Foreign Relations of the United States: Diplomatic Papers, 1945, The Far East, China, Volume VII

SWNCC Files: Lot 52 M 45

Report by the Joint Chiefs of Staff⁹³

J. C. S. 1330/10

[Washington,] 22 October 1945.

U. S. Military Advisory Group to China

the problem

1. To prepare a memorandum for the State-War-Navy Coordinating Committee to guide the State Department in negotiating an agreement with China regarding the establishment of the U. S. Military Advisory Group.

recommendation

2. It is recommended⁹⁴ that the memorandum in the Appendix, page 105,⁹⁵ be forwarded to the State-War-Navy Coordinating Committee, to provide guidance to the State Department in negotiating an agreement with China for the establishment of the U. S. Military Advisory Group.

Appendix

U. S. Military Advisory Group to China

Memorandum for the State-War-Navy Coordinating Committee

1. The Joint Chiefs of Staff believe that a U. S. Military Advisory Group, organized as outlined in the plan annexed hereto, should be established in China at an early date to advise and assist the Chinese Government in the development of her armed forces. One of the immediate functions of this group would be to collaborate with the Chinese military and naval authorities in the preparation of a detailed plan outlining the exact nature and extent of U. S. military support to China.

2. For several reasons it is desirable that the Military Advisory Group be established at an early date. Promptness in initiating an orderly program of military assistance to the Chinese will tend to forestall them from seeking military assistance elsewhere. Continuity in our relationship with the Chinese military can be achieved if the group is functioning prior to the deactivation of U. S. Forces, China Theater. An early completion and approval of the plan of paragraph 1 above would make it possible to utilize military equipment now in the Far East and surplus to the needs of the United States in meeting commitments arising from the plan. Until this equipment is disposed of, a considerable number of U. S. military personnel must be retained overseas to maintain and safeguard it.

3. Although the President’s War Powers Act⁹⁶ (Public Law No. 722, 77th Congress⁹⁷) enables the President to appoint a U. S. military advisory group to China, Congressional authorization will be required to continue the group in being in peacetime. The War and Navy Departments are hereby requested jointly to propose the necessary legislation.

4. It is recognized that economic and political assistance, as well as military aid, may be necessary in order to achieve our objectives in China. Such economic and political assistance as may be determined to be necessary should be carefully integrated at all times with the military assistance provided China.

5. In negotiating with the Chinese Government for the establishment of the U. S. Military Advisory Group, certain economic and military rights in China should be obtained by the United States in return for U. S. support. Some of these rights are incident to setting up the group; others are in general furtherance of United States objectives in China. A list of such rights, which from the military point of view are essential or would be desirable as partial compensation for U. S. military assistance, is attached hereto as Tab to the Annex, page 113.⁹⁸

6. With respect to the Army Advisory Groups, the extent of immediate ground and air assistance to be furnished the Chinese, and the tasks of the group, are relatively clear-cut. In the case of the naval group, however, extensive preliminary discussions with the Chinese will be necessary before the proper nature, size and composition of the Chinese naval establishment and the necessary extent and nature of U. S. assistance thereto can be determined, so that the size and composition of the Naval Advisory Group can be only tentatively fixed at this time.

7. The Joint Chiefs of Staff request that the State Department undertake the necessary action to negotiate the required contracts between the U. S. and China for the establishment of a U. S. Military Advisory Group in China, generally in accordance with the plan proposed herewith.

Annex to Appendix

Plan for U. S. Military Advisory Group to China

1. Object. To assist and advise the Chinese Government in the development of modern armed forces for the maintenance of internal peace and security and to establish adequate control over liberated areas in China, including Manchuria, and Formosa, and for the fulfillment of those obligations which may devolve upon China in the occupation of Korea and Japan.

2. Title. In order to advise and assist the Chinese in the establishment of modern armed forces, there will be organized a special group called “The U. S. Military Advisory Group to China”, which will comprise a Naval Advisory Group and Army Advisory Groups. The Army Advisory Groups will be composed of an Army Ground Force Group, Army Air Forces Group and Army Service Forces (Logistics) Group. The Naval Group will be headed by a flag officer of the Navy; the Army Advisory Groups will be headed by a general officer.

