893.5151/9–2148: Telegram
The Ambassador in China (Stuart) to the Secretary of State
[Received September 22—12:09 a.m.]
1741. For Department and Treasury. Protocol Department of Minister Foreign Affairs has notified Embassy and all other diplomatic representatives provisions customs notification 237 and requested representatives notify their nationals in China.
Notification stipulates a limitation on Chinese currency notes carried by passengers into or taken from China in amount of gold yuan $20. Notification further advises of repeal previous regulations governing remittances of funds to Shanghai and Canton from other parts of China and repeal of restrictions on amounts of currency transferred by air within China by banks or carried by air passengers.
Embassy understands limitation on international movements of Chinese currency was originally proposed at gold yuan 100 or gold yuan 500. Present very low limitation appears ridiculous and will lead to difficulties enforcement. Hong Kong was prepared accept financial agreement with China under which Hong Kong would agree impose and enforce complementary restriction on movement of Chinese currency into and out of Hong Kong. Discussion this point almost terminated when Chinese authorities proposed 20 dollar limitation [Page 409] which Hong Kong representative felt completely unrealistic but reluctantly accepted.
First two paragraphs above have been used as Circtel to all China posts requesting regulations be publicized to American community.