FINANCIAL AND MILITARY PACTS

Press, Volume LXXXVI, Issue 26039, 16 February 1950, Page 5

FINANCIAL AND MILITARY PACTS

Under the terms of the treaty, Russia and China undertake to work for the conclusion in the shortest possible time, jointly with the other Powers allied during the Second World War, of a peace treaty with Japan. Neither Russia nor China will conclude any alliance directed against the other, or participate in any coalition or in actions or measures directed against the other.

The treaty will remain in force for 30 years. If neither party denounces it within a year of its expiry, it will remain in force for another five years, and can then be prolonged again. Russia and China have also signed agreements as follows: —

(1) Russia will give China a longterm credit equivalent to £107,000,000

for Soviet 'industrial and railway equipment. The credit will be repayable in 10 yearly instalments, beginning in December, 1954.

(2) The Manchurian raiiway will be returned to Chinese control, and Chinese troops will leave the Port Arthur naval base. Russia will give up her interest in the port of Dairen. These arrangements will become effective after a peace treaty has been concluded with Japan, or at the latest by 1952.

(3) If either party is subjected to aggression By Japan or any State which is united with Japan, China and the Soviet Union may jointly use the Port Arthur naval base to conduct joint military operations against the aggressor.