Created: 8/8/1969

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Thai Insurgents May Open New Area op Opera"

insurgents nay be planning to setew area of operations in northeastecent compilation of reports indicates that since early this year perhaps as rranyorth Vietnamese - trained cadre have been infiltrated across theborder into southern Ubon Province.

The capture of some rodern weapons, the recent attack on the Ubon Air Base, and reports by low-level village informants of Communist proselytizing could be harbingersubstantialeffort in southern Ubon. Such an effort would beby Ubon's proximity tobases in Laos and by the familial and other ties of many people on the Thai side of the border to Lao Communists.

There is no evidence towhat the Communists expect to achieve if they doew area of operations. They may hope that southern Ubon can be developedirm toehold for further expansion in thenortheast region. They have been trying for several years toiable organization in other northeast areas but have not made much progress.

One reason for thedifficulties has been the activity of the Thai Army, which has pressed them hard, in the northeast. There is some evidence, however, that the army now wants to cut back its effort in this area. The army's chief of staff reportedly has seized on the deteriorating situation in Laos as an excuse

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to put into effect contingc plans calling for the parti withdrawal of army units en in the counterinsurgency cf

Ifithdrawal takes place, it would give the espite from government pressure.

The government, meanwhile, has once again restructured its counterinsurgency apparatus. onnunist Suppression andCommand has beer,under the direct control of Deputy Prime Minister Praphat. Aside from further strengthening Praphat's voice in Thai affairs and ostensibly "regularizing" the counterinsurgency effort, itt yet clear what this new setup will accomplish.

Comitiutiijli Setting Up Kcw Iniuigenty fliea in Ihailand



Chinese Communists Expand Hydrofoil Patrol Boat Program

Chinese Communists have designed, developed and aretwo types of hydrofoil patrol craft. In addition they may be refitting some of their oldotor torpedo boats with hydrofoils.

The hydrofoils are designed to lift the bow of the patrol boat out of the water, giving higher speeds and greater

The Chinese began work on hydrofoils for military craft at least as early4 when the first type--designated the Ku-chuan class--was initially This boat probably went into serial productionhe Chinese are turning outer "year at the Ku-tung shipyard in Shanghai. Thus far aboutu-chuans have beento all three fleet areas.

The Chinese have also exported six of these boats to Albania and reportedly have agreed to deliver ore. Three have been given to North Vietnam.

Another new hydrofoil motor gunboat, the Shan-tung class, first appeared innly two units have been seen so far, but it is possible that this class is now in production, the Hu-Chuan. whichorpedo boat, the Shan-tung carries only light armament and no torpedo tubes.

There are indications the Chinese may install hydrofoils on some of their olds. as been seen with hydrofoils installed, probablyest model. If the test iss and other motormay be similarly equipped.

Military's Political Role in China Poses Problems

Army Day ra gust shed little new lems currently bes but there are army's pcrf tic front

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ekin celebrations of high leaders from some of

llyo*nons that the the domes-ource of con-

Thtt during the military China's most



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