It is always a real pleasure to be among friends of China - especially with the members of the Sino-American Cultural Society.
China and the Chinese have played an important role in my life and hold a special place in my affection. Understandably, when I return from visits to the Far East, I welcome the opportunity of sharing experiences and observations with my Chinese and American friends. Mrs. Wedemeyer wanted to go along on my recent trip, for she too is fond of China and has many friends there, but her doctors advised against it. Despite this fact, the journey proved to be an enjoyable and rewarding experience. I returned with renewed feelings of admiration and reinforced hope for the Republic of China.
President and Madame Chiang extended the invitation and also General Chang Chun, who stressed the desire to discuss international developments, as we had so often done in the past. You are all aware, of course, that I no longer have official status in my government. Before accepting the invitation, it seemed especially important to me that I mention that point, and anyway in the past my recommendations to officials in Washington concerning U.S. policy had never been favorably received or acted upon.
I informed my friends in Taiwan that liberal elements in the information media continue to urge U. S. accommodation or appeasement of the Communists. This was dramatically confirmed when many commentators on the TV and radio, in The New York Times, the Washington Post and the Los Angeles Times enthusiastically endorsed the secretly contrived 1972 Nixon visit to Peiping. Also, they strongly approved his subsequent visit in Moscow with Communist leaders.
In Taiwan I was most fortunate in the opportunities to talk to practically all key members of the government. Many enjoyable dinners were given, and discussions were held under the most congenial circumstances. I know that you would be interested in the enjoyable evening I spent with Madame Chiang and a small group of friends at the Presidential Palace. Unfortunately, the President's health precluded his attendance, but China's gracious First Lady conveyed his warm greetings and good wishes. Everyone seemed optimistic about the President's recovery.
I visited various areas of the capital - Taipei and its environs and drove out into outlying areas also. One noted new factories as well as many under construction, new office buildings, hotels, modern apartment houses, improved airport facilities and an extensive network of highways. I visited the National Palace Museum with its incomparable treasures of art and literature. I also visited the College of Chinese Culture at Yangmingshan where Dr. Chang Chi-yun presides with dignity and warm hospitality. I was privileged to join a group of Chinese scholars for luncheon and a seminar conducted by Dr. Chang, which included a frank discussion of world events.
My program included an inspection of industrial centers, with an occasional glimpse of the scenic beauties of the Formosan countryside. The people everywhere seemed happy - obviously well-fed and attractively clothed. Freedom, pride, dedication - all were evident whether in a shop, a school, a rice field or in a market place. The stores were abundantly supplied with tempting consumer goods. In some ways Taipei resembled the streets of Paris, with countless cars dashing about, horns tooting and pedestrians darting through the streams of traffic. I intentionally rode in a taxicab. What an experience! I must state honestly that the driver was not particularly adept nor did he have any regard for my life or that of the pedestrians to whom we denied the right of way. I described my wild ride in the taxicab to the very attractive and efficient young mayor of Taipei when I later had the pleasure of visiting him in his office.
My favorable observations concerning the health and well-being of the general public might be interpreted as superficial. But I am an experienced observer and have learned to look beyond outward appearances. If I had accompanied President Nixon to Peiping in February, 1972, you may be certain I would not have been deceived by the cosmetic attempt to depict a happy and prosperous Communist China. Today's favorable economic situation in Taiwan was confirmed many times by statistics and authoritative reports. For the past decade the economic growth of the Republic of China has been maintained at the high annual rate of approximately 10 per cent. The per capita income has almost doubled in the same period, raising the standard of living of the people to a level second only to that of Japan. Major new industries have been established, particularly in textiles, food processing, plastics, building materials, electronics and light machinery. A new steel plant is now under way.
Shipbuilding facilities in the Keelung area are turning out large ocean-going vessels. Indeed, manufacturing has gradually been replacing agriculture as the mainstay of the economy - this in spite of the progressive and greatly increased production of the agricultural sector. New crops such as mushrooms, asparagus, pineapples and citrus fruits have been added to the traditional rice, sugar, bananas and tea as items for domestic consumption as well as for foreign trade. In the past decade foreign trade has spurted tenfold, thus generating a most favorable balance of trade and foreign exchange. Sound fiscal and monetary policies have concurrently controlled inflation and have achieved a relatively stable economy.
I couldn't fail to contrast the scene in 1973 in Taiwan with that in 1947 when, as a special envoy of President Truman, I made a more or less systematic survey of Far Eastern countries. Immediately after World War II, one found a backward economy in Taiwan - a people demoralized by oppression and the dislocations of war - many individuals struggling even to survive and with little cause for hope or optimism. At that time a social structure existed in which feudal landlords possessed most of the arable land and exacted exorbitant rents from the peasants who tilled the soil. The contrast with the conditions today is dramatic proof of the progressive and humanistic policies of the existing government of the Republic of China. Rents have now been reduced by a carefully phased program of agrarian reform. The former great estates have been apportioned into small farms and the farmland is now in the possession of the families who live on them and who till the soil. It is not surprising that the incentives, the self-respect and the rewards of owning one's farm have contributed appreciably to productivity.
