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China, and especially is not aiming at any illegal extension of territory in the province.
4. The Chinese Government concedes to German subjects the right of acquiring property in mines along the whole length of the railway line, and within a distance of 30 on either side of it. Chinese capital may take part in the working of the
mines.
"In this, also, Germany is not actuated by treacherous designs against China, but merely desires to develop commerce and the mutual relations between the two countries.
"Further Concessions to Germany.
"If the Chinese Government or individual Chinese subjects should at any time have plans for the development of Shantung, for the execution of which foreign capital is required, they shall, in the first place, apply to German capitalists for it. Similarly, in the event of machines or other materials being required, German manufacturers shall, in the first instance, be applied to. Only when German capitalists or manufacturers have refused their assistance shall the Chinese be entitled to apply to other nations."
The above indicates that Germany has secured extensive privileges as regards the development of the Province of Shantung, such as will under certain circumstances entirely exclude foreign competition. It may be anticipated that under the powerful protection of the Imperial Government German enterprise will take advantage, in an adroit and diligent manner, of the sphere of action which is offered to it; and very promising beginnings have already been made.
In the first part of the Treaty, which relates to the lease of Kiao-chau, the Chinese Minor publication shows no material divergence from the official German version. discrepancies are probably only due to different translations. It is of importance to note, however, that according to the Peking "Official Gazette" it is not merely permissible for German troops to pass free at any time through the least territory within a radius of 50 kilom. round the Bay of Kiao-chau, as stated in the German publication, but that the Emperor of China has agreed that "German troops may at any time, whenever the German Emperor wishes it, take possession of the territory in question."
The German publication, in the concluding paragraphs, also stated that an under- standing would be arrived at with regard to the Custoins frontier, and the mode of collecting the customs duties; in the Chinese version, on the other band, it is said: "The German authorities will abstain from any interference in the affairs of the li-kin stations situated on the borders of the leased territory."
An authoritative explanation of these discrepancies will no doubt be given by the Imperial Government.
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The
they may wish to purchase, is that which was usual prior to the German occupation. Government now consent to resell portions of the land thus acquired to European settlers conditionally, i.e., with a clause in the deed of sale providing that it shall again be placed at their disposal if required for the streets, harbour works, or public buildings of the future
town.
According to the "Cologne Gazette " of the 12th instant, the new German town is not to be built on the site of the present insignificant village of Tsin-tan, but on a spot within the bay of Kiao-chau, which is naturally well protected and admirably adapted for the creation of a large harbour for modern sea-going vessels.
Detailed plans of town, harbour works, and quays must be worked out before definite sales of land can be allowed; and surveys are now being made with a view to eventually drawing up these plans in a careful and complete manner, so as to avoid mistakes which might in the future prove irreparable.
The object in view is to create a first-class harbour, provided with all the require- ments of modern shipping, and by this means to develop Kiao-chau into a commercial centre on a large scale.
The Frankfurter Zeitung" publishes a private telegram from Shanghae, stating that the Governor of Kiao-chau has asked the German merchants already settled there whether the application of the German Customs Tariff to the newly-acquired territory
would suit them.
I have, &c. (Signed) GOUGH.
No. 2.
(No. 213.) My Lord,
Viscount Gough to the Marquess of Salisbury.-(Received July 18.)
Berlin, July 13, 1898. WITH reference to Sir F. Lascelles' despatch No. 131 of the 28th April last, I have the honour to report that several articles have recently appeared in the semi-official German press dealing with the question of the development of Kiao-chau.
The North German Gazette" of the 1st instant states that as soon as the number of Europeans established at Kiao-chau is sufficiently large, it is intende to introduced a system of self-government analagous to that existing at the European commercial settle- ments in the Treaty ports in China. The Municipality thus created will have the right of self-taxation, and will be charged with the police and sanitary administration, &c.
When the German squadron took possession of the Bay of Kiao-chau, the Admiral at once issued a Proclamation forbidding the sale of land. This measure was, of course, only temporary, and since then the German authorities have concluded agreements with the Elders of the different villages, according to which the latter engaged, in return for a payment equal to twice the amount of the Chinese land tax, not to sell their land to any one but the German Government. The price to be paid by the Government for any land
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