793.94/7129: Telegram

The Second Secretary of Legation in China (Atcheson) to the Secretary of State

187. Suma of the Japanese Embassy states that among his activities in the back wash of the situation in Hopei and Chahar he has obtained assurances from the Chinese Minister of Finance that action on the [Page 285] proposed imposition of a 10% surtax on imports will be postponed indefinitely, that the new pilotage regulations will not be put into effect for 3 months and that no action will be taken toward creating a sugar monopoly. Suma stated that upon expiration of 3 months a further postponement in respect to the pilotage regulation would be arranged, the period having been named as a face saving device. He said also that the Japanese had “permitted” the Chinese Government to promulgate and publish the new export tariff (published in the press June 26) without protest and if necessary later he would take up any questions that might arise concerning inserted items. He added that all questions relating to Chahar were now completely settled.

Atcheson