The President said:
"The spectacle of contradictions and inflexibility within party, administration and military, and the pent-up hatred and fury of the people cannot be changed. If there is any change, it will be for the worse. Whether the 'people's congress' is held will make no difference. Failure to convene the 'congress' will reflect the vast dimensions of Peiping's internal crisis. If the 'congress' is reluctantly held, the forcible installation of Mao's wife, Chiang Ching, in a position of power, or the moving of Wang Hung-wen, Chang Chun-chiao and others to the fore in the hope they can seize power for Mao from various 'mountain strongholds,' can never terminate internal strife. To the contrary, this would signal the beginning of large-scale disruptions, disorders and massacres in which 'alliance with this or that mountain stronghold would be sought in order to struggle against the others."
The President deplored the fact that the people of the world are tending to keep their eyes glued on developments concerning convocation of the "national people's congress."
"They continue to deceive themselves by gazing into a mirage, although they know that in truth the disorder cannot be ended," he said.
In another message, President Chiang urged Asian peoples to "heighten their vigilance against Communism, give up divergence in thought and struggle forward to the end in pursuit of common freedom and prosperity."
The advice was contained in a congratulatory message to the Asian Peoples' Anti-Communist League in Saigon. The President said:
"The anti-Communist struggle waged by the peoples of Asia has a long history and has had a great influence. These peoples are striving to win the final victory so as to safeguard the security of the Asian and Pacific region and ensure the freedom of all mankind.
"We are reaching a moment which will be decisive in determining our destiny. This is, however, also a turning point at which we can transform insecurity into security and haplessness into happiness.
"It is highly significant that this conference is being held in such a staunchly anti-Communist country as the Republic of Vietnam. The theme 'Freedom of Asia Through Unity and Prosperity' points out the right way for the Asia of the future.
"In struggling forward with you shoulder to shoulder and hand in hand, I should like to reiterate these three points:
"First, Asian unity can be attained only when Asian peoples heighten their vigilance against Communism, give up divergence in thought and struggle forward to the end in pursuit of common freedom and prosperity.
"Second, Asian prosperity can be realized only when Asian peoples have through mutual assistance and cooperation succeeded in smashing the Communist economic system of manipulating, seizing and exploiting humankind.
"Third, Asian freedom can be ensured only when Asian peoples have recognized the source of the threat to freedom and eradicated Communist dictatorship and despotism.
"For two decades, you have never ceased to strive for the creation of a new Asia of freedom, democracy, peace and prosperity. I am confident this conference will make even greater contributions to the freedom of the Republic of Vietnam and to the security and prosperity of Indochina, Asia and the Pacific region. You will write a new page in the history of Asia.
"I extend my best wishes for your good health and the success of the conference."
International tensions cannot be ended by negotiation because of the Communist attempt to conquer the world, President Chiang Kai-shek said in a message to the 10th General Assembly of the Asian Parliamentarians Union in Bangkok.
Instead of terminating tensions, appeasement and compromise "are instrumental in encouraging Communist aggression..." President Chiang declared.
The tragic fall of the Chinese mainland into Communist hands is the root cause of the troubles in Asia during the past two decades, the Chinese leader said.
Further development of this tragedy can be prevented only if "the intelligent people of the world can distinguish right from wrong and friend from foe and engage in a common struggle for truth and justice," the President said.
"Distinguished delegates have gathered to discuss the safeguarding of the freedom and democracy of Asian peoples and how to assure everlasting peace and prosperity for Asia. I wish to express my respect for your efforts and your cause.
"Today, the Communists are attempting to take over the world and enslave humankind. As a result, international tensions can never be terminated by negotiation. To the contrary, appeasement and compromise are instrumental in encouraging Communist aggression, infiltration and subversion, thereby worsening disaster for humankind. The Asian nations uphold morality and are peace-loving. Yet in the last two decades they have met with one reverse after another. This is because of the tragic fall of the Chinese mainland into Communist hands. Prevention of the further development of this tragedy and the planning of Asian security and peace to avert a holocaust for humankind depend on whether the intelligent people of the world can distinguish right from wrong and friend from foe and engage in a common struggle for truth and justice.
