Declassified per Executive Order 13526, Section 3.3
NND Project Number: NND 63316. By: NWD Date: 2011
TOP SECRET – Sensitive
In the fall of 1955, the time was approaching when Diem had to reckon with communist reaction to a denial of their hopes for peaceful political victory.
"Diem will almost certainly not agree to hold national elections for the unification of Vietnam by July 1956. Although Diem, under pressure from the Western Powers, might reluctantly agree to indirect consultations with the DRV concerning elections, he would insist on conditions which he felt certain the Communists would be unable to accept. Aware that such a position will probably cause the Viet Minh to increase their efforts to destroy his government, Diem will probably seek to bind the US more specifically to the defense of Vietnam."
"The Viet Minh, despite their relative quiescence, present the greatest potential threat to Diem. Should the Viet Minh elect openly to invade the south with regular forces, they are capable of defeating the VNA and any French forces (if committed) now present in South Vietnam. Moreover, with an estimated 10,000 military personnel in South Vietnam, the Viet Minh have the capability to undertake local sabotage and terrorist actions; and small-scale but widespread guerrilla warfare. The Viet Minh can reinforce these forces by infiltrating into South Vietnam. The Viet Minh apparently exerts political influence in many areas scattered throughout South Vietnam." (NIB 63.1-3-55, 11 October 1955, p. 1)
"Should the Viet Minh initiate large-scale guerrilla operations supported by substantial infiltration from the north, the South Vietnamese government would be hard pressed to do more than maintain control in the Saigon-Cholon area and in a few other major urban centers. If the operation were prolonged, the government probably could not survive without military assistance from outside." (Ibid., p. 2)
Diem's greatest assets in this struggle were:
"… his reputation for honesty and unsullied nationalism, his control of the Vietnamese National Army, and the moral and financial support of the U.S . In addition, Diem has gained considerable popular following, especially in urban centers and in recently pacified areas and has the loyalty of the refugees from North Vietnam. However, should he lose army or US support, his regime would probably collapse." (Ibid., p. 3)