693.002/506: Telegram
The Consul General at Shanghai (Gauss) to the Secretary of State
[Received February 12—7:20 a.m.]
247. Referring further to your 129, February 9, 8 p.m.,61 customs revenues for all China have decreased from a monthly average of about 34 million Chinese dollars during the first 7 months of last year to slightly more than 14½ million monthly average during last 5 months of the year. Estimated revenue for January this year 15½ million. Whereas Shanghai formerly contributed about 45% of the total revenue, it now contributes about 25%. Cost of customs administration is roughly 40 million dollars a year. Total payments due from customs revenue in 1938 in respect of obligations with regard to service as of July 1st, 1937, estimated to be the equivalent of 88 million Chinese dollars for foreign loans and indemnities and 130 million for internal debt.
Not repeated to Embassy.