Marshall Mission Files, Lot 54–D270: Telegram

General Marshall to Colonel Marshall S. Carter 58

672. T. V. Soong just reported price proposal on Maritime Commission ships to China:

  • N 3–S–A 2 cargoes 390,000.
  • C 1–M–AV 1 cargoes, 640,000.
  • EC 2–S–C 1 Liberties, 639,000.
  • VC 2–S–AP 2 Victories, 979,000.

Terms, 25% cash and 75% credit, total cost about 100,000,000. Is there any possibility, first, of securing reduction in price to first and second, in percentage of cash required? Emphasize immense importance to China and related importance to United States of getting limited Merchant Marine established and avoiding heavy drain on present precarious Chinese financial situation. The Chinese Government cannot afford to delay to negotiate and yet I am inclined to think that prices quoted are on a world-wide basis which to my mind is not logical in dealing with the Chinese problem which is very much our problem strategically and diplomatically.

  1. Successor to Colonel Davis as General Marshall’s representative in Washington.