THE SITUATION IN SOUTH VIETNAM

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00826A000800010005-2
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 27
• Document Creation Date: December 19, 2016
• Document Release Date: May 11, 2005
• Sequence Number: 5
• Publication Date: May 25, 1966
• Content Type: REPORT

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OCI No.0375/66
Copy No.13 5
WEEKLY REPORT
THE SITUATION IN SOUTH VIETNAM
25 May 1966
INTELLIGENCE AND REPORTING SUBCOMMITTEE OF THE INTERAGENCY
VIETNAM COORDINATING COMMITTEE
USAID, State, ARMY, DIA reviews completed
SECRET
GROUP I
Excluded from automatic
downgrading and declassification
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THIS MATERIAL CONTAINS INFORMATION AFFECT-
ING THE NATIONAL DEFENSE OF THE UNITED STATES
WITHIN THE MEANING OF THE ESPIONAGE LAWS,
TITLE 113, USC, SECTIONS 793 AND 794, THE TRANSMIS-
SION OR REVELATION OF WHICH IN ANY MANNER TO
AN UNAUTHORIZED PERSON IS PROHIBITED BY LAW.
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OCI No. 0375/66
Published by the Directorate of Intelligence
Central Intelligence Agency
THE SITUATION IN SOUTH VIETNAM
(19 May - 25 May 1966)
Page
THE WEEK IN PERSPECTIVE iv
Map, South Vietnam, facing page 1
1. THE SITUATION IN SOUTH VIETNAM 1
A. POLITICAL SITUATION 1
Buddhist and "struggle"force leaders
are raising their verbal attacks on
Ky government (p. 1); Government main-
tains momentum in crisis (p. 1); Es-
timate of antigovernment elements' losses
is given (p. 1); Government leaders hope
for defections in rebellious lst Divi-
sion (p. 2); Buddhist Institute chairman,
out of country, urges moderation (p. 2);
Economic Situation.: Retail prices in
Saigon con in.ue o rise (p. 3); Funds to
be released for GVN-financed imports
(p. 3); Ky signs memorandum to allocate
counterpart funds for USAID use (p. 3);
Chinese importer sentenced to death for
profiteering (p. 3); Saigon free market
prices for dollars and gold reach new
highs (p. 4).
B. MILITARY SITUATION 5
Enemy-initiated activity increases
(p. 5); Weekly statistics are given
(p. 5); Government forces prevented
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"struggle" group domination of Da
Nang (p. 5); Operations AUSTIN 6 and
DAVY CROCKET terminated, CRAZY HORSE
initiated in II Corps (p. 5); Enemy
losses in Operation BIRMINGHAM item-
ized (p. 6); Report on IV Corps opera-
tions (p. 7); Air activity resume is
listed (p. 8); IV Corps had greatest
number of reported enemy attacks
(p. 10); Changes in status of trans-
portation routes are given. (p. 10).
Map, Transportation Routes, facing page 10
C. REVOLUTIONARY DEVELOPMENT 11
Progress in revolutionary development
programs during April was limited in
scope and area (p. 11); First cadre
group was graduated on 21 May (p. 11);
Progress in pacification program has
been most tangible in IV Corps re-
cently (p. 11); Data on Communist de-
fectors is given (p. 12).
Map, North Vietnam, facing page 13
II. POLITICAL DEVELOPMENTS IN THE BLOC 13
Vietnamese Communist propaganda tries
to link efforts of antigovernment ele-
ments with Viet Cong moves (p. 13);
The Liberation Front attempts to en-
tice South Vietnamese forces (p. 13).
III. THIRD COUNTRY DEVELOPMENTS 14
GVN officials visit Taiwan and South
Korea (p. 14); Foreign Minister Do to
seek UN observers for upcoming Viet-
namese elections (p. 14).
