Memorandum from Admiral William Fechteler to President Harry S. Truman

543.1010 (see memo 3217/52) COPY Op-00/mn Serial: 01P00 (2 January 1952) CONFIDENTIAL SECURITY INFORMATION DECLASSIFIED MEMORANDUM E.O. 12065, Sec. 3-402 State Dept. Guidelines, March 6, 1982 For: The President By DEB NLT, Date 4-8-85 Subject: British sea-borne trade with Communist China Between 1 July 1950 and 30 November 1951 a total of at least 167 British registered and British owned merchant ships have engaged in trade with Communist China. The total gross tonnage of these ships is over one million. British controlled shipping accounted for over half of the non- Communist registered shipping tonnage in the China trade in this period. There are at least 163 ships registered in other non-Communist coun- tries which were, between 1 July 1950 and 30 November 1951, engaged in slightly less than one million. trade with Communist China. The total gross tonnage of these ships is Over the period stated above, the monthly average of voyages of British ships engaged in the China trade has been forty-eight. Since midsummer there has been a reduction in the number of monthly voyages of these ships. In September there were thirty-six, in October thirty-one offset by an increase in Communist flag traffic to China, especially Polish. and in November thirty. This decrease in British owned tonnage is partially Communist charters of British registered shipping to handle normal trade to India and South America has released Polish flag vessels for the China almost exclusively in China trade. trade. In addition continuing Communist ship purchases are being employed We estimate that Communist China imported a minimum of 600,000 short tons per month by ship during 1951. This compares with an estimated monthly eastbound capacity for the Trans-Siberian Railroad of 670,000 short tons. Although the voyages of British registered and owned ships in the China trade have decreased in the last few months, British citizens have sold to the Soviet bloc at least twelve ships through intermediaries. Negotiations are believed to be currently underway for the sale of at least four others.