THE SITUATION IN SOUTH VIETNAM

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00472A001700030004-7
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 23
• Document Creation Date: December 20, 2016
• Document Release Date: December 28, 2005
• Sequence Number: 4
• Publication Date: March 24, 1965
• Content Type: REPORT

SS EC R E I?oved FQ&.,Release 2006/03/17: CIA-RDP79T004A001700030004-7y',C`Q
25X1
OCI No. 0612/65
Copy No. {
WEEKLY REPORT
THE SITUATION IN SOUTH VIETNAM
24 -March 1965
INTELLIGENCE AND REPORTING SUBCOMMITTEE OF THE INTERAGENCY
VIETNAM COORDINATING COMMITTEE 25X1
SECRET
State Department review completed
GROUP 1
Excluded from automatic
downgrading and declassification
Approved For Release 2006/03/17 : CIA-RDP79T00472A001700030047
ARMY review(s) completed.
 Approved For Rgase 2006/03/17 : CIA-RDP79T00472AW1700030004-7
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.
Approved For Release 2006/03/17 : CIA-RDP79T00472A001700030004-7
 JAul(L+1`
Approved F elease 2006/03/17: CIA-RDP79TO04 X4001700030004-7
OCI No. 0612/65
Published by the Directorate of Intelligence
Central Intelligence Agency
THE SITUATION IN SOUTH VIETNAM
(18 March - 24 March 1965)
C O N T ENT S
THE WEEK IN PERSPECTIVE
Map, South Vietnam, following page
I. SITUATION WITHIN SOUTH VIETNAM
A. POLITICAL SITUATION
Tensions'persist behind calm political
scene (p. 1); Premier Quat starts first
tour of northern provinces (p. 1);
Three civilian peace advocates expelled
(p. 1); Government cracks down on peace
movements in south (p. 2); Quat considers
government's political position rela-
tively satisfactory (b. 2)
Buddhists say
ey will support triumvirate of Catho-
lic generals, abjure political involve-
ment (p. 3); The ur a intensified air
Tare1
::::: )?
attempts made against US per-
sonnel in Saigon (p. 5); Rice prices
steady but still cause for concern (p. 5).
Page
Approved For Release 2006/ ti1Z,R,DP79T00472A001700030004-7
25X1
 SECRET
Approved F elease 2006/03/17 : CIA-RDP79T0047 001700030004-7
Page
B. MILITARY SITUATION 6
Viet Cong action declines to lowest
point since early February (p. 6);
Major transportation routes are
prime targets (p. 6); VC arms caches
are uncovered (p. 6) ; Government
maintains a high level of operations
(p. 7); Casualty figures (p. 7).
C. PACIFICATION 8
Pacification efforts remain stalled
(p. 8); Refugee relief is at an im-
passe in I Corps, but 11 centers
set up in II Corps (p. 8); 500
refugees recruited for Regional
and Popular Forces (p. 8); In Hop
Tac 356 hamlets now meet criteria;
927,000 persons now living in se-
cured zones (p. 9).
II. THIRD COUNTRY DEVELOPMENTS 11
Cambodian leftists are disheartened,
Sihanouk's confidence is shaken by
lack of Chinese Communist support
for DRV (p. 11); British, Japanese
and Danish comment on nauseous gas
noted (p. 11); Arrival of ROK Task
Forces received quietly by Saigon
populace (p. 12); West Germany
gives 30 equipped ambulances and
Guatemala 15,000 doses of vaccine
to GVN (p. 12).
III. DEVELOPMENTS IN THE BLOC 13
Viet Cong echoing bloc suggestions
of use of "volunteers" (p. 13);
High priority construction re-
ported in Hanoi, purpose unknown
(p. 13); Hanoi still opposes ne-
gotiations except on its terms
(p. 14).
Approved For Release 2006/03/17 : CIA-RDP79T00472AO01700030004-7
.SECRET
25X1
 Approved FOlrRq
ilddbld, ____ AgRC'RGT______043 wiff-00476WA001 7
The Weekly Report on the Situation in
South Vietnam is based on contributions from
CIA, CIA and INR edited and published by CIA
without final coordination. A fully coordinated
Monthly Report will be disseminated the first
Friday of each month.
