893.24/1–748

Memorandum by the Chief of the Division of Chinese Affairs (Ringwalt) to the Director of the Office of Far Eastern Affairs (Butterworth)

Sale of Combat Aircraft Applicable to the 8⅓ Group Program

I have been checking with the various interested Government agencies in regard to the above transaction in order to ascertain whether this Program were proceeding smoothly.

On your instruction I informed Dr. Tan on January 2 that we were now prepared to negotiate for the sale of these aircraft.

Colonel Kingman, Field Commissioner for Military Programs—OFLC,10 assures me that he now has the necessary authority to negotiate the sale of these aircraft and is merely awaiting declaration to OFLC of these aircraft as surplus.

Colonel Sterner of the Department of the Army informs me that it is clearly the responsibility of the Department of the Air Force to make the necessary surplus declarations.

Colonel Yates of the Department of the Air Force gives me the following rather gloomy picture: All available combat aircraft which could be declared surplus for the Program are in storage. Until or unless there is some definite indication from the Chinese that they want these aircraft, the Department of the Air Force does not contemplate taking any action. It is noted in this connection that the Chinese have not yet signed the master agreement covering the sale of Zone of the Interior surplus earmarked for this Program. Regulation requires that aircraft have to be declared surplus by serial number. For this reason, each aircraft has to be handled as an individual reconditioning project. Reconditioning of the 130 aircraft called for will take considerable time, perhaps six to eight months. Experience has shown that up to 50 per cent of aircraft placed in storage under similar circumstances have proved to be insusceptible of reconditioning. (I infer from talking to Colonel Yates that the China Program has a low priority and if China really wants to buy these planes, it may take a little high level table-pounding to expedite action.)

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The Department of the Air Force is writing a letter to Colonel Kingman telling him what plans will be available and requesting that he ascertained the Chinese wishes in the matter.13

A[rthur] R. R[ingwalt]
  1. Office of the Foreign Liquidation Commissioner.
  2. Marginal notation by Mr. Butterworth: “Whatever the priority the first step seems to be for the Chinese to inform FLC that they want the planes promptly”