893.00/14757

The Ambassador in China (Gauss) to the Secretary of State

No. 51

Sir: 1. I have the honor to refer to my despatch no. 9, June 2, 1941 transmitting a copy of a memorandum of conversation held with the prominent Chinese communist leader Chou En-lai, and to enclose as of probable interest to the Department a copy of the memorandum of a further conversation held by officers of the Embassy with Mr. Chou on June 29, 1941.

2. Mr. Chou, it will be observed, airs his views at some length in regard to certain aspects of the current international situation, as well as in regard to Chinese internal developments.

3. With regard to the latter subject it will be noted that according to Mr. Chou there have recently been no noteworthy developments in Kuomintang-communist relations. Mr. Chou asserts that Chinese communist forces have recently cooperated in attacking the Japanese notwithstanding the non-supply by the national government of funds and equipment to the communists; and that this failure to supply the communists was contrary to assurances given by General Chiang Kai-shek.

4. On the basis of Mr. Chou’s assertions as set forth in the enclosed memorandum of the conversation and information recently available to the Embassy from governmental sources, it seems clear that the developments of the past month have brought no fundamental improvement in Kuomintang-communist relations, although beneficial signs are to be seen in the belated cooperation given by the communist Eighteenth Group Army to the national government forces in Shansi and in the apparent absence of conflict between government and communist forces during the past two or three months. It will be observed that Mr. Chou confirmed the retention in central China of communist forces. This maintenance of communist forces in central China, of which there is no indication of imminent removal, continues in violation of orders issued by the national government. It seems doubtful, now as in the past, whether the national government will be disposed to resume supplying the Chinese communists with funds and equipment as long as communist forces remain in the Yangtze valley area.

5. It is generally acknowledged that the Chinese communists lost ground among their fellow countrymen when Russia entered into a neutrality pact with Japan. Now the German attack on Soviet Russia appears to have introduced a new element into the situation. In the absence of clear-cut indications of the outcome of that conflict and of the attitude of Japan it is difficult to assess the effects of this war on the future course of Kuomintang-communist relations. One point [Page 518] seems clear however, namely, that German and perhaps Japanese pressure on the Soviet Union tends to diminish the possibility of active Russian assistance or interference on behalf of the Chinese communists in their struggle for increased influence in China. On the other hand the Russo-German war apparently gives the Chinese Government more freedom to deal with the Chinese communists. Bereft of the support of the Soviet Union, it may be that the Chinese communists will become more amenable to the desiderata of the national government, especially since the Soviet Union is being attacked by a power which is linked to Japan by the tripartite and anti-comintern pacts.12

6. It would seem then, at least for the moment, that the Russo-German conflict affords the national government a clearer opportunity to deal with the Chinese communists than was the case when Soviet Russia remained at peace and in a position to influence powerfully the course of Kuomintang-communist relations. However the uncertainty of the Sino-Japanese conflict, the evident Chinese desire to establish a four-power bloc comprising the United States, Great Britain, China and the Soviet Union against the Axis coalition, and Chinese dependence on outside aid — especially from the United States and Great Britain—will, it is believed, deter the Generalissimo and his advisers at this time from taking drastic action to eliminate the Chinese communists. It is to be hoped that the Chinese communists, for their part, will adopt a more amenable attitude than that which they have assumed during the past year or more. A spirit of accommodation on the part of both factions at this time might go a long way for the adjustment of serious differences.

Respectfully yours,

C. E. Gauss
[Enclosure]

Memorandum of Conversation, by the Second Secretary of Embassy in China (Drumright)

Present: Chou En-lai and party of three
Mr. Vincent
Mr. Service
Mr. Drumright

Mr. Chou En-lai came to lunch yesterday. He was very voluble, discussing at length various phases of the world situation.

Following the line of the Chinese press during recent days, Mr. Chou asserted that the Russo-German war presented the United States and Great Britain with a splendid opportunity to exercise a “strong attitude” [Page 519] toward Japan. With particular reference to the United States, he said that the Russo-German war presents the United States with an excellent opportunity to sever its economic relations with Japan, that is, to stop buying and selling goods. He expressed the view that such a policy might bring about a salutary change in Japan’s policy, already vacillating, away from the Axis.

