78

"both Governments, endless friction, and possibly more

"boycotts, will result, and British trade will suffer:

"even if Article V is struck out, it would, in my

"opinion, pay Hongkong to accept the proposals now

"submitted by China".

When I was in

And in the light of later experience I reiterate this view.

Clementi, perhaps, is inclined to be too "provincial" in

his outlook, and he apparently can't see the wood for the

trees! Hongkong is of recognised importance to British

interests in the Far East, both politically and commer-

cially, but the limitations of its influence ought to be

recognised if we wish to obtain a correct perspective; and,

moreover, we should not forget past history in connexion

with Canton boycotts and shipping strikes.

Hongkong last July, I was asked on several occasions what

Preventive measures the Maritime Customs would adopt in the

event of the negotiations breaking down, etc. I invariably

replied that such hypothetical questions should be left

alone during the progress of my conversations with the Governor; that I'm here (in Hongkong) to endeavour to come

to an amicable understanding with the local Government on

a basis of mutual advantage; and that ware I to outline a

plan of the (Preventive) campaign, which we would be com- pelled to launch if our proposals are rejected, it might

possibly be thought quite erroneously that I am

threatening, etc.! Nevertheless, it is idle to shut the

eyes to fact, and it should be clearly understood that if

the Agreement is definitely turned down, the Customs will establish a very stringent and for China a very expensive -

-

mis

"Preventive.....

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