And very significantly was the method by which this land reform was accomplished. In admirable contrast to the Communist method, wherein the land is ruthlessly expropriated and often the landlord is killed, the Republic of China has pursued a just policy which has the enthusiastic support of the former landlord as well as the farmer. How was this done? The government purchased the land from the landlord at a fair price and also permitted the landlord to buy stock in government sponsored corporations. It would interest you to know that many of today's entrepreneurs in Taiwan are former landlords. The farmer has been given a sufficient area of land on which to produce enough for his family and a surplus for the market. The harder he works, the greater his reward. And it is his reward to keep, whereas in Communist countries the produce from the land must be turned over to the government. The late Vice President Chen Cheng is generally given credit for these land reforms, but he personally told me that Minister K. T. Li and others were most responsible for this eminently successful program.
I was particularly impressed with the emphasis being placed on tourism as a means of promoting economic and social well-being, and of increasing world appreciation and support of free China's objectives. The Swiss and Israelis have shown how important tourism can be for a relatively small country. The government in Taiwan is now doing an impressive job providing favorable investment opportunities for foreign capital as well as excellent facilities for the comfort and enjoyment of tourists.
It is unrealistic to suppose that all is well in the Republic of China - that there are no internal problems or foreign dangers. Unfortunately, storm clouds still exist on the horizon and will no doubt continue in the foreseeable future. Overshadowing all other concerns is that of perpetuating the independence and political identity of the Republic of China. Make no mistake, our friends on Taiwan have been severely shaken by events of the past two years: their illegal expulsion from the United Nations in which they had been founder and respected member since 1945; next the dramatic U. S. initiatives with respect to friendly steps toward Communist China; then followed the withdrawal of diplomatic relations by many former friendly countries; and finally, and equally important, the uncertain political and economic relations with nearby countries, especially Japan. Without American support, our friends on Taiwan know that their future is clouded, and indeed their very survival as a de facto government may be in jeopardy. Doubts concerning U. S. support in an era of detente and shifting alignments naturally haunt their sleep. Sensing these fears, I tried while in Taipei to counsel hope and confidence. I tactfully made suggestions concerning a long-term strategy - with emphasis upon building a strong economy while maintaining commercial and cultural relations with all nations. I pointed out in all sincerity that the joint communique issued by President Nixon and Chou En-lai on February 28, 1972, does not, as I interpret it, present the possibility of the United States abandoning Taiwan to Communist military aggression. Further, I believe that the joint statement issued by Japanese Minister Tanaka and Chou En-lai on September 29, 1972, does not realistically envisage casting off the Republic of China to the Communist wolves. Japan continues to have significant economic ties with the Republic of China. Further, the Japanese know the dangerous implications if Taiwan becomes a military base for the Communists.
I believe that the Republic of China today has ample resources that should make all of us optimistic about the future. I refer to the fact that the Republic of China already has a strong economy, with justified optimism for increased participation in world commerce. Militarily I refer to the practically impregnable position of the island of Taiwan - surrounded by water and defended by highly efficient modern air, ground and sea forces. Then the indomitable spirit of the free Chinese and their unity of purpose which gives them a powerful advantage over an irresolute enemy. It is my conviction that the entire population of Taiwan would tenaciously resist any Communist attempt to invade. The people cherish their freedom. They fully appreciate their high living standard - the second highest throughout the Far East.
President Chiang wisely advises his people to count all nations as friends who are not enemies - to seek friendly contacts through channels of trade and cultural exchanges - and above all to work to build up their strength, economically, socially and psychologically.
It is my firm belief that Communism is not, and can never be, the answer to China's needs. Nor can Communism provide a suitable system for bringing the Chinese people into a prosperous and happy relationship with the modern world. For this historic task, I have no doubt that the Republic of China, though chastened by defeat and challenged by serious obstacles, is a far more hopeful vehicle. In the area under its control, the ideals of human freedom and dignity still survive, along with such traditional Chinese values as familial devotion and the humanities. Who can doubt that this government, if sustained by faith and effort, might yet survive to carry into a new age the heritage and hopes of the people of China? I for one fervently believe that it will.
I hope that all of you will give further thought to the developments relating to China. This is the 50th dinner meeting of the Sino-American Cultural Society. On this memorable occasion and in the realization that we all have continued responsibilities in the future, just as we have had in the past, may I proclaim, "Hats off to the now - coats off to the future," and let us roll up our sleeves to meet every challenge to bring freedom to China.
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Editor's note: General Wedemeyer was chief of staff to Generalissimo Chiang Kai-shek and U. S. forces commander in China during World War II. This article is based on his remarks to the 50th Sino-American Friendship Dinner in Washington