[This Document is the Property of His Britannic Majesty's Government, and should be returned to the Foreign Office if not required for official use.]
(F.1853/34/10).
To CHINA.
(Nanking).
Cypher telegram to Sir M. Lampson
Foreign Office, 6.30 p.m. 16th April 1931.
No. 52. Tour.
ट्रप
67
121
Your telegram No.95 (of April 1st; extra-
territoriality).
1. Trade and residence in the interior.
It may be doubted whether conditions in China are likely within any reasonable period that we can now foresee to become sufficiently orderly to make residence in the interior a privilege of real value to British merchants. We have only pressed for it partly for the tactical advantage to be gained thereby and partly out
of consideration for the views of the Japanese. The
latter will probably insist very strongly on this right for their nationals but I agree that the Chinese are
unlikely to give way. Our chief concern now therefore
should be to avoid adopting an attitude that might prejudice the Japanese position. A formula such as you suggest would seem to leave the field open to Japan to secure better terms if she can and you may therefore, 11 nothing better is obtainable, proceed on these lines. Declaration in Sino-Italian Treaty, however, is not applicable to circumstances of the present Treaty. It seems preferable therefore to rely on the most-favoured- nation provision in an article based on the Sino- Czechoslovak Treaty draft of which is contained in my
immediately
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