793.003/11–2742
Memorandum of Conversation, by the Assistant Chief of the Division of Far Eastern Affairs (Atcheson)
Mr. Liu called at the Department, upon request, at 4:00 p.m. today in the absence from Washington of the Chinese Ambassador and was received by Mr. Hornbeck and Mr. Atcheson.
Mr. Hornbeck stated to him that we had prepared a reply to the Chinese document of November 10 suggesting a number of modifications of the draft treaty; that in making the counter-suggestions contained in our reply we had exerted our best efforts to meet Chinese wishes and felt that we had now come close to complete agreement and that negotiations in the matter could be regarded as practically ended; and that as regards the Chinese suggestions for an additional article to be Article I we had formulated a new preamble for the treaty which we felt would go far toward meeting Chinese desires in that respect.
Mr. Hornbeck then asked Mr. Liu to read the new preamble, which Mr. Liu did with apparent satisfaction, and Mr. Atcheson mentioned that he thought that the reference therein to the United States and China “as equal and sovereign States” very closely approached what [Page 377] the Chinese had in mind in connection with their suggested new Article I.
Mr. Hornbeck went on to say that we had had intimations that Dr. Soong, the Chinese Foreign Minister, now in Chungking, felt about as we did that the negotiations were practically, except for matters of phraseology, at an end, and that agreement had been reached. Mr. Liu replied that the Chinese Embassy here had also received indications that Dr. Soong felt as we did and that the Chinese side should not be too insistent in regard to its suggestions for modification of the draft.
Mr. Hornbeck stated that we proposed that the treaty be signed in roughly ten days’ time; that this period would permit the British to catch up; that we thought it would be appropriate if our treaty with the Chinese and the British treaty with the Chinese should be signed at about the same time, although not necessarily at the same hour or on the same day; that we had no idea, and we were sure that the Chinese had no idea, of rushing the British in the matter and we did not wish to create an impression anywhere that we had any desire to “scoop” the British; that the British had been most cooperative in connection with the whole question and we appreciated that and we also appreciated the willing understanding and cooperation shown by the Chinese Government.
Mr. Liu stated that he would have the document telegraphed to Chungking, thanked Mr. Hornbeck for the Department’s efforts, and then accompanied Mr. Atcheson to the latter’s office.
In Mr. Atcheson’s office Mr. Liu read over the document carefully and there ensued some informal discussion of various points. Mr. Liu expressed himself as feeling that the Chinese Government would be very gratified with the suggested new preamble and would be gratified with our reply on the whole, adding that there seemed to be nothing in the way of phraseology which could not be readily adjusted.
Mr. Atcheson remarked that, in regard to the question of inland navigation and coasting trade, these matters were not related to extraterritoriality and perhaps might more appropriately be covered in the later comprehensive treaty which the two Governments contemplated. He said further that, as Dr. Soong had mentioned these matters before his return to China and as the Chinese Embassy had brought them up several times, we had attempted to cover them in a general way in the proposed supplemental exchange of notes; that we had tried to meet Chinese wishes in the matter; that there appeared to be one of three things which might be done in regard to those questions: the handling of them in the supplemental exchange of notes as suggested in our document of today, the insertion in the treaty of a full article along the lines of the articles on those subjects in our [Page 378] modern comprehensive treaties with other countries, or just dropping the matters and reserving them for discussion in the later treaty with China.
As regards the reference in the supplemental note to cases pending before the United States Court for China and the American Consular Courts in China, Mr. Atcheson stated that it was our understanding that these cases consisted of one or two bank receiverships and a number of estate cases; that the Swiss authorities were at the present time administering some of the estate cases in an informal manner and we assumed that if any of them continued pending after the war there would be no objection on the part of the Chinese Government to their being administered informally by our Consuls in the same manner that consular officers in many countries handled such matters. Mr. Liu said that he was sure that there would be no objection to such procedure.
Upon his departure Mr. Liu made repeated expressions of thanks for the Department’s efforts in the matter.