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ANNEX: South Vietnam Battle Statistics--
Personnel Losses (Weekly)
South Vietnam Battle Statistics--
Inciden.ts and Attacks (Weekly)
Weekly Retail Prices in Saigon (table)
(The Weekly Report on the Situation in South Vietnam
is based on. contributions from CIA, DIA, and INR; it
is edited and published by CIA without final coordina-
tion)
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Buddhist and "struggle" force leaders are
raising their verbal attacks on the Ky government,
with increasing anti-American overtones. Earlier
this week armed resistance to government troops
in Da Nang collapsed. While there has been no im-
mediate move against the dissident stronghold in
Hue, the Ky government has maintained its momen-
tum generally in the crisis. Before a hastily as-
sembled national congress, the government justified
its actions and reaffirmed its election pledge.
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I. THE SITUATION IN SOUTH VIETNAM
A. POLITICAL SITUATION
1. Buddhist and "struggle" force leaders are
raising their verbal attacks on the Ky government,
with increasing anti-American overtones, despite the
collapse of armed resistance to government troops in
Da Nang earlier this week. While postponing any im-
mediate move against the remaining dissident strong-
hold in Hue, the Ky government maintained its momen-
tum in the crisis by justifying its actions and re-
affirming its election pledge to a hastily assembled
national congress, and by taking firm action against
demonstrators in Saigon.
2. After government action had been temporarily
stalled by confusion among government commanders in
Da Nang, Saigon troops on 19 May began closing in on
sectors held by "struggle" forces. Street fighting
erupted, and gradually became more severe during the
next several days as government tanks and aircraft
and opposition mortars were utilized. However, anti-
government forces attempting to reach Da Nang from
Hue in the north and from Hoi An in the south were
stopped by government forces last weekend. Armed
resistance in the city finally collapsed on 23 May
with the surrender of two main pagodas which had
been serving as dissident command posts. At the
same time, a newly appointed military commander took
charge of the provincial capital of Hoi An several
miles to the south, after the former dissident com-
mander there had requested a leave of absence and
left the city.
3. Although precise casualties resulting from
the action at Da Nang are not known, antigovernment
elements probably suffered close to 100 killed and
several hundred wounded during the nine days of re-
sistance. Government forces captured former Mayor
Nguyen Van Man, and several of the antigovernment
military leaders in Da Nang and Hoi An also have re-
portedly been arrested. Government leaders plan to
maintain martial law in Da Nang until an effective
administration.--including a responsible police force--
can be re-established.
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4. They will also apparently attempt to in-
duce defections among the rebellious First Division
in northern I Corps before making any move on the
remaining dissident stronghold of Hue. First Divi-
sion commander General Nhuan, formerly a supporter
of the antigovernment movement, this week declared
his loyalty to the Saigon government. Thus far, how-
ever, he has been unable or unwilling to take any
positive action in the face of the strong dissident
leadership in. Hue, including Tri Quang and former
I Corps commanders Thi and Dinh.
5. The Buddhist leadership in Hue and Saigon
maintained its all-out opposition to the Ky govern-
ment this week through speeches, communiques, and
demonstrations. In Hue, Tri Quang continued his ef-
forts to enlist US support. However, as the Ky gov-
ernment gained momentum following the Da Nang defeat,
there was increasing criticism of the US political
position in Quang's public remarks. Moreover, public
pressure in the form of hunger strikes and a cordon.
around the US Consulate has been exerted on US Offi-
cials in Hue.
6. Numerous demonstrations against the govern-
ment occurred in Saigon during the week, but crowd-
dispersal tactics and a cordon around the Buddhist
Institute by government security forces have pre-
vented any massive, Buddhist-sponsored spectacle thus
far. Elsewhere, small protest demonstrations, hunger
strikes, or antigovernment broadcasts were reported
in seven towns in II Corps and in. My Tho in IV Corps.
