COMMUNIST CHINA OBTAINING STRATEGIC MATERIALS FROM HONG KONG, MACAO, INDIA, AND EUROPE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00809A000700070597-1
• Release Decision: RIPPUB
• Original Classification: R
• Document Page Count: 3
• Document Creation Date: December 22, 2016
• Document Release Date: August 19, 2011
• Sequence Number: 597
• Publication Date: August 16, 1952
• Content Type: REPORT

Sanitized Copy Approved for Release 2011/08/19: CIA-RDP80-00809A000700070597-1
SUBJECT Economic - Shipping, foreign trade
HOW
PUBLISHED Daily newspaper
WHERE
PUBLISHED Hong Kong
DATE
PUBLISHED 25 May - 1 Jul 1952
LANGUAGE Chinese
nu DOCU... Caau0 ,.N.NATO. AVACfl.A T...ATO.AI aV11,a
OF T.1 N.M. STAND M. lilt .11.UA OF ORONAI. OCT NO
N. t. C.. ., AN, MAN AVt.... . ITO TAA..O111o. o. TN. A/rcllTlO.
Cl ,TI CO OM I. ANT .1...A TO AN O.AOl.0a390 11190% I. PlO
NIAIT.a t1 U.. .t11000CT10. oT 1... PONT 1. 1.O.Ltl...
REPORT
CD NO.
DATE OF
DATE DIST. /,6 Aug 1952
NO. OF PAGES 3
SUPPLEMENT TO
REPORT NO.
THIS IS UNEVALUATED INFORMATION
COMMUNIST CHINA OBTAINING STRATEGIC MATERIALS
FROM HONG KONG, MACAO, INDIA, AND EUROPE
A survey of the Hong Kong Being-tao Jih-pao for all of May and June, and
up to 5 July 1952 reveals that, despite the UN embargo, Communist China con-
tinues to get strategic materials 'from Hong Kong, Macao, and abroad. The paper
revealed that there are at least five different ways in which Communist China
is getting materials into the country, as follows:
The 1 July 1952 issue, reporting a news item from Canton, dated 29 June
1932, stated that the Central People's Government purchases large amounts of
goods, such as raw materials for various industries, metal products, petroleum
products, machinery, etc., from several neutral countries in Europe, and sends
them directly to Shanghai, Tientsin, and Canton by ships belonging to Denmark,
Norway, the Netherlands, and other neutral European countries.
The 1 July 1952 issue, reporting a news item also from Canton, dated
29 June 1952, stated that the Central People's Government had recently issued
an order which would give preferential treatment at Chinese ports to ships be-
longing to Communist countries over those belonging to non-Communist countries.
The order stated that, effective 1 June 1952, all foreign ships which belong
to non-Communist countries must hire Russian pilots Jic7, or, when they are
not available, Chinese pilots authorized by the Harbor Control Bureau, before
entering the harbor area. When neither a Russian nor a Chinese pilot is im-
mediately available, the ship must proceed to anchorage areas belonging to the
Border Guard Bureau or the Islands Administration Bureau (Hai-tao Kuan-li-chu),
and then re-apply for pilot service from there. The order further stated that
although ships may enter Chinese territorial waters without a pilot, they may
not unload their cargo until authorized to do so.
STATE
ARMY
CLASSIFICATION RESTRICTED
SECURITY INFORMATION
CENTRAL INTELLIGENCE AGENCY
INFORMATION FROM
FOREIGN DOCUMENTS OR RADIO BROADCASTS
14 4 NAVY ~ I NSR8 I I DISTRIBU1iON
XI AIR __JX I FBI 1
Sanitized Copy Approved for Release 2011/08/19: CIA-RDP80-00809A000700070597-1
STAT
 Sanitized Copy Approved for Release 2011/08/19: CIA-RDP80-00809A000700070597-1 ~
The 25 May 1952 issue reported a news itam from Canton, dated 24 May
1952, saying that the Communist authorities in Kwangtumg Province had completed
the dredging of the Chen-ts'un channel of the Chu Chiang delta area; and that
all civilian vessels are now urged to use this new channel to go in and out of
Canton instead of going by way of Lien-hua-shan as in the past. The route via
the newly dredged channel is 38 kilometers shorter.
