CO129-571-15 Sino-Japanese War- manufacture and import of aircraft to China 18-1-1938 - 5-1-1939 — Page 141

(COPY)

HONG KONG, 3rd June, 1938.

14)

Aeroplane Factory.

Thank you for your letter of 26th. May.

The proposed factory will undertake the

manufacture of all parts of an aeroplane at present under-

taken by manufacturers in the United States and England,

which does not include the engine.

Pawley tells me that in America and Great

Britain, no aeroplane factory makes their own engines.

This is a very costly business and requires very large

capital.

The Curtiss-Wright people have an engine factory

but it is quite a separate organization from their aeroplane

factory.

To start with, we did not propose to make our

own aluminium and gun metal forgings, but as soon as the

business justified it, we should do so. These, however,

constitute but a small proportion of the necessary parts, so

that it is not misleading to say that we are proposing to

manufacture aeroplanes, and not merely assemble the

manufactured parts.

The Hon. Mr. N.L. Smith, C.M.G.,

Colonial Secretary,

Hong Kong.

Yours sincerely,

(Sd.) Stanley H. Dodwell.