MONTHLY BULLETIN NO. 15, DEPARTMENT OF ECONOMICS AND POLITICAL SCIENCE, AURORA UNIVERSITY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00809A000500400145-4
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 80
• Document Creation Date: December 14, 2016
• Document Release Date: April 21, 1999
• Sequence Number: 145
• Publication Date: February 16, 1954
• Content Type: REPORT

CEc tisi :,11-4D
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
U.S. Officials Only
C0'i'Ii) ._t'Ii:T
CENTRAL INTELLIGENCE AGENCY
INFORMATION REPORT
i_on;:hly ulletin To. 15, of ''c onu::;ics .n
Pol.~tic2.l `.'ciencec, Au_?o:?4 University.
PLACE ACQUIRED
(BY SOURCE)
DATE ACQUIRED
(8Y SOURCE)
INFO.
25X1A
THIS DOCUMENT CON TAINT INFORM 4TION ATIECTIND TNL NATIONAL DLTALMTt
C/~TN[ UNITED STATES. .I THIN THE NLAMINO OF TITL[ IT. TLCTION 718
AND 784. OF THE U.1. CODE. Al AMENDED. ITS TLAMTNIffION OR STVL.
LATION or ITS CONTENTS TO OS MLCLI/T TY AN UNAUTHORIZED -LTSON IS
!? OHISITED SY LAS. TNC NLIRODUCTIOX OI THIS RR .O.. .. ...........
-LOWs
China s Foreign Trade since the Victory.
The First Year of Revival of the Chinese Cotton Induct-.';;.
Three harge Iron and teel Works in Shanghai.
Analysis, with Comments, of the Nev, i3egulations Govc_?ninS the P.e:htin
of Fouses (concluded).
con]. 14ining and Co-,.l Policy in China 19~S-191:8,
The Chinese Cement Industry uurinG the
i.iethods for the Investication and Collection c*' ih? Incor::c on
?rofit-seeking : nteri;rises in 3.948.
--_'ablej of the Starting =joints and Rates of __..,.. ,..on on Inca: .
Various Classes ion 1943.
Simplified Methods ""Or the Investication and Collection o "; h_
Business Tax on Shipping; ?,nterprises.7
::i;.ilablc on loin frorh the CII 3,ibrcry is r;hotost: tic co o;' ;:oi;thly
l;lletin NO. 15, dated i'ebruary ire .rea 'the llC"JC.1'ti::e t r.-;If CUIIOliiCS
and 1?oJ.itical Sciences, :'?.urora University, ;',an-hai. Cihr.:>t-:~r title:; re
. I:
DOCU,'?Dl !T'ARY
LE A.I T",5U9JEcT ft At2FA. C010F3
25X1A
DATE DISTR. /&- Feb 54
NO. OF PAGES J?
NO. OF ENCLS.
SUPP. TO
"70 une within th t7 or FC I
~'k-7 Aj--^ A^
i , ~( = 111 ~1r ~~~om t a
Assist t Dlr et9, ,or the O!$ce ror_Co Z ton ? and nin: Dance ,Q en or
r - -
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
CONFIDENTIAL
ROUTING AND CONTROL RECORD
DO NOT DETACH FROM 'ON LOAN' DOCUMMENTS~
2 Februery 1944
DATE
TO:
CIA LIBRARY
ATTN:
BU I WING 25) 1 A
ROOM
15
TITLE
Attached t
Monthly Bulletin No. 15, dated Feb 48
Annex
REMARKS
RETAIN
II ON LOAN
DOCUMENT. MUST BE
OOCUMENTtsI
POR RETENSION
UY tOEAULINEI
BY AUORESSEE
FROM:
BUILDING R(i0tl t+0. ~F~,iEtlSllai
- South 332 - ---~---- 2211_
COMFIDEM TIAL
FORM NO. 57-29
DEC 1951
Approved For Release 2000/08/30 : CIA-RDP80-00809A0005004001
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
U N I V ERSIT.E L?AU.RORE
SHANGHAI .-.~.Ni `.. -
Ak-A
-- -- I ;DUNEAU OL DOCUMCNTATION
ICCONOMI, OUNOI/II f
N CNUNORINO NaN LU 1OU3AIL)
Tfl. .~).1
or Release 2000/08/30 : CIA-RDP80-00809A00050'0400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
t fi
UNIVERSITE L'AL'RORE
SHANGHAI
4 * R d; tb
t[C TION O[t .CI[NC[.
?O LI TIOUI{ [T {CONO410U [.
BUREAU DC DOCUMENTATION
(ICOw OY1{ CNINOI..a
[.O ......IRO ..N LU (OU..ILI
T.L? ..-
M O N T H L Y B U L L E T I N
R.fi de BrS' V ll.
Dean of the Department o: buonomica
and Political ScLencen
Editor
Advisory Board
A. BONNIC?HON Dearl Cr the Fucu:ty of Law
M. THORNTON Dean of the Department of Sociology
A. SUNG CHIA-HUA.T Professor ef Chi:le3e Civil Law
MICHAEL W.Y. LEE Renearch Aesista::t. Bureau de Documentation
JOHN T.S.CJU Research As3istant. Bureau de Documentation
SSCCND YEAR No.XV ? February 20th.194d.
Contents
DOCUMENT MOS.
83. China's Foreign Trade since the Victory.
84. The First Year of Revival of the Chinese Cotton Industry.
85. Three Large Iron and Steel Works in Shanghai.
SG. Analysis, with Comments. of the New Regulations Ootiorning
the Renting of :louses. ':cncludod)
87. Ccal Mining and Coal Policy ir. China 1938-1948.
STUDY 210.
XV. The Chinese Cement Industry during the Year 1947.
APTNEC NOS.
XLII. Methods for the Investigation and Collection of the
Income Tax on Profit-seeking Enterprises in 1948.
XLIII. Table of the Starting Pointa and Rates of Taxation, pn
Incomes of Various Classes for 1948.
XLIV. Simplified Methods for the Investigation and Collection
of the Business Tax on Shipping Enterprises.
- -
8I(M PAGE II & III
.For three important notes.
1. On the Commercial Accounting Law,
Date of prosalgation.
2. On the Rules governing the npplication
of the Business Tax Law,
Revision of .:rt. 8 & 12.
3. On the Industrial Guild Laws
Transitional measures.
------------
Approved For R?lease 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
1. ON TH.. ',OIUS-;RCIAL ACCOUI7TI}:G LAW Passed by the Legislative
Yuan on the 22nd. cf December 1947 (see Monthly Bulletin
No.KIV - Jan,IJ4S. Annex XL)
It should be noted that thin law was promulgated
by the Chinese 2latioral Government on the '7th, of January
1948 (cf. Meekly Review of Laws, Feb. 4th. 1948),
2. 011 THE RULES GOVERNING TI A.PPLICATIOII OF 'THE BUSINESS T:;.-_e:8 promulgated by the Executive Yuan on' ,the 4th. of August
1_947 (see Monthly Bulletin No.X - August-September 1947.
Annex )tCVI).
revision of Art. 9 & 12 was published by the
Executive Yuan on the 17th. of February 1948 (cf. Shang Pao,
Shanghai, Feb. 16th. 1948). The text of'the'revieed articles
reads:
"Article 9. A business firm, subject to tWcation
whether based or. the amount of its receipts or of its profits,
shall, Within five days from the end of every month, fill it.
a Report for ..saessment of Tax, petting forth the amount o:
its business receipts or profits during the preceding month,
and submit it to the competent collecting office which ahvil,
according to the reported amount, fill in and issue a
Notificatior, of the Tax Based on the Reported amount, request-
ing payment thereof. Also, within five days! from the end of
March, June, September and December of every year, it shall
send its business account books as required,zy law to the
competent collecting office for auditing, if the auditing
shows that the amount of tax already paid does not correspond
with the amount payable for the three preceding months, then
a Notification of Aseesament Based on Auditing shall be filled
in and issued requiring that the deficiency be made up. If a
false return has been made with regard to the unount of
business receipts? or profits, punishment shall further be
imposes according to the provision of Article 21 of thin Lair".
"Article 12. The competent collecting office,
immediately after receiving the taxpayers' Reports for
Assessment of Tax as mentioned in the two preceding Articl's,
shall send officials to investigate and assess the amount cf
tax tc b~: raid, and fill Sr. and issue is Notice of Investiga-
tion and nsaesoment requesting payment".
3. ON THE INDrtSTi.IAL GUILD i.AY promulgated by the Chinese
National Government or. t':e 27th. of October 1947 (see iionthly
Bulletin Ho,XII. Nov.1^9^. ,nnex XXXII).
According to a despatch from blanking dated Jan.
26th. 19.18, published in Shang Pao (Shanghai), Jan. 27th. i948,
the iitnistrtes of Finance and Economic Affairs have recently
MO11:}LLY BULLETIN Ito, XV - February 1948 - Sditor'e so too
-------------
L
Approved For Release 2000/08/30 CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
i
Jointly laid down transitional mea'iurea for facilitating the
settlement of matters relating to industrial guilds] these
will be effective until the promulgation of the Rules
Governing the Application of the Industrial Guild Law.
The essential points of these measures are as followas
1. Important categories of industries, pending
a new classification, shall all comply with the old one.
2. Industrial guilds already founded, shall be
governed by new lava only after the'proeulgatiou of the Rules
Governing the Application of the Industrial Guild Law and the
new Factory Law.
3. Both the organisation of now industrial
guilds now in process and the standards for examining members'
qualifications shall be governed bylthe new Industrial Guild
Law #i.e. that of Oct. 27th. 1047).;
i :1
4, On the day when a factory or industrial guild
which complies with the provisi one I of the Industrial Guild
Law, Joins an industrial association, it shall cease to
belong to any chamber of commerce.
5. Prom the day of the founding of an association
organised in conformity with the Industrial Guild Jss. all
factories and trade guilds which do,not comply with the
Industrial Guild Law. shall either Join it or crannies their
own local commercial guild.
6. The title of a nowly organised regional guild
shall begin by the name of the place whore its business office
is located.
-------------------------
MONTHLY BULLETIN No, XV - February 1948 - Editor"s Nor,.a
Apo,roved For Release 2000/08/30 : CIA-RDP80-008Q9A000500400145-4
 n
Approved For Release 2000/08/30 CIA-RDP80-00809A000500400145-4
The MONTHLY BULLETIN ib edited by The "BUREAU DE
DOCUlfriNTATION" of the Department of Economics and Political
Sciences, Aurora University (Shanghai).
Part of the work of the "BUREAU DE DOCtTh TATION"
Is the systematic filing of all articles in the chief Chinese
periodicals (monthly, weekly and daily) which deal with the
economic and financial life of the Fur East. References on any
subject can be found immedic.tely by means of a detailed card index.
The aim .f the BULLETIN,which appears on the 20th.
of each month, is to put at the disposal of foreigners the
economic and financial points of view expressed in articles in
the Chinese reviews. Acertain number of these artiolea are
carefully chosen and reproduces each month in English, either if.
full translation or in the form of digests.
Each article translated of summarized in published
separately under the heading JDOCUIMNT No...." uo as to enaLle
each reader to clasaifyithem according to his personal system:
A classified index will appear at the end of each year.
Where several articles on the same subject are
written from widely divergent points of view the BULLETIN
summarizes these points of view under the name "STUDY, No....
When it seems advisable the BULLETIN adds to
these Documents and Studies the translation of relevant laws or
administrative acts, which form "Annexes" to the Documents
or Studies.
The BULLETIN is being published *to meet a definite
need and any ouggeatione'as to the beet way of meeting that need
will be welcomed.
