893.24/545

The Consul at Rangoon (Brady) to the Secretary of State

[Extract]
No. 157

Sir: I have the honor to report that, according to information received here by American oil interests, about 60 percent of the petroleum products obtained by China in the United States under a recent credit, which is understood to be part of the credit of $25,000,000 granted in December by the Export-Import Bank to the Universal Trading Corporation of New York City, will be delivered at Rangoon for shipment through Burma and over the new highway in Yunnan. The remaining 40 percent will go to Haiphong, Indochina, for transportation over the French railway to Yunnanfu, in the event that railway remains open and the French place no restriction on the shipment of such supplies to the Chinese Government.

It is said that the information received here indicates that the exports from the United States will amount to 45,000,000 gallons of gasoline, 2,000,000 gallons of aviation gasoline, and 72,000 tons of Diesel oil, and will have an export value of several million dollars.

Official advice of the purchase by China in the United States of petroleum products, and of intended shipments to Rangoon, has been received by T. K. Tseng, Vice Minister for Foreign Affairs of the Republic of China, now in this city, from Dr. H. H. Kung, the Chinese Minister of Finance.

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Respectfully yours,

Austin C. Brady