[This Document is the Property of His Britannic Majesty's Government.]
[B]
1)
CHINA RAILWAYS,
CONFIDENTIAL,
(23627]
C.O.
23208
[June 21.]
SECTION 2.
12 W
No. 1.
t
Herr Urbig to Mr. Addis-(Communicated by Mr. Addis, June 21.)
Dear Mr. Addis,
Berlin, June 18, 1909.
I HAVE had several conferences in our Foreign Office about the Chinese Railway loan, and we have telegraphed you yesterday that representations have been made in Washington also on the part of Germany. It has been pointed out that it would be very dangerous to detain the Chinese to formally ratify the concluded agreement. If I am informed correctly, notice of the steps taken in Washington by the German Government has been given to the Foreign Office in London, and I hope that the harmony of the English and German view of the state of affairs will result in saving the concluded business for the English, German, and French groups. We have heard nothing so far from Paris. It would, however, be imperative that they likewise exert their influence on the Americans. The entire question has become a purely political If our three groups make up their minds, however, that the Americans are of no use to us in carrying the business through, it should be quite possible to bring the contract for the loan of 5,500,000Z. to a successful conclusion in Peking by the aid of diplomatic influence from London, Berlin, and Paris. I have written Mr. Ullmann, Paris, in the same sense.
one.
During the last few days cable messages have been sent from America purposely, as it would seem, stating that the German group had gladly welcomed the co-operation of the Americans. As written to you on Monday, nothing else has been done in official quarters but to thank the Americans for their good intention, while it has been expressly stated that a participation in the business just concluded is out of the question. To all of us who belong to the German Syndicate, the idea of including the Americans in the present business, as well as in our general agreement, is to a high degree disagreeable, and this view has been clearly set forth in the two newspaper cuttings which I herewith enclose.
A representative of the Americau Syndicate which aspires to the co-operation has not made his appearance so far. Should he call within the next few days we shall not commit ourselves at present, and I presume you will do likewise. In my opinion an efficacious expedient to deter the Americans from a participation would be in the prescut moment to state emphatically that the American part of future loans will not be listed on European Stock Exchanges. You are no doubt aware that so far Americans have never been able to retain a foreign loan in their country, no matter how large or small the amount may have been. Soon after the issue has taken place, the loans have invariably emigrated to Europe down to the last dollar.
Inclosure 1 in No. 1.
I am, &c.
F. URBIG.
Dear Mr. Addis,
Herr Urbig to Mr. Addis.
Berlin, June 19, 1909. I WROTE to you yesterday and have received meanwhile your letter of the 17th instant. I have heard to-day from Paris that the French Foreign Office has done the needful in order to induce the Government of the United States to abandon its protest against the Hankow-Szechuan Agreement. I have communicated this information to our Foreign Office, which will inform the German Ambassador at Washington accordingly. Since the representatives of the three Powers at Washington march in the same direction, there is a chance that the Government of the United States of America may give in. Permit me to relate briefly the position which our Government has assumed in this question, viz., it states to the Americans that it is with satisfaction
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