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[This Document is the Property of His Britannic Majesty's Government.]
AFFAIRS OF CHINA.
CONFIDENTIAL.
C.
25167 [May 13.]
RECE
SECTING216 JUL 07)
[15490]
No. 1.
Sir J. Jordan to Sir Edward Grey.-(Received May 13.)
(No. 79.) (Telegraphic.) P.
ESTABLISHMENT of Customs at Dalny and on Manchurian frontier.
Peking, May 12, 1907. Please see your telegram No. 50 of the 11th instant.
Both the American Minister and myself have received an assurance from the Japanese Minister that a few days' time will see the completion of the Japanese negotiations. I was told yesterday, by Sir Robert Hart, that there only remained one point requiring settlement. I understand that it is intended to proceed with the establishment of the Customs at Dalny without waiting for the Russian negotiations to be concluded, A disagreement on the question of duties is causing slow progress to be made with these latter. It is held by the Russians that the goods should be freed from taxation on the railway, and within the area of railway property, after the payment of two-thirds duty, while the Chinese contention is that immediately the goods pass the frontier stations the Chinese Government have a right to levy the additional transit duty of one-third on them.
Fuller information on the subject is contained in my despatches Nos. 169 and 210, of the 3rd April and the 1st May respectively.
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