The Minister in China (Johnson) to the Consul General at Tientsin (Gauss)19
Sir: With reference to your despatches of July 31st and August 11th, 1930,20 concerning a goods tax on the Tchengtai21 Railway, the Legation considers that, while the tax in question may actually be in the nature of a railway surcharge, the tax is clearly referred to as a goods tax. Furthermore, the tax is collected not on the basis of the freight charges but on that of the value of the goods, and it is accordingly believed that you should protest against the levy of this tax on [Page 284] American goods covered by transit pass. In the event of your protest being ineffective, the Legation will be glad to support it by representations made to Marshal Yen’s Diplomatic Bureau upon being so advised by you.
I am [etc.]