Document Number (FOIA) /ESDN (CREST):
CIA-RDP79T00975A001700290001-1
Body:
CURRENT INTELLIGENCE BULLETIN
DOCUMENT NO.
NO CHANGE IN CLASS
C'1, DECLASSIFIED
CLASS CHANGED TO: S C
. NEXT REVIEW DATE: ^ ~"__
AUTH: HR 70-2
DATE: 1 sN SO
Office of Current Intelligence
CENTRAL INTELLIGENCE AGENCY
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SUMMARY
FAR EAST
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Chinese to permit neutral surveillance of troop withdrawal from
Korea (page 3).
2. Comment on reported Japan-Burma reparations accord (page 3).
EASTERN EUROPE
4. Comment on developments in East German array training (page 5).
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''AR EAST
1. Chinese to permit neutral. surveillance of troop withdrawal from
Korea:
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The Neutral Nations Inspection Team at
Sinanju, North Korea, reported on
16 September that it had received offi-
cial notification that seven Chinese
Co unist divisions would leave Korea starting next week, The
movement, under surveillance of the NNIT, will consist of ten
trains daily, each composed of from 20 to 24 cars.
. Comment: Peiping's public announcement
on .5 September of its intention to withdraw these divisions was a
departure from its usual practice, and undoubtedly was intended to
counteract the announcement of UN withdrawals. At the time of the
announcement, it was not clear whether the Chinese intended.to with-
draw troops in addition to those which had previously returned to
China unannounced.
By permitting NNIT surveillance for the
first time, the Communists are attempting to strengthen their case
in the UN General. Assembly against expected moves to terminate
the mission.of the teams. If these divisions are infantry units, their
withdrawal would reduce Chinese strength in.Korea from 709,000 to 25X1
about 604, 000.
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2. Comment on reported Japan-Burma reparations accord:
A Japanese news agency reports that Japan
and Burma reached an agreement in principle
on 15 September whereb
Ja
an
ill
y
p
w
pay
$200,000,000 in direct reparations to Burma over a ten-year period,
plus. an additional $50,000,000 in "economic co-operation"--for example,
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services o Acceptance of the agreement by the Burmese negotiator,
U Kyaw Nyein,. who is a powerful figure in the Burmese government,
should assure Burmese ratification, and it is unlikely to encounter
serious opposition in the Japanese Diet. Negotiations for a bilateral
peace treaty are expected to commence in the near future, following
the conclusion of a formal reparations pact.
A settlement with Burma might well break the
deadlock in.Japan's efforts to conclude reparations agreements and
peace treaties with the Philippines and Indonesia. The Japanese are
probably now prepared to increase somewhat their offers to these two
countries, especially since reparations settlements are a prerequisite
to increased Japanese trade with Southeast Asia?
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intensive efforts are being made this year
to improve the combat capabilities of the
East German army, which have hitherto been
low. In late July and early August the East German army conducted
tactical. training of small units under conditions simulating enemy em-
ployment of atomic weapons.
As an indication of considerable improvement
in East German military co-ordination, the first noted East German
exercise to include air support was held on 6 August by an element of
a mechanized division of Corps South, with the participation of eight
aircraft of the East German air force, which is equipped with Soviet
YAK-18 and YAK-11 trainers.
Other reports indicate a.significant advance
in the level of training. Two divisions of Corps North conducted sepa-
rate exercises believed to be of division level between .16 and 23 August.
East German field training is not believed to have advanced beyond
battalion level in previous years.
EASTERN EUROPE
4. Comment on developments in East German army training:
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