25X1
Approved F
sEcREr?
 25X1
Approved F1
THE WEEK IN PERSPECTIVE
The political situation remains outwardly quiet, although
religious antagonisms as well as friction and rivalries among
top military and civilian officials persist. Premier Quat, now
on his first major provincial tour in the northern provinces,
currently has the support of the Buddhists and also the coopera-
tion of the military. There is some quiet grumbling among various
generals, however, over the lack of dynamic action by the govern-
ment, and Catholic circles still seem basically unethusiastic and
even hostile toward the Quat regime.
25X1
Buddhist leaders, however, continue to give the impression
that they intend to avoid any major political involvement unless their
organization is threatened--a decision reportedly reached at last
week's Buddhist conference. Prominent Buddhist monks reportedly
have agreed to support the new military leadership, and are pri-
vately voicing a desire for stepped-up air strikes against North
Vietnam and for the creation of an anti-Communist lay Buddhist
organization.
Despite some encouraging signs in the central and northern
provinces of improved morale and of renewed willingness to revive
pacification planning, pacification efforts throughout most of the
country remain stalled. Only minor and scattered gains are
reported.
25X1
Approved For
J
 25X1
Approved F
The decline in enemy activity over the past three weeks
follows a period during which significant inroads were made into
government-controlled areas. There is no indication, however,
that the Viet Cong have withdrawn from the field; they could be
holding their forces in check to consolidate recent gains, to resup-
ply and to replace losses, and/or to assess the recently increased
US/GVN air operations directed against concentrations of their
forces. The current lull is reminiscent of those noted before the
assaults on An Lao, Binh Gia, and Pleiku.
In a resumed Communist offensive, actions are likely to be
most intense in the II Corps zone but they could occur in any area of
South Vietnam. The next Viet Cong campaign will probably have
several objectives, including: the further dissipation of government
reserves; the destruction of government military forces; attacks on
US installations; and further encroachment into areas of government
control.
25X1
Approv
SECRET
 Approved Fbelease 2006/03/17 : CIA-RDP79T00A001700030004-7
.\ 'NORTH 'l
DEMARCATION LINE
1 Bc H. S. Qukng Tri
~tfl
? HON PANMANa
t; t HI-- L' ()/?'
5 i 1 .4 ;i9
f,-
o,,,
Phyoc Binh Thanh ~{ Cia
Kompong Charu / Spec l a l Zone Nghia D t_i C:
~} ? j ?~??!4,' olio Duu o~
#~? opn d'H I'l3l'
v.. ~'? Loc v LAM i)ONG
SY flnHt _O1vG Bao Loo Di Linh
CAPITAL MILrI RJ DISTRI Tyr _
5th Divis on
TUYEiN
Da Lat ?
\ (7 l C.;
Wang Phine,o
5 0
l o than Thiet
P oup_Pien Special Zone
lIom , Hnx cu
``
lT IOIRN' 'A. ,
Zoie (VNN)
47R~~,N HUA OTA DIN 7th Division 1 N
Con Son (Poulo Condore)
CON SON
,0N 9'. ' N
2
SOUTH VIETNAM
MILITARY BOUNDARIES
As of 8 March 1965
Corps boundary
Special zone boundary
- Division boundary
Hop Tac area
46993
0 2' ' 0 71 100 I) lcs
0 2, ! U 75 100 Kd.-t-
Approved For Release 2006/03/17 : CIA-RDP79T00472AO01700030004-7
 Approved FV&ReI
ease A001700030004-7
I. SITUATION WITHIN SOUTH VIETNAM
A. POLITICAL SITUATION
1. The political scene last week remained rela-
tively untroubled on the surface although rivalries
and religious tensions persist in the background.
Premier Quat, after a reportedly successful public
relations performance at the conference of provincial
representatives last week, set off on 23 March for
a visit to major towns and trouble spots such as
Binh Dinh Province in the north of the country.
Since the commander in I Corps, General Thi, had
earlier indicated that he would hold extensive wel-
coming ceremonies for Quat, the premier's visit
should provide an occasion for demonstrating the
government's interest in an area that frequently
has been at odds with Saigon.