However, according to the Hsing-tao Jih-pao, the main purpose behind
this move in trying to divert the traffic through the new channel is to hide
the military installations around Shih-tzu-yang and also to leave the Pai-o-t'an
area open for the Soviet ships which frequently come in from the north with
military supplies. The most recently reported arrival of a Soviet ship at
Pai-o-t'an was the Kao-ni-ssu-chi-fu fRoneshchev?7, which arrived on 20 June
1952,. around 1600, from Vladivostok with a large amount of military supplies,
and medicine, metal products, and raw materials for various industries. Its
arrival was reported in the 25 June 1952 issue, with a dateline of 24 June
1952 from Canton.
3. By Indian Ships
The 1 July 1952 issue reported a news item also from Canton, dated
29 June 1952, stating that the Canon Harbor Control Bureau is setting aside
sit. mooring buoys at Huang-p'u Harbor which are to be used solely by Indian
ships that will soon bring cotton from India in exchange for Chinese main
under the "commercial treaty" being concluded between these two countries.
4. By Canton-Kowloon Railway
The 2 June 1952 issue, reporting a news item originating in Hong
Kong, stated that on 1 June 1952, a freight train on the Canton-Kowloon Rail-
way departed from Lo-hu Station for Canton with about 100 tons of Japanese-
made rayon thread which had been purchased directly from Japan by the Foreign
Trade Office of the Central People's Government
The 4 June 1952 issue reported that the Canton Branch of the Foreign
Trade Office, which recently resumed purchasing various kinds of Western medi-
cine, metal products, dyestuffs, wool, and Japanese-made rayon thread in Hong
Kong, is sending most of them to Canton by the Canton-Kowloon Railway. As a
result, since the latter part of May 1952, the number of freight trains had
increased considerably on the Canton-Kowloon Railway.
The 21 June 1952 issue reported that the amounts of goods transported from
Hong Kong to Canton by the Canton-Kowloon naiiway during the past month was
larger than that during the previous month. The goods which were sent to Can-
ton during the past several months consisted mostly of rayon thread, dyestuffs,
metal products, Western medicines, and medical instruments. It was reported
that about 100 tons of these good. were sent to Canton from Lo-hu Station on
20 June 1952.
5. From Macao by Small Coastal Vessels
The 5 June 1952 issue carried a Chung-yang She report which stated
that since mid-April 1952, Communist authorities in Amoy had been purchasing
large amounts of petroleum products, mainly diesel oil, in Macao, and shipping
them by small coastal vessels to Amoy. At present, there are about 12 motor-
sail boats engaged in transporting as much as 150 to 200 ton.. of diesel oil to
Amoy each week. Besides diesel oil, a considerable amount of Western medt,;ine,
medical instruments, crude rubber, and metal products are also being shipped
from Macao and Amoy.
Sanitized Copy Approved for Release 2011/08/19: CIA-RDP80-00809A000700070597-1
 Sanitized Copy Approved for Release 2011/08/19: CIA-RDP80-00809A000700070597-1
The 25 June 1952 issue reported a news item from Canton, dated 23 June
1952, saying that shipping service between Canton and Macao, Chiang-men and
Macao. Amoy and Macao, and Swatow and Macao was recently resumed to transport
a large amount of goods from Macao to China. The only route which has not yet
been resumed is between Shih-chi and Macao. Vessels which are engaged on the
Canton-Macao route include the Kuang-fu-lung, Hsin-ming-hsing, Li-heiung, and
L1-te, and those on the Chiang-men--Macao route are the Li-ying, Wei-hsin,
Ting-hsing, Lu-yu-li, Li-sheng, Su-ch'ang-sheng, and Chin-li. Approximately
12 vessels now ply between Macao and Amoy, and Svatow and Macao, compared with
only three vessels -- the Chin-yung-yuan, Wan-yuan, and another vessel -- which
plied these rmrtes last month.
The 30 June 1952 issue reported a news item originating in Hong Kong
which stated that private import and export Werchants in South China had re-
sumed importing large amounts of goods manufactured abroad, and that Macao
has become the main importing point. As a result, the number of coastal ves-
eels engaged in transporting goods between Macao and Canton, Amoy, and Swatow
has increased greatly. According to statistics for the last half of June 1952,
about 1,800 tons of goods consisting mainly of metal products, electric motors,
dyestuffs, wool, liy=:d fuel, Western medicine, telegraphic apparatus, steel
products, etc., were shipped from Macao to Canton during that period.
L
Sanitized Copy Approved for Release 2011/08/19: CIA-RDP80-00809A000700070597-1
STAT