711.9327/11–2946: Telegram
The Ambassador in China (Stuart) to the Secretary of State
[Received November 30—1:25 a.m.]
2002. Negotiations for Sino-American air transport agreement concluded today and agreement and letter initialed by duly authorized [Page 1260] representatives of both Governments. No changes in agreement except the two Department requested, to wit “United States of America” and “Republic of China” in preamble and “or its successor” in article VIII. The following changes made in letter:
1. Paragraph (C) revised to read as follows:
“The Government of the United States is desirous of obtaining the right for United States carriers to serve other international traffic points in China beyond those mentioned in the present agreement. The Government of China does not wish to extend these points at present but will be ready to give prompt consideration thereto when conditions justify.”
This change was made because the Generalissimo objected to statement that conditions in China were unsettled and because he insisted that the political situation here made the express mention of Dairen and Mukden and Manchuria untenable.
2. The following paragraph was added to the letter as (F):
“The Government of the United States agrees that if at any time it should enter into an agreement with any other nation adopting formulae for the predetermination of frequencies or capacity, it will enter into a similar agreement with the Government of China.”
The Generalissimo and the President of the Executive Yuan wanted a provision in the agreement stipulating that the frequencies and capacity of American airlines could not exceed that of Chinese airlines. However, they agreed to settle for paragraph (F) of the letter.
The agreement and letters will be formally signed as soon as the official translation is completed. In view of Chinese language intricacies and adaptation of this language to the technical terms of this agreement, the official translation will probably require about 10 days.
It has been agreed that no reference will be made to the letter in our press release but that it may be shown to our interested airlines on a confidential basis and, of course, filed with PICAO.
Powell is therefore planning to return to US forthwith. Embassy is most appreciative of services he has rendered in these negotiations.
[For text of civil air transport agreement between the United States and China, signed at Nanking, December 20, 1946, see Department of State Treaties and Other International Acts Series No. 1609, or 61 Stat. (pt. 3) 2799. For Department press release concerning the agreement, see Department of State Bulletin, January 5, 1947, page 30.]