NO DISTRIBUTION.
Decypher.
Sir A. Cadogan (Peking).
February 20th 1935.
D.
Wireless.
February 20th 1935.
R. 4,35 p.m.
February 20th 1935.
No.178.
325
In recent conversation with Acting Commercial
Counsellor, manager of Jardine Engineering Corporation
emphasised handicap under which British arms firms were
suffering when they wished to import arms into
Kwangtung and Kuangsi.
2. He alleged that Italian government placed
no restrictions on issue of export licences and that
French government while requiring production of a
Central government "hu chal" at least in the case of big
calibre guns assist their firms in obtaining "huchal" by making official application through Waichiaopu in a manner which made it difficult for Nanking authorities
to refuse without admitting their inability to control
South Western provinces. None of these applications
had, he stated, so far been refused.
3
Manager suggested it would help British firms if we would forward similar applications to Waichiaopu should there be any difficulty with regard to issue of a "hu chal". He referred specifically in this connexion
to a contract secured by his firm in November for Vickers tractors fitted with searchlights and sound locators for which Kwangtung authorities had applied
to
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