3. Relationship with the head of the Chinese Government. The heads of the U. S. Naval and Army Advisory Groups will at all times have direct access to the head of the Chinese Government on matters pertaining to their functions and will be the channel of communication between the head of the Chinese Government and the U. S. Military authorities. There will be a designated chairman of the U. S. Military Advisory Group from among its members to serve as a unified channel of communication with the head of the Chinese Government on all matters of joint concern. This provision in no way affects necessary communication between the head of any of the advisory groups and the head of the Chinese Government or departments of the Chinese Government on matters pertaining wholly to the business of that group.

4. Duration. The U. S. Military Advisory Group will be established initially for a period of five years, and will be continued thereafter by mutual agreement of the two governments. The United States Government reserves the right to withdraw partially or completely the U. S. Military Advisory Group and to discontinue U. S. military assistance to the Chinese Government if, in the opinion of the U. S. Government, such assistance is being used in support of an administration or policies not satisfactory to the United States Government.

5. Organization and functions. The function of the Advisory Group will be to provide advice and assistance to China on ground, naval, air and logistic matters. The internal organization of the groups, and the coordination between the Army and Navy groups, will be so arranged as to facilitate these functions and to avoid duplication of effort. The Naval Advisory Group will be responsible to the Navy Department on naval matters, and the head of the army groups will be responsible to the War Department on army matters. The heads of the various advisory groups will have access to the appropriate member of the Chinese National Military Council on matters concerning the branch which his group has been detailed to advise and assist.

a. The initial organization of the army groups will include:

(1) An Army Advisory Group headquarters, including the head of the army groups and his administrative and planning personnel, to coordinate the operation and function of the ground, air and logistics sections.

(2) Army Ground Forces Group, to assist in the organization, training and equipping of all ground units.

(3) Army Air Forces Group, to assist in the organization, training and equipping of all air units.

(4) Army Service Forces (Logistics) Group, to assist and advise in the organization, training and equipping of Chinese supply, transportation, and technical development services which are required to provide logistic support to the Chinese ground and air programs.

b. The Naval Advisory Group initially will include representatives of the various bureaus and offices of the Navy Department, including the Marine Corps, and representatives of the Maritime Commission. Until such time as the nature, size and composition of the Chinese naval establishment has been more clearly delineated, and the duties and responsibilities of the Naval Advisory Group clearly defined, the size of the Naval Advisory Group will be limited.

6. Estimated personnel strength of groups. The initial personnel strength of the Military Advisory Group is estimated to be:

	Officers	Enlisted Personnel
U. S. Naval Advisory Group	100*	200*
Headquarters, U. S. Army Advisory Group (including station complement)	110	650
Army Ground Forces Group	250	500
Army Air Forces Group	400	970
Army Service Forces (Logistics) Group	200	500

An advisory group of this size is the minimum necessary during the first two year period of training and organization due to the complexity of its task and the immediate need in China for effective armed forces. After approximately two years, or when the Chinese military organization has been well established and training is well under way, the strength of the Military Advisory Group probably can be considerably reduced. It is anticipated that adjustments will be made periodically in the size and composition of the groups in accordance with changing needs.

7. Duration of service with Advisory Groups. Personnel will normally be detailed to the Military Advisory Group for a period of two years, with the option of requesting the extension of their tour for not more than one additional year.

8. Responsibility to Chinese Government. No officer or man in the Military Advisory Group shall assume any duties as a result of which he will be responsible to the Chinese Government.

9. Relationship with Attachés. On matters other than those pertaining to the Military Advisory Group mission or functions, the Military and Naval Attachés to China will act as representatives of the Secretary of War and the Secretary of the Navy respectively.

10. Relationship with Ambassador. The U. S. Ambassador, or in his absence, the Chargé d’Affaires, is the senior representative of the U. S. Government in China. The Military and Naval Attachés, as members of the Chief of the Diplomatic Mission’s Staff, and as the representatives of the Secretary of War and the War Department, and of the Secretary of Navy and Navy Department, act as Military and Naval Advisors to the U. S. Ambassador to China. The Chiefs of the Army and the Navy Advisory Groups will have direct access to the Ambassador and should keep the Ambassador and the Military Attachés informed of activities and problems pertaining to their mission.

