Friday, September 10, 1999 Published at 16:40 GMT 17:40 UK
Military sanctions against Indonesia
Indonesian soldiers drive through Dili
By Defence Correspondent Jonathan Marcus
The US believes that it is firmly within the power of the Indonesian armed forces to halt the violence in the territory.
It is hard to see what impact the move will have - most joint exercises had been shelved anyway - and the suspension will largely mean that there will be no planning for future joint manoeuvres and liaison officers will be withdrawn.
It is unclear if any Indonesian officers training in the US will be sent home.
Australia halts training
Following Washington's lead, the Australian government has just announced that some of its planned exercises with the Indonesian military will not now take place.
The Australian Government is in a difficult position. Of all outside countries, its military probably has the closest links with the Indonesian armed forces, though these are not extensive.
But given that Australia hopes to play the leading role in any United Nations intervention force - should one be deployed - it can hardly suspend ties with the very army with which it might have to work closely on the ground.
There are less than half a dozen Indonesian officers in Britain undergoing training; most of them at civilian universities.
There is continuing unease in some quarters in Britain about arms sales to Indonesia.
An Indonesian delegation was to have come to an arms sales exhibition outside London next week.
But they are now not coming, and the British authorities have heaved a sigh of relief since they now no longer have to consider a formal withdrawal of the invitation.