893.248/281
The Chargé in China (Atcheson) to the Secretary of State
[Received September 1.]
Sir: I have the honor to report that the Consul at Tihwa, in a telegram dated August 1, states that he has been confidentially informed by the local Special Delegate for Foreign Affairs that the Soviet Russians are removing all equipment but water and light units from [Page 313] the Toutungho airplane assembly plant; that the U.S.S.R. Government is now offering to sell the remaining installations to the Chinese Government at a reported price of $4,000,000 (assumably U.S. currency); and that the chief of the Chinese air force, General Chou Chih-jou, who recently inspected the plant, will probably recommend to the Generalissimo that it either be re-equipped for plane assembly or used as an advanced air training school, and that American lend-lease aid be requested to enable purchase of the present plant and needed additional equipment. Mr. Clubb states that he is reporting more fully on the matter by mail.
In a mail despatch (no. 20, July 28, 194330) Mr. Clubb gives the following information in regard to the Toutungho plant.
“The T’ou T’ung Ho airplane assembly plant, which has operated under the name “Agricultural Implements Factory”, is located 42 kilometers from Tihwa, at the foot of a mountain range at the approximate point at which a small river (presumably of the same name) debouches onto the plain, on a road which leaves the main highway at a point 23 kilometers northwest of town in a line directly southwest. It is reported that Russian evacuation of that place is nearly completed, the only remaining material to be removed consisting of lumber, furniture, et cetera. Information obtained in Kuldja indicated that about 800 Soviet Russian citizens (including families) had been in residence at that place and were now removing to the Soviet Union. The location is not readily observable from the highway, but from one point it was seen to include a good number of buildings and something which seemed to be a water tower.
It is not as yet clear just why, from both the Chinese and Russian points of view, the project in question was originally undertaken.”
No information is available as to the exact extent of the development at Toutungho but it is the Embassy’s understanding that no planes have actually been assembled there.
From information at present available the geographic location of the plant and the transportation difficulties in Sinkiang would seem to render its use either as a plane assembly plant or an air training school economically impractical. If it later appears that the Chinese desire to push the project and that their motives are principally political, the Embassy suggests that the Department might wish to give consideration to the implications of American aid for the project before such aid is extended.
The Embassy will, of course, keep the Department fully informed of any further developments.
Respectfully yours,
- Not printed.↩