"Since its inception in 1956, the APU has made remarkable contributions in promoting the solidarity of the Asian peoples in the common struggle and in developing Asian moral courage. This is the turning point at which human history and civilization will achieve renascence or vanish from earth. It is my sincere hope that your assembly will overcome all difficulties, carry out your lofty aims and consummate your sacred mission.
"I extend my best wishes for the success of your meeting."
Vice President Yen Chia-kan returned from Central America in late December. The Vice President, accompanied by Mrs. Yen and four others, attended the inauguration of Nicaragua President Anastasia Somoza Debayle and later visited Haiti, the Dominican Republic and Barbados.
Earlier, the Vice President had spoken to the Seventh Plenary Session of the National Council on Chinese Cultural Renaissance and urged members to redouble their efforts.
The annual meeting was presided over by Wang Yun-wu, vice president of the council. More than 160 members and government officials participated.
A written message from President Chiang Kai-shek, who is concurrently the president of the council, was read.
Among the participants were Chen Li-fu, vice president of the council, and four recipients of awards for achievements in promoting Chinese culture.
Those honored were Chou Li-hsing, editorial writer of Shin Sheng Pao; Hsiang Tui-chih, professor at National Chengchi University; Hsu Yu-hu; associate professor of the same university; and Yen Jung-chang, instructor of the Political Warfare Staff College. Wang Yun-wu presented prizes and citations.
Premier Chiang Ching-kuo declared that his administration will assure the economic stability of the people no matter how the world situation changes.
Addressing the preparatory meeting of the 1974 annual conference of the National Assembly, the Premier said even if world improvement is slow, the government will safeguard the livelihood of the people.
Paul Cardinal Yupin, a member of the Assembly, presided at the session after a ceremony to observe Constitution Day.
Due to its insular economy, the Republic of China on Taiwan must depend on the outside world, the Premier said.
"This means our economic development cannot be separated from the world economic situation," he explained.
"All the economic measures adopted in the past year by the government were meant to minimize the effect of the world economic storm on Taiwan's economy and maintain stability for further growth."
He reaffirmed that the government will not consider devaluation of the New Taiwan Dollar, because devaluation would result in the rise of prices and jeopardize the people's livelihood.
He said the 10 basic construction projects are serving an unexpected purpose by providing job opportunities for large numbers of people.
The Premier said a dynamic government must be of the people and for the people.
He urged government officials to be servants of the people and not overseers to dictate and control.
The Premier said there is a great difference between the people on the two sides of the Taiwan Straits, although all are Chinese.
The people on Taiwan are living in freedom, prosperity, harmony, and unity, he explained, while the people on the Communist-held mainland live in slavery, poverty and unceasing struggle.
"If we use these advantages to attack the Communists, we are sure to succeed," he said.
The Premier again vowed: "We will never compromise with the Chinese Communists. It was so in the past, it is so today and it will be so in the future."
Premier Chiang Ching-kuo urged farmers to think twice before switching to planting sugar cane. His advice was contained in a directive to officials concerned with farming. A number of farmers have converted paddies to cane fields because of soaring sugar prices.
Premier Chiang reminded farmers it takes 14 to 16 months for cane to grow. No one knows for sure if sugar prices will remain high for that long.
Rice is more stable. Two crops can be grown each year plus at least one sundry crop. The return is quicker.
Premier Chiang said the nation should not only grow enough food grain to feed the people but also have an adequate surplus for any emergency.
The Premier was briefed on the nation's agriculture by officials of the Joint Commission on Rural Reconstruction.
He said land should be utilized to the fullest extent, agricultural output raised, water and soil conservancy strengthened, flood and drought prevented and the income of farmers increased.
To speed agricultural development, he said, agencies in charge of agricultural development should study effective use of land (including slopes and reclaimed land), tilling of idle farmland, pro motion of mechanization, improvement of seeds, improvement of transportation and marketing, and credit for farmers.
The Premier expressed satisfaction over the 10 percent increase in rice production this year. He said rice output should be raised by another 10 percent in 1975. Fertilizer should be supplied to farmers at guaranteed prices announced before the transplanting of seedlings, he said, and interest-free loans to farmers should be continued and enlarged.
Premier Chiang expressed concern over the low income of farmers in recent years and interest in the export of mushrooms, asparagus, pineapple and bananas.