Though the selection, translation and summar-
izing of the articles and other texto is done under the
authority of he Dean's, Office of the Lapartment of Soonomico
and Political Soiences,jthe authors, whose names appear on
each Document, study and annex, are alone responsible for the'
statements of fact, or opinion expressed in them.
As regards the REPRODUCTION of translations and
digests published in theiBulletint
1. The Bureau of Doot.mntation reserves to itoolf the right of
permission for the reproduction of its Documents. Studies and
Annexes, ether in whole or in part, in journa).e or reviews
published in the Fur Zit.
2. There ib no restriction on the reproduction of articled from
the Bulletin in other countries, but any editor making use of
this privilege in requested to send to the Bursuu of Documonte.-
tion a copy of the ievlew or journal containing the reproduction.
3. Every reproduction should preceded or followed by the
aoknowledFementi "From the MONTHLY BULLETIN published by the
Bureau of Dorumentation(Chinessa Economics) of Aurora Unlverait;,
Shanghai".
III
Approved For Release 2000/08/39: CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
LIST: OF CHINESE PERIODICALS
:_L'C3LVFD AT THE
"BUREAL DE XCUMENTATION"
(February 2uth. 18481./
QUARTERLY REVIE6'
Spinning, Weaving.& Dyeing Ihng Chih Yen Chi K'an)
-MONTHLY
Panki.nE Infori.ition
3a_ines .' :agement
T:_ r tr .1 Bank of China Monthly
T:..: CF:eki,ng Econcz::ic iteview
C t_aac~i World
Chinn, Inau?3trial LevelopL;ent
Tt Chink Textile keriew
Daa:ncratic Times
The FLrn:ere' Bark aaonthly
The F.nancial Review'
::e Inaustry Monthly Magazine
he Juristic & Economic Review of
zrora University,
.nh wledge & Life
Kung YihIndustrial & Commercial
The Kvergt+zng Provincial Bank
Monthly
The Lih Hmi:, :Sonthly Review
Local Autonomy
Modern Accounting
Modern Postal Administration
Modern Railways
The Native Bank Monthly
The National Journal of
National Reconstruction
The Oriental Review
REVI ENS
Yin Hang Tung Hain)
Kung Shang Kuan Li)
Chung Yang Yi'n Hang Yueh Pao)
Chekiang Ching Chi)
/Hua Hsueh Shih Chioh)
(Kung Hwang Chien She)
Ch'ien Wei Kung Yoh)
.in Chu Shih Tai)
Chung Hung Yuen K'an)
(To'ai Cheng P'irn Lun)
((Kung Yeh Yueh Van)
Chen Tan Fa Lu Ching Chi
Tea Chih)
(Chih Shih Yu Sheng'He)
Kung Yih Kung Shang T'uni aii
Kwangtung Shang Yin Hang
Yeah Van)
Lih Hain Yuch Pao)
Ti Pang Tzu Chih)
Hai en Tai Kuai Chi)
Hsien Tai Yu Chong
Hsion Tai T'ioh Lu)
Ch'ion Yoh Yueh Pao)
Shang Yoh Yuoh Pao)
Chung Kuo Chien She)
Tung Fang Too Chih)
He Hsueh Ta Chung)
Ka Hnuoh Hun Pao)
Chien She Ping un)
Hung Tun Yuch K'an)
Ile Haueh)
He Hsueh Shih Chioh
FLng Chih Chien She
The Popular Science Review
Popular Science Monthly
The Reconstruction Review
The Rural Affairs Uonthly
ci enco
Scientific World Monthly
Textile Reconstruction Monthly
The
Busincac
Norld
The
New China
Magazine
The
Bankers'
Weakly
The
Bi?rineoa
?k. Ind?z;,.'
The
Economics
weekly
The
Economic
Review
The
Pinanc'_ai
'Meekly
L
texttle Weekly
Weekly Critics
The lleekly Review of
S3UU-UONTHJ,Y REVIEWS
Kung Shang Tien Ti)
(Hain Chung Hwa)
WERIMY RSJI 'W'
Yin Hang Chou Pao)
J~:foraatioz: Kung Shang Hoin. Wen)
Po)
Ching Chi Ch041
Ching Chi P'un)
Chin Yung Chou Pao)
Yang Chih Chou Van)
Chou Lun)
Fu Ling Chou K'an)
DAILY PAPERS
Chi z, -; o-C :411 Pa c Ynng J1 h Pei - Shang PKo - Shen Pao - Sin Wen rr-o-
Ta Kung Pao
L
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP8QH00809A000 #5-4
U V E R-1 I T L' A UR OIRE
Ili
- S h a n g h a i-
I
BURFJ'J DE DOCU1^iTNA.TIOj
(Economle Chinoise',)
l
280 Chungking 24n Lu (Dubail)
Tell 85761
-----------
Topic s China's Foreign Trade Document Na. 83
sines the Victory.
Nature: Digest.
Authors P'ei Shan. dumber of page;:
Periodicals The Now China Magazine
(Hain Chung Hwa)
Date of locus: Jan. 16th.1P4e.
CHINA'S FOREIG27 TRADE SINCE THE
VICTORY
ded into two etagon:: freer trade ind1946 and istrictet adeDcontrolbind1947.
Despite their difference, these tw, etageeo hare a common features o
the one hand, the import of foreign goods experienced a tremendous
potue owing to extreme shortage of materials resulting from war dav. =t
tion, while on the other hand decreased production and soaring conmo.itp
Prices formed a great hindrance to the export trade.
We shall mainly coneideriforeign trade problems anc
policy in 1947 but in order to have an adequate picture of them a few
words should first be said on foreign?trade;turing the year 1946.
I - Foreign Trade in 1946.
The total amount of lmporte in 1916 was
CH# 11 601,200,000,000, while that of exports reaohed only CNj412,l00,OG0,i ,
(the imports being 2.7 times as high as the', exports) thus a hewing a tra-099 fanddJ RA'soCNiN399,a 0,000, 00,reliefTuuppLien.noC nverted intogU.S.gcur-
rency the 1946 trade deficit was about US& 382,000,000. -
It ohould be oited goods came from the USA; India Viikingnthe second thatlac,% withh8.75 %rrnd
U.K. the third with 4.9%. USA also led in ex arts, with about 38,75 of
the total figure, follohed by Hor.L._ong, 28.2,. and than U.K. and USSR.
The IMPCRT8 in 1946 came under 32 groups among which
eoven accounted for 80% of the total values:',
(1) Raw cotton, cotton yarn and cotton thread.
CN4 336,900,000,000 122% of the. total import.
(2) Candles, soap, oils, fats, waxes, gums and rosins.
CNy 174,000,000,000 ;112% of the total.
I'iI
1[ 1
ONTHi.Y BULLETIN No. XV - February '948 - DI lumant 83-----page-
Approved For Release 2000/08/30 : CIA-RDP8O.00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
CN$ 76,300,000,000 5% of the tote?.
Paper, maps and books.
CN$ 95,300,000,000
Machinery and tools.
(6) Dyes, pigments, paints and varnishes.
CN$ 61,300,000,000 4% of the total
(7) Sundry.
CN$ 79,500,000,000 5% of the total.
The leading inc!--- dual items were cotton, automobiles,
gasoline, medicine and drugs, tob,.cco, newsprint, fuel oil and ahemickle.
The EKPORTS in 1946 came under 31 groups among which
ten accounted for 80% of the total value.
(1) Animals and animal products.
CN$ 87,800,000,000 21% of the total export.
(2) 081,,, tallow and wax.
CN$ 71,400,000,000 17% of the total
(3) Textilo fibres.
ON$ 39,600,000,000 9% or the total
(4) Ores and metal,,.
CN$ 23,800,000,000 6% of the total
(5) 'Hideo, leather and akinn
CN$ 23,100,000,000
(8) To&
(6) Medicinal substances and spices
ON$ 16,600,000,000 4% of the total
(7) Piece goods.
CN$ 16,200,000,000 4% of the total
(fura .
6 of the `otal
4% of the total
(9) Yarn, thread and plrited and knitted goods.
CU$ 13,400,000,J00 4% of the total
(10) Sundry
CN3 -1,600,000,000 5% of the total
Among the individual items, the most important were
wood oil, CBS 67,998,000,000; bristles, CN$ 67,004,000,QOOj raw silk,
91$ 32,000,000,000; ton, CN$ 15,?300,000,000; salt, CN$ 8,500,000,0001
cross-stitch work, CN$ 8,200,000,000, weasel okine, ON$ 8,000,000,000;
tin, CN$ 6,200,000,000; tungsten ore, CN$ 5,900,000,000 and hair nets
CN$ 5,700,000,000,
The abnormal development of China's foreign trade as
so an above can be partly explained by the erroneous policy pursued by
her Government. At the end of the war, the Chinese Government which }ud
US$ 900,000,000 at its disposal should have been able to revitalise thy.
national economy by importing large quantities of machinery and by launch-
ing an export drive. But the authorities carried out a wartime policy
of dumping commodities, aiming at low prides and especially at a low rte
---------------------------------------------------------------------- ---
1ONTi1I,Y BULLETIN No, XV - February 1948 - Document 83 - Pago 2
I
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 I; F
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
Of fore''-tr, exchar:6_. j -:; +:xahange :cte =f CN c 020 to US$ 1 was mt:ir,tvtn-
ed from Larch to Ser t emb+ir 1946; uni a rite of 3,340 '>c 1 from ep t?.:.i,
1946 tc February 1547!. This was'defin-tel favourable to import3rs who
cbtain.ed forai&n goofs a low .xchange r c?: and sold them at exorbitant
.rice... On the ccrtzar, export war being strangled, f:r after conve_tir,g
th= foreign exc %ng.a 1, into Chir:ebe c'.rr??nc,-, t r exporters inevitably r.uff: r-
ed 'heavy losses. A: hr.s been ..a'-d, the deficit in China's inter na:i.r.^l
trade balance reacr.edIUS$ 38z,0'-C,vO0 .n 1946. Meanwhile, overseas r?tit-
nce.. barely touched, the US$ 31,000,013 level; and if we take into ciunt
the expand: :urc. _..r o orseas dip!c at. services foreign ezchang.: for
private uses .t can b. fairly esti:..atec thc.t Chir. 'e deficit in inter.t_.t_en-
r:'. puymur.t- fcr the J? sx of 1~)3c :sus .:er I.2 500,003,000.
It was such cireumst:-ncas that China's trade policy
bagur, tc turn: from the "'--issez fa-'re" ittitude to strict control, f.-cm
extr_re ta. idar.esy t--; tx_rr.-ei thri ft. -'.h the establishment of the 1--port
a::a -XP .rt Ooclieai.cri t the land of l9?:u.
if
Broad sines of Foreign Trade
in 1947.
the inpor:; quota system promulgated in the .+-
.lher'
:r11 of 1946, wts c-%fcirecd at the begcr.ring of 1947, the foreign trod. _
?t(in,t come under strict control. Thin was s-en followed by the prcttLr`
tion in February 1947?1 of the economic Emergency Meleures prohibitinf,
black market trersaotilone In foreign exchange. Henceforth, all impor
same under the control of the _1Sport Ccntrc?1 Ccmmieeicn while exports .: .e
nt::,mi t:..! to the to_~t Extension --^.rd; these two organizations ?c ; i .
later reorganized and combined into .2.c Import and Export Control Cot -
sion. !.t was under suchmanagemunt that foreign trade began to show ,:
marked decline.
China's Import and port Values During
the Period from January to October 1947.
(Pubilished by the Office of the Inspector General
? of the Customs.)
