THE PRESIDENT'S DAILY BRIEF 26 AUGUST 1976

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0006466836
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 21
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: August 26, 1976

Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
The President's Daily Brief
1/
August 26, 1976
1
Top 1ecret 25X1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Exempt from general
declassification schedule of E 0 11652
exemption category, 5B( I ).(2),(3)
declassified only on approval of
the Director of Central Intelligence
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
OPEC:
Lebanon:
FOR THE PRESIDENT ONLY
August 26, 1976
Table of Contents
25X1
25X1
(Page 1)
(Page 2)
Iraq: The Iraqis may have begun to withdraw their forces from
the Syrian border area. (Page 4)
Korea: The North Koreans may expect to benefit whatever the UN
Command does in response to their proposal on the Joint Se-
curity Area. (Page 5)
25X1
25X1
Greece-Turkey: The Greeks and Turks have agreed to hold substan-
tive discussions on the continental shelf issue. (Page 6)
France: President Giscard has asked his new prime minister to
try to enlarge the "presidential majority" toward the center-
left. (Page 7)
USSR-US: The Soviets are concerned about conservative opposition
to US foreign policy as a result of the Republican conven-
tion. (Page 7)
China: China's moderates are being aided by economic needs and
the effects of the recent earthquakes. (Page 8)
25X1
Notes: Rhodesia; Kenya; USSR-Peru (Pages 11 and 12)
At Annex
Soviets'
25X1
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
25X1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
OPEC:
FOR THE PRESIDENT ONLY
25X1
25X1
25X1
25X1
25X1
25X1
25X1
--continued
1
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
25X1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
LEBANON:
25X1
25X1
* * *25X1
25X1
--continued
2
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
25X1
25X1
25X1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
25X1
25X1
-
25X1
25X1
3
FOR THE PRESIDENT ONLY
--continued
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
25X1
Despite the agreement
announced Tuesday to
end artillery bombard-
ments between east and
west Beirut, some shell-
ing was reported in the
afternoon. Intense
ground fighting con-
tinued.
IRAQ: Iraq may have
begun to withdraw some
of the forces it ear-
lier moved toward the
Syrian border.
The two sides continue to trade
fire in the Tripoli area, where
the Palestinians and Muslims have
been hampered by inadequate resup-
ply. East of Beirut, the Chris-
tians are reportedly sending rein-
forcements to the Mount Lebanon
area, but as yet there has been
no ground activity. Heavy artil-
lery fire is continuing in that
area.
Ian armored brigade
headquarters and one tank battal-
ion returned to their garrisons
in Baghdad from positions west of
the capital.
--continued
4
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
25X1
25X1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
*
KOREA: The North Ko-
reans may expect that
their proposal at yes-
terday's meeting of the
Military Armistice Com-
mission will work to
their advantage however
the UN Command reacts
to it.
We cannot yet determine whether
these moves presage a general re- 25X1
duction of Iraqi troop strength
in western Iraq./
/
Iraq continues to have a force of
some 70,000 to 80,000 troops and
more than 1,300 tanks in western
Iraq.
*
*
North Korea probably calculates that
the UN Command's acceptance of the
proposal to separate the security
personnel of both sides in the
Joint Security Area could be por-
trayed as acquiescence in Presi-
dent Kim Il-song's call for joint
efforts to prevent recurrence of
the August 18 incident. The North
Koreans may also believe that UN
rejection of the proposal, pend-
ing North Korean assurances on
the safety of UN personnel, would
leave the UN Command vulnerable
to charges that it was unwilling
to accept a reasonable measure to
avert further incidents.
The North Koreans, in effect, are
taking up proposals for such a
separation made by the UN Command
in 1953 and again in 1970. At
present, the UN Command has no
guard posts in the North's portion
of the Joint Security Area. Thus,
it would appear that only the
North Koreans would be required
to pull their own guard posts back
in order to implement the proposal.
--continued
5
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
GREECE-TURKEY: The
Greeks and Turks have
agreed to hold substan-
tive discussions on the
continental shelf is-
sue.
25X1
The continued tension
over the Aegean dispute
may be affecting the
situation in Cyprus,
where Turkish forces
in Nicosia violated the
cease-fire yesterday.
The situation along the Demilita-
rized Zone remains quiet. North
Korean armed forces are still in
an advanced readiness posture.
* * *
25X1
Turkish troops also advanced at
several points into the UN-patrolled
neutral area separating the two
zones, apparently to back up their
claim to half of the neutral area
for farming purposes. The Turks
previously had acquiesced in ex-
clusive Greek Cypriot use of the
entire area.
Local UN officials are scheduled
to meet with Turkish authorities
today to discuss the issue.
--continued
6
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
FRANCE: President Gis-
card yesterday named
Raymond Barre as the
Prime Minister and asked
him to try to enlarge
the "presidential ma-
jority," especially to-
ward the center-left.
USSR-US: The Republi-
can convention has left
the Soviets concerned
about the strength of
conservative opposition
to recent US foreign
policy.
