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economy, and increase Japan's dependence on United States aid. In the long run the loss of Southeast Asia, especially Malaya and Indonesia, could result in such economic and political pressures In Japan as to make it extremely difficult to prevent Japan's eventual accommodation to the Soviet Bloc.

4. Southeast Asia, especially Malaya and Indonesia, is the principal world source of natural rubber and tin. Access to these materials by the Western Powers and their denial to the Soviet Bloc is important at all times and particularly In the event of global war. Communist control over the rice surpluses of the Southeast Asian mainland would provide the USSR with a powerful economic weapon in its relations with other countries of the Far Best. Indonesia is a secondary source of petroleum whose importance would be enhanced by the denial to the Western Powers of petroleum sources in the Middle East. Malaya is the largest net dollar earner for the United Kingdom, and its loss would seriously aggravate the economic problems facing the UK.

5. Communist control of all of Southeast Asia would render the United States position in the Pacific offshore island chain precarious and would seriously jeopardize fundamental United States security interests in the Far East. The extension of communist power via Burma would augment the communist threat to India and Pakistan and strengthen the groups within those countries which favor accommodation. However, such an event would probably result in a stiffer attitude toward communism on the part of the Indian government.

6. Communist domination of mainland Southeast Asia would place unfriendly forces astride the most direct and best-developed sea and air routes between the Western Pacific and India and the Near East. In the event of global war, the development of Soviet submarine and air bases in mainland Southeast Asia might compel the detour of U.S. and allied shipping and air transportation in the Southeast Asia region via considerably longer alternate routes to the south. This extension of friendly lines of communication would hamper U.S. strategic movements in this region and tend to isolate the major non-communist bases in the Far East--the offshore island chain and Australia--from existing bases in East Africa and the Near and Middle East, as well as from potential bases on the Indian sub-continent.

7. Besides disrupting established lines of communication in the area, the denial of actual military facilities in mainland Southeast Asia--in particular, the loss of the major naval operating bases at Singapor--would compel the utilization of Rh