893.00/12–2948: Telegram
The Ambassador in China (Stuart) to the Secretary of State
[Received December 30—12:41 a. m.]
2657. In concerted effort stamp out prevailing peace rumors, Nanking’s official Kmt organ prominently featured declaration by General Wu Te-chen, Deputy Prime Minister of China[’s] new Cabinet, that new Government would continue fighting communism until Reds sue for peace. Wu was said to have emphasized that new Cabinet was War Cabinet and that although Government and people want peace, true peace for China depends solely on whether Communists can place welfare of nation and people before their own interests. President Chiang Kai-shek’s similar statement to North China People’s Political Council reiterating Government’s determination to fight Communist-eradication war to end was also highlighted by most leading Nanking vernacular papers.
However, local tabloids began devoting more space to peace talks. Almost all tabloids attached great importance to lengthy conferences on Sunday between President Chiang, Sun Fo, Chang Chun, Chang Chih-chung, Wu Te-chen and Hung Lan-yu. One independent organ claimed following symptoms indicative of peace trend: (1) Wu Te-chen’s comment that war will continue until Communists want peace instead of former policy of complete eradication of Communists, (2) failure of Communists to advance on Pengpu–Suhsien front, and (3) busy contacts among high ranking Government officials and delay in public announcement of new Cabinet’s administrative policy.
Sent Department; repeated Shanghai 1335.