CO129-588-24 China- British extra-territorial rights- negotiations with China 23-11-1942 - 1-1-1943 — Page 132

CO129 Colonial Office Hong Kong Records 理藩院香港檔案 All

(8313/828/10)

133

Extraterritoriality treaty

Navigation questions

(Comment upon the message from the Department of State dated 14th December).

The Chinese Government have offered to us the same wording concerning navigation questions for inclusion in the exchange of notes as that given in the message from the Department of State of the 14th December. They have also agreed to the insertion of a sentence providing for the relinquishment by China of her rights of navigation on the Irrawaddy.

We have decided to accept this wording subject to the insertion of a phrase at two points in the second paragraph designed to ensure that we shall not be obliged under the most-favoured-nation provision to grant China the right to engage in the coastal trade and inland navigation of British territories unless the Chinese permit British ships to participate in the coastal trade or inland navigation of China. Having regard to adjustments of form, the appropriate passage in our exchange of notes will thus read as follows:

"His Majesty The King and the President of the Republic of China mutually agree that merchant vessels of one Hi, h Contracting Party shall be permitted freely to come to ports, places and waters in the territories of the other High Contracting Party which are or may be opened to overseas merchant shipping and that treatment accorded to such vessels in such ports, places and waters shall be no less favourable than that accorded to national vessels and shall be as fav urable as that accorded to vessels of any third country. The term 'vessels' of a High Contracting Party means all vessels registered under the law of any of the territories of that High Contracting Party to which the treaty signed this day applies.

"His Majesty The King relinquishes the special rights which his vessels have been accorded with regard to coasting trade and inland navigation in the waters of the Republic of China. The President of the Republic of China relinquishes the special rights which have been accorded to Chinese vessels in respect of navigation on the river Irrawaddy under Article 12 of the Convention signed at London on the 1st March, 1894. Should one High Contracting Party accord in any of his territories the right of coasting trade or inland navi ation to vesaels of any third country, such rights would similarly be accorded to vessels of the other High Contracting Party provided that the latter High Contracting Party permits vessala of the former High Contracting Party to engage in the coasting trade or inland navigation of his territories. Coating trade and inland navigation are excepted from the requirements of national treatment

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