CO129-521-12 Chinese Customs- proposed agreement with Hong Kong 2-4-1930 - 16-6-1930 — Page 236

238

(1)

4. On the 28th November last a copy of the first draft

of the proposed agreement was, after semi-offici al

consultation with your department, communicated to the

Chairman of the China Association and the subsequent

telegraphic correspondence between the Association and the

Chambers of Commerce in Hongkong and Shanghai form the sub-

enclosures to Enclosure No. 2 transmitted herein. It will

be observed that while the Chima Association is strongly

impressed with the necessity for concluding the agreement

without insisting on the inland water privileges claimed

for British vessels under Article V, the merchants in

Hongkong and Shanghai, with, however, the important exception

in the latter place of Messrs. Butterfield and Swire and

Dodwell and Company, Limited, fear that the deletion or

modi fi cation of Article V may operate as a dangerous precedent

for the withdrawal in future of inland water navigation and

coasting trade privileges from British vessels. The telegram

forming Enclosure No. 4 herein further shows that they think

it may be difficult for the Hongkong Government to recede from

the position which they have taken up.

(51)on

628474/29

5.

sir M. Lampson's views are contained in his despatch

No. 1488 of October 11th, copy of which was communicated to

the Colonial office in Foreign Offi ce letter F 6649/52/10

of the 10th January, in his telegram of the 9th December,

copy of which was communicated to the Colonial office in

Foreign office letter F 6445/52/10 of the 23rd December and

in his further telegram of the 2nd January forming Enclosure

No. 3 herein. Sir M. Lampson believes that it is impossible

for the Chinese Government to accept Article V as it stands.

He