893.24/1678: Telegram

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

2404. Foreign Office informs us that, if it is agreeable to the American Government, Dr. Soong wishes to sign in Chungking a reverse Lend-Lease agreement in the terms of the draft note enclosed with the Department’s mail instruction 250, March 17, 1943 a copy of which (Department’s 637, May 19)62 was informally [handed] to Dr. Soong in Washington by Mr. Acheson on May 15. I assume that my acknowledgement of such note should be along the lines of enclosure No. 2 to the Department’s mail instruction under reference with following phraseological changes: opening of second paragraph: “In reply I am instructed by my Government to inform you”; and final substantive paragraph: “This further integration …63 gives great satisfaction to the Government of the U.S.”

While this gesture does not necessarily indicate that the Chinese Government intends to implement the financial provision of the note in a manner satisfactory to us, it at least lays the ground work for future discussions which must ensue on that subject and for possible appropriate supplemental agreements looking to the furnishing of desired financial services to our armed forces and governmental establishments.

Please instruct by telegraph.

Gauss
  1. Not printed, but see footnote 25, p. 537.
  2. Omission indicated in the original.