CO129-553-5 Japanese activities in Macao and Canton 31-1-1935 - 22-11-1935 — Page 129

LKL COPY

24470/1935

Received by the Department of Overseas Trade from Kesors. John Swire and Sons, Ltd., 8 Billiter Square, F.C.3. on 11th ta

March 1935.

128

Extract from J.K. Swire.

JAPANDAY PENETRATION.

The

Both Phillips from the political and Pelham from

the commercial point of view are auch soncerned at the way

the Japanese are peacefully penetrating in the South. It

seems possible that the Japs have come to the conclusion

that this is a better policy than facing the Russian growla

in the North, As an example, acao are installing & new

Fater Bork system and so far the Japanese are the only

people tendering andare almost certain to get the job.

next thing which we shall hear will be that it is necessary

for them to protect their nationale and before long Yacao will

be a nice little Japanese base comfortably stuck between

Singapore and Hong Kong. They tell me that the same sort

of thing is happening at Amoy, Swatow and Canton, and we

know that they have designs on Siam. The Japa are certainly

becoming a full life-size bogpy and I am not sure people

are not getting rather hypnotized by it.