693.95/1–1651: Telegram
The Ambassador in the United Kingdom (Gifford) to the Secretary of State
priority
3926. 1. In a telegram from Peiping received in Foreign Office, Hutchison1 reports Panikkar’s views on cease-fire proposals about as follows: China might be prepared agree to proposals but only provided cease-fire were implemented at same time other outstanding issues implemented. In other words, Chinese would not agree to cease-fire as prelude to negotiations on other issues, but they might agree that as part of overall agreement there should be cease-fire in Korea which, however, would not take place until agreement reached on other points at issue. There is general understanding among Chinese leaders cease-fire is probably last opportunity reach peaceful settlement outstanding issues before sanctions applied and Chinese reconstruction started, but there is general feeling there should be no compromise and no terms acceptable other than those indicated.
2. In discussing above message, Scott said Chinese reaction to cease-fire proposals as described by Panikkar was about what might have been anticipated. He made it quite clear any settlement along lines suggested by Panikkar as being acceptable to Chinese would not for a moment be considered by UK. Even India he thought could not support it. Chinese rejection of cease-fire proposals would likely be followed by UN action branding China as aggressor and assumably attempt apply sanctions. What concerned UK was consequences of such an attempt. Did US contemplate there should be limited war against China and, if so, had sufficient thought been given to what this might entail? Scott mentioned study just completed by British Chiefs of Staff pointing up relative invulnerability of China to air attack, blockade or invasion (see Embtel 3927, January 16).2 He said British Embassy would shortly hope discuss problem with Department.