893.51/7–1245
Dr. H. H. Kung to the Secretary of the Treasury (Morgenthau)91
Dear Mr. Secretary: I am in receipt of your letter of June 27, 1945 in which you stated that you were informing the War Department [Page 1109] of the successful termination of the negotiations with respect to U. S. Army yuan obligations in China for the last quarter of 1944. The terms of the settlement of these negotiations as agreed upon at our conference on last Friday afternoon, June 22, are as follows:
[Here follows quotation of paragraphs numbered 1 to 3 of Mr. Morgenthau’s letter, printed supra.]
With reference to paragraph 2, you will recall that in our last settlement I had the pleasure to undertake for my government to provide for this item as mutual aid, and I am glad to be able to include a like provision in respect of the period October 1, 1944 to December 31, 1944. You will of course appreciate that after this date, and as to the future, with the number of American troops increasing considerably and likely to become very much greater and the lack of supplies needed by American troops, I am not in a position to commit the Chinese Government to a continuation of this arrangement.
I wish to take this opportunity to express to you my appreciation for your close cooperation in the difficult years of the war and feel confident that you will continue your splendid work of promoting and strengthening the friendship between our two countries.
Yours sincerely,
- Copy transmitted to the Department of State and to the War Department by Secretary Morgenthau on July 12.↩