[This Document is the Property of His Britannic Majesty's Government.}
[B]
CHINA RAILWAYS.
CONFIDENTIAL.
[17548]
No. 1.
16664
RECR
REG 2 JUN 10 [May 17.1
SECTION 1.
Mr. Whitelaw Reid to Sir Edward Grey.-(Received May 17.)
American Embassy, London, May 16, 1910. Sir,
REFERRING to your note of the 11th April relative to the division of engineering rights on the Hukuang Railway, I have the honour to inform you, under instructions from my Government, that, while dissenting from the principle of equal division of the Hankow-Szechuan line, the United States Government is disposed to accept 400 kilom. chief engineering rights on the extension to Chengtu, and 200 kilom. sub-engineering rights with Germany on the Hupeh section, provided such acceptance will close the negotiations.
As will be readily observed, this proposal, while not a formal statement of my Government's position, is in effect in accord with the views of His Majesty's Government. It would seem, therefore, that only the acquiescence of His Majesty's Government remains to bring about agreement between all the interested groups, an agreement which, as you state, would appear all the more urgent on account of recent occurrences in the Yang-tsze Valley.
I have, &c.
WHITELAW REID.
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