File No. 551/87–88.

Ambassador O’Brien to the Secretary of State.

No. 171.]

Sir: I have the honor to inclose herewith a copy of a dispatch from the consul at Dalny, in which it is stated that the Port Arthur branch of the Imperial Chinese Maritime Customs at Dairen was finally opened on the 8th instant, and stating that the rumors to the effect that Port Arthur was to be opened to foreign trade on the same basis as Dairen has now been officially denied.

I have, etc.,

T. J. O’Brien.
[Inclosure.]

Consul Greene to Ambassador O’Brien.

Sir: I have the honor to report that the Port Arthur branch of the Imperial Chinese Maritime Customs at Dairen, the proposed establishment of which I reported on September 6, 1907, was finally opened on the 8th instant. It is understood that the delay was due to difficulty in securing the consent of the Japanese navy department, which has jurisdiction over the port.

Rumors have been current here to the effect that Port Arthur was shortly to be thrown open to foreign trade on the same basis as Dairen, but this has been officially denied.

It is not unlikely that some relaxation of the strict rules governing the entry of the vessels owned by Japanese and by Chinese residing in the leased territory, now admitted, may be considered. At present even such vessels are required to apply at a station outside the port for permission to enter the bay, and are “otherwise inconvenienced.

I have, etc.,

Roger S. Greene.