Canberra, 15 October 1954
Australian Representation on Formosa
The arguments submitted by Dr. Chen for Australian representation on Formosa have considerable validity.2 Representation there would allow us to get a lot of useful information not only on what was happening in Formosa and on possible Chinese Nationalist intentions towards the mainland, but also on American intentions and activities.
2. However it would be very difficult at this time to reopen our Embassy there because this act would have a political significance. In many ways it is a pity our Embassy did not follow the Chinese Nationalist Government to Formosa in 1949, but the reopening of an Embassy would have a political significance quite different from the position that would have existed if we had continued relations all along. It would indicate some new acceptance on our part of the position of the Chinese Nationalist Government.
3. It is best not to give the Chinese Nationalists anything in writing on this. We could reply, quite honestly, that Australia cannot think at present of opening any new posts, for lack of staff and funds, etc. The best course for us is to be rather vague on the matter, and this is why it is better to continue to handle the matter orally rather than in writing and to leave the initiative throughout in making approaches to the Chinese.
4. Incidentally Mr. Dulles suggested to Mr. Casey at an Anzus Meeting in 1951 that Australia reopen its Embassy in Nationalist China.
[NAA: A1838, 519/3/1, i]
THE UNITED STATES–REPUBLIC OF CHINA MUTUAL DEFENSE TREATY
After President Eisenhower’s announcement on 2 February 1953 that he was issuing instructions that the US Seventh Fleet ‘no longer be employed to shield Communist China’ the situation along the China coast remained relatively quiet during 1953 and early 1954. From May 1954, however, intermittent clashes between Chinese Nationalists and Chinese Communist forces became more frequent. Against this background the United States and Nationalist China signed a Mutual Defense Treaty in Washington on 2 December 1954. Its signature was preceded on I December by a joint declaration issued by the two Governments which publicly announced the general nature of the treaty. The Treaty specifically covered Formosa and the Pescadores on the one hand, and the United States island territories in the Western Pacific on the other. It provided for self–help and mutual aid to maintain and develop the capacity to resist armed attack and communist subversive activities directed from without. The Treaty provided too for the United States to station such forces in and about Formosa and the Pescadores as might be provided for their self–defence.
In reaction to the treaty, Chou En–lai, Premier and Foreign Minister of the People’s Republic of China, issued a statement on 8 December declaring that the Treaty was a grave and warlike provocation to China and a betrayal of China’s sovereign and territorial rights. Chou added that the liberation of Formosa was a matter of China’s internal affairs and that the signing of the Treaty had increased the danger of the United States extending its aggression against China. Through December 1954 and January 1955, the Chinese directed strong criticism against the United Kingdom and Australia for their support of the Treaty and condemned Casey’s statement on 31 December that the Treaty could open up possibilities of avoiding war, and might well turn out to be a factor making for stability in the Far East. These statements were accompanied by air attacks of mounting intensity against Nationalist–held islands, notably the Tachen group, the northern–most of three main groups of Nationalist–held offshore islands.
1 James Plimsoll, Assistant Secretary, Geographical Regions Division,- Department of External Affairs.
2 Chen Tai-chu, the Nationalist Chinese Minister and Charge d’Affaires ad interim in Australia, had spoken to Tange on 16 August about possible Australian representation in Formosa. Chen argued that Australia would, by establishing representation, be able to gain information on the situation on the Chinese mainland and promote bilateral trade. He also pointed out that the two countries shared anti-communist sympathies and that the United Kingdom had a Consul in Formosa who undertook diplomatic activities.