[This Document is the Property of His Britannic Majesty's Government, and should be returned to the Foreign Office if not required for official use.]

40

72

(F.6622/3/10.)

To

CHINA.

Code telegram to Sir H. Lampson (Wei-hai-wei).

Foreign Office. 5th August, 1927.

6.00 p.m.

No. 4.

(R).

-

• •

+

*

Your telegram No. 1213 (of July 31st; Shanghai

taxes).

1.

Our views do not differ so greatly as your

telegram would appear to suggest. I agree that treaty

rights which we cannot effectively protect are liable

to be abrogated by unilateral action but I do not

share your fears that tariff autonomy will endanger

the "whole fabric of the treaties" because the rights

in regard to the tariff seem to me to constitute much

the greater part of what it is possible for the Chinese

to recover by such means. I believe you share my

view that force should not be threatened if there is no

intention to use it and that protests which would be

futile unless backed by force should not be made

unless force in the last resort is really intended. I

agree that the exercise of tariff autonomy by a

regional government should be resisted by every pos-

sible means.

2. The problem of discovering what effective

action we can take if our protest against the taxes

is disregarded (see last paragraph of your telegran

No. 1115) remains still unsolved.

It is an essential

condition

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