CO129-496 - Public Offices - 1926 — Page 227

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influence. Japan is extremely nervous of Bolshevism in

China.

Sir Austen Chamberlain further dissents from the view that Japan oan be regarded as the primary cause of the Shameen incident, or that it was due to Japanese adroitness that its consequences fell so largely on British shoulders.

Finally, it does not seem likely

that Japan wishes to cripple Hongkong as a counter-blow to the establishment of the Singapore base. Hongkong under the existing régime is more valuable to Japanese trade, than it would be under Chinese rule. While individual Japanese firms have doubtless profited by the Hongkong boycott, the general Japanese attitude is probably to regard the whole question as a purely British concern. It should be noted that to Japan the political and economic situation in South China is of secondary interest; she has a much greater stake in other parts of China, upon which her attention is more closely focussed than on events in

Canton.

3.

I am to add that Hankow despatch No. 49 of the

16th April has not yet been received in this department.

I am,

Sir,

Your obedient Servant,

Gengs mounsey.

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