751G.00/7–2854: Telegram

The Chargé at Phnom Penh (Goodman) to the Department of State

secret

32. Sent Saigon 43, repeated information Paris 30, Geneva 28, Bangkok unnumbered. As additional bits of information concerning Geneva settlement have filtered back to government here, its members have manifested an increasing gratification over terms which its delegation won. Since Foreign Ministry still has not received text of agreements through its channel I have made available to Acting Foreign Minister Poc Thoun English version transmitted Secto 7151 which he is having translated. Government now feels that its sovereignty and [Page 1887] national will should be clear to world, and that its freedom of action remains complete, while Viet Minh have contracted to leave country. However, this morning Foreign Minister repeated to me certainty expressed by his cabinet director last Saturday (Embassy telegram 30 to Department)2 that Chinese Communists would not halt military aid to Viet Minh during truce, and that it more than ever necessary for Cambodia to continue receiving aid from US.

Poc Thoun said he received yesterday Tep Phan’s report of his interview with Chou En-lai when latter demanded stringent limitations Cambodian sovereignty in exchange for Viet Minh withdrawal, and insisted this country accept no US instructors. Foreign Minister said this episode now by-passed by events by [but] that description of Chou’s attitude underlines nature of continuing threat facing Cambodia. Chinese Foreign Minister was harsh and uncompromising and clearly thought he could dictate terms of settlement. Poc Thoun said his government, while certain it won a last minute victory at Geneva, feels that what the settlement has really given them is respite during which they must strive mightily to prepare for next emergency, which they believe will be on them after Vietnamese elections in 1956. He said that Vietnam has been badly hurt, and history of Communist subversion of unstable border states does not lead to optimism concerning that country’s future. Cambodia must proceed on assumption that Vietnam will end up under Communists. Thus this nation faces Herculean task of restoring security, building viable [garble], and establishing new economic base.

Both Foreign Minister and Finance Minister, whom I saw later in day, emphasized importance of economic problems. Feeling it necessary to hypothesize an increasingly hostile Vietnam they stated positively that Cambodia must have own currency and eventually pull out of Customs Union. During near future latter can continue, but one of first Cambodian efforts must be to reorient economy. To some extent this will be done by increasing use of Bangkok as port of foreign trade instead of Saigon, and to some extent by building up Phnom Penh port, but they believe there is long range necessity to build long visualized port of Ream on Gulf of Siam, which French long ago promised to build but which Cambodians feel they will have to do themselves. My despatch 303 reported plans to survey projected railroad line to Ream, and Finance Minister has presented to cabinet seven year plan to build port for about 950 million piasters.

Both Ministers expressed full awareness magnitude of these problems and iterated hope of US aid, without which they said Cambodia cannot meet challenges it faces. They, and all other Cambodian leaders [Page 1888] with whom I have spoken, are tremendously encouraged by President’s decision to send Ambassador here, and although they face future with new understanding of immensity of problems they inherited along with their independence, they are also confident and determined to make the most of their opportunities.

Goodman
  1. Telegram Secto 715 from Geneva, July 21, is not printed, but for the texts of the final agreements of the Conference, see vol. xvi, pp. 1505 ff.
  2. For telegram 30 from Phnom Penh, July 25, see p. 1878.
  3. Not printed.