CURRENT INTELLIGENCE WEEKLY SUMMARY

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CIA-RDP79-00927A000700140001-1
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RIPPUB
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S
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38
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December 16, 2016
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January 21, 2005
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1
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Publication Date: 
February 16, 1956
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SUMMARY
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Approved For. Release 2005/02/10: CIA-RDP79-00WJA000 14tlg1-1 CURRENT INTELLIGENCE WEEKLY. SUMMARY ~o~FIDEN COPY NO. 19 OCI NO. 0058/56 16 February 1956 DOCUMENT NO. NO CHANGE IN CLASS f . . i DECLASSIFIED NEXT REVIEW DATE: AUV% NR7, 25X1 CENTRAL INTELLIGENCE AGENCY I I I OFFICE OF CURRENT INTELLIGENCE 25X1 State Department review completed Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 Approved Folease 2005/02/10: CIA-RDP79-0092000700140001-1 THIS MATERIAL CONTAINS INFORMATION AFFECT- ING THE NATIONAL DEFENSE OF THE UNITED STATES WITHIN THE MEANING OF THE ESPIONAGE LAWS, TITLE 18, USC, SECTIONS 793 AND 794, THE TRANSMIS- SION OR REVELATION OF WHICH IN ANY MANNER TO AN UNAUTHORIZED PERSON IS PROHIBITED BY LAW. The Current Intelligence Weekly Summary has been prepared primarily for the internal use of the Central Intelligence Agency. It does not represent a complete coverage of all current situations. Comments and conclusions represent the immediate appraisal of the Office of Current Intelligence. Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 Approved For Release 2005/02fgk-XDP79-009A000700140001-1 CURRENT INTELLIGENCE WEEKLY SUMMARY 16 February 1956 NT T H E W E E K I N B R I E F OF IMMEDIATE INTEREST 25X1 KHRUSHCHEV'S SPEECH AT THE SOVIET PARTY CONGRESS . ... . . . . . . . . . . Page I Confidence in the strength of the Communist world and in its inevitable triumph over capitalism was the dominant tone in Khrushchev's six-hour report to the 20th Party Congress on 14 February. The fact that he spoke authoritatively on a wide range of topics, including basic doctrinal issues, and the appointment of many of his proteges to guiding bodies of the congress, reflect his position as "first among equals" in the Soviet regime. Khrushchev's speech gave a strong impetus to two of the major aims of Soviet policy--diplomatic and economic intervention in the Middle East and South Asia, and the development of closer relationships with the inter- national Socialist movement. USSR ASSERTS VITAL INTEREST IN MIDDLE EAST . . . . . . . . . . . . . . . . . . Page The Soviet Foreign Ministry, in a statement on 13 February, asserted a vital interest in Middle Eastern issues and demanded a voice in their settlement. Referring to the Eisenhower-Eden declaration, the statement condemned any "independent action" outside the UN Security Council and without the consent of the states involved. Such intervention would create "dangerous friction and tension"' in the area, according to Moscow. ARAB-ISRAELI SITUATION . . . . . . . . . . . . . . . Page 4 The tension over the Banat Yacov canal issue has relaxed somewhat as a result of actions taken by both the Arabs and Israel. The retreat by both sides from positions they had assumed a short time ago suggests that neither the Arabs, particularly Egypt, nor the Israelis desire a war now. 25X1 25X1 1 Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 THE WEEK IN BRIEF Approved For Release 2005/02T1~:k-kDP79-0092000700140001-1 CURRENT INTELLIGENCE WEEKLY SUMMARY 16 February 1956 ALGERIAN IMPASSE THREATENS FRENCH GOVERNMENT . . . . . . . . . . Page 4 The deadlock on Algeria is encouraging right-wing elements in France who had resigned themselves to accepting large concessions in Tunisia and Morocco. As a result, Premier Mollet's position is weakened, and he will have difficulty postponing divisive internal issues. Labor is preparing a broad campaign on wage concessions, and pressure is being renewed in the National Assembly for an early airing of the church school question. NOTES AND COMMENTS Soviet Overtures to European Socialists: Since last fall, Soviet leaders have made overtures. in one form or another to at least seven of Europe's Socialist parties. These overtures are designed to overcome Socialist opposition to Communist proposals for "popular