THE SITUATION IN SOUTH VIETNAM
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Published by the Directorate of Intelligence Central Intelligence Agency
THE SITUATION IN SOUTH
CONTENTS
THE WEEK IN
Map, South Vietnan, facing
I. THE SITUATION IN SOUTH
Ky government's efforts tomcntura resulting in negative domestic reactions o cabinet reshuffle follow anticipated linesuddhist Tarn Chau feels Catholichas increased (p.uddhistin Hue has overtones of political dissatisfaction No indication of serious Buddhist effort toirectorate proceeding with plans for advisory councilew economic minister reluctant to Initiate dramatic actionsice stocks and retail prices rise in Saigon
Communist activities show substantial increaseeeklyncidentsriendlyemphasizes search-and-destroy operationsorps is scene of several heavy engagementslliod operations in other corps aroas is
Page
surveyedommunist activity level doublesorps areather areas witness variety ofactionstatus ofroutes is given.
Hap, Transportation Routes, facing
C. RURAL
Rural construction becomesdevelopment"; Cadre training center begins new class (p.; Refugee population continues to grow; New refugee commissioner shows promise; Quang Nam Province chief reviews problems.
Map, North Vietnam SAM sites, facing
II. DEVELOPMENTS IN THE
US nam (p. total to reaction (P.; shouldn' control; sions wi
; Two new
;
to policy di
Pekingettle for of government
Hanoi's posi th British in
over North Viet-SAM sites bring Hanoi propaganda scussions in US Communists less than total
in the South tion on discus-oscow
rs 1CI
THIRD COUNTRY DEVELOPMKNTS
Foreign Secretary scheduled for
Japanese visit (p.; Diem to check
on possible Ky visit and loan;
Foreign Minister Tran Van Do comments
on De Gaulle's letter to Ho Chi Minh.
ANNEX: South Vietnam BattlePersonnel Losses (Weekly) South Vietnam BattleIncidents and Attacks (Weekly)
(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 coordination.)
THE WEEK LN PERSPECTIVE
The pace of Communist military activity hasboth in terms of initiated actions and of resistance in force to allied ground operations. Most of the action in recent days has been focused in the five northernmost provincesorps, where the Communists have suffered heavily from government counteroperations, but the Viet Cong have also been active in the provinces east of Saigon and in the delta.
The Ky government has sought to keep up the momentum of the Honolulu conference and its own cabinet reshuffle by staging further rallies in theand by moving ahead both with plans to set up the national advisory council and to hold provincial council elections this spring. However, there are new signs of disenchantment on the part of Buddhists,esult of the cabinet reshuffle, andon the part of intellectual circles over the anticipated slow pace of political and economic reforms.
I, THE SITUATION IN SOUTH VIETNAM
A. POLITICAL SITUATION
L. Despite the Ky government's efforts tothe momentum generated in the wako of theconference, there havo been furtherardening attitude in some circles toward the character and performance of the military regime. These signs wore particularly evident durlog the past week in Buddhist circles, which have reactedto Ky's cabinet reorganization, and among certain political and intellectual circles whichskeptical of the government's willingness and ability to carry out reforms in the political,and social fields.
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2. The US Embassy reported that reactions to Ky's cabinet reshuffle were slow to develop, but tended to follow anticipated lines. Although "die-hard" southerners continue to view the government as northern-dominated, the appointment of foursoutherners to new government positions has mollified the bulk of moderate southerners. The appointmentatholic lay leader as secretary of youth has pleased most Catholic circles, althouth some Catholics are reported uneasy over the alleged Marxist background of tho new economy minister. Businessmen, on the other hand, tend to expect stronger economic leadership from the cabinet Buddhist leaders clearly resentrominent sympathizer, Ngo Trong Ann, as public works secretary and the increase of Catholic representation In the cabinet; however, the onlycomment,appearingaigon newspaper whichthe views of monk Tri Quang, somewhat back-handedly praisod the smooth manner in which Kyhis governmental changes. Other Saigon papers have devoted minimal comment to thebut one observed that the changes do not affect the country's basic need for leaders with the "courage to carry out poiiclos they have outlined."