7. Buddhist Institute chairman Thich Tam Chau,
who has been out of the country since early this
month, urged moderation in cables to the Buddhist
Institute and to government leaders this week. The
US Embassy has commented, however, that Chau may con-
tinue to delay his return to Saigon until a turning
point is reached in the current power struggle.
Should the Institute's current opposition to the gov-
ernment disintegrate, Chau would then be in a position
to return and re-establish some sort of working re-
lationships with the government.
8. The'ten.se atmosphere last weekend gave rise
to rumors of a Buddhist-sponsored coup led by retired
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General Tran Van Don, and to rumors of a possible
pre-emptive coup by hard-line military supporters
of Premier Ky. Neither materialized on schedule,
although the potential for such action by either
of these two groups remains.
9. Retail prices in. Saigon continued to rise
in the week ending 16 May due mainly to an increase
in the prices of imported foodstuffs. Although the
price of fish and chicken. also increased, the prices
of most other domestic commodities did not increase
substantially. The over-allUSAID retail price index
was 5 percent above a month ago, but still slightly
below the level reached at the beginning of 1966.
These recent price increases reportedly were due not
only to greater political uncertainties, but also to
rumors of devaluation. (A table of retail prices in
Saigon, is included in the annex.)
10. Earlier this month, Minister of Economy
Thanh had agreed to release $42 million in. GVN for-
eign, exchange for GVN-financed imports in. May and
June. The GVN director of external commerce said
this week that $40 to $50 million will be released
shortly. This amount will be in addition to the
$58.4 million released in March and will bring the
total for the first half of 1966 to roughly $100
million. The GVN has agreed to release $200 million
for the entire year. Of the $58.4 million. released
in March, only $34 million had been licensed as of
12 May, but the GVN feels confident that the balance
will be licensed by the end of May.
11. Premier Ky, who had previously agreed in.
principle to allocate one billion piasters of counter-
part funds for USAID use, finally signed a memorandum
of understanding on this matter. According to the
memorandum, the GVN will release 485 million piasters
immediately with the remaining 515 million piasters
to be held as a reserve for release as requirements
are determined.
12. On 18 May,Phung Than, an. iron and steel im-
porter of Chinese origin, was sentenced to death for
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selling above official prices. This case parallels
that of Ta Vinh who was executed in March. If the
sentence is carried out, it could have similarly ad-
verse effects on the business climate.
13. Minister of Economy Thanh stated on 18 May
that he will publicly announce that the port of Sai-
gon will be open 18 hours daily. Thanh is still hope-
ful that the new 10-day limit for transit cargo storage
will prove effective. During the period 11-17 May,a
daily average of 5,975 metric tons of commercial/USAID
cargo cleared the port compared with a daily average
of 6,982 metric tons during the period 4-10 May.
14. The Saigon free market prices for dollars
and gold reached new highs during the week of 16 May.
The price of US $10 bills rose to 182 piasters per
dollar on 20 May, and gold prices increased to 268
piasters per dollar as compared to 247 piasters dur-
ing the week ending 9 May. As with imported commo-
dities, fear of devaluation coupled with political
and economic uncertainties appeared to be responsible
for the sharp increases.
15. The redemption of MPCs (military payment
certificates) for personal piaster expenditures and
the corresponding accrual of dollars to the GVN from
the special currency fund averaged $5.4 million per
month during the first quarter of 1966. During the
four months of operation in 1965, redemptions aver-
aged about $8 million. per month. At the current rate,
dollar accruals to the GVN from the special currency
fund during 1966 will total only $65 million. This
compares with earlier projections of personal piaster
expenditures by US. and foreign personnel of $140
to $180 million; the dollars accruing to the GVN
were intended to finance imports to assist in re-
ducing inflationary pressures. The decline--to an
average of about $20 per month per person--is prob-
ably accounted for by increased black market ac-
tivity in dollars and goods and by some increase in.
out-of-country rest and recreation tours for US
personnel.
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1. Enemy-initiated activity increased during
the week ending 21 May 1966.
