751G.94/77: Telegram

The Consul at Hanoi (Reed) to the Secretary of State

This morning the Governor General informed me that negotiations with the Japanese have been suspended as a result of 2 incidents within the last 2 days (Japanese airplanes over Langson and Japanese troops entering Dongdang—they have now withdrawn to China). He told the Japanese that he refused to negotiate under constant pressure and military menaces. He expressed his appreciation of the action by the United States Government vis-à-vis the status quo in Indochina and stated his conviction that a crucial point has been reached in “white” relations with Japan, particularly as a Japanese foothold in Tongking would mean an eventual attempt to obtain all of Indochina. He added [Page 104] that this would provide a Japanese base of operations to the south, concluding that this would affect the political situation in Thailand as regards relations with Great Britain and other European possessions in the Far East.

Sent to Cavite for repetition to the Department, Chungking, Peiping, Hongkong, Shanghai, Canton. Chungking please repeat to Kunming.

Reed