File No. 893.77/1608
The French Ambassador to the Secretary of State
Washington, May 27, 1917.
Mr. Secretary of State: I did not fail to report to my Government the remarks contained in the letter your excellency was pleased to send me on the 1st of this month with respect to the concession by China to the American group of financiers for the construction of a railway across Kwangsi.
In reply to that communication the President of the Council, Minister of Foreign Affairs, wishes me to lay before your excellency the following considerations:
The pledge given to France by the Chinese Government under date of September 26, 1914, never really was in the nature of a secret note. It is but the confirmation of the provisions of Article 5 of the Convention of June 20, 1895, and of the terms of the letter, addressed on March 15, 1897, by the Tsungli Yamen to Mr. Gérard, Minister of France, which can be found in the Yellow Book (China, 1894–1898) under No. 43 on page 33. The pledge reads as follows:
Hereafter, if there be any railroad to be built or mine to be operated in Kwangsi and if recourse must then be had to foreign capital, we are fully disposed to borrow first from French capital.
The high authorities of Kwangsi should, when the time comes, weigh the circumstances and conduct direct negotiations with the French company. They shall file a report in Peking and await such action as the Government may take thereon.
It is proper further to remark that in all international agreements relative to railroad building in China, reservation was always made of the special rights of France to the Kwangsi lines.
The Government of the Republic opines that the above-quoted agreement does not in any way jar with the “open door” policy in [Page 190] which it gladly professes its concurrence with the Government of the United States and to which it can but repeat its previous adhesion.
Be pleased [etc.]