However, Mr. Chou indicated that he entertained doubt whether the United States and Great Britain would exert pressure on Japan notwithstanding the opportunity presented by the Russo-German conflict. He then explained that Japan now has three courses open: (1) attack the maritime provinces; (2) intensify military operations in China; and (3) pursue the policy of southward expansion. He voiced the view that Japan is most likely now to adopt the first course, that is, attack the maritime provinces. He added, however, that if such an attack is to occur it should be started within a month if it is to be successful, for the onset of cold weather would of course greatly hinder Japanese operations in Siberia. He went on to say that present reports indicate that for the moment Japan’s policy is one of “wait and see”. He said that he believed the Japanese would attack Russia only in the event that Germany is certain to win a decisive victory over Russia.

With reference to the Russo-German conflict, Mr. Chou expressed confidence that Russia would be able to hold out against the German attack, in which event the German position would become perilous in the extreme. He expressed the view that the main German effort is concentrated in White Russia in an endeavor to flank the main Russian forces which, he said, were gathered for the defense of the Ukraine and the important industrial center, Kharkov.

Mr. Chou said that the majority of Chinese apparently welcomed the Russo-German conflict, although he carefully refrained from expressing his own view in this respect. He said that this attitude sprang from the concept that pressure on China would be relieved. He went on to say that it is generally hoped in Chinese circles that Japan will attack the maritime provinces because (1) it will mean the diversion of Japanese land forces from China; (2) the abandonment of southward expansion and thus insure further American and British assistance to China; and (3) the affording of an opportunity for the national government to put pressure on the Chinese communists. I gathered from his reference to this latter point that he does not relish the idea of Japan’s attack on the Soviet Union. Mr. Chou confirmed the impression that the great majority of Chinese people is sympathetic to the Soviet Union in its conflict with Germany, although he said that there is a “small faction”, the nature of which he did not specify, which favors a German victory over the Soviet Union. In this relation he said that he had learned that the Central Publicity Board had permitted [Page 520] the transmission of a telegram by a German correspondent in Chungking to the effect that a Japanese attack on the Soviet Union would permit of government pressure on the Chinese communists. He said that he wondered why the censors had passed such a message, apparently implying that the Chinese Government is actually considering the placing of pressure on the Chinese communists. He also referred to a Havas report from Shanghai to the effect that the Russo-German war would result in cessation of Soviet support to the Chinese communists, and said that this report was wholly untrue, that the Soviet Union has not assisted the Chinese communists.

In reply to a suggestion that the Russo-German war should seemingly serve to improve Kuomintang-communist relations Mr. Chou refused to commit himself definitely, saying that this would depend on future developments such as the course of the Russo-German war, the policy of Japan, the United States and Great Britain, and the desire of Chinese leaders to carry on the “united front” and resistance to Japan.

[Here follow observations by Mr. Chou En-lai regarding Kuomin-tang-Communist military relationships and Chinese military planning.]

Mr. Chou referred to press reports of the appointment of Mr. Owen Lattimore as political adviser to the Generalissimo and indicated that he was pleased to learn of Mr. Lattimore’s selection.13 It seemed obvious that Mr. Chou feels that Mr. Lattimore may have a sympathetic attitude toward the Chinese communists.

Unlike his inquisitiveness at our last meeting on May 30,* Mr. Chou in the course of this conversation made no reference to alleged American mediation of the Sino-Japanese conflict. It seems likely that the events of the past few weeks have convinced him that the United States has no intention of endeavoring to separate Japan from the Axis at the expense of China.

E[verett] F. D[rumright]
  1. Signed at Berlin on September 27, 1940, and November 25, 1936, respectively; Foreign Relations, Japan, 1931–1941, Vol. ii, pp. 165 and 153.
  2. See telegram No. 219, June 1, 10 p.m., from the Ambassador in China, p. 657.
  3. Embassy’s despatch No. 9, June 2, 1941. [Footnote in the original.]