893.6363 Manchuria/50
The American Embassy in Japan to the Japanese Ministry for Foreign Affairs
Informal Memorandum
Having given to the contents of the informal memorandum in regard to petroleum projects in Manchuria which the Foreign Office was so good as to communicate under date of August 2, 1934, to the American Ambassador to Japan the careful consideration which the importance of its subject matter warrants, the American Government is constrained in all candor to offer with regard to the position taken in that memorandum the following observations:
The plans under discussion are, it appears, plans to monopolize the distribution of oil and in part at least the importation, processing and exportation of oil in Manchuria. The American Government cannot escape the conclusion that the effectuation of such plans would result in the setting up of a monopoly control of the oil industry in Manchuria. The development of a monopoly control in any field would be a matter prejudicial to the treaty rights of American nationals and would run counter to the principle of the open door.
These plans however are apparently being formulated with the concurrence and cooperation of Japanese nationals, the participation of such quasi-official organizations as the South Manchuria Railway and the assent or approval of the Japanese Government.
[Page 134]In approaching the Japanese Government on this subject the American Government has had in mind developments of the past three years in relations between Japan and Manchuria and has given thought to treaties to which Japan and the United States are parties and to various declarations in which the Japanese Government has given assurances that there will be maintained in Manchuria the principle of the open door. This Government has of course assumed and continues to assume that the Japanese Government wishes to implement its undertakings.
Entertaining as it does a high opinion of the sense of responsibility and the capacity of the Japanese Government, this Government cannot believe that the contents of the memorandum under reference express adequately and conclusively the Japanese Government’s position and intention with regard to projects in Manchuria the carrying out of which would not only be contrary to provisions of treaties but would involve contravention of the unqualified assurances which have been given by the Japanese Government to the American Government, to other Governments and to the world.