793.94/10203

Memorandum by the Chief of the Division of Far Eastern Affairs (Hamilton)

Conversation: The Secretary of State;
The Chinese Ambassador, Dr. C. T. Wang.
Present: Mr. Hamilton.

The Chinese Ambassador called by request. The Secretary opened the conversation by asking the Ambassador what news he had as to the general situation and the progress of the fighting. The Ambassador replied that the Chinese were putting up a very stiff fight and that they were holding their own. The Ambassador continued that he was very appreciative of the facilities already extended to China by the American Government (the Ambassador did not explain what he meant by this); and that China could continue to wage a successful fight against Japan if it could continue to obtain the facilities with which to carry on the fight. The Ambassador said that he was particularly concerned at the moment with regard to shipping facilities and he said that while no test case had as yet arisen, such a case would very likely arise soon and he wished to know what attitude this Government would take in case the Japanese should stop an American ship and exercise the right of preemption and remove from the ship goods belonging to the Chinese Government.

The Secretary replied that we had not yet reached that point. The Secretary then explained to the Chinese Ambassador at some length the fact and the implications of the existence of the Neutrality Act, the public opinion and beliefs of certain sections of the American people which were responsible for enactment of that act; that we had constantly before us the question whether the act should be invoked; and that we were operating on a 24-hour basis in regard to the question of invoking the act and in fact in regard to the whole Far Eastern situation. The Secretary explained briefly what invocation of the act would mean. He then referred to the notice recently issued by the Chinese Government the effect of which would be to warn foreign merchant ships of the present dangers along the China coast. He said that this Government had not as yet gone so far as to issue any warning to American merchant ships but that in reference to this whole situation we had to keep in mind not only the Neutrality Act but public opinion in this country. The Secretary said that he was endeavoring patiently to educate the American people in general away from adoption of a rigorous, storm-cellar, isolationist attitude but that he wished the Ambassador and his Government to realize the general situation in this country and the fact that the Secretary of [Page 457] State could not take action which would run definitely counter to the general state of public opinion. The Secretary said that while we had not as yet issued any warning to American merchant vessels we were feeling our way in regard to that matter just as we were in regard to other aspects of the Far Eastern situation and we could not tell at what time we might have to make some further announcement of policy. The Secretary mentioned the procedure which the American Government had followed in the Italian-Ethiopian situation4 and pointed out that the administration had invoked the Neutrality Act, which represented the will of the people as expressed through Congress, and that invocation of the act put American merchant ships on notice that the American Government and the American people had no thought of sending armies or navies to protect American merchant ships. The Secretary said also that there was a very strong feeling in the United States opposed to the sale of munitions abroad and that if Congress were now in session it might very readily develop that Congress would pass a law prohibiting all sale of munitions abroad.

The Chinese Ambassador said that he realized the situation in the United States. He said that at the present time China was fighting for the principles of the open-door policy and China could put up a good fight on behalf of those principles and for its very existence if it could only continue to receive from friendly countries, especially the United States, the facilities with which to carry on the fight. The Secretary said that he was following the situation with the greatest sympathy. He stated again that the existence of the Neutrality Act and the pressure from various groups in the United States for immediate invocation of that act caused us to proceed on a 24-hour basis and we could not tell today whether some new indication of governmental policy might not be forthcoming at any moment.

At one point during the conversation the Chinese Ambassador said that the Chinese Government’s recent notice in regard to precautionary measures which merchant vessels of third countries should take when along the China coast was designed to prevent recurrence of such incidents as the unfortunate bombing of the President Hoover; that in the case of the President Hoover there were Japanese warships nearby and the Chinese aviators had unfortunately mistaken the President Hoover for a Japanese troop ship. The Secretary remarked that without any thought of attempting to question the Ambassador’s statement as to what had occurred he wished the Ambassador to know that some other quarters advanced the view that the circumstances of the bombing of the President Hoover5 were somewhat different from the circumstances which the Ambassador had described.

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The Secretary asked Mr. Hamilton whether he had any comment to make and Mr. Hamilton said that he had none.

The conversation ended with expression by both the Secretary and the Chinese Ambassador of the helpfulness of such frank and informal discussions. The Secretary told the Chinese Ambassador that he would be glad to see him at any time.

M[axwell] M. H[amilton]