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The article focuses on the invasion by Red China of the Quemoy and Matsu islands in Taiwan. Chinese Premier Chou En-lai said that his government is willing to resume diplomatic talks with the U.S. which has been broken because of Washington's decision to use its Seventh Fleet to block the Red invasion. If the U.S. gave in to Red China, the U.S.-backed Nationalists would weaken their position off the China mainland. Under the two Chinas policy, the U.S. has accepted the Communists control of the mainland but refused to accept the Peking government.

The article reports that American businessmen are gearing up for trade with mainland China under the administration of U.S. president Richard Nixon. The businessmen are eager to sell to China because of its huge market despite the displeasure of Taiwan. The products they are hoping China would buy include reconditioned passenger jets, feed grains, and construction supplies. However, they anticipate financing problems and hope that lines of credit will become available when trade with China happens.