THE PRESIDENT'S DAILY BRIEF 24 DECEMBER 1973

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0006007630
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 11
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: December 24, 1973

Declassified in Part - Sanitized Copy Approved for Release 2016/06/22 : CIA-RDP79T00936A011900010020-3
The President's Daily Brief
24 December 1973
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Exempt from general
declassification uhedule of ED. I 1652
exemption category 513( I
declassified only on approval of
the Director of Central Intelligence
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FOR THE PRESIDENT ONLY
THE PRESIDENT'S DAILY BRIEF
December 24, 1973
PRINCIPAL DEVELOPMENTS
The disengagement talks of the Egyptian-Israeli work-
ing group will begin this week. Cairo reportedly is
satisfied with the opening session of the Geneva con-
ference; Jordan is apprehensive about the decision
to concentrate on the disengagement of Egyptian and
Israeli forces
(Page 1)
fedayeen
/ (Page 3)
Major cities in Lebanon were quiet over the weekend
after four days of demonstrations protesting the
sharply rising cost of living. (Page 4)
Spain is calming down, and Generalissimo Franco is
expected to name a new prime minister by the end of
the month. (Page 5)
China's foreign trade increased at an unprecedented
rate in 1973 and will continue to increase next year.
(Page 6)
Arab oil ministers will meet this week to discuss
the impact of the Arab oil embargo. (Page 7)
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ARAB STATES - ISRAEL
The disengagement talks of the Egyptian-Israeli
working group will begin this week. General Yariv,
Israel's negotiator at the stalled talks at Kilo-
meter 101, said he expects a "very tough discussion"
but believes disengagement may be possible. Egypt's
official spokesman, Tahsin Bashir, has stated that
he, too, sees a "ray of hope."
The Cairo media have portrayed the opening ses-
sion of the Geneva conference as crisis-ridden
Major news-
papers have praised the tough stand taken by Egyp-
tian Foreign Minister Fahmi on the necessity for
full Israeli withdrawal from the occupied territories.
Jordan is apprehensive about the decision to
concentrate on the disengagement of Egyptian and Is-
raeli forces. Amman radio warned yesterday that Is-
rael is trying to break Arab solidarity and coun-
seled that the goal of the Arabs at Geneva should
be to negotiate at the same time a separation of
forces on all fronts. The Jordanians are worried
that Cairo will reach a settlement on the Sinai and
leave Amman alone to negotiate West Bank issues from
a position of relative weakness.
Damascus radio yesterday described the first
stage of the Geneva conference as the "beginning of
the end" and charged that Israel will be able to
stall progress in the military working group just
as it did at the talks at Kilometer 101.
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Coverage of the conference by Israeli media has
been factual, with editorial comment urging a cau-
tious optimism. Jerusalem radio reported that the
meeting on December 21 between foreign ministers
Eban and Gromyko--the first high-level meeting be-
tween the Israelis and the Soviets since 1967--was
held "within the framework of Gromyko's authority
as one of the chairmen of the peace conference."
An Israeli spokesman added that Gromyko received
Eban at the residence of the Soviet delegation, but
said the meeting had not led to any concrete or sig-
nificant results.
Soviet coverage of the conference has been gen-
erally optimistic. Pravda, however, has cited Is-
rael's "expansionist spirit" and has carried nega-
tive accounts of Eban's opening speech and of Prime
Minister Meir's statement at Haifa that not all oc-
cupied Arab lands would be returned.
According to the Middle East News Agency, the
number and intensity of cease-fire violations on
the Egyptian front increased significantly over the
weekend. Although most of the reported incidents
involved only small-arms fire, some, according to
the account, were "severe battles" that included
exchanges of artillery, mortar, and tank fire.
This increase in military activity is not confirmed
by other sources.
A senior Swedish officer serving with the UN
truce supervisory organization on the Syrian front
reports a major buildup by Syrian forces over the
past few weeks. Until a month ago, the officer had
believed the cease-fire would hold until spring.
Having now observed the buildup behind the Syrian
cease-fire line, he thinks there is a risk of a
major clash by mid-January. He reasons that, even
if the Syrians do not launch an attack, their poten-
tial for causing severe damage by a surprise move
is such that the Israelis, still smarting from their
setback of October 6, might decide on a pre-emptive
strike.
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FEDAYEEN
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LEBANON
Major cities were quiet over the weekend after
four days of demonstrations protesting the sharply
rising cost of living. Violence began on December
17 in the northern city of Tripoli. Subsequent gen-
eral strikes in Beirut and Sidon were partially ef-
fective, despite the refusal of the trade unions to
participate. Throughout the week, security forces
were able to maintain a fair degree of control in
most areas, although at least four persons were
killed and eight wounded.
Although the protests focused primarily on in-
flation, there were a number of other complaints
indicating popular disaffection with the government.
In addition, anti-Americanism, as expressed in the
earlier student demonstrations protesting Secretary
Kissinger's visit, may have played a role.
Some opponents of the government have sought
to transform such popular discontent into a Chris-
tian-Muslim dispute. They have had only limited suc-
cess, however. It is unlikely that the current
'round of protests will force major changes in Prime
Minister Sulh's six-month-old government.
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FOR THE PRESIDENT ONLY
SPAIN
The country is calming down. Generalissimo
Franco has appeared in public and now is expected
to name a new prime minister by the end of the month.
The police have identified six Basque terrorists
as the assassins of Prime Minister Carrero Blanco and
are trying to apprehend them. All are said to be mem-
bers of the outlawed separatist organization Basque
Fatherland and Liberty. It has been involved in
bombings, kidnapings, and bank robberies in northern
Spain to dramatize its demands for a separate state
and to raise funds to continue its struggle.
Meanwhile, the trial of the "Carabanchel Ten"
dissident labor leaders concluded Saturday with a
prosecution demand for sentences of 12 to 20 years
for "illegal association." A verdict of guilty is
expected before the new year.
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CHINA
Peking's foreign trade increased at an unprece-
dented rate in 1973. According to preliminary re-
turns, total trade jumped from $5.3 billion in 1972
to more than $8 billion this year with imports dou-
bling to about $4.5 billion.
Sharp increases in the volume and cost of im-
ported agricultural products and accelerated purchases
of whole plants highlighted China's trade with the
West. The US, China's largest supplier of farm prod-
ucts in 1973, moved up to the number two position
among Peking's trading partners. China's export
earnings were boosted by increased rice exports at
substantially higher world prices and by price hikes
for most Chinese goods sold at the Canton fairs.
China's foreign trade in 1974 will continue to
increase at a substantial rate. Peking has already
signed contracts for larger quantities of agricul-
tural products in 1974 than in all of 1973. Deliv-
eries connected with China's billion-dollar plant
import program will begin next year. Other machinery
and equipment valued at over $500 million have also
been ordered. Trade with the US in 1974 may surpass
the $1-billion level, primarily due to continued
large agricultural imports.
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NOTE
International Oil: Arab oil ministers will
meet this week to discuss the impact of the Arab
oil embargo. There are some indications that Al-
geria will argue for easing the boycott. So far,
Saudi Arabia shows no sign of wavering in its sup-
port of the embargo.'
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