CO129-560-15 Traffic of arms to China 18-2-1937 - 15-11-1937 — Page 103

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accept orders, where this would entail the diversion of

skilled labour from government orders.

3.

It is understood that there is no prospect of

anti-aircraft guns being available for delivery within

And Mr. Eden

As regards

Messrs.

a short period, even if interference with the requirements

of national defence were to be permitted.

proposes so to reply to Mr. Quo Tai-chi.

ammunition, however, the case is rather different.

Vickers Armstrong have, as stated in paragraph 1, offered

to fulfil one quarter of the prospective order within five

months. Mr. Eden would be glad to learn whether it would

not be possible, without serious prejudice to urgent

orders placed by His Majesty's Government or by governments

to whom they have obligations which might affect the

decision, to authorise the firm to offer delivery of the

first instalment at an earlier date say, within two, or

three, morths.

A negative answer has thus far had to be

returned to all requests in regard to war supplies which

have been put forward from Canton;

recently, for

instance, a request for aircraft had to be denied on the

ground that all available machinese of the type in

question were already promised to the Central Government.

The Army Council will no doubt appreciate the importance

of maintaining and consolidating relations with South

China, and in this instance Mr. Eden is of the opinion

that it would be highly desirable that some response in

regard to the supply of this ammunition should be made,

if it is in any way possible. The amount of material

involved would seem to be slight in comparison with the

political aspect of the matter.

4./