LARGE PROFITS STIMULATE HONG KONG-NORTH CHINA TRADE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00809A000600280165-8
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 1
• Document Creation Date: December 22, 2016
• Document Release Date: September 27, 2011
• Sequence Number: 165
• Publication Date: January 12, 1950
• Content Type: REPORT

Sanitized Copy Approved for Release 2011/09/28: CIA-RDP80-00809A000600280165-8
"LASSIFICATION CONFIDRNTIAI
CENTRAL INTELLIGENCE AGENCY REPORT
INFORMATION FROM
HOW
WHERE
PUBLISHED Hong Kong
DATE
PUBLISHED 29 Nov - 4 Dec 1949
LANGUAGE Chinese
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OF TOE UNITIO 0TAT10 111}111 TOE 1000100 01 IITIG0AII ACT 00
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INFORMATION 1949
DATE DIST. IP-,Jan 1950
NO. OF PAGES 2
SUPPLEMENT TO
REPORT NO.
THIS IS UNEVALUATED INFORMATION
LARGE PROFITS STIMULATE
HONG KONG-NORTH CfIINA TRADE
FOREIGN SHIPS RUN BLOCKADE FUR PROFIT -- Hsin-sheng Wan-pao, 4 Dec 49
The main reason for the attempts of shipping companies to run the
Nationalist blockade from Kong Kong to Shang-hai is, of course, the large
profits involved. Before the :all of Shang-h&., the freight charge from
Hong Kong to Shang-ha was ebcut 45 Yong Kong dollars per ton. Now US
ahipp4.na companies are char6ing 165 dollars per ton, the British companies
120 to 140, and Panamanian and Norwegian-companies 100 to 120 dollars per
ton.
All ships sail under contracts which permit them to put in at North
China ports if they are unable to reach harog-hai and unlcF.d cargoes at
these p-,rts. The freight charge from hung Kong to Ch'ing-tao and T'ien-
e-bIng is 70 Hong Kong dollars cheaper than to Shang-hai. Even when cargoes
have to be unloaded at either Ch'ing-tao or Tien-cling, the shipping
companies are paid the freight charge to Shang-si, if the cargoes were
originally consigned to Shang-hai. Thus.. It can be sees that shipping
firms are in a more advantageous position than the foreign trade merchants
since their losses would not be as heavy as those of the merchants if their
ships do not reach Shang-hai,
It is more economical for merchants to have cargoes unloaded directly
at Shang-hai because of the reilroad freight charge of 400,000 yuan in
People's bank nctes (300 Hong Kong dollars) per ton for reshipment from
Ch'ing-tao or Tien-ching to Sharp-hai.
The tremendous difference in the price of goods is, of course, another
factor which encourages merchants to send goods to Shang-hai. For example,
one tan (133 pounds) of crude rubber, costing 115 Hong Kong dollars, brings
900 Hong Kong dollars in Shang-hai, and one barrel of caustic soda, costing
245 Hong Kong dollars, brings 1,500 Hong Kong dollars in Shan -hai.
STATE
ARMY
NSR8
FBI
I 1
M,
Sanitized Copy Approved for Release 2011/09/28: CIA-RDP80-00809A000600280165-8