894A.00/11–1949: Telegram

The Consul General at Taipei (Macdonald) to the Secretary of State

721. C. C. Huang of PPC53 tells us Governor Chen’s opinion that people are solidly behind Government is not correct and that dissatisfaction is general. Greatest fear is that Kmt Govt would come Taiwan from Chungking, placing further heavy burden on Taiwan. Feeling is local Kmt Government bound to collapse sooner or later due lack of funds and people will not back lost cause to detriment future treatment by Communists. Good men will not run in forthcoming elections. However, if American interest were known and support available, people would renew activity with hope of salvation.

Huang claims he has been urging Governor Chen Cheng group to issue proposed series new defense regulations which would only perturb people and to place emphasis on improving present setup rather than follow usual Chinese tendency to reorganize. Cite Chen proposal to divide island into innumerable small districts under new local self-rule plan in order accommodate maximum number officials rather than continue highly efficient Japanese system of five principal hsiens. Huang expressed particular displeasure with Peace Preservation Corps of General Peng for such things as suppressing signs in English and requiring shops mark prices. Latter resulted in immediate 30 percent price increase in fear of imminent price freeze.

Macdonald
  1. People’s Political Council.