File No. 793.94/318.
Chargé Wheeler to the Secretary of State.
Tokyo, April 28, 1915—2 p.m.
Director of Political Affairs in the Foreign Office informs me that the greater portion of the demands on China have been substantially agreed upon; that China has agreed in principle to ground tenure and residence in Manchuria, though the form of the agreement is still under discussion; and that the only serious question still unsettled is that of Eastern Mongolia. He says that while China so far has flatly refused to discuss the latter question, Japan is very determined, and [Page 128] that if China insists upon retaining this attitude the situation may yet become serious. He does not, however, anticipate open trouble.
He says that Japan still insists upon her demand as to munitions of war but that the question whether China shall buy of her, or whether jointly managed arsenals shall be established in China, will probably be left for future consideration. He says the question of the Han-yen-ping mines “promises to be settled” by the agreement of China to recognize Japan’s joint interest in and management of the mines in the future; that an understanding has been arrived at in the matter of Japanese advisers; and that agreement as to Fukien has been practically reached though its form has been left entirely to the discretion of Mr. Hioki. He says also that the question of railroad concessions south of the Yangtze must await settlement, in conference with the Powers interested, after the war; and that Japan has virtually decided if necessary to abandon the demand concerning joint policing. He reiterated that Japan, throughout all the negotiations, had most carefully avoided a conflict with the principle of equal opportunity.
The local press has been very generally denouncing Baron Kato’s methods of negotiation and it is expected that the opposition will make a severe [interpellation?] upon the Government at the special session of the Diet to be convened on May 17.