740.00119 PW/3–2046: Telegram

The Counselor of Embassy in China ( Smyth ) to the Secretary of State

526. Evacuation of Mukden by Russians, which commenced on 7 March and was completed on 14 March, most significant development of week. Later reports from Harbin indicate possibility that further withdrawals are contemplated. (MA summary report for week ending March 16.) Any Communist attempt to forestall Central Govt, occupation of Mukden, if contemplated, failed to materialize. Central Govt, occupation accomplished with little difficulty.

Situation North China generally quiet. Some difficulty has developed in Jehol where Communists are reported to have been increasing their strength presumably to forestall Central Govt, attempt to occupy Chengte. Conditions in Shantung improving with good progress reported in efforts to restore communications and lift Communist food blockades of Central Govt, garrisons. Communists in Shansi appear to be continuing sporadic attacks on Central Govt, held positions along Tung-Pu railway according to Chinese G–2 reports, but the evident determination of Yen Hsi-shan to retain a considerable force of Japanese under arms within Shansi is not helping the situation.

Water lift of new 1st Army from Kowloon to Shanhaikuan is reported two-thirds completed. Water lift of 71st Army from Shanghai to Shanhaikuan commenced on 11 March.

Repatriation Japanese proceeding at accelerated rate with greatest progress reported from Formosa. Daily average repatriates, civilian and military, now in excess of 13,000.