Unit: CI$1,000)
Ratio between
Month Imports Scports Trade Deficits Import & tport
(export = 1)
January 150,62b,43.3I .8,7.',,;,30 102,150,099 3.11
I ,bruury 216,886,7811 81,682,144 135,006,637 2.65
'-'arch 430,050,012 144,985,432 285,064,580 2.97
April 520,461,737ji 210,922,464 309,539,273 2.47
May 521,392,762 415,131,864 106,260,898 1.26
June 532,461,42'),1 266,706,160 265,753,270 2.00
July 721,638,3431 236;961,257 484,677,091 3.05
August 936,510,954 478,098,595 460,412,359 1.4u
Sept. 1,440,528,396 28n,725,778 1,153,802,620 5.t
Oct. 1,746,766,278 ,530,040,429 1,216,725,849 3.60
Totals 7,219,324,12011 2,699,931,452 4,519,392,676
AS the period in question witnessed a continued
depreciation of the Chinese currency, it is advisable to convert the fore-
going data into U.S. urrency in order to arrive at more comparable figu-
ree
---------------------
i'00TttL'Y P!n,LFTI' No. aJ - F :.rn^ry 1949 - Document 83 - Page 3
Approved For Release 2050/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A900500400145-4
Import Lind _E'xport Values
in US dollars
Jan - Oct. 1947
(Unit - UE$ 1.)
Month
Importo
Tr I.de Deficit
January
44,696,592
14,384,572
30,312
020
February
43,008,045
16,237,229
,
26,771
816
March
35,251,199
11,884,456
,
23,366
733
April
42,622,248
17,289,314
,
25,372
934
May
42,738,566
34,028,359
,
8,710
206
June
43,645,863
21,862,067
,
21
783
796
July
59,152,695
19,432,714
,
,
39
728
981
August
23,978,955
12.215,419
,
,
11
763
536
September
25,678,991
6,138,409
,
,
18,840
582
October
32,210,370
9,773,945
,
22,436,435
Note s The following rates
January :
February,
Larch-Julys
August-Novi
taken as a basis t-II
CN+ 3,360 to US41.
Averagel,of 3,350 to 1 and 12,000 to 1.
Average of rates as announced by the
Foreign Exchange Stabilisation Board.
From the two tables above. it can be peen that e~.,) its
in Jun-Oct. 1947 wore. at C02,699,900,000,000, whereas the oorreapon? Shen Cotten Lull purchased two
u>i to o::s.t3 of su.i-Ciao of "automatic current type", which were
later instellez _r. ,A>v.h and 'ia>;niu~. Other sots were bought by the
China Vegetable Oile Ccrpor>,tion and tht China Cotton and Hemp CcmP..,y
respec.tilvely.
--I---'- ------------ ---------------
IiJN'rl_i.Y JUL.i. ',1 1, No.XV - 5obr::ary -9d8- - Document 84-----PLC;: 6
?
Ili
.jI O
Approved For Relea$e 2000/08/30 CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
Concrete plans hcve .l.ready-hoon drawn up.tor the
collection :;nd .rkcting of cotton. In order to Vzonerve the needs
and to supply proper raw materiuL to the vurioua cotton mills, those
inter.dir.g to collect cotton must first obtain a permit from the
Bureau and sign a contract. In 1947, moat of the collection was done
by the China Textile Development Inc., except for the various haiens
in Chekiang where it was done by the Chekiang Department of Joint
Production and Jnrketing of Cotten, or T'aita'ang where the Hain
Shen Cotten Liill collected, and for Shanghai and Paoahan More it was
dens by the China Cotton rnd Hemp ri. The price of the American
cotton collected, was about 20-Z.) higher than that of the native
cotton.
The inspection of cotton aims at improving the
quality and broadening its nmarket. Before the war, considerable
eucce:;s had been achieved by such inspection. Unfortunately the
work had to stop owing to the Sino-Japanese hostilities. Since the
inauguration of the B:hreau efforts have been renewed on this line.
It is estimated that the personnel required for ouch technical work
would number about 150. With the exception of the heads of important
departments, who are experts invited by the Bureau. most of the
staff members were found among the senior and middle technical schools
in Shanghai. Thirty one came from universities and forty from
agricultural high schools where special training wan given between
August 15 and Oct. 15. 1947.
Fi?!.e inspection offices ware established in Kiangau,
Chekiang, Hupeh, Henan and Shensi. Inspection stations were also
created in various important cotton producing districts. Their main
duty is to prevent adulteration of the raw cotton by the mixing of
water or impurities with itj to onforao proper grading in order to
stabilize the value of the pr:duct and foster international trades
to determine specificaticna or standards for the quality of the
cotton produced and tc improve the technique of Inspection.
Experiment and research. fundamental proreggleitoa
for the reform and improvement of the cotton business, have been
carried out by the Burcuu thin year as followuh-
1. Research on Chemicnl Portilizeral
2. Study of machinery for the cultivation of oottont-
In opoperatior, with the FarmTool Section of the China Agriculture
Inntitut., the Bureau has set aside 60 mow of cotton fields to be
cultivated with modern machinery. The aim of such experiments is to
compare the cost and yield with that of fields whore only human and
animal labour are employed.
3. ~?nr+:F,triment in the breeding, crossing
and raising of the various kinds of seed an well an in the tooting of.
different inns^+.ieiden. _
The above arc the more important work* oarriod out
by the Bureau in 194?;f It hen also undertaken invootigationo of cotton
production, training experts, and study of the economics of the
----------------------- -------------------------------------------------
UoNZU.Y BULLETIN No.XV - Fohruory 1948 - Document 84 - Pago 7
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809 00145-4
oottoa industry. In reviewing the activities of this year, the
following points shculd be especially etressedt-
Though the Bureau is still vary row, Ito complete
structure has been successfully orgf.nieed and its work carried out
according to our original p Lana and schedule. Through its efforts
the cotton area has been extended by 4,178,837 mow, and an inoxeaae
of 41,782.7 tan of raw oottcn obtained. This means an income of
CH 2,500,000 million t.nd a parallel reduction of foreign imports
The campaign against insect pee'ta has boon ropald
with remarkable success and the cotton farmers have been convinood
of the advantages of using American seeds.
Cooperation for cotton ginning with the cotton
dealers and factories concerned has resulted in the raining of
cotton prices, to the benefit of the cotton farmers. Plirthermor,,
ginning factories have been cstabl:.hed in various places in Chitral
There are l
Bettled if the revival of the cotton industryhioetorbe tsatisffaetorlly
developed. The first is the lack of funds, the second, the oivil
war that has been devastating the country day after day. Work could
not be carried out in important cotton prod'ioing districts as the
northern Yangtze and Yellow River Regions. We have also had to
withdraw our staff from many places in Hopoh, Southern Shansi, Honag,
Shantung, and Hupeh.
Introduction of American Cotton directed by the Cotton
Improvement Bureau of the Ministry of Agriculture and
Forestry (1947)
ovine
B&gionn
Area planted
Cotton good
en
in mow
Hopoh
Peiping
113,129.5
Stoneville
T'unghalon.Tahning,
Antlzu.
i~
Tientsin
P
t
80,060.0
Stoneville
ut'oin Kea
~
W g. gYanB"
T'aanghnien.
ao
ing
48,400.0
Stoneville
T'a1ngyuan.9langtu
shihehiach
6
Tinghaing,Tinghsien.
wang
7,000.0
Stonovillo
Hnolu,Chingting,
TOTAL
Yue.nszo,Loch'one.
308,589.5
Shantung
N.Shantung
5,122.0
Stonoville
Lihoh'ong,Ch'ang.l
t'sing, T'oiho,
Woihoien, Wangle,
8.Shantung
50,261.0
Stoneville
Trine
To'aoha.ton.Tingta4,
Hotoo.
TOTAL
ba,383.0
----------- I-------------- Y02'THLY BULLETIN No.XV - February 1948 - Document 84 Page 8
II
J
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 F
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
Introduction of American Cottoa_diroc GOd by the Cotton
Improvement Bureau of the Ministry of w ' zr e
Forestry (1947)
(Cont'd)
Proyinoe Raid on BrIa Planted Cotten Seed Rae
n mow Usod
Shansi S. Shansi 50,000.0 Stoneville Anyih, Ioze,Yuhaiang,
Chiehhoion,Yungtai,
Linfon,YunchIara.
Shensi Chingwoi 850,000.0 Stoneville Chingyang,Sarryucn,
Canal Kaolingrpjp'ing.
Changan 670,000.0 Stoneville Changan,Lint'ung,
Haienyang,Hningpling,
Ngehaien,Chouchih,
Ch'unhalen,Llhaien,
Ch' i enho.
Tali 750,000.0 Stoneville Ta11,Ch'aoi, P'inigmin,
Hoyang,Hanch'erg,
Y'uch'eng, Weinan,
Huahsien, Huayir.,
T*ungkuan.
Naaeheng 300,000.0 Stoneville Nancheng, Ch'engku,
Yanghalen,Pacch'ong,
lii onh si en, Hai hniang.
TOTAL 2,570,000.0
*o sn 3. Ronan :6.692.O Stoneville Lanfong,3hangch'iu,
Minch luen, Yuho i ang.
B. Ronan 11,234.0 Stoneville Yunnn, Ch'u$hohan,
anYgahoicn.
W. Honan 58,690.0 Stoneville We
nhaiang, Lingpao,
8henhaion.
0. Ronan 224,361.0 Stoneville Xwangwu,Chongheien.
Q~ Smbaeaador Loyang,Kunghoion,
Panohui, Yonahih.
TOTAL 330, 077.0
Liaoning 4,000.0 Stoneville
Slangou Nanking 33,941.6 Dolfoa and Chiangp'u,Chiangning,
Coker Tanyang,Chan chiung,
Chint'an', Chuyund.
Shanghai 65,111.4 Delfoo,Cokor Shanghai, P'utung;,
and D.P.L. Paoahan, T'ait'acr.3,
Chiating, Chungahou,
Chiangyin.
Hauchow 13,603.75 Trice 4 Houohow, renghoion,
Stoneville P'aihoien,Shaohoion,
Nant'ung.Jukao 94,482.5 Delfoo d: N nt'ung, H&imoaon.
D.P.L. JukAo, Tungt'ai.
Holchow 97,060.0 Stoneville Kuanyun. Lienyun,Tung.
m 1$rpiro hai, Shuyung.
TOTAL 304,199.25
Ch.k ang a.Chekiang 26,396.2 Delfoo &
Halaoshnn,Chonhai,
Cokor~ J?yao. T'zuch'i.
MONTHLY BULLBTIl Yo.YY - Yebruary 1948 - Document 84 - Page 9
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000 145-4
i^
Introduction Of, American Cotton directed by the Cotton
Improvement Bureau of the Ministry of Agriculture and
Porertry (194?)
(;ont'd)
Province Regions Aroa Planted Cotton Seed tffsin
20,883.0
Dolfoo Huaining, Tungiiu,
Kxei tzu, Iieuar_::h' erg,
C?ringhnLcti, T.ing:'u,
7~kngchiang,T'aihu.
63,711.2
2,240.0 Dclfos IL ukinng, Yunghr,:u,
TOT/
197,557.0
NWn
Pinhu
105,417.0
asoohuan
W.8zochuan
160,000.0
P ; vngtee.
Delfoa Suihsicn, Teacy..
Delfoa T'io.mon; 14e:.!:.
Hanc_*'1:an.
Dolfoo 7ieinnyu.^.g,Iisi:-r t:
Tzuchung, K.:
Coker &
Ch rhg? ing, _,
Delfoa Sung tzu,CilY:e;_iFtng,
Ch_ingmun.
Dolfoo Lihnion, Anhsinng,
Li.nli, Hannhou.
Delfon Shehung, Yent'ing,
T ' un gch't:an, ill u yang,
Sulning, Lerrec,Nanpu,
Ilung, Chint'arg, To-
yar_g, Chianpv.P'ong-
zing, Chungchinng,
P'engah'i, Pangahich.
