Chiang Kai-shek won his greatest' victory in years over the Communists last week: General Fu Tso-yi's army marched into scorched and abandoned Kalgan, the Reds' Great Wall "show place." Because Kalgan's fall convinced many that Chiang could take Harbin or any other large Chinese city (as long as he had U.S. help), the victory held a happy political significance for Chinese Nationalists who believe with Chiang that the Communists can be beaten into agreement.
However, U.S. General George C. Marshall and Ambassador Leighton Stuart have been impressed by the Communist threat that if...
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