JOHN SWIRE & SONS LTD.

TELEGRAPHIC ADDRESS,

TEMSELOAF, FEN, LONDON.

TELEPHONE,

MONUMENT 3041.

?

8., Billiter Square,

120

6th February 1933

RECEIVED 7-FEB 1933

London

E.C.3.

Dear Mr. Cowell,

Hong Kong Smuggling.

In previous letters I have referred to the possibility of the old Hong Kong/Chinese Customs agreement being signed. According however to a letter from one of

my partners at present in the last dated January 1st I am

quite out of date in looking on this old agreement as a

way out of the difficulty. He writes:-

I went with Brown (our Shanghai manager) to call "on Maze last week and we discussed the question of "smuggling. He is leaving on an inspection trip. "of southern ports in the middle of this month and "welcomes this opportunity of visiting Hong Kong for

"a talk with Peel. The Customs Agreement I am afraid "is dead and buried, as Maze explained, for the fol- "lowing reasons:-

1:

Canton will not hear of it, because they are getting revenue for the province from goods which, "though smuggled so far as Customs are concerned,

can for that reason bear heavier taxation locally. "The Customs Agreement would give Nanking control "of Kwangtung Customs revenue and would prevent the "provincial government from getting this taxation. "Hong Kong will not hear of it because it would "hamper present good relations with Canton. They "of course do not care a button about Nanking and "Canton have apparently told Hong Kong pretty plainly "that, if the Agreement is signed they may expect "trouble. Nanking themselves do not want it because

Copy to you is

Page 120Page 121

Share This Page