THE PRESIDENT'S DAILY BRIEF 15 MARCH 1975

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0006014746
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 16
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: March 15, 1975

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The President's Daily Brief
March 15, 1975
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Exempt from general
declassification schedule of E.O. 11652
exemption category, 5B(11,( 2)13)
declassified only on approval of
the Director of Central Intelligence
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FOR THE PRESIDENT ONLY
March 15, 1975
Table of Contents
South Vietnam: President Thieu has ordered the com-
mander of Military Region 2 to make an all-out
stand at Ban Me Thuot and to withdraw his
troops from Kontum and Pleiku provinces for
the purpose. (Page 1)
Cambodia: The US mission in Phnom Penh is receiving
numerous requests from Khmers and foreigners
for assistance in leaving the country. (Page 4)
Portugal: Radicals in the Armed Forces Movement are
continuing to consolidate their gains over the
disorganized moderates. (Page 5)
Thailand: The presence of US forces has become a
political football in the scramble to form a
new government. (Page 6)
Iran-Iraq: The cease-fire between the Iraqis and
the Kurds appears to be taking hold. (Page 8)
Panama: General Torrijos is seeking foreign support
for Panama's position as thp canal treaty nego-
tiations enter a critical phase. (Page 9)
Venezuela-Mexico: Presidents Perez and Echeverria
will announce the creation of a new Latin
American Economic System during Perez' five-
day visit to Mexico beginning on Monday.
(Page 10)
Note: Cuba (Page 11)
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Demilitarized Zone
MRI
? MR 2
CAM BODI
DARLAC
310 division?
Thuot
fikkono
Gulf of
Thailand
MR 4
3
Capital Special Zone
South
China
SOUTH VIETNAM
MILES
190
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557480 3-75
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SOUTH VIETNAM
South Vietnamese President Thieu
has decided to make an all,out stand
in the highlands at Ban Me Thuot and
has ordered the commander of the
mili-
tary region to withdraw his troops from
Kontum and Pleiku provinces, so they
can be used in the battle for the town,
the regional
commander, Major General Phan Van Phu, met with
Thieu yesterday and failed in his attempt to per-
suade the president to send more reinforcements to
the central highlands. The president told Phu that
the recapture of Ban Me Thuot was the single most
important objective in Military Region 2. Thieu
reportedly ordered General Phu to begin withdrawing
his forces from Pleiku and Kontum provinces today.
and to complete the relocation by next Monday. An
Air America C-47 was scheduled to evacuate all Amer-
icans from Kontum and Pleiku early this morning,
Details of the tactical
Thuot are sketchy, but
the communists
portions of the town.
situation at Ban Me
now occupy large
large numbers of South
Vietnamese troops have been taken prisoner, as have
the province chief and a regimental commander,
large numbers of civilians have
been "freed," suggesting the civilians have been
moved away from the fighting into communist-held
areas.
Government troops have taken up positions on
the edge of the town, and reinforcements are moving
toward Ban Me Thuot, South Vietnamese military
officials in Saigon say several thousand rangers
were airlifted to the highlands yesterday, The
rangers reportedly were pulled from a government
operation north of Saigon, pointing up the diffi-
cult choices now confronting the South Vietnamese,
Fighting also continues northeast of Saigon,
In Tay Ninh Province, the communists have opened
a new front along Route 1, which runs between the
provincial capital and Saigon, Units of the North
Vietnamese 5th Division have overrun two government
outposts along the highway.
(continued)
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These attacks, in conjunction with pressure
on South Vietnamese units east of the district,
appear designed to isolate Tay Ninh City further.
the attacks were sup-
ported by tanks and heavy artillery.
The communists may be moving additional com-
bat units into central and southern South Vietnam.
elements of two North
Vietnamese reserve divisions.--the 316th and the
341st--arrived recently in central and southern
South Vietnam.
Prisoners who claim they are from the 316th
were captured near Ban Me Thuot a few days ago.