Yuyung, Ch'uhsicn,
Kwangar, Pacaung,
TaLwan
567.3
Dolfoo
Hanohiang, Chienyang,
T'zuyang, Kwangvuan,
Ihua,
Tlaitung, Chiai.
OB4
TOTAL
4,198.837.45
3W ZHLY- BULLETIN Xo,7CV - ibbr~iary 1948 - Docuc ent 84 - page 10
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A0Qn500145-4
Ginning Fhctoriee (Man power or Motor Operated) eetablUehod
by the Cotton Improvemc.nt Bureau of the Ministry of
AP_riculture and Horeetry(1947)
province
R ono
Location 0 0
G ne
Hupeh
T'icnmien
Suiheien-
Tuaoyang
Heiangfan
Chingoha
CT}ingoha
Hui ent'aochlong 20
in Mionyang
2fienchlung in 20
Suiheien
8huangkuchen- 20
in Heiangfan
Chiangk'ou in 20
Chihehiang
Shataekuan in 20
Sungtau
Honan
E.Honan
C.Honan
C.Honan
Railway Station, 8
Shangch'iu
Kuyungcheng in 12
Kwangwu
Loyang 0
Chekiang
X.Chekiang
S.Chekinng
Chenhal 12
Heiaoohan
Xiangou
h
Nant'ung-
Jukao
Nant'ung-
Jukao
Banking
Banking
'
Hant'ung 20
Tungt 'ai 8
Chiangp'u 8
Shaolingwol, 4
Nanki. n g
Hopo
T
unghaion
20
Iangfang
20
Peiping
4
Toingyuan
20
Kiangau
Tanyang
Hand-oper-
ated no
Anhwai
Haiohow
Hofel
n
Hupeh
Shaehih
Bit'oozu
Shataokuan
Hoheion
Suiheien
Toaoyang
r
a
A
1
1
25
1
1
25
1
1
25
1
1
-
1
1
25
1
1
8
1
1
12
1
O
(24)
1
1
12
1
12
1
1
30
1
1
8
1
1
8
1
1
8
1
1
38
1
1
35
1
1
6
1
1
30
- - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
1I02TIhLY BULLETIN N'o.XV - February 1948 - Document 84 - Pago 11
L
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A0000145-4
Ginnerieo Specially oat up in K.angou & Choklan6
R on Location of Ginnerv
Shanghai Tach'ang. Shanghai
Xiangaan. Slwnghai
Yanghaing, Paoohan
Hoingeh'ang village
in Nanohiang
Yuehp'u village in
Paoahan
Sontun village in
Nano hia:rg
Haituk'ou in Fenghoien
?.Chekieng Hoinp'uyuan in Juv^e
?1anyanghuang in Jr.
Chenhai
Jungohia in N.Chonhai
Nanhung. Chonhai
T'angeant'ang.Nanhung
in Chenhai
Haimoiohan Ieland
P-- feed
Ginnary epocially net
^
^
^
No.1 8pooially Oct up Ginr.e:y.
No.2 ?
No.3 ?
No.4
No.b
No.6
YCYTHLY BULLETIN No.xy February 1948 Doouo3o 1948 Docua ----- --
nt 84 - Page 12
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
$ k I. T Z;
S 1: a .. g h a i-
3URE.U LE DCCU!MNTHTION
(Ecor.omie Cnirc_se)
280 Chungking NanLs: (Dabai l),
Tel ;G576!
Topic:
Three Large Iron and Document Ho.s 85
Steel Works In Natures Digest
Shanghai Number of pagees 8
Authors
Yao Hsing-chih Remirkss
The original
Periodicals
Chin Yung Jih Pao title
ins ?Iron and
i
Steel
1947
22nd
Dec
n
Metallurgy
Date of Issues
.
.
.
Shanghai".
THRE7P?LARa$ IRON AND STEEL
WORKS IN SH..NGHAI
In recent yea:,, rowing demands for iron and ~stc?_1
goods on the market of Shanghai hngvc con:ribute't to a fair dovol.:p-
mont of its local iron and steel metallurgical industry. Am')ng thu
21 iron and stool works now operating in tho' city, throe of the
specia
largent, which it is our
attentions the Shanghai Iron Cand tStial rAlfg!,Co.,Lt. the deserve Asiaticl
Steel Co ?Ltd., and the Ta Hain Steel Factory.
I.- The Shanghai Iron & Steel lifg.,Co.,Ttd.
Before discussing the equipment and productive
oapecity of the vario'is p1n-ts of this Company, it may be interd9ting
to know how and when it van formed.
At the and of the War the Chinese Government took
over numerous plants from the Japanese and among them 3 iron and
stool factories and 1 smaller workshop, which it offered for sale.
Tenders were invited, but no one w.-r.ted to buy them.
Later the Central Trust of'China induced industrial
and commercial circles to orp.niee a Company by the name of The
shanghai Iron h Stool Mfg.,Co.,Ltd., which was to purchase the above
factories and worknhoo. The capitH?. of thelCompafy was 2,500 million
Trust
daromaindor by iron w and t steel c dealerstr.nd bmanufacturen.
and the
The company was formally founded in December 1946.
with its head office in Chung Shia Building, Room Non. 15^16; at
Yo.14 Museum Roe.. Ito throe rartcries were amalgamated to form
Factories Noe. 1 and 2, locates at Changhuwpin,?doosung ar.d Huanghalsg
Road, Hongkow. An both their premises and machinery were in wretched
condition, it was only in December 1947, after 5 months of repairs
that resumption of work was muds possible. Recently the Company has
annexed the Hcu Hain Factory at Choutu, which it has converted into
uc tory Uo.3 and act to work. The a=11 workshop mantionod above,
which is situated at i.s:nchow Road, has been transformed into a
transportation station.
Y021THLY BULLETIN ~No.XY' February 1943', - Document 85 - PaC,! 1
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000 45-4
nA=' +f^t=i=lvwLy_.the Comya.y consists of 3
departments Sarr general affairs. finance and business. Each factory
is headed oy x Mirectnr under whom there are eectlonn for engineering
and for goner-.l aff::_rs, Jai :igineera' Office, presided over by a
Chiof Engineer, takes charge of cn_i.iccring planning and technical
lmprovoment.
Equipment and P,cdu:tivu Capacity. r
1. Factory No.1.
1ctary Yo.l is a plant devoted solely to the work
of manufacturing various kinds of iron and steel and canting iron
and steel good-.
The equipment for the iron smelting which have been
removed to this plant from Hsit:., Pootung, are one 20-ton modern
furnace, 4 horizontal hot air furnaces; 1 gas washing tower and 2
electric motor d_ven glowers. The construction of skip hoists for
charging with raw materials as well as shops for iron canting and
hoisting rooms will bu completed about July 1949. The raw materiel
used in iron ore, but scrap iron sheets easy to collect in the city
itself, may ales be utilfsed. The monthly output of iron ce.n rccch
500 to 600 tone.
The main equipment for steal manufacturing consists
of one 15-ton Martin furnace with t gus producers. The steel coating
shop ban 2 oranes of 10 and 30 tor.a caraci ty suspended from ben-La.
Scrap iron and steel are used no row materials, and as huge quantities
are available on the local market, there can Le no problem regarding
their supply. The monthly production of carbon etoel, tool stool,
alloy steel, etc., reaches between COO and 1,000 tons. The quvality
of the goods in said to be quite up to normal standard and they are
also vary economical. The foundation of another Martin furnace has
already been built and the work of construction will be finished upon
the arrival of fire bricks. It in hoped that the production may then
be doubled.
The furnaces for the iron and stool metallurgy have
boon put into service, after careful planning. The cast iron
produced from the iron smelting furnaces while still hot, in passed
over to the eteol furnace. This oo-ordinated operation saves fuel
and increases production,
In an effort to reduce losoce from the casting of
largo steel ingots by 10 to 20%, it is planned to install some
additional. rollira mills for stool ingots and steel heating ovens,
no that all cast steel ingots while still hot, may immediately br:
kept in hot ovens.
In order to bring future output up to standard, a
tooting department has been established with all necessary instruments
and chemicals for testing purposes.
2. Factory No.2.
This factory undortakeo the Ovork of rolling carious
stool nrcduntn. It has the most up-to-cute equirme.-,L in China,
nom- y: one 13-triple aeries preliminary rolling mill, six 11" double
aeries intormrdi=.a rc.llina Brill.' and eight 11" double aeries finishing
mills, driven respectively oy 300, 600 and 800 K.P. motors.
-----------------------------------------------------------------------
LONTHLY BULLETIN No.XV - February 194G - Document 85 - Page 2
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
The intermediate and finishing pd71a are of Belgian
devices are pagr thoovydod for the feeding in t of the ihe of roll:ag. Automatic
dovl, stool ingots and the
discharge to the steel heating furnaces. Prom the steel heating
furnace to the preliminary rolling mulls, a bolt conveyor In employed.
The wire rod produced is reeled by two winding machines. By working
dyy and night, the present equipment can produce more than 1,000 tons
of steel wire rod monthly. It is estimated th,it output could be
increased 3 times, if some more preliminary rolling mills were
installed.
3. Factory No.3
FactoryNo.3 is a steel works and steel rolling mill
as well as an iron foun,ry. It covers a very large area of
approximately 500 mow_ ) which ;e almost equal to the sum of the
area of the other two factories. The chief equipment of the factory
are as follows,
Steel Worker
10-ton Martin steel furnaces 2
Gas producers 4
20-ton electric crane 1
Bitter spar furnace 1
Limestone furnace 1
Pulverizers 2
Stool Rolling Afills,
20" preliminary rolling mill 1
15" finishing mill 4
12' steel wire drawing machince 6
Hot cutting machine 1
Stool heating furnace 1
Wire winding machinne 2
Iron Foundry,
15-ton iron blast furnace 1
10-ton iron blast furnaoo 1
Repair Shop,
1-ton cupola 1
1/2-ton cupola 1
16, laths', 1
81 lathe 1
61 lathes' 4
201 plano,. 2
1" drills 2
1) J5)ITOR'9 NOT.F. I new a 6.7448 area or 0.166 aura.
------------------ - ---- ----------------------------- --
110NTHLY BULLETIN- ko,3N ~pobruary.1948 - -Document 85--------Page 3
e S
- Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A00 0145-4
s. Traneportatior. stations
with auxin This station posses sea 1 large hydraulic balingprese
sry-equipment. The roik consists in sorting the various
kinds of scrap iron purchased and in packing scrap iron that rusts
easily. Communications are very convenient at tnie station so that
the coat of transportation of materials is greatly reduced.
I
YN&B Thaneeee facAstoiryti
Co. ,Ltd,
was the former Jpp
aocf Stthee pelresFacenttoryAsiaattiHocchiStonoolRoad.
Yangtzepoo, which after V-J Day was taken over by the liinlotry of
Economic Affairs. Preferential right of purchase for this factory
wan granted by the Executive Yuan to the Hue Hair. Eloctro-
metallurgical Co., which had the credit of greatly contributing to
the development of the steel industry in this country during the War.
with its head office atiRoom No.606, KuctHun, Building, Poking Road. 46~
As its plant and equipment had boon damaged, repair work had to be
done before work could be begun. In addition to the original
equipment, the Company has'lc:tely spent over CN$10,000 million on the
installation of new rolling mills.
The main work of the Company is steel costing and
the manufacture of machines for casting. The largest steel castings
can be an heavy as 4 tons while iron castings may reach as much an
7 tone each. Haile especially are produced in large quantities. The
whole plant consists oft 1) steel casting shop, 2) iron casting
shop. 3) metal works, 4) nail shop, 5) stool wire shop, 6) bolt
shop, 7) wire drawing shop, 8) tubs drawing shop, 9) rivet shop,
10) muchina chop, 11) metallic gauge shop, 12) plane ahbp and
13) steel rolling shop. The above units are all in operation.