2. Under a personal escort from General Thi and
amid considerable public and propaganda fanfare,
three civilian leaders'accused of sponsoring a sub-
versive peace movement, the People's Self-Determina-
tion Movement, were expelled across the Demilitarized
Zone to North Vietnam on 19 March. The three were
warmly greeted by North Vietnamese guards on the
other side of the bridge spanning the Ben Hai River
and may eventually lend themselves to Hanoi's prop-
aganda purposes. South Vietnamese public response
to the deportation appears favorable.
According to a recent report from the US consul
in Hu?, the population in South Vietnam's northern
provinces--where there is a strong pro-Buddhist
orientation--shows little evidence of sympathy for
various peace movements. A possible reason is the
increasing Viet Cong pressure in the area, although
morale reportedly has been boosted by evidence of a
stronger US commitment through air strikes against
North Vietnam, jet strikes against the Viet Cong,
and the introduction of the US marine brigade at Da
Nang.
Approved
25X1
SECRET
 25X1
Approved F
In the south, the government has further
cracked down on peace movement activity with the
reported arrest of some 27 Cao Dai members'who
have called for a neutral, unified Vietnam. Cao
Dai elder statesman Le Van Hoach, who is a minister
of state in the Quat cabinet, has denounced the
new movement and claimed that the Cao Dai sect has
excommunicated the movement's sponsors.
3. Before departing for I Corps, Premier Quat
told Ambassador Taylor that he felt the peace move-
ment issue was under control and that the govern-
ment's political situation was generally satisfactory
except for the opposition of a few diehard followers
of former President Diem, and various Catholic ex-
tremists. Quat indicated that he had no immediate
problems with the military, although he implied
that he felt the generals' preoccupation with
politics was diverting their attention from the
war effort, and particularly from the problem of
manpower needs. Quat intimated that he had some
reservations about filling manpower needs with
additional foreign troops.
For the present, the government is attempt-
ing to tighten measures against draft dodgers,
and to investigate ways of making military service
more attractive, including combat awards and
dependent housing. In addition, the defense
ministry has approved a decree authorizing
further development of its political warfare
directorate, which is designed to improve troop
motivation.
Approved For R$Iease 2006/03/17 : CIA-RDP79T0047
25X1
25X1
15 J
 25X1
Approved Fe
25X1
5. Reports on the internal Buddhist conference
held last week indicate that differences between
the factions backing Thich Tam Chau and Thich Tri
Quang were partially surfaced, but were largely
smoothed over in an attempt to demonstrate
Buddhist unity. The differences seem to center
on the degree of Buddhist involvement in political
matters and on devices to control the Buddhist
association itself. A proposal to amend the Bud-
dhist organizational charter, made by a layman
close to Tri Quang, was shelved, but may arise
later.
According to Tam Chau, the conference agreed
that the Buddhist association would devote itself
primarily to internal affairs and would avoid major
involvement in politics unless directly threatened.
25X1
Approved For 9
SECRET
 Approved Fo*Relelase 2006
*.`Lfi(izor! sroo
Chau and Tri Quang still express general satisfac-
tion with the Quat government and both privately
have urged intensification of the air strikes
against North Vietnam.
A clear Buddhist line toward various peace
movements did not emerge from the conference, but
Buddhist leaders claim that Quang Lien, leader of
one such movement, has agreed to drop this activity
under threat of expulsion from the Buddhist In-
stitute.
25X1
25X1
25X1
Approved For Rel
SECRET
 Approved F -
7. Scattered terrorist attempts against American
personnel were reported in the Saigon area last week,
presumably in connection with a Communist-proclaimed
anti-American day on 19 March, an anniversary marked
by similar terrorism in past years. A grenade, con-
cealed in a loaf of bread, was thrown at a truck
carrying US Navy seabees in Cholon on 19 March.
One sailor deflected the missile, but it exploded
nearby, injuring two US officers riding in a jeep
behind the truck, and four Vietnamese. On 20 March,
two Vietnamese on a motorscooter were stopped at a
checkpoint outside Saigon and found to be carrying
explosives, allegedly intended to blow up a US
barracks near Tan Son Nhut airport. The same day,
a bomb was found planted on a navy bus.