TW Fu.KIGX DISSEM/BACKGROUNDNLY
H1 It]
uddhist ceremony held in Hueo honor Buddhist martyrs also containedof political dissatisfaction,int of possible future Buddhist attacks on thepacification teams. One of the speakers, considered close to Tri Quang, claimed that three Buddhist youth Leaders had recently beenone by the Viet Cong, one by government Popular Forces, and the thirdovernment political action team (PAT). He urged youths to protest if similar incidents occur. EarLier this year, some Buddhists and politicians in northernmost Quang Tri Province had accused the local province chief of misusing the PATs as one argument in forcing his
Buddhist leaders, however, give nothat they are presently considering any serious effort to topple the government. The Buddhiststo be plagued by internal dissensions,partly from rivalry between Tam Chau and Tri Quang, and perhaps increasingly from conflictsthe clergy and lay Leaders over the exercise of political influence. roup of lay-ment who are in the process ofuddhist political party appears to have antagonized Tam Chau by failing,id-February meeting, to elect any
FOREIGN DISSEH/l
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of Chau's supporters to the party's interim This could cost the embryonic partyhelp from the Buddhist Institute's grass roots organization.
In addition to the Buddhist leadership, there are indications of restiveness in some intellectual and political circles partially sympathetic to the Buddhists. rominent Vietnamese writer andhas claimed that Saigon intellectuals were furious with Premier Ky's sarcastic responseaigon professor who voiced public doubts over the government's good faith in promising political and social reforms. Accordingairly reliableroup of prominent Saigon politicians, including former deputy premier Tran Van Tuyen and possibly current Foreign Minister Tran Van Do, are working on plansew government with support from unidentified young Saigon intellectuals. Tuyen is alleged to have told the group recently that he expected peace and the neutralization of Southin about six months.
Under the aegis of Directorate Secretary General Pham Xuan Chieu, the government isto proceed with its plans todemocracy-building" advisory council bymid-March. Chieu. in consulting various groups about the composition ofmemberreportedly has received some acceptablefrom the southern Dai Viet political party, Buddhist leader Tarn Chau, and retiredTran Van Don of the former Mlnh government. One of Chieu's current major headaches is reported
toemand by Father Hoang Quynh, an acknowledged leader among militant Catholics, ist of someoersons be accepted in toto, or none of them would participate. Defense Minister General Co is also reported to have proposed three council members personally associated with him in commercial ventures.
Chieu is reliably reported toone concession which may appease some ofcriticism of the government's plan tothe advisory council membership. Ho haspermit some prominent persons already servingor municipaltheelected groups in theserve on
the advisory council. At the same time, thehas now authorized the holding of new elections for the provincial and municipal councils this spring, rather than postponing the elections and extending the terms of the present councilmen as earlier This decision, reached after prodding by US officials, may also help to dispel doubts of the government's good faith inradualtoward representative institutions. The provincial councils have only advisory powers, and their influence varies by province, depending upon the calibre of their members and of individualchiefs. On balance, however, the councilsto have been more useful and more responsible than expected when they were first elected under the Quat government in
Economic Situation
9. The new Economic Minister, Au Truong Thanh, has indicated to the US mission that he is reluctant to initiate any dramatic moves that would endanger his position in the government. He was alsoto give final decisions on certain economic policy actions discussed in Honolulu even though it was made clear to him the GVN and US had reached agreement on these matters and it wasatter of implementing them.
political reasons, Thanh is againstnew taxes at this time. He has proposedhigh prices of rice in the areas north oflowered by subsidizing rice sales usingfunds; the USAID Director has given generalto this proposal. Finally, Thanh believesport situation is the number one problem. that Prime Minister Ky hadecree on
ebruary giving the port director full authority to control all port operations including the police and customs officials.
plan is to initiate key limitedwithout undertaking any bold measuresdevelop hostility among powerfulduring the early phase of his tenure Thanh first wants to get publichis position and he would then move slowlyeconomic measures. The US Mission strongly
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questions this approach because of the serious economic situation.
The stocks of rice in Saigon rose0 MT at the end of January0 MT onebruary. The increase resulted totally from imports. Rice deliveries from the delta to Saigon have remained low in February, averaging barely0 MT per day. Meanwhile, wholesale and retail prices of rice are rising.
Retail prices in Saigon rose in theebruary primarily by small amounts. The most significant increases were in rice, charcoal, and firewood. According to the USAID Index, the general level of retail prices remained three percent below
a month ago.
pricesillsPCthe Saigon free market were unchangedplasters per dollar, respectively. The pricerose by one piaster per dollar. Inthe piaster-dollar cross rate remained.
