793.00/10–1454: Telegram

No. 339
The Ambassador in the Republic of China (Rankin) to the Department of State

top secret
priority

272. Eyes only Secretary and MacArthur from Robertson. Rankin, McConaughy, and I had three meetings with President today totaling approximately seven hours. Vice President Ch’en Ch’eng, General Chang Chun, Premier O.K. Yui, and Acting Foreign Minister Shen present. Present proposal following talking papers closely. President’s reaction strongly adverse as expected. He is deeply suspicious this new proposal will be used as opening wedge for submission of Formosa question to United Nations and for seating of Red China. His misgivings shared by participating advisers. President strongly urges United States to use influence not submit resolution. If New Zealand is to proceed in any event, and is supported by US delegate, psychological impact on morale of army, people and overseas Chinese will be disastrous unless (1) US [Page 755] delegate takes position that US Government is supporting resolution because it considers Red China aggressor in attacks on Nationalist held territory, and (2) that simultaneously with or preferably before submission to United Nations US announces it is initiating negotiation of mutual defense pact. Such treaty to be signed if possible before action by Security Council. Under these conditions Chinese delegation would not announce its opposition but would reserve position awaiting reaction of Communists.

President emphasized repeatedly he would greatly prefer no proposal be submitted to United Nations and that we use influence with New Zealand to this end. The three of us recommend that you postpone action until Chinese position can be considered by Secretary and they be advised of our decision. Chiang clearly understands that treaty will be defensive and that no offensive action could be taken except by mutual consent. Telegraph Rankin text New Zealand proposed resolution soonest.

Rankin