
RUTH: HR 70-2
Office of Current Intelligence OATE: - REVIEWER'
CENTRAL INTELLIGENCE AGENCY
Approved For ReI IDEA - 000900120001-8
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SUMMARY
FAR EAST
1. Communist China may receive large shipment of Indonesian
rubber (page 3).
SOUTHEAST ASIA
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2. Letourneau describes current action in Indochina (page 3).
4.
WESTERN EUROPE
5. French Cabinet seeks modification of joint statement on
Saar (page 5).
6. Belgian and German stands on EDC unshaken by French
attacks (page 6).
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FAR EAST
1. Communist China may receive large shipment of Indonesian rubber:
Information now available indicates that
the Soviet ship "Sevastopol" is scheduled
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to transport 6,000 tons of rubber from
Indonesia to China during the early part
of November.
Comment: Although Indonesia has honored
the UN-sponsored embargo resolution and prohibited rubber shipments
to China, there has been strong anti-embargo sentiment in business
and government circles.
Success in obtaining Indonesian rubber,
coming close upon the conclusion of a rice-rubber exchange agreement
with Ceylon, would provide Peiping with new arguments for its
propaganda campaign against the embargo. This campaign is
characterized by continuing appeals for an end to the American
"blockade."
SOUTHEAST ASIA
2. Letourneau describes current action in Indochina:
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Resident Minister Letourneau, commenting
on the Viet Minh offensive in the Nghia Lo
area, said that the attack was delivered by
not less than two and probably by three
divisions. Admitting a deficiency of French intelligence before
the attack and a lack of information about eventual Viet Minh
intentions, he stated that the objective may be to overrun northwestern
Tonkin and perhaps penetrate to ]Laos. The French official indicated
that Tonkin delta defenses would not be weakened to "undertake ad-
ventures in fantastically difficult country."
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Comment: The Viet Minh attack against
Nghia Lo in September 1 651 involved only one division and was
successfully repulsed by French forces. It is obvious from still
meager information that the scale and intensity of this year's attack
took the French by surprise.
Thus far, the current fighting has resulted
in the fall of several French-held outposts and the loss of perhaps
1,000 French Union troops.
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WESTERN EUROPE
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5. French Cabinet seeks modification of joint statement on Saar.-
The French Cabinet has rejected
Chancellor Adenauer's proposed
text of a joint Franco-German
statement on the Saar which Would
be issued to justify postponing the
Saar elections. Adenauer's text
declares that he and Foreign Minister
Schuman are convinced that negotiations
will lead to a settlement, of the Saar
problem "in the European sense,"
and stresses that a definitive solution
can only be made within the framework
of a German peace treaty.
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Schuman believes that the statement is
a great advance over Adenauer's previous requirement that a
settlement be. provisional for five years. The French Cabinet,
however, has asked .Schuman to obtain a redrafted statement
which would refer to the French-Saar economic conventions,
and to provide that the Saar settlement be guaranteed by the United
States and Great Britain.
Comment-. Agreement seems somewhat
closer, particularly on the problem of the permanency of a settlement.
In a recent communication to Schuman, however, Adenauer argued
in favor of the immediate abrogation of the French-Saar economic
conventions, France, on the other hand, still insists that new
economic arrangements "evolve" with the progress of European
integration.
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6. Belgian and German stands on EDC unshaken by French attacks-
The Belgian EDC delegation has informed
the French Foreign Ministry that under no
circumstances could Belgium agree to
reopen negotiations on the EDC treaty,
The delegation pointed out that such a
move would certainly delay and possibly
prevent the creation of a defense community.
Meanwhile, Chancellor Adenauer has
told High Commissioner Donnelly that he is using the current
French: attacks on the EDC to show coalition leaders the importance
of early German ratification of the Bonn and Paris treaties. Adenauer
predicts that the treaties will receive their second and third. readings
in the last week of November.
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Comment: Despite widespread French
discussion of renegotiation, remier Pinay so far appears opposed.
Indefinite delay by France on ratification could nevertheless induce
Belgium to postpone such action and strengthen opposition in Germany
to Adenauer's efforts to obtain Bundestag approval next month.
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