793.94/7355: Telegram

The Ambassador in China (Johnson) to the Secretary of State

72. Peiping’s 128, November 10, 9 [10] a.m.29 Before [Chiang’s] departure from Tokyo Hirota had a long conversation with Chiang Tso-pin30 in the course of which he outlined Japan’s policy toward China as covering three points.

[Page 405]
1.
Sino-Japanese alliance against spread of communism.
2.
Abandonment by China of policy of playing one barbarian tribe against another.
3.
De facto recognition of “Manchukuo,” immediate settlement outstanding issues between “Manchukuo” and China and establishment of economic cooperation between “Manchukuo,” Japan and China.

I am informed Japanese Ambassador is pressing for Chinese consent to these three desiderata.

Locally, Japanese demanded resignation Mayor Yuan Liang at Peiping, the abolishment of the Branch Military Council at Peiping, and the immediate dissolution in North China of so-called Blue Shirt activities.

Desire for alliance is aimed at Russia with particular reference to Inner Mongolia and if accomplished would give Chinese consent to use of Japanese forces in that area in cooperation with Chinese anticommunist forces. Point number 2 is intended to place China completely under domination of Japan in all matters relating to foreign policy and finances.

Point number 3 if accomplished would I understand open China by way of the North for Japanese economic and commercial penetration on a preferred basis.

With reference to local demands, Yuan Liang took the hint and resigned. With reference to Blue Shirt activities, Japanese military informed Sung Che-yuan that if he did not carry out arrests they would act on their own. Japanese have begun arrests of persons on proscribed list. With reference to abolishment of Branch Military Council, Sung Che-yuan is reported to have informed the Japanese that as the Branch Military Council is under National Government he is without power in the matter and that he must protect it by force if the Japanese attack it.

Chinese attitude toward above [is] subject of discussion here. There is prevalent a feeling of discouragement and desperation which may lead to armed resistance. Chinese have been told, however, that the Japanese do not intend to take drastic action but if desiderata not conceded the Chinese may expect difficulties such as autonomous movements fostered by the Japanese which would lead to ultimate break-down of National Government’s power to collect revenues in areas affected.

Repeated to Peiping; to Tokyo by mail.

Johnson
  1. Not printed.
  2. Chinese Ambassador in Japan.