No.8
T:CA
CONFIDENTIAL.
Copy to:-
BY SAFE HAND.
Government House,
Commercial Counsellor,
C.G. Canton (9)
C.G.Shanghai.
Trade Commissioner, Hongkong,
C-in-C Hongkong,
D.M. Nanking.
246
Hong Kong.
lat. February 1935.
Sir,
I have the honour to acknowledge the receipt
Ench ti (19) or your despatch No. 5 (63/41A/1934) of 10th January 1935,
on the subject of the passage of munitions of war through Hong Kong, and to inform you that I concur in your proposal to base the reply to the Wai Chiao Pu on paragraphs 1 and 3 of my confidential despatch No.17 of 1st. May 1934, where the quotation from the Barcelona Convention supplies a complete answer to the Ministry's enquiry. The onward
passage from Hong Kong to China of munitions or any other
goods ordered in China from countries beyond Hong Kong is not "direct export to abroad"; it is hardly even an ex-
port or re-export at all in the sense in which those terms
are commonly used in commerce.
2.
The question of the endorsement or otherwise
by Chinese legations of huchaos in respect of arms imported
into Hong Kong on consignment which it is desired to re-ex-
port to China does not in practice arise as such huchaos
are never forthcoming and consequently, apart from samples,
arms in this category are not re-exported to China. Should an interested party, however, decide to approach Nanking for a huchao and be successful in obtaining it, this
Government would hardly be justified in requiring it to be His Britannic Majesty's Minister,
/ sent
PEKING.
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