25X1
the et Cong have designated the period 19-31
March for acts of terrorism against US personnel
and sabotage of US installations in the Saigon/
Cholon/Gia Dinh area. Terrorist squads reportedly
have been trained for this purpose, and may also
seek out high-level Vietnamese military targets
as well. No new terrorist incidents have occurred,
however, in the capital area in the past few days.
Economic Situation
8. Although the wholesale price of rice re-
mained steady during the last week, the situation
remains a cause for concern. The GVN is determined
to maintain its current stockpile price for the re-
mainder of the year in order to curb speculation
on any further price increase. The GVN has had
some recent success in forcing rice merchants to
sell by reducing the availability of bank credit.
The delivery situation, however, has not improved
even though there appears to be enough rice in the
countryside to supply domestic needs and rebuild
depleted stockpiles. Military sweeps are scheduled
to facilitate rice collection and remove VC blocks
on roads and canals. Until the results of these
measures are known, the GVN is postponing a deci-
sion on a request for additional US rice deliveries.
25X1
Approve
For Release 2006/03/17 : CIA-RDP79T00472A001700Q
SEC]=
 25X1
Approved F
. MILITARY SITUATION
1. The intensity and number of Viet Cong actions
declined to the lowest point since Tet as the Com-
munists apparently sought to avoid contact with
major government forces. There were no large-scale
attacks and only two district towns were fired on
last week.
While Viet Cons; activities declined in all
areas, particularly in II Corps, the tempo of enemy
actions in I Corps remained relatively unchanged.
Most transportation routes in I Corps were open
last week. II Corps showed some slight improvement
in the security situation, but the railroad and
Route 1 in Binh Dinh Province remained closed.
Route 7 in Phu Yen Province also is closed between
the coastal city of Tuy Boa and the Phu Bon Province
border.
The intense Viet Cong effort against major
transportation routes in Binh Dinh and Phu Yen
Provinces suggests the Viet Cong may be attempting
to move supplies inland from the coast. This
hypothesis tends to be substantiated by the re-
cent discovery of large caches of Communist
Chinese manufactured weapons at the eastern ex-
tremity of the "corridors" on Cape Varella.
These caches, uncovered on 16 February and on
16 March, have provided firm evidence of sea in-
filtration. Another instance of enemy maritime
infiltration activity was disclosed on 14 March
when the South Vietnamese'navy sank a junk off the
Quang Tri coast. About 75 Soviet-type weapons
were subsequently recovered from the wreck.
Enemy activity in the southern areas of
the nation consisted principally of terrorism,
harassments and sabotage with the major emphasis
focused on the provinces east of Saigon in III
Corps. Several hamlet penetrations and harassments
were reported, many in Long Khanh Province where
reports indicate a Viet Cong buildup in progress.
Route 13, which runs north of Saigon, was heavily
interdicted and at the end of the week was com-
pletely closed north of Ben Cat.
Approved For
25X1
SE cRE r
 Approved F eIegs& C DP70T00. T A0p1700030004-7
2. The government maintained a relatively high
level of operations last week. The number of large
and small units contacting the Viet Cong remained
negligible, however.
There were three operations last week in
Binh Dinh,Quang Tri and Phu Yen Provinces. The
actions resulted-in significant contact with
Viet Cong forces, in the discovery of a large
arms cache in Phu Yen Province and in the release
of 37 South Vietnamese being held by the Viet
Cong in Binh Dinh Province.
3. Fewer casualties and weapon losses re-
flect the lower tempo of the war. Government
casualties declined sharply to 470 (103 KIA) from
976 (252 KIA). Reported Viet Coring casualties
likewise fell to 364 (258 KIA) from 632 (558 KIA).
Government weapon losses were sharply reduced to
144 from 581 last week and the Viet Cong?s to 154
from 205, Discounting the recent large arms haul,
this is the first time since June 1964 that govern-
ment weapon losses in combat have not exceeded
Viet Cong losses.
25X1
25X1
Approved Fo
SECRET
 Approved F
C. PACIFICATION
1. Pacification efforts during the past week
remained stalled throughout most of the country.
