FO371-23515 — Page 256

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I. INTRODUCTION.

1. The most striking political events of 1938 were the

various agreements concluded in the form of treaties with (ler-

many and Italy and in the form of an understanding with Poland.

The former constitute full recognition while the latter is

interpreted as a compromise which does not definitely commit

Poland to recognition but opens the door to future negotiation.

2. These events have been a source of great satisfaction

to the fanchoukuo Government. Taken in combination with the

relinquishment by Japan at the end of 1937 of her exterritorial

rights, they are read as marking the coming of age of the new

state, The foreign observer may be pardoned for questioning

the independence of Innchouk:10. In form the independence of

In practice Japan 'runa'

the state is guaranteed by Japan.

Manchouki10. But both countries would presumably maintain that

their precise relations are their own affair and contend that

Manchoukuo functiona as a separate entity.

3. The present moment, therefore, when anchoukuo claims

to have become a full-fledged member of the family of nations

seems a suitable one to study how far this claim can be subs-

tantiated and I propose to devote attention to the point in

this report.

4. Lens striking but probably more important in the long

run is the change in attitude towards the question of recogni-

tion. Hitherto Manchoukuo has followed a passive policy. 20

long as the whole world outside of Japan refused to recognize

the state, there was little she could do but acquiesce. Now

that neveral countries have ranged themselves on her side,

Manchoukuo is beginning to divide the world into 'recognizing'

and 'non-recognizing' powers. From this point it is but a step

to dividing them into friendly and hostile powers: 'who is not

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