(UNTITLED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-01617A006100070019-3
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 3
• Document Creation Date: December 21, 2016
• Sequence Number: 19
• Content Type: SUMMARY

Approved For Release 2008/06/26: CIA-RDP78-01617A006100070019-3 3 1951
GENERAL
1.5 12
1. Analysis of Soviet position on Germany--In an analysis
of the latest East German proposal for negotiations on
German unification, the US High Commission in Frankfort
concludes that the USSR has not yet exhausted its efforts
to win control of Germany through cold-war tactics of
pressure, intimidation, and negotiation and that these
tactics will run their course before force is employed.
The Commission points out that the latest proposal offers
very little if any encouragement for believing that the
USSR or East Germany is ready to do more at this time
than offer concessions in bad faith and in contexts where
it can safely be assumed that the Western Powers must
refuse the concessions offered. In the opinion of the Com-
mission, the East German proposal is clearly a move to
strengthen the Soviet politico-psychological posture in
West Germany and indicates a Soviet willingness to make
some concessions to West German opinion in an effort to
attain the Kremlin's strategic aim of a demilitarized West
Germany.
The Commission warns, however, that regardless
of the Soviet motives, the conciliatory tone of the proposal
brands it as a genuine diplomatic move which must be
answered on its merits if the German people are to be
convinced of the folly of all-German talks on East German
conditions. Acceptance of these conditions would in fact
hand control of Germany's future to the USSR rather than
keep it within the control of the four occupying powers. The
Commission adds that all-German talks of the kind proposed
by the East Germans would permit the Germans, rather than
the occupying powers, to negotiate a complex of subjects
affecting the. future of Europe and Germany and would delay
and possibly disrupt present allied-West German negotiations
on contractual relationship and rearmament.
State Dept. review completed
THE C. I. A. HAS NO OBJECTION
TO THE DECLASSIFICATION OF
THIS DOCUMENT.
No. 3 APR 1978 L.
T q 9nr1 W#t f `
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FAR EAST
2. CHINA. Report on internal conditions--US Consul General
McConaughy in Hong Kong transmits information concerning
Communist China
(a) Communist control has
been strengthened as a result of violent suppression during
the past few months of persons in active opposition to the
Communists or considered unreliable; (b) the Communists
have largely succeeded in neutralizing the educated in large
cities, through appeals to their patriotism and because of their
fear of a monopolization of information;- (c) dislike for Com-
munism is growing; and (d) anti-American propaganda has
not caused eo le generally to manifest any dislike for
Americans. guerrilla
activity appears to have decrease ; tear ana lack of leader -
ship- have paralyzed many who are opposed to the Communist
regime, and there is a growing feeling that resistance is
hopeless unless the outbreak of world war, brings drastic
changes o Except among the educated class, the growing dis-
like for Communism is not specifically related to Communist
international policy, but rather to depressed economic condi-
tions and increasingly stringent police controls.
3e KOREA. North Korea in chaotic condition- -According to
US Ambassador Muccio in Pusan, Pyongyang radio treat-
ment of a recent North Korean Cabinet decision indicates
that chaotic conditions exist in'North Korea, including
defeatism among the civil population, ?a serious food shortage.,
and almost complete disruption of agriculture because of a
shortage of both manpower and seeds The radio commentary
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spoke of the "agrarian economy destroyed by the enemy"
and mentioned a village in south Pyongyang province where
one young man remains out of eighty farm families. The
Cabinet decision revealed that 610,000 factories, houses,
and other buildings have been destroyed and 60 percent of
domestic: animals lost,
4. INDONESIA- Attitude toward Pacific defense pact-Foreign
Minister Roem has informed US Ambassador Cochran that
e"it would not be consistent with Indonesia's peace policy"
for Indonesia to participate in a Pacific. defense pact now.
In reply to a question from Cochran, Roem said that the
Indonesians would expect the US to defend them if Indonesia
is invaded by the Communists. Cochran remarked that if
such was the Indonesian expectation, it would be better to
do some advance preparation rather than to await danger.
Cochran feels that now is the propitious time to bring the
Indonesians to face the realities of the world situation;
he believes that if the US continues a "too gentle"' policy
with Indonesia, the country itself will not only become a
problem but will contribute to the strengthening of the
Asiatic -Arab bloc, thereby creating a much. bigger problem.
OffjDEN-fiftE T
Approved For Release 2008/06/26: CIA-RDP78-01617AO06100070019-3