Foreign Relations of the United States Diplomatic Papers, 1938, The Far East, Volume III

711.94/1229

Memorandum of Conversation, by the Military Attaché in Japan (Creswell)³³

Tokyo, 22 November, 1938.

1. Colonel Nishi, head of the American Section of the General Staff, called this morning and spent something over an hour in discussing various phases of present American-Japanese relations. The gist of his remarks is as follows:

a. The present dislocations to foreign and other trade are results of the necessities of a military situation in which, to use the Yangtze River as an example, the need for secrecy in the preparation and conduct of operations is such as to render it very unwise to permit circulation of individuals of other than Japanese nationality within the zones of the armies or along their lines of communication. In the past, operations have been frequently harmed through the activities of persons who had been permitted opportunities for observation in reporting their observations to the Chinese. The success of the military operations is so vital that they cannot afford to expose them to any hazards that can possibly be eliminated. The situation is one in which “they must go on”, as any turning back would mean defeat, and every effort is being made to bring a quick end to present conditions in order that the work of rehabilitation may be started.

b. The earnest desire of the Japanese government is to bring about stable conditions in order that the pursuits of peace may be resumed. It has no desire to exclude any nation from the enjoyment of any trade or any benefits which can be derived from free competition. Under such conditions the Japanese have no fear for the economic future as there are many lines of endeavor in which they can compete successfully by reason of their advantages in proximity and in lower manufacturing costs, and that naturally, the losers in such competition will find the scope of their activities considerably curtailed. However, there is no desire to exclude activities in which the Japanese cannot compete as such action would only result in hampering the work of reestablishment. It is very likely that what has happened in Manchuria will be repeated in China; that certain forms of foreign trade will be eliminated as a result of Japanese competition but that, by reason of the betterment of conditions in general and the raising of Chinese purchasing power, the general total of foreign trade will be increased.

c. The present situation marks a turning point in American-Japanese relations, and it is hoped that the discussions may be carried on in a manner which will have a calming effect on the two peoples. It is likewise hoped that the United States will not be dragged into an adoption of the British attitude as a result of a combination of the present anti-Japanese feeling, new animosities engendered by the present problem, and a dislike for Nazi or Fascist ideas which are commonly represented as being rampant in Japan at present. The American antipathy to these doctrines is a natural one and resentment at efforts toward their propagation in the United States is understandable. Japan therefore, though neither Nazi nor Fascist, but finding points which it can admire in both, has carefully refrained from any attempt to spread any political doctrine in the United States.

d. American resentment at the present disturbance to trade is likewise entirely natural and thinking Japanese can have no objection on that score. However, it is felt that the present representations of the American Government may reflect an “economic fear”, and that the Japanese Government is anxious to allay the suspicions growing out of such apprehension. In order to accomplish this end, it is important that both the Japanese and American peoples act with forbearance and an appreciation of each other’s problems.

2. Comment

a. Colonel Nishi stated that he had come to the office in a private capacity in order to discuss these matters concerning which he is deeply concerned, and in order to present certain aspects of “military necessity” to an office accustomed to their demands.

b. Whether the visit was voluntary or directed by some higher authority cannot be determined. There can be no doubt however as to the seriousness with which Colonel Nishi presented his case, or the emphasis with which he stated that there is no thought of eliminating any foreign enterprise which can stand up under open competition. It is interesting to note that he brought up the same point regarding the increase of American trade in Manchuria as did the Foreign Minister in conversation with the Ambassador.³⁴

c. As a soldier, Colonel Nishi is firmly of the opinion that the military situation must be settled before any great resumption of commercial activities can be accomplished. When it was suggested that some slight concessions in favor of foreign trade, and some relief from existing restrictions would go a long way toward bettering American opinion and removing causes for apprehension, he invariably returned to the contention that any freedom of movement by persons sympathetic toward the Chinese cause would constitute a grave hazard to the success of military activities.

d. The whole conversation may be summed up as a plea for understanding, a disclaimer of a desire to eliminate foreign interests, and an expression of the hope that the American people may find it possible to bear with the situation until the day when a resumption of normal conditions will operate toward a return of those trade conditions which all desire to see resumed.

Harry I. T. Creswell

Lieut-Colonel Acting General Staff

33. Copy transmitted to the Department by the Ambassador in Japan in his covering despatch No. 3500, December 2; received December 17.
34. See memorandum of November 21, Foreign Relations, Japan, 1931–1941, vol. i, p. 806.