893.102S/1414

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

No. 791

Sir: I have the honor to refer to the Embassy’s despatch No. 661 of August 20, 1936, in regard to Chinese representation on the Shanghai Municipal Council, and to enclose for the information of the Department copies of two despatches from Consul General Gauss on the subject, Nos. 407 and 437, dated September 28 and October 12, 1936, respectively.96

Mr. Gauss reported in his despatch No. 407 that the British and Senior Consul General had prepared a draft reply95 to the Mayor’s communication of July 27, 1936. Mr. Gauss stated that:

“The British draft despatch points out that the International Settlement was established primarily for the purpose of residence and trade by foreign nationals, that under the authority delegated by the Chinese Government in the Land Regulations the administration of the Settlement was entrusted to a foreign Council elected by the foreign ratepayers, that in the course of time agreement was reached to add five Chinese members to the Council to represent the interests of Chinese who for various reasons have come to live in the Settlement, that in addition to these five Chinese councillors, there are also two Chinese members of the Land Commission, that the Consuls are of the opinion that the Chinese residents of the Settlement are already well represented [Page 698] and there is no danger of the Chinese side of any question remaining unheard for lack of spokesmen, and that ‘so long as the International Settlement at Shanghai remains a place for foreign residence and trade under the treaties’ the Consuls ‘are unable to agree to any changes in the Land Regulations which might endanger the foreign control of the administration’.”

After examining this draft Mr. Gauss informed his British colleague that he would be disposed to accept his proposal provided the last paragraph were amended to modify the assertion that the Consuls were unable to agree to any changes which might endanger the foreign control of the administration. Mr. Gauss suggested that, while this might be a policy which could be supported in principle, he did not believe that it should be announced in the note to the Mayor. It was enough, he considered, to point to the character of the Settlement as an area of foreign residence and trade and to emphasize that the Chinese were already well represented. The British Consul General requested Mr. Gauss to suggest changes in the draft and a copy of the British draft with the changes suggested by Mr. Gauss is enclosed with his despatch in question.

Mr. Gauss reported in his despatch No. 437 of October 12 that on October 6 the interested consular representatives approved the despatch of a communication which conformed to the amended draft. In this communication, which was sent to the Mayor on October 7, the Senior Consul stated that, while the interested Consuls noted with appreciation the keen interest taken by the Chinese community in the affairs of the International Settlement and had much sympathy with their desire for further cooperation in the municipal administration, it was felt by the Consular Body that the Chinese ratepayers were under a misapprehension in claiming as a right that Chinese representation on the Council should be proportionate to the amount of taxes paid by Chinese residents. The interested Consuls wished to point out, he stated, that the International Settlement was established primarily for the residence and trade of foreign nationals and, in pursuance of that purpose, the Chinese Government had delegated certain administrative powers by means of the Land Regulations to a Council composed of foreign members elected by the foreign ratepayers. The Senior Consul said that in the course of time it was considered desirable to admit Chinese representation in the international administration in order that due importance should be given to the wishes and sentiments of the Chinese population, who for various reasons had come to reside within the Settlement area. The foreign ratepayers and their national authorities had accordingly agreed at different times to the addition of five Chinese members to the Council to assist their foreign colleagues in the work of administration and, in addition to these five Chinese councillors, there were [Page 699] eleven Chinese members of municipal committees and two land commissioners who were all chosen for the purpose of voicing the Chinese point of view and Chinese wishes in municipal questions. The Senior Consul stated that the interested Consuls were therefore of the opinion that the Chinese residents in the Settlement were already well represented and that there was no danger on the Chinese side of any question remaining unheard for lack of spokesmen; for these reasons the Consuls regretted that they were unable to support the proposal made by the Chinese Ratepayers’ Association and they requested that the Mayor be good enough to so inform the Association.

I am pleased that the Senior Consul and the other interested Consuls accepted the revisions in the original British draft suggested by Mr. Gauss.

Further developments will be reported to the Department.

Respectfully yours,

Nelson Trusler Johnson
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