China. (Communist & Post War Inflation). 1949. Air Mail envelope addressed to France bearing 'Communist Conquest & Post War Inflation 'Air Mail' SG 1022, $10,000 on 30c vermilion, SG 1024, $30,000 on 90c olive, SG 1028, $10,000 on $27 blue, 'Tuberculosis Fund' SG 1029, $5,000 on $2,000 violet, 'Gold Yuan'' SG 1108, $50 on $2 pale brown (strip of three) and 'Parcel Post' SG 1120, $500 on $5,000 indigo tied by Tsingtao date stamp '19th Mar 49' with bilingual 'Par Avion' label. Nice item of mail from the Communist Inflation period.
Japan surrendered to the Allies in August 1945 and a race ensued between the Nationalists and Communists to seize control of the former Japanese Occupied areas until the Communist victory at the battle of Hwai-Hai in January 1949. During this period inflation increased rapidly until the introduction of the Silver Yuan in May 1949.