SINO-SOVIET COMMERCIAL ACTIVITIES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00810A004600890009-8
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 2
• Document Creation Date: December 20, 2016
• Document Release Date: August 7, 2007
• Sequence Number: 9
• Publication Date: August 11, 1954
• Content Type: REPORT

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REFERENCES
THE SOURCE EVALUATIONS IN THIS REPORT ARE DEFINITIVE.
THE APPRAISAL OF CONTENT IS TENTATIVE.
(FOR KEY SEE REVERSE)
1. On 2 February 1954 a Soviet economic mission, formed by Pokachiski (1580/
0595/2388/2448/1015), chief of mission, Fopoli (4430/1580/,500), Lokanski
(3157/1481/2448/1018), and Matav (7456/2092/1133), arrived in Peiping to
negotiate terms of a Sino-Soviet agreement for exploitation of iron and
coal mines in Shansi Province. Basic agreement has been reached on the
following points:
a. The name of the company was: Iron and Coal Mining Company of Shansi.
b. All technicians must be Soviets.
c. The term for mutual exploitation of these mines was ten years.
d. Capital, provisionally fixed at one billion rubles, was to be furnished
by both governments.
e. Eighty percent of the annual production of the mines was to be turned
over to the Soviet Government in exchange for material.
2. The Foreign Commerce Bureau of Peiping sent YANG Hung-mao (2799/7703/5399),
one of their advisers, to Moscow. YANG was accompanied from Moscow to
Berlin by Kekasiki (2688/0502/2448/1015), chief of a section of the Soviet
Ministry of Foreign Trade, where they were to study possibilities for
developing trade between China and European countries. The Chinese Communist
government envisages placing the following orders:
a. Czechoslovakia US$80 million, for arms, munitions, and auto parts.
b. East Germany US$50 million, for various types of machinery.
This material contains information affecting the Na-
tional Defense of the United States within the mean-
ing of the Espionage Laws, Title iA, ?j s t, Secs. 793
and 794, the transmission or revelation of which W
any manner to an unauthorized persol, is prohibited
by law.
REPORT
11 August 1954
25X1
641453