355

France and Russia have signified their approval in

principle, und, on the 1st instant, a Telegram was re-

ceived from our Ambassador at Tokyo stating that Japan

while complaining of China's failure to observe the

Treaty of 1903, however agrees in principle to the pro-

posal and will not make its criticism & conuition pre-

cedent.

In the opinion of my Government the contemplated

discussion is the first step toward securing financial

reform which must necessarily be precedent to, us well

as coincident with, administrative reform, and it be-

lieves that it is particularly desirable at this junc-

ture to welcome China's proposal and to implement the

provisions of the British, American and Japanese Trea-

ties. My Government feels that in the suggested Con-

ference it might be stipulated that foreign consent to

the increase of the Customs Tariff must be concitional

upon China's promise to inaugurate at once the desired

reforms.

(Signed)

I have &c.,

J. H. Carter.

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