Others, claiming to be from the 341st, were picked
up in Binh Long Province yesterday.
They claim that their regiment left North
Vietnam in mid-February and arrived in Binh Long
just a few days ago. Earlier evidence suggested
that at least part of the 341st was moving into
northern South Vietnam.
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It takes about three weeks to move from North
Vietnam to the provinces from north of Saigon, and
some parts of the 341st could have arrived in South
Vietnam's Military Region 3.
The evidence on the 316th is less convincing.
The prisoners the South Vietnamese hold could be
personnel from the 316th Division sent to the 968th
Division before the 968th moved from Laos into the
central highlands in January. Nevertheless, there
have been changes in the 316th in
recent weeks that do suggest that parts of the
316th are-moving. Two reserve divisions--one in
the highlands and the other in the area north of
Saigon--could allow the communists to make gains
in both areas.
In any case, we have indications that other
enemy units inside South Vietnam are showing signs
of moving into areas that have not recently exper-
ienced heavy fighting--a suggestion the communists
may hope to open a number of fronts to tie down and
stretch thin Saigon's forces.
(continued)
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the
North Vietnamese 7th Division has moved into central
Long Khanh Province from the Binh Long - Binh Duong
area. The 7th could be moving into position to at-
tack government positions along Route 20, a vital
supply artery into the highlands.
In the northern part of the country, the North
Vietnamese 325th Division has apparently moved south
from Quang Tri to Thua Thien, and it now threatens
government positions west and south of Hue. The
move enhances communist combat capabilities in this
area, especially in view of the pending move to
Saigon of the South Vietnamese airborne division.
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CAMBODIA
The
The US mission in Phnom Penh is re-
ceiving numerous requests from Cambodians
and foreigners alike for assistance in
leaving the country. Cambodian civil air
flights have been canceled, leaving US
flights into Pochentong airport the only
regular Zink with the outside world.
French:aircraft are scheduled to arrive this
weekend to evacuate French nationals in Phnom Penh.
The Australians plan to move their entire embassy
staff to Bangkok today. Saigon is attempting to
arrange the evacuation of large numbers of ethnic
Vietnamese refugees in the Phnom Penh area and
is preparing to close the South Vietnamese consu-
late in the provincial capital of Battambang.
The preliminary US congressional votes on-sup-
plemental aid to Cambodia appear to have driven
home to the leadership in Phnom Penh, perhaps for
the first time, the possibility of early termina-
tion of US assistance and outright military defeat.
Theflow of foreign nationals out of the coun-
try and, in particular,.the evacuation of members
of the relatively large and well-established French
community Ci.bound to weaken morale further-. In
a conversation with Ambassador Dean yesterday, the
president of the Cambodian senate expressed his own
discouragement over the growing signs of anxiety
within diplomatic circles-and over-what--he termed-
the hasty departure of the foreign community,
Communist fire against Pochentong airport was
relatively light yesterday, with no significant
damage reported. The Cambodian army clearing oper-
ation west of the airport has moved-against stiff
resistance to within about two miles of communist
artillery and rocket positions around Tuol Leap.
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PORTUGAL
Radicals in the Armed Forces Move-
ment are continuing to consolidate their
gains over the badly disorganized moder-
ates.
At the first meeting of the newly created
Revolutionary Council, which combines both execu-
tive and legislative functions, radicals pushed
through legislation nationalizing all Portuguese
banks except branches of foreign banks and agri-
cultural credit institutions.
Further changes are expected in the govern-
ment, including a shuffle of the cabinet.. Rumors
suggest the moderate Popular Democratic Party. may
be replaced in the government coalition by the
Communist-front Popular Democratic Movement. There
are also rum6rs that Socialist Party leader Soares
will be eased out as foreign minister.