training and liaison

11. Training.

a. An Army service school system, including necessary technical schools, for the training of selected Chinese personnel, will be developed and established in China. U. S. doctrines and methods will be used in these Chinese service schools insofar as applicable. Personnel of the Military Advisory Group will not be responsible for the administration and operation of the schools, but will serve in an advisory capacity only.

b. The preliminary naval training of the Chinese will be accomplished, in the main, at a suitable base on the China coast, and will be conducted by a self-sustaining training detachment from the Pacific Fleet Training Command, assigned to the operational control of the head of the Naval Advisory Group. Training afloat will be conducted principally in ships destined for transfer to the Chinese Navy, with the responsibility for these ships and for the training conducted therein resting with the U. S. Navy until such time as they are transferred to the Chinese with Chinese crews.

c. The Chinese Government will be permitted to send selected students to ground, naval, and air technical schools in the United States. Students will be subject to the same regulations as are U. S. students and may be returned to China without substitution for violation thereof. Numbers and detailed arrangements will be as agreed from time to time between Chinese authorities and the Secretary of War or the Secretary of the Navy acting on the advice of the heads of the Army and Navy Advisory Groups and will be kept at a minimum for essential requirements. The procurement of the requisite interpreters to enable training to be initiated will be undertaken as a matter of high priority.

12. Liaison. In order to assist and advise the Chinese in the development of their armed forces, it will be necessary for members of the Military Advisory Group to participate in a liaison capacity with major field organizations. Liaison will normally be restricted to the highest levels so as to minimize the number of Americans needed and to avoid involving American personnel in operational aspects except in the case of liaison with the Chinese air and naval forces and liaison on technical Services of Supply matters. Personnel from the Air Section may be placed in all echelons down to and including squadrons in order to supervise training operations. Personnel of the Naval Advisory Group will necessarily have to be placed aboard all ships destined for transfer to the Chinese Navy and retain responsibility for these ships until such time as they can be transferred to the Chinese.

equipment and pay

13. Equipment for China. Military equipment will be provided from U. S. and Chinese sources insofar as practicable. The Chinese will procure U. S. military equipment and supplies only as agreed by appropriate U. S. governmental agency.

14. Financial arrangements. The contracts establishing the U. S. Military Advisory Group to China will include arrangements, financial and otherwise, for the discharge by the Government of China of the obligations incurred in connection with supplies furnished and services rendered by the United States.

15. Pay and allowances of U. S. personnel. All U. S. personnel will be on active duty with the U. S. Army and Navy and will be paid regularly authorized pay and allowances by the United States Government and shall be allowed the same credit for longevity, retirement and all other benefits. The Chinese Government will pay an additional allowance, payment of which will be effected by U. S. Army and Navy disbursing officers from funds furnished by the Chinese Government to the Government of the United States. The amount of such allowance shall be in U. S. dollars and shall consist of a flat 25% of an individual’s pay. In addition, the Chinese Government will furnish suitable quarters for personnel and their dependents as well as office and warehouse accommodations, and labor requirements.

jurisdiction over members of advisory group

16. U. S. service military or naval courts and authorities will have exclusive jurisdiction over all members of the U. S. armed forces serving with the Military Advisory Group and over American nationals employed by or accompanying these forces.

Tab to Annex

U. S. Military Advisory Group to China

rights or concessions desired from china

1. In negotiating contracts with the Chinese Government, consideration should be given to obtaining certain economic and military rights or concessions in China in return for U. S. support, past and future. It is recognized that the concessions or settlements desired by the Joint Chiefs of Staff represent but a portion of those which must be presented by the U. S. Government as a whole. The military list alone might represent in the eyes of China, more than the value of the U. S. support they are seeking. An effort has therefore been made to separate the items considered militarily essential from the standpoint of operation of the Military Advisory Group from other items, highly desirable though they may be, which are not required in connection with the Military Advisory Group. These other items might be partially acquired in connection with other negotiations with the Chinese.

