751G.94/70: Telegram
The Chargé in France (Matthews) to the Secretary of State
[Received 11:15 p.m.]
496. Department’s telegram No. 379, August 26, 6 p.m. and my telegram No. 438, August 27, 7 p.m., especially penultimate paragraph. Foreign Minister Baudoin asked me to call on him this afternoon. He said that on August 31 a “political agreement” had been signed with Japan. Thereunder Japan recognized “permanent [Page 101] French interest in Indo-China and the integrity of and French sovereignty over Indo-China”; France in turn recognized the “preponderance of Japanese interest” in that area. This agreement stipulates that it comes into force subject to the conclusion of two supplementary accords, one economic and the other military. Under the economic agreement France will recognize the “privileged position” of Japan. Negotiations have not yet commenced but Baudoin believes it will be relatively easy to reach an agreement if a military accord is concluded. Negotiations for the military accord were begun a few days ago at Hanoi. The French are endeavoring to restrict the Japanese to right of passage of a small and definitely limited number of troops (via Tongkong Bay) and to the temporary use of two airdromes. The Japanese particularly the Canton army are demanding military concessions of greater scope including the right of passage for a much greater number of troops and the use of a greater number of airdromes. The Japanese lost patience he said and delivered an ultimatum that unless the Japanese demands were accepted by the morning of September 5 the invasion of Indo-China would commence. The French replied that they would fight regardless of the consequences rather than accept such an ultimatum, whereupon the Japanese backed down. Negotiations have been resumed but Baudoin does not know whether they will result in agreement. If not, the political accord becomes null and void. Meanwhile he said there is also the possibility that the Chinese may on their side move into Indo-China to forestall the Japanese advance. He said that he realized the great interest of our government in the question and he hoped we would understand how difficult and tragic is France’s position. He promised to keep me informed of developments which he thought might “come to a head” in the next 48 hours.
I shall endeavor to see Chauvel tomorrow.