893.00/14610
Memorandum of Conversation, by the Chief of the Division of Far Eastern Affairs (Hamilton)
Mr. Hornbeck and Mr. Hamilton asked the Chinese Ambassador and Mr. T. V. Soong to call. Mr. Hornbeck explained that we thought that it might be mutually helpful to have a general talk with the Ambassador and Mr. Soong in regard to the general political situation in the Far East and the projects in which Mr. Soong was especially interested.
Mr. Hornbeck read excerpts from Chungking’s telegram no. 91, March 6, 3 p.m.,10 quoting excerpts from an address delivered on March 5 by Chiang Kai-shek. Later Mr. Hornbeck gave the Chinese Ambassador a copy of the text of the excerpts.
Mr. Soong referred to the Burma–Yunnan railway. He intimated that the dispute between the Burmese and Chinese authorities in regard to the boundary had revolved about a silver mine on the border. He said that in view of the critical situation the Chinese Government [Page 611] was prepared to accept the British (Burmese) contention in regard to the boundary. He said that the Chinese Government was agreeable to making available to the British the Chinese Government-owned rails which the Chinese Government had purchased abroad and which were now at Rangoon. He also said that the Chinese Government had proceeded with a considerable amount of construction work on the Chinese side of the railway.
Mr. Soong said that the Chinese Government was investigating the practicability of building in addition another highway into China, the proposed route being from Calcutta into Sikang. Mr. Soong remarked that this route would of course be farther away from Indochina and thus less likely to be bombed than the Burma highway.
With regard to currency stabilization arrangements between the American and Chinese Governments, Mr. Soong said that he imagined that the Treasury Department was awaiting the return to this country from Chungking of Mr. Currie.
With regard to the Communist situation in China, both the Ambassador and Mr. Soong made rather extended comments. Neither seemed to feel that the situation was especially serious. Mr. Soong said that some weeks before he had cabled the Generalissimo that it would be unfortunate for there to be created abroad an impression that there was disunity in China. The Ambassador gave a lengthy account of the antecedents and causes of the recent clashes. Mr. Hornbeck remarked that the effects of dissension between the Communists and the Chinese Government were more important than the causes, and Mr. Hamilton stated that this country was of course very much interested in China’s unity and stability.
Mr. Soong stated that 36 P–40 airplanes had already been shipped to China, that another 36 would be shipped by the middle of this month, and that the route of shipment was around the Cape of Good Hope and across the Indian Ocean.
With regard to Russian assistance to China, Mr. Soong said that their information was that this assistance was continuing. He added that the reports of dissension between the Chinese Communists and the Chinese Government had not resulted in any diminution of Soviet aid to China. He said that a new Soviet military adviser had recently arrived in China to replace a Soviet adviser who had left some time ago.
During the course of this conversation, Mr. Hornbeck and Mr. Hamilton brought up at various times and in various connections the points mentioned in the attached memorandum of February 13, revised March 6.11
[Page 612]The conversation terminated with all present expressing agreement that it was helpful to have such interchange of information and comments.