Ambassador Carlucci believes that the radicals
in the Armed Forces Movement have s6ored massive,
but perhaps not decisive, gains. Civilian polit-
ical parties, with the possible exception of the
Communists, have been severely weakened. The am-
bassador notes that while the Communists have been
trying to establish a close cooperative relation-
ship with the Movement, even they must now be con-
cerned that the Movement will decide it no longer
needs their support.
The ambassador believes the abortive coup
has significantly increased the likelihood that
Portugal will move toward overt military rule,
based on populist and nationalist policies with
heavy pro-communist overtones. The regime is
likely to seek international support in the Third
World, while deemphasizing its NATO ties.
As bleak as this scenario is, Ambassador Car-
lucci does not think the situation is irretriev-
able. Most Portuguese are still basically con-
servative and the bulk of the military officers
have still not been radicalized. Spinola's de-
parture has left President Costa Gomes without a
rival for leadership of these centrist forces,
and he may be able to begin to recoup some of the
losses.
President Pinochet of Chile agreed to grant
asylum to Spinola yesterday, after Brazil and
Argentina refused to do so. Spinola will arrive
in Chile during the weekend, according to Chilean
Foreign Minister Caravajal.
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THAILAND
The presence of US forces has become
a political football in the scramble to
form a new parliamentary government, even
though it was not a popular issue in the
campaign for the general election last
January.
Except for some members of the political left,
no candidate or party in the election proposed a
timetable for the total withdrawal of US forces.
Indeed, politicians from the northeast, where the
bulk of the bases are located, have many constitu-
ents who want the US forces to remain, primarily
for economic reasons.
The inconclusive result of the-general election
is in part responsible for making the presence of
the US military a live issue. A delicate balance
of forces exists in the assembly, with no one party
or faction having close to a majority of the seats.
Prime minister - designates, such as Seni Pramot and
his younger brother Khukrit, who is now the parlia-
ment's choice, find they must yield to the demands
of splinter groups if they are to have a chance of
winning a vote of confidence from the assembly on
their proposed government platforms.
Once Seni broke the ice on the question by pro-
posing that all US troops be withdrawn within 18
months, other politicians felt compelled to equal
or outdo Seni's stand in order to avoid being la-
beled US lackeys by the Bangkok press and other
pressure groups.
The national assembly vote of confidence on Khukrit
may occur next week.
The sudden prominence of the US troop issue,
however, is attributable to more than the vagaries
of parliamentary politics. It also reflects the
disillusionment of many Thai officials regarding
the value of continuing a close relationship with
the US. US Congressional restrictions on the use
of US combat forces, combined with the continued
deteriorating security situation in Indochina, have
convinced many Thai that the US is no longer prepared
to play an active role in Southeast Asia.
(continued)
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Prospective foreign minister Chatchai, a spokes-
man for the political right, reportedly has said
that the fall of a non-communist government in Cam-
bodia would have a "deep and lasting influence on
Thai policy." It would be interpreted, Chatchai
said, as confirmation that the US does not intend
to back its friends in Southeast Asia. Chatchai
added that the best thing for Thailand in such cir-
cumstances would be to ask the US to leave quickly.
Although this viewpoint enjoys wide sympathy within
the Foreign Ministry, it is far from certain that
it will become Thai policy in the near future. In-
deed, there are officials in the government who
would oppose such a move.
Even if the proponents of a slower pace of US
troop withdrawals ultimately prevail, it seems clear
that Thailand has embarked on an increasingly na-
tionalistic foreign policy, regardless of who be-
comes prime minister.
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IRAN-IRAQ
The cease-fire between government
forces and the Kurds appears to be taking
hold. The Iraqis have made clear, how-
ever, that their agreement to a cease-fire
is not a first step to negotiations with
the Kurds on a political settlement lead-
ing to eventual Kurdish autonomy.
Baghdad radio broadcast government statements
yesterday that the cease-fire had been arranged only
to give the rebels a chance to surrender uncondi-
tionally.
Barzani told the Shah
that he wanted to continue the struggle.
