The Acting Secretary of State to the Minister in China ( Reinsch)
Your December 10, 5 p.m. Preparation for American participation in Chinese finances are completed as far as the United States is concerned and the policy of this Government as to the essential bases of financial assistance to China is unchanged (see Department’s telegram of October 8, 2 p.m., and mail instruction of October 9, 19181). Until the Governments of France, Great Britain, and Japan agree, the Government of the United States does not feel that it should independently proceed with general loan propositions. An independent [Page 199] policy pursued by the United States at this time would result in competition with other governments and would endanger the successful formation of the international group as proposed. Consequently it is the policy of this Government at this time not to take any such action but to await the agreement of the other governments to the proposed plan and to do all in its power to expedite such agreement. The matter is being pressed in Washington through the representatives here of the various governments mentioned.
The currency reform and reconstruction loans are included under the general terms as proposed by the United States to the other Governments. …
Such matters as the demobilization of troops and the formation of a military police force may demand consideration in the near future as a result of the progress towards reconcilation, but it is felt that any such assistance should be restricted to the immediate needs and should be entirely consistent with the larger comprehensive plans under consideration. The Department will accordingly recommend to the American group that it meet the request of the representatives of the British and French groups as transmitted in your November 8, 5 p.m.,1 by sending a representative to Peking for the purpose of obtaining information and advising as to the measures to be taken to meet conditions as they arise.