The productive equipment in an follower
1) Smelting equipments
Steep One 3-ton and ono 2-ton elnctrio turnace#
two crucibles
Iron s one 25-ton iron smelting furnace.
2) MachAnicel Equipments
Galvanized iron wire machine 49
Tube drawing machine 1
Plano rolling machine 1
Corrugated iron sheet machine 1
Driving engines and o..her auxiliarice 92
Wire drawing machinoe 1C?
Nail manufacturing machines 60
Wooden bolt machines 76
Machine bolt machines 29
Steel wire machines 25
tiachinco spring aluminium wire for 6
g3rdon use
Iron gauze looms 10
Shoo nail machines
---------------------------------------------
1(ON 1jLY BUik&TIN No.XV - February 1948 - Document 85 - ~ - ,
Page
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 F
Approved For Release 2000/08/30 : CIA-RDP80-00809A4005 5-4
Working at full oa69oityr, Loup
8,000 barrels
$00 tons
400 P
50,000 grosses
300 tons
100 "
gauze 10,000 metres
150 tons
100 0
400 "
30.000 foot
100 tons
15,000 sheote
On account of shortage of raw materials, however,
the above otandard cannot be reached. 8o far, monthly production
hue only been so follows:
Haile
Steel caatinge
Steel ingots
Bolts
Steel wire cables
Cast iron
Iron wire and steel wire
Barbed wire
Machine bolts and spikes
Galvanized iron wire
Drawn tubes
Galvanized iron heats
Corrugated iron :hoots
Drawn wire
150 tons
Mail,,
2,000
barrels
Steel coatings
100
tons
Steel ingots
100
?
Cast iron
50
?
Bolts
20.000
gross
Various manufacturing works
undertaken for other factories.
19hen the installation of stool! rolling mi11o has
been completed, the factory will be able also to produce round stool,
angle iron, ,&A m bdo - dtoel, and steel wire rods.
At present, workman, showing an increase ofe161 pea sonoo who 426 n ooployoos and
p :spared with the
personnel at the time of the taking-over. If production can be
carried out at full capacity, the Company will have to employ more
than 1,000 Workmen.
The To. Hein Steel Factory at Yo.730 3naegp'u Road,
was founded in 1934. Ito main equipment iot-
1-ton electric furnnooo
2
1-ton Bessemer convertor
1
52"
cupola
1
36"
cupola
1
28"
cupola
1
The faotory mainly produces cant iron, oast stool and
steel ingots. Ito maximum production of oteel and carbon stool is
1,200 tons per 3 man the, marketed in Shanghai and the Kiahgau and
Chekiang provinceo. The maximum quarterly output of steely iron is
------------------------------------------------- --------------------
MONTHLY BULLETIN Ho.XV - February 1948 - Document 85 - Pug" 5
Approved For Release 2000/08/30 : CIA-RDP80 00809AO00500400145-4
 Approved For Release 2000/08/30 : CIA-RDPMQ0809A0005004
I
L_
it
Ia order to do ;ustice to the Ta Hain Steel Factory,
It- seems necessary to recall the great role played by it before and
during the filar.
.After its estab'l.iehment in 19a4, the factory
imported an arc furnace for the manufacture of pure steel, and rapidly
gained Cr. excellent reputation for making chassis. About that time,
the British-owned Shanghai Omnibus Company which planned to build
double-decked buses, ordered 40 chassis from ~apaneso manufacturers.
When the first Japanese-made chas'sia arrived in Shanghai and was
assembled for a teat service, carrying 40 passengers, however, the
rear shaft broke during the drive. This failure esbaraesed the
Bus.Go., which had already announced to the public the forthcoming
introduction of new double-docked' buses. With a view to remedying
the situtstion, the Company requested the Ta Hain Stool Factory to
design and manufacture the required chassis parts. The factory
studied the structure :.nd dimensions of the transmission parts of the
chassis, made them from alloy steel and finally completed a solid
chassis which could smoothly carry 80 passengers without the
slightest risk of breaking the rear shaft. As a result, the Bus.Co.
immodiately cancelled its contract with the Japanese manufacturers
and signed one with the T. Hem. Following this event, the factory
became famous all over China.
To make aura ofthe quality of its otoel, the Ta
Hain cent its products to the Britis) Shipping Society for
examination. After a strict teat, the Society issued a testimonial
certifying the excellent quality 1l of the steel produced, declaring
that the Ta Hain was the only stool factory in the Far Sant ablo to
manufacture such good steel. Itlis said that though there were
several hundred steel factories in Japan, up to that time the British
Shipping Society had issued testimonials only to two of them.
From then on, the China Stool Vehicle Company which
used to build freight wagons for the Ministry of Rallwayo, began to
purchase chassis parts from the Ta Hain. The Shanghai-Nanking
Railway Administration,. the Old Dockyard, the New Dockyard, the
Kiangnan Dockyard, Butterfield &ISwire and Jardinos soon followed
suit one after another, entrusting to the Ta Hain the work of
manufacturing various machine parts for marine use.
Later, the Ta Hein Factory also designed expross
trains by using special cast iron', carbon otcol., alloy stool, etc.,
and made it possible for a train to roach Nanking from Shanghai
within 24 hours'z.,d 25 minutes.
Aftcr the outbreak of the War the factory was first
moved to Pach'ishan, Hankow, and! then further westward to Chungking.
During the hostilities, it rendered considerable service to the
country, and was able to export architectural stool, light rails and
other materiels.
After the Bar, dlcapita tremendous difficulties in
talon, c.,,;r its old plants and ini transporting its equipment back to
Shanghai, hoe clready'ea-ce;,dod in resuming work. It is
hoped that it will in duo time 1L-vor its fcrmcr importance in tho
local iron and steel industry.
1LONTHLY BULLETIN No.1N - Telluary 1948 - Document 85 - Pao 6
Approved For Release 2000/08/30 : CIA-RDP80 b0809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
Thanks to the recent dsvolopmont of the iroi and steel
industry In Shanghai, many Chinese are noW_AaxL..yQ__uoo home products
inctead of depending on foreign supplies. A list oTd,tau and steal goo=N
from --hinese factories in Shanghai which can replace iy..a4 ipods, is
given below for purposes of references-
Wire Rod
Bamboo
$tao bs~r
s
. and routed
steel,
r
of peuare.
noueres
round,
& round
hexagonal.
Octagonal
nection
quality
S.A.E.1O
S A.B.10
S.A.S.10 S.A.S.10
8.A,3.92
10-1030
10-1030
20-1090 2C-1030
65.9260
mail &
orch_'tee-
Architect
Arohit., Arohit.,
machines, maohinea,
Architect.,
machines,
ture
ahip4.- ship-
ship-
1Cfficiency
(As com-
Same
Same
building building
1" & 2" Thickness
square & above 44.
building
Below 40,
round &
pared with
round sage as
polygonal
imported
name an imported
of lose
goods)
imported
than 2"
Monthly
1,600
2,400
100 100
diameter,
esmo as
imported
30
output
(Ton)
Monthly
2,000
1,500 to
--- -~
-??
require-
2,500
rr
ment (Ton)
Qucta-
4,500
4,000
5,000 5,000
5,000
4.
tion(Un1ts
:0
000
$
,
)
Goode
which can
Wire rod
Pesboo
oteol,
Round,aquaro, Iron
flat.hoxago- plates
hat and
round
repluce
square &
nal & oot&-
spring
foreign
round 3/B"
gonal steel
stool
goods
to 1"
rods below
an
-
Market in
70%
70,T
60% 60'%
60%
Shanghai
llarkut in
3o/I.,
30%
.ther
regions
_.----------------------------------------------
YONT1L'.Y BULLETIN No. XV - February 1948 - Document 85 . Page 7
- Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For, Release 2000/08/30 : CIA-RDP80-00809AO00500400145-4
4uali ty
S.A.S.10
S.A.S.10
S.A.$.10
25
25
25
Uses
Architect.,
Archi tact? ArohiLeot.,
machines,
machines,
machines,
ehip-
ship-
chip-
build.
build .
build.
Sfticionoy
Below 30
Bolos 30
Below 3"
(so com-
x 1/2
x`1/2
x 1/2
pared with
same
same
name
imported
goods)
Monthly
100
output
jTons)
Monthly re-
---
uiremant
Ton)
S.n.3.10
25
316,320,
521,522,
511,501,
581,esme
200
quotation
5,000
8,000
9,000
(Units
410,000)
Goods
Triangle
Triangle
Tri angle
Stool
Hoops
which can
replace
foreign
goods
Market in
irons, I
beano &
channole
bolow!4+
60%
irons, I
bosmo di
channels
below 40
irons, I
booms do
ohannols
below 40
window
frames
8banghai
market in
40%
40N
409
10%
other
regions
---------------------------------------
T N ONTHL`: -BUI.LBIITo. XV - February 1948 - Document 85 - Pogo 8
Approved For Release 2000/08/30: CIA-RDP80-00809A000509400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
U N S V E R S I T E L ? A U R 0 R $
S h a n g h it i-
BUR:~i; DE DOCUI,:TATION
(Eccnoc,ie Chiroise)
28J Chur,gkin,; NanLu (Dubail)
Tel.85761
Topic: Aralyeis,wi?.h Coxments, of Document No.t 86
the New Acgulut-'ons Governing
":e rent:n5 of Hcuuea Natures Translation
(concluded)
Authors Prof.Sung Chia-huai Number of Pages, 7
Periodical; The Juristic rnd',Economic
Review of Aurcr.'University Remarkot 8e? Document
(Chen Tan. Fu Lu lthi u Chi No.76 in the 1lonthly
Tea Chih) Bulletin No.XIV.
Date of Issue: to cn?srse of publication.
ANALYSIS WITH CO11YF,;NTS OF TH$ 2LBW
REGULATICNS GOVERt:ING THE R.7TING OF HOUSES
(concluded)
VII.- Cancelling !of Leaoea.Art.9,11,14 & 15.
According to Art.!, 450, 0 1 & 2 of the Civil Law, the
relationship established by a leave of fixed term ooaoea at the
expiration of' that torn, while the, two parties to a leave of indefinite
term can at any time cancel the contract provided no custom exists on
this point, in favour of the tenant. Tho liberty of the lessor to
cancel a lease of indefinite term was restricted, however by the
promulgation in 1943 of the Regulations on the Leasing of Houvoo in
Wartime, ) and he could no longer do so save in one of the canon laid
down in Art. 7 of those Regulations. In the case of a fixed term
lease, if one month before the term expired the tenant gave notice to
the lessor of his intention to renew the contract, the lessor could
not refuse. Since the abrogation of these 1943 Rogulations the
reasons for which a lessor may take back his house are laid down in
Article 100 of the Land Laws but as the Judicial Yuan has declared
that this article is inapplicable to fixed term loaseo (eoo Interprets..
tione Nos. 3.189 & 3FOL, as quoted above) tenants who have made such
contracts have now no protectior:-
Art. 9 of the NewlRegul tions is almost identical with
Art, 100 of the Land Law, but estnl,li11leu a distinction between fixed-
term lease9 -with a term of leas than two years and those with o for er
term. For the fu*.!+re, thei : re, the mere expiration of the term of
the lease does rot r.er=a,arily c.:d',the relationship.
1? NOTE; The, tenant coulr: always terminate the leave. on the conditions
laid down in the Civil Law.