fronts" and electoral alliances. The USSR may also hope to generate American doubts about the reliability of Socialist-led NATO govern- ments in France, Norway and Denmark. Page 1 25X1 25X6 Saar Negotiations'-French and German officials Are sdhedu a to resume negotiations on the Saar on 20 February. The French will probably agree in principle to the eventual political reunion of the Saar with Germany--provided French economic interests in the area are protected and Germany makes certain other economic concessions favoring SECRET Page 3 ii Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 THE WEEK IN BRIEF SECRET Approved Fcelease 2005/02/10 : CIA-RDP79-00927000700140001-1 16 February 1956 Spain's Internal Difficulties: The recent riots of University of Madrid students provoked new re- pressive measures by the government and occasioned the removal of the education minister and the minister-secretary of the Falange. The student demonstrations and other reported discontent in Spain suggest Franco will tighten controls and possibly make further cabinet changes. Cyprus: Governor Harding responded on 14 February to archbishop Makarios' conditional acceptance of Britain's policy statement on Cyprus. Harding wants to begin discussions soon with all elements of the Cypriot population on general principles for a constitution which would establish self- government. Makarios probably will agree to proceed with discussions, but is likely in their course to raise new objections. Page 3 Page 4 25X1 Indian Congress Party Annual Meeting: The annual meeting of t e Indian Congress Party between 8 and 12 February demonstrated the intense con- cern of Nehru and other party leaders with national unity and economic development and with the maintenance of world peace. A resolution on the reorganization of state boundaries showed that major alterations have occurred in the party's thinking on the 1inquistic states problem and that Nehru's plan for dividing India into a few large states is now party policy. The meeting was marked by bitter attacks on the Baghdad and SEATO pacts, suggesting that in the near future they will become major targets of Indian foreign -policy. . . . . . . . . . . . . . Page 5 Pakistan: Pakistan's response to Soviet premier Bulganin's recent offer of a trade pact suggests that the Karachi government may be changing its policy from one of wholehearted co-operation with the West to one aimed at making Pakistan the object of Soviet-Western competition. Internally, the government has gained a temporary respite following the breakdown of negotiations aimed at developing joint opposition to the draft consti- tution. Karachi may face. a new threat, however, from a competition for power which seems to be shaping up within the dominant Moslem League. . . . . . . . . . . . . . Page 6 SECRET iii Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 THE WEEK IN BRIEF SECRET Approved For Release 2005/02/10: CIA-RDP79-0092A 00700140001-1 16 February 1956 Indonesia: The Indonesian government's unilateral abrogation of the Netherlands-Indonesian Union on 13 February has little international signifi- cance, but may improve the domestic prestige of the moderate Masjumi party and thereby its chances of participation in the next cabinet. The cabinet is also considering. again,for domestic political purposes, abrogation of the economic-financial agreements with the Netherlands. The parliament which was elected in September may be installed in March, and negotiations for a new cabinet may follow immediately thereafter. Soviet-Japanese Negotiations Still Stalled: Both sides in the Soviet-Japanese talks in London were main- taining their inflexible positions as of 12 February. On 10 February, Malik reiterated the Soviet offer to return Shikotan and the Habomais, but flatly stated that this was the absolute limit of. Soviet territorial concessions, and that further Japanese discussion on the southern Kurils would be regarded as deliberate stalling tactics. Japanese public opinion remains firm behind a ,strong negotiating policy. Sino-Soviet Bloc Participation in International Trade Fairs: The 31no-Soviet bloc has sharply increase is participation in international trade fairs as part of the effort to expand economic relations with non-Communist countries, particularly the countries of the Middle East, Africa, Southeast Asia and Latin America. In 1955, the bloc participated in more international fairs and exhibitions than in all of the four preceding years, staging 288 exhibits at 149 