2. During the period there were 905 Communist-
initiated incidents compared to last week's 804.
There were 15 attacks and 663 acts of terrorism
compared to 13 and 523, respectively, for the week
before. The kill ratio favored free world forces
3.5 to 1 compared to the previous week's 7.1 to 1.
Viet Cong losses for the period were 1,235 killed
and 91 captured. Vietnamese casualties for the
period were 236 killed, 510 wounded and 84 missing
or captured--a total of 830 compared to last week's
320. United States losses for the week were 146
killed, 820 wounded, and 12 missing/captured--a
total of 78 contrasted to last week's 652. Free
world forces lost four killed and 29 wounded (all
ROK). The South Vietnamese lost 135 weapons. The
Viet Con.g lost 275 weapons (10 crew served). Chieu
Hoi figures reported for the period by COMUSVACV
totaled 335 of which 236 were military.
3. Friendly large operations decreased with a
decrease also in enemy contacts. Small-unit opera-
tions and respective contacts decreased.
a. Government forces were moved from out-
side of the I Corps area into Da Nang and its vi-
cinity this past week to prevent "struggle group"
domination. Of that city. US military forces in
the area were not employed other than to protect US
lives and property. At the end of the week no ac-
curate enemy casualty count was available. US
forces suffered a total of 20 casualties; 15 marine,
one navy, and four air force personnel wounded in
action.
b. In the II Corps, Operation AUSTIN 6,
conducted by elements of the US 101st Airborne Divi-
sion in Quang Duc and Phuoc Long provinces, was
terminated on 18 May. Cumulative casualties were
nine friendly killed and 18 wounded; enemy casual-
ties were 101 killed, six captured, 33 individual
and six crew-served weapons lost and 81 tons of
rice destroyed. Operation DAVY CROCKETT, conducted
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by elements of the US 1st Cavalry Division in Binh
Dinh Province, was terminated on 16 May. Cumula-
tive casualties were 27 friendly killed and 110
wounded; enemy losses were 344 killed, 82 captured,
730 searched, 40 individual and 12 crew-served weap-
ons. Captured were 3,396 rounds of small arms ammu-
nition., 78 60-mm. mortar rounds, six 57-mm. mortar
rounds, 89 grenades and two and one-half tons of
rice. Operation CRAZY HORSE was initiated in Binh
Dinh Province by the 1st Brigade of the 1st Air
Cavalry Division on 16 May. Friendly losses in the
continuing operation are 64 US killed and 168 US
wounded while enemy losses have been 256 killed and
8 captured. Army of Vietnam (ARVN) Operation KHUNG
LONG, a one-day search-and-destroy operation con-
ducted in Binh Dinh Province, resulted in friendly
losses of 19 killed and 38 wounded; enemy losses
were 30 killed and two crew-served weapons. Opera-
tions FILLMORE and SU BOK continued without signifi-
cant change from previous reports.
