893.00/11–2349: Telegram

The Consul General at Taipei (Macdonald) to the Secretary of State

740. During call this morning K. C. Wu80 criticized Acting President Li severely for refusing proceed Chungking to confer with Generalissimo. According Wu, Li is not seriously ill and merely used illness as excuse for refusing see Generalissimo.

Wu said that he (Wu) had written off the mainland early last summer but that Generalissimo believed southwest could be held, but after fall of Canton Generalissimo also wrote off mainland. Wu describes Generalissimo’s present visit to Chungking as burial service of mainland.

“Conditions on Hainan Island are much more serious than most people realize,” said Wu. The command there is divided and Wu does not expect the island to hold out much longer.

With respect to Taiwan, Wu said that at least there is a unified command. He said that, although he and other people do not approve of many of General Chen Cheng’s decisions, they at least support him and do not put obstacles in his way. He remarked that Governor Chen’s greatest fault is his narrowness and depending entirely too much on his old cronies.

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Wu is leaving tomorrow for Hong Kong where he will join Senator Knowland and accompany him to Chungking where Knowland will meet the Generalissimo. Morale is, according to Wu, getting lower and lower and defeatism spreading rapidly even in Taiwan. If US is going to give any increased aid to Taiwan, Wu said that it must come before end of year in order to be of any good whatsoever. The future is definitely black and Wu made no attempt paint an optimistic picture this morning.

Sent Department 740; repeated OffEmb Hong Kong 222.

Macdonald
  1. Former mayor of Shanghai.