.-..---------
1:Ni'HLY BULLET:1: No. XV - February 1948 - Document 86 - Page 1
Approved For Release 2000/08/30 : CIA!; RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
Sinc-i the ps:rpon= ci' these Rugulutior, Is to sat':: -
dinputas betwecr,landlurda ar.ci t3cart:, durin? the present ho;~aing
crisis, and given that this arm= - 14.i.ta strictly th;- various
reasons for cancellation of ;.Fach-.1c lessor might avail himself, I'.
seems that he can no longer toss such i. cancel3uticn on o r of the
causes laid down the Civil Iaw unless i't appears also in to
Regu-ations. This may to deduced from the terms used in the text of
the Eeeulations: - ''cannot cancel t::e lease except in one of the
following cases". But in the :ir:,.,mstances mentioned In Art. 447,,'? 2
of the Civil Law, that is, when tN:.ar.t, unrnown co the lesser v:
against his will, has rem.-:ed object~~? which come under the lessor's
rights of retention, it seems that the lessor can still use the
pow:: of cancellatir?n him by thv Civil Law, even in the places
And during the r?erivds of uppli cat: o.i c: tn r_? Re u1ati ons on leash.,;,
F:r the rerisir.s for wh:.h the lessor may terminate
the lease we must axe,:n:ie carefully the restrictions laid dowr in
Art. 9, 9 l of the flegi;1ationa !)I-
"If the 1C9see puts the crirrises to illegal u: e
This is identical with the prcvia:on Art.1CC, No.4. of the Iz.::d
Law.
for r?:usat:. which Y.e iii reupcn::ib-.> t'.::
lessee owes an an.ocnt _f rent quu! to ih= a::our.t of t} cash .y
given plus at icrae, two mon?,he' rent" T,iia rosecblea the provlsicr
of the Land_ Law, Ij t.100, Yo. S, except that the words "Por racy c.i~; r 7,r
which he in respunoiblu" do net there oc:iur. Since the Civil Lew h,ir.
already laid dour. ^:.23C) that a dohtcr in no. 'ehindhand if the
payment due ban rot been wade for reasons outside his control, it
follows that the contract cf .aase car.not he cant:e.1ed becaune of n?:.:
payment of rent unene thi.n is the fault of the tenant. It must`s
noted, however, that. the t- r:t is a money debt a::d for money debts
car be no que,ti?.:: cf i~:posuibili ty oi' exe'utic::1 therefore eve:,
where the tenant huh n_ morcy to pay the debt, there is always delrty,
of ex5cution. Conse;::cntly unions chc tenant has just reason to
refuse payment of the rent he iv always respc::sible for the reason of
its non payment.
Neither the Rngu, 'ions or the land Law has made
clear whether the leuaorf in cancelling the lease according to this
provision, should observe or not the formalities of summons laid down
in Art. 440 of the C,vi: Law ;-))f but according to lnterpratation
No.3489 of the Judici_1 Yuan, such a su^imnna is indispensa'le and the
loose can only be cancelled if the tenant has failed t4 pay the rent
within the term fixed in this iumnuna from the lesso^. 3).
NOTES% 1) The tenant; on the othir hand; car always, in order to
terminate tha lease, invoke the previsions of the Civil Law, notably
Art. 424, 43::, 435, Li, 4:1C.
. 2) Art. 440 of t) Civil Law't -:*hen the tenant in in nrr
with the payr:tent of et%.c rent, the lessor may fix ra srni abt.e :..,:m anti
summons him to pay within that term. If the tenant fails to pay
within the term the lesnar mry cancel the leiuc".
3) Interpre'-'o" Hn.34en cf the Judicial Yuanr- r3. A lessor
who resumes pcoacasion of hto house tucause of non-payment of the re:st.
au provided by Art.100, Nc.3 of the Land Law, meet according to file
provisions of Art. 440, 11 1 of the Civil Low, fix a suitablu torm and
uummonu the tenant in uri?ea:o to pry within that tern. The contract
of lease can only be cancelled if' the tenant has failed to pay within
the term".
------------------
MMONTHLY BULLETIN No. X\' - February 1_~4i - Document 66 - Pggs 2
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A00 00145-4
3) "If the lessee has lntentLonalyy, or-through
negligence d:: .:.aged the lessor's house and fails to make repairs or
to pay adequate compensation". Thin provision is again similar to
that of Art. 100, No.o of th, Land Law. It is true that the Land
Law speaks of the house" and its "dep.:ndarces" while the Regulations
only mention the house: but it iu obvious that the dependancee arc
also included.
Consequently the present provision may be applied
whether the damage is done to the house or to its depenQ,ppces. If
either has beer, damaged by the fault of some person other than the
tenant, the latter is still bound to make reparation according to
the ?rovisions of art. 443 of the Civil Law 1). If the tenant does
not make reparation., therefore, ~..~ lessor may cancel the lease.
4j "it the lessee contravenes the provisions of I 1
of Art. `" of the ktegalaticns: ti-.at in to say, if the tenant has
sublet the whole'house to another, or if having sublet part of the
house in spite of an interdictory clause in the lease, he has obtained
neither the written consent of the lessor nor his signature to the
contract of subletting, then the lessor may cancel the lease and
resume possession of the house. The Regulation does not, however,
define the situation of the subtenant once the relation between
lessor and lessee is terminated. If the whole house has been sublet,
since this is forbidden both by the Civil Law and by the present
Regulations the subtenant has no right to protection. If only part
of the house hag been oublet, it is possible that the subtenant was
in ignorance of the prohibitive clause in the lease, and the provisions
of Art. 7 I 1 of the Regulation would seem to be applioahle by
analog` that is, the subtenant would have a preferential right to
lease the part he had held as subtenant.
5) "If proof is furnished that the lessor is taking
back his house for hie own use, in accordance with the provisions of
Art.1111. Art. 11 of the Regulations reads as follows: "If after a
lease cf indefinite term has been in force for two years, the lessor
for adequate reasons has to take back the house for his own use, he
shall furnish definite proofs of his need, and further give the lessee
three months' notice of the cancellation of the lease". This in why
with a fixed-term lease, whatever the length of the term. (twenty
yours is the maximum according tp the Civil Law) it is impossible for
the lessor to take back the house for his own use no long as the term
of the lease has not ended. With a lease of indefinite term, before
the house can be taken back for ,.orsonal use, two years must have
elapsed but these two years are counted from the conclusion of the
lease, not from the coming into force of the Regulations. In any casa,
if the house is to be taken back for personal use, the following condi-
tions must be fulfilladc- gust cause, certain proofs, warning given
three months in advance. Personal use govern. not merely use an a
dwelling, but also the personal conducting of a business, as in stated
in Interpretat~pn No.2954 and in Interpretation No.3489 of the
Judicial 'iliiii I
NOTES; 1) "If by reason of facts for which the responsibility falls
either on those who live with the tenant, or on third parties whom he
has allowed to use the thing tegood or to enjoy its fruits, the objeot
leaned is damaged or debtr.>yed, the tenant is bound to make good the
loss".
2) Interpretation 2954 of the Judicial Yuan: "The tarme1taking
back of the house for personal use', used in Art.ll, of the Regulations
on the Leasing of Rouses in Wartime include also the taking back of a
leased house in order personally t-) conduct c business".
Interpretation No.3489: "2nd. The taking back of a leased
house in order to use it for one's own business is included in the
taking back the house on a personal dwelling in Art.100.No.l of the
Lend Law."
MONTHLY BULLETIN No. XV - February 1948 - Document 86 - Page
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A0005Q0400145-4
9) "If the J.esaee -has c losed up the house and has
ceased to'use it for more than six mOlrtha". `The_purpoao--of a house
Is to be used. if therefore the t.irant has not used the house for
six month.; clearly he does r.-:t nee': i t and it is quite noriral that
the lessor `rnoula be permitted tc cancel the contract. But the
question whdther the tenant is using the house or not must be
answered according tc e:rcumstsnces. The fact that the house remains
closed only constitutes a "presumptirn" of its disuse and cannot
always cause ,the c:,ncel".:sng of the lease. For example a house used
for storing goods, even though it remains closed for six months is in
continuous use. On the contrary, ever though a house is not closed
down if according to the facts it may be judged that the tenant no
longer uses it regularly, the contract can also be oancelledi thus
when the tenant has moved, leaving .;one small goods in the house, or
giving into a friend's charge, in certain canes it may be. said that
the tenant no longer uses it.
8) "When the house has to be rebuilt, and the lessee
has been 9ctified three months in advance, and furthermore a building
license has been secured". We may add here the text of Art. 14 of
the ltegulu4ions , "If after bsir., rebuilt a house is still to be
leaned out the original lessee shall have a preferential right to
rent it", f the rebuilt house to to be used by the lessor in person
or is sold~itc a third party the tenant cannot exarcise his right of
preference. 3ven when the tenant holds a right of preference for
the leroe, the clauses of the new lease must always be decided by
mu`.ual agrekmer.t between the two parties. But if the lessor proposes
inacceptabin conditions with the object of inducing the tenant to give
up his right. to preference, it appears that the tenant may bring an
action heforb the courts.
9) "When the lessee violates the restrictions laid
down in the lease", Restrictions laid down in the lease must be taken
to mean special clauses inserted in the lease and tending to limit the
tenant's manner of usage. This does not mean that a violation of any
restriction whatever contained in the lease can constitute a reason
for cancelling the lease. For some time it has become customary in
some placer - Shanghai, for example, to use contracts of lease
entirely printed in advance, containing severe restrictions on the
method of using the house, eo that the least negligence on the part of
the tenant may be construed as a violation of the restrictions of the
lease. It must be emphasised here that cancellation din on7y be
admitted if the restrictions contained in the lease are judged
reasonable in the given circumstances and if the cancellation of the
lease is an equitable sanction against the violation of these
-restricts one.
The nine facts thus far enumerated are the causes of
cancellation of the louse by the lessor. But 4rt.9 of the Regulations
in no way prevents the contract of lease to be accompanied by a
cancellation clauses i.ur does it i away with the affects recognised by
the Civil Lam or. the fulfilment of the cancellation clause 1).
1) NCTlii Interpretation No.34A9 ^f the Judicial Yuani 04. The provision
of Art.100 of the Civil Law - corresponding to Art.9 of the
Regulations on the. Leasing of Houses - has not the effect of for-
bidding that the contract of lease should contain a cancellation
clause, nor does it waive the effects of implementing the cancella-
tion clause, as laid down in the Civil Law. If an agreement has
been wade between a lessor, it. and it tenant,B. that if a third part,
C. should need the house leasad, the contract shall automatically
terminate, it mast be concluded that the lease is accompanied by a
cancellation clause and that as soon as the condition in fulfilled,
A can tare hack the house".
MONTHLY BULLETIN No. XV - February 1948 - Document 86 Page
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 1
Approved For Release 2000/08/30 : CIA-RDP80-00809A00 .0145-4
Art.LO of the Reg'.tations deals with the revision
rents. This question had already been dealt with in Art.442 of the
Civil law, as follows, "When the object leased is a house either
party may ask of the court an increase or decrease in the rent
because of fluctuations in the vriue, but this provision does not
apply to fixed term leases". The provision of the Civil Law applies,
therefore, only to leases of indefinite term. Since the promulgation
of the Complementary Rules on Civil Procedurd during the Period of
Demob_isaticn, appeal may be made to its 12th Article, to demand the
revaluation of all debts, incluuing rents from fixed turm leases.
But the conditions required or. which could not be foreseen at
the time of the contract, rr,rii'est ludo of equivalence in the
eommw tative contract, etc. ) Art.lO of the Regulations for the leasing
of houses has therefore been drawn Lp to enlarge the scope of rent
revision. By this article any obvious change in the local oconom?.c
situation is enough to allow the parties interested to ask for an
increase or d::creuae of the rent: moreover such a modification is
possible not unly for leases of indeterminate term but also for f:xad
term leases down to a limit of ':nq year.