c. In III Corps, Operation BIRMINGHAM
terminated with cumulative friendly losses of 56
killed, 324 wounded, one missing, 15 UH-1D heli-
copters, six CH-47 helicopters, seven armored per-
sonnel carriers, one tank, one radio, two 5-ton
trucks destroyed. Enemy losses were 119 killed, 28
Viet Con.g and 30 ralliers captured. Enemy equipment
losses follow below:
Captured: 131 small arms
985 sheets of metal
16,633 pages of documents
1 diesel engine
1 case of grenades
Destroyed: 66 base camps
4 factories
6 aid stations
3 hospitals
68 supply caches
6 POL dumps
814 buildings and huts
2,103 tons of rice
323 tons of salt
30 tons of wheat
1,240 gallons of cooking oil
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7,050 Viet Cong uniforms
1)200 pairs of sandals
1,850 green shirts
1,800 black shorts
2,450 sets of misc. clothing
3,425 gallons of fuel
1,382 gallons of motor oil
2,520 gallons of kerosene
1,000 lbs of medical supplies
6 tons of fertilizer
48 bags of cement
163 boats and sampans
6 motors
4,009 rounds of small arms ammunition
363 grenades
115 mines and booby traps
46 CBU bomblets
250 blocks of TNT
18 60-mm. mortar rounds
6 81-mm. mortar rounds
2 82-mm. mortar rounds
14 105-mm. rounds
2 155-mm. rounds
2 250-lb bombs
Operation WAHIAWA, being conducted by two battalions
of the 25th US Infantry Division, commenced on. 16 May
in Hau Nghia Province. The operation is continuing
with cumulative casualties of 25 friendly killed and
192 wounded; enemy losses were 103 killed and two
captured. Operation. HARD HOOD, conducted by the 173rd
US Airborne Brigade, began on 16 May in. Phuoc Tuy
Province. Friendly losses in the continuing opera-
tion are 19 killed and 91 wounded; enemy losses are
20 killed. In Binh Long Province, ARVN Operation
XAY DUNG 31 continued with cumulative friendly losses
of 29 killed, 50 wounded and 36 missing; enemy losses
were 33 killed.
d. In. IV Corps, ARVN Operation LONG PHI 969,
being conducted in Vinh Binh Province, resulted in
friendly losses of one wounded. Enemy losses were
32 killed and 25 individual weapons. ARVN Operation
DAN CHI 227, conducted in An Xuyen Province on 14-15
May, resulted in friendly losses of one killed and
44 wounded. Enemy losses follow below:
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1 60-mm.mortar
1 57-mm. RR
3 AA machine gun tripods
2 AA machine guns
1 30 cal. machine gun
1 30 cal. machine gun tripod
1 80-mm. mortar
1 57-mm. RR aiming sight
1 AA machine gun barrel
1 80-mm. mortar bipod
1 60-mm. mortar bipod
50 boxes of grenades
40 cans of kerosene
3 boat motors
1 box small arms ammunition
several documents
Operation DAN CHI 228B, conducted by ARVN forces in
Bac Lieu Province on. 17 May, resulted in friendly
losses of six killed and 35 wounded. The enemy sus-
tained losses of 267 killed, five captured, 41 weap-
ons, 18 60-mm. mortar rounds, 380 grenades and a
large amount of small arms ammunition. On 21 May,
ARVN Operation LONG PHI 971, conducted in Kien. Giang
Province, resulted in friendly losses of six killed
and 47 wounded; enemy losses were 224 killed, 22
captured, 50 individual and five crew-served weapons.
4. Friendly forces conducted 103 battalion or
larger size operations during the week, 54 of them
achieving contact--37 ARVN, 12 US, two ROK and three
combined. There were 24,214 small-unit operations,
including 3,069 conducted by US forces and 730 con-
ducted by free world elements. Of the 256 which
achieved contact with the enemy, 110 were conducted
by US elements and four by free world forces.
5. Six B-52 missions using a total of 24 air-
craft were flown. during the week ending 22 May 1966.
Target areas were in the South Vietnam provinces of
Quang Tin, Quang Ngai, and Binh Long.
a. On 16 May, a total of 12 aircraft (WOOD
MAST IV and V) struck a Viet Con.g base camp and stor-
age area with three communication sites in Binh Long
Province.
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b. On. 18 May, three aircraft (BARREL BAND I)
struck a major infiltration. route and support ac-
tivity in Quang Tin Province.
C. On 20 May, three aircraft (BARREL BAND II)
strucka Viet Cong - controlled area with a major infil-
tration. corridor and elements of military regional
headquarters in Quang Ngai Province.
d. On 21 May, three aircraft (BARREL BAND III)
struck a major infiltration corridor in Quang Ngai
Province.
e. On 22 May, three aircraft (BARREL BAND IV)
struck an. enemy training center in Quang Ngai Province.
