CO129-498-4 Canton boycott- hostile acts of Canton Government and recommended action 6-2-1926 - 16-2-1926 — Page 3

Hong Kong, Sir J.Jameson, and Sir/Macleay all re- ject forcible action.

Hong Kong still presses for joint blockade by the

Powers.

Sir J.Jameson thinks it the sole solution.

Sir R.Macleay doubts whether other Powers would join us.

Possibly the boycott of Hong Kong and of Britis.. shipping using that port infringes the principle of "equal opportunity" to which Article I.1.of the Washington Treaty pledged the Nine Powers. I do not feel very

sure. But are the United States in the least likely to

co-operate in bringing to an end a state of things which suits their trade admirably? Remember how the American judge at the Shanghai Inquiry played up to the Chinese. There is however some hope that the boycott will extend to other Powers, beginning with the

Japanese, and that may alter the position.

We will send on later a considered statement'on the

Nanking and Tientsin treaties, but do not delay this

to discuss them.

Assistance to Admiral Li has been rejected by the

Foreign Office.

Sir R.Macleay's policy is "Await developments" and

hope that the Bosheviks will disgust the Chinese. Un-

less and until H.M.G.decide to abandon the fiction of a

United China, to which we have hitherto clung for fear

of worse chaos, it is difficult to suggest any other

line of action. There are of course hints that the F.0.

may abandon the fiction.

This telegram has been circulated with other

Colonial telegrams, but the S. of S.may like to call

special attention to it and to the very serious

situation of Hong Kong, by circulating the telegram

3200/26.

2365/26.

separately