751G.00/8–1254
Memorandum by Robert McClintock to the Under Secretary of State (Smith)1
Subject:
- A U.S. Policy for Post-Armistice Indochina
I. Problem
To develop and carry out U.S. policy toward Indochina following the Geneva cease-fire agreements which will preserve the integrity and independence of Laos, Cambodia and Vietnam in order that they may form a barrier to further Communist encroachment in Southeast Asia.
II. Discussion
Following the military defeat at Dien Bien Phu and the acts of diplomatic salvage accomplished at Geneva there exist in the Indochinese peninsula two and one-half countries with varying degrees of independence. These are Cambodia, which is independent in every aspect except its juridical relationship to the French Union and its currency and customs community with the other Associated States, Laos which is independent within the framework of the French Union but closely bound by contractual arrangements with France, and Vietnam, which by the terms of the cease-fire agreement is now divided roughly along the 17th parallel between a Viet Minh North and a Free Vietnam in the south.
In Cambodia the people are homogeneous, loyal to the royal house, eager to undertake military service, relatively well off from an economic aspect since Cambodia is an export area, and preserved to some extent from the virus of communism by the moral precepts of the Buddhist religion. In Laos the population is sparsely settled over an immense area of territory and is apathetic as to political developments. The Laotians, however, are loyal to the King and Crown Prince and likewise have the moral basis of Buddhism as at least exerting a negative influence against communist penetration. Tabs B and C set out in more detail the position at Cambodia and Vietnam [Laos] and trace the outlines of recommended U.S. policy.
In Free Vietnam there is political chaos. The Government of Prime Minister Diem has only one virtue—honesty—and is bereft of any practical experience in public administration. The Vietnamese National Army has disintegrated as a fighting force. Cochin-China is [Page 1938] the seat of three rival private armies and the security services of Free Vietnam have, by decree of Bao Dai, been handed over to a gangster sect, the Binh Xuyen, whose revenues are derived from gambling, prostitution and extortion. Tab A provides more extensive description of the situation in Vietnam, and suggests such antidotes as can be applied.
It must not be forgotten that Vietminh elements throughout Vietnam are working with hot haste to take over the entire country by cold war means before national elections are held two years hence. The Communists likewise hold an enclave in Laos from which to direct the intended envelopment at that Kingdom.
III. Recommendations
- 1.
- The U.S. should furnish direct, adequate economic, financial and military assistance to the three countries of Indochina. However, this assistance should be conditioned upon performance by the three countries in instituting needed reforms and carrying them out if necessary with U.S. or other assistance. The corollary to the policy of direct aid is the requirement to renegotiate with France the existing instruments which now channel U.S. aid for Indochina, both military and financial, exclusively through French hands.
- 2.
- The three Indochinese states should receive guarantees of their territorial and political integrity from an eventual Southeast Asia collective defense system. Initially, however, the three countries should not adhere to the formal collective defense treaty but should benefit by its provisions as does Western Germany under the NATO pact. Cambodia, Laos and Free Vietnam should be informed by the signatories of the new defense treaty that their integrity is guaranteed by that treaty.
- This memorandum was transmitted via Assistant Secretary of State Robertson. It is accompanied in the files by 3 tabs totalling 18 pages which are not being printed. McClintock, former Counselor of Embassy in Saigon, was Chairman of the OCB Special Working Group on Indochina. He was named Ambassador to Cambodia on Aug. 18.↩