893.01 Manchuria/987: Telegram

The Ambassador in Japan (Grew) to the Secretary of State

13. The German Commercial Secretary, Dr. Knoll, has been sent by his Government to study economic conditions in Manchukuo. Before departing from Tokyo he said to a diplomatic colleague that now that Germany has left the League of Nations Germany no longer feels obliged to maintain her former attitude of nonrecognition of Manchukuo. It is generally believed here that Germany may extend recognition before the end of the year.

Repeated to Peiping.

Grew