Evening star., 1953-10-11
Red CHING
Peiping Worries
About the Future
By Edword S. Jones

view of the Stalemate-the boaSting
is tempered by worry over the fu-
ture of China's tottering economy
There is a growing danger that
Red China will be unable to shore
up her internal structure without
resorting to another Far East war,
The Chinese Communists have,
in the last eight years, taken
over the responsibility of admins
tering a vast amount of territory
and more than 455 million people.
They are attempting to carry on
this administration according to
lines laid down by the Kremlin.
Also they have inherited, along
with their responsibility, the eco
nomic woes which beset the Ma
tionaliSts and the Manchu empire
before them.
China, despite its tremendous
size and large population, is far
from being sufficient, and can
not feed and clothe its own people.
For centuries it has relied on for
eign trade and outside help for the
barest necessities of life. "AIl the
rice in China" is not produced in
China, but must be imported, in
part, from outside the borders.
Must Build Industry
According to the basic doctrines
laid down by the Kremlin, the Red
Chinese must first build up their in
duStry.
Toward this end, Mao TIE Tung
and Chou En- Lai have concluded
treaties with other countries for q
large amount Of industrial equip
ment and scarce commodities. A
treaty was concluded with Ceylon
for SIS million worth of rubber. An
other treaty was signed with Russia,
calling for chemical and mining
equipment, railway equipment and
machine tools. Still a third treaty
was entered into with Poland calling
for further industrial equipment for
the manufacture of textiles and
chemicals. The Red Chinese have
contracted to pay approximately
$65 million in goods for those i'm
ports.
. The Red Chinese have no foreign
exchange of any sort. so all of the
treaties concluded call for payment
In merchandise. The rubber from
Ceylon will cost many large ship
ments of rice. The equipment from
Poland and Russia is to be paid for
with. more rice, light metals, tea,
silk and tung oil. Also an announce
ment from the Kremlin recently de-
clared that the Chinese would soon
ship quantities of food to the starv-
ing in East Germany. For q coun-
try whose people have been in a
semiStarved condition for centuries
to suddenly start exporting food calls
for modern miracle.
So the Communists are faced with
the almost impossible tasks of find
ing produce, goods or money to pay
for these imports and finding other
imports the Iron Curtain countries
cannot provide.
In the coming era of comparative
peace in China. the Red Chinese are
faced with three possible solutions
to their economic problems. s
. They can again try normal trade
with foreign nations.
. They can make up their deficit by
military conquest of neighboring ma
tions in Southeast Asia.
. They can extort further taxes
from the farmer and workingman.
Prewar paths of foreign trade
are no longer open to Red China
Almost all but the Communist ma
tions of the world refuse to recog-
nize the Chinese-with the excep-
ton of Britain, who has not, in
turn, been recognized by the peo-
pies government of China. Foreign
capital cannot be attracted, and
foreign "know-how" TO make the
wheels turn is unavailable.
The few commodities that China
longer in great demand. For ex-
ample, China has to pay bill of
sos million to Russia, Poland and
Ceylon, using the only commodities
which are highly desirable to the
Western traders, tungsten, tin, anti
mony and mercury. The entire
amount exported in 1947 (the best
year in China's long history was
valued at only $19 million. Obvi-
ouSly the entire production will go
to Russia and there will be none
left over for other nations.
By Force of Arms?
Other commodities listed as pay
ment for the equipment to be re-
ceived include rice and tin. If the
farmer is not to be taxed further
additional rice must be secured from
outside China. This rice, tradi-
tionally, has come from Indo- China,
Thailand and Burma. Indo-China
produces large amounts of tin.
Malaga has rubber and Burma
has oil as well as rice. Should
Russia demand prompt payment,
the means are readily avail
able for the taking with the only
expense involved being the cheapest
commodity on the Communist list,
soldiers.
There have been serious reports
Of unrest in China, chiefly among
the peasants. The peasants, 95
per cent of China's population, we're
talked into the Communist cause
with vague promises of "agrarian
reform No mention was made,
however. of the workings of the
Communist form of government,
whereby the peasant lives and pro-
duces for the state.
Recently many reports have fl
tered through the Bamboo curtain
that the taxes on the peasant were
so high that, although he produced
food, he was left less than enough
to feed his family. If the situation
In China remains the same and no
outside commitments are made in