THE PRESIDENT'S DAILY BRIEF 23 AUGUST 1973

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0005993910
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 12
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: August 23, 1973

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The President's Daily Brief
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23 August 1973
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Exempt from general
declassification schedule of E.O. 11652
exemption category 5B( 1),(2),(3)
dulauified only on approval of
the Director of Central Intelligence
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FOR THE PRESIDENT ONLY
THE PRESIDENT'S DAILY BRIEF
23 August 1973
PRINCIPAL DEVELOPMENTS
The Senate election in South Vietnam next Sunday is
almost certain to result in an impressive victory
for the government, bringing the number of its sup-
porters in the Senate from about half to nearly three
quarters. (Page 1)
The Soviets have been holding a series of high-level
meetings with their European allies in CEMA aimed at
strengthening economic cooperation, perhaps in prep-
aration for closer contacts with the EC. (Page 2)
The major oil companies in Libya have been given ,
until August 25 to accept 51-percent control by the
government or be nationalized. The companies say
they will not give in. (Page 4)
Abu Dhabi
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President Allende is facing rising dissatisfaction
from both the right and the left
(Page 6)
Notes on a possible showdown between Souvanna Phouma
and the rightists over the negotiations, Romania's
failure to wangle an invitation to the nonaligned
summit, and the USSR's refusal to sign a treaty
banning nuclear weapons in Latin America appear on
Page 7,
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SOUTH VIETNAM
The Senate election on Sunday is almost
sure to result in an impressive victory
for the government.
Four slates of candidates are competing for 31
of the Senate's 60 seats. The slate receiving the
most votes will elect 16 members and the runner-up
slate will elect 15. A slate composed of members
of President Thieu's Democracy Party and one headed
by former foreign minister Tran Van Lam, also closely
identified with the government, are heavily favored.
The two non-government slates consist of individuals
little known to the public.
Government supporters will hold 70 to 75
percent of the Senate seats if the front-
runners win on Sunday. The Senate has
been about evenly divided between pro- and
anti-government forces. The government
already has a majority in the lower house.
It seems unlikely that the Communists will
make a major effort to disrupt the Senate
election or to embarrass the government.
Reports from scattered areas indicate that
some Viet Cong are trying to persuade
voters not to go to the polls or to cast
blank ballots if they are forced to vote.
Similar reports have preceded almost all
recent national elections, but the ballot-
ing has almost always gone off quietly in
most areas.
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USSR - EASTERN EUROPE
The Soviets have been holding a series of high-
level meetings with their allies aimed at strength-
ening cooperation within CEMA, perhaps in preparation
for closer contacts with the EC. The Polish Premier
came to Moscow on August 14, followed two days later
by the Hungarian Premier. Their East German counter-
part was there on Monday, while the Bulgarian Pre-
mier also arrived that day.
The Soviet delegation was headed in each case
by Premier Kosygin. Other officials in the delega-
tion were people concerned with economic matters
and CEMA. Official reports on the meetings indicate
that the stress was on the integration of CEMA mem-
bers' economies and coordination of the 1976-80 na-
tional economic development plans as a means to that
end. Vital aspects of this problem, such as produc-
tion specialization and Moscow's supply of raw ma-
terials to its partners, were also considered, ac-
cording to a Moscow broadcast.
Only the Romanians and Czechs of the Euro-
pean CEMA members have not sent economic
delegations to Moscow./
Recent Soviet expressions of readiness to
begin a CEMA dialogue with the EC have
apparently given new impetus to Moscow's
effort to increase CEMA cohesion and per-
haps make its structure at least superfi-
cially compatible with the EC. Moscow
may be using this rationale to advance its
campaign for greater bloc cohesion.
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ARAB STATES - USSR
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LIBYA
Representatives of the major oil companies in
Libya--Exxon, Royal Dutch Shell, Standard Oil of
California, Texaco, and Mobil--have been informed
by Prime Minister Jallud that they must give Tripoli
51-percent control by August 25 or be completely
nationalized. Company representatives say they do
not intend to give in, and will fight Tripoli through
legal action after the takeover.
The major companies produce 31 percent of
the country's oil, and would undoubtedly
try to prevent the sale of oil from their
fields if they are nationalized. Neverthe-
less, Libya could make up well over half
the loss by increasing production from
fields already under government control;
the smaller companies that have already
acquiesced to Libya's demand for 51-percent
participation would have no trouble market-
ing the oil.
Seventy percent of Libya's oil is exported
to Western Europe. The US imports a small
amount of Libyan oil, and some is blended
with other oil and refined in the Caribbean
for export to the US. In all, about 5 per-
cent of current US oil imports come from
Libya--about 2 percent of total domestic
consumption.
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UNITED ARAB EMIRATES
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FOR THE PRESIDENT ONLY
CHILE
Pro-government groups are counter-demonstrating
after the short but effective strikes which took
place yesterday among opposition shopkeepers, pro-
fessionals, and workers. The Socialists, for ex-
ample, led a women's march on the presidential pal-
ace on August 21.
Evidence of rising dissatisfaction with the
government, from both right and left, continues to
accumulate.
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The radical Socialists, on the other hand, con-
tinue to complain that Allende is being too respon-
sive to military pressure.
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FOR THE PRESIDENT ONLY
NOTES
Laos: Prime Minister Souvanna Phouma is head-
ing for a showdown with his rightist critics over
the political settlement with the Communists. Sou-
vanna has scheduled a joint meeting of the cabinet
and senior Lao Army officers for today. He will seek
approval to sign the protocol implementing the Feb-
ruary peace agreement on the condition that the Com-
munists grant one final concession--equal status for
the Communist and rightist deputy prime ministers in
a new coalition government. If the participants
fail to back him up, Souvanna has implied he will
resign.
Romania: Bucharest apparently has been told it
will not be allowed to attend the nonaligned summit
in Algiers next month. A recent Algerian commentary
stresses that members of military blocs "cannot have
the status of observers, nor of guests, at nonaligned
meetings." The turn-down will disappoint the Roma-
nians, who had tried hard for an invitation largely
in order to loosen their ties to the USSR. The set-
back is not likely to deter them from further attempts
to call attention to the similarities between Romania
and the developing world.
USSR - Latin America: China has signed the
Treaty of Tlatelolco, which bans nuclear weapons in
Latin America. The Soviet Union is now the only nu-
clear power that has not signed. All Latin American
states except Cuba and Brazil are parties to the
treaty, and last spring President Echeverria suc-
ceeded in getting a French and Chinese commitment
to sign. The Soviets turned him down, and there is
no indication of any softening in Moscow's position.
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Top Secret
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