This Document is the Property of Her Britannic Majesty's (Government.]
AFFAIRS OF CHINA.
CONFIDENTIAL.
No. 1.
17085
|July 18.1
SECTION 3.
268
130
(No. 212.) My Lord,
Viscount Gough to the Marquess of Salisbury.-(Received July 18.)
Berlin, July 12, 1898. WITH reference to Sir F. Lascelles' despatches Nos. 136 and 137 of the 30th April last, I have the honour to inclose copies and translation of an article in the "Berliner Neueste Nachrichten" of the 9th instant, giving a statement of the further commercial and industrial Concessions secured by Germany in the Province of Shantung, as published in the "Peking Official Gazette" of the 8th March.
The article in question observes that extensive privileges are granted to Germany in the province, which may, under certain circumstances, entirely exclude foreign competition; and it also points out one or two small discrepancies in the political part of the Treaty, as published in Germany, and as now given by the "Peking Official Gazette," the most important being that, according to the latter, Germany has the right, not only to move troops through the 50 kilom. zone of Kiao-chau, but also "to take possession of the territory in question whenever the German Emperor wishes to do so.”
I have, &c. (Signed)
GOUGH.
Inclosure in No. 1
Extract from the "Berliner Neueste Nachrichten" of July 9, 1898.
THE Treaty between Germany and China for the lease of Kiao-chau was published after the arrival of the document in Berlin on the 28th April last. A very valuable supplement to it consists in the concessions made by China in regard to mining rights and the construction of railways. According to a publication in the "Peking Official Gazette, the text of which has only now come to our knowledge, these Concessions are more exten- sive and more advantageous in their details than could be inferred from the Speech made in the Reichstag on the 8th Fedruary by the Imperial Secretary of State for Foreign Affairs. Herr von Bülow stated on that occasion that further negotiations were still pending with regard to the extent of these Concessions. The further communications were made by the "Peking Official Gazette on the 6th March last, reproduced in the "Allgemeine Zeitung" are as follows:-
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"1. The Chinese Government sanctions the construction of two lines of railway in Shantung. One of these lines will run from Kiao-chau and Tsinan-fu, viâ Wei-tsein, Tsin-chow, Pa-shan, Tse-chuen, and Sai-ping to the boundary of the Province of Shantung. The second line will connect Kiao-chau with Chin-chau, whence a branch line will be made to Tsi-nan vià Lai-wu-hsien. The latter, however, will only be commenced when the main line has been completed, in order to give an opportunity to the Chinese to connect this The determination of line with their own railway system in the most profitable manner. places which the line from Tsinan-fu to the boundary of the province shall pass through is reserved for a later decision.
"2. For this purpose of carrying out the construction of these railways, a joint German and Chinese Company shall be formed, with the necssary branch establishments; this Company will be entitled to raise loans and appoint its own Directors.
"3. All necessary agreements will be made by a Conference of German and Chinese Delegates. The Chinese Government will use their best efforts to obtain for the Delegates of the German Railway Company every conceivable facility for their work on Chinese territory, and to afford them the most effectual protection. The net profits derived from the railways will be divided among the shareholders in just proportion, to whichever nation they may belong. The object of the construction of these railway lines is merely the development of trade. In demanding it, Germany has no treacherous intentions towards
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