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this assurance. It was unfortunate for Japan that Russia was next-door, and the Japanese were frightened. The suggestion that we were contemplating a military arrangement with the Russians would give a stimulus to the supporters of the Anti-Comintern Pact.
7. The Ambassador went on to say that, when he was appointed to Moscow, he had explained carefully to the Soviet Government that the Anti-Comintern Pact was directed against the Comintern and not against the Soviet Government. The latter, however, chose to regard it as directed against themselves, and the result had been the practical annexation of Outer Mongolia, the establishment of a dominating influence in Sinkiang and a disguised attack on Japan through China. This was the real situation, which was complicated by the fact that certain quarters in Japan were irritated by His Majesty's Government's China policy. Chungking was under Russian influence, and His Majesty's Government were helping China. His personal view was that a military alliance between His Majesty's Government and Russia would produce a very unfavourable impression in Japan.
8. His Excellency went on to say that he had pressed his Government hard to give satisfaction to our complaints in China, and he hoped that this would be done. The China question was involved in the general situation, and he hoped that the explanation which I had given would also influence the general situation in the Far East, as well as questions more directly concerning China. If the misgivings which he felt as to our policy in connexion with Russia could be dispelled, he thought it would greatly contribute to a better understanding between our two countries.
9. I expressed my appreciation of what his Excellency had said about the situation in China, and the hope that the Japanese Government would be able to meet us on the points at issue. It might be that our China policy might seem to the Japanese to be one of help to China. I had never concealed from his Excellency my views on that subject, but there were other aspects of the question. I had been told that some Japanese leaders had complained of our action over the Chinese currency. This was, however, an example of action taken in defence of our own British interests and also perhaps of Japanese interests. I mentioned this particular matter because I did not want the Japanese to lose sight of the fact that we have a right to defend our interests, and this right should not be allowed to prejudice the view which we both held of the necessity for the best possible relations with each other. In this his Excellency concurred, but added that he felt that something should be done to improve the general atmosphere, and, if we wished to see an improvement in our general relations, some outward measures to that end ought to be taken.
I am, &c.
HALIFAX.
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