Memorandum Regarding Formosa

DECLASSIFIED (Handed to Mr. Merchant PX E. O. 11652, Sec. 3(E) and 5(D) or (E) 3-16-16 by Mr. graves 12-6-49) E10 Dept. of State letter, Aug. 9, 1973 By NLT-HC , NARS Date 7-27-76 777/26/49 MEMORANDUM Formosa According to information received by His Ma jesty's Government substantial quantities of American military equipment are now reaching Formosa. A hundred tanks and eight B.25 bombers were recently unloaded, and it is reported that further large consignments of tanks as well as up to one hundred additional B.25 bombers are expected. Aviation spirit is included amongst other essential military supplies reported to have recently arrived in Formosa from American sources. As far as is known, many of these items seem to have been purchased by the Chinese Nationalist authorities from American surplus stores through private contracts with individual American firms, the necessary export authority having been given by the State Department. 2. During Mr. Bevin's visit to "ashington in Sep- tember last his advisers gained the impression, from talks with officials of the State Department, that the United States Government had concluded that no practical steps could be taken to prevent Formosa falling into Communist hands, and that such a development was in fact inevitable. For this reason the continuing supply of military equipment does raise in the mind of His Ma jesty s Government a doubt as to whether this course will not eventually bring about a dangerous state of affairs. Unfortunately it is to be feared that limited support to the Chinese Nationalists in the Island will be inade- quate to stop the Chinese communists from securing control, sooner/