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convention, and explained that our recent change of policy, as he termed it, in Centon and Szechuan was merely defence of British life and property carried out impartially against unprovoked attacks by irresponsible adherents of any party. I enquired whether any approach had been made to Japan or America, but he professed ignorance on this point.

My United States colleague has no information, but my Japanese colleague informed me today that he believed the Japanese military agent had been approached Indeperias dy already and he himself was expecting to be approached. The Japanese community here were very alarmed and also had urged Tukyo to support Sun, in order to save the mill industry which a Red victory would ruin. He had just received confirmation from Tientsin of agreement between Sun and Cheng which had been made there through Chin Yun-peng. He was reporting to his goverment who he thought would, in any case, resist any open interference with Japanese trade or industry in the Yangtze.

n.

Assuming that material support is out of the question, I venture to think that if Sun could be informed that the Japanese and ourselves would resist any attempt by Chiang Kai-shek to apply Canton tactics to foreign trade in the Yangtze, such

a statement would afford valuable moral assistance.

Local agitation by the Cantonese is extremely

active

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