CONFIDENTIAL
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THE PRESENT SITUATION IN CHINA
Summary
Hard evidence on internal events in China is as
difficult to obtain as ever. There are, however, clear
indications of mounting and serious difficulties for
the Maoist leadership who are trying without much
success to extend the "Cultural Revolution" throughout
the country and to impose order and discipline on their
supporters, the Revolutionary Rebels and Red Guards.
There has been much confusion and indiscipline together
with some violence and bloodshed, Many provinces are
apparently under military rule and others do not seem
to be fully controlled by Peking. Official attacks on
the Head of State, Liu Shao-ch'i, and unofficial attacks
on more "moderate" Ministers continue, while the cleavage
in the leadership between the radical group under Mao
Tse-tung supported by the Minister of Defence, Lin Piao,
on the one hand, and moderates on the other is still
evident.
2.
This means that in foreign affairs the second group
which includes the Foreign Minister, Ch'en Yi, are under
pressure to react more strongly than usual to external
situations such as Hong Kong in which China's interests
or prestige are engaged. This does not constitute in
/our
CONFIDENTIAL