Office of the Historian

462. Telegram From the Department of State to the Embassy in Laos1

Washington, August 6, 1957—7:22 p.m.

126. Vientiane 192;2 Vientiane 183.3 Souvanna’s draft investiture speech weak enough, but his statements to Holliday (Vientiane 192) show he has learned nothing re Pathet Lao. Investiture draft reveals very little sign Katay influence, whereas Bong’s hand readily apparent. Moreover, Souvanna’s intention conduct negotiations himself with two-month time limit means he will again be under self-generated pressure make foolhardy concessions in order achieve settlement as matter personal prestige. In sum, we seem be perilously close to where we started year ago.

Do you believe latest developments warrant reconsideration our earlier acceptance fact we might have be prepared live with Souvanna? (Department’s 74 to Vientiane; Vientiane 1774) Have Katay and Phoui taken steps behind scenes insure Souvanna’s espousal their policy re Pathet Lao so that vague investiture speech not real expression Souvanna’s commitment this score? Have they agreed to Souvanna’s conducting negotiations himself with little or no reference to Assembly or do they intend insist relatively tight party or Assembly supervision?

Re aid aspects draft investiture speech, we concur your making points outlined Vientiane 183 with following modification penultimate paragraph. Agree you should refer November 13 letter but believe inadvisable go into point re Western budgetary support versus Communist Bloc economic development aid since this would imply 1) our tacit acceptance some form Bloc assistance and 2) continuation U.S. aid after reappraisal. At this point we inclined prefer oral to written démarche. Timing of course left your discretion. So far as French concerned, we would not wish attempt agree on parallel démarches but would instead inform French following your prospective [Page 956] statement to Souvanna and suggest similar expression by them would be helpful.

Request your comments foregoing.5

Dulles
  1. Source: Department of State, Central Files, 751J.13/8–657. Secret; Priority. Drafted by Byrne, cleared by Kocher and in substance by Maurice D. Bean of ICA, and approved by Jones. Repeated to Paris, London, Saigon, Phnom Penh, and Bangkok.↩
  2. In telegram 192, August 6, the Embassy reported a summary of a long conversation between British Ambassador Holliday and Souvanna Phouma on plans for dealing with the Pathet Lao. (Ibid., 751J.00/8–657)↩
  3. In telegram 183, August 5, the Embassy commented on the economic and aid references in Souvanna’s draft investiture speech and noted that for the first time he publicly advocated acceptance of aid from any source provided there were no conditions. The implication that Laos was prepared to accept aid from the Communist bloc worried the Embassy. If these points appeared in the speech as given, the Embassy suggested an aide-mémoire to the Lao Government stressing that acceptance of Communist aid would entail a reappraisal of U.S. financial support of Laos. (Ibid., 751J.13/8–557)↩
  4. Document 460.↩
  5. Telegram 208, infra.↩