Report from Julian F. Harrington to the Department of State

FOREIGN SERVICE OF THE UNITED STATES OF AMERICA 6 SECURITY : worr PRIORITY: AIR. PRIORITY For Dept. use only. R TO : Department of State 742.00 (w) /4-2850 E MAY C D 1 FROM : OTTAWA 518 April 28, 1950 A C OLI T REF : I O N SUBJECT : JOINT WEEKA NO. 17, FROM SANA I N DCR F o EUR IE POLITICAL P E AIR Canada's position on China may be shifting It was CIA believed earlier in the year that Canada would extend S/MDA recognition to the Mao Government almost at once, but ARMY a Department of External Affaire official stated recently NAVY that the Government le still undecided whethor to take this action. This marks a definite slowdown in the Canadian approach to the question and a possible shift- mls ing to a "sit tight until further devolopmente" attitude. China's cold reaction to recognition by Great Britain and India, coupled with the delicate situation created by the USSR's rofusal to accept Nationalist delegates as China's representatives in the United Nations has tended to give rise to an air of caution in Ottaws. There is a strong auspicion hore that the USSR le more interested In prevent- ing recognition than encouraging it, and as a result, the feeling prevaile that recognition by Cannãa would not improve relations with the USSR. It is also folt that recognition night prove somowhat embarrassing to Canada from the standpoint of understandings with the democrecies in the United Nations. In addition, reports from llong Kong, which have dampened British hopes for an advantageous trade position in China following recognition, have had a profound offect on Canadain thinking and have detorred advocates of recognition. Ganadian impatience over delay of United States approval of St. Lawrence Seaway. In a recent speech at Sarnia, Frime Minister St. Laurent said Canada is "waiting patiently, but a little less patiently as time goes on" for the United States Congross to approve the St. Lawronce Seaway. During past months, it has beon frequently stated 30100 both in federal and provincial political circles that if the combined power and navigation project were not soon implemented, there would have to be a resuscitation of 4/28/50 THE DECLISSIFIED 'NATIONAL ARCHIVES AND give E.O. 11652, Sec. 3(E) and 5(D) RECORDS E.O. 10501 : SERVICE' By NLT-NL NARS Date 6-23-75 THIS IS NOT A PERMANENT RECORD COPY. Retain in office files or destroy in accordance with security regulations. Reproduction of this message is not authorized.