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 TOP SECRET 9. In the present state of affairs, it is doubtful that the combined native Indochinese and French troops can successfully contain Ho's forces should they he strengthened by either Chinese Communist troops crossing the border, or Communist-supplied arms and material in quantity from outside Indochina strengthening Ho's forces.

10. It is important to United States security interests that all practicable measures be taken to prevent further communist expansion in Southeast Asia. Indochina is a key area of Southeast Asia and is under immediate threat.

11. The neighboring countries of Thailand and Burma could be expected to fall under Communist domination if Indochina were controlled by a Communist-dominated government. The balance of Southeast Asia would then be in grave hazard.

12. Accordingly, the Departments of State and Defense should prepare as a matter of priority a program of all practicable measures designed to protect United States security Interests in Indochina. Rh