No. 286.
Mr. Stevens to Mr. Evarts.

No. 35.]

Sir: Referring to my No. 13, of date of the 7th ultimo, on the subject of the recent complications between Japan and Corea, and the mission of Mr. Hanabusa to the latter country, I have the honor to inform you that Mr. Hanabusa has returned, and that, in an interview yesterday, Mr. Mori, vice-minister for foreign affairs, informed me that the difficulty between the two countries had been amicably and satisfactorily settled. But while the Corean Government has removed the duties upon exports and imports of which the Japanese Government complained, Mr. Mori said that the question of damages on account of the alleged illegal restriction upon trade resultant from the imposition of those duties still remained open. It is not probable, however, now that the main point in dispute has been conceded by the Corean authorities, that any serious complications will arise from the consideration of the losses which have been sustained by Japanese on account of the action of the Government of Corea.

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I have, &c.,