393.115/114: Telegram

The Consul General at Hankow (Josselyn) to the Secretary of State

Central Aircraft Manufacturing Company; a China Trade Act corporation, incorporated April 14, 1934, has established a factory at Hankow and is manufacturing or assembling airplanes for Chinese Government. This factory, formerly located at Hangchow in conjunction with China military aviation training, recently moved to Hankow and now occupies premises formerly owned by Standard Vacuum Oil [Page 235] Company adjoining Japanese Concession. I am informed by Standard Oil Company’s local manager that this property was sold to Central Aircraft Manufacturing Company on November 20, 1937. Company flies American flag over premises in question and is understood to employ several American citizens although none are registered at this office. It is currently rumored that Chinese Government is financially interested in this, perhaps supplying operating expenses. Company is an American juridical national. Supervision is American, construction materials are of American origin. Product is for military use being war planes. Financial backing is probably Chinese Government. I apprehend that question of protection of this industry must inevitably arise should hostilities extend to this area and shall appreciate Department’s telegraphic instruction.

Josselyn