The Ambassador in China (Stuart) to the Secretary of State
[Received June 25—9:22 a.m.]
1395. For Under Secretary Acheson from Butterworth. Would greatly appreciate it if you would take note of recent interchanges between Department and Embassy on subject of post-UNRRA relief for China in which three important questions were raised: (1) whether the program will be $30,000,000 or $60,000,000; (2) whether it will result in China getting more wheat and rice; and (3) methods of distributing relief.
The importance of (1) and (2) requires an early and, I believe, favorable decision. I might add that while, from a political point of [Page 1322] view, having in mind present precarious situation in China, non-extension of Eximbank earmark,45 and limited practicable means of assistance open to us, it seems highly desirable that we give China $60,000,000 for post-UNRRA relief and obtain for China increased international allocations of rice and wheat, Department should be under no illusions that a completely satisfactory scheme for the utilization of post-UNRRA relief can be worked out and implemented in the China of today. Therefore, as regards (3) I would suggest the sending to China, at any rate on a brief trip, of an informed and responsible officer from the Department who would be able to play an authoritative and decisive part in discussions on the mechanism of distribution and relief. Chinese authorities have now indicated their desire to conclude a formal contract as rapidly as possible and, therefore, designated officer should depart shortly by air.
For your ready reference, following are recent and pertinent telegrams: Embtels 1370, June 21, 7 p.m.; 1380, June 24, 8 a.m.; Deptel 738, June 17, 8 p.m.; Embtels 1275, June 12, 11 a.m., and 1276, June 12, noon. [Butterworth.]