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

No. 748

The Secretary of State transmits, for the information and files of the Embassy, a memorandum, entitled “Chinese Opinions on Domestic Economic Development Plans”,35 which has been prepared in the Division of Financial and Monetary Affairs for limited distribution. It is to be noted that the conversations were held on an informal basis, and the views set down in the memorandum are the unofficial opinions and suggestions of Chinese now in the United States. General comments on the memorandum are desired by the Department, particularly in view of the fact that the Embassy has access to later and more complete information.

Several specific questions have arisen as a result of the discussions. The Department would appreciate any information or expression of opinion on these questions which the Embassy may wish to communicate.

An announcement was made on May 19, 1944, that the Central Planning Board had completed an outline of China’s postwar reconstruction plans. The Department acknowledges the receipt of the Embassy’s No. 2729, June 30, 1944, and notes the Embassy’s statement that they expect to report additional information when available. The Department is interested in receiving such information at the earliest possible date.
It is reported that in the February 1944 reorganization of the Central Planning Board an “Office of Foreign Advisors” was designated, but as of May had not been set up. Will the Embassy make inquiry regarding this office, its proposed function and as to the countries from which the foreign advisors are to be drawn?
It was stated as probable that an “overall agency charged with investigating” the problems of financing the postwar reconstruction program would soon be organized. Has this been done?
It was reported that the Ministry of Economic Affairs plans to call a joint conference this summer with the Ministry of Communications to discuss the integration of industrialization plans with the transportation program. Is this in accordance with the Embassy’s information?
The urgent necessity for training technical personnel was a matter frequently brought up for discussion. As indicated in earlier correspondence, the Department would find of value a statement in detail of the plans of the Chinese Government for the technical training of Chinese in the United States.
Do the Chinese in China, both official and private, recognize the existence of possible shortages in the exporting countries of textile machinery and other capital equipment at the end of the war and is this taken into account in discussions of postwar requirements?
The suggestion for an American Economic Mission did not come in any official way from the Chinese, but was made informally by one of the men interviewed. Has there been any suggestion of this sort current recently in Chungking? In the Department the general view is held that there are drawbacks to the despatch of an American Economic Mission at this time.
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