A.rt.12 deals wI th the deposit of rent. Where a
creditor refuses to accept payment, the debtor, to free himoolf, can
deposit the Bum ho owes with the Bureau of Conaignution. The rules
governing this matter are to be found in the Civil Law, Art.326 ff,
and in the law nn Deposits promulgated on Jan, 7, 1937. According to
Art.12 of the Now Rogulations, if the lessee, without legitimate
reason, refuses to accept the rent, it is no longer necessary to make
use of the Buresv of Consignation, the tenant can deposit the money
in a bank or at the post office. On the other hand, Art.12 contains
no detailed rules on the procedure of depositing, on which reference
must therefore still be made to he provisions of the Civil Law and of
the Law op Deposits.
Art.1( lays down that competent 6overnmenta, according
to the provisions of krt.94 and 95 of the Land Law, must build h:.usea
for the irhnb!,.ruts :.f their districts and encmarage the residents to
build for themselves. Strictly speaking, this article has nothing to
do with the present ieguriatlons which, as their title shows, deal :ath
the lotting of houses and not at all with their building. Nevertheless,
it in obvious that the disputes about lenses are caused principally by
the housing shortage and will varish as soon as there are, enough huus+,.
Art. 94 of the Land Law, which deals with the building of houses by t...
public authorities, r,:no as follows,- In towns, the adminietraticn
should build a certain number of upc.re houses to be let to private
---------------------
idJ:7Tal1 BULLS:ii ll:.xv - gebrua_^y 1948 Do
cument.86 pa 6
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
individua,.s as personal dwelling". The rent of the houses ment?._
in the preceding paragraph shall not exceed the interest, at 8% p:?r
year, on the value of the land and building". .Art.95 of the Land
Law, on the building of houses by-the residents themselves, says,
"In order to remedy the present housing shortage, the municipal or
district authority may, -+r_th authorisation from the Executive Yuan,
reduce or suppress the land taxes and improvement taxos on new
houses and fix the length of this reduction or exemption". The total
or partial exemption from land tax and improvement tax, laid down in
Art.95, is fairly easy to realise, since it needs only a decision by
the competent authority and an authorisation fro= the mcecutiva Yuan.
The building of spare houses seems harder of realisation given the
present financial difficultied of the public authorities.
Art.17 again has nothing to do with letting housca
an4 in only of interest to the personnel of the public authorities.
Art.18 indicates which authority can inflict
penalties for the breaking of these Regulations. Such penalties u:e
to ba pronounced by the courto end are of a civil character.
Art.19 and 20 of the Regulations give the right or
recourse to the courts to a tenant expelled without reason and Vie
owner of a house illegally occupied by another. Both articles s7:.n' y
lay down the principle of recourse to the courts, giving no detx-:c..
rules. ~It therefore appears that the common procedure should be
followed', of bringing an action in courts these two rules have
little practical utility.
11 Art.21 reco iseo the right of provincial and
munioipal authorities to draw up complementary measures, adapted to
local needss these measures are to be approved by the Executive Yuan
and may npt contravene the provisions of these Regulations which,
since they have been passed by the Leginlative Yuan, have the force
of Law.
Art.22 io concerned with the length of time in which
these Regulations are to apply which will come to an end three
yearn from their date of promulgation, December lot. 1940.
---------------- _---------------------------_------------------...---
MONTiiLY BULLETIN No.XV - February 1948 Document 86 - Page 7
J
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A00
it - i L '
- 3 f: a r. a h a 1-
3 H :., TnTi0N
(Ecc:,o: is C:- noise)
LdJ Jhu!,gLing i:an J.u (Dubail)
Tel :U5 7sS1
Topic: Coal ..aninb rr.c Codl
Policy in :hina
19:id-194b,
sufnor: t2grt t)
.LL ,..inb-ho
Brochure: Ten. Years tf China
:.conc?:.i ra
( hih , _,en Lui ;;hih Chung
.ao Chir-E Chi %
2ubliehe?1 byr Ths Chrr)e 3ook Co.,i,td.
I Jenuar;, 1948_--_-
145-4
Document Ito.: 87
?ltature: iaigest
hu:aber of pageos 13
iien.arko: Original ' e
is "The goal :.i i, i.
Sr.Serprisea in t
last Ten years',
ca" zi1N119 ..i:L CJnL POLICY 1N Ciii,:n
1J3H?-1948 !Dart 11
Tho article of c;jiih a full dip;est ie here ri:.?.: in
one of the twenty atudiea Fethere6 by :.r. T'an Hei-hung under t.`
title "Ten Years of China'o 4cr.oitics". The first volume cf t'?is
work has recently been published.
moaent, since theTproblerr..:e of themproductionaanindietributioneof
sct Goal is obcupying the reaporaible auth-,%i ties o.'1 lea.ing to nc
research in order to :..ain:din existing inuastries ani cove-3p no.,
one.
The original article is ?Avided into seven
chapterr whose essentiul points and atutlotica have here been
reErouped under three principal headinc,a. This iaaue will contuir.
a short aur,.aary, followed oy tho first part, "rho Development of
Coal dining in aTee Chino durinE, the ear and its :iesulta". T'-e
remaining !wo parts, "Cool r;inea in the Liber..tvd .seas", and
"Coal remand a::d oupoly and Future .~rospect9", will uppear in the
"arch Bullet in.
Certain lines of inforeation, Insufficiently
brought out in this artlale acy be supplemented by re-raac;ing
Documents cnz! Studion alreu.y published in the i_onthly 3ulletin:,
eopeoi&lly those on Goal in the pr..vinccs of Hunan, iiiangsi,
ltwangtung, Shensi, and Shanal, to which reference will be aaat:o in
the course of the atuuy.
JtOrT.YLY P:rl.r ... He .;(y - Pc ruary 948 rx cut.ent Na.87 -.Page 1
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 F
Approved For Release 2000/08/30 : CIA-RDP80ii.Q,0809A000500400145-4
lil,l?
li'I
China ronto fourth amo fjt.he ncttona ae regar..s
c~-l reeerven, coming rft_r the United ata.tce, Soviet Rusala and
Canada. 4ofoec thv war, catir;?tss *ado by ,t',o Gcologlocl Survey
of Cbiaa Put t' t:>tcl reocrvee c:' China -4t I265,311,b00,000 metric
tone but Lora i- nt invcstirutlona :cech,the flgurse of 444,511,
OJC,CL;C? aoc it a -Lou th..t this le more ccourate.
.Cool kaaervus in the Various Yrovinooe
(Unit. 1,wu,vu. Im.t. )
~o$r_~al?nc l
eurvuy
Liaoning
636
. )
Kirin
,
143
= )
::ci lung):i e,-.g
1,017
1)
J rtus:s
Sungkli r.6
Hoki.:nb
Hui ngan
.L ,: aOp uh
'tar ki, ng
fatal for 11.k.
JuhCi
_14
Chaher
504
Suiyuan
47c
1linghsia
,
467
:.ansu
1
056
Chi nGhci
,
824
Sinkicng
31
900
Shansi
,
71,95u
C3 nttnal
127
127
:Copah
,
3
0:,5
Hondo
,
7
7.,4
oncnturg
,
l
Ci39
1.i':nnou
,
217
..nhwel
300
' I{uPch
1-innan
luu
354
1
dn~oJ. 82cohucn
,293
700
Si):a n6
3, 833
wc::ow
531
YunnaI)
2,519
Swangel
2,310
.iwaagtuna
1,157
Pukl er.
333
.Taiwan
lb3
3,110
1,594
4
785
440
3,326
1,126
249
16
10,650
1,763
604
476
45?
1,056
824
61,980
71,960
295,600
4, &>i
8,034
2,121,
217
760
lw
354
1,293
?OU
3,833
531
2,818
2,320
1,167
333
Gtt..bl) TGT.,:L 265, 311
444
A44, 511
1) -EDITOR S 7h'ee figu< ca,. o;ond 1011 tho old Chinese
prowl^c, ra t: cy 1x19;_,; ..,fora the 1Atkd^n IrcfA t,
. ----..-..------ `--------
----------
1SUNTHI,Y i3Ul.r:i.llr k,o.XV Yubruu
ry 1940 Loou t 87 .. Page '3
? illl
Approved For Release 2000/08/30 : CIA-RDP80i 0p809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
Before-ths, Llukd'an Incident of September l8th.1931,
the y-ta.-1y prod-,cticn of coal in China(lanchurl a included) reached
30,000,000 metric to. After that it remained at about 20,000,000,
the more productive mines being located in the: provinces north of
the Yellow River.
in order to prom,tc the development of industries in
Central and Southern 'China and to increase the resources for national
dare noa spcciel o,,;aeurrs were taken either to open new coal mines or
improve those :lrcL.dy existing. Now mince were opened by the
National Resources Com?aisaicn Lt Yuhsicn in Hunan, and Kaok'ang,
P'inghaiang and Ti~?nho in Ki?,ngail the Reconstruction Commission
opened coal zoncs nt Huainan in i.nhwei and reorganized those at
Ch'angheing in Chekiangg and the former tiiniatry of Industries
helped private interests to open the Ta,hung coal mine at Hsuchow
in Ki angsu and to develop the t olo rune at Loping in Kiangni, the
$ukuo mine at Ch'uchiung in zwangtung and the Yuanhua and Lihua mines
at Tayeh in Hupeh. Mcanwhale two imcortant companies, the Chungfu
in Honan and tr?e X.ilr-n in Hopah, wore reorgr-sized so that Chinese
and for;,ign ir.terusts 'wore 3r. tter balr.nced. _1!r t':cr action was t:.kei,
to help th.; various co. aLomp..nica thrt were experiencing difficulties
and to provide bcttur coal distribution thrmigout th,; country no
Northern China had a surplus and the regions along the Yangtze !liver
a deficit in production. c:a compared with demand. Jith this In view
the former :iinietry of Industry established a Cor.iu ssicn for ndJudting
the }ti nancea of the Coal Trade and a general conference was summoned
in 1936 to discuss and draw plane to solve the problems concerni::G
coal production, marketing and consumption. But 'owing to the outbreak
of hoatilities, the project could not be carried out.
New measures had to be taken to cope with the
situation created by the Japanose invasion. The :1ini5try of Lconoric
Affnira was established in 1938 and together with the Third
Department of the Military Council, the National Resources
Commission, the Reconstruction Commission and the National Seonomic
Council, had to face the many problems cf resisting onoap' opprosui;,n.
During all these years special care was devoted to the coal mines cf
Szechuan, Hunan, Kiangai, Kwangsi, Yunnan, Kwaichow, Shensi and Kz.nuu,
Such affortb were crowned with success no already
In 1942 coal production in Free China amounted to 6,000,000 metric
tone which was enough for industrial, military and civilian
requirements. In 1944 a War Production Bureau was inaugurated in
order to carry out a systematic promotion of coal production in the
Erse provinces. When Japan a'6rrandered, the Government without
abandoning the wertern regions had to turn specially to the newly
liberated provinces in order to rclireve the pressing coal famine
in such big cities as Shanghai, Hankow, Tientsin, Tsingtao, Peiping,
Mukdon, Cantor. and Taipch. -
Unfortunately, new difficulties arose with the
communist disturbances minor Just restored ware plundered and
communic.tiona disturbed. Tho Miniatry of 1iconomic nffairs and
the National Resources Cosmaioaion did their beat to help the old
mince in spite of the campaign aoai not the rebels and to mai atai n
the coal nupply by discovering new fields an i~r.:~n4tr the
capacity of those already existing in Gc:.Lral and Southern China,
Ae a whole their policy has met with real successI In 1946 the
total coal production reached 18,000,000 in. tons and it was over
19,000,000 in 1947.