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B. MILITARY SITUATION
The over-all level of Communist-initiated activity for the week endingebruary rose
During the period thereommunist-initiated incidents compared with the preceding week's ore than the weekly average for the last half5ore than6 weekly average. There werettacksncidents of terrorism compared toespectively for the previous week. Both of the large-scale attacks occurred onndebruary In Blnh Thuan Province. The kill ratio thisperiod favored free worldoowno 1. Viet Cong casualtiesilled andaptured. Totals the week beforeilledaptured. South Vietnamese casualties for the reporting periodoundedaptured or totalompared to preceding. Total US casualties roseromf the previous week; total other free world casualties alsofrom The South Vietnameseeapons androm the Communists; enemyrew-served weapons, while friendly forces lost seven.
GVN/Allied Activities
Friendly activity continuedigh level for the third week with emphasis on search-and-destroy operations. Although there were fewer small-unitand no increase in battalion-size operations, there were more contacts with the enemy during this period and the level of fightingarked
Overercent of ARVN weekly casualties occurredorps area. Onndebruary during the 1st Division (ARVN) multibattalion search-and-destroy operation in Quang Tri Province, five battalions (ARVN) became heavily engaged with an estimated two VC battalions. In the two-day battle friendly losses wereilled,2 US) wounded,issing. Viet Cong lossesilled, 4
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captured, andeapons seized. In Thua Thiononegional Forces companyan estimated VC battalion, and was immediately reinforced by available 1st Division (ARVN) forces. Friendly lossesilled,ounded and three weapons. The VC lostilled, aptured andeapons. The combined USMC/ARVN Operation DOUBLE EAGLE II/LIENnorps areawith dally contacts. Friendly losses thus farilledRVN)2 USMC,RVN). Enemy losses areilled,aptured,ndividual weapons and three crow-servod woapons seized. In Quang Ngal Provinco,significant operation was conducted by the 2nd Division (ARVN) to support the local pacification program. Onebruary, contactC force of unknown size rosulted in friendly losses ofilled,ounded,issing andeapons lost. Viet Cong losses wereilled and six weapons seized.
II Corps area, US forces conductedsearch-and-clear operations. ARVN forcespacification activities along the east side1 north of Bong Son,orces continued
to secure Route 1. Cumulative friendly losses from this month-long operation now9OK.VN),8 US,RVN)S missing. Enemy lossesaptured,uspectsndividual weapons andrew-served weapons seized. Operation VAN BUREN, conductod by the 1st Brigade,st Airborne Division and tho Korean Marine Brigade in the rice harvest area southwost of Tuy Hon, terminated onebruary with0 tons of rico harvested. Friendly Losses fromday operation woreS,4 US,OK)OK missing. Viet Cong lossesilled,apturedeapons seized.
Operation ROLLING STONE this weekCorps area, the VCilledhen thoy attempted to penetrate thethe 1st Brigade, US 1st Infantry Division withestimated to be three battalions. wereilled,ounded and threeandPC's damaged. continued without major contact and on
the 2nd Brigade, US 1st Infantrywas relocated to Dau Tieng,
The most significant friendly activity in IV Corps area this week was thet Division (ARVN) operation in Chuong Thien Province during which armed helicopters accounted forf theC killed. In addition,C with five weapons were captured, while friendly losses were one killed.
Free world forces conductedattalion -or larger-size operations during the week ending
f them achieving ROK, and nine US. Thereonducted byhich achieved contact with thewere conducted by US units. Sea, river,forcesunks andcomparedunksor last week. None ofdetained was confirmed as VC.
were2 Stratofortressthe week endingebruary. ebruary thereactical and armed reconnaissance sortiesthe US Air Force, Navy, Marine and These strikes, in addition toactivities, produced the followingstructuresestroyed,amaged; three guntwo trucks destroyed, one damaged;cut or cratered and one bridge InC were reportedKBA with four confirmed KBA (killed by aircraft).
Communist Activity
10. orps area, the level of Communistdoubled from that of the previous week. In Quang Tri Province onopular Forces platoonegional Forces company operating separately, but in close proximity to each other were attacked simultaneously. The platoon lostilled, ounded, seven missing andndividual weapons. The Regional Force company losses have not
yet been confirmed. The attacking force wasas an element ofth VC Main Force Battalion. Also onebruary, an estimated two VC companiesa government security force in Quang Nam eaction force of two Ranger companies engaged an estimated VC battalion, and the subsequent heavy contact resulted in friendly casualties ofilled,ounded, andissing. Enemy lossesilled. OnS Marine Corps aircraft flying0 feet in western Quang Tri Province received fireuspected antiaircraft gun.
