CO129-521-12 Chinese Customs- proposed agreement with Hong Kong 2-4-1930 - 16-6-1930 — Page 84

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Government and him giving great privileges to China in return

for grant of certain concessions to Hong Kong.

It is presumably this Customs Agreement prepared by

Maze last year to which Kuo in announcement refere.

(5) It was China and not Hong Kong which refused to ratify -

this Agreement.

(6) Whole blame for breakdown of negotiations rests with

Chinese Government.

(7) If China does not like Agreement in its present form

Hong Kong Govemment is ready to reopen negotiations with a view to finding a solution more acceptable to both sides on

different lines.

(9) Threats are in any case to be deprecated as not being

calculated to facilitate negotiations of this kind or to lead

to friendly cooperation necessary for a settlement of this

question.

Have you any objection to this? Counter propaŭtanda

should be issued promptly. I therefore request vary early

reply.

Ends.