----------------------------------- --.------_------?------------------
MONTHLY BUL:.ETiN No.XV - February 1948 Document 87 Pag.; 3
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4.
 Approved For Release 2000/08/30 : CIA-RDP80-00809AO0 0145-4
Coal iroductior, by Provi.-ces
and after t:?t ,4r
Before,lruriag
Borth .:..otern
Pr ovi nceu ; -
Liaoning ---
---
1,8(,000
2,16G.:,.:6
::irin ---
-
219,%JU
HeiIunRkl..ng
..n tv'Ig ---
SuntJz1anc ---
_-^
Holicng ---
--
--^
H-9i nian -^-
^--
---
---
i.i.aopeh ---
---
882, ilGO
b(O).
a{enklun~ -?--
---
v-.
.-.
Tot41 for
12,c,G., i,~.?
2.582.001.
2,979, Ck>v
3eho1 ---
-->
1,5OG,CCG
1,599,"0
C~ahcr 247,093
---
3O,OUC
180,.-.
buiyuan 72,59
73.CUO
80.4:,
:anEheiu 1:OC'
74, 3C.0
15L;,u.u
159,
anau 1G.., G J
:u0, (;: 0
2813, JC:C.
:1,
24'
Jbi:'ghti ---
---
5J,0.;J
5C,4t
pinki .ng li.. ,:?:.:
- -
2JU.uh.)
176,4,
zhensi 2.:0.31
5ob,94c
L50 U-10
540,:,.
bhanni 2,8t,481
---
960, 000
GOC1, u.. V
Hopeh 7,b7b,591
~~-
4,65J,OuG
5,'~4O,U..
don:.n 2, 2t6, 6"
696, 9JU
1, Ou.., OUV
72?), x....
Shantung 3,988, 157
---
837,0x0
30J.
..:wngecr 867. kbO
---
4bu,UUU
524.V.-
,.nhwe1 1,ulu,b14
2J,,-.u
70.;,uV..
871,x..0
Chaici..ng 942,472
2.uvu
lt,uw
99,6vv
Hupeh 5x3.642
37, ~UU
1bu, JW
308, 4:,..
Hunan 819. u.a
1~:. ??.; UilO
bOO,OJv
c99,6tit:
rlangoi 346,8b8
200,0x0
1400 %;00
219,bu..
bxeohuan t63,958
2,650,0 O
1,860,000
1,740,4Uv
Shang
3O,uW
30,0x0
30,0:;
.weiohow. 80,z:;
303, J:.U
090, 000
199,20x:
Yunnan 123,547
242,450
180,000
200,0'. &,
riwangoi 10L, 0O Z,
93, UOO
60, 000
132, 0...
.wan6tung 351,252
70,0.ri1
40, LW
6J5 V-?-
!Uki en 5v, JC?u
30, Uvd
30, C?,V
3U,wu
Taiwan - -
-
1.OCU,OW
l,lyu,w,
Gk," D TuT,.L
34,?50;35,
ti;g13.c37
18,QCYi,C)JV
19,487,4Jv
I.- The ?.eevelooment of Coal kilning in ?Freo Chinc"
during the /ar and its heaulto.
Its is iotereating ho review the dovolapc:ent of so..1
wining in ::'ee China Burint!, the a-r, not only to approoiato the
work achieved, out zlso in connectio.i With plt.r,s for the better
utilization of the country's cool resources in the future.
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
Let us examine first the policy adopted during war
tiwe and then the results obtair.: in etch province.
The nuweroue neueureo taken by the dinistry of
seonocuc ..ff..irs durir.t, the wtr to promote the ucvelapnent of co..l
mince in "Free Chin::" had a triple ti;n in view. to inereaoe productiaa,
to control ..:+.a'ireting and to supply the smelting and refining works
of the interior with coke of goon quality.
In order to increauc coal mroduction in the dent,
the prooedur., for obtainir.;; a liccr.ne? of exploitation woo Ysry much
eiavlifi.d as well as that for obtaining loans to remove and repair
the wuoh needed uzchincry or even to buy it in foreign couotricaj
moreover all pcozlc enga(,ea in coal wining either workere or technioiuns
were temporarily exeLpted frow a.ilitary service.
r.lres.dy in 1938 a :lsel Control Office waa not up in
:iankow to retulate the demand end supply, secure speedy transport::tiom,
prevent adulteration and licl t prices ar.d profits. After the fall of
the 'auhan cities, the office try rcr..oved to Szechuon where it wdo
chiefly concerned with coke problems. In 1943, a ?rc:nch of the ?Uel
Control Of1:ce was put specially in charge of supplying the railro..-s
in iwangtung, Hunan and :.i..ngsi, and in 1944, another Rraneh wan
created to supply the sea industries in lionan and Shensi. Then the
3ureau of 'War Production ^iaa set up end the forwar office re,otined
only concerned with coke production.
?r'inally the vre Smelting neeesroh laboratory wcs
creuted. Its chief fur.ctiun w -.o to experiment with the various
bituuar,ouo coals in order to find the most suitable ones for co}.ieG
ana to eotaulish go.,a coke f:.ctories Proaaaing results were obtain;:d
With the iarmian co"l of Szechuuu and especially good coke was
obtained from the coal of the T'ienfu, Chiangho, Ana Ruaun mines so
that the pro?uetion of iron could be increased.
The reoulto obtained in thin province are clearly
shown by the following figures,
Saochu.:n Coal Production during the 7 r.
1938
1,400,000
1942
2,005,000
1939
2,350,uvv
1043
2,900,000
1940
2,790,000
1944
2,iOU,000
1941
2.800.0uU
1945
2,300,000
.w,ong the var_oue mines listed below the yeiyunn,
shihyen, Huach'ang, Yita, Chienjhucn, ir_tur.g, Hu yon, Chengtu, Huuyin
and Chuun';:ico..1 cot'p t.ni,u were newly oprnod or reoganiacd. Part of
the m chincry removed from the Chungfu Coal Ainc (Ronan) wan handed
over to the fields Of T'ienfu and Chiayc.na while butter equipmont
and means of trunnportltion were given to the old minas it aunto'ai-
ohong, Puoyur.n, Chiangho, TunElin and ;;hihlin.
-----_--_-_----------.---
YONTHLY BULLETIN No.) C; 1948 - Document G7 - Page 6
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A00
145-4
-c?.ept -ftX the ~aSiah'aog Cwl_1..ld.lug
prod_oee anthr..oito n2l the'aocie are CA. , which
~isumiaoue. The 09., x~u
daily output ie yLVOn thuei
Ym Du~I
Y
y_ur~ut
~a~U P~PB.4!.
) 6 eRMVi'-f1?T
Taiyuan coal moo. 1)
Huach'cng 0
600 bone
25.,
Paoyuan
Chi
?
3Gu tone
Y1 to o
Chienehuen 2)
'
1"
12.
sagho
Tenglin
8hih11n
?
0
o
i
etung 0
H
6u
lopiu
))
1GG ^
ue an 3)
Ch
1u ,
80
en_rtu O
6`:
Chan aeon
0
2C
Huayi n 0
Ch
4)
11.1 -j
Yungka
o
u
60
uantoi o
'
'
1LL'
Chuehi;.nr
o
pu ?
T
ienfu o
Chia
It 50C,
Hei n?-MO
0
luu'
yrng 2)4)
.,ante'slehencr o
8U0
3vi:
Fuhua
Ch'ieh'ang
a
o
by
o + Priv:.tuly o,;r,ed.
1) - Jointly o~.neu .y the NHC +.nd the dolt dmjriatrttio..
s ? h - " private interests,
3 .+iniotry of geonomia -.fuLro s,id
private interanto,
4) Cow,ined to fore, the T'ienfu Coal nluiag moo.
6 - Publioly owned.
o The azeohuwn ,.ininn, Co. jointly owned by the 1fftC and
Provinoial uovernwont,
Production of Pilaolpnl dines in bseohuan,
Jan.-June 1047. (in a:ct.tone)
Vienfu
Woi
u
308,924,40
Chekiang
19,8QQo.QV
y
ao
bhihlin
b4,154.vt:
Ftuayin
14,716.1a
Yita
43,6c1.,Lw
Hoping
13,251.00
T
l
18,714.09
Hoohuan
10
386
00
ung
in
17,004.72
Yung)cu
,
.
2,a00, i L.
2.
Slkcng.
the Yiksi C:.al M.ald under the wanagowoot of the
1bt0 said the Siic.nb ProvinaI41 4aY4711m0at, furriahed seal to i5e
eo,)per, load i.,u zinc a.ining enturgrioea of azoQhuan anti olk.ng toe
rarlninb purposed.
8ikang Coal Eroduetion during the .ar.
1938
30,UJ0
1942
39
1039
1940
30,U~L'
32,u0.:
1443
194
~U4J
Du,uJJ
1941
317, UJU
4
1945
3u,GUV
iSC)d14itY+1Ui.L:Tid ----------
1548 Dosm:,ont 07 . 'PaQe?? -6 '-e
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
Luring the war 9ever.il_new mince were openeds the
Hsuanr.dnr, coil L.ine to furnish coke, the .1nian6yun to supply the
projected Yunnan-?urLS rci1way, the I;,inblanS for the requires:entd
of tha arlt w~ris of western Yunua!; ind the iron ano steel works
of the 1-.-ovirce.
Yunnan (;cal . roductior. during the .Yar.
1938
15(1,6'X.
1742
242,450
1939
22v, v:?.i
1943
250, CPi O
1940
2: 2, J,.v
1944
260, JOO
1941
3v_,C~n6
d.: id^d by tote total .onuagr? "f the:: shi:,cing - thlJ uhail
taken as baste for assn.ssine, .tlr :ax for each ,carter. No .f;lr.her
quarterly auditing of :.ccour.ts :,hail be aade. But if there has
been any increase or decrease in the prices of tickets or free-;hts
changed hi t'.-.e business, the nt.Lnderd aver:.ge umcunt of busine_s
re'.eiots per t;?n .hall `,e re-a?::.-a:.ed .. plocartien to that
increunc or .....-east..
4, The nuts::: ?wcrk' ng d::yo r_nv shi pri. ng company shall be
counted z.n d_.y.-, fcr er.c q;::.-ter'. ^o rtduction is :aide in
this fc.r .?pn-uai-il:g; days. f ?rma1a for computing tits tax
shall be as follov.sl
The l"maunt of :ax to be paid by u Company m
(1) .he of :rl~rc car. sires; receipt? per ton in three ...ont-.s,
r::u l t i p! i =d b..,
(^) The total .onr'?gt ?'.t::t CcnZ:any,
rultIpI by
(3) Tax rata.
Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
 Approved For Release 2000/08/30 : CIA-RDP80-00809A000500400145-4
If there hae been cny increase or decrease in the
tonnage of the steamers of a shipping company on account of a
change in the navigation lines or for any other reason, it shall
immediately be reported to the local competent oolleoting office
and an adjustment shall be made in the assesomont of the tax for
the following quarter.
S. Whenever it is necessary for pirpoeee of control in levying the
special business tax o:, shipping enterprises, the looal competent
collecting office ?hall at any time again investigate oamplo c-ses
chosen at random from the relevant books and certificates of the
branch or dub-brhnah business units. They may also at any time
write to the authorities concerned requesting them to investigate
and verify the working conditions.
~_- ------- _-__- ___- _ -----
MONTHLY BULLLTIN No.XV' - February 1948 - Annax )ioxT.IY ? Page5
approved For Release 2000/08/30: CIA-RDP80-00809A000500400145-4