Barre succeeds Jacques Chirac, a
Gaullist, who resigned after in-
creasing disagreement with the
President over government policy
and political strategy. A new
cabinet is to be named by the end
of the week.
Despite Giscard's comment, Barre's
appointment does not appear to in-
dicate that the President is ready
for a break with the Gaullists.
The cabinet shuffle may, in fact,
be a holding action, precipitated
by Chirac's determination to get
out.
Barre, aged 52, has no political
affiliation but listed himself as
a member of the "presidential ma-
jority" when he was named Minister
of Foreign Commerce last January.
Giscard said in a speech after the
appointment that Barre would carry
out presidential instructions
rather than initiate policy.
The choice of Barre, an economic
expert, indicates that one of the
new government's principal tasks
will be to tackle more vigorously
the problems of inflation, unem-
ployment, and monetary stability
that are a crucial factor in the
coalition's prospects in 1977 and
1978.
* * *
Soviet commentators have renewed
earlier accusations that you made
concessions on the "terminology
and essence" of your policy under
pressure from "hawks and right-
wing" critics. The Soviets have
characterized Senator Dole as a
conservative endorsed by Governor
Reagan.
--continued
7
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
CHINA: Economic fac-
tors may be working to
the advantage of China's
moderates in their ef-
forts to hold in check
the campaign against
former vice premier
Teng Hsiao-ping and his
supporters.
Soviet commentators have called
the Republican platform the "most
conservative" in recent years.
They note that you are not neces-
sarily bound by it but clearly are
not convinced that you would be
willing to disregard it. The So-
viets were quick to take note of
your refusal earlier this month to
rule out a new agreement this year
on strategic arms limitation.
The USSR is making no public pre-
dictions on the outcome of the
election in November, nor is it
signaling any preference. The So-
viets profess to be gratified that
you and Governor Carter have en-
dorsed in principle further efforts
to improve relations with the USSR.
* * *
A People's Daily editorial pub-
lished Monday seems to reflect a
growing concern within the Chinese
leadership over the effects of the
campaign on industrial production.
It calls for tighter party control
over anti-Teng activities, for
more leniency in dealing with other
alleged "capitalist roaders," and
an end to factionalism.
These guidelines take the hardest
line against disruptive activities
since Teng first came under attack
and may reflect rising moderate
influence. The radical faction
has often appeared to condone, if
not encourage, a certain amount of
ferment at the grassroots level as
a means of exerting pressure on
political opponents. Campaign-
related factionalism and wall poster
attacks on provincial leaders have
been evident in a number of areas
for some time.
8
--continued
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
The recent series of
earthquakes in China
have probably worked to
the advantage of the
moderates.
Indications that Peking was start-
ing to put the brakes on the cam-
paign and re-emphasize productivity
came as early as June. A direc-
tive issued-at that time report-
edly took a firm stand against
worker factionalism, claiming that
it was seriously affecting the
economy.
This directive is known to have
come under sharp wall poster at-
tack in at least one province. On
the other hand, since the direc-
tive was circulated, the Chinese
media have played up the importance
of meeting production goals, and
provincial leaders with close mod-
erate connections who had been out
of sight for some time have reap-
peared.
Moderates are undoubtedly contend-
ing that substantial industrial
losses from the quakes make it
even more imperative that produc-
tion receive higher priority.
This argument seemed to be tacitly
acknowledged in a People's Daily
editorial two weeks ago which
warned against using the quake to
divert attention from the anti-
Teng campaign.
In the wake of these natural dis-
asters, the moderates may be in a
better position to defend certain
economic policies closely associ-
ated with Ten which are under
radical fire.
25X1
25X1
--continued
9
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
25X1
--continued
10
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Lusaka
Zambia
Lake
anba
outhwest
Africa (Namibia)
Mozambi ue
Mozambique
Channel
00
Botswana
Road
Railroad
South
0
0
620112 8-76
200 MILES
200 KILOMETERS
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
Guerrillas in Rhodesia
reportedly ambushed a
civilian convoy under
armed escort last week
injuring several civil-
ians.
25X1
NOTES
This was the first such attack
since the Rhodesian government be-
gan using armed convoys on main
roads last spring.
* * 25X1
25X1
25X1
25X1
--continued
11
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
25X1
25X1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
The Soviets reportedly
have offered Peru a new
deal on the sale of 36
SU-22 fighter-bombers.
* * *
25X1
President Morales Bermudez is un-
der considerable pressure from air
force and army leaders who favor
the purchase. Despite Peru's se-
rious economic difficulties, the
offer will be difficult to turn
down.
--continued
12
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
25X1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
USSR
--continued
Al
FOR THE PRESIDENT ONLY
25X1
25X1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
A
N
N
E
X
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
--continued
A2
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
FOR THE PRESIDENT ONLY
25X1
A3
FOR THE PRESIDENT ONLY
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1
,
Top Secret
Declassified in Part - Sanitized Copy Approved for Release 2016/07/14 : CIA-RDP79T00024A000200040002-1