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In the

HONG KONG HOTEL

DINNER DANCE

With Nick "Korin & ̈Hle Swing Band NIGHTLY 9 P.M. TIL 1. A.M.

TEA DANCE

SUNDAYS 5 TILL 7.

THE HONG KONG & SHANGHAI HOTELS, LTD.

Would you clean your teeth with

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Zole Agents, John D. Harchisan & Ca, Hona Kong.

THE CHINA MAIL, OCTOBER 19, 1940

Wallace Beery and Douglas Fowley in "20-Mule Team,"

now showing at the Queen's Theatre.

TRADE

RUINED NORTH

IN THE

SHANGHAI AMERICAN ENLISTS

Eugene Pomeroy, 24, of Convent, New Jersey, is the first American in the Far East to be accepted for service with the British army. Pomeroy' had been a reporter for a local newspaper during the past year. Several other Ameri- cons have applied for British army enlist- Associated

ment. Press.

JAPANESE EYES ON FRENCH CONCESSION

Japanese militarists, wishing to avoid a direct challenge to the United States and Great Britain' as long as possible, are preparing to put new

THE ESTABLISHMENT of the "new order in East Asia," we were given to understand, was to bring renewed prosperity to the peoples of the Asia-pressure on France to sur- tic continent. If that is the true intention, it must be said that the Japanese would appear to be going about the restoration of the economic prosperity of North China in a very strange fashion.

By a continual and ever more stringent series of regulations they have succeeded in gradually strangling the whole of the import and export trade of the north. Last year already, Mengchiang, or, as we use to know it, Mongolia, introduced what was practically a monopoly of all its export products, which formerly made up a large proportion of the export trade of Tientsin.

The Chinese and Mongol pro-read daily in the paper how the ducers could only sell their goods ¦ "Saito", or

render additional inter- ests of hers in the Far East, according to inform- ation reaching reliable quarters in foreign Shanghai.

Nippon moves in Indo-China, the Japanese are said to be directing

In addition to prospective new

increasing attention toward the French Concession in Shanghai.

Since France is unable to de- fend her interests more cautious Japanese elements believe that Japan should take what she can from the unresisting French in- "Oshima." or some stead of tangling, immediately to special Japanese firms, or to other unit inflicted crushing with the United States and Bri- -certain-foreign-firms-which-receiv-blow-on-the-Chinese-forces. This tain whose preparations for a ed special permission to trade "Shimizu unit" is to have the sola possible Pacific show-down have there, which permission, needless and unquestioned right to decide impressed even the most militant - to say, was very rarely granted. what export goods it wants to deal of the Nippon generals. But even when such firms did in. (Cotton, flax, hides and skins manage to purchase Mengchiang | are mentioned.) produce, they were at once faced i with the greatest difficulties in obtaining transport for their car- goes from the interior to Tientsin. A shipping permit from Kueihua or Kalgan, for instance, when ob- tained after endless delays and trouble, was only valid as far as Peiping, and was of no use at all on the Peiping-Tientsin Railway, for which another permit had to be obtained. and through quite different office than the first one. It is not strange, if in view of all these difficulties, the export busi- ness in Tientsin fell off very con- siderably.

Imports Hampered

:

"Military Supplies”

Only, again, as it is a military concern, its method of choice goes by the more distinctive phrase of "classifying them as military sup- plies." If the "Shimizu Unit" de- cides that certain raw materials are military supplies, then these goods will be acquired by the com- pany (I mean unit) at a price to be fixed by the Army. The regu- lations do not explain, however, on what basis the Army intends fixing its prices. Presumably they will not be at a very extravagant rate.

How the moves against French- will develop town in Shanghai cannot be predicted but informed quarters believe that the use of force will be avoided if possible. It is known that some French of- ficials are inclined to favour sur- render of certain important rights inside the concession to Japanese control.

Quiet Yielding

The French, since collapse of their home government, have already quietly yielded to the freedom Japanese considerable .within. Frenchtown including the right to arrest Chinese. The French Concession here has

-In order to enable the "Shimizu been barrassed recently by num- unit" to conduct its business with labour difficulties

erous troubles especially extensive which in past

port business, against which

It was next the turn of the im-a minimum of trouble, it is au- weeks brought a complete tieup athorised to enter the premises of French-town transportation very serious

blow was struck, any firm, foreign or Chinese, and services and a strike in the central when on June 26 new import re-inspect the good lying in the go power plant which now is operat- whereby the Federal Reserve Bank tion, the "Shimizu, Unit" decides under heavy guard. gulations were brought into force, downs. And if, after due inspec-ing with a special Russian staff Approxi- was given complete control over that the goods are classifiable as mately 1,800 Chinese are involved same, and goods could only pass war supplies, why, that will be in the strike which reliable re- through the Customs and enter "just too bad for you," if you hap-

the country against a permit issu-pen to be the owner. It on the ports said was promoted by Ja- ed by this bank. In addition, for other hand, Shimizu find they do panese political agitators.

Meanwhile Wang Ching-wei's gign importers of piece goods have not want them, you may, if they "Central China Daily News" has been forced to join a special a happen to be in a good temper, renewed its attacks on foreign panese Cotton Goods Association, obtain a permit from them, grack-areas. It demanded that the In before their application for an imously allowing you to remove your ternational Settlement take im port certificate.could be even con- own goods out of your own 50-mediate action to prevent ter- sidered by the Federal Reserve down. And, finally, in case there Bank, not to mention granted. In should be any businessmen foolishsassination of Shanghai's puppet norism, such as the recent as- any case, as the regulations gov-enough to object to the above pro- mayor, Fu Siao-en Otherwise, erning the granting of import ceedings, the regulations end with it added, the Nanking puppet re- lochoes appear to be entirely in a forcible reminder to the effect gime would be forced to take its definite and arbitrary and. are un-that "Violations of these regula own measures to meet the situp- derstood. neither by the importers tions will result in the violators.

tion. Associated Press. nor even the bank itself, the Im-1 being dealt with by the Army au port trade has to come to an al-thorities." Martial law, in fact! most complete standstill.

Short-Sighted Policy

ing In the godowns of the ex- porters. But after these bave been taken over, there will, of course, be not fresh arrivals and the "Shimizu Unit" will have to seck fresh pastures and transfer its at- tention to places in the Interior, from where these raw materials

to

But the worst was still to come, For on October. 1, a final mortal blow was struck against the

But speaking seriously, and export trade by some new regula leaving aside all questions of the tlons. It appears that the Japon- equity of such methods, or the ese army in north China has now wrongs and sorrows of the ex decided to take a hand in the ex-porters concerned, this latest policy come. But unless the price port business, and the company would seem to be somewhat shorts be determined by the Army is that will entage in this business sighted. If it is meant to be carried anywhere near the ordinary mar- Is the Shimizu Company. Only out in all seriousness, then, no ket rates, the up-country pro- as it 16 pusiess Aponsored by the doubt, for the first fow monthsducers will also shut up shop. And army, it is not called a "company," the "Shimizu Unit" will reapis np in the end' raw materials will be- but is referred to in the new re- harvest gathering in all the raw come even more scarce than they gulations as a "unit." Just as we materials which are at presently-" "are already,

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