893.00/3–3048: Airgram
The Ambassador in China (Stuart) to the Secretary of State
[Received April 6—8:40 a. m.]
A–92. At the weekly press conference held on March 24, 1948, Mr. Hollington K. Tong, Director of the Chinese Government Information Office, issued the following statement regarding measures for suppressing the rebels in Central China:
“The Central China Pacification Conference which was held in Nanking last week has reached many new decisions on how to counter the Communist three-objectives-seeking tactics, their Crossing-the-Yangtze-In-May [Page 172] plan, and their plot of creating a Base in the Central Plain.
“Generally speaking, the Communists met with failure in Central China during the last 6 months. Liu Po-cheng49 failed to create a base either in the Tapiehshan area, or in the Funiu hills in western Honan or in the Tahungshan area in northern Hupeh. He had to depend on manpower and supplies brought over by Chen Yi,50 which usually did not arrive in time. Later on, both of them unsuccessfully tried to get men and supplies locally. Now the Government has decided to start a large-scale general offensive to round up Red remnants in Central China.
“The general offensive will be prosecuted through coordination among the Government’s military, political and economic authorities in this region. The powers of the pacification commanders will be enlarged; local militia units will be organized and expanded; and the people will be taught to defend their own homes so that they will not be forced to join the rebel units, or to supply rebels with foodstuffs. Without food and manpower supplies, the Communists will be powerless. Then the might of Government forces together with the militiamen will put an end to the Communist expansion in Central China.
“The Communist plan of crossing the Yangtze River in May will also prove futile, because they have no base in the rear to operate from and no sufficient supplies of recruits and ammunition to see them through.
“When measures of the general offensive are enforced certainly a change will occur in Central China. During the next 6 months, Liu Po-cheng may have to flee to the north of the Yellow River just as Chen Yi has done.
“In order to protect the farmers, an early solution to the land problem has to be worked out. This may be done in two stages: first, by equalizing the right to land utilization and secondly, by equalizing the ownership of land.
“To realize the ‘land for the tillers’ principle, the Government will see to it that every tiller has a piece of land to till. A ceiling will be put on the size of land one may have. Land bonds will be issued. By these two measures, the farmers will be aided to acquire land. At the same time, the Government will reduce land tax and order the landlords to cut one-third land rentals by one-third.
“In the past there were numerous kinds of taxes in kind. Henceforth, these taxes will be merged into one, which is to be fixed by the local city council. The Government will also forbid local Government organs and garrison forces to levy direct tax on the people.
“To encourage volunteer soldiers and to bolster the morale of fighting men on the front, the Government will start cheer-up campaigns. Families of soldiers will be cared for and given land. Every soldier is entitled to three to five mow of land. These new measures will undoubtedly have a stimulating effect on the men fighting the Communist rebels.”