893.00/15066: Telegram

The Chargé in China (Atcheson) to the Secretary of State

1256. 1. In telegram from Sian dated July 19 Drumright states Civil Affairs Commissioner informed him that day that prior to the departure of Lin Piao and Chou En-lai from Sian for Yenan the Commissioner had discussions with them, during which the attitude [Page 292] of the two Communist leaders was one of cooperation and helpfulness. The Commissioner further stated that Chou and Lin are not returning with any definite proposals but that they will confer with Communist leaders in Yenan in regard future organization of the Communist Party and possibility of its being dissolved. While the Commissioner confirmed reports of considerable Chungking troop concentrations in the border regions, he described as incorrect the recent rumors of major clashes, admitting at the same time that there have been frequent small scale incidents. The Commissioner did not believe that the Chungking authorities would use armed force against the Communists.

The Commissioner stated that recent reports from Chinese Intelligence have it that three groups have arisen at Yenan since the dissolution of the Comintern. One group favors following a policy of revolution; the second group favors cooperation by an independent Chinese Communist party with the Central Government; and the third group proposes that the Communist Party be amalgamated with the Kuomintang. The Commissioner felt that the dissolution of the Comintern had shaken the Chinese Communist Party and that numbers of its members have been leaving the party. The Commissioner did not, however, believe that the Communists would give up their border government at Yenan of their own free will.

2. The Commissioner’s final statement gives further evidence of the belief existing in Kuomintang circles (Embassy’s 1240, July 21, 9 a.m.) that the Chungking Government does not consider it possible to come to any compromise agreement with the Communist Party, and that the Kuomintang is determined eventually to liquidate the situation.

Atcheson