fairs in 41 countries at an estimated cost of $38,000,000. F . . . . . . . . . . . . . Page 7 25X1 Page 9 25X1 Page 9 New Moves in Soviet Agriculture: Two new agricultural decrees and related activities suggest a recent acceleration in the USSR's long-standing campaign to establish complete state control over agri- cultural production and food distribution. These measures also seek to increase total food output, but in the past, these two aims have frequently conflicted, with tighter controls provoking a fall in production. . . Page 10 SECRET iv Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 THE WEEK IN BRIEF World Federation of Trade Unions Looks for New Location: Officials of the World Federation of Trade Unions (WFTU) will probably protest in the International Labor Organization and in the UN, the banning of their organization from Vienna. The WFTU will probably try to relocate somewhere else outside the iron curtain, but the opposition of Western European governments may make this impossible. The WFTU may therefore settle in Prague. CURRENT INTELLIGENCE WEEKLY SUMMARY 16 February 1956 e foreign ministers of the six European Coal- Steel Community countries who met in Brussels Approved Felease 2005/02/10 : CIA-RDP79-0092000700140001-1 Foreign. Ministers' Conference on European Integration: on 11 and 12 February made concessions to France by deciding to proceed with the EURATOM project without pressing for anything more than a commit- ment in principle to the common market, and without insisting that the military uses of nuclear fuels be renounced in perpetuity. Organizational planning generally followed the CSC pattern. . . . . . . . . . . . . Page 12 Page 12 Peiping Gives New Attention to Agriculture: Peiping has announced an overly ambitious p 157n to increase agricultural production by 150 percent during the next 12 years, but actual prospects are for 20 or 30 percent in view of concurrent announcements that industrialization will still come first. The new emphasis on agriculture, however, should enable farm output at least to keep up with population growth. I I. . . . . . . . . . Page 13 New Medium-Range Submarine in Production in USSR: A new class of medium-range submarine, designated the "Q-class" for intelligence reference, was apparently put into series production by the USSR in 1955, when approximately 10 of these vessels were constructed by the Sudomekh shipyard in Leningrad. Of the 108 new submarines of all classes expected to be built in the USSR in 1956, it is believed that 18 will be ""Q's". SECRET v Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 THE WEEK IN BRIEF Page 15 25X1 SECRET Approved Farelease 2005/02/10: CIA-RDP79-009200700140001-1 16?February 1956 PATTERNS AND PERSPECTIVES PATTERNS OF SOVIET INTERVENTION IN THE NEAR EAST AND AFI . . . . . . . . . . . . . . . . . . . . Page 1 By the use of the political and economic pressures of "traditional diplomacy," the USSR has acquired a great-power voice in the Near East, an area which had previously been under the exclusive influence of the West. The USSR has formally served notice that it expects to exercise great-power prerogratives in the Near East, and indications are that considerable local support is. developing for increased Soviet participation in the affairs of the area. SPAIN'S FOREIGN POLICY . . . . . . . . . . . . . . . In recent years, Spain has made little effort to improve its generally cool relations with Western European countries but has intensively cultivated countries in the western hemisphere and the Arab world. In the past few months, there have been rumors that Franco might resume diplomatic relations with the USSR and the Satellites. Page 4 RAILWAY CONSTRUCTION IN COMMUNIST CHINA . . . . . . . Page o Having restored the pre-World War II Chinese rail- way system, the Communists are concentrating on a vast new rail-line construction program. The Chinese, by the early 1960's will have four high-capacity, inter- national rail links with the USSR and rail service with all areas of China proper. In the absence of dis- ruption by external attack, this system will substan- tially reduce the country's historic vulnerability to the effects of a sea blockade, and will greatly in- crease Communist logistic and military capabilities. 