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The Consul at Kunming (Perkins) to the Secretary of State

The press reports that beginning October 1 one-fourth of total of commercial trucks will be allowed to bring in commercial cargo, which is a relaxation of 2 months virtual ban on commercial cargo. General Yu Fei-peng confirmed this in conversation today stating that it was temporary measure. He said that permanent plan was to require all imports of commercial goods to be subject to permit issued by Ministry of Economic Affairs, the latter to certify permits to transport control authorities who would then allot freight space as it became available for this type of imports.

General Yu also said that rate of arrivals at Kunming would be increased from recent 9,000 tons monthly to 20,000 tons in November or December. He did not indicate clearly how this would be done. He estimated about 3,000 tons monthly carried along two highways to Chungking recently.

Perkins