793.94/7069: Telegram

The Second Secretary of Legation in China (Atcheson) to the Secretary of State

167. 1. The only definite decision so far reached by Chinese Government councils is to pursue a peaceful and conciliatory policy toward Japan. Chiang Kai-shek has not arrived.

2. Suma this morning privately informed a foreign news correspondent with whom he has very friendly relations that no startling developments are likely to occur in Hopei at the present time. He stated that the Japanese desire no written convention or agreement of any kind; they are now quietly observing whether the Chinese authorities are carrying out “suggestions” made by the Japanese military; and the problem for China now is to demonstrate “sincerity” and to determine what kind of new administration is to be set up in the North. He added that a basic change in the organization of the Kuomintang might be necessary and said that Ho Ying-chin was striving to persuade the Chinese Government to meet Japanese wishes in full but Chiang Kai-shek was pursuing a noncommittal policy which would be personally fatal if continued. Reports of the alienation of Kwangtung, he stated, were premature; some such development, however, was to be expected in the future.

3. Despatched to the Department and Legation.

Atcheson