THE PRESIDENT'S DAILY BRIEF 27 AUGUST 1975

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0006014886
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 13
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: August 27, 1975

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The President's Daily Brief
August 27, 1975
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Exempt from general
declassification schedule of E.O. 11652
exemption category, 5B(1).(2).(3)
declassified onhi on approval of
the Director of Central Intelligence
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FOR THE PRESIDENT ONLY
August 27, 1975
'Table of Contents
Portugal: Army chief of staff Fabiao has reportedly
ceased his efforts to form a new government to
replace that of Prime Minister Goncalves.
(Page 1)
USSR: The Soviets could be over the limit of 740
launchers on nuclear-powered submarines to
which they are entitled without compensating
reductions of older sea- or land-based
launchers. (Page 3)
Syria: President Asad's resolve to demand more ter-
ritorial concessions from Israel is likely to
be strengthened by recent reports of strong
domestic opposition to the current Sinai nego-
tiations. (Page 4)
Argentina: Tension has increased sharply over the
status of two army officers--the interior min-
ister and his principal backer. (Page 5)
France-Italy-Portugal: French and Italian Commu-
nists have responded hesitantly to a call from
Portuguese Socialist leader Soares for a con-
ference of southern European Socialist and
Communist parties to discuss Portugal. (Page 6)
Notes: Portuguese Timor; Yugoslavia; China; Kuwait
(Pages 8 and 9)
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PORTUGAL
Portuguese army chief of staff
Fabiao has reportedly ceased his ef-
forts to form a new government to
replace that of Prime Minister Gon-
calves.
A Lisbon newspaper
reports
that Fabiao has given up his efforts. The news-
paper account says that further attempts at a
compromise may be under way that would assign the
task of forming a new government to someone else,
possibly navy chief of staff Azevedo, who is a
close friend of President Costa Gomes and last
week gave at least indirect support to Goncalves.
A withdrawal of Fabiao and Carvalho from the
contest for power would be a serious blow to the
Antunes group, although not necessarily a fatal
one. This, coupled with the Communists' increasing
show of confidence and strength in Lisbon, would
undoubtedly cause Antunes and his followers to
reassess their own military strength.
(continued)
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Goncalves, meanwhile, appears determined to
preserve the appearance of an active prime minister
presiding over a functioning government. He met
with the decolonization commission yesterday morning
and later presided over a cabinet meeting. A com-
munique after the cabinet session underlined the
decision to reorganize certain military bodies, in-
cluding the Revolutionary Council, which has op-
posed Goncalves' consolidation of power.
The government communique also stressed the
importance of the newly organized united front
comprising the Communist Party and seven other
left-wing extremist groups as an effective instru-
ment to halt the widespread anti-Communist violence.
The front has called for a series of "unity demon-
strations" to be held throughout the country in
support of Goncalves. The first is scheduled for
this evening in Lisbon.
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USSR
The Soviets are approaching a mile-
stone under the Strategic Arms Limitation
Interim Agreement. A second lengthened
D-class submarine, launched in May, should
have begun sea trials out of Severodvinsk.
If so, the Soviets will be over the limit
of 740 launchers on nuclear-powered subma-
rines to which they are entitled without
compensating reductions of older sea- or
land-based launchers. Some dismantling
apparently has already begun.
The Soviets are allowed 950 modern ballistic
missile launchers on submarines under the provi-
sions of the Interim Agreement. For every
launcher above 740 on nuclear submarines, however
they must dismantle one older land- or sea-based
launcher.
Lengthened D-class submarines carry 16 tubes.
Counting the first lengthened D-class submarine
now on sea trials, the Soviets apparently have
730 launchers accountable under the Agreement. A
second lengthened D-class on sea trials would
bring the total of sea-based launchers to 746.
The Soviets said last March that they were
dismantling 34 older ICBMs in accordance with the
procedures agreed to by the Standing Consultative
Commission. Four SS-7 launchers
already have
been dismantled; dismantling of two more may be in
process. The six would bring the Soviets within
the provisions of the Agreement.
The remaining 28 older ICBM launchers are in
a reduced state of readiness, and would appear to
be prime candidates for dismantling when additional
lengthened D-class submarines go on sea trials.
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SYRIA
President Asad's resolve to demand
more territorial concessions from the Is-
raelis is likely to be strengthened by
recent reports of strong domestic opposi-
tion to the current Sinai negotiations.
Syrian fears have been agitated by the anti-
Egyptian press in Lebanon and by Communist propa-
ganda. As usual, many people suspect Egypt's
President Sadat of trying to sell out Arab and
Palestinian interests.
