As Mr. Ohashi was momentarily absent when I called at the Foreign Office, I
discussed the purpose of my visit with Mr. Tsutsui, Mr. Ohashi’s next in
command, pending Mr. Ohashi’s return. It was interesting to note that both
gentlemen reacted alike to my errand. Their first reaction was one of
defence tinged with slight irritation: that their pledges concerning the
Open Door were unilateral and therefore not binding, especially as we failed
(“did not have the courtesy”) to acknowledge them, and that countries which
have not recognized “Manchukuo” may not properly or consistently make claim
to the same treatment as that granted to those countries which have
recognized it. The second reaction was one of doubt as to the existence of
discrimination. When I showed them the discriminatory passages in the text
of the ministerial orders, they seemed taken aback. Mr. Ohashi professed
ignorance of these passages, adding that so many laws and orders are being
passed these days to meet Japan’s requirements for relinquishing
extraterritoriality by next December 1 that he is unable to study them all.
Mr. Ohashi kindly promised, however, to take up the matter with the
competent authorities.
[Enclosure]
Memorandum by the Consul at Mukden (Langdon) of Informal Statement on October 25, 1937, to the
Director of the Foreign Office in Manchuria (Ohashi) in Connection With Discriminatory Features Contained
in Keizaibu Orders Nos. 23 and 25 of October 8, Issued Under
Authority of Imperial Ordinance No. 293, October 8, Concerning
Revision of Exchange Control Law
Mr. Langdon stated that on October 15 he reported to his Government the
substance of the new legislation enacted October 8 to conserve the
country’s stock of money. In his report Mr. Langdon said that he pointed
out how, by virtue of the Orders listed above, imports from the United
States were now subject to government approval, restriction or
prohibition, inasmuch as they could only be imported if paid for and as
exchange with which to pay for them required government permission in
each case. He also explained how investment in American securities,
insurance and trust contracts, travel and the like was likewise made a
matter of rigid government regulation. The features of the law to which
Mr. Langdon called his Government’s particular attention, however, were
the provisions of Article 2 of Order No. 23 and Article 1 of Order No.
25, which specifically exclude Japanese currency, Japanese exchange and
Japan from the scope of the new legislation. Commenting on these
provisions, Mr. Langdon expressed to his Government the opinion that the
freedom of exchange transactions with Japan from the severe control on
such transactions with
[Page 153]
the
United States and other countries was most discriminatory and would deal
to American trade relations with Manchuria a severe blow.
On October 19, Mr. Langdon stated, the American Government telegraphed
Mr. Langdon to the effect that it considered the discriminatory features
of the new legislation clearly inconsistent with the pledges given by
the Manchurian authorities to maintain the Open Door, and that such
discrimination has created a very unfavorable impression in the United
States.
For Mr. Ohashi’s ready reference Mr. Langdon cited some of the many
declarations made by Hsinking promising to maintain the Open Door in
Manchuria, namely:
The passage dealing with foreign policies in the Proclamation on
the Establishment of the State, March 1, 1932;
The telegram of Foreign Minister Hsieh to the Secretary of State
of the United States, March 12, 1932, in particular paragraph 7,
reading as follows: “With regard to economic activities of
peoples of foreign nations within the state of Manchuria, the
principle of the Open Door shall be observed”;
The statement of Foreign Minister Hsieh on the occasion of the
signing of the Manchukuo-Japan Protocol of September 15,
1932;
The telegram of congratulation of November 12, 1932, by Foreign
Minister Hsieh on the occasion of the election of President
Roosevelt;
Statement given to United Press representatives in Tokyo by the
Manchukuo Foreign Office (see Bureau of Information and
Publicity, Department of Foreign Affairs, Bulletin No. 60, May
4, 1933);
Statement for foreign countries issued March 1, 1934, by Foreign
Minister Hsieh on the Occasion of the enthronement of the
Emperor, reaffirming the undertaking to maintain the Open Door
announced March 1, 1932, on the occasion of the establishment of
the State.
In addition to these government manifestoes, Mr. Langdon recalled two or
three instances where the Consulate General was individually assured
that discrimination against American Commercial interests need not be
feared, among them the following: May 10, 1933, when Mr. Ohashi made it
clear to Consul Chase that there was no ground for the allegation of
discrimination against foreign insurance companies; June 22, 1937, when
Mr. Tsutsui told Mr. Langdon, in connection with the insurance law being
drafted, that Mr. Hoshino, Director of the General Affairs Board of the
State Council, had authorized the Foreign Office to assure foreign
consuls that the new law would make no discrimination between Japanese
and other foreign firms.
Mr. Langdon expressed to Mr. Ohashi his deep regret that the statutes of
Manchukuo now placed discriminatory restrictions on the commercial
relations of his country with Manchuria and requested that Mr. Ohashi
communicate to the proper authorities the unfavorable impression which
such restrictions were making in the United States, which treats the
trade of all countries, including Manchuria, alike.