In II Corps area, enemy activity remained at about the same level as the preceding week but there were more armed attacks. Onebruary, an ARVN battalion in convoy was ambushed by an estimated VC battalion in Binh Thuan Province, and on the same day an unknown number of VC attacked and overran an-in Quang Due Province. Onebruary, anVC battalion attacked the district town of Thien Giao in Binh Thuan Province. Friendly losses wereilled, Including the district chief, while VC losses wereilled and one captured. Documents captured in Darlac Province identifiedth32nd Regiment in an area northeast of Ban Me Thuot; this unit was previously located in western Pleiku Province.
In III Corps area therelight decline in enemy activity. On IS February, an unidentified force attacked an outpost in southern Long An At the same time two district towns and six other outposts in the same area came under attack or harassment. Friendly losses wereilled and eight wounded; while VC losses wereilled.
Therelight increase in the number of Communist-initiated incidents during the week in TV Corps area. The Binh Thuy Airfield was harassed onebruary by small arms and mortar fire, resulting inounded, two trucks damagedamaged. Onebruary, two outposts in the vicinity of Can Tho and Binh Thuy airfields wereby an estimated two VC companies. MACVthese incidents may be the beginningC effort in Phong Dlnh Province to isolate Can Tho from the rice area of An Giang and Chau Doc provinces.
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CURRENT OPERATIONAL STATUS OF MAJOR TRANSPORTATION ROUTES AND COASTAL RAILROAD
L4. Nationals closed in Quang Tin, Quang Ngai, Binh Dinh, Phu Yen, Khanh Hoa, Nlnh Thuan, Binh Thuan, Binh Tuy, and Long Khanh Routes closed in Kontum, Pleiku, Quang Due, Phuoc Long, and Binh Long provinces. Routes closod west of Due Co, Pleiku Province.s closed in Phu Yen Province. Routes closed in Lam Dong and Long Khanh provinces. Routos closed in Darlac Province. Inter-provincials closed in Binh Duong and Phuoc Long provinces.
15. The National Railroad is operating between Saigon and Xuan Loc, Long Khanh Province; between Song La Song, Binh Thuan Province, and Xinh Hoa, Khanh Hoa Province; between Dalat, Tuyen Dueand Phan Rang, Ninh Thuan Province; and between Da Nang and Hue.
C. RURAL CONSTRUCTION
express better the spirit of tbepacification effort, the US mission in Saigon
has settled on the term "revolutionary development" as the translation of the Vietnamese expression for what was formerly called rural construction. Deputy Ambassador Porter has taken charge of all aspects of the US community's support of the program.
ersons enteredTau National Cadre Training Center in thotoew program of instructionfor revolutionary developmentprovince is represented by at least onewhile the four national priority areas (Da NangAn, Qui Nhon -Pbuinh Khe, the areaSaigon, and An Clang Province haveion.
an attempt to utilize the country'sassets more effectively, Premier Ky issued
a decree ordering trainees in the National Institute of Administration (NIA) to participate in thedevelopment program. ear of full-time work in tho program will follow the NIA student's first year of training at tho NIA. The studentto the NIA for the third year, after which he spends six months of supervised probationary work in a. agency. He then graduatesfield administrator."
Nguyen Due Thang, minister ofdevelopment,eries of trips toprovinces to visit cadros, confer with members
of the provincial councils, and generally to check on the progress of development programs. During the weekebruary he visited the IV Corps area.
refugee population continues to grow.
The latest figuress ofebruary, an increase4 sinceebruary. The following table compares the increase in the various categories of refugees for the two roporting periods:
In
Resettled Native Villages
11
20
An encouraging trend is the number of refugees in temporary shelters. Also encouraging Is the incrcse in the number of rofugees returning to their native villages. This latter condition. If It persists, will be an indication that the government is extending its influence in the countryside.
According to US officials in Saigon, the newly appointed refugee commissioner, Dr. Nguyen Phuc Que, shows promise in his energetic and serious approach
to the Job* He has already been able to arrange with the ARVN's Saigon general to provide traveling army medical teams to to into the provinces where the refugee population Is concentrated. Cue also hopes to Increase classroom space for the children of refugees and is making plans to get more assistance to the refugees from province-level officials.
Hau Chi, the newly appointedfor Puang Nam, recently reviewed forsome of the problems he expects tohe assumes his new position this month. among them is the noncoopcration ofwho are unwilling to participate tnacification effort In thezone south of Da Nang. (See The Situation
in South Vietnam,56 lor earlier reports on this project,) The support of this group, whose young men are dodging ARVN efforts to draft them, is conditional upon the resolution of security problems in the province, primarily theofrom Da Nang to the province capital of Hoi An and to the populous agricultural river valley just to the west.
