893.24/8–2445

The President of the Chinese Executive Yuan (Soong) to the Administrator of the Foreign Economic Administration (Crowley)23

Dear Mr. Crowley: Replying to your memorandum of August 22, 1945 covering our conference regarding Lend-Lease for China, the Chinese Government will agree to the following:

(1)
With respect to Paragraph 1, all goods shipped to China are receipted for by the Chinese Supply Commission in the United States [Page 1134] when the Chinese Supply Commission signs the ocean bill of lading. These goods are thereupon charged to China under Lend-Lease. Russia and the United Kingdom received goods in the same way. We believe that with respect to the goods that have been shipped from the United States, including the stockpiles in India-Burma, these goods should remain a charge to us under Lend-Lease, so that China is not placed under a less advantageous position than these other countries.
However, in the event your administration feels that it could not give China the benefit that we believe these countries have received in such matters, we will agree to take such materials as we can use from the inventories referred to in your paragraph 1 at fair current values to be mutually agreed upon.
(2)
We will review the items in process of procurement and manufacture and determine which of these items we wish to have completed, as referred to in your paragraph 2. We do, however, hope that paragraph 2 will be enlarged to cover services being rendered such as the training program for 1200 technicians that is already under operation, and the Chrysler automotive service contract.
(3)
Subject to the qualifications above, we agree to the terms of your paragraph 3.
(4)
In connection with aid to China, we wish to bring to your attention at this time China’s pressing needs for reconstruction. Our original five year programme called for more than four billion dollars, but in order to shorten the period of application to three years, we have arrived at a minimum programme of about two billion dollars. This programme will include also the essential needs of Manchuria and Formosa, which reverts to China at the end of the war.

The main items for this reconstruction programme are set forth in the accompanying summary.24 Thanking you for your kind attention,

Sincerely yours,

Tse Vun Soong
  1. The substance of this letter was sent to the Ambassador in China in Department’s telegram No. 1354, August 29, 6 p.m. (103.9169 [/8–2945]).
  2. Not attached to file copy.