Governor Meldrim Thomson Jr. of New Hampshire visited the Republic of China for 13 days in December. "When I return to the U.S., I will travel all around the country and speak about my visit to Taiwan," he said. "I shall also be working to set up a new conservative caucus."
In addition to meeting with government officials, Gov. Thomson traveled to many parts of the island, visited the provincial government, paid courtesy calls on Vice President C. K. Yen and Governor Shieh Tung-min and toured the National Palace Museum and a number of factories.
At a pre-departure press conference, Gov. Thomson said: "With the help of your courteous and cooperative officials at all levels of government, I have greatly extended the briefings and tours of the Province of Taiwan begun on my first trip.
"This time I traveled from Kinmen to Kaohsiung; from Taipei to Taichung and Hualien. I have been amazed and inspired by what I have seen.
"Here agriculture has had a new birth that has made it one of the most productive in the world.
"Here free enterprise flourishes so well that we in America could profit from many of your applications of the competitive system - especially the great will to achieve what characterizes so much of your industrial activities.
"Here you have demonstrated that you can make democracy work as well if not better than in my country.
"And, most important of all, you know that the precious freedom that is yours can be maintained only at the cost of daily and everlasting vigilance. This is a lesson taught to us 200 years ago by the Founding Fathers which we in America seem to have forgotten in a false sense of security that pervades our land.
"Your agricultural accomplishments would have pleased Alexander Graham Bell and Henry Ford.
"Your strong sense of liberty and your great determination to remain free by reliance on your own arms would have struck a responsive note in the heart of our great national hero, George Washington.
"You have the answer to our current recession and creeping depression; that is, for the people of the world to work harder and produce more marketable goods.
"At a time when most of the world is fearfully retrenching, you have boldly struck out to accomplish ten great economic goals that, when completed, will surely make of your country a showcase of what faith and work can do for a nation.
"I have seen several of these great projects under construction:
"Your new freeway that will eventually lace together with modem ribbons of convenience this great province.
"Your shipyard at Kaohsiung where steel from the proposed mill will be shaped into mighty super-tankers.
"Your ambitious new harbor at Taichung.
"All of these I have seen and I can therefore appreciate the breadth of your vision.
"I note too that you plan nuclear plants for the country and that you are diligently drilling for oil and gas over a vast extent of your neighboring seas.
"Last spring I visited the fabulous drilling operations in the North Sea between Great Britain and Norway. After some false ideas of socializing oil exploration, Great Britain turned to the free enterprise system. Now she has an abundance of gas and by 1980 will be independent of the rest of the world for her oil.
"We in America have great potential resources of oil and gas on our continental shelves and in the Gulf of Alaska. If we can recapture the will to work and put the environmentalists in balance with progress, we too can become independent by 1985 - a goal we must achieve if we are to survive as a great nation.
"On this trip I have heard concern voiced as to whether the United States might some day sever diplomatic relations with the Republic of China.
"I, for one, do not believe that Americans would ever turn their back on our great partner of World War II and our true friends of this postwar era.
"While under our Federal Constitution, I do not, as governor of one of our sovereign states, have anything to say officially about our foreign relations, I do, as a citizen, have much that I can and will say on the subject.
"I, and many of my countrymen, oppose and resent the detente flirtations with Communist countries in which our Secretary of State is presently engaged. I personally loath Communism as much as you do.
"We return to New Hampshire with renewed affection for our friends in the Republic of China.
"In the months ahead we will be your voluntary ambassadors of goodwill, without portfolio, to our countrymen at the grassroots level.
"I shall personally do all I can to sell our officials on the importance of strengthening the great partnership that has long existed between our two countries. This makes good sense and sound practical politics.
"You have set a good example of faith and trust. I am confident that we in America will never violate your trust."
Commissary stores patterned after post exchanges in the armed forces have begun serving government employees in Taipei and Taichung. The intention is to protect civil servants from inflation. Public functionaries may buy daily necessities at prices lower than in ordinary stores. Commissaries are receiving help from the Ministry of National Defense supply center that provides commodities for the PX.
The Government Information Office said that if the stores are successful, the system will be extended to city and county government employees in 1976.
A public functionary may buy at these stores with a purchase card, or may buy together with others on a group basis.
