In 1954, Eisenhower articulated the domino theory in his outlook towards communism in Southeast Asia and also in Central America. He believed that if the communists were allowed to prevail in Vietnam, this would cause a succession of countries to fall to communism, from Laos through Malaysia and Indonesia ultimately to India. Likewise, the fall of Guatemala would end with the fall of neighboring Mexico. That year the loss of North Vietnam to the communists and the rejection of his proposed European Defence Community (EDC) were serious defeats, but he remained optimistic in his opposition to the spread of communism, saying "Long faces don't win wars". As he had threatened the French in their rejection of EDC, he afterwards moved to restore West Germany, as a full NATO partner.