693.002/619: Telegram

The Ambassador in Japan (Grew) to the Secretary of State

285. Department’s 283, April 26, 7 p.m. via Shanghai. Chinese customs.

1.
My British colleague now informs me that his Government has approved the provisional agreement set forth in our 267, April 23, 8 p.m., except for a few modifications which he discussed today with the Vice Minister for Foreign Affairs. He will send me shortly text as provisionally amended but does not consider that amendments are likely to affect American interests in any way. I shall immediately inform the Department of such alterations. He hopes that the final texts of the agreement, notes and letters will be settled tomorrow or the next day.
2.
Craigie informs me that the Foreign Office has been proposing to address notes to the French Ambassador and myself inquiring if our respective governments have any objections to the agreement finally reached with the British Ambassador. Craigie expressed to Horinouchi the view that an exchange of informal letters between Horinouchi and ourselves might be preferable and hopes that this procedure will be agreeable to our Government.
3.
I made no commitment but said that I would inform the Department of this proposal in anticipation of the receipt of the final texts. Unless the American Government, which has a direct interest in the integrity and disbursements of the Chinese Maritime Customs, states to the Japanese Government that it does not propose to offer any objection to the proposed arrangement, Craigie fears that the Japanese Government may be reluctant to conclude the agreement. He says there is now a real danger that, failing an early agreement, the customs at Shanghai will be taken over forcibly by the renovation government (which means the Japanese military authorities).
4.
Craigie informs me that the French Ambassador has been authorized to express approval of proposed arrangement.
Grew