While Asad has reservations about a new Sinai
agreement, he probably sees no way to stop a Sinai
accord and fears that the only alternative might be
a rapid slide into war. He also may believe that
such an accord would encourage another Israeli
withdrawal on the Heights. Nevertheless, Asad does
not want to rely too heavily on the Egyptians and
Saudis to look out for Syrian interests.
Asad, to buttress his own negotiating posi-
tion, has moved closer to Jordan and the Palestine
Liberation Organization and has continued to pursue
the objective of having Israel expelled from the
United Nations. By following these policies he
probably hopes to put enough pressure on all the
parties involved to focus attention on Syria once
a Sinai accord is reached.
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ARGENTINA
Tension has increased sharply in
Argentina over the status of the in-
terior minister, army Colonel Vicente
Damasco, and his principal backer--
army commander in chief General Numa
Laplane. Military leaves have been
canceled and a number of units are on
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Top army commanders have issued statements
demanding Numa Laplane's retirement and Damasco's
removal from the cabinet or at least retirement
from active military status. Military leaders
resent the prominent role Numa Laplane and Damasco
played in selecting the latest cabinet and their
failure to consult widely in the process. They
believe Damascots presence in the cabinet links
the armed forces to what they consider a hopelessly
inept government. According to a press report this
morning, Damasco has requested retirement from the
army.
President Peron yesterday defied the armed
forces by rejecting a resignation offered by Numa
Laplane. Press reports indicate he has again of-
fered to resign but has proposed First Army corps
commander General Caceres as his replacement. The
appointment of Caceres, who is not identified with
those pressing hardest for Damasco and Numa Laplane
to go, would presuppose the retirement of most of
the disgruntled generals, who are senior to Caceres.
Such a prospect is not likely to be accepted by the
military.
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FRANCE-ITALY-PORTUGAL
French and Italian Communists have
responded hesitantly to Portuguese Social-
ist leader Soares' call for a conference
of southern European Socialist and Commu-
nist parties to discuss Portugal. Commu-
nist leaders in France and Italy appear
caught between their desire to be more
forthcoming for public consumption at home
and their reluctance to get involved in
what appears to be an attempt by Soares
to use them to bring pressure on the
Portuguese Communist Party to adopt a more
cooperative line. The Socialist leaders--
Mitterrand in France and De Martino in
Italy?reacted quickly and positively to
Soares' request.
The Communist parties of all three countries
invited to attend--France, Spain, and Italy--have
sought alliances with democratic parties to open
the path to power. The parties in Italy and Spain,
in particular, have criticized the cavalier attitude
of the Portuguese Communists toward democratic pro-
cedures and their adoption of more traditional revo-
lutionary tactics.
Obviously stalling for time, French Communist
Party leader George Marchais argued in his reply
last week that solidarity of the left in Western
Europe is too important for such a meeting to be
restricted to Portugal, France, Italy, and Spain,
and suggested other European parties be invited as
well. He probably hopes the difficulty of organiz-
ing any such meeting will postpone concrete prepara-
tions until the situation in Portugal is more set-
tled.
The events in Portugal have provoked a quarrel
between the French Communists and Socialists in
which Marchais has come off second best. His image
as the more doctrinaire, inflexible, and less demo-
cratic leader has been reinforced. His rival,
Socialist Party secretary Francois Mitterrand, has
gained by appearing to be a traditional social
democrat who knows the limitations of his alliance
with the Communists and can stand up to their ideo-
logical assaults.
(continued)
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The Italian Communists have responded with
caution to Soares' proposal. They made a general
statement of approval of understandings between
West European Communists and Socialists. In recent
weeks, however, they seem to be backing away from
their earlier open criticism of the Portuguese
Communists' strong-arm tactics.
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NOTES
The Portuguese foreign ministry has informed
US officials That Lisbon is on the verge of asking
Indonesia to intervene militarily in Timor.
A green light from Lisbon would provide Jakarta
with the justification it has been seeking and re-
move the last obstacle to military intervention.
Lis-
bon announced early today that it had evacuated all
Portuguese refugees in Dili, including the governor
of Timor
Yugoslav
(continued)
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A delegation from China's Council for the
Promotion of International Trade will arrive in
the US on September 5 for an 18-day tour.
The mission will include representatives of
trade corporations for machinery, minerals and
metals, and native produce. The Chinese expect
to meet members of Congress, government officials,
and US businessmen to discuss trade, trade exhibits,
and regional trade promotion offices in the US.
They will also want to talk about the legal issues
in US-China trade, including most-favored-nation
treatment. US-China trade is off substantially
this year because of the sharp drop in Chinese
purchases of US agricultural products. US ex-
ports to China for the year will reach about $250
million, compared with $807 million for 1974.
Chinese exports to the US will total about $150
million, up from $115 million last year.
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Kuwait
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