2
Germany will make arrangements to refund to the Chinese Government the expenses incurred by the latter in whatever parts of China for the internment of members of the German military forces.
Sir,
I avail, &c.
VON RORCH,
Representative of the Government of the German Republic.
Enclosure 2 in No. 1.
Dr. Yen to Herr von Borch.
May 20, 1921.
I HAVE the honor to acknowledge the receipt of your note of this day's date, in which you state as follows:--
[Quotes above in full.]
I avail, &c. (Signed by Minister for Foreign Affairs.)
Enclosure 3 in No. 1.
Sino-German Agreement.
THE Government of the Republic of China and the Government of the German Republic being desirous that an agreement be entered into by the two countries, on the basis of the German declaration of this day's date, for the re-establishment of amity and commercial relations, and realising that friendly relations between peoples can be maintained only by the respecting of the rights of territorial sovereignty and the application of the principle of equality and reciprocity, have appointed plenipotentiary delegates as follows:-
-
Yen Hui-ch'ing, Minister for Foreign Affairs, specially appointed by the Republic
of China.
Mr. Consul-General von Borch, specially appointed by the German Republic.
The delegates having presented for mutual inspection their commissions ag plenipotentiary officers, and these having been found in order, the following terms have been agreed upon :-
ARTICLE 1.
Each of the two contracting Powers shall have the right to appoint a regular diplomatic representative to the country of the other contracting Power, and such representative shall enjoy in the country to which he is appointed all such rights and exemptions as are recognised by international law.
ARTICLE 2.
Each of the two contracting Powers shall have the right to appoint consuls, vice- consuls or consuls-in-charge at places within the territory of the other contracting Power where there exist consulates or vice-consulates of any third Power, and the officers so appointed shall sujoy the same courtesies as are extended to corresponding officers of other Powers.
ARTICLE 3.
Citizens of the one Power shall have the right to travel, reside and engage in trade or industry within the territory of the other Power in accordance with the laws and regulations there in force, but only at places where nationals of a third Power can travel, reside and engage in trade or industry.
Citizens of both Powers shall, in respect of their lives and property, be under the jurisdiction of the courts of law of the places where they reside.
Citizens of both Powers shall conform to the laws of the country in which they reside, and the imposts which they shall be liable to pay shall not exceed in amount those payable by citizens of that country,
g
ARTICLE 4.
It is agreed between the two contracting Powers that each shall have complete liberty in such matters as customs tariff, which shall be determined for each country by its own internal legislation, but the import, export or transit duties payable on manufactured goods or raw materials passing from one of the two countries to the other, or the produce of a third country, shall not exceed in amount those payable by citizens of the country where it is levied.
ARTICLE 5.
The declaration by the German Republic of this day's date, together with the articles of the present agreement, shall form the basis for the negotiations of a formal treaty.
ARTICLE 6.
The present agreement shall be prepared in the Chinese, German and French languages, and in the event of any difference in meaning between the three the French text shall be deemed correct.
ARTICLE 7.
The present agreement shall be ratified at an early date, and shall take effect from the date upon which the Governments of the two Powers shall notify each other that ratification has taken place.
Sir,
(Text of agreement drawn up in duplicate.) Peking, May 20, 1921.
Enclosure 4 in No. 1.
Herr von Borch to Dr. Yen.
May 20, 1921. I HAVE the honour, under instructions from the German Government, to make to your Excellency the following declarations in interpretation of certain passages in the Sino-German Agreement and in the declaration which accompanied it :-
1. Customs Taxation on Chinese Goods in Germany.-The provisions in article 4 of the agreement that the duty payable for import, export, or import and re-export, of goods from either country shall not exceed in amount that payable by citizens of the country where it is levied, shall not preclude China from availing herself of the advantages to which she is entitled under article 264 of the Versailles Treaty.
2. Compensation for Losses-The refund to China of internment expenses incurred in whatever part of China referred to in the declaration means that, in addition to the compensation payable by her to China in accordance with the principles laid down in the Versailles Treaty, Germany is willing further to refund the internment expenses incurred by China in the various parts of the country.
The German Government undertake to agree immediately upon a round sum consisting of one-half of the proceeds of all already liquidated property of Germans in China, and one-half of the total value of that which remains unliquidated, and to band this sum over to the Chinese Government as part of the war indemnity in the form of 4,000,000 dollars cash and of the Tien-tsin-Pukow and Hunan-Kwangtung Railway bonds.
3. Chinese Property in Germany. The movable and immovable property of Chinese citizens in Germany shall, upon the ratification of the agreement, be restored in full.
4. Chinese Students in Germany.-The German Government is most willing to accord every facility in its power to Chinese students in Germany with a view to their entering educational institutions or obtaining practical training.
I would further request your Excellency to be good enough to reply to the following queries:-
(a.) Protection of Property of Germans in China in the Future.-Whether or not the Chinese Government is in a position to promise complete protection for German citizens carrying on peaceful business in China, and that it will not [6785 i-5]
B 2
370