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3488/26.
CYPHER TELEGRAM from the Secretary of State for the Colonies to the Governor of liong Kong.
(Sent 3.45 p.m. 23rd December 1926)
165
Your telegram 20th December (1) Recognition
it would obviously be advantageous if we could come to some arrangement with the Cantonese which would satisfy their aspirations with regard to recognition during the period until if ever the Canton Government is able to claim properly
recognition as the Government of China. You will have seen from recent telegrams that Lampson explored the possibilities in conversation with Chen, The latter appears to have realised that the Canton claim to recognition as the National Government could not at present be substantiated. On the other hand he was strongly averse from any form of recognition which would imply the divi si on of China and the conversations broke down owing to the impossibility of finding a formula to reconcile these conflicting points of view. Meanwhile the attitude of His Majesty's Government remains generally as stated in Foreign Office telegram to Hankow No.9, of 8th December.
(2) Grant of Washington Surtaxes. The arguments which you advance of course have force but they have been fully considered and dealt with in telegraphic correspondence repeated to you and appear to His Majesty's Government to afford no adequate grounds for receding from their considered policy which has now been communicated to the Powers and will shortly become public.
(3)
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