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9. The question came up again on the 1st February, when Mr. Hanihara defined the position of his Delegation. Ever since the Peking Resolution of 1919, Japan had loyally carried out her obligations, and had succeeded, not without great difficulty, in restraining her nationals from carrying out certain contracts signed before that date. But the Japanese Government could not reasonably be expected to hold these contracts back if Italian nationals for their part were to have full liberty to proceed with similar contracts. The Japanese Government warmly supported the policy embodied in the Resolution, now before the Committee, which they believed to be the right one; but in the circumstances their inability to adhere was not unjustifiable.
10. It was evident that matters had thus come to a complete deadlock; and when Signor Schanzer produced and read the instructions of his Government, showing that he had no option but to reaffirm the Italian reservation, it became obvious that no useful purpose was to be served by continuing the debate. I accordingly briefly summed up the situation and suggested that the Conference, having failed to reach unanimity, no course was open to me but to withdraw the Resolution and leave the matter over for negotiations between the various Governments through the ordinary, if less expeditious, channel of diplomatic correspondence at the various capitals. To this course Signor Schanzer, who, I think, realised the somewhat poor figure which his Government's instructions forced him to cut, at once agreed, whilst expressing the belief that the present difficulty would speedily be disposed of if the matter were dealt with as I had suggested.
11. Before letting the matter drop, both Mr. Hughes and I intimated that our respective Governments could hardly be expected to acquiesce in a state of affairs under which, under the guise of existing contracts, the nationals of one Power might be indulging in the lucrative arms trade whilst our nationals were debarred from participating by our legislation,
12. The matter thus stands as follows: The Resolution which I originally tabled on the 24th January, and amended to meet the Netherlands point of view on the 31st January, has been definitely withdrawn; the Japanese have announced that they cannot continue to hold their nationals in check so long as the Italian Government maintain their reservation. Both Mr. Hughes and have left no doubt that our respective Governments share this point of view, and finally, at Mr. Hughes' sugges- tion, it has been left to the Italian Delegation to file their contracts with the Secretariat-General of the Conference, and make out the best case they can to justify their reservation, which, if the circumstances reported by His Majesty's Minister at Peking are correct, they may not find it altogether easy to accomplish.
13. The results are thus purely negative. Nevertheless, they appear to me to have justified my action and to be more satisfactory than the present intolerable situation.
I am, &c.
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manufacture, and to prohibit such exportation from their territories or territories under their control until the establishment of a Government whose authority is recognised throughout the whole of China.
2. Each of the above Powers will forthwith take such additional steps as may be necessary to make the above restrictions immediately binding.
3. The scope of this Resolution includes all Concessions and Settlements in China,
4. The United States of America will invite the adherence to this Resolution of the other Powers in treaty relations with China.
Enclosure 3 in No. 1.
RESOLVED by the Senate and House of Representatives of the United States of America in Congress assembled, that whenever the President finds that in any American country, or in any country in which the United States exercises extra- territorial jurisdiction, conditions of domestic violence exist, which are or may be promoted by the use of arms or munitions of war procured from the United States, and makes proclamation thereof, it shall be unlawful to export, except under such limitations and exceptions as the President prescribes, any arms or munitions of war from any place in the United States to such country until otherwise ordered by the President or by Congress.
Dear Mr. Balfour,
Enclosure 4 in No. 1.
M. Beelaerts con Blokland to Mr. Balfour.
Netherlands Delegation, Washington Conference,
January 30, 1922.
I FEEL especially gratified in informing you that I have just been authorised by my Government to accept your draft resolution relating to the exportation of arms, &c., to China, as amended by yourself in the course of the last meeting of the Committee on Pacific and Far Eastern Questions.
With highest regards,
Sincerely yours,
BEELAERTS VON BLOKLAND.
ARTHUR JAMES BALFOUR.
(Confidential.)
Enclosure 1 in No. 1.
Arms Embargo.
THE attached draft Resolution may possibly come up for discussion at the meeting of the Committee on Pacific and Far Eastern Questions, to be held at 3-30 this afternoon,
L. C. CHRISTIE, Secretary,
British Empire Ďolegation.
Franklin Square Hotel, Washington, D.C.,
January 27, 1922.
Enclosure 2 in No. 1.
ARMS EMBARGO,
Draft Resolution.
THE United States of America, Belgium, the British Empire, France, Italy, Japan, the Netherlands and Portugal affirm their intention to refrain from exporting to China arms or munitions of war, or material destined exclusively for their
Enclosure 5 in No. 1.
ARMS EMBARGO.
Draft Resolution.
THE United States of America, Belgium, the British Empire, France, Italy, Japan, the Netherlands and Portugal affirm their intention to refrain from exporting to China arms or munitions of war, whether complete or in parts, and to prohibit such exportation from their territories or territories under their control until the establishment of a Government whose authority is recognised throughout the whole of China.
2. Each of the above Powers will forthwith take such additional steps as may be necessary to make the above restrictions immediately binding.
3. The scope of this Resolution includes all Concessions and Settlements in China,
4. The United States of America will invite the adherence to this Resolution of the other Powers in treaty relations with China.