793.94/8813: Telegram
The Counselor of Embassy in China (Peck) to the Secretary of State
[Received July 17—10:30 a.m.]
291. 1. The informant cited in our 290, July 17, noon, confirmed in general information concerning Japanese military developments set forth in our 289, July 17, 9 a.m., except that only sections of each division are being sent and not full strength divisions.
2. We are told by a foreign military adviser and other sources that (1) most of the Chinese troop movements northward (seven to eight divisions) have been along the Peiping–Hankow Railway; (2) the first division went north on the Tientsin–Pukow; (3) the first division is well equipped but the others are mediocre in equipment and personnel; (4) the “crack” 30th, 87th and 88th Divisions remain between here and Shanghai to prevent any incursion toward the capital of Japanese troops from Shanghai as was threatened by the Japanese in 1932; (5) yesterday an air contingent of 100 ground men left Nanking for the north; (6) the national military authorities are purposely refraining from despatching troops to the present area of hostilities because they (a) want peace if possible; and, (b) in case of war wish the brunt of first engagements to fall upon the 29th Army and similar forces. According to the adviser cited, this means that they are risking the loss of North China rather than risk their best divisions in battle.
3. Sent to the Department, Peiping, Tokyo.