CO129-362 - Public Offices - 1909 — Page 353

[This Document is the Property of His Britannic Majesty's Government.]

C.O 9354

CHINA RAILWAYS.

[June 10.]

CONFIDENTIAL

c 2 SEP OS,

SECTION 1.

[21746]

No. 1.

Sir J. Jordan to Sir Edward Grey.-(Received June 10.)

(No. 105.) (Telegraphic.) P.

Peking, June 10, 1909. RAILWAY negotiations. America's claim to a share in the Hankow-Szechuan

Railway.

Please see final paragraph of my telegram No. 102 of the 4th instant.

I have just been informed by the American chargé d'affaires that he has carried out instructions received from his Government, and has formally declared to the Chinese the intention of the American Government to claim the rights which they hold under the agreement of 1903. The Americans propose that they should be admitted to equal participation with the British, French, and German groups as regards the line from Hankow to Chengtu, for which purpose the extension of the railway beyond Tchang would have to be brought within the scope of the agreement.

In conversation with Mr. Fletcher, I reminded him that American capitalists showed no desire to participate when enquiries were made in that country in 1905. In the present instance, despite the wide publicity which had attended the negotiations, there had been no sign on the part of the Americans of any intention to give up their attitude of abstention. The agreement, I said, had now been signed, and only wanted Imperial ratification; and an attempt to alter it by inserting a provision as to the section from Ichang to Chengtu would not fail to make the arrangement fall through, which would be most regrettable.

Mr. Fletcher said that he was well aware of the risks which would attend any renewal of negotiations in Peking, and shared my opinion that in a consultation with the three groups in Europe lay the only means of settling the question of America's participation as regards both the Hankow-Szechuan line and railway business in the future generally.

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