Some progress was seen in II Corps pacification
efforts.
2. In I Corps area, no positive results were
noted. Refugee relief, the main concern of USOM and
other GVN agencies involved in the pacification program,
is currently at an impasse. Local officials are re-
luctant to take the initiative without orders from their
superiors.
Pacification plans, based on the Hop Tac
concept, for areas surrounding Hue and Da Nang were
prepared and submitted to the I Corps commander by the
senior US advier to I Corps. The concept of the plan
has been approved by the Corps commander.
3. In II Corps, the Binh Dinh Province chief
recruited 500 men for the Regional Forces and Popular
Forces from the large influx of refugees. An additional
1,000 are to be recruited for the paramilitary units.
These units will be used whenever possible as local se-
curity forces for refugee centers. Future plans call
for the paramilitary organizations to go back to their
villages as they are reoccupied or to accompany the
refugees if they are resettled elsewhere.
Also in Binh Dinh, 11 new refugee centers
have been established and are being operated by GVN
mobile action cadres.
The II Corps commander has ordered the com-
manders of the 22nd and 23rd divisions to prepare pacifi-
cation plans for their respective areas. This is regarded
as the first positive sign of corps-level interest in
divisional support for pacification.
In Darlac Province, two hamlets were relocated
into a more secure area with the assistance of Regional
Force personnel. Although this type of assistance im-
proves the image of military civic action programs,
there is also a negative psychological impact on the
peasants who must move.
Approv
25X1
 4. In III Corps, outside of Hop Tac, Binh Long
and Tay Ninh provinces reported minor progress in pacifi-
cation with the completion of four and two hamlets, re-
spectively.
In Phuoc Long Province, a Montagnard hamlet
was destroyed. In Long Khanh Province three hamlets in
the northernmost district of Dinh Quang were overrun by
an estimated Viet Cong battalion. The ARVN has not
returned to the area and the status of the hamlets is
unknown.
5. In IV Corps, no measurable progress in paci-
fication was noted. Viet Cong activity is low throughout
the area, however, and no hamlets were lost during the
week. A visit by the Corps Pacification Sections to
six districts of Vinh Long Province revealed poor coordi-
nation and liaison between districts as well as the
virtual non-existence of a population and resources
control program. Local officials feel that population
and resources controls would alienate the population but
the Corps Pacification Section will attempt to alter this
view.
6. In the Hop Tac area, 16 hamlets were added to
the list of those meeting the six-point NRLH criteria,
raising the total to 356. Some 927,000 persons are now
reported to be living in Hop Tac secured zones.
Hau Nghia and Gia Dinh have been without prov-
ince chiefs since the 19 February coup attempt despite
repeated appeals for replacements by the Hop Tac area
commander. The lack of executive direction in two key
provinces poses serious problems and casts a poor reflec-
tion on the entire Hop Tac concept.
7.
A USOM report assessing the security situation
as of
the
end of February, lists the provinces on the
basis
of
the GVN's ability to carry out USOM-.supported
rural
programs. Nine provinces are considered areas
where
security conditions have deteriorated to the extent
that
even nominal programs may no longer be effectively
carried out. Provinces included in this category are:
Quang Tin, Quang Nam, and Quang Tri in I Corps; Binh
Dinh and Phu Yen in II Corps; and An Kuyen, Chuong Tien,
and Kien Tuong in IV Corps. Selected rural programs
Approved
25X1
SE-GRET
 can still be conducted with a reasonable measure of
effectiveness in twenty-three provinces. An expansion
of USOM/GVN efforts can be effected in 12 provinces.
Only two provinces in the latter category (Gia Dinh
and Bien Hoa) are in the high priority Hop Tac area.
25X1
25X1
Approved Foil
 Approved Feel '. - 001700030004-7
II. THIRD COUNTRY DEVELOPMENTS
1.
leftist
deputies in the Assembly have been disheartened by
the lack of Soviet and Chinese Communist support
for the DRV following the US-GVN strikes against
North Vietnam. On the other hand, non-Communists
and non-Leftists have been encouraged by the ef-
fect of the bombings.
