File No. 551/78.

The Acting Secretary of State to Chargé Fletcher .

No. 387.]

Sir: I have to acknowledge the receipt of your dispatch, No. 778, of the 2d ultimo, reporting that a settlement of the northern Manchurian customs question has been reached by the Russian minister and the Waiwu Pu, in accordance with which goods upon entering the railway zone will pay two-thirds of the regular import duty, and that this arrangement is to be in force for one year.

The department is gratified that a settlement of this question has finally been concluded.

I am, etc.,

Robert Bacon.