The Shah refused his request for more "infantry-type"
weapons and told Barzani that he planned to observe
the agreement with Iraq, "at least for a six-month
trial period." the Shah told Barzani
that Iraq had promised to reciprocate the cease-fire,
and Barzani then agreed to it also.
the Shah told Barzani
that several governments--presumably Egypt and
Algeria--had pressed him, before he went to Algiers
for the OPEC meeting, to help end the civil war in
Iraq. These governments indicated, the Shah said,
that this would result in a change in Baghdad's
"political stance"--implying a moderation of Iraq's
radical policies.
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PANAMA
General Torrijos is marshaling for-
eign support for Panama's position as the
canal treaty negotiations enter a critical
phase. He is concerned both about key
negotiating issues such as the duration
of a new treaty and the chances for US
ratification if there is an agreement on
the draft.
Next weekend Torrijos will host a meeting with
the presidents of Colombia, Costa Rica, and Vene-
zuela. At the suggestion of Venezuelan President
Perez, the three chiefs of state already intend to
send you personal expressions of support for Pan-
ama's case, and Torrijos expects them to sign a
declaration affirming Panama's claim to sovereignty
over the canal. Panamanian officials have said
that the campaign for support will be extended to
other Latin American countries and ,eventually to
all Third World nations.
Although Torrijos believes that foreign sup-
port for his treaty stand is useful, the main ef-
fort to sell a new pact must be directed at the
Panamanians and the US. Panamanian officials
recognize that there are certain basic ele-
ments the US must have in any treaty, but they feel
they must constantly reassure the Panamanian people
that Panama's interests are being zealously pro-
tected in the negotiations. This difference be-
tween positions may in part ex-
plain the recent Panamanian press criticism of
Secretary Kissinger's speech of March 1 in Houston
in which he touched on US aspirations in the nego-
tiations.
Torrijos is genuinely concerned about the
implications of the resolution sponsored by Senator
Thurmond earlier this month reasserting US sover-
eignty and rights over the canal. He has already
started a campaign aimed to show the US public
that a new treaty would benefit both sides.
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VENEZUELA-MEXICO
Presidents Perez and Echeverria will
jointly announce the creation of a new
Latin American Economic System during
Perez' five-day visit to Mexico beginning
on Monday.
Co-sponsored by Mexico and Venezuela, this pro-
posed economic organization is the latest symptom of
the growing desire of Latin American and Caribbean
nations to use their collective weight to persuade
the US to be more generous in its policies and to
follow up the "new dialogue" with specific actions.
Even the new economic system's joint sponsors are
not clear, however, on what the objectives of the
organization really are, and not all Latin American
governments see a need for it. Most, nevertheless,
will accept the invitation to join.
Perez is also likely to call again for a meet-
ing of Latin American presidents this year. The
purpose of such a conclave would be to consider
means to accelerate regional economic integration,
as well as to give Perez another stage on which to
assert leadership in Latin America.
On the surface, the two presidents demonstrate
remarkable unanimity of purpose. Both are committed
to achieving regional unity in economic affairs and
seem to be working together toward that goal. On
the other hand, each is pursuing his own activist
foreign policy, and they are becoming rivals for
influence in the hemisphere and in the Third World.
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NOTE
Cuba's effort in recent months to expand its
commercial ties has brought Havana in touch with
foreign subsidiaries of US companies, and has raised
serious questions over extraterritorial applications
of US laws against commercial relations with Cuba.
Havana currently wants to buy $300,000 worth
of rubber flooring material from a US subsidiary in
Spain. The company has balked at the deal because
of the US regulations, but the Cuban purchasing
agency has threatened to bring the company's re-
sistance to the attention of the Spanish government.
In view of rapidly expanding Spanish-Cuban trade,
Madrid may well exert pressure on the company to
agree to the contract. As Cuba's commercial con-
tacts expand, conflicts in several Western coun-
tries are likely if US subsidiaries fail to respond
to the desires of the host governments to do busi-
ness.
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Top Secret
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