893.74/601: Telegram
The Minister in China (MacMurray) to the Secretary of State
[Received 7 p.m.]
360. My telegram number 352, August 26, 6 p.m.
1. The Foreign Office yesterday evening sent me an aide-mémoire stating that:
“The question concerning the American and Japanese wireless stations has long been pending and has not been settled. As the three parties are without benefit, it becomes urgently necessary to plan a fundamental means of decision.”
and transmitting a proposal of the Ministry of Communications looking to replacement of both contracts by an arrangement whereby the American and Japanese parties would jointly make the Chinese Government a loan for the development by it of a wireless system. The text of the proposal is given in a telegram which I am sending for Davis.25
2. Identic aide-mémoire was to be delivered to Japanese Legation.
3. Davis informs me that earlier in the day he had been sounded as to this proposal by a representative of the Minister of Communications and had absolutely refused to entertain it since he considers it not only beyond the scope of his authority to negotiate, but wholly unacceptable from a business standpoint. He furthermore feels that this proposal which there is reason to believe was originated by Mitsui is designed merely to detach the American interests from their position of reliance upon vested contract rights and bring them into negotiations in which they would be at a disadvantage. In this opinion I concur.
4. I am therefore addressing the Foreign Office today a note of which the substance is as follows:
“Lest there be any misunderstanding let me make it clear that the interested American companies desire to proceed under that contract; and let me recall that on August 26th under special instructions from the Secretary of State I had the honor to address to Your Excellency a request for an early and definite statement whether the Chinese Government will without further delay give effect to the Federal contract, and, if so, what date may such action be expected. I beg now to reiterate that request.”
5. I suggest substance of above be conveyed to Radio Corporation.
6. Copy mailed to Tokyo.
- Infra.↩