IMPACT OF FLOOD CONDITIONS ON CERTAIN SECTORS OF COMMUNIST CHINA'S ECONOMY

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP61S00527A000200010064-5
Release Decision: 
RIPPUB
Original Classification: 
T
Document Page Count: 
15
Document Creation Date: 
December 12, 2016
Document Release Date: 
March 15, 2001
Sequence Number: 
64
Case Number: 
Publication Date: 
September 20, 1954
Content Type: 
REPORT
File: 
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PDF icon CIA-RDP61S00527A000200010064-5.pdf831.12 KB
Body: 
Approved For Release 2001/08/27 : CIA-RDP61SO0527A000200010064-5 Office of the Chief, Economic Research Office of Research and Rays Current Stae -rt r NSA Declassification/Release Instructions on File BRANCH s ANALYSTS s SUBJECT : Impact of Flood Conditions on Certain Sectors of C st its Raoncs moist China has suffered over the past several weeks from X37 wide- spread flood conditions, the Ic- effect of which may prove a serious Nandi- to her economic pro6 'ea . Unusually heavy as d continuous in record flood crests in the Zangtse and . ai 20 September 195 with flood conditions also from Tibet in the West to the Sungari, Liao and Yalu t. The extent of the damage in the Yangta. area is believed to be cam w able to that which o serious flood year in in 1931, heretofore considered the most since 1951 in the Huai Ho, basin have apparently limited the in that area to about 1 of the 1931 daeeags. Any further projects erected of the flood ted breaks could, however, result in a rapid extension of the flooded area. The detailed effects of these flood conditions on the so econocW, in so far as they can be estimated at this time, are Approved For Release 2001/08/27 : CIA-RDP61SO0527A000200010064-5 Approved For Release 2001/08/27 : CIA-RDP61SO0527A000200010064-5 sue, it appears that the restoration of cilitiss will be fairly rapid, and that, in spite of boa, areas, China's to to cope with rehabilitati efforts. On the other hand:, much of the flood control work of the past several gars will require ext ensivse reconstruct ion, diverting labor, the capital investment pro tuds that will Jeopardize satisfy and local agent and exasunications also and equipment from damage to crops is believed to be of a ma 4- ility to meet her in the afflicted . Uthough the mobilization of Maly rut pe with the imeediate problems steed by the floods revs same measure of dyhamism. in " st China e s organizat: bilities, the leaders of the regime face a more exacting test in coping with the set .back to their economic prograis which is expected to result from the famine cone ditions? the increased austerity which y 4Mc*-( 1h6dllj inability to finance imports needed to wA~n~+rPO TI ~i ~~ in urban areas, and the greet. As a result of flood conditions prevailing along the I railway connections between south China have been tewetpa: ted in the vicinity of these rivers. The Comm mist travel agency in Hong Kong announced that on 8 k rail link between North and South China had been cut, with the washing out of a rail sections near Pe . jJ Previous to this date reports indicated that as Approved For Release 2001/08/27 : CIA-RDP61SO0527A000200010064-5 Approved For Release 2001/08/27 : CIA-RDP61SO0527A000200010064-5 early as 1 July service on the Hankow-Canton 'Lune had been into in the vicinity of Chuchom. ad by to have been returned to service only to be interrupted a second time an 31 July. J During this period where extensive efforts were being mWe erve the operating status of the lam. 25X1D1a 25X1 D1 a & NSA Apparently the serviceability of the Shaa ai- 25X1a sin P'vi-Vou line, stoppage of nortkk-soutl~ traffic 25X1 D1 a & NSA 25X1 a shed out on 8 gust, resulted in complete it is believed that the line was operable for the greater part of August, since it & NSA 25X1 a was apparently less ffected by flood conditions than the alternate nor# h-s th connection. ,/ . Hence, as of 2 September it is believed that ali railroads were operable, but that operations were probably limited because of weakened roadbeds. It is p n -' impossible to estimate t done to the railroads by the flood or to measure the limitations which have been placed an traffic over these on over the C aarton ue2 -Shansi Lim Approved For Release 2001/08/27 : CIA-RDP61SO0527A000200010064-5 Approved For Release 2001/08/27 : CIA-RDP61SO0527A000200010064-5 T-~-P S