THE PRESIDENT'S DAILY BRIEF 23 JANUARY 1974

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0006007654
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 8
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: January 23, 1974

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The President's Daily Brief
January 23,1974
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Declassified in Part - Sanitized Copy Approved for Release 2016/06/22 : CIA-RDP79T00936A011900010044-7
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Exempt from general
declauification schedule of E.O. 11652
exemption category 5B( I 1,12),13)
declassified only on approval of
the Director of Central Intelligence
Declassified in Part- Sanitized Copy Approved for Release 2016/06/22 : CIA-RDP79T00936A011900010044-7
Declassified in Part - Sanitized Copy Approved for Release 2016/06/22 : CIA-RDP79T00936A011900010044-7
THE PRESIDENT'S DAILY BRIEF
January 23, 1974
PRINCIPAL DEVELOPMENTS
Leaders of the Labor Alignment in Israel anticipate
success in forming a new government with their two
most important pre-election coalition partners.
(Page 1)
Communist units throughout South Vietnam have orders
to stand down during the three-day Tet holiday,
which begins today. (Page 2)
Preliminary discussions appear to be under way for
the sale by France to China of Mirage III fighter
aircraft. (Page 3)
Thai Prime Minister Sanya has quashed speculation
that his government is about to step down. (Page 4)
FOR THE PRESIDENT ONLY
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ISRAEL
Leaders of Prime Minister Meir's Labor Align-
ment anticipate success in forming a new government
with their two most important pre-election coalition
partners, the National Religious Party and the Inde-
pendent Liberal Party. This week the two parties
provided some grounds for Labor's optimism when they
supported its candidate for speaker of the Knesset
against a challenge by the conservative Likud bloc.
A Labor Alignment deputy minister informed US
officials late last week that agreement between
Labor and the National Religious Party is "virtually
complete." In private talks with Labor representa-
tives, leaders of the National Religious Party have
indicated they might endorse a flexible foreign pol-
icy differing little from that of the current care-
taker government.
The December election not only reduced the
Labor Alignment's strength in the Knesset, but has
restricted Prime Minister Meir's options in allot-
ting ministerial posts. The shift to the right
'makes it all the more necessary, for example, to ac-
commodate the views of Defense Minister Dayan on se-
curity issues. On the other hand, Mrs. Meir cannot
afford to yield to those--like Dayan--who wish to
replace Abba Eban as foreign minister. Eban is
backed by Finance Minister Sapir, who has great in-
fluence among Labor Party regulars.
The Prime Minister will probably appoint to
the cabinet familiar political figures rather than
seek fresh faces. This would solve her most immedi-
ate problem--forming a government that will safely
carry on present policies--but it may lead to a
more open struggle for control of the Labor Party
among the younger political leaders.
FOR THE PRESIDENT ONLY
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SOUTH VIETNAM
Recent intercepts from Communist units through-
out the country show that they have orders to stand
down during the three-day holiday which starts today.
According to agent reports, many units were planning
to celebrate Tet early in order to permit "increased
vigilance" in case of military operations by the gov-
ernment.
There will apparently be little respite, however,
in western Pleiku Province. Fighting in this area
has been heavy since last week, when Saigon launched
an operation to recapture the border outpost at Plei
Djereng. The South Vietnamese currently hold the
upper hand, but the Communists have sufficient strength
in the area to counterattack at any time.
FOR THE PRESIDENT ONLY
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FRANCE-CHINA
Preliminary discussions appear to be under way
for the sale by France ?to China of Mirage III fighter
aircraft. A recent French press article claimed that
China is interested in buying some 30 to 40 Mirage
Ills and possibly obtaining the rights to produce
the aircraft in China-under license. The article
also stated that the Chinese are interested in ac-
quiring the new F-1 Super Mirage when it becomes
available.
Acquisition of significant numbers of the
Mirage III--a Mach 2 fighter-would greatly improve.
the intercept and, ground attack capabilities of the
Chinese Air Force.- For several years, the Chinese
have been developing a new high-speed interceptor
of their own, but the status of that program is un-
certain. If the French agree to licensed produc-
tion of the Mirage in China, the Chinese would gain
access to advanced technological processes that
their aircraft industry currently lacks.
The Mirage F71 is the latest aircraft produced
by Dassault-Breguet. The F-1 Super Mirage,-an im-
proved model of the F-1, is expected to fly some
time in 1976, and production models are expected to
be available in 1978. Dassault officials claim
that the-avionics planned for this aircraft will be
comparable to those carried by the US F-15.
FOR THE PRESIDENT ONLY
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THAILAND
After consulting with the King, Prime Minister
Sanya has issued a tough statement quashing specula-
tion that his government was about to step down.
Sanya said that his government still enjoys the con-
fidence of the King, but threatened that he would
resign if the National Assembly did not pass the tax
bills that had been rejected earlier. He strongly
implied that his challenge to the National Assembly
had the firm backing of the King.
Sanya's statement is another sign of the extent
to which the King has been drawn into the political
process. Sanya also referred to the King's "interest"
In recent student disturbances--an oblique but none-
theless clear signal from the palace for the students
to get off the streets and back into the classrooms.
Sanya's threat last week to resign was prompted
by charges that his government had been ineffective
in dealing with public disorder. He has ordered the
police to crack down on student law breakers, but
the police have been reluctant to take such action
for fear of arousing a new wave of student hostility.
At least for the moment, however, public sympathy
for the students is waning, and this should make the
job easier for both Sanya and the police.
FOR THE PRESIDENT ONLY
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Top Secret
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