793.94/1262: Telegram

The Minister in China ( Schurman ) to the Secretary of State

23. Your 10, January 22, 3 p.m. received via cable, message deciphered 11 o’clock today.

Saw Minister for Foreign Affairs 12 o’clock. I said business was most important I should ever have to deal with; that Shantung settlement must be made now or indefinitely and hopelessly postponed; that while Americans sympathized with China they were, as he knew, a practical people who believed in adjusting difficulties instead of pursuing them to catastrophe and they would find it unintelligible and unpardonable if China refused an offer which gave her everything she asked in five years and nearly everything at once. I read most of the telegram and reread several times the crucial sentences, interspersing comments. Minister asked if I thought these terms best procurable. I answered there was absolutely no doubt on that point. I asked in what other way could China get Shantung in 5 years or 50.

Result produced entirely satisfactory. Minister will favor scheme and report to President at once.

I am hopeful of acceptance of scheme. Only obstacle I apprehend lies in existing Cabinet crisis. At a dinner last night Minister for Foreign Affairs told me Prime Minister would probably take sick leave today and not return to office in consequence of Wu Pei-fu’s attacks on him for his Shantung policy which attacks had greatly stirred Chinese people. Cabinet meeting this afternoon to determine question of sick leave or alternative.

Minister for Foreign Affairs said Shantung business had been complicated by political crisis. He could not send telegram to delegates mentioned in my January 16, midnight, till 21st because Premier could not drop his cash redemption policy for the railway. Telegram as sent may not have been entirely approved by Premier although it mentioned that policy.

I reminded him of his earlier statement that he would take the responsibility himself of formulating China’s Shantung policy. He said that he would advocate proposed settlement and that President was very anxious to have question adjusted. He feeling [model acknowledgment of Secretary Hughes’ helpfulness and again expressed his gratitude.

At 1 o’clock I called upon British Minister: he had not yet received Balfour’s telegram. I read to him nearly all of my telegram and told him of my interview with the Minister for Foreign Affairs. He will gladly cooperate as soon as he receives Balfour’s telegram.

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Everything is favorable except the Cabinet crisis in which Wu Pei-fu has made most of paying Japan. Principal issue had in view successful anti-Premier campaign. But Yen’s attitude, President’s desire of early settlement and inherent reasonableness of proposal and its favorable terms to China lead me to expect favorable action.

Schurman