893.512 Flour/13: Telegram

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

521. Legation’s 506, July 3, 6 [3] p.m.

1.
Following from Canton.

“July 1 [5], 2 p.m. Referring to my telegram of July 1, 3 [1] p.m. and July 2, 3 p.m. Marshal Li Chai-sum left Canton without seeing me concerning the proposed tax on flour and I have no positive knowledge that it is to be canceled although Chu Chao-hsin, Commissioner of Foreign Affairs, intimates that the tax will not become effective for the present at least.

As the tax will apply to export flour only and it is reported will amount to 7½ percent, I deem it an infringement of the treaties and would suggest a protest by the Legation to the Nationalist higher authorities. To strengthen my position I would also suggest that the Legation instruct the consulate general to file the protest here.”

“July 6, 10 a.m. The following is for your information dated July 5, 2 p.m. Commissioner of Foreign Affairs tells me flour tax will be reduced to 2½ percent, but as this is also contrary to the treaties and is handed to press, I venture to suggest protest to the Nationalist Government.”

2.
I have replied as follows:

“July 7, [omission?] Your July 5, 2 p.m. and July 6, 10 a.m. In view of the protest you have already made, and since it appears possible tax may not go into effect, I do not consider further [protest] advisable unless the Department specifically authorized it.”

MacMurray