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DECLASSIFIED E.O. 11652, Sec. 3(E) and 5(D) or (E) Dept. of State letter, Aug. 10, 1972 By NLT-AC NARS Date 5.25.25 4-5 cluff with Mr. Hornbeck 38 by T.V. 500mg Dec 4, 1940. 77W 1. During her war with China Japem has alrendy lest 1,100,000 suldiers DCG through deaths and invalidation by battle and disease. She is obliged to file keep nbout 1,250,000 soldiers in China, emelmaive of Calmese suo- cess in resisting the vastly supesior aquigment and reseurees of the Japanese aray has been due to deliberate strutegy of yielding ground vismover - able but without over allowing the any to and the of inter- sive guerilla varfare ao that the emony is begged dom in Chima. 2. Japan now realises that it is not pescible to esuch the Chinese agmics, and is withdresing treepe frem Chima for hee advutee inte Inde-China, the Dutela East Indies, and Malaya. She is - them - to an *easy* peace with Chine, in the event of fimal Metery over the British Empire any favorable pease terms with Chima could to Gesmany is of course trying to modiate betwees Chima and 3. After three and a half yeare of destrustive Ccinese peeple and aray are feeling the besaume (1) with the lesa of their rishest texe ritery and sources of revenus, and being obliged to keep in the field a regular anay et 2,500,000 - with 2,000,000 guerillas, their finsncial and economie situation is rapidly groving weres. Internal prices have risen sevan or eight fold and umcontrolled inflation is directly ugon China, unlese substantial out- side assistence is innediately fortheoning; (2) Chinese national resistance has been sustained under greatest adversities due to belief that the democrasies will eventually win the war. The collapee of France, the supronder of the little countries by default, end the contimued success of Gorman arms tend to shade this bolief. (3) In the air the Chinese anny in the beginning relied on Amork ean mahines, and in the seeand and third years of the war on Russian planes ARCHIVES ANATIONAL AND of RECORDS SERVICE*

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Page context
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    "ocrText": "DECLASSIFIED\nE.O. 11652, Sec. 3(E) and 5(D) or (E)\nDept. of State letter, Aug. 10, 1972\nBy NLT-AC NARS Date 5.25.25\n4-5 cluff\nwith Mr. Hornbeck\n38\nby T.V. 500mg Dec 4, 1940.\n77W\n1. During her war with China Japem has alrendy lest 1,100,000 suldiers DCG\nthrough deaths and invalidation by battle and disease. She is obliged to file\nkeep nbout 1,250,000 soldiers in China, emelmaive of Calmese suo-\ncess in resisting the vastly supesior aquigment and reseurees of the Japanese\naray has been due to deliberate strutegy of yielding ground vismover -\nable but without over allowing the any to and the of inter-\nsive guerilla varfare ao that the emony is begged dom in Chima.\n2. Japan now realises that it is not pescible to esuch the Chinese agmics,\nand is withdresing treepe frem Chima for hee advutee inte Inde-China,\nthe Dutela East Indies, and Malaya. She is - them - to an\n*easy* peace with Chine, in the event of fimal Metery over the British\nEmpire any favorable pease terms with Chima could to Gesmany is of\ncourse trying to modiate betwees Chima and\n3. After three and a half yeare of destrustive Ccinese peeple and\naray are feeling the besaume (1) with the lesa of their rishest texe\nritery and sources of revenus, and being obliged to keep in the field a regular\nanay et 2,500,000 - with 2,000,000 guerillas, their finsncial and economie\nsituation is rapidly groving weres. Internal prices have risen sevan or eight\nfold and umcontrolled inflation is directly ugon China, unlese substantial out-\nside assistence is innediately fortheoning; (2) Chinese national resistance has\nbeen sustained under greatest adversities due to belief that the democrasies\nwill eventually win the war. The collapee of France, the supronder of the little\ncountries by default, end the contimued success of Gorman arms tend to shade\nthis bolief. (3) In the air the Chinese anny in the beginning relied on Amork\nean mahines, and in the seeand and third years of the war on Russian planes\nARCHIVES ANATIONAL AND of\nRECORDS\nSERVICE*"
}