500.A 4 e/465: Telegram

The American Delegation to the Secretary of State

Conference 11. 1. The Chinese have apparently begun a propaganda campaign of which the following interview given by C. T. Wang to a local news agency and appearing in this morning’s press is an example. I have confirmed fact that Wang’s statements were substantially as herein quoted:

“There are two precedents for China to follow in her fights for the recovery of the custom autonomy, namely, the Japanese and the Turkish example. China is now following the Japanese example, as she chooses to regain her tariff autonomy by negotiation with the powers at the Special Customs Conference but if our friendly powers are unable to accept our demands the only alternative for China will be to follow the Turkish example by making a declaration abrogating all her customs treaties with them. And when this eventuality should come to pass I hope that liberal leaders in various countries will realize the necessity of this step.”

Dr. Wang went on to say that he and his colleagues were determined to put [up] a vigorous fight for the restoration of full tariff autonomy at the Special Tariff Conference in accordance with the expressed will of the people and the instructions of the Government. What the Government and people demanded was not an increase of custom receipts but the recovery of lost sovereign rights and for this reason no mere promises except a clear and definite declaration on the part of the powers that they recognize the right of China to enjoy full tariff autonomy would satisfy the Chinese people and delegates.

“All such expressions from foreigners as that we recognize the right of China to tariff autonomy in principle, or that we recommend to our home Governments that tariff autonomy be conceded to China, we do not want to hear,” continued Dr. Wang. “If we cannot recover our tariff autonomy we had better close the conference and resort to other means to attain our object.” Turning to the question of the abolition of likin Dr. Wang said that China was firmly determined to effect the abolition of this tax within the stipulated period, however this was an internal problem of China and while the Chinese Government was ready to abolish it on its own initiative it would never agree to the demand of the foreign powers that restoration of tariff autonomy be made conditional on the ability of China to abolish likin.

2. [Paraphrase.] It is likely that the Chinese delegation will insist that granting of tariff autonomy will not be dependent upon the [Page 881] abolition of likin, that the powers must not insist upon any conditions with respect thereto as indicated in our plan but must accept China’s word for it that likin will be abolished. The Chinese may also insist upon their proposal that in the event of the abolition of the present Customs Administration a tariff commission shall take over the custody of the customs funds. We do not feel that we can accept such a plan, as virtually it would amount to our consenting to the denunciation of all China’s tariff treaties. We feel that if China should really be determined upon repudiating treaty obligations we should not acquiesce but should allow the entire responsibility for such action to rest clearly upon China. We think that with the possible exception of the Japanese all the powers agree with us. The Japanese believe that the abolition of likin is impossible and the indications are that they will take their chances on likin and insist upon their plan for a conventional tariff. We do not believe the Chinese will accept the Japanese proposal. [End paraphrase.]

Am[erican] Tar[iff] Del[egation]