365
2
made a passing allusion to the 1899 engagements, which I had hoped were safely interred, and he again referred to the attitude which Russia might have to adopt towards China. He was a little militant, and I gathered that his interview with Mr. Rockhill had not been particularly smooth and suave. I do not attach undue importance to these passing moods of M. Isvolsky, but now that the press has approved his action he may consider that he can take up a firmer attitude.
I have, &c.
A. NICOLSON,
Ca 257
[This Document is the Property of His Britannic Majesty's Gove840]
[B]
CHINA RAILWAYS.
CONFIDENTIAL.
[3517]
No. 1.
Rece RFGC18 FEB 10 [January 31.]
SECTION 4.
Sir C. MacDonald to Sir Edward Grey.-(Received January 31.)
Tokyo, January 12, 1910.
(No. 11.) Sir,
I HAVE the honour to forward herewith an exceedingly interesting memorandum, drawn up by Mr. Hobart-Hampden, Japanese secretary of this embassy, showing the opinions of the press in Japan regarding the proposal recently put forward by the American Government regarding the internationalisation of railways in China.
It will be seen that the proposal is discussed with perfect sobriety and restraint, and is universally condemned.
The "Kokumin," a paper which is generally supposed to be a Government organ, and the mouthpiece of the Prime Minister, says that "Japan will deal with the neutralisation proposal in a friendly manner, as it comes from a friendly country, no matter whether Japan consents thereto or not," and then goes on to show most unequivocally that consent to the proposal is impossible, and will not be given.
I have, &c.
CLAUDE M. MACDONALD,
Enclosure in No. 1.
Memorandum by Mr. Hobart-Hampden.
THE American internationalisation proposal, which may be described as an expansion of the principle of "equality of opportunity" into one of "community of participation" in Chinese enterprises, has, as indicated in Sir C. MacDonald's telegram No. 2 of yesterday, been so far handled with sobriety and discretion by the Japanese press, which, in word at least, has been ready to credit the United States Government with sincerity of intention. Some papers allow that neutralisation, regarded as an abstract proposition, is not unfair in principle.
On the other hand, there has been prompt and general condemnation of the scheme as being of doubtful practicability, Russia, unless she is prepared to renounce her interests in East Siberia, would not, it is thought, dispose of the Eastern Chinese Railway at any price. China might welcome the idea as an apple of discord among the Powers, but her finances would be demoralised by the necessary loan of over 100,000,000l. sterling; and the undertaking would prove unworkable in the bands of six Powers lacking cohesion and the spirit of co-operation. The "Asahi" declares that if Japan and Rassia are unwilling to sell that ends the matter, and Japan should enter a direct refusal to this direct proposal. The "Japan Times," writing to-day, puts faith in Mr. Knox's perfect sincerity, and, deprecating hasty discussion, approves the Government's absolute silence. Surprise is expressed by the "Jiji Shimpo," among other papers, at America's springing this proposal on the world after the memorandum of November 1908, recognising accomplished facts in the Far East, and desiring the maintenance of the status quo, If the administration of the South Manchurian Railway were found in any respect to conflict with the principle of equal opportunity and to obstruct the commercial and industrial development of Manchuria any defects might be pointed out and remedied, but there is no occasion to oust Japan from ber vested rights, and turn into common property a railway which was previously loft undisputed in Russia's single-handed possession. It has been acquired by the lavish expenditure of Japanese blood and treasure. Russia consented to the transfer, and China confirmed it by treaty; others have no right to object. The situation in Manchuria has been built up on the historical events and the conventions of a series of years, and that region canbot now be reduced to a tabula rasa, or, as the "Jiji" phrases it, "a sheet of white paper in which to draw an idealised picture." One
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