THE PRESIDENT'S DAILY BRIEF 23 MARCH 1973

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0005993778
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 14
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: March 23, 1973

Declassified in Part - Sanitized Copy Approved for Release 2016/06/14 : CIA-RDP7971-00936A011500010073-9
The President's Daily Brief
23 March 1973
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Exempt from general
declassification scheduk of E.O. 11652
exemption category 5E411.(2).131
declassified only on approval of
the Director of Central Intelligence
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FOR THE PRESIDENT ONLY
THE PRESIDENT'S DAILY BRIEF
23 March 1973
PRINCIPAL DEVELOPMENTS
The Communists are adding to their air defense capa-
bility in South Vietnam. (Page 1)
In Laos, the two sides have postponed formation of
a new coalition government beyond the deadline set
by last month's peace agreement. (Page 2)
The Cambodian Government's crackdown raises disturb-
ing questions about Phnom Penh's already fragile
political stability. (Page 3)
A Soviet Foreign Ministry official has acknowledged
that the USSR will no longer enforce its education
tax on emigrants, and that the Soviet move is in
response to pressures from the US Congress. (Page 4)
The Security. Council meeting did not achieve the
reaction from the US or within Panama that General
Torrijos had expected. (Page 5)
In Turkey, the proposed constitutional amendment
to extend the term of incumbent President Sunay
failed to secure the required two-thirds majority.
(Page 6)
Two Adeni MIG-17s yesterday attacked a Saudi Arabian
post located about 20 miles north of the border.
(Page 6)
(Page q)
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Demilitarized Zone
SAM site
UANG TRU 6/
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THUA THIEN
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SOUTH VIETNAM
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FOR THE PRESIDENT ONLY
SOUTH VIETNAM
The Communists are adding to their air de-
fense capability in the south.
In Quanq Tri Province, pho-
tography further substantiates the pres-
ence of a.new, occupied SA-2 site southeast of Khe
Sanh. At least two launchers, complete with SA-2
missiles along with radar, electronic, and other
support equipment are visible.
The Communist unit occupying the site is
probably one of the three SAM battalions
that formerly manned nearby sites which
are now unoccupied.
In ground fighting, Communist pressure against
the ranger camp at Tonle Cham has eased. North
Vietnamese shellings have fallen off, and no major
new infantry action has been reported since the at-
tacks of March 20. There has been some increase in
the fighting in the western delta provinces, most
of it resulting from efforts of several North Viet-
namese units to move across the border into South
Vietnam. Government sources in the delta believe
the Communists are determined to control key sec-
tors along the border in order to expand their in-
filtration routes into the lower delta.
1
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FOR THE PRESIDENT ONLY
LAOS
The two sides have postponed formation of a
new coalition government beyond the deadline of
March 23 set by last month's peace agreement.
The absence of chief Pathet Lao negotia-
tor Phoumi Vongvichit has been.the major
obstacle to progress'.
Other senior Communist negotiators left Vien-
tiane yesterday for strategy sessions at their head-
quarters near Sam Neua, and those remaining behind
are not empowered to discuss composition of anew
,government.
Despite the lapsed deadline, the agree-
ment signed last month remains in effect
and there is no sign that either side is
preparing to resume combat.
One effect of the delay is to set back
the timetable for withdrawal of foreign
troops.and release of prisoners. Under
terms of the Lao peace agreement, both
are to be completed within 60 days of
formation of a new coalition government.
The Pathet Lao position is that the re-
lease of US prisoners will be governed.
by the Lao accords.
FOR THE PRESIDENT ONLY
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FOR THE PRESIDENT ONLY
CAMBODIA
Republican Party chief Sink Matak apparently
is still confined to his home in Phnom Penh although
the number of troops guarding him has been substan-
tially reduced.
There are no signs yet that the regime's crack-
down has generated any sharp reaction in the mili-
tary although some army officers are genuinely con-
cerned about the over-all situation in Cambodia.
Army Chief of Staff General Fernandez has privately
expressed some doubts about the country's future,
but he has been advising his subordinates to relax
and await further developments.
The situation raises disturbing questions
about Phnom Penh's already fragile polit-
ical stability. The succession question,
which would have been resolved by Matak's
installation as vice-president, is now
more than ever a manor problem.
