893.51/2104
The Minister in China (Reinsch) to the Acting Secretary of
State
Peking, December 7,
1918.
[Received January
27, 1919.]
No. 2380
Sir: I have the honor to enclose copies of
the statements issued by the Japanese Government in connection with
the joint representations on peace in China,4 and in connection
with Japanese loan policy in China. In the latter it is to be noted
that while it is asserted that financial assistance to China is to
be withheld under certain conditions, a large opportunity is left to
make financial and economic loans in such “enterprises as are the
natural and legitimate outgrowth of special relations between the
two neighboring and friendly nations.” What is really meant by this
clause would necessitate a great deal of commentary. I have the
honor also to enclose a memorandum of a conversation which I had
with the Japanese Minister on December 5th.5
I have [etc.]
[Page 290]
[Enclosure]
Extract from the “Peking Leader” of December
5, 1918, Regarding Japanese Loan Policy in China
The Japanese Government published the following statement in
Tokyo on December 3:—
Mischievous reports of Japanese activities in China, more
particularly with regard to the granting of loans, have
for some time past been in circulation and have imputed
to the Japanese Government intentions which are entirely
foreign to them. For obvious reasons the Japanese
Government cannot undertake to discourage financial and
economic enterprises of their nationals in China so long
as those enterprises are the natural and legitimate
outgrowth of special relations between the two
neighbouring and friendly nations. Nor are the Japanese
Government at all receding from their readiness to
render needed financial assistance to China consistently
with the terms of all the declarations and engagements
to which they are a party, should the general security
and welfare of China call for such assistance. At the
same time they fully realize that loans supplied to
China under the existing conditions of domestic strife
in that country are liable to create misunderstandings
on the part of either of the contending factions and to
interfere with the re-establishment of peace and unity
in China so essential to her own interests as well as to
the interests of foreign Powers. Accordingly the
Japanese Government have decided to withhold such
financial assistance to China as is likely in their
opinion to add to the complications of her internal
situation, believing that this policy will be cordially
participated in by all the Powers interested in
China.
