893.24/1665: Telegram

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

2005. My 1990, October 20. I called on Soong by appointment this morning accompanied by Atcheson, went over with him the general subject of reverse Lend-Lease and also specifically Somervell’s proposals as explained to Kung on October 20 by General Clay and Atcheson, and mentioned that the needs of our civilian establishments would probably approximate CN dollars 5 million a month.

Soong seemed favorably disposed in principle and said that Kung had mentioned Somervell’s proposal to him casually but no definitive discussion had taken place. He said that some time ago the Executive Yuan had given consideration to the draft reverse Lend-Lease agreement and had telegraphed to him in Washington some suggestions in regard to it which led him to believe that the matter was not well understood in Chungking; he had accordingly not discussed those suggestions with the State Department as he thought it would be better for him first to go into the matter with concerned officials of the Government upon his return to Chungking. He said he would discuss it with Dr. Kung and other officials and that as soon as practicable we could have a round table discussion.

Gauss