711.41/8–2649: Telegram
The Ambassador in the United Kingdom (Douglas) to the Secretary of State
[Received 8:02 p. m.]
3410. During the final round-up before my departure I discussed following subjects with Bevin:
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(2) China. We went over the general position with respect to Communist China and spelled out the differences between the British [Page 69] attitude and our own. I pointed out that it was our feeling that a new Communist government in China could be more forcibly convinced of its dependence on western economic assistance and normal economic and financial relationships by withholding such assistance and only granting help in consideration for specific concession. Bevin understood this, but stated as British belief that it would be wiser to remain in China, maintaining trade relations and establishments in order thus to influence the Chinese Communists in our favor. He felt that a great mistake had been made at the time of Sun Yat-sen revolution27 by hanging on to the Manchu dynasty and believed that in the long-run it was better to stay in China and attempt to influence developments. He said that UKG28 was seriously considering escorting merchant ships up to the limits of territorial waters in spite of Nationalist Government blockade.
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