6. During the period 13-19 May, a total of 1,902
tactical air strike sorties were flown by US Navy,
Air Force, and Marine aircract. VNAF aircraft flew
535 strike sorties. The cumulative results of these
strikes as reported by pilots included the destruc-
tion of 1,458 structures, 78 sampans, 19 bunkers,
three trenches, five AW positions, and one truck.
Reported damaged were 2,033 structures, 109 sampans,
10 bunkers and 13 trenches. Two tunnels were re-
ported collapsed. Pilots also reported 21 secondary
explosions.
7. One USAF C-123 on a flare-drop mission was
downed approximately 48 miles east of Pleiku. Cause
of the crash has not been determined. Two of the
crew were killed in the crash and three were listed
as missing.
8. Forces conducting Operation MARKET TIME
searched 5,340 junks and 21,543 people. Of those
checked, two junks and 99 persons were detained.
9. Significant activity in the I Corps con-
sisted of attacks in Quang Tri and Quang Ngai prov-
inces. Attacks and ambushes on Popular, Regional
and Army of Vietnam (ARVN) forces resulted in, com-
bined friendly losses of 63 killed, 65 wounded,
nine individual weapons lost and one 105-mm. howit-
zer damaged. Resultant enemy losses from all en-
gagements were eight killed and 11 weapons lost.
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10. In the II Corps, regional force elements
were attacked in Phu Yen Province by a Viet Cong
unit estimated to be a company. An ambush of RF
elements in Binh Dinh Province resulted in friendly
losses of three killed and five wounded. The inci-
dent rate remained below that of the other corps.
11. The major enemy-initiated incident in the III
Corps occurred in Binh Long Province where ARVN forces
were attacked by an unknown number of Viet Cong.
Friendly losses were 17 killed, 20 wounded, and seven
weapons; enemy losses were 15 killed, one captured,
and three weapons.
12. IV Corps led all other areas in reported
attacks for the week (seven). An attack on an outpost
in An Xuyen Province resulted in friendly losses of
11 killed, seven wounded, 32 missing, 49 weapons and
four radios. An outpost in Chau Doc Province, manned
by popular force elements, was attacked by Viet Cong
forces causing friendly losses of four killed and 18
wounded. Enemy losses included 20 killed, 13 individual
weapons, one 57-mm RR, one flare pistol, 93 mines, and
one telephone. Other enemy attacks and ambushes, tar-
geted against lightly fortified positions, were
scattered throughout the IV Corps area.
13. Changes in lines of communication status
include the closing of Route 1 north of Dong Ha in
Quang Tri Province and between Da Nang, Quang Nam
Province, and Hue, Thua Thien Province. Route 1 was
also closed south of Mo Duc, Quang Ngai Province, and
opened south of Qui Nhon in Binh Dinh Province. Route 1
was opened in the. eastern part of Quang Tri Province.
The national railroad was reopened between Da Nang and
Hue and closed between Saigon and Xuan Loc.
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C. REVOLUTIONARY DEVELOPMENT
1. Progress in the various revolutionary develop-
ment programs during the month of April was limited
to the few provinces relatively free of major enemy
military activity and of administrative paralysis
resulting from the current political crisis, accord-
ing to the official US monthly status report. The
persistent problems of construction material short-
ages, ineffective distribution of commodities, labor
shortages, and insufficient security forces also con-
tinued to hamper operations throughout the country.
Despite some improvements on this score last month,
most provinces are expected to remain behind schedule
during May.
2. The program will receive a boost when the
first class of approximately 80 coordinated 59-man
cadre groups begins its field work. The class grad-
uated on 21 May and is expected to become opera-
tional in June. While each province is programmed
to receive at least one cadre group, each of the
four national priority areas will have four or more
of them. The new teams should help bolster the
program, especially in areas where the performance
of improvised teams has been poor.
