CO129-371 - Public Offices - 1910 — Page 321

[This Document is the Property of His Britannic Majesty's Governmer5654

CHINA RAILWAYS,

CONFIDENTIAL,

RECO Rege 24 FEB 10 [February 5,]

SECTION 1.

~319

(4159]

No. 1.

Mr. C. S. Addis to Sir F. Campbell.-(Received February 5.)

Dear Sir Francis,

Hong Kong and Shanghae Banking Corporation, 31, Lombard Street, London, February 4, 1910.

I HAVE to thank you for your letter of the 3rd instant informing me that Sir John Jordan has been instructed to consult with his German, French, and American colleagues with regard to a joint protest against the issue of the edict inviting applica- tions for concessions on the Hukuang Railways.

You will see from the enclosed correspondence that the French and German Ministers have been instructed to the same effect.

I am pleased to find there is so much demand for our little map, of which I send you herewith another couple of copies.

It struck me yesterday, in listening to Mr. Grenfell, that he had failed to grasp the full purport of the British proposals with regard to the Hukunug Railways, as stated in our letter of the 25th January. In the hope of clearing the air, I have sent him the enclosed note,* and, at the same time, forwarded copies to Paris and Berlin for the information of the French and German groups.

Enclosure in No. 1.

Papers communicated by Mr. C. S. Addis.

(1.)

Yours, &c.

C. S. ADDIS.

Dear Mr. Addis,

Herr Urbig to Mr. C. S. Addis.

Berlin, February 2, 1910. I AM in receipt of your letter of the 31st ultimo, and regret very much that you in London did not see your way to jointly protest against the measures of the Chinese in the Hunan Railway affair. I can fully understand that it is rather difficult for you to occupy a position in this question which is contrary to Mr. Hillier's opinion, and I can perfectly imagine how Mr. Hillier is judging of the present situation.

He argues that the negotiations with the Chinese had been definitely closed, and that the signature of the agreement had only been prevented by the protest of the Americans. It would now be the affair of the groups to come to an understanding. As soon as the groups would have come to such understanding the American protest in Peking would be withdrawn, and we would face again the situation as it had been before the 6th June, 1909, only changed by the negotiations having now passed into the hands of the Yuchuanpu. As soon as the protest would have been countermanded by the Americans, the Yuchuanpu would be obliged to reopen the negotiations.

I repeat, this is the way of thinking of your colleague Hillier, how I am inclined to see it. He knows China far too well as that he should not have for his advice weighty reasons, the logic of which could certainly not be denied.

I myself am of opinion that it is dangerous to wait for the reopening of the negotiations by the Chinese. I think that if we ignore the invitation for tenders in the present moment, further steps of the Chinese will follow without delay in order to show that they will not have us any more for this railway. If later on we for our part would be desirous to reopen the negotiations, they will tell us that in the meantime other negotiations had been entered into with Chinese companies, and that these negotiations had enjoyed full publicity. Did not we consent hereto, we should have been obliged to approach them.

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