CO129-434 - Governor Sir May - 1916 [7-8] — Page 394

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Enclosure 2.

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Ree 15 SEP 161

THE HONGKONG GENERAL CHAMBER OF COMMERCE

New Government Building,

Des Voeux Road,

Hongkong, 3rd August, 1916.

STRICTLY CONFIDENTIAL.

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OPIUS*

I am now directed to reply to your confidential letter of the 28th June on the subject of the creation in German interests of a deep water Port at Whampoa.

My Committee are in entire accord with His Excellency the Governor in his opinion that the project is still a danger to

be reckoned with.

My Committee very earnestly share the hope of Mr. Con- sul-General Jamieson that German vessels will not hereafter freely enjoy their former privileges in British possessions on their voyages to and from the East. If this hope be realised the develop- ment at Whampoa of a deep water Port in German interests would be considerably hindered. The owners of vessels and cargo, seeking to divert trade past Hongkong, should not be assisted en route by the free use of the Empire's facilities.

My Committee recognise that even British interests may not stand in the way of real progress and if the development of Whampoa is regarded by the Chinese as being in the true interests of China then if such development requires the assistance of a foreign nation that nation should be Great Britain herself. It is

considered that she should in view of the adjacency of Hongkong and

the New Territory have preemtive claims over other Powers in all matters of development in Kwangtung.

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Honourable

With

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The Colonial Secretary.