Papers Relating to the Foreign Relations of the United States, With the Address of the President to Congress December 4, 1917

File No. 893.811/246

The American International Corporation to its Representative at Peking

[Telegram—Paraphrase]

New York, February, 5, 1917.

Give out the following statement:

For over a year past, influential Japanese have suggested that the American International Corporation cooperate in China with Japanese financiers. Cooperation in the loan for canal improvement has been suggested, but the American International Corporation has taken the position that, having concluded with the Chinese authorities contracts for the improvement of the Grand Canal in the Provinces of Kiangsu and Shantung, it could not enter into any arrangement with Japanese financiers regarding these enterprises, unless assured that the Chinese Government would approve such cooperation. The American International Corporation has, however, suggested to the Chinese authorities that a single contract be concluded covering both sections of the canal, and that Japanese financiers be granted a participation. The question of cooperation is a matter for the Chinese Government to decide.