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II. DEVELOPMENTS IN THE BLOC
Four US aircraft were lost over Norththis week bringing total US losses. Ofave been lost to conventional groundfire,r possiblyo SAMs, three to MIG fighters, and the rest for reasons not directly attributable to hostile action.
Two newnddiscovered during analysis of recent photography. Both are situated within the established boundaries of SAM defenses in the areas olphong, and Thanh Hoa, they do not extend SAM coverage, but,
they do add depth to the defenses in this vital region.
propaganda began this week to react
to the recent US public discussions of American policy objectives in Vietnam. roadcast onebruary quoted extensively from Western press account of the US Senate Foreign Relations hearings to prove that public opposition to US policy in Vietnam was growing rapidly. The broadcast claimed that the hearings contributed to this growth by bringing "the truth" to the American people.
indirect though more substantivethe current debate appearedtatementVietnamese lawyer Do Xuan Sang on the roleLiberation Front (NFLSV) which wasebruary. While not referring to thethe role of the Front currently under way in themaintained that the NFLSV "unquestionably hadstatus in the eyes of internationalIt controlled "four-fifths of the territory
of South Vietnam, three quarters of the people,all its international obligations and exercised the powersovereign state." Sang stopped short of calling for recognition of the Front as abut closed his remarks by quoting Ho Chi Minn's letter ofanuary to the effect that "if the US really wants peace it must recognize the NFLSV as the sole representative of the South Vietnamese people and enter into negotiations with it."
reaction to the recentthe Front's role appeared7 Februarywhich made it clear that Peking does not think
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the Vietnaaesc Communists should settle for anything less than total control of the government in South Vietnam. According to the broadcast. Senator Robert Kennedy's expressionillingness to give the Frontoleoalition government" was nothingtrick." According to Peking, the Front would beminority group" inovernment, rather than the "sole roprosentative ofs tho Communists demand. Tho Front, asserted the broadcast, would never play the "walk-in part"showpieceuppet regime fostered by the US."
Hanoi's Position on Discussion With British in Moscow
6. Hanoi responded quickly to Western press reports hinting that concessions in the DRV position on settling the war had been made during theebruary contact with the DRV embassy in Moscow by Prime Ministor Wilson'i special representative, Lord Chalfont. pokesman for the DRV Foreign Ministry onebruarytatement summarizing the meeting which asserted that all reports carried by western news agencies and at variance with tho official statement were to bo"distorted news." The official statement claimed that the charge of the embassy in hiswith tho British representative had condemned UK support for the US policy, unmasked the "wicked scheme of the so-callod unconditional negotiations of thend "clearly explained the DRV Government's four-point stand."
NO FOREIGN DISSEM/FiiCWTROUND USE ONLY
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III. THIRD COUNTRY DEVELOPMENTS
1. Bui Diem, secretary of state for foreign affairs and formerly special assistant to Premier Ky, is scheduled to arrive in Japanarchive-day "unofficial" visit. Dion has told the embassy that the main purpose for the visit will be to test tho atmosphereossible visit of Premier Ky to Japan this spring. Earlier plans calledisit in March by Ky but the Japanese proposed delaying it to an unspecified date. Diem also hopes to confirm the availability of about nine million dollars in Japanese loans previously allocated but which have been unused because of some question over Interest rates.
1. South Vietnamese Foreign Minister Tran Van Do gave an interview to Vietnam Press, theGVN news agency, in which he commented more in sorrow than in anger on President De Gaulle's letter to Ho Chi Minh. Do stated that French policy on Vietnam seems to stem more from France's "offended pride" than from reason and equity. He also pointed out that De Gaulle's assertion that the GVN is not representative doos not ring true since if the GVN had not broken relations, France would still have an ambassador in Saigon.
SOUTH VIETNAM ATTLE STATISTICS
WfgFT
WEEKLY REPORT EBRUARY EBRUARY 66
Total Personnel Losses
^ (Killed in Action, Ceptured or Misting in Action, excluding Wounded in Action)
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Combat Camultic. in Vietnam (inoiuj.n, Ntwih YfiniaJ
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Friendly Fortes Personnel Losses
(US/GVN/Othe, FreeKilled inMHung or Coptwed in action
Woundedaction
SOUTH VIETNAM BA..LE STATISTICS
WEEKLY EBRUARY EBRUARY 66
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Cong Incidents
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