793.94/9003: Telegram
The Counselor of Embassy in China (Lockhart) to the Secretary of State
[Received July 27—8:55 a.m.]
306. Embassy’s telegram No. 303, July 27, 2 p.m. The official previously referred to now informs the Embassy that the negotiations of this morning between Matsui and Chen Chueh Sheng and Chang Tzu Chung were inconclusive by reason of the Chinese negotiators’ refusal to give unqualified acceptance to the Japanese demands, and that the Japanese attitude “leaves no further room for negotiation”. He states, and other sources of information indicate, that the Chinese forces are not withdrawing but are on the contrary preparing to offer resistance. Order inside the city is good despite the excitement caused by removal of Japanese nationals into the Legation quarter. There is nevertheless considerable tenseness. Maintenance of order is said by the aforementioned officials to be in the hands of Chinese troops in the uniform of Peace Preservation Corps.
[Page 274]The Chinese authorities have informed the Chinese press that negotiations with the Japanese were broken off this afternoon at 3 o’clock with the Chinese rejection of the Japanese demands.
Repeated to Nanking, Tokyo.