800.8890/11–2948: Airgram
The Consul General at Shanghai (Cabot) to the Secretary of State
[Received December 2—9:56 a.m.]
A–1049. During recent informal discussions with the local managers of the companies operating American ships, and also some British managers, it has been learned that in all cases there is no present intention to suspend or even curtail operations even if the Communists were to occupy Shanghai. While it is clear that they have given the matter careful consideration and recognize the difficulties and dangers [Page 900] that may arise under a Communist regime, most of them feel hopeful that Communists would recognize that it would be to their own advantage to permit business to continue as usual.
The manager of one British shipping company frankly stated that after being here for 120 years, his company had no intention of leaving now.
The employees of some American lines are sending their families home. Others plan to remain at least for the present. In the case of the American President Line, the largest American company, all dependents of American employees are expected to be out of China by about December 15th.
The China Merchants Steam Navigation Company, Chinese Government owned, has made no arrangements for moving their offices from Shanghai as yet, although they look on the future with more anxiety than the foreign companies.