SECRET

Sir,

302671

you

GOVERNMENT HOUSE.

HONGKONG. 25th November, 1927.

FWD X J V

300014/27

nos!

1000

NEW**

copy- not mall. to F.O.

With reference to paragraph 4 of Sir Cecil Clementi's secret despatch of 19th Lay, 1947, concerning the inauguration of a service of two express trains daily between Kowloon and Canton, I have the honour to inform you that the engines of the British section, not being designed for long-haul work at high speed, are not suitable for continued service of this nature and that the question of their replacement by specially designed engines now requires consideration.

2.

While it is most desirable both for financial

and political reasons that this service should be maintained, I consider that this tovernment would not be justified in purchasing engines designed for a non-stop journey to canton which would be of no particular use to it shoulû fresh disturbances in Kuangtung again require the frontier to be made the terminus for British rolling stock. The Lanagement of the Chinese Section realises the validity of this argument but have unfortunately at the moment no surplus funds where- with to purchase on their own account nor any prospect of accumulating funds until they have completed the very extensive repairs required by their track and rolling stock. The latter

THE RIGHT HONOURALLE

LIEUTENANT COLONEL L.C.M.S. AMERY, H.P.,

Work

&c.,

üc.,

&c.

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