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RESTRICTED Comparisons with U.S. aid agreements- The 'magnanimous" Soviet aid to China is contrasted with ERP and NAP which imposed duties and burdens on the recipients of American aid. The one-percent interest on the Soviet loan to China is con- trasted with the interest of three to three and a half percent charged by the U.S. Attention, however, is not drawn to the size of the Soviet loan. WESTERN-ORIENTED COMMENT: Practically all Western-oriented comments agree that probably there are secret clauses modifying the outward appearance of the announced treaty and agreements. (In this connection, only one radio in the Communist sphere-- Radio Berlin--makes an explicit reference to the subject, claiming that there is "no room for any secret clauses such as were customary with the imperialist powers." That the news represents a decided Soviet-Communist propaganda victory, however, is generally conceded. A French commentator contends that the treaty and agreements are "going to be powerful instruments of anti-colonialist propaganda" for both China and the USSR. (The clause promising non-interference in the internal affairs of either country is called an especially important victory for Mao.) There is also agreement that the treaty is directed primarily against the United States. And among those considering the subject, there is agreement that the possibility of Titoism in China has been minimized, if not written off completely. Critical comments point to the limited amount of the Soviet loan and note the absence of treaty references to Sinkiang. They also predict that time and events will reveal the sacrifices to be wrung from China in return for the announced Soviet concessions; the relations between the Soviet Union and her European Satel- lites are pointed to as a precedent for what can be expected. RESTRICTED

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    "ocrText": "RESTRICTED\nComparisons with U.S. aid agreements- The 'magnanimous\" Soviet aid to China is\ncontrasted with ERP and NAP which imposed duties and burdens on the recipients\nof American aid. The one-percent interest on the Soviet loan to China is con-\ntrasted with the interest of three to three and a half percent charged by the\nU.S. Attention, however, is not drawn to the size of the Soviet loan.\nWESTERN-ORIENTED COMMENT: Practically all Western-oriented comments agree that\nprobably there are secret clauses modifying the outward appearance of the announced\ntreaty and agreements. (In this connection, only one radio in the Communist sphere--\nRadio Berlin--makes an explicit reference to the subject, claiming that there is \"no\nroom for any secret clauses such as were customary with the imperialist powers.\"\nThat the news represents a decided Soviet-Communist propaganda victory, however, is\ngenerally conceded. A French commentator contends that the treaty and agreements are\n\"going to be powerful instruments of anti-colonialist propaganda\" for both China and\nthe USSR. (The clause promising non-interference in the internal affairs of either\ncountry is called an especially important victory for Mao.) There is also agreement\nthat the treaty is directed primarily against the United States. And among those\nconsidering the subject, there is agreement that the possibility of Titoism in China\nhas been minimized, if not written off completely.\nCritical comments point to the limited amount of the Soviet loan and note the\nabsence of treaty references to Sinkiang. They also predict that time and events\nwill reveal the sacrifices to be wrung from China in return for the announced\nSoviet concessions; the relations between the Soviet Union and her European Satel-\nlites are pointed to as a precedent for what can be expected.\nRESTRICTED"
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