Status by Corps Areas
3. IV Corps. Since the inception of the re-
emphasized pacification program, progress has been
the most tangible in the delta provinces of IV
Corps below Saigon. The national priority area of
An Giang Province, along with six other provinces,
is reported to be on schedule. The An Giang revolu-
tionary development plan encompasses 15 various
types of development activity and is pioneering
in experimentation with double-crop rice farming,
rock quarrying, and mechanized farming.
4. III Corps. Progress is reported to be
generallylagging in spite of the lack of sympathy
with the "struggle" movement. The influx of US
troops which operate in and around the III Corps
Viet Cong base areas and the infiltration corridors
into Saigon has, however, contributed to an improved
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psychological climate for future pacification work.
The geographic conditions which determine the kinds
of pacification activities vary in III Corps from
agriculturally productive lowlands to densely foli-
ated and largely uninhabited high country. The
program in the national priority area around Saigon
is reported to be proceeding satisfactorily with
the exception of hamlet construction and consolida-
tion. Viet Cong activity in the area has increased.
5. II Corps. The revolutionary development
program during April in II Corps was reported as
generally encouraging. Despite manifestations of
the ('struggle" movement in some of the provincial
capitals, cadres were allowed to operate more freely
due to the decrease in large-scale Viet Cong activity.
The Binh Dinh National Priority Area is maintaining
its schedule even though the province chief and his
deputy, one of the most progressive pacification of-
ficials in the country, were replaced. II Corps,
with the largest land mass and smallest population
of any cqrps area, is probably unique for the pur-
pose of planning revolutionary development programs.
It is characterized by vast geographic differences
and has the bulk of the North Vietnamese regular
Communist forces, non-Vietnamese ethnic tribesmen,
and refugees.
6. I Corps. The I Corps program during April
was at a standstill as a result of the collapse of
local administration during the "struggle" movement.
Transportation came to a halt, prices rose, and the
flow of construction materials and some consumer
items was constricted significantly. One of the
most disturbing developments was the nearly complete
incapacitation of the National Police, who either
joined antigovernment demonstrators or were unwilling
to control them.
7. Returnees (Chieu Hoi). The 14-20 May weekly
tally of Vietnamese Communist defectors was 335 with
IV Corps leading in contrast to the previous week
when most of them came from II Corps. There were
only 16 returnees from I Corps.
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 low, oft,
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Ko-chiu
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NORTH VIETNAM
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I
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 Approv f d En%Jaelease - 05-2
II. POLITICAL DEVELOPMENTS IN THE BLOC
1. Vietnamese Communist propaganda throughout the
week attempted to link the efforts of the antigov-
ernment elements in South Vietnam's I Corps with
those of the Viet Cong, although there was no evi-
dence that the struggle"forces were actually ac-
cepting aid or cooperating with the Viet Cong. The
Communist Liberation Radio on 16 May praised the
"compatriots" in Hue and Da Nang, asserting that
the Liberation Front and its armed forces "will
readily serve as support for them." Favorably com-
paring the I Corps movement with other revolts in
the past, North Vietnam's party daily on the 17th
stressed that the current rebellion "bears a clear
anti-American character." In its commentaries on
past revolts by South Vietnamese, Hanoi has be-
moaned the fact that these were aimed more at the
Saigon authorities than at the US.
2. The Front also made an effort to entice South
Vietnamese military forces over into the camp of the
Liberation forces or at least to lay down their arms.
A 17 May Liberation Radio broadcast designed to sub-
vert South Vietnamese troops reiterated the Front's
standard policy toward defectors. It offered
leniency for troops who desert the ARVN and rewards
for those who join the Viet Cong.
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III. THIRD COUNTRY DEVELOPMENTS
A. REPUBLICS OF CHINA - KOREA
Directorate secretary General Pham Xuan Chieu,
accompanied by former National Police director Pham
Van Lieu, arrived in Taiwan on 18 May to attend
Chiang Kai Shek's inauguration. From Taipei, Chieu
is scheduled to go to Seoul on 27 May to discuss,
according to ROK Foreign Office officials, the tran-
sition from military to civilian government in Viet-
nam.
