FO371-23517 — Page 311

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readjust the situation.

be clarified.

The questions which should be 195

considered here are how the special status of the Leased

Territory and how the status based on treaty rights should

Regardless of whatever conclusion that may be

reached, the fact that the Kwantung Territory, located as it

is between Japan, Manchoukuo and China, occupies a special

and important position politically and economically, and

serves as a medium in the formation of the Japan-Manchoukuo

economic bloc, is recognised by all, and the part to be

played by the leased Territory will become increasingly

important in the future.

According to this

To cite one manifestation of the desire of various

quarters regarding the Kwantung Territory, the writer would

like to refer to reports of the enactment of the "Kwantung

Leased Territory Planning Ordinance".

ordinance, as reported by newspapers, regulated redevelopment

covering industries, economy, communications, cities and rural

communities in the Kwantung Territory will be planned, and in

accordance with this fundamental policy, rural community

planning will be formulated in order to readjust and

rationalise urban and rural relationships, and to carry out

land readjustments.

From this ordinance it is construed that the important

industries in the lessed Territory will be controlled in line

with Manchoukuo laws and regulations concerning the control

of key industries in the new State, that the Leased Territory

will act in concert with Manchoukuo and become a buffer zone

for the Japan-Manchoukuo economic bloc, and that the

development of the Kwantung Territory along positive lines

will serve to expedite the industrial development of Manchoukuo

Regardless of the validity of the above newspaper reports,

the fact that the time has come for re-investigating the

existing situation and various systems and for considering a

rational reorganisation to meet the new situation, cannot be

denied.

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