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arranged in consultation with His Majesty's Consul-General at Canton. I have therefore the honour to prepare this reply for your Excellency's information, and avail, &c.

(Signed)

Inclosure 2 in No. 1.

Prince CHING.

This Document is the Property of His Britannic Majesty's Government.]

CHINA TRADE,

CONFIDENTIAL

[9638]

No. 1.

[March 12.]

SECTION 1.

Your Highness,

Sir J. Jordan to Prince Ch'ing.

January 15, 1908. IT is with much regret that I learn from your Highness' note of the 9th instant that you are not disposed to modify the Regulations for the opening of Nanning-fu in such a way as to satisfy the reasonable requirements of foreign trade, and that you decline to accept the views expressed by His Majesty's Government as to the conditions which should govern all ports opened to foreign trade.

Those conditions embody the principles laid down by Treaty for the conduct of foreign trade, and it is inconceivable that China, in the present enlightened state of her people, should desire to revert to the position which existed in pre-Treaty days, when foreign merchants were confined to strictly limited areas for purposes of trade and residence. The experience of fifty years has shown the wisdom of the policy which China adopted when the Treaty of Tien-tsin was made, and places like Shanghae, Tien-tsin, and Hankow, which already take rank amongst the foremost trading centres in the world, bear eloquent testimony to the immense advantages which mutual and friendly trade relations, conducted under favourable circumstances, have brought to Chinese and foreigners alike. That the Chinese Government, with these examples of a liberal commercial policy before them, should now take the retrograde step of arresting the progress of foreign trade by adopting restrictive Regulations which have proved such a failure at Chinan-fu and the few other places where they have been tried will prove a grave disappointment to His Majesty's Government, and I am reluctant to communicate your Highness' decision to them until a further opportunity has been given for reconsidering it.

The fact that at Harbin and other places in Manchuria which have been "opened by China herself areas quite as large as, if not larger than, the city of Nanning have been made available for unrestricted international trade and residence, encourages me in the hope that the Imperial Government will, in the true interests of the Empire, show an equally liberal attitude towards its maritime trade and declare the city of Nanning effectively open to the commerce of all nations.

I avail, &c.

(Signed)

J. N. JORDAN.

Question asked in the House of Commons, March 12, 1908.

Mr. Lonsdale,--To ask the Secretary of State for Foreign Affairs whether his attention has been called to the complaints of British traders as to the wrongful use of British trade-marks by Japanese firms; and whether he is taking any steps to insure protection for British trade-marks in the Far East.

Answer.

The answer to both the honourable Member's questions is in the affirmative, as was stated in a reply given on behalf of the Board of Trade on the 5th instant.

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