Foreign Relations of the United States Diplomatic Papers, 1939, The Far East, Volume III

893.51/6984: Telegram

The Ambassador in China (Johnson) to the Secretary of State

Chungking, July 31, 1939—9 a.m.
[Received July 31—7 a.m.]

477. My 468, July 27, 11 a.m.⁷¹ The Embassy has been informed from several authentic sources which indicates that an agreement has been concluded between the Soviet Union and China whereby the former grants the latter Government credits to the equivalent of $150,000,000 United States currency presumably for the purchase of supplies in Russia. The details of the agreement are not known though there are reports that the continental [repayment?] is to be made over a period of 15 years and that the interest rate is 3% per annum. It is understood that the above credit has no relation to the commercial treaty recently concluded between China and the Soviet Union⁷² but may be an extension of the barter agreement.

Repeated to Peiping.

Johnson

71. Not printed.
72. Signed at Moscow, June 16, 1989; text in translation transmitted to the Department by the Ambassador in China in his despatch No. 497, April 2, 1940, not printed (661.93331/34).