893.00/1–749: Telegram
The Consul General at Shanghai (Cabot) to the Secretary of State
[Received January 7—3:58 p. m.]
63. Most Shanghai papers January 7 give prominent coverage Car-sun Chang’s42 statement yesterday on peace possibilities. Chang states key to door of peace lies in reviving freedom of discussion political problems. Government ban on past peace discussions made it impossible for anyone to work for nonmilitary settlement. Chang urges that non-Kmt political leaders who in past have had close connections with CCP be invited join peace negotiations to utilize their knowledge Communist policies. Declares that some Communists including Chou En-lai and Tung Pi-wu43 not unmindful of China’s welfare and inclined towards negotiated peace. Believes official Communist silence on Government peace overtures may reflect contention in Communist leadership views. Communists well aware their own military and political capacities and realize they can’t swallow whole country one gulp. Therefore still hope for peace parleys, Chang discounts possibilities of foreign mediation.
Sent Nanking 50, repeated Department 63.