2. Essential Concessions: Those concessions or rights considered essential from the military point of view and which are incident to the plan for U. S. military assistance to China include the following:

a. The Government of China shall not accept during the period of this contract any military advisory group, mission or similar representatives from other nations (other than customary military and naval attachés) without prior consultation with the U. S. Government.

b. Such supplies, services and facilities as may be required by the U. S. Military Advisory Group will be furnished by the U. S. Government except for necessary quarters for personnel and necessary buildings for the group and labor, all of which will be furnished by the Chinese Government. The decision as to what supplies, services and facilities are necessary for the advisory group will be made by the U. S. Government in consultation with the Chinese Government. The cost of all such supplies, services and facilities will be borne by the Chinese Government.

c. China will impose no import, excise, consumption or other tax, duty or impost, on material, equipment, supplies, or goods shipped by the U. S. from sources outside China to be used or consumed by U. S. military personnel in China. China will allow exemption of U. S. military cargo from inspection and all forms of taxation.

d. The Government of China will assist in the purchase of supplies and in procurement of leases by the U. S. Government for U. S. military, naval and air personnel in China.

e. The unrestricted use of U. S. military and governmental communications facilities and cryptographic systems will be granted U. S. military personnel and government agencies.

f. Military Advisory Group personnel will be granted the right to operate U. S. aircraft, vehicles, ships and craft over and through Chinese territory and waters.

g. China will refrain from supporting armed forces, not sponsored by the U. S., when such support would interfere quantitatively or qualitatively with the effectiveness or efficiency of the U. S. sponsored units.

h. The Chinese will agree that purchases from foreign powers other than the U. S. of arms, ammunition and military equipment will be made only after consultation with the U. S. Military Advisory Group.

i. In the event that both governments shall agree that it is desirable that U. S. personnel receive their pay and allowances in yuan, rather than U. S. dollars, the Chinese Government will agree to make available a rate of exchange which will enable an equitable purchasing power to be maintained at all times for U. S. military personnel.

3. Other Important Concessions: Those concessions or rights which are considered desirable from a military point of view in furtherance of U. S. objectives but which are not essential to the success of the plan include:

a. Development of Chinese commercial aviation, airways, communications and navigation systems under U. S. supervision.

b. Five freedoms of commercial air operations.

c. Settlement of Lend-Lease and Reciprocal Aid accounts, including disposition of items in present Lend-Lease pipeline and inventory.

d. Agreement for disposition of fixed installations; such as airfields, Ledo Road and pipeline partially or wholly constructed with U. S. funds.

e. Assumption by the Chinese Government of responsibility for claims arising out of U. S. military operations in China.

f. Agreement to furnish military, economic, and scientific information about China to the United States.

g. Preferential treatment for U. S. Government, citizens, and commercial organizations in respect of pipelines, roads, airbases, and other installations in China constructed by or at expense of United States.

h. Free access to China coast ports, including harbor facilities, with minimum pilotage rates.

i. Assurance of access for U. S. citizens and commercial organizations, on at least equal terms with other nations and their nationals, to raw materials in China.

j. Agreement to refrain from discrimination against American persons, trade, investments and other property rights and interests on the basis of “most favored nation” treatment of other countries.

k. China not to pursue or support any policy or measure, which has the effect of denying us access to, or the ready processing of strategic or critical raw materials either for current use or for future stockpiling.

l. Government of China not to divulge to any other foreign nation any classified information or permit any other nation to have access to classified equipment provided by the U. S. for China.

m. Settlement of “no rate” Chinese fund account.

n. Right to photograph and make aerial maps of those portions of China proper, including Inner Mongolia and Manchuria, which remain unmapped.

o. The right to maintain in China adequate weather facilities to meet the needs of U. S. armed forces in the Pacific and in adjacent areas.

93. Copy circulated, for consideration by the State-War-Navy Coordinating Committee, under covering note (SWNCC 83/8) by the Secretaries, October 25.
94. The Joint Chiefs of Staff approved this recommendation on October 23.
95. Infra.
96. First War Powers Act, approved December 18, 1941 (55 Stat. 838); Second War Powers Act, approved March 27, 1942 (56 Stat. 176).
97. Approved October 1, 1942 (56 Stat. 763), amending Act of May 19, 1926 (44 Stat. 565) “to authorize the President to detail officers and enlisted men of the United States Army, Navy, and Marine Corps to assist the governments of the Latin-American Republics in military and naval matters”, as amended by Act of May 14, 1935 (49 Stat. 218).
98. Post, p. 596.
99. These figures are tentative; it is considered that an ultimate strength of 300 officers and 400 enlisted men may be required. [Footnote in the original.]
100. These figures are tentative; it is considered that an ultimate strength of 300 officers and 400 enlisted men may be required. [Footnote in the original.]