[This Document is the Property of His Britannic Majesty's Government.1
CHINA RAILWAYS.
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BEC [December 28 13 JAN 10!
CONFIDENTIAL.
[46634]
No. 1.
Sir Edward Grey to Sir C. MacDonald,
SECTION 1.
(No. 46. Confidential.)
Foreign Office, December 23, 1909. (Telegraphic.) P.
ÜNİTED STATES proposal for the internationalisation of Manchurian railways: Please see your telegram No. 75 of the 21st December.
The Japanese Ambassador tells me that his Government have not settled as yet the exact wording of their reply to the United States proposal, but they intend to inform the United States Government that the neutralisation of all Manchurian railways would, in their opinion, be quite contrary to the position which the Portsmouth treaty secured to Japan, and that they are therefore unable to accede to the American proposal.
Mr. Kato added that it had been suggested to him that Japan, while making reserves as to the South Manchurian line, might accept the scheme in principle as Though his Excellency was applying to lines to be constructed in the future.
personally in favour of this suggestion, yet he would subject the proposal to au additional reservation that if any railway to be constructed in the future appeared jikely to injure the existing railway, Japan should be at liberty to object.
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