793.003/1030: Telegram
The Secretary of State to the Ambassador in the United Kingdom (Winant)
6327. Department’s 6230, December 9, 8 p.m.
1. We have now received from the Chinese another suggestion in regard to questions of inland navigation and coasting trade, namely, that the sentences of our draft article on those subjects be rearranged as indicated below and that there be inserted an additional sentence reading as follows: “Should either country later accord the right of inland navigation or coasting trade to vessels of any third country such rights would similarly be accorded to the vessels of the other country.”
[Page 402]As the last sentence of our draft is retained, our rights would seem to be given adequate protection and we accordingly are inclined to accept this suggestion and not put forth the proposal we were considering as mentioned in paragraph numbered 3 of our telegram under reference. We would prefer, and propose so informing the Chinese, that these matters now be covered in the exchange of notes rather than in an additional article to the treaty, our reason for such preference being that the Chinese suggestion contains language which from the technical drafting point of view does not seem to fall appropriately within the framework of the formal article on these subjects which we usually have in our treaties with other countries.
The appropriate portion of the exchange of notes (to follow the provisions relating to treaty ports, special courts and foreign pilots and to precede the paragraph relating to naval vessels) would accordingly read as follows:
[Here follows text quoted in telegram No. 1225, December 14, 8 p.m., to the Ambassador in China, printed supra.]
2. Dr. Soong has informed Ambassador Gauss at Chungking that, in addition to the above, the Chinese Government would be prepared to agree to an exchange of notes to the following effect:
“The Chinese Government declares that it is its firm intention to limit inland navigation and coasting trade to vessels of (the) Chinese flag, and assures the Government of the United States that under no circumstances will American interests be discriminated against vis-à-vis any third country.”
We do not consider that this suggested additional exchange is required for our purposes and propose so to inform the Chinese.
3. If the British Foreign Office has any further comment in regard to these matters we should appreciate receiving it if possible at once. We are of course desirous of informing the Chinese without delay of our agreement to the suggested redraft of the provisions relating to coasting trade and inland navigation as indicated in paragraph numbered 1 above and of proceeding to arrange a definite date in the very near future for the signing of the treaty.