It is not known whether
hieu will have discussions with President Pak.
B. DIEM VISIT TO US
Bui Diem, under secretary for foreign affairs,
arrived in Washington on 19 May to discuss current
political and economic developments in Vietnam. He
is scheduled to arrive in Ottawa this week to attend
an international veterans conference.
C. DIPLOMATIC ASSIGNMENTS
Vu Van Thai, South Vietnamese ambassador to the
United States, has been accredited ambassador to
Brazil, Mexico, and Argentina.
FOREIGN OBSERVER OF THE VIETNAMESE ELECTIONS
1. Foreign Minister Tran Van Do informed Embassy
Saigon that he had sent instructions, cleared with
Chief of State Thieu, to the Vietnamese observer at
the United Nations to approach Secretary General
U Thant with an invitation for the United Nations to
observe the upcoming Vietnamese elections.
2. Embassy Saigon has also discussed with Do
the possibility of a GVN statement of willingness to
accept other diplomatic observers for the elections.
Do agreed with an embassy suggestion that he use the
Asian Foreign Ministers Conference in Seoul, scheduled
AEZa'RL
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for next month, to explain Vietnamese plans for the
elections and invite other Asian countries to send
diplomatic observers.
E. PHILIPPINES.
Arrangements are being made for the despatch of
a 12-man civilian medical team to arrive in South
Vietnam in early June. The team's expenses for one
year are being underwritten by public subscription.
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 SOUTH ' i IMP TptgO 5TAII"S fit?DP79T008 000800010005-2
WEEKLY REPORT 14 MAY - 21 MAY 1966
- - - - Total Personnel Losses (Killed in Action. CaptureJ or Mi5cin9 in Actinn excludin
n,en a
t ..
g
c
GVN /US/Other Free Worlrl
Viet Cong/PAVN
3,000 ~- US only j I i
US Combat Casualties in Vietnam
(including North Vietnam)
Cumulative, 1961-1964
Cumulative, 1965
Cumulative, 1966 to date
TOTAL
255
1365
1846
3466
1524
6110
11366
19000
136
54
20-2
Total Friendly Forces Personnel Losses
(US/GYN /Other Free World)
Killed in action Missing or Captured in action [ Wounded in action
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WEEKLY REPORT 14 MAY - 21 MAY 1966
Viet Cong Incidents
i
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A JUDY
AUG SE OCT NOV 1 DEC JAN FEB M
AR APR MAY
Company aW battalion'sized attacks
Battalion `sized (and larger) attacks only
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Weekly Retail Prices In Saigon a/
(In Piasters)
3 Jan.
18 Apr
25 Apr
3 May 9 Ma
y
Change
from
% Change
from
1966
1966
1966
1966 196
6
M
o. Ago
Yr. Ago
Index for All Items b/
160
151
152
154 156
+ 1
+ 38
Index for Food Items b/
169
157
157
160 164
+_2
+ 45
Rice/Soc Nau (100 kg.)
800
1,000
1,060
1,070 1,100
+ 4
+ 26
Pork Bellies (1 kg.)
70
70
70
70 70
0
+ 40
Fish/Ca Tre (1 kg.)
110
110
100
110 110
0
+ 69
Nuoc Mam (jar)
50
60
6o
60 65
+ 8
+ 44
Index for Non-Food Items b/
124
131
133
131 126
+ 14
Charcoal (60 kg.)
440
480
490
4.90 45
0
- 8
+ 5
Cigarettes (pack)
10
10
10
10 1
0
0
+ 25
White Calico (meter)
28
27
29
27 2
7
0
+ 13
Laundry Soap (1 kg.)
30
34
35
32 3
2
- 6
+ 26
Data are from USAID sources.
For all indexes, 1 January 1965 = 100.
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