893.74/358: Telegram

The Chargé in Great Britain ( Wheeler ) to the Secretary of State

[Paraphrase]

304. Following from Owen D. Young and General Harbord:

“Through the United States Embassy here and the United States Legation in China we have received a message from Schwerin stating [Page 813] that the modification of the Federal wireless contract has been signed by the Minister of Communications. This result is certainly a confirmation of the judgment of the Department and is a substantial victory for the policies regarding China which the Department has supported so long and so effectively. The outcome is most satisfactory to the Radio Corporation of America.

In some preliminary negotiations here with a view to arrangements under the second paragraph of the minutes of the meeting of experts held February 4, 1922, we have been met with a statement of the grant some years ago to the Great Northern Cable Company by the Chinese Government of the monopoly of external communications. This amounts to a challenge of our rights to go ahead with wireless communications until that monopoly expires in 1929 and is a [bar?] against further negotiations. We would very much like to receive a statement as to the attitude the Department will take regarding our proposal [sic] under the Federal wireless contract prior to the date when the above-mentioned grant expires. We have, in the meantime, a request for testing the exchange of messages between the Mitsui wireless station at Peking and our Long Island and San Francisco stations about July 25. A demand for traffic will follow if these tests prove successful and therefore we would appreciate it if the Department would advise us through the Embassy in Paris if it wishes us to make the tests.”

Wheeler