(8/41A/1935)

Copy to:-

Hongkong,

Commercial Counsellor,

Canton,

Shanghai,

Trade Commissioner Hongkong,

C-in-C,

FEMORANDUK.

Sub-Legation,

Air Attaché, Foreign Office.

248

His Majesty's Legation have the honour to

refer to the Wai Chiao Fu's Aide Menoire of 27th December

last, in which the Wai Chiao u enquired whether munitions

of war unloaded or trans-shipped at Hong Kong were when

re-exported from Hong Kong regarded as direct exports to

abroad, and whether any cases of smuggling that might

occur in this connexion would be dealt with by the Hong

Kong Government.

His Majesty's Legation referred that enquiry

to the Government of Hong Kong and are now in receipt of

their reply to the following effect.

The Hong Kong Government have always been

most strict in their observance of the arrangements laid

down by the Chinese Government and accepted by Hi»

Majesty's Government, regarding the importation into

China of munitions of war. If, however, a contract for

the purchase of munitions is concluded by any party with

a manufacturer in a foreign country, the passage of the

munitions shipped in accordance with that contract

through the Colony then becomes, in the words of the

Statute on Freedom of Transit adopted by the Barcelona

Conference on 14th April 1981,"only a portion of a

complete journey beginning and terminating beyond the

frontier of the State across whose territory the transit

takes placg" and all intervention is therefore barred,

/ even

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