25X1 25X1 SECRET vi Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 THE WEEK IN BRIEF Approved F elease 2005/03 /brRDP79-00927000700140001-1 CURRENT INTELLIGENCE WEEKLY SUMMARY 16 February 1956 KHRUSHCHEV'S SPEECH AT THE SOVIET PARTY CONGRESS Confidence in the strength of the Communist world and in the inevitability of its final triumph oTrer capitalism was the dominant tone in Khrushchev's six-hour report to the 20th Party Congress on 14 February. The fact that he spoke authorita- tively on a vast number of top- ics, and the appointment of many' of his proteges to guiding bodies of the congress, reflect his position as "first among equals" in the Soviet regime. Khrushchev's speech gave a strong impetus to two of the major aims. of Soviet policy-- diplomatic and economic interven- tion in the Middle East and South Asia, and the development of closer relationships with the international Socialist move- ment. He also triumphantly re- viewed the world situati'n, claiming, sweeping successes for Soviet foreign pulicy since Stalin's death and particularly since the Khrushchev-Bulganin regime took over in February 1955. Foreign Policy. In his statements on for- eign policy, Khrushchev announced some major modifications in Communist doctrines. He asserted that the transition to socialism in certain states could be .brought about by parliamentary means rather than through acute class revolutionary struggle. This modification will appeal to both European and Asian So- cialists and will probably be followed by a major Soviet ef- fort to establish and exploit popular fronts in those areas. Khrushchev also asserted that there is no "fatal inevita- bility" of war, since there exist "mighty social and politi- cal forces possessing formidable neans to prevent the imperialists from unleashing war." This change in doctrine probably re- flects a belief on the part of Soviet leaders that war in the nuclear age is no longer a feasible instrument of national. policy. Khrushchev's.grouping of various states in his conclud- ing statements on the aims of Soviet foreign policy reflects the USSR's estimate of how world power is aligned and where new gains in influence can most easily be made. He groupedInd:a, Burma, Afghanistan, Egypt and Syria as states that stand for peace together with the neutrals, Finland and Austria. He included "peace-loving" non-Communist states of the Afro-Asian area along with the Sino-Soviet bloc in a vast "zone of peace" which plays a decisive role in world affairs. In another category he grouped the Western powers, Western Germany,"Japan, Italy, Turkey, Iran, and Pakistan as countries with which the USSR should attempt to improve its relations. Khrushchev's remarks con- tained the first endorsement of a ban on thermonuclear weap- ons tests by a top-level Soviet leader. Otherwise there were no new proposals on major East- West issues.. He merely reiter- ated the well-defined Soviet positions on disarmament and collective security in Europe. SECRET Approved For Release 2005/02/10 : CIA-RDP79-00927A000700140001-1 PART I OF IMMEDIATE INTEREST Page 1 of 5 Approved F lease 2005/OBC -RDP79-009 7? 000700140001-1 CURRENT INTELLIGENCE WEEKLY SUMMARY 16 February 1956 Tie identified collective secu - rity in Asia as the third major pruolem to be solved, but did not spell out any Sino-Soviet position on it. The speech re-emphasized the regime's assurances of "Socialist legality" and its determination to maintain "prop- er control by the party and government over the work of the state security agencies." Khru- shchev's statement on the party leadership, pointing out that "the collective is not bound by personal relations or mutual advantage," is probably intended as an assurance that collective leadership is now a fixture in the Soviet system. Khrushchev stated that Soviet Communist Party member- ship is now 7,215,030. This figure corrects the round number of 8,000,000 he used in a speech in India last December. The increase in membership of over 330,000 since the 19th Party Congress means that the number of party members is growing pro- portionally to the growth in population any. continues to comprise about 3 percent of tha total population. On questions of ideology, Khrushchev stressed what the party press has been saying insistently in recent months-- -that theory cannot be divorced .from practice. He indicated that this criticism is directed against those party members who complain when they are "diverted from so-called pure party work" to the study of economics and technology. In short, Khrushchev insists on a pragmatic approach in party work, as he did in foreign policy. Khrushchev mentioned the "false claim" that the USSR has "laid only the foundation of socialism." This appears to have been a s: