893.51/7311
Sir Frederick Phillips, of the British Purchasing Commission, to the Assistant Secretary of State (Acheson)
Dear Mr. Acheson: You will recollect our previous conversation12 on the subject of an economic mission to China, following the request to that effect which had been made by General Chiang Kai Shek. The British Government have considered the suggestion which was mentioned at our meeting, that an economic adviser or advisers should be appointed, but in view of the Chinese dislike of anything savouring of foreign tutelage they doubt whether that Government would welcome an attempt to appoint an adviser at the outset, rather than a mission for which they have asked.
Accordingly, the British Government contemplate appointing as their representative Sir Otto Niemeyer,13 whose services would be available for a limited number of months, their idea being that in collaboration with whoever is selected by you he would examine the position and make suggestions as to the measures needed to maintain Chinese economy. If it appeared to the Mission that arrangements should be made for providing some more permanent channel of advice to China after their departure, they could, of course, consider that matter and make recommendations. But in the meanwhile it is intended that they would use the weight of their authority to urge such reforms as may be immediately necessary and practicable.
Sir Otto Niemeyer would be ready to start about the middle of July and would travel via the United States in order to have the benefit of discussion here.
You have probably heard that there has been difficulty in China in connection with the proposed appointment of Mr. Rogers to the Stabilisation [Page 672] Board. If that problem has not been previously settled. Sir Otto Niemeyer would be in a position to deal with it.
Would you very kindly let me know whether these ideas appear to you as suitable, and what arrangements you are contemplating making on your side.
Yours sincerely,