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140
them to provide for these rights on a reciprocal basis.
H.M. Government would therefore wish to discuss these
questions at a later stage with a view to arriving at a
reciprocal agreement possibly in the course of the
negotiations for a comprehensive treaty of commerce and
navigation, such as Article 7 of the American draft
(Article 8 of ours) foresees. Meanwhile, the matter is
not one of immediate practical importance, and unless the
Chinese Government are anxious to deal with this question
at once and to insert provisions into the present treaties,
would south twefe
H.M. Government have no present intention of entering into
detailed negotiations on this subject at the present time.
They would propose at most to give a general indication
to the Chinese Government on the same lines as the
Department of State have already followed if and when the
matter is raised at the negotiations in Chungking.
With regard to such matters as ownership of and
compensation for wharves and other shipping facilities,
it would not appear that the loss of the right of British
ships to engage in inland navigation and coastal trade
1
should affect the position of British subjects or companies
whose titles to ownership are expressly recognised in
/ Article 5 of the British draft (see Article 4 of the
American draft). In case, however, the Chinese Government
reveal their intention to reserve coastal and inland navi-
gation entirely to Chinese shipping it might be desirable to
secure in an exchange of notes that the Chinese Government
would take over at a fair price any wharves or other
shipping facilities which British shipowners previously
engaged in these trades might wish to sell. But subject to
any further comments by the Department of State it does not
appear to the Foreign Office that this is suitable for
inclusion in the treaty itself. The Foreign Office would,
however, be glad to consider any further observations on
this point which the Department of State may wish to offer.
I /