693.002/1001: Telegram

The Ambassador in China (Johnson) to the Secretary of State

135. My 134, March 19, 10 a.m. I quote text of letter dated March 16 from Minister of Finance. Similar letters were addressed to British and French Ambassadors.

“In connection with our conversation last week in which, under instructions from your Government, you drew to my attention the interest of the American Government in the maintenance of customs integrity, I wish to point out that, as stated on previous occasions, the Chinese Government [is?] attaching great importance to maintenance of customs integrity; but that this is being constantly violated by the Japanese authorities by seizing or detaining revenues and using them to promote their invasion: by forcing application of a tariff specially favorable to Japanese trade; by importing and exporting goods without passing them through the Customs; by bringing pressure for appointment of Japanese nationals on a preferred basis; and by seizing and destroying customs property. In so doing the Japanese authorities infringe not only upon China’s rights but also upon the rights of the friendly powers, which have exclusive privilege both in the maintenance of a custom system operated without remittances for any foreign countries and in the application of customs revenue pledged as security for obligations directly owed to them, viz., the indemnity of 190152 and in the case of the American Government the consolidation note for the wheat and cotton loans of 1931 and 1933 and for debts due to their nationals.

While realizing the difficult position in which the Inspector General of Customs is placed and to allow him all possible freedom of action, I desire him in accordance with his standing instructions to do everything practical with the support of the friendly powers to sustain the customs regulations and to resist Japanese encroachments against the customs. I trust that the American Government and the other friendly powers will give him their strong support to this end. Furthermore, since the Japanese action infringes upon the rights of the friendly powers, I trust that these powers employ whatever means they may deem most effective to show respect for those rights and to oppose the unlawful acts done or that may be done the Japanese authorities.

I may add that in public discussion of the reopening of the Yangtze mention has been made of a possible ‘agreement’ between Japan and other powers. In the opinion of the Chinese Government it would not be practicable to make any ‘agreement’ on the subject without implying a recognition that the Japanese have been given right to deal with it, contrary to provisions of the Nine Power [Page 723] Treaty53 concerning China’s integrity. The Chinese Government is confident, therefore, that the friendly powers will take no action relating to these matters that would be inconsistent with the letter or spirit of that treaty.”

Repeated to Peiping, Shanghai. Peiping please repeat to Tokyo by air mail.

Johnson
  1. Indemnity for damages arising from the Boxer Uprising provided in article VI of the Final Protocol signed at Peking, September 7, 1901, Foreign Relations, 1901, Appendix (Affairs in China), p. 312.
  2. Signed at Washington, February 6, 1922, Foreign Relations, 1922, vol. i, p. 276.