Copy.
(F 8440/31/10)
82
Preferably 155 pm 1 Earth in I
she beguiled
The Assembly of Aeroplanes for China in Hong Kong.
The Chinese Government desire the Government of Hong
Kong to permit within the borders of the Colony the assembly
of aeroplanes, admittedly destined for military use, which
are being shipped thither. They are willing that the
machines should be flown to China without armaments, if this
will save the Colonial Government embarrassment. The
following considerations are relevant in deciding what answer
should be returned to the Chinese Government.
(1) In peace-time there is nothing to prevent the
transaction.
It can be regarded as probable that, if the
Chinese Government were suddenly during peace-time to order a
large number of aeroplanes and desired speedy delivery, they
would endeavour to make use of the technical facilities,
skilled labour etc. available in Hong Kong.
(2) If a state of war is in existence, it is the duty
of a neutral Government to prevent the departure from its
territory inter alia of aircraft which could, prior to their
delivery to the belligerent purchaser, be used for the
purpose of hostilities. (This, in effect, means that the
aircraft must not only leave without arms or ammunition but
also without any fittings or mountings).
(3) There is at present no formal state of war between
China and Japan, and in Mr. Fitzmaurice's opinion this leaves
us free to allow this type of transaction or not as we please,
and technically we might allow aircraft to fly off even fully
armed.
(4) In point of fact instructions were issued to Hong
Kong at the end of last month to "act as if a state of war
"were imminent" and later in the same message we said that
the