Relations between the Republic of China and the United States remain unchanged despite Secretary of State Henry Kissinger's visit to the Chinese mainland. Deputy Secretary of State Robert Ingersoll gave this assurance to Chinese James Shen.
Previous assurances to the Republic of China with respect to U.S. treaty commitments also stand, Ambassador Shen said.
Philip Habib, assistant secretary of state for East Asian and Pacific affairs, who participated in the Shen-Ingersoll meeting, gave Ambassador Shen a fill-in on Kissinger's talks with the Chinese Communists in Peiping. Habib was a member of the Kissinger entourage.
Asked what would happen to relations between Taipei and Washington following President Gerald Ford's trip to the Chinese mainland in 1975, Ambassador Shen replied, "The trip is only in the initial planning stage; it's just too early to tell."
Foreign Minister Shen Chang-huan also said relations between free China and the United States have remained as cordial as ever despite Washington's efforts to ease tensions with the Chinese Communists.
Both the United States and Red China are aware of their basic differences on major world issues, Shen told the Committee on Foreign Affairs of the Legislative Yuan.
Cooperation between free China and the United States in economic, cultural and scientific fields has been stepped up.
Commenting on repeal of the Taiwan Resolution by the U.S. Congress, Shen said it has not affected ties between Taipei and Washington. Repeal will not weaken the U.S. military commitment to the defense of Taiwan and Penghu, the foreign minister added.
Free Chinese envoys stationed in the Asian and Pacific area met in Taipei to work out a common diplomacy. They pledged to promote bilateral relations through economic and technical cooperation, cultural interflow and exchange of visits.
Attending were Liu Chieh, ambassador to the Philippines; Hsu Shao-ehang, ambassador to the Republic of Vietnam; Lo Ying-teh, ambassador to the Republic of Korea; Adm. Ma Chi-chuang, ambassador to Thailand; and ranking officials of the Foreign Ministry.
The Republics of China and Vietnam held the ninth session of their Economic Cooperation Conference in Taipei.
Minister of Economic Affairs Y.S. Sun was the chief Chinese delegate and Duong Kich Nhuong, minister of public works and communications, headed the Vietnamese.
Agreements were reached to strengthen economic, technical and agricultural cooperation.
The 10th session will be held in Saigon in November or December, 1975. These were major points of joint communiqué:
"Recognizing the importance of agricultural development to the postwar reconstruction and national economy of the Republic of Vietnam, both delegations agreed that the services of the Chinese Agricultural Technical Mission in the RVN will be continued and further strengthened.
"In view of the success in the experimental extension of feed com production in the RVN and the high potentiality of such programs for future development and export, the ROC agreed to provide another 300 metric tons of corn seeds for further extension and necessary processing equipment and expert services.
"For the development of the sugar industry in the RVN, the ROC agreed to continue to provide technical assistance for cane production and sugar processing programs in the RVN.
"In consideration of the importance of infrastructural construction to the overall development of the RVN, both delegations agreed to implement the Phu Bon Water Supply Project, render technical assistance to the Vi Thanh and Cao Lanh Water Supply Projects, and design the urban plan for My Tho City. It was agreed also that the existing services of the Chinese Power Mission be extended for another year. The ROC also agreed to provide commodity assistance to complete the My Tho-Truc Giang transmission line.
"The Overall Training Program provided by the ROC consists of 139 man-months allocated according to the actual needs in various fields for RVN technical and managerial personnel to participate in study missions and/or training courses in the ROC. In addition, the ROC agreed to sponsor another group of 20 for 18-month training in the ROC sugar industry.
"In consideration of the fact that the NT$200 million industrial loan extended February, 1973, for the purchase of ROC machinery and equipment has been effectively utilized and proved to be helpful to the development of industry in the RVN and of mutual benefit to both countries, the ROC agreed to provide a second industrial loan of NT$200 million under the same terms and conditions and for the same purpose.
"With respect to trade and industry, the ROC agreed to procure from the RVN feed corn and feed grains whenever such products become available for export from RVN. The RVN agreed to purchase from the ROC machinery and equipment under 1975 DLF loans provided by the United States.
"Liaison offices will continue to serve as permanent coordinators to report on the progress of projects.
Overseas Chinese holding Peiping passports may get Republic of China passports if they surrender their Communist documents and admit their mistake, Foreign Minister Shen Chang-huan said.
