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3. Mr. Choy added that Chinese government had no
intention of ignoring existing agreements but hoped to
have them modified by mutual consent. As regards Hukuang agreement and its bearing on the question of completion of Canton-Hankow railway Minister of Railways. would, if His Majesty's Government were to agree, com
sent to confine purchase of materials and rolling-stock to United Kingdom regardless of stipulations in agree- ment providing for open international tender. Mr. Choy gave me clearly to understand that Chinese government were determined if possible to utilize British Boxer funds for completion of Hukuang railway rather than rehabilitation of existing railways. The former, he
said, was essential for internal, political, economic
and military reasons.
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