Notwithstanding all the corruption and incompetence that one notes in China, it is a certainty that the bulk of the people are not disposed to a Communist political and economic structure. Some have become affiliated with Communism in indignant protest against oppressive police measures, corrupt practices, and maladministration of National Government officials. Some have lost all hope for China under existing leadership and turn to the Communists in despair. Some accept a new leadership by mere inertia. Indirectly, the United States facilitated the Soviet program in the Far East by agreeing at the Yalta Conference to Russian re-entry into Manchuria, and later by withholding aid from the National Government. There were justifiable reasons for these policies. In the one case we were concentrating maximum Allied strength against the Japanese in order to accelerate crushing defeat and thus save Allied lives. In the other, we were withholding unqualified support from a government within which corruption and incompetence were so prevalent that it was losing the support of its own people. Further, the United States had not yet realized that the Soviet Union would fail to cooperate in the accomplishment of world-wide plans for postwar rehabilitation. Our own participation in those plans has already afforded assistance to other nations and peoples, friends and former foes alike, to a degree unparalleled in humanitarian history. Gradually it has become apparent that the World War II objectives for which we and others made tremendous sacrifices are not being fully attained, and that there remains in the world a force presenting even greater dangers to world peace than did the Nazi militarists and the Japanese jingoists. Consequently the United States made the decision in the Spring of 1947 to assist Greece and Turkey with a view to protecting their sovereignties, which were threatened by the direct or inspired activities of the Soviet Union. Charges of unilateral action and circumvention of the United Nations were made by members of that organization. In the light of its purposes and principles such criticism seemed plausible. The United States promptly declared its intention of referring the matter to the United Nations when that organization would be ready to assume responsibility. It follows that the United Nations should be informed of contemplated action with regard to China. If the recommendations of this report are approved, the United States should suggest to China that she inform the United Nations officially of her request to the United States for material assistance and advisory aid in order to facilitate China’s postwar rehabilitation and economic recovery. This will demonstrate that the United Nations is not being circumvented, and that the United States is not infringing upon China’s sovereignty, but contrary-wise is cooperating constructively in the interest of peace and stability in the Far East, concomitantly in the world.