"The government will not permit an overseas Chinese to hold a Republic of China passport while in possession of a passport issued by the Peiping regime," the foreign minister told the Overseas Chinese Affairs Committee of the Legislative Yuan.
"To do so would enable Chinese Communist agents to infiltrate the overseas Chinese community and free China," Shen explained.
Chinese holding Communist passports may not visit Taiwan.
"Accepting the passport issued by a government implies recognition of that government," Shen said. "We can by no means put our official seal on a Chinese Communist passport."
An overseas Chinese holder of a Peiping passport can come to Taiwan if he renounces the Communist document and applies for a ROC passport.
The foreign minister disclosed that those holding Chinese Communist passports face many difficulties. They are denied entry to some free countries.
A number of free countries have stipulated that Chinese applying for immigration must be holders of passports issued by the Republic of China, even though these countries do not have diplomatic relations with the ROC.
As a result, Shen added, many Communist passport holders have applied to the Chinese government for passports.
Shen said the protection of overseas Chinese rights and interests has always been a priority task of the Ministry of Foreign Affairs.
In recent years, nine new consulates have been opened in the United States, South Africa, Colombia, Panama and South Korea.
Vice Minister of Foreign Affairs Hsueh Yu-chi, acting for the government, decorated Horacio Gomez Aristizabal, vice president of the Institute of Friends' of the Republic of China in the Republic of Colombia, with the Special Cravat of the Order of Brilliant Star, for outstanding contributions to Sino-Colombian friendship.
Gomez is an attorney and author of Violence In Latin America, How to End Kidnapping in America and Humanism of the Law. He has laid bare the Communist conspiracy to destroy freedom.
Maj. Gen. Slade Nash, chief of the U.S. Military Assistance Advisory Group in Taipei, received the service memorial medal of the Chinese Ministry of National Defense from Gen. Lai Ming-tang, chief of the general staff.
Gen. Nash has contributed to Sino-American friendship and military cooperation.
Mrs. Nash and Chinese and American military leaders attended the ceremony at the Ministry of National Defense.
The fifth Asian Congress of Pharmaceutical Sciences was held in Taipei.
Presiding jointly were Dr. P.M. Taningco, president of the Federation of Asian Pharmaceutical Associations, and Dr. Sun Yun-tao, chairman of the organizing committee. There were 1,500 delegates from Taiwan and 13 other countries and areas.
C.M. Wang, director-general of the National Health Administration of the Republic of China, was a speaker.
He said, "The nature of the major health problems in the Republic of China has changed remarkably in the last decade. Communicable and parasitic diseases have been largely replaced by chronic diseases as the leading causes of mortality and morbidity.
"The leading causes of deaths in this country are cerebrovascular diseases, malignant neoplasms, heart disease and accidents.
"It may be interesting to note that a significant number of the fatal accidents, especially among the older age group, are due to the misuse of medicines.
"Effective weapons against a number of illnesses, particularly the parasitic and infectious diseases, have been developed and the advent of modern drugs has undoubtedly affected both the approaches of public health work and medical practice.
"But we cannot allow ourselves to be satisfied with the achievements of the past, but must meet the challenges that face us today.
"The major efforts of pharmaceutical leaders should focus upon the development of new and safe drugs and the proper use of drugs."
People of the Republic of China responded angrily to the forcible return of Chinese refugees to the Communists.
The Hong Kong government began sending refugees back to the Chinese mainland November 30.
The Control Yuan condemned the repatriation as "brutal and inhuman." The government watchdog urged countermeasures.
Control Yuan members cabled members of the House of Lords and the House of Commons in London appealing to them to ask the British government to instruct Hong Kong authorities to "reconsider their action."
Controllers said they were shocked to learn that the Hong Kong government was using force and said this was inhuman and against the traditions of the British.
"We all know that refugees who swam to Hong Kong did so only in desperation and we know, too, that if they are sent back they will lose their lives or freedom," the cable said.
The Taiwan Provincial Assembly passed a similar resolution.
Premier Chiang Ching-kuo announced on Christmas Day that the government would welcome all refugees wishing to come to Taiwan.
Those returned by the Hong Kong government between November 30 and Christmas numbered 212.