With Brigadier General Lon Non's influence
over his brother at an'alltime high,
further moves against other prominent..
officials on his black list cannot be
ruled out.
FOR THE PRESIDENT ONLY
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USSR-US
A Soviet Foreign Ministry official acknowledged
yesterday that the USSR will no longer enforce its '
education tax on emigrants, and that the Soviet move.
is in.response to pressures from the US Congress.
At about the same time, Western newsmen in Moscow
were invited to watch Soviet authorities grant exit
permits, and the Soviets even offered film clips of
the event to some of the newsmen involved.
These actions- are most likely in response
to statements of US concern made by Sec-
retary Shultz in Moscow last week. Moscow
seems to be following the formula laid
down.by Senator Jackson, who has stated
that he does not expect the Soviets to
rescind their law, but that he will with-
hold his support of MFN legislation until
satisfied that Moscow is not enforcing the
education tax.
By leaving their tax on the books, however,
the Soviets have kept open the possibility
of returning to restrictive practices after
MFN legislation is passed. The Soviets
know that their behavior will be carefully
monitored, and for the short term, they
will be 'likely to continue allowing exemp-
? tions to the tax.
FOR THE PRESIDENT ONLY
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FOR THE PRESIDENT ONLY
PANAMA
The Security Council meeting did not achieve the
reaction from the US or within Panama that General
Torrijos had expected. Although he is publicly
touting the international support that he received,
he probably is concerned about how much damage he
has done to his relations with Washington.
Over the next few days, Torrijos will move cautiously
as he tries to sound out the US and plots his next
move. He gave himself some breathing space yester-
day when he announced that because the US vetoed the
Panamanian resolution he would hold "consultations
with the people" before deciding on his next step.
This probably means that he will talk with members
of the rubber-stamp national legislature, a process
which will take time and also give him an opportu-
nity to stir up the public.
Torrijos will continue his strategy of keeping pres-
sure on the US. The government-directed media will
resume its attacks on Washington, and anti-US demon-
strations, carefully orchestrated by the government,
may be in the offing.
5
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FOR THE PRESIDENT ONLY
NOTES
Turkey: The proposed constitutional amendment
to extend the term of incumbent President Cevdet
Sunay for two years failed by one vote to secure
the required two-thirds majority yesterday. A
joint session of parliament has been called for to-
day, but it is not clear what steps will be taken
to resolve the impasse that has dragged on now for
ten days.
Yemen (Men) - Saudi Arabia: Two Adeni MIG-17s
yesterday attacked a Saudi Arabian post at Wudayah,
approximately 20 miles north of the border. Saudi
Arabia claims that its antiaircraft fire drove off
the planes, but the defenders admit to "some" in-
juries. Abase for Adeni dissidents
is lo-
cated just north of Wudayah. These dissidents have
been conducting commando raids into Aden's eastern
provinces for some months. Saudi Arabia probably
will not retaliate for the air attack
India-USSR:
Yugoslavia: Usually compliant trade union
leaders in Yugoslavia have formally protested a
government wage freeze and other measures that
will reduce the workers' standard of living to
below last year's level. The government now must
decide whether to lift the freeze or to risk mas-
sive popular dissatisfaction.
(continued)
FOR THE PRESIDENT ONLY
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FOR THE PRESIDENT ONLY
East Germany: East Germany is in debt to the
industrial West to the tune of approximately $900
million. Last year such medium- and long-term
debts increased by $200 million, largely because
of political concerns. The regime has put a heavy
emphasis on supplying consumer goods to the popu-
lation in order to ensure political stability as
it makes the transition from isolation into the
family of nations. At the same time, party chief
Honecker enforced a commitment that all export
quotas for the Soviets would be met or surpassed.
Asa result, ti70.'s year the East Germans are seek-
ing at least $200 million more in credits from the
West, including the US. West Germany and France
have .given Pankow most of its new credits. Our
preliminary estimate indicates that the East German
economy is strong enough, and its subsidized trade
with West Germany large enough, for Pankow to oper-.
ate this way for two or three more years before
being pinched by repayment problems.
7
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)
Top Secret
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