PUBLIC RECORD OFFICE

Reference :-

TELNIC.O. 882

س سلسا

PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH—NOT TO

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experiences of her methods. Their fear is that the "sphere of influence" soon be changed for that of annexation, and the attitude of Germany towards other European powers in the Shantung Province helps to intensify that fear.

No better instance of Germany's "dog in the manger" policy of "Shantung for the Germans" could be found than her recent attempt to put a spoke in the mining wheel of Wei-hai-wei.

As I stated in my General Report for 1902,* the Wei-hai-wei Gold Mining Company wishes to develop a property which is so situated that when mining is started it will have to be carried on in both British and Chinese territory, but still within the zone of British influence. To meet this difficulty I proposed to the Governor of Shantung that the property in question should be worked under regula- tions to be drawn up by the Governor of Shantung and the Commissioner of Wei- hai-wei, and that, if mining prove successful, the royalties should be divided equally between this Government and that of China. The Governor of Shantung was quite willing to accept this equitable arrangement, after having sent a Chinese expert to visit the property. But the German Minister at Peking has made representations to the Chinese Foreign Office, alleging that a German Company under an Agreement made with a former Governor of Shantung possesses the right of mining within an area of 250 li, say, 83 miles from Chefoo as a centre.

I have addressed a confidential despatch to His Majesty's Chargé d'Affaires at Peking, pointing out that the mining rights claimed by the German Company cover the whole of the leased territory of Wei-hai-wei, and also include the British zone of influence, which comprises the region east of the meridian 121° 40′ East of Greenwich; stating that it seems difficult to believe that the German Minister has seriously advanced such a claim, and requesting that he will take the necessary steps to have this question, which closely concerns the present welfare and future develop- ment of Wei-hai-wei, settled in a manner satisfactory to British interests.

This action on the part of Germany does not evince much gratitude for the undertaking of Great Britain not to construct railways in Shantung, and shows that Germany is determined, so far as she can, to block the way and close the door in this part of China to any other Power that shows any sign of attempting to develop its interests.

Our visit to Kiaochou came to an end on Saturday, the 30th of May, when we left in a German steamer for Wei-hai-wei, which we reached on Sunday, the 31st of May, after a voyage of about twenty hours, having been absent for six weeks.

Our journey throughout was most enjoyable and interesting. The kindness and courtesy shown to us by the Governor of Shantung and all the other Chinese Authorities in the province could not have been exceeded. I doubt whether a British officer has ever been treated more cordially in China, and I am certain that no European's progress through a Chinese province has ever been made under more favourable auspices. My visit to the Governor of Shantung, following, as it did, that of the Governor of Kiaochou, naturally invited comparison. An American, long resident at Chinan, informed me that, whilst Governor Truppel's visit was one of formality, both Europeans and Chinese were agreed that mine was one of undoubted cordiality. The Governor of Shantung, as I have already stated, informed me that his object in entertaining me was to evince his appreciation of the British Government and to show the people of Shantung how Europeans should be treated. He certainly accomplished his object. The memory of the many kindnesses shown by him and all his officials to my party and myself throughout our journey will be always green.

Our stay at Kiaochou was also very pleasant, Governor Truppel and all the other officials having treated us with much cordiality and kindness.

J. H. STEWART Lockhart,

• Colonial Report, Annual, No. 388.

Commissioner.

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Enclosure 1.

STEAMERS UNDER INLAND STEAM NAVIGATION RULES DURING YEARS 1899 TO 1902.

EXTERED.

CLEARED.

1901.

1903.

Flag.

1899.

1900.

1901.

1902.

1899.

1900,

No. Tons. No. Tons. No. Tons. No. Tons, No. Tons. No. Tons,

Tons, No,

No. Tona.

British ...

176,596 14 8,13% 87 49,219 131 74,544 17 6,595

14 5,482 8க 48,948 138

74,815

Japanese

89

20,671 893 05,820 130

28,096

89 20,639 323

65,820

180

28,096

Chinese...

Russian...

2

70

235 35 6,79!

202

4

188

2

514

2

$14

Totale

...

17 0,596

107

26,687 | 412114,938 | 299 |109,832

-

SU

་ ཎྜ ས

26,687 413 115,374 296 109,361 17 6,595 107

Enclosure 2.

SPEECHES OF Governor OF SHANTUNG. First Toast.

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# 3

6,781

I have the honour to reverently propose the healths of Their Majesties the Emperor of China and the King of Great Britain and Ireland and Emperor of India.

Long may Their Majesties live!

Second Toast.

I deem it a happy augury of international friendship and goodwill that during my first year of office in Shantung, and within the short space of a few weeks, should have the exceptional honour of being visited in the chief city of my province by the two distinguished officials entrusted with the administration of the leased territories of Tsingtao and Wei-hai-wei.

I desire to express to His Honour the Commissioner of Wei-hai-wei, whom I am proud to have at my table this evening, my high appreciation of the honour the Commissioner has done me in undertaking such a long and arduous journey to come to Chinunfu, to thank the Commissioner for his friendly visit, and to extend to the Commissioner on the part of myself, of the officials of all ranks in the province and of the Shantung people, a most cordial welcome.

The long and increasing friendship between the two countries of China and Great Britain, and the close and extensive commercial relations of the two Empires, from which the people of the two nations derive such mutual benefit, have been a source of great satisfaction to our Emperor and the Chinese people; and in the new Treaty of Commerce concluded last year by the two Governments, we have had additional evidence of the desire of Great Britain to cement the ties of amity that already exist with China by promoting the interests of trade and securing a freer interchange of the commodities which each country produces.

I hope that peace and friendship between our two countries will last uninter- ruptedly for ever, and that by increased intercourse and the continued cultivation of amicable relations based on terms of just consideration and mutual confidence and respect, the two nations will become more and more united in the bonds of perpetual amity.

I have now the honour to give you the toast of His Honour the Commissioner of Wei-hai-wei, Mr. Stewart Lockhart, Companion of the Most Distinguished Order of Saint Michael and Saint George, and to ask you to fill your glasses high and drink to his health, wishing him long life and increasing happiness.

I propose the health of His Honour the Commissioner of Wei-hai-wei.

YOUR EXCELLENCY,

Enclosure 3.

COMMISSIONER to Governor of ShaNTUNG.

Chinan, May 5, 1903. On the eve of my departure from Chinan, where through your courtesy and hospitality I have spent so many happy days, I cannot refrain from conveying to you

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