FO371-23523 — Page 132

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IN THIS MARGIN.

NOTHING

ΤΟ

BE

WRITTEN

Minutes.

It is incredible that at this late

88

date Mr. Gull should still talk about

"bluff value". One can, it is true, bluff

without anything in the shape of force

behind one's bluff, but it is a dangerous

game where high politics are concerned, since

to have one's bluff called may involve

national humiliation.

It is not correct to say that it is not

intended to withdraw ships from Shanghai and

Canton. One at each place is to be retained "as long as possible, but all may eventually

be withdrawn.

"!

The same arguments about leaving ships

at Shanghai and Canton do not apply to ships

on the Yangtze, since one of the reasons for

withdrawing ships from the Yangtze was that

the Japanese would not allow them to be

relieved or even to move freely on the river,

could have been

and such a position should not be allowed to

continue indefinitely. These considerations

do not apply to Shanghai, and only partially

to Canton, as Mr. Gull himself appears to

recognise. What is true of both Yangtze and

ports such as Shanghai and Canton is that we

have thought it advisable in the face of

strong Japanese hints to adopt a policy of

gradual withdrawal, and consider that we shall

lose less in prestige by doing so than by

having the ships immobilised in their present

positions (see Shanghai telegram No. 1194 of

20th October). At the same time it is obvious-

ly desirable not to give the Japanese or anyone

else/

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