711.94/2133112/18
Memorandum by Mr. Joseph W. Ballantine to the Secretary of State
Mr. Secretary: In the “Oral Explanation” (Annex and Supplement) communicated by the Japanese Ambassador on May 12,94 the [Page 224] principle of Prince Konoe in regard to economic cooperation is defined as follows:
“Economic cooperation—by which Japan does not intend to exercise economic monopoly in China nor to demand of China a limitation in the interests of third powers.”
It is suggested that the Secretary might wish to discuss this point further with the Japanese Ambassador in an exploratory way in an endeavor to draw him out on what the Japanese have in mind with regard to the application of the principle above quoted to Japan’s commercial relations with China—and incidentally with French Indochina. This might be helpful in clarifying possible differences between our respective views as to what is meant by non-discrimination in international commercial relations.