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The Consul General at Shanghai (Gauss) to the Secretary of State

No. 43

Sir: I have the honor to report that Mr. Hachiro Arita, newly appointed Ambassador to China, arrived in Shanghai aboard the M. V. Asama Maru on February 26, 1936, accompanied by his wife and Major General Rensuki Isogai, Japanese Military Attaché. His coming was viewed with mixed feelings locally; some fear that he may sympathize with the army and favor a stronger attitude toward China, while others hope that his strength and prestige will enable him to effect a genuine rapprochement without the interference from the military which has been so familiar of late.

In an interview with representatives of the press he stated that he considers it essential to establish Sino-Japanese relations on a firm footing for the sake of peace and prosperity in East Asia, that he has instructions looking to the general readjustment of relations between the two countries, and that he intends to deal with problems in private talks rather than at a formal conference. He announced it as his intention to reside in Nanking. It is understood that the Counselor of Embassy, Mr. K. Wakasugi, newly transferred from Peiping, will continue to live in Shanghai.

[Here follows summary of press views.]

Respectfully yours,

C. E. Gauss