CO129-502-6 China- general situation 7-1-1927 - 3-3-1927 — Page 148

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after which the question of what publicity (if

any) was desirable would have to be considered.

In regard to the Washington surtaxes, Sir

Austen said that the subject would be discussed on

the following day by the diplomatic body at Peking.

Since the Japanese were unwiling to agree, there would

be no joint declaration, but he thought each Power

that shared our view would make its own declaration to

the Peking Goverment of its willingness to pay these

surtaxes. In the absence, however, of a joint

declaration, the Customs would be unable to make the

collection.

The Secretary of State for Foreign Affairs

informed his colleagues that he had made full personal

explanations to the leaders of the Opposition, Mr.

Lloyd George and Mr. Ramsey MacDonald. He had under-

taken to receive some representatives of the Trade s

Union Congress and the Labour Party the same afternoon

in order to explain the position to them.

A discussion then took place on the various

aspects of British policy in China. There was general

agreement that, in view of the fact that the Peking

Government was represented at Geneva and that the

Cantonese Government was unrecognised by the Powers, it

would be useless, and probably embarrassing to the

Council, to make any appeal to the League under the

terms of the Covenant. It was suggested, however, that

in order to inform the world of our true attitude, and

to make clear that the forces despatched to China were

for defensive purposes only and not in pursuance of

any aggressive design, a full statement of our policy

ought to be made to the League of Nations.

After full consideration, the Cabinet agreed

(a)