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Telegram from the Secretary of State for Jominion Affairs, to the Governors General of Canada, the Commonwealth of Australia, New Zealand the Union of South Africa, and the officer Administerin the

Goverment of kewfoundland.

Cent 5.15 p.m. 6th Kay,1926.

6th Way, Tacret.

ly telegram of 20th April.

For some time now it has been becoming, increas ingly obvious that the original Chinu Ares Imbario nolis; based upon the agreement of 1919 was out of date. Recent events in China have confirmed is kajesty's

Government in this belief.

The only powers who have na

any real effort to observe it have been the United States of America, Great Britain and perhaps Japan. In the circumstances uis Hajesty's Government does not feel justified in maintaining indefinitely a handicap on British fims to the profit of their competitors.

The present position is that 1. lis Majesty's Government, have definitely decided that they do not regari commercial aireraft as coming within the scope of the embargo, and 2, „is kajesty's lovemment are now awaiting a suitable opportunity to withdraw from the 1919 euburgo agreement and to repeal the

King's Regulations in China. They propose that inste the regulation of the arms traffic should be left to t Chinese Goverment through their own import restrictie which will be made binding on British subject-; and further that the expert of arms from this country should be licensed to the Chinese Government und ita

nominees only.

lo definite step has however yet been taken towards this end. The observations of is kajesty's Ministar in feking are stall bein - aruite: and further delays www anime out of the

definiti

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