893.6463/4–2849: Telegram

The Consul General at Shanghai (Cabot) to the Secretary of State

1409. Hopkins, Shanghai Power Company, called this morning after reference telegram25 had been sent and generally confirmed picture given therein. He wants positive assurances continued fuel oil supplies for Power Company. I told him my instructions envisaged no blocking continued fuel oil supplies provided Communists generally behaved themselves but we wanted fuel oil supplies in city at moment Communist take over to be low but adequate. (Remytel 1388, April 27, 10 a. m.). He said he had been able only through ECA intervention have fuel oil unloaded from ship on Monday26 in sufficient quantity keep power company running after April 30. I said I certainly thought ECA funds could be used maintain fuel oil supply on hand for 30 days in advance. I pointed out fuel oil paid for by ECA could not be delivered in Shanghai after Communists take over but reiterated there should be no difficulty in delivery fuel oil provided Communists arranged payment for it and behaved themselves. I pointed out powerful weapon [Page 1010] this placed in our hands to which Hopkins vigorously assented. Hopkins would like positive assurances of no diversion before Communists take over. I feel he should be given such assurances so long as supplies not excessive. We emphatically do not wish to be placed in position stopping life this city unless and until Communists have justified such action by their own misbehavior.

Please instruct.

Cabot
  1. Text printed from corrected copy received April 30, 9:10 a. m.
  2. Supra.
  3. April 25.