711.94/2506

Memorandum of Conversation, by the Secretary of State

The Minister of Australia called at his request. His purpose was to inquire whether the proposed modus vivendi had been abandoned permanently, to which I replied that I so considered it. He expressed great concern and desired to know more about the movements of Chiang Kai-shek and others intended to discourage the further consideration of the modus vivendi. I referred to copies of British communications on the subject, adding that Ambassador Halifax was strong for the proposal all the way and that I sympathized with his situation but I did not feel that the communications from Churchill and Eden, with qualifications such as were in them, would be very helpful in a bitter fight that would be projected by Chiang Kai-shek and carried forward by all of the malcontents in the United States, although I felt unreservedly that Churchill and Eden, like the British Ambassador here, would be for whatever we might do, even though not entirely to their liking in every way. The Minister inquired whether I thought it would be feasible to take up this matter further with the Chinese and I replied that I did not think so, so far as I am concerned. I thanked the Minister for his cooperation and that of his Government.

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