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EXTRATERRITORIALITY

peace, which has given a new hope to the human race. It is this idealism that accounts for the steadfastness of the American Government and people in their friendship for China through all the vicissitudes of her fortunes. lt is again this idealism that has prompted the American Government to give sympathetic consideration to the desire of the Chinese Government in connec- tion with the question of jurisdiction and to decide to enter into negotiations for the devising of a method leading to the eventual abolition of Extraterri- torial privileges.

It seems to me, however, from a careful consideration of your Note that the America Government is not yet free from misgivings as to the safety of American lives and property after the abolition of Extraterritoriality. The American Government is undoubtedly aware of the fact that the liberty of American citizens and the security of their property rights do not so much depend upon the continued exercise of jurisdiction by their own Consular Courts, as upon the timely removal of hindrances to the free and full assertion of China's sovereign rights. Extraterritorial privileges, while apparently bene- ficial to foreigners in China in giving the impression of security and safety, have really had the most injurious effect on their relations with the Chinese by producing in the latter the feeling of humiliation and a sense of resentment which have always caused mutual suspicion and the consequent loss of mutual confidence, thus undermining the very foundations of friendly relations and not infrequently giving rise to complications and conflicts. Such conflicts and omplications could be easily avoided were there none of those special privileges. In this connexion, it may be pointed out that towards nationals of certain countries who have lost their extraterritorial privileges and have submitted to the jurisdiction of China, the Chinese people enterian the most friendly feel- ings and repose in them great confidence, a valuable asset, it will be admitted, in the intercourse, commercial or otherwise, of any two peoples. Such marked difference in the relations between Chinese and nationals of Extraterritorial Powers on the one hand and those between the Chinese and the nationals of non-extraterritorial Powers on the other will, as long as the extraterritorial system is retained, become more and more pronounced, and much as the Chinese Government may try to discountenance this difference of attitude on the part. of its citizens, it will not be within its powers to control the natural expression of their feelings.

In the event, however, of American citizens relinquishing their Extraterri- torial privileges, they may rest assured that they will enjoy the same confidence of the Chinese people and hence the same material benefits as the nationals of non-extraterritorial Powers. Moreover, the Chinese Government will continue to exercise, in accordance with the well established principle of international law, due diligence in preventing any possible violations of the private rights of American citizens and perform its duty, in the fullest possible measure, in all matters relating to the redress of wrongs.

In your Note under acknowledgment reference is made to the report of the Commission on Extraterritoriality submitted to the interested Governments. pursuant to a resolution adopted at the Washington Conference. The American Government must be aware of the fact that since the completion of that re- port, conditions in China have greatly changed, and in particular both the poli- tical and judicial systems have assumed a new aspect. To pass judgment on the present state of law and judicial administration in China in the light of what is contained in the report of 1926 is doing no justice to the steadfast policy of the National Government.

At this point, it may be worth while to recall the circumstances under which the American Government renounced its rights under the Capitulations with Turkey. The Chinese judicial system, it will be admitted, does not suffer the least in comparison with that of Turkey at the time of the abolition of the Capitulations. And yet the American Government, realising that the Turkish people, with legitimate aspirations and under the guidance of a new and strong Government, could accomplish great things in a short space of

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