JOHN SWIRE & SONS LTD.

TELEGRAPHIC ADDRESS, TEMSELOAF, FEN, LONDON.

RECEIVED

-4FEB1330

OOL, OFFICE

8. Billiter Square. 26

London

LCS.

January 29th,1930.

Sir,

Hong Kong.

Ever since the troubles in China started in 1925

and in spite of the rapprochement during the last two

years it has become more and more obvious, how little Hong Kong understood modern China, what complete lack of

real sympathy there was between Hong Kong and its important

neighbour, Canton, and what enormous harm was being done

by this state of affairs not only to Hong Kong itself, but,

what is more important, to the whole range of Anglo-Chinese

relations. The continuance of this state of affairs and

the lack of liaison between Hong Kong and the Legation

in Peking about the former's foreign relations has given

us like many other firms interested in China considerable

cause for anxiety and discussions with our Eastern representatives and personal observation on the spot have

confirmed us in our anxiety.

Finally of recent months there has unfortunately

seemed to be every disposition on the part of the Hong Kong

Government to suffer the failure of the negotiations for

the Hong Kong/Chinese Customs Agreement, unless they could

get a quid pro quo from the Chinese Government for the

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