Sihanouk's confidence in an ultimate
Communist victory in South Vietnam may have been
shaken by the US action.
2. The RKG sent a note via the French to the
GVN asking Saigon to join in requesting a Geneva
Conference on Cambodia- and also to adhere to the
resolutions passed at the "Indochinese People's
Conference" which called for respecting the
neutrality and territorial integrity of Cambodia.
1. British Foreign Secretary Michael Stewart
told a National Press Club audience in Washington
on 23 March that, he felt obliged to inform Secre-
tary of State Dean Rusk of the grave concern that
the nauseous gas episode had aroused in Britain
and other countries.
2. Japanese Foreign Minister Shiina told the
Diet that Japan would have to protest if the United
States had actually used gas forbidden by the
1925 Geneva Convention but that there was no
evidence that poison gas had been used.
3. Aktuellt, the official organ of the govern-
ing Danish Social Democratic Party, commented
yesterday that the United States, by using gas in
the Vietnam war, had passed a borderline that
even Hitler did not dare cross.
Approved For 9
25X1
25X1
25X1
25X1
SECRET
 25X1
C. THIRD COUNTRY AID
1. The arrival of the main body of the 2,000-
man ROK Task Force on 16 March failed to arouse
any enthusiasm from South'Vietnamese official or
private circles in Saigon. The ROK Force is now
deployed outside of Saigon near Bien Hoa.
2. On 24 March, the West German ambassador
turned over thirty fully equipped German ambulances
to the GVN stating that it constituted a gesture
of FRG political solidarity with the GVN in
its fight against Communism.
3. Guatemala became the first Latin American
country to contribute'te the Free World assistance
program for South Vietnam with a gift "of 15,000
doses of typhoid-paratyphoid vaccines.
25X1
Approved F4
J I
 Approved Fe f2el
III. DEVELOPMENTS IN THE BLOC
1. Suggestions of Bloc military assistance and
the possible use of "volunteers" in the war in Vietnam--
made in several Bloc quarters, including a speech by
Brezhnev on 23 March--are being echoed by the Viet
Cong. Liberation Front President Nguyen Huu Tho
called for foreign help in the form of weapons and
other war materials on 22 March, and warned that
the Front will ask for "troops and youths" from
abroad if the US continues to send forces to South
Vietnam. On 19 March the North Koreans announced
publicly for the first time that they would provide
the Vietnamese with "all types of material aid, includ-
ing arms."
25X1
25X1
Although the Russians have recently assured
that
Soviet arms and equipment were on their way to e
DRV (by rail), there is still no confirmation that
such materiel has, in fact, arrived
However, the presence o crates with Russian
markings at a high priority construction project which
has been underway since 9 March on the outskirts of
Hanoi. Construction is on a 24-hour basis and hundreds
of army trucks and trailers are hauling sand, gravel,
crushed rock, and cement.
The purpose of the prolectl
is
not known. Available information does nZit--indicate
surface-to-air missile installations. An intensive
search of aerial photography of this location--together
with other suspect sites--is under way.
3. The North Vietnamese have continued to re-
iterate their opposition to negotiations this week.
On 18 March the party daily- newspaper bitterly de-
nounced the Tito-Johnson exchange of notes on the
possibility of a negotiated settlement and clearly
stated that negotiations are impossible at the present
time. The paper described Tito as a "US Stool pigeon"
and said "there can be no question of negotiating
with the US imperialists once they have openly declared
25X1
25X1
25X1
Approved
SE CRE T
 25X1
Approved F
a step-up of their aggressive war in South Vietnam
and an extension of the war to North Vietnam." The
Hanoi statement tied the solution of the Vietnamese
problem to the withdrawal of US troops from South
Vietnam and and end to the "aggressive war" against
the North. "Without these conditions, no question
can be solved," said the article. Hanoi sent a
similar Foreign Ministry note to the Geneva Cochair-
men on 23 March.
25X1
25X1
Approved
SECRET
 25X1 Approved For Re ease 2006/03/17: CIA-RDP79T00472AW1700030004-7
SECRET
Approved For Release 2006/03/17 : CIA-RDP79T00472AO01700030004-7